/raid1/www/Hosts/bankrupt/TCR_Public/220829.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 29, 2022, Vol. 26, No. 240
Headlines
21ST CENTURY: Hits Chapter 11 Bankruptcy
37 VENTURES: Class 6 Unsecureds Will be Paid in Full
942 PENN RR: Sept. 29 Disclosure Statement Hearing Set
ACTIVA RESOURCES: Unsecureds Owed $222K to be Paid in Full
ARG MEDIA LLC: Gets OK to Hire Willis & Associates as Legal Counsel
ASSOCIATED FIXTURE: Case Summary & 20 Largest Unsecured Creditors
B T S INTERNATIONAL: Unsecureds to be Paid in Full with Interest
BANKS CONSTRUCTION: Moorhead Law Group Represents Woods, 4 Others
BATH & BODY: Moody's Affirms 'Ba2' CFR & Alters Outlook to Stable
BETTER 4 YOU BREAKFAST: Unsecureds Likely to be Paid in Full
CALIFORNIA ROOFS: Amends Plan to Include NCCS Secured Claim Details
CAPITAL POWER: DBRS Gives Prov. BB Rating to Subordinated Notes
CARESTREAM HEALTH: Aug. 31 Deadline Set for Panel Questionnaires
CARESTREAM HEALTH: Files for Chapter 11 Bankruptcy
CARESTREAM HEALTH: Unsecureds Unimpaired in Prepack Plan
CELSIUS NETWORK: Gets Court OK to Sell Mined Bitcoin to Fund Ops
CIV LLC: Case Summary & 20 Largest Unsecured Creditors
CLASSIC REFRIGERATION: Seeks to Hire Buchalter APC as Legal Counsel
CLEARDAY INC: Delays Filing of Quarterly Report on Form 10-Q
CLEAREDDIRECT LLC: Seeks to Hire The Lane Law Firm as Counsel
CORSICANA BEDDING: Committee Taps A&M as Financial Advisor
CORSICANA BEDDING: Committee Taps Pachulski as Legal Counsel
CRESTLLOYD LLC: Exclusivity Period Extended to Oct. 21
DEXKO GLOBAL: TexTrail Transaction No Impact on Moody's 'B2' CFR
DIAMOND SCAFFOLD: Committee Taps Stichter Riedel Blain as Counsel
DYNAMETAL TECHNOLOGIES: Taps Harris Shelton as Legal Counsel
EMPACADORA Y PROCESADORA: Unsecureds Owed $3M to Get 20% of Claims
ENVISION THIS! LLC: Unsecureds Owed $5M to Get 30% Under Plan
ESJ TOWERS: Gets OK to Hire De Angel & Compania CPA as Auditor
EVO TRANSPORTATION: Appoints Interim Chief Financial Officer
EVO TRANSPORTATION: Further Extends Loan Maturities
EXPRESSJET AIRLINES: Aug. 30 Deadline Set for Panel Questionnaires
FOUR SEASONS: Moody's Affirms 'Ba3' CFR & Alters Outlook to Stable
FOX SUBACUTE: Oct. 4 Disclosure Statement Hearing Set
FOX SUBACUTE: Unsecureds to Get 20% of Allowed Claims in Plan
GENOCEA BIOSCIENCES: Committee Taps Fox Rothschild as Legal Counsel
HB FULLER: Fitch Affirms 'BB' IDR & Alters Outlook to Stable
HIGH POWER: Sept. 14 Hearing on Continued Cash Collateral Access
HIGHPOINT LIFEHOPE: Honan Unit Files for Chapter 11 Bankruptcy
HOME ENERGY: Unsecureds Owed $320K to Get 6.24% of Claims
HTP INC: Authorized to File Combined Plan & Disclosures
HUCKLEBERRY PARTNERS: $6.3M Sale to Amarc Properties to Fund Plan
ICU MEDICAL: S&P Downgrades ICR to 'BB-', Outlook Stable
INITIO GROUP: Taps Law Offices of Dean Lloyd as Bankruptcy Counsel
JSG I: S&P Upgrades ICR to 'B-' on Improved Operating Performance
KURNCZ FARMS: Exclusivity Period Extended to Sept. 30
LAUTERBACH LABORATORIES: To Resolve Issues Out of Bankruptcy
LENDINGTREE INC: Moody's Cuts CFR to B3 & Sr. Secured Debt to B1
LOUISIANA HIGHWAY: Disclosure Hearing Continued to Sept. 14
LTL MANAGEMENT: Gets Backing From Nonprofit in Fight to Keep Ch. 11
MIDTOWN DEVELOPMENT: Plan Solicitation Period Extended to Oct. 18
MILLER'S ALE: Moody's Hikes CFR to B3 & Alters Outlook to Stable
NATIONAL SMALL BUSINESS: Continued Operations to Fund Plan
NORTH JAX CONCRETE: Gets OK to Hire Franklin Street as Broker
NYMD GREEN: Case Summary & 12 Unsecured Creditors
PARTY CITY: Fitch Affirms 'B-' IDR & Alters Outlook to Negative
PRESTIGE HOMECARE: Seeks to Hire S&T Services as Accountant
PWM PROPERTY: U.S. Trustee Says Joint Plan Not Confirmable
RENEWABLE ENERGY: Case Summary & 20 Largest Unsecured Creditors
REVLON INC: White & Case Updates on Non-Insider Shareholders
RM NEWMAN LLC: Taps Rosewood Realty Group as Real Estate Broker
SBH ENTERPRISES: Taps Lefkovitz & Lefkovitz as Legal Counsel
SCF LLC: Gets OK to Hire Harris Shelton Hanover Walsh as Counsel
SCHAEFERS SERVICE: Sept. 22 Plan & Disclosure Hearing Set
SOUTH SIDE CONVENIENT: Continued Operations to Fund Plan
TAURIGA SCIENCES: Delays Form 10-Q Over Regulatory Constraints
TIDEWATER MIDSTREAM: S&P Upgrades ICR to 'B' on Refinancing
TOP LINE GRANITE: Plan Hearing Deferred Amid Planned Probe
TOTAL FIRE: Gets OK to Hire Gerry & Kulm as Bankruptcy Counsel
TRIPLET LLC: Oct. 19 Plan Confirmation Hearing Set
TROPICAL DELIGHT: Seeks to Hire Dominic John as Accountant
TRX HOLDCO: Affiliate Taps Cooper Savas as Accountant
URBAN COMMONS: Court Approves Disclosure Statement
WASHINGTON PRIME: Ex-Investors Sue SVPGlobal Over Squeeze-Out
WYOTRANS LLC: Cash Flow Operations to Fund Plan Payments
[^] BOND PRICING: For the Week from August 22 to 26, 2022
*********
21ST CENTURY: Hits Chapter 11 Bankruptcy
----------------------------------------
21st Century Communities Inc. filed for chapter 11 protection in
the District of Nevada.
The Debtor originally identified itself as 21st Century
Communications Inc. but later filed an amended petition to correct
its name to 21st Century Communities Inc.
According to court filing, 21st Century estimates between 1 and 49
unsecured creditors. The petition states funds will be available
to unsecured creditors.
WILMINGTON SAVINGS FUND SOCIETY, FSB, as trustee of the Starwood
Mortgage Residential Trust 2021-6, has made an appearance in the
case.
The Debtor says that Barry Cohen is a co-debtor on account of a
personal guarantee.
The meeting of creditors is slated for Sept. 22, 2022. The claims
filing deadline is Dec. 21, 2022.
About 21st Century Communities
21st Century Communities Inc. sought protection under Chapter 11 of
the U.S. Bankruptcy Code (Bankr. D. Nev. Case No. 22-13005) on
August 23, 2022. In the petition filed by Michael J. Harker, the
Debtor reports estimated assets and liabilities beween $1 million
and $10 million each.
The Debtor is represented by Michael J. Harker, of the Law Offices
of Michael J. Harker.
37 VENTURES: Class 6 Unsecureds Will be Paid in Full
----------------------------------------------------
37 Ventures, LLC and Larada Sciences, Inc., submitted a Fourth
Amended Joint Chapter 11 Plan of Reorganization dated July 15,
2022.
Under the Plan, holders of Class 2 General Unsecured Claims against
37 Ventures will receive the full amount of their Allowed Claims,
plus Post Petition Interest, on the Effective Date or as soon as
practicable thereafter. In the event there are insufficient funds
to pay all Allowed Class 2 Claims in full on the Effective Date,
payment to Class 2 Claims shall be governed by Section 4.3 (c)
hereof.
Notwithstanding the foregoing, every Allowed Class 2 Claim as to
which the holder of same has received a Pre-Confirmation
Distribution shall be reduced and adjusted to reflect the effect of
all those Pre-Confirmation Distributions (including Post-Petition
Interest not included in that amount), to such amount as 37
Ventures and the holder may agree or as ordered by the Court after
notice and an opportunity to be heard. In the event there is a
dispute requiring resolution by Court order, 37 Ventures shall
distribute so much as it contends is required and hold the balance
in a Disputed Claims Reserve, for distribution upon entry of a
final and non-appealable order resolving that dispute to the extent
required by such order.
Upon payment in full of KB's Class 2 Claim, KB shall file with the
California Secretary of State a form JL-3 Amendment to terminate
its purported judgment lien as to 37 Ventures only (the "Form").
The filing of the Form shall be with respect to 37 Ventures only,
and does not have any impact or effect on any claims that KB may
hold or assert against any other individual or entity. After the
Effective Date, 37 Ventures may file with the Superior Court of
California a notice of discharge, to which it may attach the
Confirmation Order.
Section 4.3 (c):
Allowance and Payment of Class 2 and Class 3 Claims. In the event
that the holders of Class 2 and Class 3 Claims stipulate to the
Allowed amounts of their respective Claims as set forth on Exhibit
B hereto and consent to confirmation of the Plan, their Claims
shall be paid as follows:
Class 2 and Class 3 Claims shall be paid in full on the Effective
Date, or as soon as practicable after entry of the Confirmation
Order from the Net Effective Date Cash. If there are insufficient
funds to pay Class 2 and Class 3 Claims in full on the Effective
Date: (1) 37 Ventures will distribute all of its Net Effective Date
Cash to Class 2 and Class 3 Claims, pro rata, on the Effective
Date; and (2) the remaining balance (the "Unpaid Balance") shall be
paid to Class 2 and Class 3 claimants from the proceeds of the
distribution to 37 Ventures from the adjustment escrow created at
the closing of the sale of one of 37 Ventures portfolio companies
(the "Portfolio Company") on or about June 21, 2022 (the
"Adjustment Escrow"), or sooner if funds become available from any
other source. The Confirmation Order will provide that 37 Ventures
shall promptly distribute to Class 2 and Class 3 claimants the
proceeds it receives from the Adjustment Escrow prior to the use of
the proceeds for any other purposes, up to the allowed amount of
KB's and Alignment's claims. The Unpaid Balance may not exceed
$160,000 on the Effective Date, unless the holders of Class 2 and
Class 3 consent.
In the event that Class 2 and/or Class 3 claimants do not consent
to the Plan, then: (1) 37 Ventures will make distributions from its
Net Effective Date Cash sufficient to pay the undisputed portion of
Class 2 and/or Class 3 Claims; and (2) the Disputed Claim Amounts
of the Class 2 and/or Class 3 claimants shall be placed in the
Disputed Claim Reserve, and disbursed pursuant to agreement of the
parties or Final Order resolving the dispute.
Interest on Class 2 and Class 3 Claims shall accrue at the rate of
5% per annum beginning on the later of the Effective Date or
September 1, 2022, and continue until the earlier of: (1) when the
applicable Class 2 and/or Class 3 Claims have been paid in full;
and (2) December 30, 2022. The Unpaid Balance, plus interest, shall
be paid no later than December 30, 2022. If the Unpaid Balance is
not paid in full on or before December 30, 2022, interest on the
remaining amount of the Unpaid Balance after December 30, 2022
shall accrue at the rate of 10% per annum.
Until Classes 2 and 3 Claims have been paid in full: (1) 37
Ventures will make no distributions outside of the ordinary course
of business; (2) Yuri Pikover will subordinate payment of any
personal claims against 37 Ventures to the payment in full of
Classes 2 and 3 Claims; and (3) interest on the Unpaid Balance
shall accrue post-confirmation interest at the rate(s) described in
the preceding paragraph.
Class 6 General Unsecured Claims against Larada, Not Including
Alignment's Deficiency Claim. Larada shall pay in full Allowed
General Unsecured Claims against Larada, Pro Rata, as follows:
In full and final satisfaction, settlement, release, and discharge
of all Class 6 Claims, Larada shall make Quarterly Pro Rata
payments to holders of Class 6 Claims, in the amount of 30 percent
of the Remaining Larada Quarterly Amount until such Claims are paid
in full with interest, and Class 6 Claims shall be paid in full on
or before September 30, 2029 pursuant to section 5.10 hereof or as
otherwise provided in the Plan. Class 6 is impaired.
Section 5.10:
Larada Asset Sale Liquidity Event. If necessary to ensure timely
payment of all amounts it owes under the Plan (other than payment
of Class 7 Claims), Reorganized Larada shall, on or before
September 30, 2029: (1) obtain a loan in an amount necessary to pay
its creditor claims in full ("Plan Loan"), or if such a Plan Loan
cannot be obtained, (2) sell all or substantially all of the assets
used by Larada in the conduct of its business operations (upon
consummation of such a transaction, a "Larada Asset Sale Liquidity
Event"). The proceeds of a Plan Loan or a Larada Asset Sale
Liquidity Event shall be paid (a) to Alignment, for credit to the
remaining balance of its secured claim, (or if applicable to 37
Ventures upon the existence of the 37 Ventures Subrogation Claim)
for credit to the secured portion thereof, (b) next to Class 6
General Unsecured Creditors of Larada on a Pro Rata Basis (or if
applicable to Reorganized 37 Ventures on account of the unsecured
portion of the 37 Ventures Subrogation Claim), (c) next to Subdebt
Holders, on a Pro Rata basis unless their claims have been
Desubordinated, in which case, they shall share Pro Rata with Class
6 General Unsecured Creditors, and (d) finally to holders of
Interests in Larada pursuant to their respective rights and
interests. Larada shall obtain this Court's advance approval of any
transaction that would result in a Plan Loan or a Larada Asset Sale
Liquidity Event; with notice and an opportunity to be heard on any
application for such approval being first given to the then holders
of Claims against Larada.
Distributions under the Plan will be made from the following
sources: the 37 Ventures Net Effective Date Cash, Liquidity Event
Net Proceeds,the Larada Quarterly Payments and, if applicable, the
Larada Asset Sale Liquidity Event net proceeds (same).
Attorneys for 37 Ventures, LLC:
Gary E. Klausner, Esq.
Eve H. Karasik, Esq.
Jeffrey S. Kwong, Esq.
LEVENE, NEALE, BENDER, YOO & GOLUBCHIK L.L.P.
2818 La Cienega Avenue
Los Angeles, CA 90034
Telephone: (310) 229-1234
Facsimile: (310) 229-1244
E-mail: gek@lnbyg.com
ehk@lnbyg.com
jsk@lnbyg.com
Attorneys for Larada Sciences, Inc.:
George Hofmann, Esq.
COHNE KINGHORN, P.C.
111 East Broadway, 11th Floor
Salt Lake City, UT 84111
Telephone: (801) 363-4300
E-mail: ghofmann@ck.law
- and -
Derrick Talerico, Esq.
David B. Zolkin, Esq.
ZOLKIN TALERICO LLP
12121 Wilshire Blvd., Suite 1120
Los Angeles, CA 90025
Telephone: (424) 500-8557
E-mail: dtalerico@ztlegal.com
dzolkin@ztlegal.com
A copy of the Fourth Amended Joint Chapter 11 Plan of
Reorganization dated August 19, 2022, is available at
https://bit.ly/3KbkjX1 from PacerMonitor.com.
About 37 Ventures
37 Ventures, LLC, a company based in Thousand Oaks, Calif., sought
protection under Chapter 11 of the Bankruptcy Code (Bankr. C.D.
Cal. Case No. 21-10261) on March 18, 2021. Its affiliate, Larada
Sciences, Inc., a Utah-based company that owns and operates clinics
dedicated to head lice prevention and treatment, filed a Chapter 11
petition (Bankr. C.D. Cal. Case No. 21-10269) on March 19, 2021.
The cases are jointly administered under Case No. 21 10261. Judge
Deborah J. Saltzman oversees the cases.
In their petitions, 37 Ventures and Larada Sciences disclosed
assets of between $1 million and $10 million and liabilities of
between $10 million and $50 million.
Levene Neale Bender Yoo & Brill, LLP serves as 37 Ventures' legal
counsel. Larada Sciences tapped Cohne Kinghorn, PC as bankruptcy
counsel, Zolkin Talerico LLP as local counsel, and Rocky Mountain
Advisory, LLC as financial advisor.
942 PENN RR: Sept. 29 Disclosure Statement Hearing Set
------------------------------------------------------
On Aug. 7, 2022, 942 Penn RR, LLC filed with the U.S. Bankruptcy
Court for the Southern District of Florida a Disclosure Statement
for Joint Plan of Reorganization.
On Aug. 22, 2022, Judge Laurel M. Isicoff ordered that:
* Sept. 29, 2022 at 10:30a.m. in the United States Bankruptcy
Court, 301 North Miami Avenue, Courtroom 8, Miami, Florida 33128 is
the hearing to consider approval of the disclosure statement.
* Sept. 22, 2022 is the last day for filing and serving
objections to the disclosure statement.
A copy of the order dated Aug. 22, 2022, is available at
https://bit.ly/3CvZALK from PacerMonitor.com at no charge.
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.
ACTIVA RESOURCES: Unsecureds Owed $222K to be Paid in Full
----------------------------------------------------------
Activa Resources, LLC, and Tiva Resources, LLC, submitted a
Disclosure Statement for Joint Plan of Reorganization.
As set forth in the Plan and described further in this Disclosure
Statement, on and after the Effective Date, the Debtors' assets
will vest in the Reorganized Debtors. The Reorganized Debtors will
operate these assets in a manner in which they deem to be in the
best interest of the holders of Allowed Claims, which will result
in the holders of Allowed Claims being paid in full under the Plan.
The Debtors will continue to operate as a going concern, with the
primary goal of drilling additional wells using the proceeds of the
New Credit Facility and their cash flow. The Debtors believe that
these new wells will allow them to unlock value contained in the
Debtors' oil and natural gas asset reserves, which will increase
their PDP value, enterprise value and cash flows, and allow them to
pay holders of Allowed Claims in full.
The following is a list of provisions and/or goals which will aid
in the understanding of the remainder of this Disclosure Statement
and the accompanying Plan:
* The Plan projects 100% payment of all Allowed Claims, including
to the holders of Allowed Class 6 Operator Claims, Allowed Class 7
General Unsecured Claims, and Allowed Class 8 Suspense Claims,
which is substantially higher than if the Debtors were liquidated.
See Financial Projections (Exhibit B), and Liquidation Analysis1
(Exhibit C) for related projections.
* The Plan anticipates that the Debtors will drill new wells,
including in the Pruitt Project and the OS-Halliday Unit, utilizing
the proceeds of a $4.6 million New Credit Facility and available
cash flow. As set forth in the Financial Projections (Exhibit B),
the Debtors anticipate that participating in the drilling of new
wells using the proceeds of the New Credit Facility and available
cash flow will cause the Debtors to generate enough free cashflow
to allow for repayment of the New Credit Facility and to make
required Plan payments. Moreover, by participating in the new
wells, the Debtors will augment the value of the Debtors' oil and
gas assets, their enterprise value and net cash flows, which will
enable them to obtain replacement financing that will repay their
secured debt in full.
* The Reorganized Debtors will operate and make decisions they
believe to be in the best interests of the holders of Allowed
Claims.
Class 7 Allowed General Unsecured Claims totaling $222,000. Each
holder of an Allowed General Unsecured Claim, in full satisfaction,
settlement and release of and in exchange for all such Allowed
General Unsecured Claims, will be entitled to receive (1) a payment
equal to 50% of the Allowed General Unsecured Claim within 30 days
after such claim becomes an Allowed General Unsecured Claim, and
(2) a second payment equal to the remaining 50% of the Allowed
General Unsecured Claim within 90 days after such claim becomes an
Allowed General Unsecured Claim. In no event shall a holder of an
Allowed General Unsecured Claim be entitled to collect any amount
above the amount of such Allowed General Unsecured Claim. At that
time, the holder's Allowed General Unsecured Claim will be fully
satisfied and released. Class 7 is impaired.
Counsel for the Debtors:
Bernard R. Given II, Esq.
LOEB & LOEB LLP
10100 Santa Monica Blvd., Suite 2200
Los Angeles, CA 90067-4120
Telephone: (310) 282-2000
Facsimile: (310) 282-2200
E-mail: bgiven@loeb.com
- and -
Bethany D. Simmons, Esq.
345 Park Avenue
New York, NY 10154
Telephone: (212) 407-4000
Facsimile: (212) 407-4990
E-mail: bsimmosn@loeb.com
A copy of the Disclosure Statement dated August 19, 2022, is
available at https://bit.ly/3pxuD1V from PacerMonitor.com.
About Activa Resources and Tiva Resources
Activa Resources, LLC and Tiva Resources, LLC operate in the oil
and gas extraction industry. Both companies are based in San
Antonio, Texas.
On Feb. 3, 2022, Activa Resources and Tiva Resources sought
protection under Chapter 11 of the Bankruptcy Code (Bankr. W.D.
Tex. Lead Case No. 22-50117). In the petitions signed by John
Hayes, president, Activa Resources disclosed as much as $50 million
in both assets and liabilities while Tiva Resources disclosed up to
$10 million in assets and up to $50 million in liabilities.
Judge Michael M. Parker oversees the cases.
The Debtors tapped Bernard R. Given II, Esq., at Loeb and Loeb, LLP
as legal counsel, and Haynie & Company as accountant and auditor.
Donlin, Recano & Company, Inc. is the claims, noticing and
solicitation agent.
On Aug. 19, 2022, the Debtors filed their proposed joint Chapter 11
plan of reorganization and disclosure statement.
ARG MEDIA LLC: Gets OK to Hire Willis & Associates as Legal Counsel
-------------------------------------------------------------------
ARG Media, LLC received approval from the U.S. Bankruptcy Court for
the Western District of Pennsylvania to employ Willis & Associates
to handle its Chapter 11 bankruptcy case.
The firm will be paid $350 per hour for its services and will be
reimbursed for its out-of-pocket expenses.
Prior to the filing of the petition, the Debtor paid the firm a
retainer of $5,000.
Lawrence Willis, Esq., a partner at Willis & Associates, 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:
Lawrence Willis, Esq.
Willis & Associates
201 Penn Center Blvd., Suite 310
Pittsburgh, PA 15235
Tel: (412) 235-1721
Fax: (412) 542-1704
Emaillawrencew@westernpabankruptcy.com
About ARG Media
ARG Media, LLC filed a petition under Chapter 11, Subchapter V of
the Bankruptcy Code (Bankr. W.D. Pa. Case No. 22-21478) on July 29,
2022, listing as much as $1 million in both assets and liabilities.
Crystal H. Thornton-Illar serves as Subchapter V trustee.
The Debtor is represented by Lawrence Willis, Esq., at Willis &
Associates.
ASSOCIATED FIXTURE: Case Summary & 20 Largest Unsecured Creditors
-----------------------------------------------------------------
Debtor: Associated Fixture Manufacturing, Inc.
8975 W. 3500 S.
Magna, UT 84044
Business Description: The Debtor is engaged in the manufacturing
of cabinets and fixtures.
Chapter 11 Petition Date: August 25, 2022
Court: United States Bankruptcy Court
District of Utah
Case No.: 22-23317
Judge: Hon. William T. Thurman
Debtor's Counsel: T. Edward Cundick, Esq.
WORKMAN NYDEGGER
60 E. South Temple, Ste. 1000
Salt Lake City, UT 84111
Tel: 801-321-8873
Email: tcundick@wnlaw.com
Estimated Assets: $500,000 to $1 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Scott T. Colledge as director.
A copy of the Debtor's list of 20 largest unsecured creditors is
available for free at PacerMonitor.com at:
https://www.pacermonitor.com/view/V55NEPA/Associated_Fixture_Manufacturing__utbke-22-23317__0002.0.pdf?mcid=tGE4TAMA
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/VRAQ6SY/Associated_Fixture_Manufacturing__utbke-22-23317__0001.0.pdf?mcid=tGE4TAMA
B T S INTERNATIONAL: Unsecureds to be Paid in Full with Interest
----------------------------------------------------------------
B T S International, LLC, filed with the U.S. Bankruptcy Court for
the Western District of Washington a Chapter 11 Plan of
Reorganization under Subchapter V dated August 23, 2022.
BTS is a Washington limited liability company, formed in 2012. BTS
owns two parcels of land: commercial property at 505 Harrison
Street, Seattle, Washington, and residential property at 15601
Larch Way, Lynnwood, Washington.
Its original members were Basil Lee, his wife Teresa Lee, and their
daughter Stephanie Wang. As of the date of the BTS bankruptcy
filing, Teresa Lee and Stephanie Wang each hold a 50% membership
interest in BTS. Ms. Wang is the managing member.
In January 2022, Variscite commenced nonjudicial deed of trust
foreclosures against both properties, setting April 29, 2022, as
the sale date for both. On April 27, BTS and Variscite entered into
a foreclosure sale postponement agreement. BTS stipulated to the
amount owed as of that date, and waived certain defenses related to
the loan obligation. The foreclosure sales were continued to May
27, 2022.
BTS anticipated that Mr. Kim's money was to be released some months
ago, and that he would thereafter loan sufficient funds to BTS to
satisfy the company's debts. It was on that expectation that BTS
entered into the foreclosure postponement agreement with Variscite.
After it became clear that Mr. Kim's money would not be received
prior to the continued foreclosure sale date, BTS sought bankruptcy
protection to halt the two foreclosures and provide time to
generate sufficient funds to pay all debt of the company.
This Plan provides for full payment on unclassified administrative
claims, all allowed secured claims, and all allowed unsecured
claims, through a refinance and subsequent sale of the Harrison
Property.
Class 1-A consists of Variscite Capital's Secured Claim, which is
secured by a first position Deed of Trust on both the Harrison
Property and the Larch Way Property. BTS has agreed that the amount
of the Claim, as of April 22, 2022, was $2,195,597.25, exclusive of
accrued interest, late charges, other expenses, and attorneys' fees
and costs. The Allowed Class 1-A Claim shall be paid in full.
Class 1-B consists of two Secured Claims: The Claim of King County
for unpaid real property taxes on the Harrison Property, and the
Claim of Snohomish County for unpaid real property taxes on the
Larch Way Property. The Allowed Class 1-B Claims shall be paid in
full, with interest on unpaid real property taxes.
Class 1-C consists of the Secured Claim of Dickson Company, in the
amount as of May 10, 2022, of $102,680.20. The Claim is secured by
a judgment lien on the Harrison Property. The Allowed Class 1-C
Claim shall be paid in full, with interest at 12% as provided by
statute.
Class 2 Claims consist of all Allowed General Unsecured Claims.
Class 2 claims shall be paid in full. Interest shall be paid on
Class 2 Claims at 4.0% from the Petition Date to the date of
payment. Class 2 Claims are impaired.
Class 3 consists of the persons holding membership interests in the
Debtor limited liability company. This class of claims is
unimpaired under the Plan. Class 3 Claimants will retain their
membership interests held at the commencement of the case, without
dilution.
All Allowed Secured Claims will be paid in full upon the closing of
a refinance of the Harrison Property. Such closing shall take place
at the earliest practical date following entry of the Confirmation
Order but in no event later than sixty days following the Effective
Date.
All Allowed Unsecured Claims will be paid in full no later than
nine months following the Effective Date, through the sale of the
Harrison Property.
A full-text copy of the Plan of Reorganization dated August 23,
2022, is available at https://bit.ly/3dVJr85 from PacerMonitor.com
at no charge.
Debtor's Counsel:
Alan J. Wenokur, Esq.
Wenokur Riordan PLLC
600 Stewart Street, Suite 1300
Seattle, WA 98101
Telephone: (206) 682-6224
Email: alan@wrlawgroup.com
About B T S International
B T S International, LLC, owns two parcels of real property located
at (i) 505 Harrison St., Seattle, Wash., which is currently bare
ground; and (ii) 15601 Larch Way, Lynwood, Wash., which is a
residential real property occupied by Stephanie A. Wang, the
managing member of B T S, and other family members.
B T S International filed a petition under Chapter 11, Subchapter V
of the Bankruptcy Code (Bankr. W.D. Wash. Case No. 22-10867) on May
26, 2022, listing between $1 million and $10 million in both assets
and liabilities. Michael DeLeo serves as Subchapter V trustee.
Judge Marc Barreca oversees the case.
Alan J. Wenokur, Esq., at Wenokur Riordan, PLLC, is the Debtor's
legal counsel.
BANKS CONSTRUCTION: Moorhead Law Group Represents Woods, 4 Others
-----------------------------------------------------------------
In the Chapter 11 case of Banks Construction, LLC, the law firm of
Moorhead Law Group, PLLC submitted a verified statement under Rule
2019 of the Federal Rules of Bankruptcy Procedure, to disclose that
it is representing the following non-priority unsecured creditors:
a. Mike Woods, 8274 Foxtail Loop, Pensacola, FL 32526;
b. Greg Miller, 18 Mclane Road, Gulf Breeze, FL 32561;
c. Christopher Welch, 4027 ErikaFort, Pensacola, FL32526;
d. Jacobo & Lynn Cruz, 4965 Castayls Road, Pensacola, FL
32504; and
e. The Building, LLC, 4400 Bayou Blvd., Bldg #51, Pensacola,
FL 32503
Without exception, the Parties consist of individuals and a
limited liability company that contracted with the Debtor for
certain improvements to real property the Parties own. The Parties
advanced funds to the Debtor but did not receive the construction
services for which they bargained – in most instances, no work
was performed.
The nature and amount of each of the Parties' disclosable economic
interest held in relation to the Debtor are as follows:
Economic Interest
-----------------
Mike Woods $53,200 construction contract payment
Greg Miller $24,925 construction contract payment
Christopher Welch $25,400 construction contract payment
Jacobo & Lynn Cruz $29,000 construction contract payment
The Building, LLC $19,000 construction contract payment
The Parties are acting in concert to advance their common interests
and are not affiliates or insiders of one another.
MLG has fully advised the Parties with respect to this concurrent
representation, and each of the Parties has agreed to such
representation and has requested that MLG represent them in this
case.
The Firm can be reached at:
MOORHEAD LAW GROUP, PLLC
ROBERT J. POWELL, Esq.
127 Palafox Place, Suite 200
Pensacola, FL 32502
Tel: (850) 466-4093 (Office)
(850) 477-0982 (Fax)
E-mail: rpowell@moorheadlaw.com
heidi@moorheadlaw.com
acavin@moorheadlaw.com
A copy of the Rule 2019 filing, downloaded from PacerMonitor.com,
is available at https://bit.ly/3KtdK2i
About Banks Construction
Banks Construction, LLC, is primarily a residential contractor.
The pandemic caused substantial issues in the Debtor's operations,
which unfortunately led to substantial issues in completing certain
jobs in a timely fashion.
Banks Construction filed a petition for relief under Subchapter V
of Chapter 11 of the Bankruptcy Code (Bankr. N.D. Fla. Case No.
3:22-bk-30451) on Aug. 9, 2022. Judge Jerry C Oldshue Jr. handles
the case.
Jerrett Matthew McConnell has been appointed as Subchapter V
Trustee.
Robert C. Bruner, Esq., of BRUNER WRIGHT, P.A., is the Debtor's
counsel.
BATH & BODY: Moody's Affirms 'Ba2' CFR & Alters Outlook to Stable
-----------------------------------------------------------------
Moody's Investors Service changed the outlook of Bath & Body Works,
Inc. ("BBW") to stable from positive and affirmed all other ratings
including its Ba2 corporate family rating, its Ba2-PD probability
of default rating, the Ba2 rating of its senior unsecured
guaranteed notes and the B1 rating of its senior unsecured
unguaranteed notes. The speculative grade liquidity rating
remains unchanged at SGL-1.
"The challenging operating and macroeconomic environment with
inflationary pressure causing consumers to pull back on
discretionary purchases will negatively impact BBW's sales and
profitability resulting in weaker than expected credit metrics for
the 2022 fiscal year, hence the change in outlook to stable from
positive" Moody's Vice President Mickey Chadha stated. "However,
Moody's expect BBW's liquidity to remain strong with positive free
cash flow generation and metrics will gradually improve in 2023 as
topline and profits stabilize" Chadha further stated.
Affirmations:
Issuer: Bath & Body Works, Inc.
Corporate Family Rating, Affirmed Ba2
Probability of Default Rating, Affirmed Ba2-PD
Senior Unsecured Unguaranteed Regular Bond/
Debenture, Affirmed B1 (LGD6)
Senior Unsecured Guaranteed Regular Bond/Debenture,
Affirmed Ba2 to (LGD4) from (LGD3)
Outlook Actions:
Issuer: Bath & Body Works, Inc.
Outlook, Changed To Stable From Positive
RATINGS RATIONALE
Bath & Body Works, Inc.'s Ba2 CFR reflects its very good liquidity
and balanced financial strategies. Inflationary pressure is
resulting in shrinking disposable income which is causing consumers
to pull back on discretionary purchases while input costs and
operating expenses remain elevated. It is increasingly difficult
to pass on price increases in this environment thereby causing
profit margins to shrink. Therefore, Moody's expect debt/EBITDA
and EBIT/interest to weaken to about 3.6x and 2.9x respectively in
2022 compared to Moody's previous expectation of 2.6x and 4.0x
respectively. Moody's expect credit metrics to gradually improve in
2023 as inflationary and cost pressures ease and the company
streamlines its inventory. The company plans to maintain an
adjusted debt/EBITDAR target of around 2.5x and payout a dividend
of approximately $185 million in 2022. Moody's expect the company
to pare back share repurchases if needed to maintain strong
liquidity. BBW has had a history of solid demand for its
products and very strong operating margins which have been
supported by tight inventory management. Nonetheless, the company
remains at risk as demand for its products remains discretionary.
The seasonal nature of its operations are also a key risk factor.
The stable outlook reflects Moody's expectation that operating
performance and credit metrics will improve in 2023, liquidity will
remain strong and financial strategies will remain balanced.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be upgraded if the company demonstrates a
consistent track record of operating income performance. A rating
upgrade would also require BBW maintains very good liquidity and a
clearly articulated and balanced financial strategy. Quantitatively
ratings could be upgraded if debt/EBITDA is sustained below 2.5
times and EBIT/interest expense is sustained above 4.0 times.
The ratings could be downgraded if the company demonstrates an
inconsistent track record of operating income performance or
operating performance does not improve. Ratings could also be
downgraded if liquidity weakens or the company adopts a more
aggressive financial policy. Quantitatively ratings could be
downgraded if debt/EBITDA is sustained above 3.5 times and
EBIT/interest expense below 3.0 times.
Headquartered in Columbus, Ohio, Bath and Body Works, Inc. operates
in excess of 1,770 company-owned specialty stores in the United
States and Canada. Its brand is also sold in more than 360
franchised locations worldwide and on bathandbodyworks.com.
Revenue was about $7.9 billion for fiscal year 2021.
The principal methodology used in these ratings was Retail
published in November 2021.
BETTER 4 YOU BREAKFAST: Unsecureds Likely to be Paid in Full
------------------------------------------------------------
Better 4 You Breakfast, Inc., filed with the U.S. Bankruptcy Court
for the Central District of California a Chapter 11 Disclosure
Statement which relates to the accompanying Chapter 11 Plan dated
August 23, 2022.
The Debtor is a California corporation formed in 2011. It has 4
shareholders holding common stock and one shareholder holding both
Series A Preferred and Series B Preferred stock. The Debtor was a
food service company.
The actions of Debtor's former CFO triggered covenant defaults
under the Debtor's financing agreements with Valley National Bank
(fka Bank Leumi USA) ("Leumi"). Efforts to reach a workout
agreement with Leumi continued until the very last minute, just
before the hearing on February 24, 2022. When it was clear that
those efforts would not be successful, the Debtor filed its Chapter
11 petition - only minutes before the hearing on February 24, 2022.
During the Chapter 11 case Leumi continued its legal activities,
opposing virtually everything the Debtor attempted to do. Due to a
part of the bankruptcy law which gives secured creditors additional
rights, the Debtor was ultimately forced to do what Leumi wanted to
have done – sell its operating business to raise funds to pay
Leumi. This sale closed (was completed) on July 20, 2022.
During this Chapter 11 case the Debtor sold its operating assets
pursuant to an Asset Purchase Agreement ("APA"). The APA
constitutes a plan of reorganization of Debtor and Buyer for
purposes of Sections 368, 354 and 356 of the Code, and the
transactions contemplated by the APA and subsequent actual or
deemed distribution of the Equity holder Distribution to the
shareholders of the Debtor are intended to constitute a G
Reorganization (as defined in the APA).
As a result, only the cash received by the Debtor as a result of
the sale is taxable to the bankruptcy estate. The remaining gain is
deferred and is treated as the basis for the buyer's stock which
was received as consideration for the sale. The Debtor's
accountants have projected that the Debtor's tax obligation for the
fiscal year ending June 30, 2022 will be approximately $60,000 and
that there will be no tax liability for the fiscal year ending June
30, 2023. The Debtor intends to pay this obligation from funds on
hand and the buyer's stock will likely be distributed to Debtor's
interest holders subject to the Debtor's tax basis.
Class 1 consists of General Unsecured Claims. Claims not entitled
to priority under Section 507 of the Bankruptcy Code and not
secured by Collateral (property which belongs to the bankruptcy
estate) are General Unsecured Claims. Under the Plan, holders of
General Unsecured Claims are likely, but not guaranteed to be paid
in full (100% of what is owed) or an amount which they agree to
accept. Claimholders cannot be paid more than they are owed.
The actual percentage to be paid could be lower depending on the
total funds available after the payment of Administrative Claims
and the total amount of the unsecured claims which are allowed. If
the total amount of General Unsecured Claims is more than expected,
or if the amount available is less than expected, the percentage
could be lower.
Class 2 consists of Interest Holders. The Interest Holders will
receive whatever assets exist in the estate after the payment in
full of all General Unsecured Claims. In other words, those holding
Interests will receiving nothing until and unless those holding
General Unsecured Claims are paid in full.
In this case, the bankruptcy estate consists of cash (mostly from
the asset sale), some cash from operations prior to the sale, cash
to be received from the sale which is being held back until certain
contingencies are resolved, stock in the buyer (which was part of
the purchase price from the asset sale), stock in the buyer which
is being held back until certain contingencies are resolved and a
few miscellaneous assets.
Because the Debtor is not an individual, does not intend to
continue in business and the proposed Plan is a liquidating Plan,
the Debtor will not receive a discharge of debts as provided in §
1141(d). As of the Plan's Effective Date, control over assets of
this bankruptcy estate will be returned to those designated under
the Plan to manage them.
A full-text copy of the Disclosure Statement dated August 23, 2022,
is available at https://bit.ly/3ARvnFH from PacerMonitor.com at no
charge.
Attorney for Debtor:
David A. Tilem, Esq.
Law Offices of David A. Tilem
206 N Jackson St Suite 201
Glendale, CA 91206
Phone: +1 818-507-6000
Fax: 818-507-6800
Email: DavidTilem@TilemLaw.com
About Better 4 You Breakfast
Better 4 You Breakfast, Inc. is a school meal vendor based in Los
Angeles, Calif.
Better 4 You Breakfast sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. C.D. Cal. Case No. 22-10994) on Feb. 24,
2022, listing as much as $50 million in both assets and
liabilities. Fernando Castillo, president, signed the petition.
Judge Sheri Bluebond oversees the case.
Daniel A. Tilem, Esq., at the Law Offices of David A. Tilem and
James Wong, a principal at Armory Consulting Co., serve as the
Debtor's legal counsel and chief restructuring officer,
respectively.
The U.S. Trustee for Region 16 appointed an official committee of
unsecured creditors on April 18, 2022. The committee is
represented by Brinkman Law Group, PC.
CALIFORNIA ROOFS: Amends Plan to Include NCCS Secured Claim Details
-------------------------------------------------------------------
California Roofs and Solar, Inc., submitted a Modified Plan of
Reorganization for Small Business.
This Plan of Reorganization proposes to pay creditors of the Debtor
from Debtor's business income from operating its residential
remodeling and air conditioning service business.
Non-priority unsecured creditors holding allowed claims will
receive distributions, which the proponent of this Plan has valued
at approximately 2 cents on the dollar ($11,128.80). This Plan
also provides for the payment of administrative and priority
claims.
Treatment of the Employment Development Department's (EDD's) claim
shall be pursuant to the plan treatment stipulation filed on June
8, 2022; order approving plan treatment stipulation. Specifically,
Debtor proposes to pay EDD's $25,000 priority claim over 60 months
from the petition date in monthly amortized payments of $504.23 per
month, with the first payment of $504.23 due on the Effective Date,
and a balloon payment in month 60 for any balance, if applicable,
in the event the results of the pending petition disputing the
audit results reflects a final non-appealable priority claim amount
in excess of $25,000.
Class 2(A) consists of the Secured Claim of Outfront Media, LLC.
Outfront Media, LLC is secured by a Notice of Judgment Lien against
Debtor's assets. The Notice of Judgment Lien was filed with the CA
Secretary of State on September 30, 2020. Outfront's claim is
scheduled for $16,188.95. During this bankruptcy case, Debtor
found out that Outfront's claim has been satisfied prior to the
petition date, and that the only outstanding amount owed to
Outfront is $655.56 per the Memorandum of Costs served and filed on
January 22, 2021. The Debtor proposes to make a one-time payment
of $655.56 to Outfront on the Effective Date.
Class 2(C) consists of the Secured Claim of the Northern California
Collection Service Inc/State Fund. Northern California Collection
Service Inc/State Fund ("NCCS") is secured by a Notice of Judgment
Lien against Debtor's assets. The Notice of Judgment Lien was filed
with the CA Secretary of State on April 30, 2021. Treatment of
NCCS's claim shall be pursuant to the terms of the plan treatment
stipulation filed on June 8, 2022; order approving plan treatment
stipulation entered on June 13, 2022.
Pursuant to plan treatment stipulation, NCCS shall have an allowed
secured claim for $16,188.95, which amount will be paid through
Debtor’s Plan over 60 months at 10% interest rate at $343.97 per
month, with the first payment of $343.97 due on the Effective Date,
followed by 59 consecutive monthly payments of $343.97 each until
the allowed secured claim is paid in full. The balance of
$443,429.34 is treated as a general unsecured claim in Class 3.
Class 3 consists of Non-priority unsecured creditors. Holders of
general unsecured creditor Class 3 will be paid 2% of such
creditors' claim over 5 years, with the first payment due on the
Effective Date, followed by 59 consecutive monthly payments, each
due on the first day of each month. The monthly payments are
$185.48.
Distribution to creditors under this Plan will be funded primarily
from the following sources: (a) the Debtor's cash on hand on the
Effective Date and (b) the income derived from the continued
operation of the Debtor's business.
This plan proposes to pay creditors using the net income of the
debtor over the five-year period after the Effective Date. This
plan will allow non-insider general unsecured creditors (Class 3)
to recover 2 times more than if the Debtor's assets were sold in a
hypothetical Chapter 7 liquidation and the proceeds paid out to
each Creditor respective creditors. Debtor believes that this Plan
represents the best possible return to holders of claims. The
Debtor believes that this plan will successfully reorganize the
Debtor and that the confirmation of this Plan is in the best
interests of the Debtor, its creditors, and equity interest
holder.
A full-text copy of the Modified Plan of Reorganization dated
August 23, 2022, is available at https://bit.ly/3PPJEXz from
PacerMonitor.com at no charge.
Debtor's Counsel:
Michael Jay Berger, Esq.
Law Offices of Michael Jay Berger
9454 Wilshire Blvd., 6th Floor
Beverly Hills, CA 90212-2929
Telephone: (310) 271-6223
Facsimile: (310) 271-9805
Email: michael.berger@bankruptcypower.com
About California Roofs and Solar
Since September 2014, California Roofs and Solar, Inc., has been in
the business of providing residential remodeling and air
conditioning services.
California Roofs and Solar sought protection under Chapter 11 of
the U.S. Bankruptcy Code (Bankr. E.D. Cal. Case No. 22-10061) on
Jan. 17, 2022, listing as much as $1 million in both assets and
liabilities. Carlos Colima, chief financial officer, signed the
petition. Judge Rene Lastreto II oversees the case. Michael
Jay Berger, Esq. at the Law Offices of Michael Jay Berger, is the
Debtor's counsel.
CAPITAL POWER: DBRS Gives Prov. BB Rating to Subordinated Notes
---------------------------------------------------------------
DBRS Limited assigned a provisional rating of BB with a Stable
trend to the $350 million Fixed-to-Fixed Rate Subordinated Notes,
Series 1 due September 9, 2082 (the Subordinated Notes), to be
issued by Capital Power Corporation (the Company).
The Company intends to allocate an amount equal to the net proceeds
from the sale of the Subordinated Notes to finance or refinance new
or existing investments and expenditures that meet the eligibility
criteria as described in its Green Financing Framework. Pending
such allocation, the Company expects to use the net proceeds to
redeem the Company's outstanding Cumulative Minimum Rate Reset
Preference Shares, Series 9, to repay certain amounts drawn on the
Company's credit facilities and for general corporate purposes.
Notes: All figures are in Canadian dollars unless otherwise noted.
CARESTREAM HEALTH: Aug. 31 Deadline Set for Panel Questionnaires
----------------------------------------------------------------
The United States Trustee is soliciting members for committee of
unsecured creditors in the bankruptcy case Carestream Health, Inc.
If a party wishes to be considered for membership on any official
committee that is appointed, it must complete a Questionnaire
available at https://bit.ly/3QTw0nz and return by email it to Jane
M. Leamy -- Jane.M.Leamy@usdoj.gov -- at the Office of the United
States Trustee so that it is received no later than 4:00 p.m., on
Aug. 31, 2022.
If the U.S. Trustee receives sufficient creditor interest in the
solicitation, it may schedule a meeting or telephone conference for
the purpose of forming a committee.
About Carestream Health
Carestream Health, Inc., together with their non-Debtor affiliates,
are providers of medical imaging and non-destructive testing
products with over 100 years of industry experience. Its
products are used by prominent health systems, hospitals, imaging
centers, specialty practices and industrial companies worldwide.
On Aug. 23, 2022, Carestream Health filed for chapter 11
protection (Bankr. D. Del. Case No. 22-10778). In the petition
filed by Scott Rosa, as chief financial officer, the Debtor
estimated assets and liabilities between $1 billion to $10 billion
each.
AlixPartners, LLC is the Debtors' Restructuring Advisor. Houlihan
Lokey, Inc. is the Debtors' Financial Advisor & Investment Banker.
Kurtzman Carson Consultants LLC is the Debtors' Claims & Noticing
Agent.
CARESTREAM HEALTH: Files for Chapter 11 Bankruptcy
--------------------------------------------------
Carestream Health announced it is taking the planned next step to
implement the previously announced recapitalization process with
its lenders by voluntarily filing for reorganization under Chapter
11 of the United States Bankruptcy Code in the United States
Bankruptcy Court for the District of Delaware. The Company's
lenders have overwhelmingly voted in favor of a "prepackaged"
restructuring plan, which contemplates implementing the agreed
recapitalization that has been filed with the Court.
The recapitalization contemplated by the prepackaged plan will
eliminate approximately $470 million of debt, representing a total
debt reduction of $250 million more than the Company's previously
announced recapitalization agreement. This process will
significantly strengthen Carestream's balance sheet and position
the Company for continued success.
Carestream expects to continue operating normally throughout the
court-supervised process and remains focused on serving its
customers and working with suppliers on normal terms. With the
overwhelming support of its lenders, the Company expects to move
through this process on an expedited basis and complete the
recapitalization in approximately 35-45 days. Certain of the
Company's existing lenders have committed to provide a $80 million
debtor-in-possession financing facility to reinforce the
Company’s liquidity and fund the costs of the process. Carestream
entities outside the United States are not part of the Chapter 11
process and are operating as normal.
"We are commencing the final stage of our recapitalization process,
which will significantly enhance our ability to navigate a dynamic
market," said David C. Westgate, Chairman, President and CEO of
Carestream. "Since announcing our recapitalization process in
April, our lenders have remained overwhelmingly supportive, and we
have worked constructively with them to complete the transaction.
As our talks evolved, we determined the best course of action was
to implement the agreement through an expedited court-supervised
process. With a clear path to completion, we expect to emerge from
this process as a stronger partner to our customers, with
significantly reduced debt and new owners who also continue to
believe in the future of Carestream."
Mr. Westgate continued, "Carestream has strong market opportunities
ahead. I am confident in the strength of our core business and our
ability to maintain market leadership moving forward. I would like
to thank our customers and partners for their unwavering support. I
also want to thank our talented team across the globe, whose
commitment to serving our customers has been steadfast throughout
this process."
Carestream has filed customary motions with the Court seeking
authorization to support its operations during this process. The
Company expects suppliers to be unimpaired by this process and
intends to pay suppliers in full for goods and services provided
before, on or after the Chapter 11 filing date.
Additional information is available by calling Carestream’s
Restructuring Hotline, at 877-709-4750 (toll- free in the U.S.) or
424-236-7230 (for calls originating outside the U.S.). Court
documents and additional information about the court-supervised
process are available on a website administered by Carestream’s
claims agent, KCC, at www.kccllc.net/Carestream.
About Carestream Health
Carestream Health, Inc., and its affiliates are providers of
medical imaging and non-destructive testing products with over 100
years of industry experience. Its products are used by prominent
health systems, hospitals, imaging centers, specialty practices and
industrial companies worldwide.
Carestream Health, Inc., and 8 related entities sought Chapter 11
protection (Bankr. D. Del. Lead Case No. 22-10778) on August 23,
2022, to seek confirmation of a Prepackaged Plan.
The Hon. J. Kate Stickles oversees the cases.
In the petition signed by Scott Rosa, chief financial officer,
Carestream Health disclosed $1 billion to $10 billion in assets and
liabilities.
The Debtors tapped KIRKLAND & ELLIS LLP as general bankruptcy
counsel; PACHULSKI STANG ZIEHL & JONES LLP as local bankruptcy
counsel; ALIXPARTNERS, LLC, as restructuring advisor; and HOULIHAN
LOKEY, INC., as investment banker. KURTZMAN CARSON CONSULTANTS LLC
is the claims agent.
Akin Gump Strauss Hauer & Feld LLP and GLC Advisors & Co., LCC are
serving as legal counsel and financial advisor, respectively, to a
group of the Company’s first lien and second lien lenders.
CARESTREAM HEALTH: Unsecureds Unimpaired in Prepack Plan
--------------------------------------------------------
Carestream Health, Inc., and Its Debtor Affiliates filed with the
U.S. Bankruptcy Court for the District of Delaware a Disclosure
Statement for the Joint Prepackaged Chapter 11 Plan of
Reorganization dated August 23, 2022.
Carestream is a leading global provider of highly innovative
medical imaging and non-destructive testing products which promote
efficacy and accuracy of care around the world. Headquartered in
Rochester, New York, Carestream offers best-in-class products and
materials to its customers.
Carestream has spent significant time over the past several months
working together with its existing lenders to explore strategic
alternatives to best position the Company for success. The Plan
reflects the culmination of those efforts and seeks to implement a
comprehensive recapitalization of the Debtors' balance sheet with
overwhelming creditor support.
Specifically, after extensive diligence and arms' length
negotiations with an ad hoc group of holders of First Lien Claims
and Second Lien Term Loan Claims (the "Crossover Group"), the
Debtors reached an agreement with its Sponsor, First Lien Lenders
holding more than 70 percent of the outstanding First Lien Claims,
and Second Lien Lenders holding more than 99 percent of the
outstanding Second Lien Term Loan Claims on the terms of the
restructuring transactions set forth in that certain restructuring
support agreement, dated as of August 21, 2022, (the "Restructuring
Support Agreement" or "RSA," and the transactions contemplated
thereby, the "Restructuring Transactions").
To facilitate the implementation of the Restructuring Transactions,
concurrently with the execution of the Restructuring Support
Agreement, (i) certain members of the Crossover Group have
committed to providing the Debtors with up to $80 million in
debtor-in-possession financing to cover the administrative costs of
these chapter 11 cases and to bolster the Debtors' liquidity upon
their exit from chapter 11, and (ii) certain parties, including
certain First Lien Lenders, have committed to provide an $85
million New ABL Facility to support the Debtors' working capital
needs following emergence. Importantly, the Plan will also
deleverage the Debtors' balance sheet by approximately $470
million.
The key terms of the Restructuring Transactions, as reflected in
the Plan, include the following:
* certain members of the Crossover Group have committed to
provide the Debtors with access to up to $80 million in debtor-in
possession financing consisting of (a) a $5 million tranche that
will be repaid in full in cash, and (b) a $75 million tranche that
will be partially satisfied with proceeds of an equity rights
offering, if any, and the remainder will be equitized into the New
Common Stock through the DIP Rollover, subject to dilution by the
Debtors' management incentive plan;
* each holder of an Allowed First Lien Claim shall receive (a)
cash in an amount equal to 3% of its Allowed First Lien Claim and
(b) its pro rata share of the New Term Loan Facility in aggregate
principal amount between $536 million and $547 million (depending
on the level of participation in the ABL Roll Option) for the
remainder of its claim, provided that holders of Allowed First Lien
Revolving Claims may elect to roll a portion of their Allowed First
Lien Revolving Claims into new loans under the New ABL Facility
pursuant to the ABL Roll Option;
* the Debtors' existing Second Lien Term Loan will be
cancelled and each holder of an Allowed Second Lien Term Loan Claim
shall receive its pro rata share of (a) 10% of the New Common
Stock, subject to dilution by the Debtors' Management Incentive
Plan, and (b) the right to purchase for cash its pro rata share of
80% of the New Common Stock, subject to dilution by the Debtors'
Management Incentive Plan;
* each Holder of an Allowed General Unsecured Claim will be
paid in full in cash or have its claim reinstated; and
* Existing equity interests will be cancelled on the Effective
Date.
Notably, the Plan leaves general unsecured creditors unimpaired and
will allow the Debtors to minimize disruptions to their go forward
operations while effectuating a value-maximizing transaction
through the chapter 11 process. The Debtors expect to continue
operating normally throughout the court-supervised process and
remain focused on serving their customers and working with
suppliers on normal terms. With the overwhelming support of their
lenders, the Debtors are seeking authority to move through the
chapter 11 process on an expedited basis to implement the
Restructuring Transactions in approximately 30-45 days.
Class 5 consists of General Unsecured Claims. Each Allowed General
Unsecured Claim (other than any Sponsor General Unsecured Claim)
shall, at the option of the applicable Debtor, be either (i)
Reinstated or (ii) paid in full in Cash on the later of (x) the
Effective Date and (y) the date on which such payment would
otherwise be due in the ordinary course of business in accordance
with the terms and conditions of the particular transaction giving
rise to such Allowed General Unsecured Claim.
On the Effective Date, each Sponsor General Unsecured Claim shall
be canceled, released, and extinguished, and will be of no further
force or effect, without any distribution to the Holder of such
Claim on account thereof, as agreed by the Sponsor pursuant to the
Restructuring Support Agreement. The allowed unsecured claims total
$14,200,000.
The Debtors and the Reorganized Debtors, as applicable, shall fund
distributions under the Plan with: (1) Cash on hand, including Cash
from operations and the proceeds from the Rights Offering, as
applicable; (2) the New Common Stock; (3) the New Term Loan
Facility Term Loans; and (4) the New ABL Facility.
A full-text copy of the Disclosure Statement dated August 23, 2022,
is available at https://bit.ly/3TnvbFu from PacerMonitor.com at no
charge.
About Carestream Health
Carestream Health, Inc., and its affiliates are providers of
medical imaging and non-destructive testing products with over 100
years of industry experience. Its products are used by prominent
health systems, hospitals, imaging centers, specialty practices and
industrial companies worldwide.
Carestream Health, Inc., and 8 related entities sought Chapter 11
protection (Bankr. D. Del. Lead Case No. 22-10778) on August 23,
2022. Hon. J. Kate Stickles oversees the cases.
In the petition signed by Scott Rosa, chief financial officer,
Carestream Health disclosed $1 billion to $10 billion in assets and
liabilities.
The Debtors tapped KIRKLAND & ELLIS LLP as general bankruptcy
counsel;
PACHULSKI STANG ZIEHL & JONES LLP as local bankruptcy counsel;
ALIXPARTNERS, LLC, as restructuring advisor; and HOULIHAN LOKEY,
INC., as investment banker. KURTZMAN CARSON CONSULTANTS LLC is the
claims agent.
CELSIUS NETWORK: Gets Court OK to Sell Mined Bitcoin to Fund Ops
-----------------------------------------------------------------
Crypto News BTC reports that troubled crypto lender Celsius
Community has caught a break after the decide overseeing the
agency's chapter case gave it permission to promote newly-mined
Bitcoin, per a Law360 report.
Decide Martin Glenn of the Chapter Court docket for the Southern
District of New York made the choice on Tuesday, August 16, 2022,
regardless of preliminary objections, together with these
associated to the prices of Celsius’ Bitcoin mining operations.
Celsius Mining, a subsidiary of Celsius Community, joined its
mother or father firm in submitting for Chapter 11 bankruptcy
protection proceedings final month. Earlier than that, Celsius
bought the Bitcoin it mined to fund the corporate's operations,
with the courtroom's approval now successfully greenlighting that
to proceed.
Celsius mined a complete of 432.30 BTC (value about $10.3 million
at present costs) in July 2022, in line with a document filed
forward of the listening to. The corporate's projected operational
and capital prices exceeded that quantity.
Though Celsius' submitting exhibits that its Bitcoin mining
operations will initially run at a loss, decide Martin Glenn
mentioned he would let Celsius proceed with promoting mined Bitcoin
as he was inclined to imagine the corporate's enterprise judgment
that the transfer will in the end present worth to its clients.
"It might become very flawed, however we'll see," he mentioned.
Celsius counsel Ross Kwasteniet, nonetheless, defined that the
preliminary losses are because of the truth that the agency solely
started mining final year and remains to be within the technique of
constructing the power and acquiring mining machines.
Kwasteniet additionally described Celsius' Bitcoin mining
operations as a "core asset," including that the corporate expects
the monetary state of affairs to enhance throughout the subsequent
few months as soon as the setup is full.
These objecting to the choice included the Texas State Securities
Board. Later, the Lone Star state's monetary watchdog mentioned it
was happy with the approval because it was clarified that the mined
Bitcoin can be bought for money and never loaned or invested.
The counsel for the unsecured creditor's committee, which final
week moved to dam Celsius from promoting its mined Bitcoin, and the
U.S. Trustee’s Workplace dropped their objections, too, saying
they have been happy with the knowledge Celsius had supplied in
regards to the firm’s funds and funds.
Nonetheless, Shara Cornell of the U.S. Trustee mentioned the
workplace remained opposed till it might acquire extra details
about the prices of the corporate's mining operation.
"We want extra data so we are able to make an inexpensive
willpower," mentioned Cornell.
About Celsius Network
Celsius Network LLC -- http://www.celsius.network/-- is a
financial services company that generates revenue through
cryptocurrency trading, lending, and borrowing, as well as by
engaging in proprietary trading.
Celsius helps over a million customers worldwide to find the path
towards financial independence through a compounding yield service
and instant low-cost loans accessible via a web and mobile app.
Celsius has a blockchain-based fee-free platform where membership
provides access to curated financial services that are not
available through traditional financial institutions.
The Celsius Wallet claims to be one of the only online crypto
wallets designed to allow members to use coins as collateral to get
a loan in dollars, and in the future, to lend their crypto to earn
interest on deposited coins (when they're lent out).
Crypto lenders such as Celsius boomed during the COVID-19 pandemic,
drawing depositors with high interest rates and easy access to
loans rarely offered by traditional banks. But the lenders'
business model came under scrutiny after a sharp sell-off in the
crypto market spurred by the collapse of major tokens terraUSD and
luna in May 2022.
New Jersey-based Celsius froze withdrawals in June 2022, citing
"extreme" market conditions, cutting off access to savings for
individual investors and sending tremors through the crypto
market.
The list of major crypto firms that have filed for bankruptcy
protection in 2022 now includes Celsius Network, Three Arrows
Capital and Voyager Digital.
Celsius Network LLC and its subsidiaries sought protection under
Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No.
22-10964) on July 14, 2022. In the petition filed by CEO Alex
Mashinsky, the Debtor estimated assets and liabilities between $1
billion and $10 billion.
Joshua A. Sussberg, of Kirkland & Ellis LLP, is serving as legal
counsel, Centerview Partners is serving as financial advisor, and
Alvarez & Marsal is serving as restructuring advisor.
Kirkland & Ellis LLP is serving as legal counsel, Centerview
Partners is serving as financial advisor, and Alvarez & Marsal is
serving as restructuring advisor to Celsius.
Stretto, the claims agent, maintain the page
https://cases.stretto.com/celsius
CIV LLC: Case Summary & 20 Largest Unsecured Creditors
------------------------------------------------------
Debtor: CIV, LLC
d/b/a Red Tails Transport
d/b/a Jetts Towing
d/b/a Sure Cut and Fabrication
d/b/a Cut by Clay
2072 Britains Lane
Columbus, OH 43223
Business Description: CIV, LLC provides services in the transport
industry.
Chapter 11 Petition Date: August 25, 2022
Court: United States Bankruptcy Court
Southern District of Ohio
Case No.: 22-52479
Judge: Hon. John E. Hoffman Jr.
Debtor's Counsel: James A. Coutinho, Esq.
ALLEN STOVALL NEUMAN & ASHTON LLP
10 W. Broad St., Ste. 2400
Columbus, OH 43215
Tel: (614) 221-8500
Fax: (614) 221-5988
Email: coutinho@asnalaw.com
Estimated Assets: $500,000 to $1 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Clarence Clay as president and sole
member.
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/K63WOBA/CIV_LLC__ohsbke-22-52479__0001.0.pdf?mcid=tGE4TAMA
CLASSIC REFRIGERATION: Seeks to Hire Buchalter APC as Legal Counsel
-------------------------------------------------------------------
Classic Refrigeration Socal, Inc. seeks approval from the U.S.
Bankruptcy Court for the Central District of California to employ
Buchalter, A Professional Corporation to serve as legal counsel in
its Chapter 11 case.
The firm's services include:
a. advising the Debtor regarding the requirements of the
bankruptcy court, Bankruptcy Code, Bankruptcy Rules and the Office
of the U.S. Trustee as they pertain to the Debtor;
b. advising the Debtor regarding certain rights and remedies of
its bankruptcy estate and the rights, claims and interests of
creditors;
c. representing the Debtor in any proceeding or hearing in the
bankruptcy court involving its estate unless the Debtor is
represented in such proceeding or hearing by a special counsel;
d. conducting examinations of witnesses, claimants or adverse
parties, and representing the Debtor in any adversary proceeding
except to the extent that any such proceeding is in an area outside
of the firm's expertise or which is beyond the firm's staffing
capabilities;
e. preparing legal papers;
f. negotiating and seeking bankruptcy court approval to obtain
debtor-in-possession financing or cash collateral;
g. assisting the Debtor in the negotiation, formulation,
preparation and confirmation of a plan of reorganization;
h. assisting the Debtor in its appeal of the judgment entered in
favor of Hill Phoenix and challenging any claim that Hill Phoenix
asserts against the estate; and
i. performing other necessary legal services for the Debtor.
The firm will be paid at these rates:
Shareholders $860 per hour
Associates $325 to $450 per hour
Paralegals $200 to $225 per hour
In addition, the firm will receive reimbursement for its
out-of-pocket expenses.
Buchalter received retainer fees in the total amount of $125,000.
Jeffrey Garfinkle, Esq., a partner at Buchalter, A Professional
Corporation, 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:
Jeffrey K. Garfinkle, Esq.
Caroline R. Djang, Esq.
Buchalter, A Professional Corporation
18400 Von Karman Avenue, Suite 800
Irvine, CA 92612-0514
Tel: (949) 760-1121
Email: jgarfinkle@buchalter.com
cdjang@buchalter.com
About Classic Refrigeration Socal
Classic Refrigeration SoCal Inc. is into designing, instructing,
equipping, servicing and maintaining large cold storage units
throughout Southern California.
Classic Refrigeration SoCal filed a petition under Chapter 11,
Subchapter V of the Bankruptcy Code (Bankr. C.D. Calif. Case No.
22-11239) on July 25, 2022, listing $6 million in total assets and
$7 million in total liabilities. Robert Paul Goe serves as
Subchapter V trustee.
Judge Theodor Albert oversees the case.
Jeffrey K. Garfinkle, Esq., and Carolyn Djang, Esq., at Buchalter,
a Professional Corporation, are the Debtor's attorneys.
CLEARDAY INC: Delays Filing of Quarterly Report on Form 10-Q
------------------------------------------------------------
Clearday, Inc. is in the process of preparing and reviewing the
financial and other information for its Form 10-Q report for the
quarterly period ended June 30, 2022, and does not expect the
report will be finalized for filing by the prescribed due date
without unreasonable effort or expense. The Company needs
additional time to complete its financial statements that
incorporate the financial information and analysis for the second
quarter periods of 2021 and 2022, as well as to have the report
reviewed by its accountants and attorneys. The Company undertakes
the responsibility to file such report no later than five days
following the prescribed due date.
The Company has completed its merger with Allied Integral United,
Inc. that was described in the registration statement on Form S-4,
as amended and supplemented (Registration No. 333-256138), and on
the Current Report on Form 8-K filed by the Company on Sept. 10,
2021. AIU is the accounting acquiror in connection with the
merger. Accordingly, the results of operations of the Company for
the period ending June 30, 2022 will reflect substantially the
results of operations of AIU, which are different from the results
of operations of the business conducted by the Company prior to the
merger.
The audited financial statements of Company as of and for the
annual period ending Dec. 31, 2021 were filed on Form 10-K/A and
reflect the business of AIU prior to the closing of the merger and
the Company after the closing of the merger. The audited financial
statements of AIU as of and for the annual period ending Dec. 31,
2020 were included in the Merger Registration Statement filed by
the Company on June 14, 2021. The Company has continued the
business of AIU after the merger and expects the results of
operations to be consistent with, and not have significant changes
from, the operations of AIU.
About Clearday
Clearday, Inc. (fka Superconductor Technologies, Inc.) is an
innovative non-acute longevity health care services company with a
modern, hopeful vision for making high quality care options more
accessible, affordable, and empowering for older Americans and
those who love and care for them. Clearday has
decade-longexperience in non-acute longevity care through its
subsidiary Memory Care America, which operates highly rated
residential memory care communities in four U.S. states. Clearday
at Home -- its digital service -- brings Clearday to the
intersection oftelehealth, Software-as-a-Service (SaaS), and
subscription-based content.
Clearday reported a net loss of $19.51 million for the year ended
Dec. 31, 2021, compared to a net loss of $13.78 million for the
year ended Dec. 31, 2020. As of March 31, 2022, the Company had
$46.14 million in total assets, $69.55 million in total
liabilities, $18.48 million in temporary equity, and a total
deficit of $41.89 million.
Dallas, Texas-based Turner, Stone & Company, LLP, the Company's
auditor since 2022, issued a "going concern" qualification in its
report dated April 15, 2022, citing that the Company has suffered
recurring losses from operations and has insufficient working
capital to fund future operations both of which raise substantial
doubt about its ability to continue as a going concern.
CLEAREDDIRECT LLC: Seeks to Hire The Lane Law Firm as Counsel
-------------------------------------------------------------
ClearedDirect, LLC seeks approval from the U.S. Bankruptcy Court
for the Western District of Texas to employ The Lane Law Firm as
its legal counsel.
The firm's services include:
a. advising the Debtor regarding the administration of its
Chapter 11 case;
b. assisting the Debtor in analyzing its assets and liabilities,
investigating the extent and validity of lien and claims, and
participating in and reviewing any proposed asset sales or
dispositions;
c. attending meetings and negotiating with representatives of
secured creditors;
d. assisting the Debtor in the preparation, analysis and
negotiation of any plan of reorganization and disclosure statement
accompanying the plan;
e. taking all necessary actions to protect and preserve the
interests of the Debtor;
f. appearing in courts; and
g. performing all other necessary legal services for the
Debtor.
The firm will be paid at these rates:
Partners $550 per hour
Associates $350 to $400 per hour
Paralegals $350 to $400 per hour
The retainer is $35,000.
In addition, the firm will receive reimbursement for its
out-of-pocket expenses.
Robert Lane, Esq., a partner at The Lane Law Firm, 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:
Robert C. Lane, Esq.
Joshua D. Gordon, Esq.
The Lane Law Firm
6200 Savoy, Suite 1150
Houston, TX 77036
Tel: (713) 595-8200
Fax: (713) 595-8201
Email: notifications@lanelaw.com
Joshua.gordon@lanelaw.com
About ClearedDirect LLC
ClearedDirect, LLC filed a petition under Chapter 11, Subchapter V
of the Bankruptcy Code (Bankr. W.D. Texas Case No. 22-10497) on
Aug. 3, 2022, listing as much as $1 million in both assets and
liabilities. Stephen W. Sather serves as Subchapter V trustee.
Judge Tony M. Davis oversees the case.
The Debtor is represented by The Lane Law Firm.
CORSICANA BEDDING: Committee Taps A&M as Financial Advisor
----------------------------------------------------------
The official committee of unsecured creditors appointed in the
Chapter 11 cases of Corsicana Bedding, LLC and its affiliates
received approval from the U.S. Bankruptcy Court for the Northern
District of Texas to employ Alvarez & Marsal North America, LLC as
its financial advisor.
The firm's services include:
a. assisting in the assessment and monitoring of cash flow
budgets, liquidity and operating results;
b. assisting in the review of court disclosures, including
schedules of assets and liabilities, statements of financial
affairs, and monthly operating reports;
c. assisting in the review of the Debtors' cost/benefit
evaluations with respect to the assumption or rejection of
executory contracts and unexpired leases;
d. assisting in the analysis of any assets and liabilities and
any proposed transactions for which court approval is sought;
e. assisting in the review of the Debtors' proposed key employee
retention plan and key employee incentive plan;
f. attending meetings;
g. assisting in the review of any tax issues;
h. assisting in the investigation and pursuit of causes of
actions;
i. assisting in the review of the claims reconciliation and
estimation process;
j. assisting in the evaluation of the Debtors' business plan;
k. assisting in the review of the sales or dispositions of the
Debtors' assets;
l. assisting in the valuation of the Debtors' enterprise and
equity, and the analysis of debt capacity
m. assisting in the review or preparation of information and
analysis necessary for the confirmation of a Chapter 11 plan;
n. participating in hearings before the court; and
o. providing other general business consulting services to the
committee.
The firm will be paid at these rates:
Managing Directors $975 to $1,295 per hour
Directors $750 to $950 per hour
Associates $550 to $750 per hour
Analysts $425 to $525 per hour
Mark Greenberg, a partner at Alvarez & Marsal, 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:
Mark Greenberg
Alvarez & Marsal North America, LLC
600 Madison Avenue, 8th Floor
New York, NY 10022
Tel: (212) 759-4433
Fax: (212) 759-5532
Email: mgreenberg@alvarezandmarsal.com
About Corsicana Bedding
Corsicana Bedding, LLC, is a U.S.-based manufacturer of mattresses
and foundations. The company is headquartered in Texas and operates
manufacturing facilities in Texas, Arizona, Connecticut, Florida,
North Carolina, Tennessee, Washington, and Wisconsin.
Corsicana Bedding and its affiliates sought Chapter 11 bankruptcy
protection (Bankr. N.D. Texas Lead Case No. 22-90016) on June 25,
2022. As of May 30, 2022, Corsicana Bedding had total assets of
$151 million and total liabilities of $260 million.
The Hon. Edward L. Morris is the case judge.
The Debtors tapped Haynes and Boone, LLP as bankruptcy counsel;
Jones Walker, LLP as corporate counsel; and Houlihan Lockey, Inc.
and CR3 Partners, LLC as financial advisors. Donlin Recano &
Company, Inc. is the claims agent.
Pachulski Stang Ziehl & Jones, LLP serves as legal counsel while
Alvarez & Marsal North America, LLC serves as financial advisor to
the official committee of unsecured creditors appointed in the
Debtors' Chapter 11 cases.
CORSICANA BEDDING: Committee Taps Pachulski as Legal Counsel
------------------------------------------------------------
The official committee of unsecured creditors appointed in the
Chapter 11 cases of Corsicana Bedding, LLC and its affiliates
received approval from the U.S. Bankruptcy Court for the Northern
District of Texas to employ Pachulski Stang Ziehl & Jones, LLP as
its legal counsel.
The firm's services include:
a. representing the committee in its consultations with the
Debtors regarding the administration of the Debtors' Chapter 11
cases;
b. assisting the committee in analyzing the Debtors' assets and
liabilities, investigating the extent and validity of liens, and
participating in and reviewing any proposed asset sales, asset
dispositions, financing arrangements and cash collateral
stipulations or proceedings;
c. assisting the committee in any manner relevant to reviewing
and determining the Debtors' rights and obligations under leases
and other executory contracts;
d. assisting the committee in investigating the acts, conduct,
assets, liabilities, and financial condition of the Debtors, the
Debtors' operations and the desirability of the continuance of any
portion of those operations, and any other matters relevant to the
cases or to the formulation of a Chapter 11 plan;
e. assisting the committee in its participation in the
negotiation, formulation, and drafting of a plan of liquidation or
reorganization;
f. advising the committee on the issues concerning the
appointment of a trustee or examiner under Section 1104 of the
Bankruptcy Code;
g. advising the committee regarding its powers and duties under
the Bankruptcy Code and the Bankruptcy Rules;
h. assisting the committee in the evaluation of claims and on
any litigation matters, including avoidance actions and claims
against directors, officers or any other party; and
i. providing other necessary services to the committee.
The firm will be paid at these rates:
Partners $945 to $1,775 per hour
Of Counsel $725 to $1,425 per hour
Associates $675 to $825 per hour
Paraprofessionals $460 to $495 per hour
In addition, the firm will receive reimbursement for its
out-of-pocket expenses.
In accordance with Appendix B-Guidelines for reviewing fee
applications filed by attorneys in larger Chapter 11 cases,
Pachulski disclosed the following:
Question: Did you agree to any variations from, or alternatives
to, your standard or customary billing arrangements for this
engagement?
Response: No.
Question: Do any of the professionals included in this
engagement vary their rate based on the geographic location of the
bankruptcy case?
Response: No.
Question: If you represented the client in the 12 months
prepetition, disclose your billing rates and material financial
terms for the prepetition engagement, including any adjustments
during the 12 months prepetition. If your billing rates and
material financial terms have changed postpetition, explain the
difference and the reasons for the difference.
Response: Not applicable.
Question: Has your client approved your prospective budget and
staffing plan, and if so, for what budget period?
Response: To be provided.
Bradford Sandler, Esq., a partner at Pachulski, 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:
Robert J. Feinstein, Esq.
Bradford J. Sandler, Esq.
Pachulski Stang Ziehl & Jones, LLP
780 Third Avenue, 34th Floor
New York, NY 10017-2024
Tel: (212) 561-7700
Fax: (212) 561-7777
Email: rfeinstein@pszjlaw.com
bsandler@pszjlaw.com
About Corsicana Bedding
Corsicana Bedding, LLC, is a U.S.-based manufacturer of mattresses
and foundations. The company is headquartered in Texas and operates
manufacturing facilities in Texas, Arizona, Connecticut, Florida,
North Carolina, Tennessee, Washington, and Wisconsin.
Corsicana Bedding and its affiliates sought Chapter 11 bankruptcy
protection (Bankr. N.D. Texas Lead Case No. 22-90016) on June 25,
2022. As of May 30, 2022, Corsicana Bedding had total assets of
$151 million and total liabilities of $260 million.
The Hon. Edward L. Morris is the case judge.
The Debtors tapped Haynes and Boone, LLP as bankruptcy counsel;
Jones Walker, LLP as corporate counsel; and Houlihan Lockey, Inc.
and CR3 Partners, LLC as financial advisors. Donlin Recano &
Company, Inc. is the claims agent.
Pachulski Stang Ziehl & Jones, LLP serves as legal counsel while
Alvarez & Marsal North America, LLC serves as financial advisor to
the official committee of unsecured creditors appointed in the
Debtors' Chapter 11 cases.
CRESTLLOYD LLC: Exclusivity Period Extended to Oct. 21
------------------------------------------------------
Crestlloyd, LLC obtained a court order extending its exclusive
right to file a Chapter 11 plan to Oct. 21 and solicit acceptances
from creditors to Dec. 20.
The ruling by Judge Deborah Saltzman of the U.S. Bankruptcy Court
for the Central District of California allows the company to pursue
its own plan without the threat of a competing plan from
creditors.
The company needs more time to resolve certain issues, including an
adversary case filed by Inferno Investment, a major secured debt
holder, regarding the priority and payment of claims before it can
formulate a plan, according to its attorney, Todd Arnold, Esq., at
Levene, Neale, Bender, Yoo & Golubchik, LLP.
About Crestlloyd LLC
Crestlloyd, LLC sought protection for relief under Chapter 11 of
the Bankruptcy Code (Bankr. C.D. Calif. Case No. 21-18205) on Oct.
26, 2021, listing as much as $500 million in both assets and
liabilities.
Judge Deborah J. Saltzman presides over the case.
David B. Golubchik, Esq., at Levene, Neale, Bender, Yoo & Golubchik
LLP, represents the Debtor as legal counsel.
DEXKO GLOBAL: TexTrail Transaction No Impact on Moody's 'B2' CFR
----------------------------------------------------------------
Moody's Investors Service said that DexKo Global, Inc.'s ratings,
including the B2 corporate family rating, and negative outlook are
unaffected at this time following the company's announcement that
it has agreed to acquire TexTrail, Inc. and other parts
distributors from American Trailer World Corp. ( B3 stable).
Moody's views the transaction to be modestly credit negative.
Moody's expects the acquisition to result in a marginal uptick to
DexKo's already high debt/EBITDA, although the company has
de-levered since its leveraged buyout by Brookfield last year. In
addition, Moody's expects liquidity to be slightly reduced from
current levels, but should remain good.
Moody's views the strategic rationale for the acquisition
favorably. TexTrail broadens DexKo's distribution capabilities and
aftermarket business, which DexKo has expanded significantly in
recent years through acquisitions. DexKo's aftermarket parts
business typically provides a more stable revenue base and higher
margins than new equipment production.
Specific financial terms of the transaction have not been publicly
disclosed. Moody's expects the composition of the acquisition
financing will not have an impact on the ratings of existing debt
tranches based on Moody's Loss Given Default framework.
DexKo Global, Inc., headquartered in Novi, Michigan, is a global
manufacturer and distributor of engineered components for towable
and related applications primarily in North America and Europe. The
company serves a variety of markets including agriculture,
commercial, construction, general industrial, livestock,
landscaping, marine, military, energy, residential, recreation
vehicle and many other specialized end-use segments. Revenue for
the twelve months ended June 30, 2022 was approximately $2.6
billion.
DIAMOND SCAFFOLD: Committee Taps Stichter Riedel Blain as Counsel
-----------------------------------------------------------------
The official committee of unsecured creditors of Diamond Scaffold
Services, LLC seeks approval from the U.S. Bankruptcy Court for the
Southern District of Alabama to employ Stichter Riedel Blain &
Postler, P.A. as its legal counsel.
The firm's services include:
a. assisting the committee in carrying out its duties under the
Bankruptcy Code;
b. advising the committee about any relevant matter arising in
the Debtor's Chapter 11 case, including but not limited to,
conducting any review or research that may be required to properly
evaluate the Debtor's current and prospective financial and
operational condition, the Debtor's prospects for reorganization,
and the effect of any proposed plan of reorganization;
c. drafting and filing all required documents;
d. representing the committee at court hearings, depositions,
conferences, trials and mediations; and
e. taking other actions deemed necessary to satisfy the
committee's responsibilities.
The firm will be paid at these rates:
Partners $300 to $550 per hour
Associates $375 per hour
Paralegals $200 per hour
In addition, the firm will seek reimbursement for its out-of-pocket
expenses.
Edward Peterson, Esq., a partner at Stichter Riedel Blain &
Postler, 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:
Edward J. Peterson, Esq.
Jodi Daniel Dubose, Esq.
Stichter Riedel Blain & Postler, P.A.
110 E. Madison Street, Suite 200
Tampa, FL 33602
Tel: (850) 637-1836
Email: epeterson@srbp.com
jdubose@srbp.com
About Diamond Scaffold Services
Diamond Scaffold Services, LLC -- https://www.diamondscaffold.com/
-- is an authorized distributor of Ring-lock, Cup-lock, Shoring,
and Frame Scaffold. It is based in Slidell, La.
Diamond Scaffold Services sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. S.D. Ala. Case No. 22-11208) on June 21,
2022, disclosing between $1 million and $10 million in assets and
between $10 million and $50 million in liabilities. Jewell Wayne
Sumrall, president of Diamond Scaffold Services, signed the
petition.
The Debtor tapped Alexandra K. Garrett, Esq., at Silver Voit &
Garrett, Attorneys at Law, P.C. as bankruptcy counsel; O'Hara
Watkins, LLC as special counsel; and Ratcliff CPA and Consultants,
LLC as accountant.
The official committee of unsecured creditors appointed in the
Debtor's case is represented by Stichter Riedel Blain & Postler,
P.A.
DYNAMETAL TECHNOLOGIES: Taps Harris Shelton as Legal Counsel
------------------------------------------------------------
Dynametal Technologies, Inc. seeks approval from the U.S.
Bankruptcy Court for the Western District of Tennessee to hire
Harris Shelton Hanover Walsh, PLLC as its counsel.
The firm's services include:
a. advising the Debtor with respect to its powers and duties
in the management of its property;
b. assisting the Debtor in the preparation of its statement of
financial affairs, schedules, statement of executory contracts and
unexpired leases, and any papers or pleadings, or any amendments
thereto that the Debtor is required to file in its Chapter 11
case;
c. representing the Debtor in any proceeding that is
instituted to reclaim property or obtain relief from the automatic
stay imposed by Section 362 of the Bankruptcy Code or that seeks
the turnover or recovery of property;
d. providing advice concerning the formulation, negotiation
and confirmation of a plan of reorganization and accompanying
documents;
e. providing advice concerning any investigation of the
assets, liabilities and financial condition of the Debtor that may
be required;
f. representing the Debtor at hearings or matters pertaining
to its affairs;
g. prosecuting and defending litigation and other matters that
might arise during the pendency of the case;
h. providing counseling with respect to the assumption or
rejection of executory contracts and leases and other
bankruptcy-related matters arising from the case;
i. representing the Debtor in matters that may arise in
connection with its business operations, financial and legal
affairs, dealings with creditors and other parties-in-interest and
any other matters, which may arise during the bankruptcy case;
j. rendering advice with respect to the myriad of general
corporate and litigation issues relating to the case; and
k. performing other necessary legal services for the Debtor.
The firm will be paid at these rates:
Steven N. Douglass $450 per hour
Associates $175 per hour
Paraprofessionals $75 per hour
The Debtor has agreed to provide Harris Shelton a post-petition
retainer of $3,380.
As disclosed in court filings, Harris is a "disinterested person"
within the meaning of Section 101(14) of the Bankruptcy Code.
The firm can be reached through:
Steven N. Douglass, Esq.
Harris Shelton Hanover Walsh, PLLC
40 S. Main Street, Suite 2210
Memphis, TN 38103-2555
Phone: (901) 525-1455
Email: snd@harrisshelton.com
About Dynametal Technologies
Dynametal Technologies, Inc. is a powder metal component
manufacturer serving various markets. The company is based in
Brownsville, Tenn.
Dynametal Technologies filed a voluntary petition for relief under
Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. W.D.
Tenn. Case No. 22-10831) on Aug. 1, 2022, listing $1 million to $10
million in both assets and liabilities. Courtney Hunter Gilmer has
been appointed as Subchapter V trustee.
Judge Jimmy L. Croom oversees the case.
Steven N. Douglass, Esq., at Harris Shelton Hanover Walsh, PLLC is
the Debtor's counsel.
EMPACADORA Y PROCESADORA: Unsecureds Owed $3M to Get 20% of Claims
------------------------------------------------------------------
Empacadora Y Procesadora Del Sur, Inc., submitted a First Amended
Disclosure Statement.
As a result of the filing by Debtor of its Chapter 11 petition,
Debtor received the benefits of 11 U.S.C. section 362(a), which
stays all collection actions and judicial proceedings against
Debtor, providing Debtor the opportunity to file the Plan and
Disclosure Statement, without the pressures that drove Debtor into
Chapter 11, as envisioned by the Bankruptcy Code. The United States
Trustee convened the first meeting of creditors pursuant to Section
341 of the Bankruptcy Code in Debtor's case on April 4, 2022. The
Section 341 meeting was closed. Debtor has undertaken the following
efforts for the benefit of its Estate and its creditors: Debtor
sought and obtained the Bankruptcy Court's approval to retain
Alexis Fuentes Hernández, Esq. as its bankruptcy counsel. Debtor
also sought and obtained the Bankruptcy Court's approval to retain
Luis R. Carrasquillo, CPA ("Carrasquillo"), as its financial
advisor on all matters pertaining to Debtor's reorganization.
Debtor reached various agreements with its principal suppliers to
pay COD all its purchases which permits the continuance of its
operations. Also, Debtor and its principal secured creditor, BPPR,
reached to an agreement for the use of the cash collateral, which
was extended on May 16, 2022, for 60 days.
Under the Plan, Class 8 General Unsecured Claims of $25,000 or less
totaling $94,920.87. Holders of Allowed General Unsecured Claims of
$25,000 or less, or those claims in excess of $25,000 which are
voluntarily reduced to $25,000, will receive in full satisfaction
of their claims, 20% thereof, on the Effective Date. Class 8 is
impaired.
Class 9 General Unsecured Claims in Excess of $25,000 total
$2,922,014. Holders of Allowed General Unsecured Claims in excess
of $25,000, will be paid in full satisfaction of their claims 20%
thereof, through 60 equal consecutive monthly installments
commencing on the Effective Date and continuing on the 30th day of
the subsequent 59 months. Class 9 is impaired.
The Debtor will effect payment of Administrative Expense Claims,
Priority Tax Claims, Allowed Secured and General Unsecured Claims
from the cash flows generated from its operations and the cash
accumulated during the pendency of the case.
Attorney for the Debtor:
Alexis Fuentes Hernandez, Esq.
FUENTES LAW OFFICES, LLC
P.O. Box 9022726
San Juan, PR 00902-2726
Tel: (787) 722-5215
E-mail: fuenteslaw@icloud.com
A copy of the First Amended Disclosure Statement dated August 19,
2022, is available at https://bit.ly/3AaumqE from
PacerMonitor.com.
About Empacadora Y Procesadora Del Sur, Inc.
Empacadora Y Procesadora Del Sur, Inc. sought protection under
Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.P.R. Case No.
22-00354) on Feb. 15, 2022. In the petition signed by Carlos C.
Rodriguez Alonso, president, the Debtor disclosed $11,604,565 in
assets and $10,598,204 in liabilities.
Alexis Fuentes Hernandez, Esq., at Fuentes Law Office represents
the Debtor as counsel.
ENVISION THIS! LLC: Unsecureds Owed $5M to Get 30% Under Plan
-------------------------------------------------------------
Envision This! LLC submitted a Plan and a Disclosure Statement.
The Debtor only has four creditors -- comprised of three law firms
and the Asian manufacture(s). All of the claims arose from the
litigation over the Debtor's alleged failure to pay for the
manufacture of Christmas products for Walgreens when, in fact, the
Debtor held a counterclaim against the manufacturers, Sunny/Bin,
for an amount in excess of the Plaintiff's claim. Because of
Debtor's counsel's malpractice, the Debtor suffered the loss of the
Sunny Litigation and the imposition of a substantial and
unwarranted judgment against the Debtor, now on appeal. Debtor has
filed a suit for $6 million against the law firm of Howard &
Howard, PLLC, alleging malpractice and breach of fiduciary duty.
Howard has countered claim for unpaid fees of $235,374.14 (POC-2).
That suit is now on hold. The total of the unsecured claims is
$5,538,314.03. The largest claim is held by Sunny Handicraft Ltd &
Bin Teh Handicraft in the amount of $5,249,009.00 (POC-1). All
claims are unsecured. The other two claims are for legal fees: one
for $44,458.89 as scheduled on Debtor's Schedule F on behalf of
Fuchs & Roselli, Ltd. and the second for S. David Sheffman, Esq.
for $9,472.00 (POC-3).
The Debtor has determined that it is in its best interests to
resolve these outstanding disputes so that it can move forward.
Based on the Projections, the Debtor anticipates total net income
available for plan payments over five years of $1,835,412.00, with
an average per year of $367,082.00. The lowest net profit of
$331,619.00, is in year five of the Plan.
The Debtor proposes to pay the sum of $330,000 per year for five
years to the unsecured class for a total of $1,650,000. The total
of allowed claims is $5,538,314.03 providing for a 29.79%
distribution to unsecured creditor claims. The total payment of
$1,650,000 represents 90% of Debtor's net income for the five-year
period.
The Debtor continues to operate the business as a
debtor-in-possession. In the first 4.5 months of the Chapter 11
bankruptcy (April 22, 2022 through August 15, 2022), the Debtor has
received gross payments of $965,573.00 with an amount of $805,940
paid to factory for cost of goods, leaving $159,633 for operating
expenses and owner draw of $34,500. Operating expense YTD are
$58,000, with the majority in legal bills. In previous
non-litigation years, the Debtor has shown greater than 30%
increases or higher over previous year.
Attorney for the Debtor:
Chad Van Horn, Esq.
VAN HORN LAW GROUP, P.A.
500 NE 4th Street, Ste 200
Fort Lauderdale, FL 33301
Tel: (954) 765-3166
Fax: (954) 756-7103
E-mail: Chad@cvhlawgroup.com
A copy of the Disclosure Statement dated August 19, 2022, is
available at https://bit.ly/3AAZT6w from PacerMonitor.com.
About Envision This! LLC
Envision This! LLC -- http://www.envisionthis.com/--is an
information technology service provider that provides quality
software IT solutions.
Envision This! LLC sought Chapter 11 bankruptcy protection (Bankr.
S.D. Fla. Case No. 22-13086) on April 21, 2022. In the petition
signed by Robert J. Hetzler, as managing member, Envision This! LLC
listed estimated total assets amounting to $727,094 and total
liabilities of $5,506,373.
The case is assigned to Honorable Bankruptcy JudgeLaurel M
Isicoff.
Chad Van Horn, of Van Horn Law Group, P.A., is the Debtor's
counsel.
ESJ TOWERS: Gets OK to Hire De Angel & Compania CPA as Auditor
--------------------------------------------------------------
ESJ Towers, Inc. received approval from the U.S. Bankruptcy Court
for the District of Puerto Rico to employ De Angel & Compania, CPA,
LLC as its auditor.
The firm will assist in the preparation of the Debtor's audited
financial statements for the years ended on May 31, 2021 and 2022.
The firm will be paid $45,000 for each audit year and will be
reimbursed for its out-of-pocket expenses.
Carlos De Angel, a managing partner at De Angel & Compania,
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:
Carlos De Angel
De Angel & Compania, CPA, LLC
1890 Glasgow, College Park IV
San Juan, PR 00921
Tel: (787) 758-4428
Fax: (787) 763-9386
Email: carlos@deangel.com
About ESJ Towers
ESJ Towers, Inc. owns the ESJ Towers in Carolina, P.R. The luxury
apartments and condo units at ESJ Towers have direct access to Isla
Verde Beach, widely considered one of the best in Puerto Rico.
ESJ sought protection under Chapter 11 of the U.S. Bankruptcy Code
(Bankr. D.P.R. Case No. 22-01676) on June 10, 2022, listing as much
as $50 million in both assets and liabilities. ESJ President Keith
St. Clair signed the petition.
Judge Enrique S. Lamoutte Inclan oversees the case.
The Debtor tapped Charles A. Cuprill, Esq., at Charles A. Cuprill,
PSC Law Offices as legal counsel and De Angel & Compania, CPA, LLC
as auditor.
EVO TRANSPORTATION: Appoints Interim Chief Financial Officer
------------------------------------------------------------
EVO Transportation & Energy Services, Inc. appointed Raj Kapur, the
Company's SVP and chief accounting officer, as interim chief
financial officer, effective at the close of business on Aug. 19,
2022.
Mr. Kapur will serve as the Company's principal financial officer,
in addition to continuing to serve as the Company's chief
accounting officer and principal accounting officer.
About EVO Transportation
Headquartered in Peoria, AZ, EVO Transportation & Energy Services,
Inc. is a transportation provider serving the United States Postal
Service ("USPS") and other customers. The Company believes it is
the second largest surface transportation company serving the USPS,
with a diversified fleet of tractors, straight trucks, and other
vehicles that currently operate on either diesel fuel or compressed
natural gas.
Tulsa, Oklahoma-based Grant Thornton LLP, the Company's auditor
since 2021, issued a "going concern" qualification in its report
dated June 30, 2022, citing that the Company's current liabilities
exceeded its current assets by $93.4 million and its total
liabilities exceeded its total assets by $42.1 million as of Dec.
31, 2021. These conditions, along with other matters, raise
substantial doubt about the Company's ability to continue as a
going concern.
EVO TRANSPORTATION: Further Extends Loan Maturities
---------------------------------------------------
EVO Transportation & Energy Services, Inc. and certain subsidiary
guarantors of the Company entered into a Fifth Loan Extension
Agreement with Antara Capital Master Fund LP and each of Thomas J.
Abood, the Company's chief executive officer, Damon R. Cuzick, the
Company's chief operating officer, Bridgewest Growth Fund LLC, an
entity affiliated with Billy (Trey) Peck Jr., the Company's
executive vice president -- business development, and Batuta
Capital Advisors LLC, an entity affiliated with Alexandre Zyngier,
a member of the Company's board of directors.
Pursuant to the Fifth Extension Agreement, (i) the maturity date of
the loan from Antara to the Company pursuant to the Senior Secured
Loan and Executive Loan Agreement dated March 11, 2022, was
extended from Aug. 15, 2022 to Sept. 15, 2022; and (ii) the
maturity date of the loans from the Executive Lenders to the
Company pursuant to the Bridge Loan Agreement was extended from
Aug. 22, 2022 to Sept. 22, 2022.
About EVO Transportation
Headquartered in Peoria, AZ, EVO Transportation & Energy Services,
Inc. is a transportation provider serving the United States Postal
Service ("USPS") and other customers. The Company believes it is
the second largest surface transportation company serving the USPS,
with a diversified fleet of tractors, straight trucks, and other
vehicles that currently operate on either diesel fuel or compressed
natural gas.
Tulsa, Oklahoma-based Grant Thornton LLP, the Company's auditor
since 2021, issued a "going concern" qualification in its report
dated June 30, 2022, citing that the Company's current liabilities
exceeded its current assets by $93.4 million and its total
liabilities exceeded its total assets by $42.1 million as of Dec.
31, 2021. These conditions, along with other matters, raise
substantial doubt about the Company's ability to continue as a
going concern.
EXPRESSJET AIRLINES: Aug. 30 Deadline Set for Panel Questionnaires
------------------------------------------------------------------
The United States Trustee is soliciting members for committee of
unsecured creditors in the bankruptcy case ExpressJet Airlines,
LLC.
If a party wishes to be considered for membership on any official
committee that is appointed, it must complete a Questionnaire
available at https://bit.ly/3CCFDmv and return by email it to
Timothy Fox -- Timothy.Fox@usdoj.gov -- at the Office of the
United States Trustee so that it is received no later than 4:00
p.m., on Aug. 30, 2022.
If the U.S. Trustee receives sufficient creditor interest in the
solicitation, it may schedule a meeting or telephone conference for
the purpose of forming a committee.
About ExpressJet Airlines
ExpressJet Airlines LLC historically was engaged in business as a
"regional air carrier," providing flight services on behalf of
other airlines under private label capacity purchase agreements
using aircraft subleased from United. Shortly before the Petition
Date, the Debtor ceased all operations, including air charter and
scheduled flight services, laid off a majority of its employees,
and is in the process of returning its aircraft to lessors.
On Aug. 23, 2022, ExpressJet Airlines filed for chapter 11
protection (Bankr. D. Del. Case No. 22-10787). In the petition
filed by John Greenlee, as president, the Debtor estimated assets
and liabilities between $10 million and $50 million each.
Eversheds Sutherland (US) LLP is the Debtor's Special Corporate &
Transactional Counsel. EPIQ Corporate Restructuring, LLC is the
Debtor's Notice & Claims Agent.
FOUR SEASONS: Moody's Affirms 'Ba3' CFR & Alters Outlook to Stable
------------------------------------------------------------------
Moody's Investors Service affirmed Four Seasons Hotels Limited's
Ba3 corporate family rating, Ba3-PD probability of default rating
and the Ba3 rating on its senior secured bank credit facility. The
outlook was changed to stable from negative.
"The stable outlook reflects Moody's view that with industry
conditions normalizing, leverage will be sustained below 4.5x and
that Four Seasons will generate strong free cash flow while
remaining resilient to potential macro headwinds," said Whitney
Leavens, Moody's analyst. "The company's liquidity is weak as its
November 2023 $830 million term loan maturity nears; however,
Moody's expect the company to refinance its debt in a timely
manner."
Ratings Affirmed:
Issuer: Four Seasons Hotels Limited
Corporate Family Rating, Affirmed Ba3
Probability of Default Rating, Affirmed Ba3-PD
Gtd. Senior Secured First Lien Term Loan, Affirmed Ba3 (LGD3)
Outlook Actions:
Issuer: Four Seasons Hotels Limited
Outlook, Changed To Stable From Negative
RATINGS RATIONALE
Four Seasons' Ba3 CFR benefits from: (1) an asset light, profitable
fee-based hotel management business model supporting strong free
cash flow and resiliency to industry volatility; (2) a
well-recognized brand and broad geographic diversification; (3)
Moody's expectation that debt /EBITDA will stabilize around 4x in
2022 and 2023; and (4) a strong ownership group. The company is
constrained by: (1) small scale in terms of revenue and number of
hotel rooms versus competitors; (2) revenue concentration in one
segment (luxury) of the hotel industry; and (3) lag in business
travel weighing on longer-term growth, with industry recovery still
subject to intermittent regional volatility and evolving macro
headwinds.
Four Seasons has weak liquidity. Moody's estimates that sources
will total close to $480 million, consisting of cash on hand of
about $380 million as of Q3-22 and Moody's forecast of about $100
million in positive free cash flow through Q4-2023. Uses of cash
through Q4-2023 total about $830 million, consisting of mandatory
amortizations and the term loan due November 2023. Moody's expects
the company to refinance its debt in a timely manner. The company
does not have a revolving credit facility or any financial
maintenance covenants. Alternative sources of liquidity are limited
because Four Seasons does not own hotels.
The stable outlook reflects Moody's view that leverage will remain
around 4x over the next 12 to 18 months, and that the company will
refinance its November 2023 maturity in a timely manner.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be upgraded if debt to EBITDA remains below 3.5x
and EBITA to interest expense rises above 4.5x while maintaining
good liquidity within a stable operating environment.
The ratings could be downgraded if refinancing risk increases ahead
of the November 2023 maturity. Downward pressure would also arise
if debt to EBITDA remains above 4.5x and EBITA to interest expense
falls below 3.5x, the company generates sustained negative free
cash flow or financial policies become more aggressive.
The principal methodology used in these ratings was Business and
Consumer Services published in November 2021.
Four Seasons Hotels Limited is a leading luxury hotel management
company with a portfolio of 122 managed hotel properties in 47
countries, several of which include a residential component.
FOX SUBACUTE: Oct. 4 Disclosure Statement Hearing Set
-----------------------------------------------------
On Aug. 19, 2022, debtor Fox Subacute at Mechanicsburg, LLC, filed
with the U.S. Bankruptcy Court for the Middle District of
Pennsylvania a Disclosure Statement and Plan.
On Aug. 22, 2022, Judge Henry W. Van Eck ordered that:
* Oct. 4, 2022 at 09:30 AM at Ronald Reagan Federal Building,
Bankruptcy Courtroom (3rd Floor), Third & Walnut Streets,
Harrisburg, PA 17101 is the hearing to consider approval of the
disclosure statement.
* Sept. 23, 2022 is fixed as the last day for filing and
serving written objections to the disclosure statement.
A copy of the order dated August 22, 2022, is available at
https://bit.ly/3cpQLsg from PacerMonitor.com at no charge.
About Fox Subacute at Mechanicsburg, LLC
Fox Subacute At Mechanicsburg, LLC, is a skilled nursing facility
in Pennsylvania that specializes in pulmonary, neurological, and
rehabilitative care for patients with degenerative neurological and
neuromuscular disease; and pulmonary care and ventilator
requirements with an emphasis on vent weaning. Its facilities
are located in Plymouth Meeting, Warrington, Mechanicsburg and
Philadelphia, Pa., and are licensed by the PA Department of
Health.
On Nov. 1, 2019, Fox Subacute at Mechanicsburg and its affiliates
sought Chapter 11 protection (Bankr. M.D. Pa. Lead Case No.
19-04714). Fox Subacute at Mechanicsburg was estimated to have
$1 million to $10 million in assets and liabilities as of the
bankruptcy filing.
Judge Henry W. Van Eck oversees the cases.
The Debtors tapped Cunningham, Chernicoff & Warshawsky, P.C. as
their legal counsel, Kennedy P.C. as special counsel, Isdaner &
Company, LLC as accountant, and Three Twenty-One Capital Partners,
LLC as investment banker.
The Office of the U.S. Trustee appointed an official committee of
unsecured creditors on Dec. 11, 2019. The committee is
represented by Flaster/Greenberg P.C.
FOX SUBACUTE: Unsecureds to Get 20% of Allowed Claims in Plan
-------------------------------------------------------------
Fox Subacute at Mechanicsburg, LLC, Fox Subacute at Clara Burke,
Inc., Fox Subacute at South Philadelphia, LLC, and Fox Subacute at
Warrington submitted a Plan and a Disclosure Statement.
The Bankruptcy Schedules of each of the Debtors set forth unsecured
Claims of less than $9,000,000 per case. Included in these
unsecured Claims is the large unsecured Claim guaranteed by the
Debtors of approximately $6,900,000 owed to PeoplesBank. This is
the guaranty of the FSA Loan.
Proofs of Claim have been filed in each of the Debtors' cases.
Attached hereto as Exhibit "B" with the following link:
https://bit.ly/3whwrjq, is the Claims Register of each of the
Debtors. It should be noted, however, that because of the joint
administration of the cases, a Claim which is filed in the
Mechanicsburg Claims Register may actually be owed by one of the
other Debtors. Most of the Claims, except as set forth below, are
filed are approximately the same as that which are set forth in the
Bankruptcy Schedules.
The U.S. Department of Health and Human Services ("HHS") filed
Claims in the Mechanicsburg and South Philadelphia Cases. The
Mechanicsburg Claim is in the amount of $851.05. The South
Philadelphia Claim is in the amount of $13,958.73. Each of these
Claims are charges for alleged Medicare overpayment. The amounts
owed to HHS, however, are adjusted periodically based upon
examinations and reviews done by HHS and the Debtor. It is believed
that certain of these charges may represent charges which are
post-Petition and, thus, may be subject to the recoupment by HHS.
Prior to any distribution, and upon confirmation of the Plan, a
final number will be determined as may be necessary as to the HHS
Claims.
In addition, the Pennsylvania Department of Human Services ("PA
Human Services") has filed a Claim in the amount of $1,402,911.00.
This Claim represents sums which are actually owed by
Mechanicsburg, Warrington, South Philadelphia and Clara Burke for
funds which are allegedly due to PA Human Services under the
Medicaid Program. These sums are commonly known as a bed tax. It
should be noted that they are not taxes, but represent charges
under a program which is part of Medicaid known as the "Nursing
Facility Assessment Program". These funds are utilized to make
supplemental payments to various Medicaid-participating nursing
facilities.
Some of the unsecured creditors are creditors in each Case,
including pharmacy suppliers and medical suppliers. Thus, Claims
will be examined to ensure as to which Debtor's Case the Claim may
belong.
The Debtors will examine each of the Claims as filed and determine
whether they are correct based upon the Debtors' books. The Debtors
will consider filing objections to those Claims which the Debtors
believe are not proper to the extent an objection is expedient and
necessary. The Debtors will also examine all Claims to determine
whether they include any post-Petition interest or other charges
which are not proper.
The Debtor scheduled unsecured Claims as owed by Mechanicsburg
totaling approximately $9,400,000. Included in this amount is the
unsecured Claim of PeoplesBank of approximately $6,900,000 for the
FSA Loan. The Debtor set forth the Claim as contingent.
The U.S. Department of Health and Human Services has filed a Claim
in the amount of $851.05. This Claim was not scheduled. The Debtor
is examining this Claim and discussing with U.S. Department of
Health and Human Services as to whether such is owed. This may
represent back charges for Medicare.
There is an additional Claim filed by the Pennsylvania Department
of Human Services in the amount of $1,402,911.00. Again, this may
relate to bed tax payments for all Debtors.
The Debtor scheduled unsecured Claims as owed by South Philadelphia
totaling approximately $8,600,000.00. Included in this amount is
the unsecured Claim of PeoplesBank of approximately $6,900,000.00
for the FSA Loan. The Claim is marked as contingent.
The U.S. Department of Health and Human Services has filed a Claim
in the amount of $13,958.73. This Claim was not scheduled. The
Debtor is examining this Claim and discussing with U.S. Department
of Health and Human Services as to whether such is owed. This may
represent back charges for Medicare.
With respect to Classes 5A and 5B General Unsecured Creditors,
beginning 6 months after the Effective Date, general unsecured
creditors will receive 20% of each allowed Class 5A and 5B Claims,
payable in 3 equal annual installments of 6.6% each.
In the event of a sale of any of the Debtor's Assets, the unsecured
Claim holders of that particular Debtor will be paid the net
proceeds after payment of all Class 1, 2 and 3 Claims, and
subsequent to any amount owed to PeoplesBank on account of its
Class 4 Claim. A particular sub-class of Class 5 shall only be paid
from the net proceeds from that particular Debtor's Assets to which
the Claims relate. Thus, for example, a creditor of Fox Subacute at
Mechanicsburg will only be paid from the net proceeds of the sale
of the Assets of Fox Subacute of Mechanicsburg. The same would
follow for each of the other Debtor. Further, it is entirely
possible that a sale of a particular Debtor's Assets may not
include the Accounts Receivable of such Debtor. The Accounts
Receivable of a particular Debtor, if not sold, will be utilized
first to pay Classes 1 and 2, Professional Administrative Claims
and Administrative Claims and Class 3, Priority Tax Claims.
Thereafter, in the event of a sale, the Accounts Receivables of
Mechanicsburg and South Philadelphia will be utilized to pay
PeoplesBank after payment of Classes 1, 2 and 3.
If and when any of the Debtors secure a buyer, an appropriate
Motion may be filed setting forth the particular use of the
proceeds of such sale. Classes 5A and 5B are impaired.
Set forth as Exhibit C with the following link:
https://bit.ly/3R1zcNL, hereto are 5 years of cash flow
projections. It is believed that these cash flow projections set
forth that the Debtors can fund its operations as well as fund the
payments under the Plan.
Counsel for the Debtor:
Robert E. Chernicoff, Esq.
CUNNINGHAM, CHERNICOFF & WARSHAWSKY, P.C.
2320 North Second Street, P.O. Box 60457
Harrisburg, PA 17106-0457
Tel: (717) 238-6570
A copy of the Disclosure Statement dated August 19, 2022, is
available at https://bit.ly/3SYmT6C from PacerMonitor.com.
About Fox Subacute at Mechanicsburg, LLC
Fox Subacute At Mechanicsburg, LLC is a skilled nursing facility in
Pennsylvania that specializes in pulmonary, neurological, and
rehabilitative care for patients with degenerative neurological and
neuromuscular disease; and pulmonary care and ventilator
requirements with an emphasis on vent weaning. Its facilities are
located in Plymouth Meeting, Warrington, Mechanicsburg and
Philadelphia, Pa., and are licensed by the PA Department of
Health.
On Nov. 1, 2019, Fox Subacute at Mechanicsburg and its affiliates
sought Chapter 11 protection (Bankr. M.D. Pa. Lead Case No.
19-04714). Fox Subacute at Mechanicsburg was estimated to have $1
million to $10 million in assets and liabilities as of the
bankruptcy filing.
Judge Henry W. Van Eck oversees the cases.
The Debtors tapped Cunningham, Chernicoff & Warshawsky, P.C. as
their legal counsel, Kennedy P.C. as special counsel, Isdaner &
Company, LLC as accountant, and Three Twenty-One Capital Partners,
LLC as investment banker.
The Office of the U.S. Trustee appointed an official committee of
unsecured creditors on Dec. 11, 2019. The committee is represented
by Flaster/Greenberg P.C.
GENOCEA BIOSCIENCES: Committee Taps Fox Rothschild as Legal Counsel
-------------------------------------------------------------------
The official committee of unsecured creditors of Genocea
Biosciences, Inc. received approval from the U.S. Bankruptcy Court
for the District of Massachusetts to employ Fox Rothschild, LLP as
its legal counsel.
The firm's services include:
a. advising the committee of its rights, powers and duties under
Section 1103 of the Bankruptcy Code;
b. assisting in the investigation of the Debtor's acts, conduct,
assets, liabilities, and financial condition, the operation of the
Debtor's business, claims asserted against the Debtor, and any
other matter relevant to the Debtor's Chapter 11 case or to the
formulation of a plan of reorganization or liquidation;
c. preparing legal documents and reviewing all financial and
other reports filed in the Debtor's case;
d. reviewing, analyzing and responding to pleadings filed in the
Debtor's case and appearing before the court;
e. reviewing the nature and validity of any liens asserted
against the Debtor's property and advising the committee concerning
the enforceability of such liens;
f. advising and assisting the committee in connection with any
of the Debtor's potential property dispositions;
g. representing the committee in hearings and other
proceedings;
h. performing other necessary legal services for the committee
in connection with the bankruptcy case; and
i. providing non-bankruptcy services to the extent requested by
the committee.
The firm will be paid at these rates:
Attorneys $185 to $1,060 per hour
Paralegals $100 to $465 per hour
In addition, the firm will receive reimbursement for its
out-of-pocket expenses.
Michael Menkowitz, Esq., a partner at Fox Rothschild, 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:
Michael G. Menkowitz, Esq.
Fox Rothschild, LLP
2000 Market Street, 20th Floor
Philadelphia, PA 19103
Tel: (215) 299-2000
Email: mmenkowtz@foxrothschild.com
About Genocea Biosciences
Genocea Biosciences, Inc., is a biopharmaceutical company dedicated
to discovering and developing novel cancer immunotherapies using
its proprietary ATLASTM platform. The ATLAS platform can profile
each patient's CD4+ and CD8+ T cell immune responses to every
potential target or "antigen" identified by next-generation
sequencing of that patient's tumor.
Genocea Biosciences sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Mass. Case No. 22-10938) on July 5,
2022. In the petition signed by William Clark, president, the
Debtor disclosed up to $10 million in both assets and liabilities.
Andrew G. Lizotte, Esq., at Murphy and King, Professional Corp. is
the Debtor's counsel.
The Debtor tapped Murphy & King, Professional Corporation as
bankruptcy counsel; Ropes and Gray, LLP as special corporate
counsel; and Rock Creek Advisors, LLC as financial advisor. Omni
Agent Solutions is the notice, claims, and balloting agent and
administrative advisor.
The U.S. Trustee for Region 1 appointed an official committee of
unsecured creditors in the Debtor's case on July 25, 2022. The
committee is represented by Fox Rothschild, LLP.
HB FULLER: Fitch Affirms 'BB' IDR & Alters Outlook to Stable
------------------------------------------------------------
Fitch Ratings has affirmed H.B. Fuller Company's Long-Term (LT)
Issuer Default Rating (IDR) at 'BB'. Fitch has also affirmed the
company's senior secured LT issue ratings at 'BBB-'/'RR1' and
senior unsecured LT ratings at 'BB'/'RR4. The Rating Outlook has
been revised to Stable from Positive.
The rating reflects the company's leading position in the global
adhesives market with a solution- and innovation-oriented product
portfolio resulting in relatively high customer switching costs and
stable Operating EBITDA margins in the low-mid teens.
The revision of the Outlook to Stable from Positive reflects the
company's need to allocate capital toward debt reduction over the
near term in order to bring its leverage profile back toward its
targets, following the recent fully debt-funded acquisitions of
Apollo Chemicals Limited, Apollo Roofing Solutions Limited and
Apollo Construction Solutions Limited leading to LTM 1H22 total
debt with equity credit/operating EBITDA of 4.4x.
KEY RATING DRIVERS
Acquisitive Nature Hinders Financial Structure: As evidenced by the
fully debt-funded acquisitions of Apollo Chemicals Limited, Apollo
Roofing Solutions Limited and Apollo Construction Solutions Limited
in January 2022 for approximately $203 million, H.B. Fuller
demonstrates a willingness to stretch leverage above its 2x-3x net
leverage target in order to execute value-added M&A. This is also
evidenced by the 2017 Royal Adhesives and Sealants acquisition.
With LTM 1H22 total debt with equity credit/0perating EBITDA of
4.4x, the company is expected to similarly allocate capital toward
debt reduction over the near term in order to bring its leverage
profile back toward its targets. Fitch projects around $200 million
in debt repayments over the near term, leading to total debt with
equity credit/operating EBITDA to return to around 3.5x over the
forecast horizon.
Given the fragmented nature of the adhesives industry, Fitch
believes the company will continue to seek bolt-on acquisitions to
further build out its product portfolio, regional exposures or
technical capabilities. The company is able to fund small
acquisitions with FCF, as evidenced by the recent acquisitions of
Fourny NV and Tissue Seal, LLC. Fitch highlights that any near-term
earnings and FCF deterioration or inconsistent capital deployment
policies while leverage is elevated could further hinder H.B.
Fuller's financial structure.
Strong Performance Amid Elevated Costs: After effectively
navigating the period of rising raw materials and logistics costs
seen during 2021 through significant offsetting price increases,
where the company generated around $82 million in FCF, strong end
market demand in 1H22 has supported further price increases and
market share gains. This has resulted in yoy growth in YTD 1H22
revenues and Operating EBITDA of 19% and 15%, respectively. The
company's demonstrated pricing power is supported by typically high
switching costs in the industry, coupled with the nature of
adhesives typically making up less than 1% of COGS for most of
Fuller's customers.
Looking forward, Fitch believes the company's Construction
Adhesives (CA) and Engineered Adhesives (EA) segments could see
lower demand from current highs, in-line with Fitch's expectations
for weaker macroeconomic growth over the near term to pressure the
construction, industrials and transportation end markets. Fitch
expects resiliency in the company's Hygiene, Health & Consumables
segment to partially offset weaker earnings from the CA and EA
segments, leading to muted but positive earnings growth for Fuller
over the medium term.
Leader in Fragmented Adhesives Market: H.B. Fuller is the number
one or two player in most of its markets, and the second largest
player, behind Henkel, in the fragmented $50 billion adhesives
market, where the top five players account for less than 35% of the
market. Benefiting from its size, scale and diversification, the
company has a R&D-linked competitive advantage versus global
competitors that more firmly places it into its regional and global
customers' value chains.
Fitch views long-term trends such as the need for light-weighting
and energy efficiency, sustainable packaging, digitization and
healthcare related supplies as favorable growth drivers for the
company. The 2017 acquisition of Royal Adhesives and Sealants
further strengthened H.B. Fuller's ability to address these
high-value demand applications across the Engineering Adhesives
segment.
Stable, Mid-Teens Margin Profile: H.B. Fuller purchases numerous
raw materials, with the top 25 materials making up less than 20% of
the annual spend. Furthermore, the company categorizes around 87%
of the sourced raw materials as 'Specialty Raw,' which flow through
to downstream applications that generate resilient margins, given
the low-cost (e.g., less than 1% of customer COGS), but critical
aspects of the company's products for its customers.
This diversification and specialization of offerings combined with
pass through clauses with customers helps mitigate cost risk and
provides the company relatively resilient, through-the-cycle
margins in the mid-teens. In the near term, Fitch forecasts EBITDA
margins will remain around 13%, given the company's demonstrated
ability to offset rising raw material costs through price increases
and assuming realized cost savings from the Operations & Supply
Chain project initiated in 2020. EBITDA margins are projected to
trend slightly higher thereafter as the company continues to move
downstream in its product offerings.
Positive FCF Generation Forecast: H.B. Fuller consistently
generates positive FCF given its relatively stable EBITDA margins,
limited working capital risk, and low capital intensity with
capital spending averaging around 2.0%-2.5% of sales. FCF margin
has averaged around 5% dating back to 2016, and Fitch projects the
company to continue to generate around $200 million of annual FCF
leading to FCF margins of around 5%-6% through the forecast.
Fitch believes FCF will be mainly allocated toward gross debt
reduction in the near term, as well as a continued focus on
measured shareholder returns and strategic bolt-on acquisitions.
DERIVATION SUMMARY
H.B. Fuller is larger than equally rated peer Ingevity Corp.
(BB/Stable) and smaller compared with Axalta Coating Systems Ltd.
(unrated). While the company maintains relatively lower Operating
EBITDA margins typically in the mid-teens compared with Ingevity
and Axalta, which typically see margins ranging from the high teens
to mid-high twenties, H.B. Fuller has exhibited less variability
compared with Ingevity and Axalta. Fitch expects margins to
continue to expand as the company focuses on downstream growth
within Engineering Adhesives.
Additionally, the company consistently generates FCF margins at
around 5%-6%, given its typically low capex requirements of around
2%-3% of revenues, versus around 3% of revenues for Axalta and
5%-6% of revenues for Ingevity. Like its peers, H.B. Fuller is a
leader in a specialized industry with a similar appetite for debt
funded M&A and operates with total debt to EBITDA around 3.0x-4.0x
over the forecast period versus Axalta, which is generally at
around 4.0x and Ingevity at around 3.0x. Fitch projects Fuller to
generate consistent FCF margins in the mid-single digits over the
forecast period, given low maintenance capex requirements and
relatively stable earnings, which is consistent with Fitch's views
for Axalta and Ingevity.
KEY ASSUMPTIONS
Fitch's Key Assumptions Within the Rating Case for the Issuer
-- Low double-digit revenue growth in 2022, followed by muted
revenue growth thereafter driven by lower expected
macroeconomic growth leading to lower volumes for the EA and
CA segments, partially offset by resiliency in the HHC
segment;
-- Operating EBITDA margins trending around 14% as the company
offsets rising costs with further price increases, continues
to move downstream, and realizes cost savings resulting from
the Operations & Supply Chain project;
-- Capex of $110 million in 2022 per company guidance, followed
by $100 million annually thereafter;
-- Prioritization of gross debt reduction with free cash flow
with continued measured shareholder returns;
-- Term loan and revolver are successfully refinanced prior to
their 2024 maturities, supported by strong FCF generation;
-- Continued execution of strategic acquisitions with the
assumption that management may temporarily increase leverage.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
-- Sustained adherence to the company's long-term financial
policy coupled with continued cash generation and earnings
stability, leading to total debt with equity credit/operating
EBITDA durably below 3.5x;
-- Continued trend toward higher operating EBITDA margins that
demonstrates successful execution of the shift towards higher
value-add products.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- Loss of leading market positions leading to total debt with
equity credit/operating EBITDA durably above 4.5x;
-- Reduced ability to pass through costs to customers, leading to
less stable operating EBITDA Margins and heightened cash flow
risk;
-- More aggressive than anticipated M&A activity, including
transformative, credit-unfriendly acquisitions, or shareholder
return strategy otherwise incompatible with management's
articulated capital deployment policy.
LIQUIDITY AND DEBT STRUCTURE
Sufficient Liquidity: The company upsized its revolver commitments
to $600 million from $400 million in January 2022, and subsequently
further increased the credit facility's commitments to $700 million
in March 2022.
As of May 28, 2022, the company had approximately $68 million of
cash and cash equivalents with $365 million in availability on the
company's $700 million revolving credit facility due 2024.
Additionally, Fitch anticipates solid FCF generation of around $200
million annually through the forecast, which Fitch believes will
largely go toward continued M&A and debt reduction over the
forecast horizon.
Fitch assumes the company will successfully refinance the revolver
and term loan maturing in 2024 prior to their maturities.
ISSUER PROFILE
H.B. Fuller Company (Fuller) is a global formulator, manufacturer
and marketer of adhesives and other specialty chemical products.
The company has three reportable segments: Hygiene, Health and
Consumable Adhesives, Engineering Adhesives and Construction
Adhesives.
Rating Prior
------ -----
H.B. Fuller Company LT IDR BB Affirmed BB
senior unsecured LT BB Affirmed RR4 BB
senior secured LT BBB- Affirmed RR1 BBB-
HIGH POWER: Sept. 14 Hearing on Continued Cash Collateral Access
----------------------------------------------------------------
Bankruptcy Judge Beth A. Bucanan signed on an agreed order
authorizing High Power Concrete, LLC, to use cash collateral on an
interim basis.
The Debtor filed an emergency request for authority to use cash
collateral and provide adequate protection. The Debtor said it
requires use of cash collateral in order to continue funding its
necessary business expenses and the costs associated with the
administration of the bankruptcy case.
The Debtor commenced the Chapter 11 case with the goal of
restructuring its secured and unsecured debt in a manner that
provides maximum return to the creditor constituents while
maintaining operations. To accomplish this goal, however, the
Debtor requires the use of cash collateral.
While the Debtor believes it has seven outstanding merchant credit
advance loans from six separate secured lenders, the Debtor has
only been able to identify five separately filed UCC financing
statements.
The secured lenders identified are CSC as Senior Secured Lender,
CFG Merchant Solutions, LLC, Spark Funding, LLC d/b/a Fundamental
Capital, and CT Corp. as representative of secured lender, but
confirmed as Fox Capital.
The Debtor entered into the Merchant Credit Advance Loans, one of
which is the first position lender of record. Some of the MCA Loans
are secured by properly perfected security interests in the cash
collateral of the Debtor. As of the date of the Motion, the Senior
Secured Lender has not consented to the Debtor's use of its Cash
Collateral.
To the best of the Debtor's knowledge, the balance owed on the
Senior Secured Lender is far in excess of the value of the cash
collateral, since the smallest estimated balance of any of the
Secured Lenders is $104,568.
The Debtor said adequate protection is provided to the Senior
Secured Lender since the Debtor will make monthly payments towards
the loan(s) made by the Senior Secured Lender -- by making payments
to the Senior Secured Lender of 10% of its net monthly income (net
of expenses). Until the identity of the Senior Secured Lender is
determined by further Court Order, the monthly payments will be
paid to the Subchapter V Trustee appointed in this case to hold and
thereafter, the Subchapter V Trustee may distribute the collected
monthly payments to the identified Senior Secured Lender. After the
Senior Secured Lender is identified, future monthly payments will
be made by the Debtor directly to the Senior Secured Lender.
As further adequate protection, the Senior Secured Lender will be
granted valid, binding, enforceable and perfected first priority
liens and security interests, superior to the liens and security
interests or other interests or rights of all other creditors of
the Debtor's estate on property owned or leased by the Debtor.
Moreover, for any post-petition diminution in value of the
interests of the Senior Secured Lender in the cash collateral,
including without limitation for any diminution in value resulting
from the use of cash collateral or the imposition of the automatic
stay, the Senior Secured Lender is granted an administrative
expense claim against the Debtor's estate for the full amount of
such diminution, in accordance with section 507(b) of the
Bankruptcy Code.
Pursuant to the Agreed Order, the Debtor was authorized to use cash
collateral to pay (a) amounts expressly authorized by this Court;
and (b) the current and necessary expenses. This authorization will
continue until further Court order.
The Agreed Order is entered without making any determination as to
the nature of the transactions and relationship between the Debtor
and any Secured Party, including the Consenting Secured Parties:
FundFi Merchant Funding, LLC, Spark Funding, LLC d/b/a Fundamental
Capital, EBF Holdings, LLC d/b/a Everest Business Funding, Fox
Capital Group, Inc and Forward Financing, LLC. The Consenting
Parties and CFG Merchant Solutions, LLC all assert that they
purchased certain receipts from the Debtor, that such receipts are
not property of the bankruptcy estate and that, as a result, cannot
be used as cash collateral by the Debtor. The Consenting Parties
reserve all rights with respect to this issue including but not
limited to requesting that this Court make a determination on
whether the receipts they assert were purchased are property of the
bankruptcy estate and objecting to the use of cash collateral on
the basis that such receipts are not property of the bankruptcy
estate. The Debtor and the Subchapter V Trustee also reserve all
rights with respect to the issue of characterization of the
transactions between the Debtor and the Secured Parties.
A further interim hearing on the matter is scheduled for September
14 at 10 a.m.
A copy of the motion is available at https://bit.ly/3dnhhSZ from
PacerMonitor.com.
A copy of the order and the Debtor's budget through September 12 is
available at https://bit.ly/3SQBzVg from PacerMonitor.com.
About High Power Concrete, LLC
High Power Concrete, LLC is primarily engaged in concrete work,
including Portland cement and asphalt. The Debtor sought protection
under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ohio Case
No. 22-31102) on August 8, 2022. In the petition filed by Marcelo
S. De Oliveira, sole member, the Debtor disclosed $40,235 in assets
and $1,080,643 in total liabilities.
HIGHPOINT LIFEHOPE: Honan Unit Files for Chapter 11 Bankruptcy
--------------------------------------------------------------
Highpoint Lifehope SPE LLC filed for chapter 11 protection without
stating a reason.
The Debtor is managed by Scott C. Honan and is a unit of Honan
Property Management. Honan Property Management --
https://RichmondHonan.com -- offers "Class A" Medical Office Space
for healthcare providers in Georgia, Texas and Tennessee.
The Debtor, a Single Asset Real Estate, says its principal asset is
located at 8401 Data Point Drive, Suite 450, San Antonio, TX
79229.
According to court filings, Highpoint Lifehope estimates between 50
and 99 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
Sept. 23, 2022, at 10:00 AM, Via Phone: (866)909-2905; Code:
5519921#. Proofs of claim are due Dec. 22, 2022.
About Highpoint Lifehope SPE LLC
Highpoint Lifehope SPE LLC, also known as Honan Property Management
- Highpoint, is a Single Asset Real Estate (as defined in 11 U.S.C.
Sec. 101(51B)).
Highpoint Lifehope SPE LLC sought protection under Chapter 11 of
the U.S. Bankruptcy Code (Bankr. W.D. Tex. Case No. 22-50929) on
August 22, 2022. In the petition filed by Scott C. Honan, as
manager, the Debtor reports estimated assets and liabilities
between $50 million and $100 million each.
The Debtor is represented by Natalie F. Wilson of Langley & Banack
Inc.
HOME ENERGY: Unsecureds Owed $320K to Get 6.24% of Claims
---------------------------------------------------------
Home Energy Advisors, Inc., submitted a Combined Disclosure
Statement and Chapter 11 Plan of Reorganization.
The Debtor continues to operate the business as a
debtor-in-possession. In the first 5 months of the bankruptcy
(March 21, 2022 through July 31, 2022), the Debtor averaged a net
cash flow of $567.15 per month. Out of total gross sales of
$67,291.76, the Debtor made a total profit of $2,835.76. In
actuality, the Debtor's finances are improving. Between January 1,
2022 and the date of filing, the Debtor did not operate, had no
sales personnel, and was essentially starting from zero. In the
first month of the bankruptcy, Debtor had no sales. The revenue
shown on the MOR for March totaled only $1,800 for the last ten
days of March, of which $1,700.00 was a capital contribution by Mr.
Testoni. Mr. Testoni continued to work the sales to bring in
revenues, and in April sales were in excess of $23,000.00. While
sales decreased in May to $10,000.00, they increased to $19,000.00
in June, and were $11,000.00 in July. In June 2022, Mr. Testoni had
surgery inhibiting his ability to work for a period time. Since his
recovery from surgery, he has worked diligently in building back
the Debtor's business.
As of August 2022, the Debtor has substantially increased his sale
force, all of whom are on commission, and the Debtor's principal is
confident that sales will rebound to their pre-COVID-19 revenues
and projects that for the five-year plan, sales will average
$490,000.00 per year in gross revenues, with $4,200.00 per month or
$50,000.00 per year available for plan payments. As of August 18,
2022, sales for the month had improved to approximately $60,000.
Under the Plan, Class 3 Allowed General Unsecured Creditors total
$320,059. Class 3 creditors will receive a total distribution in
the amount of $20,044 or 6.24% of their claims (the "Plan
Payments"). The Plan Payments will be made over 5 years in 20
quarterly payments of $1,000. The first payment will be made on or
before the Effective Date and continuing every quarter thereafter.
Class 3 is impaired.
Upon the effective date of the Debtor's CDP, the equity interest
holder shall remain the equity shareholder in the newly reorganized
Debtor. In order to assist in funding the Debtor's business
operations under the CDP, the Debtor may retain any cash on hand,
funds in its bank accounts, and amounts received from accounts
receivable to pay accounts payable.
The Debtor continues to operate the business as a
debtor-in-possession. In the first 5 months of the bankruptcy
(March 21, 2022 through July 31, 2022), the Debtor averaged a net
cash flow of $567.15 per month (See Exhibit "B" MOR History and
Projections). Out of total gross sales of $67,291.76, the Debtor
made a total profit of $2,835.76. In actuality, the Debtor's
finances are improving. Between January 1, 2022 and the date of
filing, the Debtor did not operate, had no sales personnel, and was
essentially starting from zero. In the first month of the
bankruptcy, Debtor had no sales. The revenue shown on the MOR for
March totaled only $1,800.00 for the last ten days of March, of
which $1,700.00 was a capital contribution by Mr. Testoni. Mr.
Testoni continued to work to bring in revenues, and in April sales
were in excess of $23,000. While sales decreased in May to
$10,000, they increased to $19,000.00 in June, and were $11,000 in
July. In June 2022, Mr. Testoni had surgery inhibiting his ability
to work for a period time. Since his recovery from surgery, he has
worked diligently in building back the Debtor's business.
As of August 2022, the Debtor has substantially increased his sale
force, all of whom are on commission, and the Debtor's principal is
confident that sales will rebound to their pre-COVID-19 revenues
and projects that for the five-year plan, sales will average
$490,000.00 per year in gross revenues, with $4,200.00 per month or
$50,000.00 per year available for plan payments. As of August 18.
2022 sales or the month totaled approximately $60,000.
Accordingly, Debtor asserts that it is able to perform all of its
obligations under the CDP, and as such, the CDP satisfies section
1129(a)(11) of the Code.
Counsel for the Debtor:
Chad Van Horn, Esq.
VAN HORN LAW GROUP, P.A.
500 N.E. 4th Street, Suite 200
Fort Lauderdale, FL 33301
Telephone: (954) 765-3166
Facsimile: (954) 756-7103
E-mail: Chad@cvhlawgroup.com
A copy of the Combined Disclosure Statement and Chapter 11 Plan of
Reorganization dated August 19, 2022, is available at
https://bit.ly/3c9pJoK from PacerMonitor.com.
About Home Energy Advisors
Home Energy Advisors, Inc. sought protection under Chapter 11 of
the Bankruptcy Code (Bankr. M.D. Fla. Case No. 22-01106) on March
21, 2022, listing as much as $1 million in both assets and
liabilities. Ben Testoni, chief executive officer and managing
member, signed the petition.
Judge Caryl E. Delano oversees the case.
Chad Van Horn, Esq., at Van Horn Law Group, PA serves as the
Debtor's legal counsel.
HTP INC: Authorized to File Combined Plan & Disclosures
-------------------------------------------------------
Judge Timothy W. Dore has entered an order authorizing HTP, Inc.,
to file a Combined Disclosure Statement and Plan of Reorganization
and to submit the Combined Disclosure Statement and Plan to the
Court on an ex parte basis for conditional approval by the Court,
only as to the adequacy of disclosure.
To the extent the Court conditionally approves the adequacy of
disclosure in the Disclosure Statement, the Debtor is authorized to
set a single hearing for final approval of the Disclosure Statement
and confirmation of the plan upon the full 28-day notice pursuant
to the notice requirements of Bankruptcy Rule 2002 for confirmation
of a Chapter 11 plan.
Attorneys for HTP, Inc.:
Christine M. Tobin-Presser, Esq.
Thomas A. Buford, Esq.
BUSH KORNFELD LLP
About HTP Inc.
HTP, Inc.'s assets and operations consist of holding 48% of Hytech,
LLC and pursuing certain litigation against parties that have,
among other things, misappropriated technology and usurped business
opportunities. The company is based in Sammamish, Wash.
HTP filed its voluntary petition for Chapter 11 protection (Bankr.
W.D. Wash. Case No. 21-11611) on Aug. 24, 2021, listing $772
million in total assets and $10.45 million in liabilities. Judge
Timothy W. Dore presides oversees the case.
Bush Kornfeld, LLP and Western Washington Law Group, PLLC serve as
the Debtor's bankruptcy counsel and special counsel, respectively.
The U.S. Trustee for Region 18 appointed an official committee of
unsecured creditors on Sept. 17, 2021. The committee is represented
by Alan J. Wenokur, Esq., at Wenokur Riordan, PLLC.
HUCKLEBERRY PARTNERS: $6.3M Sale to Amarc Properties to Fund Plan
-----------------------------------------------------------------
Huckleberry Partners, LLC, filed with the U.S. Bankruptcy Court for
the Middle District of Florida a Disclosure Statement describing
Plan of Liquidation dated August 23, 2022.
The Debtor was formed on or about February 16, 2005, as a special
purpose entity to purchase, construct, and operate a shopping
center called Waterford Commons, which is located at 12789
Waterford Lakes Parkway, Orlando, Florida (the "Real Property" or
"Waterford Commons").
The Debtor conducts leasing and daily management for Waterford
Commons. The Debtor's Real Property is 93% leased with commercial
tenants with long term leases. The Debtor is a member managed
company. The Debtor's only member with decision making authority is
Henry James Herborn, III ("Mr. Herborn").
The Debtor filed this bankruptcy case to sell its real and personal
property for the benefit of all claimholders and avoid additional
claims against the Debtor. On August 5, 2022, this Court approved
the sale of the Debtor's real and personal property free and clear
of all liens, claims, and interests to Amarc Properties II, LLC (an
independent third-party) for a gross price of $6,275,000.00 (the
"Sale").
The Sale shall close on or before September 15, 2022. The Sale was
the result of a multiple month negotiation and vetting of the
market for the best and highest offer. Debtor will use funds from
the sale to pay its senior mortgage holder, Emerald Creek Capital
3, LLC, as well as other creditors holding liens on the property,
and utilize the remaining funds to satisfy other creditors' allowed
claims.
The overall purpose of the Plan is to liquidate the Debtor's assets
in a manner designed to maximize recoveries to all stakeholders.
Debtor believes the Plan provides the best recoveries possible for
holders of claims and interests against the Debtor and, thus,
strongly recommends that you vote to accept the Plan.
All Claims against the Debtor shall be classified and treated
pursuant to the terms of the Plan. The Plan designates 6 Classes of
Claims and Interests. There are 3 Classes of Secured Claims; 2
Classes of Unsecured Claims, and 1 Class of Equity Interests. The
Plan provides the respective Holders of Allowed Administrative
Claims, Allowed Priority Claims, and Allowed Priority Tax Claims,
if any, will be paid in full on the Effective Date or the Closing
Date.
The Plan further provides that Holders of Allowed Secured and
Unsecured Claims will receive full or partial payment from: (1) the
Debtor's continued operations; (2) the Sale of Debtor's assets,
and/or (3) the net proceeds recovered from Causes of Action.
Class 4 consists of all non-insider Allowed Unsecured Claims
against the Debtor. In full satisfaction of the Allowed Class 4
Claims, holders of such claims shall receive a pro rata share of
(1) the Sale Proceeds and any cash on hand after payments to
Allowed Administrative Claims, Allowed Priority Tax Claims, and the
Allowed Class 1 and Class 2 Claims and (2) a pro rata share of the
net proceeds from Causes of Action after Class 3 payments. The
Debtor estimates this class to have approximately $150,000
$200,000.00 in claims and is expected to be paid in full. Class 4
is Impaired.
Class 5 consists of all Allowed Insider Claims against the Debtor.
In full satisfaction of the Allowed Class 5 Claims, holders of such
claims shall receive a pro rata share of (1) the Sale Proceeds and
any cash on hand after payments to Allowed Administrative Claims,
Allowed Priority Tax Claims, the Allowed Class 1, 2 and 4 Claims,
(2) a pro rata share of proceeds from the Causes of Action after
payments to Class 3 and 4 Claims. The amount of the Class 5 claims
is largely unknown. Class 5 is Impaired.
Class 6 consists of all equitable interests in the Debtor. On the
Effective Date, all currently issued and outstanding Equity
Interests in the Debtor shall be extinguished. In full satisfaction
of the Allowed Class 6 Claims, holders of such interests shall
receive a pro rata share of (1) the Sale Proceeds and any cash on
hand after payments to Allowed Administrative Claims, Allowed
Priority Tax Claims, the Allowed Class 1, 2, 4 and 5 Claims, (2) a
pro rata share of proceeds from the Causes of Action after payments
to Class 3, 4 and 5 Claims.
The Plan is premised upon, and will be funded by, the Sale and the
liquidation of Waterford Commons. Any and all outstanding United
States Trustees fees shall be paid at Confirmation. Confirmation
will be contemporaneous with Bankruptcy Court approval of the Sale
and Sale Motion, and the Debtor will cease all active operations at
Closing which is expected to take place no later than September 15,
2022. The gross sales price of $6,275,000.00 is expected to pay all
allowed claimholders in full and return amounts to Allowed Equity
Interest Holders.
A full-text copy of the Disclosure Statement dated August 23, 2022,
is available at https://bit.ly/3AqknO4 from PacerMonitor.com at no
charge.
Counsel for Debtor:
Justin M. Luna, Esq.
Latham, Luna, Eden & Beaudine, LLP
201 S. Orange Avenue, Suite 1400
Orlando, FL 32801
Tel: (407) 481-5800
Fax: (407) 481-5801
Email: jluna@lathamluna.com
About Huckleberry Partners
Huckleberry Partners LLC owns and operates a shopping center called
Waterford Commons, which is located at 12789 Waterford Lakes
Parkway, Orlando, Florida. Huckleberry Partners is a
member-managed company -- the only member with decision making
authority is Henry James Herborn, III.
Huckleberry Partners sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. M.D. Fla. Case No. 22-02159). In the
petition filed by Henry James Herborn, Ill, as managing member, the
Debtor estimated assets and liabilities between $1 million and $10
million each. Justin M Luna, Esq., at Latham, Luna, Eden &
Beaudine, LLP, is the Debtor's counsel.
The Debtor's Chapter 11 Plan and Disclosure Statement are due by
Oct. 17, 2022.
ICU MEDICAL: S&P Downgrades ICR to 'BB-', Outlook Stable
--------------------------------------------------------
S&P Global Ratings lowered its credit rating on ICU Medical Inc.
and its rating on the company's first-lien debt one notch to 'BB-';
the recovery rating is unchanged.
The stable outlook reflects a projected improvement in EBITDA and
EBITDA margins in 2023, driven by cost controls and synergies from
the Smiths acquisition and S&P's expectation that demand for ICU
Medical's products will remain steady, leading to adjusted leverage
of about 4x and free operating cash flow generation of over $100
million.
The downgrade reflects the company's weakened financial risk
profile, with adjusted leverage of about 5x in 2022 and 4x in 2023.
S&P said, "We expect the current macroeconomic volatility will
continue to affect the company for the rest of 2022, causing the
EBITDA margin to drop to low-teens percent area versus the mid- to
high-teens percentages we had projected. Supply-chain disruptions,
understaffed factories, and quality-related interruptions in the
first half of 2022 led to lower revenues, especially at the
recently acquired Smiths Medical business. We expect the company to
improve the performance of the affected distribution center in the
second half of 2022 given the trend of sequential monthly
improvement since May."
Other macroeconomic factors that affected the whole business in the
first half of 2022 included increased fuel costs and freight costs
incurred when expediting customer orders, foreign exchange
headwinds, difficulties in sourcing certain parts (including
microchips for the pumps), wage inflation, and increased raw
materials costs. In addition, the company must continue to address
an FDA warning letter related to the quality of its Medfusion
syringe pump and overall quality system and integrate Smiths
Medical. S&P believes these challenges can't be resolved easily
over the next 12 months and will continue to pressure the EBITDA
margin in 2022 and 2023, leading to 5x leverage in 2022 and 4x
leverage in 2023, one year behind our original forecast.
The company is unable to pass on the inflated costs to customers
due to its fixed-price contracts.The company's contracts average
three to five years and do not include any price escalators. It
will take a few years to get through all the contract renewals to
adjust pricing. Still, S&P believes there might be other
cost-control opportunities and synergies that could help improve
EBITDA in 2023 and onwards.
The demand for ICU Medical's products will continue because of
their medically essential nature, supporting organic growth. In the
second quarter, ICU Medical's legacy business had year-over-year
growth of about 6% in infusion consumables and 3% in infusion
systems and IV solutions. S&P said, "The demand for the company's
products is tied to the number of patients hospitalized and
elective procedure volumes, both of which we believe will continue
stabilizing over the next year. We view products such as low-margin
IV solutions and higher-margin IV sets and connectors as medically
essential for hospitalized patients." Therefore, the underlying
demand for the company's products should remain steady as long as
the company can meet demand.
S&P said, "The stable outlook reflects a projected improvement in
EBITDA and EBITDA margins in 2023, driven by certain cost controls
and synergies from the Smiths acquisition and our expectation that
the demand for ICU Medical's products will remain steady. This
would lead to adjusted leverage of about 4x and free operating cash
flow generation of over $100 million."
S&P could lower the rating again if ICU Medical's operating
performance deteriorates such that leverage is sustained above 5x.
This could occur if:
-- Macroeconomic pressure is more pronounced than anticipated and
the company suffers from higher operating costs or even loses
customers, leading us to believe that its competitive position has
weakened;
-- The cost of integrating and improving Smiths and remediating
any regulatory and quality concerns is higher than expected;
-- It deviates from its financial policy and accelerates merger
and acquisition activity with material debt-financed acquisitions.
S&P would consider an upgrade if the company improves its operating
performance and its adjusted EBITDA margin to the mid- to
high-teens percentages such that leverage shows a track record of
remaining below 4x.
E-2, S-2, G-2
INITIO GROUP: Taps Law Offices of Dean Lloyd as Bankruptcy Counsel
------------------------------------------------------------------
Initio Group Advisors Inc II seeks approval from the U.S.
Bankruptcy Court for the Northern District of California to hire
The Law Offices of Dean Lloyd as its legal counsel.
The firm's services include:
a) advising the Debtor regarding its powers, rights and duties
in the continued management and operations of its business;
b) provide legal advice and consultation related to the legal
and administrative requirements of operating the Debtor's Chapter
11 bankruptcy case, including assisting the Debtor in complying
with the procedural requirements of the Office of the United States
Trustee;
c) taking all necessary actions to protect and preserve the
Debtor's estate, including prosecuting actions on the Debtor's
behalf, defending any action commenced by the Debtor, and
representing the Debtor's interest in any negotiations or
litigations in which the Debtor may be involved, including
objections to the claims filed against the estate;
d) preparing legal papers;
e) representing the Debtor's interests at the meeting of
creditors pursuant to Section 341 of the Bankruptcy Code, and at
any other hearing scheduled before the court;
f) assisting the Debtor in the formulation, negotiation, and
implementation of a Chapter 11 plan;
g) assisting the Debtor in the negotiations, documentation,
implementation, consummation, and closing of corporate
transactions, including sales of assets;
h) advising the Debtor with respect to the use of cash
collateral and obtaining debtor-in-possession or exit financing,
and negotiating, drafting, and seeking approval of any
documents related thereto;
i) reviewing all claims filed against the Debtor's estate and
advising the Debtor in connection with the possible prosecution of
objections to claims;
j) advising the Debtor concerning any executory contract and
unexpired leases, including assumptions, assignments, rejections
and renegotiations;
k) coordinating with other professionals employed in the case
to rehabilitate the Debtor's affairs; and
l) performing all other bankruptcy-related legal services for
the Debtor.
The firm will charge these hourly fees:
Deal Lloyd, Esq. $350
Law Clerks $125
Paralegals $85
Clerks $65
The Debtor paid $1,500 as an initial deposit for a retainer of
$6,500.
As disclosed in court filings, The Law Offices of Dean Lloyd is a
"disinterested person" within the meaning of Section 101(14) of the
Bankruptcy Code.
The firm can be reached through:
Deal Lloyd, Esq.
The Law Offices of Dean Lloyd
Palo Alto, CA 94306
Phone: 650-328-1664/650-328-1666
Email: Legaljaws@gmail.com
About Initio Group Advisors
Initio Group Advisors, Inc. -- http://www.initiogroupadvisors.com/
-- is a California-based investment and project management firm.
Initio Group Advisors filed a petition under Chapter 11, Subchapter
V of the Bankruptcy Code (Bankr. N.D. Calif. Case No. 22-40573) on
May 12, 2022, listing $1 million to $10 million in both assets and
liabilities. Gina R. Klump serves as Subchapter V trustee.
The case is assigned to Judge Roger L. Efremsky.
The Debtor is represented by The Law Offices of Dean Lloyd.
JSG I: S&P Upgrades ICR to 'B-' on Improved Operating Performance
-----------------------------------------------------------------
S&P Global Ratings raised its issuer credit rating on
Illinois-based safety products manufacturer JSG I Inc. to 'B-' from
'CCC+'.
S&P said, "In addition, we raised our ratings to 'B-' from 'CCC+'
on the senior secured first-lien facilities, comprising a $35
million senior secured first-lien revolving credit facility, a $410
million senior secured first-lien term loan, and a $50 million
senior secured first-lien delayed-draw term loan. The '3' recovery
rating is unchanged, reflecting our expectation of meaningful
recovery (50%-70%; rounded estimate: 55%) in the event of a
default.
"The stable outlook on JSG reflects our view that operating
performance will continue to improve, allowing the company to
maintain S&P Global Ratings-adjusted debt to EBITDA in the 6x-7x
area over the next 12 months."
Favorable demand trends along with pricing actions will translate
into continued improvement in JSG's operating performance in 2022.
JSG generated approximately $534 million revenue in the 12 months
ended June 30, 2022, higher than S&P's previous expectations.
Customer demand remains strong, specifically in safety showers,
outdoor storage, and signage. Furthermore, pricing actions,
increased focused on business-to-business e-commerce, and
contributions from the National Marker Co. (NMC) acquisition are
contributing to better performance.
S&P said, "In our opinion, the company's 2021 pricing actions
initially lagged the market and resulted in lower profitability,
but the company was able to catch up with multiple price increases
in the second half of 2021 (including repricing the backlog), as
well as additional price increases this year, and in our view the
better pricing, higher volumes, and the benefits of various
productivity initiatives (including plant integration activities
and production efficiencies) will help the company maintain its
solid operating performance for the remainder of 2022.
"We believe JSG's products are somewhat nondiscretionary in nature,
helping to support performance in a potential recessionary
environment. Many of the company's products are subject to
regulatory approval, including from the Occupational Safety and
Health Administration (OSHA) or the Environmental Protection Agency
(EPA). In our view, the regulated nature of the safety markets
support its margins and acts as a moderate barrier to competition.
While JSG does not have significant recurring revenue, if its
customers' factories are operating, there will be a need for its
safety equipment, in our opinion.
"We forecast S&P Global Ratings-adjusted EBITDA margin expansion to
result in lower debt leverage. As a result of the strategic
initiatives in late 2021 and early 2022, we expect S&P Global
Ratings-adjusted EBITDA margins to expand to the mid-teen-percent
area in 2022, from 13.4% in 2021. Volume growth, combined with
incremental pricing actions and the benefits of various cost
savings and productivity initiatives will help drive margin
improvement in 2022, in our view. However, we believe this will be
partially offset by ongoing supply chain challenges and cost
headwinds, including raw material, freight, and labor. We expect
revenue growth, along with the improving margin profile, will lead
to leverage remaining below 7x over the next 12 months.
"The stable outlook on JSG reflects our view that operating
performance will continue to improve, allowing the company to
maintain S&P Global Ratings-adjusted debt to EBITDA in the 6x-7x
area over the next 12 months."
S&P could lower the rating on JSG if:
-- Liquidity deteriorates materially, or
-- Demand and/or operating performance weakens significantly to
the point where leverage becomes unsustainable, in S&P's view.
S&P could raise the rating on JSG if:
-- The company demonstrates a track record of maintaining its
recently improved profitability. At the same time, a potential
upgrade would be contingent upon the company continuing to reduce
its leverage and sustaining it at more conservative levels; and
-- It consistently generates positive free operating cash flow
(FOCF).
ESG credit indicators: E-2, S-2, G-3
S&P said, "Governance factors are a moderately negative
consideration in our credit rating analysis of JSG, as is the case
for most rated entities owned by private-equity sponsors. We
believe the company's highly leveraged financial risk profile
points to corporate decision-making that prioritizes the interests
of the controlling owners. This also reflects the generally finite
holding periods and a focus on maximizing shareholder returns."
KURNCZ FARMS: Exclusivity Period Extended to Sept. 30
-----------------------------------------------------
Kurncz Farms, Inc. obtained a court order extending its exclusivity
periods to file a Chapter 11 plan to Sept. 30 and solicit votes in
favor of the plan to Oct. 31.
The ruling by the U.S. Bankruptcy Court for the Western District of
Michigan gives the company more time to negotiate with lienholders,
including the Internal Revenue Service regarding the distribution
of proceeds from the contemplated sale of real property owned by
its principal, Peter Kurncz.
The reduction of the obligation to the IRS will significantly
improve Kurncz Farms' ability to fund a plan of reorganization,
according to the company's attorney, Elisabeth Von Eitzen, Esq., at
Warner Norcross + Judd, LLP.
Kurncz Farms is also considering certain changes in its operation,
which may benefit all constituents under the plan, the attorney
also said.
About Kurncz Farms
Kurncz Farms, Inc. operates in the cattle ranching and farming
industry. The company is based in Saint Johns, Mich.
Kurncz Farms sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. W.D. Mich. Case No. 21-02612) on Nov. 30, 2021,
listing as much as $10 million in both assets and liabilities.
Peter J. Kurncz, president of Kurncz Farms, signed the petition.
Susan M. Cook, Esq., at Warner Norcross + Judd, LLP and Barron
Business Consulting serve as the Debtor's legal counsel and
business consultant, respectively.
The U.S. Trustee for Region 17 appointed an official committee of
unsecured creditors in the Debtor's case on Nov. 22, 2021. The
committee is represented by Keller & Almassian, PLC.
LAUTERBACH LABORATORIES: To Resolve Issues Out of Bankruptcy
------------------------------------------------------------
Judge Thomas P. Agresti convened a hearing on Lauterbach
Laboratories, Inc.'s chapter 11 plan on Aug. 18, 2022. At the
hearing, counsel for the Debtor informed the Court that the Debtor
has decided to resolve its financial issues out of bankruptcy.
Following the hearing, the Debtor filed a motion to dismiss the
case.
Accordingly, Judge Agresti ordered that:
* Lauterbach Laboratories' Amended Plan and Amended Disclosure
Statement are denied.
* The Debtor's motion to dismiss its Chapter 11 case is granted,
and the case is dismissed.
About Lauterbach Dental
Lauterbach Dental Lab, Inc., filed a petition for Chapter 11
protection (Bankr. W.D. Pa. Case No. 21-22189) on Oct. 6, 2021,
listing as much as $50,000 in both assets and liabilities. Joseph
W. Lauterbach, president of Lauterbach Dental Lab, signed the
petition. The Debtor tapped Dennis J. Spyra, Esq., as legal
counsel.
LENDINGTREE INC: Moody's Cuts CFR to B3 & Sr. Secured Debt to B1
----------------------------------------------------------------
Moody's Investors Service downgraded LendingTree, Inc.'s Corporate
Family Rating to B3 from B2 and the senior secured credit facility
to B1 from Ba3. The outlook is stable.
The downgrade of the CFR reflects continued weak operating
performance as a result of high interest and inflation rates which
will negatively impact LendingTree's home, insurance, and consumer
segments over the near term. Moody's expects LendingTree's already
very high levels (14x LTM Q2 2022 including Moody's standard lease
adjustments and the treatment of stock compensation as an expense)
will increase further by YE 2022, before beginning to improve in
2023.
LendingTree's free cash flow (FCF) will decline from current levels
($75 million LTM Q2 2022) as a result of challenging economic
conditions and higher marketing spend in Q3 2022, but will likely
remain modestly positive in Q4 2022 and full year 2023. Liquidity
also benefits from $279 million of cash on the balance sheet as of
Q2 2022 and access to an undrawn $200 million revolving credit
facility due 2026. As a result, LendingTree's Speculative Grade
Liquidity (SGL) rating remains unchanged at SGL-2.
A summary of the actions are as follows:
Downgrades:
Issuer: LendingTree, Inc.
Corporate Family Rating, Downgraded to B3 from B2
Probability of Default Rating, Downgraded to B3-PD
from B2-PD
Senior Secured Bank Credit Facility, Downgraded to
B1 (LGD2) from Ba3 (LGD2)
Outlook Actions:
Issuer: LendingTree, Inc.
Outlook, Remains Stable
RATINGS RATIONALE
The B3 CFR reflects LendingTree's very high leverage (14x LTM Q2
2022) which will increase in the near term, before declining during
the second half of 2023 as the home and insurance segments begin to
recover. LendingTree's large stock-based compensation expense ($66
million LTM Q2 2022 which Moody's includes as an expense) increases
leverage significantly, but also supports the company's operating
cash flow. A large portion of costs are related to selling and
marketing, leading to very low margins in the mid-single digits.
While Moody's expects margins will improve over time, profitability
will likely remain at very low levels in the near term.
LendingTree's consumer segment has been a source of strength to
operating performance, but growth in this division will likely slow
as a result of limited economic growth and reduced lending
activity. The home segment has been negatively impacted by the
rapid rise in interest rates which reduced home refinancing and
demand for new mortgages. Performance in the insurance segment has
been hurt by high inflation rates and elevated claim levels which
has caused insurance companies to be more conservative in pursuing
new business. Moody's projects the insurance segment will gradually
improve as insurance companies become more aggressive in seeking
new customers in 2023, while the home division will be slower to
recover in a rising interest rate environment. LendingTree operates
in a highly competitive environment and will need to continue to
adapt to existing and new competitive products on an ongoing
basis.
LendingTree benefits from its strong position in the financial
services marketplace with good brand recognition. The company has a
large and diversified business across 3 segments -- home (mortgage
loans, mortgage refinancing, home equity loans), consumer (credit
cards, personal loans, small business loans and other services) and
insurance (auto, home, health and Medicare). The diversified
offerings typically provide a degree of stability as LendingTree's
services are impacted differently during normal economic cycles.
Moody's expects continued growth in financial technology as
consumers perform more traditional financial transactions online
and through mobile devices and benefit from financial service
providers competing for new customers. Operating results should
also improve from new investments and product launches going
forward. While the MyLendingTree service is a relatively small part
of the company, Moody's expects it will offer the potential to
lower customer acquisition costs and provide opportunities for
additional growth with higher levels of customer engagement.
ESG CONSIDERATIONS
LendingTree's ESG Credit Impact Score is highly-negative (CIS-4).
The company has pursued an aggressive financial strategy including
high leverage levels, stock buybacks, and acquisitions. LendingTree
also has exposure to customer relations risk due to the maintenance
of private consumer data and human capital risk due to the need to
attract and retain a large high-tech workforce. LendingTree is a
publicly traded company with an independent board of directors,
although the CEO has a significant ownership position.
The stable outlook reflects Moody's expectation that the very high
leverage levels will further increase in the near term, but will
decline below existing levels in 2023 with additional improvement
in 2024. Moody's expects the insurance division will begin to
recover in 2023 as insurance companies adapt to current conditions
in the industry and become more aggressive in underwriting new
policies. The home segment is likely to take longer to recover as a
result of higher interest rates, but other services offerings such
as home equity loans will offset a portion of the decline in home
refinancing activity. The consumer segment has improved from the
pandemic, but will remain sensitive to economic conditions and
likely experience slower growth rates in the near term. Leverage
levels have the potential to decrease more rapidly if LendingTree
uses a portion of its large cash balance for accretive acquisitions
or debt repayment.
LendingTree's SGL-2 rating reflects a good liquidity position with
$279 million of cash on the balance sheet and an undrawn $200
million revolver due 2026 as of Q2 2022. Moody's projects FCF as a
percentage of debt to decrease from 9% LTM Q2 2022, to the
low-single digits over the next year. Discretionary marketing spend
will weigh on FCF levels in Q3 2022, but marketing will be
curtailed in Q4 2022. Capex decreased to $18 million LTM Q2 2022
and will decline further to approximately $15 million in 2022.
Interest expense is expected to remain low as a result of the 0.5%
interest rate on the convertible notes. LendingTree repurchased $43
million of stock in Q1 2022, but additional repurchases are
restricted by financial covenants on the secured credit facility
until leverage levels decline.
The term loan is covenant lite and the revolver is subject to a
maximum first lien net leverage covenant of 2.5x when more than $20
million is drawn. Moody's expects LendingTree will remain within
compliance with the revolver covenant over the next twelve months
aided by the large cash balance.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING
A ratings upgrade could occur if LendingTree's leverage was
expected to decline below 7x with sustained revenue growth and
EBITDA margin expansion. A good liquidity position with FCF as a
percentage of debt in the mid-single digits would also be required.
In addition, all approaching debt maturities would need to be
refinanced well in advance of maturity.
A ratings downgrade could occur if LendingTree's elevated leverage
was projected to be sustained at current levels for an extended
period of time due to the inability to improve operating
performance. A weakened liquidity position, negative FCF, or
inability to refinance approaching debt maturities in a timely
manner could also pressure ratings.
Structural considerations
Moody's Loss Given Default for Speculative-Grade Companies
methodology indicated a Ba3 rating for the senior secured credit
facility, but a one notch override to B1 was applied due to the
uncertain mix of debt in the capital structure arising from the
convertible unsecured notes due 2025 (not rated) maturing ahead of
the secured revolver and term loan. Depending on the refinancing
activity and composition of debt, the cushion provided to the
credit facility going forward could be reduced. The Probability of
Default (PDR) rating is B3-PD and reflects the expectation of a 50%
recovery rate in the event of default.
LendingTree, Inc., headquartered in Charlotte, North Carolina,
operates a leading online marketplace platform connecting consumers
with financial services, including home, personal, small business
loans, insurance, credit cards as well as other services. Revenue
for the LTM period ended Q2 2022 was approximately $1.1 billion.
The principal methodology used in these ratings was Business and
Consumer Services published in November 2021.
LOUISIANA HIGHWAY: Disclosure Hearing Continued to Sept. 14
-----------------------------------------------------------
Judge Douglas D. Dodd has entered an order within which the hearing
on the Disclosure Statement in Support of Amended Chapter 11 Plan
of Reorganization for Louisiana Highway St. Gabriel, LLC, and its
Affiliates is continued from August 31, 2022 at 2:00 p.m. to
September 14, 2022 at 2:00 p.m. at the United States Bankruptcy
Court, 707 Florida Street, Room 222, Baton Rouge, Louisiana.
Judge Dodd further ordered that objections to the Disclosure
Statement be filed and delivered to the plan proponent no later
than 8 days before the continued hearing.
A copy of the order dated August 22, 2022, is available at
https://bit.ly/3pKly6b from PacerMonitor.com at no charge.
Counsel for Debtors:
William H. Patrick, III, Esq.
Tristan Manthey, Esq.
Cherie Dessauer Nobles, Esq.
Fishman Haygood, LLP
201 St. Charles Avenue, Suite 4600
New Orleans, LA 70170-4600
Telephone: (504) 556-5525
Mobile: (504) 556-5525
Fax: (504) 586-5250
About Louisiana Highway St.
Gabriel
Louisiana Highway St. Gabriel, LLC and five affiliates filed their
voluntary petitions for relief under Chapter 11 of the Bankruptcy
Code (Bankr. M.D. La. Lead Case No. 20-10824) on December 17,
2020.
At the time of the filing, Louisiana Highway had estimated assets
of less than $50,000 and liabilities of between $500,001 and $1
million.
Judge Douglas D. Dodd oversees the case.
The Debtors tapped William H. Patrick, III, Esq., at Fishman
Haygood LLP as counsel, and Maestri-Murrell, Inc., as real estate
broker.
LTL MANAGEMENT: Gets Backing From Nonprofit in Fight to Keep Ch. 11
-------------------------------------------------------------------
P. J. D'Annunzio of Law360 reports that the pro-business nonprofit
Washington Legal Foundation on Monday threw its support behind
Johnson & Johnson's talc liability unit as the company defends the
legitimacy of its Chapter 11 filing as a means to resolve a barrage
of lawsuits from cancer patients alleging asbestos in baby powder
caused their illnesses.
In its amicus brief in support of the J&J spinoff LTL Management
LLC, the WLF told the Third Circuit that going through the
bankruptcy court provides a better way to handle the tens of
thousands of talc-related ovarian cancer and mesothelioma claims
than the "inefficient and unduly expensive mass tort system."
About LTL Management
LTL Management, LLC, is a subsidiary of Johnson & Johnson (J&J),
which was formed to manage and defend thousands of talc-related
claims and oversee the operations of Royalty A&M. Royalty A&M owns
a portfolio of royalty revenue streams, including royalty revenue
streams based on third-party sales of LACTAID, MYLANTA/MYLICON and
ROGAINE products.
LTL Management filed a petition for Chapter 11 protection (Bankr.
W.D.N.C. Case No. 21-30589) on Oct. 14, 2021. The case was
transferred to New Jersey (Bankr. D.N.J. Case No. 21-30589) on Nov.
16, 2021. The Hon. Michael B. Kaplan is the case judge. At the time
of the filing, the Debtor was estimated to have $1 billion to $10
billion in both assets and liabilities.
The Debtor tapped Jones Day and Rayburn Cooper & Durham, P.A., as
bankruptcy counsel; King & Spalding, LLP and Shook, Hardy & Bacon
LLP as special counsel; McCarter & English, LLP as litigation
consultant; Bates White, LLC as financial consultant; and
AlixPartners, LLP as restructuring advisor. Epiq Corporate
Restructuring, LLC, is the claims agent.
An official committee of talc claimants was formed in the Debtor's
Chapter 11 case on Nov. 9, 2021. On Dec. 24, 2021, the U.S. Trustee
for Regions 3 and 9 reconstituted the talc claimants' committee and
appointed two separate committees: (i) the official committee of
talc claimants I, which represents ovarian cancer claimants, and
(ii) the official committee of talc claimants II, which represents
mesothelioma claimants.
The official committee of talc claimants I tapped Genova Burns LLC,
Brown Rudnick LLP, Otterbourg PC and Parkins Lee & Rubio LLP as its
legal counsel. Meanwhile, the official committee of talc claimants
II is represented by the law firms of Cooley LLP, Bailey Glasser
LLP, Waldrep Wall Babcock & Bailey PLLC, Massey & Gail LLP, and
Sherman Silverstein Kohl Rose & Podolsky P.A.
About Johnson & Johnson
Johnson & Johnson is an American multinational corporation founded
in 1886 that develops medical devices, pharmaceuticals, and
consumer packaged goods. It is the world's largest and most
broadly based healthcare company.
Johnson & Johnson is headquartered in New Brunswick, New Jersey,
the consumer division being located in Skillman, New Jersey. The
corporation includes some 250 subsidiary companies with operations
in 60 countries and products sold in over 175 countries.
The corporation had worldwide sales of $82.6 billion in 2020.
MIDTOWN DEVELOPMENT: Plan Solicitation Period Extended to Oct. 18
-----------------------------------------------------------------
Midtown Development, LLC obtained an order from the U.S. Bankruptcy
Court for the Northern District of Iowa extending to Oct. 18 the
period during which the company has the exclusive right to solicit
votes in favor of its proposed Chapter 11 plan.
The company on Aug. 24 filed its liquidating plan, which proposes
to liquidate its assets that include the Black's Building in
Waterloo, Iowa, and personal property.
Holders of unsecured priority and non-priority claims are among
those that will receive payments under the plan. Payments will be
funded through the company's cash on hand, rents received from the
Black's Building until the property is sold, the sale of the
property, and claims against Townsquare Media of Waterloo, LLC and
Covalt & Company Colorado Properties, LLC.
About Midtown Development
Midtown Development, LLC, a real estate developer in Iowa, sought
protection under Chapter 11 of the Bankruptcy Code (Bankr. N.D.
Iowa Case No. 21-00478) on May 25, 2021. In the petition signed by
Donna L. Nelson, managing member, the Debtor disclosed as much as
$10 million in both assets and liabilities.
Judge Thad J. Collins oversees the case.
The Debtor tapped Day Rettig Martin PC as legal counsel, BerganKDV
as accountant, and Moglia Advisors as financial advisor.
Clark, Butler, Walsh & Hamann and Greenstein Sellers, PLLC
represent MidWestOne Bank, a secured creditor.
MILLER'S ALE: Moody's Hikes CFR to B3 & Alters Outlook to Stable
----------------------------------------------------------------
Moody's Investors Service upgraded Miller's Ale House, Inc.
ratings, including its corporate family rating to B3 from Caa1,
probability of default rating to B3-PD from Caa1-PD, and senior
secured bank credit facility ratings to B3 from Caa1. Moody's
assigned a B3 rating to Miller's $28.5 million revolving credit
facility due 2025. The ratings outlook was changed to stable from
positive.
The upgrade reflects Miller's continued operating performance and
credit metric improvement along with the successful extension of
$28.5 million revolver commitments to March 2025. While the
remaining $7 million under Miller's existing revolving credit
facility will expire on May 30, 2023, liquidity is good, supported
by balance sheet cash, modest free cash flow and ample excess
availability under the $28.5 million extended revolver.
Upgrades:
Issuer: Miller's Ale House, Inc.
Corporate Family Rating, Upgraded to B3 from Caa1
Probability of Default Rating, Upgraded to B3-PD from Caa1-PD
GTD Senior Secured Bank Credit Facility, Upgraded to B3 (LGD3)
from Caa1 (LGD3)
Assignments:
Issuer: Miller's Ale House, Inc.
GTD Senior Secured Bank Credit Facility, Assigned B3 (LGD3)
Outlook Actions:
Issuer: Miller's Ale House, Inc.
Outlook, Changed To Stable From Positive
RATINGS RATIONALE
Miller's B3 CFR is constrained by its high, but significantly
improved, financial leverage, as well as modest scale and high
geographic concentration in Florida. Miller benefits from its
reasonable level of brand awareness evidenced by its high average
restaurant sales volumes, good day-part distribution and product
mix with a relatively high margin alcohol percentage. Liquidity is
good, supported by balance sheet cash, modest free cash flow and
ample excess revolver availability.
The stable outlook reflects Moody's expectation that Miller's will
sustain its enhanced credit profile and good liquidity despite
increased challenges related to labor and commodity cost inflation
and a potential for reduced consumer spending on dining out
occasions given the uncertain economic environment.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
Factors that could result in an upgrade include a measured progress
toward greater diversification outside of Florida and financial
policies that support maintaining debt to EBITDA below 5.5 times
and EBIT to interest coverage of over 1.5 on a sustained basis. An
upgrade would also require good liquidity.
A downgrade could occur if debt to EBITDA increased above 6.5 times
or EBIT to interest coverage was below 1.1 time on a sustained
basis. A deterioration in liquidity could also result in a
downgrade.
Miller's, with headquarters in Orlando, Florida, owns and operates
98 casual dining restaurants in Florida and the Eastern US. Revenue
for the latest twelve month period ended June 2022 exceeded $520
million. Miller's is majority owned by affiliates of Roark Capital.
The company is not required to release financial statements
publicly.
The principal methodology used in these ratings was Restaurants
published in August 2021.
NATIONAL SMALL BUSINESS: Continued Operations to Fund Plan
----------------------------------------------------------
Marc E. Albert, the duly appointed and qualified trustee
("Trustee") of the Chapter 11 bankruptcy estate of National Small
Business Alliance, Inc., submitted a Disclosure Statement
describing Plan of Reorganization for the Debtor dated August 23,
2022.
The Debtor operates a nationwide online network through which
various small businesses are furnished preferred rates on a curated
series of support services, while the Debtor also provides bespoke
counseling to the various entrepreneurs comprising its membership.
As with many other small businesses, the COVID-19 pandemic created
significant challenges for the Debtor. The loss of revenues caused
by the pandemic combined with the actual and threatened cost of
multiple litigation by Motiva forced the Debtor to commence this
bankruptcy case under Chapter 11 (Subchapter V) of the Bankruptcy
Code on January 31, 2021, in order to address all of the claims of
its disparate creditors in one uniform proceeding and to reorganize
in this Honorable Court.
Proceeds to be generated from the continuing operation of the
Debtor's business under possession by the Trustee, including
increased revenue projected to be derived from a postpetition
financing arrangement the Debtor has secured with its primary
secured creditor allowing for the Debtor to engage call center
employees to drive increased membership sales, will form the basis
for the funding of the Plan.
Class 3 consists of the Secured Claim of VRC, including Venture
Resources Consulting, LLC, a California limited liability company,
John Rainaldi, and The Rainaldi Family Trust as reflected in Proof
of Claim 3-1 originally filed on the Claims Register on April 9,
2021 in the amount of $201,770.72 and not including interest.
Each holder of an Allowed Class 3 Claim shall receive disbursements
derived from the Monthly Available Funds paid pro rata with any
other existing Class 3 Claims. Once payments towards the Class 3
Claims commence in accordance with the Plan Disbursement Schedule,
payments shall continue thereafter until the earlier of A) payment
of Allowed Class 3 Claims in full, or B) 65 months have passed
since Confirmation and the Trustee and Debtor have complied with
all payment provisions included in the Plan. Holders of Class 3
Claims will retain their liens until the paid in full.
Class 4 consists of holders of General Unsecured Claims. Each
holder of an Allowed Class 4 Claim shall receive disbursements
derived from the Monthly Available Funds paid pro rata with the
other Allowed Class 4 Claims. Payments derived from the Monthly
Available Funds shall be disbursed towards the Allowed Class 4
Claims in accordance with the Plan Disbursement Schedule. Once
payments towards the Class 4 Claims commence in accordance with the
Plan Disbursement Schedule, payments shall continue thereafter
until the earlier of A) payment of the Allowed Class 4 Claims in
full, or B) 65 months have passed since Confirmation and the
Trustee and Debtor have complied with all payment provisions
included in the Plan.
Any remaining balances owing towards Class 4 Claims shall be
forever released and enjoined from collection following the
Termination Date and revestment of the Property of the Estate back
to the reorganized debtor. Projections prepared by the Trustee
estimate payments to Class 4 Claims are likely to commence in the
27th month of the Plan at 25% of the Monthly Available Funds,
increase to 100% of the Monthly Available Funds in the 46th month
of the Plan, and conclude with payment in full occurring in the
61st month of the Plan. Holders of Class 4 Claims are impaired.
Class 5 consists of the punitive damages component of the September
27, 2019 Judgment against Global, NSBA SD, and Michael Holleran
obtained by Motiva Group, Inc. and included in Motiva's Proof of
Claim filed on April 7, 2021, which was later transferred to VRC.
Payments derived from the Monthly Available Funds shall be
disbursed towards the Allowed Class 5 Claims in accordance with the
Plan Disbursement Schedule.
Any remaining balances owing towards Class 5 Claims shall be shall
be forever released and enjoined from collection following the
Termination Date and revestment of the Property of the Estate back
to the reorganized debtor. Projections prepared by the Trustee
estimate payments to Class 5 Claims are likely to commence in the
64th month of the Plan and conclude following the 65th month after
Confirmation with Class 5 Claims being paid at approximately 16%,
exclusive of any final payments derived from remaining Reserve
Funds existing at the conclusion of the Plan. This Class is
impaired.
Class 6 consists of Holders of Interests. At the time of the
commencement of this case, all of the outstanding corporate shares
of the Debtor were owned by Michael Holleran (100%). In
consideration of Holleran's efforts on behalf of the Debtor at
below market compensation (he has received reduced compensation the
pendency of the Bankruptcy Case), and his continuing efforts to
effectuate the reorganization of the Debtor through cooperation
with the with the Trustee, and an equity contribution of three
thousand dollars ($3,000.00) to be paid within sixty days after
Confirmation, this Class shall retain its ownership interests in
the Debtor as it existed prior to the Petition Date.
The Plan proposes to make payments to the creditors and parties in
interest to commence in the 6 month following Confirmation of the
Plan and continuing until 65 months after Confirmation. During the
initial six-month deferment period for payments, the Debtor shall
utilize the existing business capital derived during this period,
as well as an additional $25,000.00 derived from the
Post-Confirmation Financing Arrangement to engage call center
marketing agents to solicit new membership sales from the business
to increase the monthly business income of the business for funding
payments under the Plan.
Secured and Priority Tax Claims are to be paid in full, including
all applicable interest, through equal monthly payments amortized
over a period beginning sixth months after Confirmation and
concluding in January 2026.
This Plan is an operating Plan. It provides for continuing
operation of the Debtor's business to fund an orderly repayment of
claims of creditors within the constraints of the cash flow
generated by the Debtor's business.
As set forth in the Cash Flow Analysis, with the exception of the
Class 6 Punitive Damages Claim, all creditors, including the
general unsecured creditors, are projected to be paid in full on or
before the conclusion of the Plan. Under the Trustee's Plan of
Reorganization, general unsecured creditors will receive payments
greater than the amounts they would be entitled to receive should
this case be converted to one under Chapter 7.
Through the Plan, disbursements of cash funds derived from
operation of the Debtor's business through the period of the Plan
are projected to be in excess of $1,150,000.
A full-text copy of the Disclosure Statement dated August 23, 2022,
is available at https://bit.ly/3PT00yA from PacerMonitor.com at no
charge.
Attorneys for Marc E. Albert:
Joshua W. Cox, No. 1033283
STINSON LLP
1775 Pennsylvania Ave., N.W., Suite 800
Washington, DC 20006
Tel. (202) 785-9100
Fax (202) 572-9943
joshua.cox@stinson.com
About National Small Business Alliance
National Small Business Alliance, Inc. --
http://www.nsbamembers.org/ --is a small business owners'
membership association that provides a variety of critical services
to thousands of small businesses.
National Small Business Alliance sought protection under Chapter 11
of the Bankruptcy Code (Bankr. D.D.C. Case No. 21-00031) on Jan.
31, 2021, listing as much as $10 million in both assets and
liabilities. Michael Holleran, director and chief executive
officer, signed the petition.
Judge Elizabeth L. Gunn oversees the case.
Law Group International Chartered, led by Eric Nwaubani, Esq.,
serves as the Debtor's legal counsel.
Marc Albert is the Chapter 11 trustee appointed in the Debtor's
bankruptcy case. Stinson, LLP and Arthur Lander CPA, PC serve as
the trustee's legal counsel and accountant, respectively.
NORTH JAX CONCRETE: Gets OK to Hire Franklin Street as Broker
-------------------------------------------------------------
North Jax Concrete and Construction, LLC received approval from the
U.S. Bankruptcy Court for the Middle District of Florida to employ
Michael Salik, a real estate broker at Franklin Street Real Estate
Services, LLC and FSOI, LLC.
The Debtor requires a broker to market for sale its commercial
property located at 1932 Dahlia Road, Jacksonville, Fla.
Mr. Salik will be paid a commission of 6.5 percent of the sales
price.
In court papers, Mr. Salik disclosed that he and Franklin Street
haven't had business or other connections with the Debtor and other
parties during the one-year period prior to the filing of the
Debtor's Chapter 11 case, which would be adverse to the Debtor and
its estate.
Mr. Salik holds office at:
Michael Salik
Franklin Street Real Estate Services, LLC
1611 Atlantic Blvd.
Jacksonville, FL 32207
Tel: (904) 271-4120
Email: Mike.Salik@FranklinSt.com
About North Jax Concrete and Construction
North Jax Concrete and Construction, LLC, a company in
Jacksonville, Fla., sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. M.D. Fla. Case No. 22-01206) on June 15,
2022. In the petition signed by John C. Holton III, managing
member, the Debtor listed $1 million to $10 million in both assets
and liabilities.
Judge Jacob A. Brown oversees the case.
The Debtor tapped Byron Wright, III, Esq., and Robert C. Bruner,
Esq., at Bruner Wright P.A. as bankruptcy attorneys; and Georgia
Evans of Professional Management Systems, Inc. as accountant.
NYMD GREEN: Case Summary & 12 Unsecured Creditors
-------------------------------------------------
Debtor: NYMD Green Lake, LLC
155-15 90th Avenue
Jamaica, NY 11432
Business Description: The Debtor owns a 146-acre, 52 room resort
property located at 605 Green Lake Road
Catskill, New York and 609 Green Lake
Road, Catskill, New York valued at $4
million.
Chapter 11 Petition Date: August 26, 2022
Court: United States Bankruptcy Court
Eastern District of New York
Case No.: 22-42032
Judge: Hon. Jil Mazer-Marino
Debtor's Counsel: Gary C. Fischoff, Esq.
BERGER, FISCHOFF, SHUMER, WEXLER & GOODMAN, LLP
6901 Jericho Turnpike
Suite 230
Syosset, NY 11791
Tel: 516-747-1136
Email: hberger@bfslawfirm.com/
gfischoff@bfslawfirm.com
Total Assets: $4,072,402
Total Liabilities: $2,085,028
The petition was signed by Lincoln Graham as president.
A full-text copy of the petition containing, among other items, a
list of the Debtor's 12 unsecured creditors is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/LFMHOFI/NYMD_Green_Lake_LLC__nyebke-22-42032__0001.0.pdf?mcid=tGE4TAMA
PARTY CITY: Fitch Affirms 'B-' IDR & Alters Outlook to Negative
---------------------------------------------------------------
Fitch Ratings has affirmed Party City Holdco Inc.'s Long-Term
Issuer Default Rating (IDR) at 'B-' and revised the Rating Outlook
to Negative from Stable. The Negative Outlook reflects reduced
earnings expectations in 2022, including EBITDA declining to around
$150 million from approximately $240 million in 2021, and an
uncertain path to EBITDA recovery over the next two to three
years.
Fitch expects that operating challenges combined with inventory
build will lead to a significant cash outflow in 2022, which the
company will fund with drawings on its revolver, yielding adjusted
leverage (adjusted debt/EBITDAR, capitalizing leases at 8x) over
9.0x. Some pressures are transitory, including helium sourcing
issues and increased supply chain costs, and some normalization
could support a rebound in EBITDA above $200 million. However,
sustained operating pressure would result in continued stress on
FCF and adjusted leverage remaining elevated, raising questions
around the sustainability of the company's capital structure.
KEY RATING DRIVERS
Operating Challenges in 2022: Party City largely recovered from
pandemic pressures in 2021, with revenue rebounding to $2.2 billion
and Fitch-defined EBITDA growing to around $240 million from close
to breakeven in 2020. Despite the strong rebound in 2021, a
challenging macroeconomic backdrop is leading to reduced demand in
some of Party City's customer segments, and Fitch expects its
revenue will decline to around $2.1 billion in 2022. Revenue could
return to low single digit growth beginning in 2023, assuming some
of Party City's recent topline initiatives are successful.
The company is also facing margin pressure from rising helium costs
as well as rising supply chain and inventory storage costs,
particularly given significant growth in inventory. These
challenges, combined with declining top line sales, could result in
the company's EBITDA declining to around $150 million in 2022.
Assuming Party City can stabilize topline and that some of these
macro pressures subside over the next 12 to 24 months, EBITDA could
rebound to the low $200 million range. This rebound would depend on
both operating environment improvements and successful Party City
execution, including good expense and inventory management.
High Leverage and Negative FCF: Given Fitch's EBITDA and FCF
projections, Party City's adjusted leverage (including rent
capitalized at 8x) could exceed 9x in 2022, driven by declining
EBITDA and higher than previously forecast debt due to increased
borrowings on its ABL revolver. While Fitch expects elevated
leverage in 2022, if the operating pressures facing the company
subside and EBITDA improves toward previous expectations, the
company's leverage could trend toward mid-7x over the medium term.
Fitch expects Party City's FCF will be materially negative in 2022
given weaker than previously expected EBITDA and its inventory
build. The company's FCF was close to breakeven between 2018 and
2021, and Fitch believes Party City could return to those levels
beginning 2023 if operating pressures subside and the company sees
some stabilization of working capital pressures. If the company can
return to positive FCF, it could use proceeds to reduce revolver
drawings and improve its liquidity and leverage profile.
Limited Near-term Refinancing Risk: Following several recent
transactions, including a DDE in 2020 and a refinancing in early
2021, the majority of Party City's capital structure matures in
2025/2026. The company has a small unsecured bond maturity of
approximately $23 in August 2023 that Fitch expects the company
will repay from existing sources of liquidity. This maturity runway
provides Party City several years to execute on initiatives to grow
sales and improve margins before addressing its capital structure
again.
Leading Player in Party Retail Segment: Party City is a leading
retailer of party goods with a global geographic footprint and good
market share, in an albeit fragmented segment, in North America.
While Fitch does not currently project a U.S. recession or
significant consumer slowdown in 2022 or 2023, Fitch expects that a
consumer spending recession would affect the company's low ticket-,
event- and holiday-driven business mix.
During a challenging macroeconomic period, the company could
benefit from trade-down activity, with consumers opting to
celebrate more events at home, but also experience headwinds from
consumers trading down to even lower priced competitors like
discounters. In a low single-digit comps decline scenario, Fitch
expects Party City would be able to manage expenditures and
maintain an adequate liquidity profile.
Parent Subsidiary Linkage: Fitch's analysis includes a strong
subsidiary/weak parent approach between the parent, Party City
Holdings and its subsidiaries Party City Holdco, Anagram Holdings,
LLC and Anagram International Inc. Fitch assesses the quality of
the overall linkage as high, resulting in an equalization of IDRs.
DERIVATION SUMMARY
Party City's 'B-'/Negative IDR and Outlook reflects reduced
earnings expectations in 2022, including EBITDA declining to around
$150 million from approximately $240 million in 2021, and an
uncertain path to EBITDA recovery over the next two to three
years.
Fitch expects that operating challenges combined with inventory
build will lead to a significant cash outflow in 2022, which the
company will fund with drawings on its revolver, yielding adjusted
leverage (adjusted debt/EBITDAR, capitalizing leases at 8x) over
9.0x. Some pressures are transitory, including helium sourcing
issues and increased supply chain costs, and some normalization
could support a rebound in EBITDA above $200 million. However,
sustained operating pressure would result in continued stress on
FCF and adjusted leverage remaining elevated, raising questions
around the sustainability of the company's capital structure and
leading to a downgrade of its ratings.
Similarly rated peers include Rite Aid Corporation (B-/Negative)
and LSF9 Atlantis Holdings, LLC (Victra, B/Positive)
Rite Aid's 'B-' rating reflects ongoing operational challenges,
which have heightened questions regarding the company's longer-term
market position and the sustainability of its capital structure.
Persistent EBITDA declines have led to negligible to modestly
negative FCF and elevated adjusted debt/EBITDAR in the low - to
mid-7.0x range in recent years. The Negative Outlook reflects
accelerating operating weakness beginning 2020, and Fitch's reduced
confidence in the company's ability to stabilize EBITDA around $500
million. These concerns are somewhat mitigated by Rite Aid's ample
liquidity of well over $1 billion, supported by a rich asset base
of pharmaceutical inventory and prescription files, and no notes
maturities before 2025.
Victra's 'B' rating reflects its stable position as the largest
authorized retailer for leading personal communications provider
Verizon Communications Inc. (A-/Stable) and the company's good
long-term operating track record. The rating considers the
company's narrow product and brand focus within the U.S. retail
industry. The Positive Outlook reflects the company's improving
operating trajectory, which, in combination with achievement of
synergies and debt reduction following the GoWireless acquisition,
could yield adjusted leverage declining below 5.5x.
KEY ASSUMPTIONS
-- Fitch expects Party City's 2022 revenue could decline around
2 % (essentially flat in 1H22) to $2.1 billion, despite
nominal benefits from inflation, on some pullback in consumer
spending in the category and possible trade-down to lower
priced competitors such as general merchandisers and
discounters. Revenue could stabilize beginning 2023 and grow
modestly over the next two to three years, assuming some of
Party City's topline initiatives are successful;
-- Fitch expects EBITDA in 2022 to be around $150 million, down
from $240 million in 2021 on lower revenue and higher supply
chain and inventory expenses. Margins could decline to the 7%
range from 11% in 2021. Assuming some rebound in margins over
the next several years, EBITDA could improve toward $200
million by 2024, with margins around 10%;
-- FCF, which averaged around breakeven over the past four years,
could be an outflow of around $200 million in 2022 given
challenged EBITDA and inventory build. Assuming an EBITDA
rebound, FCF could be positive beginning 2023, averaging
around $30 million annually over the next three years. This
projection assumes neutral working capital; the company could
generate incremental cash flow through tightened inventory
management following an expected approximately 50% inventory
build in 2022.
-- Adjusted debt/EBITDAR (capitalizing leases at 8x), which was
7.0x in 2021, could be in the low- to mid-9x range in 2022 on
EBITDA declines and ABL draws to support higher working
capital levels. Assuming an EBITDA rebound above $200 million
and some deployment of FCF toward debt reduction, adjusted
leverage decline toward mid-7x by 2024.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
-- An upgrade could result from EBITDA sustained around $300
million, which, in combination with debt reduction, could
yield adjusted leverage (adjusted debt/EBITDAR, capitalizing
leases at 8x) sustained below 6.0x.
-- An Outlook revision to Stable could result from EBITDA
stabilizing above $200 million, which could yield breakeven to
modestly positive free cash flow and adjusted leverage
(adjusted debt/EBITDAR, capitalizing leases at 8x) sustained
in the mid 7x range.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- A downgrade could result from weaker-than expected results
such as EBITDA sustained below $200 million, yielding limited
FCF, adjusted leverage (adjusted debt/EBITDAR, capitalizing
leases at 8x) elevated near 8.0x and questions about the
sustainability of Party City's capital structure or its
ability to address upcoming maturities without a default.
LIQUIDITY AND DEBT STRUCTURE
As of June 30, 2022, Party City had $39 million in cash and $157
million in availability on its various asset-based revolvers. The
company's primary ABL is a $545 million facility, which matures in
February 2026. In July 2022, the company upsized its ABL facility
size to $562 million from $475 million, including the addition of a
$17 million FILO tranche, which is pari passu to the remaining
facility and amortizes at 5.55% quarterly starting in March 2023.
In 2021, Party City's subsidiary Anagram obtained a $15 million ABL
which matures in May 2024.
The company's debt structure consists of its ABL facilities, which
are limited by a borrowing base comprised mostly of inventory, $750
million of secured notes due February 2026 and $162 million of
secured notes due July 2025. These notes tranches are pari passu
and are secured by most of Party City's remaining assets, with a
second lien on ABL collateral. The company also has $115 million in
outstanding unsecured notes, with $23 million due August 2023 and
the remaining $92 million due August 2026.
Party City subsidiary Anagram, which is Party City's helium balloon
business and generates approximately 10% of Party City's overall
EBITDA, has $119 million in first-lien secured notes due August
2025 and $94 million in second-lien secured notes due August 2026.
Anagram was previously part of the Party City term loan's
collateral package but moved to an unrestricted subsidiary as part
of this transaction.
As part of Fitch's actions, the Long-Term IDRs for Party City's
subsidiaries Party City Holdings Inc., Anagram Holdings, LLC and
Anagram International Inc. have been affirmed at 'B-'.
RECOVERY CONSIDERATIONS
Given the various collateral packages, Fitch has performed separate
recovery analyses for Anagram and the balance of Party City's
businesses.
Party City ex Anagram
Fitch's recovery analysis for Party City is based on a going
concern value of approximately $625 million, versus approximately
$485 million from an orderly liquidation of assets, much of which
is comprised of inventory. Post-default EBITDA was estimated at
around $125 million, which compares with just under $200 million of
EBITDA forecast at Party City ex-Anagram longer term.
The going-concern EBITDA assumes that the company closes around 25%
of its weaker-performing store base, having already closed around
75 or approximately 8% over the past several years as part of a
store optimization process. EBITDA margins could improve toward 9%
on cost reductions. This scenario would yield revenue of
approximately $1.4 billion, down 25% from 2021 levels, and EBITDA
of $125 million.
A multiple of 5.0x to EBITDA is applied, at the midpoint of the
4.0x-6.0x multiple range observed in Fitch retail bankruptcy case
studies given Party City's leadership position in its category
mitigated by concerns regarding weakening category defensibility to
intrusive channels. Together these estimates yield a $625 million
going concern value.
After deducting 10% for administrative claims, the remaining $563
million would lead to outstanding recovery prospects (91%-100%) for
the ABL, which is assumed to be drawn 70% at default. The ABL is
consequently rated 'BB-'/'RR1'. The $750 million of first-lien
secured notes and $162 million of other first-lien secured notes,
which are pari passu, are expected to have below average recovery
prospects (11%-30%), and are thus rated 'CCC+'/'RR5'. Party City's
$115 million of unsecured notes are expected to have poor recovery
prospects (0%-10%) and are thus rated 'CCC'/'RR6'.
Anagram
Fitch's recovery analysis for Anagram is based on a going concern
value of approximately $180 million, versus approximately $45
million from an orderly liquidation of assets, which is comprised
of receivables, inventory and manufacturing assets. Post-default
EBITDA was estimated at around $30 million. This compares to Party
City's indication of approximately $52 million in EBITDA on around
$237 million of revenue for the twelve months ended June 2022.
The $30 million going concern EBITDA represents the scenario of a
loss of some of Anagram's largest retail and distributor customers,
yielding around $150 million in revenue, offset by some expense
management to generate 20% EBITDA margin. Fitch assumes Anagram
could fetch a 6x multiple, near the midpoint of Fitch's consumer
products bankruptcy studies, given the business' strong market
share and relatively stable category over the long term.
After deducting 10% for administrative claims, the remaining $162
million would lead to outstanding recovery prospects (91%-100%) for
the $15 million ABL (assumed 70% drawn) and $119 million first lien
secured notes, the latter of which is rated 'BB-'/'RR1'. The $94
million second lien secured notes would be expected to have average
recovery prospects (31%-50%), and is thus rated 'B'/'RR4'.
ISSUER PROFILE
Party City is the leading party-supply retailer in the U.S., with
759 company-owned stores as of June, e-commerce operations, and a
large wholesale operation that supplies retail operations and third
parties.
SUMMARY OF FINANCIAL ADJUSTMENTS
Adjustments in 2021 included inventory disposal, restructuring
charges and one-time legal and other expenses.
Rating Prior
------ -----
Anagram International Inc. LT IDR B- Affirmed B-
- senior secured LT BB- Affirmed RR1 BB-
- Senior Secured 2nd Lien LT B- Affirmed RR4 B-
Party City Holdco Inc. LT IDR B- Affirmed B-
Party City Holdings Inc. LT IDR B- Affirmed B-
- senior unsecured LT CCC Affirmed RR6 CCC
- senior secured LT BB- Affirmed RR1 BB-
- senior secured LT CCC+ Affirmed RR5 CCC+
Anagram Holdings, LLC LT IDR B- Affirmed B-
- senior secured LT BB- Affirmed RR1 BB-
- Senior Secured 2nd Lien LT B- Affirmed RR4 B-
PRESTIGE HOMECARE: Seeks to Hire S&T Services as Accountant
-----------------------------------------------------------
Prestige Homecare, LLC seeks approval from the U.S. Bankruptcy
Court for the Eastern District of Tennessee to employ S&T Services,
Inc. as its accountant.
The firm will be paid based upon its normal and usual hourly
billing rates and will be reimbursed for its out-of-pocket
expenses.
As disclosed in court filings, S&T Services does not have an
interest adverse to the estate that would disqualify it from
employment as the Debtor's accountant.
The firm can be reached at:
Rusty Whitley
S&T Services, Inc.
5249 Summerlin Commons Blvd. Ste 100
Tel: (239) 334-9191
About Prestige Homecare
Prestige Homecare, LLC is a for-profit limited liability company
formed and organized under Tennessee law and currently conducting
business as an in-home provider of healthcare and companionship
services to patients in the Tennessee, Georgia, and Alabama
Tri-State area.
Prestige Homecare filed a petition under Chapter 11, Subchapter V
of the Bankruptcy Code (Bankr. E.D. Tenn. Case No. 22-11084) on May
23, 2022, listing up to $50,000 in assets and up to $500,000 in
liabilities. Brenda G. Brooks serves as Subchapter V trustee.
Judge Shelley D Rucker presides over the case.
David J. Fulton, Esq., at Scarborough & Fulton and S&T Services,
Inc. serve as the Debtor's legal counsel and accountant,
respectively.
PWM PROPERTY: U.S. Trustee Says Joint Plan Not Confirmable
----------------------------------------------------------
Andrew R. Vara, United States Trustee for Regions 3 and 9, objects
to confirmation of the Joint Chapter 11 Plan of Reorganization of
PWM Property Management LLC and its Debtor Affiliates.
The U.S. Trustee objects to confirmation of the Debtors' Plan to
the extent it includes a provision that allows the closing of the
Debtors' cases without the filing of a motion, as required by Local
Rule 3022-1. The Plan should not be confirmed unless it is modified
to require compliance with Local Rule 3022-1 with respect to the
closure of any of Debtors' cases.
The U.S. Trustee points out that the Debtors' Plan is also not
confirmable because it contains releases of claims held by the
Debtors and their estates without meeting the standards set for
such releases by this Court in In re Washington Mutual, Inc., 442
B.R. 314 (Bankr. D. Del. 2011), In re Zenith Elecs. Corp., 241 B.R.
92 (Bankr. D. Del 1999), and other cases.
Particularly problematic is that the Debtors are releasing numerous
parties, including estate fiduciaries, from claims of fraud,
intentional misconduct and gross negligence, whether known or
unknown.
The U.S. Trustee further objects to confirmation of the Plan
because it includes a provision that wrongly treats the entire
Plan, and all distributions made thereunder, as a settlement of all
claims and interests held by the Debtors' creditors and equity
holders.
About PWM Property Management
PWM Property Management LLC, et al., are primarily engaged in
renting and leasing real estate properties. They own two premium
office buildings, namely 245 Park Avenue in New York City, a
prominent commercial real estate assets in Manhattan's prestigious
Park Avenue office corridor, and 181 West Madison Street in
Chicago, Illinois.
On Oct. 31, 2021, PWM Property Management LLC and its affiliates
sought Chapter 11 protection (Bankr. D. Del. Lead Case No.
21-11445). PWM estimated assets and liabilities of $1 billion to
$10 billion as of the bankruptcy filing.
The cases are pending before the Honorable Judge Mary F. Walrath
and are being jointly administered for procedural purposes under
Case No. 21-11445.
The Debtors tapped White & Case LLP as restructuring counsel; Young
Conaway Stargatt & Taylor, LLP as local counsel; and M3 Advisory
Partners, LP as restructuring advisor. Omni Agent Solutions is the
claims agent.
RENEWABLE ENERGY: Case Summary & 20 Largest Unsecured Creditors
---------------------------------------------------------------
Debtor: Renewable Energy Holdings of Georgia, LLC
375 Industrial Park RD NE
Cartersville, GA 30121
Chapter 11 Petition Date: August 26, 2022
Court: United States Bankruptcy Court
Northern District of Georgia
Case No.: 22-41005
Debtor's Counsel: Cameron M. McCord, Esq.
JONES & WALDEN, LLC
699 Piedmont Avenue NE
Atlanta, GA 30308
Tel: 404-564-9300
Fax: 404-564-9301
Email: info@joneswalden.com
Estimated Assets: $0 to $50,000
Estimated Liabilities: $1 million to $10 million
The petition was signed by Carson Cash King as authorized
representative.
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/KP56IHY/Renewable_Energy_Holdings_of_Georgia__ganbke-22-41005__0001.0.pdf?mcid=tGE4TAMA
REVLON INC: White & Case Updates on Non-Insider Shareholders
------------------------------------------------------------
In the Chapter 11 cases of Revlon, Inc., et al., the law firm of
White & Case LLP submitted an amended verified statement under Rule
2019 of the Federal Rules of Bankruptcy Procedure, to disclose an
updated list of Ad Hoc Group of Non-Insider Shareholders that it is
representing.
On or around July 6, 2022, a group formed by certain non-insider
shareholders engaged White & Case to represent it in connection
with potential transactions with or any restructuring of the
Debtors.
White & Case represents only the Ad Hoc Group of Non-Insider
Shareholders. Each Member of the Ad Hoc Group of Non-Insider
Shareholders is aware of, and has consented to, White & Case's
"group representation" of the Ad Hoc Group of Non-Insider
Shareholders. White & Case does not represent or purport to
represent any individuals or entities other than the Ad Hoc Group
of Non-Insider Shareholders in connection with these chapter 11
cases.
As of Aug. 24, 2022, members of the Ad Hoc Group of Non-Insider
Shareholders and their disclosable economic interests are:
Number of Shares
----------------
Kevin Barnes 10,000
Adam Gui 1,000
Christopher Mittleman 278,945
White & Case submits this Statement out of an abundance of caution,
and nothing herein should be construed as an admission that the
requirements of Bankruptcy Rule 2019 apply to White & Case's
representation of the Ad Hoc Group of Non-Insider Shareholders.
White & Case reserves the right to amend or supplement this
Statement.
Counsel to the Ad Hoc Group of Non-Insider Shareholders can be
reached at:
WHITE & CASE LLP
Thomas E Lauria, Esq.
200 South Biscayne Boulevard, Suite 4900
Miami, FL 33131
Telephone: (305) 371-2700
Facsimile: (305) 358-5744
E-mail: tlauria@whitecase.com
J. Christopher Shore, Esq.
David M. Turetsky, Esq.
WHITE & CASE LLP
1221 Avenue of the Americas
New York, NY 10020
Telephone: (212) 819-8200
Facsimile: (212) 354-8113
E-mail: cshore@whitecase.com
david.turetsky@whitecase.com
- and -
Gregory F. Pesce
WHITE & CASE LLP
111 South Wacker Drive, Suite 5100
Chicago, IL 60606
Telephone: (312) 881-5400
Facsimile: (312) 881-5450
E-mail: gregory.pesce@whitecase.com
A copy of the Rule 2019 filing, downloaded from PacerMonitor.com,
is available at https://bit.ly/3PTSeES
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.
RM NEWMAN LLC: Taps Rosewood Realty Group as Real Estate Broker
---------------------------------------------------------------
RM Newman, LLC seeks approval from the U.S. Bankruptcy Court for
the Eastern District of New York to employ Rosewood Realty Group as
its real estate broker.
The Debtor requires a real estate broker to market for sale its
mixed-use commercial property located at 11-36 31st Ave., Long
Island City, N.Y.
Rosewood will get a commission of 5 percent of the gross sales
price of the property to be paid as a "buyer's premium" by the
purchaser. In the event of a credit bid, the firm will receive a
$50,000 fee and reimbursement of up to $10,000 for work-related
expenses.
As disclosed in court filings, Rosewood is a "disinterested person"
as the term is defined in Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
Rosewood Realty Group
152 W. 57th Street, 5th Floor
New York, NY 10019
Tel: (212) 359-9900
About RM Newman
RM Newman, LLC owns a mixed-use commercial property located at
11-36 31st Ave., Long Island City, N.Y. The property contains five
residential apartments and a ground floor office and store front.
RM Newman sought Chapter 11 bankruptcy protection (Bankr. E.D.N.Y.
Case No. 22-40576) on March 23, 2022. In the petition filed by
Kevin J. Nash, on behalf of the company, RM Newman listed $1
million to $10 million in both assets and liabilities.
Judge Jil Mazer-Marino oversees the case.
Kevin J. Nash, Esq., at Goldberg Weprin Finkel Goldstein, LLP is
the Debtor's counsel.
SBH ENTERPRISES: Taps Lefkovitz & Lefkovitz as Legal Counsel
------------------------------------------------------------
SBH Enterprises, LLC seeks approval from the U.S. Bankruptcy Court
for the Middle District of Tennessee to employ Lefkovitz &
Lefkovitz, PLLC as counsel to handle its Chapter 11 bankruptcy
case.
The firm will be paid at these rates:
Partners $555 per hour
Associates $350 per hour
Paralegals $125 per hour
In addition, the firm will receive reimbursement for its
out-of-pocket expenses.
The retainer is $6,000.
Steven Leftkovitz, Esq., a partner at Lefkovitz & Lefkovitz,
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:
Steven L. Leftkovitz, Esq.
Lefkovitz & Lefkovitz, PLLC
908 Harpeth Valley Place
Nashville, TN 37219
Tel: (615) 256-8300
Fax: (615) 255-4516
Email: slefkovitz@lefkovitz.com
About SBH Enterprises
SBH Enterprises, LLC, filed a petition under Chapter 11, Subchapter
V of the Bankruptcy Code (Bankr. M.D. Tenn. Case No. 22-02347) on
July 27, 2022, disclosing as much as $1 million in both assets and
liabilities. Courtney Hunter Gilmer serves as Subchapter V
trustee.
Judge Marian F. Harrison oversees the case.
The Debtor is represented by Steven L. Leftkovitz, Esq., at
Lefkovitz & Lefkovitz, PLLC.
SCF LLC: Gets OK to Hire Harris Shelton Hanover Walsh as Counsel
----------------------------------------------------------------
SCF LLC received approval from the U.S. Bankruptcy Court for the
Western District of Tennessee to hire Harris Shelton Hanover Walsh,
PLLC as its legal counsel.
The firm's services include:
(a) advising the Debtor regarding its powers and duties in the
management of its property;
(b) assisting the Debtor in the preparation of legal papers;
(c) representing the Debtor in any bankruptcy court proceeding
that seeks the turnover or recovery of its property;
(d) assisting in the formulation, negotiation and confirmation
of a reorganization plan;
(e) assisting in any financial investigation of the Debtor;
(f) representing the Debtor at hearings or matters pertaining
to its affairs;
(g) prosecuting and defending litigation matters and such
other matters that may arise in the Debtor's Chapter 11 case;
(h) advising the Debtor regarding the assumption or rejection
of executory contracts and leases
(i) representing the Debtor in business, financial and legal
matters that may arise during the pendency of its bankruptcy case;
(j) advising on general corporate and litigation issues; and
(k) performing other necessary legal services.
The firm's hourly rates are as follows:
Steven N. Douglass, Attorney $450
Associates $200
Paraprofessionals $100
The firm will be paid a retainer in the amount of $101,110 and will
be reimbursed for out-of-pocket expenses incurred.
Steven Douglass, Esq., a partner at Harris, 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:
Steven N. Douglass, Esq.
Harris Shelton Hanover Walsh, PLLC
40 S. Main Street, Suite 2210
Memphis, TN 38103-2555
Tel: (901) 525-1455
Email: snd@harrisshelton.com
About SCF LLC
SCF, LLC provides integrated logistics and barge transportation
services on the U.S. The company is based in Adamsville, Tenn.
SCF sought protection under Chapter 11 of the U.S. Bankruptcy Code
(Bankr. W.D. Tenn. Case No. 22-10809) on July 27, 2022. In the
petition filed by Doug Blaylock, chief financial officer, the
Debtor listed $1 million to $10 million in assets and $10 million
to $50 million in liabilities.
Judge Jimmy L. Croom oversees the case.
Steven N. Douglass, Esq., at Harris Shelton Hanover & Walsh, PLLC,
is the Debtor's counsel.
SCHAEFERS SERVICE: Sept. 22 Plan & Disclosure Hearing Set
---------------------------------------------------------
On Aug. 21, 2022, Schaefers Service, Inc., filed with the U.S.
Bankruptcy Court for the Western District of Pennsylvania a
Disclosure Statement to accompany Chapter 11 Plan.
On Aug. 22, 2022, Judge Carlota M. Bohm conditionally approved the
Disclosure Statement and ordered that:
* Sept. 12, 2022, is fixed as the last day to serve all
Ballots accepting or rejecting the Plan.
* Sept. 12, 2022, is fixed as the last day to file all
Objections to the Disclosure Statement, and/or Objections to Plan
confirmation.
* Sept. 22, 2022, at 1:30 p.m., is the final hearing on the
Disclosure Statement and Plan confirmation.
A copy of the order dated August 22, 2022, is available at
https://bit.ly/3PMclVq from PacerMonitor.com at no charge.
Counsel for the Debtor:
Edgardo D. Santillan, Esq.
Santillan Law, PC
775 Fourth Street
Beaver, PA 15009
Telephone: (724) 770-1040
Facsimile: (412) 774-2266
Email: ed@santillanlaw.com
About Schaefers Service
Schaefers Service, Inc., filed its voluntary petition for relief
under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Pa. Case No.
21-22537) on Nov. 24, 2021, listing as much as $1 million in both
assets and liabilities. Judge Carlota M. Bohm oversees the case.
Edgardo D. Santillan, Esq., at Santillan Law, PC and Bononi &
Company, P.C., serve as the Debtor's legal counsel and accountant,
respectively.
SOUTH SIDE CONVENIENT: Continued Operations to Fund Plan
--------------------------------------------------------
South Side Convenient Care, Inc., filed with the U.S. Bankruptcy
Court for the District of Nebraska an Amended Plan of
Reorganization for Small Business dated August 23, 2022.
Debtor was formed in 2017 to provide mostly low-income clientele in
the Bellevue Nebraska area with bi-lingual and affordable medical
and urgent care.
Debtor filed for protection under Chapter 11, Subchapter V of the
Bankruptcy Code on March 21, 2022. Debtor filed as a result of
inability to afford a TruSculpt machine it purchased on credit from
Dext Capital given the large amount of payments and the lack of
revenue the machine provided Debtor's operation.
After filing, the relief of debt repayment pressure has allowed
Debtor to operate as normal and Debtor expects sufficient net
profits to make the payments required.
The financial projections show that Debtors will have projected
disposable income of $214,563.40, which is significantly higher
than previously projected in Debtor's initial Plan. The change in
projection is because the prior projection did not accurately
predict an increase in number of patients, which is gradually
increasing due to the successful services of Debtor and reputation
in the community.
Debtor's final payment under this plan is expected to be paid on or
around December 31, 2024. Debtor's net income is expected to grow
annually during the term of the plan, as indicated in the cash flow
projections. This is based on projected income due to Debtor's
anticipated efforts and duration/familiarity within the market.
This Plan of Reorganization proposes to pay creditors of Debtor
from the net income of Debtor in operation of its business as a
restaurant and bar.
Class 3 consists of General Unsecured Creditors and general
unsecured portion of any other claim:
* American Express National Bank. Debtor shall pay the debt in
full at contracted interest rate (19.49% variable) by end of plan
term, December 31, 2024 in at least monthly increments of no less
than $300.00/month, or whatever minimum payment is set by this
Creditor. Debtor shall maintain the repayment of this debt as
current per the terms of the credit agreement.
* Nebraska Department of Revenue. Debtor shall pay the general
unsecured balance ($198.28) in full by December 31, 2022. This
Class is Unimpaired.
Class 4 consists of Equity Interest Holders Jay Senenayaka (50%
shareholder) and Samantha Senenayaka (50% shareholder). Debtor
shall retain equity, after payment of ordinary expenses and
payments pursuant to this plan for the benefit of equity holders.
Debtor shall continue operation of its business and will also
expand marketing efforts to solicit more business in order to fund
this plan and continue its history of positive cash flow.
On confirmation of this Plan, all property of Debtor, tangible and
intangible, including, without limitation, licenses, furniture,
fixtures, and equipment, will revert, free and clear of all claims
and equitable interests except as provided in this Plan, to the
Debtor. Debtor expects to have sufficient cash on hand to make the
payments required during the pendency of this Plan, as earned and
as profit will allow.
A full-text copy of the Amended Plan of Reorganization dated August
23, 2022, is available at https://bit.ly/3Rgi86G from
PacerMonitor.com at no charge.
Debtor's Counsel:
John A. Lentz, Esq.
Lentz Law, PC, LLO
650 J St Ste 215B
Lincoln, NE 68508
Phone: +1 402-421-9676
E-mail: john@johnlentz.com
About South Side Convenient Care
South Side Convenient Care, Inc., sought protection for relief
under Chapter 11 of the Bankruptcy Code (Bankr. D. Neb. Case No.
22-80201) on March 21, 2022, listing $100,001 to $500,000 in both
assets and liabilities. John A. Lentz, Esq. at Lentz Law, PC, LLLC
serves as the Debtor's counsel.
TAURIGA SCIENCES: Delays Form 10-Q Over Regulatory Constraints
--------------------------------------------------------------
Tauriga Sciences, Inc. was unable to file its periodic quarterly
report on Form 10-Q for the period ended June 30, 2022 within the
prescribed time period resulting from certain ongoing regulatory
constraints imposed on companies in its industry, which are
creating a significant financial hardship on the Company at this
time -- that the Company had reasonably anticipated would have been
resolved as of the time of this report, but which remain
unresolved.
As a result, the inherent cost and expense in maintaining the
Company's public reporting obligations under the Exchange Act of
1934, as amended, will prohibit the Company from completing and
obtaining required financial and other information without
unreasonable effort and expense in a timely fashion. The Company
currently plans to regain compliance as soon as reasonably
possible.
About Tauriga
Tauriga Sciences, Inc. -- www.taurigum.com -- is a diversified life
sciences company, engaged in several major business activities and
initiatives. The company manufactures and distributes several
proprietary retail products and product lines, mainly focused on
the Cannabidiol and Cannabigerol Edibles market segment.
Tauriga reported a net loss of $3.63 million for the year ended
March 31, 2021, a net loss of $ $3.03 million for the year ended
March 31, 2020, and a net loss of $1.10 million for the year ended
March 31, 2019. As of June 30, 2021, the Company had $2.76 million
in total assets, $1.50 million in total liabilities, and $1.25
million in total stockholders' equity. As of Sept. 30, 2021, the
Company had $1.98 million in total assets, $2 million in total
liabilities, and a total stockholders' deficit of $27,318.
Lakewood, Co-based BF Borgers CPA PC, the Company's auditor since
2019, issued a "going concern" qualification in its report dated
June 29, 2021, citing that the Company has suffered recurring
losses from operations and has a significant accumulated deficit.
In addition, the Company continues to experience negative cash
flows from operations. These factors raise substantial doubt about
the Company's ability to continue as a going concern.
TIDEWATER MIDSTREAM: S&P Upgrades ICR to 'B' on Refinancing
-----------------------------------------------------------
S&P Global Ratings raised its issuer credit rating on a Calgary,
Alta., Canada-based diversified midstream and oil refining company,
Tidewater Midstream And Infrastructure Ltd. to 'B' from 'CCC'. The
outlook is stable.
The stable outlook reflects S&P's expectation that Tidewater will
continue to demonstrate strong performance, resulting in leverage
of about 3.0x-3.5x in 2022 and 2023.
S&P's 'B' issuer credit rating reflects the completion of the note
refinancing.
On Aug. 16, Tidewater refinanced its C$125 million senior notes and
C$20 million term loan due in the fourth quarter of 2022 with
C$92.5 million in proceeds from an equity issuance and a C$60
million RCF draw. The refinancing allowed the company to avoid
triggering the covenant that would accelerate the maturity of its
C$396 million outstanding RCF to September 2022 from August 2024.
The commodity pricing environment supports Tidewater's underlying
profitability.
During the past six months, the company's key midstream facilities,
Pipestone gas plant and Brazeau River, demonstrated utilization
rates of about 90% and 65%, respectively. Prince George Refinery
utilization exceeded 95% while its refining margin amounted to
about C$100 per barrel. Prince George is one of the two remaining
refineries in British Columbia, and it accounts for virtually all
demand for diesel and gasoline in Prince George. S&P said, "As
such, we expect Tidewater to receive a stable stream of cash flows
from the refinery. We expect this trend to continue and estimate
that the current commodity upcycle will result in a
high-single-digit EBITDA growth rate during this year. We expect
additional EBITDA in the range of C$70 million-C$75 million in 2023
once Tidewater completes its renewable growth projects."
Tidewater's debt maturity in 2024 exposes the company to
refinancing risk.
S&P said, "While we expect stronger credit ratios, with Tidewater's
leverage declining to about 3.5x in 2022 from 4.1x in 2021, its
capital structure maturity remains problematic. The company's
outstanding C$396 million RCF matures in August 2024. If the
facility becomes current, it may negatively affect Tidewater's
liquidity position and result in a lower credit rating. We
anticipate the company to address its 2024 debt maturity before it
becomes current.
"The stable outlook reflects our view that Tidewater will continue
to increase its throughput volumes during the next 12 months due to
a favorable commodity pricing environment and strong demand in its
midstream and refining segments. We expect its adjusted debt to
EBITDA to improve to 3.5x in 2022 and remain at 3x-3.3x in 2023 and
2024.
"We could take a negative rating action if Tidewater's leverage
increased to 4x or above and remained at that level going forward.
This could happen due to lower-than-expected volumes or
debt-financed capital projects. We could also lower our rating if
we anticipated that Tidewater's liquidity could deteriorate.
"We could take a positive rating action if the company extended the
maturity date on its RCF while maintaining leverage below 4x."
ESG credit indicator: E-3, S-2, G-2
Environmental factors are a moderately negative consideration in
S&P's credit rating analysis of Tidewater Midstream and
Infrastructure Ltd. Tidewater operates a network of natural gas
gathering and processing assets, crude transportation assets,
storage facilities, and a crude oil refinery. The company may face
environmental liabilities caused by a potential natural gas
leakage. Its refinery faces the potential for pollution risk and
other environmental incidents. However, Tidewater's renewable
diesel facility will partially offset its environmental costs.
TOP LINE GRANITE: Plan Hearing Deferred Amid Planned Probe
----------------------------------------------------------
Judge Elizabeth D. Katz has entered an order that the Motion of the
United States Trustee to Continue Confirmation Hearing of Top Line
Granite Design Inc. is set for hearing on Sept. 29, 2022 at 12:00
p.m. The hearing will be conducted by Zoom Video Conference.
The Plan confirmation hearing set for Sept. 1, 2022 is canceled and
all voting and objection deadlines are suspended pending further
Court order.
The hearing on the Debtor's motion to obtain post-petition
financing currently set for Sept. 1, 2022 will go forward as
scheduled absent the filing and allowance of a motion to continue.
U.S. Trustee's Motion
The Debtor filed Chapter 11 Plan of Reorganization for Small
Business under Subchapter V on June 24, 2022., and First Amended
Chapter 11 Plan of Reorganization on July 1, 2022. The Court, by
Order dated July 7, 2022, scheduled a hearing on the confirmation
of the Plan for September 1, 2022.
On Aug. 5, 2022, the United States Trustee filed a motion directing
the Subchapter V Trustee to conduct an investigation on the Debtor
and to file a report. By Order dated August 9, 2022, the Court
scheduled the Investigation Motion for hearing Sept. 29, 2022, at
12:00 p.m.
On Aug. 11, 2022, the Debtor requested that the Court reschedule
two hearings from August 19, 2022, to September 29, 2022, to wit,
the hearing on Debtor's motion for use of cash collateral and the
hearing on Debtor's motion for extension of the automatic stay.
The Debtor's rescheduling request was granted -- thus, the Stay
Motion, Cash Collateral Motion, and the Investigation Motion are
all scheduled to be heard 4 weeks after the
Confirmation hearing.
The United States Trustee believes that the outcomes of the
hearings on the Cash Collateral Motion, the Stay Motion, and the
Investigation Motion all have a direct bearing on confirmation of
the Plan. In particular, the outcome of the Investigation Motion
could result in much needed transparency and disclosures not
otherwise available to interested parties and the Court. Should the
Court grant the Investigation Motion, the Subchapter V Trustee will
investigate, among other things, myriad inter-company transfers,
transfers made on behalf of the Debtor's principal, and the newly
created entity doing business out of the Debtor's headquarters.
The Subchapter V Trustee will seek to determine if there are other,
unknown related entities of the Debtor, newly created or otherwise,
which are involved in Debtor's finances. The information gleaned
from the Subchapter V Trustee's investigation, should it be
authorized, will be essential to a determination that the Plan
should be confirmed, and of great assistance to the Court in making
the requisite findings for confirmation.
The United States Trustee therefore moved for a continuation of the
Plan confirmation hearing to date three weeks after the September
hearings on the Cash Collateral Motion, the Automatic Stay, and the
Investigation Motion (or to such other time convenient to the
Court) so that interested parties and the Court have the benefit of
the outcomes of said motions, and to allow time for the Subchapter
V Trustee to conduct his investigation, if authorized by the
Court.
About Top Line Granite Design
Top Line Granite Design Inc. is a manufacturer of cut stone and
stone products. Top Line offers a selections of kitchen granite,
marble and quartz.
Top Line sought protection under Chapter 11 of the U.S. Bankruptcy
Code (Bankr. D. Mass. Case No. 22-40216) on March 25, 2022. In the
petition signed by Edmilson Ramos, president, the Debtor disclosed
up to $10 million in assets and up to $50 million in liabilities.
Judge Christopher J. Panos oversees the case.
Alan L. Braunstein, Esq., at Riemer and Braunstein LLP is the
Debtor's counsel.
TOTAL FIRE: Gets OK to Hire Gerry & Kulm as Bankruptcy Counsel
--------------------------------------------------------------
Total Fire Protection Inc. received approval from the U.S.
Bankruptcy Court for the District of Southern Dakota to hire Gerry
& Kulm Ask, Prof. LLC to serve as legal counsel in its Chapter 11
case.
The firm's services include:
(a) assisting in the preparation and filing of bankruptcy
schedules and legal documents;
(b) initiating or defending adversary proceedings and
contested matters;
(c) negotiating with creditors; and
(d) formulating a Chapter 11 plan and providing other related
legal services.
The firm's attorneys and paralegal will be paid at their hourly
rates (plus sales tax) as follows:
Clair R. Gerry, Attorney $340 per hour
Laura L. Kulm Ask, Attorney $280 per hour
Julie M. Anacker $110 per hour
In addition, the firm will receive reimbursement for necessary
expenses incurred in connection with this representation.
The Debtor paid a retainer to Gerry & Kulm Ask in the amount of
$111,625, which is being held in the firm's trust account.
Clair Gerry, Esq., at Gerry & Kulm Ask, disclosed in court filings
that the firm has no connections with the Debtor and its creditors
or other parties-in-interest in the Chapter 11 case.
The firm can be reached through:
Clair R. Gerry, Esq.
Gerry & Kulm Ask, Prof. LLC
507 West 10th Street
P.O. Box 966
Sioux Falls, SD 57101-0966
Telephone: (605) 336-6400
Facsimile: (605) 336-6842
Email: gerry@sgsllc.com
About Total Fire Protection
Total Fire Protection, Inc. is a leader in fire and life safety
services for corporate and government clients across the United
States. It is based in Brandon, S.D.
Total Fire Protection filed a petition for relief under Subchapter
V of Chapter 11 of the Bankruptcy Code (Bankr. D. S.D. Case No.
22-40224) on Aug. 15, 2022, listing $1 million to $10 million in
both assets and liabilities. Elizabeth M. Lally. has been appointed
as Subchapter V trustee.
Judge Charles L. Nail, Jr. oversees the case.
Clair R. Gerry, Esq., at Gerry & Kulm Ask, Prof. LLC, is the
Debtor's counsel.
TRIPLET LLC: Oct. 19 Plan Confirmation Hearing Set
--------------------------------------------------
On Aug. 21, 2022, Triplet, LLC, filed with the U.S. Bankruptcy
Court for the District of Maryland a Restated Disclosure Statement
with respect to Restated Plan of Reorganization.
On Aug. 23, 2022, Judge Lori S. Simpson approved the Restated
Disclosure Statement and ordered that:
* Sept. 29, 2022 is fixed as the last day for filing written
acceptances or rejections to the Restated Plan.
* Oct. 19, 2022 at 10:00 a.m. is fixed for the hearing on
confirmation of the Restated Plan to take place by
videoconference.
* Sept. 29, 2022 is fixed as the last day for filing and
serving written objections to confirmation of the Restated Plan.
A full-text copy of the order dated August 23, 2022, is available
at https://bit.ly/3e1XjxG from PacerMonitor.com at no charge.
Counsel to the Debtor:
McNamee Hosea, P.A.
Steven L. Goldberg
6411 Ivy Lane, Suite 200
Greenbelt, Maryland 20770
Tel: 301-441-2420
About Triplet LLC
Triplet, LLC, is a privately held company in the food service
industry. Triplet, LLC, doing business as Mamma Lucia Italian
Restaurant, sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. D. Md. Case No. 19-24475) on Oct. 29, 2019. The
petition was signed by Maria Lubrano, authorized representative. At
the time of the filing, the Debtor disclosed assets under $50,000
and liabilities under $10 million. Judge Wendelin I. Lipp is
assigned to the case. The Debtor is represented by Steven L.
Goldberg, Esq. at McNAMEE, HOSEA, JERNIGAN, KIM, GREENAN & LYNCH,
P.A.
TROPICAL DELIGHT: Seeks to Hire Dominic John as Accountant
----------------------------------------------------------
Tropical Delight 1, Inc. seeks approval from the U.S. Bankruptcy
Court for the Middle District of Florida to hire Dominic John, an
accountant practicing in Ocala, Fla.
The Debtor requires an accountant to prepare its monthly financial
statements, profit and loss statements, and other financial
documents required by the Office of the U.S. Trustee.
Mr. John will receive a monthly fee in the amount of $200.
As disclosed in court filings, Mr. John is a "disinterested person"
within the meaning of Section 101(14) of the Bankruptcy Code.
Mr. John can be reached through:
Dominic John
5225 Se 42nd Ct
Ocala, FL 34480
Phone: 352-789-0906
About Tropical Delight 1
Tropical Delight 1, Inc. filed a petition under Chapter 11,
Subchapter V of the Bankruptcy Code (Bankr. M.D. Fla. Case No.
22-01612) on Aug. 14, 2022, listing up to $50,000 in assets and up
to $500,000 in liabilities. Robert Altman serves as Subchapter V
trustee.
Judge Jacob A. Brown oversees the case.
The Debtor tapped Rehan N. Khawaja, Esq., at the Law Offices of
Rehan N. Khawaja, to handle its case, and Dominic John, an
accountant practicing in Ocala, Fla.
TRX HOLDCO: Affiliate Taps Cooper Savas as Accountant
-----------------------------------------------------
Fitness Anywhere, LLC, an affiliate of TRX Holdco, LLC, received
approval from the U.S. Bankruptcy Court for the Central District of
California to employ Cooper Savas, LLC to assist in auditing the
financial statements of its 401(k) Plan.
Cooper Savas will be paid a flat fee of $8,500 for its services.
John Hunter, a partner at Cooper Savas, 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:
John Hunter
Cooper Savas LLC
170 South Main Street, Suite 800
Salt Lake City, UT 84101
Tel: (801) 433-2140
About TRX Holdco
TRX Holdco, LLC and Fitness Anywhere, LLC, doing business as TRX
and TRX Training, provide sporting and athletic goods. Both
companies are based in Newport Beach, Calif.
TRX Holdco and Fitness Anywhere sought protection under Chapter 11
of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Lead Case No.
22-10948) on June 8, 2022. Both listed as much as $50 million in
both assets and liabilities at the time of the filing.
Judge Scott C. Clarkson oversees the cases.
The Debtors tapped Ron Bender, Esq., at Levene, Neale, Bender, Yoo
and Golubchick, LLP as legal counsel and Cooper Savas, LLC as
accountant.
URBAN COMMONS: Court Approves Disclosure Statement
--------------------------------------------------
Judge Ernest M. Robles has entered an order approving the
Disclosure Statement of Urban Commons Gramercy, LLC.
A hearing to consider confirmation of the Plan, is set for Oct. 12,
2022 at 10:00 a.m. (Pacific Time).
Any objection to the confirmation of the Plan must be filed with
the Court and served no later than September 28, 2022.
Oct. 5, 2022 is fixed as the last day on which the Debtor may file
and serve its reply to any opposition to the Confirmation Motion.
The ballot as attached to the Motion is approved. Completed
ballots voting for or against the Plan must be actually received by
counsel for the Debtor on or before Sept. 16, 2022, at 5:00 p.m.
(Pacific Time).
Sept. 21, 2022, is fixed as the last day on which the Debtor must
file and serve a motion for an order confirming the Plan, including
declarations setting forth a tally of the ballots cast with respect
to the Plan, and attaching thereto the Ballots, and setting forth
evidence that the Debtor has complied with all the requirements for
the confirmation of the Plan.
The Solicitation Package must be served on all known creditors and
interest holders and other interested parties, such that interested
parties actually receive the Solicitation Package by no later than
August 29, 2022 by first class United States Mail.
Classes 2-A, 2-B, 2-C, and 3 as defined in the Plan are impaired
and are entitled to vote. No other class is impaired under the
Plan, and therefore no other class is entitled to vote on the
Plan.
Attorneys for the Debtor:
Amy L. Goldman, Esq.
Aviram E. Muhtar, Esq.
Maria L. Garcia, Esq.
LEWIS BRISBOIS BISGAARD & SMITH LLP
633 West 5th Street, Suite 4000
Los Angeles, CA 90071
Telephone: (213) 250-1800
Facsimile: (213) 250-7900
E-mail: Amy.Goldman@lewisbrisbois.com
Aviram.Muhtar@lewisbrisbois.com
Maria.L.Garcia@lewisbrisbois.com
About Urban Commons Gramercy
Urban Commons Gramercy, LLC is a single asset real estate debtor
(as defined in 11 U.S.C. Section 101(51B)). It owns a fee simple
title to a property located in Los Angeles, having a current value
of $13.50 million.
Urban Commons Gramercy filed its voluntary petition for relief
under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Case No.
21-11234) on Feb. 16, 2021, listing $13,500,000 in assets and
$7,238,825 in liabilities. Howard Wu, authorized representative,
signed the petition.
Judge Ernest M. Robles oversees the case.
Lewis Brisbois Bisgaard & Smith, LLP, serves as the Debtor's legal
counsel.
WASHINGTON PRIME: Ex-Investors Sue SVPGlobal Over Squeeze-Out
-------------------------------------------------------------
Mike Leonard of Bloomberg Law reports that former Washington Prime
Group LLC investors filed suit in Delaware against its principal
backers at Strategic Value Partners LLC, claiming they were
ambushed and squeezed out of the real estate investment trust
months after it emerged from bankruptcy.
The lawsuit, made public Thursday, August 18, 2022, also targets
the REIT, certain top executives, and members of its board,
including two appointed by the asset manager -- better known as
SVPGlobal -- which allegedly owned 88% of Washington Prime before
the transaction closed in June.
The 62-page suit, filed by a group of hedge investors, accuses the
board of concealing SVP's unsolicited buyout proposal for four
months.
About Washington Prime Group
Washington Prime Group Inc. (NYSE: WPG) --
http://www.washingtonprime.com/-- is a retail REIT and a
recognized leader in the ownership, management, acquisition and
development of retail properties. It combines a national real
estate portfolio with its expertise across the entire shopping
center sector to increase cash flow through rigorous management of
assets and provide new opportunities to retailers looking for
growth throughout the U.S.
Washington Prime Group and its affiliates sought Chapter 11
protection (Bankr. S.D. Tex. Lead Case No. 21-31948) on June 13,
2021. At the time of the filing, Washington Prime Group's property
portfolio consists of material interests in 102 shopping centers in
the United States totaling approximately 52 million square feet of
gross leasable area. The company operates 97 of the 102
properties.
As of March 31, 2021, Washington Prime Group had total assets of
$4.029 billion against total liabilities of $3.471 billion.
Judge Marvin Isgur oversees the cases.
The Debtors tapped Kirkland & Ellis, LLP and Kirkland & Ellis
International, LLP as lead bankruptcy counsel; Jackson Walker, LLP
as co-counsel; Alvarez & Marsal North America, LLC as restructuring
advisor; Guggenheim Securities, LLC as investment banker; Deloitte
Tax, LLP as tax services provider; and Ernst & Young, LLP as
auditor. Prime Clerk LLC is the claims agent, maintaining the page
http://cases.primeclerk.com/washingtonprime
SVPGlobal, the Debtors' lender, tapped Davis Polk & Wardwell, LLP
and Evercore Group, LLC as its legal counsel and investment banker,
respectively.
The U.S. Trustee for Region 6 appointed an official committee of
unsecured creditors in the Debtors' cases on June 25, 2021.
Greenberg Traurig, LLP and FTI Consulting, Inc. serve as the
committee's legal counsel and financial advisor, respectively.
On July 15, 2021, the U.S. Trustee appointed an official committee
of equity security holders. The equity committee tapped Porter
Hedges, LLP and Brown Rudnick, LLP as legal counsel; Province, LLC,
as financial advisor; and Newmark Knight Frank Valuation &
Advisory, LLC as real estate appraiser and valuation advisor.
WYOTRANS LLC: Cash Flow Operations to Fund Plan Payments
--------------------------------------------------------
Wyotrans, LLC, filed with the U.S. Bankruptcy Court for the
District of Arizona a Plan of Reorganization under Subchapter V
dated August 23, 2022.
The Debtor is a National trucking company that utilizes long and
short term rentals of tractors and trailers to move goods
throughout the United States.
Prior to filing bankruptcy one of the units Wyotrans leased from
Penske was involved in a single vehicle accident. The insurance
company authorized the utilization of a towing company to remove
the wreckage. The towing company asserted a charge of over
$100,000.00 which Penske readily paid. Penske then sought
reimbursement from Wyotrans and when Wyotrans was unable to provide
such payment, Penske threatened to seize the leased and/or rented
units. This cause Wyotrans to seek the protection of Chapter 11.
This Plan of Reorganization proposes to pay the creditors of the
Debtor from its cash-flow operations.
Non-priority, non-insider unsecured creditors holding allowed
claims will receive distributions based upon Debtor's projected net
disposable income over a period not to exceed a 60 month term.
Class 5 consists of Unsecured Priority Tax Claim of the Internal
Revenue Service. The Internal Revenue Service ("IRS") shall have a
priority unsecured claim in 6 the amount of $796.18. The Debtor
disputes that said returns were not filed or, even required to be
filed and will work with its accountant or bookkeeper to resolve
the issue. Until such time as these matters are resolved, the Plan
will provide for the amount asserted by the taxing agency. This
priority amount shall be paid no later than 30 days after the
Distribution Date of the Plan.
Class 6 consists of Unsecured Priority Tax Claim of the Oregon
Department of Transportation. The Oregon Department of
Transportation ("ODOT") shall have a priority unsecured claim in
the amount of $4,563.64 with interest at 12% per annum. Said claim
shall be paid at the rate of $405.47 per month for months 1 through
11 and $405.53 for month 12. The first payment shall be due on the
Distribution date.
Class 7 consists of Non-insider Allowed Unsecured Claims. All non
insider allowed and approved claims under this Class shall be paid
their allowed claims from all funds available for distribution as
set forth in the Disbursement Schedule. The projected dividend is
to be paid over a period of 38 months, commencing in Month 1 of the
Plan. The allowed unsecured claims total $584,311.46.
Class 8 consists of Equity Interest Holders/ Debtor's Interest.
Equity Holder shall retain its shareholder/membership interest in
the Debtor and the Debtor shall retain all legal and equitable
interest in assets of this estate as all reconciliation issues have
been met. Estate property shall not vest in the Debtor at
confirmation.
This is a 60 month Plan with a total projected Plan yield of
$724,996.77. The total projected yield includes payment of
Administrative Claimants.
A full-text copy of the Plan of Reorganization dated August 23,
2022, is available at https://bit.ly/3TkHlia from PacerMonitor.com
at no charge.
Attorney for Debtor:
Allan D. NewDelman, Esq.
ALLAN D. NEWDELMAN, P.C.
80 East Columbus Avenue
Phoenix, Arizona 85012
(602)264-4550
anewdelman@adnlaw.net
About WYOTRANS LLC
WYOTRANS LLC, doing business as National Freight Carriers, is a
U.S. Department of Transportation-registered motor carrier.
WYOTRANS, LLC, sought protection under Subchapter V of Chapter 11
of the U.S. Bankruptcy Code (Bankr. D. Ariz. Case No. 22-03353) on
May 25, 2022. In the petition filed by Michelle Allen, as managing
member, WOTRANS LLC listed estimated assets between $100,000 and
$500,000 and estimated liabilities between $500,000 and $1
million.
The case is assigned to the Honorable Bankruptcy Judge Daniel P.
Collins.
Allan D. Newdelman PC, is the Debtor's counsel.
Jennifer A. Giaimo has been appointed as Subchapter V trustee.
[^] BOND PRICING: For the Week from August 22 to 26, 2022
---------------------------------------------------------
Company Ticker Coupon Bid Price Maturity
------- ------ ------ --------- --------
Accelerate
Diagnostics Inc AXDX 2.500 80.750 3/15/2023
Ahern Rentals Inc AHEREN 7.375 76.603 5/15/2023
Ahern Rentals Inc AHEREN 7.375 77.043 5/15/2023
Ameren Illinois Co AEE 2.700 99.976 09/01/2022
Assertio Holdings Inc ASRT 13.000 62.582 1/31/2024
Avaya Holdings Corp AVYA 2.250 34.800 6/15/2023
BPZ Resources Inc BPZR 6.500 3.017 03/01/2049
Basic Energy
Services Inc BASX 10.750 8.000 10/15/2023
Basic Energy
Services Inc BASX 10.750 15.000 10/15/2023
Bed Bath & Beyond Inc BBBY 3.749 34.661 08/01/2024
Buckeye Partners LP BPL 6.375 81.695 1/22/2078
Buffalo Thunder
Development
Authority BUFLO 11.000 56.118 12/09/2022
Diamond Sports Group
LLC / Diamond
Sports Finance Co DSPORT 5.375 19.112 8/15/2026
Diamond Sports Group
LLC / Diamond Sports
Finance Co DSPORT 6.625 9.335 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 5.375 19.588 8/15/2026
Diamond Sports Group
LLC / Diamond Sports
Finance Co DSPORT 6.625 9.531 8/15/2027
Diamond Sports Group
LLC / Diamond Sports
Finance Co DSPORT 5.375 19.121 8/15/2026
Diamond Sports Group
LLC / Diamond Sports
Finance Co DSPORT 5.375 19.246 8/15/2026
Diebold Nixdorf Inc DBD 8.500 63.220 4/15/2024
EnLink Midstream
Partners LP ENLK 6.000 77.910 N/A
Energy Conversion
Devices Inc ENER 3.000 7.875 6/15/2013
Energy Transfer LP ET 6.250 83.500 N/A
Envision
Healthcare Corp EVHC 8.750 33.303 10/15/2026
Envision
Healthcare Corp EVHC 8.750 33.471 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 67.739 7/15/2023
Exela Intermediate
LLC / Exela
Finance Inc EXLINT 11.500 31.805 7/15/2026
Exela Intermediate
LLC / Exela
Finance Inc EXLINT 10.000 67.739 7/15/2023
Federal Home
Loan Banks FHLB 0.060 99.780 09/01/2022
Fidelity National
Financial Inc FNF 5.500 99.876 09/01/2022
Ford Motor Co F 9.000 112.224 4/22/2025
GNC Holdings Inc GNC 1.500 0.756 8/15/2020
GTT Communications GTTN 7.875 8.250 12/31/2024
GTT Communications GTTN 7.875 7.601 12/31/2024
JPMorgan Chase & Co JPM 4.625 91.945 N/A
Lannett Co Inc LCI 7.750 33.088 4/15/2026
Lannett Co Inc LCI 4.500 29.569 10/01/2026
Lannett Co Inc LCI 7.750 33.369 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 10.458 1/15/2033
MBIA Insurance Corp MBI 13.772 10.458 1/15/2033
Morgan Stanley MS 1.800 78.032 8/27/2036
O'Reilly Automotive ORLY 3.800 99.901 09/01/2022
OMX Timber Finance
Investments II LLC OMX 5.540 0.783 1/29/2020
OSI Systems Inc OSIS 1.250 99.900 09/01/2022
Party City Holdings PRTY 6.125 71.027 8/15/2023
Patriot National
Bancorp Inc PNBK 6.250 72.831 6/30/2028
Patriot National
Bancorp Inc PNBK 6.250 72.831 6/30/2028
Plains All American
Pipeline LP PAA 6.125 85.250 N/A
Renco Metals Inc RENCO 11.500 24.875 07/01/2003
Revlon Consumer
Products Corp REV 6.250 10.250 08/01/2024
Sears Holdings Corp SHLD 6.625 6.471 10/15/2018
Sears Holdings Corp SHLD 8.000 1.913 12/15/2019
Sears Holdings Corp SHLD 6.625 6.471 10/15/2018
Sears Roebuck
Acceptance Corp SHLD 7.000 1.363 06/01/2032
Sears Roebuck
Acceptance Corp SHLD 6.750 1.394 1/15/2028
Sears Roebuck
Acceptance Corp SHLD 6.500 1.318 12/01/2028
Sears Roebuck
Acceptance Corp SHLD 7.500 1.064 10/15/2027
Shift Technologies SFT 4.750 29.750 5/15/2026
Southwest Airlines Co LUV 4.750 100.348 05/04/2023
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
United Airlines
2014-2 Class B
Pass Through Trust UAL 4.625 99.194 09/03/2022
UpHealth Inc UPH 6.250 33.000 6/15/2026
Virginia Electric
and Power Co D 3.450 99.894 09/01/2022
Vroom Inc VRM 0.750 26.000 07/01/2026
Wayfair Inc W 0.375 99.298 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 54.000 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.
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Each Tuesday edition of the TCR contains a list of companies with
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then-ending.
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*********
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
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Pennsylvania, USA, and Beard Group, Inc., Philadelphia, Pa., USA.
Randy Antoni, Jhonas Dampog, Marites Claro, Joy Agravante,
Rousel Elaine Tumanda, Joel Anthony G. Lopez, Psyche A. Castillon,
Ivy B. Magdadaro, Carlo Fernandez, Christopher G. Patalinghug, and
Peter A. Chapman, Editors.
Copyright 2022. All rights reserved. ISSN: 1520-9474.
This material is copyrighted and any commercial use, resale or
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