/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/220815.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 15, 2022, Vol. 26, No. 226 Headlines 1 BIG RED: Peerstreet Opposes Plan, Wants Conversion to Chapter 7 2192 TEXAS PARKWAY: Plan of Reorganization Confirmed by Judge 4E BRANDS: Sept. 26 Plan & Disclosure Statement Hearing Set 4E BRANDS: Unsecureds Owed $12M to Get Up to 11.3% in Plan 4E BRANDS: Unsecureds Will Get 9.5% to 11.3% in Liquidating Plan 942 PENN RR: Sept. 28 Disclosure Statement Hearing Set ACM DEVELOPMENT: Sept. 29 Plan & Disclosure Hearing Set ADHERA THERAPEUTICS: MLR-1023 License Extended Until February ADVANCED CLEANUP: Trustee Taps Greenspoon Marder as Counsel ADVANCED ENVIRONMENTAL: Trustee Taps Greenspoon Marder as Counsel AEMETIS INC: Incurs $209K Net Loss in Second Quarter AIR FLIGHT: Sept. 15 Hearing on Disclosure Statement ALCARAZ CATERING: Case Summary & Eight Unsecured Creditors ALL AROUND TOWING: Seeks to Hire Taxcon Inc as Accountant ALLEN & HANDY: Taps Daniel Jeannite of Boston Trust as Broker ALTERA INFRASTRUCTURE: Case Summary & 30 Top Unsecured Creditors AMERICAN EQUITY: Case Summary & 20 Largest Unsecured Creditors APOGEE GROUP: Hires Hector Eduardo Pedrosa Luna as Attorney ARKANSAS HOUSE: Bank Says Plan is Neither Fair Nor Equitable AVAYA HOLDINGS: S&P Downgrades ICR to 'CCC-', Outlook Negative AVAYA HOLDINGS: Taps Advisors to Look at Debt Options BASIC ENERGY: BofA Wants Language Added to Plan Order BASIC ENERGY: Combined Plan & Disclosure Confirmed by Judge BASIC ENERGY: Files Amendment to Disclosure Statement BASS STREET: Seeks to Hire Katz Nowinski as Legal Counsel BRIGHT MOUNTAIN: Appoints Miriam Martinez as CFO BROADBRIDGE LA: Developer Files for Chapter 11 With $210M Debt CADIZ INC: To Supply Water to Salton Sea, Torres Martinez Tribe CENTURY ALUMINUM: Appoints Gerald Bialek as CFO, Executive VP CHEFS' WAREHOUSE: S&P Upgrades ICR to 'B', Outlook Positive CHRISTIAN CARE: Gets Court OK to Hire GlassRatner, Appoint CRO COINBASE GLOBAL: S&P Lowers LT ICR to 'BB', Outlook Negative CREDITO REAL: Reaches Debt Deal With Some Creditors CTI BIOPHARMA: Incurs $22.7 Million Net Loss in Second Quarter CUSTOM TRUCK: Appoints Christopher Eperjesy as CFO CUSTOM TRUCK: Posts $13.6 Million Net Income in Second Quarter CYTODYN INC: Delays Filing of Annual Report for Year Ended May 31 D & L REAL ESTATE: Hires Fitzgerald & Co. CPAs as Accountant DAVIDZON MEDIA: Unsec. Creditors Owed $85K to Get 40% Dividend DAWN ACQUISITIONS: S&P Cuts ICR to 'SD' on Term Loan Purchases DELCATH SYSTEMS: Incurs $9.7 Million Net Loss in Second Quarter DIOCESE OF CAMDEN: Seidman Updates on RAM Law Claimants ECTOR COUNTY: Unsecureds Will Get 14.3% to 100% in Liquidating Plan ENDO INTERNATIONAL: Says Bankruptcy Filing Likely Imminent EXCELSIOR SECURITY: Voluntary Chapter 11 Case Summary FALLAWAY CONSTRUCTION: Files Subchapter V Case GEX MANAGEMENT: Incurs $483K Net Loss in First Quarter GIGA-TRONICS INC: Incurs $1.25 Million Net Loss in First Quarter GOLDMAKER INC: Unsecureds Will Get 6.7% Dividend in 60 Months GRACE COMMUNITY: Hires Keller Williams as Real Estate Broker GREEN BIRD: Seeks to Hire Allen A. Kolber as Bankruptcy Counsel GREENVILLE UNIVERSITY: S&P Rates Revenue Bonds Rating to 'BB+' HINTONS5 LLC: Seeks to Hire Alan L. Joseph as Special Counsel IDAHO HEALTH: Case Summary & 14 Unsecured Creditors IFRESH INC: Appoints Sufen Qin to Replace Jay Walder as Director INTERSTATE UNDERGROUND: Unsecureds Owed $380K to be Paid in Full ISTAR INC: Moody's Puts 'Ba2' CFR Under Review for Upgrade ISTAR INC: S&P Affirms 'BB' Issuer Credit Rating, Outlook Stable JACKSON HOSPITAL: Moody's Lowers Rating on Revenue Bond to Ba3 JPA NO. 111: Court Confirms Amended Plan JUST BELIEVE: Seeks to Tap Kelley Fulton Kaplan & Eller as Counsel KNOW LABS: Files S-1 for New Share Offering, Seeks Uplist to NYSE LANGSTON CONSTRUCTION: Case Summary & 20 Top Unsecured Creditors LE CENTRE: Seeking to Enhance Confirmed Plan, Jackson Says LEGACY EDUCATION: Owes $1M Under Paycheck Protection Program LMBE-MC HOLDCO: S&P Alters Outlook to Negative, Affirms 'BB-' ICR MODIVCARE INC: S&P Affirms 'B+' ICR, Outlook Negative NATIONAL REALTY: Developer, Investors Agree to Manager Switch NEKTAR THERAPEUTICS: Incurs $159.1-Mil. Net Loss in Second Quarter NEXTIER OILFIELD: S&P Raises ICR to 'B+' on Strong Credit Measures NINE DEGREES: Amends Plan to Include IFCU Agreement OSG GROUP: August 29 Plan & Disclosure Statement Hearing Set OSG GROUP: Gets Court OK to Seek Quick Exit From Bankruptcy OSG GROUP: Paul Hastings, CS Update on First Lien Group PARKERVISION INC: Incurs $4.4 Million Net Loss in Second Quarter PIZARRO HAIR: Hires William G. Haeberle P.A. as Accountant PREMIER PAVING: Seeks to Hire Forshey & Prostok as Legal Counsel REPLICEL LIFE: Announces Material Patent Milestones in Key Markets REVLON INC: Appoints Interim CFO Amid Bankruptcy Process SALAD & CO: Unsecureds Owed $305K Unimpaired in Plan SANDY ROAD: Seeks to Hire McDowell Rice as Bankruptcy Counsel SHINING STAR: Amends Navesink Claim; Confirmation Hearing Aug. 16 STIMWAVE TECHNOLOGIES: Committee Seeks OK to Hire Financial Advisor STIMWAVE TECHNOLOGIES: Committee Taps Culhane Meadows as Counsel STIMWAVE TECHNOLOGIES: Seeks to Hire Ernst & Young as Tax Provider STORCENTRIC INC: Has Final OK on Cash Access, $5MM DIP Loan STRAUSS COMPANY: Unsecureds to Recover 8% Under Plan T M GRACE BUILDERS: Taps Kevin Capra of Compass Colorado as Broker TALEN ENERGY: Committee Taps Pachulski as Co-Counsel TOUCHPOINT GROUP: Nalin Jay Quits as Director TPC GROUP: Cash Collateral Access, DIP Loans Win Final OK TPC GROUP: Nalco Says Proposal Ignored, Wants Mediator TPC GROUP: United States Trustee Says Plan Unconfirmable TREEHOUSE FOODS: S&P Places 'B' ICR on CreditWatch Developing VOYAGER DIGITAL: Hires Berkeley Research as Financial Advisor VOYAGER DIGITAL: Hires Moelis & Company LLC as Investment Banker WILDWOOD VILLAGES: Plan Trustee Taps Rosenfield as Accountant WIRELESS SYSTEMS: Unsecureds Owed $5.3M to Get At Least $43K YAK ACCESS: Moody's Cuts CFR to Caa1 & Alters Outlook to Negative [*] Trepp Releases 2022 CRE Sentiment Survey Results [] Miami Business Bankruptcy Filings Remain In Downward Trend [^] BOND PRICING: For the Week from August 8 to 12, 2022 ********* 1 BIG RED: Peerstreet Opposes Plan, Wants Conversion to Chapter 7 ----------------------------------------------------------------- PS Funding, Inc., as lender and/or as the servicer for Wilmington Trust, National Association, not in its individual capacity, but solely as Trustee of MFRA Trust 2016-1 and/or Lexington RML VF Trust I and/or Napier STRAT Delaware, secured creditors, filed its objection to Debtor's First Amended Chapter 11 Plan of Liquidation. "It is a waste of time and money for this debtor to try to confirm a liquidating plan in a case where all the debtor's assets but for cash and potential causes of action have already been liquidated. The proposed Liquidating Trust will add many layers of additional cost to the estate which by the plan's own terms indicate creditors can expect a de minimus dividend on claims, if any," Peerstreet said. "Further, the plan suggests appointment of Sean Tarpenning as the Liquidating Agent and giving him broad powers to hire professionals, spend money, settle claims and more, all with no oversight by the court. The hubris of suggesting Mr. Tarpenning, who has previously been removed from management for cause by this court in a related case, should be given these unrestricted powers and the ability to settle claims against himself and related parties is overwhelming. The waste of everyone's time and money is further exhibited by the fact that the plan clearly fails the best interest test of 1129(a)(7) and cannot be confirmed as both impaired classes of claims will vote to reject the plan. This case should be converted to a case under chapter 7 to allow a court supervised Ch.7 trustee, with no connections to Mr. Tarpenning, to wind up this estate." Peerstreet filed a separate motion to convert the case to a Chapter 7 liquidation. Other parties, including Anchor Assets II, LLC, has joined in Peerstreet's objection to the Plan. Attorneys for Peerstreet: SANDBERG PHOENIX & von GONTARD P.C. Sharon L. Stolte Scott Greenberg 4600 Madison Avenue, Suite 1000 Kansas City, MO 64112 Telephone: 816.627.5543 Facsimile: 816.627.5532 E-mail: sstolte@sandbergphoenix.com sgreenberg@sandbergphoenix.com Attorneys for Anchor Assets II, LLC Cynthia M. Kern Woolverton, Esq. Stewart C. Bogart, Esq. Adam G. Breeze, Esq. 612 Spirit Drive St. Louis, MO 63005 Telephone: (636) 537-0110 Facsimile: (636) 537-0067 E-mail: bkty@msfirm.com About 1 Big Red, LLC 1 Big Red, LLC, buys and sells real estate. It has a principal location at 440 E. 63rd Street, Kansas City, MO 64110. 1 Big Red, LLC, filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Kan. Case 21-20044) on January 15, 2021. In the petition signed by CEO Sean Tarpenning, the Debtor listed total assets at $2.5 million and $3,094,099 in estimated liabilities. Judge Robert D. Berger oversees the case. The Debtor tapped Colin Gotham, Esq., at Evans & Mullinix, P.A. as counsel. 2192 TEXAS PARKWAY: Plan of Reorganization Confirmed by Judge ------------------------------------------------------------- Judge Sean H. Lane has entered findings of fact, conclusions of law and order confirming the Chapter 11 Plan of Reorganization of 2192 Texas Parkway Partners, LLC. The Plan has been proposed in good faith, and is the result of arm's length negotiations between the Debtor and Jovia. Disclosure has been made that the Reorganized Debtor shall continue to be managed by the current manager, Morris Terzi. The Plan satisfies Section 1129(a)(7) of the Bankruptcy Code because the mortgage debt together with the costs of liquidation exceed the value of the Property, such that, absent confirmation of the Plan, there would be no funds to pay unsecured creditors. The requirements of Section 1129(a)(8) of the Bankruptcy Code are satisfied in that the holders of Class 2 General Unsecured Claims voted to accept the Plan, and, pursuant to the Settlement, Jovia has withdrawn its Objection to confirmation. The Plan provides for the proper treatment of Administrative Claims. Section 1129(a)(10) of the Bankruptcy Code has been satisfied because Class 2 is impaired and has voted to accept the Plan. Based upon the Terzi Declaration, the proffer made by the Debtor at the Confirmation Hearing, the Settlement and the substantial investment by the Debtor's principals in making payments to Jovia during the Chapter 11 case and pursuant to the Settlement, the Court finds that confirmation of the Plan is not likely to be followed by the need for further financial reorganization of the Debtor. A full-text copy of the Plan Confirmation Order dated August 9, 2022, is available at https://bit.ly/3Cki7L5 from PacerMonitor.com at no charge. Attorneys for the Debtor: Kevin J. Nash, Esq. GOLDBERG WEPRIN FINKEL GOLDSTEIN LLP 1501 Broadway, 22nd Floor New York, NY 10036 About 2192 Texas Parkway Partners 2192 Texas Parkway Partners, LLC owns a commercial shopping center containing 17 retail stores located at 2192 Texas Parkway, Missouri City, Texas. 2192 Texas Parkway Partners filed its voluntary petition for Chapter 11 protection (Bankr. S.D.N.Y. Case No. 21-22563) on Oct. 4, 2021, listing as much as $10 million in both assets and liabilities. Judge Sean H. Lane oversees the case. Kevin J. Nash, at Goldberg Weprin Finkel Goldstein, LLP, is the Debtor's legal counsel. 4E BRANDS: Sept. 26 Plan & Disclosure Statement Hearing Set ----------------------------------------------------------- 4E Brands Northamerica LLC filed with the U.S. Bankruptcy Court for the Southern District of Texas an emergency for entry of an order conditionally approving the Disclosure Statement. On Aug. 9, 2022, Judge David R. Jones conditionally approved the Disclosure Statement and ordered that: * Sept. 15, 2022, at 5:00 p.m. is the Voting Deadline. * Sept. 15, 2022, at 5:00 p.m. is fixed as the last day to file objections to confirmation of the Plan and final approval of the Disclosure Statement. * Sept. 26, 2022, at 2:00 p.m. is the Combined Hearing on Final Approval of the Disclosure Statement and Plan Confirmation. A full-text copy of the order dated August 9, 2022, is available at https://bit.ly/3QHHHx8 from STRETTO, claims agent. Counsel for the Debtor: Matthew D. Cavenaugh Veronica A. Polnick Genevieve M. Graham Javier Gonzales JACKSON WALKER L.L.P. 1401 McKinney Street, Suite 1900 Houston, Texas 77010 Telephone: (713) 752-4200 Facsimile: (713) 752-4221 Email: mcavenaugh@jw.com Email: vpolnick@jw.com Email: ggraham@jw.com Email: jgonzales@jw.com About 4E Brands North America 4E Brands North America manufactured personal care and hygiene products. Its brand name products include Blumen Hand Sanitizer, Assured Hand Sanitizer, and various other hand sanitizers and hand soaps. It is no longer operating. 4E Brands North America sought Chapter 11 bankruptcy protection (Bankr. S.D. Tex. Case No. 22-50009) on Feb. 22, 2022. In the petition filed by David Dunn as chief restructuring officer, 4E Brands North America estimated assets up to $50,000 and liabilities between $10 million and $50 million. The case is handled by Honorable Judge David R. Jones. Matthew D. Cavenaugh, Esq., of JACKSON WALKER, is the Debtor's counsel, and STRETTO is the claims agent. 4E BRANDS: Unsecureds Owed $12M to Get Up to 11.3% in Plan ---------------------------------------------------------- 4E Brands Northamerica LLC submitted a Combined Disclosure Statement and a Joint Plan of Liquidation. The Debtor ceased operating its business prior to the Petition Date and is winding down, including, first and foremost, by facilitating the destruction of adulterated hand sanitizer as required by federal regulations following a voluntary recall pursuant to the Order Authorizing the Debtor's Destruction Process. The Plan provides that the Plan Agent will administer and liquidate all remaining property of the Debtors, including the proceeds of a compromise pursuant to Bankruptcy Rule 9019 that the Debtor negotiated with its parent and DIP Lender, 4E Global S.A.P.I. de C.V. ("4E Global") to settle any and all claims the Debtor holds against 4E Global, as described more fully in Article IIB.5 (the "4E Global Settlement"). The Debtor ceased all operations prior to filing this Chapter 11 Case. On the Effective Date, a Plan Agent will be appointed to administer the Plan and wind down the Debtor's estate. As of the Effective Date of the Plan, the Plan Agent will be responsible for all payments and distributions to be made under the Plan to the Holders of Allowed Claims, except to Holders of Covered Personal Injury Claims (Class 3), who will receive distributions from the Debtor's coverage under its Insurance Policies. Each Executory Contract and Unexpired Lease to which the Debtor is a party shall be deemed rejected unless the Debtor expressly assumes such agreements before the Effective Date. During the Chapter 11 Case, the CRO directed, with the assistance of counsel, an investigation into potential claims and causes of action against 4E Global arising from 4E Global's manufacture and delivery to the Debtor for distribution of the adulterated hand sanitizer. The investigation identified several potential causes of action, including breaches of an implied warranty of merchantability, a manufacturer's statutory duty to indemnify sellers of their product, and an express warranty when the inventory was sold to the Debtor, and certain fiduciary duties. 4E Global denied the existence of any claims or causes of action and asserted that, even assuming such claims existed, that 4E Global possessed defenses that it would successfully assert against liability. The CRO, with the assistance of counsel, evaluated, among other things, the merits, likelihood of success, likelihood of recovery of any judgment issued in the Debtor's favor, cost of litigation, and availability of sources of financing for such litigation for each of the identified potential claims. Following arm's-length negotiations over the course of approximately two months, the Debtor and 4E Global reached an agreement to settle, with no admission of liability on the part of 4E Global, the potential causes of action. In exchange for the releases provided in this Plan, 4E Global agreed to: (a) forgive the full amount of the outstanding DIP Loan (anticipated to ultimately be approximately $4.2 million) and the full amount of approximately $23.5 million in intercompany transfers it made to the Debtor following the recall and prior to the Petition Date; (b) payment of 100% of all costs associated with the transportation and destruction of inventory (and, if such costs are ultimately less than $2.225 million, any unspent funds may be allocated (in the Debtor's sole discretion) to the Wind Down Amount or the payment of Allowed Claims; (c) provide cash up to a cap of $400,000 to fund wind-down costs, such as post-confirmation rent, quarterly U.S. Trustee fees, and professional fees; (d) provide cash up to a cap of $400,000 to supplement the payment of Administrative Expense Claims, Secured Claims, and Priority Claims under this Plan; (e) provide cash up to a cap of $100,000 to cover any amounts, such as deductibles, with respect to Covered Personal Injury Claims to fund the Insurance Deductible Pool; and (f) $1.2 million to fund the GUC Pool. The 4E Global Settlement brings into the Estate $3.7 million in additional cash to satisfy claims and administer the wind down of the Estate and forgives approximately $27.7 million in debt. Under the Plan, Class 4 General Unsecured Claims total $10.6 million to $12.6 million. Each Holder of an Allowed General Unsecured Claim will receive (i) its pro rata share of the GUC Pool and (ii) a waiver of any Avoidance Action against such Holder. Creditors will recover 9.5% to 11.3% of their claims. Class 4 is impaired. "GUC Pool" means $1.2 million to be funded pursuant to the 4E Global Settlement. The Debtor has approximately $[4.5] million in available coverage under its Insurance Policies for personal injury claims arising from the distribution of adulterated hand sanitizer that were timely presented to the Insurer in accordance with the terms of the Insurance Policies. Any Claims that were not presented to the Insurer on or before the expiration of the coverage period of the applicable Insurance Policy (generally, mid-May 2021) will not be eligible for coverage by the Insurance Policies and, thus, are not Covered Personal Injury Claims. On the Effective Date, the Debtor shall fund up to $100,000 to satisfy any insurance deductible obligations of the Debtor associated with the Covered Personal Injury Claims. The payment of up to $100,000 for such deductible obligations shall satisfy in full any and all obligations of the Debtor with respect to the Covered Personal Injury Claims. A hearing to consider the final approval of the Disclosure Statement and confirmation of the Plan is scheduled for Sept. 26, 2022, at 2:00 p.m. (prevailing Central Time). Objections to the final approval of the Disclosure Statement or objections to Confirmation of the Plan must be in writing and must be filed and served on the counsel for Debtor below to ensure receipt by them on or before 5:00 p.m. (prevailing Central Time) on Sept. 15, 2022. The Bankruptcy Court directed that, to be counted for voting purposes, your ballot must be received by the designated claims and noticing agent, Stretto, Inc. by 5:00 p.m. (prevailing Central Time) on Sept. 15, 2022. Counsel for the Debtor: Matthew D. Cavenaugh, Esq. Veronica A. Polnick, Esq. Genevieve M. Graham, Esq. Javier Gonzales, Esq. JACKSON WALKER L.L.P. 1401 McKinney Street, Suite 1900 Houston, TX 77010 Telephone: (713) 752-4200 Facsimile: (713) 752-4221 E-mail: mcavenaugh@jw.com vpolnick@jw.com ggraham@jw.com jgonzales@jw.com A copy of the Disclosure Statement dated August 5, 2022, is available at https://bit.ly/3Qo3Ala from Stretto, the claims agent. About 4E Brands North America 4E Brands North America manufactured personal care and hygiene products. Its brand name products include Blumen Hand Sanitizer, Assured Hand Sanitizer, and various other hand sanitizers and hand soaps. It is no longer operating. 4E Brands North America sought Chapter 11 bankruptcy protection (Bankr. S.D. Tex. Case No. 22-50009) on Feb. 22, 2022. In the petition filed by David Dunn as chief restructuring officer, 4E Brands North America estimated assets up to $50,000 and liabilities between $10 million and $50 million. The case is handled by Honorable Judge David R. Jones. Matthew D. Cavenaugh, Esq., of JACKSON WALKER, is the Debtor's counsel, and STRETTO is the claims agent. 4E BRANDS: Unsecureds Will Get 9.5% to 11.3% in Liquidating Plan ---------------------------------------------------------------- 4E Brands Northamerica LLC filed with the U.S. Bankruptcy Court for the Southern District of Texas a Combined Disclosure Statement and Joint Plan of Liquidation dated August 9, 2022. The Debtor is a Texas limited liability company formed on May 19, 2014. It is the wholly owned subsidiary of 4E Global, which is a subsidiary of Kimberly-Clark de Mexico, S.A.B. de C.V, and was created to act as the distribution arm in the United States for personal care and hygiene products manufactured by 4E Global. At the onset of the COVID-19 pandemic in early 2020, the demand for hand-sanitizer products drastically increased. As a result of the increased demand for hand sanitizer during the COVID-19 pandemic and the FDA's temporary policy, like many other hand sanitizer distributors, the manufacturer of the hand sanitizer distributed by the Debtor, 4E Global, was impelled to source some of its raw ingredients from supplier(s) who, whether intentionally or mistakenly, provided methanol instead of ethyl alcohol. As of the Petition Date, the Debtor had entered into settlement agreements totaling approximately $20.9 million, of which $15.7 million (or over 75%) has been paid, leaving a remaining balance of approximately $5.1 million. Promptly following filing the Chapter 11 Case, the Debtor also held conversations with certain larger vendors to discuss the background of the case, cause of bankruptcy, the goals of the bankruptcy process, and to understand their concerns. Following arm's-length negotiations over the course of approximately two months, the Debtor and 4E Global reached an agreement to settle, with no admission of liability on the part of 4E Global, the potential causes of action. The 4E Global Settlement brings into the Estate approximately $3.7 million in additional cash to satisfy Claims and administer the wind down of the Estate and forgives approximately $27.7 million in debt. The Plan is a liquidating plan. The Debtor ceased operating its business prior to the Petition Date and is winding down, including, first and foremost, by facilitating the destruction of adulterated hand sanitizer as required by federal regulations following a voluntary recall pursuant to the Order Authorizing the Debtor's Destruction Process. The Plan provides that the Plan Agent will administer and liquidate all remaining property of the Debtors, including the proceeds of a compromise pursuant to Bankruptcy Rule 9019 that the Debtor negotiated with its parent and DIP Lender, 4E Global S.A.P.I. de C.V. ("4E Global") to settle any and all claims the Debtor holds against 4E Global, (the "4E Global Settlement"). Class 3 consists of all Covered Personal Injury Claims. Each Holder of an Allowed Covered Personal Injury Claim will receive (a) limited modification of the automatic stay and the injunction imposed by the Plan, as applicable, solely to liquidate the Allowed amount of the Covered Personal Injury Claim as of the Petition Date and to recover from available insurance proceeds and the Insurance Deductible Pool their pro rata share of (i) the total coverage available under the Debtor's Insurance Policies to compensate Covered Personal Injury Claims, which shall be paid directly by the applicable Insurer(s) under the applicable Insurance Policies and (ii) the Insurance Deductible Pool, up to the per-claim deductible applicable to such Allowed Covered Personal Injury Claim. This Class will receive a distribution of of up to 100% of their allowed claims. Class 4 consists of all General Unsecured Claims. On the applicable Distribution Date, each Holder of an Allowed General Unsecured Claim will receive (i) its Pro Rata share of the GUC Pool and (ii) a waiver of any Avoidance Action against such Holder. Claims in Class 4 are Impaired. Holders of Claims in Class 4 are entitled to vote on this Plan. This Class will receive a distribution of 9.5% - 11.3% of their allowed claims. Class 6 consists of all Equity Interests in the Debtor. On the Effective Date, all Equity Interests in the Debtor shall be canceled. No Distribution shall be made on account of Equity Interests in the Debtor. Class 6 is conclusively deemed to have rejected the Plan pursuant to section 1126(g) of the Bankruptcy Code. Class 6 is not entitled to vote to accept or reject the Plan. The Assets shall revest in the Estate for the purpose of liquidating the Estate, free and clear of all Liens, Claims, charges, or other encumbrances. On and after the Effective Date, the Debtor may, at the direction of the Plan Agent, and subject to the Confirmation Order, use, acquire, or dispose of property, and compromise or settle any Claims, Interests, or Causes of Action without supervision or approval by the Bankruptcy Court and free of any restrictions of the Bankruptcy Code or Bankruptcy Rules. On and after the Effective Date, the Debtor shall continue in existence for purposes of (a) resolving Disputed Claims, (b) making distributions on account of Allowed Claims as provided hereunder, (c) establishing and funding the Disputed Claims Reserves, (d) filing appropriate tax returns, (e) liquidating all assets of the Debtor and winding down the Estate, and (f) otherwise administering the Plan. A full-text copy of the Combined Disclosure Statement and Plan dated August 9, 2022, is available at https://bit.ly/3SKWgSu from STRETTO, claims agent. Counsel for the Debtor: Matthew D. Cavenaugh Veronica A. Polnick Genevieve M. Graham Javier Gonzales JACKSON WALKER L.L.P. 1401 McKinney Street, Suite 1900 Houston, Texas 77010 Telephone: (713) 752-4200 Facsimile: (713) 752-4221 Email: mcavenaugh@jw.com Email: vpolnick@jw.com Email: ggraham@jw.com Email: jgonzales@jw.com About 4E Brands North America 4E Brands North America manufactured personal care and hygiene products. Its brand name products include Blumen Hand Sanitizer, Assured Hand Sanitizer, and various other hand sanitizers and hand soaps. It is no longer operating. 4E Brands North America sought Chapter 11 bankruptcy protection (Bankr. S.D. Tex. Case No. 22-50009) on Feb. 22, 2022. In the petition filed by David Dunn as chief restructuring officer, 4E Brands North America estimated assets up to $50,000 and liabilities between $10 million and $50 million. The case is handled by Honorable Judge David R. Jones. Matthew D. Cavenaugh, Esq., of JACKSON WALKER, is the Debtor's counsel, and STRETTO is the claims agent. 942 PENN RR: Sept. 28 Disclosure Statement Hearing Set ------------------------------------------------------ Judge Laurel M. Isicoff has entered an order within which September 28, 2022 at 10:30a.m. is the hearing to consider approval of the disclosure statement of 942 Penn RR, LLC. Judge Isicoff further ordered that September 21, 2022 is the last day for filing and serving objections to the disclosure statement. A copy of the order dated August 9, 2022, is available at https://bit.ly/3Prcjlv from PacerMonitor.com at no charge. Counsel for Debtor: Mark S. Roher, Esq. Law Office of Mark S. Roher, PA 1806 N. Flamingo Road, Suite 300 Pembroke Pines, FL 33028 Telephone: (954) 353-2200 Email: mroher@markroherlaw.com Counsel for Creative Directions, Inc.: DAVID J. WINKER, P.A. David J. Winker, Esq., B.C.S. Florida Bar No. 73148 4720 S. Le Jeune Rd. Coral Gables, Florida 33146 Telephone: (305) 801-8700 Email: dwinker@dwrlc.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. ACM DEVELOPMENT: Sept. 29 Plan & Disclosure Hearing Set ------------------------------------------------------- ACM Development, LLC, filed with the U.S. Bankruptcy Court for the Middle District of Florida a Disclosure Statement and Plan of Reorganization. On August 9, 2022, Judge Lori V. Vaughan conditionally approved the Disclosure Statement and ordered that: * September 29, 2022 at 10:00 a.m. in Courtroom C, Sixth Floor, of the United States Bankruptcy Court, 400 West Washington Street, Orlando, Florida 32801 is the hearing to consider and rule on the disclosure statement and conduct a confirmation hearing. * Creditors and other parties in interest shall file with the clerk their written acceptances or rejections of the plan (ballots) no later than 7 days before the date of the Confirmation Hearing. * Any party desiring to object to the disclosure statement or to confirmation shall file its objection no later than 7 days before the date of the Confirmation Hearing. * In accordance with Local Bankruptcy Rule 3018-1, the debtor shall file a ballot tabulation no later than 2 days before the date of the Confirmation Hearing. A copy of the order dated August 9, 2022, is available at https://bit.ly/3SL9qit from PacerMonitor.com at no charge. Counsel for the Debtor: Justin Luna, Esq. Latham, Luna, Eden & Beaudine, LLP 201 S. Orange Ave., Suite 1400 Orlando, FL 32801 Tel: 407-481-5800 Fax: 407-481-5801 Email: jluna@lathamluna.com About ACM Development ACM Development, LLC, provides excavation services and is based in Ocoee, Fla. ACM Development filed a petition for Chapter 11 protection (Bankr. M.D. Fla. Case No. 22-00210) on Jan. 20, 2022, listing up to $10 million in assets and up to $50 million in liabilities. Eric R. Mynhier, manager, signed the petition. Judge Lori V. Vaughan oversees the case. The Debtor tapped Latham, Luna, Eden & Beaudine, LLP and Duerr & Cullen CPAs, P.A. as its legal counsel and accountant, respectively. ADHERA THERAPEUTICS: MLR-1023 License Extended Until February ------------------------------------------------------------- Adhera Therapeutics, Inc. and Melior Pharmaceuticals I, LLC entered into the Second Addendum to the License Agreement dated Aug. 24, 2021. The License Agreement granted the Company an exclusive license for the development and commercialization of Melior's MLR-1023. The MLR-1023 license was scheduled to terminate due to the inability to meet certain milestones in the Agreement. In accordance with the Second Addendum and subject to the terms and conditions therein, the MLR-1023 license was extended until February 2023. The material obligations of the Company under the Second Addendum include: * license payment of approximately $137,000 by the Company to Melior (this payment was made on July 29, 2022); * maintaining the full-time employment of its chief scientific officer; and * raising $500,000 in working capital. About Adhera Headquartered in Durham, NC, Adhera Therapeutics, Inc. (formerly known as Marina Biotech, Inc.) -- http://www.adherathera.com-- is a clinical stage biopharmaceutical company engaged in the development of novel cancer products and a proprietary vaccine technology. Adhera reported a net loss of $6.35 million for the year ended Dec. 31, 2021, compared to a net loss of $3.77 million for the year ended Dec. 31, 2020. As of March 31, 2022, the Company had $170,000 in total assets, $25.67 million in total liabilities, and a total stockholders' deficit of $25.50 million. Boca Raton, Florida-based Salberg & Company, P.A., the Company's auditor since 2021, issued a "going concern" qualification in its report dated April 15, 2022, citing that the Company has a net loss and cash used in operations of approximately $6.4 million and $665,000 respectively, in 2021 and a working capital deficit, shareholders' deficit and accumulated deficit of $25.1 million, $25.1 million and $53 million respectively, at Dec. 31, 2021. These matters raise substantial doubt about the Company's ability to continue as a going concern. ADVANCED CLEANUP: Trustee Taps Greenspoon Marder as Counsel ----------------------------------------------------------- Gregory Jones, the Chapter 11 trustee for Advanced Cleanup Technologies, Inc., seeks approval from the U.S. Bankruptcy Court for the Central District of California to employ Greenspoon Marder LLP as his general bankruptcy counsel. The firm's services include: (i) investigating the Debtor's financial affairs, including an analysis of the Debtor's assets and liabilities, and potential causes of actions against third parties, (ii) assisting the Trustee in reviewing and, if necessary, amending the requisite schedules and statement of financial affairs for the Debtor's estate, (iii) performing general legal services for the Trustee to accelerate the administration of the estate including, if warranted, the filing of motions authorizing the sale and/or lease of certain properties, (iv) examining the claims of secured, administrative, priority and unsecured creditors in order to determine their respective validity, (v) advising the Trustee regarding (a) the proposed use, sale, and/or lease of property of the estate, (b) the obtaining of credit, if warranted and necessary, in the operation of the Debtor's estate, (c) the assumption and rejection of unexpired leases and executory contracts, (d) any requests for relief from the automatic stay by secured creditors and other parties in interest, including requests for the approval of stipulations seeking relief from or modification of the automatic stay, (e) the negotiation with creditors holding secured claims, (f) the analysis of potential claims against third parties including, but not limited to, any insiders and affiliated companies of the Debtor, (g) the analysis of potential claims arising under the Trustee's avoidance powers, (h) the analysis of secured claims against the Debtor's estate and the repetition actions of such secured creditors against, among other things, property of the Debtor's estate, (vi) objecting to claims, as may be appropriate, and (vii)prosecuting and/or defending pending or contemplated state or federal court litigation or appellate proceedings where the Debtor or the Estate is a party. The firm will be paid at these hourly rates: Daniel A. Lev $650 Asa S. Hami $610 Steve Burnell $475 Partners $435-$1,100 Associate $250-$590 Paralegals $125-$400 Greenspoon is a "disinterested" party as that term is defined by the Bankruptcy Code, according to court filings. The firm can be reached through: Steve Burnell, Esq. Greenspoon Marder LLP 333 S. Grand Avenue, Suite 3400 Los Angeles, CA 90071 Phone: (213) 617-5284 Email: Steve.Burnell@gmlaw.com About Advanced Cleanup Technologies A group of creditors of Advanced Cleanup Technologies, Inc. filed an involuntary Chapter 7 bankruptcy petition (Bankr. C.D. Calif. Case No. 21-12762) against the company on April 5, 2021. The petitioning creditors are GOLO LLC, NEAA Inc., ENAA Inc., Francesco & Linda Funiciello, Ronnie and Sunny Melendez, Nasser Nando Ghorchian, Alberto Amiri and Talya Enterprises, Kevin King, and Michael Funiciello. The creditors are represented by Winthrop Golubow Hollander, LLP. On July 2, 2021, the court entered an order converting the case to one under Chapter 11. Judge Sheri Bluebond has been assigned to the case while Gregory K. Jones has been appointed as the Debtor's Chapter 11 trustee. The trustee is represented by Greenspoon Marder, LLP. Leslie Cohen Law, PC serves as the Debtor's legal counsel. ADVANCED ENVIRONMENTAL: Trustee Taps Greenspoon Marder as Counsel ----------------------------------------------------------------- Gregory Jones, the Chapter 11 trustee for Advanced Environmental Group, LLC, seeks approval from the U.S. Bankruptcy Court for the Central District of California to employ Greenspoon Marder LLP as his general bankruptcy counsel. The firm's services include: (i) investigating the Debtor's financial affairs, including an analysis of the Debtor's assets and liabilities, and potential causes of actions against third parties, (ii) assisting the Trustee in reviewing and, if necessary, amending the requisite schedules and statement of financial affairs for the Debtor's estate, (iii) performing general legal services for the Trustee to accelerate the administration of the estate including, if warranted, the filing of motions authorizing the sale and/or lease of certain properties, (iv) examining the claims of secured, administrative, priority and unsecured creditors in order to determine their respective validity, (v) advising the Trustee regarding (a) the proposed use, sale, and/or lease of property of the estate, (b) the obtaining of credit, if warranted and necessary, in the operation of the Debtor's estate, (c) the assumption and rejection of unexpired leases and executory contracts, (d) any requests for relief from the automatic stay by secured creditors and other parties in interest, including requests for the approval of stipulations seeking relief from or modification of the automatic stay, (e) the negotiation with creditors holding secured claims, (f) the analysis of potential claims against third parties including, but not limited to, any insiders and affiliated companies of the Debtor, (g) the analysis of potential claims arising under the Trustee's avoidance powers, (h) the analysis of secured claims against the Debtor's estate and the repetition actions of such secured creditors against, among other things, property of the Debtor's estate, (vi) objecting to claims, as may be appropriate, and (vii)prosecuting and/or defending pending or contemplated state or federal court litigation or appellate proceedings where the Debtor or the Estate is a party. The firm will be paid at these hourly rates: Daniel A. Lev $650 Asa S. Hami $610 Steve Burnell $475 Partners $435-$1,100 Associate $250-$590 Paralegals $125-$400 Greenspoon is a "disinterested" party as that term is defined by the Bankruptcy Code, according to court filings. The firm can be reached through: Steve Burnell, Esq. Greenspoon Marder LLP 333 S. Grand Avenue, Suite 3400 Los Angeles, CA 90071 Phone: (213) 617-5284 Email: Steve.Burnell@gmlaw.com About Advanced Environmental Group A group of creditors of Advanced Environmental Group, LLC filed an involuntary Chapter 7 bankruptcy petition (Bankr. C.D. Case No. 21-12761) against the company on April 5, 2021. The petitioning creditors are Innovative Engineering and Maintenance, Inc., Muni-Fed Energy, Inc., Quinn Rental Services, Inc., Ronnie and Sunny Melendez, Eric Granit R K Granit Employees Retirement, Ronald Moore, Nasser Nando Ghorchian, Dr. Iraj Naima, Jenna Development, Inc., GOLO, LLC, NEAA, Inc., ENAA, Inc., Alberto Amiri and Talya Enterprises, and the U.S. Trustee. The creditors, which assert $11,432,307.79 in claims, are represented by Winthrop Golubow Hollander, LLP. On July 2, 2021, the court entered an order converting the case to one under Chapter 11. Judge Sheri Bluebond has been assigned to the case while Gregory K. Jones has been appointed as the Debtor's Chapter 11 trustee. The trustee is represented by Greenspoon Marder, LLP. Leslie Cohen Law, PC serves as the Debtor's legal counsel. AEMETIS INC: Incurs $209K Net Loss in Second Quarter ---------------------------------------------------- Aemetis, Inc. filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q disclosing a net loss of $209,000 on $65.90 million of revenues for the three months ended June 30, 2022, compared to a net loss of $10.56 million on $54.88 million of revenues for the three months ended June 30, 2021. For the six months ended June 30, 2022, the Company reported a net loss of $18.50 million on $117.95 million of revenues compared to a net loss of $28.67 million on $97.69 million of revenues for the six months ended June 30, 2021. As of June 30, 2022, the Company had $178.45 million in total assets, $60.36 million in total current liabilities, $240.80 million in total long-term liabilities, and a total stockholders' deficit of $122.71 million. "Revenues for the second quarter of 2022 increased 20% to $65.9 million, compared to $54.9 million during the second quarter of 2021 as expanded demand for liquid transportation fuels raised our average ethanol price to $3.13 per gallon," said Todd Waltz, chief financial officer of Aemetis. "Investments in capital projects that reduce carbon intensity were $12.1 million for the second quarter of 2022, and $23.5 million year to date, as our engineering and construction teams moved forward with the initiatives outlined in our Five-Year Plan," added Waltz. "We are pleased with the milestones accomplished during the first half of 2022, including the launch of operational management of the 125-acre Riverbank Industrial Complex for our sustainable aviation fuel and renewable diesel plant, the purchase of 24 acres for the carbon capture and sequestration injection well at the Riverbank site, and signing $3.5 billion in off-take agreements for sustainable aviation fuel with major airlines and $3.2 billion in off-take contracts for renewable diesel with a leading travel stop chain," said Eric McAfee, Chairman and CEO of Aemetis. "The Aemetis Biogas RNG project progressed with construction in progress on five dairy digesters, completing construction of 20 miles of our 40-mile biogas pipeline, completing the biogas-to-RNG production facility and commissioning of the utility gas pipeline interconnection unit. Importantly, we closed two low-interest rate credit facilities for a total of up to $100 million of new financing to fund the pre-project financing of the carbon reduction projects at the Keyes ethanol plant and to fund the pre-project financing of land, engineering, permitting, test wells and related equipment for the jet/diesel plant and the two CO2 sequestration wells." A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/738214/000165495422010775/amts_10q.htm About Aemetis Headquartered in Cupertino, California, Aemetis, Inc. -- http://www.aemetis.com-- is an international renewable natural gas, renewable fuels and byproducts company focused on the acquisition, development and commercialization of innovative technologies that replace traditional petroleum-based products. The Company operates in two reportable geographic segments: "North America" and "India." Aemetis reported a net loss of $47.15 million for the year ended Dec. 31, 2021, compared to a net loss of $36.66 million for the year ended Dec. 31, 2020. As of March 31, 2022, the Company had $166.49 million in total assets, $62.73 million in total current liabilities, $232.35 million in total long-term liabilities, and a total stockholders' deficit of $128.59 million. AIR FLIGHT: Sept. 15 Hearing on Disclosure Statement ---------------------------------------------------- Judge Peter D. Russin will convene a hearing to consider approval of the Disclosure Statement of Air Flight, Inc. will be held on Thursday, September 15, 2022 at 1:30 p.m. in 299 East Broward Boulevard, Courtroom 301, Ft. Lauderdale, Florida 33301. The last day for filing and serving objections to the Disclosure Statement is on Thursday, Sept. 8, 2022. Attorney for the Debtor: Chad T. Van Horn, Esq. VAN HORN LAW GROUP, P.A. 500 N.E. 4th Street, 2nd Floor Fort Lauderdale, FL 33301 Telephone: (954) 765-3166 Facsimile: (954) 756-7103 E-mail: Chad@cvhlawgroup.com About Air Flight, Inc. Air Flight, Inc. filed a Chapter 11 bankruptcy petition (Bankr. S.D. Fla. Case No. 21-11039) on Feb. 2, 2021, disclosing under $1 million in both assets and liabilities. Judge Peter D. Russin oversees the case. The Debtor is represented by Van Horn Law Group, Inc. ALCARAZ CATERING: Case Summary & Eight Unsecured Creditors ---------------------------------------------------------- Debtor: Alcaraz Catering, Inc. 2958 Sturgis Road Oxnard, CA 93030 Business Description: The Debtor is the sole owner of a property located at 2958 Sturgis Rd., Oxnard, CA valued at $7 million. Chapter 11 Petition Date: August 12, 2022 Court: United States Bankruptcy Court Central District of California Case No.: 22-10622 Judge: Hon. Ronald A. Clifford III Debtor's Counsel: Kenneth Henjum, Esq. LAW OFFICES OF KENNETH H.J. HENJUM 1190 S. Victoria Avenue, Suite 106 Ventura, CA 93003-0000 Tel: 805-654-7032 Fax: 805-658-7629 Email: kh@henjumlaw.com Total Assets: $7,335,000 Total Liabilities: $4,060,000 The petition was signed by Antonio Alcaraz as president. A full-text copy of the petition containing, among other items, a list of the Debtor's eight unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/A62AFGQ/Alcaraz_Catering_Inc__cacbke-22-10622__0001.0.pdf?mcid=tGE4TAMA ALL AROUND TOWING: Seeks to Hire Taxcon Inc as Accountant --------------------------------------------------------- All Around Towing and Recovery LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of Indiana to hire Taxcon, Inc. dba The Tax Office, as its accountant. Taxcon as its accountant to assist the Debtor in filing tax returns, maintaining and reconciling financial records and preparing Monthly Operating Reports. Taxcon will provide tax return preparation on a flat fee basis of $500 to $750 per return, depending on complexity of said returns. Additional accounting services will be billed at the hourly rate of $45. Taxcon is a "disinterested person" as defined by Sec. 101(14) of the Bankruptcy Code, according to court filings. The firm can be reached through: Karen Lynn Taxcon, Inc. dba The Tax Office 6033 W. Bell Rd. Suite K Glendale, AZ 85308 Phone: (602) 547-0520 Fax: (602) 547-0521 About All Around Towing and Recovery All Around Towing and Recovery LLC is an Indiana-based company that offers everyday hauling, emergency and mechanical service. All Around Towing and Recovery filed a petition under Chapter 11 Subchapter V of the Bankruptcy Code (Bankr. S.D. Ind. Case No. 22-90283) on April 7. 2022. In the petition filed by David Lewis, as member, All Around Towing and Recovery LLC estimated assets between $50,000 and $100,000 and liabilities between $100,000 and $500,000. The case is assigned to Honorable Judge Andrea K. McCord. David M. Cantor, of Seiller Waterman LLC, is the Debtor's counsel. ALLEN & HANDY: Taps Daniel Jeannite of Boston Trust as Broker ------------------------------------------------------------- Allen & Handy Investments, LLC, received approval from the U.S. Bankruptcy Court for the District of Massachusetts to hire Daniel Jeannite, a real estate broker at Boston Trust Realty Group. The Debtor requires a broker to market for sale its real property located at 84 Esmond St., Dorchester, Mass. The Debtor will pay a commission of 4 percent of the gross sale price to be split between the broker and the buyer's agent, if any, who may participate in the actual sale. If there is no buyer's agent, the commission will be reduced to 2 percent. Mr. Jeannite disclosed in a court filing that he and other real estate brokers at Boston Trust are "disinterested" within the meaning of Section 101(14) of the Bankruptcy Code. Mr. Jeannite can be reached at: Daniel Jeannite Boston Trust Realty Group 404 Neponset Avenue Boston, MA 02122 Phone: (617) 674-2077 Email: djeannite@yahoo.com About Allen & Handy Investments Allen & Handy Investments, LLC owns a three-unit residential property locate at 84 Esmond St., Dorchester, Mass. Based on a 2022 appraisal, the property is estimated to be worth $1.04 million. Allen & Handy Investments sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Mass. Case No. 22-10681) on May 17, 2022, listing up to $1 million in both assets and liabilities. Peter Handy, manager, signed the petition. Judge Janet E. Bostwick oversees the case. Michael Van Dam, Esq., at Van Dam Law, LLP is the Debtor's counsel. ALTERA INFRASTRUCTURE: Case Summary & 30 Top Unsecured Creditors ---------------------------------------------------------------- Lead Debtor: Altera Infrastructure L.P. Altera House, Unit 3 Prospect Park, Prospect Road Arnhall Business Park Westhill, AB32 6FJ, United Kingdom Business Description: Altera Infrastructure L.P. is a global energy infrastructure services partnership primarily focused on the ownership and operation of critical infrastructure assets in the offshore oil regions of the North Sea, Brazil and the East Coast of Canada. Chapter 11 Petition Date: August 12, 2022 Court: United States Bankruptcy Court Southern District of Texas Thirty-eight affiliates that concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- Altera Infrastructure L.P. (Lead Case) 22-90130 Altera Infrastructure Project Services LLC 22-90129 ALP Ace B.V. 22-90131 ALP Striker B.V. 22-90132 Altera Infrastructure FSO Holdings Limited 22-90133 ALP Centre B.V. 22-90134 ALP Sweeper B.V. 22-90135 Petrojarl I L.L.C. 22-90136 Altera Infrastructure GP L.L.C. 22-90137 Altera Knarr AS 22-90138 Petrojarl I Production AS 22-90139 ALP Defender B.V. 22-90140 ALP Winger B.V. 22-90141 Altera Infrastructure Holdings L.L.C 22-90142 Piranema L.L.C. 22-90143 Altera Production UK Limited 22-90144 ALP Forward B.V. 22-90145 Piranema Production AS 22-90146 Clipper L.L.C 22-90147 Altera Al Rayyan LLC 22-90148 Altera Infrastructure Production Holdings Limited 22-90149 Altera Voyageur Production Limited 22-90150 Salamander Production (UK) Limited 22-90151 ALP Guard B.V. 22-90152 ALP Keeper B.V. 22-90153 Altera Infrastructure Finance Corp. 22-90154 Voyageur L.L.C. 22-90155 ALP Ippon B.V. 22-90156 Gina Krog AS 22-90157 Arendal Spirit AS 22-90158 Arendal Spirit LLC 22-90159 Gina Krog Offshore Pte Ltd 22-90160 ALP Maritime Group B.V. 22-90161 Golar-Nor (UK) Limited 22-90162 ALP Maritime Holding B.V. 22-90163 Knarr L.L.C. 22-90164 ALP Maritime Services B.V. 22-90165 ALP Ocean Towage Holding B.V. 22-90166 Judge: Hon. David R. Jones Debtors' Counsel: Matthew D. Cavenaugh, Esq. Kristhy M. Peguero, Esq. Rebecca Blake Chaikin, Esq. Victoria N. Argeroplos, Esq. JACKSON WALKER LLP 1401 McKinney Street, Suite 1900 Houston, Texas 77010 Tel: (713) 752-4200 Fax: (713) 752-4221 Email: mcavenaugh@jw.com kpeguero@jw.com rchaikin@jw.com vargeroplos@jw.com - and - Joshua A. Sussberg, P.C. Brian Schartz, P.C. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 601 Lexington Avenue New York, New York 10022 Tel: (212) 446-4800 Fax: (212) 446-4900 Email: joshua.sussberg@kirkland.com brian.schartz@kirkland.com - and - John R. Luze, Esq. 300 North LaSalle, Esq. Chicago, Illinois 60654 Tel: (312) 862-2000 Fax: (312) 862-2200 Email: john.luze@kirkland.com Debtors' Co-Counsel: JACKSON WALKER LLP Debtors' Claims Agent: STRETTO Estimated Assets: $1 billion to $10 billion Estimated Liabilities: $1 billion to $10 billion The petitions were signed by Giles Mark Mitchell as authorized person. A full-text copy of the Lead Debtor's petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/UKUDJFY/Altera_Infrastructure_LP__txsbke-22-90130__0001.0.pdf?mcid=tGE4TAMA List of Debtors' 30 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ 1. The Bank of New York Mellon Unsecured Bonds $289,206,303 Corporate Trust Department 101 Barclay Street, Floor 7 East New York, NY 10286 Tel: 212-495-1784 Fax: 212-815-5366 2. Marsh Ltd. Insurance Claim $2,358,117 Victoria House Queens Road Norwich, GB NR1 3QQ United Kingdom 3. Rena Quality Group AS Trade Claim $1,071,620 Breivikveien 29C 4014 Stavanger, Norway 4. Nortrans Accommodation Pte Ltd Trade Claim $910,830 87B Amoy St Singapore, 069906 Singapore Ms Jacqueline NG Tel: +65 6319 8799 Fax: +65 6319 8798 Email: accounts@nortrans.com 5. Cockett Marine Oil DMCC Trade Claim $761,544 Office 2803 28th Floor Jumeirah Bay X3 Jumerirah Lakes Towers Dubai, AE United Arab Emirates Cem Saral, CEO Tel: +31(0) 10 261 70 60 Email: rotterdam@cockett.com 6. Reach Subsea AS Trade Claim $630,458 Sorhoyggata 128 PostBox 1393 N-5507 Haugesund Haugesund, 5527 Norway Email: vancouver@dnvgl.com 7. Vipo AS Trade Claim $513,570 Kalosjegata 15 PO Box A Krokstadelva, 3055 Norway Email: contact@viposolutions.com 8. Bilfinger UK Limited Trade Claim $408,745 Wilson House, Kelburn Court Daten Park Warrington, WA3 6UT United Kingdom 9. Liebherr - Denmark APS Trade Claim $306,964 Marsalle 38A Horsens, 8700 Norway 10. DNV AS Trade Claim $302,342 Veritasveien 1 Hovik, 1322 Norway Email: vancouver@dnvgl.com 11. Offshore OG Marin Trade Claim $271,846 Hydraulikk AS FV410 530, Titran Titran, 7268 Norway Email: offmarin@omhas.com 12. Sodexo Remote Sites Norway AS Trade Claim $268,351 Vassbotnen 1 PO Box 13 Sandnes, 4313 Norway Email: info.no@sodexo.com 13. Teekay Shipping Limited Trade Claim $252,902 Suite 1778 48 Par-La-Ville Rd Hamilton, HM 11 Bermuda Kenneth Hvid, CEO Tel: (441) 298-2530 Fax: (441) 292-3931 Email: Kenneth.hvid@teekay.com 14. Marlink AS Trade Claim $219,675 Lysaker Torg 45 PO Box 433 Lysaker Norway Oslo, 1366 Norway 15. IPS (Aberdeen) Ltd. Trade Claim $217,168 Unit 3 Dunnottar House Howemoss Drive Dyce, Aberdeen, AB21 0GL United Kingdom Email: info@theipsgroup.co.uk 16. SolidEnergy AS Trade Claim $206,841 Tranesvegen 2 Agotnes, 5363 Norway Email: post@solid-vedlikehold.no 17. DOF Subsea Norway AS Trade Claim $204,905 Thormohlens Gate 53 Bergen, 5008 Norway 18. Kasomo Energy AS Trade Claim $202,331 Tungavegen 38 Trondheim, 7047 Norway Email: post@kasomo.no 19. Kuehne + Nagel Ltd. Trade Claim $192,010 TN91088 700-535 Thurlow Street Vancouver, V6E 3L2 Canada Stefan Paul, CEO TEl: (604) 684-4531 Email: uk.collections@kuehne-nagel.com 20. Health & Safety Executive Trade Claim $184,316 Financial Operations, Cash and Sales Section 6.4 Redgrave CT, Merton Rd Bootle, Merseyside, L20 7HS United Kingdom Email: Media.enquiries@hse.gov.uk 21. Belfor Technology Trade Claim $175,533 (Nederland) B.V. Daltonsstraat Dordrecht, 3316 GD Netherlands Email: info@belfor-technology.nl 22. Aker Solutions AS Trade Claim $165,975 Oksenoyveien 8 Lysaker, 1366 Norway 23. Shell Marine Products Trade Claim $158,758 Singapore 83 Clemenceau Avenue Singapore, 239920 Singapore Tel: 6384 8000 Fax: 6384 8657 Email: internationalmarine- neurope@shell.com 24. NES Global Talent Trade Claim $150,809 Norge AS (Ex. Energy People AS) Luramyrveien 40 Sandes, 4313 Norway 25. Estaleiros Brasfels Ltda Trade Claim $149,801 Rod. Rio Santos Km. 81 S/N Parte, Jacuancanga Angra Dos Reis, RJ 23913-060 Brazil Tel: +55 (24) 3361-6000 Fax: +55 (24) 3361-6183 Email: accounts.receivable@kfelsbrasil.com.br 26. Rignet Servicos DE Trade Claim $122,882 Telecomunicacoes Brasil Ltda Rua Mario Fugueiredo Proenca 151, Quadra B. Lote 22 Imboassica Macae, RJ 27932-305 Brazil Tel: (22) 2123-2888 Email: robert.blair@viasat.com 27. Enermech AS Trade Claim $122,794 Energiveien 9 Tananger, 4056 Norway Email: sales@enermech.com 28. Dovre Group Energy AS Trade Claim $122,541 Lokkeveien 99 P.O. Box 77 Sentrum Stavanger, 4001 Norway 29. Three60 EPCC Trade Claim $116,481 1st Floor Regent Centre Aberdeen Aberdeen, GB AB11 5NS United Kingdom Email: info@stepchangeeng.com 30. Teekay Corporation Trade Claim Unliquidated Trust Company Complex Ajeltake Road Ajeltake Island Majuro, 96960 Marshall Islands Kenneth HVID, CEO Tel: (441) 298-2530 Fax: (441) 292-3931 Email: Kenneth.hvid@teekay.com AMERICAN EQUITY: Case Summary & 20 Largest Unsecured Creditors -------------------------------------------------------------- Debtor: American Equity Advisory Group, LLC 250 International Pkwy, Ste. 146 Lake Mary, FL 32746 Chapter 11 Petition Date: August 12, 2022 Court: United States Bankruptcy Court Middle District of Florida Case No.: 22-02889 Debtor's Counsel: R. Scott Shuker, Esq. SHUKER & DORRIS, P.A. 121 S. Orange Avenue Suite 1120 Orlando, FL 32801 Tel: (407) 337-2060 Email: rshuker@shukerdorris.com Estimated Assets: $50,000 to $100,000 Estimated Liabilities: $10 million to $50 million The petition was signed by Charles D. Oliver as CEO and manager. A full-text copy of the petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/FDUJVMQ/American_Equity_Advisory_Group__flmbke-22-02889__0001.0.pdf?mcid=tGE4TAMA APOGEE GROUP: Hires Hector Eduardo Pedrosa Luna as Attorney ----------------------------------------------------------- Apogee Group, LLC seeks approval from the U.S. Bankruptcy Court for the District of Puerto Rico to hire to employ The Law Offices of Hector Eduardo Pedrosa Luna, as its attorney. The firm will render the following services: a. prepare bankruptcy schedules, pleadings, applications and conduct examinations incidental to any related proceedings or to the administration of the bankruptcy case; b. develop the relationship of the status of the Debtor to the claims of creditors in the bankruptcy case; c. advise the Debtor of its rights, duties and obligations as Debtor operating under Chapter 11 of the Bankruptcy Code; d. take any and all other necessary action incident to the proper preservation and administration of the Chapter 11 case; and e. advise and assist the Debtor in the formation and preservation of a plan pursuant to Chapter 11 of the Bankruptcy Code, the disclosure statement, and any and all matter related thereto. Hector Eduardo Pedrosa Luna will be paid at the hourly rate of $175. The Debtor paid the Firm a retainer in the amount of $6,262. It will also be reimbursed for reasonable out-of-pocket expenses incurred. Hector Eduardo Pedrosa Luna, partner of The Law Offices of Hector Eduardo Pedrosa Luna, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estates. Hector Eduardo Pedrosa Luna can be reached at: Hector Eduardo Pedrosa Luna, Esq. THE LAW OFFICES OF HECTOR EDUARDO PEDROSA LUNA P.O. Box 9023963 San Juan, PR 00902-3963 Tel: (787) 920-7983 Fax: (787) 754-1109 Email: hectorpedrosa@gmail.com Aboput Apogee Group Apogee Group, LLC is primarily engaged in renting and leasing real estate properties. Apogee Group, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case No. 22-02268) on August 2, 2022. The petition was signed by Elan P. Colen-Roger as managing member. At the time of filing, the Debtor estimated $1 million to $10 million in both assets and liabilities. Judge Mildred Caban Flores presides over the case. Hector Eduardo Pedrosa Luna, Esq. at the Law Offices of Hector Eduardo Pedrosa Luna serves as the Debtor's counsel. ARKANSAS HOUSE: Bank Says Plan is Neither Fair Nor Equitable ------------------------------------------------------------ Secured Creditor The Citizens Bank objects to confirmation of the Amended Plan for Reorganization for Small Business of Arkansas House Works, Inc. The Bank is a secured creditor in this bankruptcy proceeding pursuant to its Proofs of Claims (the "Proofs of Claim"), as follows: (a) Court Claim No. 5, in the amount of $520,957.81, filed on June 3, 2022; (b) Court Claim No. 6, in the amount of $181,880.87, filed on June 3, 2022; and (c) Court Claim No. 7, in the amount of $56,268.48, filed on June 3, 2022. The Bank objects to confirmation of the Plan as the Plan fails to propose to pay the Bank interest at the proper rate. The Bank objects to confirmation of the Plan as the Plan is not fair and equitable with respect to the Bank's Claims as required by 11 U.S.C. Sec. 1191(c)(1) and 11 U.S.C. Sec. 1129(b)(2). The Bank points out that the Plan fails to provide that the Bank retain the liens securing its claims as required by 11 U.S.C. Sec. 1191(c)(1) and 11 U.S.C. Sec. 1129(b)(2)(A)(i)(I). The Bank objects to confirmation of the Plan as the Plan fails to provide that the Bank receive on account of its claims deferred cash payments totaling at least the allowed amount of its claims, of a value, as of the effective date of the plan, of at least the value of the Bank's interest in the estate's interest in the collateral securing the debts to the Bank as required by 11 U.S.C. Sec. 1191(c)(1) and 11 U.S.C. Sec. 1129(b)(2)(A)(i)(II). The Bank also contends to confirmation of the Plan as the Plan fails to provide that all of the projected disposable income of the Debtor to be received in the applicable 5-year period will be applied to make payments under the Plan as provided for in 11 U.S.C. Sec. 1191(c)(2)(A). Further, the Plan misstates the projected disposable income of the Debtor to be received during the applicable 5-year period. The Bank asserts that the Plan as the Plan fails to provide appropriate remedies, which may include the liquidation of nonexempt assets, to protect the holders of claims or interests in the event that the payments are not made as provided for in 11 U.S.C. Sec. 1191(c)(3)(B). The Bank further asserts that the Plan fails to include all of the terms and conditions of the Loan Documents except to the extent they are specifically modified by the Plan. A full-text copy of Citizens Bank's objection dated August 9, 2022, is available at https://bit.ly/3zVDBL8 from PacerMonitor.com at no charge. Attorneys for The Citizens Bank: Paul T. Bennett RAMSAY, BRIDGFORTH, ROBINSON AND RALEY LLP Post Office Box 8509 Pine Bluff, Arkansas 71611 (870)535-9000 Fax: (870) 535-8544 Email: pbennett@ramsaylaw.com About Arkansas House Works Arkansas House Works, Inc., filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. W.D. Ark. Case No. 22-70114) on Feb. 2, 2022, listing up to $50,000 in assets and up to $1 million in liabilities. Beverly I. Brister, Esq., serves as the Subchapter V trustee. Judge Bianca M. Rucker oversees the case. Marc Honey, Esq., at Honey Law Firm, P.A. and Thompson & Associates, PLLC serve as the Debtor's legal counsel and accountant, respectively. AVAYA HOLDINGS: S&P Downgrades ICR to 'CCC-', Outlook Negative -------------------------------------------------------------- S&P Global Ratings lowered its issuer credit rating on Avaya Holdings Corp. to 'CCC-' from 'CCC', its issue-level rating on its senior secured debt to 'CCC-' from 'CCC', and its issue-level rating on its senior unsecured notes (which S&P previously assumed would be defeased shortly after the July 12, 2022, closing of its financings) to 'C' from 'CCC'. The negative outlook reflects that S&P could lower its rating on Avaya if its conclude a distressed restructuring or payment default are a virtual certainty. The additional preliminary information related to the company's third quarter results suggest that it will be more challenging for it to execute a turnaround under its current capital structure. Avaya Holdings Corp. shared in its Aug. 9, 2022, release of additional preliminary financial results for the third quarter of fiscal year 2022 that its audit committee has commenced internal investigations to review the circumstances surrounding its financial results and matters related to a whistleblower letter. In addition, contrary to our previous expectations that it would use the proceeds from the financing transactions its completed on July 12, 2022, to redeem or prefund its $350 million convertible 2.25% senior notes due June 15, 2023, the company conveyed that roughly $221 million of principal remains outstanding on the notes. Moreover, even though it has approximately $404 million of cash on its balance sheet, an additional $211 million set aside in escrow for the 2023 maturity, and no other debt maturities until 2027, Avaya has now indicated that it has doubts around its ability to continue as a going concern. In our view, this information likely exposes the company to additional reputational damage and, consequentially, could lead its existing customers or new prospects to delay, cancel, or shorten their business relationships with Avaya. These were the keys drivers of its third-quarter underperformance. Depending on their magnitude, we believe these factors could create additional operating difficulties, including undermining the company's ability to achieve the $200 million of cost savings it is targeting by year end. S&P previously believed Avaya could pursue a debt restructuring, though now we think the timeline for such a transaction has likely accelerated. The company has yet to defease its 2023 notes and the doubts around its ability to continue as a going concern have prompted it to hire advisors to assess its options to address the 2023 convertible note maturity. S&P said, "We lack specific information about these moves; however, in our view, they could potentially indicate that Avaya is more likely to pursue a debt restructuring that we would view as distressed. They could also suggest the company is preemptively preparing for developments arising from its internal investigations, the potential it will trigger an event of default under its credit agreement by failing to deliver its financial statements by the applicable quarterly and annual deadlines or that--following the sharp decline in its stock price--it will be unable to continue to comply with the NYSE's listing requirements. Even so, we recognize that nothing has been announced regarding a debt restructuring even if we now believe that, compared with just a few weeks ago, the potential timeline for such an occurrence has accelerated." S&P's revised capital structure assumptions and lower issuer credit rating led it to lower its issue-level ratings on Avaya's debt. S&P said, "We have updated our recovery analysis to reflect that a portion ($221 million of the $350 million of original principal) of the convertible notes due June 2023 will remain in its capital structure contrary to our prior expectations that this issue would be defeased in connection with the July 12, 2022, closing of its $350 million incremental first-lien term loan and $250 million exchangeable note. While this results in higher debt amounts in the capital structure under our hypothetical default scenario, our existing '3' recovery rating on Avaya's secured first-lien debt, which indicates our expectation for meaningful (50%-70%; rounded estimate: 50%) recovery, and '6' recovery rating (0%-10%; rounded estimate: 0%) on its convertible notes due 2023 are unchanged. This primarily reflects the collateral backing the secured debt and that Avaya Inc. is the issuer of all of its secured debt, which gives the secured lenders a priority ranking over the holders of the convertible notes issued by parent Avaya Holdings Inc. "The negative outlook reflects the risk that we could lower our rating on Avaya if we conclude a distressed restructuring or payment default are a virtual certainty. "We could consider lowering our ratings on Avaya over the next six months if it announces a distressed restructuring or is alleged to be in default on one of its debt obligations that we conclude it is unlikely to cure. "We could consider raising our ratings on Avaya if it defeases its 2023 note maturity, resolves its outstanding internal investigations without material negative effects on its financial position, and starts to reestablish a track record of sustainably improving its operating performance." This could occur if: -- It achieves its cost-savings goals while continuing to invest in product development to support its subscription transition and demonstrates further progress in increasing its annual recurring revenue (ARR) relative to its targets; and -- It returns to revenue growth, sustains higher EBITDA margins, and generates sustainable positive free operating cash flow (FOCF) while continuing to fund its working capital and capital expenditure requirements. ESG credit indicators: To E-2, S-2, G-4; From E-2, S-2, G-3 S&P said, "Governance factors are now a negative consideration in our credit rating analysis of Avaya compared with a moderately negative consideration before. This change stems from additional adverse governance-related developments, including its announcement that its audit committee has commenced an internal investigation to review the circumstances surrounding its financial results for the quarter ended June 30, 2022, a potential material weakness in its internal controls, and undisclosed matters related to a whistleblower letter. They also continue to consider its recent operating challenges, including its revenue declines and weakening FOCF." AVAYA HOLDINGS: Taps Advisors to Look at Debt Options ----------------------------------------------------- The Wall Street Journal reports that Avaya Holdings Corp. is working with legal and financial advisers to evaluate the company's options following an earnings miss that tanked prices of a $600 million debt deal completed in June, according to people familiar with the matter. Avaya is being advised by law firm Kirkland & Ellis LLP and turnaround adviser AlixPartners LLP as the company contends with blowback from credit markets, these people said. The Company recently reported its second quarter results, saying that revenue was $577 million in the second quarter of 2022, down 20% year over year in constant currency. GAAP Net loss was $1.408 billion and Non-GAAP Net loss was $20 million, which excludes non-cash impairment charges of $1.272 billion. On July 12, 2022, Avaya completed a $250 million exchangeable notes offering and raised an additional $350 million through a term loan add-on. Ending cash and cash equivalents were $217 million as of June 30, 2022. If adjusted for the net proceeds of the July 2022 financings and the partial use of proceeds therefrom to repurchase approximately $129 million of convertible notes, cash and cash equivalents would be $404 million with an additional $221 million of restricted cash held in escrow. "[T]he Company completed a series of financing transactions in July 2022, intended in part to provide financing to fund the repurchase or repayment of the convertible notes, which mature in June 2023 and accordingly are classified as a current liability on June 30, 2022. The Company is currently engaging with its advisors to assess its options with respect to addressing the 2023 convertible notes, but there can be no assurance as to the certainty of the outcome of that assessment. As a result of the foregoing, in addition to the Company's decline in revenues during the third quarter, which represented substantially lower revenues than previous Company expectations, and the negative impact of significant operating losses on the Company's cash balance in the year to date, as of the date of this release, the Company has determined that there is substantial doubt about the Company's ability to continue as a going concern," the Company said Aug. 9, 2022, in its earnings release for the second quarter of 2022. About Avaya Holdings Corp. Avaya Holdings Corp. (NYSE: AVYA) is an American multinational technology company headquartered in Durham, North Carolina, that specializes in cloud communications and workstream collaboration solutions. Avaya says it is shaping what's next for the future of work, with innovation and partnerships that deliver game-changing business benefits. On the Web: http://www.avaya.com/ BASIC ENERGY: BofA Wants Language Added to Plan Order ----------------------------------------------------- Bank of America, N.A., in its capacity as administrative agent (the "Prepetition ABL Agent") under the ABL Credit Agreement dated October 2, 2018, filed a limited objection to the Combined Disclosure Statement and Joint Plan of Liquidation of Basic Energy Services, Inc. and its affiliated debtors. The Prepetition ABL Agent has requested that the Debtors include proposed language in the Confirmation Order to address the Prepetition ABL Agent's concerns with respect to the terms of the Combined Plan and DS, and the Debtors agreed to extend the Prepetition ABL Agent's plan objection deadline to August 6, 2022 as the parties continue to discuss the proposed language. While the Prepetition ABL Agent hopes and expects that the parties will reach an agreement with respect to the proposed language, the Prepetition ABL Agent files this Limited Objection out of an abundance of caution in the event that the parties are not able to reach such an agreement. Although the Prepetition ABL Agent does not object to confirmation of the Debtors' Combined Plan and DS, in light of certain continuing rights and obligations of the parties under the GSO and Final Cash Management Order, the Confirmation Order should include language expressly preserving those respective rights and obligations. This is critical to the orderly wind up of the various transactions to which BofA is the counterparty with the applicable Debtors. Counsel for Bank of America, N.A.: Matthew T. Ferris, Esq. HAYNES AND BOONE, LLP 2323 Victory Avenue, Suite 700 Dallas, TX 75219 Telephone: (214) 651-5000 Facsimile: (214) 651-5940 E-mail: matthew.ferris@haynesboone.com - and - Arsalan Muhammad, Esq. HAYNES AND BOONE, LLP 1221 McKinney, Suite 4000 Houston, TX 77010 Telephone No.: (713) 547-2000 Facsimile No.: (713) 547-2600 E-mail: arsalan.muhammad@haynesboone.com About Basic Energy Services Basic Energy Services, Inc. -- http://www.basices.com/-- provides wellsite services essential to maintaining production from the oil and gas wells within its operating areas. Its operations are managed regionally and are concentrated in major United States onshore oil-producing regions located in Texas, California, New Mexico, Oklahoma, Arkansas, Louisiana, Wyoming, North Dakota, Colorado and Montana. Specifically, Basic Energy Services has a significant presence in the Permian Basin, Bakken, Los Angeles and San Joaquin Basins, Eagle Ford, Haynesville and Powder River Basin. Basic Energy Services and 12 affiliates sought Chapter 11 protection (Bankr. S.D. Tex. Lead Case No. 21-90002) on Aug. 17, 2021. As of March 31, 2021, Basic Energy disclosed total assets of $331 million and debt of $549 million. Judge David R. Jones oversees the cases. The Debtors tapped Weil, Gotshal & Manges LLP as legal counsel, Alixpartners LLP as restructuring advisor, and Lazard Freres & Company as financial advisor. Prime Clerk is the claims agent. The U.S. Trustee for Region 7 appointed an official committee of unsecured creditors in the Debtors' Chapter 11 cases. Snow & Green, LLP and Brown Rudnick, LLP serve as the committee's legal counsel. * * * C&J Well Services had been owned by Fort Worth-based Basic Energy Services Inc., which last 2021 paid about $94 million for its California operations. Dallas-based Berry bought it out of Basic's bankruptcy case, effective Oct. 1, 2021 for about $43 million. Already under Berry's control, C&J will formally become a subsidiary of the oil producer by Nov. 1, 2021 and its 910 employees -- 97 percent of its payroll under Basic -- will join Berry's 347 employees engaged in oil exploration and production. BASIC ENERGY: Combined Plan & Disclosure Confirmed by Judge ----------------------------------------------------------- Judge David R. Jones has entered an order confirming the Combined Plan of Liquidation and Disclosure Statement of Basic Energy Services, Inc. and its Affiliated Debtors. The Debtors, as a proponent of the Plan, have met their burden of proving the applicable elements of §§ 1129(a) and 1129(b) of the Bankruptcy Code by a preponderance of the evidence, which is the applicable evidentiary standard for confirmation of the Plan. In addition, and to the extent applicable, the Plan is confirmable under a clear and convincing evidentiary standard. All parties have had a full and fair opportunity to be heard on all issues raised by objections to confirmation of the Plan or approval of the Disclosure Statement. Any and all objections to the confirmation of the Plan or approval of the Disclosure Statement that have not been withdrawn or resolved as of the entry of this Confirmation Order are hereby overruled on their merits. All withdrawn objections are deemed withdrawn with prejudice. The exhibits to the Plan are integral to the Plan and are approved by the Bankruptcy Court, and the Debtors are authorized and directed to take all actions required or appropriate under the Plan and in all documents related to the Plan and the transactions. The compromises and settlements set forth in the Plan are approved, and will be effective immediately and binding on all parties in interest on the Effective Date (unless different date(s) is/are specified in the applicable foregoing documents, in which case the applicable terms shall be effective and binding on such date(s)). The Debtor or Liquidation Trust, as applicable, is authorized, without further notice to, or action, order or approval of this Court or any other Person, to execute and deliver all agreements, documents, instruments and certificates relating to such documents and agreements and to perform their obligations thereunder, including, without limitation, to pay all fees, costs and expenses thereunder in accordance with the Plan. Counsel for the Debtors: Bruce J. Ruzinsky, Esq. Matthew D. Cavenaugh, Esq. Veronica A. Polnick, Esq. JACKSON WALKER LLP 1401 McKinney Street, Suite 1900 Houston, TX 77010 Telephone: (713) 752-4200 Facsimile: (713) 752-4221 E-mail: bruzinsky@jw.com mcavenaugh@jw.com vpolnick@jw.com About Basic Energy Services Basic Energy Services, Inc. -- http://www.basices.com/ -- provides wellsite services essential to maintaining production from the oil and gas wells within its operating areas. Its operations are managed regionally and are concentrated in major United States onshore oil-producing regions located in Texas, California, New Mexico, Oklahoma, Arkansas, Louisiana, Wyoming, North Dakota, Colorado and Montana. Specifically, Basic Energy Services has a significant presence in the Permian Basin, Bakken, Los Angeles and San Joaquin Basins, Eagle Ford, Haynesville and Powder River Basin. Basic Energy Services and its subsidiaries sought Chapter 11 protection (Bankr. S.D. Texas Lead Case No. 21-90002) on Aug. 17, 2021. As of March 31, 2021, Basic Energy disclosed total assets of $331 million and debt of $549 million. Judge David R. Jones oversees the cases. The Debtors tapped Jackson Walker LLP as bankruptcy counsel, Gray Reed & McGraw LLP as special counsel, Alixpartners LLP as restructuring advisor, Lazard Freres & Company as investment banker, and Province, LLC as financial advisor. Prime Clerk is the claims agent. The U.S. Trustee for Region 7 appointed an official committee of unsecured creditors in the Debtors' Chapter 11 cases. Snow & Green, LLP and Brown Rudnick, LLP serve as the committee's legal counsels. Riveron RTS, LLC is the committee's financial advisor. BASIC ENERGY: Files Amendment to Disclosure Statement ----------------------------------------------------- Basic Energy Services, Inc., et al., submitted an Amended Combined Disclosure Statement and Joint Plan of Liquidation dated August 9, 2022. The Plan is a liquidating plan. Pursuant to prior orders of the Bankruptcy Court, the Debtors sold substantially all of their assets. The Plan provides for the distribution of certain proceeds from such sales, as well as the distribution of other cash, and the creation of a liquidating trust that will administer and liquidate all remaining property of the Debtors, including Causes of Action, not sold, transferred or otherwise waived or released before the Effective Date of the Plan. The Plan further provides for the substantive consolidation of all of the Debtors, the termination of all Equity Interests in the Debtors, the dissolution and wind-up of the affairs of the Debtors, and the transfer of any remaining Assets to the liquidating trust referred to as the "Liquidation Trust." The Plan also provides for distributions to certain Holders of Administrative Expense Claims and Priority Claims and to other Holders of Claims and the funding of the Liquidation Trust. The Debtors, the Ad Hoc Group, and the Unsecured Creditors Committee support confirmation of the Plan and recommend all Holders of Claims entitled to vote on the Plan to vote to accept the Plan. The Amended Disclosure Statement does not alter the proposed treatment for unsecured creditors and the equity holder: * Class 8 consists of all General Unsecured Claims. On the applicable Distribution Date, unless otherwise agreed by a Holder of an Allowed General Unsecured Claim and the Debtors, the Ad Hoc Group and the Committee (prior to the Effective Date) or the Liquidation Trustee (on or after the Effective Date), each Holder of an Allowed General Unsecured Claim will receive, in full and final satisfaction, compromise, settlement, and release, and in exchange for, such General Unsecured Claim, its pro-rata share of any proceeds of the Liquidation Trust Assets on the applicable Distribution Date. * Class 9 consists of all Interests in the Debtors. On the Effective Date, all Interests in the Debtors shall be canceled. No Distribution shall be made on account of Interests in the Debtors. Insurance Relief from the injunction set forth herein at Section IX(f)(5) shall not be required for any Holder with respect to a Claim (a) as to which a separate stipulation or Order has been already entered granting relief from the automatic stay with respect to such Claim prior to the Effective Date; or (b) any Claim that the Holder alleges is covered by (i) a workers' compensation Insurance Policy or (ii) a liability Insurance Policy where the non bankruptcy law applicable to such Claim provides a direct right of action by the Holder against an Insurer without naming any Debtor as a defendant or (iii) a liability Insurance Policy where the non-bankruptcy law applicable to such Claim does not provide a direct right of action by the Holder against the Insurer, provided that the Holder shall first have served notice on the Debtors and on the Insurer at the address provided by the Insurer in a notice filed with the Bankruptcy Court for such purpose. Relief from the injunction set forth herein at Section IX(f)(5) shall not be required for any Insurer to commence, defend or continue any legal action against the Debtors (or, after the Effective Date, the Liquidation Trust, as applicable) with respect to the coverage of an Insurance Policy, provided that such Insurer shall not seek any affirmative recovery from, or other relief against, the Debtors (or, after the Effective Date, the Liquidation Trust, as applicable) as a result of such legal action. The allowance or disallowance of any Claim against the Debtors or the Liquidation Trust shall be solely a determination as to the Holder's right to a Distribution from the Estate under the Plan, and shall not be a determination of the Debtors' liability that is binding on any Insurer. Nothing herein relieves any Holder from being required to file a proof of Claim by the applicable Bar Date to have a Claim against the Debtors. Insurance Policy, the Holder shall establish such liability in a proceeding in a forum outside the Bankruptcy Court. Notwithstanding anything to the contrary in any applicable Insurance Policies, the Insurers shall not be obligated to consult with, or seek the consent of, the Debtors or the Liquidation Trust in connection with resolving or paying any Claim at any time. Nothing contained in this Plan, the Plan Supplement, the Confirmation Order, any other document related to any of the foregoing or any other order of the Bankruptcy Court shall constitute or be deemed a waiver of any Cause of Action that the Debtors or any other Entity may hold against any other Entity, including Insurers under any Insurance Policies, or constitute or be deemed a waiver by such Insurers of any rights or defenses, including (i) coverage defenses,(ii) rights of set-off and recoupment, and (iii) conditions precedent to coverage. As a result of the sale process and competitive auction, the aggregate purchase price generated for the Debtors' assets was approximately $100 million plus other valuable consideration as provided in the Asset Purchase Agreements (as that term is defined in the Pre GSO Sale Orders), including the purchase of certain accounts receivable of approximately $21.5 million, assumption of certain prepetition and postpetition accounts payable of approximately $8 million, commitments to employ employees, and the assumption of certain operating liabilities. On September 23, 2021, the Court authorized the Debtors' entry into the Asset Purchase Agreements and consummation of the Pre GSO Sale Transactions. The Pre GSO Sale Transactions closed on October 1, 2021. The Debtors repaid the DIP Facility in full with the proceeds from the Pre GSO Sale Transactions on October 4, 2021. Counsel for the Debtors: Bruce J. Ruzinsky, Esq. Matthew D. Cavenaugh, Esq. Veronica A. Polnick, Esq. JACKSON WALKER LLP 1401 McKinney Street, Suite 1900 Houston, TX 77010 Telephone: (713) 752-4200 Facsimile: (713) 752-4221 E-mail: bruzinsky@jw.com mcavenaugh@jw.com vpolnick@jw.com About Basic Energy Services Basic Energy Services, Inc. -- http://www.basices.com/ -- provides wellsite services essential to maintaining production from the oil and gas wells within its operating areas. Its operations are managed regionally and are concentrated in major United States onshore oil-producing regions located in Texas, California, New Mexico, Oklahoma, Arkansas, Louisiana, Wyoming, North Dakota, Colorado and Montana. Specifically, Basic Energy Services has a significant presence in the Permian Basin, Bakken, Los Angeles and San Joaquin Basins, Eagle Ford, Haynesville and Powder River Basin. Basic Energy Services and its subsidiaries sought Chapter 11 protection (Bankr. S.D. Texas Lead Case No. 21-90002) on Aug. 17, 2021. As of March 31, 2021, Basic Energy disclosed total assets of $331 million and debt of $549 million. Judge David R. Jones oversees the cases. The Debtors tapped Jackson Walker LLP as bankruptcy counsel, Gray Reed & McGraw LLP as special counsel, Alixpartners LLP as restructuring advisor, Lazard Freres & Company as investment banker, and Province, LLC as financial advisor. Prime Clerk is the claims agent. The U.S. Trustee for Region 7 appointed an official committee of unsecured creditors in the Debtors' Chapter 11 cases. Snow & Green, LLP and Brown Rudnick, LLP serve as the committee's legal counsels. Riveron RTS, LLC is the committee's financial advisor. BASS STREET: Seeks to Hire Katz Nowinski as Legal Counsel --------------------------------------------------------- Bass Street Moline, LLC seeks approval from the U.S. Bankruptcy Court for the Central District of Illinois to hire Katz Nowinski P.C. as its attorneys. The firm will render the following services: a. advise the Debtor with respect to its powers and duties as debtor-in-possession and in the continued operation of and management of the estate; b. advise the Debtor with regard to its legal relationship with secured, unsecured and priority creditors as well as with executory contract holders; c. negotiate and assist in the drafting and preparation of leases, security instruments, lending documents and other contracts as may be necessary; d. assist in the preparation of the meeting of creditors, and prepare the Subchapter V Plan of Reorganization; e. prepare applications, motions, complaints, responses, answers, orders, reports and other legal papers; and f. perform other legal services. The firm will be paid at these rates: Dale G. Haake $400 per hour Aaron M. Curry $325 per hour Kaneta D. Keller $250 per hour Paralegals $175 per hour Katz Nowinski is a "disinterested" party as that term is defined by the Bankruptcy Code, according to court filings. The firm can be reached through: Dale G. Haake, Esq. Aaron M. Curry, Esq. Kaneta D. Keller, Esq. Katz Nowinski P.C. 1000 36th Avenue Moline, IL 61265 Tel: 309-797-3000 Email: shaake@katzlawfirm.com About Bass Street Moline Bass Street Moline, LLC is a Limited Liability Company engaged in the restaurant business. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Ill. Case No. 22-80459) on July 29, 2022. In the petition signed by David Yordy, member/manager, the Debtor disclosed up to $500,000 in both assets and liabilities. Dale G. Haake, Esq., at Katz Nowinski P.C. is the Debtor's counsel. BRIGHT MOUNTAIN: Appoints Miriam Martinez as CFO ------------------------------------------------ Bright Mountain Media, Inc. accepted the resignation of its Chief Financial Officer, Edward Cabanas effective Aug. 15, 2022 and appointed Miriam Martinez as the Company's new Chief Financial Officer. Ms. Martinez, 66, served as the chief financial officer of Emergent Capital, Inc. since September 2010. Ms. Martinez received a BS in Public Accounting from Pace University and her MBA from Nova Southeastern University. There are no family relationships between Ms. Martinez and any director, or executive officer of the Company. Pursuant to an Offer Letter, Ms. Martinez will receive an annual base salary of $225,000. In addition to base salary, Ms. Martinez is eligible to participate in all of the Company's Benefits Plans as are set forth in the Company's Employee Manual. In addition, Ms. Martinez has been granted 225,000 options to purchase an equal number of shares of the Company's common stock as part of the 2022 company Stock Option Plan. About Bright Mountain Based in Boca Raton, Fla., Bright Mountain Media, Inc. -- www.brightmountainmedia.com -- is an end-to-end digital media and advertising services platform, efficiently connecting brands with targeted consumer demographics. In addition to its corporate website, the Company owns and/or manages 24 websites which are customized to provide its niche users, including active, reserve and retired military, law enforcement, first responders and other public safety employees with products, information and news that the Company believes may be of interest to them. The Company also owns an ad network which was acquired in September 2017. Bright Mountain reported a net loss of $12 million for the year ended Dec. 31, 2021, a net loss of $72.71 million for the year ended Dec. 31, 2020, a net loss of $4.17 million for the year ended Dec. 31, 2019, and a net loss of $5.22 million for the year ended Dec. 31, 2018. As of March 31, 2022, the Company had $29.97 million in total assets, $38.50 million in total liabilities, and a total shareholders' deficit of $8.53 million. East Brunswick, New Jersey-based WithumSmith+Brown, PC, the Company's auditor since 2021, issued a "going concern" qualification in its report dated Dec. 23, 2021, citing that the Company has suffered recurring losses from operations and has a net capital deficiency that raise substantial doubt about its ability to continue as a going concern. BROADBRIDGE LA: Developer Files for Chapter 11 With $210M Debt -------------------------------------------------------------- Broadbridge LA LLC, the development company backed by Joel Schreiber, filed bankruptcy to halt a scheduled foreclosure of its sole asset, a million-square foot property the company's been developing in downtown Los Angeles. According to a declaration filed in Bankruptcy Court, the Debtor is the sole owner of a major but incomplete project in downtown Los Angeles, comprising one million square feet of commercial space. The property itself is located at 801 South Broadway, Los Angeles, California. The Property is currently subject to pending foreclosure proceedings which threatens to ruin all of the Debtor's development efforts and work a forfeiture of a sizable investment of approximately $100 million. However, if stabilized and properly marketed, the Debtor believes the property is projected to be worth more than the senior debt held by affiliates of the Starwood Capital Group LLP in the original principal amount of $213,701,154. Mr. Schreiber, founder of Waterbridge Capital and an early investor of WeWork, said the ramifications of the Covid-19 pandemic over the last few years have taken a great toll on the intended development. The underlying mortgage matured during the early stages of Covid-19 in June 2020. Thereafter, Starwood executed a series of standstill agreements, which expired in November 2021. Despite the continuation of the pandemic and the outlay of millions of dollars of investor payments to Starwood, Starwood, acting through its servicer Museum Buildings LLC, commenced a foreclosure action and scheduled a foreclosure sale for Aug. 9, 2022. To stop the foreclosure sale, the Debtor sought Chapter 11 protection. Despite obvious challenges, the Debtor still believes strongly in the Property and has elected to commence the Chapter 11 case to gain one last opportunity to salvage the project. The Debtor intends to proceed with a comprehensive new marketing approach and reignite interest in the project. A meeting of creditors under 11 U.S.C. Section 341(a) is slated for Sept. 13, 2022, at 10:00 AM at Room 562, 560 Federal Plaza, CI, NY. About Broadbridge LA LLC Broadbridge LA LLC is a Single Asset Real Estate (as defined in 11 U.S.C. Sec. 101(51B)). The company owns a million-square foot property the company's been developing in downtown Los Angeles. Broadbridge LA LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 22-72048) on Aug. 9, 2022. In the petition filed by Joel Schrelber, as manager, the Debtor reported assets between $100 million and $500 million and liabilities between $100 million and $500 million. J Ted Donovan, of Goldberg Weprin Finkel Goldstein LLP, is the Debtor's counsel. CADIZ INC: To Supply Water to Salton Sea, Torres Martinez Tribe --------------------------------------------------------------- Cadiz Inc. has agreed to dedicate 5,000 acre-feet of water per year to the Salton Sea Authority and Torres Martinez Desert Cahuilla Indians, and to provide up to $5 million to install pipeline infrastructure and well treatment technology on tribal lands. Cadiz agreed to provide water to the Salton Sea and the Torres Martinez Tribe as part of the Company's commitment to ensure that clean, affordable water is available to disadvantaged communities through the Cadiz Water Conservation and Storage Project. "As California's water crisis deepens, Cadiz is committed to ensuring that disadvantaged communities are not left behind," said Executive Board Chair Susan Kennedy. "Cadiz's mission is to capture water that is currently lost to evaporation, store it in the desert and transport it through pipelines that once carried oil by retrofitting those pipelines to carry water." The Cadiz Water Conservation and Storage Project, located in California's high desert, was originally designed to store water from the Colorado River and transport it to metropolitan Southern California through a single pipeline connected to the Colorado River Aqueduct. The new project design adds a second pipeline to the north, utilizing an existing 220-mile underground pipeline to connect with the State Water Project system. The underground pipeline, originally built to transport oil, will be retrofitted to carry water to and from underground storage systems between the Colorado River and the State Water Project. Conserving, storing and transporting water underground before it is lost to evaporation creates a critical new water supply for drought-stricken communities in Central and Southern California. The Company acquired the 220-mile pipeline from El Paso Natural Gas in 2020 and is now preparing to retrofit the pipeline from oil/gas transport to water conveyance. Under the terms of the Supplemental Water Supply Agreement with the Salton Sea Authority, Torres Martinez Tribe and the Coachella Valley Water District, Cadiz will dedicate 5,000 acre-feet of water from the Cadiz Water Conservation and Storage Project to the Salton Sea and the Torres Martinez Tribe for 50 years. The water will be used to support the restoration of the Salton Sea, satisfy health, safety and economic development needs on Tribal lands and benefit surrounding disadvantaged communities in eastern Coachella Valley. The agreement also includes a plan to install water treatment technology on groundwater wells on Tribal lands to improve water quality and satisfy California Drinking Water Standards for domestic use. Within 60 days, Cadiz will determine the feasibility of installing well-treatment technologies to remove arsenic, nitrates and other contaminants plaguing groundwater supplies in eastern Coachella Valley and other parts of California. If feasible, Cadiz will install wellhead treatment technologies on Tribal lands at no cost to the Torres Martinez Tribe. The Torres Martinez Tribe, a Federally recognized tribe, is a sovereign nation whose Reservation is in eastern Coachella Valley. Half of the 24,000-acre Torres Martinez Reservation includes land submerged under the Salton Sea. Extended drought conditions on the Colorado River have had heavy adverse impacts on the Salton Sea, including a reduction of inflow to the Sea and increases in toxic dust from dry lakebeds surrounding it. Conserved water from the Cadiz Project - water that is captured and transported before it becomes hyper-saline and evaporates – could be used to provide fresh water to the Sea for habitat, dust mitigation and reducing salinity as part of Salton Sea restoration efforts. The Salton Sea Authority voted to approve the Supplemental Water Supply Agreement at its public meeting on May 26. Thomas Tortez, Chairman of the Torres Martinez Tribe and a member of the Salton Sea Authority stated: "Water is life. Conserving water that would otherwise be lost to hyper-salinity and evaporation and using it to protect life in and around the Salton Sea is the best use of this precious resource." In addition to the 5,000 acre-feet per year that Cadiz is dedicating under the agreement, the Company will also make available supplemental water for disadvantaged communities in California, and for direct benefit of disadvantaged communities in Coachella Valley through the Coachella Valley Water District at reduced cost. About Cadiz Inc. Founded in 1983 and headquartered in Los Angeles, California, Cadiz Inc. -- http://www.cadizinc.com-- is a natural resources development company dedicated to creating sustainable water and agricultural opportunities in California. The Company owns 70 square miles of property with significant water resources in Southern California and are the largest agricultural operation in San Bernardino, California, where we have sustainably farmed since the 1980s. The Company is also partnering with public water agencies to implement the Cadiz Water Project, which was named a Top 10 Infrastructure Project that over two phases will create a new water supply for approximately 400,000 people and make available up to 1 million acre-feet of new groundwater storage capacity for the region. Cadiz reported a net loss and comprehensive loss of $31.25 million for the year ended Dec. 31, 2021, a net loss and comprehensive loss of $37.82 million for the year ended Dec. 31, 2020, a net loss and comprehensive loss applicable to common stock of $29.53 million for the year ended Dec. 31, 2019, and a net loss and comprehensive loss of $26.27 million for the year ended Dec. 31, 2018. As of March 31, 2022, the Company had $119.74 million in total assets, $74.13 million in total liabilities, and $45.61 million in total stockholders' equity. CENTURY ALUMINUM: Appoints Gerald Bialek as CFO, Executive VP ------------------------------------------------------------- Century Aluminum Company has appointed Gerald "Jerry" Bialek as its new executive vice president and chief financial officer. Mr. Bialek will join the Company on Aug. 22, 2022 and will report directly to Century's chief executive officer. He most recently served as chief financial officer and vice president and treasurer at Cooper Tire & Rubber Company. Before joining Cooper Tire in 2014, Mr. Bialek spent twenty-five years in increasingly responsible positions at Ford Motor Company, Amcor Rigid Plastics and Johnson Controls. Mr. Bialek is a graduate of the University of Michigan and holds an M.B.A. from Oakland University. Jesse Gary, president and chief executive officer, commented, "Throughout his career, Jerry has demonstrated proficiency in helping drive strong organic growth in industrial manufacturing environments. Jerry's financial expertise and his outstanding leadership qualities will be an invaluable addition to the team. We are excited to have Jerry join us as we move the company forward." In cauonnection with Mr. Bialek's appointment, the Company and Mr. Bialek have entered into an offer letter providing for the terms of his employment, including an initial annual base salary of $455,000 and participation in the Company's Annual Incentive Plan with a 2022 target bonus opportunity equal to 65% of base salary, prorated from Mr. Bialek's start date. Mr. Bialek will also be eligible to participate in the Company's Long-Term Incentive Plan with a target award opportunity equal to 130% of base salary. Mr. Bialek will be eligible to receive future equity grants when such grants are made to other senior executives. Upon hire, Mr. Bialek will receive a one-time award of time-vesting performance share units valued at $71,239, vesting 100% on Aug. 22, 2025. Mr. Bialek will relocate to Chicago, IL and, in connection with such relocation, will receive a relocation amount of $50,000 to cover temporary housing and incidental expenses along with other relocation assistance in accordance with our relocation and moving expenses policy. Mr. Bialek will be eligible to participate in the Company's other compensation programs on the same basis as other similarly situated executives, including the Company's Executive Severance Plan. Pursuant to the Executive Severance Plan, in the event Mr. Bialek's employment is terminated other than by the Company for cause or by Mr. Bialek other than for good reason, Mr. Bialek will be entitled to certain severance benefits similar to other Tier II participants in the plan. About Century Aluminum Company Century Aluminum Company -- http://www.centuryaluminum.com-- is a global producer of primary aluminum and operates aluminum reduction facilities, or "smelters," in the United States and Iceland. Century Aluminum reported a net loss of $167.1 million for the year ended Dec. 31, 2021, a net loss of $123.3 million for the year ended Dec. 31, 2020, a net loss of $80.8 million for the year ended Dec. 31, 2019, and a net loss of $66.2 million for the year ended Dec. 31, 2018. As of March 31, 2022, the Company had $1.69 billion in total assets, $574 million in total current liabilities, $674.9 million in total noncurrent liabilities, and $439.8 million in total shareholders' equity. CHEFS' WAREHOUSE: S&P Upgrades ICR to 'B', Outlook Positive ----------------------------------------------------------- S&P Global Ratings raised its issuer credit rating on U.S.-based The Chefs' Warehouse Inc. to 'B' from 'B-'. The outlook is positive. S&P said "We assigned a 'B+' issue-level rating to the proposed upsized and extended $250 million term loan due 2029, reflecting a recovery rating of '2' (70-90% recovery; rounded estimate: 85%). The positive outlook reflects potential for an upgrade if the company can sustain momentum, free cash flow generation prospects improve, and it demonstrates a disciplined approach to balancing debt and its acquisitive strategy. The upgrade reflects Chefs' ongoing recovery and return to historical profitability levels, which we believe it will sustain. Chefs' topline growth and credit measures have significantly improved this year as demand has recovered over the past year with pandemic restrictions and fears abating. In the second quarter, trends were solid with 36% reported organic revenue growth supplemented by the company's ongoing tuck-in acquisition strategy that added another 17% year-on-year revenue growth. The company has translated the strong topline recovery into improved profitability with S&P Global Ratings-adjusted EBITDA margin in the quarter above 7%, which is in line with pre-pandemic levels. The profitability improvement stems from improved gross margin and cost leverage benefitting from Chefs' expanding scale despite inflationary pressures on commodities, labor, and distribution. S&P said, "We believe the company will likely sustain these mid- to high- single-digit EBITDA margin levels. Still, we note the uncertain and weakening economy as a headwind. In addition, we believe Chefs will have ongoing execution and integration risks associated with its tuck-in acquisition strategy." The company owes its success to the macro improvement and its increased customer base in the menu-driven independent restaurant category, entered new metropolitan markets, expanded its product portfolio, and increased its distribution capabilities. The company benefits from its niche position in sourcing distinctive and hard-to-find specialty food products, which helps it stand out from competitors. Chefs also has maintained its active tuck-in acquisition strategy with three acquisitions closing since March and is leveraging costs as its scale expands. Inflation and a weaker economy remain risks. S&P views pandemic-related demand fluctuations of a magnitude seen in the past two years as increasingly unlikely. Still, inflationary pressures on both commodities and labor as well as a deteriorating macroeconomic growth outlook are key risks. Demand can be volatile with changes in food-away-from-home consumption. Chefs is directly exposed to consumer confidence in dining out and risks pertaining to the inflationary environment for food input costs. Free cash flow generation has lagged the recovery and acquisition spending is moderate. Free cash flow generation has lagged the performance improvements largely due to working capital growth associated with the company's expanding scale and the inflationary environment. S&P expects little FOCF this year but believe prospects will improve in 2023 and beyond. The pace of this improvement is a key consideration in future rating upside. The positive outlook reflects the potential for a higher rating if the company's operating performance and free cash flow generation prospects continues to improve and it demonstrates a disciplined approach to balancing acquisitions and debt. S&P said, "We could revise the outlook to stable if the company sustains S&P Global Ratings-adjusted leverage at 5x or higher or free operating cash flow does not improve to close to 10% or higher. We could also revise the outlook to stable if execution of acquisitions proves challenging or the company is unable to demonstrate clear prospects for continued above-average growth from its relatively small EBITDA base. "We could raise the rating if the company can build on its track record of execution and continue to grow while balancing its approach to leverage such that we expect S&P Global Ratings-adjusted leverage sustained at less than 5x and we expect sustainable annual FOCF to debt approaching 10% or more." This could happen if: -- Management continues to offset high inflation with price increases and manages the tough supply chain and labor environment; -- Execution of integration of acquisitions and organic initiatives drive profitable growth prospects; -- Financial policy--primarily related to acquisitions--does not become substantially more aggressive; and -- Working capital investment normalizes. ESG credit indicators to: E2, S2, G2 from: E2, S3, G2 S&P said, "Social factors are now a neutral consideration in our credit rating analysis, because we see reduced risks that restrictions and consumer behavior will be impacted by the COVID-19 virus concerns. We believe that demand for out of home dining has returned to be roughly in line with pre-pandemic levels." CHRISTIAN CARE: Gets Court OK to Hire GlassRatner, Appoint CRO -------------------------------------------------------------- Christian Care Centers, Inc., and Christian Care Centers Foundation, Inc. received approval from the U.S. Bankruptcy Court for the Northern District of Texas to hire GlassRatner Capital & Advisory Group and appoint Mark Shapiro, the firm's senior managing director, as their chief restructuring officer. The Debtors require a restructuring advisor to: a. assist in all aspects of the Debtors' business activities and operations, including budgeting, cash management and financial management; b. assist the Debtors in communications and negotiations with lenders, tax and other governmental authorities or agents, vendors, landlords, and other stakeholders; c. hire and terminate employees of the Debtors; d. review daily operating activity, purchases and expenses; e. evaluate liquidity options including restructuring, refinancing, reorganizing, or a sale of the Debtors' assets; f. cause the Debtors to exercise their rights under any agreements; g. act as the Debtors' representative in court hearings as appropriate; h. review the Debtors' historical and projected financial information, including operating results, capital structure and funding mechanics; i. assist the Debtors in developing financial projections and a liquidity projection model to help assess capital needs; j. identify and assess potential restructuring alternatives for the Debtors; k. attend hearings, provide information and analyses for inclusion in bankruptcy court filings and testimony related thereto; l. support negotiations with creditors and other constituents in the Debtors' bankruptcy cases; m. operate the Debtors' business during the bankruptcy; n. supervise preparation of any and all monthly financial reports as required of a debtor-in-possession and other financial reporting required by the Office of the United States Trustee on behalf of the Debtor; o. coordinate all activities in connection with any refinancing, capital raising and sale process for the Debtor; p. develop a plan to sell the assets or reorganize the Debtors; q. negotiate terms of debtor-in-possession financing, if necessary; r. pursue litigation and claims the estate may have and act as the "responsible party" for all corporate decisions; and s. work with the Debtors and their professionals to maximize the value of the estate; and t. provide other necessary services. The hourly rates charged by the firm for its services are as follows: Senior Managing Directors $525 - $725 Managing Directors $375 - $450 Sr. Associates/Associate Directors $225 - $375 In addition, the firm will seek reimbursement for work-related expenses. Mark Shapiro disclosed in a court filing that his firm is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. GlassRatner can be reached at: Mark Shapiro GlassRatner Capital & Advisory Group, LLC d/b/a B. Riley Advisory Services 3500 Maple Avenue, Suite 420 Dallas, TX 75219 Tel: (972) 794-1050 Email: mshapiro@brileyfin.com About Christian Care Centers Christian Care Centers, Inc. (CCCI) was incorporated in 1947 as a nonprofit Texas corporation. CCCI, a faith-based organization, operates three senior living housing and health care campuses in the Dallas/Fort Worth Metroplex. In addition, CCCI owns unimproved real property in Dallas County and Tarrant County, adjacent to the Mesquite and Fort Worth communities. Meanwhile, Christian Care Centers Foundation, Inc. was incorporated in 1994 also as a nonprofit Texas corporation. It is a supporting organization that serves as an endowment organization for CCCI. CCCI and Christian Care Centers Foundation sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Texas Lead Case No. 22-80000) on May 23, 2022. In the petitions signed by Mark Shapiro, chief restructuring officer, the Debtors disclosed up to $100 million in both assets and liabilities. Judge Stacey G. Jernigan oversees the cases. The Debtors tapped Husch Blackwell, LLP as legal counsel; Houlihan Lokey Capital, Inc. as investment banker; and Glassratner Advisory & Capital, LLC as restructuring advisor. Mark Shapiro, Glassratner's senior managing director, serves as the Debtors' chief restructuring officer. Epiq Corporate Restructuring, LLC is the claims, noticing, and solicitation agent. The U.S. Trustee for Region 6 appointed an official committee of unsecured creditors in the Debtors' Chapter 11 cases on June 3, 2022. The committee is represented by Kane Russell Coleman Logan, P.C. COINBASE GLOBAL: S&P Lowers LT ICR to 'BB', Outlook Negative ------------------------------------------------------------ S&P Global Ratings lowered the long-term issuer credit rating and senior unsecured debt ratings on Coinbase Global Inc. to 'BB' from 'BB+'. The outlook is negative. S&P said, "The downgrade reflects our view that weak earnings have weakened the company's coverage ratios and that cyclical variations for Coinbase have increased beyond our previous expectations due to market share erosion and a higher risk of margin compression. Our rating analysis of Coinbase previously acknowledged the higher cyclical variations--peak-to-trough changes in revenue, EBITDA, and EBITDA margin--compared with traditional exchanges that operate in asset classes exhibiting lower volatility. These cyclical variations are reflected in our assessment of the company's business risk, which is weaker than that of most rated traditional exchanges. However, we now believe these cyclical variations exceed what we had previously anticipated, resulting in weaker profitability and credit metrics. We therefore revised our assessment of Coinbase's financial risk by applying a volatility adjustment. "Competitive risks have increased for Coinbase. We believe competitive risk in the crypto exchange sector has intensified in recent months. Total trading volume at Coinbase declined 30% in the second quarter compared with the first, while total crypto spot trading volume across all venues declined only 3%, resulting in lower market share. This relative underperformance owes partly to spot trading being more concentrated among market-makers and high-frequency trading firms this year--segments where Coinbase has a small market share. Meanwhile, the core U.S. retail customer base, where Coinbase has a leading market position, has been less active. Total assets on the Coinbase platform declined 63% to $96 billion from the first quarter, due to weaker crypto asset prices but also net outflows from institutional clients. "In July 2022, Coinbase's closest competitor, Binance (the largest crypto exchange in the world by trading volumes) announced a reduction in bitcoin trading fees to zero worldwide, following a similar move by its U.S. affiliate (Binance.US) in late June. We believe higher trading fees at Coinbase (compared with peers), combined with such aggressive pricing actions by competitors, could increase the risk of fee compression in its retail channel (which generated about 80% of the company's total revenues in the first half of 2022)." The company is also facing rising regulatory risk. Regulatory headwinds have increased for Coinbase with recent disclosure about the SEC's launch of securities fraud charges against a former employee and, more recently, with respect to investigations into its staking programs and the classification of certain listed assets. On July 21, the SEC filed securities fraud charges against a former employee for misuse of confidential information related to the listing of nine digital assets and alleged that the digital assets, of which seven were listed on Coinbase, may be securities. Coinbase lists crypto assets that it believes do not meet the definition of a security using its own risk-based assessment. S&P said, "We think tighter regulation could slow revenue growth in the short run, for example by forcing Coinbase to de-list some products (if the SEC were to qualify them as "securities") or by curtailing the growth of its staking programs. Staking activities, where users earn rewards by using tokens as collateral to validate transactions and create blocks, accounted for 8% of total revenue in the first half of 2022, compared with 1% in the prior year. At the same time, we believe greater regulation in the crypto industry could create a safer environment and attract more participants to regulated exchanges like Coinbase in the long run." S&P said, "Despite our projection of considerable negative operating cash flow in 2022, we still expect Coinbase to operate with a comfortable cash cushion in excess of gross debt over our 12-month outlook horizon. Net losses widened to $1.1 billion in the second quarter of 2022 from $430 million in the first quarter, reflecting lower trading volumes but also a noncash impairment charge related to crypto asset inventories ($377 million, compared with $210 million in the first quarter), stemming from the slump in crypto prices. We estimate trading volumes in July were down more than 10% from June, indicating a weak start to the second half of the year and supporting our assumption of large negative operating cash flow this year, despite the 18% reduction in the workforce announced in June. As a small offset, rising rates should benefit net interest income on customers' fiat currency cash balances ($7.2 billion at the end of June 2022) and on Coinbase's own cash. Likewise, if the slight rebound in crypto prices seen in July were to persist, it should support staking and custodial fees and reduce the risk of further impairments. As of June 30, 2022, Coinbase's liquid USD resources totaled $6.2 billion, exceeding S&P Global Ratings-adjusted gross debt (defined as the sum of long-term debt and lease liabilities) by about $2.6 billion (S&P Global Ratings adjusted gross debt was $3.5 billion). These USD resources included $5.7 billion of cash and cash equivalents on the balance sheet, custodial account overfunding of $110 million, and USDC balances. S&P said, "We expect the surplus cash cushion to gradually erode by year-end as a result of weak operating performance. Coinbase's USD resources (including its USDC holdings) fell by about $420 million in the second quarter. In our projection of the company's cash position, we deduct a portion of cash we consider restricted and apply a 20% haircut to USDC inventories. Even with these adjustments, we estimate the company will operate with excess cash over S&P Global Ratings-adjusted gross debt (i.e., with S&P Global Ratings adjusted leverage of 0.0x) over our 12-month outlook horizon. Although the leverage ratio would typically indicate a minimal financial risk profile, the negative interest coverage ratio (i.e. we expect negative S&P Global Ratings-adjusted EBITDA this year) reflects a modest financial risk profile. We further adjust our assessment to intermediate to incorporate the risk that the company's cash flow and leverage ratios could worsen from our base scenario, given higher volatility than we had initially anticipated. However, we view the absence of dividends and share buybacks as positive for the company's liquidity position." S&P said, "We still expect Coinbase to maintain low risk overall, despite ongoing turbulence in the crypto sector. The company has maintained a low risk profile since we assigned the initial rating in September 2021. At the end of the second quarter, credit and counterparty risk primarily stemmed from $126 million in margin loans secured by bitcoin and $169 million of cash deposits at third-party venues to facilitate client trades. Despite a series of recent bankruptcy filings by several crypto players (e.g., crypto lender Celsius, hedge fund Three Arrows Capital, and crypto broker Voyager, among others), Coinbase did not incur any losses last quarter from its financing activities." The negative outlook reflects uncertainties about the duration of the crypto market downturn and Coinbase's ability to operate efficiently by managing operating expenses prudently. It also reflects the potential for further market share deterioration amid competitive challenges as well as heightened regulatory risk. S&P could lower the ratings by at least one notch over the next 12 months if: -- Sustained weak earnings and cash burn lead to weaker financial metrics than it anticipated; -- The company's market share deteriorates materially compared with peers; or -- Increased regulation and oversight prove disruptive for the company's business model. S&P said, "We could revise the outlook to stable if we see signs of a sustained improvement in trading volumes on Coinbase's platform without any deterioration in market share and if we see convincing evidence of reduced regulatory risk." CREDITO REAL: Reaches Debt Deal With Some Creditors --------------------------------------------------- Sydney Maki and Jeremy Hill of Bloomberg New report that Credito Real SAB said it struck a deal with "several" creditors on the liquidation of its liabilities, marking a step in what has become a lengthy saga of default and bankruptcy for the Mexican payroll lender. Negotiations will continue with creditors that still haven't been paid, the company said in a statement on Tuesday. Credito Real's dollar bonds due in 2023 extended losses to be quoted at just 2.8 cents on the dollar, according to indicative pricing data compiled by Bloomberg. The announcement comes after Mexico's biggest non-bank lender, Unifin Financiera SAB, said it was halting bond payments and will restructure its debt. About Credito Real SAB Credito Real SAB de CV SOFOM ENR is a Mexico-based company that provides consumer financing. Credito is Mexico's biggest payroll lender and second largest non-bank lender after Real Unifin. Credito Real provides loans, either by providing direct financing to consumers or by establishing financing programs with consumer financing dealers that sell to Credito Real the collection rights from consumer financing products. It also provides financing directly to individuals that are employed by corporations with payroll deduction agreements with consumer financing dealers authorized by Credito Real. Credito Real operates through a number of subsidiaries, including AFS Acceptance LLC. Three alleged creditors signed a petition to send Credito Real to Chapter 11 bankruptcy on June 22, 2022 (Bankr. S.D.N.Y. Case No. 22-10842). Institutional Multiple Investment Fund LLC, of Boston, Massachusetts; Banco Monex, S.A., of Mexico, and Solitaire Fund, of Liechtenstein, who claim to own an aggregate $8 million of unsecured bond debt, signed the involuntary Chapter 11 petition. David H. Botter, Esq., at Akin Gump Strauss Hauer & Feld LLP is advising the three bondholders. On June 28, 2022, Angel Francisco Romanos Berrondo, one of the Debtor's shareholders and the former CEO of Credito Real, filed a petition, in his capacity as a shareholder, with the Mexican Court seeking to commence the Mexican Liquidation Proceeding. On June 30, 2022, the Mexican Court entered an order commencing the dissolution and liquidation proceedings for the Company and appointing Mr. Fernando Alonso-de-Florida Rivero as the Mexican Liquidator. The liquidator for Credito Real filed a Chapter 15 bankruptcy petition (Bankr. D. Del. Case No. 22-10630) on July 14, 2022, to seek U.S. recognition of the Mexican proceedings. The petition was signed by Robert Wagstaff, the foreign representative of the liquidator. Richards, Layton & Finger, P.A., led by John Henry Knight, is counsel in the U.S. case. CTI BIOPHARMA: Incurs $22.7 Million Net Loss in Second Quarter -------------------------------------------------------------- CTI Biopharma Corp. filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q disclosing a net loss of $22.65 million on $12.33 million of net product sales for the three months ended June 30, 2022, compared to a net loss of $19.68 million on zero product sale for the three months ended June 30, 2021. For the six months ended June 30, 2022, the Company reported a net loss of $59.83 million on $14.62 million of net product sales compared to a net loss of $36.94 million on zero product sale for the same period in 2021. As of June 30, 2022, the Company had $134.53 million in total assets, $139.81 million in total liabilities, and a total stockholders' deficit of $5.27 million. As of June 30, 2022, the Company's cash, cash equivalents and short-term investments totaled $95.9 million. The Company expects its present financial resources, along with expected cash receipts from net product sales of VONJO and up to $25.0 million in contractual funding commitments receivable upon achievement of minimum net product sales of VONJO under the terms of the previously-announced debt and royalty transactions with DRI Healthcare Trust, will enable the Company to fund its operations for at least one year. "CTI continues to make substantial headway with the U.S. commercial launch of VONJO, as we work to become the market leader in the treatment of cytopenic myelofibrosis. In the second quarter, we have performed well generating net product revenue of $12.3 million," said Adam Craig, president and chief executive officer of CTI BioPharma. "With a differentiated profile, VONJO is a simple, safe and effective treatment that is a meaningful alternative to existing therapies. We look forward to extending the reach of VONJO over the coming months and years." A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/891293/000089129322000043/ctic-20220630.htm About CTI BioPharma Headquartered in Seattle, Washington, CTI BioPharma Corp. is a biopharmaceutical company focused on the acquisition, development and commercialization of novel targeted therapies for blood-related cancers that offer a unique benefit to patients and their healthcare providers. The Company concentrates its efforts on treatments that target blood-related cancers where there is an unmet medical need. In particular, the Company is focused on evaluating pacritinib, its sole product candidate currently in active development, for the treatment of adult patients with myelofibrosis. In addition, the Company has recently started developing pacritinib for use in hospitalized patients with severe COVID-19, in response to the COVID-19 pandemic. CTI Biopharma reported a net loss of $97.91 million for the year ended Dec. 31, 2021, compared to a net loss of $52.45 million for the year ended Dec. 31, 2020. As of March 31, 2022, the Company had $131.44 million in total assets, $159.35 million in total liabilities, and a total stockholders' deficit of $27.92 million. Seattle, Washington-based Ernst & Young LLP, the Company's auditor since 2018, issued a "going concern" qualification in its report dated March 31, 2022, citing that the Company has suffered recurring losses from operations and has stated that substantial doubt exists about the Company's ability to continue as a going concern. CUSTOM TRUCK: Appoints Christopher Eperjesy as CFO -------------------------------------------------- Custom Truck One Source, Inc.'s Board of Directors has appointed Christopher J. Eperjesy to serve as chief financial officer, effective Aug. 15, 2022. Mr. Eperjesy succeeds Todd Barrett, who will continue his role as chief accounting officer of the Company. Fred Ross, CEO of Custom Truck One Source, commented "We could not be more excited about having Chris join Custom Truck One Source as our CFO. He has relevant experience and an impressive track record of delivering growth and creating value in his previous roles. I would also like to thank Todd Barrett for the pivotal role he has played as Interim Chief Financial Officer over the last three months." "Chris is a proven CFO who brings a well-established combination of capital allocation discipline and operating skills to the role. He will be a strong partner as we execute our financial and operating plans in the coming years," said Marshall Heinberg, Chairman of the Board of Custom Truck One Source. "It is exciting to join a company that has an established history of success," said Mr. Eperjesy. "I am impressed by the Company's dedication to strategic growth and its commitment to its employees, customers and suppliers." Mr. Eperjesy most recently served as the chief financial officer of Clarios International Inc., a global energy storage company that provides low-voltage battery technologies for vehicles, from August 2020 to June 2022. From December 2018 through August 2020, he was senior vice president and chief financial officer of Cooper Tire & Rubber Company, a company that specializes in the design, manufacture, marketing and sales of automobile and truck tires. He holds a bachelor's degree in Accounting from the University of Michigan and an MBA from Indiana University. $30 Million Stock Repurchase Program Custom Truck One Source's Board of Directors also authorized a stock repurchase program for up to $30 million of the Company's common stock. Under the repurchase program, repurchases can be made from time to time using a variety of methods, which may include open market purchases, privately negotiated transactions, or otherwise, all in accordance with the rules of the Securities and Exchange Commission and other applicable legal requirements. The specific timing, price and size of purchases will depend on prevailing stock prices, general economic and market conditions, and other considerations. The repurchase program does not obligate the Company to acquire any particular amount of its common stock, and the repurchase program may be suspended or discontinued at any time at the Company's discretion. "This announcement demonstrates the Board's and management's confidence in the Company's business and the growth opportunities we see over the long term," said Fred Ross. "We believe that the repurchase program is an appropriate tool to have during times of market volatility and can be an attractive use of our capital when deployed at suitable prices. Based on the strength of our balance sheet, we continue to see significant opportunity to continue to invest in and to grow our business." About Custom Truck Custom Truck One Source, Inc. (formerly known as Nesco Holdings, Inc.) is a provider of specialty equipment, parts, tools, accessories and services to the electric utility transmission and distribution, telecommunications and rail markets in North America. CTOS offers its specialized equipment to a diverse customer base for the maintenance, repair, upgrade and installation of critical infrastructure assets, including electric lines, telecommunications networks and rail systems. The Company's coast-to-coast rental fleet of more than 9,600 units includes aerial devices, boom trucks, cranes, digger derricks, pressure drills, stringing gear, hi-rail equipment, repair parts, tools and accessories. For more information, please visit investors.customtruck.com. Custom Truck reported a net loss of $181.50 million for the year ended Dec. 31, 2021, a net loss of $21.28 million for the year ended Dec. 31, 2020, a net loss of $27.05 million for the year ended Dec. 31, 2019, a net loss of $15.53 million for the year ended Dec. 31, 2018, and a net loss of $27.10 million for the year ended Dec. 31, 2017. As of Dec. 31, 2021, the Company had $2.68 billion in total assets, $440.58 million in total current liabilities, $1.38 billion in total long-term liabilities, and $858.51 million in total stockholders' equity. CUSTOM TRUCK: Posts $13.6 Million Net Income in Second Quarter -------------------------------------------------------------- Custom Truck One Source, Inc. filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q disclosing net income of $13.62 million on $362.11 million of total revenue for the three months ended June 30, 2022, compared to a net loss of $129.36 million on $375.11 million of total revenue for the three months ended June 30, 2021. For the six months ended June 30, 2022, the Company reported net income of $10.35 million on $728.58 million of total revenue compared to a net loss of $157.26 million on $453.41 million of total revenue for the same period during the prior year. As of June 30, 2022, the Company had $2.81 billion in total assets, $531.26 million in total current liabilities, $1.41 billion in total long-term liabilities, and $870.13 million in total stockholders' equity. "Our entire team delivered strong second quarter results despite the continued headwinds stemming from supply chain constraints and inflation. I am proud that we achieved record production levels, completing more vehicles in the second quarter of 2022 than any other quarter in our history," said Fred Ross, chief executive officer of CTOS. "While we are disappointed by the limitations caused by certain constrained production inputs, our second quarter results and the improving production momentum position us well for the second half of the year. We continue to focus on operational optimization so we can fully realize the benefits of our scale and our one-stop-shop business model. Custom Truck's commitment to our customers remains unmatched and we are steadfastly focused on meeting continued very strong customer demand across all three of our business segments." A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/0001709682/000170968222000082/ctos-20220630.htm About Custom Truck Custom Truck One Source, Inc. (formerly known as Nesco Holdings, Inc.) is a provider of specialty equipment, parts, tools, accessories and services to the electric utility transmission and distribution, telecommunications and rail markets in North America. CTOS offers its specialized equipment to a diverse customer base for the maintenance, repair, upgrade and installation of critical infrastructure assets, including electric lines, telecommunications networks and rail systems. The Company's coast-to-coast rental fleet of more than 9,600 units includes aerial devices, boom trucks, cranes, digger derricks, pressure drills, stringing gear, hi-rail equipment, repair parts, tools and accessories. For more information, please visit investors.customtruck.com. Custom Truck reported a net loss of $181.50 million for the year ended Dec. 31, 2021, a net loss of $21.28 million for the year ended Dec. 31, 2020, a net loss of $27.05 million for the year ended Dec. 31, 2019, a net loss of $15.53 million for the year ended Dec. 31, 2018, and a net loss of $27.10 million for the year ended Dec. 31, 2017. As of Dec. 31, 2021, the Company had $2.68 billion in total assets, $440.58 million in total current liabilities, $1.38 billion in total long-term liabilities, and $858.51 million in total stockholders' equity. CYTODYN INC: Delays Filing of Annual Report for Year Ended May 31 ----------------------------------------------------------------- Cytodyn Inc. filed a Form 12b-25 with the Securities and Exchange Commission notifying the delay in the filing of its Annual Report on Form 10-K for the year ended May 31, 2022. CytoDyn was unable to file, without unreasonable effort and expense, its Annual Report because it requires additional time to complete the external audit of those statements included in the Form 10-K. The Company has experienced unexpected delays in completing the external audit due to the time required to evaluate alternative accounting treatment of non-cash expense related to settlement of convertible debt with equity instruments. The Form 10-K is expected to be filed not later than Aug. 15, 2022. About CytoDyn Inc. Headquartered in Vancouver, Washington, CytoDyn Inc. -- http://www.cytodyn.com-- is a late-stage biotechnology company focused on the clinical development and potential commercialization of leronlimab (PRO 140), a CCR5 antagonist to treat HIV infection, with the potential for multiple therapeutic indications. Cytodyn reported a net loss of $154.67 million for the year ended May 31, 2021, compared to a net loss of $124.40 million for the year ended May 31, 2020. As of Nov. 30, 2021, the Company had $103.70 million in total assets, $116.40 million in total liabilities, and a total stockholders' deficit of $12.70 million. Birmingham, Alabama-based Warren Averett, LLC, the Company's auditor since 2007, issued a "going concern" qualification in its report dated July 30, 2021, citing that the Company incurred a net loss of approximately $154,674,000 for the year ended May 31, 2021 and has an accumulated deficit of approximately $511,294,000 through May 31, 2021, which raises substantial doubt about its ability to continue as a going concern. D & L REAL ESTATE: Hires Fitzgerald & Co. CPAs as Accountant ------------------------------------------------------------ D & L Real Estate Enterprises, LLC seeks approval from the U.S. Bankruptcy Court for the Central District of California to employ Fitzgerald & Co. CPAs as accountant. The firm will prepare and provide financial statements, tax returns, amend the 2020 and 2021 tax returns, and prepare 2022 tax returns. The firm will be paid at these rates: --amend and file 2020 tax return $225 per hour --amend and file 2021 tax return $225 per hour --prepare and file 2022 tax return $315 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. John Fitzgerald, a partner at Fitzgerald & Co. CPAs, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: John Fitzgerald Fitzgerald & Co. CPAs 2522 Chambers Road, Suite 116 Tustin, CA 92780 Tel: (949) 398-0918 Email: john@socaltaxcpa.com About D & L Real Estate Enterprises D & L Real Estate Enterprises, LLC, a real estate company, filed a petition for relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. C.D. Calif. Case No. 22-12412) on June 25, 2022, listing up to $1 million in assets and up to $500,000 in liabilities. Arturo Cisneros serves as Subchapter V trustee. Matthew D. Resnik, Esq., at RHM Law LLP is the Debtor's counsel. DAVIDZON MEDIA: Unsec. Creditors Owed $85K to Get 40% Dividend -------------------------------------------------------------- Davidzon Media, Inc., submitted a Revised Second Amended Disclosure Statement. The Plan offers the General Unsecured Claims will receive a distribution of 40% to be paid by equal monthly installment within 24 months commencing from the effective date. The Plan will be financed from continuing operating income, reorganized business operations of the Debtor, from the timely collections of outstanding receivables, as well as from funds accumulated in the Debtor's in Possession accounts. Class III is impaired. Under the Plan, Class III General Unsecured Creditors in the Debtor's case totaling $85,958 to be paid as follows: * The General Unsecured Claim of Capital One Bank (USA), N.A., in the amount of $7,321, will be paid 40% dividend ($2,928) in 24 monthly installment payments in the amount of $122 commencing on the Effective date of the plan. * The General Unsecured Claim of JPMorgan Chase Bank, N.A., in the amount of $71,217, will be paid 40% dividend ($28,487) in 24 monthly installment payments in the amount of $1,187 commencing on the Effective date of the plan. * The General Unsecured Claim of JPMorgan Chase Bank in the amount of $5,000, will not receive any treatment as the SBA Loan was forgiven. Class IV General Unsecured of S.A.N. Management LLC totals $84,194. This claim was resolved prior the assumption of the lease, terms of the cure agreement were reached, and incorporated into a court order approving assumption of the lease, entered by the court, and thereafter paid in full. Class IV is impaired. Attorney for the Debtor Davidzon Media, Inc.: Alla Kachan, Esq. 2799 Coney Island Ave, Ste. 202 Brooklyn, NY 11235 Tel: (718) 513-3145 Fax: (347) 342-315 E-mail: alla@kachanlaw.com A copy of the Disclosure Statement dated August 5, 2022, is available at https://bit.ly/3vO0HSG from PacerMonitor.com. About Davidzon Media Brooklyn, N.Y.-based Davidzon Media, Inc. and its affiliates filed voluntary petitions for Chapter 11 protection (Bankr. E.D.N.Y. Case No. 21-40308) on Feb. 8, 2021. At the time of the filing, Davidzon Media listed up to $500,000 in assets and up to $10 million in liabilities. Judge Elizabeth S. Strong oversees the cases. The Law Offices of Alla Kachan, PC and Wisdom Professional Services, Inc. serve as the Debtors' legal counsel and accountant, respectively. DAWN ACQUISITIONS: S&P Cuts ICR to 'SD' on Term Loan Purchases -------------------------------------------------------------- S&P Global Ratings lowered its issuer credit rating on U.S.-based data center operator Dawn Acquisitions LLC to 'SD' (selective default) from 'CCC'. At the same time, S&P lowered its issue-level rating on its first-lien debt to 'D' from 'B-'. S&P will evaluate the company's revised capital structure and liquidity position, as well as its recent strategic initiatives, over the next several days to determine its default risk and will likely raise our ratings back to their previous levels. The downgrade follows Dawn's below-par debt purchase. Under the distressed restructuring, Dawn--through an affiliate of its equity owner Brookfield--purchased a significant amount of its $550 million outstanding term loan B at below-par prices. S&P said, "We consider these transactions as tantamount to a default because the lenders are receiving less than they were originally promised. In addition, we view the transactions as distressed given Dawn's current leverage and liquidity position. In our view, the company's capital structure is unsustainable because we project its S&P Global Ratings-adjusted debt to EBITDA will remain above 10x through 2022 and believe it could exhaust its liquidity in the next 12 months absent an external cash infusion. "We view the purchase by a related party in the same light as if it was completed by the obligor. That the debt remains outstanding, though now held by Brookfield, is irrelevant to our analysis because the investors participating in the transaction received less than they were originally promised." ESG credit indicators: E-3, S-2, G-2 DELCATH SYSTEMS: Incurs $9.7 Million Net Loss in Second Quarter --------------------------------------------------------------- Delcath Systems, Inc. filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q disclosing a net loss of $9.66 million on $797,000 of product revenue for the three months ended June 30, 2022, compared to a net loss of $6.43 million on $398,000 of product revenue for the three months ended June 30, 2021. For the six months ended June 30, 2022, the Company reported a net loss of $17.86 million on $1 million of product revenue compared to a net loss of $13.18 million on $659,000 of product revenue for the six months ended June 30, 2021. As of June 30, 2022, the Company had $21.07 million in total assets, $23.91 million in total liabilities, and a total stockholders' deficit of $2.85 million. Delcath stated, "The Company's existence is dependent upon management's ability to obtain additional funding sources or to enter into strategic alliances. Adequate additional financing may not be available to the Company on acceptable terms, or at all. If the Company is unable to raise additional capital and/or enter into strategic alliances when needed or on attractive terms, it would be forced to delay, reduce, or eliminate its research and development programs or any commercialization efforts. There can be no assurance that the Company's efforts will result in the resolution of the Company's liquidity needs. If the Company is not able to continue as a going concern, it is likely that holders of its common stock will lose all of their investment. The accompanying interim condensed consolidated financial statements do not include any adjustments that might result should the Company be unable to continue as a going concern. "The Company anticipates incurring additional losses until such time, if ever, that it can generate significant sales. These circumstances raise substantial doubt about the Company's ability to continue as a going concern within one year after the date that the financial statements are issued. Additional working capital will be required to continue operations. Operations of the Company are subject to certain risks and uncertainties, including, among others, uncertainty of product development and clinical trial results; uncertainty regarding regulatory approval; technological uncertainty; uncertainty regarding patents and proprietary rights; comprehensive government regulations; limited commercial manufacturing, marketing, or sales experience; and dependence on key personnel." A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/872912/000119312522215053/d263987d10q.htm About Delcath Systems Headquartered in New York, NY, Delcath Systems, Inc. -- http://www.delcath.com-- is an interventional oncology company focused on the treatment of primary and metastatic liver cancers. The Company's lead product candidate, Melphalan Hydrochloride for Injection for use with the Delcath Hepatic Delivery System, or Melphalan/HDS, is designed to administer high-dose chemotherapy to the liver while controlling systemic exposure and associated side effects. In Europe, Melphalan/HDS is approved for sale under the trade name Delcath CHEMOSAT Hepatic Delivery System for Melphalan. Delcath Systems reported a net loss of $25.65 million for the year ended Dec. 31, 2021, compared to a net loss of $24.16 million for the year ended Dec. 31, 2020. As of March 31, 2022, the Company had $27.32 million in total assets, $22.09 million in total liabilities, and $5.23 million in total stockholders' equity. New York, NY-based Marcum LLP, the Company's auditor since 2018, issued a "going concern" qualification in its report dated March 30, 2022, citing that the Company has a significant working capital deficiency, has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. DIOCESE OF CAMDEN: Seidman Updates on RAM Law Claimants ------------------------------------------------------- Pursuant to Rule 2019 of the Federal Rules of Bankruptcy Procedure, the law firm of Seidman & Pincus LLC submitted a supplemental verified statement to disclose an updated list of RAM Law Claimants in the Chapter 11 cases of The Diocese of Camden, New Jersey. As previously stated in the Verified Statement of Rebenack, Aronow & Mascolo LLP, Pfau Cochran Vertetis Amala PLLC and Seidman & Pincus LLC Pursuant To Bankruptcy Rule 2019 [Dkt. 1424] filed on April 4, 2022, Seidman & Pincus, LLC serves as bankruptcy counsel to certain claimants who retained Rebenack, Aronow & Macolo, LLP and Pfau Cochran Vertetis Amala PLLC in connection with, among other things, abuse claims against the Debtor and other third-party defendants. This Supplemental Verified Statement supplements the RAM Law Claimants 2019 Statement on behalf of Seidman only. Due to confidentiality, each of the RAM Law Clients listed in Exhibit 1 to the RAM Law Claimants 2019 Statement were identified by their Sexual Abuse Proof of Claim Form number assigned by the Clerk of Court. The name and address of each of the confidential RAM Law Clients is available to permitted parties who have executed a confidentiality agreement and have access to the Sexual Abuse Claim Forms. Subsequent to the filing of the RAM Law Claimants 2019 Statement, Hoffman DiMuzio, litigation counsel to Confidential Claim No. 343, contacted Jeffrey A. Kramer of Seidman regarding representation of Confidential Claimant No. 343 as bankruptcy counsel in connection with the Chapter 11 case. Due to confidentiality, Confidential Claimant No. 343 is identified by his Sexual Abuse Proof of Claim Form number assigned by the Clerk of Court. The name and address of Confidential Claimant No. 343 is available to permitted parties who have executed a confidentiality agreement and have access to the Sexual Abuse Claim Forms. Confidential Claimant No. 343 maintains an individual economic interest against the Debtor Diocese of Camden, New Jersey that has been disclosed in the Sexual Abuse Survivor Proof of Claim Forms or will be disclosed in the future. The nature and amount of the disclosable economic interests held by Confidential Claimant No. 343 in relation to the Debtor as of August 8, 2022, and the other information required to be disclosed by Bankruptcy Rule 2019 is as follows: POC Number: 343 c /o Hoffman DiMuzio Jeremiah J. Atkins, Esq. 25-35 Hunter Street P.O. Box 7 Woodbury, New Jersey 08096 * Economic Interest: Unliquidated Abuse Claim Seidman does not represent the interests of, and is not a fiduciary for, any abuse claimant, other creditor, party in interest, or other entity that has not signed an engagement agreement with Seidman, as applicable. The undersigned reserves the right to amend or supplement this Verified Statement in accordance with the requirements of Bankruptcy Rule 2019 at any time in the future. Counsel to RAM Law Claimants and Confidential Claimant No. 343 can be reached at: SEIDMAN & PINCUS, LLC Jeffrey A. Kramer, Esq. 777 Terrace Avenue, Suite 508 Hasbrouck Heights, NJ 07604 Telephone: (201) 473-0047 E-mail: jk@seidmanllc.com A copy of the Rule 2019 filing is available at https://bit.ly/3AjqjcK at no extra charge. About The Diocese of Camden, NJ The Diocese of Camden, New Jersey is a nonprofit religious corporation organized pursuant to Title 16 of the Revised Statutes of New Jersey. The Diocese is the secular legal embodiment of the Roman Catholic Diocese of Camden, a juridic person recognized under Canon Law. Dealing with abuse claims, the Diocese of Camden sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D.N.J. Case No. 20-21257) on Oct. 1, 2020. The petition was signed by Reverend Robert E. Hughes, vicar General and vice president. At the time of the filing, the Debtor had total assets of $53,575,365 and liabilities of $25,727,209. Judge Jerrold N. Poslusny Jr. oversees the case. McManimon, Scotland & Baumann, LLC, is the Debtor's legal counsel. ECTOR COUNTY: Unsecureds Will Get 14.3% to 100% in Liquidating Plan ------------------------------------------------------------------- Ector County Energy Center LLC, filed with the U.S. Bankruptcy Court for the District of Delaware a Disclosure Statement in support of Liquidating Chapter 11 Plan dated August 9, 2022. Formed in 2014 as a Delaware limited liability company and a wholly-owned subsidiary of non-debtor Ector County Energy Center Holding LLC, the Debtor is one entity within a portfolio of energy generation and storage companies held, indirectly, by Invenergy Clean Power LLC. Prior to the sale of substantially all of its assets, the Debtor was in the business of owning and operating the Power Plant, which is a 330 MW natural gas-fired electricity-generating facility located on 32.5 acres of land in Ector County, Texas, just outside of Odessa, that is part of the Permian Basin. The Plan is a liquidating chapter 11 plan that provides for the proceeds generated through a now-consummated going concern sale of substantially all of the Debtor's operating assets to the Purchaser free and clear of all liens, claims, encumbrances, and interests, to be distributed to holders of Allowed Claims in accordance with the terms of the Plan and the priority of claims provisions in the Bankruptcy Code. Prior to the Petition Date, the Debtor received a stalking horse bid for substantially all of its assets in the amount of $91,250,000, subject to potential adjustments as set forth in the Stalking Horse APA. In accordance with the Stalking Horse APA, the Debtor continued to market its assets and seek higher bids after the Petition Date, receiving a single overbid of approximately $96 million. As a result of the auction conducted by the Debtor on June 22, 2022 at which the stalking horse bidder and the overbidder participated, the Debtor obtained a highest and best bid from the stalking horse in the net amount of $141,556,250, subject to purchase price adjustments and an additional $2,700,000 in potential incentive consideration. That transaction closed on July 12, 2022. As a result of the closing consideration, inclusive of the earned incentive compensation, a positive working capital adjustment and retained cash on hand, the Debtor as of the Closing Date held Cash totaling $154,002,000. After full consideration of market factors and upon consulting with the Debtor's advisors, the Debtor, upon authority and direction of the Special Committee, elected to initiate the Chapter 11 Case to pursue a sale of the Power Plant to the Stalking Horse Bidder or the highest bidder identified in a post petition process to be conducted with authority of this Court pursuant to section 363 of the Bankruptcy Code, with the net proceeds to be distributed to the Debtor's creditors under a liquidating chapter 11 plan. The Debtor also negotiated and entered into the Plan Support Agreement with the Prepetition Agent and certain Prepetition Secured Lenders that are Consenting Lenders prior to the Petition Date. In the Plan Support Agreement, the Consenting Lenders agreed, subject to certain conditions, to forego their entitlement to receive one-hundred percent of the proceeds of their collateral until the full $340 million balance of the Prepetition Term Lender Claims were paid and instead capped their recovery toward that claim at $75 million. The Debtor anticipates objecting to an approximately $400 million Claim of Direct Energy, and continuing to pursue that objection through adjudication or court-approved settlement. Upon completion of the asset liquidation and distribution under the Plan, the Post-Effective Date Debtor will undertake any steps necessary to achieve dissolution. Class 5A consists of General Unsecured Claims of Non-Texas MDL Plaintiff. Holders of Allowed Subclass 5A Claims shall receive, on account of such Allowed Class 5A Claims: (i) on the Effective Date or as soon thereafter as is provided in this Plan or as is practicable, their Pro Rata share of the Minimum Unsecured Claim Distribution, plus (ii) on the Effective Date or as soon thereafter as is provided in this Plan or as is practicable, any Distributable Value remaining after the payment in full in Cash of the Allowed Prepetition Term Lender Prepayment Claims, plus (iii) from time to time after the Effective Date, their Pro Rata share of payment in Cash of any Distributions made pursuant to the Wind-Down Reserves Waterfall after satisfaction in full of the Prepetition Term Lender Prepetition Claims, plus (iv) upon conclusion of Distributions to Holders of Allowed Class 5B Claims, their Pro Rata Share of any portion of the Class 5B Reserve Amount not distributed to the Holders of Allowed Class 5B Claims. The allowed unsecured claims total $1,162,000 - $405,162,000. This Class will receive a distribution of 14.3%-100% of their allowed claims. Class 5B consists of General Unsecured Claims of Texas MDL Plaintiffs. Holders of Allowed Subclass 5B Claims shall receive, on account of such Allowed Class 5 Claims: (i) on the Effective Date, authority and relief from any stay, injunction, Order or prohibition against liquidating, but not collecting, the amount of each such Holder's Allowed Class 5B Claim; (ii) on the Effective Date, authority and relief from any stay, injunction, Order or prohibition against recovering any Allowed Class 5B Claim from and solely to the extent of the Insurance Policies; and (iii) their Pro Rata share of the Class 5B Reserve Amount to the extent necessary for the Holders of Allowed Class 5B Claims to recover the percentage recovery received by the Holders of Allowed Class 5A Claims of any balance unsatisfied after recovery from available insurance. This Class will receive a distribution of 14.3%-100% of their allowed claims. Class 6 Equity Interests will be eliminated, extinguished, and cancelled on the Effective Date; provided, however, that, despite such cancellation, Holders of Allowed Class 6 Equity Interests will receive all Distributable Value remaining, if any, after all Allowed Class 5 Claims are paid in full with Interest at the Legal Rate. The Plan is primarily the mechanism for distributing the proceeds of the Asset Sale in a manner that complies with, and therefore takes advantage of, the provisions of the Plan Support Agreement. As a result of the Asset Sale, on the Closing Date the Debtor held approximately $154 million in Cash for distribution. Under the Plan Support Agreement, the Prepetition Secured Lenders conditionally agreed to forego the right to demand delivery of one hundred percent of the Asset Sale proceeds as the proceeds of their collateral until their approximately $340 million Prepetition Term Lender Claims were paid in full, and instead agreed to accept $75 million in full satisfaction of the Debtor's liability for that debt. On the Effective Date or as soon thereafter as is reasonably practicable, the Distribution Agent shall cause the Cash on Hand to be used to fund the Wind-Down Reserve Accounts and the Class 5B Reserve Account. The Wind-Down Reserve Accounts consist of a $5 million reserve intended to fund the costs of post-Effective Date administration, including professional fees associated with any appeals or claims objections, and a $3.321 million reserve for accrued but as yet unallowed or unsatisfied Administrative Expense Claims. The Class 5B Reserve Account is a $1 million reserve established to ensure that Holders of personal injury and tort Claims receive a percentage distribution towards any Claim remaining after application of insurance proceeds as is received by the Class 5A Claimants. A full-text copy of the Disclosure Statement dated August 9, 2022, is available at https://bit.ly/3PkOPi9 from Donlin Recano & Company Inc., claims agent. Counsel to the Debtor : Christopher A. Ward, Esq. Michael V. DiPietro, Esq. Polsinelli PC 222 Delaware Avenue, Suite 1101 Wilmington, DE 19801 Telephone: (302) 252-0920 Facsimile: (302) 252-0921 Email: cward@polsinelli.com mdipietro@polsinelli.com John J. Monaghan, Esq. Lynne B. Xerras, Esq. Kathleen M. St. John, Esq. Holland & Knight LLP 10 St. James Avenue Boston, MA 02116 Telephone: (617) 523-2700 Facsimile: (617) 523-6850 Email: john.monaghan@hklaw.com lynne.xerras@hklaw.com kathleen.stjohn@hklaw.com - and - David W. Wirt, Esq. Phillip W. Nelson, Esq. 150 N. Riverside Plaza, Suite 2700 Chicago, IL 60606 Telephone: (312) 263-3600 Facsimile: (312) 578-6666 david.wirt@hklaw.com phillip.nelson@hklaw.com About Ector County Energy Center Ector County Energy Center, LLC owns and operates a 330 MW natural gas-fired power generating facility located in Ector County, Texas. Due to a large number of lawsuits following the 2021 winter storm, Ector County Energy Center sought Chapter 11 bankruptcy protection (Bankr. D. Del. Case No. 22-10320) on April 11, 2022. In the petition signed by CRO John D. Baumgartner, the Debtor estimated assets between $50 million and $100 million and estimated liabilities between $500 million and $1 billion. Judge John T. Dorsey oversees the case. The Debtor tapped Holland & Knight, LLP as lead bankruptcy counsel; Polsinelli, PC as local counsel; Locke Lord, LLP and Crowell & Moring, LLP as special counsels; Perella Weinberg Partners, LP and Tudor, Pickering, Holt & Co. as investment bankers; and Grant Thornton, LLP as restructuring advisor. John Baumgartner, managing director at Grant Thornton, serves as the Debtor's chief restructuring officer. Donlin Recano & Company Inc. is the claims agent. ENDO INTERNATIONAL: Says Bankruptcy Filing Likely Imminent ---------------------------------------------------------- Endo International PLC, a pharmaceutical manufacturer facing thousands of lawsuits alleging it fueled the opioid addiction crisis, said Tuesday, August 9, 2022, that it is likely to file for bankruptcy imminently. "The Company remains in constructive negotiations with an ad hoc group of first lien creditors, among other parties. In light of the progress to date, the Company expects that these negotiations will likely result in a pre-arranged filing under Chapter 11 of the U.S. Bankruptcy Code by Endo International plc and substantially all of its subsidiaries, which could occur imminently," the Company said in its earnings release for the second quarter of 2022. Total revenues were $569 million in second-quarter 2022, a decrease of 20% compared to $714 million in second-quarter 2021. Reported loss from continuing operations in second-quarter 2022 was $1,881 million compared to $10 million in second-quarter 2021. The reported net loss was $1.880 billion in the second-quarter 2022, compared with a loss of just $10.18 million in the same period in 2021. As of June 30, 2022, the Company had approximately $1.2 billion in unrestricted cash; $8.1 billion of debt; and a net debt to adjusted EBITDA ratio of 5.6. Noting that it has adequate liquidity, the Company says its decision to enter into the grace period for making payments with respect to its bonds was part of its evaluation of strategic alternatives. Beginning during the second quarter of 2022, the Company elected to not make the following interest payments on or prior to their scheduled due dates: (i) $38 million that was due on June 30, 2022 with respect to its outstanding 6.00% Senior Notes due 2028; (ii) $2 million that was due on July 15, 2022 with respect to our outstanding 5.375% Senior Notes due 2023 and 6.00% Senior Notes due 2023; (iii) $45 million that was due on July 31, 2022 with respect to its outstanding 9.50% Senior Secured Second Lien Notes due 2027; and (iv) $1 million that was due on August 1, 2022 with respect to its outstanding 6.00% Senior Notes due 2025. "Under each of the indentures governing these notes, we have a 30-day grace period from the respective due dates to make these interest payments before such non-payments constitute events of default with respect to such notes. We chose to enter these grace periods while continuing discussions with certain creditors in connection with our evaluation of strategic alternatives. Our decision to enter these grace periods was not driven by liquidity constraints, as we had approximately $1.19 billion in cash as of June 30, 2022. Accordingly, our day-to-day operations are not impacted by the decision at this time. We made the $38 million interest payment that became due on June 30, 2022 with respect to our outstanding 6.00% Senior Notes due 2028 on July 28, 2022, which was prior to the end of the applicable grace period," the Company said in its Form 10-Q filed with the Securities and Exchange Commission. About Endo International Endo International plc (NASDAQ: ENDP) -- http://www.endo.com/-- is a holding company that conducts business through its operating subsidiaries. The Company's focus is on pharmaceutical products and it targets areas where it believes it can build leading positions. Endo International reported a net loss of $613.24 million for the year ended Dec. 31, 2021. As of March 31, 2022, the Company had $8.45 billion in total assets, $1.38 billion in total current liabilities, $15.96 million in deferred income taxes, $8.04 billion in long-term debt (less current portion), $5 million in long-term legal settlement accrual (less current portion), $31.69 million in operating lease liabilities (less current portion), $288.43 million in other liabilities, and a total shareholders' deficit of $1.31 billion. * * * Endo International, like some other drugmakers, has been pushed to the brink by opioid lawsuits. In September 2021, S&P Global Ratings lowered its long-term issuer credit rating on Endo International to 'CCC+' from 'B-'. The outlook is negative. S&P said the negative outlook reflects the potential for an event of default within the next 12 months stemming from opioid-related litigation or the possibility of a distressed exchange. At the end of June 2022, S&P Global lowered its issuer credit rating on Endo International to 'CC' from 'CCC'. S&P said the downgrade reflects Endo's entrance into a 30-day grace period for interest non-payment, making a near-term bankruptcy filing or distressed exchange almost an inevitability. EXCELSIOR SECURITY: Voluntary Chapter 11 Case Summary ----------------------------------------------------- Debtor: Excelsior Security Agency of North Florida, Inc. 8641 Baypine Rd., #100 Jacksonville, FL 32256 Business Description: The Debtor is a security services provider. Chapter 11 Petition Date: August 12, 2022 Court: United States Bankruptcy Court Middle District of Florida Case No.: 22-01609 Debtor's Counsel: Bradley R. Markey, Esq. THAMES | MARKEY 50 North Laura Street Suite 1600 Jacksonville, FL 32202 Tel: 904-358-4000 Email: brm@thamesmarkey.law Estimated Assets: $500,000 to $1 million Estimated Liabilities: $1 million to $10 million The petition was signed by Bobby J. Lingold, vice president, secretary, and chief executive officer. 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/EC4SC5I/Excelsior_Security_Agency_of_North__flmbke-22-01609__0001.0.pdf?mcid=tGE4TAMA FALLAWAY CONSTRUCTION: Files Subchapter V Case ---------------------------------------------- Fallsway Construction Company LLC seeks bankruptcy protection in Maryland. The Debtor filed as a small business debtor seeking relief under Subchapter V of Chapter 11 of the Bankruptcy Code. The Debtor disclosed $1.109 million in assets against $2.347 million in liabilities in its schedules. According to court filings, Fallaway Construction 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. 31, 2022, at 10:00 AM virtually, by ZoomGov or conference call. Proofs of claim are due by Oct. 18, 2022. The Subchapter V trustee: Angela L. Shortall 3Cubed Advisory Services, LLC 111 S. Calvert St., Suite 1400 Baltimore, MD 21202 Phone: 410-783-6385 About Fallsway Construction Fallsway Construction Company LLC is a road construction company in Baltimore, Maryland. Fallsway Construction Company filed a petition for relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. D. Md. Case No. 22-14340) on Aug. 9, 2022. In the petition filed by Karen Tisdale, as member, the Debtor reported assets between $1 million and $10 million and liabilities between $1 million and $10 million. Donald L Bell, of The Law Office of Donald L. Bell, LLC, is the Debtor's counsel. GEX MANAGEMENT: Incurs $483K Net Loss in First Quarter ------------------------------------------------------ GEX Management, Inc. filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q disclosing a net loss of $482,815 on $518,861 of revenues for the three months ended March 31, 2022, compared to a net loss of $402,364 on $173,763 of revenues for the three months ended March 31, 2021. As of March 31, 2022, the Company had $371,765 in total assets, $5.31 million in total liabilities, and a total shareholders' deficit of $4.94 million. GEX Management said, "The Company has identified several potential financing sources in order to raise the capital necessary to fund operations through December 31, 2022. Management believes that it has been historically difficult for minority and women owned businesses to get access to reasonably price capital at scale which creates an opportunity to invest into these companies and receive a greater than average return for our shareholders. However, the opportunity to make a significant return for our investors is so overwhelmingly compelling that management had in the past taken short term working capital loans against future receivables in order to timely fund the growth of the company. Management intends to move away from these expensive debt like obligations and rely on other traditional and non-traditional debt instruments primarily in the form of convertible notes as well as explore various other alternatives including debt and equity financing vehicles, strategic partnerships, government programs that may be available to the Company, as well as trying to generate additional sales and increase margins. However, at this time the Company has no commitments to obtain any additional funds, and there can be no assurance such funds will be available on acceptable terms or at all. If the Company is unable to obtain additional funding, the Company's financial condition and results of operations may be materially adversely affected and the Company may not be able to continue operations. "Additionally, even if the Company raises sufficient capital through additional equity or debt financing, strategic alternatives or otherwise, there can be no assurances that the revenue or capital infusion will be sufficient to enable it to develop its business to a level where it will be profitable or generate positive cash flow. If the Company incurs additional debt, a substantial portion of its operating cash flow may be dedicated to the payment of principal and interest on such indebtedness, thus limiting funds available for business activities. The terms of any debt securities issued could also impose significant restrictions on the Company's operations. Broad market and industry factors may seriously harm the market price of our common stock, regardless of our operating performance, and may adversely impact our ability to raise additional funds. Similarly, if the Company's common stock is delisted from the public exchange markets, it may limit its ability to raise additional funds. "In addition, at this time we cannot predict the impact of COVID-19 on our ability to obtain financing necessary for the Company to fund its working capital requirements." A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/1681556/000149315222021545/form10-q.htm About GEX Management GEX Management, Inc. -- http://www.gexmanagement.com-- is a management consulting company providing Strategy and Enterprise Technology Consulting solutions to public and private companies across a variety of industry sectors. GEX Management is strategically purposed to provide tailored business service products and services to its clients. GEX Management reported a net loss of $6.05 million for the year ended Dec. 31, 2021, compared to a net loss of $224,947 for the year ended Dec. 31, 2020. As of Dec. 31, 2021, the Company had $313,700 in total assets, $5.46 million in total liabilities, and a total shareholders' deficit of $5.15 million. Houston, Texas-based Hudgens CPA, PLLC, the Company's auditor since 2021, issued a "going concern" qualification in its report dated July 20, 2022, citing that the Company has suffered recurring losses from operations and has a net capital deficiency that raises substantial doubt about its ability to continue as a going concern. GIGA-TRONICS INC: Incurs $1.25 Million Net Loss in First Quarter ---------------------------------------------------------------- Giga-Tronics Incorporated filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q disclosing a net loss of $1.25 million on $1.93 million of total revenue for the three months ended June 25, 2022, compared to a net loss of $814,000 on $2.05 million of total revenue for the three months ended June 26, 2021. As of June 25, 2022, the Company had $8.23 million in total assets, $5.70 million in total liabilities, and $2.53 million in total shareholders' equity. On Dec. 27, 2021, Giga-tronics entered into a Share Exchange Agreement with BitNile Holdings, Inc. and Gresham Worldwide, Inc., which is a wholly-owned subsidiary of BitNile. Under the Share Exchange Agreement, the Company is restricted from raising funds either via debt or equity and has therefore received a loan of $1.3 million from Digital Power Lending, LLC, which is an affiliate of BitNile. The Company expects to complete the merger with Gresham in September 2022 and resolve the going concern matter. Management has also put in place a plan as a stand-alone company and believes that the Company can repay the loan to BitNile in November 2022 without raising additional funding because of the large inventory on hand for the Threat Emulation System solution, which will result in cash with sales of the TEmS solution. Management will continue to review all aspects of its business including, but not limited to, the contribution of its individual business segments, in an effort to improve cash flow and reduce costs and expenses, while continuing to invest, to the extent possible, in new product development for future revenue streams. Giga-Tronics stated, "The Company's historical operating results and forecasting uncertainties indicate that substantial doubt exists related to its ability to continue as a going concern. Management believes that through the actions to date and possible future actions described above, the Company should have the necessary liquidity to continue operations for at least twelve months from the issuance of the financial statements. However, management cannot predict, with certainty, the outcome of its actions to maintain or generate additional liquidity, including the availability of additional financing, or whether such actions would generate the expected liquidity as currently planned. Forecasting uncertainties also exist with respect to the Electronic Warfare ("EW") test system product line due to the potential longer than anticipated sales cycles." A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/719274/000095017022016066/giga-20220625.htm About Giga-tronics Inc. Headquartered in Dublin, California, Giga-Tronics Inc. is a publicly held company, traded on the OTCQB Capital Market under the symbol "GIGA". Giga-tronics -- http://www.gigatronics.com-- produces RADAR filters and Microwave Integrated Components for use in military defense applications as well as sophisticated RADAR and Electronic Warfare (RADAR/EW) test products primarily used in electronic warfare test & emulation applications. Giga-Tronics reported a net loss of $2.72 million for the year ended March 26, 2022, compared to a net loss of $393,000 for the year ended March 27, 2021. As of March 26, 2022, the Company had $8.06 million in total assets, $4.33 million in total liabilities, and $3.73 million in total shareholders' equity. San Ramon, California-based Armanino LLP, the Company's auditor since 2018, issued a "going concern" qualification in its report dated June 24, 2022, citing that the Company's significant recurring losses and accumulated deficit raise substantial doubt about its ability to continue as a going concern. GOLDMAKER INC: Unsecureds Will Get 6.7% Dividend in 60 Months ------------------------------------------------------------- Goldmaker Inc. filed with the U.S. Bankruptcy Court for the Eastern District of New York a Small Business Disclosure Statement describing Chapter 11 Plan of Reorganization dated August 9, 2022. The debtor is corporation located at 1824 Aveue U, Brooklyn, NY 11201. The circumstances leading to Debtor's filing under Chapter 11 were as follows: the Debtor was alleged on personal injury action, wherein a default judgment was obtained. The Debtor was also forced to shut down before majority of 2020, due to the Covid pandemic. Therefore, the Debtor has similarly fallen behind in his rental obligations due to the financial hardship stemming from its financial difficulties due to the litigation against it and subsequently due to the Covid shutdown. The Plan will be funded from the funds accumulated on the Debtor's DIP account, from the date of the petition, as well as from continuing operating income and reorganized business operations of the Debtor. Class III shall consists of the general unsecured claims in the total amount of $254,864.71: * The unsecured claim of Consolidated Edison Company of New York Inc., in the amount of $8,586.62 will be paid 6.7% dividend ($575.30) in 60 monthly installment payments in the amount of $9.6, commencing on the effective date of the plan. * The unsecured claim of National Grid in the amount of $1,219.71 will be paid 6.7% dividend ($81.72) in 60 monthly installment payments in the amount of $1.3, commencing on the effective date of the Plan. * The unsecured claim of Ming Chu Chen in the amount of $75,000.00 will be paid 6.7% dividend ($5,025.00) in 60 monthly installment payments in the amount of $83.75, commencing on the effective date of the Plan. * The unsecured claim of Ykaz Tax Service Inc., in the amount of $1,760.00 will be paid 6.7% dividend ($117.92) in 60 monthly installment payments in the amount of $1.9, commencing on the effective date of the Plan. * The unsecured claim of Joe Hand Promotion Inc., in the amount of $7,375.00 will be paid 6.7% dividend ($494.12) in 60 monthly installment payments in the amount of $8.23, commencing on the effective date of the Plan. * The unsecured claim of Salem Boudine in the amount of $169,510.00 will be paid 6.7% dividend ($11,357.17) in 60 monthly installment payments in the amount of $189.29, commencing on the effective date of the Plan. Class IV consists of Equity interest holders. Peter Miller, the sole equity interest holder, shall retain his interest in the Debtor following Plan confirmation, in consideration of a new value contribution, being made by him as the equity holder toward the payment of general unsecured creditor claims, as needed. Peter Miller, as a Debtor's principal and the sole shareholder, will continue to be employed by the reorganized Debtor. A full-text copy of the Disclosure Statement dated August 9, 2022, is available at https://bit.ly/3QJtO1L from PacerMonitor.com at no charge. Attorney for Debtor: Alla Kachan, Esq. The Law Offices of Alla Kachan, PC 415 Brighton Beach Ave Brooklyn, NY 11235 Phone: (718) 513-3145 Fax: 347-342-3156 Email: alla@kachanlaw.com About Goldmaker Inc. Goldmaker Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 21-41309) on May 14, 2021, listing up to $50,000 in assets and up to $500,000 in liabilities. Judge Jil Mazer-Marino oversees the case. Alla Kachan, Esq., at the The Law Offices of Alla Kachan, PC, is serving as the Debtor's legal counsel. GRACE COMMUNITY: Hires Keller Williams as Real Estate Broker ------------------------------------------------------------ Grace Community Baptist Church of Woodstock, Inc. seeks approval from the U.S. Bankruptcy Court for the Northern District of Georgia to hire Bob Wolf, real estate broker with Keller Williams Realty Partners, to list, market, and sell its real property located at 3737 Stilesboro Road, Kennesaw, Georgia 30152. The firm will receive a commission equal to 6 percent of the sales price. Keller Williams Realty does not hold or represent an interest adverse to Debtor's bankruptcy estate, and is a disinterested person, according to court filings. The firm can be reached through: Bob Wolf Keller Williams Realty Partners 722 Stonecroft Lane Woodstock, GA 30188 Phone: 770 529 0707 Email: bob@wolfsells.com About Grace Community Baptist Church of Woodstock Grace Community Baptist Church of Woodstock is a tax-exempt religious organization. Its primary business office and place of worship is valued at $4.20 million. Grace Community Baptist Church of Woodstock, Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ga. Case No. 22-55046) on July 4, 2022. The petition was signed by Christopher Chappell as CEO. At the time of filing, the Debtor estimated $4,332,713 in assets and $2,730,892 in liabilities. Sims W. Gordon, Jr., Esq. at The Gordon Law Firm, P.C. serves as the Debtor's counsel. GREEN BIRD: Seeks to Hire Allen A. Kolber as Bankruptcy Counsel --------------------------------------------------------------- Green Bird Ventures LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of New York to hire the Law Offices of Allen A. Kolber, P.C. as its legal counsel. The Debtor requires the Kolber firm to assist, advise and represent the Debtor with respect to: (a) the protection and preservation of the Debtor's estate, including the prosecution of actions on the Debtor's behalf, and the preparation of objections to claims filed against the estate; (b) the preparation on behalf of the Debtor, as Debtor-in-Possession, all necessary motions, applications, answers, orders, reports and papers in connection with the administration of the estate; (c) the negotiation and preparation on behalf of the Debtor of its Chapter 11 Plan, Disclosure Statement, and all related documents; (d) the representation of the Debtor in connection with any sales, leases, or other uses of property of the estate and all other legal issues in connection therewith; and (e) the performance of all other necessary legal services in connection with the Chapter 11 case. Kolber will be paid at these hourly rates: Counsel $450 Paralegal $125 Kolber will also be reimbursed for reasonable out-of-pocket expenses incurred. Kolber received a retainer fee in the amount of $10,000 from NaftaliI Kerpel, an unaffiliated person. Allen Kolber assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtors and their estates. Kolber can be reached at: Allen A. Kolber, Esq. LAW OFFICES OF ALLEN A. KOLBER, ESQ. 134 Route 59, Suite A Suffern, NY 10901 Tel: (845) 918-1277 Fax: (845) 369-1618 Email: aKolber@Kolberlegal.com About Green Bird Ventures Green Bird Ventures LLC is a Single Asset Real Estate (as defined in 11 U.S.C. Sec. 101(51B)). Green Bird Ventures LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No. 22-22340) on June 7, 2022. Allen A. Kolber, of Law Offices of Allen A. Kolber, Esq., is the Debtor's counsel. GREENVILLE UNIVERSITY: S&P Rates Revenue Bonds Rating to 'BB+' -------------------------------------------------------------- S&P Global Ratings assigned its 'BB+' long-term rating to the Arizona Industrial Development Authority's (AZIDA) series 2022A tax-exempt lease revenue bonds and series 2022B taxable lease revenue bonds student housing revenue bonds (Greenville University - Student Housing and Athletic Facilities Project), issued for MACQ-Illinois I LLC (MACQ-IL), Del. The outlook is stable. "The rating reflects our assessment of the underlying lease structure that obligates Greenville University to make lease payments as well as the university's good selectivity and matriculation rates," said S&P Global Ratings credit analyst Ruchika Radhakrishnan. "The rating further reflects our view of the university's trend of declining enrollment until fall 2020 and small student base," Ms. Radhakrishnan added. MACQ–Illinois I LLC was established as a limited liability company under Delaware law, of which MACQ Holding LLC is the sole member. The proposed series 2022 bonds will be secured by lease payments made by Greenville University to MACQ-IL under a facilities lease, which are in turn backed by an unsecured general obligation of the university. Proceeds from the bonds are expected to finance the acquisition and construction of a 248-bed student housing facility; the acquisition and construction of an athletic facility; and the purchase of a gymnastics facility, the construction of which was completed in July 2022. Additionally, the bond proceeds will be used to fund a debt service reserve fund as well as 28 months of capitalized interest (14 months past the expected completion of the construction). Greenville University is a private university in Greenville, Illinois, about an hour outside St. Louis, Mo. The university was founded in 1892 as an independent college, affiliated with the Free Methodist Church, and was renamed Greenville University in 2017. The university offers 70 majors, minors, and programs to undergraduate and graduate students in a wide range of academic areas, including liberal arts, engineering, social work, education, and music industry studies. HINTONS5 LLC: Seeks to Hire Alan L. Joseph as Special Counsel ------------------------------------------------------------- Hintons5 LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of New York to employ the Law Offices of Alan L. Joseph as its special counsel. The debtor seeks to retain my firm to represent it in the sale of its real property located at 40-50 Dolson Avenue, Middletown, New York. The firm's services include: a. drafting and negotiating the Contract of Sale; b. representing the Debtor during the signing of the Contract; c. representing the Debtor during the due diligence period; d. communication with the attorney for the buyer, building agents, financial institutions, brokers and other relevant parties to the sale; e. representing the Debtor at the actual closing. The firm will accept a flat fee of $2,000 together with out-of-pocket expenses as full and complete compensation for representation in this matter. Alan L. Joseph does not represent or hold any interest adverse to the debtor or to the estate, according to court filings. The firm can be reached through: Alan L. Joseph, Esq. Law Offices of Alan L. Joseph 261 Greenwich Avenue Goshen, NY 10924 Phone: +1 845-294-1100 About Hintons5 LLC Hintons5 LLC, a Middletown, N.Y.-based single asset real estate corporation, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 20-35871) on Aug. 20, 2020. At the time of the filing, the Debtor disclosed between $500,001 and $1 million in both assets and liabilities. The Debtor tapped Genova & Malin as bankruptcy counsel and McCabe & Mack LLP as special counsel. IDAHO HEALTH: Case Summary & 14 Unsecured Creditors --------------------------------------------------- Debtor: Idaho Health Data Exchange, Inc. 950 W. Bannock Street Suite 1147 Boise, ID 83702 Business Description: Idaho Health Data Exchange is a non-profit 501(c)(3) company and Idaho's statewide Health Information Exchange. It is a secure statewide internet-based health information exchange with the goal of improving the quality and coordination of health care in Idaho. Chapter 11 Petition Date: August 12, 2022 Court: United States Bankruptcy Court District of Idaho Case No.: 22-00355 Judge: Hon. Joseph M. Meier Debtor's Counsel: Matthew T. Christensen, Esq. JOHNSON MAY 199 N. Capitol Blvd, Ste 200 Boise, ID 83702 Tel: 208-384-8588 Fax: 208-629-2157 Email: info@johnsonmaylaw.com Total Assets: $1,176,674 Total Liabilities: $4,221,394 The petition was signed by Jesse Meldru as director of finance. A full-text copy of the petition containing, among other items, a list of the Debtor's 14 unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/6YEU55Y/Idaho_Health_Data_Exchange_Inc__idbke-22-00355__0001.0.pdf?mcid=tGE4TAMA IFRESH INC: Appoints Sufen Qin to Replace Jay Walder as Director ---------------------------------------------------------------- Mr. Jay Walder resigned as a director of iFresh Inc. on July 28, 2022. Mr. Walder's decision did not result from any disagreement with the Company relating to its operations, policies or practice, as disclosed in a Form 8-K filed with the Securities and Exchange Commission. On Aug. 2, 2022, Ms. Sufen Qin was elected to the Company's board of director by all members of the Board then in office to fill the vacancy on the Board resulting from the resignation of Mr. Walder. There are no family relationships between Mr. Qiang Ou, Mr. Jiandong (Peter) Xu and Ms. Sufen Qin, and any director or other executive officer of the Company. On Jan. 12, 2021, iFresh announced that Mr. Dengrong Zhou, a stockholder of the Company, together with a group of additional shareholders whose combined holdings constitute a majority of the Company's voting rights, delivered a written consent to the Company's principal place of business in a process which is consistent with the Company's governing documents and the applicable Delaware law. According to the Written Consent, Messrs. Long Deng and Mark Fang were removed, and Messrs. Qiang Ou and Jiandong (Peter) Xu were appointed as directors of the Company, effective immediately. The validity of the Written Consent was contested by Messrs. Long Deng and Mark Fang but subsequently confirmed by the Court of Chancery of the State of Delaware on April 6, 2022. Mr. Qiang Ou has been employed as the Human Resource Manager of iJiaBuy Inc., an e-commerce platform providing cross-border sales opportunities for small businesses since December 2020. He was the chief operating officer of XT Energy Group INC, a manufacturer and distributor of renewable energy products, from March 2020 to June 2021. Mr. Ou served in the U.S. Navy as a Personnel Specialist from August 2013 to May 2018 and in the U.S. Navy Reserve as a Personnel Specialist from May 2018 to May 2020. While in the Navy, he received several awards including the Honor Graduate, Navy and Marine Corp Achievement Medal and Battle Efficiency Ribbon. Mr. Ou expects to receive a bachelor's degree in electrical engineering from Stony Brook University in December 2024. Mr. Jiandong (Peter) Xu has been employed by LI North Shore Invest LLC, a company focused on equity investment, since March 2016 as the Managing Partner. Mr. Xu worked at IEX Group Inc., an equity trading company, from September 2014 to February 2016 as a senior staff member. He previously worked at Millennium Partners LLC, an equity trading company as a senior manager, from September 2013 to September 2014. Mr. Xu worked at Barclays Inc, an investment bank, from January 2010 to September 2013 as a vice president. He worked at GMO, LLC, an equity trading company, from July 2008 to January 2010 as a vice president. He worked at Lehman Brothers, an investment bank, from October 2006 to April 2008 as a vice president and at Egenera Inc., a global cloud services company, from August 1999 to October 2006 as a senior software engineer. Mr. Xu has a Masters' degree in Computer Science from Northeastern University and a Bachelor's degree in Marine Biology from Ocean University of China. Ms. Sufen Qin has been employed by Hubei Nanchu Construction Co., Ltd, a construction company, as the Chief of Finance since January 2017. From May 2015 to December 2016, she worked at Houfu Medical Equipment Co., Ltd, a medical device manufacturer and distributor, as the finance manager. From May 2010 to March 2015, she worked at Beijing Asia Pacific Certified Public Accountants as a senior auditor. Mr. Qin graduated from Nanjing Political College in 2010 with a bachelor's degree in management. She is a Certified Public Accountant in China. On April 27, 2022, the Board announced that it removed Mr. Long Deng as the Company's Chairman of the Board, chief executive officer and chief operating officer and appointed Ms. Ping Zhou, a current director, as the Company's Chairman of the Board, chief executive officer and chief operating officer. On June 9, 2022, the Board announced it removed Mr. Long Deng as the sole director of the Company's wholly-owned subsidiary, iFresh (BVI) Co., Ltd., and appointed Ms. Ping Zhou as the sole director of such subsidiary. About iFresh Inc. Headquartered in Long Island City, New York, iFresh Inc. -- http://www.ifreshmarket.com-- is an Asian American grocery supermarket chain and online grocer on the east coast of U.S. With eight retail supermarkets along the US eastern seaboard (with additional stores in Connecticut opening soon), and one in-house wholesale business strategically located in cities with a highly concentrated Asian population, iFresh aims to satisfy the increasing demands of Asian Americans (whose purchasing power has been growing rapidly) for fresh and culturally unique produce, seafood and other groceries that are not found in mainstream supermarkets. With an in-house proprietary delivery network, online sales channel and strong relations with farms that produce Chinese specialty vegetables and fruits, iFresh is able to offer fresh, high-quality specialty produce at competitive prices to a growing base of customers. iFresh Inc. reported a net loss of $8.29 million for the year ended March 31, 2020, compared to a net loss of $12 million for the year ended March 31, 2019. As of Dec. 31, 2020, the Company had $131.62 million in total assets, $110.33 million in total liabilities, and $21.29 million in total shareholders' equity. Friedman LLP, in New York, the Company's auditor since 2016, issued a "going concern" qualification in its report dated Aug. 13, 2020, citing that the Company has incurred significant operating losses, has negative working capital of $28.6 million and is not in compliance with its credit agreement. These conditions raise substantial doubt about the Company's ability to continue as a going concern. INTERSTATE UNDERGROUND: Unsecureds Owed $380K to be Paid in Full ---------------------------------------------------------------- Interstate Underground Warehouse and Industrial Park, Inc., submitted a Third Amended Disclosure Statement. The Debtor currently has close to 300,000 square feet of unleased space. Debtor has spent the past 30 months renovating unleased space and areas, and the previously unusable space is now in leasable condition. Debtor's current rates for leased space average $0.40 cents per square foot with substantially higher rates for warehouse space. The Debtor's prices are very competitive prices for the Kansas City area. In the Kansas City area, warehouse available space is at its lowest inventory in years due to current economic conditions, placing the Debtor in an ideal position to easily lease up these new areas. Since Leslie Reeder took over management (30 months ago), the gross monthly rent has increased from $246,167 (April, 2020) to $385,780 (July, 2022). When fully leased, these areas will generate an increase in income of approximately $120,000 per month for leased as dry space and up to $250,000 per month if leased as warehouse space. Debtor estimates an absorption period of approximately 6 to 12 months to lease the entire 300,000 square feet now available. Debtor has launched an aggressive marketing program that is enjoying tremendous success. As for future development, Debtor has over 500,000 square feet of undeveloped, mined space that can easily be repurposed for agricultural and botanical tenants, and in excess of 1,000,000 square feet of mined, undeveloped area for future expansion into warehouse space or that could be reopened for mining purposes as the demand for rock and gravel is extremely high due to the prevailing construction market. Debtor has complete confidence in its ability to reduce expenses, substantially increase revenues and to create new revenue streams in order to secure new financing and to move forward into a new era of success and prosperity for its business. Under the Plan, Class 14 General unsecured nonpriority claims totaling $380,901. At a sale price of $5,750,000, the Class 14 and Class 16 (unsecured non-priority debts, including the estimated federal tax penalties) would realize a 14.6% distribution. If Anderson's (Class 2) claim is paid in part, there may be additional funds for Classes 14 and 16; however, the Anderson claim would need to be reduced to $369,400 in order for the Classes 14 and 16 to be paid 100%. The Debtor has revised its Plan of Reorganization to pay Class 14 in full within 30 days of the Effective Date and to pay Class 16 over 5 years. Clearly, the treatment for these Classes 14 and 16 is much more favorable than the possible sale at $5,750,000. The Debtor's gross sales should produce sufficient funds to create a positive cash flow for its on-going operations. The Debtor believes that it can pay all debts that come due post-petition as well as pay the Plan payments as set forth in the Plan of Reorganization. Attorneys for the Debtor: Erlene W. Krigel, Esq. KRIGEL & KRIGEL, P.C. 4520 Main Street Suite 700 Kansas City, MO 64111 Telephone: (816) 756-5800 Facsimile: (816) 756-1999 A copy of the Third Amended Disclosure Statement dated August 5, 2022, is available at https://bit.ly/3p4Xyu9 from PacerMonitor.com. About Interstate Underground Warehouse Interstate Underground Warehouse and Industrial Park, Inc., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Mo. Case No. 21 40834) on July 1, 2021. In the petition signed by CEO Leslie Reeder, the Debtor disclosed up to $10 million in assets and up to $50 million in liabilities. Judge Dennis R. Dow is assigned to the case. Pamela Putnam, Esq., at Armstrong Teasdale LLP, is the Debtor's legal counsel. ISTAR INC: Moody's Puts 'Ba2' CFR Under Review for Upgrade ---------------------------------------------------------- Moody's Investors Service has placed iStar Inc.'s Ba2 corporate family and senior unsecured ratings under review for upgrade. This follows the announcement[1] by iStar and Safehold Inc. (Safehold, Baa1, positive) that they have entered into an agreement to combine in a tax-free transaction with the surviving entity having a strategic focus on the ground lease industry. The following ratings were placed on review for upgrade: Issuer: iStar Inc. -- Corporate family rating currently Ba2, placed on review for upgrade -- Senior Unsecured Rating currently Ba2, placed on review for upgrade -- Senior Unsecured shelf currently (P)Ba2, placed on review for upgrade -- Preferred stock currently B1, placed on review for upgrade -- Subordinate shelf currently (P)B1, placed on review for upgrade -- Preferred shelf currently (P)B1, placed on review for upgrade -- Preferred shelf Non-cumulative currently (P)B1, placed on review for upgrade Issuer: iStar Inc. -- Outlook, Changed To Rating Under Review From Stable RATINGS RATIONALE / FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Moody's is reviewing iStar's ratings based on the company's significant reduction in outstanding debt obligations as part of its pending combination with Safehold. Moody's expects that the reduction in debt and other aspects of the combination will reduce iStar's credit risks, particularly its debt refinancing and other liquidity risks. Moreover, the combination will substantially reduce the potential for conflicts of interest between iStar and Safehold that Moody's has viewed as a governance-related credit constraint for both entities. Under the terms of the transaction, Safehold will internalize iStar's management team and intellectual property, replacing Safehold's external management structure. Ownership of the combined company will remain largely proportionate to the ownership of Safehold immediately prior to consummating the transaction. Subsequent to the transaction, iStar shareholders will own 37% directly and 14% indirectly of the combined entity, while Safehold shareholders will own approximately 34%. In connection with the transaction, iStar will redeem its $1.8 billion senior unsecured notes (as at June 30, 2022) and preferred equity using cash on hand and proceeds from asset sales and loan collections. Safehold will assume iStar's $100 million trust preferred securities. Prior to the transaction, iStar will spin-off to its shareholders a new publicly traded company (SpinCo) that will be comprised of approximately $350 million of iStar's legacy non-ground lease assets and approximately $400 million of iStar's Safehold shares. The combined entity will manage SpinCo for a fee, with the intention of liquidating SpinCo's assets through sale or collection over time, and will also provide to SpinCo a $100 million four year 8% secured loan, with a low loan-to-value. SpinCo will also obtain up to $140 million of bank financing secured by the $400 million of Safehold shares. The combination transaction is expected to close in late fourth quarter 2022 or first quarter 2023, subject to the approval of iStar and Safehold shareholders and completion of the spin-off. Assets not conveyed to Safehold and expected to be part of SpinCo consist of Asbury Park, a 35-acres oceanfront property in the Asbury Park, NJ waterfront redevelopment area with 70% undeveloped land, and Magnolia Green, a 3,500 unit multigenerational master planned community outside of Richmond, Virginia. These properties are currently still under development. Historically, iStar has collected land development revenues from these projects contributing to modest earnings. Development work remains a work-in-process and thus subject to higher risk, but Moody's believes that the values and income generating prospects are sufficient to mitigate collateral risks to Safehold as lender to iStar, given the overall low loan-to-value. During its ratings review, Moody's will assess the progress of the transaction toward closing and verify its effects on iStar's credit profile. Moody's review of iStar's ratings considers the company's governance as part of Moody's environmental, social and governance (ESG) considerations, and governance considerations were a key driver of Moody's rating action. Moody's expects that combination of iStar and Safehold will result in revisions to the combined entities' board of directors and governance structure. Furthermore, Moody's view is that the transaction will substantially reduce certain governance risks, such as conflict of interest and related party transactions, that relate to iStar's significant ownership and control of Safehold. The Ba2 senior unsecured notes rating is in line with iStar's corporate family rating due to the preponderance of senior unsecured debt in the company's capital structure. The preferred stock rating of B1 is two notches lower than the senior unsecured debt rating, reflecting its subordination to the senior unsecured notes. The company also has a $350 million borrowing base revolving facility (unrated), expiring on September 27, 2022. iStar's ratings could be upgraded if the combination transaction with Safehold closes and if other aspects of the transaction conform to the company's plan. Ratings could be confirmed if the transaction does not proceed, absent negative residual consequences for iStar and its creditors. A downgrade of iStar's ratings is unlikely given the review for upgrade but could occur if the combination transaction fails to proceed and if there is a greater than expected encumbrance of assets, deterioration in operating performance, lower than expected debt paydown, or if iStar engages in asset purchases or other actions inconsistent with its currently articulated strategy of moving towards greater focus on its ground lease business, or if governance-related risks result in a deterioration in iStar's financial condition or future business prospects. The principal methodology used in these ratings was Finance Companies Methodology published in November 2019. iStar Inc. [NYSE: STAR] finances, invests in and develops real estate and real estate related projects. The New York City-based REIT had total assets of $3.6 billion as of June 30, 2022, including the $1.4 billion investment in its ground lease affiliate, Safehold Inc. [NYSE: SAFE]. ISTAR INC: S&P Affirms 'BB' Issuer Credit Rating, Outlook Stable ---------------------------------------------------------------- S&P Global Ratings said it affirmed its ratings on iStar Inc., including its 'BB' issuer credit and senior unsecured debt ratings. The outlook remains stable. S&P said, "We also withdrew our rating on the company's senior secured debt, given all of the senior secured debt has been repaid following the sale of iStar's net lease portfolio in March. We do not rate the company's secured revolving credit facility." iStar plans to pay down its remaining unsecured debt and preferred equity by monetizing legacy assets, selling Safehold shares, and using available cash. With debt and preferred equity retirement amounting to approximately $2.0 billion, the company will transfer its remaining legacy assets and Safehold shares into a SpinCo. The purpose of the SpinCo is to monetize its remaining assets over the next few years. The SpinCo will use minimal leverage. S&P said, "After the business combination, we expect the SpinCo will operate at under 0.5x debt to adjusted total equity (ATE). The only two pieces of debt that the SpinCo will have are a $100 million loan from Safehold and up to $140 million bank loan. As the SpinCo monetizes its assets, we expect it to use proceeds to pay down these two pieces of debt." As of June 30, 2022, iStar's debt to ATE was 1.56x. S&P said, "The stable outlook reflects our expectation that iStar will successfully repay its remaining unsecured debt and preferred equity by early 2023 and execute on its wind-down strategy. "Over the next 12 months, we could lower our ratings on iStar if the company encounters problems executing its monetization of assets, particularly if it results in leverage remaining above 1.5x debt to ATE." An upgrade is unlikely in the next 12 months. JACKSON HOSPITAL: Moody's Lowers Rating on Revenue Bond to Ba3 -------------------------------------------------------------- Moody's Investors Service has downgraded Jackson Hospital & Clinic's (AL) revenue bond rating to Ba3 from Baa3. The outlook has been revised to negative from stable at the lower rating. The organization has approximately $84 million of debt outstanding. RATINGS RATIONALE The downgrade to Ba3 reflects Jackson Hospital & Clinic's material and recent deterioration of operating performance and unrestricted cash through June 2022. As a result, headroom to both the debt service coverage and days cash on hand covenants has been materially reduced increasing the risk of a covenant violation, which could lead to immediate acceleration of debt, a governance consideration under Moody's ESG framework. Through the last measurement date (December 31, 2021), Jackson was in compliance with both covenant requirements but will be challenged to remain compliant going forward. Poor operating performance has been driven by industry-wide challenges including increased labor costs resulting from staff shortages and rising expenses due to inflationary pressures. Management has a strategic plan to improve financial performance and grow cash reserves, however ongoing labor and COVID challenges will make it difficult to achieve results quickly. Factors supporting the Ba3 rating include Jackson's continued service line growth following significant investments in urgent care and ambulatory services which helps offset competitive pressures. The rating also incorporates Jackson's minimal capital spending plans which will help preserve liquidity, however the high age of plant will continue to increase and pose longer term challenges to rebuilding the balance sheet. RATING OUTLOOK The revision of the outlook to negative from stable reflects risks to achieving margin improvement by fiscal yearend 2022, given ongoing and significant labor challenges and related costs. There is increased risk of a days' cash on hand and/or debt service coverage covenant breach at fiscal yearend 2022. Uncertainty in Jackson's ability to meet debt covenants will carry into fiscal 2023. FACTORS THAT COULD LEAD TO AN UPGRADE OF THE RATING -- Material and sustained improvement in operating performance which drives sufficient headroom to financial covenants -- Meaningful and sustained liquidity growth -- Material enterprise growth that leads to an increase in operating revenue and volumes FACTORS THAT COULD LEAD TO A DOWNGRADE OF THE RATING -- Violation of financial covenants -- Inability to improve financial performance and/or a decline in liquidity or further narrowing of headroom to financial covenants -- Incremental leverage or weakening of debt metrics LEGAL SECURITY The bonds are secured by a pledge of Gross Receipts as defined in the bond documents. Additional security is provided by a mortgage on Jackson Hospital and Clinic's hospital and adjacent parking decks. Covenants include PROFILE Jackson Hospital & Clinic is a 344-licensed bed acute care center located in Montgomery, Alabama. Jackson also has a controlling interest in a Surgery Center and an Imaging Center. METHODOLOGY The principal methodology used in this rating was Not-For-Profit Healthcare published in December 2018. JPA NO. 111: Court Confirms Amended Plan ---------------------------------------- Judge David S. Jones has entered an order confirming the First Amended Joint Chapter 11 Plan of Reorganization of JPA No. 111 Co., Ltd. and JPA No. 49 Co., Ltd. The Disclosure Statement is approved on a final basis. As reported in the TCR, pursuant to the Sale and Global Settlement, the Debtors received $5 million in cash to their estates and obtained the rights to receive the proceeds of the VNA Claims (Seller) Portions valued at roughly $7 million. The Plan provides that (a) the Debtors will use cash on hand, including the proceeds of the Sale, to pay all remaining administrative, priority, and unsecured claims in full on the effective date of the Plan to the extent not paid prior to the Effective Date in accordance with the Bankruptcy Code and the Plan or thereafter as such claims may be reconciled and allowed, and (b) any remaining cash, including on account of the VNA Claims (Seller) Portions, will remain with the Debtor for the ultimate benefit of JP Lease Products & Services Co. Ltd. ("JPL"), the sole remaining creditor and the sole equity holder of each of the Debtors. Subsequent to the Sale Ruling, the JPA Parties, the FitzWalter Parties, the Intermediate Lessors, and the Purchasers, and the foregoing parties' respective agents, officers, directors, and affiliates (the "Settlement Parties") negotiated a global resolution of all material issues impacting the Chapter 11 Cases and the Sale (including the Sale Objections) and entered into that certain Settlement Addendum, dated March 25, 2022 (the "Global Settlement"). Among other things, the Global Settlement provided that, upon closing of the Sale, (a) the Stalking Horse Bidders agreed to pay an amount to FitzWalter as part of the Sale to settle certain disputed amounts asserted as secured obligations and identified by the Bankruptcy Court in the Sale Ruling, (b) FitzWalter agreed to withdraw the FitzWalter Appeal with prejudice, (c) FitzWalter agreed to withdraw certain claims it had asserted against certain of the Debtors' non-debtor affiliates, including JPL, JPLS Ireland, and Heinrich Loechteken, a director of the Debtors, in England, (d) the Debtors agreed to withdraw an adversary complaint filed against FitzWalter in the Bankruptcy Court relating to FitzWalter's prepetition foreclosure and enforcement process as well as certain alleged actions taken during the Chapter 11 Cases, and (e) all parties to the settlement agreed to execute mutual releases as provided in the Global Settlement. On March 25, 2022, the Bankruptcy Court entered an order (the "Sale Order") approving, among other things, (a) the Sale to affiliates of the Stalking Horse Bidders (the "Purchasers") pursuant to the purchase agreements attached to the Sale Order (together, the "Stalking Horse Purchase Agreements") and (b) the Global Settlement. The closing of the MSN 173 Stalking Horse Purchase Agreement occurred on June 14 (the "MSN 173 Closing"). The closing of the MSN 067 Stalking Horse Purchase Agreement occurred on June 15, 2022. Under the Plan, holders of Class 3 General Unsecured Claims will receive payment in full in Cash on or as soon as is reasonably practicable after the later of (A) the Effective Date and (B) the date on which such General Unsecured Claim is Allowed by a Final Order of the Bankruptcy Court; provided, however, that no General Unsecured Claims shall be deemed Allowed to the extent such Claims have been resolved by the Global Settlement, the Asset Purchase Agreements, the Sale Order, or any other Sale and Settlement Transaction Documents. Creditors will recover 100% of their claims. Class 3 is unimpaired. A copy of the First Amended Joint Chapter 11 Plan of Reorganization dated August 5, 2022, is available at https://bit.ly/3A2oOje from PacerMonitor.com. About JPA No. 111 and JPA No. 49 Tokyo-based JPA No. 111 Co., Ltd., and its subsidiary JPA No. 49 Co., Ltd., are special purpose vehicles wholly owned by JP Lease Products & Services Co. Ltd., which offers financial services based on a financial scheme combining the borrowings from financial institutions and funds to manage valuable assets including aircraft, ships, containers for maritime transportation, and solar power generation equipment, which is a direct wholly-owned subsidiary of JIA. JIA, in turn, creates and sells unique financial instruments to investors that consist of small and medium enterprises in Japan through a network of financial institutions, including banks and securities companies, and tax and accounting firms. Tokyo-based JPA No. 111 Co., Ltd., and its subsidiary JPA No. 49 Co., Ltd., sought Chapter 11 protection (Bankr. S.D.N.Y. Lead Case No. 21-12075) on December 17, 2021. The Debtors had estimated liabilities of $100 million to $500 million. The cases are assigned to Honorable David S. Jones. The Debtors' counsel is Kyle J. Ortiz, Esq., Bryan M. Kotliar, Esq., Amy M. Oden, Esq., and Amanda C. Glaubach, Esq., at Togut, Segal & Segal LLP, in New York. JUST BELIEVE: Seeks to Tap Kelley Fulton Kaplan & Eller as Counsel ------------------------------------------------------------------ Just Believe Recovery Center of Port Saint Lucie, d/b/a Just Believe Recovery Center seeks approval from the U.S. Bankruptcy Court for the Southern District of Florida to hire Kelley Fulton Kaplan & Eller, P.L. as legal counsel. The firm's services include: a. giving advice to the Debtor with respect to its powers and duties and the continued management of its business operations; 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 interest of the Debtor in all matters pending before the court; and e. representing the Debtor in negotiation with its creditors in the preparation of a Chapter 11 plan. Kelley will be paid $475 per hour for attorney fees and $155 per hour for paralegal fees, and a retainer of $25,000. The firm will also receive reimbursement for its out-of-pocket expenses. Craig Kelley, Esq., a partner at Kelley, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Craig I. Kelley, Esq. Dana Kaplan, Esq. Kelley Fulton Kaplan & Eller, P.L. 1665 Palm Beach Lakes Blvd. Suite 1000 West Palm Beach, FL 33401 Tel: (561) 491-1200 Fax: (561) 684-3773 Email: craig@kelleylawoffice.com About Just Believe Recovery Center Just Believe Recovery Center of Port Saint Lucie -- https://justbelieverecoverycenter.com/ -- is a drug & alcohol addiction rehabilitation and detox facility with locations in Florida and Pennsylvania. Just Believe Recovery Center of Port Saint Lucie sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 22-15739) on July 27, 2022. In the petition filed by Cynthia Bellino, as manager, the Debtor estimated assets up to $50,000 and estimated liabilities between $1 million and $10 million. Craig I Kelley, of Kelley, Fulton & Kaplan, P.L., is the Debtor's counsel. KNOW LABS: Files S-1 for New Share Offering, Seeks Uplist to NYSE ----------------------------------------------------------------- Know Labs, Inc. has filed a Form S-1 registration statement for a proposed new offering of 3 million shares of its common stock with an anticipated offering price of $2.00 per share. Concurrent with, and as a condition to, the offering, Know Labs will apply to uplist its shares to the NYSE American Exchange. If the uplist is approved, Know Labs shares will cease trading on the OTCQB and will commence trading on the NYSE American, under the proposed new ticker symbol "KNW." The Company intends to use proceeds from the proposed offering for research and development, sales and marketing, general and administrative expenses, capital investments and working capital. A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. Boustead Securities, LLC will act as the underwriter, on a firm commitment basis, for the Know Labs offering. Copies of the preliminary prospectus, when available, may be obtained by contacting Boustead Securities, LLC, via email: offerings@boustead1828.com or by calling +1 (949) 502-4408 or standard mail at Boustead Securities, LLC, Attn: Equity Capital Markets, 6 Venture, Suite 395, Irvine, CA 92618, USA. In addition, a copy of the final prospectus relating to the offering, when available, may be obtained via the SEC's website at www.sec.gov. About Know Labs Know Labs, Inc., was incorporated under the laws of the State of Nevada in 1998. Since 2007, the Company has been focused primarily on research and development of proprietary technologies which can be used to authenticate and diagnose a wide variety of organic and non-organic substances and materials. The Company's Common Stock trades on the OTCQB Exchange under the symbol "KNWN." Know Labs reported a net loss of $25.36 million for the year ended Sept. 30, 2021, a net loss of $13.56 million for the year ended Sept. 30, 2020, and a net loss of $7.61 million for the year ended Dec. 31, 2019. As of March 31, 2022, the Company had $12.66 million in total assets, $5.36 million in total current liabilities, $570,435 in total non-current liabilities, and $6.73 million in total stockholders' equity. LANGSTON CONSTRUCTION: Case Summary & 20 Top Unsecured Creditors ---------------------------------------------------------------- Debtor: Langston Construction, Inc. 1439 Darwin Drive Oceanside, CA 92056 Business Description: The Debtor is a foundation, structure, and building exterior contractor. Chapter 11 Petition Date: August 12, 2022 Court: United States Bankruptcy Court Southern District of California Case No.: 22-02113 Debtor's Counsel: Steven E. Cowen, Esq. S.E. COWEN LAW 333 H Street, Suite 5000 Chula Vista, CA 91910 Tel: 619-202-7511 Fax: 619-489-0431 Email: Cowen.steve@secowenlaw.com Total Assets: $1,659,264 Total Liabilities: $1,356,154 The petition was signed by Christopher Langston as president. A full-text copy of the petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/KV5AJGY/Langston_Construction_Inc__casbke-22-02113__0001.0.pdf?mcid=tGE4TAMA LE CENTRE: Seeking to Enhance Confirmed Plan, Jackson Says ---------------------------------------------------------- Willie Jackson files this response to the Motions filed by Le Centre on Fourth, LLC (the "Debtor"), Le Centre on Fourth Master Tenant, LLC ("Master Tenant"), and Al J Schneider Company ("AJS") to reopen this case and to enforce the confirmed Chapter 11 Plan. The motions are meritless because they are seeking to enhance the Third Amended Chapter 11 Plan of Reorganization (the "Bankruptcy Plan") rather than enforce it, and they are asking this court to undermine the authority of the state court to determine whether the language in the Bankruptcy Plan bars the state court claim. The Released Parties' motion asks the Court to prevent Mr. Jackson from filing a Third Amended Complaint in Kentucky State Court. Mr. Jackson's proposed Third Amended Complaint does not add a single cause of action and only seeks to comply with the recent decision by the Eleventh Circuit in this matter. The judge in the Kentucky State Court has already granted Mr. Jackson's Motion for Leave over the Released Parties' objections and has accepted as filed Mr. Jackson's Third Amended Complaint in the Kentucky state court action. And the Released Parties have already answered it. Stated another way, the state court has already allowed Mr. Jackson to do what the Released Parties are asking this Court to prevent. The Kentucky State Court is a court of competent jurisdiction which can review and has reviewed the Bankruptcy Plan and determined that Mr. Jackson's Third Amended Complaint complies with it. Despite this, the Released Parties have refused to withdraw this vexatious motion. Counsel for Jackson: Patrick S. Scott, Esq. GRAY ROBINSON, P.A. 401 E. Las Olas Blvd., Suite 1000 Ft. Lauderdale, FL 33301 Tel: (954) 761-8111 E-mail: patrick.scott@gray-robinson.com Co-Counsel Jackson: H. Philip Grossman, Esq. GROSSMANGREEN PLLC 2000 Warrington Way, Ste. 170 Louisville, KY 40222 Tel: (502) 657-7100 E-mail: pgrossman@grossmangreen.com About Le Centre on Fourth Le Centre on Fourth LLC is a privately held company in Plantation, Florida, that operates under the traveler accommodation industry. Its principal assets are located at 501 South Fourth Street Louisville, KY 40202. Bachelor Land Holdings, LLC, is the holder of the majority of the issued and outstanding units of membership interest of the company. Le Centre on Fourth filed for Chapter 11 bankruptcy protection (Bankr. S.D. Fla. Case No. 17-23632) on Nov. 10, 2017. In the petition signed by CRO Ian Ratner, the Debtor estimated its assets and liabilities at between $50 million and $100 million. Judge Raymond B. Ray presides over the case. The Debtor tapped the Law Firm of Berger Singerman LLP as its legal counsel; the Law Office of Mark D. Foster, as special tax counsel; and GlassRatner Advisory & Capital Group, LLC, as its restructuring advisor. LEGACY EDUCATION: Owes $1M Under Paycheck Protection Program ------------------------------------------------------------ Legacy Education Alliance, Inc. received notice that $932,455.90 in principal and interest under its April 2020 loan through the Small Business Administration Paycheck Protection Program established pursuant to the CARES Act, is now due and owing as a result of a 60-day delinquency in payment. With the past due amount of $85,969.14, the total amount due and owing is $1,018.425.04. The Company was informed that, per SBA guidelines, it is now required to pay back the loan in full, including both the principal amount and interest that have accrued. About Legacy Education Cape Coral, Fla.-based, Legacy Education Alliance, Inc. -- http://www.legacyeducationalliance.com-- is a provider of practical and value-based educational training on the topics of personal finance, entrepreneurship, real estate investing strategies and techniques. Legacy Education reported a net loss of $566,000 for the year ended Dec. 31, 2021. As of March 31, 2022, the Company had $1.01 million in total assets, $23.87 million in total liabilities, and a total stockholders' deficit of $22.87 million. Hamilton, New Jersey-based Ram Associates, the Company's auditor since 2021, issued a "going concern" qualification in its report dated March 31, 2022, citing that the Company has a net capital deficiency and an accumulated deficit that raise substantial doubt about its ability to continue as a going concern. LMBE-MC HOLDCO: S&P Alters Outlook to Negative, Affirms 'BB-' ICR ----------------------------------------------------------------- S&P Global Ratings revised the outlook to negative from stable and affirmed its 'BB-' issue-level rating on LMBE-MC HoldCo LLC's (LMBE) senior secured debt. The '1' recovery rating is unchanged, indicating S&P's expectation for very high (90%-100%; rounded estimate: 95%) recovery in the event of a payment default. The negative outlook reflects the risk that expected outperformance at Lower Mount Bethel might not mitigate the negative impact from lower projected capacity prices. Capacity prices in the Pennsylvania-New Jersey-Maryland Interconnection (PJM) cleared lower than S&P's expectations for the 2023/2024 delivery year. It also lowered its assumptions for future capacity prices, which reduced its cash flow expectations for LMBE-MC. LMBE is a wholly owned project-finance subsidiary of U.S. electricity provider Talen Energy Supply LLC that consists of two merchant power plants that sell energy and capacity into the PJM market. The project portfolio totals approximately 2.3 gigawatts of nominal capacity. Lower Mount Bethel is a 600-megawatt (MW) gas-fired, combined-cycle facility and Martins Creek is a 1,700-MW gas-fired peaking facility that can run on oil. Although Lower Mount Bethel derives most of its revenue from energy sales in the spot market, the Martins Creek peaking facility derives most of its revenue from the capacity market. Strengths Since financial close in December 2018, the project has swept a considerable amount of cash despite weak power prices. The assets sell forward capacity to the PJM power market, which is the largest and most liquid in the U.S. Capacity payments provide cash flow predictability for the next two years. Risks -- Like all merchant power plants, especially those in non-constrained regions, the assets face market risks, such as power demand, commodity prices, and PJM capacity price volatility. -- Exposure to risks from competing technologies as well as future greenhouse gas legislation, could meaningfully increase the project's variable costs. -- The project depends on cash flow sweeps to reduce debt and is exposed to refinancing risk when the term loan B (TLB) matures in December 2025. S&P said, "We expect LMBE will realize materially lower capacity revenue in future periods. Both of LMBE's assets are in the Mid-Atlantic Area Council (MAAC) zone of the PJM. In June, capacity prices for MAAC cleared at $49.49 per megawatt-day (/MW-day) for the 2023-2024 delivery period, which we previously forecast at $80/MW-day. We also recently lowered our expectations for future PJM capacity prices across zones. We now expect rangebound prices for the 2024-2025 delivery period, at $65/MW-day compared with our previous expectation of $90/MW-day. Our long-term capacity price forecast for MAAC is also lower, at $95/MW-day compared with $115/MW-day previously. Relative to our previous assumptions, we now forecast LMBE will generate about $65 million-$70 million lower cumulative capacity revenue through TLB maturity in 2025 and $395 million lower cash flows during the project's remaining useful asset life. Capacity payments constitute a significant portion of LMBE's income stream (about 50% of gross margin); consequently, we expect reduced prices (cleared as well as forecast) will weaken the project's cash flow generation and debt service coverage ratio (DSCR) during the asset life." LMBE's increased energy margin might help offset the expected drop in capacity revenue. S&P's updated forecast incorporates the currently strong energy market and the likelihood that the project's relatively efficient asset (Lower Mount Bethel) captures above-average energy margins. Power forward curves have lifted meaningfully, with average forward on-peak power prices in PPL of about $62/megawatt-hour (/MWh) through May 2025, compared with $30/MWh a year ago. However, because the project's asset base is heavily tilted toward capacity cash flows, S&P believes that the uplift in market sparks might not be sufficient to offset the potential decline in capacity revenue under our forecast capacity prices. S&P said, "Our base-case expectation is that the project will benefit from higher spark spreads at Lower Mount Bethel, given the current commodity prices, and will realize above-average energy margins. However, this expectation is subject to execution risk, and if the portfolio is unable to capitalize on the currently favorable market conditions, or if energy prices normalize sooner than we expect, LMBE's cash flows could be weaker than we forecast. Without any mitigating factors, this could result in a downgrade." Cash flow sweeps are key for the project to maintain a rating in the 'BB' category. Project financings with TLB structures that have an annual 1% mandatory amortization, such as LMBE, depend on cash flow sweeps to delever over time. Since the initial $450 million issuance in December 2018, the project has repaid about $120 million in debt; as of June 30, 2022, the amount outstanding on the TLB B was $330 million. For the rest of 2022, LMBE has hedged about 50% of its expected generation at an average spark spread of $13/MWh, limiting potential upside from current market prices. However, for 2023 and beyond, the project has not hedged any exposure and expects to realize the upside from higher forwards. S&P said, "We expect the project will sweep at least $20 million-$30 million every year until 2025. In our base-case forecast, we expect the project will have about $230 million outstanding on the TLB at maturity in 2025. However, this assumption is sensitive to the project's actual financial and sweep performance. If broader market-related factors or the magnitude of sweeps are weaker than our forecast, the pace of the TLB debt repayment will be relatively slower than our current expectations. Any material underperformance could lead to a lower rating, as seen with other power projects that failed to sweep cash in the past couple of years. "The negative outlook reflects the risk that expected outperformance at Lower Mount Bethel might not mitigate the negative impact from lower projected capacity prices. Our analysis assumes that Lower Mount Bethel will realize above-average profitability due to currently favorable market dynamics. Any material weakness in power prices and spark spreads, or an inability to capitalize on the currently attractive market conditions, would lead to a downgrade. Under our base-case forecast, we expect minimum DSCR of 1.34x and TLB outstanding at maturity in December 2025 of $230 million. "We would lower the rating if we expect the project's minimum DSCR to fall below 1.30x. This could be the result of several factors, including a further decline in capacity prices, lower-than-forecast energy margins, or lower-than-expected sweeps, which would lead to higher debt outstanding at TLB maturity. "We could revise the outlook to stable if we expect a minimum DSCR of about 1.4x through project life, including the refinancing period. This would be spurred by improved capacity prices or higher-than-forecast energy margins at Lower Mount Bethel." MODIVCARE INC: S&P Affirms 'B+' ICR, Outlook Negative ----------------------------------------------------- S&P Global Ratings affirmed its 'B+' long-term issuer rating on ModivCare Inc. and the outlook remains negative. The negative outlook reflects elevated credit metrics and uncertain profitability over the next 12 months as a result of continued labor challenges in the personal care segment and expected higher utilization in the transportation segment that could pressure margins. S&P said, "We expect adjusted debt to EBITDA to decrease to the high-4x area in 2023.We expect recent Medicaid rate increases and contract repricing will help support topline growth and offset expenses from higher expected utilization in capitated NEMT (non-emergency medical transportation) contracts and wage hikes (commensurate with reimbursement increases) in the personal care segment. We view recent reimbursement rate increases, which occurred despite state budget constraints, as a positive development. We believe there will be high demand for the company's services as the pandemic eases, supporting continued revenue and EBITDA growth. We also expect ModivCare to slow its pace of acquisitions and share repurchases in light of its elevated leverage and the departure of its CEO, who we believe was a driving force behind the company's acquisitions. "We're uncertain about the company's profitability over the next 12 months. We see elevated risk to our base case, such that leverage could stay above 5x in 2023 rather than decreasing." S&P sees five primary sources of uncertainty: -- The recent unexpected departures of ModivCare's CEO and the president of its home division will increase its execution risk because the interim CEO will need to assume multiple responsibilities and the departures represent a loss of significant experience and relationships in the industry; -- Medicaid redetermination and other potential eligibility shifts could significantly reduce the number of qualified patients, at least temporarily; -- Rising utilization in the capitated contracts in the NEMT segment could pressure margins; -- A tight labor market for the low-wage personal care workers; and -- Increased operating complexity from four significant acquisitions since November 2020 and entering three new service lines: personal care services, remote monitoring, and food delivery. S&P believes any underperformance would be compounded by the company's constrained cash flow over 2022 and 2023 because of its roughly $280 million of accrued contracts payable (as of June 30, 2022, related to profitability caps on its capitated contracts). S&P Global Ratings-adjusted EBITDA margins will likely stabilize at around 8%-9% in 2023. S&P said, "We believe the company will continue to renegotiate contracts in the NEMT business to offset higher expenses from higher fuel costs and labor. We expect the higher reimbursement to provide some cushion for margin pressure from expected increased ridership in capitated contracts. Similarly, we expect wages to remain high in the personal care segment given the tight labor market. We believe most of the Medicaid rate increase will be passed onto the low-skill workers in order to attract and retain talents, so we are forecasting relative flat margins for the segment. However, overall we believe 2022 margins will decline to around 8%, from 8.3% in 2021, before expanding modestly in 2023 to the 8% to 9% range, primarily from a decrease in restructuring and transaction-related expenses." The company's increased business complexity over the past two years is another source of risk. ModivCare has aggressively expanded from a single line of business (NEMT) to now include personal care, remote monitoring, and food delivery. The company has acquired four companies since November 2020 to expand its supportive care offerings. These business segments all benefit from its established relationships with large Medicaid and Medicare Advantage payers (creating bundling and cross-selling opportunities) and fit with the company's broader mission of focusing on the social determinants of health. S&P said, "That said, we see elevated operational risk because they involve diverse business models with unique dynamics and challenges, especially labor management. The company is also now operating with an offshore labor force, which can affect service quality. Our base-case forecast assumes an expansion in all of ModivCare's segments because of strong demand. However, we believe its operating risk will remain elevated in the near term and expenses could exceed our expectations, as they have over the last year." The company's position as the largest NEMT manager in the U.S. partially offsets the aforementioned risks. S&P said, "We believe the company's scale provides it with a competitive advantage when negotiating contracts with payors and enables it to spread large corporate costs, technology, and call center staff across a bigger base. Given the aging population in the U.S. and the push for the greater use of value-based health care, we believe there is increasing demand for ModivCare's services." Its NEMT services helps its members receive medical care on a timely basis, which should reduce unnecessary hospitalization. Moreover, its personal care services could help the health care system reduce costs since it is cheaper for the elderly and disabled to receive care at home than in an institutional setting. The negative outlook reflects elevated downside risk to S&P's base case, which assumes adjusted debt to EBITDA declining to the high-4x area in 2023 from growth in all three segments and 50-100 basis points of margin expansion. S&P said, "We could consider a lower rating if we expect adjusted debt to EBITDA to remain higher than 5x. The most likely scenario for higher leverage is underperformance from staffing challenges in the personal care market and higher-than-expected costs in NEMT. Additional debt-funded acquisitions could result in leverage above 5x, and we could consider lowering the rating in that scenario. "We could revise the outlook to stable if ModivCare executes well over the next 12 months and meets our base case for adjusted debt to EBITDA to remain below 5x. A stable outlook would also entail our belief that the company's financial policy is supportive of maintaining leverage below 5x." ESG credit indicators: To E-2, S-2, G-3 from E-2, S-2, G-2 S&P said, "We revised our governance indicator to G-3 from G-2 to reflect our view that governance factors are a moderately negative consideration in our credit rating analysis. Our assessment of the company's management culture reflects the unexpected change to senior leaders in a short period of time, including the CEO and president of the home division, which we think increases execution risk." NATIONAL REALTY: Developer, Investors Agree to Manager Switch ------------------------------------------------------------- A deal struck by real estate developer National Realty Investment Advisors and a group of investors to replace the company's current received a New Jersey bankruptcy judge's approval on Tuesday, August 9, 2022. U.S. Bankruptcy Judge John K. Sherwood during a hearing approved the settlement between NRIA and the investors, ending the investors' bid to put a court-appointed trustee in place of company manager Brian J. Casey, who they said was tainted by his association with ex-NRIA executives now facing fraud claims. The settlement resolves moves by Jean-Michel Appolon, Thomas Cooper, Allen Cvelic and Martina Gudac Cvelic, Husband & Wife, Andrew Maretz, Thomas J. Cioffe, Cioffe Enterprises, Inc., Thomas James Cioffe, Jr., Joseph Occhiogrosso, Annemarie Occhiogrosso, Robert Zukowski, and Anthony Siriani for appointment of a Chapter 11 trustee or conversion of the case to Chapter 7 liquidation. Pursuant to the settlement, the Debtor will establish a board of managers for NRIA with three independent managers and retain Turnaround Advisors, LLC to provide a chief restructuring officer ("CRO") in connection with the chapter 11 cases, nunc pro tunc to August 1, 2022. As of the Petition Date, Mr. Casey served as the Debtors' Independent Manager. Except with respect to Mr. Casey's role as the Independent Manager, no Board of Managers for NRIA or the other Debtors existed. Board of Managers With the approval of the settlement, Mr. Casey will be relieved of his duties as Independent Manager and a new three-person Board of Managers for NRIA will be established. The initial members of the New Board will be the Honorable Kevin Carey (Ret.), the Honorable Kevin Gross (Ret.), and Bernard Katz. Mr. Carey and Mr. Gross are both highly regarded former bankruptcy judges from the United States Bankruptcy Court for the District of Delaware and Mr. Katz is a respected turnaround professional with more than 40 years of experience in forensic accounting, restructuring and financial advisory services. In addition, Mr. Katz has served as an independent director/manager in at least 12 cases over the past several years. Together, they will provide the Debtors with the requisite guidance to complete the chapter 11 process and return investor funds. The New Board will retain the law firm of Cole Schotz P.C. to represent it in connection with these Chapter 11 Cases, effective as of July 25, 2022. Cole Schotz shall not be required to file a retention application, monthly fee statements, or interim or final compensation applications with the Bankruptcy Court. About National Realty Investment National Realty Investment Advisors is a luxury-homes developer based in Secaucus, New Jersey. National Realty Investment Advisors, LLC, and 102 affiliates, including NRIA Partners Portfolio Fund I, LLC, sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.N.J. Lead Case No. 22-14539) on June 7, 2022. In the petition filed by Brian Casey, as independent manager of NRIA LLC, National Realty Investment Advisors estimated less than $50,000 in assets and debt. NRI Partners Portfolio estimated assets between $50 million and $100 million and liabilities between $500 million and $1 billion. The cases are assigned to Honorable Bankruptcy Judge John K. Sherwood. S. Jason Teele, of Sills Cummis & Gross P.C., is the Debtors' counsel. Omni Agent Solutions is the claims agent. NEKTAR THERAPEUTICS: Incurs $159.1-Mil. Net Loss in Second Quarter ------------------------------------------------------------------ Nektar Therapeutics filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q disclosing a net loss of $159.07 million on $21.59 million of total revenue for the three months ended June 30, 2022, compared to a net loss of $125.52 million on $28.33 million of total revenue for the three months ended June 30, 2021. For the six months ended June 30, 2022, the Company reported a net loss of $249.46 million on $46.41 million of total revenue compared to a net loss of $248.49 million on $51.98 million of total revenue for the same period in 2021. As of June 30, 2022, the Company had $861.99 million in total assets, $403.26 million in total liabilities, and $458.73 million in total stockholders' equity. A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/906709/000090670922000014/nktr-20220630.htm About Nektar Therapeutics Nektar Therapeutics -- http://www.nektar.com-- is a biopharmaceutical company with a robust, wholly owned R&D pipeline of investigational medicines in oncology, immunology, and virology as well as a portfolio of approved partnered medicines. Nektar is headquartered in San Francisco, California, with additional operations in Huntsville, Alabama and Hyderabad, India. Nektar Therapeutics reported a net loss of $523.84 million for the year ended Dec. 31, 2021, a net loss of $444.44 million for the year ended Dec. 31, 2020, and a net loss of $440.67 million for the year ended Dec. 31, 2019. As of March 31, 2022, the Company had $1.02 billion in total assets, $416.23 million in total liabilities, and $607.89 million in total stockholders' equity. NEXTIER OILFIELD: S&P Raises ICR to 'B+' on Strong Credit Measures ------------------------------------------------------------------ S&P Global Ratings raised its issuer credit rating on NexTier Oilfield Solutions Inc. to 'B+' from 'B'. S&P said, "At the same time, we raised our issue-level rating on its $350 million senior secured term loan due in 2025 to 'BB' from 'BB-'. The '1' recovery rating is unchanged and reflects our expectation of very high (90%-100%; rounded estimate: 95%) recovery of principal in the event of a payment default. "The stable outlook reflects our view that NexTier will maintain strong credit measures in 2022 and 2023, including funds from operations (FFO) to debt in excess of 100% and debt to EBITDA of less than 0.75x. "The upgrade to 'B+' reflects our expectation of improved credit measures in 2022 and 2023. NexTier's financial performance has been steadily improving in recent quarters as a result of its higher active fleet count and better pricing. We now believe its active hydraulic fracturing fleets are essentially sold out for the remainder of 2022 and 2023, supporting sustained strong credit measures for at least the next 12-18 months. The tight supply of equipment is enabling the company to recoup pricing power that was lost in the downturn and we expect this, coupled with a higher active fleet count, will drive a revenue increase of more than 100% in 2022, compared with 2021. Despite the steep cost inflation the sector is facing for labor and equipment, we also expect a significant increase in overall company margins, under the assumption that in this market the company will be able to pass through the majority of cost increases to customers. We now anticipate FFO to debt to average well over 100% in 2022-2023 (compared with about 17% in 2021) and debt to EBITDA of less than 0.75x (compared with about 4.5x in 2021). "We anticipate NexTier will turn free operating cash flow (FOCF) positive in 2022. Under our current projections, we expect positive FOCF in excess of $200 million in 2022 and $300 million in 2023, which would shift the company to a net cash position. In our projections, we assume maintenance capital spending will increase to around $3.5 million per fleet per year, from about $3 million previously, due to a combination of cost inflation and greater wear and tear of equipment from more intense pumping jobs and longer working hours than in prior years. NexTier does not expect to deploy any additional fleets in 2022 but will bring its first fully electric-powered fleet to market in the first quarter of 2023, with no other announced newbuilds at this time. "Industrywide pressure pumping equipment is at near-full utilization, which is driving improved pricing and margins for the sector. We believe the oversupply of fracking equipment, which weighed on pricing and hurt the sector's financial performance in recent years, is now close to fully absorbed, through a combination of improved demand for services as a result of the higher commodity prices and reduced fleet count. Capacity has been removed from the market through equipment attrition and cannibalization of fleets for parts. In addition, capital constraints and supply chain inefficiencies have limited the number of newbuild fleets coming to market. The current lead times for newbuild fleets are now anticipated to be around 12-plus months, which supports our view that pressure pumping equipment will likely remain close to sold out through year-end 2023, notwithstanding a material decrease in demand. "The stable outlook reflects our view that NexTier will maintain strong credit measures, including FFO to debt of well over 100% and debt/EBITDA of less than 0.75x in 2022 and 2023, supported by high utilization and improved net pricing on its hydraulic fracturing fleet. "We could lower the rating if we expect NexTier's FFO to debt to fall below 45% for a sustained period without a clear path to improvement. This would most likely occur from weakness in commodity prices that leads to cutbacks in E&P spending and completions activity and lower demand for NexTier's services. "We could raise the rating if NexTier improves its business risk to be more in line with higher-rated peers with a more diverse set of product and service offerings, while also maintaining FFO to debt of at least 45% and a conservative financial policy." ESG credit indicators: E-4, S-2, G-2 S&P said, "Environmental factors are a negative consideration in our rating analysis on NexTier Oilfield Solutions Inc. due to our expectation that the energy transition will result in lower demand for services and equipment as accelerating adoption of renewable energy sources lowers demand for fossil fuels. Additionally, the industry faces an increasingly challenging regulatory environment, both domestically and internationally, that has included limits on fracking activity in certain jurisdictions, which we believe would negatively affect demand for NexTier's services, which are primarily fracking and other completions related services. We do note that NexTier has invested in converting the bulk of its fleet from diesel powered to gas or dual-fuel capable, and continues to invest in its Power Solutions business, which among its services provides field gas capture for on-site use." NINE DEGREES: Amends Plan to Include IFCU Agreement --------------------------------------------------- Nine Degrees Hacking Corp., et al., submitted a Revised Disclosure Statement. The Disclosure Statement and the Plan of reorganization incorporate the terms of the Agreement to Surrender Estate Assets and Resolve Deficiency Claim (the "Agreement") reached between the Debtors and Island Federal Credit Union, which was approved by the Bankruptcy Court on June 16, 2022. The Agreement to Surrender Estate Assets and Resolve Deficiency Claim is attached hereto as Exhibit D with the following link: https://bit.ly/3Qtu3hi. Under the Plan, Class 4A Unsecured Claim of Island Federal Credit Union against the Nine Degrees Hacking Corp. totaling $472,614. Pursuant to the Agreement, the Debtors shall pay to IFCU the sum of $375,000, which represents approximately 24.72 % of its general unsecured claims, as follows: (i) Boyd and/or Individual Borrowers (David Navaro and Orly Navaro) shall pay to IFCU the sum of $125,000.00; (ii) Shulamit and/or Individual Borrowers (David Navaro and Orly Navaro) shall pay to IFCU the sum of $125,000.00; and (iii) Nine Degrees and/or Individual Borrowers (David Navaro and Orly Navaro) shall pay to IFCU the sum of $125,000. Class 4A is impaired. Class 4B Unsecured Claim of Island Federal Credit Union against Boyd Taxi, Inc. total $530,046. Pursuant to the Agreement, Debtors shall pay to IFCU the sum of $375,000, which represents approximately 24.72 % of its general unsecured claims, as follows: (i) Boyd and/or Individual Borrowers (David Navaro and Orly Navaro) shall pay to IFCU the sum of $125,000.00; (ii) Shulamit and/or Individual Borrowers (David Navaro and Orly Navaro) shall pay to IFCU the sum of $125,000.00; and (iii) Nine Degrees and/or Individual Borrowers (David Navaro and Orly Navaro) shall pay to IFCU the sum of $125,000. Class 4B is impaired. Class 4C Unsecured Claim of Island Federal Credit Union against Shulamit Hacking Corp. total $517,095. Pursuant to the Agreement, Debtors shall pay to IFCU the sum of $375,000, which represents approximately 24.72% of its general unsecured claims, as follows: (i) Boyd and/or Individual Borrowers (David Navaro and Orly Navaro) shall pay to IFCU the sum of $125,000; (ii) Shulamit and/or Individual Borrowers (David Navaro and Orly Navaro) shall pay to IFCU the sum of $125,000; and (iii) Nine Degrees and/or Individual Borrowers (David Navaro and Orly Navaro) shall pay to IFCU the sum of $125,000. Class 4C is impaired. Class 5A Unsecured Claims of U.S. Small Business Administration against Nine Degrees Hacking Corp. total $15,800.00. The claim will receive a 24.72% dividend ($3,905.76) in 24 monthly installment payments in the amount of $162.74. Class 5A is impaired. Class 5B Unsecured Claims of U.S. Small Business Administration against Boyd Taxi, Inc. total $25,351. The claim will be paid a 24.72% dividend ($6,266.80) in 24 monthly installment payments in the amount of $261.12. Class 5B is impaired. Class 5C Unsecured Claims of U.S. Small Business Administration against Shulamit Hacking Corp. total $21,675.15. The claim will be paid a 24.72% dividend ($5,358.10) in 24 monthly installment payments in the amount of $223.25. Class 5C is impaired. Class 6 Unsecured Claim of New York State Department of Taxation and Finance against Nine Degrees Hacking Corp. totaling $225.48. The claim will be paid a 24.72% dividend ($55.74) unsecured will be paid in full on Effective date of the plan. Class 6 is impaired. Class 7 Unsecured Claim of New York State Department of Taxation and Finance against Boyd Taxi, Inc. totaling $34.60. The claim will be paid a 24.72% dividend ($8.55) unsecured will be paid in full on Effective date of the plan. Class 7 is impaired. The Plan will be funded from funds accumulated in the Debtor in Possession bank accounts and from contribution of their principals. Attorney for Nine Degrees Hacking Corp, Boyd Taxi, Inc. and Shulamit Hacking Corp: Alla Kachan, Esq. 2799 Coney Island Ave., Suite 202 Brooklyn, NY 11235 Tel: (718) 513-3145 Fax: (347) 342-3156 E-mail: alla@kachanlaw.com A copy of the Revised Disclosure Statement dated August 5, 2022, is available at https://bit.ly/3bAAPmu from PacerMonitor.com. About Nine Degrees Nine Degrees Hacking Corp. filed a petition for Chapter 11 protection (Bankr. E.D. N.Y. Case No. 21-42356) on Sept. 17, 2021, listing up to $500,000 in assets and up to $1 million in liabilities. David Navaro, president, signed the petition. Judge Nancy Hershey Lord oversees the case. The Debtor tapped the Law Offices of Alla Kachan, P.C. as legal counsel and Wisdom Professional Services, Inc. as accountant. OSG GROUP: August 29 Plan & Disclosure Statement Hearing Set ------------------------------------------------------------ OSG Group Holdings, Inc., and its Debtor Affiliates filed with the U.S. Bankruptcy Court for the District of Delaware a motion for the entry of an order scheduling the Combined Hearing on the adequacy of the Disclosure Statement and confirmation of the Plan. On August 9, 2022, Judge John T. Dorsey granted the motion and ordered that: * August 29, 2022, is the Combined Hearing, at which time the Bankruptcy Court will consider, among other things, the adequacy of the Disclosure Statement and confirmation of the Plan. * August 26, 2022 at 4:00 p.m. is fixed as the last day to file any objections to the adequacy of the Disclosure Statement or confirmation of the Plan. * July 25, 2022 at 5:00 p.m. is the record date for purposes of determining which Holders of Claims or Interests are entitled to vote to accept or reject the Plan. * August 4, 2022 at 4:00 p.m. is the Voting Deadline. A full-text copy of the order dated August 9, 2022, is available at https://bit.ly/3SPwexo from STRETTO, INC., claims agent. Proposed Counsel for Debtors: Gregg M. Galardi, Esq. Cristine Pirro Schwarzman, Esq. Kevin Liang, Esq. Eric M. Sherman, Esq. ROPES & GRAY LLP 1211 Avenue of the Americas New York, New York 10036 Tel: (212) 596-9000 Fax: (212) 596-9090 E-mail: gregg.galardi@ropesgray.com cristine.schwarzman@ropesgray.com kevin.liang@ropesgray.com eric.sherman@ropesgray.com - and - Stephen L. Iacovo, Esq. Luke Smith, Esq. ROPES & GRAY LLP 191 North Wacker Drive, 32nd Floor Chicago, Illinois 60606 Tel: (312) 845-1200 Fax: (312) 845-5500 E-mail: stephen.iacovo@ropesgray.com luke.smith@ropesgray.com Erin R. Fay, Esq. Gregory J. Flasser, Esq. Maria Kotsiras, Esq. BAYARD, P.A. 600 N. King Street, Suite 400 Wilmington, Delaware 19801 Tel: (302) 655-5000 Fax: (302) 658-6395 E-mail: efay@bayardlaw.com flasser@bayardlaw.com mkotsiras@bayardlaw.com About OSG Group Holdings OSG Group Holdings Inc. -- https://osgconnect.com/ -- through its subsidiaries, offers outsourced communications solutions to corporate clients primarily in North America and Europe, the Middle East, and Asia. The Company provides complementary services such as online payment portals, call centers, document scanning and accounts payable software. OSG Group Holdings and affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 22-10718) on August 7, 2022. In the petition filed by Erik W. Ek, as president, secretary and treasurer, OSG reported assets between $500,000 and $1 billion and liabilities between $1 billion and $10 billion. The Debtors tapped ROPES & GRAY LLP as general bankruptcy counsel; BAYARD, P.A., as Delaware bankruptcy counsel; FTI CONSULTING, INC., as financial advisor; and EVERCORE GROUP L.L.C. as investment banker. STRETTO, INC., is the claims agent. OSG GROUP: Gets Court OK to Seek Quick Exit From Bankruptcy ----------------------------------------------------------- Steven Church of Bloomberg News reports that OSG Group Holdings Inc. won court approval to try to exit bankruptcy more quickly than normal after the billing and marketing services business negotiated a deal to hand majority ownership to creditors. U.S. Bankruptcy Judge John Dorsey, in Wilmington, Delaware, agreed to consider approving the company's pre-packaged reorganization plan on Aug. 29 under rules that allow a company to speed through a Chapter 11 case if they have enough creditor support. Judge Dorsey also gave the company temporary approval for its financing package. About OSG Group Holdings OSG Group Holdings Inc. -- https://osgconnect.com/ -- through its subsidiaries, offers outsourced communications solutions to corporate clients primarily in North America and Europe, the Middle East, and Asia. The Company provides complementary services such as online payment portals, call centers, document scanning and accounts payable software. OSG Group Holdings and affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 22-10718) on August 7, 2022. In the petition filed by Erik W. Ek, as president, secretary and treasurer, OSG reported assets between $500,000 and $1 billion and liabilities between $1 billion and $10 billion. The Debtors tapped ROPES & GRAY LLP as general bankruptcy counsel; BAYARD, P.A., as Delaware bankruptcy counsel; FTI CONSULTING, INC., as financial advisor; and EVERCORE GROUP L.L.C. as investment banker. STRETTO, INC. is the claims agent. OSG GROUP: Paul Hastings, CS Update on First Lien Group ------------------------------------------------------- In the Chapter 11 cases of OSG Group Holdings, Inc., et al., the law firms of Paul Hastings LLP and Cole Schotz P.C. submitted a revised verified statement under Rule 2019 of the Federal Rules of Bankruptcy Procedure, to disclose an updated list of ad hoc group of consenting first lien lenders that they are representing. As of Aug. 11, 2022, each member of the First Lien Group and their disclosable economic interests are: Apex Credit Partners LLC 520 Madison Ave, 16th Floor New York, NY 10022 * First Lien Term Loans: $7,824,496.93 Ares Management LLC 2000 Avenue of the Stars, 12th Floor Los Angeles, CA 90067 * First Lien Term Loans: $17,507,303.92 Audax Private Debt 101 Huntington Ave Boston, MA 02199 * First Lien Term Loans: $20,985,248.92 Barings LLC 111 S Wacker Drive, Suite 3100 Chicago, IL 60606 * First Lien Term Loans: $15,366,500.56 Bayside Capital, Inc. 1450 Brickell Avenue, 31st Floor Miami, FL 33131 * First Lien Term Loans: $77,689.717.27 Blackstone Liquid Credit Strategies LLC 345 Park Ave, 31st Floor New York, NY 10154 * First Lien Term Loans: $17,311,650.96 Bridgepoint Credit I A (L) S.a r.l. 6B, Rue du Fort NiedergrÃ¼newald L-2226 Luxembourg * First Lien Term Loans: EUR4,531,816.00 Bridgepoint Credit I A S.a r.l. 6B, Rue du Fort NiedergrÃ¼newald L-2226 Luxembourg * First Lien Term Loans: EUR330,684.00 Bridgepoint Credit II (L) S.a r.l. 6B, Rue du Fort NiedergrÃ¼newald L-2226 Luxembourg * First Lien Term Loans: EUR20,724,642.84 Bridgepoint Credit S S.a r.l. 6B, Rue du Fort NiedergrÃ¼newald L-2226 Luxembourg * First Lien Term Loans: EUR12,885,625.00 Bridgepoint Credit II S.a r.l. 6B, Rue du Fort NiedergrÃ¼newald L-2226 Luxembourg * First Lien Term Loans: EUR1,642,857.16 Capital One Financial Corporation 299 Park Avenue, 23rd Floor New York, NY 10171 * First Lien Term Loans: $23,538,599.89 * First Lien Revolving Loans: $5,000,000.00 Churchill Middle Market CLO IV, Ltd. 430 Park Avenue, 14th Floor New York, NY 10022 * First Lien Term Loans: $6,486,184.36 Churchill MMSLFK GT 1 430 Park Avenue, 14th Floor New York, NY 10022 * First Lien Term Loans: $1,383,719.37 Churchill Middle Market CLO III, LLC 430 Park Avenue, 14th Floor New York, NY 10022 * First Lien Term Loans: $5,794,324.76 Nuveen Churchill Direct Lending Corporation 430 Park Avenue, 14th Floor New York, NY 10022 * First Lien Term Loans: $3,849,014.35 CMIC SPV I LLC 430 Park Avenue, 14th Floor New York, NY 10022 * First Lien Term Loans: $7,956,386.14 TIAA Churchill Middle Market CLO I, Ltd. 430 Park Avenue, 14th Floor New York, NY 10022 * First Lien Term Loans: $6,463,170.23 First Eagle Alternative Credit, LLC 227 West Monroe Street, Suite 3800 Chicago, IL 60606 * First Lien Term Loans: $31,496,470.19 Goldman Sachs Asset Management 200 West Street New York, NY 10282 * First Lien Term Loans: $7,683,250.12 Medalist Partners Corporate Finance LLC 8000 Avalon Blvd., Suite 460 Alpharetta, GA 30009 * First Lien Term Loans: $2,561,083.32 MJX Asset Management 12 East 49th Street, 38th Floor New York, NY 10017 * First Lien Term Loans: $6,554,129.61 Monroe Capital LLC 311 South Wacker Drive, 64th Floor Chicago, IL, 60606 * First Lien Term Loans: $23,876,781.38 Nassau Corporate Credit LLC 17 Old Kings Highway South Darien, CT 06820 * First Lien Term Loans: $8,855,390.91 NXT Capital CLO 2020-1, LLC 191 N Wacker Dr. 30th Floor Chicago, IL, 60606 * First Lien Term Loans: $10,244,333.42 PennantPark Investment Advisers, LLC 1691 Michigan Avenue, Suite 500 Miami Beach, Florida 33139 * First Lien Term Loans: $28,591,163.58 Redding Ridge Asset Management LLC 126 E. 56th St., 22nd Fl. New York, NY 10022 * First Lien Term Loans: $14,408,468.78 Teachers Insurance & Annuity Association of America 430 Park Avenue, 14th Floor New York, NY 10022 * First Lien Term Loans: $12,972,368.76 Telos Asset Management LLC One Rockefeller Plaza, 32nd Floor New York, NY 10020 * First Lien Term Loans: $10,828,146.65 Counsel represents only the First Lien Group and does not represent or purport to represent any persons or entities other than the First Lien Group in connection with the Chapter 11 Cases. In addition, as of the date of this Verified Statement, the First Lien Group, both collectively and through its individual members, does not represent or purport to represent any other persons or entities in connection with the Chapter 11 Cases. Counsel to the First Lien Group can be reached at: COLE SCHOTZ P.C. Norman L. Pernick, Esq. Patrick J. Reilley, Esq. Michael E. Fitzpatrick, Esq. 500 Delaware Avenue, Suite 1410 Wilmington, DE 19801 Telephone: (302) 652-3131 Facsimile: (302) 652-3117 E-mail: npernick@coleschotz.com preilley@coleschotz.com mfitzpatrick@coleschotz.com - and - Jayme Goldstein, Esq. Christopher Guhin, Esq. Isaac S. Sasson, Esq. PAUL HASTINGS LLP 200 Park Avenue New York, NY 10166 Telephone: (212) 318-6000 Facsimile: (212) 319-4090 E-mail: jaymegoldstein@paulhastings.com chrisguhin@paulhastings.com isaacsasson@paulhastings.com A copy of the Rule 2019 filing, downloaded from PacerMonitor.com, is available at https://bit.ly/3AkctH9 and https://bit.ly/3JPu3WR About OSG Group Holdings OSG Group Holdings Inc. -- https://osgconnect.com/ -- through its subsidiaries, offers outsourced communications solutions to corporate clients primarily in North America and Europe, the Middle East, and Asia. The Company provides complementary services such as online payment portals, call centers, document scanning and accounts payable software. OSG Group Holdings and affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 22-10718) on August 7, 2022. In the petition filed by Erik W. Ek, as president, secretary and treasurer, OSG reported assets between $500,000 and $1 billion and liabilities between $1 billion and $10 billion. The Debtors tapped Ropes & Gray LLP as general bankruptcy counsel; Bayard, P.A., as Delaware bankruptcy counsel; FTI Consulting, Inc., as financial advisor; and Evercore Group L.L.C. as investment banker. Stretto, Inc., serves as claims agent. PARKERVISION INC: Incurs $4.4 Million Net Loss in Second Quarter ---------------------------------------------------------------- Parkervision, Inc. filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q disclosing a net loss of $4.40 million on zero revenue for the three months ended June 30, 2022, compared to a net loss of $4.41 million on zero revenue for the three months ended June 30, 2021. For the six months ended June 30, 2022, the Company reported a net loss of $4.07 million on zero revenue compared to a net loss of $6.87 million on zero revenue for the same period during the prior year. As of June 30, 2022, the Company had $2.82 million in total assets, $49.97 million in total liabilities, and a total shareholders' deficit of $47.15 million. Parkervision stated, "We have incurred significant losses from operations and negative cash flows from operations in every year since inception and have utilized the proceeds from the sales of debt and equity securities and contingent funding arrangements with third parties to fund our operations, including the cost of litigation. For the six months ended June 30, 2022, we incurred a net loss of approximately $4.1 million and incurred negative cash flows from operations of approximately $1.6 million. At June 30, 2022, we had cash and cash equivalents of approximately $0.8 million and an accumulated deficit of approximately $437.5 million. Additionally, a significant amount of future proceeds that we may receive from our patent enforcement and licensing programs will first be utilized to repay borrowings and legal fees and expenses under our contingent funding arrangements. These circumstances raise substantial doubt about our ability to continue to operate as a going concern for a period of one year following the issue date of these condensed consolidated financial statements. "For the six months ended June 30, 2022, we received aggregate net proceeds from debt financings of approximately $1.4 million. We received an additional $0.3 million in net proceeds from debt financings in August 2022. "Our current capital resources are not sufficient to meet our liquidity needs for the next twelve months and we will be required to seek additional capital. Our ability to meet our liquidity needs for the next twelve months is dependent upon (i) our ability to successfully negotiate licensing agreements and/or settlements relating to the use of our technologies by others in excess of our contingent payment obligations, (ii) our ability to control operating costs, and/or (iii) our ability to obtain additional debt or equity financing. We expect that proceeds received by us from patent enforcement actions and technology licenses over the next twelve months may not alone be sufficient to cover our working capital requirements. "We expect to continue to invest in the support of our patent enforcement and licensing programs. The long-term continuation of our business plan is dependent upon the generation of sufficient revenues from our technologies and/or products to offset expenses and contingent payment obligations. In the event that we do not generate sufficient revenues, we will be required to obtain additional funding through public or private debt or equity financing or contingent fee arrangements and/or reduce operating costs. Failure to generate sufficient revenues, raise additional capital through debt or equity financings or contingent fee arrangements, and/or reduce operating costs will have a material adverse effect on our ability to meet our long-term liquidity needs and achieve our intended long-term business objectives." A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/0000914139/000091413922000018/prkr-20220630x10q.htm About Parkervision Headquartered in Jacksonville, Florida, ParkerVision, Inc. (http://www.parkervision.com)has designed and developed proprietary radio-frequency (RF) technologies that enable advanced wireless solutions for current and next generation wireless communication products. ParkerVision is engaged in a number of patent enforcement actions in the U.S. to protect patented rights that it believes are broadly infringed by others. Parkervision reported a net loss of $12.33 million for the year ended Dec. 31, 2021, a net loss of $19.58 million for the year ended Dec. 31, 2020, and a net loss of $9.45 million for the year ended Dec. 31, 2019. As of March 31, 2022, the Company had $2.41 million in total assets, $45.96 million in total liabilities, and a total shareholders' deficit of $43.55 million. Fort Lauderdale, Florida-based MSL, P.A., the Company's auditor since 2019, issued a "going concern" qualification in its report dated March 29, 2022, citing that the Company has suffered recurring losses from operations and has a net capital deficiency that raise substantial doubt about its ability to continue as a going concern. PIZARRO HAIR: Hires William G. Haeberle P.A. as Accountant ---------------------------------------------------------- Pizarro Hair Restoration Inc., seeks approval from the U.S. Bankruptcy Court for the Middle District of Florida to employ William G. Haeberle, P.A. as accountant to perform tax preparation services. The firm will be paid at the rate of $250 per hour. The retainer is $1,500. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. William G. Haeberle, a partner at William G. Haeberle, P.A., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: William G. Haeberle William G. Haeberle, P.A. 4446-1 A Hendricks Ave St. 245 Jacksonville, FL 32207 About Pizarro Hair Restoration Pizarro Hair Restoration, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 22-02259) on June 27, 2022, disclosing up to $100,000 in assets and up to $1 million in liabilities. Marina Pizarro, president, signed the petition. Judge Lori V. Vaughan oversees the case. Thomas C. Adam, Esq., at Adam Law Group, PA serves as the Debtor's counsel. PREMIER PAVING: Seeks to Hire Forshey & Prostok as Legal Counsel ---------------------------------------------------------------- Premier Paving Ltd. seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to hire Forshey & Prostok, LLP to serve as legal counsel in its Chapter 11 case. The firm's services include: (a) advising the Debtor of its rights, powers and duties as debtor and debtor-in-possession continuing to operate and manage its business and assets; (b) advising the Debtor concerning, and assisting in the negotiation and documentation of, agreements, debt restructurings, and related transactions; (c) reviewing the nature and validity of liens asserted against the property of the Debtor and advising the Debtor concerning the enforceability of such liens; (d) advising the Debtor concerning the actions that they might take to collect and to recover property for the benefit of the Debtor's estate; (e) preparing on behalf of the Debtor all necessary and appropriate applications, motions, pleadings, proposed orders, notices, and other documents, and reviewing all financial and other reports to be filed in this chapter 11 case; (f) advising the Debtor concerning, and preparing responses to, applications, motions, pleadings, notices and other papers that may be filed and served in this chapter 11 case; (g) counseling the Debtor in connection with the formulation, negotiation and promulgation of one or more plans of reorganization and related documents; (h) performing all other legal services for and on behalf of the Debtor that may be necessary or appropriate in the administration of this chapter 11 case or in the conduct of this bankruptcy case and the Debtor's business, including advising and assisting the Debtor with respect to debt restructurings, asset dispositions, and general business, tax, finance, real estate and litigation matters; and (i) all such other legal services as may be necessary or appropriate in connection with this bankruptcy case. The hourly rates charged by the firm for its services are as follows: Jeff P. Prostok $725 Suzanne K. Rosen $600 Dylan T.F. Ross $325 Other Firm Attorneys $325 to $675 Paralegals / Legal Assistants $175 to $225 In addition, the firm will seek reimbursement for its out-of-pocket expenses. The Debtor paid the firm a retainer of $100,000. Dylan T.F. Ross, Esq., a partner at Forshey & Prostok, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Dylan T.F. Ross, Esq. Jeff P. Prostok Suzanne K. Rosen FORSHEY & PROSTOK LLP 777 Main St., Suite 1550 Ft. Worth, TX 76102 Telephone: (817) 877-8855 Facsimile: (817) 877-4151 Email: jprostok@forsheyprostok.com srosen@forsheyprosto.com dross@forsheyprostok.com About Premier Paving Ltd. Premier Paving Ltd. specializes in asphalt construction. Premier Paving Ltd. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 22-41560) on July 13, 2022. In the petition filed by The Debtor reports estimated assets between $10 million and $50 million and estimated liabilities between $10 million and $50 million. Dylan Tanner Franklin Ross, Forshey & Prostok LLP, is the Debtor's counsel. REPLICEL LIFE: Announces Material Patent Milestones in Key Markets ------------------------------------------------------------------ RepliCel Life Sciences Inc. announced the granting of several patents covering novel aspects of the DermaPrecise product portfolio, as well as the granting and/or allowance of four other patent applications for its skin rejuvenation and tendon regeneration technologies. RepliCel has now been granted patents for DermaPrecise by the patent offices in the Unites States (Patent No. 11,311,684) and Japan (Patent No. 6718472B2), both of which are key, near-term markets for RepliCel’s cell therapies and the DermaPrecise product line. RepliCel has also received a notice of allowance in New Zealand for a corresponding patent application. "RepliCel has a growing number of allowed and granted patents globally with respect to its innovative DermaPrecise injector, control unit and consumables," stated RepliCel President and CEO, R. Lee Buckler. "With the positive results we are now seeing in testing of the DermaPrecise injection system, we continue to generate patentable innovations which serve to strengthen the clinical and commercial value of this next-generation injection technology." Additionally, RepliCel has been granted: * in relation to its RCS-01, regenerative cell therapy for skin rejuvenation, a patent in New Zealand (Patent No. 715905) and a notice of allowance in Mexico on a related application; * in relation to its RCT-01 cell-based regenerative medicine for the treatment of chronic tendinopathy, a patent in South Africa, and a notice of allowance on a corresponding application in China, where the product has been licensed and is being co-developed by RepliCel's partner for Greater China. About Replicel RepliCel Life Sciences Inc. is a regenerative medicine company focused on developing cell therapies for aesthetic and orthopedic conditions affecting what the Company believes is approximately one in three people in industrialized nations, including aging/sun-damaged skin, pattern baldness, and chronic tendon degeneration. These conditions, often associated with aging, are caused by a deficit of healthy cells required for normal tissue healing and function. These cell therapy product candidates are based on RepliCel's innovative technology, utilizing cell populations isolated from a patient's healthy hair follicles. Replicel Life reported a net loss and comprehensive loss of C$4.07 million for the year ended Dec. 31, 2021, compared to a net loss and comprehensive loss of C$1.58 million for the year ended Dec. 31, 2020. As at Dec. 31, 2021, the Company had C$591,794 in total assets, C$7.43 million in total liabilities, and a total shareholders' deficiency of C$6.84 million. Vancouver, British Columbia-based BDO Canada LLP, the Company's auditor since 2010, issued a "going concern" qualification in its report dated June 28, 2022, citing that the Company has accumulated losses of $42,231,642 since its inception and incurred a loss of $4,073,315 during the year ended Dec. 31, 2021. These events or conditions, along with other matters, indicate that a material uncertainty exists that may cast substantial doubt about its ability to continue as a going concern. REVLON INC: Appoints Interim CFO Amid Bankruptcy Process -------------------------------------------------------- Jennifer Williams-Alvarez of The Wall Street Journal reports that Revlon Inc. is changing out its top finance executive roughly two months after filing for bankruptcy protection. The New York-based cosmetics maker on Tuesday said Matt Kvarda will serve as its interim chief financial officer, effective Oct. 1, 2022. Revlon, owner of brands including Elizabeth Arden, Juicy Couture and Cutex, said current CFO Victoria Dolan is retiring after more than four years in the role. Ms. Dolan will remain with the company until Sept. 30, 2022 to help with the transition. The change in finance leadership comes as Revlon’s stock price has rallied in recent weeks, leading shareholders to press for more say in the bankruptcy process. Mr. Kvarda takes on the interim CFO role from professional services firm Alvarez & Marsal Holdings LLC, where he is a managing director. Mr. Kvarda, who has been with Alvarez & Marsal since 2004 and specializes in restructurings, has previously held interim CFO roles at engineering services company Team Inc. and at hot tub manufacturer Jacuzzi Brands. Revlon will pay Alvarez & Marsal $165,000 a month for Mr. Kvarda's service as interim CFO, subject to bankruptcy court approval, according to a regulatory filing. Neither Revlon nor Mr. Kvarda responded to requests for comment. Revlon filed for chapter 11 bankruptcy in June, attributing its troubles to supply-chain disruptions, rising inflation and obligations to lenders. Demand for Revlon products is strong, Debra Perelman, Revlon's chief executive officer, said in a statement at the time of the bankruptcy filing. "But our challenging capital structure has limited our ability to navigate macroeconomic issues in order to meet this demand." Last month, Revlon stockholders said they wanted more involvement in the bankruptcy process, and asked the court in New York to appoint an official committee to represent their interests, noting in a filing Tuesday that the company's stock price had "more than quadrupled in value" over the past two months. The company's shares traded at $8 each Tuesday afternoon, up from under $2 just before the company filed for chapter 11 protection. The stock price increase is similar to that of Hertz Global Holdings Inc., which saw its share price soar after filing for bankruptcy in 2020. Revlon's stock price movement results in "no credible argument" that the company is "hopelessly insolvent," the shareholders said in a filing Tuesday. While Revlon may pass off the surge as disconnected from business performance, the company should not be able to "substitute their 'instinct' for the free market," the shareholders said. A hearing is scheduled for Aug. 24, 2022 on whether an official equity committee will be appointed, court records indicate. The company won court approval this month to take out a $1.4 billion loan to get through bankruptcy. Along with the CFO change, Revlon on Tuesday said its net sales in the second quarter fell 11% from the prior-year period to $442.6 million. The company reported a $275.6 million loss for the quarter, widening from a $67.7 million loss a year earlier. About Revlon Inc. Revlon Inc. manufactures, markets and sells an extensive array of beauty and personal care products worldwide, including color cosmetics; fragrances; skin care; hair color, hair care and hair treatments; beauty tools; men's grooming products; anti-perspirant deodorants; and other beauty care products. Today, Revlon's diversified portfolio of brands is sold in approximately 150 countries around the world in most retail distribution channels, including prestige, salon, mass, and online. Since its breakthrough launch of the first opaque nail enamel in 1932, Revlon has provided consumers with high quality product innovation, performance and sophisticated glamour. In 2016, Revlon acquired the iconic Elizabeth Arden company and its portfolio of brands, including its leading designer, heritage and celebrity fragrances. Revlon is among the leading global beauty companies, with some of the world's most iconic and desired brands and product offerings in color cosmetics, skin care, hair color, hair care and fragrances under brands such as Revlon, Revlon Professional, Elizabeth Arden, Almay, Mitchum, CND, American Crew, Creme of Nature, Cutex, Juicy Couture, Elizabeth Taylor, Britney Spears, Curve, John Varvatos, Christina Aguilera and AllSaints. Revlon, Inc., sought Chapter 11 protection (Bankr. S.D.N.Y. Case No. 22-10760) on June 15, 2022. Fifty affiliates, including Almay, Inc, Beautyge Brands USA, Inc., and Elizabeth Arden, Inc., also sought bankruptcy protection on June 15 and June 16, 2022. Revlon disclosed total assets of $2,328,093,000 against total liabilities of $3,689,240,395 as of April 30, 2022. The Hon. David S. Jones is the case judge. PJT Partners is acting as financial advisor to Revlon and Alvarez & Marsal is acting as restructuring advisor. Paul, Weiss, Rifkind, Wharton & Garrison LLP is acting as legal advisor to the Company. Mololamken, LLC, is the conflicts counsel. Kroll, LLC, is the claims agent. SALAD & CO: Unsecureds Owed $305K Unimpaired in Plan ---------------------------------------------------- Salad & Co., Inc. submitted a Plan and a Disclosure Statement. The Debtor is a real estate holding company. Originally the Debtor was a Restaurant and Food provider, hence the name Salad & Co., Inc., but a decade ago, the Debtor opted to lease out its holdings as the business was insufficiently profitable due to volume to support both members of the company. Armando Gutierrez and Victor Bao's secured claim in the amount of $450,000 will be payable in full as valued over the life of the Plan with 5.25% interest payable monthly based on the foreclosure judgment as adjusted by the valuation process. The claim will be payable $8,544 per month for a period of 60 months for a total of $512,622. The Disclosure Statement says there is "no treatment" for Class 3 unsecured claims totaling $305,000. But the document says the class is unimpaired. The Debtor, as reorganized, will retain and will be re-vested in all property of the Estate, excepting property which is to be sold or otherwise disposed of as provided herein, executory contracts which are rejected pursuant to this Plan. Counsel for the Debtor: Marilyn L. Maloy, Esq. MALOY LAW GROUP, LLC 540 N.W. 165 Street Road, Suite 210 Miami, FL 33169 Telephone: (786) 483-7541 Facsimile: (305) 402-0204 E-mail: Marilyn@maloylaw.com A copy of the Disclosure Statement dated August 5, 2022, is available at https://bit.ly/3Q6UYQb from PacerMonitor.com. About Salad & Co. Inc. Salad & Co. Inc. is a single asset real estate debtor (as defined in 11 U.S.C. Section 101(51B)). It owns an investment property located at 1245 SW 22 St Miami, Fla., valued at $630,000. Salad & Co. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 21-21629) on Oct. 13, 2021, listing $630,000 in assets and $1,262,353 in liabilities. Judge Laurel M. Isicoff oversees the case. Michael A. Frank, Esq., at the Law Offices of Frank & De La Guardia serves as the Debtor's legal counsel. Armando Gutierrez, Jr. and Victor Bao, as secured creditors, are represented by: Denise Pichardo, Esq. Pichardo Law Group 2114 N. Flamingo Road, #1133 Pembroke Pines, FL 33028 Email: denise@pichardolawgroup.com SANDY ROAD: Seeks to Hire McDowell Rice as Bankruptcy Counsel ------------------------------------------------------------- Sandy Road Farms LLC seeks approval from the U.S. Bankruptcy Court for the District of Kansas to hire McDowell, Rice, Smith & Buchanan, P.C. to serve as legal counsel in its Chapter 11 case. The firm's services include: (a) advising the Debtor with respect to its power and duties in the continued management and operation of its business and properties; (b) attending meetings and negotiating with representatives of creditors and other parties in interest on matters affecting the Debtor's business operations, claims by and against the estate, and issues relating to its reorganization; (c) preparing legal documents; (d) taking all necessary action to protect and preserve the Debtor's estate including the prosecution of actions on its behalf, the defense of any actions commenced against the Debtor or the estate, negotiations concerning litigation in which the Debtor may be involved, and objections to claims filed against the estate; (e) attending all hearings and advocating the Debtor's positions on the applicable issues; (f) negotiating and prosecuting on the Debtor's behalf the use of cash collateral, debtor-in-possession financing, sales of assets, contracts and lease agreements, and all necessary agreements or documents; (g) formulating, negotiating and seeking approval of a disclosure statement and plan of reorganization; (h) handling all appeals of the Debtor and appearing before any appellate courts; (i) addressing all requirements of the Office of the U.S. Trustee; and (j) performing all other necessary legal services. The firm's hourly rates are as follows: Jonathan A. Margolies $495 Robert D. Maher $425 Jacob S. Margolies $225 The firm received a retainer in the amount of $100,000. Jonathan Margolies, Esq., a shareholder of McDowell, disclosed in a court filing that his firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Jonathan A. Margolies, Esq. McDowell, Rice, Smith & Buchanan, P.C. 605 W. 47th Street, Suite 350 Kansas City, MO 64112 Tel.: (816) 753-5400 Fax: (816) 753-9996 Email: jmargolies@mcdowellrice.com About Sandy Road Farms Sandy Road Farms LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Kan. Case No. 22-40446) on August 1, 2022. In the petition filed by Glenn Karlberg, as manager and chief restructuring officer, the Debtor reported assets between $1 million and $10 million and liabilities between $50 million and $100 million. Jonathan A. Margolies, of McDowell Rice Smith & Buchanan, is the Debtor's counsel. SHINING STAR: Amends Navesink Claim; Confirmation Hearing Aug. 16 ----------------------------------------------------------------- Shining Star Construction LLC submitted a First Amended Plan of Reorganization dated August 9, 2022. The Debtor filed this Subchapter V case to resolve its financial situation that resulted in a foreclosure action being filed by Navesink against the Debtor's South Orange Property. The Debtor's alleged secured claim has been challenged. The Debtor does not believe that it has any Priority Tax Claims. The Debtor proposes to pay Class 3 Creditors (General Unsecured Creditors) their pro rata share of $10,000 over three years. Class 1 consists of the claim of Navesink River Capital in the amount of $766,275.75. Following determination in the Navesink Adversary of the nature, extent and validity of Navesink's claim against the Debtor, such claim shall be reduced to the lesser of: (i) the value of the South Orange Property or (ii) the amount determined by the Bankruptcy Court as the value of Navesink's claim. This amount shall be repaid to Navesink based upon a 20-year amortization at 5% interest payable monthly over 5 years with a balloon payment due at the end of 5 years. Payments shall commence on the first of the month following the effective date or resolution of the Navesink Adversary, whichever is later. Like in the prior iteration of the Plan, Class 3 General Unsecured Creditors shall receive a total payment of $10,000 paid through equal quarterly installments for 3 years following commencement of payments. The Plan will be funded by the Debtor's principal who has outside resources from his ongoing real estate projects. These projects will provide sufficient proceeds to make the current obligation of the Debtor and restructured debt related to the Debtor. A hearing on the confirmation of the Plan is scheduled for August 16, 2022 at 2:00 P.M. in Courtroom No. 3D at the Martin Luther King, Jr. Federal Building, 50 Walnut Street, 3rd Floor, Newark, New Jersey 07102. A full-text copy of the First Amended Plan of Reorganization dated August 9, 2022, is available at https://bit.ly/3zMtSqo from PacerMonitor.com at no charge. Counsel to Shining Star Construction: TRENK ISABEL SIDDIQI & SHAHDANIAN P.C. Richard D. Trenk, Esq. Robert S. Roglieri, Esq. 290 W. Mt. Pleasant Ave., Suite 2350 Livingston, New Jersey 07039 Telephone: (973) 533-1000 Email: rtrenk@trenkisabel.law Email: rroglieri@trenkisabel.law About Shining Star Construction Shining Star Construction LLC is a construction company in New Jersey. Shining Star Construction LLC sought Chapter 11 bankruptcy protection (Bankr. D.N.J. Case No. 22-13119) on April 18, 2022. In the petition filed by Lennox Terry Dominic Dehere, Jr., as managing member, Shining Star estimated assets and liabilities between $1 million and $10 million. Richard D. Trenk, of Trenk Isabel Siddiqi & Shahdanian P.C., is the Debtor's counsel. STIMWAVE TECHNOLOGIES: Committee Seeks OK to Hire Financial Advisor ------------------------------------------------------------------- The official committee of unsecured creditors for Stimwave Technologies Inc. and Stimwave LLC seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Province, LLC as its financial advisor. The firm's services include: (a) becoming familiar with and analyzing the Debtor's budget, assets and liabilities, and overall financial condition; (b) reviewing financial and operational information furnished by the Debtor and other parties; (c) assessing the Debtor's various pleadings and proposed treatment of unsecured creditor claims therefrom; (d) preparing, or reviewing as applicable, avoidance action and claim analyses; (e) assisting the committee in reviewing the Debtor's financial reports, including, but not limited to, statements of financial affairs, schedules of assets and liabilities, and monthly operating reports; (f) preparing analyses relating to the estimation of the number and value of present and future personal injury claims; (g) developing claims procedures to be used in the development of financial models of payments and assets of a claims resolution trust; (h) advising the committee on the current state of this Chapter 11 case; (i) advising the committee in negotiations with the Debtor and other parties as necessary; (j) assisting committee counsel in its investigation of the Debtor's assets, liabilities and financial conditions, and prepetition transactions including those between the Debtor and non-Debtor affiliates; (k) if necessary, participating as a witness in hearings before the court with respect to matters upon which Province has provided advice; and (l) performing such other services as may be required or are otherwise deemed to be in the interests of the committee in accordance with the committee's powers and duties as set forth in the Bankruptcy Code, Bankruptcy Rules or other applicable law. The firm will be paid at these rates: Managing Directors and Principals $860 - $1,180 Vice Presidents, Directors, and Senior Directors $580 - $860 Analysts, Associates, and Senior Associates $300 - $580 Paraprofessionals $220 - $300 Edward Kim, a principal with Province, 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: Edward Kim Province, LLC 2360 Corporate Circle, Suite 340 Henderson, NV 89074 Phone: +1 (702) 685-5555 Email: ekim@provincefirm.com About Stimwave Technologies Incorporated Stimwave Technologies Incorporated and Stimwave LLC manufacture, distribute, and provide ongoing support for implantable, minimally invasive neurostimulators, which are used as a treatment for chronic intractable pain. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 22-10541-KBO) on June 15, 2022. In the petition signed by Aure Bruneau, as manager, the Debtor disclosed up to $100 million in assets and up to $50 million in liabilities. Young Conaway Stargatt and Taylor, LLP and Gibson, Dunn and Crutcher LLP is the Debtors' counsel. The Debtors also tapped Honigman LLP and Jones Day as special counsel, Riverson RTS, LLC as financial advisor, GLC Advisors and Co., LLC and GLCA Securities, LLC as investment banker, and Kroll Restructuring Administration as notice, claims, solicitation and balloting agent and administrative advisor. On July 6, 2022, the Office of the United States Trustee appointed an Official Committee of nsecured Creditors in these cases. The committee members consist of three members: EM Medical, LLC; TAMM Net, Inc.; and David Kloth, M.D. On July 8, 2022, the Committee selected Culhane Meadows to serve as its counsel. STIMWAVE TECHNOLOGIES: Committee Taps Culhane Meadows as Counsel ---------------------------------------------------------------- The official committee of unsecured creditors for Stimwave Technologies Inc. and Stimwave LLC seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Culhane Meadows PLLC as its counsel. The firm's services include: a. advising the Committee with respect to its rights, duties, and powers in these Chapter 11 cases; b. assisting and advising the Committee in its consultations with the Debtors relating to the administration of these cases; c. assisting the Committee in analyzing the claims of the Debtors' creditors and the Debtors' capital structure and in negotiating with the holders of claims and, if appropriate, equity interests; d. assisting the Committee's investigation of the acts, conduct, assets, liabilities, and financial condition of the Debtors and other parties involved with the Debtors, and the operation of the Debtors' business; e. assisting the Committee in its analysis of, and negotiations with the Debtors or any other third parties concerning matters related to, among other things, the assumption or rejection of leases and executory contracts, asset dispositions, financing transactions, and the terms of a plan of liquidation for the Debtors; f. assisting and advising the Committee as to its communications, if any, to the general creditor body regarding significant matters in these Chapter 11 cases; g. representing the Committee at all hearings and other proceedings; h. reviewing, analyzing, and advising the Committee with respect to applications, orders, statements of operations and schedules filed with the Court; i. assisting the Committee in preparing pleadings and applications as may be necessary in furtherance of the Committee's interests and objectives; and j. performing such other services as may be required and which are deemed to be in the interests of the Committee in accordance with the Committee's powers and duties as set forth in the Bankruptcy Code. Mette H. Kurth is the principal attorney presently designated to represent the Committee, S. Saliya Subasinghe will provide litigation support, and Lynnette Warman and Robert W. Dremluk will provide assistance on projects on an as-needed basis. Their standard hourly rates are $765, $550, $500, and $625, respectively. The hourly rates for other partners at Culhane Meadows range from $300 to $765. Gerald Frotton is the principal paralegal presently designated to assist Ms. Kurth with respect to these cases; his standard hourly rate is $190. As disclosed in court filings, Culhane Meadows and its attorneys are disinterested persons within the meaning of Bankruptcy Code Section 101(14). In accordance with Appendix B-Guidelines for Reviewing Applications for Compensation and Reimbursement of Expenses Filed under 11 U.S.C. Sec. 330 for Attorneys in Larger Chapter 11 Cases, Culhane Meadows disclosed that: -- it has not agreed to any variations from, or alternatives to, its standard or customary billing arrangements for this engagement; -- none of the professionals included in the engagement vary their rate based on the geographic location of the bankruptcy case; -- the firm has not represented the Committee in the 12 months prepetition; and -- Culhane Meadows has provided the Committee with the estimated budget for fees and expenses submitted by the Debtors in connection with their motion to seek approval of debtor-in-possession financing. In addition, Culhane Meadows will work with the Committee to develop a prospective budget and staffing plan for its engagement as appropriate. The firm can be reached through: Mette H. Kurth, Esq. Culhane Meadows PLCC PO Box 736634 Dallas, TX 75373-6634 Direct: 202-683-2022 Email: mkurth@cm.law About Stimwave Technologies Incorporated Stimwave Technologies Incorporated and Stimwave LLC manufacture, distribute, and provide ongoing support for implantable, minimally invasive neurostimulators, which are used as a treatment for chronic intractable pain. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 22-10541-KBO) on June 15, 2022. In the petition signed by Aure Bruneau, as manager, the Debtor disclosed up to $100 million in assets and up to $50 million in liabilities. Young Conaway Stargatt and Taylor, LLP and Gibson, Dunn and Crutcher LLP is the Debtors' counsel. The Debtors also tapped Honigman LLP and Jones Day as special counsel, Riverson RTS, LLC as financial advisor, GLC Advisors and Co., LLC and GLCA Securities, LLC as investment banker, and Kroll Restructuring Administration as notice, claims, solicitation and balloting agent and administrative advisor. On July 6, 2022, the Office of the United States Trustee appointed an Official Committee of Unsecured Creditors in these cases. The committee members consist of three members: EM Medical, LLC; TAMM Net, Inc.; and David Kloth, M.D. On July 8, 2022, the Committee selected Culhane Meadows to serve as its counsel. STIMWAVE TECHNOLOGIES: Seeks to Hire Ernst & Young as Tax Provider ------------------------------------------------------------------ Stimwave Technologies Inc. and Stimwave LLC seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Ernst & Young LLP to provide tax services. The firm will render these services: Phase I – EY will perform the following Services: (a) Analyze direct shifts in the ownership of Client to determine whether Client has experienced one or more ownership changes (as defined in Section 382(g)) (the "Owner Shift Analysis") during the period beginning on the date of Client's inception in 2010 (or later date, to the extent appropriate) and ending on the date of Client's emergence from bankruptcy in 2022 (the "Analysis Period") using the Full Value Methodology as described in IRS Notice 2010-50. (b) Estimate the Section 382(b) limitation(s) for each identified ownership change without regard to any control premiums a potential purchaser may have paid for the stock on any ownership change date. (c) Perform Built-in Gain Services as follows: -- Calculate whether Client had an overall net unrealized built-in gain ("NUBIG") or loss ("NUBIL") on each ownership change date and the estimated amount of such NUBIG or NUBIL; -- Estimate the amount of recognized built-in gain ("RBIG") for the wasting of intangible assets and goodwill only, using the 338 Approach of IRS Notice 2003-65 with respect to any ownership change on which it is determined that there is an overall NUBIG; -- Estimate the amount of recognized built-in loss ("RBIL") under the 1374 Approach of Notice 2003-65 with respect to any ownership change on which it is determined that there is an overall NUBIL. (d) Model the estimated usage of any federal tax attributes based on the estimated Section 382(b) limitation(s) calculated and taking into account any estimated RBIG or RBIL calculations ("Federal Amortization Schedule"). (e) If requested by Client, EY LLP will prepare a report including (i) an explanatory analysis summarizing the results as well as the factual and legal bases for the conclusions, (ii) the actual owner shift calculations for each testing date identified, (iii) each identified ownership change and the Section 382(b) limitation for each identified ownership change, (iv) the estimated NUBIG or NUBIL and RBIG or RBIL for each ownership change for which such analysis was performed, (v) the Federal Amortization Schedule, and (vi) documentation supporting the calculations. (f) If requested by Client, EY LLP will determine the state tax consequences of any ownership changes for up to five states in which Client has significant tax attributes. Phase II – EY LLP will provide tax advisory services to Client, which will include but are not limited to, modeling the owner shifts under the Hold Constant Principle of Notice 2010-50; analysis of potential treatment under Section 382(l)(5) in the bankruptcy transaction, and modeling how much the tax attributes would be worth to a potential purchaser. Calculations will be based on information and scenarios provided by Client. Client is responsible for the conclusions and implementation of any actions resulting from the analyses. The work product for Phase II will be the draft results of the various analyses performed, and will be provided via email or verbally. The firm's hourly rates are: Partner/Principal $1,250 Managing Director $1,150 Senior Manager $950 Manager $850 Senior $600 Staff $400 The estimated fees for the Services in each Phase are as follows: -- Phase I(a) Services will be between $40,000 and $75,000. -- Phase I(b) Services will be between $5,000 and $10,000, per ownership change. -- Phase I(c) Services will be between $10,000 and $30,000, per ownership change, assuming Client provides the tax basis balance sheet. -- Phase I(d) Services will be between $5,000 and $10,000. -- Phase I(e) Services will be between $15,000 and $25,000. -- Phase I(f) Services will be between $25,000 and $100,000. The fees for Phase II Services will be billed at the hourly rate for each such professional that performs Phase II Services. Amy Ritz, a partner at Ernst & Young, disclosed in a court filing that the firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Amy Ritz Ernst & Young LLP 1540 Broadway, 25th floor New York, NY 10003 Telephone: (212) 773-3000 About Stimwave Technologies Incorporated Stimwave Technologies Incorporated and Stimwave LLC manufacture, distribute, and provide ongoing support for implantable, minimally invasive neurostimulators, which are used as a treatment for chronic intractable pain. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 22-10541-KBO) on June 15, 2022. In the petition signed by Aure Bruneau, as manager, the Debtor disclosed up to $100 million in assets and up to $50 million in liabilities. Young Conaway Stargatt and Taylor, LLP and Gibson, Dunn and Crutcher LLP is the Debtors' counsel. The Debtors also tapped Honigman LLP and Jones Day as special counsel, Riverson RTS, LLC as financial advisor, GLC Advisors and Co., LLC and GLCA Securities, LLC as investment banker, and Kroll Restructuring Administration as notice, claims, solicitation and balloting agent and administrative advisor. On July 6, 2022, the Office of the United States Trustee appointed an Official Committee of Unsecured Creditors in these cases. The committee members consist of three members: EM Medical, LLC; TAMM Net, Inc.; and David Kloth, M.D. On July 8, 2022, the Committee selected Culhane Meadows to serve as its counsel. STORCENTRIC INC: Has Final OK on Cash Access, $5MM DIP Loan ----------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of California, San Jose Division, entered an order authorizing StorCentric, Inc. and its debtor-affiliates to, among other things, obtain postpetition financing and continue using cash collateral on a final basis. At the hearing on July 28, the Debtors sought Court approval to obtain post-petition loans, advances and other financial accommodations in an amount up to $5,000,000 on a final basis from Serene Investment Management, LLC, in accordance with all of the terms and conditions set forth in the DIP Agreement, and in accordance with the Interim DIP Orders and the Final Order, secured by first priority security interests in and liens upon all of the DIP Collateral pursuant to sections 364(c) and 364(d) of the Bankruptcy Code. The Debtors do not have sufficient available sources of working capital, including cash collateral, to pay administrative expenses an d conclude a sale of their assets without the financing requested under the Motion. Libertas Funding LLC. Libertas Funding LLC and each of the Debtors are parties to the Agreement of Sale of Future Receipts evidencing an agreement for the purchase and sale of the Debtors' rights to receipts in the total amount sold of $2,221,391. The purchase price under the Libertas Agreement was used by the Debtors to fund certain of their working capital needs and general corporate purposes, including the repayment of certain existing obligations. Prior to the Petition Date, the Debtors granted to Libertas, security interests in and continuing liens on the collateral included in the definition of "Collateral" contained in the Libertas Agreement to secure the obligations of the Debtors under the Libertas Agreement. Pursuant to agreement between the DIP Lender and the Committee, the DIP Lender will reduce the Applicable Premium payable by the Debtors under the DIP Agreement by $25,000, which amount will instead be applied to, and result in an increase for, the professional fees budgeted for the Committee's counsel and financial advisor, such that the total amount of professional fees to be paid, in the aggregate, to the Committee's professionals will be $262,000. The additional $25,000 will be paid to the Committee at the time that the DIP Lender is entitled to receive repayment of all of the DIP Obligations and will be allocated among the Committee's professionals by the Committee in its sole and absolute discretion, subject only to a final order of the Court on the award and allowance of professional fees and reimbursement of expenses under sections 327 and 330 of the Bankruptcy Code. UMB Bank, National Association, is the trustee under Fixed Rate Senior Notes, Series 2020-3 (Collateralized Loan Insurance Program) in the aggregate principal amount of $25,000,000 under and pursuant to a Trust Indenture, dated as of February 1, 2020. As adequate protection, UMB Bank, for the benefit of the Prepetition Secured Parties -- consisting of UMB and Newlight Capital LLC, as servicer -- is granted continuing, valid, binding, enforceable and perfected security interests and liens on the DIP Collateral. As further adequate protection, UMB, for the benefit of itself and the other Prepetition Secured Parties, and Other Secured Parties each are granted an allowed superpriority administrative expense claim arising pursuant to section 507(b) of the Bankruptcy Code against each of the Debtors on a joint and several basis with priority over all other administrative claims. As a condition to funding under the DIP Facility and the use of cash collateral, the Debtors are required to achieve these milestones: a. Not later than June 30, 2022, the Debtor will file with the Court, a motion to approve bidding procedures with respect to a sale of the Debtors or of all or substantially all of the Debtors' assets; b. Not later than July 25, 2022, the Court will enter an order approving the proposed bidding procedures, which bidding procedures will establish (i) a deadline for submission of binding bids for the Debtors' assets on or before August 16, 2022, (ii) a deadline for selection of a stalking horse bidder on or before August 19, 2022, and (iii) a deadline for an auction for the sale of the Debtors' assets on or before August 23, 2022. c. Not later than August 26, 2022, the Debtors will have obtained an order from this Court approving the sale of the Debtors' assets. d. On or before September 12, 2022, the Debtors will consummate the sale of the Debtors or of all or substantially all of the Debtors' assets pursuant to the Sale Procedures Order. The DIP Loans mature upon the "Termination Date," which will be the earliest of (a) the date that is five months after the Petition Date, (b) 40 days after the entry of the Interim Order if the Final Order has not been entered by the Bankruptcy Court prior to the expiration of such period, (c) the consummation of a sale of all or substantially all of the assets of the Borrowers pursuant to an order or orders entered by the Bankruptcy Court, which must provide for payment in full of the DIP Facility Amount to the extent not paid previously (d) the substantial consummation of a plan of reorganization or a plan of liquidation for any of the Borrowers that is confirmed pursuant to an order entered by the Bankruptcy Court, which must provide for payment in full of the DIP Facility Amount to the extent not paid previously, and (e) the acceleration of the DIP Loans and the termination of the commitment with respect to the DIP Loans in accordance with the DIP Financing Documents. Upon the Termination Date, all obligations under the DIP Facility and the DIP Financing Documents, including principal, the Applicable Premium, fees not previously paid, including attorney fees, and expenses (if any) will be due and payable. A copy of the order is available at https://bit.ly/3boG1d8 from PacerMonitor.com. About StorCentric, Inc. StorCentric, Inc. develops software and security systems to mitigate cybersecurity threats to ensure data is not compromised. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Cal. Case No. 22-50515) on June 20, 2022. In the petition filed by John Coughlan, CFO, the Debtor disclosed up to $50 million in both assets and liabilities. Judge Elaine Hammond oversees the case. John W. Mills, III, Esq., at Jones Walker LLP is the Debtor's counsel. Force Ten Partners, LLC is the Financial Advisor. Donlin, Recano & Company, Inc. is the Claims, Noticing, and Solicitation Agent. An Official Committee of Unsecured Creditors has been appointed in the case. The Committee has retained Sheppard, Mullin, Richter & Hampton LLP as Bankruptcy Counsel; Trodella & Lapping LLP as Conflicts Counsel; and Oxford Restructuring Advisors LLC as Financial Advisors. STRAUSS COMPANY: Unsecureds to Recover 8% Under Plan ---------------------------------------------------- The Strauss Company, Inc. submitted a Liquidating Plan and a First Disclosure Statement. There are no outstanding secured claims in the case. Under the Plan, Class 3 General Unsecured Claims totaling $3,666,902.14 will be paid a pro-rata share of the amount of money left after the payment of Administrative claims and Priority claims. Class 3 is impaired. The Debtor says unsecured creditors are projected to recover 8 percent under the Plan, same as in a Chapter 7 liquidation. Proceeds from the sale of property and adversary proceeding litigation will fund the Plan. The Debtor maintains that the aspect of feasibility is satisfied because the Debtor presently has cash on hand of $449,000, which is sufficient to pay administrative claims, statutory costs and other charges and other plan payments. Attorney for Strauss Company, Inc.: Jerrold D. Farinash, Esq. FARINASH & STOFAN 100 W. MLK Blvd. #816 Chattanooga, TN 37402 Tel: (423) 805-3100 E-mail: jdf@8053100.com A copy of the First Disclosure Statement dated August 5, 2022, is available at https://bit.ly/3p2EtsE from PacerMonitor.com. About The Strauss Company Creditors Truitt Ellis, Carrie Ellis, Kathleen Pennington, VanBuren LLC, and Germantown Hammer LLC filed an involuntary Chapter 7 petition against The Strauss Company, Inc. (Bankr. E.D. Tenn. Case No. 18-12972) on July 6, 2018. The petitioning creditors are represented by R. Mark Donnell Jr., Esq. The Chapter 7 case was converted to one under Chapter 11 upon request by the Debtor. Judge Shelley D. Rucker presides over the case. The Debtor tapped Farinash & Stofan as its legal counsel. The Office of the U.S. Trustee appointed an official committee of unsecured creditors on Sept. 21, 2018. The committee tapped Waypoint Law PLLC as its legal counsel. T M GRACE BUILDERS: Taps Kevin Capra of Compass Colorado as Broker ------------------------------------------------------------------ T M Grace Builders, Inc., received approval from the U.S. Bankruptcy Court for the District of Colorado to hire Kevin Capra, a real estate broker at Compass Colorado, LLC. The Debtor requires a real estate broker to market for sale its real property located at 2740 Morning Run Court, Franktown, Colo. The broker will receive a commission of 5.6 percent of the gross sale price, according to the listing contract between his firm and the Debtor. The contract also provides that any buyer's agents or transaction brokers will receive 2.8 percent of the gross amount from the sale commission. As disclosed in court filings, the broker does not represent any interest adverse to the Debtor's estate. Mr. Capra can be reached at: Kevin Capra Compass Colorado, LLC Cherry Creek Office 200 Columbine Street Denver CO 80206 Office: 303.536.1786 Mobile: 303-809-5515 Email: kevin.capra@compass.com About T M Grace Builders T M Grace Builders, Inc. is a Colorado corporation engaged as a construction contractor and residential home builder operating in the Denver Metro and surrounding areas. T M Grace Builders sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Colo. Case No. 22-12026) on June 6, 2022, listing up to $50 million in assets and up to $10 million in liabilities. Anton Shafer, president of T M Grace Builders, signed the petition. Judge Kimberley H. Tyson oversees the case. Jeffrey S. Brinen, Esq., at Kutner Brinen Dickey Riley, P.C. is the Debtor's counsel. TALEN ENERGY: Committee Taps Pachulski as Co-Counsel ---------------------------------------------------- The official committee of unsecured creditors of Talen Energy Supply, LLC and its affiliates received approval from the U.S. Bankruptcy Court for the Southern District of Texas to hire Pachulski Stang Ziehl & Jones, LLP. Pachulski will serve as co-counsel with Milbank, LLP, the other firm tapped by the committee to represent it in the Debtors' Chapter 11 cases. The standard hourly rates charged by the firm are as follows: Partners $945 - $1,775 per hour Of Co-Counsel $725 - $1,425 per hour Associates $675 - $825 per hour Paraprofessionals $460 - $495 per hour In addition, the firm will seek reimbursement for work-related expenses. Michael Warner, Esq., the principal attorney designated to represent the committee, made the following disclosures in response to the questions set forth in Part D of the Appendix B Guidelines for reviewing fee applications filed by attorneys in larger Chapter 11 cases: Question: Did you agree to any variations from, or alternatives to, your standard or customary billing arrangements for this engagement? Answer: No. Question: Do any of the professionals included in this engagement vary their rate based on the geographic location of the bankruptcy case? Answer: No. Question: If you represented the client in the 12 months pre-petition, disclose your billing rates and material financial terms for the pre-petition engagement, including any adjustments during the 12 months pre-petition. If your billing rates and material financial terms have changed post-petition, explain the difference and reasons for the difference. Answer: Not applicable. Question: Has your client approved your respective budget and staffing plan, and, if so, for what budget period? Answer: As the committee's counsel, Pachulski anticipates that the committee's professional fees will be initially governed by the debtor-in-possession financing order and budget approved in the Debtors' Chapter 11 cases. The committee and its professionals reserve all rights to seek approval of professional fees. Neither Pachulski nor its attorneys represent any interest adverse to that of the committee in the matters upon which they are to be retained, according to court filings. Pachulski can be reached at: Michael D. Warner, Esq. Pachulski Stang Ziehl & Jones, LLP 440 Louisiana Street, Suite 900 Houston, TX 77002 Michael D. Warner Tel: 713.691.9385 Fax: 713.691.9407 Email: mwarner@pszjlaw.com info@pszjlaw.com ' About Talen Energy Supply Talen Energy Supply, LLC and its affiliates are energy and power generation companies in North America, owning or controlling approximately 13,000 megawatts of generating capacity in wholesale U.S. power markets in the mid-Atlantic, Massachusetts, Texas, and Montana. In addition to geographic diversity, Talen's generation fleet reflects significant technological and fuel diversity including nuclear, natural gas, oil, and coal, with certain of its facilities capable of utilizing multiple fuel sources. Talen and its affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 22-90054) on May 9, 2022. In the petitions signed by Andrew M. Wright, general counsel and secretary, the Debtors disclosed $10 billion to $50 billion in both assets and liabilities on a consolidated basis. Judge Marvin Isgur oversees the cases. The Debtors tapped Weil, Gotshal & Manges, LLP as legal counsel; Evercore Group, LLC as investment banker; Alvarez and Marsal North America, LLC as financial advisor; and Kroll Restructuring Administration, LLC as claims agent. On May 23, 2022, the Office of the U.S. Trustee for Region 7 appointed an official committee of unsecured creditors. The committee tapped Milbank, LLP as legal counsel; FTI Consulting, Inc. as financial advisor; and Moelis & Company, LLC as investment banker. TOUCHPOINT GROUP: Nalin Jay Quits as Director --------------------------------------------- Touchpoint Group Holdings Inc. accepted the resignation of Nalin Jay from the Board of Directors of the Company effective Aug. 1, 2022. There were no disagreements between the company and Mr. Jay which led to his resignation, as disclosed in a Form 8-K filed with the Securities and Exchange Commission. About Touchpoint Group Headquartered in Miami, Florida, Touchpoint Group Holdings Inc. -- http://touchpointgh.com-- is engaged in media and digital technology, primarily in sports entertainment and related technologies that bring fans closer to athletes and celebrities. Touchpoint Group a net loss attributable to common stockholders of $5.19 million for the year ended Dec. 31, 2021, a net loss attributable to common stockholders of $3.54 million for the year ended Dec. 31, 2020, and a net loss of $6.63 million for the year ended Dec. 31, 2019. As of March 31, 2022, the Company had $2.77 million in total assets, $4.71 million in total liabilities, $605,000 in temporary equity, and a total stockholders' deficit of $2.54 million. Tampa, Florida-based Cherry Bakaert LLP, the Company's auditor since 2016, issued a "going concern" qualification in its report dated April 15, 2022, citing that the Company has recurring losses and negative cash flows from operations that raise substantial doubt about its ability to continue as a going concern. TPC GROUP: Cash Collateral Access, DIP Loans Win Final OK --------------------------------------------------------- The U.S. Bankruptcy Court for the District of Delaware authorized TPC Group Inc. and its debtor-affiliates to, among other things, use cash collateral and obtain senior secured priming superpriority postpetition financing, on a final basis. The Debtors have entered into a postpetition financing on a superpriority priming senior secured basis on the terms and conditions set forth in the DIP Orders and the Senior Secured SuperPriority Priming Term Loan Debtor-In-Possession Credit Agreement and the DIP Intercreditor Agreement by and among: * TPC, as Borrower, * TPC Holdings, Inc. and each of the direct and indirect subsidiaries of the Borrower (other than TPC Pipeline Holding Company LLC and TPC Pipeline Company LLC), as guarantors, * GLAS USA LLC, as administrative agent and GLAS Americas LLC, as collateral agent, * the lenders party thereto from time to time, The DIP Loan is comprised of a new money multiple draw term loan facility in an aggregate principal amount of up to $85 million, pursuant to which (1) an aggregate principal amount of $32 million was borrowed in a single borrowing on the Closing Date, (2) an aggregate principal amount of $25 million will be borrowed in a single borrowing upon the entry of the Final Order, and (3) thereafter, an aggregate principal amount of $28 million will be available in a third single borrowing. The Debtors also have entered into a postpetition financing on a superpriority priming senior secured basis in a form of a revolving credit facility in an aggregate principal amount of up to $200 million, providing, among other things, for the refinancing of all amounts outstanding under the Prepetition ABL Loan Agreement pursuant to a payoff letter substantially in the form attached to the Interim Order and otherwise in form and substance satisfactory to the Debtors, the Prepetition ABL Agent, the DIP Agents and the Term DIP Required Lenders, on the terms and conditions set forth in the Interim Order and the Debtor-In-Possession Credit Agreement by and among: * TPC, as Borrower, * the Guarantors, * Eclipse Business Capital LLC, as administrative agent and collateral agent, and * the lenders thereto from time to time. The Debtors have an immediate and critical need to use cash collateral and to obtain the DIP Facilities, in each case, on a final basis, in order to, among other things, permit the orderly continuation and operation of their businesses, maintain business relationships with customers, vendors and suppliers, make payroll, pay the costs of administering the Chapter 11 Cases and satisfy other working capital and operational needs of the Debtors. The Debtor is permitted to obtain up to the principal amount of $85 million set forth in the Term DIP Loan Documents and the Interim Order, and (y) up to the principal amount of $200 million (plus applicable interest, premiums, fees (including professional fees and expenses), costs, expenses, charges and other amounts payable hereunder and under the ABL DIP Loan Documents), subject to the terms and conditions set forth in the ABL DIP Loan Documents and the Final Order. The Roll Up was approved to the extent set forth therein. Approximately $59.3 million in obligations arising under the Prepetition Senior Priority Additional Notes (consisting of (i) $52.5 million of principal amounts outstanding thereunder, (ii) $1.7 million of accrued but unpaid interest thereon, and (iii) approximately $5.1 million of the Redemption Premium) will automatically be deemed "rolled up" and converted into the Term DIP Loan Facility, on a cashless dollar for dollar basis, and will automatically be deemed to be substituted and exchanged for, and will be deemed to be, Term DIP Loans for all purposes thereunder, and will not be subject to any contest, attack, objection, challenge, defense, claim, counterclaim or Cause of Action of any nature or description whatsoever. The Borrower was also authorized to borrow, and the Guarantors to guarantee, on a joint and several basis, New Money Cash Out DIP Loans in an amount equal to the principal amount of Prepetition Senior Priority Additional Notes held by the Specified Prepetition Senior Priority Noteholders that are the subject of the Initial Roll Up, in a principal amount not to exceed $25 million in the aggregate. A copy of the order is available at https://bit.ly/3zVH8dA from PacerMonitor.com. About TPC Group TPC Group, headquartered in Houston, is a producer of value-added products derived from petrochemical raw materials such as C4 hydrocarbons, and provider of critical infrastructure and logistics services along the Gulf Coast. The Company sells its products into a wide range of performance, specialty and intermediate markets, including synthetic rubber, fuels, lubricant additives, plastics and surfactants. With an operating history of more than 75 years, TPC Group has a manufacturing facility in the industrial corridor adjacent to the Houston Ship Channel and operates product terminals in Port Neches, Texas and Lake Charles, Louisiana. TPC Group Inc. and its subsidiaries sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 22-10493) on June 1, 2022. TPC Group estimated assets and debt of $1 billion to $10 billion to $10 billion. The Hon. Craig T. Goldblatt is the case judge. Baker Botts L.L.P. is the Debtors' counsel; Morris, Nichols, Arsht & Tunnell LLP is the co-counsel; Moelis & Company LLC is the investment banker; and FTI Consulting is the financial advisor. Simpson Thacher & Bartlett LLP is the special finance counsel. Kroll Restructuring Administration is the claims agent. The Supporting Noteholders are advised by Paul Hastings LLP and Evercore. Eclipse Business Capital LLC is advised by Goldberg Kohn Ltd. TPC GROUP: Nalco Says Proposal Ignored, Wants Mediator ------------------------------------------------------ Nalco Company LLC submitted a limited objection to the Disclosure Statement for Joint Chapter 11 Plan of TPC Group Inc. and Its Debtor Affiliates and the Debtors' Motion for Entry of an Order approving Disclosure Statement, and granting Related Relief. The Debtors continue to move the entire chapter 11 process far too quickly and for no good reason, ignoring the potential for alternative plan contribution and/or sponsorships that would add value to the estates and enhance creditor recoveries. For the last week, Nalco has attempted on no less than three occasions to engage with the Debtors on a potential plan contribution and/or sponsorship that would add value to the estates and enhance the recoveries of certain unsecured creditors who presently stand to receive little recovery compared to the alleged damage inflicted on them by the Debtors on account of the November 27, 2019 explosion at their Port Neches operations facility and the related damages and injuries (the "PNO Incident"). Instead of engaging with Nalco, the Debtors have repeatedly stalled and have shown no interest in even having a dialogue about a proposal to enhance creditor recoveries. Until the Debtors, UCC, and other parties in interest engage and consider Nalco's proposal, among other potential improvements to the proposed chapter 11 plan, it would be patently unfair to all parties -- especially to certain of the unsecured creditors -- to go forward with the current timeline for the Disclosure Statement and Solicitation Procedures. One of the primary drivers that caused the Debtors to file these chapter 11 cases was the PNO Incident. The PNO Incident led to thousands of lawsuits filed in Texas state court against the Debtors, their affiliates, and other third-party non-debtors. The PNO Incident cases were ultimately consolidated before the Texas state court multi-district litigation docket ("MDL") under the caption In re TPC Group Litigation, Case No. A2020-0236-MDL (the "MDL Cases" and the plaintiffs in the MDL Cases the "MDL Plaintiffs"). One of the third-party non-debtor defendants is Nalco. Prior to the PNO Incident, Nalco supplied certain chemical products and services to the Debtors at their Port Neches facility. Nalco had no operational or management role at the Port Neches facility, and strongly disagrees that it bears any fault or responsibility for the PNO Incident. After already suffering from the immediate and ongoing effects of the PNO Incident, the MDL Plaintiffs are now asked to bear the burden of the Debtors proposed chapter 11 plan of reorganization (the "Plan"). Under the Plan, the MDL Plaintiffs are treated as general unsecured creditors with a proposed payout of $5 million, to be shared ratably with all other allowed prepetition general unsecured creditors, followed by a "hope-note" of an additional $5 million, to be shared ratably, if the Debtors reach certain post-confirmation earnings benchmarks. In short, after using their bankruptcy discharge to relieve themselves, among others, of nearly all liability for the PNO Incident, the Debtors seek to leave the MDL Plaintiffs with a minimal recovery compared to the alleged damage inflicted on them by the Debtors on account of the PNO Incident (while paying other creditors in full). Nalco asserts that the Debtors should not be allowed to speed through bankruptcy on a Plan that is on the backs of the MDL Plaintiffs (leaving the pieces for the remaining parties in the MDL Cases to clean up) until they have exhausted every reasonable alternative -- including Nalco's proposal that the Debtors prefer to ignore but has "fallen in their lap." According to Nalco, the Debtors should not be allowed to take advantage of their own refusal to engage - squandering a key week of negotiations -- and then demand that the Court approve their Disclosure Statement and Solicitation Procedures because 'time has run out.' Rather, the Court should temporarily adjourn the Disclosure Statement hearing presently scheduled for August 16, 2022 for 45 days (i.e., to September 30) to give the Debtors, the Official Committee of Unsecured Creditors ("UCC"), lead counsel to the MDL Plaintiffs and parties who have signed the RSA the opportunity to explore Nalco's proposal. To expedite these discussions and bring all key parties to the table in an efficient, streamlined manner Nalco further requests that the Court order the parties to engage on Nalco's proposal through judicial mediation. Nalco believes that a judicial mediator would be helpful in forcing the Debtors and other parties to negotiate in good faith in an expeditious manner. Attorneys for Nalco Company LLC: Joseph O. Larkin, Esq. Stephen J. Della Penna, Esq. Lawrence O'Brien, Esq. SKADDEN, ARPS, SLATE, MEAGHER & FLOM LLP One Rodney Square, P.O. Box 636 Wilmington, DE 19899 Tel: (302) 651-3000 E-mail: Joseph.Larkin@skadden.com Stephen.Dellapenna@skadden.com Lawrence.Obrien@skadden.com - and - Ron E. Meisler, Esq. 155 N. Wacker Drive Chicago, IL 60606 Tel: (312) 407-0700 E-mail: Ron.Meisler@skadden.com - and - Richard G. Morgan, Esq. Michelle R. Gilboe, Esq. LEWIS BRISBOIS BISGAARD & SMITH LLP 90 S. 7th Street, Suite 2800 Minneapolis, MN 55401 Tel: (612) 428-5000 E-mail: Richard.Morgan@lewisbrisbois.com Michelle.Gilboe@lewisbrisbois.com - and - David Oubre, Esq. 24 Greenway Plaza, Suite 1400 Houston, TX 77046 Tel: (713) 659-6767 E-mail: David.Oube@lewisbrisbois.com About TPC Group TPC Group, headquartered in Houston, is a producer of value-added products derived from petrochemical raw materials such as C4 hydrocarbons, and provider of critical infrastructure and logistics services along the Gulf Coast. The company sells its products into a wide range of performance, specialty and intermediate markets, including synthetic rubber, fuels, lubricant additives, plastics and surfactants. With an operating history of more than 75 years, TPC Group has a manufacturing facility in the industrial corridor adjacent to the Houston Ship Channel and operates product terminals in Port Neches, Texas and Lake Charles, La. TPC Group and its affiliates sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 22-10493) on June 1, 2022. TPC Group estimated assets and debt of $1 billion to $10 billion. The Hon. Craig T. Goldblatt is the case judge. The Debtors tapped Baker Botts LLP and Morris, Nichols, Arsht & Tunnell LLP as bankruptcy counsels; Simpson Thacher & Bartlett, LLP as special finance counsel; FTI Consulting, Inc. as financial advisor; Moelis & Company, LLC as investment banker, financial advisor and capital markets advisor; and PricewaterhouseCoopers, LLP as tax compliance and tax consulting services provider. David Dunn of Province, LLC serves as Vice President of Restructuring of the Debtors. Meanwhile, Kroll Restructuring Administration, LLC is the claims agent and administrative advisor. Eclipse Business Capital LLC is advised by Goldberg Kohn Ltd. Paul Hastings LLP, and Stroock & Stroock & Lavan LLP are serving as counsel to the Ad Hoc Noteholder Group that supports the Debtors' restructuring. Evercore Group L.L.C., is the Group's financial advisor. Young Conaway Stargatt & Taylor, LLP is local counsel to the Ad Hoc Noteholder Group. The Supporting Noteholders are funds controlled by FIG LLC and Fortress Capital Finance III(A) LLC, Monarch Alternative Capital LP, PGIM Inc., Redwood Capital Management LLC, and Strategic Value Partners LLC. Milbank LLP, and Pachulski, Stang, Ziehl & Jones are serving as counsel to an Ad Hoc Group of Non-Consenting Noteholders, led by Bayside Capital, Inc., and Cerberus Capital Management, LP. On June 14, 2022, the U.S. Trustee for Region 3 appointed an official committee of unsecured creditors in these Chapter 11 cases. The committee tapped Akin Gump Strauss Hauer & Feld, LLP and Cole Schotz, PC as counsels and Dundon Advisers, LLC as financial advisor. TPC GROUP: United States Trustee Says Plan Unconfirmable -------------------------------------------------------- Andrew R. Vara, the United States Trustee for Region 3, objects to the motion of TPC Group Inc., et al., for entry of an order approving the Disclosure Statement. The United States Trustee points out that the Debtors' proposed Disclosure Statement should not be approved because it fails to provide adequate disclosure, and because the Debtors' Plan is unconfirmable in its present form. The Disclosure Statement does not provide adequate information (or in some cases, any information) about the estimated allowed amount and percentage recoveries for claims in impaired, voting classes. The United States Trustee claims that the Disclosure Statement contains no liquidation analysis or any financial projections for the Reorganized Debtors. It provides scant information about the Special Committee's investigation into causes of actions against insiders, and it does not disclose the amount of a Put Option Premium the Debtors will have to pay to get certain funding under the Plan. The United States Trustee asserts that the Disclosure Statement fails to provide adequate information as to who will be stripped of their direct claims against non-debtors through the third-party release provisions, who will be the beneficiaries of such releases, or what claims are being released. Among other failures, the Disclosure Statement does nothing to clarify the Plan's baffling series of interlocking terms and definitions related to the third party releases, including a definition of Releasing Parties that includes the Released Parties, which in turn include at least 27 categories of persons and entities that are related to the Released Parties. The United States Trustee further asserts that the Disclosure Statement also fails to adequately disclose, or explain why, the Debtors are giving two sets of releases benefitting the same Released Parties: one under Article 10.7(a) of the Plan, which is entitled "Releases by the Debtors," and the other under Article 10.7(b), which is inaccurately titled "Releases by Holders of Claims and Interests," as it includes releases by the Debtors. Nor is there sufficient disclosure as to why the Debtors will be releasing the Released Parties, the nature and value of the claims being released, or what (if anything) the Debtors are receiving in exchange for such releases. The United States Trustee states that the Disclosure Statement also should not be approved because the impermissible scope of the third-party releases renders the proposed Plan unconfirmable. The Plan extinguishes a broad range of direct claims against non debtor parties held by other non-debtor parties without their affirmative consent. About TPC Group TPC Group, headquartered in Houston, is a producer of value-added products derived from petrochemical raw materials such as C4 hydrocarbons, and provider of critical infrastructure and logistics services along the Gulf Coast. The Company sells its products into a wide range of performance, specialty and intermediate markets, including synthetic rubber, fuels, lubricant additives, plastics and surfactants. With an operating history of more than 75 years, TPC Group has a manufacturing facility in the industrial corridor adjacent to the Houston Ship Channel and operates product terminals in Port Neches, Texas and Lake Charles, Louisiana. TPC Group Inc. and its subsidiaries sought Chapter 11 protection (Bankr. D. Del. Lead Case No. 22-10493) on June 1, 2022. TPC Group estimated assets and debt of $1 billion to $10 billion to $10 billion. The Hon. Craig T. Goldblatt is the case judge. Baker Botts L.L.P. is the Debtors' counsel; Morris, Nichols, Arshtn & Tunnell LLP is the co-counsel; Moelis & Company LLC is the investment banker; and FTI Consulting is the financial advisor. Simpson Thacher & Bartlett LLP is the special finance counsel. Kroll Restructuring Administration is the claims agent. Eclipse Business Capital LLC is advised by Goldberg Kohn Ltd. Paul Hastings LLP, and Stroock & Stroock & Lavan LLP are serving as counsel to the Ad Hoc Noteholder Group that supports the Debtors' restructuring. Evercore Group L.L.C., is the Group's financial advisor. Young Conaway Stargatt & Taylor, LLP is local counsel to the Ad Hoc Noteholder Group. The Supporting Noteholders are funds controlled by FIG LLC and Fortress Capital Finance III(A) LLC, Monarch Alternative Capital LP., PGIM Inc., Redwood Capital Management LLC, and Strategic Value Partners LLC. Pachulski Stang Ziehl & Jones LLP, Proskauer Rose LLP, and Selendy Gay Elsberg PLLC are serving as counsel to an Ad Hoc Group of Non-Consenting Noteholders, led by Bayside Capital, Inc., and Cerberus Capital Management, L.P. Milbank LLP previously served as the group's counsel but was later replaced by Pachulski and SGE. TREEHOUSE FOODS: S&P Places 'B' ICR on CreditWatch Developing ------------------------------------------------------------- S&P Global Ratings placed all of its ratings on U.S.-based TreeHouse Foods Inc., including its 'B' issuer credit rating, on CreditWatch with developing implications. TreeHouse Foods announced that it is selling the majority of its meal preparation division to Investindustrial for approximately $950 million, $530 million of which it will receive as initial proceeds with remaining $420 million provided as a seller note. S&P expects the transaction to close by the fourth quarter of 2022. TreeHouse will retain its higher margin private-label snacking and beverage portfolios and certain meal-related categories. S&P said, "The CreditWatch placement reflects that we could affirm, raise, or lower our ratings on TreeHouse following our review. The resolution of the CreditWatch listing will depend on the timing of the close of the transaction, our receipt of more information regarding the company's final capital structure and financial forecast, and our discussions with management about its financial policies. "The CreditWatch developing listing reflects that we could affirm, raise, or lower our ratings on TreeHouse following our review. Specifically, we could raise our ratings if the company uses the proceeds from the proposed transaction to reduce its debt leverage below 5x and the EBITDA margin of the stand-alone business is at least in the mid- to high-single digit percent range. However, if inflationary pressures continue to negatively affect its EBITDA, or the remaining company continues to incur large restructuring or stranded costs or higher-than-expected dis-synergies that cause its EBITDA and cash flow to underperform our expectations, we could affirm or lower the ratings. "Pro forma for this transaction, we believe TreeHouse could materially improve its leverage. However, we will first need to review the remaining company's EBITDA and final capital structure plans before resolving the CreditWatch. TreeHouse improved its operating performance in the second quarter (ended June 30, 2022) relative to its weak performance in the first. Specifically, it increased its net sales by 19.4% from 17.7% pricing and 2.1% volume/mix, though its S&P Global Ratings-adjusted EBITDA dropped by about 28% primarily due to lower gross profit stemming from higher labor, supply chain, and freight costs and commodity price inflation. We expect favorable trends in the private-label space will support its performance as inflation continues to pressure consumers, causing them to trade down to more affordable alternatives." While the remaining company will have reduced scale, it will retain its faster-growing and higher-margin categories. These categories generally have a lower degree of private-label penetration and higher demand trends, which will provide it with greater growth opportunities. These include snacks, such as crackers, cookies, bars, pretzels, candy, and in-store bakery items; and beverages, including single-serve beverages, tea, liquid beverages, powdered beverages, and non-dairy creamer. It will also retain some slower-growth, meal-related categories, such as pickles, broth, hot cereal, griddle, cheese and pudding, and refrigerated dough. The categories TreeHouse is divesting include pasta, dressing, preserves, red sauces, syrup, dry blends and baking, dry dinners, pie filling, pita chips, and other sauces. S&P said, "We expect that the company will maintain debt leverage below its historical levels over the long term due to its anticipated debt reduction and stated long-term leverage target of less than 4x. We also believe management will continue to make strategic acquisitions to bolster its snacking and beverage portfolio. With lower debt leverage, streamlined operations, and less complexity (with fewer and more attractive categories), we believe TreeHouse will likely have more financial flexibility to execute its growth strategy. However, we will need to review management's financial forecast to understand the effects of any dis-synergies and stranded costs on its profitability. We will also review our business risk assessment of the company. "We will resolve the CreditWatch listing following the close of the transaction when we have completed our review of TreeHouse's remaining portfolio and its final capital structure and financial forecast (specifically its EBITDA base) and discuss its financial policies with management. Upon the completion of our review, we could affirm, raise, or lower our ratings." VOYAGER DIGITAL: Hires Berkeley Research as Financial Advisor ------------------------------------------------------------- Voyager Digital Holdings, Inc. and its affiliates seek approval from the U.S. Bankruptcy Court for the Southern District of New York to employ Berkeley Research Group, LLC as financial advisor. The firm's services include: a. supporting the development of restructuring plans, financing, and strategic alternatives for the Debtors; b. preparing various financial analyses to support restructuring alternatives including liquidity forecasts, expense levels and others as necessary; c. providing advice to management on cash conservation measures and liquidity forecasting after analyzing and stress testing weekly cash flows under various scenarios; d. advising the Debtors relative to negotiating with existing lenders and stakeholders; e. participating in board calls as requested; f. assisting the Debtors with the communications and negotiations with various third parties to support restructuring alternatives; g. performing other services as requested or directed by the CFO and CEO, the board of directors of the Debtors, or other personnel of the Debtors as authorized by the foregoing and agreed to by the firm; and h. assisting the Debtors with activities relating to their chapter 11 cases including, as appropriate, testimony if requested. The firm will be paid at these rates: Managing Directors & Directors $750 to $1,195 per hour Senior Staff $595 to $725 per hour Junior Staff $380 to $575 per hour Support Staff $195 to $300 per hour During the 90-day period prior to the Petition Date, the Debtors paid the firm $750,000 in aggregate for professional services performed and expenses incurred. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Mark A. Renzi, a managing director at Berkeley Research Group, LLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Mark A. Renzi Berkeley Research Group, LLC 99 High Street, 27th Floor Boston, MA 02110 Tel: (877) 696-0391 About Voyager Digital Holdings Based in Toronto, Canada, Voyager Digital Holdings Inc. -- https://www.investvoyager.com/ -- runs a cryptocurrency platform. Voyager claims to offer a secure way to trade over 100 different crypto assets using its easy-to-use mobile application. Through its subsidiary Coinify ApS, Voyager provides crypto payment solutions for both consumers and merchants around the globe. Voyager Digital Holdings Inc. and two affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 22-10943) on July 5, 2022. In the petition filed by Stephen Ehrlich, as chief executive officer, the Debtor estimated assets and liabilities between $1 billion and $10 billion. The Debtors tapped Kirkland & Ellis, LLP as general bankruptcy counsel; Berkeley Research Group, LLC as financial advisor; Moelis & Company as investment banker; and Consello Group as strategic financial advisor. Stretto, Inc. is the claims agent. VOYAGER DIGITAL: Hires Moelis & Company LLC as Investment Banker ---------------------------------------------------------------- Voyager Digital Holdings, Inc. and its affiliates seek approval from the U.S. Bankruptcy Court for the Southern District of New York to employ Moelis & Company LLC as investment banker. The firm will provide these services: a. assist the Debtors in reviewing and analyzing the Debtors' results of operations, financial condition, and business plan; b. assist the Debtors in reviewing and analyzing any potential Restructuring, Sale Transaction, or Capital Transaction; c. assist the Debtors in negotiating any Restructuring, Sale Transaction, or Capital Transaction; d. advise the Debtors on the terms of securities it offers in any potential Capital Transaction; e. advise the Debtors on its preparation of information memorandum for a potential Sale Transaction or Capital Transaction (each, an "Information Memo"); f. assist the Debtors in contacting potential acquirers or purchasers of a Capital Transaction ("Purchasers") that the firm and the Debtors agree are appropriate, and meet with and provide them with the Information Memo and such additional information about the Debtors' assets, properties, or businesses that is acceptable to the Debtors, subject to customary business confidentiality agreements; and g. provide such other financial advisory and investment banking services in connection with a Restructuring, Sale Transaction, or Capital Transaction as the firm and the Debtors may mutually agree upon in writing. The firm will be paid as follows: i. Retainer Fee. Promptly after execution of the Engagement Letter, a retainer fee of $600,000 (the "Retainer Fee"). The Retainer Fee shall be offset, to the extent previously paid, against the first three Monthly Fees. ii. Monthly Fee. During the term of the Engagement Letter, a fee of $200,000 per month (the "Monthly Fee"), payable in advance of each month. The Debtors will pay the first Monthly Fee immediately upon execution of the Engagement Letter, and all subsequent Monthly Fees prior to each monthly anniversary of the date of the Engagement Letter. Whether or not a Restructuring, Sale Transaction, or Capital Transaction occurs, the firm shall earn and be paid the Monthly Fee every month during the term of the Engagement Letter. 50% of the Monthly Fee shall be offset, to the extent previously paid, against the first Sale Transaction Fee and the Restructuring Fee. iii. Restructuring Fee. At the closing of a Restructuring, a fee (the "Restructuring Fee") of $11,000,000. The Debtors will pay a separate Restructuring Fee in respect of each Restructuring in the event that more than one Restructuring occurs. iv. Sale Transaction Fee. At the closing of a Sale Transaction, a non-refundable cash fee (the "Sale Transaction Fee") of $12,000,000. In the event of a Sale Transaction that is consummated pursuant to Section 363 of the Bankruptcy Code, such Sale Transaction shall trigger a Restructuring Fee. To the extent a Transaction is both a Sale Transaction and a Restructuring Transaction, the Debtors shall pay the Restructuring Fee. v. Capital Transaction Fee. At the closing of a Capital Transaction, a non-refundable cash fee (the "Capital Transaction Fee," and together with the Restructuring Fee and Sale Transaction Fee, collectively, the "Transaction Fees") of: a. 4 per cent of the aggregate gross amount or face value of capital Raised in the Capital Transaction as equity, equity-linked interests, options, warrants, or other rights to acquire equity interests, plus b. 2 per cent of the aggregate gross amount of debt obligations and other interests Raised in the Capital Transaction. The retainer is $25,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Jared Demont, a managing member at Moelis & Company LLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Jared Demont Moelis & Company LLC 399 Park Avenue, 4th Floor New York, NY 10022 Tel: (212) 883-3800 Fax: (212) 880-4260 About Voyager Digital Holdings Based in Toronto, Canada, Voyager Digital Holdings Inc. -- https://www.investvoyager.com/ -- runs a cryptocurrency platform. Voyager claims to offer a secure way to trade over 100 different crypto assets using its easy-to-use mobile application. Through its subsidiary Coinify ApS, Voyager provides crypto payment solutions for both consumers and merchants around the globe. Voyager Digital Holdings Inc. and two affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 22-10943) on July 5, 2022. In the petition filed by Stephen Ehrlich, as chief executive officer, the Debtor estimated assets and liabilities between $1 billion and $10 billion. The Debtors tapped Kirkland & Ellis, LLP as general bankruptcy counsel; Berkeley Research Group, LLC as financial advisor; Moelis & Company as investment banker; and Consello Group as strategic financial advisor. Stretto, Inc. is the claims agent. WILDWOOD VILLAGES: Plan Trustee Taps Rosenfield as Accountant ------------------------------------------------------------- Ross Johnston, the plan trustee appointed in Wildwood Villages, LLC's Chapter 11 case, received approval from the U.S. Bankruptcy Court for the Middle District of Florida to employ Rosenfield and Company, PLLC as his accountant. The plan trustee requires an accountant to prepare quarterly reports and provide tax consulting services related to the liquidating trust. The rate charged by Paul Dumm, the firm's accountant who will be providing the services, is $425 per hour. Meanwhile, the hourly rates for other professionals at Rosenfield range from $150 to $250. Rosenfield requested an initial advance fee of $10,000. As disclosed in court filings, Rosenfield does not represent any interest adverse to the Debtor in the matters upon which it is to be engaged The firm can be reached at: Paul Dumm Rosenfield and Company, PLLC Capital Plaza I 201 E. Pine Street, Suite 730 Orlando, FL 32801 Phone: 407-849-6400 Fax: 407-849-6700 Email: pauld@rosenfieldandco.com About Wildwood Villages Wildwood Villages, LLC is a company engaged in activities related to real estate. The company is based in Wildwood, Fla. Wildwood Villages filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 20-02569) on Aug. 28, 2020, listing $3,150,861 in assets and $3,428,386 in liabilities. Jonathan Woods, manager, signed the petition. Matthew S. Kish, Esq., Esq. at Shapiro Blasi Wasserman & Hermann, P.A. is the Debtor's legal counsel. On Feb. 23, 2022, the court confirmed the Debtor's Chapter 11 plan and approved the selection of Ross Johnston to oversee the liquidating trust created under the plan. The plan trustee tapped Ryan E. Davis, Esq., at Winderweedle, Haines, Ward & Woodman, P.A. as legal counsel; and Rallis Segundo, P.A. and Rosenfield and Company, PLLC as accountants. WIRELESS SYSTEMS: Unsecureds Owed $5.3M to Get At Least $43K ------------------------------------------------------------- Wireless Systems Solutions, LLC, submitted a Plan and a Disclosure Statement. The Debtor's schedules, as amended, list assets of $825,392.82 and liabilities of $18,177,053.27. The Debtor's schedules also list certain additional assets as having "unknown" value and lists certain of the claims as disputed, including the claims of SmartSky Networks, LLC. Under the Plan, holders of Class 7 Allowed Remaining Unsecured Claims will be paid a total of $43,000 as follows: a. A payment of $1,000 shall be made within 6 months of the Effective Date. b. A payment of $1,000 shall be made within 12 months of the Effective Date. c. A payment of $2,000 shall be made within 18 months of the Effective Date. d. A payment of $3,000 shall be made within 24 months of the Effective Date. e. A payment of $4,000 shall be made within 30 months of the Effective Date. f. A payment of $4,000 shall be made within 36 months of the Effective Date. g. The Debtor shall continue to make payments of $4,000 every six months thereafter until Class 7 has been paid a total of $43,000. In addition, Class 7 shall receive 60% of the net proceeds attributable to the Causes of Action. The Debtor estimates that Class 7 claims as scheduled and filed approximate $5,370,000. Attorney for the Debtor: William P. Janvier, Esq. Kathleen O' Malley, Esq. STEVENS MARTIN VAUGHN & TADYCH, PLLC 6300 Creedmoor Road, Suite 170-370 Raleigh, NC 27612 Tel: (919) 582-2300 E-mail: wjanvier@smvt.com A copy of the Disclosure Statement dated August 5, 2022, is available at https://bit.ly/3zEZTkr from PacerMonitor.com. About Wireless Systems Solutions Wireless Systems Solutions, LLC is a North Carolina limited liability company formed in 2015 with principal offices and assets in Cary and Morrisville, N.C. It is a designer and developer of multi-standard, frequency band agnostic, cellular network solutions that leverage its expertise in cellular and wireless communications technology at large. The company is able to offer a portfolio of products and platforms suitable for multiple markets including defense, first-responders, utilities, telcos, and general network infrastructure solutions. Wireless Systems Solutions filed a petition for Chapter 11 protection (Bankr. E.D.N.C. Case No. 22-00513) on March 9, 2022, listing $1 million to $10 million in assets and $1 billion to $10 billion in liabilities. Susan Gross, its vice president, signed the petition. Judge Joseph N. Callaway oversees the case. The Debtor tapped Stevens Martin Vaughn & Tadych, PLLC as legal counsel and Coats & Bennett, PLLC as special counsel. On May 10, 2022, the court entered an order appointing Peter D. Siddoway as examiner in the Debtor's Chapter 11 case. YAK ACCESS: Moody's Cuts CFR to Caa1 & Alters Outlook to Negative ----------------------------------------------------------------- Moody's Investors Service downgraded Yak Access, LLC's Corporate Family Rating to Caa1 from B3, its Probability of Default Rating to Caa1-PD from B3-PD, its first lien credit facilities' ratings – including its 1st lien Term Loan and its revolving line of credit – to B3 from B2, and the rating on its 2nd lien Term Loan to Caa3 from Caa2. The rating outlook is changed to negative from stable. "The downgrade of Yak's ratings reflects its tight liquidity, limited covenant headroom, looming revolver maturity, combined with Moody's expectation for insufficient cash flow generation to support cash needs over the next 12-18 months" said Sandeep Sama, Moody's Vice President – Senior Analyst and lead analyst for Yak Access, LLC. Governance considerations under Moody's ESG framework include financial strategy, liquidity risk, and management track record. These were key drivers of the rating action. Ratings Downgraded: Issuer: Yak Access, LLC Corporate Family Rating, Downgraded to Caa1 from B3 Probability of Default Rating, Downgraded to Caa1-PD from B3-PD Senior Secured First Lien Revolving Credit Facility, Downgraded to B3 (LGD3) from B2 (LGD3) Senior Secured First Lien Term Loan, Downgraded to B3 (LGD3) from B2 (LGD3) Senior Secured Second Lien Term Loan, Downgraded to Caa3 (LGD5) from Caa2 (LGD5) Outlook Actions: Issuer: Yak Access, LLC Outlook, Changed To Negative From Stable RATINGS RATIONALE Yak Access, LLC's Caa1 corporate family rating reflects its weak interest coverage, tight liquidity, high absolute level of debt at about 200% of LTM revenues, its relatively small scale, limited end market diversity, moderate customer concentration and the cyclicality of its key midstream pipeline end market, which has somewhat weak near-term prospects. The rating is supported by its strong market position with only a few major competitors in the end markets it serves, with many of those competitors unable to provide the same breadth and volume of products and range of services. In addition, the company serves mostly blue-chip customers in the power line and midstream pipeline sectors. Yak's operating performance has deteriorated over the past two years due to weakness in the midstream pipeline sector which is leading to lower mat utilization from project delays and reduced new project opportunities, along with lower margins on mat sales and fewer new mat leases. This occurred after the company increased its borrowings in 2019 to fund the expansion of its inventory of longer lasting mats and to complete the acquisition of Klein's Restoration Services in July 2019. Yak's credit metrics have substantially deteriorated, with its adjusted leverage ratio rising to 5.8x (Debt/EBITDA) in March 2022 from 4.1x in December 2019 and its interest coverage declining to 0.6x (EBITA/Interest) from 1.3x. Moody's expect metrics to remain pressured for the remainder of 2022, with some improvement likely in 2023, driven by relatively better outlook for the powerline and alternative energy sectors. However, liquidity remains the biggest challenge for Yak, especially in light of elevated interest expense resulting from higher interest rates (Yak's 1L TL has a coupon of L+5%, and the 2L TL has a coupon of L+10%), and amortization payments required under the 1L Term Loan ($34 million) and notes payable (-$11 million), combined with the upcoming revolver maturity in July 2023. As of Mar 31, 2022, Yak had only $16 million of liquidity consisting of $11 million of cash and $5 million of availability on its $125 million revolver, which had outstanding borrowings of $118.3 million as of March 2022. Its liquidity would be weaker if not for a $5 million unsecured loan provided by Platinum Equity, which is due in December 2022. Covenant headroom also remains very low, with Yak barely in compliance with its first lien net leverage ratio covenant as of March 2022, and Moody's expect this to remain tight in the near-term. The first lien credit agreement was amended in September 2021 and the springing first lien net leverage ratio covenant was raised to 4.5x from 4.0x. This ratio is tested when utilization exceeds 35% of the total commitments. The negative outlook reflects Yak's tight liquidity, Moody's expectation for weak free cash flow generation in the near-term, their revolver which is now current, an untenable capital structure, and a heightened risk of default under the Moody's definition. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Moody's expect upward rating pressure to be limited in the near-term, absent a significant improvement in Yak's end-market outlook, combined with an improvement in liquidity, which would be needed to support such a favorable turn. Moody's would also need to see a more tenable capital structure in place, along with a revolver maturity extension, to consider a higher rating. The ratings could be downgraded if (1) operational performance weakens further, (2) liquidity deteriorates further and the risk of a default increases, (3) credit metrics continue to remain weak, (4) Yak is unable to secure a revolver maturity extension, which is now current, and (5) there is a breach of the first lien net leverage ratio covenant. Yak Access, LLC, headquartered in East Columbia, Mississippi, is a specialty equipment leasing and logistics company focused on temporary access solutions to remote construction sites mostly serving energy infrastructure repair and development work in North America. The company generated revenues of $442 million during the twelve months ended March 31, 2022. Platinum Equity owns -65% of Yak Access, LLC and Beasley Forest Products owns -32%. The principal methodology used in these ratings was Construction published in September 2021. [*] Trepp Releases 2022 CRE Sentiment Survey Results ---------------------------------------------------- Trepp's second annual sentiment survey of commercial real estate and finance professionals revealed focused concerns over macro-economic conditions such as inflation and Fed interest rate hikes. But the TreppWire team wanted to dig deeper... How would those concerns impact sentiment about CRE business transactions, hiring, and property sector performance as well as a variety of other factors? Key Findings & Takeaways Trepp turned to practitioners for those answers. Between July 13-August 1, 2022, Trepp polled podcast listeners, clients, and TreppTalk blog readers for their perspectives on the near-term future of the CRE and CMBS markets. -- 70% of respondents expect that the office sector will see the biggest increase in distress for the remainder of 2022. -- 83% of survey participants predict that within the next six months, CRE/CMBS delinquencies will worsen. -- 70% of survey participants report being in the office at least 3 days per week. [] Miami Business Bankruptcy Filings Remain In Downward Trend ------------------------------------------------------------- Abraham Galvan of Miami Today reports that unlike the rest of the US, Miami's business economy remains strong as bankruptcy filings in the area continue to trend downward. Most mid-size businesses are sticking around due to stimulus checks, moratoriums, PPP loans and other government programs where loans are intended to be forgiven, which is basically free money for businesses, said Jim Silver, a bankruptcy partner for Kelley Kronenberg. "What I feel happened is the federal government just threw a ton of money into the economy, and basically papered over the problem," he said. "My view is that was a short-term cosmetic fix and not long-term addressing of the economic problems. If your supply goes down and have more money chasing less supply, you're going get a lot of inflation, and that's what we're starting to see now." The good news about PPP loan funds is that they were injected into the businesses to help, said Joe Luzinski, senior managing director for DSI, "But the bad news, in my opinion, it’s just a band-aid, not a cure. Ultimately, that money didn’t fix anything. It just extends whatever problem that business had before." The tsunami of cleaning out businesses that have been hanging around at the bottom 25% of the economy for the last two-plus years is still going to happen, Mr. Luzinski said. "If you look at that over a long continuum, it's part of our economy that it naturally kind of cleans itself out," he said. "There are companies that go away every year and equity investors take that money and redeploy that into other ventures to try different things." In 2021, 72 cases of Chapter 11 were filed at the Bankruptcy Court of the Southern District of Florida. As of July, 49 businesses filed for bankruptcy so far this year. Chapter 11 is a form of bankruptcy that involves a reorganization of a debtor's business affairs, debts and assets. This form of bankruptcy also allows a company to stay in business and restructure its obligations. A fair number of small businesses are now just starting to file for Chapter 5, which is a new subchapter of bankruptcy created through the Small Business Reorganization Act. "It's a small version of Chapter 11 that's supposed to eliminate some of the hurdles to a business successfully reorganizing," Mr. Silver explained. "It's supposed to be less expensive, less complicated, in which standards that make it easier to form a plan and to successfully come out of bankruptcy." Nationally, businesses are going to face challenges, but not here in South Florida, added Tom Lehman, founding partner at Levine Kellogg Lehman Schneider + Grossman. "I just heard that the Federal Open Market Committee is going to raise rates more that eventually history tells us it will slow down business activity and the recession," he said. "I'm seeing big money center law firms coming down here and lots of activity in the professional sphere. That means that business transactions are taking place. I just don't see bankruptcy filing cases picking up down here, but I think we'll see it around the country." [^] BOND PRICING: For the Week from August 8 to 12, 2022 -------------------------------------------------------- Company Ticker Coupon Bid Price Maturity ------- ------ ------ --------- -------- Accelerate Diagnostics AXDX 2.500 63.500 3/15/2023 Advanced Micro Devices AMD 7.500 99.349 8/15/2022 Ahern Rentals Inc AHEREN 7.375 76.593 5/15/2023 Ahern Rentals Inc AHEREN 7.375 76.977 5/15/2023 American Campus Communities Operating Partnership LP ACC 3.875 100.542 1/30/2031 Avaya Holdings Corp AVYA 2.250 17.500 6/15/2023 BPZ Resources Inc BPZR 6.500 3.017 03/01/2049 Basic Energy Services BASX 10.750 8.000 10/15/2023 Basic Energy Services BASX 10.750 15.000 10/15/2023 Bed Bath & Beyond Inc BBBY 3.749 47.463 08/01/2024 Buckeye Partners LP BPL 6.375 82.669 1/22/2078 Buffalo Thunder Development Authority BUFLO 11.000 56.610 12/09/2022 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 21.335 8/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 6.625 9.708 8/15/2027 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 9.553 8/15/2027 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 20.939 8/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 21.230 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 59.213 4/15/2024 EnLink Midstream Partners LP ENLK 6.000 72.000 N/A Energy Conversion Devices Inc ENER 3.000 7.875 6/15/2013 Energy Transfer LP ET 6.250 84.375 N/A Enterprise Products Operating LLC EPD 4.875 93.021 8/16/2077 Envision Healthcare EVHC 8.750 32.396 10/15/2026 Envision Healthcare EVHC 8.750 33.386 10/15/2026 Exela Intermediate LLC / Exela Finance Inc EXLINT 11.500 32.955 7/15/2026 Exela Intermediate LLC / Exela Finance Inc EXLINT 10.000 67.643 7/15/2023 Exela Intermediate LLC / Exela Finance Inc EXLINT 11.500 31.792 7/15/2026 Exela Intermediate LLC / Exela Finance Inc EXLINT 10.000 67.643 7/15/2023 GNC Holdings Inc GNC 1.500 0.847 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 JPMorgan Chase & Co JPM 4.625 91.999 N/A Lannett Co Inc LCI 7.750 29.998 4/15/2026 Lannett Co Inc LCI 4.500 29.716 10/01/2026 Lannett Co Inc LCI 7.750 30.072 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 11.220 1/15/2033 MBIA Insurance Corp MBI 13.772 11.220 1/15/2033 Macy's Retail Holdings LLC M 6.700 96.912 7/15/2034 Macy's Retail Holdings LLC M 6.700 96.912 7/15/2034 Morgan Stanley MS 1.800 80.913 8/27/2036 Nine Energy Service NINE 8.750 71.641 11/01/2023 Nine Energy Service NINE 8.750 70.918 11/01/2023 Nine Energy Service NINE 8.750 70.891 11/01/2023 OMX Timber Finance Investments II LLC OMX 5.540 0.783 1/29/2020 Party City Holdings PRTY 6.125 69.757 8/15/2023 Party City Holdings PRTY 6.125 69.757 8/15/2023 Patriot National Bancorp Inc PNBK 6.250 72.240 6/30/2028 Patriot National Bancorp Inc PNBK 6.250 72.240 6/30/2028 Plains All American Pipeline LP PAA 6.125 84.750 N/A Renco Metals Inc RENCO 11.500 24.875 07/01/2003 Revlon Consumer Products Corp REV 6.250 10.000 08/01/2024 Rolta LLC RLTAIN 10.750 1.315 5/16/2018 Sears Holdings Corp SHLD 6.625 3.971 10/15/2018 Sears Holdings Corp SHLD 8.000 1.137 12/15/2019 Sears Holdings Corp SHLD 6.625 3.971 10/15/2018 Sears Roebuck Acceptance Corp SHLD 7.000 1.084 06/01/2032 Sears Roebuck Acceptance Corp SHLD 7.500 1.063 10/15/2027 Sears Roebuck Acceptance Corp SHLD 6.750 1.084 1/15/2028 Sears Roebuck Acceptance Corp SHLD 6.500 1.040 12/01/2028 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 26.000 07/01/2026 Wayfair Inc W 0.375 96.094 09/01/2022 Wesco Aircraft Holdings Inc WAIR 8.500 50.623 11/15/2024 Wesco Aircraft Holdings Inc WAIR 13.125 31.205 11/15/2027 Wesco Aircraft Holdings Inc WAIR 8.500 53.435 11/15/2024 ********* 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. 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