/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/230203.mbx T R O U B L E D C O M P A N Y R E P O R T E R Friday, February 3, 2023, Vol. 27, No. 33 Headlines 106 WEBSTER: Seeks to Hire Gary W. Cruickshank as Legal Counsel 1933 ASSOCIATES: Court Confirms Reorganization Plan 1ST HOSPITALITY: Proposes Sale of All or Substantially All Assets 2123 PARTNERS:Court Confirms Reorganization Plan 225 BOWERY: Court OKs Interim Cash Collateral Access 425 MARCY AVENUE: Seeks to Hire Rachel S. Blumenfeld as Counsel ACER THERAPEUTICS: Amends SWK Credit Pact to Get Additional Loan ADAPTIVE IDENTITY: Seeks to Hire Frazee Law Group as Counsel AEARO TECHNOLOGIES: Committee Taps GlassRatner as Financial Advisor AEARO TECHNOLOGIES: Tort Committee Taps Proteus Discovery Group ALEXANDER CUSTOM: Unsecured Creditors to Split $100K in Plan ALTISOURCE PORTFOLIO: Works With Guggenheim as Debt Maturities Near AMERICANAS S.A.: Seeks Chapter 15 Bankruptcy Protection ARETE REHABILITATION: Wins Cash Collateral Access Thru March 15 ASTROTECH CORP: Appoints Bob McFarland to Board of Directors BACKYARD WORKROOM: $500K Sale of Trademarks to Sustainable Approved BIOSTAGE INC: CEO OKs Reduction of Cash Portion in Annual Salary BLOCKFI INC: Says Bonuses Should Be Okayed to Retain Talents BLUE STAR: Signs Supply Agreement With Just Food BON WORTH: Seeks to Hire Morrison-Tenenbaum as Legal Counsel CAVALIER PHARMACY: Court OKs Cash Collateral Access Thru March 2 CC HILLCREST: $21.35MM Sale of Hillcrest Apartments to Granite OK'd CENTERPOINTE HOTELS: Court OKs Cash Collateral Access Thru Feb 9 CHRIS PETTIT: Trustee Selling San Antonio Property for $589K CINEWORLD GROUP: Regal Closes 2 South Florida Movie Theaters CLEVELAND INTEGRITY: Wins Court OK of $13MM DIP Loan from Owl Rock COAL NETWORK: Proposed Sale of Assets to Branham & Baker Approved COOPER-STANDARD HOLDINGS: S&P Upgrades ICR to 'CCC+', Outlook Neg. COPPER REALTY: U.S. Bank Says Disclosure Statement Insufficient CS GROUP: Sale of Galveston Property to Luxway Winnie Approved DAKTRONICS INC: Adds Conventional Provisions to Bylaws DEL MAR RACE: Fitch Affirms BB- Rating on $35.7M 2015 Revenue Bonds DOT DOT SMILE: Court OKs Deal on Cash Access Thru April 4 E-BOX LLC: Proposes Sale of Business Assets, Free & Clear of Liens EAGLE DUNES OWNERS: U.S. Trustee Unable to Appoint Committee EAGLE VALLEY: Unsecureds to Split $50K in Subchapter V Plan ELAINE PALASOTA: Selling Two College Station Properties for $870K EQUESTRIAN SPIRITS: Unsecureds to Split $35K in Subchapter V Plan EW CAPITAL: Blue Box Buying College Park Property for $150K FTX GROUP: Company, UCC Oppose Independent Examiner Probe GAME COURT: Wins Cash Collateral Access on Final Basis GENESIS GLOBAL: Seeks More Than $20 Million from Roger Ver GIGAMONSTER NETWORKS: U.S. Trustee Appoints Creditors' Committee GRANDE OAK: Voluntary Chapter 11 Case Summary GREER TRANSPORT: Seeks to Hire Richard A. Perry as Legal Counsel H.B. FULLER: S&P Rates $800MM First-Lien Secured Term Loan 'BB+' HEADQUARTERS INVESTMENTS: U.S. Trustee Unable to Appoint Committee HERITAGE POWER: Davis Polk Advises GenOn, SVP in Restructuring HERO NUTRITIONALS: One Morgan Says Plan Not Feasible HUBBARD RADIO: S&P Alters Outlook to Negative, Affirms 'B-' ICR IKON WEAPONS: Wins Cash Collateral Access Thru Feb 23 INFINERA CORP: BlackRock Has 7.3% Stake as of Dec. 31 INTEGRATED NANO-TECHNOLOGIES: Taps Compass as Investment Banker IRREGULAR MIKES: Feb. 9 Deadline Set for Panel Questionnaires ISMAEL VARGAS: Feb. 9 Deadline Set for Panel Questionnaires JASON'S HAULING: Ritchie Bros. Buying Vehicles for $955K JESS HALL'S: Proposes to Sell Equipment to GWH-1 for $5K JOSEPH SEVERINO: Sabata Buying Park Ridge Property for $865K JUMBA LLC: Proposed Sale of 3 Constructed Homes in Alvarado Granted KOPIN CORP: Chief Technology Officer Resigns KURNCZ FARMS: Debtor, Creditor Fine-Tune Rival Plans LEARFIELD: Company, Creditors Tap Restructuring Advisors LLM INTERNET: Voluntary Chapter 11 Case Summary LONGRUN P.B.C: Files Emergency Bid to Use Cash Collateral LUCCI RESTAURANT: Unsecureds Will Get 2.95% of Claims over 5 Years LUXE SPACES: Armistead Long Named Subchapter V Trustee MALAGA DINER: Voluntary Chapter 11 Case Summary MALAGA RE HOLDINGS: Voluntary Chapter 11 Case Summary MANZELLA PROPERTIES: Court Okays Appointment of Chapter 11 Trustee MARCH ON HOSPITALITY: Patel Buys Hotel & Related Property for $5.5M MARTIN MIDSTREAM: Extends Credit Facility Maturity to February 2027 MARTIN MIDSTREAM: Prices Offering of $400M Senior Secured Notes MEND CORRECTIONAL: Crow Wing Buying Copyrighted Forms for $10K MERCURITY FINTECH: Onestop Replaces Shanghai Perfect as Auditor META MEDIA: Case Summary & 20 Largest Unsecured Creditors MIA PROCESSING: Seeks to Hire Gregory K. Stern as Legal Counsel MIDWEST OVERNITE: Selling 2022 GMC/SIERRA Pickup Truck for $68K MORA HOUSE: Seeks to Hire Altman Brothers as Real Estate Broker MOVIA ROBOTICS: Court OKs Cash Collateral Access Thru Feb 28 MUSCLEPHARM CORP: Committee Taps Larson & Zirzow as Nevada Counsel MUSCLEPHARM CORP: Committee Taps Pachulski as Bankruptcy Counsel MYOMO INC: Appoints Yitzchak Jacobovitz as Director NANTASKET MANAGEMENT: Seeks Cash Collateral Access NEW ORLEANS CREMATION: Taps Robert L. Marrero as Legal Counsel NEWBRIDGE ON THE CHARLES: Fitch Affirms IDR at BB+, Outlook Stable NEXTPLAY TECHNOLOGIES: Completes Separation of NextTrip Group NINE ENERGY: Completes Public Offering of $300M Worth of Units NINE ENERGY: S&P Upgrades ICR to 'CCC+' Following Refinancing NORRENBERNS FOODS: $600K Sale of Mascoutah Property to Dove Granted PARTY CITY: Seeks to Hire Moelis & Company as Investment Banker PARTY CITY: Shareholders Lobby to Push Assets Sale in Bankruptcy PERFORMANCE POWERSPORTS: Gets Approval to Tap Omni as Claims Agent PERFORMANCE POWERSPORTS: U.S. Trustee Appoints Creditors' Panel PHILLIP GRAHAM WILSON: $653K Sale of St. Augustine Property OK'd PRESCOTT BREWING: Auction of Remaining Assets via New Mill OK'd PROPERTY HOLDERS: Proposed Sale of Cedar Rapids Property Approved RAND PARENT: Fitch Assigns 'BB' LongTerm IDR, Outlook Stable REALMARK MARINA: Seeks to Hire Hancock Askew & Co as Accountant REVLON INC: Hair Relaxer Claimants Say Disclosures Insufficient RIOT PLATFORMS: Terminates Chief Commercial Officer ROCK RIDGE: Case Summary & 20 Largest Unsecured Creditors ROCKLEY PHOTONICS: NYSE Suspends Trading of Shares SACRAMENTO COUNTY HOUSING: S&P Cuts Revenue Bond Rating to 'B+' SINTX TECHNOLOGIES: Plans to Offer 1.7 Million Units SINTX TECHNOLOGIES: Shares Prelim Q4, Full Year 2022 Revenue Update SIXTH AVE RETAIL: Foreclosure Sale for 6th Avenue Property Set SMILE HOMECARE: Seeks Access to US Med's Cash Collateral SONOMA PHARMACEUTICALS: Signs Distribution Agreement With Daewoong STARRY GROUP: Ends Deal with AEP Ventures, Cuts 24% of Workforce SUMMIT LLC: Unsecured Creditors to Get 100% w/o Interest in 2025 SUPERIOR REAL ESTATE: Ben Waggoner Offers $37.5K for Assets SUZUKI CAPITAL: Court Confirms Second Amended Plan THOMAS KUTRUBES: Gelman Buying Costa Rica Property for $12K TITLE PIPE: Unsecureds Owed $2.9-Mil. to Get 6% Under Plan TRADITION BREWING: Unsecureds Will Get 10% in Subchapter V Plan TRANSOCEAN LTD: 0.5% Exchangeable Senior Bonds Delisted From NYSE TRANSOCEAN LTD: Awarded $392M Contract for Dhirubhai Drillship TRANSOCEAN LTD: Unit Inks Indenture Governing Existing Notes TRAYLOR CHATEAU: Court Okays Appointment of Chapter 11 Trustee TREASURE ISLAND: U.S. Trustee Unable to Appoint Committee TROPICAL DELIGHT: Unsecured Creditors to Get 6.5% in 3 Years UNCLE DAN'S TIRE: Court OKs Cash Collateral Access Thru Feb 19 UNITED FURNITURE: Court Okays Appointment of Chapter 11 Trustee UNITED TALENT: S&P Rates New $250MM Incremental Term Loan 'B+' VELOCIOUS DELIVERY: Wins Access to Cash Collateral Thru Mar 20 VOLUNTEER ENERGY: Unsec. Creditors Get 9.5% to 45.7% in Plan VTV THERAPEUTICS: Selects Elizabeth Keiley as EVP, General Counsel W&T OFFSHORE: Closes $275 Million Senior Second Lien Notes Offering WB MAINTENANCE: 3 Inactive Debtors Submit Plan Disclosures WORLEY CHIROPRACTIC: March 7 Plan & Disclosure Hearing Set XBRIDGE LLC: Creditor Seeks Chapter 11 Trustee Appointment [*] David Castleman Joins Otterbourg as Member in Bankruptcy Dep't [^] BOOK REVIEW: The Luckiest Guy in the World ********* 106 WEBSTER: Seeks to Hire Gary W. Cruickshank as Legal Counsel --------------------------------------------------------------- 106 Webster, LLC seeks approval from the U.S. Bankruptcy Court for the District of Massachusetts to hire the Law Office of Gary W. Cruickshank. The Debtor requires legal counsel to: a. assist in the formulation and presentation of a Chapter 11 plan of reorganization and disclosure statement; b. advise the Debtor as to its duties and responsibilities; C. perform other legal services as may be required during the course of the Debtor's Chapter 11 case. The firm received a retainer in the amount of $6,738. As disclosed in court filings, the Law Office of Gary W. Cruickshank does not represent any interest adverse to the Debtor or the estate in the matters upon which the firm is to be engaged. The firm can be reached through: Gary W. Cruickshank, Esq. Law Office of Gary W. Cruickshank 21 Custom House Street, Suite 920 Boston, MA 02110 Tel: 617-330-1960 Email: gwc@cruickshank-law.com About 106 Webster 106 Webster, LLC operates in the residential building construction industry. The company is based in Boston, Mass. 106 Webster filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Mass. Case No. 23-10029) on Jan. 11, 2023, with $1 million to $10 million in both assets and liabilities. Jaime Melissa Cooper, manager, signed the petition. Judge Christopher J. Panos presides over the case. Gary W. Cruickshank, Esq., at the Law Office of Gary W. Cruickshank represents the Debtor as counsel. 1933 ASSOCIATES: Court Confirms Reorganization Plan --------------------------------------------------- Judge Jil Mazer-Marino has entered an order approving the Disclosure Statement and confirming the Second Amended Plan of Reorganization of 1933 Associates, LP. That the automatic stay under Section 362 of the Bankruptcy Code is modified to the extent necessary to implement the Plan including to allow the Debtor to file all papers necessary to discharge Odin as receiver of the Debtor's properties. Notwithstanding any provision in the Plan or the Confirmation Order, the City of Philadelphia/School District of Philadelphia shall retain all liens on the Debtor's properties until paid in full. The Reorganized Debtor shall file post-confirmation status and disbursement reports with the Court (until the closing of the case by means of a final decree, conversion, or dismissal, whichever happens earlier) by the 20th day after conclusion of the relevant reporting quarter using the forms promulgated in line with 28 C.F.R. s 58.8. The Plan complies with the applicable provisions of the Bankruptcy Code thereby satisfying Section 1129(a)(1) of the Bankruptcy Code. The Debtor has proposed the Plan in good faith and not by any means forbidden by law, thereby satisfying section 1129(a)(3) of the Bankruptcy Code. In determining that the Plan has been proposed in good faith, the Court has examined the totality of the circumstances surrounding the filing of the Chapter 11 Case, the Plan itself and the process leading to its formulation. The Debtor filed the Chapter 11 Cases and proposed the Plan with legitimate and honest purposes including, the maximization of value to creditors. The Debtor's good faith is evident from the facts and the record of the Chapter 11 Case, the Disclosure Statement and the record of the Confirmation Hearing and other proceedings held in the Chapter 11 Case. The Plan is feasible. The Debtor has demonstrated that, on and after the Effective Date, they will have the ability to meet its financial obligations under the Plan. As required by Section 1129(a)(11) of the Bankruptcy Code, confirmation of the Plan is not likely to be followed by the liquidation or the need for further financial reorganization of the Debtor. About 1933 Associates 1933 Associates LP, a company that is primarily engaged in renting and leasing real estate properties, filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 21-42981) on Nov. 30, 2021, listing $3,021,000 in total assets and $1,547,467 in total liabilities. Affiliate 2123 Partners, LP, also signed the Chapter 11 petition (Bankr. E.D.N.Y. Case No. 21-42983). Corey M. Berman, sole partner, signed the petitions. Judge Jil Mazer-Marino oversees the cases. Rosenberg, Musso & Weiner, LLP, serves as the Debtors' counsel. 1ST HOSPITALITY: Proposes Sale of All or Substantially All Assets ----------------------------------------------------------------- 1st Hospitality, LLC, asks the U.S. Bankruptcy Court for the District of Nebraska to approve the sale of all or substantially all assets, including the hotel and its contents located at its investment properties located at 117 Cody Ave., in Alliance, Nebraska 69301. As with millions of businesses throughout the United States in the past three years, the COVID-19 epidemic has taken its toll on the Debtor's operations. During the Pandemic, it unsurprisingly saw a decrease in revenues and occupancy rates, though it did not see a proportionate reduction in its debt service obligations. Following consultation with Unity Bank, the Debtor's senior lender, the Debtor has reached the conclusion that it is in the interests of the Debtor, its estate, and the creditors thereof, to sell the Property described. To that end, it sought and retained Leisure Real Estate Advisors, LLC, an entity based in Lenexa, Kansas to market and sell its assets. The Debtor will be seeking to employ Leisure pursuant to Section 327 of the Bankruptcy Code. The Debtor proposes to sell the Property. At this time, it has not identified a specific buyer of assets. During the marketing process, and in consultation with the various creditor constituencies (as needed), the Debtor may identify an acceptable purchase offer from a party interested in purchasing the Property. In the event it selects a purchase agreement for execution, it will file an appropriate motion with the Court to approve any sale on a final basis following the supplementation to the Motion related to the buyer, the sale process, and the terms of sale. As such, the Debtor is not, by the Motion, seeking authority or permission to sell the Property to any particular person or entity on a final, non-reviewable basis at this time. The proceeds realized from any sale of assets will be used to first reduce the Debtor's secured creditors. At this time, and until a sale occurs, the Debtor cannot reasonably state or describe the extent to which the proceeds of sale will be used to benefit each class of creditors in the Chapter 11 Case, other than to submit that a reduction in secured debts leaves open the possibility of distributions to priority and unsecured creditors. All though the time for filing claims has not yet lapsed in this Chapter 11 Case, extent of the Debtor's liabilities can be briefly described as follows: Creditor Type Security Amount Basis Unity Bank Secured DOT and UCC on all assets $1,136,457.16 Scheduled Northeast Bank Secured DOT and UCC on all assets $424,98 Scheduled Jayant Shan Secured DOT on Real Estate Unknown Scheduled IRS Secured Tax Lien $56,241.80 Claim IRS Priority None $122,104.73 Claim IRS Unsecured None $40,766.47 Claim Box Butte Secured Tax Lien $203.07 Claim County Treasure Nebraska Dep't. Priority None $572.31 Claim of Labor Nebraska DOR Secured Tax Lien $59,707.98 Scheduled Other Secured Secured UCC on All Assets Unknown Scheduled Creditors Other Priority Priority None Unknown Scheduled Creditor Other Unsecured Unsecured None $16,027.96 Scheduled Creditors As this is a sale of all or substantially all the Debtor's assets, there are unlikely to be any assets remaining of any appreciable value following the sale proposed, other than possible causes of action under Chapter 5 of Title 11 of the Bankruptcy Code. The Debtor can project that there will be closing costs, real estate commissions, and other administrative expense claims associated with the sale of the Property and its bankruptcy case, but specific amounts are not available at this time. At this time, the Debtor cannot reasonably determine the amount of taxable income it may realize from the sale. However, it is possible that it will incur taxable income as a result of the sale. The Debtor obtained limited title reports on the Property from Missouri Rive Title. The Debtor will ultimately request authority to convey the Property to the eventual buyer free and clear of all liens, claims, interests, and encumbrances, whether or not such right is reduced to judgment, liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed, undisputed, legal, equitable, secured, or unsecured claims. About 1st Hospitality 1st Hospitality, LLC is the fee simple owner of a real property located at 117 Cody Ave., Alliance, Neb., with a revenue-based valuation of $1.62 million. 1st Hospitality filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Neb. Case No. 22-41002) on Nov. 22, 2022, with $1 million to $10 million in both assets and liabilities. Anupam Dave, authorized member, signed the petition. Judge Thomas L. Saladino oversees the case. The Debtor is represented by Patrick Raymond Turner, Esq., at Turner Legal Group, LLC. 2123 PARTNERS:Court Confirms Reorganization Plan ------------------------------------------------ Judge Jil Mazer-Marino has entered an order approving the Disclosure Statement and confirming the Second Amended Plan of Reorganization of 2123 Partners, LP. The Debtor shall file a notice of occurrence of the Plan's Effective Date on the Court's docket within 3 business days of the Effective Date having occurred and serve a copy on the United States Trustee and all creditors. Notwithstanding any provision in the Plan or this Order, the City of Philadelphia/School District of Philadelphia shall retain all liens on the Debtor's properties until paid in full. The Reorganized Debtor shall file post-confirmation status and disbursement reports with the Court (until the closing of the case by means of a final decree, conversion, or dismissal, whichever happens earlier) by the 20th day after conclusion of the relevant reporting quarter using the forms promulgated in line with 28 C.F.R. s 58.8. The Plan complies with the applicable provisions of the Bankruptcy Code thereby satisfying Section 1129(a)(1) of the Bankruptcy Code. The Plan provides adequate and proper means for the Plan's implementation. The Plan and the Plan Supplement provide adequate and proper means for the Plan's implementation, including, without limitation the allowance of all corporate actions necessary to effectuate the Plan. Thus, the requirements of Section 1123(a)(5) of the Bankruptcy Code are satisfied. Section 1129(a)(10) of the Bankruptcy Code is satisfied as there are no impaired classes of Claims. The Plan is feasible. The Debtor has demonstrated that, on and after the Effective Date, they will have the ability to meet its financial obligations under the Plan. As required by section 1129(a)(11) of the Bankruptcy Code, confirmation of the Plan is not likely to be followed by the liquidation or the need for further financial reorganization of the Debtor. About 2123 Partners 2123 Partners LP, a company that is primarily engaged in renting and leasing real estate properties, filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 21-42983) on Nov. 30, 2021, listing $5,533,000 in total assets and $3,046,630 in total liabilities. Corey M. Berman, sole partner, signed the petition. Judge Nancy Hershey Lord oversees case. Rosenberg, Musso & Weiner, LLP, serves as the Debtor's counsel. 225 BOWERY: Court OKs Interim Cash Collateral Access ---------------------------------------------------- The U.S. Bankruptcy Court for the District of Delaware authorized 225 Bowery LLC to use cash collateral on an interim basis in accordance with the budget. The Debtor requires the use of cash collateral to, among other things, fund the orderly continuation of its business, maintain the confidence of its customers and vendors, pay operating expenses, preserve going-concern value and pay the costs of administering the Chapter 11 Case. As of the Petition Date, the Debtor's only secured lender with an interest in the cash collateral is Bank Hapoalim B.M. The Debtor's loan agreement with BHI closed March 4, 2019, and resulted in $68 million of financing. The BHI Loan is governed by the Loan Agreement dated March 4, 2019, evidenced by a Consolidated, Amended and Restated Promissory Note for up to $80 million, and secured by a Consolidated, Amended and Restated Mortgage, Assignment of Leases and Rents and Security Agreement. The Mortgage was recorded with the NYC Department of Finance Office of the City Register on March 4, 2019, contemporaneously with the closing of the BHI Loan Documents, and BHI filed a UCC-1 with the Delaware Secretary of State on March 14, 2019. BHI, as the Debtor's depository bank, has a perfected security interest in all cash collateral on deposit in accounts maintained with BHI. As of the Petition Date, approximately $79.5 million is owed under the BHI Loan, including $67.1 million in principal, $11.6 million in interest, and $784,986 in late fees. As adequate protection for the use of cash collateral, BHI is granted: a. replacement liens and superpriority administrative claims for any diminution in value of BHI's Prepetition Collateral; b. payment of reasonable and necessary legal fees incurred by BHI subject to standard notice to the Office of the United States Trustee and any committee appointed in the Chapter 11 Case; and c. certain reporting obligations. The Interim Order provides a "Carve-Out" of statutory fees and allowed professional fees of the Debtor and any statutory committee of unsecured creditors appointed pursuant to section 1103 of the Bankruptcy Code which, upon the occurrence of a Carve-Out Event, is subject to a Post-Carve-Out Notice Cap of $1 million. The reasonable fees and expenses incurred by a trustee under section 726(b) are capped at $50,000. The Debtor's right to use cash collateral will automatically terminate without further notice or court proceeding, on the earliest to occur of any of the events set forth below: (a) Failure of the Debtor to abide by the material terms, covenants, and conditions of the Interim Order or the Budget (subject to any Permitted Variances), which failure has not been cured within five days of receipt of written notice by BHI; (b) The use of cash collateral for any purpose not authorized by the Interim Order; (c) The dismissal of the Chapter 11 Case, the conversion of the Chapter 11 Case to a case under Chapter 7 of the Bankruptcy Code, or the appointment in the Chapter 11 Case of a trustee or examiner with expanded powers, without the consent of BHI; or (d) A Court order is entered (other than the Final Order) reversing, staying, vacating, or otherwise modifying in any material respect the terms of the Interim Order. A final hearing on the matter is set for February 22, 2023 at 1:30 p.m. A copy of the order is available at https://bit.ly/3HrfcAV from PacerMonitor.com. About 225 Bowery LLC 225 Bowery LLC owns a micro hotel in Manhattan's Lower East Side. 225 Bowery LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 23-10094) on January 24, 2023. In the petition signed by Nat Wasserstein, chief restructuring officer, the Debtor disclosed up to $100 million in both assets and liabilities. Judge Brendan L. Shannon oversees the case. Alston & Bird LLP and Young Conaway Stargatt and Taylor, LLP, represent the Debtor as legal counsel. Bank Hapoalim B.M., as lender, is represented by Scott S. Balber, Esq., at Herbert Smith Freehills New York LLP. 425 MARCY AVENUE: Seeks to Hire Rachel S. Blumenfeld as Counsel --------------------------------------------------------------- 425 Marcy Avenue, LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York to hire The Law Office of Rachel S. Blumenfeld, PLLC. The Debtor requires legal counsel to: a. give advice with respect to the Debtor's powers and duties and the continued management of its property and affairs; b. negotiate with creditors of the Debtor and work out a plan of reorganization, and take the necessary legal steps in order to effectuate such a plan; c. prepare legal papers; d. appear before the bankruptcy court; e. represent the Debtor, if need be, in connection with obtaining post-petition financing; f. take any necessary action to obtain approval of a disclosure statement and confirmation of a plan of reorganization; and g. perform other necessary legal services. The firm will be paid at these rates: Rachel S. Blumenfeld, Esq. $525 per hour Paraprofessional $150 per hour In addition, the firm will receive reimbursement for its out-of-pocket expenses. The firm received a retainer of $42,038, which includes the filing fee of $1,738. Rachel Blumenfeld, Esq., a partner at the Law Office of Rachel S. Blumenfeld PLLC, disclosed in a court filing that her firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Rachel S. Blumenfeld, Esq. Law Office of Rachel S. Blumenfeld, PLLC 26 Court Street, Suite 2220 Brooklyn, NY 11242 Tel: (718) 858-9600 Email: rblmnf@aol.com About 425 Marcy Avenue 425 Marcy Avenue, LLC owns a property located at 419-427 Marcy Ave., Brooklyn, N.Y., valued at $19.6 million. 425 Marcy Avenue filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 23-40118) on Jan. 16, 2023, with $19,600,000 in assets and $31,033,782 in liabilities. Aron Lebovits, owner of 425 Marcy Avenue, signed the petition. Judge Elizabeth S. Stong oversees the case. The Law Office of Rachel S. Blumenfeld, PLLC represents the Debtor as counsel. ACER THERAPEUTICS: Amends SWK Credit Pact to Get Additional Loan ---------------------------------------------------------------- Acer Therapeutics Inc., on Jan. 30, 2023, entered into a Second Amendment to Credit Agreement which amended that certain Credit Agreement dated as of March 4, 2022, between the Company, the lenders party thereto and SWK Funding LLC, as the agent, sole lead arranger and sole bookrunner, as amended by that certain Amendment to Credit Agreement, dated Aug. 19, 2022. The August 2022 SWK Credit Agreement provided for a senior secured term loan facility for the Company in an aggregate amount of $6.5 million in a single borrowing, which was funded on March 14, 2022. In addition to other provisions, the Second Amendment provides for an additional senior secured term loan to be made to the Company in an aggregate amount of $7.0 million in a single borrowing. Pursuant to the terms of the August 2022 SWK Credit Agreement as amended by the Second Amendment: * Interest Rate: Interest is now calculated on the SWK Loans based on 3-month SOFR instead of 3-month LIBOR, such that the SWK Loans now bear interest at an annual rate of the sum of (i) 3-month SOFR, subject to a 1% floor, plus (ii) a margin of 11%, with such interest payable quarterly in arrears. * Capitalization of Interest: The Company's option to capitalize accrued interest has been extended through May 15, 2023 (instead of the previous Feb. 15, 2023). * Maturity Date: The final maturity date of the Second Term Loan is March 4, 2024, which is the same as the final maturity date of the Original Term Loan. * Exit Fees: The Company has the option to prepay the Second Term Loan in whole or in part. Upon the repayment of the Second Term Loan (whether a voluntary prepayment, an accelerated repayment or at scheduled maturity), the Company must pay an exit fee so that SWK receives an aggregate amount (inclusive of all principal, interest and origination and other fees paid in cash to SWK under the SWK Credit Agreement with respect to the Second Term Loan, but excluding the Third Warrant) equal to the outstanding principal amount of the Second Term Loan (inclusive of PIK Amounts) multiplied by: (i) if the repayment occurs on or before April 15, 2023, 1.18, (ii) if the repayment occurs on or after April 16, 2023 but prior to May 16, 2023, 1.28667, (iii) if the repayment occurs on or after May 16, 2023 but prior to June 16, 2023, 1.39334, and (iv) if the repayment occurs on or after July 16, 2023, 1.5. The Second Amendment did not modify the exit fee applicable to the Original Term Loan. * Minimum Cash Requirement: The Second Amendment revised the liquidity covenant and the Current SWK Credit Agreement now provides that the Company's cash and cash equivalents balance minus the aggregate amount of any accounts payable which are unpaid more than 90 days beyond terms consistent with the Company's practice must not be less than the lesser of (a) the outstanding principal amount of the SWK Loans, or (b) $1.5 million; provided, however, that such $1.5 million amount shall automatically be increased to $3.0 million on the date that is 14 days following the date, if any, that the Company's Board of Directors determines that discontinuation of the development program for the Company's product candidate known as ACER-801 (osanetant) for the treatment of vasomotor symptoms is warranted based upon a serious adverse event or a lack of efficacy at any dose studied in the results from a completed Phase 2a trial (an "Osanetant Failure Date"). * Amortization: Commencing on May 15, 2023, the principal amount of the SWK Loans will amortize at a rate of $1.3 million (previously $650,000) payable quarterly; provided, however, that if the Osanetant Failure Date occurs, the principal amount of the SWK Loans will instead amortize on the 15th day of each month thereafter, at a monthly rate of $600,000, until the Company has issued additional equity or subordinated debt resulting in net cash proceeds of not less than $10.0 million following the Osanetant Failure Date. In connection with the execution of the Second Amendment, the Company issued to SWK an additional warrant to purchase 250,000 shares of the Company's common stock, $0.0001 par value per share, at an exercise price of $2.39 per share. SWK may exercise the Third Warrant in accordance with the terms thereof for all or any part of such shares of Common Stock from the date of issuance until and including March 4, 2029. Amendment of Marathon Convertible Notes On Jan. 30, 2023, the Company entered into an Amendment Agreement with MAM Aardvark, LLC and Marathon Healthcare Finance Fund, L.P. with respect to that certain Secured Convertible Note, dated as of March 4, 2022, in favor of MAM and that certain Secured Convertible Note, dated as of March 4, 2022, in favor of MHFF with an aggregate initial principal amount of $6.0 million and issued pursuant to that certain Secured Convertible Note Purchase and Security Agreement, dated as of March 4, 2022, by and among the Company, MAM, as agent, and the purchasers. Pursuant to the terms of the Marathon Amendment Agreement: * Each Holder agrees to defer payment by the Company of accrued and unpaid interest on their respective Marathon Convertible Note existing on the date of the Marathon Amendment Agreement through March 31, 2023, with such deferred interest, together with any accrued and unpaid interest on each Marathon Convertible Note incurred after March 31, 2023, to be due and payable in cash by the Company on April 15, 2023. * Each Marathon Convertible Note is amended with retroactive effect to delete the concept of a default rate of interest. * Each Marathon Convertible Note is amended to obligate the Company to repurchase such Marathon Convertible Note, on or before the fifth business day (but with five business days' notice) following the earlier of June 15, 2023 or the Company's receipt of gross proceeds of at least $40,000,000 from the issuance or sale of equity, debt and/or hybrid securities, loans or other financing on a cumulative basis since Jan. 1, 2023 (excluding the Second Term Loan), at a price equal to 200% of the outstanding principal amount of such Marathon Convertible Note, together with any accrued but unpaid interest thereon to the date of such repurchase; provided, that if the Company is prohibited from effectuating such repurchases pursuant to a subordination agreement with SWK, the Company shall cause the repurchase to occur on or before the fifth business day following the earlier of such prohibition being no longer applicable or the payment in full of all senior indebtedness described in such subordination agreement, but with five business days' notice; and provided, further, that if such repurchase has not occurred by April 15, 2023, the Buy-Out Percentage shall be increased by 2500 basis points for each 90-day period after April 15, 2023, pro-rated for the actual number of days elapsed in the 90-day period before repurchase actually occurs (for example, if the repurchase occurs on May 30, 2023, the Buy-Out Percentage shall be increased to 212.5%). About Acer Therapeutics Acer Therapeutics Inc. -- http://www.acertx.com-- is a pharmaceutical company focused on the acquisition, development and commercialization of therapies for serious rare and life-threatening diseases with significant unmet medical needs. In the U.S., OLPRUVA (sodium phenylbutyrate) is approved for the treatment of urea cycle disorders (UCDs) involving deficiencies of carbamylphosphate synthetase (CPS), ornithine transcarbamylase (OTC), or argininosuccinic acid synthetase (AS). Acer is also advancing a pipeline of investigational product candidates for rare and life-threatening diseases, including: OLPRUVA (sodium phenylbutyrate) for treatment of various other inborn errors of metabolism, including Maple Syrup Urine Disease (MSUD); ACER-801 (osanetant) for treatment of induced Vasomotor Symptoms (iVMS) and Post-traumatic Stress Disorder (PTSD); EDSIVO (celiprolol) for treatment of vascular Ehlers-Danlos syndrome (vEDS) in patients with a confirmed type III collagen (COL3A1) mutation; and ACER-2820 (emetine), a host-directed therapy against a variety of viruses, including cytomegalovirus, Zika, dengue, Ebola and COVID-19. Acer Therapeutics reported a net loss of $15.37 million for the year ended Dec. 31, 2021, compared to a net loss of $22.89 million for the year ended Dec. 31, 2020. As of Sept. 30, 2022, the Company had $15.32 million in total assets, $27.53 million in total liabilities, and a total stockholders' deficit of $12.21 million. Boston, MA-based BDO USA, LLP, the Company's auditor since 2019, issued a "going concern" qualification in its report dated March 2, 2022, citing that the Company has recurring losses and negative cash flows from operations that raise substantial doubt about its ability to continue as a going concern. ADAPTIVE IDENTITY: Seeks to Hire Frazee Law Group as Counsel ------------------------------------------------------------ Adaptive Identity Systems, LLC seeks approval from the U.S. Bankruptcy Court for the Central District of California to employ Frazee Law Group as its bankruptcy counsel. The Debtor requires legal counsel to: (a) give advice regarding matters of bankruptcy law and the requirements of the Bankruptcy Code and Bankruptcy Rules; (b) represent the Debtor in proceedings and hearings in the court involving matters of bankruptcy law; (c) assist in compliance with the requirements of the Office of the United States trustee; (d) advise the Debtor with respect to its powers and duties in the continued operation of its business and management of property of the estate; (e) assist the Debtor in the administration of the estate's assets and liabilities; (f) prepare legal papers; (g) advise the Debtor concerning the claims of secured and unsecured creditors, prosecution or defense of all actions; and (h) prepare, negotiate, prosecute and attain confirmation of a plan of reorganization. The hourly rates of the firm's counsel and staff are as follows: RoseAnn Frazee, Attorney $400 Denali Purvis, Paralegal $125 In addition, the firm will seek reimbursement for expenses incurred. RoseAnn Frazee, Esq., an attorney at Frazee Law Group, disclosed in a court filing that her firm is a "disinterested person" as that term is defined in section 101(14) of the Bankruptcy Code. The firm can be reached through: RoseAnn Frazee, Esq. Frazee Law Group 5133 Eagle Rock Blvd. Los Angeles, CA 90041 Telephone: (323) 274-4287 Facsimile: (323) 967-7600 Email: roseann@frazeelawgroup.com About Adaptive Identity Systems Adaptive Identity Systems, LLC is engaged in activities related to real estate. The company is based in Temecula, Calif. Adaptive Identity Systems filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Calif. Case No. 23-10034) on Jan. 4, 2023. In the petition filed by its managing member, Hilario D. Gonzales, the Debtor reported up to $50 million in both assets and liabilities. Judge Mark D. Houle oversees the case. RoseAnn Frazee, Esq. at Frazee Law Group serves as the Debtor's counsel. AEARO TECHNOLOGIES: Committee Taps GlassRatner as Financial Advisor ------------------------------------------------------------------- The official committee of tort claimants appointed in the Chapter 11 cases of Aearo Technologies, LLC and its affiliates seeks approval from the U.S. Bankruptcy Court for the Southern District of Indiana to employ GlassRatner Advisory & Capital Group, LLC as its financial advisor. The committee represents holders of tort claims related to the use of faulty respirators manufactured by the Debtors. The committee requires financial advisory services, which include. a. reviewing financial-related disclosures required by the court, including but not limited to, schedules of assets and liabilities, statement of financial affairs, and monthly operating reports; b. reviewing other financial information prepared by the Debtors and its non-debtor affiliates, including, but not limited to, cash flow projections and budgets, business plans, cash receipts and disbursement analysis, asset and liability analysis, and the economic analysis of proposed transactions for which court approval is sought; c. attending, assisting, and preparing materials related to, discovery, depositions, negotiations, mediations, and other relevant meetings, and participating in discussions; d. evaluating any pre-bankruptcy transactions of interest to the committee; e. assisting in the prosecution of committee responses or objections to legal papers filed by the Debtors and other parties; f. assisting in the review or preparation of information and analysis necessary for the confirmation of or objection to a Chapter 11 plan and disclosure statement; g. analyzing and quantifying liabilities related to tort claims, including estimating the number and value of present and future claims; h. developing financial models and procedures related to claims resolution, payments and future trust distributions; and i. providing other advisory or consulting services. The firm will be paid at these rates: Senior Managing Directors & Principals $695 - 850 per hour Directors & Managing Directors $495 - 650 per hour Associates, Senior Associates & Associate Directors $325 - 450 per hour As disclosed in court filings, GlassRatner is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. The firm can be reached through: Mark Shapiro GlassRatner Advisory & Capital Group, LLC 3500 Maple Avenue, Suite 420 Dallas, TX 75219 Direct: (972) 794-1056 Mobile: (303) 482-7218 Email: mshapiro@brileyfin.com About Aearo Technologies Aearo Technologies, LLC -- https://earglobal.com/en -- is a 3M company that designs, manufactures, and sells personal protection equipment. The Indianapolis-based company serves customers worldwide. To address claims related to the Combat Arms Earplugs Version 2, Aearo Technologies and its affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ind. Lead Case No. 22-02890) on July 26, 2022. In the petition filed by John R. Castellano, as authorized signatory, Aearo Technologies listed $1 billion to $10 billion in both assets and liabilities. The Debtors tapped Kirkland & Ellis and Ice Miller, LLP as bankruptcy counsels; McDonald Hopkins, LLC as special counsel; Bates White, LLC as claims valuation consultant; AP Services, LLC as restructuring advisor; and Kroll, LLC as claims agent and noticing agent. John R. Castellano, managing director at AlixPartners LLP, an affiliate of AP Services, serves as the Debtors' chief restructuring officer. Judge Jeffrey J. Graham oversees the cases. The U.S. Trustee for Region 10 appointed two separate official committees to represent tort claimants in the Debtors' cases. The tort claimants assert claims related to the use of faulty combat arms earplugs and respirators manufactured by the companies. The tort committee related to use of combat arms version 2 earplugs tapped Otterbourg P.C. and KTBS Law, LLP as bankruptcy counsels; Rubin & Levin, P.C. as Indiana counsel; Brown Rudnick, LLP and Caplin & Drysdale, Chartered as special counsels; Houlihan Lokey Capital, Inc. as investment banker; Province, LLC as financial advisor; and Stretto, Inc. as information agent. Meanwhile, the other committee is represented by the law firm of Rochelle McCullough, LLP. AEARO TECHNOLOGIES: Tort Committee Taps Proteus Discovery Group --------------------------------------------------------------- The official committee of tort claimants appointed in the Chapter 11 cases of Aearo Technologies, LLC and its affiliates seeks approval from the U.S. Bankruptcy Court for the Southern District of Indiana to employ Proteus Discovery Group, LLC. The tort claimants' committee represents holders of tort claims related to the use of faulty respirators manufactured by the Debtors. The committee requires eDiscovery services from the firm, which include. a. assisting the committee in draft discovery requests related to the production of electronically stored information; b. assisting in the collection and production of electronically stored information that may be requested by the committee; c. assisting the committee and its professionals, including the financial advisor, in creating a claims modeling database; d. providing data hosing services; e. providing forensic analysis including any necessary deposition, trial or other court-related testimony; f. providing document review and project management services; g. participating in in-person and telephonic meetings of the committee, as necessary; h. representing the interests of the committee in proceedings before the bankruptcy court and other courts or tribunals with respect to any potential discovery issues or disputes, as appropriate; and i. other necessary services. In accordance with Appendix B-Guidelines for reviewing fee applications filed by attorneys in larger Chapter 11 cases, Proteus disclosed that: -- it has not agreed to any variations from, or alternatives to, its standard or customary billing arrangements for this engagement; -- none of the professionals included in the engagement vary their rate based on the geographic location of the bankruptcy case; -- the firm has not represented the committee in the 12 months prepetition; and -- as of Jan. 24, the committee has not approved a prospective budget or staffing plan. As disclosed in court filings, Proteus and its members and employees are "disinterested persons" within the meaning of Section 101(14) of the Bankruptcy Code. Proteus can be reached through: Raymond J. Biederman Proteus Discovery Group, LLC 155 East Market Street, Suite 400 Indianapolis, IN 46204 Phone: +1 317-559-3577 Email: ray.biederman@proteusdiscovery.com About Aearo Technologies Aearo Technologies, LLC -- https://earglobal.com/en -- is a 3M company that designs, manufactures, and sells personal protection equipment. The Indianapolis-based company serves customers worldwide. To address claims related to the Combat Arms Earplugs Version 2, Aearo Technologies and its affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ind. Lead Case No. 22-02890) on July 26, 2022. In the petition filed by John R. Castellano, as authorized signatory, Aearo Technologies listed $1 billion to $10 billion in both assets and liabilities. The Debtors tapped Kirkland & Ellis and Ice Miller, LLP as bankruptcy counsels; McDonald Hopkins, LLC as special counsel; Bates White, LLC as claims valuation consultant; AP Services, LLC as restructuring advisor; and Kroll, LLC as claims agent and noticing agent. John R. Castellano, managing director at AlixPartners LLP, an affiliate of AP Services, serves as the Debtors' chief restructuring officer. Judge Jeffrey J. Graham oversees the cases. The U.S. Trustee for Region 10 appointed two separate official committees to represent tort claimants in the Debtors' cases. The tort claimants assert claims related to the use of faulty combat arms earplugs and respirators manufactured by the companies. The tort committee related to use of combat arms version 2 earplugs tapped Otterbourg P.C. and KTBS Law, LLP as bankruptcy counsels; Rubin & Levin, P.C. as Indiana counsel; Brown Rudnick, LLP and Caplin & Drysdale, Chartered as special counsels; Houlihan Lokey Capital, Inc. as investment banker; Province, LLC as financial advisor; and Stretto, Inc. as information agent. Meanwhile, the other committee is represented by the law firm of Rochelle McCullough, LLP. ALEXANDER CUSTOM: Unsecured Creditors to Split $100K in Plan ------------------------------------------------------------ Alexander Custom Homes II, Inc., filed with the U.S. Bankruptcy Court for the Middle District of Florida a Plan of Reorganization dated January 26, 2023. The Debtor was incorporated on December 25, 1997. The Debtor constructs custom single-family homes in the Tampa Bay area. The Debtor's principal Mark Alexander manages the Debtor from 5327 Commercial Way North, Ste. A103, Spring Hill, Florida which the Debtor owns. The Debtor's Plan will be funded by the current and future income earned by the Debtor. The Debtor proposes a reasonable Plan which is proposed in good faith and not by any means forbidden by law. This Plan provides for 1 class of priority claims; 2 classes of secured claims; 1 class of general unsecured claims; and 1 class of equity security holders. Unsecured creditors holding allowed claims will receive a distribution on their claim based on the total amount of general unsecured claims, payable over three years. This Plan also provides for the payment of administrative and priority claims under the terms to the extent permitted by the Code or by agreement between the Debtor and the claimant. Class 1 consists of Priority Claims. The Internal Revenue Service filed a priority claim in the amount of $1,169.56. The Debtor intends to object to this claim. Any allowed claims will be paid in full within sixty months from the Petition Date, including pre and post confirmation interest accruing at the statutory rate, in equal monthly payments commencing 30 days from the entry of the Confirmation Order. Class 2 consists of the Secured Claim of Ford Motor Credit Company, LLC. Ford Motor Credit Company, LLC filed a claim in the amount of $517.05 secured by a purchase money security interest on a 2017 Ford F-150. This claim was paid in full post-petition. Class 3 consists of the Secured Claim of Capital City Bank. Capital City Bank filed a claim in the amount of $81,964.62 which is secured by real property located at 5327 Commercial Way, Ste. A103, Spring Hill, Florida 34606-1448 as well as office fixtures. On the thirtieth day following the Effective Date of the Plan, the Debtor will commence making the regular contractual payment. Any pre and/or post-petition arrears will be cured in twelve equal monthly installments with payments commencing on the thirtieth day following the Effective Date of the Plan. Claimant will retain its lien to the same extent, validity, and priority as existed prior to the Petition Date. Class 4 consists of General Unsecured Creditors. The Debtor will pay a maximum of $100,000 (the "Plan Fund"), which is the Debtor's projected disposable income, to claimants in this class. Claimants will receive a pro rata share of the Plan Fund without interest, in six equal payments of no greater than $16,666.67 commencing on the start of the calendar quarter at least five months from the Effective Date of the Plan, and continuing every six months thereafter for a total of six payments. In the event the total allowed claims in this class are less than $100,000, the Debtor will only be obligated to pay out the total amount of the allowed claims. Payments would be equal to the total amount of allowed claims, divided by six. Class 5 consists of Equity Security Holders of the Debtor. Equity will retain ownership in the Debtor post-confirmation. No distributions will be made to equity until such time as all payments in Class 4 have been made. Mark Alexander will continue to manage the Debtor post confirmation. The Plan will be funded by the continued operations of the Debtor. A full-text copy of the Plan of Reorganization dated January 26, 2023 is available at https://bit.ly/3Ho8FXT from PacerMonitor.com at no charge. Attorney for Debtor: Buddy D. Ford, Esq. Jonathan A. Semach, Esq. Heather M. Reel, Esq. Buddy D. Ford, P.A. 9301 West Hillsborough Avenue Tampa, FL 33615-3008 Telephone: (813) 877-4669 Email: Buddy@tampaesq.com Jonathan@tampaesq.com Heather@tampaesq.com About Alexander Custom Homes II Alexander Custom Homes II, Inc. constructs custom single family homes in the Tampa Bay area. The Debtor filed a Chapter 11 bankruptcy petition (Bankr. M.D. Fla. Case No. 22-04112) on Oct. 12, 2022, with up to $500,000 in assets and up to $1 million in liabilities. Judge Roberta A. Colton oversees the case. The Debtor tapped Buddy D. Ford, P.A. as its legal counsel. ALTISOURCE PORTFOLIO: Works With Guggenheim as Debt Maturities Near ------------------------------------------------------------------- Rachel Butt of Bloomberg News reports that Altisource Portfolio Solutions is working with bankers at Guggenheim Partners LLC to help tackle its upcoming debt maturities, according to people with knowledge of the matter. The company is weighing options including a potential amend-and-extend deal, said the people, who asked not to be identified because the talks are private. Altisource, which caters to loan and mortgage servicers and originators with marketplace and technology products, has a revolver and roughly $247.2 million term loan due in April 2024, as of Sept. 30, according to public filings. About Altisource Portfolio Solutions Headquartered in Luxembourg, Altisource Portfolio Solutions S.A. provides real estate and mortgage services. AMERICANAS S.A.: Seeks Chapter 15 Bankruptcy Protection ------------------------------------------------------- Amelia Pollard of Bloomberg Law reports that Brazilian shopping chain Americanas SA filed for Chapter 15 bankruptcy, a move that protects its US assets while insolvency proceedings play out in its home country. Representatives for Americanas filed the bankruptcy petition in Manhattan on Wednesday, January 25, 2023, court papers show. The retailer nosedived in January 2023 after becoming mired in an accounting scandal. The firm, backed by billionaire Jorge Paulo Lemann, filed for bankruptcy at a court in Rio de Janeiro on Jan. 19, 2023. In disclosures to investors, the firm implied it misreported numbers connected to some of its financing and wrongly deducted interest paid to lenders from its liabilities. In all, there were nearly $4 billion of accounting "inconsistencies," according to a regulatory filing. About Americanas SA Americanas was one of the largest diversified retail chains in Brazil, with a wide platform of physical stores, robust e-commerce, fintech, and has just entered into the niche food retail. It is listed on B3, being indirectly controlled by Jorge Paulo Lemann, Carlos Alberto Sicupira and Marcel Telles. Americanas sought protection under Chapter 15 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No. 23-10092) on Jan. 25, 2023. WHITE & CASE LLP, led by John K. Cunningham, is the U.S. counsel. ARETE REHABILITATION: Wins Cash Collateral Access Thru March 15 --------------------------------------------------------------- The U.S. Bankruptcy Court for the District of Massachusetts, Eastern Division, authorized Arete Rehabilitation, Inc. to use cash and other collateral claimed by Bridge Capital-NewCo Capital Group VI, LLC and Northeast Bank, on an interim basis, through March 15, 2023. The Debtor is authorized to collect and use those prepetition assets in which the Secured Creditors claim a security interest, provided, however, that pursuant to Fed. R. Bankr. P. 4001(b)(2) and pending entry of a final order, the Debtor will use and expend only that amount of asserted cash collateral as is necessary to avoid immediate and irreparable harm to the Debtor's estate. As adequate protection, the Debtor will grant the Secured Creditors with continuing replacement liens and security interests having the same validity, extent, and priority that each would have had in the absence of the bankruptcy filing. The final hearing on the matter is set for March 15, 2023 at 1 p.m. Objections are due March 13. A copy of the order is available at https://bit.ly/3X03jHO from PacerMonitor.com. About Arete Rehabilitation Arete Rehabilitation, Inc. -- https://www.areterehab.com/ -- specializes in older adult care, Arete Rehab provides physical, occupational, and speech therapy services in the northeast. Arete Rehabilitation filed a petition for relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. D. Mass. Case No. 22-11661) on Nov. 15, 2022, with up to $1 million in assets and up to $10 million in liabilities. James S. LaMontagne has been appointed as Subchapter V trustee. The Debtor filed a prior Chapter 11 Case in the U.S. Bankruptcy Court for the District of New Hampshire on September 28, 2022 (Case No. 22-10477 -BAH) which was dismissed on Nov. 10, 2022. Judge Christopher J Panos oversees the case. The Debtor is represented by Joshua A. Burnett, Esq. at Amann Burnett, PLLC. ASTROTECH CORP: Appoints Bob McFarland to Board of Directors ------------------------------------------------------------ Astrotech Corporation said it has increased the size of its Board of Directors from four to five directors and has appointed Bob McFarland as a director of the Company. Mr. McFarland brings to Astrotech's Board extensive executive management experience with domestic and international enterprises, with a focus on information technology. Mr. McFarland stated, "I am honored to join the Board of Astrotech. I look forward to working closely with my fellow Board members to support the Company's strategic objectives as it continues to advance its mass spectrometry pipeline of opportunities." Mr. McFarland served as an assistant secretary for Information and Technology and chief information officer at the Department of Veterans Affairs from January 2004 through his retirement in 2006. In this role, he advised the Secretary of Veterans Affairs on matters pertaining to acquisition and management of IT systems. He was also responsible for overseeing operation of the VA's computer systems and telecommunication networks for medical information, veterans' benefits payments, life insurance programs, and financial management systems. Prior to his tenure at the VA, Mr. McFarland served as vice president of Governmental Relations for Dell Computer Corporation. He joined Dell in 1996 as vice president and general manager of the Federal Business segment. He held several senior executive positions at Dell, including managing its global segment, large corporate accounts, and government sector. Under his leadership, Dell became a leading supplier of computer systems to the federal government. In 1998, Mr. McFarland was named to the "Federal 100," a joint government and industry award designating the top 100 executives in the federal marketplace. Mr. McFarland currently serves on the Board of Advisors of Veterans Advantage. He has previously served as Director for Xplore Technologies Corporation (Nasdaq: XPLR), CSIdentity Corporation, Ezenia! Inc. (OTC: EZEN), and Isothermal Systems Research Inc. Mr. McFarland has a Bachelor of Science Degree in Business Management from LeTourneau University in Longview, Texas. "We are pleased to welcome Bob to the Astrotech Board. Bob's extensive background in working with and for the federal government, particularly from his role at the VA, will prove valuable as we continue the development of Astrotech' s mass-spec breath analysis device, the BreathTest-1000, and navigate the numerous steps required to receive FDA approval," stated Thomas B. Pickens III, Chairman and CEO of Astrotech. "As Astrotech continues executing on its next phase of growth, we are confident that Bob's successful track record of developing and overseeing information technology strategies for global businesses will complement the skill sets already on our Board. We look forward to Bob's guidance and perspective as the Company continues to pursue its goals in the mass-spec industry." About Astrotech Astrotech Corporation (NASDAQ: ASTC) -- http://www.astrotechcorp.com-- is a mass spectrometry company that launches, manages, and commercializes scalable companies based on its innovative core technology through its wholly-owned subsidiaries. 1st Detect develops, manufactures, and sells trace detectors for use in the security and detection market. AgLAB is developing chemical analyzers for use in the agriculture market. BreathTech is developing a breath analysis tool to provide early detection of lung diseases. Astrotech is headquartered in Austin, Texas. Astrotech reported a net loss of $8.33 million for the year ended June 30, a net loss of $7.60 million for the year ended June 30, 2021, a net loss of $8.31 million for the year ended June 30, 2020, and a net loss of $7.53 million for the year ended June 30, 2019. As of Sept. 30, 2022, the Company had $52.85 million in total assets, $2.13 million in total liabilities, and $50.72 million in total stockholders' equity. BACKYARD WORKROOM: $500K Sale of Trademarks to Sustainable Approved ------------------------------------------------------------------- Judge Brenda T. Rhoades of the U.S. Bankruptcy Court for the Eastern District of Texas authorized Backyard Workroom, LLC's sale of its trade name, website, trademarks, tools, furniture, fixtures, inventory, and goodwill to Sustainable Development Group, LLC, for a price of $500,000. The Debtor shall place the funds from the sale into the DIP account and not to be disbursed pending further order of the Court. About Backyard Workroom Backyard Workroom, LLC sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Texas Case No. 22-41366) on Oct. 14, 2022, with up to $500,000 in both assets and liabilities. Eric A Liepins, Esq. at Eric A. Liepins, P.C. serves as the Debtor's counsel. BIOSTAGE INC: CEO OKs Reduction of Cash Portion in Annual Salary ---------------------------------------------------------------- Effective as of Jan. 25, 2023, David Green, the chief executive officer of Biostage, Inc., agreed to reduce the cash portion of his recently increased annual salary from $300,000 back down to the minimum required by applicable law, being $35,568, and accept in lieu of such cash reduction for the next year, a nonqualified stock option to purchase a share amount determined based on Black-Scholes value of the difference, being $264,432, which subject to continued employment, shall vest monthly on each monthly anniversary of Jan. 25, 2023, being the Grant Date, for twelve months following the Grant Date. Such option shall have an exercise price equal to the closing price of the Company's common stock on the Grant Date. About Biostage Holliston, Massachusetts-based Biostage, Inc. -- www.biostage.com -- is a clinical-stage biotech company that uses cell therapy to regenerate organs inside the human body to treat cancer, trauma and birth defects. The Company's technology is based on its proprietary cell-therapy platform that uses a patient's own stem cells to regenerate and restore function to damaged organs. Biostage reported a net loss of $7.98 million for the year ended Dec. 31, 2021, compared to a net loss of $4.87 million for the year ended Dec. 31, 2020. As of June 30, 2022, the Company had $5.16 million in total assets, $2.14 million in total liabilities, $4.02 million in series E convertible preferred stock, and a total stockholders' deficit of $997,000. Flushing, New York-based Wei, Wei & Co., LLP, the Company's auditor since 2021, issued a "going concern" qualification in its report dated March 31, 2022, citing that the Company has suffered recurring losses from operations, has an accumulated deficit, uses cash flows in its operations, and will require additional financing to continue to fund its operations. This raises substantial doubt about the Company's ability to continue as a going concern. BLOCKFI INC: Says Bonuses Should Be Okayed to Retain Talents ------------------------------------------------------------ Turner Wright of CoinTelegraph reports that Megan Crowell, the chief people officer at crypto lending firm BlockFi, has petitioned a bankruptcy court to allow bonuses for "key employees" amid Chapter 11 bankruptcy proceedings. In a January 23, 2023 declaration for United State Bankruptcy Court in the District of New Jersey, Crowell said that without giving certain financial incentives, BlockFi might be unable to retain employees in a "highly competitive" crypto industry. According to the BlockFi executive, many staff were "highly likely to leave the company" during the Chapter 11 process without "competitive compensation," potentially adding to costs down the road. "The war for talent remains active, and the Participants have many opportunities inside and outside the cryptocurrency sector," said Crowell. "Individuals with cryptocurrency experience are attractive to employers in the finance, technology, and payment platform industries broadly, among others, especially as these industries adapt their products and services to incorporate cryptocurrency and or related technologies." She added, "In the event additional Participants resign, I believe that the Debtors would struggle to adequately source candidates who could operate the BlockFi platform effectively, severely limiting the Debtors' options in these chapter 11 cases. Moreover, hiring new employees would require the Debtors to incur significant operational and financial costs." BlockFi filed for bankruptcy on Nov. 28, saying at the time the firm had roughly $257 million on hand. It filed a motion to "establish a Key Employee Retention Plan to ensure the company retains trained internal resources for business-critical functions" as the works did not qualify for severance. According to Crowell, the proposed plan would offer employees bonuses of 20-50% of their salaries should they remain at the firm as of January 31, 2023. Crowell reported that certain "critical" employees had already accepted offers at Google, Block, and Walmart following the bankruptcy filing in November, in some cases "for compensation significantly above their current compensation." Her LinkedIn showed she joined BlockFi in July 2019, working in various roles related to recruiting talent. Many crypto firms — including FTX, Celsius Network, Genesis, and Voyager Digital — filed for Chapter 11 bankruptcy in the year, with many users reporting losses in the millions of dollars. About BlockFi BlockFi is building a bridge between digital assets and traditional financial and wealth management products to advance the overall digital asset ecosystem for individual and institutional investors. BlockFi was founded in 2017 by Zac Prince and Flori Marquez and in its early days had backing from influential Wall Street investors like Mike Novogratz and, later on, Valar Ventures, a Peter Thiel-backed venture fund as well as Winklevoss Capital, among others.Ã‚ Ã‚ BlockFi made waves in 2019 when it began providing interest-bearing accounts with returns paid in Bitcoin and Ether, with its program attracting millions of dollars in deposits right away. BlockFi grew during the pandemic years and had offices in New York, New Jersey, Singapore, Poland and Argentina. BlockFi worked with FTX US after it took an $80 million hit from the bad debt of crypto hedge fund Three Arrows Capital, which imploded after the TerraUSD stablecoin wipeout in May 2022. BlockFi had significant exposure to the companies founded by former FTX Chief Executive Officer Sam Bankman-Fried. BlockFi received a $400 million credit line from FTX US in an agreement that also gave FTX the option to acquire BlockFi through a bailout orchestrated by Bankman-Fried over the summer. BlockFi also had collateralized loans to Alameda Research, the trading firm co-founded by Bankman-Fried. BlockFi is the latest crypto firm to seek bankruptcy amid a prolonged slump in digital asset prices. Lenders Celsius Network LLC and Voyager Digital Holdings Inc. also filed for court protection this year. Kirkland & Ellis is also advising Celsius and Voyager in their separate Chapter 11 cases. BlockFi Inc. and eight affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D.N.J. Lead Case No. 22-19361) on Nov. 28, 2022. In the petitions signed by their chief executive officer, Zachary Prince, the Debtors reported $1 billion to $10 billion in both assets and liabilities. Judge Michael B. Kaplan oversees the cases. The Debtors taped Kirkland & Ellis and Haynes and Boone, LLP as general bankruptcy counsels; Walkers (Bermuda) Limited as special Bermuda counsel; Cole Schotz, P.C., as local counsel; Berkeley Research Group, LLC as financial advisor; Moelis & Company as investment banker; and Street Advisory Group, LLC as strategic and communications advisor. Kroll Restructuring Administration, LLC is the notice and claims agent. BLUE STAR: Signs Supply Agreement With Just Food ------------------------------------------------ Blue Star Foods Corp. announced it has entered into an agreement with Just Food For Dogs. The initial contract for 2023 is expected to add an estimate of up to approximately $4 million annual revenue to Blue Star. Blue Star entered into a supply agreement for 1,150 tons or 2,500,000 lbs. of wild caught cod (minced frozen of #1 quality human grade) per year with Just Food For Dogs with an auto renewal option provision. The cod fishery is certified by MSC (Marine Stewardship Council) and is managed in a responsible and sustainable manner in accordance with internationally recognized criteria. John Keeler, Chairman and CEO of Blue Star Foods, commented, "We are thrilled to enter into this new relationship with Just Food For Dogs and expand into a new category for us, the pet/dog food industry. Our cod will be used as an ingredient used for their ala carte gourmet pet food." Trond Ringstad, Board Member commented, "You've got to visit a Just Food For Dogs store, as they are very impressive with their layout and selection of high quality dog food." By mid-year 2020, U.S. pet food spending reached US$37.96 billion, according to BLS data, representing a US$9.06 billion increase from mid-year 2019. About Blue Star Foods Blue Star Foods Corp. is a sustainable seafood company that processes, packages and sells refrigerated pasteurized Blue Crab meat, and other seafood products. The Company's current source of revenue is importing blue and red swimming crab meat primarily from Indonesia, Philippines and China and distributing it in the United States and Canada under several brand names such as Blue Star, Oceanica, Pacifika, Crab & Go, First Choice, Good Stuff and Coastal Pride Fresh, and steelhead salmon produced under the brand name Little Cedar Farms for distribution in Canada. Blue Star Foods reported a net loss of $2.61 million for the year ended Dec. 31, 2021, compared to a net loss of $4.44 million for the year ended Dec. 31, 2020. As of Sept. 30, 2022, the Company had $16.85 million in total assets, $11.53 million in total liabilities, and $5.32 million in total stockholders' equity. Houston, Texas-based MaloneBailey, LLP, the Company's auditor since 2014, issued a "going concern" qualification in its report dated March 31, 2022, citing that the Company has suffered recurring losses from operations and has a net capital deficiency that raises substantial doubt about its ability to continue as a going concern. BON WORTH: Seeks to Hire Morrison-Tenenbaum as Legal Counsel ------------------------------------------------------------ Bon Worth Holdings, Inc. seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York to hire Morrison-Tenenbaum, PLLC as its counsel. The firm's services include: a. advising the Debtor with respect to his powers and duties in the management of its estate; b. assisting in any amendments of schedules and other financial disclosures and in the preparation, review or amendment of a disclosure statement and plan of reorganization; c. negotiating with the Debtor's creditors and taking the necessary legal steps to confirm and consummate a plan of reorganization; d. preparing legal papers; e. appearing before the bankruptcy court; and f. other legal services that may be necessary and proper for an effective reorganization. The firm will charge these hourly fees: Lawrence Morrison $595 Brian Hufnagel $495 Associates $380 Paraprofessionals $200 Morrison-Tenenbaum received an initial retainer fee of $10,000. As disclosed in court filings, Morrison-Tenenbaum is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. Morrison-Tenenbaum can be reached through: Lawrence F. Morrison, Esq. Brian J. Hufnagel, Esq. Morrison-Tenenbaum, PLLC 87 Walker Street, Floor 2 New York, NY 10013 Tel: (212) 620-0938 Email: lmorrison@m-t-law.com Email: bjhufnagel@m-t-law.com About Bon Worth Holdings Bon Worth Holdings, Inc. operates a retail clothing business and owns 28 brick and mortar stores and 1 online store and maintains an office in Brooklyn, New York City. Bon Worth Holdings sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 22-43213) on Dec. 29, 2022, with up to $50,000 in assets and up to $20 million in liabilities. Dan Young, president of Bon Worth Holdings, signed the petition. Judge Jil Mazer-Marino oversees the case. Morrison Tenenbaum, PLLC is the Debtor's legal counsel. CAVALIER PHARMACY: Court OKs Cash Collateral Access Thru March 2 ---------------------------------------------------------------- The U.S. Bankruptcy Court for the Western District of Virginia, Roanoke Division, authorized Cavalier Pharmacy, Inc. to use cash collateral on an interim basis through March 2, 2023. The Debtor is permitted to use cash collateral to pay the expenses set out in the budget as being necessary to the continuation of the Debtor's business and will not exceed $50,000 per month. The monthly payment to Powell Valley National Bank will be $1,470 to be paid on or before the 30th day of each month. As additional adequate protection for the use of the cash collateral, Powell Valley National Bank is granted a first position (deemed perfected upon entry of the Order) in and to all property of the estate of the kind presently securing the indebtedness owing to the Secured Creditor purchased or acquired with the cash collateral of the Secured Creditor, up to the amount of the pre-petition cash collateral, which is believed to be at least $300. The final hearing on the matter is set for March 2, 2023, at 10:30 a.m. via Zoom. A copy of the order and the Debtor's budget is available at https://bit.ly/3wNVuKX from PacerMonitor.com. The budget provides for total operating expenses, on a monthly basis, as follows: $48,798 for January 2023; $48,798 for February 2023; $48,798 for March 2023; $48,798 for April 2023; $48,798 for May 2023; and $48,798 for June 2023. About Cavalier Pharmacy, Inc. Cavalier Pharmacy, Inc. operates a pharmacy in Wise, Virginia. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Va. Case No. 23-70004) on January 4, 2023. In the petition signed by Rick Mullins, president, the Debtor disclosed up to $50,000 in assets and up to $10 million in liabilities. Judge Paul M. Black oversees the case. Scot Farthing, Esq., at Farthing Legal, PC, is the Debtor's legal counsel. CC HILLCREST: $21.35MM Sale of Hillcrest Apartments to Granite OK'd ------------------------------------------------------------------- Judge Scott W. Everett of the U.S. Bankruptcy Court for the Northern District of Texas approved CC Hillcrest, LLC's sale of the real property located in Dallas County, Texas, and more commonly known as 2019 Hillcrest Street, Mesquite, TX 75149, to Granite Redevelopment Properties, LP, or its authorized assigns for $21.35 million, cash. The Property is a 352-unit apartment complex known as the "Hillcrest Apartments." The Contract is approved. The Sale is free and clear of all liens, claims, and encumbrances. Such liens, claims, and encumbrances are to attach to the proceeds of the Sale, with the exception of the liens that secure all amounts ultimately owed for the year 2022 ad valorem real property taxes. The Debtor will pay the 2022 ad valorem property taxes assessed on the property, including all applicable interest, in full if they are still due and owing at the time of closing. It will pay all indebtedness owed to NEF Preservation PB Fund I LP under the Loan Agreement dated Sept. 17, 2020, by and between the Debtor and NEF, and Promissory Note executed by the Debtor in favor of NEF on Sept. 17, 2020, including all applicable interest and fees, in full, at the time of closing such amount to be agreed to between the parties or determined by the Court. Notwithstanding anything therein or in the Purchase and Sale Agreement to the contrary, the liens securing payment of the 2023 ad valorem property taxes will remain attached to the property to secure payment of the 2023 ad valorem property taxes plus any penalties and interest that may accrue thereon. Notwithstanding the foregoing, the Land Use Restrictive Covenant and Land Use Restriction Agreement for Low-Income Housing Tax Credits, filed with the Dallas County Property Records, Instrument No. 201000029394, and the Regulatory and Land Use Restriction Agreement, filed with the Dallas County Property Records, Instrument No. 200600283382, will remain with the Property, and the Buyer will be subject thereto. The sale will not close unless and until a compliance plan is approved by the Texas Department of Housing and Community Affairs ("TDHCA"), and unless and until the Ownership Transfer Request submitted by the Debtor is approved by the TDHCA. The reasonable and necessary closing costs will be paid at closing. About CC Hillcrest CC Hillcrest, LLC operates an apartment complex in Mesquite, Texas. CC Hillcrest sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Texas Case No. 22-31362) on July 29, 2022. In the petition signed by its manager, Jared Remington, the Debtor disclosed up to $50 million in both assets and liabilities. Judge Scott W. Everett oversees the case. Joyce W. Lindauer Attorney, PLLC is the Debtor's counsel. CENTERPOINTE HOTELS: Court OKs Cash Collateral Access Thru Feb 9 ---------------------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, authorized CenterPointe Hotels @ Texas II, LP and debtor-affiliates to continue using cash collateral on an interim basis in accordance with the budget through February 9, 2023, the date of the continued hearing. The Court said that the Debtor may use cash collateral in accordance with the terms of the First Interim Order and the approved Budget attached thereto, except as expressly modified by the terms of the First Interim Order. As previously reported by the Troubled Company Reporter, the Debtors were permitted to use cash collateral to pay the expenses described in the budget, except that direct or indirect compensation paid by the Debtors to James O. Guillory will not exceed $5,000 and no management fees may be paid to Gibson Hotel Management. As adequate protection, the Debtors will maintain the value of their business as a going-concern; (ii) comply at all times with the Budget, subject to reasonable variances; (iii) make monthly payments to the SBA at the contract rate on the EIDL Note; and (iv) make interest only payments to the holder of the SBA 504 Financing debt in the amount of $18,100 per month. To the extent of any Diminution in Value, each Secured Lender is granted valid, automatically perfected and enforceable additional adequate protection replacement subject to the Carve-Out and only in collateral of the same type as such Secured Lender has a valid prepetition lien. Subject to the Carve-Out, and to the extent of any Diminution in Value, the Secured Lenders are further granted an allowed superpriority administrative expense claim, as provided and to the full extent allowed by sections 503(b) and 507(b) of the Bankruptcy Code, with priority over all administrative expense claims and unsecured claims against the Debtor and its estate, now existing or hereafter arising, of any kind or nature whatsoever. A copy of the order is available at https://bit.ly/3jr1ypz from PacerMonitor.com. About CenterPointe Hotels @ Texas II, LP CenterPointe Hotels @ Texas II, LP is primarily engaged in renting and leasing real estate properties. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 23-30023) on January 2, 2023. In the petition signed by James O. Guillory Jr., president, the Debtor disclosed up to $50 million in assets and up to $10 million in liabilities. Judge Jeffrey P. Norman oversees the case. David L. Curry, Jr., Esq., at Okin Adams Bartlett Curry LLP, represents the Debtor as counsel. CHRIS PETTIT: Trustee Selling San Antonio Property for $589K ------------------------------------------------------------ Eric Terry, the trustee appointed in the Chapter 11 cases of Chris Pettit & Associates, PC, and Christopher John Pettit, asks the U.S. Bankruptcy Court for the Western District of Texas to authorize him to sell the real property located at 11923 Rustic Lane, in San Antonio, Texas 78230, to Olympus Property Management for $589,000, in accordance with the terms of their Purchase Contract. Pursuant to its settlement agreement with the Trustee approved by the Court on Sept. 22, 2022, Sin Reposo, LLC conveyed certain valuable pieces of real property to Pettit's Estate, including the 11923 Rustic Lane. The Trustee's real estate broker has been actively marketing the 11923 Rustic Lane and received a number of offers. The Trustee has determined that the highest and best offer was submitted by Olympus in the amount of $589,000 and has executed a Purchase Contract with Olympus for the 11923 Rustic Lane, subject to the Court's approval. He expects that after closing costs, including the 4.5% broker's commission previously approved by the Court, the sale will generate net proceeds of approximately $550,000. It is possible that Pettit's Estate may be subject to capital gains taxes on the sale under federal tax law, but the amount of such tax liability is unknown. Any such taxes will be paid with property of the Estates generated from upcoming asset sales. Pursuant to the Sale Motion, the Trustee asks entry of an order approving the sale and transfer of the 11923 Rustic Lane to Olympus pursuant to the Purchase Contract, free and clear of any liens, claims, encumbrances, and other interests. Finally, he requests that the Court waives the 14-day stay imposed by Bankruptcy Rule 6004(h). About Chris Pettit & Associates Chris Pettit & Associates, PC, a personal injury law firm in Texas, and principal Christopher John Pettit sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tex. Lead Case No. 22-50591) on June 1, 2022. In the petition filed by Mr. Pettit, the Debtors listed up to $50,000 in assets and up to $500,000 in liabilities. Judge Craig A. Gargotta oversees the cases. Michael G. Colvard, Esq., at Martin & Drought, PC is the Debtors' counsel. Eric Terry, the trustee appointed in the Chapter 11 cases, is represented by Dykema Gossett, PLLC. CINEWORLD GROUP: Regal Closes 2 South Florida Movie Theaters ------------------------------------------------------------ Sara Paulson Meehan and Eman Elshahawy of South Florida Business Journal report that Cineworld, parent company of Regal, is closing 39 locations across the United States as part of its Chapter 11 bankruptcy filing. Both the Shadowood 16 at 9889 Glades Blvd. in Boca Raton, and the South Beach Stadium 18 and Imax at 1120 Lincoln Road in Miami Beach, are among the listed locations. According to Business Insider, which cites bankruptcy filings made Tuesday, January 24, 2023, Cineworld will begin rejecting leases for 39 locations as of Feb. 15. About Cineworld Group London-based Cineworld Group PLC was founded in 1995 and is the world's second-largest cinema chain. Cineworld operates 751 sites with 9,000 screens in 10 countries, including the Cineworld and Picturehouse screens in the UK and Ireland, Yes Planet in Israel, and Regal Cinemas in the United States. According to The Guardian, the Griedinger family, including Mooky's brother and deputy chief executive, Israel, have struggled to maintain control of the ailing business but have been forced to reduce their stake from 28% in recent years. Cineworld's top five investors include the Chinese Jangho Group at 13.8%, Polaris Capital Management (7.82%), Aberdeen Standard Investments (4.98%) and Aviva Investors (4.88%). The London-listed Cineworld, which has run up debt of more than $4.8 billion after losses soared during the pandemic, is pinning its hopes on a meatier slate of movies in 2022 to bounce back from a two-year lull. Cineworld Group plc and 104 affiliates sought Chapter 11 protection (Bankr. S.D. Texas Lead Case No. 22-90168) on Sept. 7, 2022, estimating more than $1 billion in assets and debt. Judge Marvin Isgur oversees the cases. The Debtors tapped Kirkland & Ellis, LLP and Jackson Walker, LLP as bankruptcy counsels; PJT Partners, LP as investment banker; AlixPartners, LLP as restructuring advisor; and Ernst & Young, LLP as tax services provider. Kroll Restructuring Administration, LLC is the claims agent. The U.S. Trustee for Region 7 appointed an official committee of unsecured creditors in the Debtors' Chapter 11 cases on Sept. 23, 2022. The committee tapped Weil, Gotshal & Manges, LLP and Pachulski Stang Ziehl & Jones, LLP as legal counsels; FTI Consulting, Inc. as financial advisor; and Perella Weinberg Partners, LP as investment banker. CLEVELAND INTEGRITY: Wins Court OK of $13MM DIP Loan from Owl Rock ------------------------------------------------------------------ The U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, authorized Cleveland Integrity Services, Inc. and CIS Treasury, LLC to use cash collateral and obtain postpetition financing, on an interim basis. The Debtors obtained senior secured postpetition financing on a superpriority basis consisting of: (a) a new money multiple draw term loan facility in the aggregate principal amount of $13 million consisting of (1) $3 million to be made available to the Debtors in one or more draws upon entry of the Interim Order and (2) up to an additional $10 million to be made available in one or more draws upon entry of the Final Order; and (b) subject to the entry and terms of the Final Order, a roll-up of Prepetition Obligations of the Roll-Up Amount on a cashless dollar-for-dollar basis under the DIP Facility, in each case, pursuant to the terms and conditions of this Interim Order, the Final Order, the Approved Budget, by and among CIS, as borrower, CIS Treasury, LLC, as guarantor, Owl Rock Capital Corporation, as administrative and collateral agent. As a condition to having access to the DIP Facility and the use of cash collateral, the Debtors have agreed to these milestones: (a) No later than three calendar days after the Petition Date, entry by the Court of the Interim Order; (b) no later than 30 calendar days after the Petition Date, obtain entry by the Court of an order approving the Bid Procedures, which order will be in form and substance acceptable to the DIP Agent as determined in its sole discretion; (c) No later than 30 calendar days after the entry of this Interim Order, entry by the Court of the Final Order; (d) No later than 40 calendar days after the Petition Date, submission of qualified bids pursuant to the Bid Procedures Order; (e) No later than 45 calendar days after the Petition Date, hold an auction for the sale of the Debtors' assets pursuant to the Bid Procedures Order; (f) No later than 55 calendar days after the Petition Date, entry by the Court of a sale order, which order will be in form and substance acceptable to the DIP Agent and Required DIP Lenders in their sole discretion; and (g) No later than 60 calendar days after the Petition Date, consummation of a sale in accordance with the Bidding Procedures Order is approved by the Court. Pursuant to the Credit Agreement, dated as of September 8, 2016, among (a) FR Arsenal Holdings II Corp., as the borrower, (b) the Debtors, as guarantors, (c) the other borrowers and guarantors party thereto from time to time, (d) Owl Rock Capital Corporation, as administrative and collateral agent, and (e) the lenders party thereto. As of the Petition Date, the Debtors were indebted to the Prepetition Secured Parties under the Prepetition Facility in the aggregate principal amount of $159 million. The Debtor requires the use of cash collateral and DIP financing to, among other things, (i) pay the fees, costs and expenses incurred in connection with the Chapter 11 Cases, (ii) fund any obligations benefitting from the Carve-Out, (iii) permit the orderly continuation of the operation of their businesses, (iv) maintain business relationships with customers, vendors and suppliers, (v) make payroll, and (vi) satisfy other working capital and operational needs. As adequate protection, the Prepetition Agent, for the benefit of the Prepetition Secured Parties, will receive continuing valid, binding, enforceable, and perfected postpetition replacement liens pursuant to sections 361, 363(e), and 364(d)(l) of the Bankruptcy Code on the DIP Collateral and administrative superpriority expense claims in each of the Chapter 11 Cases. A final hearing on the matter is set for February 13, 2023 at 1 p.m. A copy of the order is available at https://bit.ly/3YiP2XS from PacerMonitor.com. About Cleveland Integrity Services, Inc. Cleveland Integrity Services, Inc. is a provider of inspection services and integrity management solutions for gathering, transmission, and distribution pipelines and related infrastructure. CIS is headquartered in Cleveland, Oklahoma, but operates throughout the continental U.S. providing services to many of the top midstream operators and a growing number of utilities. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 23-90052) on January 29, 2023. In the petition signed by Matt Kesner, president and COO, the Debtor disclosed up to $50 million in assets and up to $500 million in liabilities. Judge Christopher M. Lopez oversees the case. The Debtors tapped Gray Reed and McGraw LLP is the Debtor's legal counsel, Piper Sandler & Co. as financial advisor and investment banker, Macco Restructuring Group, LLC as financial advisor, and Donlin, Recano & Co., Inc. as notice and claims agent. COAL NETWORK: Proposed Sale of Assets to Branham & Baker Approved ----------------------------------------------------------------- Judge Tracey N. Wise of the U.S. Bankruptcy Court for the Eastern District of Kentucky authorized Coal Network, LLC's private sale of assets used in the operation of the lease of the Riverway Terminal to Branham & Baker Coal Co., LLC. The Debtor is authorized to proceed with the sale as contemplated in the Sale Motion. Prime Met's affiliate Branham & Baker shall receive the Purchased Assets free and clear of all liens, claims, encumbrances, and other interests, and Branham & Baker shall not be liable as a successor under any theory of successor or transferee liability, or any similar theory under applicable state or federal law or otherwise for claims that encumber or relate to the Purchased Assets. The assumption and assignment of the Permit Operating Agreement to Branham & Baker is approved pursuant to section 365 of the Bankruptcy Code. The Debtor is authorized to proceed with the assumptions and assignments as contemplated in the Sale Motion. Within three business days of the Debtor receiving the Purchase Price from Branham & Baker, the Debtor will transfer $112,500 to KeyBank. The Order is not subject to the 14-day waiting period described in Bankruptcy Rules 6004(h) and 6006(d), but instead shall be effective immediately. About Coal Network LLC Coal Network LLC -- http://www.coalnetwork.com-- is a turnkey solution provider focused specifically on coal and blended coal products. Coal Network LLC filed a petition for relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. E.D. Ky. Case No. 22-10098) on August 17, 2022. In the petition filed by Ramesh Malhotra, as president, the Debtor reported assets and liabilities between $1 million and $10 million. Michael E. Wheatley has been appointed as Subchapter V trustee. April A. Wimberg, Esq., at Dentons Bingham Greenebaum LLP, is the Debtor's counsel. COOPER-STANDARD HOLDINGS: S&P Upgrades ICR to 'CCC+', Outlook Neg. ------------------------------------------------------------------ S&P Global Ratings raised its issuer credit rating on U.S.-based Cooper-Standard Holdings Inc. to 'CCC+' from 'SD' (selective default). S&P said, "At the same time we assigned a 'CCC+' issue-level rating and '4' recovery rating (30%-50%; rounded estimate: 45%) to the new $580 million first-lien senior secured notes due in 2027 and 'CCC-' rating and '6' recovery rating (0%-10%; rounded estimate: 0%) to the new $357 million third-lien senior secured notes due in 2027. We raised the rating on the company's remaining senior unsecured notes to 'CCC-' from 'D' with a '6' recovery rating (0%-10%; rounded estimate: 0%). Cooper-Standard Automotive Inc. is the issuer of the first-lien senior secured notes and the third-lien senior secured notes. "The negative outlook reflects the risk that we could downgrade Cooper-Standard if margin recovery is weaker than we expect because of ongoing cost pressures and lower volumes, such that we think the company could face near-term liquidity pressure." Cooper-Standard completed its restructuring, including repayment of its near-term maturities with longer-maturity first-lien and third-lien notes. It also converted some of its cash interest to payment-in-kind (PIK) interest. Although gross debt is about the same, the company improved its liquidity position. S&P said, "The upgrade to 'CCC+' reflects Cooper-Standard's improved liquidity position, though we expect leverage to remain unsustainable. The debt restructuring addressed the company's 2023 term loan maturity and 2024 senior note maturity, the total debt load is about the same and total debt burden will increase through the PIK feature. We expect the company will continue to struggle with inflationary cost pressures, low production volumes, and volatile automaker production schedules that hampered earnings and cash flow in 2022. As such, we forecast Cooper-Standard's leverage will remain unsustainably high near 10x in 2023 after declining from over 20x in 2022. We also expect free cash flow to be somewhat negative, though manageable, in 2023 after a forecast burn of over $100 million in 2022. While we expect higher earnings in fiscal 2023 from improved pricing and recoveries, global light vehicle production growth of 4%-5%, and a leaner operating cost structure, production volumes will remain lower than pre- pandemic levels and inflationary cost pressures will persist, particularly for labor and energy. Volatile OEM production schedules and a struggle to increase volumes on a still unstable supply chain will likely persist for at least the first half of 2023, which could limit margin upside. "While the company's products are primarily EV/ICE agnostic, we expect some newer technology EV products with dedicated investments will have lower margins until EV volumes substantially increase. Additionally, we expect the company to continue restructuring to optimize cost structure. We expect EBITDA margins to improve to 5%-6% in fiscal 2023 from 2%-3% in 2022, resulting in our fiscal 2023 leverage forecast of 9x-10x. We view this as unsustainably high, particularly for a cyclical automotive supplier. Given the weak earnings profile, we don't expect Cooper-Standard to generate free cash flow in 2023. "While the debt restructuring addresses the company's near-term liquidity problems, improved margins will be critical in maintaining adequate liquidity longer term. Refinancing the term loan due in 2023 lifts liquidity sources over uses to above 1.2x, resulting in revising our liquidity assessment to adequate from less than adequate. Additionally, Cooper-Standard will preserve cash by toggling some of the interest on the debt to PIK interest, reducing annual cash interest to about $52 million from $75 million. Despite these improvements in 12-month liquidity, Cooper-Standard's operating performance remains pressured due to volatile OEM production schedules, elevated labor, logistics, and energy costs, and depressed volumes. Furthermore, its debt burden will rise substantially with PIK interest, and if it elects to convert back to cash interest, free operating cash flow (FOCF) will be under pressure. As such, improved EBITDA through better cost recoveries, stronger operating leverage, leaner operating structure, and diligent working capital management will be critical to sustaining adequate liquidity. We expect capital spending to increase in 2024 following a couple of years of lower investment to preserve liquidity. "The negative outlook reflects the risk that we could lower the ratings over the next 12 months if the company's operating performance weakens materially against our base-case expectations." S&P could lower the rating if: -- S&P expects Cooper-Standard's earnings to deteriorate beyond our forecast such that liquidity could become constrained; this could happen if volumes fall below expectations, OEM production volatility persists, while cost pressures are greater than expected, and it cannot offset these expenses; or -- S&P expects the company could engage in a distressed debt restructuring. S&P could revise the outlook to stable or raise its ratings if: -- Margins increase significantly such that we view leverage as more sustainable and see a path to sustainable FOCF generation; this could happen if the company improves pricing and recoveries, production stabilizes, and volumes increase beyond base-case expectations; and -- The company sustains adequate liquidity through improved cash flow generation. ESG credit indicators: E-3, S-2, G-3 S&P said, "Environmental factors are a moderately negative consideration in our credit rating analysis of Cooper-Standard. Products in the company's fuel and brake delivery segment (25% of sales) face some displacement risk from electrification, and its ability to offset potential losses in its fuel line business largely depends on maintaining higher content per vehicle in its fluid and sealing products. A faster-than-expected transition to battery electric vehicles, coupled with slow adoption of the company's products, represent modest downside risk. Governance factors are a moderately negative consideration because the company has had issues tracking and executing its strategic initiatives historically--in particular, cost control." COPPER REALTY: U.S. Bank Says Disclosure Statement Insufficient --------------------------------------------------------------- U.S. Bank Trust National Association, not in its individual capacity, but solely as Trustee of the Truman 2021 SC9 Title Trust, submitted its Fourth Amended Objection to Confirmation of the Chapter 11 Plan and Disclosure Statement of Copper Realty, LLC. On or about January 20, 2023, the Debtor filed its Amended Plan of Reorganization. Creditor previously objected to confirmation of the prior Plan and filed a ballot rejecting the prior Plan on December 7, 2022 under Docket # 76. Creditor requests that this Court apply the prior ballot rejecting the prior Plan to the current Plan. The U.S. Bank asserts the following additional objections to confirmation of the Plan: * Based upon the Supreme Court's decision, U.S. Bank is entitled to the current prime rate plus a factor. Absent a fair market interest rate, U.S. Bank objects to confirmation of the Chapter 11 Plan because the Plan does not distribute to U.S. bank deferred cash payments totaling at least the value of U. S. Bank's claim. Debtor is in fact seeking a below market rate. On this basis, confirmation should be denied. * The amortization of U.S. Bank's claim at $94,702.75 fails to pay U.S. Bank's claim in full. U.S. Bank objects to confirmation of the Chapter 11 Plan because the Plan does not distribute to U.S. Bank deferred cash payments totaling at least the value of U. S. Bank's claim. On this basis, confirmation should be denied. * The Plan requires that U.S. Bank give Debtor access to the account, all information contained in the account, and provide monthly statements. U.S. Bank's borrower is Michael Fields. Any financial institution that provides financial products to consumers must comply with privacy requirements. Creditor is prohibited from providing third parties with confidential information concerning the borrower and this loan. The Plan therefore imposes obligations in violation of Federal Law and should not be confirmed as the Plan is proposed in bad faith. U.S. Bank claims that the Debtor has not disclosed sufficient financial information to establish that it has the income necessary to fund the Plan. No specific information has been provided regarding the post-petition monthly rentals that are being received, per unit, on each of the pieces of real property that will supply the income necessary to fund the Plan. Further, the Disclosure Statement previously conditionally approved by this Court has not been supplemented to provide information relating to the current Plan filed January 20, 2023. Creditor opines that the revisions to the treatment of its Claim are material and require additional disclosure. For these reasons, the Disclosure Statement previously filed by the Debtor does not contain sufficient information to be used by this Court and the creditors of this estate to confirm the current Plan. A full-text copy of U.S. Bank's objection dated January 26, 2023 is available at https://bit.ly/3wPe3hO from PacerMonitor.com at no charge. Attorney for Creditor: BARRETT DAFFIN FRAPPIER TURNER & ENGEL, LLP Mitchell Buchman, Esq. TX NO. 03290750 1900 ST. JAMES PLACE SUITE 500 HOUSTON, TX 77056 Telephone: (713) 621-8673 Facsimile: (713) 621-8583 E-mail: mitchelb@bdfgroup.com About Copper Realty Copper Realty, LLC, is the fee simple owner of 15 real properties in Dallas and Irving, Texas, having an aggregate current value of $2.79 million. Copper Realty filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Tex. Case No. 22-40820) on July 1, 2022, with $2,832,394 in assets and $2,686,750 in liabilities. Manish Shrivastava, managing member, signed the petition. Judge Brenda T. Rhoades oversees the case. The Debtor tapped Eric A. Liepins, Esq., as bankruptcy counsel and Brian Anderson, Esq., at The Anderson Law Firm PLLC as special counsel. CS GROUP: Sale of Galveston Property to Luxway Winnie Approved -------------------------------------------------------------- Judge Jeffrey P. Norman of the U.S. Bankruptcy Court for the Southern District of Texas authorized CS Group LLC's sale of the real property located at 918 Winnie St., in Galveston, Texas, to Luxway Winnie, LLC, and/or its assigns. The sale is free and clear of all mortgages, security interests, conditional sale or title retention agreements, contracts for sale, pledges, liens, judgments, demands, encumbrances, restrictions or charges of any kind or nature with any such encumbrances attaching to the sale proceeds. At closing of the sale of the Winnie Property, the Debtor and/or the title company is authorized and directed to pay the following directly from the sale proceeds without further order of the Court: (i) all outstanding property taxes incident to the Winnie Property immediately upon closing and prior to any disbursement of proceeds to any other person or entity, as well as any prorated taxes for tax year 2023; (ii) the outstanding amounts owed to the individual lenders pursuant to their loan documents provided that such payment does not represent a waiver of any rights, claims, or causes of action that the Debtor may have against such individuals; and (iii) any reasonable, usual, and customary miscellaneous fees and expenses charged as costs at closing by the title company. Payment of any amounts will not waive any claims, causes of action, or any rights to recovery that Debtor may have against the Winnie Property lenders. After payment of all necessary costs, the title company is directed to pay the net proceeds to Dorè Rothberg McKay, P.C. ("DRM"). DRM will deposit the funds into its IOLTA account to hold in trust. DRM is authorized to distribute funds from the net proceeds to the Debtor in accordance with any orders of the Court including, but not limited to, any approved cash collateral budgets. It will account for its distributions to the Debtor by attaching a schedule to the Debtor’s monthly operating reports. The Debtor is authorized to assume and assign the Residential Leases which exist at the time of closing, to the Buyer. The Debtor is authorized to execute any documents, to take any acts, and to make any additional reasonable disbursements as may be necessary or appropriate to consummate the sale approved by the Order. The ad valorem taxes for tax year 2023 will be prorated and will become the responsibility of the Buyer and the 2023 tax liens will be retained against the subject property until such taxes are paid in full. About CS Group LLC CS Group LLC owns three rental properties in Galveston County, Texas: a. 912 Church St., Galveston, Texas; b. 918 Winnie St., Galveston, Texas; and c. 732 1st Ave. N., Texas City, Texas. CS Group LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 22-80112) on June 6, 2022. In the petition signed by Carolina Dupuis, managing member, the Debtor disclosed up to $10 million in both assets and liabilities. Judge Jeffrey P. Norman oversees the case. Vianey Garza, Esq., at Dore Rothberg McKay, PC is the Debtor's counsel. DAKTRONICS INC: Adds Conventional Provisions to Bylaws ------------------------------------------------------ The Board of Directors of Daktronics, Inc. has approved the Company's Amended and Restated Bylaws, effective as of Jan. 29, 2023. The amendments to the Bylaws modernize and clarify the Company's Bylaws by adding conventional provisions to ensure orderly shareholder meetings. According to FactSet, more than 95% of the companies in the Russell 3000 have advance notice provisions. The amendments, among other things: * Provide detailed procedures consistent with market practice for the calling and holding of special meetings of shareholders; and * Update the procedures and disclosure requirements, in line with market practice, for the nomination of director nominees for election at meetings of shareholders, including to require additional information in a notice of intent to submit a nomination by a shareholder and to address the adoption of rules and regulations of the U.S. Securities and Exchange Commission regarding universal proxy cards set forth in Rule 14a-19 under the Securities Exchange Act of 1934, as amended, including requiring that nominating shareholders comply with the Universal Proxy Card Rules. The Bylaws apply to all meetings of shareholders to be held after Jan. 29, 2023. The Company intends to ask its shareholders, on an advisory basis, to approve the Bylaws at the next annual meeting of shareholders. About Daktronics Headquartered in Brookings, SD, Daktronics, Inc. and its subsidiaries design and manufacture electronic scoreboards, programmable display systems and large screen video displays for sporting, commercial and transportation applications. The Company serves its customers by providing high quality standard display products as well as custom-designed and integrated systems. The Company offers a complete line of products, from small scoreboards and electronic displays to large multimillion-dollar video display systems as well as related control, timing, and sound systems. Daktronics stated in its Quarterly Report on Form 10-Q for the year ended Oct. 29, 2022, "We continue to experience volatility in our business driven by global economic conditions and supply chain disruptions. All of these conditions have caused volatility in our cash flow, pricing, order volumes, lead-times, competitiveness, revenue cycles, and production costs. We believe it is likely these conditions will continue to have negative impacts in fiscal 2023. To improve operations and cash flows, we have increased prices of our goods and services. We have also increased investment in inventory levels to add production stability. To adapt, we used cash and line of credit borrowings to source inventory to add stability to our production processes to fulfill backlog. We also continue to invest in property and equipment to expand our capacity and add automation. Our ability to fund inventory levels, operations and capital expenditures in the future will be dependent on our ability to generate cash flow from operations in these conditions, to maintain or improve margins, and to use funds from our credit facility. Our credit facility expires in April 2025, and it requires us to comply with certain covenants. "Although supply chain disruptions have started to ease and we expect our inventory levels to decline, we cannot be certain we will not experience future disruptions or need additional liquidity to fund inventory levels, operations, and capital expenditures. We will need additional liquidity to meet our obligations as they come due in the 12 months following the date of this Report and we cannot be assured that such liquidity will be available or the form of such liquidity, such as equity raises or debt financing. These conditions raise substantial doubt about our ability to continue as a going concern. In response to these conditions, we are pursuing additional liquidity through various means, including but not limited to obtaining financing secured by a mortgage on our facilities, a sales-leaseback transaction, leasing property and equipment, and continued focus on reducing working capital. Since these plans are not finalized and are subject to market conditions and restrictions from our existing financing agreements that are not within our control, they cannot be deemed probable. As a result, we have concluded that our plans do not alleviate substantial doubt about our ability to continue as a going concern." DEL MAR RACE: Fitch Affirms BB- Rating on $35.7M 2015 Revenue Bonds ------------------------------------------------------------------- Fitch Ratings has affirmed Del Mar Race Track Authority, CA's (Del Mar) $35.7 million series 2015 revenue bonds at 'BB-'. The Rating Outlook has been revised to Stable from Negative. RATING RATIONALE The 'BB-' rating reflects the elevated vulnerability of Del Mar Race Track Authority's operating profile given the secular decline in the California horse racing industry. Fitch's rating case forecast assumes horse-racing revenues will slowly deteriorate with concession revenues stemming from the county fair and other lifestyle events serving as the main source of revenues servicing the bonds. Although net concession revenues bolster the debt service coverage ratio (DSCR) through debt tenor, this revenue stream is dependent on the continued operations of the facility at or above historical levels, which Fitch views as uncertain over the long term. Fitch will continue to monitor the facility's financial viability and update the rating to reflect future material credit events as they arise. The Outlook revision to Stable from Negative reflects the recent stabilization of the race track's financial performance, in part due to major events hosted at the racetrack and the removal of coronavirus attendance restrictions. Fitch continues to monitor the horse racing industry and its challenging trends in attendance, wagering revenues, as well as overall increased competition from other sports. KEY RATING DRIVERS Revenue Risk (League): N/A (There is no premier horse racing league) Declining Fan Base - Revenue Risk (Franchise): Weaker The declining nature of the California horse racing industry, as well as exposure to adverse events, such as equine deaths, at horse race tracks has led to a long-term trend of reduced attendance and uncertainty in fan support despite recent improvements coming out of the pandemic. Racetracks also face increasing competition for gamblers, from both internet gaming and regional casinos, which has driven a declining trend in the satellite wagering component of the authority's revenues. These weaknesses are somewhat offset by an affluent service area combined with semi-diverse revenues from wagering, non-race events, concessions, as well as management's ability to control operating expenses and find additional revenue sources to somewhat mitigate near-term declines. However, given the industry's continued deterioration, the sustainability of race track revenues becomes less viable over the longer term. Limited Financial Obligation to Capital Improvement Plan - Infrastructure Development & Renewal: Stronger Del Mar has transferred the financial responsibility of its largest capital project to the District Agricultural Association (DAA), which included the renovation of an existing satellite wagering building into a multi-purpose entertainment venue expected to open in 2023. Favorable Provisions & Reserves - Debt Structure: Stronger Debt is 100% fixed-rate and fully amortizes by 2038 with a flat debt service profile of $3.2 million per annum. A debt prepayment feature provides accelerated prepayment of principal in the amount of 30% of pledged net revenues (subject to a $4 million cap on net concession revenues) that exceed 2x debt service. A second prepayment feature offers further protection if coverage test revenues (i.e. pledged revenues including all available uncapped net concession revenue) should fall below 2x debt service. No debt may be issued senior to the 2015 bonds, and rating agency verification will be required for any additional parity bonds. A debt service reserve fund (DSRF) is fully cash funded at maximum annual debt service (MADS). Financial Profile Overall financial performance at Del Mar Racetrack has improved during fiscal years 2021 and 2022 as a result of post-pandemic attendance growth and revenue diversification efforts. These improvements drove strong financial metrics in bond year 2022 (ended Oct. 1) with DSCR registering a solid 3.1x. Moving forward Fitch assumes unfavorable industry trends and assumes horse racing operations margins will deteriorate resulting in volatile financial and operating performance long term. PEER GROUP There are no directly comparable peers, as this is the only race track that Fitch rates. RATING SENSITIVITIES Factors that could, individually or collectively, lead to negative rating action/downgrade: - Continued decline of net race track revenues combined with an inability to adapt operations to retain fiscal balance over Fitch's forecast horizon would lead to a downgrade. - Legislative action that could have a material impact on horse racing interest or operations in the State of California. Factors that could, individually or collectively, lead to positive rating action/upgrade: - Stabilization of the California horse racing industry leading to financially sustainable horse racing operations at the racetrack over the forecast horizon. - Proactive managerial decisions that lead to viable cost reductions and/or consistent revenue growth resulting in a stable financial profile long term. CREDIT UPDATE Fiscal 2022 financial performance stabilized due to improved post-pandemic attendance and growth of non-wagering revenues. While racing net revenues were slightly under budget, the food & beverage revenues exceeded projections due to higher than anticipated on-track attendance and strong sales in premium seating areas. 2022 summer race attendance was 278,005 compared with 240,030 in 2021. Although improved, estimated 2022 attendance has yet to rise to pre-pandemic levels and registered 70% of 2019 levels. Fiscal 2021 unaudited race track pledged net revenues were $7.3 million while pledged food & beverage net revenues were $3.3 million. For fiscal 2021 the total pledged revenues of $10.6 million was significantly higher than in fiscal 2020 ($700K) and fiscal 2019 ($4.4 million), resulting in a DSCR of 3.2x. Pandemic impacts significantly curtailed horse racing operations at the Del Mar Fairgrounds during 2020, resulting in substantial revenue declines. In 2021, although not able to hold the customary San Diego County Fair, the DAA held a small-scale summer event, and a summer race meet in July with a total attendance of approximately 240,000 over 31 racing days. The Del Mar Race Track also hosted the 2021 Breeder's Cup in November, with an attendance of approximately 47,000 over two racing days. While post-election research showed that a majority of Californians favor some form of sports wagering, both propositions 26 (tribal casinos and four horse racetracks being allowed to offer brick-and-mortar sports wagering on a year-round basis) and 27 (legalization of sports wagering through the Internet) failed to pass in 2022. Given the popularity of sports wagering in other states and opportunity for California to create incremental tax revenues and jobs, Fitch expects there will be a steady push for implementing sports wagering in the state. If sports wagering were legalized in 2024, DMTC has an agreement in place with a top-tier operator that would generate significant guaranteed revenues for the district. FINANCIAL ANALYSIS Fitch conducted a base and rating case analysis incorporating management estimates for fiscal 2022 and projections for fiscal 2023, the anticipated decline in popularity and support of horse racing, efforts to diversify revenues and a weak near-term economic environment. Both cases assume a one-time hosting of the Breeder's Cup in 2025, which will result in a one-time spike in revenues and expenses. The Fitch base case assumes gross race track revenues will remain flat while expenses will increase slightly resulting in declining net race track revenues averaging 4.9% annually through the forecast period. Food and beverage (F&B) concessions will remain constant at $4 million per year. Under this scenario, DSCR remains well above 1.0x through the forecast period. The Fitch rating case assumes gross race track revenues will decline by 1.5% annually, while expenses will decrease only by 1%, resulting in net race track revenues diminishing significantly through the forecast period. Concessions will also decline. Although DSCR remains above 1.0x in all years prior to bond maturity, the capacity of the racetrack to repay its debt remains strongly connected to its ability to stabilize F&B revenues in spite of years of large historical declines. ESG CONSIDERATIONS Del Mar Race Track Authority (CA) has an ESG Relevance Score of '4' for Financial Transparency due to the delay in publication of audited financial statements , which has a negative impact on the credit profile, and is relevant to the rating in conjunction with other factors. During the 2022 review, Fitch revised the Labour Relations ESG score to a '2' from a '3' and Water and Wastewater Management ESG score to a '2' from a '1' due to align with sector guidance. The reduction of the scores indicates lower relevance and materiality. Unless otherwise disclosed in this section, the highest level of ESG credit relevance is a score of '3'. This means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Entity/Debt Rating Prior ----------- ------ ----- Del Mar Race Track Authority (CA) Del Mar Race Track Authority (CA) /Racetrack Revenues/1 LT LT BB- Affirmed BB- DOT DOT SMILE: Court OKs Deal on Cash Access Thru April 4 --------------------------------------------------------- The U.S. Bankruptcy Court for the Central District of California, Riverside Division, authorized Dot Dot Smile, LLC to use cash collateral on an interim basis in accordance with the budget and its agreement with EBF Holdings, LLC, through through April 4, 2023. As previously reported by the Troubled Company Reporter, EBF asserts interests in the Debtor's past (if any) and future accounts receivables. EBF was the sole claimant that made an appearance at the emergency cash collateral hearings. EBF asserts the Debtor sold and assigned a portion of its Receivables to EBF prior to the bankruptcy filing. The Debtor disputes the nature, extent and validity of EBF's interests in the Receivables. As and for adequate protection in consideration of the Debtor's use of cash collateral, the debtor will make the payments required in the stipulation and provide required reports. To the extent EBF is determined to be a secured creditor with a lien on the Receivables, EBF will have a perfected post-petition lien against cash collateral to the same extent and with the same validity and priority as the prepetition lien, without the need to file or execute any document as may otherwise be required under applicable non-bankruptcy law. A copy of the order is available at https://bit.ly/3HNkCaR from PacerMonitor.com. About Dot Dot Smile, LLC Dot Dot Smile, LLC is a wholesaler of children's clothing. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 22-13361) on September 3, 2022. In the petition filed by CEO Jeffrey Eugene Thompson, the Debtor disclosed $4,478,922 in assets and $5,638,742 in liabilities. Judge Wayne E. Johnson oversees the case. Jeffrey S. Shinbrot, APLC, is the Debtor's counsel. E-BOX LLC: Proposes Sale of Business Assets, Free & Clear of Liens ------------------------------------------------------------------ E-Box, LLC, asks the U.S. Bankruptcy Court for the Western District of Tennessee to approve the sale of substantially all of the Debtor's tangible and intangible personal property used in its garbage collection and hauling operations free and clear of liens, claims, encumbrances and interests. The Debtor is in control of its assets and is managing and operating its businesses. It has filed an application with the Court requesting that Dustin Lough, of CR3 Partners, LLC, be engaged as the Chief Restructuring Officer for the remainder of the case while it is in the administrative phase of Chapter 11. The Movant has made the decision to liquidate substantially all of its assets in an orderly fashion through a sale process in this Honorable Court. It contemplated a period of due diligence for prospective purchasers to examine the assets and the business of the Debtor and to begin formulating offers for those assets. Subsequent to the filing of the Motion, the Debtor has assisted prospective purchasers in conducting due diligence and most of that due diligence (if not all) has been completed. However, prior to the filing of this Motion, the Movant caused to be filed a Motion to Approve Sale and Bidding Procedures to establish Court approved sale and bidding procedures. The purpose of the Bid Procedures Motion was to propose bidding procedures satisfactory to the Debtor and to SC&H Group, Inc., the Debtor's financial advisor, prior to the actual auction and sale process occurring. The Bid Procedures Motion has been approved by the Court, and by the creditors objecting to the Bid Procedures Motion, and an order is forthcoming shortly. The bidding procedures are those proposed by the Debtor ("Sale Procedures") to govern the proposed sales of the Sale Assets, including any auction conducted in connection therewith, pursuant to the Court's entry of an order approving the Bid Procedures Motion, after consideration of the numerous objections thereto filed by many secured creditors. The Sale Assets include the personal property of the Debtor used in its business operations. The assets to be sold pursuant to the Motion shall consist of the Business Assets as listed in its schedules filed in the Chapter 11 case, and as supplemented from time to time. The Business Assets do not include the Excluded Assets owned by the Debtor. The Sale Assets may be sold in individual lots or a combination of lots as determined by the Debtor. The Business Assets shall be sold free and clear of all liens to the fullest extent with all liens transferred to the proceeds of sale. Secured creditors who do not consent to the sale of their collateral must file an objection to the Motion within the time frame directed by the Court; otherwise, the Debtor shall assert that the assets may be sold free and clear of any alleged claims of secured creditors who fail to object to the Motion and who fail to set forth grounds for their objection(s). As noted, the Court has approved the Bid Procedures Motion and an order shall be forthcoming shortly noting that approval. An order approving the prospective bid procedures shall be entered shortly which will provide that bids from prospective purchasers are due on Jan. 25, 2023, and submitted to SC&H; secured creditors' credit bids shall be due once the Debtor has announced its intent to announce what it believes to be the highest and best bid at the auction which is now scheduled for Jan. 31, 2023, in Memphis, Tennessee, at a location to be designated subsequently, commencing at 10:00 a.m., (CT). Objections to the Motion are to be filed on Feb. 6, 2023. Closing of the sale(s) approved by the Court may occur upon entry of an order approving the sale(s) or within 14 days after the sale order becomes final and non-appealable or upon further order of the Court. Closing must occur by March 1, 2023. The Bid Procedures Order will approve and establish bid procedures, bid contents and qualifications for prospective bidders. All interested bidders who desire to extend an offer for the assets, will be afforded that opportunity by submitting a Qualified Bid for the assets by the Bid Deadline to be set in the Bid Procedures Order. The Bid Procedures Order will describe the form of bids. The Debtor believes that a sale of its assets as contemplated by the Motion and the Bid Procedures Order will maximize the value of the estate. While the exact assets that will be sold are dependent upon the terms of a Qualified Bid(s) as defined in the Bid Procedures Order, the Debtor seeks authority to sell all of the assets. The Debtor believes that in the event the Motion is approved, the result will be a successful sale of the its assets. Accordingly, at this time, it seeks authority to sell the assets. A form, or template, of an Asset Purchase Agreement has been executed by a stalking horse bidder and the Debtor has received the stalking horse offer that it has accepted. The offer has been approved by the Court as the Stalking Horse Bidder. A prompt sale of the assets will likely enable the Debtor to realize good value for the Sale Assets. About E-Box LLC E-Box, LLC, an electronic manufacturing company in Collierville, Tenn., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tenn. Case No. 22-23526) on Aug. 23, 2022, with up to $50 million in assets and up to $10 million in liabilities. Byron Brown, member of E-Box, signed the petition. Judge M. Ruthie Hagan oversees the case. The Debtor tapped The Law Offices of Craig M. Geno, PLLC and Payne Law Firm as legal counsels; Bob Mims, CPA and Tracy Cooper, CPA as accountants; and Dustin Lough of CR3 Partners, LLC as chief restructuring officer. EAGLE DUNES OWNERS: U.S. Trustee Unable to Appoint Committee ------------------------------------------------------------ The U.S. Trustee for Region 21, until further notice, will not appoint an official committee of unsecured creditors in the Chapter 11 case of Eagle Dunes Owners Association, LLC, according to court dockets. About Eagle Dunes Owners Association Eagle Dunes Owners Association, LLC owns a 50% interest in each of these real properties located at: (1) 2887 Sweetspire Cir, Kissimmee, Fla., (2) 3789 Blackthorn Ct, Orange Park, Fla., (3) 11565 Whispertin Brook Ln, Jacksonville, Fla., and (4) 2621 Palmetto Ridge Cir Apopka, Fla., having an aggregate current value of $625,000. Eagle Dunes Owners Association filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 22-04489) on Dec. 21, 2022. In the petition filed by Oleh Vaselov, as authorized agent, the Debtor reported assets and liabilities between $1 million and $10 million. Judge Tiffany P. Geyer oversees the case. The Debtor is represented by Erick Steffens, Esq., at Steffens Law Firm, PLLC. EAGLE VALLEY: Unsecureds to Split $50K in Subchapter V Plan ----------------------------------------------------------- Eagle Valley Energy Partners, LLC and its debtor-affiliates filed with the U.S. Bankruptcy Court for the Western District of Texas a Joint Plan of Reorganization dated January 29, 2023. Headquartered in Austin, Texas, EVEP and its Debtor subsidiaries are an independent upstream oil and gas company focused on the acquisition, development and production of oil, natural gas and natural gas liquids reserves focused on exploiting the upper gulf coast trend of Texas including the Eagle Ford, Austin Chalk, Woodbine, Bossier and Haynesville formations. Beginning in 2019, the Debtors began drilling operations on the Powell Unit Well No. 1 (the "Powell Well") located in Washington County, Texas and the Moss Creek assets located in Nacogdoches County, Texas. Each of these operations were plagued by cost overruns and technical problems including the loss of a logging tool in the Powell Well wellbore. Concurrent with these cost overruns and delays, the price for oil and gas dropped precipitously in late 2019 only to be followed by the ensuing COVID-19 pandemic which contributed to sustained low oil and gas prices through most of 2020. After entry of the arbitration award, the Debtors retained Howley Law as restructuring counsel, Gary Barton, with Riveron Management Services, LLC, as their chief restructuring officer and appointed Jonathan Nash as an independent director. With the assistance of these professionals and the independent director, the Debtors' analyzed their strategic alternatives to maximize value for the benefit of all stakeholders. As a result of these efforts, the Debtors' formulated the terms of this Plan and commenced the Chapter 11 Cases. At the outset of this case, the Debtors filed a motion to authorize the Debtors to borrow $600,000 in post-petition financing and to authorize the use of cash collateral of the Term Loan Lender. The Debtors also filed motions for entry of orders to jointly administer the cases, maintain their insurance financing, maintain their cash management system and pay prepetition mineral interest and ad valorem tax claims. The Debtors further expect that the Office of the United States Trustee will promptly appoint a subchapter V trustee in the Debtor's Chapter 11 Cases. Class 5 consists of all General Unsecured Claims against any Debtor. In accordance with the Plan Settlement, and except to the extent that a holder of an Allowed General Unsecured Claim agrees to less favorable treatment, in full and final satisfaction, compromise, settlement, release, and discharge of and in exchange for each General Unsecured Claim, each holder of an Allowed Class 5 Claim shall receive its pro rata share of the GUC Recovery. Class 5 is entitled to vote to accept or reject the Plan. "GUC Recovery" means the $50,000 payable under the Plan Funding Agreement. Class 7 consists of all of the Interests in the Debtors. On the Effective Date, Class 7 Interests shall be Reinstated. Class 7 is not entitled to vote to accept or reject the Plan. Pursuant to section 1123 of the Bankruptcy Code and Bankruptcy Rule 9019, and in consideration for the classification, distributions, releases, and other benefits provided under the Plan (including Holdings' agreement to (1) convert all funded Secured Claims into General Unsecured Claims, (2) provide the Plan Funding, and (3) forgo any administrative claim for the diminution in value of their prepetition collateral, upon the Effective Date, the provisions of the Plan shall constitute a good faith compromise and settlement of all Claims and Interests and controversies resolved pursuant to the Plan (collectively, the "Plan Settlement"). On the Effective Date, the applicable Debtors or the Reorganized Debtors shall enter into any transaction and shall take any actions as may be necessary or appropriate to effect the terms set forth in the Plan (collectively, the "Restructuring Transactions"). The Reorganized Debtors shall fund Plan Distributions with: (1) Cash on hand; (2) the proceeds of the Plan Funding Agreement; and (3) the proceeds of operations including the proceeds of (x) the DW Payments and (y) the sale of some or all of the Debtors' assets. A full-text copy of the Joint Plan dated January 29, 2023 is available at https://bit.ly/3HS8UMk from PacerMonitor.com at no charge. About Eagle Valley Energy Partners Eagle Valley Energy Partners, LLC, is focused on acquiring, operating, and drilling in the Gulf Coast and East Texas Basins. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tex. Case No. 23-10034) on January 27, 2023. In the petition signed by Gary Barton, chief restructuring officer, the Debtor disclosed $1,189,566 in assets and $1,348,275 in liabilities. Judge Tony M. Davis oversees the case. Tom A. Howley, Esq., at Howley Law PLLC, is the Debtor's legal counsel. ELAINE PALASOTA: Selling Two College Station Properties for $870K ----------------------------------------------------------------- Elaine Palasota asks the U.S. Bankruptcy Court for the Western District of Texas to authorize the sale of the real properties located at 6988 Raymond Stotzer Parkway, in College Station, Texas 77845, and 7066 Raymond Stotzer Parkway, in College Station, Texas, to James H. Woods for $870,000, subject to better and higher bids. Objections, if any, must be filed within 21 days of the date the Motion was served. The Debtor partially owns a number of pieces of real property. Among the property partially owned by the Debtor are the Properties. The Debtor has received an offer to purchase the Properties. The offer provides sufficient monies to pay those creditors who have asserted a lien against the Properties. The offer is subject to better and higher bids. The Debtor desires to sell the Properties because she is currently is not operating them and believes their sale is in the best interest of her creditors. The proposed purchaser is an independent third party who was located though the efforts of the Debtor's Court approved real estate broker. The Debtor seeks an Order approving the Sale, and providing that all liens, claims, and encumbrances asserted against the Propertyies attached to the net proceeds and be held pending further order of the Court. A copy of the Contract is available at https://tinyurl.com/yckky7mc from PacerMonitor.com free of charge. Elaine Palasota sought Chapter 11 protection (Bankr. W.D. Tex. Case No. 22-60001) on Jan. 1, 2022. The Debtor tapped Eric Liepins, Esq., as counsel. EQUESTRIAN SPIRITS: Unsecureds to Split $35K in Subchapter V Plan ----------------------------------------------------------------- Equestrian Spirits, Inc., filed with the U.S. Bankruptcy Court for the Northern District of Florida a First Amended Subchapter V Plan of Reorganization dated January 26, 2023. The Debtor was incorporated in 2010 as a 501(c)(3) entity and operates an animal rescue shelter, primarily for horses. The Debtor is located at 18371 SE 42nd Place, Morriston, Levy County, Florida on a 60-acre parcel of land. The Debtor owns the real property on which it operates. The Levy County Property Appraiser values the property at $577,939.00 and this is the value the Debtor listed on schedule A/B. There are two 1977 dilapidated mobile homes on the property that have no value. There is a first mortgage on the property in the approximate amount of $389,030.29. There is also a lien for $15,000.00. The value of the real property should be significantly higher if the Plan is confirmed. There will be sufficient time to market it or to obtain refinancing. The secured debt will also be smaller. The Debtor's Plan provides to pay $35,000.00 to unsecured creditors upon a sale of the property or refinancing of the secured debt. Until such time as the real property is either sold, or the secured debt is refinanced, the only required3 payment will be to Renan Garcia, the mortgage holder. The Plan provides for six monthly payments of $1,620.96 beginning on September 5, 2023. On March 5, 2024, payments will increase to $2,088.40 a month for 30 months. The last payment will be made on June 5, 2026. No later than July 5, 2026, the total remaining balance owed on the secured claims held by Renan Garcia and Robin Lloyd must be paid in full, either through a sale of the property or a refinancing of the secured debt. The Debtor believes that donations can be increased to a level sufficient to make the monthly payments to Mr. Garcia. This Plan proposes to pay creditors of the Debtor from future income and from a sale of the real property or a refinancing of the secured debt. The term of the Plan is 41 months. Non-priority unsecured creditors holding allowed claims will receive distributions which the proponent of the Plan has valued at approximately 23.03 cents on the dollar. The Plan also provides for the payment of administrative claims. Class 4 consists of Unsecured Creditors. The Debtor's total unsecured debt is approximately $151,970.35. The Debtor will pay a total of $35,000.00, with no interest, on a pro rata basis, to all timely filed, allowed unsecured claims no later than July 5, 2026. There will be a ten day grace period as to this payment. The Debtor intends to make Plan payments from future donations. Should the Debtor be unable to make the required payments from future donations, the Debtor will take appropriate action to fund the required amount. The balance owed to the secured creditors in Classes 2 and 3 will be paid in full through either a sale of the real property or a refinance. A full-text copy of the First Amended Plan dated January 26, 2023 is available at https://bit.ly/3jmzFPv from PacerMonitor.com at no charge. Attorneys for Debtor: RUFF & COHEN, P.A. Lisa C. Cohen, Esq. 4010 Newberry Road, Suite G Gainesville, Florida 32607 Telephone: (352) 376-3601 Facsimile: (352) 378-1261 Email: lcohen@ruffcohen.com About Equestrian Spirits Inc. Equestrian Spirits Inc. -- https://www.equestrianspirits.org/ -- provides unique opportunities for rescue and rehab animals to redefine their lives. Equestrian Spirits filed a petition for relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. N.D. Fla. Case No. 22-10149) on Sept. 16, 2022. In the petition filed by Laurie L. Wolf, as senior director, the Debtor reported assets and liabilities between $500,000 and $1 million. Jodi D. Dubose has been appointed as Subchapter V trustee. The Debtor is represented by Lisa Caryl Cohen of Ruff & Cohen, P.A. EW CAPITAL: Blue Box Buying College Park Property for $150K ----------------------------------------------------------- EW Capital Management, LLC, asks the U.S. Bankruptcy Court for the Northern District of Georgia to approve the sale of the real property located at 5532 Plum Court, in College Park, Clayton County, Georgia 30349, to Blue Box Property Management LLC for $150,000. A hearing on the Motion is set for Feb. 14, 2023, at 10:15 a.m. at the following number: toll-free number: 833-568-8864; meeting id: 161 346 1602. The Property is a residence and is owned by Debtor. Upon information and belief, the Property is subject to the following security interests: a. Trinity Life Insurance Co., LLC holds the first priority security interest in the Property by virtue of that certain Assignment of Security Deed dated June 25, 2018, and recorded at Deed Book 11329, Page 116 of the official records of Clayton County, Georgia. The Debtor's Schedule D (Doc 1) shows a claim amount of $77,000. b. The United States Department of the Treasury / Internal Revenue Service holds a second priority security interest by virtue of a Notice of Federal Tax Lien filed of record with the Clerk of Superior Court, Clayton County, Georgia, on May 18, 2018 and shown on Schedule D (Doc 1) as disputed in the amount of $81,093.99. Upon information and belief, the total amount owed on the tax liabilities included on the notices of federal tax lien is $40,018.53. c. Upon information and belief, recorded liens held by the Georgia Department of Labor are to be released as nothing is currently owed; a lien clearance letter is to be issued. The Debtor's interest in the Property was disclosed on Schedule A (Doc 1) filed in the case. The Debtor wishes to sell the Property to the Buyer. Joel Elliott, the managing member of the Debtor owns a 5% interest in the Buyer. Joel Elliot's in-laws own 95% of the Buyer. The property is valued in 2022 at $159,600 in the Debtor's Schedule A (Doc 1) and by the Clayton County, Georgia Tax Assessor. As reflected by Exhibit A, the Purchase Agreement proposes a sale price of $150,000 with the Debtor paying $0 toward closing costs or real estate commissions. The Debtor requests that, should the Motion be granted and the sale of the Property consummated, distribution of the sale proceeds at closing be authorized as follows: payoff of any and all security interests, liens, or encumbrances, and other closing costs and incidentals for which Debtor may be responsible; and payment in full of all allowed unsecured general claims. The Debtor will, upon closing of the proposed sale, promptly provide the U.S. Trustee with a true and correct copy of the HUD-1 settlement statement associated with the closing. The Debtor asks authority to consummate the sale of the Property. Further, it asks permission that the proceeds of the sale be distributed at closing, and that it be authorized to take such other action as may be necessary to effectuate the terms of the Agreement. The Debtor requests that the Court waive any stay pursuant to Rule 6004, Fed. R. Bankr. P. or otherwise. It further asks that any Order granting the Motion be effective immediately upon its entry. About EW Capital Management EW Capital Management, LLC sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ga. Case No. 22-59906) on Dec. 5, 2022, with up to $50,000 in both assets and liabilities. Howard D. Rothbloom, Esq., at The Rothbloom Law Firm represents the Debtor as counsel. FTX GROUP: Company, UCC Oppose Independent Examiner Probe --------------------------------------------------------- FTX and its creditors urged a judge to reject the US Justice Department's call for an independent probe into the crypto platform's collapse, citing potential costs and delays. On December 1, 2022, the U.S. Trustee filed the instant Motion seeking an order appointing an examiner pursuant to Section 1104(c) of the Bankruptcy Code. The State of Wisconsin Department of Financial Institutions and the Vermont Department of Financial Regulation filed joinders to the motion. "The Debtors' current management and the Committee have already begun the very same investigation that would be conducted by an examiner. The Motion should be denied," the Official Committee of Unsecured Creditors tells the Court. The Committee noted that on the eve of filing the Chapter 11 Cases, all of the Debtors' senior management was terminated and replaced with an experienced, independent team led by John Ray -- who has extensive expertise in forensic investigations -- which team immediately began the necessary investigation and cooperation with the investigating governmental authorities. And, the U.S. Trustee appointed the nine-member Official Committee of Unsecured Creditors, which, immediately upon retaining professionals, began performing its statutory duty to "investigate the acts, conduct, assets, liabilities, and financial condition of the debtor . . . ." 11 U.S.C. Sec. 1103(c)(2). "The pieces of the FTX corporate puzzle are day by day being put back together under the supervision of new and independent management with the participation of the statutorily mandated Committee. The appointment of an examiner would be duplicative of the efforts of Mr. Ray, the Board, the Debtors, their advisors, and the Committee and their advisors. This duplication of effort would come at an enormous cost and provide no benefit to the creditors, equity holders, or other interests of the Debtors’ estates," the Debtors said in court filings. About FTX Group FTX is the world's second-largest cryptocurrency firm. FTX is a cryptocurrency exchange built by traders, for traders. FTX offers innovative products including industry-first derivatives, options, volatility products and leveraged tokens. Then CEO and co-founder Sam Bankman-Fried said Nov. 10, 2022, that FTX paused customer withdrawals after it was hit with roughly $5 billion worth of withdrawal requests. Faced with liquidity issues, FTX on Nov. 9 struck a deal to sell itself to its giant rival Binance, but Binance walked away from the deal amid reports on FTX regarding mishandled customer funds and alleged US agency investigations. At 4:30 a.m. on Nov. 11, Bankman-Fried ultimately agreed to step aside, and restructuring vet John J. Ray III was quickly named new CEO. FTX Trading Ltd (d/b/a FTX.com), West Realm Shires Services Inc. (d/b/a FTX US), Alameda Research Ltd. and certain affiliated companies then commenced Chapter 11 proceedings (Bankr. D. Del. Lead Case No. 22-11068) on an emergency basis on Nov. 11, 2022. Additional entities sought Chapter 11 protection on Nov. 14, 2022. FTX Trading and its affiliates each listed $10 billion to $50 million in assets and liabilities, making FTX the biggest bankruptcy filer in the US this year. According to Reuters, SBF shared a document with investors on Nov. 10 showing FTX had $13.86 billion in liabilities and $14.6 billion in assets. However, only $900 million of those assets were liquid, leading to the cash crunch that ended with the company filing for bankruptcy. The Hon. John T. Dorsey is the case judge. The Debtors tapped Sullivan & Cromwell, LLP as bankruptcy counsel; Landis Rath & Cobb, LLP as local counsel; and Alvarez & Marsal North America, LLC as financial advisor. Kroll is the claims agent, maintaining the page https://cases.ra.kroll.com/FTX/Home-Index The Official Committee of Unsecured Creditors tapped Paul Hastings as counsel, FTI Consulting, Inc., as financial advisor, and Jefferies LLC as the investment banker. Young Conaway Stargatt & Taylor LLP is the Committee's Delaware and conflicts counsel. Montgomery McCracken Walker & Rhoads LLP, led by partners Gregory T. Donilon, Edward L. Schnitzer, and David M. Banker, is representing Sam Bankman-Fried in the Chapter 11 cases. White-collar crime specialist Mark S. Cohen has reportedly been hired to represent SBF in litigation. Lawyers at Paul Weiss previously represented SBF but later renounced representing the entrepreneur due to a conflict of interest. GAME COURT: Wins Cash Collateral Access on Final Basis ------------------------------------------------------ The U.S. Bankruptcy Court for the District of Maryland, Baltimore Division, authorized Game Court Services, LLC to use cash collateral on a final basis. The Debtor is permitted to use the cash collateral for the operation of its business so long as the Debtor makes a monthly payment of $3,000 per month during and for the months of February 2023 and March 2023. The payments are to be disbursed among the affected secured creditors, Bluevine, Inc in the amount of $1,000 and Kapitus in the amount of $2,000. All creditors will retain their liens securing their interests and will maintain the same secured status and position as held on the Petition Date until further Court order. As additional adequate protection, the Secured Creditors are granted valid and perfected replacement security interests in, and liens on the same type of post-petition assets in which the Secured Creditors hold valid and perfected liens prior to the Petition Date and all cash or other proceeds generated post-petition by the pre-petition Collateral to the same extent, validity and priority as existed on the prepetition Collateral. A copy of the order is available at https://bit.ly/3XYOhDL from PacerMonitor.com. About Game Court Services, LLC Game Court Services, LLC is in the business of selling, constructing, maintaining and servicing game courts to primarily homeowners in the Maryland, Virginia and the District of Columbia. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Md. Case No. 22-16824) on December 7, 2022. In the petition signed by Paul Ribb, managing member, the Debtor disclosed up to $500,000 in both assets and liabilities. Judge Michelle M. Harner oversees the case. Geri Lyons Chase, Esq., at Law Office of Geri Lyons Chase, is the Debtor's legal counsel. GENESIS GLOBAL: Seeks More Than $20 Million from Roger Ver ---------------------------------------------------------- Emily Nicolle of Bloomberg News reports that a Genesis unit is seeking more than $20 million from Bitcoin Cash backer Roger Ver, alleging that he failed to settle cryptocurrency options transactions that expired in December. Ver, known to some as "Bitcoin Jesus" for his evangelistic role in the early days of crypto, was named in a court summons in New York on Tuesday by GGC International Limited. The filing included a notice seeking no less than $20.9 million in monetary damages, in addition to legal costs and expenses. About Genesis Global Genesis Global Holdco, LLC, through its subsidiaries, and Global Trading, Inc., provide lending and borrowing, spot trading, derivatives and custody services for digital assets and fiat currency. Genesis Global Capital, LLC (GGC) and Genesis Asia Pacific PTE. LTD. (GAP) provide lending and borrowing, spot trading, derivatives and custody services for digital assets and fiat currency. Genesis Global Holdco, LLC owns 100% of GGC and GAP. On Jan. 19, 2023, Genesis Global Holdco, LLC, GGC and GAP each filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code (Bankr. S.D.N.Y). The cases are pending before the Honorable Sean H. Lane, and the Debtors have requested joint administration of the cases under Case No. 23-10063. Genesis Holdco is a sister company of Genesis Global Trading, Inc. ("GGT") and 100% owned by Digital Currency Group, Inc. ("DCG"). GGT, DCG and certain of the Holdco subsidiaries are not included in the Chapter 11 filings. The non-debtor subsidiaries include Genesis UK Holdco Limited, Genesis Global Assets, LLC, Genesis Asia (Hong Kong) Limited, Genesis Bermuda Holdco Limited, Genesis Custody Limited ("GCL"), GGC International Limited ("GGCI"), GGA International Limited, Genesis Global Markets Limited, GSB 2022 II LLC, GSB 2022 III LLC and GSB 2022 I LLC. The Debtors tapped Cleary Gottlieb Steen & Hamilton LLP as counsel; Alvarez & Marsal Holdings, LLC, as financial advisor; and Moelis & Company LLC as investment banker. Kroll Restructuring Administration is the claims agent. GIGAMONSTER NETWORKS: U.S. Trustee Appoints Creditors' Committee ---------------------------------------------------------------- The U.S. Trustee for Region 3 appointed an official committee to represent unsecured creditors in the Chapter 11 cases of GigaMonster Networks, LLC and its affiliates. The committee members are: 1. Zayo Group, LLC Attn: Brittany McNamara 1821 30th Street, Unit A Boulder, CO 80301 Phone: (720) 797-5923 Email: Brittany.mcnamara@zayo.com 2. Equinix, Inc. Attn: Liz Vazquez 1133 Avenue of the Americas, 16th Floor New York, NY 10036 Phone: (646) 430-6847 Email: lvazquez@equinix.com 3. Crown Castle Fiber LLC Attn: Mary Ann Marrero 2000 Corporate Drive Canonsburg, PA 15317 Phone: (704) 405-6518 Email: maryann.marrero@crowncastle.com Official creditors' committees serve as fiduciaries to the general population of creditors they represent. They may investigate the debtor's business and financial affairs. Committees have the right to employ legal counsel, accountants and financial advisors at a debtor's expense. About GigaMonster Networks GigaMonster Networks, LLC and affiliates develop and deploy universal access networks (UANs) in multi-family and commercial real estate properties, providing internet, video and other network services to approximately 400 customer properties and nearly 35,000 end-user subscribers. The Debtors contract with property owners to set up UANs in their buildings and also provide internet services to subscribers in those buildings. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 23-10051) on Jan. 16, 2023. In the petition signed by its chief restructuring officer, Rian Branning of Novo Advisors, LLC, GigaMonster Networks disclosed up to $100 million in both assets and liabilities. The Debtors tapped Pachulski Stang Ziehl and Jones, LLP as legal counsel; Novo Advisors, LLC as restructuring advisor; Bank Street Group, LLC as investment banker; and Kroll Restructuring Administration as claims and noticing agent. GRANDE OAK: Voluntary Chapter 11 Case Summary --------------------------------------------- Debtor: Grande Oak, LLC 21701 Stevens Creek Blvd Number 2610 Cupertino CA 95014 Business Description: The Debtor is a Single Asset Real Estate (as defined in 11 U.S.C. Section 101(51B)). Chapter 11 Petition Date: February 2, 2023 Court: United States Bankruptcy Court Eastern District of California Case No.: 23-10202 Judge: Hon. Jennifer E. Niemann Debtor's Counsel: Paul Manasian, Esq. 1310 65th Street Emeryville CA 94608 Tel: 415 730 3419 Email: mansian@mrlawsf.com Estimated Assets: $10 million to $50 million Estimated Liabilities: $1 million to $10 million The petition was signed by Bethany Liou as manager. The Debtor failed to include in the petition a list of its 20 largest unsecured creditors. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/M75A7WQ/Grande_Oak_LLC__caebke-23-10202__0001.0.pdf?mcid=tGE4TAMA GREER TRANSPORT: Seeks to Hire Richard A. Perry as Legal Counsel ---------------------------------------------------------------- Greer Transport, LLC seeks approval from the U.S. Bankruptcy Court for the Middle District of Florida to hire Richard A. Perry, P.A. to serve as legal counsel in its Chapter 11 case. The firm agreed to an hourly fee of $400 for services provided by its attorney; an hourly fee of $175 for non-attorney staff members; and a retainer of $11,717. As disclosed in court filings, the firm's attorney and employees neither hold nor represent any interest adverse to the Debtor's estate. The firm can be reached through: Richard A. Perry, Esq. Richard A. Perry, P.A. 820 East Fort King Street Ocala, FL 34471-2320 Tel: 352-732-2299 Email: richard@rapocala.com About Greer Transport Greer Transport, LLC is a family-owned and operated trucking company in Ocala, Fla. Greer Transport filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 23-00124) on Jan. 20. 2023, with $437,242 in assets and $1,696,803 in liabilities. Aaron R. Cohen has been appointed as Subchapter V trustee. Judge Jacob A. Brown presides over the case. Richard A. Perry, Esq. at Richard A. Perry, P.A. represents the Debtor as counsel. H.B. FULLER: S&P Rates $800MM First-Lien Secured Term Loan 'BB+' ---------------------------------------------------------------- S&P Global Ratings assigned its 'BB+' issue-level rating and '2' recovery rating to H.B. Fuller Co.'s proposed $800 million first-lien senior secured term loan B. The company is also issuing a proposed $500 million senior secured term loan A and entering into a new proposed senior secured revolving credit facility of $700 million (both unrated). The company will use proceeds to refinance the existing senior secured revolving credit and term loan B facilities that are scheduled to mature in July 2024 and October 2024, respectively. Once the refinancing transaction closes and existing revolving credit and term loan B facilities are repaid, S&P expects to withdraw S&P's issue-level ratings on those facilities. All ratings on H.B. Fuller Co., including the 'BB' issuer credit rating, are unchanged. ISSUE RATINGS—RECOVERY ANALYSIS Key analytical factors -- S&P updated its recovery analysis of Fuller to reflect the new debt structure following the proposed refinancing. -- S&P assigned its 'BB+' issue-level rating and '2' recovery rating (rounded estimate: 70%) to the company's proposed first-lien senior secured term loan B. The issue-level rating is one notch above its issuer credit rating as per notching guidelines. -- S&P's 'BB-' issue-level rating and '5' recovery rating (rounded estimate: 15%) on the company's senior unsecured notes are unchanged. -- S&P has valued H.B. Fuller on a going-concern basis by applying a 6x multiple to our projected emergence EBITDA. This multiple is 0.5x higher than the multiples we use for other specialty chemical companies, such as Minerals Technologies Inc., due to our assessment of the company's business risk profile as satisfactory, which is highlighted by its relatively steady EBITDA generation throughout various cycles. Simulated default assumptions -- Year of default: 2028 -- EBITDA at emergence: $240 million -- Implied EV multiple: 6x Simplified waterfall -- Net enterprise value (after 5% administrative expenses): $1.37 billion -- Valuation split (obligor/nonobligor): 60%/40% -- Collateral value available to secured creditors: $1.18 billion -- Deficiency claims value available to secured creditors: $91 million -- Total recovery to secured creditors: $1.27 billion -- Total secured debt: $1.74 billion --Recovery expectation: 70%-90% (rounded estimate: 70%) -- Total value available to unsecured claims $191 million -- Total unsecured claims: $1.18 billion --Recovery expectations: 10%-30% (rounded estimate: 15%) Note: All debt amounts include six months of prepetition interest. HEADQUARTERS INVESTMENTS: U.S. Trustee Unable to Appoint Committee ------------------------------------------------------------------ The U.S. Trustee for Region 21, until further notice, will not appoint an official committee of unsecured creditors in the Chapter 11 case of Headquarters Investments, LLC, according to court dockets. About Headquarters Investments Headquarters Investments, LLC filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 22-04542) on Dec. 27, 2022. In the petition filed by Timothy F. Majors as manager, the Debtor reported assets between $10 million and $50 million and liabilities between $50 million and $100 million. Judge Grace E. Robson oversees the case. The Debtor is represented by Latham, Luna, Eden & Beaudine, LLP. HERITAGE POWER: Davis Polk Advises GenOn, SVP in Restructuring -------------------------------------------------------------- Davis Polk is advising GenOn Holdings LLC and certain affiliates and Strategic Value Partners, LLC and certain affiliates in connection with the chapter 11 restructuring of Heritage Power LLC and certain of its affiliates and subsidiaries. On January 24, 2023, Heritage filed its voluntary 11 petitions in the United States Bankruptcy Court for the Southern District of Texas. Shortly before the filing, GenOn, SVP and an ad hoc committee of lenders that hold approximately 80% of the principal amount outstanding of Heritage's term loans executed a restructuring support agreement (RSA) with Heritage. In addition, shortly before the filing, GenOn and Heritage executed a transition services agreement, pursuant to which GenOn agreed to continue to provide operational services to Heritage during its bankruptcy cases and provide certain other services to ensure an orderly transition of Heritage's operations from GenOn to either Heritage or its designee. The RSA contemplates a comprehensive deleveraging of Heritage's balance sheet by equitizing Heritage's outstanding loans under its revolving credit and term loan facility and its exposure under a heat-rate call option, and by rejecting certain burdensome contracts. Under the RSA, GenOn will receive from Heritage or reorganized Heritage various forms of consideration in exchange for providing releases and certain operational and transition services, including a $25 million cash payment and payment of its professional expenses related to the Heritage bankruptcy cases. Heritage will also assume another heat-rate call option for which GenOn provides Heritage with ongoing credit support and seek to terminate GenOn's obligations to provide such credit support. The parties to the RSA will seek to consummate the restructuring transactions through a chapter 11 plan. If the plan is not confirmed, then Heritage will commence a marketing and sale process in which the ad hoc committee will submit a credit bid through a special purpose vehicle. At the first day hearing held on January 25, 2023, Heritage obtained all the "first day" relief it sought, including interim approval to perform under the transition services agreement. Heritage is a power company that operates in the PJM regional transmission market with power plants in Pennsylvania, New Jersey and Ohio. GenOn Holdings LLC is the indirect parent of Heritage. The Davis Polk restructuring team includes partners Damian S. Schaible and Eli J. Vonnegut and associates Jacob Weiner and Stella Li. Members of the litigation team include partner Elliot Moskowitz and counsel Marc Tobak. Partner Patrick E. Sigmon and counsel Leslie J. Altus are advising on tax matters. Partner Stephen Salmon is advising on corporate matters. Members of the Davis Polk team are based in the New York and Northern California offices. Davis Polk refers to Davis Polk & Wardwell LLP, a New York limited liability partnership, and its associated entities. About Heritage Power Heritage Power, LLC, et al., are a power company with a focus on power generation activities in Pennsylvania, New Jersey and Ohio. They own or operate sixteen power generation assets with 13 in Pennsylvania, two in New Jersey and one in Ohio. Heritage Power LLC and 18 affiliates filed petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 23-90032) on Jan. 25, 2023. In the petition filed by Mark Allen, as manager, Heritage Power reported assets between $50 million and $100 million and liabilities between $500 million and $1 billion. The petition states that funds will be available to unsecured creditors. The Hon. Christopher M. Lopez is the case judge. The Debtors tapped HAYNES AND BOONE, LLP, as counsel; and ALVAREZ & MARSAL NORTH AMERICA, LLC, as financial advisor. Â EPIQ CORPORATE RESTRUCTURING, LLC, is the claims agent. HERO NUTRITIONALS: One Morgan Says Plan Not Feasible ---------------------------------------------------- One Morgan, LLC objects to the Plan of Reorganization of Hero Nutritionals LLC. The Debtor has proposed a plan of reorganization which it claims will pay the unsecured creditors, including, One Morgan, LLC, 100% of allowed claims, which payment will be funded by (1) the shrinking proceeds from the sale of its equipment; (2) the sale of its inventory, which has not been identified; and (3) by licensing its unidentified intellectual property assets. One Morgan claims that the Disclosure Statement utterly fails to provide the type of information required to for a creditor to make an informed decision about the plan, and does not appear feasible, or in the best interest of creditors. In particular: * There is no information about management of the reorganized debtor and how the management will be compensated. * The information on the history of Hero, and in particular laying the blame for Hero's failures on the pandemic and One Morgan's desire to be regain possession of the premises it leased to Hero, is inaccurate. * There is inadequate information as the amount of the general unsecured claims, how Hero determines the amount of those claims is $3,660,88.74 [Disclosure Statement (Dkt 103) p. 22:1], and the merits of Hero's contemplated reduction of those claims. * With respect to the Hodges Retirement Plan Claim, no claim is on file (despite a bar date of November 14, 2022) and there is inadequate information as to why the Retirement Plan is entitled to anything from the bankruptcy estate. * The information concerning the amount and nature of the inventory which Hero intends to sell to fund the plan is inadequate. * The information concerning the revenue expected from sale of the inventory and the cost to generate that revenue is inadequate. * There is inadequate information concerning the valuation of certain listed assets, including: accounts receivable; and, packing materials, labels and supplies. * The proposed plan does not appear feasible as it is based on baseless projections. * The liquidation analysis is insufficient as it relies on a comparison to an inadequate plan of reorganization and fails to account for all of the debtor's assets. A full-text copy of One Morgan's objection dated January 26, 2023 is available at https://bit.ly/40qBwDI from PacerMonitor.com at no charge. Attorneys for Creditor One Morgan: Paul M. Kelley, Esq. KELLEY•SEMMEL, LLP 113 N. San Vicente Blvd., Suite 300 Beverly Hills, California 90211 Phone: 323-592-3450 Email: pkelley@kelleysemmel.com About Hero Nutritionals Hero Nutritionals, LLC, a company in Santa Ana, Calif., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 22-11383) on Aug. 17, 2022, with up to $50 million in assets and up to $10 million in liabilities. Jennifer Leigh Hodges, chief executive officer, signed the petition. Judge Scott C. Clarkson oversees the case. David M. Goodrich, Esq., at Golden Goodrich, LLP and Cohnreznick, LLP serve as the Debtor's legal counsel and financial advisor, respectively. HUBBARD RADIO: S&P Alters Outlook to Negative, Affirms 'B-' ICR --------------------------------------------------------------- S&P Global Ratings revised its outlook on Hubbard Radio LLC to negative from stable and affirmed the 'B-' issuer credit rating on the company. The negative outlook reflects that leverage could remain elevated ahead of the company's 2025 term loan maturity, depending on the pace and magnitude of broadcast radio's recovery from a recession. It also reflects minimal headroom under its financial covenant with the potential for a breach over the next 12 months absent obtaining covenant relief. Hubbard's ability to refinance its term loan maturity in 2025 will depend on its ability to materially reduce leverage, which is uncertain given weakening economic conditions. S&P said, "We expect Hubbard's adjusted gross leverage will increase to about 7.2x in 2023 due to a pullback in industrywide broadcast advertising given weak macroeconomic conditions. We expect leverage to improve to about 6.6x in 2024 because of ongoing debt reduction and improved economic conditions leading to 4%-6% broadcast and 11%-13% digital revenue growth. However, the macroeconomic outlooks in 2023 and 2024 are highly uncertain, and a prolonged and sustained recession would limit the company's ability to deleverage. Furthermore, it could have difficulty refinancing its senior secured term loan ($259 million outstanding) due March 2025 if it is not able to reduce its leverage toward 6x through debt reduction and EBITDA growth in advance of its term loan maturity. Our forecast does not assume excess debt repayment beyond what's contracted by its credit agreement. However, we think Hubbard could and will need to use more than 50% of its excess cash to continue to reduce debt and deleverage over the next two years. We note, Hubbard has shown a willingness to repay debt beyond the 50% excess cash flow sweep payment required by its credit agreement." For example, it repaid $36 million of term loan debt through Sept. 30, 2022, whereas its credit agreement only required an $8.4 million payment in 2022. Hubbard will likely breach its 5.5x net leverage covenant in 2023 absent covenant relief. S&P said, "The company will likely breach its 5.5x leverage covenant in 2023 given our expectation for a $10 million EBITDA decline and that it will need a waiver, equity infusion, or other type of additional covenant relief to avoid a technical default. Hubbard had 7% headroom under its 5.75x covenant test as of the 12 months ended Sept. 30, 2022, which will continue to shrink when the covenant steps down to 5.5x as of March 31, 2023. However, we believe that, in case of a breach, the company would be able to achieve a waiver or an amendment on its covenant given its ability to secure a waiver/amendment in 2020 and 2021." Alternatively, the company could cure the covenant with an equity injection from Hubbard Broadcasting Inc. (HBI), the family-owned parent company of Hubbard Radio. Hubbard's credit agreement contains a provision that would allow it to credit an equity injection to its EBITDA to cure a covenant breach. S&P believes the Hubbard family would provide credit support to the company in a stress scenario because it has an economic and reputational incentive to preserve its credit strength. HBI previously contributed $25 million of equity to the company in 2021 in order to secure a credit amendment with its lenders. S&P said, "We expect a shallow recession will occur during the first half of 2023, leading to a 15% decline in Hubbard's broadcast revenue. Broadcast radio advertising revenue is highly correlated to GDP growth because expectations for consumer spending drive advertising budgets. Radio advertising also has very short lead times and is one of the first advertising media to experience declines when the economy slows. In addition, the radio industry has lost significant portions of its advertising base in previous downturns, failing to recover significant portions of revenue lost. We believe the broadcast radio industry lost roughly 20% of total revenue in 2020. In a recession, it is likely the industry would face additional losses. Broadcast advertising declines could partially be offset by Hubbard's digital revenue growth in 2023 because we expect it to slow but still grow by about 8%; however, it is a fairly small percentage of total revenue. Digital advertising is also one of the first to recover given its short lead times." The negative outlook reflects that leverage could remain elevated ahead of the company's 2025 term loan maturity, depending on the pace and magnitude of broadcast radio's recovery from a recession. It also reflects minimal headroom under its financial covenant, with the potential for a breach over the next 12 months absent obtaining covenant relief. S&P could lower its rating on Hubbard if it viewed the company's long-term capital structure as unsustainable. This could occur if: -- S&P did not expect Hubbard would be able to generate sufficient cash flow to reduce leverage back to 6x over the next few years due to either prolonged declines in its broadcast revenue or a slower-than-expected recovery in broadcast radio; or -- S&P viewed the company as unable or unwilling to cure a covenant breach. Although unlikely, S&P could revise its outlook to stable over the next 12 months if: -- S&P believed the risk of an economic recession had passed and that the broadcast industry had entered a period of sustained recovery; -- Leverage approached 6x and the company continued to generate consistently positive free operating cash flow that it used to reduce debt; and -- S&P expects the company to refinance its senior secured term loan and generate consistent positive FOCF thereafter. ESG credit indicators: E-2, S-2, G-2. IKON WEAPONS: Wins Cash Collateral Access Thru Feb 23 ----------------------------------------------------- The U.S. Bankruptcy Court for the Western District of North Carolina, Charlotte Division, authorized Ikon Weapons, LLC to use cash collateral on an interim basis in accordance with the budget, with a 10% variance. The Debtor requires the use of cash collateral to maintain its viability as a business. The U.S. Small Business Administration asserts an interest in the cash collateral, pursuant to UCC-1 Financing Statement No. 20210051331K identifying all the Debtor's tangible and intangible property as collateral. The SBA has filed Proof of Claim 2-1 in the Debtor's case asserting a fully secured claim in the amount of $53,972. The Debtor scheduled Geneva Capital as a secured creditor pursuant to UCC-1 Financing Statement No. 20220017618M identifying certain equipment as collateral. Geneva Capital has filed Proof of Claim 3-1 in the Debtor's case asserting an unsecured claim in the amount of $995 for amounts due under a lease. PSA asserts an ownership interest in the Debtor's property including accounts and inventory, which the Debtor disputes, pursuant to a constructive trust claim, among other claims, which has been asserted in an Adversary Proceeding No. 22-03041, Palmetto State Armory, LLC v. IKON Weapons, LLC. PSA has not filed a UCC-1 Financing Statement with respect to any of the Debtor's property. To the extent any creditor has an interest in cash collateral, including, but not limited to, the SBA, the creditor is granted a replacement lien or other property interest under section 361 of the Bankruptcy Code to the extent of the diminution in value of cash collateral caused by the Debtor's use of cash collateral, to the same extent and with the same priority in postpetition property, and the proceeds thereof, that such creditor held in pre-petition property. The Debtor's obligations are continuing in nature, will survive the term of the Order, and will remain in effect until the earliest of: a. The entry of a final order authorizing the use of cash collateral; b. February 23, 2023; c. The entry of a further interim order authorizing the use of cash collateral; d. The entry of an order denying or modifying the use of cash collateral; e. The effective date of any confirmed plan in the case; f. Conversion of the case to another chapter of the Bankruptcy Code or removal of Debtor as a debtor-in-possession; g. The entry of further Court orders regarding the subject matter hereof; h. Dismissal of the proceeding; or i. Occurrence of an event of default that is not timely cured. A further hearing on the matter is set for February 23, 2023 at 9:30 a.m. A copy of the order and the Debtor's budget is available at https://bit.ly/3jx5Co9 from PacerMonitor.com. The budget provides for total expenses, on a weekly basis, as follows: $16,462 for the week ending January 31; $31,462 for the week ending February 7; $21,462 for the week ending February 14; and $16,462 for the week ending February 21. About Ikon Weapons, LLC Ikon Weapons, LLC operates as weapon manufacturer, purchaser, and importer. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D.N.C. Case No. 22-30424) on September 2, 2022. In the petition signed by Suliban Deaza, member manager, the Debtor disclosed up to $10 million in both assets and liabilities. Judge Benjamin A. Kahn oversees the case. John C. Woodman, Esq., at Essex Richards, P.A. is the Debtor's counsel. INFINERA CORP: BlackRock Has 7.3% Stake as of Dec. 31 ----------------------------------------------------- BlackRock, Inc. disclosed in an amended Schedule 13D filed with the Securities and Exchange Commission that as of Dec. 31, 2022, it beneficially owns 15,980,691 shares of common stock of Infinera Corporation, representing 7.3 percent of the shares outstanding. A full-text copy of the regulatory filing is available for free at: https://www.sec.gov/Archives/edgar/data/1138639/000130655023005056/us45667g1031_013123.txt About Infinera Corp. Headquartered in Sunnyvale, Calif., Infinera Corp. -- www.infinera.com -- is a global supplier of innovative networking solutions that enable carriers, cloud operators, governments, and enterprises to scale network bandwidth, accelerate service innovation, and automate network operations. The Infinera end-to-end packet-optical portfolio delivers industry-leading economics and performance in long-haul, submarine, data center interconnect, and metro transport applications. Infinera reported a net loss of $170.78 million for the year ended Dec. 25, 2021, a net loss of $206.72 million for the year ended Dec. 26, 2020, and a net loss of $386.62 million for the year ended Dec. 28, 2019. As of Sept. 24, 2022, the Company had $1.50 billion in total assets, $578.18 million in total current liabilities, $667.07 million in long-term debt, $18.21 million in long-term accrued warranty, $22.59 million in long-term deferred revenue, $1.94 million in long-term deferred tax liability, $47.29 million in long-term operating lease liabilities, $50.20 million in other long-term liabilities, and $114.20 million in total stockholders' equity. INTEGRATED NANO-TECHNOLOGIES: Taps Compass as Investment Banker --------------------------------------------------------------- Integrated Nano-Technologies, Inc. seeks approval from the U.S. Bankruptcy Court for the Western District of New York to employ Compass Advisory Partners, LLC as its investment banker. The Debtor requires an investment banker to: (a) assist with the expected 363-sale, reorganization, or other capital raise pursuant to the requirements of the Bankruptcy Code; (b) review and evaluate the various Asset Purchase Agreements, financial offers or bids and supplemental documents as submitted by qualified buyers, bidders or lenders; (c) provide oversight and evaluation of any competing offers with respect to a court approved auction process, if necessary; (d) provide analytical support to the Debtor's legal advisors and court testimony in connection with the 363-sale process in the Debtor's Chapter 11 proceedings or other capital raise, as required; (e) provide other ancillary support services to the Debtor and the Debtor's legal advisors during this bankruptcy case, as needed; Compass will be compensated, as follows: (i) a retainer in the amount of $20,000 that will be applied during the first month of this engagement; (ii) monthly payments in the amount of $10,000 for months two through the fourth following the retention of Compass, which shall be earned upon receipt; and (iii) a fee for the successful completion of this engagement, limited to 3 percent of the consideration paid, but not less than $100,000 nor more than $400,000, but in the event Enplas America, Inc. obtains the assets through a credit bit, the success fee shall be $75,000. Nicholas Arrington, managing member of Compass Advisory Partners, disclosed in a court filing that his firm is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. The firm can be reached through: Nicholas W. Arrington Compass Advisory Partners, LLC 306 Fourth Ave Pittsburgh, PA 15222 Phone: +1 412-697-2631 Email: Nick@CompassAdvisoryPartners.com About Integrated Nano-Technologies Integrated Nano-Technologies, Inc. is a company in Henrietta, N.Y., which offers scientific research and development services. Integrated Nano-Technologies filed its voluntary petition for Chapter 11 protection (Bankr. W.D.N.Y. Case No. 22-20611) on Dec. 22, 2022, with $100,000 to $500,000 in assets and $10 million to $50 million in liabilities. Donald H. Noble, chief financial officer, signed the petition. Judge Warren oversees the case. Jeffrey A. Dove, Esq., at Barclay Damon, LLP and Compass Advisory Partners, LLC serve as the Debtor's legal counsel and investment banker, respectively. IRREGULAR MIKES: Feb. 9 Deadline Set for Panel Questionnaires ------------------------------------------------------------- The United States Trustee is soliciting members for committee of unsecured creditors in the bankruptcy case of Irregular Mikes 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/3XPNbtS and return by email it to USTPRegion02.NYECF@usdoj.gov at the Office of the United States Trustee so that it is received no later than 12:00 p.m., on Feb. 9, 2023. 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 Irregular Mikes Irregular Mikes, LLC was established in May 2021 as a domestic limited liability company type registered at 1152 First Avenue New York. Irregular Mikes filed voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y., Case No. 23-10084) on Jan. 24, 2023. The Hon. Lisa Beckerman oversees the case. The Debtor has estimated assets and liabilities of $500,000 to $1,000,000. Gabriel Del Virginia, Esq. -- gabriel.delvirginia@verizon.net -- represents the Debtor in its bankruptcy case. ISMAEL VARGAS: Feb. 9 Deadline Set for Panel Questionnaires ----------------------------------------------------------- The United States Trustee is soliciting members for committee of unsecured creditors in the bankruptcy case of Ismael Vargas. 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/3kXY4eJ and return by email it to USTPRegion02.NYECF@usdoj.gov at the Office of the United States Trustee so that it is received no later than 12:00 p.m., on Feb. 9, 2023. 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 Ismael Vargas Ismael Vargas filed a Chapter 11 voluntary petition (Bankr. S.D.N.Y., Case No. 23-22061) on January 24, 2023. Judge Sean Lane oversees the case. H. Bronson, Esq. represents the Debtor. JASON'S HAULING: Ritchie Bros. Buying Vehicles for $955K -------------------------------------------------------- Jason's Hauling, Inc., asks the U.S. Bankruptcy Court for the Middle District of Florida to authorize the sale of the trucks described in the Purchase and Sale Agreement to Ritchie Bros. Auctioneers (America), Inc., for $955,000, free and clear of liens, claims, encumbrances, and interests. Following confirmation, the Debtor experienced operational issues due to rising costs experienced throughout the economy. Recently, the Debtor attempted to renew its insurance. It renewed its policy with Progressive and paid $58,000 for coverage. The Debtor was mistakenly informed that the insurance policy with Progressive was cancelled so it paid $175,000 to bind other coverage. The Progressive policy is in effect. While the Debtor is entitled to a refund, it does not have sufficient cash to continue to operate. Due to the cash flow problems exacerbated by the amounts for insurance, the Debtor has stopped running its trucks. The Debtor will not have the ability to pay for insurance in the next few days. The Debtor received an offer from the Purchaser to purchase the Vehicles for $955,000 as set forth in the Contract. In addition to the Sale Proceeds, the Debtor and the Purchaser have entered into an agreement to participate in Sale Proceeds. The Participation Agreement provides the Debtor with the possibility of receiving additional funds depending on amounts received by the Purchaser for the re-sale of the Vehicles. The vehicles are encumbered by liens of secured creditors. The Debtor estimates that the secured creditors are owed the following amounts: Auto Funding - $241,600 BMO Harris - $102,000 CEFI/Commercial Equipment Finance - $295,000 777 Equipment Finance - $165,000 The Debtor requests authority to sell the Vehicles under the Contract free and clear of all liens, claims, encumbrances, and interests. The Debtor will pay the secured claims in full from the sale proceeds. Additionally, it asks s that the sale order becomes effective immediately upon entry notwithstanding Bankruptcy Rule 6004(g), and 6006(d) and 7062 regarding the 14-day stay. About Jason's Hauling, Inc. Jason's Hauling, Inc. sought protection under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 21-00843) on Feb. 23, 2021. Jason's Hauling President H. Jason Freyre, Jr. signed the petition. In the petition, the Debtor disclosed assets of between $1 million and $10 million and liabilities of the same range. Judge Michael G. Williamson oversees the case. The Debtor is represented by Scott A. Stichter, Esq., at Stichter, Riedel, Blain & Postler, P.A. Todd C. Frankel, an independent contractor based in Tampa, Fla., serves as the Debtor's chief financial officer. On Sept. 27, 2021, the Court confirmed the Debtor's Plan of Reorganization for Small Business Under Chapter 11. JESS HALL'S: Proposes to Sell Equipment to GWH-1 for $5K -------------------------------------------------------- Jess Hall's Serendipity, LLC, asks the U.S. Bankruptcy Court for the Northern District of Texas to approve the sale of equipment to GWH-1, LLC, for $5,000, and its intention to license its trademark and related intellectual property for the Serendipity Salt. A hearing on the Motion is set for Feb. 9, 2023, at 1:30 pm (CST). Objections, if any, must be filed within 21 days from the date of service. The Debtor encountered unfavorable business conditions in the last year and a half that ultimately forced it into bankruptcy. However, the brand that started it all, Jess Hall's Serendipity Seasoned Salt, continues to be a hit among fried chicken lovers everywhere, and the Debtor has a unique opportunity to monetize the remaining brand equity. By the transactions described in the Motion, the Debtor anticipates it will generate in excess of $90,000 of additional value to the estate over the next three years, value that the Debtor cannot generate through any other available opportunity. Jess Hall's Serendipity is more than just an asset and a brand, it is the legacy of Jess Hall, who invented the now famous Jess Hall's Serendipity Seasoned Salt blend in 1970. Now, his son, George "Dub" Hall, seeks to keep the secret seasoning alive and serendipitously and simultaneously preserve his family legacy for future generations. Importantly, the Purchaser is an affiliate of Dub Hall, who was the President of the Debtor prepetition. The purchaser's familiarity with the business and commitment to preservation of the brand is why the purchaser is willing to offer the value described below in exchange for the Debtor’s intellectual property interests in the blends. Despite substantial efforts to market its intellectual property, before it received the Purchaser's offer, the Debtor had not been able to generate any interest in monetizing the Debtor's intellectual property. Because the transactions proposed maximize the value of the Debtor's assets, and thereby distributions to creditors, the Debtor has determined that despite the fact that the purchaser and licensee is an insider, the relief sought is in the best interests of the Debtor's creditors. By the Motion, the Debtor seeks approval to engage in several related transactions. The first is to sell the following equipment assets: a. One General Packaging vertical form, fill, seal manufacturing machine (Model 70W4C4-F, Serial Number 97127) and all associated tooling (filling plates, drop tube assemblies, formers, lot code stamp keys); and b. One Dorner conveyor Model 39MAH2-2436F (together, the "Equipment"). Along with the sale of the Equipment, the Debtor intends to license ("License Agreement") its trademark and related intellectual property for the Serendipity Salt. Together, the Equipment and the License Agreement will allow the Purchaser to manufacture and sell Serendipity Salt going forward. The License Agreement provides, at the conclusion of its three-year term, an assignment of the Serendipity IP to the Purchaser as part of its overall consideration. In addition to the Bill of Sale and the License Agreement, the Debtor asks Court approval to proceed with the renewal of the Trademark at the USPTO and to negotiate with certain third parties to use certain previously manufactured Serendipity IP-branded packaging, all as a result of the License Agreement and BOS. Per the terms of the BOS, the Debtor anticipates it will collect the $5,000 cash and permit the Purchaser to take possession of the Equipment prior to Court approval of the BOS, as soon as next week. The BOS provides that, if the Court does not approve the Debtor's entry into the BOS, the Purchaser will return the Equipment to the Debtor at the Purchaser's expense and the Debtor will refund the purchase price. This is a necessary component of the BOS because the Purchaser needs to commence manufacturing as soon as possible to ensure the targeted customers do not complete their current efforts to replace the Debtor's prior production with an alternative producer. The License Agreement is based on projections the Purchaser has provided that estimate future royalties will approach $90,000 in total over the three-year term of the License Agreement. No other purchaser or licensee has offered any value for the Serendipity IP, and certainly no value comparable to the value available to the estate under the License Agreement. The Debtor seeks approval of the terms and proposed sale in the License Agreement that will ensure the estate realizes the highest possible value for the Serendipity IP. The CRO determined that entering into the License Agreement is an exercise of sound business judgment. The CRO believes the projected licensing income of approximately $90,000 is conservative, competitive, and most importantly, the best available deal for the Debtor for the Serendipity IP. For these reasons, entering into the License Agreement is a sound exercise of the Debtor's business judgment. The Debtor requests that the Court approves the BOS and allows it to effectuate the sale transaction contained therein free and clear of liens, claims, interests, and encumbrances. In addition to the relief requested, the Debtor needs to renew its Trademark for the Serendipity Salt with the USPTO before it conclusively expires in March 2023. There is a $725 renewal filing fee and some associated legal fees (estimated at $1,000) with preparing and representing the Debtor before the USPTO. This renewal is an essential component of preserving the value of the Trademark to license under the License Agreement. Without this renewal process, the Trademark would expire, the Debtor's Serendipity Salt brand would lose its market exclusivity protection, and the Debtor would be in breach of its obligations under the proposed Licensing Agreement. To implement successfully the relief sought, the Debtor requests that the Court finds that notice of the Motion is adequate under Bankruptcy Rule 6004(a) under the circumstances. It also requests that, to the extent applicable to the relief requested in the Motion, the Court waives the stay imposed by Bankruptcy Rule 6004(h). About Jess Hall's Serendipity, LLC Jess Hall's Serendipity, LLC, located at 2920 Shotts Street, Fort Worth, TX 76107, manufactures spice blends and hot sauces. Jess Hall's Serendipity, LLC sought Chapter 11 protection (Bankr. N.D. Tex. Case No. 23-40073) on Jan. 9, 2023. The Debtor estimated assets in the range of $500,000 to $1 million and $1 million to $10 million in debt. The Debtor tapped Scott D. Lawrence, Esq., at Wick Phillips Gould & Martin, LLP as counsel. The petition was signed by Brian Crisp as chief restructuring officer. JOSEPH SEVERINO: Sabata Buying Park Ridge Property for $865K ------------------------------------------------------------ Joseph Severino asks the U.S. Bankruptcy Court for the Northern District of Illinois to authorize his sale of the real and personal property located at 721 Oriole Avenue, in Park Ridge, Illinois 60068, to Robert Sabata for $865,000. The Debtor owns the Park Ridge Property which has an approximate value of $850,000. The Park Ridge Property is a single-family residence. It is encumbered with one mortgage and two tax liens totaling $832,637.81: (a) the first mortgage indebtedness of Wintrust Mortgage, in the approximate amount of $401,346.49 (i.e., $392,290.84 as of Jan. 24, 2022, the date of Wintrust Mortgage's Proof of Claim, plus interest since then at a per diem of $24.81 equaling approximately $9,055.65), pursuant to a promissory note that the Debtor executed and delivered to Wintrust and a Mortgage that was recorded with the Cook County Recorder of Deeds on Aug. 10, 2012, as Document Number 1223349047 ("First Mortgage"); (b) the second position lien indebtedness owed to the Illinois Department of Revenue ("IDR"), which has tax liens against the Property in the amount of $29,135.34 pursuant to Notices of Tax Lien dated April 16, 2012 and July 6, 2015, which were recorded with the Cook County Recorder of Deeds on April 26, 2012 as document number 1211726165 and on July 22, 2015 as document number 15203010782; (c) the third position lien securing an indebtedness owed to the Internal Revenue Service ("IRS") which has tax liens against the Park Ridge Property in the approximate amount of $362,397.93, which was recorded with the Cook County Recorder of Deeds on July 12, 2016, as Document Number 16194011303; and, (d) the fourth lien position securing the indebtedness owed to the IDR which has tax liens against the Park Ridge Property in the approximate amount of $39,758.05 pursuant to Notices of Tax Lien dated April 10, 2019 and Nov. 20, 2019 which were recorded with the Cook County Recorder of Deeds. Previously, the Park Ridge Property was listed for sale pursuant to the terms of a Listing Agreement between the Debtor and Dream Town Realty, but this agreement was terminated on its own terms and pursuant to the deadlines set in the Listing Agreement and not through the affirmative action of any of the parties to the Listing Agreement. In light of the foregoing, the claims of Wintrust, the IRS and the IDR are fully secured by the financial liens encumbering the Park Ridge Property. After the termination of the Listing Agreement, the Debtor procured on Dec. 30, 2022, a Real Estate Contract with the Buyer. The gross purchase price under the terms of the Contract is $865,000. Any proposed sale of the Park Ridge Property by the Debtor is specifically subject to approval by the Court. The Debtor is seeking the entry of an Order approving the sale of the Park Ridge Property to Buyer pursuant to the terms of the Contract, as may be amended from time to time. The Buyer is a disinterested prospective purchaser, without any financial of business connection to any insider of the Debtor. He was not procured or identified through or by the former real estate broker, Nick Fallico. The Debtor believes that it is in the best interests of all constituents that the Park Ridge Property be sold to the Buyer pursuant to the Contract. The consummation of the proposed sale will result in payment in full of all sums that are due to Wintrust pursuant to the First Mortgage, and the IRS and the IDR on their subordinate lien claims. As a condition of the sale, any Sale Order shall provide that the sale is being made free and clear of all claims of creditors in the bankruptcy case. The Debtor prays that the Court enters an Order approving the sale of Property free and clear of all liens; authorizing and directing him to pay, at the closing of the sale, Wintrust Bank in satisfaction of the First Mortgage, the IRS in satisfaction of its second position lien, and the IDR on its third position lien; and for such other and further relief as the Court deems just and proper. Joseph Severino sought Chapter 11 protection (Bankr. N.D. Ill. Case No. 22-00769) on Jan. 24, 2022. JUMBA LLC: Proposed Sale of 3 Constructed Homes in Alvarado Granted ------------------------------------------------------------------- Judge Stacy G.C. Jernigan of the U.S. Bankruptcy Court for the Northern District of Texas authorized The Jumba LLC's sale of three constructed homes on lots of approximately 10 acres each, but no more than 11 acres each, surrounding the existing construction described in open Court as Lots 5, 7, and 8 on property described as 4240 CR 401-C, Alvarado, TX 76009, being a part of the Johnson County Property. The Debtor's counsel has also presented a new contract for Lot 5 in Johnson County and requested that the new buyers be approved for that sale. The sale is free and clear of liens, with C&G Realty E, LLC lien attaching to the net proceeds in addition to the remaining raw land until the entire secured claim of C&G is paid. At the time of the closing of each property the net sales proceeds, in at least the following sums, shall be remitted by the escrow agent, out of the Seller's proceeds to C&G as each closing occurs, which are to be promptly applied to the secured claim of C&G: a. 4162 CR 401-C, Alvarado, TX, Lot #5 Estimated Net: $446,552, b. 4130 CR 401-C, Alvarado, TX, Lot #7 Estimated Net: $438,060, and c. 4160 CR 401-C, Alvarado, TX, Lot #8 Estimated Net: $425,210 The Order is immediately effective and the Bankruptcy Rule 6004(h) stay is waived. The Debtor is authorized to proceed with sales of the three constructed homes on Lots 5, 7 and 8 on its Johnson County Property, free and clear of liens with the net sales proceeds going to C&G, and no seller's real estate commission. As requested by C&G, if the closings have not occurred within 60 days, then the Debtor must either have C&G approve any sale that would occur after 60 days at these minimum amounts or the Debtor needs to get a new court order if C&G does not approve. About Jumba LLC The Jumba LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 22-31740) on September 23, 2022. In the petition filed by Andrea Vernon, as manager, the Debtor reported assets between $10 million and $50 million and liabilities between $1 million and $10 million. The Debtor is represented by Lyndel Anne Vargas of Cavazos Hendricks Poirot, P.C. KOPIN CORP: Chief Technology Officer Resigns -------------------------------------------- Dr. Hong Choi, Kopin Corporation's chief technology officer, resigned from his position with the Company on Jan. 31, 2023, according to a Form 8-K filed by the Company with the Securities and Exchange Commission. About Kopin Kopin Corporation -- http://www.kopin.com-- is a developer and provider of high-resolution microdisplays, microdisplay subassemblies and related components for defense, enterprise, industrial, and consumer products. Its products are used for soldier, avionic, armored vehicle and training & simulation defense applications; industrial, public safety and medical headsets; 3D optical inspection systems; and consumer augmented reality and virtual reality wearable headsets systems. Kopin reported a net loss of $13.47 million for the year ended Dec. 25, 2021, a net loss of $4.53 million for the year ended Dec. 26, 2020, and a net loss of $29.37 million for the year ended Dec. 28, 2019. As of Sept. 24, 2022, the Company had $49.48 million in total assets, $19.27 million in total liabilities, and $30.21 million in total stockholders' equity. KURNCZ FARMS: Debtor, Creditor Fine-Tune Rival Plans ---------------------------------------------------- PNL Devine, LLC, a creditor of Kurncz Farms, Inc., filed its Second Amended and Restated Plan of Liquidation and a corresponding Disclosure Statement. The Debtor, on the other hand, filed a proposed First Amended Combined Disclosure Statement and Plan of Reorganization. Creditor's Plan The Second Amended Creditor Plan provides for the liquidation of Debtor's assets by a Liquidating Trustee, who will pay certain secured claims, pay administrative, professional and priority tax claims in full up to $500,000, pay $1.2 million to unsecured creditors, based on a partial subordination with respect to Debtor's assets only, and hold the remaining net sale proceeds in escrow while PNL Devine seeks to liquidate certain real property outside the bankruptcy case. If that real property is liquidated, PNL Devine believes unsecured and other creditors may be paid in full from the escrowed funds. Under the Plan, Class 8 shall consist of all Allowed Unsecured Claims. Holders of such claims shall receive a pro rata distribution of $1.2 million from the sale of PNL Devine's collateral, plus additional funds, if available, pursuant to this Second Amended Creditor Plan. The Liquidating Trustee shall make distributions to Allowed Unsecured Claims as funds become available and in accordance with this Second Amended Creditor Plan, on a pro rata basis. The Allowed Claims in this Class are impaired. The Second Amended Creditor Plan shall be funded by the liquidation of Debtor's assets by the Liquidating Trustee on an expeditious and reasonable basis. A copy of the Disclosure Statement dated Jan. 20, 2023, is available at https://bit.ly/3H1bePf from PacerMonitor.com. Counsel for the Creditor: Scott H. Hogan, Esq. FOSTER, SWIFT, COLLINS & SMITH, P.C. 1700 E. Beltline Avenue NE, Suite 200 Grand Rapids, MI 49525 Tel: (616) 726-2207 Debtor's Plan The Debtor believes its Plan represents the best approach for creditors to maximize recovery, given the available assets and lack of any material other sources of recoveries for the Estate. Under the Debtor's Plan, PNL Devine, LLC's secured claim will be paid with monthly payments of $80,000, and a balloon payment on or before 5 years of the Effective Date. Unsecured creditors will receive a pro rata share of the lesser of (i) $2,346,739.23 or (ii) 70% of each allowed unsecured Claim, payable via shareholder payments, plan payments, excess Delta payments, and a balloon payment on or before 5 years of the Effective Date. Distributions will be made from Debtor's operating income. A copy of the Debtor's Amended Plan is available at https://www.pacermonitor.com/filings/171661017 About Kurncz Farms Based in Saint Johns, Michigan, Kurncz Farms, Inc., Kurncz Farms was incorporated in 1991 by Peter J. Kurncz, Sr., Marion Kurncz, Peter J. Kurncz, Jr., and Lisa Kurncz and now operates as a Michigan corporation. Peter Kurncz, Jr. took over control of the farming operation in the early 1990s. Kurncz Farms is currently owned by Lisa Kurncz and Peter J. Kurncz, Jr. Kurncz Farms's herd now includes over 1666 milking and dry cows and 430 calves through breeding age heifers. Kurncz Farms farms 3,000 acres in Clinton, Shiawassee, and Gratiot counties. The farming operation also includes growing crops and feed, including beans, wheat, haylage, corn bushels, and corn silage. The company employs 30 full and part-time associates. The main farm is located at 4777 Gilson Road, St. Johns, Clinton County, Michigan. The farm's operations have $8 million to $9 million in annual revenues. 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. LEARFIELD: Company, Creditors Tap Restructuring Advisors -------------------------------------------------------- Alexander Gladstone and Andrew Scurria of The Wall Street Journal report that lenders to Learfield, a multimedia and marketing provider to college sports teams, have engaged restructuring attorneys as the company faces more than $1 billion of debt coming due this year, people familiar with the matter said. A group of lenders to Plano, Texas-based Learfield has engaged law firm Paul Weiss Rifkind Wharton & Garrison LLP, while the company is being advised by Kirkland & Ellis LLP, the people familiar said. About Learfield LEARFIELD is a media, data, and technology services leader in intercollegiate athletics. The company unlocks the value of college sports for brands and fans through an omnichannel platform with innovative content and commerce solutions. LEARFIELD, which does not represent student-athletes, provides services to its partners that include licensing and multimedia sponsorship management; publishing, audio, digital and social media; data analytics; ticketing, ticket sales and development services, and professional concessions expertise; branding; campus-wide business and sponsorship development. LLM INTERNET: Voluntary Chapter 11 Case Summary ----------------------------------------------- Debtor: LLM Internet, Inc. 2112 Coney Island Avenue Brooklyn, NY 11223 Business Description: The Debtor is a Single Asset Real Estate as defined in 11 U.S.C. Section 101(51B). Chapter 11 Petition Date: February 2, 2023 Court: United States Bankruptcy Court Eastern District of New York Case No.: 23-40371 Debtor's Counsel: Robert L. Rattet, Esq. DAVIDOFF HUTCHER & CITRON LLP 605 Third Avenue 34th Floor New York, NY 10158 Tel: 212-557-7200 Fax: 212 286 1884 Email: rlr@dhclegal.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Haim Pinhas as vice-president. The Debtor failed to include in the petition a list of its 20 largest unsecured creditors. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/TX6FIOY/LLM_Internet_Inc__nyebke-23-40371__0001.0.pdf?mcid=tGE4TAMA LONGRUN P.B.C: Files Emergency Bid to Use Cash Collateral --------------------------------------------------------- Longrun, PBC, d/b/a Keto & Co., asks the U.S. Bankruptcy Court for the District of Massachusetts, Eastern Division, for authority to use cash collateral on an emergency basis. The Debtor needs to use the cash collateral generated by the business to continue to maintain operations, continue to pay employees, provide services to customers, acquire inventory, market and sell its products, and to make adequate protection payments to the secured lenders. The Debtor's financial troubles can largely be traced to the COVID-19 pandemic. In 2020, the Debtor's gross revenues were approximately $9.7 million. However, postpandemic consumers' buying and eating habits changed dramatically. In 2021 the company's gross sales fell to approximately $8.9 million, and in 2022 the Debtor's gross revenues were the approximate amount of $5.072 million. The Debtor's financial problems were caused by decreases in sales, inability to raise additional equity financing, inability to secure additional debt financing, supply chain delays, increases in cost of promotion, increases in cost of freight, increased distributor deductions, increases in cost of goods, recalling a product, defending lawsuits, decrease in advance rate on its line of credit. The Debtor's primary line of credit matures in July 2023, and the Debtor was recently advised by the lender that it would not renew the line of credit, which necessitated the filing. The creditors holding secured claims against the Debtor's assets are: -- Merchant Financial Corporation, which holds a first priority "blanket" security interest in essentially all of the Debtor's assets, as collateral for a revolving line of credit agreement. The amount currently owed on the line of credit is approximately $522,338. -- First Savings Bank, which holds a second priority security interest in essentially all of the Debtor's assets, as collateral for an SBA loan granted under section 7A. The amount owed on the 7A Loan is approximately $342,853. The monthly payments on the 7A Loan are in the amount of $6,715. -- The SBA, which extended an "EIDL" loan to the Debtor in the principal amount of $500,000, secured by a third priority "blanket" security interest on the Debtor's personal property. Under the terms of the note monthly payments are in the amount of $2,538. -- U.S. Bank Equipment Finance, which holds a purchase money security interest on certain equipment owned by the Debtor, and is owed the approximate sum of $6,000, the monthly payments are in the amount of $626. As adequate protection, the Debtor proposes to make these payments: a. Monthly payments in the amount of $5,005 to Merchant, representing interest at the non default rate; b. To First Savings Bank on the "7A" in the amount of $6,715; c. To the SBA on the EIDL Loan in the amount of $1,542; d. Monthly payments on the U.S. Bank Equipment Finance loan in the amount of $626; e. To maintain insurance on its assets; and f. To provide the its secured creditors with continuing liens on the Debtor's assets, including cash collateral and post-petition accounts receivables, to the same extent and amount, in the same priority, and to the extent that they perfected, as they enjoyed pre-petition. The Debtor further states that holders of the first and second priority liens are fully secured by the value of their collateral, which provides additional adequate protection. A copy of the motion is available at https://bit.ly/3HUettK from PacerMonitor.com. About LongRun, P.B.C. LongRun, P.B.C. sells low carb and keto foods wholesale to retailers via amazon.com and its own ecommerce websites; it has no physical store location. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Mass. Case No. 23-10140) on February 1, 2023. In the petition signed by Richard Tieken, president and CEO, the Debtor disclosed up to $10 million in both assets and liabilities. Steven Weiss, Esq., at Schatz, Schwartz, and Fenting, P.C. LUCCI RESTAURANT: Unsecureds Will Get 2.95% of Claims over 5 Years ------------------------------------------------------------------ Lucci Restaurant Group, LLC, filed with the U.S. Bankruptcy Court for the Northern District of Illinois a Small Business Plan of Reorganization under Subchapter V. Debtor operates a restaurant located at 695 Deerfield Road in Deerfield, Illinois. Debtor is a limited liability company owned by affiliated debtors Agim Arifi (50%) and Bashkim Arifi (50%). Debtor suffered business reverses characteristic of all restaurants during the COVID-19 pandemic. This case was triggered by Huntington National Bank's aggressive action in the District Court, Case No. 21-cv-01304, seeking and obtaining summary judgment against Bobby's Lincoln Park LLC, the principal obligor on Huntington's loan, which was guaranteed by this Debtor and the debtors in the affiliated cases. In the complaint for judgment on the guaranties, Huntington also sought to foreclose against all real estate given as collateral. As a result, Debtor and its co obligors have sought relief in this Court under Subchapter V of Chapter 11. The only Secured Claim in this case is that of the Small Business Administration ("SBA"), which holds a lien on its EIDL (Economic Injury Disaster Loan) proceeds to secure its $150,000 EIDL loan. Debtor proposes to pay the SBA's claim in the ordinary course of business and in accordance with its terms. There is one class of general unsecured claims, Class 2, consisting of the $2,035,311.50 in allowed general unsecured claims in this case. Debtor shall distribute payments totaling $60,000.00 to creditors holding general unsecured claims, payable in quarterly installments of $3,000.00, that sum being equal to 100% of the Debtor's projected disposable income over the five-year period subsequent to confirmation of the Plan. This Class will receive a distribution of 2.95% of their allowed claims. Such payments shall be distributed to unsecured creditors holding allowed general unsecured claims pro rata, by the Debtor if the Plan is confirmed consensually, and by the Subchapter V Trustee, after deduction of proper compensation to such Trustee, if the Plan is confirmed without the consent of the creditors. General unsecured claims are impaired by the Plan. Class 3 consists of Equity Interest holders Agim Arifi (50%) Bashkim Arifi (50%). Equity Interest holders will retain their membership interests under the Plan. On Confirmation of the Plan, all property of the 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 the Plan, to the Debtor. The Debtor expects to have sufficient cash on hand to make the payments required on the Effective Date. Debtor will maintain an account from its monthly income in which it shall deposit a sum not less than $1,000.00 per month during the term of this Plan so as to fund the quarterly payments required by the Plan. Quarterly, Debtor will disburse an amount equal to not less than $3,000.00 to holders of allowed unsecured claims, pro rata. If the Trustee is still serving, Debtor will disburse that sum to the Trustee who may then disburse it to unsecured creditors pro rata net of any applicable Trustee's fee. A full-text copy of the Plan of Reorganization dated January 29, 2023 is available at https://bit.ly/3kX977H from PacerMonitor.com at no charge. Debtor's Counsel: Richard N. Golding, Esq. The Golding Law Offices, P.C. 500 N. Dearborn Street, 2nd Floor Chicago, IL 60654 Tel: (312) 832-7885 Email: rgolding@goldinglaw.net About Lucci Restaurant Group Lucci Restaurant Group, LLC, owner of a full-service restaurant in Deerfield, Ill., filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 22-03452) on March 25, 2022, listing up to $500,000 in assets and up to $10 million in liabilities. Judge David D. Cleary oversees the case. Richard N. Golding, Esq., at The Golding Law Offices, P.C. serves as the Debtor's legal counsel. LUXE SPACES: Armistead Long Named Subchapter V Trustee ------------------------------------------------------ David Asbach, Acting U.S. Trustee for Region 5, appointed Armistead Long, Esq., attorney at Gordon, Arata, Montgomery, Barnett, McCollam, Duplantis & Eagan, LLC as Subchapter V trustee for Luxe Spaces, LLC. Mr. Long declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. Mr. Long may be reached at: Armistead M. Long, Esq. Gordon, Arata, Montgomery, Barnett, McCollam, Duplantis & Eagan, LLC 400 E. Kaliste Saloom Rd., Ste. 4200 Lafayette, LA 70508-8517 Telephone: 337-237-0132 Fax: 337-237-3451 Email: along@gamb.com About Luxe Spaces Luxe Spaces, LLC filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. M.D. La. Case No. 23-10042) on Jan. 18, 2023, with $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities. Armistead M. Long, Esq., at Gordon, Arata, Montgomery, Barnett, McCollam, Duplantis & Eagan, LLC is the Subchapter V trustee. Judge Michael A. Crawford oversees the case. The Debtor is represented by Heath S. Berger, Esq., at Berger, Fischoff, Shumer, Wexler & Goodman, LLP. MALAGA DINER: Voluntary Chapter 11 Case Summary ----------------------------------------------- Debtor: Malaga Diner Corp d/b/a Malaga Diner 3433 Harding Highway Malaga NJ 08328 Chapter 11 Petition Date: February 2, 2023 Court: United States Bankruptcy Court District of New Jersey Case No.: 23-10898 Debtor's Counsel: Dino S. Mantzas, Esq. DINO S. MANTZAS, ESQUIRE 701 Route 73 N. Suite 1 Marlton, NJ 08053 Tel: (856) 980-033 Email: dino@dmantzaslaw.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Serpil On as president. The Debtor failed to include in the petition a list of its 20 largest unsecured creditors. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/DDX5T4I/Malaga_Diner_Corp__njbke-23-10898__0001.0.pdf?mcid=tGE4TAMA MALAGA RE HOLDINGS: Voluntary Chapter 11 Case Summary ----------------------------------------------------- Debtor: Malaga RE Holdings LLC 3433 Harding Highway Malaga NJ 08328 Business Description: Malaga RE is a Single Asset Real Estate (as defined in 11 U.S.C. Section 101(51B)). Chapter 11 Petition Date: February 2, 2023 Court: United States Bankruptcy Court District of New Jersey Case No.: 23-10900 Debtor's Counsel: Dino S. Mantzas, Esq. DINO S. MANTZAS, ESQUIRE 701 Rourte 73 N, Suite 1 Marlton, NJ 08053 Tel: (856) 980-033 Email: dino@dmantzaslaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Serpil On as sole member. The Debtor failed to include in the petition a list of its 20 largest unsecured creditors. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/XVJ2WLY/Malaga_RE_Holdings_LLC__njbke-23-10900__0001.0.pdf?mcid=tGE4TAMA MANZELLA PROPERTIES: Court Okays Appointment of Chapter 11 Trustee ------------------------------------------------------------------ Judge Scott Clarkson of the U.S. Bankruptcy Court for the Central District of California approved the appointment of Karen Sue Naylor, Esq., attorney at Ringstad & Sanders, LLP, as Chapter 11 trustee for Manzella Properties, LLC. The approval comes upon the application filed by the U.S. Trustee for Region 16 to appoint a bankruptcy trustee to take over Manzella's Chapter 11 case. Ms. Naylor disclosed in a court filing that she does not have any connection with the companies, creditors and other "parties in interest." Ms. Naylor may be reached at: Karen Sue Naylor, Esq. 4610 Birch Street, Suite 120 Newport Beach, CA 92660 Telephone: (949) 851-7450 Facsimile: (949) 851-6926 Email: Karen@ringstadlaw.com A copy of the appointment order is available for free at https://bit.ly/409U0rN from PacerMonitor.com. About Manzella Properties Manzella Properties, LLC, a company in Brea, Calif., filed its voluntary petition for Chapter 11 protection (Bankr. C.D. Calif. Case No. 22-11915) on Nov. 9, 2022, with $10 million to $50 million in assets and $1 million to $10 million in liabilities. Joseph Manzella signed the petition as the authorized person. Judge Scott C. Clarkson oversees the case. Fennemore Wendel and Sonoran Capital Advisors serve as the Debtor's legal counsel and financial advisor, respectively. MARCH ON HOSPITALITY: Patel Buys Hotel & Related Property for $5.5M ------------------------------------------------------------------- March On Hospitality, LLC, asks the U.S. Bankruptcy Court for the Northern District of Texas, Fort Worth Division, to authorize the private sale of its principal asset -- namely, its interest in hotel La Quinta Inn and Suites located at 1503 Breckenridge Road, in Mansfield, Texas, in Tarrant County, Texas, and related property -- to Pratik Patel or his successors and assignees for $5.5 million, cash. The sole member and manager of the Debtor is Douglas Whatley, the chapter 7 trustee in the California bankruptcy case. Through the instant bankruptcy case, the Debtor intends to sell its property free and clear of liens and pay the holders of allowed claims in full from the sale proceeds through a chapter 11 plan. The Debtor's primary asset is the Hotel. The Hotel has substantial value (approximately $5.5 million) and will generate sufficient sale proceeds to (i) pay the Debtor's creditors in full, including a disputed claim held by Simmons Bank, and (ii) allow the Trustee to provide a return from the remaining sale proceeds to the creditors in the chapter 7 bankruptcy case. The Motion seeks the approval of the sale of the Debtor's principal asset to Pratik Patel or his successors and assignees, by means of a private sale, for $5.5 million. Under the terms of the Hotel Purchase Agreement dated Oct. 11, 2022, the term "Hotel" includes the Hotel itself, the real property on which the Hotel is located ("Land"), all improvements to the Land, all furniture, fixtures and equipment relating to the Hotel, the operations of the Hotel, the licenses and permits relating to the ownership of the Hotel, intangible property relating to the Hotel, and certain executory contracts relating to the operation of the Hotel. The Buyer has provided the Debtor with a deposit of $100,000. The deposit is non-refundable unless March On is unable to complete the sale. Following entry of the order approving this Motion, the Buyer will pay the balance owed to the Debtor and will receive title to the Hotel and all personal property associated with operation of the Hotel as stated in the Purchase Agreement. March On obtained a Commitment for Title Insurance for the Hotel from Stewart Title. The Title Policy shows March On as the owner of the Land and a lien in favor of Simmons based on a Deed of Trust and a financing statement executed by Summerfest Hospitality, LLC rather than the Debtor. There are currently three liens asserted against the Hotel -- (i) an undisputed lien for past due hotel taxes asserted by the Comptroller of the State of Texas, (ii) liens for unpaid property taxes for 2021, 2022 and a portion of 2023 asserted by the Tarrant County Tax Assessor-Collector, and (iii) and a disputed lien asserted by Simmons. The Debtor does not dispute the tax lien asserted by the Comptroller in the amount of $4,289.36 and seeks authorization from the Court to pay this amount at the closing from the sale proceeds. It also believes that it may owe property taxes for all or a portion of 2021 and 2022, and will owe a prorated portion of 2023 from Jan. 1, 2023 through the date of the closing. The Debtor likewise seeks authorization from the Court to pay any outstanding ad valorem taxes to the Tarrant County Tax Assessor at the closing from the sale proceeds. Prior to the Petition Date, the Debtor agreed to the terms of the Purchase Agreement after extensively marketing its assets for sale. The sale represents the best price for the Hotel and should be approved by the Court. The sale will be "as is, where is," without any representations or warranties, express or implied, except for those stated in the Purchase Agreement. Through the Motion, the Debtor also seeks approval to pay all closing costs associated with the sale, including any past due property taxes. Finally, it seeks a good faith finding under section 363(m) of the Bankruptcy Code and the waiver of any applicable stays. For these reasons, the Debtor should be authorized to sell all of its rights, title and interests in the Hotel to Buyer free and clear of all liens, claims, encumbrances, and interests, with all such liens, claims, encumbrances and interests to attach to the proceeds of the sale. About March on Hospitality LLC March on Hospitality LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 23-40140) on January 17, 2023. In the petition signed by Douglas Whatley, the Debtor disclosed up to $10 million in both assets and liabilities. Jude Mark X. Mullin oversees the case. Suzanne K. Rosen, Esq., at Forshey & Prostok, LLP, represents the Debtor as legal counsel. MARTIN MIDSTREAM: Extends Credit Facility Maturity to February 2027 ------------------------------------------------------------------- Martin Midstream Partners L.P. announced that its wholly owned subsidiary, Martin Operating Partnership L.P., as borrower, the Company and certain of the Company's other subsidiaries, as guarantors, entered into an amendment to the Company's existing revolving credit facility. The Amended Credit Facility will become effective upon the closing of the offering by the Company and its wholly owned subsidiary, Martin Midstream Finance Corp., of $400 million in aggregate principal amount of senior secured second lien notes due 2028, which was also announced by the Company, and the satisfaction of certain other conditions related thereto. The Amended Credit Facility amends the Company's existing revolving credit facility entered into on March 28, 2013 to, among other things, (i) extend the stated maturity date from August 2023 to February 2027; (ii) reduce the commitments from $275.0 million to $200.0 million, then further reduce such commitments to $175.0 million on June 30, 2023 and then further reduce such commitments to $150.0 million on June 30, 2024; and (iii) permit the revolving credit facility to be increased from time to time upon the Company's written request, subject to certain conditions (including the consent of the increasing lenders), up to an additional $50.0 million. About Martin Midstream Martin Midstream Partners L.P. is a publicly traded limited partnership with a diverse set of operations focused primarily in the United States Gulf Coast region. The Partnership's primary business lines include: (1) terminalling, processing, storage, and packaging services for petroleum products and by-products; (2) land and marine transportation services for petroleum products and by-products, chemicals, and specialty products; (3) sulfur and sulfur-based products processing, manufacturing, marketing and distribution; and (4) natural gas liquids marketing, distribution and transportation services. Martin Midstream Partners L.P. reported a net loss of $211,000 for the year ended Dec. 31, 2021, a net loss of $6.77 million for the year ended Dec. 31, 2020, and a net loss of $174.95 million for the year ended Dec. 31, 2019. As of June 30, 2022, the Company had $636.16 million in total assets, $667.02 million in total liabilities, and a total partners' deficit of $30.85 million. * * * In August 2022, Moody's Investors Service changed Martin Midstream Partners L.P.'s (MMLP) outlook to positive from stable. Concurrently, Moody's affirmed MMLP's Corporate Family Rating at Caa1. "The change in Martin Midstream's outlook to positive reflects Moody's expectation for MMLP to maintain low leverage over the next 12-18 months, and once it addresses its refinancing needs the rating could be upgraded," said Jonathan Teitel, a Moody's analyst. MARTIN MIDSTREAM: Prices Offering of $400M Senior Secured Notes --------------------------------------------------------------- Martin Midstream Partners L.P. and its wholly owned subsidiary, Martin Midstream Finance Corp. have priced their offering of $400 million in aggregate principal amount of 11.500% senior secured second lien notes due 2028 at a price to the public of 97.000% of their face value. The Notes will be guaranteed by certain of MMLP's current wholly owned subsidiaries and future subsidiaries. The Notes and the guarantees will be secured on a second-priority basis by a lien on the collateral of the Issuers and the guarantors, which will consist of substantially all the assets of the Issuers and the guarantors, subject to certain exceptions. The Notes will mature on Feb. 15, 2028. The offering is expected to close on Feb. 8, 2023, subject to customary conditions. The Issuers intend to use the net proceeds from the offering to (i) repurchase any and all of the approximately $53.7 million outstanding aggregate principal amount of the Issuers' 10.000% senior secured 1.5 lien notes due 2024 and the approximately $291.4 million outstanding aggregate principal amount of the Issuers' 11.500% senior secured second lien notes due 2025 through cash tender offers, (ii) to the extent any Existing Notes remain outstanding after the Tender Offers, pay the redemption price of such Existing Notes using the optional redemption provisions of the indentures governing the Existing Notes, (iii) pay fees and expenses incurred in connection with the offering or the repurchase of the Existing Notes and (iv) partially repay outstanding borrowings under MMLP's revolving credit facility. The Notes and related guarantees are being offered only to qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended, or outside the United States to persons other than "U.S. persons" in compliance with Regulation S under the Securities Act. The Notes and related guarantees have not been registered under the Securities Act or the securities laws of any other jurisdiction and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. About Martin Midstream Martin Midstream Partners L.P. is a publicly traded limited partnership with a diverse set of operations focused primarily in the United States Gulf Coast region. The Partnership's primary business lines include: (1) terminalling, processing, storage, and packaging services for petroleum products and by-products; (2) land and marine transportation services for petroleum products and by-products, chemicals, and specialty products; (3) sulfur and sulfur-based products processing, manufacturing, marketing and distribution; and (4) natural gas liquids marketing, distribution and transportation services. Martin Midstream Partners L.P. reported a net loss of $211,000 for the year ended Dec. 31, 2021, a net loss of $6.77 million for the year ended Dec. 31, 2020, and a net loss of $174.95 million for the year ended Dec. 31, 2019. As of June 30, 2022, the Company had $636.16 million in total assets, $667.02 million in total liabilities, and a total partners' deficit of $30.85 million. * * * In August 2022, Moody's Investors Service changed Martin Midstream Partners L.P.'s (MMLP) outlook to positive from stable. Concurrently, Moody's affirmed MMLP's Corporate Family Rating at Caa1. "The change in Martin Midstream's outlook to positive reflects Moody's expectation for MMLP to maintain low leverage over the next 12-18 months, and once it addresses its refinancing needs the rating could be upgraded," said Jonathan Teitel, a Moody's analyst. MEND CORRECTIONAL: Crow Wing Buying Copyrighted Forms for $10K -------------------------------------------------------------- MEnD Correctional Care, PLLC, asks the U.S. Bankruptcy Court for the District of Minnesota to authorize it to sell its copyrighted forms, policies, and protocols to Crow Wing County for $10,000 cash. A hearing on the Motion is set for Feb. 8, 2023, at 9:30 a.m. The Objection Deadline is Feb. 3, 2023. The present case filed was due to cash flow difficulties experienced by the Debtor. It was not caused by any issues related to the services provided by the Debtor. The Debtor's extreme cash flow difficulties resulted in it defaulting on payments to several creditors. The Debtor operates a correctional medical care business which provides medical care to the individuals in the correctional facilities in several counties in the following States: Minnesota, Illinois, Iowa, South Dakota and Wisconsin. It owns copy righted forms, policies and protocols. In its dealings with county correctional facilities, it permits the non-exclusive use of those copyrighted assets. The Debtor had a contract with the Crow Wing County Jail in Crow Wing County, Minnesota, which has been terminated by the County. The County wishes to acquire the use of the Debtor's Forms, Policies and protocol manual. The Debtor proposes to allow the County non-exclusive use of the assets described. Crow Wing County has offered to pay the Debtor the sum of $10,000 cash for the non-exclusive use of the assets described. The assets proposed to be sold are not subject to any liens or encumbrances. Pursuant to Local Rule 9013-2(c), the Debtor states that should testimony be necessary, it reserves the right to call Todd Leonard, MD CCHP-P, on its behalf. By the Motion, the Debtor requests the Court enters an order approving the sale of its copyrighted forms, policies, and protocols. About MEnD Correctional Care MEnD Correctional Care, PLLC is a health care services and management company in Sartell, Minn. MEnD Correctional Care filed its voluntary petition for Chapter 11 protection (Bankr. D. Minn. Case No. 22-60407) on Nov. 30, 2022, with up to $50,000 in assets and $1 million to $10 million in liabilities. Todd Leonard, MD CCHP-P, president and chief medical officer, signed the petition. Judge Michael E. Ridgway oversees the case. Steven B. Nosek, P.A. serves as the Debtor's legal counsel. MERCURITY FINTECH: Onestop Replaces Shanghai Perfect as Auditor --------------------------------------------------------------- The Board of Directors of Mercurity Fintech Holding Inc. approved the termination of the engagement of Shanghai Perfect C.P.A. Partnership serving as the Company's independent registered public accounting firm, according to the Company's Form 6-K filed with the Securities and Exchange Commission. The reports of Shanghai Perfect on the financial statements of the Company as of and for the fiscal years ended Dec. 31, 2019, 2020, 2021 and the subsequent interim period through June 30, 2022 did not contain any adverse opinion or disclaimer of opinion and was not qualified or modified as to uncertainty, audit scope or accounting principles. During the Company's fiscal years ended Dec. 31, 2019, 2020, 2021 and the subsequent interim period through June 30, 2022, there were no disagreements with Shanghai Perfect on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which disagreement(s), if not resolved to the satisfaction of Shanghai Perfect, would have caused it to make reference to the subject matter of the disagreement(s) in connection with its report. During the Company's fiscal years ended Dec. 31, 2019, 2020, 2021 and the subsequent interim period through June 30, 2022, there were no reportable events of the type described in Item 304(a)(1)(v) of Regulation S-K. On Jan. 27, 2023, the Board approved the engagement of Onestop Assurance PAC as the Company's new independent registered public accounting firm. During the Company's most recent fiscal years ended Dec. 31, 2020 and 2021 and the subsequent interim period through June 30, 2022, neither the Company nor anyone on its behalf consulted with Onestop Assurance regarding (i) the application of accounting principles to a specified transaction, either completed or proposed; the type of audit opinion that might be rendered on the Company's financial statements, and neither a written report nor oral advice was provided that Onestop Assurance concluded was an important factor considered by the Company in reaching a decision as to the accounting, auditing or financial reporting issue; or (ii) any matter that was either the subject of a disagreement (as defined in Item 304(a)(1)(iv) of Regulation S-K and its related instructions) or a reportable event (as described in Item 304(a)(1)(v) of Regulation S-K). About Mercurity Formerly known as JMU Limited, Mercurity Fintech Holding Inc. is a digital fintech group powered by blockchain technology. The Company's primary business scope includes digital asset trading, asset digitization, cross-border remittance and other services, providing compliant, professional, and highly efficient digital financial services to its customers. The Company recently began to narrow in on Bitcoin mining, digital currency investment and trading, and other related fields. This shift has enabled the company to deepen its involvement in all aspects of the blockchain industry, from production to circulation. Mercurity reported a net loss of $20.75 million for the year ended Dec. 31, 2021, a net loss of $1.65 million for the year ended Dec. 31, 2020, a net loss of $1.22 million for the year ended Dec. 31, 2019, a net loss of $123.24 million for the year ended Dec. 31, 2018, and a net loss of $161.90 million for the year ended Dec. 31, 2017. META MEDIA: Case Summary & 20 Largest Unsecured Creditors --------------------------------------------------------- Debtor: Meta Media Tech, Inc., a Delaware corporation 530 S. Lake Avenue, Suite 705 Pasadena, CA 91101 Chapter 11 Petition Date: February 2, 2023 Court: United States Bankruptcy Court Central District of California Case No.: 23-10603 Debtor's Counsel: David B. Golubchik, Esq. LEVENE, NEALE, BENDER, YOO & GOLUBCHIK L.L.P. 2818 La Cienega Avenue Los Angeles, CA 90034 Tel: (310) 229-1234 Email: dbg@lnbyg.com Estimated Assets: $10 million to $50 million Estimated Liabilities: $1 million to $10 million The petition was signed by Jason Brenek as chief executive officer. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/QLA2WDQ/Meta_Media_Tech_Inc_a_Delaware__cacbke-23-10603__0001.0.pdf?mcid=tGE4TAMA List of Debtor's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount 1. Visaic Inc $697,506 10755 Scripps Poway Pkwy Suite F #589 San Diego, CA 92131 2. Bruce Pollack/JayJel2 $650,000 443 Greenwich Street, #5A New York, NY 10013 3. Jenner & Block LLP $233,506 353 N. Clark Street Chicago, IL 60654 4. Velocity, a Managed $180,000 Services Co. 7130 Spring Meadows Drive Holland, OH 43528 5. HCL America Inc $135,864 330 Potrero Ave Sunnyvale, CA 94085 6. HCL Technologies Limited $105,156 806 Siddhartha, 96 Nehru Place New Dehli 110019 India 7. Ed Kutchin $100,000 443 Greenwich Street, #5A New York, NY 10013 8. Spectrotel $83,589 3535 State Hwy 66 Bldg 7 Neptune, NJ 07753 9. Chase Credit Card $70,532 1305 Fair Oaks Ave. Debt South Pasadena, CA 91030 10. Cinemark USA Inc $54,317 3900 Dallas Parkway Plano, TX 75093 11. ChamberlaynePR $52,612 4362 Valle Drive La Mesa, CA 91941 12. Data Sales Co Inc $47,273 3450 W Burnsville Parkway Burnsville, MN 55337 13. Lynn Siew Promissory Note $40,000 1778 S. Crescent Heights Blvd Studio City, CA 91604 14. Porter Wright Morris $22,699 & Arthur LLP 41 South High Street Ste. 2800-3200 Columbus, OH 43215-6194 15. Balmoral Advisors LLC $20,000 100 S. Wacker Drive Suite 850 Chicago, IL 60606 16. Moss Adams LLP $19,750 PO Box 101822 Pasadena, CA 91189-1822 17. Parsus LLP $11,006 530 S. Lake Ave. #999 Pasadena, CA 91101 18. Qube Cinema Inc $8,953 898 North Pacific Coast Hwy Suite 750 El Segundo, CA 90245 19. Fasken Martineau $8,563 DuMoulin LLP 333 Bay Street, # 2400 Toronto M5H 2T6 Canada 20. PSSI Global $8,262 Services LLC 4415 Wagon Trail Avenue Las Vegas, NV 89118 MIA PROCESSING: Seeks to Hire Gregory K. Stern as Legal Counsel --------------------------------------------------------------- Mia Processing, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Illinois to hire Gregory K. Stern, P.C. as its legal counsel. The firm's legal services include: (a) reviewing assets, liabilities, loan documentation, executory contracts and other relevant documentation; (b) preparing list of creditors, list of 20 largest unsecured creditors, schedules and statement of financial affairs; (c) giving the Debtor legal advice with respect to its powers and duties in the operation and management of its financial affairs; (d) assisting the Debtor in the preparation of schedules, statement of affairs and other necessary documents; (e) preparing legal papers; (f) negotiating with creditors and other parties in interest, attending court hearings, meetings of creditors and meetings with other parties in interest; (g) reviewing proofs of claim and solicitation of creditors' acceptances of plan; and, (h) other legal services. The attorneys' hourly rates are as follows: Gregory K. Stern, Esq. $550 Dennis E. Quaid, Esq. $550 Monica C. O'Brien, Esq. $500 Rachel S. Sandler, Esq. $400 The firm received payment of a pre-bankruptcy minimum fee in the amount of $26,738. Gregory K. Stern, P.C. does not represent interests adverse to the Debtor and its estate in the matters upon which they are to be engaged, according to court filings. The attorneys can be reached through: Gregory K. Stern, Esq. Dennis E. Quaid, Esq. Monica C. O'Brien, Esq. Rachel S. Sandler, Esq. Gregory K. Stern, P.C. 53 West Jackson Boulevard, Suite 1442 Chicago, IL 60604 Phone: (312) 427-1558 Email: greg@gregstern.com dquaid3@gmail.com monica@gregstern.com rachel@gregstern.com About Mia Processing Mia Processing, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ill Case No. 23-00550) on Jan 16, 2023. The petition was signed by Michael Lucia as manager. At the time of filing, the Debtor estimated up to $50,000 in assets and $1 million to $10 million in liabilities. Judge Timothy A Barnes presides over the case. Gregory K. Stern, Esq. at Gregory K. Stern, P.C. represents the Debtor as counsel. MIDWEST OVERNITE: Selling 2022 GMC/SIERRA Pickup Truck for $68K --------------------------------------------------------------- Midwest Overnite Inc. asks the U.S. Bankruptcy Court for the District of Nebraska to authorize the private sale of a 2022 GMC/SIERRA pickup truck (VIN ending x204555) to Woodhouse Buick GMC of Omaha for the sum of $68,000, free and clear of all liens, claims, interests, and encumbrances. The Debtor began operations with 4 trucks and slowly began growing. After several years of operations, life on the road begins to take its toll on the rolling fleet. Unfortunately for the Debtor, the COVID 19 pandemic exacerbated these issues. Repairs to commercial-sized trucks are expensive to begin with compared to non-commercial trucks. As repairs of owned trucks mounted and remained idle, the Debtor turned to leasing trucks in order to keep operating, haul freight, and maintain its workforce. In addition, the Debtor has suffered tremendously from the recent, prolonged increase in fuel. It also faces headwinds from a troubled labor force. These events culminated in increasing pressure on the Debtor's cash flow and the decision was made to seek protection in the Court before matters reached a point of no return. Ultimately, the Debtor hopes to use the bankruptcy process to shed debt, reduce it expensive fleet, and seek profitability by returning to a leaner operation. By outward appearance, there is a lot of creditor activity in the case. However, this activity is actually part of the Debtor's ongoing reorganization efforts to reduce the size of its operations, to eliminate useless or non-productive assets, to reduce unnecessary expenses commensurately, and to return to profitability. To that end, Debtor has been in near constant negotiations and discussions with counselors for various creditors, including Cornhusker Ideallease, Centris Federal Credit Union, and others. It is also cooperating in any way possible to assist these creditors in the return of certain assets. As part of this process, however, the Debtor requires a capital infusion to: (i) carry Debtor through the leaner months of winter when both freight availability and freight prices are seasonally lower; (ii) to meet ongoing administrative expenses; and (iii) provide a reserve for operations and unforeseen repairs and maintenance needs. The Motion is designed to facilitate this goal. The Debtor seeks to obtain the approval for the sale of a 2022 GMC/SIERRA pickup truck (VIN ending x204555) by private sale. It believes that the sale of the Asset pursuant to the terms set forth will maximize the recovery for its estate. The Debtor has contacted several third-party auto dealers / purchases of vehicles to determine a fair price. To that end, it received three different purchase price offers and has decided to sell the Assets, "as is where is," to Woodhouse Buick GMC of Omaha, 11991 I Street, Omaha, NE 68137 for the sum of $68,000, the highest (by far) offered price. At a threshold matter, the Asset is unencumbered. The Debtor is in possession of the original title and there are no liens notated thereon. As such, the Sale should be approved free and clear of all Interests. In order to permit the Sale to proceed as expeditiously as possible and to avoid further degradation or loss of value to the Asset, the Debtor asks the Court to waive the 14-day stay provided in Rule 6004(h). The Purchaser: WOODHOUSE BUICK GMC of OMAHA 11991 I Street Omaha, NE 68137 About Midwest Overnite, Inc. Midwest Overnite, Inc. operates in the general freight trucking industry. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Neb. Case No. 22-80737) on October 6, 2022. In the petition signed by Chris Horn, Sr., president, the Debtor disclosed up to $ 1 million in assets and up to $10 million in liabilities. Judge Thomas L. Saladino oversees the case. Patrick R. Turner, Esq., at Turner Legal Group, LLC, is the Debtor's counsel. Centris Federal Credit Union, as lender, is represented by: Brandon R. Tomjack, Esq. Baird Holm LLP 1700 Farnam Street, Suite 1500 Omaha, NE 68102-2068 Tel: (402) 636-8347 Email: btomjack@bairdholm.com MORA HOUSE: Seeks to Hire Altman Brothers as Real Estate Broker --------------------------------------------------------------- Mora House One, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of California to hire an additional broker to sell its property located at 10718 Mora Drive, Los Altos, Calif. The Debtor previously hired Compass Real Estate as broker for the Los Altos property. To further expedite the sale of the property, the Debtor would like to additionally employ realtor, Josh Altman, to the listing. Mr. Altman has agreed to share the commission that is already listed on the current agreement, which is capped at 3 percent for the seller's side. Mr. Altman disclosed in a court filing that his firm is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. The broker can be reached through: Josh Altman The Altman Brothers 103 S. Robertson Blvd. Los Angeles, CA 90048 Tel: 1-310-819-3250 Email: Marketing@TheAltmanBrothers.com About Mora House One Mora House One, LLC is a single asset real estate (as defined in 11 U.S.C. Section 101(51B)). Mora House One filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Calif. Case No. 22-50917) on Oct. 7, 2022. In the petition signed by its managing member, Melvin Vaughn, the Debtor listed $10 million to $50 million in both assets and liabilities. Arasto Farsad, Esq., at Farsad Law Office, P.C. represents the Debtor as counsel. MOVIA ROBOTICS: Court OKs Cash Collateral Access Thru Feb 28 ------------------------------------------------------------ The U.S. Bankruptcy Court for the District of Connecticut, Hartford Division, authorized Movia Robotics, Inc. to use cash collateral on an interim basis in accordance with the budget, with a 10% variance, through February 28, 2023. The Debtor requires the use of cash collateral to pay business expenses. The U.S. Small Business Administration, Clean Feet Investors I, LLC, and J.P. Bolat/The Bolat Group assert an interest in the Debtor's cash collateral. In exchange for the preliminary use of cash collateral by the Debtor and as adequate protection, the SBA, Clean Feet, Webster Bank, and J.P Bolat/The Bolat Group are granted replacement and/or substitute liens as provided in 11 U.S.C. section 361(1) in all post-petition assets of the Debtor and proceeds thereof, excluding any bankruptcy avoidance causes of action. The replacement liens will have the same validity, extent and priority that the SBA, Clean Feet, Webster Bank, and J.P Bolat/The Bolat Group possessed on the Petition Date. The Debtor will also provide to the SBA, Clean Feet, Webster Bank, and J.P. Bolat/The Bolat Group monthly statements reflecting the financial activity of the Debtor. The liens of the SBA, Clean Feet, Webster Bank and J.P Bolat/The Bolat Group and any replacement thereof, and any priority to which the SBA, Clean Feet, Webster Bank and J.P Bolat/The Bolat Group may be entitled or become entitled under section 507(b), will be subject and subordinate to a carve-out of such liens for amounts payable by the Debtor for (i) fees of the United States Trustee under 28 U.S.C. section 1930(a)(6); (ii) wages due the Debtor's employees and (iii) court-approved fees of the Debtor's professionals. A final hearing on the matter is set for February 28 at 2 p.m. A copy of the order and the Debtor's budget is available at https://bit.ly/3kRA24P from PacerMonitor.com. The Debtor projects $77,454 in total revenue and $84,334 in total expenses. About Movia Robotics, Inc. Movia Robotics, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Conn. Case No. 23-20024) on January 18, 2023. In the petition signed by Timothy Gifford, president, the Debtor disclosed up to $10 million in both assets and liabilities. Judge James J. Tancredi oversees the case. Timothy D. Miltenberger, Esq., at Cohn Birnbaum & Shea, P.C., represents the Debtor as legal counsel. MUSCLEPHARM CORP: Committee Taps Larson & Zirzow as Nevada Counsel ------------------------------------------------------------------ The official committee of unsecured creditors of MusclePharm Corp. seeks approval from the U.S. Bankruptcy Court for the District of Nevada to hire Larson & Zirzow, LLC as its Nevada counsel. The firm's services include: (a) assisting the Debtor's lead bankruptcy counsel in advising, and representing the committee in its consultations with the Debtor regarding the administration of the Chapter 11 case; (b) assisting the Debtor's lead bankruptcy counsel in advising, and representing the committee with respect to the Debtor's retention of professionals and advisors in the case; (c) assisting the Debtor's lead bankruptcy counsel in advising, and representing the committee in analyzing the Debtor's assets and liabilities, investigating the extent and validity of liens, and participating in and reviewing any proposed asset sales, any asset dispositions, financing arrangements, and cash collateral stipulation or proceedings; (d) assisting the Debtor's lead bankruptcy counsel in advising, and representing the committee in any manner relevant to reviewing and determining the Debtor's rights and obligations under leases and other executory contracts; (e) assisting the Debtor's lead bankruptcy counsel in advising, and representing the committee in investigating the acts, conduct, assets, liabilities, and financial condition of the Debtor, the Debtor's operations and the desirability of the continuance of any portion of those operations, and any other matters relevant to this case or to the formulation of a plan of reorganization or liquidation; (f) assisting the Debtor's lead bankruptcy counsel in advising and representing the committee in its analysis of, and any objection to, any disclosure statement; (g) assisting the Debtor's lead bankruptcy counsel in advising, and representing the committee in its participation in the negotiation, formulation, or objection to any plan of liquidation or reorganization; (h) assisting the Debtor's lead bankruptcy counsel in advising the committee regarding its duties under the Bankruptcy Code and the Bankruptcy Rules; (i) assisting the Debtor's lead bankruptcy counsel in advising, and representing the committee in the evaluation of claims and on any litigation matters, including avoidance actions; and (j) other necessary legal services. The hourly rates of the firm's counsel and staff are as follows: Matthew C. Zirzow, Attorney $600 per hour Patricia Huelsman, Paralegal $220 per hour In addition, the firm will seek reimbursement for expenses incurred. Matthew Zirzow, Esq., an attorney at Larson & Zirzow, disclosed in a court filing that the firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Matthew C. Zirzow, Esq. Zachariah Larson, Esq. Larson & Zirzow, LLC 850 E. Bonneville Ave. Las Vegas, NE 89101 Telephone: (702) 382-1170 Facsimile: (702) 382-1169 Email: mzirzow@lzlawnv.com zlarson@lzlawnv.com About MusclePharm Corp. Headquartered in Denver, Colorado, MusclePharm Corporation (OTCQB:MSLP) -- http://www.musclepharm.com/and http://www.musclepharmcorp.com/-- is a lifestyle company that develops, manufactures, markets and distributes branded nutritional supplements. It offers a broad range of performance powders, capsules, tablets, gels and on-the-go ready to eat snacks that satisfy the needs of enthusiasts and professionals alike. MusclePharm filed a petition for relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. D. Nev. Case No. 22-14422) on Dec. 15, 2022. In the petition filed by its chief executive officer, Ryan Drexler, the Debtor reported assets and liabilities between $10 million and $50 million. The Honorable Natalie M. Cox is the case judge. The Debtor tapped Samuel A. Schwartz, Esq., at Schwartz Law, PLLC as legal counsel, and Portage Point Partners, LLC as restructuring advisor. Jeffrey Gasbarra of Portage Point Partners serves as the Debtor's chief restructuring officer. The U.S. Trustee for Region 17 appointed an official committee to represent unsecured creditors in the Debtor's case. Pachulski Stang Ziehl & Jones, LLP and Larson & Zirzow, LLC serve as the committee's bankruptcy counsel and Nevada counsel, respectively. MUSCLEPHARM CORP: Committee Taps Pachulski as Bankruptcy Counsel ---------------------------------------------------------------- The official committee of unsecured creditors of MusclePharm Corp. seeks approval from the U.S. Bankruptcy Court for the District of Nevada to hire Pachulski Stang Ziehl & Jones, LLP as its bankruptcy counsel. The firm's services include: -- assisting, advising and representing the committee in its consultations with the Debtor regarding the administration of its Chapter 11 case; -- assisting, advising and representing the committee with respect to the Debtor's retention of professionals and advisors with respect to the Debtor's business and this case; -- assisting, advising and representing the committee in analyzing the Debtor's assets and liabilities, investigating the extent and validity of liens and participating in and reviewing any proposed asset sales, any asset dispositions, financing arrangements and cash collateral stipulations or proceedings; -- assisting, advising and representing the committee in any manner relevant to reviewing and determining the Debtor's rights and obligations under leases and other executory contracts; -- assisting, advising and representing the committee in investigating the acts, conduct, assets, liabilities and financial condition of the Debtor, the Debtor's operations and the desirability of the continuance of any portion of those operations, and any other matters relevant to this Case or to the formulation of a Chapter 11 plan; -- assisting, advising and representing the committee in connection with any sale of the Debtor's assets; -- assisting, advising and representing the committee in its analysis of and any objection to any disclosure statement; -- assisting, advising and representing the committee in its participation in the negotiation, formulation, or objection to any plan of liquidation or reorganization; -- advising the committee regarding its powers and its duties under the Bankruptcy Code and the Bankruptcy Rules; -- assisting, advising and representing the committee in the evaluation of claims and on any litigation matters, including avoidance actions; and -- other legal services. The firm will be paid at these rates: Jason H. Rosell $1,275 per hour John D. Fiero $995 per hour Paralegal $545 per hour Pachulski is a disinterested person within the meaning of Section 101(14) of the Bankruptcy Code, according to court filings. The firm can be reached through: Jason H. Rosell, Esq. John D. Fiero, Esq. Pachulski Stang Ziehl & Jones, LLP One Sansome Street, Suite 3430 San Francisco, CA 94104 Tel: 415-263-7000 Email: jrosell@pszjlaw.com jfiero@pszjlaw.com About MusclePharm Corp. Headquartered in Denver, Colorado, MusclePharm Corporation (OTCQB:MSLP) -- http://www.musclepharm.com/and http://www.musclepharmcorp.com/-- is a lifestyle company that develops, manufactures, markets and distributes branded nutritional supplements. It offers a broad range of performance powders, capsules, tablets, gels and on-the-go ready to eat snacks that satisfy the needs of enthusiasts and professionals alike. MusclePharm filed a petition for relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. D. Nev. Case No. 22-14422) on Dec. 15, 2022. In the petition filed by its chief executive officer, Ryan Drexler, the Debtor reported assets and liabilities between $10 million and $50 million. The Honorable Natalie M. Cox is the case judge. The Debtor tapped Samuel A. Schwartz, Esq., at Schwartz Law, PLLC as legal counsel, and Portage Point Partners, LLC as restructuring advisor. Jeffrey Gasbarra of Portage Point Partners serves as the Debtor's chief restructuring officer. The U.S. Trustee for Region 17 appointed an official committee to represent unsecured creditors in the Debtor's case. Pachulski Stang Ziehl & Jones, LLP and Larson & Zirzow, LLC serve as the committee's bankruptcy counsel and Nevada counsel, respectively. MYOMO INC: Appoints Yitzchak Jacobovitz as Director --------------------------------------------------- Myomo, Inc. announced the appointment of Yitzchak Jacobovitz as a Class II director to serve until the 2025 annual meeting of stockholders. With this appointment, Myomo has six directors. Mr. Jacobovitz, 47, is a partner and lead healthcare analyst at AIGH Capital Management and affiliates, where he has significantly grown AIGH's healthcare footprint since joining in 2014. Prior to AIGH, Mr. Jacobovitz was a managing director at Capstone, a policy research firm and an analyst at Leap Tide Capital, a special situations hedge fund. Mr. Jacobovitz received his Masters in Business Administration from Johns Hopkins University and is a Chartered Financial Analyst "We welcome Yitz to the Myomo Board of Directors and are gratified that AIGH was the lead investor in our most recent equity offering," said Paul R. Gudonis, chairman and chief executive officer of Myomo. "Yitz brings extensive healthcare investment experience to our board, and we look forward to his contributions as we build value for our stockholders." About Myomo Headquartered in Cambridge, Massachusetts, Myomo, Inc. -- http://www.myomo.com-- is a wearable medical robotics company that offers expanded mobility for those suffering from neurologicaldisorders and upper limb paralysis. Myomo develops and markets the MyoPro product line. MyoPro is a powered upper limb orthosis designed to support the arm and restore function to the weakened or paralyzed arms of patients suffering from CVA stroke, brachial plexus injury, traumatic brain or spinal cord injury, ALS or other neuromuscular disease or injury. Myomo reported a net loss of $10.37 million for the year ended Dec. 31, 2021, a net loss of $11.56 million for the year ended Dec. 31, 2020, a net loss of $10.71 million for the year ended Dec. 31, 2019, and a net loss of $10.32 million for the year ended Dec. 31, 2018. As of Sept. 30, 2022, the Company had $12.16 million in total assets, $4.33 million in total liabilities, and $7.82 million in total stockholders' equity. NANTASKET MANAGEMENT: Seeks Cash Collateral Access -------------------------------------------------- Nantasket Management, LLC asks the U.S. Bankruptcy Court for the District of Massachusetts, Eastern Division, for authority to use cash collateral in accordance with the budget. The Debtor requires the use of cash collateral to pay usual and ordinary operating expenses of the Debtor's operations. Prior to the Petition Date, the Debtor had acquired eight former U.S. Coast Guard housing homes in Hull, Mass. The Debtor was the winning bidder in an auction for eight Hull properties. The Debtor's manager, Michael Kim, is an engineer who has experience in bidding for and acquiring former U.S. government-owned properties and then selling them for profit. At the time of the filing of the proceeding, the Debtor had six remaining properties located on Nantasket Avenue in Hulk. The Debtor's prepetition financial condition precipitating its Chapter 11 filing is a consequence of scheduled foreclosures notwithstanding efforts made to negotiate alternatives. US Bank National Association, as Trustee for Velocity Commercial Capital Loan Trust 2019-2, holds liens of the Debtor's assets and are recorded at the Plymouth County Registry of Deeds in the Commonwealth of Massachusetts. The Debtor believes and has scheduled that the properties have aggregate values "as is" of more than $2.8 million. The income derived from tenants constitute cash collateral. As adequate protection, the Debtor proposes the following: a. To maintain insurance on the properties. At present, the properties are insured; b. To grant to the lien holder replacement liens on the same types of post-petition property of the estate against which the lienholder held the lien as of December 6, 2022, the Chapter 11 petition date. The replacement liens will maintain the same priority, validity and enforceability as the lien holders' pre-petition liens. The replacement liens will be recognized only to the extent of the diminution in value of the mortgage holder's pre-petition collateral after the petition date resulting from the Debtor's use of cash collateral during the pendency of the case; c. To continue to make payments consistent with the budget on a monthly basis. A copy of the motion and the Debtor's budget is available at https://bit.ly/3XZ5Q6F from PacerMonitor.com. The Debtor projects $25,000 in total income and $7,012 in total expenses. About Nantasket Management Nantasket Management, LLC filed its voluntary petition for Chapter 11 protection (Bankr. D. Mass. Case No. 22-11772) on Dec. 6, 2022. In the petition signed by its manager, Michael Kim, the Debtor listed up to $10 million in both assets and liabilities. Judge Janet E. Bostwick oversees the case. The Law Offices of John F. Sommerstein serves as the Debtor's bankruptcy counsel. NEW ORLEANS CREMATION: Taps Robert L. Marrero as Legal Counsel -------------------------------------------------------------- New Orleans Cremation Service, Inc. seeks approval from the U.S. Bankruptcy Court for the Eastern District of Louisiana to hire Robert L. Marrero, LLC as its legal counsel. The Debtor requires legal counsel to: a) give advice concerning questions arising in the administration of the estate and concerning the Debtor's rights and remedies with regard to the estate's assets and claims of creditors; b) appear for, prosecute, defend, and represent the Debtor's interests in suits arising in or related to its Chapter 11 case; c) investigate and prosecute preference and other actions arising under the Debtor's avoiding powers; d) assist in the preparation of legal papers and advise the Debtor in connection with the operation of its business; and e) present a plan of reorganization. The firm will charge these hourly fees: Robert L. Marrero $450 Associates $150 - $250 Law Clerks $75 - $125 Paralegals $65 - $95 As disclosed in court filings, Robert L. Marrero is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. The firm can be reached through: Robert L. Marrero, Esq. Robert L. Marrero, LLC 401 Whitney Ave., Suite 126 Gretna, LA 70056 Telephone: (504) 366-8025 Facsimile: (504)366-8026 Email: office@bobmarrero.com About New Orleans Cremation Service New Orleans Cremation Service, Inc. sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D. La. Case No. 23-10105) on Jan. 24, 2023. At the time of filing, the Debtor estimated $500,001 to $1 million in assets and $100,001 to $500,000 in liabilities. Judge Meredith S Grabill presides over the case. Robert Marrero, LLC represents the Debtor as legal counsel. NEWBRIDGE ON THE CHARLES: Fitch Affirms IDR at BB+, Outlook Stable ------------------------------------------------------------------ Fitch Ratings has affirmed at 'BB+' the Issuer Default Rating (IDR) for NewBridge on the Charles (NewBridge) and affirmed the 'BB+' rating on approximately $236 million of outstanding revenue refunding bonds, series 2017 previously issued by the Massachusetts Development Finance Agency on behalf of NewBridge. The Rating Outlook is Stable. Entity/Debt Rating Prior ----------- ------ ----- NewBridge on the Charles, Inc. (MA) LT IDR BB+ Affirmed BB+ NewBridge on the Charles, Inc. (MA) /General Revenues/1 LT LT BB+ Affirmed BB+ SECURITY The bonds are secured by a mortgage on the retirement community facility, a security interest in NewBridge's collateral, as defined in the Master Trust Indenture, including gross revenues, a debt service reserve fund. ANALYTICAL CONCLUSION The 'BB+' rating reflects NewBridge's high debt burden and limited financial cushion resulting in elevated capital metrics, which are the primary constraints on the rating, despite NewBridge's strong business profile attributes. NewBridge, a strong operator, has displayed solid demand for its services, as indicated by high independent living unit (ILU) occupancy averaging over 95% over the last five fiscal years (2018-2022 FYE September). This is supported by its location in a socioeconomically strong primary market area (PMA) and its relationship with Hebrew SeniorLife (HSL), which gives NewBridge a favorable reputation outside of its PMA. KEY RATING DRIVERS Revenue Defensibility: 'a' High Occupancy; Good Market Position NewBridge's strong revenue defensibility reflects high demand for its services, as indicated by strong occupancy at all levels of care, owing to its relationship with Hebrew SeniorLife (HSL), attractive facilities, and favorable location. Over the last five years (2018-2022 FYE September), Newbridge averaged an ILU occupancy of 95.8%, and an assisted living (ALU) occupancy of 94.8%. The health care center (HCC) occupancy was 94.6% (long term chronic care and skilled nursing) and approximately 96% in memory care units over this time. NewBridge has a robust waitlist with 138 prospective residents for Independent Living and 120 prospective residents for Assisted Living. Operating Risk: 'bbb' Strong Operations, High But Normalizing Debt Burden Fitch's assessment of NewBridge's operating risk reflects its predominantly type-C contract mix and strong overall operating performance. This has historically been enhanced by capital contributions from HSL and affiliates which has totaled about $20.8 million since 2007. This is offset by its high debt burden with average revenue-only maximum annual debt service (MADS) coverage of 1.1x and debt-to-net available of 12.9x in fiscal years 2018-2022 and MADS representing a high 24.0% of revenues in fiscal 2022. NewBridge's cash flow performance has been somewhat compressed in FY22 compared to FY21, with a net operating margin-adjusted of 28.2% in fiscal 2021 and 25.9% in fiscal 2022. This is partially due to NewBridge's plan to convert its contract mix to predominantly a 50% refundable contract from a predominantly 90% refundable contract. Fitch believes this conversion could continue to compress cash flow margins in the short term. However, over the long term, the strategy is likely to benefit the community by reducing its refund liability and increasing its retained cash flow. Operating cash flow is also supported by HCC lease payments from Hebrew Rehabilitation Center, Inc. (HRC), which HSL is the sole corporate member of. The amount totaled about $7.9 million in fiscal 2022. The lease agreement with HRC provides the community with monthly rental payments that are equal to 100% of net revenues of the leased space after payment of direct expenses related to those operations. Fitch believes this will provide NewBridge with a consistent and diversified revenue source. HCC's operations are supported by a relatively large private pay business (about 35% of net patient service revenues) and strong history of contracts with MassHealth for residents with Medicaid. NewBridge's average age of plant is 11.2 years, indicating a low degree of lifecycle capital needs and justifying its historically modest capex that averaged about 22.8% of depreciation expense in fiscals 2018-2022. NewBridge's track record of strong occupancy indicates that its plant and facilities are of sufficient quality to meet market demand for amenities and services. Financial Profile: 'bb' Limited Financial Cushion; Improved MADS Coverage As of FYE 2022, NewBridge had approximately $51.6 million in unrestricted cash and investments. This represents a relatively soft cash-to-adjusted debt of 27.9% and MADS coverage of 1.3x. NewBridge's leverage metrics remain consistent with existing levels throughout Fitch's stress case scenario, which incorporates a standard economic and investment portfolio stress using Newbridge's specific asset allocation. At FYE 2022 (September 30), Days Cash on hand totaled 373 days. Asymmetric Additional Risk Considerations No asymmetric risk considerations are relevant to the rating. RATING SENSITIVITIES Factors that could, individually or collectively, lead to negative rating action/downgrade: - Operating profitability or weakness or unexpected notable reduction in ILU occupancy such that NewBridge experiences sustained deterioration in liquidity to levels below 20% cash-to-adjusted debt or reduced MADS coverage at sustained levels below 1.2x Factors that could, individually or collectively, lead to positive rating action/upgrade: - Significant balance sheet improvement could elevate the rating if debt moderates and NewBridge's liquidity position improves, with cash-to-adjusted debt stabilizing comfortably above 40% throughout Fitch's stress case scenario. CREDIT PROFILE NewBridge is a life plan community (LPC) with 256 ILUs, 51 ALUs and 40 memory support units. NewBridge also includes a health care center (HCC) with 48 skilled nursing facility (SNF) beds dedicated to short-term rehabilitative care and 220 long-term chronic care beds. The HCC is leased by HRC, an affiliated entity of HSL. All facilities are located on an expansive 162-acre campus in Dedham, MA, about 10 miles southwest of downtown Boston and just north and east of Route 128/I-95. NewBridge had total operating revenues of $55.7 million and total assets of $273.1 million in fiscal 2022 (YE September 30). The financial analysis and figures cited in this release are for NewBridge only and do not include HCC's revenues and expenses. The revenues and expenses of HRC's operations in the leased space are not reflected in NewBridge's financial statements, only the earnings related to the lease agreement. ESG CONSIDERATIONS NewBridge on the Charles, Inc. (MA) has an ESG Relevance Score of '4' [+] for Group Structure due to its relationship with HSL. NewBridge's sole corporate member and manager is HSL, a prominent senior services enterprise that is affiliated with Harvard Medical School and has significant long-term care operations in the Boston region. This has a positive impact on the credit profile, and is relevant to the ratings in conjunction with other factors. Unless otherwise disclosed in this section, the highest level of ESG credit relevance is a score of '3'. This means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. NEXTPLAY TECHNOLOGIES: Completes Separation of NextTrip Group ------------------------------------------------------------- NextPlay Technologies, Inc. announced it has completed the separation of its online travel business, NextTrip Group, LLC, to a consortium led by former Co-CEO William Kerby. On June 29, 2022, the Company announced the proposed sale of NextTrip and Reinhart Zappware to TGS Esports Inc. That agreement was terminated by mutual consent. NextPlay continues to explore strategic alternatives for the interactive TV business, now known as ZW Inc. As consideration for the assets of NextTrip, NextPlay will receive nonvoting convertible preferred LLC units of NextTrip Group, LLC in the amount of US$4 million. The convertible preferred LLC units are redeemable, can be sold subject to certain transfer restrictions, and are distributable to NextPlay shareholders of record once certain conditions are met, including upon a Nasdaq listing of the NextTrip business. In conjunction with the transaction, Mr. Kerby will be leaving NextPlay Technologies to assume the CEO role at NextTrip Group, LLC. Additionally, Mr. Donald Monaco, Ms. Carmen Diges, and Mr. Kerby have resigned their positions as Directors of Next Play Technologies to assume Director roles on the Board of Directors of NextTrip, LLC., and are pursuing a going public transaction. "We are pleased to complete the separation of NextTrip and look forward to their anticipated success as an independent company. The value they create will accrue to the benefit of NextPlay shareholders," commented Todd Bonner, NextPlay's Chairman. "The divestiture streamline's Next Play's business allowing for increased focus on our core businesses in the areas of financial technology, digital banking, and ad-tech, and advances the company's initiatives in capital allocation," noted NextPlay CEO Nithinan "Jess" Boonyawattanapisut. About NextPlay Technologies NextPlay Technologies, Inc. (formerly known as Monaker Group Inc.) -- nextplaytechnologies.com -- is a technology solutions company offering games, in-game advertising, crypto-banking, connected TV and travel booking services to consumers and corporations within a growing worldwide digital ecosystem. NextPlay's engaging products and services utilize innovative AdTech, Artificial Intelligence and Fintech solutions to leverage the strengths and channels of its existing and acquired technologies. NextPlay reported a net loss of $40.41 million for the year ended Feb. 28, 2022, compared to a net loss of $1.63 million for the period from March 6, 2020 to February 28, 2021. As of Nov. 30, 2022, the Company had $103.85 million in total assets, $57.90 million in total liabilities, and $45.95 million in total stockholders' equity. Sugar Land, Texas-based TPS Thayer, LLC, the Company's auditor since 2020, issued a "going concern" qualification in its report dated June 17, 2022, citing that the Company has suffered recurring losses from operations and has stockholders' deficit that raise substantial doubt about its ability to continue as a going concern. NINE ENERGY: Completes Public Offering of $300M Worth of Units -------------------------------------------------------------- Nine Energy Service, Inc. completed the public offering of 300,000 units with an aggregate stated amount of $300,000,000, pursuant to an underwriting agreement, dated Jan. 19, 2023, by and among the Company, certain of its subsidiaries and J.P. Morgan Securities LLC, as representative of certain underwriters. Each Unit consists of $1,000 principal amount of 13.000% Senior Secured Notes due 2028, which are guaranteed by certain of the Company's subsidiaries, and five shares of common stock, par value $0.01 per share, of the Company, as disclosed in a Form 8-K filed with the Securities and Exchange Commission. About Nine Energy Service Headquartered in Houston, Texas, Nine Energy Service, Inc. is a completion services provider that targets unconventional oil and gas resource development across North American basins and abroad. The Company partners with its exploration and production customers to design and deploy downhole solutions and technology to prepare horizontal, multistage wells for production. Nine Energy reported a net loss of $64.58 million for the year ended Dec. 31, 2021, compared to a net loss of $378.95 million for the year ended Dec. 31, 2020. As of Sept. 30, 2022, the Company had $407.47 million in total assets, $439.56 million in total liabilities, and a total stockholders' deficit of $32.08 million. * * * As reported by the TCR on Nov. 14, 2022, S&P Global Ratings affirmed its 'CCC' issuer credit rating on U.S.-based oil field services provider Nine Energy Service Inc., reflecting elevated restructuring risk given its upcoming debt maturities in 2023. In May 2021, Moody's Investors Service retained Nine Energy's ratings, including its Caa3 Corporate Family Rating (CFR). Nine's Caa3 CFR and negative outlook reflect Moody's view that the company has an untenable capital structure given the still high debt burden despite bond repurchases. NINE ENERGY: S&P Upgrades ICR to 'CCC+' Following Refinancing ------------------------------------------------------------- S&P Global Ratings raised the issuer credit rating on U.S.-based oil field services provider Nine Energy Service Inc. to 'CCC+' from 'CCC'. At the same time, S&P removed all ratings from CreditWatch, where S&P placed them with positive implications on Jan. 17, 2023. S&P said, "We also raised the issue-level ratings on the company's senior secured notes to 'CCC+' from 'CCC'. The secured notes have a recovery of '3' (rounded estimate: 65%) indicating our expectation for meaningful (50%-70%) recovery in the event of a payment default. We also withdrew our rating on the 2023 unsecured notes, which are being redeemed. "The stable outlook reflects Nine's improved debt maturity runway and supportive business fundamentals in 2023. We also anticipate that any free cash flow generated this year will be used to repay debt." The refinancing transaction addressed Nine's impending debt maturity wall, but liquidity remains tight and interest expense has increased. The company has extended its ABL facility to 2027, and its unsecured notes, which were originally due this year, are being redeemed with proceeds from the new unit issuance. S&P said, "Nonetheless, since the company is also using cash and incremental borrowings on the downsized $150 million ABL to facilitate the redemption of the unsecured notes, we expect liquidity will be somewhat tight following the transaction closing with a modest cash balance and just over $25 million available on the $95 million borrowing base (more than 70% drawn). Furthermore, the higher interest expense on the new 13% secured notes due 2028 will have a negative impact on cash flows. Thus, we believe Nine remains somewhat dependent on favorable oil field services market conditions to meet its long-term financial obligations." Nine should perform well in 2023 amid strong demand for oilfield services. S&P said, "We expect ongoing constraints for oil field services equipment and labor will drive revenue and margins higher this year as a combination of improved pricing and continued growth in the completion tools business take hold. Accordingly, we anticipate Nine's average leverage metrics over the next two years will improve significantly to ranges of 25%-30% funds from operations (FFO) to debt and 2x-3x debt to EBITDA. We also expect that moderate free cash flow generation will facilitate partial repayment of its outstanding ABL borrowings as well as the mandatory excess cash flow sweep on the new notes, which begins in November. "The stable outlook reflects Nine's improved debt maturity runway and supportive business fundamentals in 2023. We also anticipate that any free cash flow generated this year will be used to repay debt. "We could lower the rating if liquidity weakens, or if we expect the company to engage in a distressed debt transaction. This could occur if oil and gas prices weaken for a sustained period, driving demand for energy services lower. "We would consider an upgrade if the company significantly improves its liquidity position. This would most likely occur if it utilized free cash flow to meaningfully reduce outstanding borrowings on its ABL facility." ESG credit indicators:E-4, S-2, G-2 S&P said, "Environmental factors are a negative consideration in our credit rating analysis of Nine Energy Service Inc. due to our expectation that the energy transition will result in lower demand for oil field services and equipment, including completion tools and other completion-related offerings as accelerating adoption of renewable energy sources lowers demand for fossil fuels." Additionally, the industry faces an increasingly challenging regulatory environment, both domestically and internationally, that could further affect Nine's operations. To address some of these concerns, Nine has developed dissolvable frac plugs that result in a significantly reduced carbon footprint compared with traditional composite plugs. NORRENBERNS FOODS: $600K Sale of Mascoutah Property to Dove Granted ------------------------------------------------------------------- Judge Laura K. Grandy of the U.S. Bankruptcy Court for the Southern District of Illinois authorized Norrenberns Foods, Inc.'s sale of the real property and improvements commonly known as and located at 201 East Harnett Street, in Mascoutah, Illinois, to Dove Legacy Properties, LLC, or its assigns, for the sum of $600,000. The sale is free and clear of all liens, claims, encumbrances, successor claims and interests, and all such liens, claims, encumbrances, successor claims, and interests shall attach to the proceeds of sale. The Debtor is authorized to execute such documents and engage in such transactions as are necessary and appropriate to convey title to the Property to the Purchaser, or its assigns. All proceeds of sale, less the commission payable to Barbermurphy Group, tax prorations, and other costs and expenses typically attending a sale of real property, shall be paid to Citizen's Community Bank at the time of closing. The provisions of Rule 6004(h) are waived, and the Order is immediately enforceable. The counsel to the Debtor shall serve a copy of the Order by mail on all interested parties who were not served electronically. About Norrenberns Foods, Inc. Norrenberns Foods, Inc., located at 11 Corrington Place, Mascoutah, IL 62258, sought Chapter 11 protection (Bankr. S.D. Ill. Case No. 21-30825) on Dec. 7, 2021. Judge Laura K. Grandy oversees the case. The Debtor estimated assets in the range of $500,000 to $1 million and $1 million to $10 million in debt. The Debtor tapped Steven M. Wallace, Esq., at Goldenberg Heller & Antognoli, P.C. as counsel. The petition was signed by Donald T. Norrenberns as president. PARTY CITY: Seeks to Hire Moelis & Company as Investment Banker --------------------------------------------------------------- Party City Holdco, Inc. and its affiliates seek approval from the U.S. Bankruptcy Court for the Southern District of Texas to hire Moelis & Company, LLC to serve as their investment banker and financial advisor. The firm will render these services: a. assist the Debtors' legal counsel in reviewing and analyzing results of operations, financial condition and business plan of the Debtors; b. assist the Debtors' legal counsel in formulating, reviewing and analyzing any potential restructuring or capital transaction; c. assist the Debtors' legal counsel in negotiating any restructuring or capital transaction or dealing with any applicable rating agencies in connection therewith; d. advise the Debtors' legal counsel on the terms of securities the Debtors offer in any potential capital transaction; e. advise the Debtors' legal counsel on the preparation of information memorandum for a potential capital transaction; f. assist the Debtors' legal counsel in contacting potential purchasers of a capital transaction that Moelis, the counsel and the Debtors agree are appropriate, and meet with and provide them with the information memo and such additional information about the Debtors' assets, properties or businesses acceptable to the counsel, subject to customary business confidentiality agreements; g. provide testimony as to process and terms with respect to transactions in any Bankruptcy Case; h. assist the Debtors' legal counsel in evaluating the Debtors' potential debt capacity in light of its projected cash flows; i. assist the Debtors' legal counsel in the determination of a range of values for the Debtors to the extent required in a bankruptcy case; j. attend meetings of the Board of Directors of the Debtors; and k. provide other financial advisory and investment banking services. The firm will be compensated as follows: i. A monthly fee of $175,000. After six monthly fees have been paid in full, 50 percent of the monthly fees shall be credited against any restructuring fee, up to a maximum total credit of $1 million. ii. A fee of 0.75 percent of total restructured liabilities at the closing of a restructuring. Twenty-five percent (25 percent) of the aggregate capital transaction fee, to the extent actually paid, shall be credited against the restructuring fee. The total restructuring shall not exceed $11 million. iii. At the closing of a capital transaction, a non-refundable cash fee of: a. In the event of a capital transaction in which the aggregate gross amount or face value of capital raised is greater than or equal to $200 million: i. 4.0 percent of the aggregate gross amount or face value of capital raised in the capital transaction as equity, equity-linked interests, options, warrants or other rights to acquire equity interests, plus ii. 2.0 percent of the aggregate gross amount of unsecured debt obligations and other interests raised in the capital transaction, plus iii. 1.0 percent of the aggregate gross amount of secured debt obligations and other interests raised in the capital transaction. b. In the event of a capital transaction in which the aggregate gross amount or face value of capital raised is less than $200 million: i. 5.0 percent of the aggregate gross amount or face value of capital raised in the capital transaction as equity, equity-linked interests, options, warrants or other rights to acquire equity interests, plus ii. 2.0 percent of the aggregate gross amount of debt obligations and other interests raised in the capital transaction. Adam Keil, managing director at Moelis, 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: Adam B. Keil Moelis & Company, LLC 399 Park Avenue, 5th Floor New York, NY 10022 Tel: +1 212 883 3813 Email: adam.keil@moelis.com About Party City Holdco Party City Holdco Inc. (NYSE: PRTY) is the global leader in the celebrations industry, with its offerings spanning more than 70 countries around the world. It is also the largest designer, manufacturer, distributor, and retailer of party goods in North America. Party City Holdco had 761 company-owned stores as of September 2022. It is headquartered in Woodcliff Lake, N.J. with additional locations throughout the Americas and Asia. On Jan. 17, 2023, Party City Holdco and its domestic subsidiaries sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 23-90005). Party City Holdco disclosed total assets of $2,869,248,000 against total debt of $3,022,960,000 as of Sept. 30, 2022. Judge David R. Jones oversees the cases. The Debtors tapped Paul, Weiss, Rifkind, Wharton & Garrison, LLP and Porter Hedges, LLP as legal counsels; Moelis & Company, LLC as investment banker; A&G Realty Partners as real estate consultant; and AlixPartners, LLP as restructuring advisor. David Orlofsky, managing director at AlixPartners, serves as the Debtors' chief restructuring officer. Kroll Restructuring Administration, LLC is the claims, noticing and solicitation agent. Davis Polk & Wardwell, LLP and Lazard serve as legal counsel and investment banker, respectively, to the ad hoc group of first lien holders. PARTY CITY: Shareholders Lobby to Push Assets Sale in Bankruptcy ---------------------------------------------------------------- Eliza Ronalds-Hannon and Reshmi Basu of Bloomberg News report that some of Party City Holdco Inc.’s shareholders are organizing to push the company to sell some or all of its assets in bankruptcy, instead of following a restructuring plan it created with creditors that calls for swapping debt for equity in the reorganized company, according to people with knowledge of the talks. The shareholders argue that Party City could recover more by selling itself in Chapter 11, potentially even enough for value to trickle down to equity. The group plans to request an official equity committee in the Chapter 11 case to represent its interests, said the people, who are familiar with the matter. About Party City Party City Holdco Inc. is a party-supply retailer in the U.S., with 761 company-owned stores as of September 2022, e-commerce operations, and a large wholesale operation that supplies retail operations and third parties. Party City Holdco Inc. and 13 affiliates sought Chapter 11 bankruptcy protection (Bankr. S.D. Tex. Lead Case No. 23-90005) on Jan. 17, 2023. Party City reported $2.869 billion in total assets against $3.022 billion in total liabilities as of Sept. 30, 2022. The Hon. David R. Jones presides over the case. AlixPartners LLP's David Orlofsky serves as the Debtors' Chief Restructuring Officer. Paul, Weiss, Rifkind, Wharton & Garrison LLP and Porter Hedges LLP serve as the Debtors' chapter 11 counsel. Moelis & Company LLC is the Debtors' Investment Banker; Kroll Restructuring Administration LLC acts as the notice and claims agent; and A&G Realty Partners, LLC is the Real Estate Advisor. JPMorgan Chase Bank, N.A., as Prepetition ABL Agent, is represented by Simpson Thacher & Bartlett LLP. The Ad Hoc Group of lenders is represented by Davis Polk & Wardwell LLP. The Ad Hoc Group's advisors also include Lazard Ltd., and Haynes and Boone, LLP, as Texas local counsel. Ankura Trust Company, LLC, as DIP Agent, Prepetition 1L Fixed Notes Trustee, and Prepetition 1L Floating Notes Trustee, is represented by Chapman and Cutler LLP as counsel. PERFORMANCE POWERSPORTS: Gets Approval to Tap Omni as Claims Agent ------------------------------------------------------------------ Performance Powersports Group Investor, LLC and its affiliates received approval from the U.S. Bankruptcy Court for the District of Delaware to employ Omni Agent Solutions as claims and noticing agent. Omni will oversee the distribution of notices and will assist in the maintenance, processing and docketing of proofs of claim filed in the Chapter 11 cases of the Debtors. The firm will be billed at hourly rates ranging from $40 to $225 for its services. The Debtors agree to reimburse the firm's out-of-pocket expenses. Prior to the petition date, the Debtors provided Omni a retainer in the amount of $50,000. Paul Deutch, the executive vice president of Omni Agent Solutions, disclosed in court filings that his firm is a "disinterested person" as that term is defined in section 101(14) of the Bankruptcy Code. The firm can be reached through: Paul H. Deutch Omni Agent Solutions 5955 De Soto Avenue, Suite 100 Woodland Hills, CA 91367 Telephone: (818) 906-8300 About Performance Powersports Group Investor Performance Powersports Group Investor, LLC -- https://colemanpowersportsusa.com/ -- is a leading producer of entry-level powersports equipment sold through "Big Box" retailers. Performance Powersports is in the business of adventure, selling dirt bikes, go-karts, ATVs, golf carts, and the like to retailers throughout the US. PPGI and three affiliates, including Performance Powersports Group Holdings, Inc., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 23-10047) on Jan. 16, 2023. In the petition signed by its chief financial officer, Ken Vanden Berg, PPGI disclosed $100 million to $500 million in both assets and liabilities. The petition states that funds will be available to unsecured creditors. Judge Laurie Selber Silverstein oversees the cases. The Debtors tapped Klehr Harrison Harvey Branzburg LLP as legal counsel and Omni Agent Solutions as claims, noticing and administrative agent. Triple P RTS, LLC and Triple P Securities, LLC, wholly owned firms by Portage Point Partners, LLC, are the Debtors' restructuring advisor and investment banker, respectively. Tankas Funding VI, LLC, as DIP lender, is represented by Kirkland & Ellis LLP. PERFORMANCE POWERSPORTS: U.S. Trustee Appoints Creditors' Panel --------------------------------------------------------------- The U.S. Trustee for Regions 3 and 9 appointed an official committee to represent unsecured creditors in the Chapter 11 cases of Performance Powersports Group Investor, LLC and its affiliates. The committee members are: 1. Hisun Motors Corp. – USA 310 E. University Drive McKinney TX 75069 Attention: Hannah You Tel: 972-446-0760 Fax: 972-446-0765 Email: Hannah.you@hisunmotors.com 2. Tao Motor, Inc. 2201 Luna Road Carrollton, TX 75006 Attention: Longman Zhao Tel: 214-635-3980 Fax: 214-635-3985 Email: acctmanager@taomotor.com 3. Vietnam New Century Industrial Co, Ltd. Plot CN2-05, Non Tariff Area Nam Dinh Vu Industrial ParkDinh Vu Cat Hai Econ. Dong Hai 2 Ward, Hai An District Hai Phong City, Vietnam Attention: Cristina He Tel: +86-23-61020582 Email: Cristina@hsunmotor.com Official creditors' committees serve as fiduciaries to the general population of creditors they represent. They may investigate the debtor's business and financial affairs. Committees have the right to employ legal counsel, accountants and financial advisors at a debtor's expense. About Performance Powersports Group Investor Performance Powersports Group Investor, LLC -- https://colemanpowersportsusa.com/ -- is a leading producer of entry-level powersports equipment sold through "Big Box" retailers. Performance Powersports is in the business of adventure, selling dirt bikes, go-karts, ATVs, golf carts, and the like to retailers throughout the US. PPGI and three affiliates, including Performance Powersports Group Holdings, Inc., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 23-10047) on Jan. 16, 2023. In the petition signed by its chief financial officer, Ken Vanden Berg, PPGI disclosed $100 million to $500 million in both assets and liabilities. The petition states that funds will be available to unsecured creditors. Judge Laurie Selber Silverstein oversees the cases. The Debtors tapped Klehr Harrison Harvey Branzburg LLP as legal counsel and Omni Agent Solutions as claims, noticing and administrative agent. Triple P RTS, LLC and Triple P Securities, LLC, wholly owned firms by Portage Point Partners, LLC, are the Debtors' restructuring advisor and investment banker, respectively. Tankas Funding VI, LLC, as DIP lender, is represented by Kirkland & Ellis LLP. PHILLIP GRAHAM WILSON: $653K Sale of St. Augustine Property OK'd ---------------------------------------------------------------- Judge Jacob A. Brown of the U.S. Bankruptcy Court for the Middle District of Florida authorized Phillip Graham Wilson and Tina Marie Wilson to sell their 100% interest in the homestead residential real property located at 14 Lee Dr., in St. Augustine, Florida 32080, Parcel Identification No. 1631430107, to Michael S. Rose and Erin A. Rose for $653,350. The liens are a mortgage lien, possible outstanding property taxes consisting of 1st Mortgage with Wells Fargo of approximately $325,000 per Doc. No. 17 and a 2nd mortgage with Centennial Bank in the approximate amount of $176,632 per POC #7. Within seven days of closing the Debtor will submit to the SubChapter V Trustee a copy of the HUD1 Statement issued at any closing for the real property sale The Secured Creditors will be paid in full at closing subject to a proper payoff or alternatively, the Debtors' sale of the Property shall be explicitly conditioned on obtaining the Secured Creditors' written consent to the "Short Sale" at or prior to closing. All proceeds from the sale (if consented to by the Secured Creditors), less realtor fees and typical and customary closing costs, shall attach to the Secured Creditors' lien at the time of the sale and will not become property of the Debtors' bankruptcy estate nor be subject to distribution by the Trustee. The closing and receipt of funds by the secured creditor shall be within 90 days from the date of the Order. Phillip Graham Wilson and Tina Marie Wilson sought Chapter 11 protection (Bankr. M.D. Fla. Case No. 22-00193) on Jan. 31, 2022. The Debtors tapped Bryan Mickler, Esq., as counsel. PRESCOTT BREWING: Auction of Remaining Assets via New Mill OK'd --------------------------------------------------------------- Judge Madeleine C. Wanslee of the U.S. Bankruptcy Court for the District of Arizona authorized Prescott Brewing Company, Inc.'s auction sale of remaining assets. The Debtor is the current owner of the Remaining Assets. It employed New Mill Capital Holdings as auctioneer, whose employment was approved by order dated Dec. 12, 2022. The Debtor will manage the sale of the Remaining Assets through an auction sale process consistent with the auction procedures as set forth in the Motion and the Debtor's Ex Parte Application to Employ New Mill Capital Holdings, LLC as Auctioneer for the Debtor Pursuant to Code Sections 327 and 328 without further order of the Court. The bidding procedures and any described in the Motion are approved: a. The Auctioneer may sell the Remaining Assets in an online auction(s), online simulcast, or live in-person, as circumstances dictate; b. All property of the estate will be sold for cash to the highest bidder at the auction sale; c. All property will be sold "as is, where is" without express or implied representation or warranty and all sales will be final; d. All property will be sold free and clear of liens and encumbrances; e. If some or all of the property is not sold or a sale falls through, the Auctioneer, at the Debtor's discretion, may place such property in the next regularly scheduled auction held by the Auctioneer without further notice to creditors; and f. The Auctioneer is authorized to use the Debtor’s name in promotional or advertising materials or otherwise pertaining to the Remaining Assets, and is authorized to market and advertise as necessary for the purposes of the auction. Hannay Realty Advisors AZ LP and Bashford Courts, LLC (jointly, "Landlord"), shall: (a) cooperate with the Debtor and the Auctioneer for the auction purposes described in the Motion and its Exhibit B; and, (b) permit the Debtor and the Auctioneer access to the Premises for the purposes of preparing for, conducting, and completing the auction of the Remaining Assets, including the removal of the Remaining Assets. If the auction results in a sale consistent with the auction procedures: (i) the Debtor is authorized to execute such documents as may be necessary to convey valid legal title of the Remaining Assets to the successful auction bidder, free and clear of any and all liens, claims, and encumbrances against the Remaining Assets; and (ii) the auction sale proceeds shall be distributed as provide in the Motion. The Order shall become effective immediately, and the 14-day stay provided for under Bankruptcy Rule 6004(h) is hereby waived. The Order is a final Order. About Prescott Brewing Company Prescott Brewing Company, Inc. is a company in Prescott, Ariz., which operates in the restaurant and bars industry. Prescott Brewing Company filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Ariz. Case No. 22-04467) on July 8, 2022, with $1,193,265 in total assets and $274,703 in total liabilities. Christopher C. Simpson serves as Subchapter V trustee. Judge Madeleine C. Wanslee oversees the case. Gallagher & Kennedy, PA and Gammage & Burnham, PLC serve as the Debtor's bankruptcy counsel and special counsel, respectively. PROPERTY HOLDERS: Proposed Sale of Cedar Rapids Property Approved ----------------------------------------------------------------- Judge Thad J. Collins of the U.S. Bankruptcy Court for the Northern District of Iowa authorized Property Holders, LTD's sale of the property located at 2208 Mt. Vernon RD SE, in Cedar Rapids, Iowa, free and clear of the mortgage lien of the Greenstate Credit Union. Greenstate Credit Union has consented to the granting of the relief requested in the Motion. The lien of the Greenstate Credit Union will attach to the net sale proceeds upon a release of the mortgage lien and satisfaction of the foreclosure decree as described in the Debtor's motion. About Property Holders Property Holders, LTD filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Iowa Case No. 22-00744) on Nov. 21, 2022. In the petition filed by Charles A. Davisson, president, the Debtor reported $2,771,431 in assets and $2,861,618 in liabilities as of Sept. 30, 2022. The Debtor tapped Rush M. Shortley, Esq., as bankruptcy counsel and Tom Riley Law Firm, PLC as general civil counsel. RAND PARENT: Fitch Assigns 'BB' LongTerm IDR, Outlook Stable ------------------------------------------------------------ Fitch Ratings has assigned a 'BB' Long-Term Issuer Default Rating (IDR) to Rand Parent, LLC (known as Atlas Air). The Rating Outlook is Stable. Fitch has also assigned 'BB+'/'RR2' ratings to the company's proposed senior secured revolver, term loan, and notes. Atlas's IDR is supported by its contracted service offerings representing about 85%-90% of block hours in 2022 with terms that set pricing and minimum activity levels. Atlas also has a fleet of over 100 aircraft (48 aircraft within the collateral pool) that allows it operational and end-market flexibility. Leverage and coverage metrics are generally consistent with the rating level and supported by mandatory amortization on aircraft financings. The ratings also reflect the softening outlook for the company's operating environment, as it comes off peak levels, and the impact on FCF that contract renewals and spot rate exposure have in a declining rate environment. Atlas also operates in a highly competitive environment due to similar service offerings and broad geographic reach of industry peers, as well as alternative transport options. KEY RATING DRIVERS Contracted Flights Moderates Rate Exposure: About 85% of revenues are contracted under multi-year agreements, which can last up to five or more years. Around 10%-15% of block hours are subject to renewal or market spot rates over the next five years. Contracts set long-term pricing with fuel cost pass-throughs, which moderates fluctuations in air cargo rates and margins, and minimum flying levels. Susceptibility to air cargo rates are limited to ad-hoc flying and long-term contract renewals that combined make up roughly 20% of block hours per year. Fitch does not believe there's a meaningful risk of contract cancellations through a rate cycle due to the high penalties for breaking contracts. Atlas's fleet has been operating well above minimum contracted flying levels, but Fitch recognizes the company could reposition aircraft with other customers if utilization drops. Operating Conditions Softening: Fitch expects air cargo conditions, and as a result rates, to peak in 2022. A softening in rates over the next two to three years reflect weaker global economic conditions and a recovery in bellyhold capacity of passenger aircraft though the reopening of China provides some support for air freight. Fitch assumes block hour rates (excluding fuel) decline at a mid-to-high single digit rate over the next few years, but remain above pre-pandemic long-run historical averages largely due to higher rates associated with the company's new aircraft (four 747s and four 777s) being delivered between 2022-23. Fitch will watch the evolution of block hour rates over the next few years given decreases in rates directly affect contract renewals, spot business and cash flow generation. Fitch forecasts that EBITDA contribution from the eight new aircraft and cost saving initiatives will be largely offset by declining rates, leading to relatively flat EBITDA in the $1 billion range through 2025. Financing-Directed Capital Deployment After 2023: Subsequent to taking delivery of the new B777 and B747 aircraft, management indicated that new aircraft purchases and M&A are unlikely over the next few years. Fitch does not currently assume further new aircraft purchases or M&A through the medium term but believes fleet investment is likely over the long-term to replenish the fleet. The company has indicated an intent to pay down debt, and has the opportunity to do so via amortization of the rollover aircraft-secured debt. It also intends to pay annual dividends of about $125 million on the preferred stock though distributions can be limited by covenants in the new credit facility. Contracts, PIK Support Financial Flexibility: Fitch expects FCF generation to be consistently positive after 2023 and at a level that supports maintenance capex, assuming no unannounced aircraft purchases, mandatory debt amortization and full distributions of about $125 million on the preferred stock. Fitch also believes the preferred dividend payments would be paid-in-kind if needed to support regular capex or its debt schedule. Fitch's FCF forecast is based on annual EBITDA of $1 billion, or mildly more, up from about $830 million expected in fiscal 2022. EBITDAR/interest + rents is expected to be about 3.4x over the next two years before improving to the high-3.0x range, which is consistent with 'BB' category corporate. Fitch also considers the impact of LTV levels on liquidity. In order to draw 50% or more of the $300 million revolving credit facility, the LTV is limited to 15% above the closing level (or around 78%), which is anticipated to be 63%. Low-3.0x Leverage Improving to Mid-2.0x: Debt/EBITDA and adjusted debt/EBITDAR are expected to be about 3.2x in 2023, before declining to the mid-2.0x range through the intermediate term assuming no new aircraft purchases or M&A. The forecasted run-rate level is moderately below 2022 expectations of 2.8x and generally consistent with 'BB' rating category tolerances. The scheduled amortization on roll-over aircraft debt is expected to lead to debt repayment of generally $200 million-$230 million per year. Flexible Service but High Competition: Atlas, as well as other cargo airlines, differ from passenger airlines in their flexible service geographies and end markets. This allows Atlas to reposition for changes in end market and geographic conditions but also reduces competitive barriers in the industry. Fitch believes these low competitive barriers also contribute to cyclicality in the industry. Atlas's competitive strengths are mainly focused on differences in aircraft mix, fleet efficiency, global geographic presence, and cargo focus, that supports contracted volume and better economics for customers by enhancing reliability and optimizing space. Aircraft Lessor Considerations: Even though Atlas offers dry leasing services, which are akin to traditional aircraft lessors, the contribution from the business is relatively small at roughly 5% of revenue. Fitch does not anticipate the company shifting its service mix to focus on growing the dry lease segment. As an operator of a cargo airline, Atlas carries relatively higher operational risks than typical aircraft lessors. Fitch also considers the relatively older, less liquid fleet with an average age of about 20 years compared with lessor averages of five years, though Fitch acknowledges that air freighters typically have longer operating lives. Further, Atlas's fully secured capital structure constrains financial flexibility relative to most lessors rated in the 'BBB' category which typically reflect a lower level of balance sheet encumbrance. New Debt rated 'BB+'/'RR2': The ratings on the senior secured revolver, term loan and notes reflect Fitch's estimates on the recovery value of the 48 aircraft, equipment and other assets that collateralize the facilities and notes. Fitch also considers projected depreciation rates for the aircraft that outpace expected term loan amortization of 1% per year. The new credit facilities and notes are structurally subordinate to the existing aircraft-secured debts, which are borrowed under various subsidiaries and do not carry cross or downstream guarantees. The credit facilities receive a guarantee from Rand MidCo, LLC (Holdings), but the notes do not. There are no material assets held at Holdings. DERIVATION SUMMARY Compared with other cargo airline, Western Global Airlines (WGA; B+/Negative), Atlas has a relatively larger fleet, which reduces operating risks associated with aircraft downtime. Atlas also benefits from lengthy contract terms, which should support rate stability. WGA's financial flexibility tightened in 2022 as a result of higher capex and operating costs that could lead to higher liquidity and refinancing risks. WGA's adjusted debt/EBITDAR is expected to peak in the low-4.0x range in 2022 before improving to the low-3.0x while EBITDAR/interest + rents is expected to be in the mid-2.0x to 3.0x. Lingering impacts of pandemic-driven shutdowns and lower demand, along with the recent rise operating costs have pressured many passenger airline ratings. Fitch considers the liquidity and financial flexibility on the passenger airlines to manage through the recovery period. Fitch expects Alaska Airlines (BB+/Negative) adjusted debt/EBITDAR to approach 2.0x over the next one to two years. Allegiant Travel Company's (BB-/Stable) adjusted debt/EBITDAR also improves, falling to the mid-3.0x range by 2024/2025. Aircraft lessors generally do not operate aircraft, a characteristic that fundamentally lowers operating risks such as air cargo rate exposure, operational efficiency and maintenance compared to Atlas. Atlas's aircraft are also relatively older than other rated aircraft lessors' and are fully encumbered by various aircraft financing arrangements and the proposed debt. While Debt/Equity in the mid-3.0x range is similar to other Fitch-rated aircraft lessors, these entities typically benefit from a better underlying asset quality and portfolio diversification. KEY ASSUMPTIONS - Revenue, excluding fuel, is somewhat steady around $3.5 billion post-close, reflecting contributions from new aircraft and recovery in block hours largely offset by lower air cargo rates; - Similarly, EBITDA is fairly steady around $1.0 billion through the forecast, including a change in accounting methodology for heavy aircraft maintenance, as contributions from the higher-margin new aircraft and cost saving actions are largely offset by declining rates; - No new aircraft purchases are assumed after 2023 leading to annual capex in the low $300 million range; - Capital deployment after 2023 is focused on annual debt amortization and preferred dividend payments of around $125 million; - The LBO and aircraft purchases are completed as anticipated, increasing the total debt balance to about $3.4 billion in 2023 before any debt amortization. RATING SENSITIVITIES Factors that could, individually or collectively, lead to a positive rating action/upgrade: - Clear, credit-conscious capital allocation policy that enhances collateral asset quality and financial flexibility; - A less encumbered capital structure with EBITDAR/ interest + rents sustained below 3.0x and/or first-lien LTV around 60%; - Continued operational execution that improves FCF stability through business cycles, including a healthy contract mix/duration. Factors that could, individually or collectively, lead to a negative rating action/downgrade: - EBITDAR/ interest + rents sustained below 3.5x and/or first-lien LTV sustained above 66%; - Capital deployment actions that reduce collateral asset quality (e.g.., increased average age) and financial flexibility; - Shift in cash flow risk profile that heightens through- the-cycle variability, including weaker contract mix/duration. LIQUIDITY AND DEBT STRUCTURE Atlas's debt structure will include a $300 million senior secured revolving credit facility, $800 million senior secured term loan, $800 million of senior secured notes and $1.6 billion of rollover aircraft-secured debt. Fitch does not treat the new $900 million of preferred stock as debt because it is being issued outside of the rated entity/restricted group, the inability to trigger a default under the new debt terms and the absence of event of default provisions or debt-like remedies under terms of the preferred stock. Liquidity pro forma at closing is expected to be adequate comprised of $100 million of cash and full availability under the $300 million revolving credit facility. Fitch recognizes, however, that availability under the revolver is linked to maintenance of a LTV within 15% of closing levels (or estimated at about 78%). Debt repayments are expected to range from $200 million-$230 million through the forecast primarily from amortization of existing roll-over aircraft debt and the new term loan. ISSUER PROFILE Atlas Air is a global cargo airline that operates over 100 aircraft including a mix of Boeing 747, 777, 767 and 767 aircraft. It serves a variety of customers in as freight forwarding, express shipping, retail & e-commerce and military markets. Entity/Debt Rating Recovery ----------- ------ -------- Rand Parent, LLC LT IDR BB New Rating senior secured LT BB+ New Rating RR2 REALMARK MARINA: Seeks to Hire Hancock Askew & Co as Accountant --------------------------------------------------------------- Realmark Marina Grill, L.L.C. seeks approval from the U.S. Bankruptcy Court for the Middle District of Florida to hire Hancock Askew & Co., LLP as its accountant. The Debtor requires an accountant to prepare its annual federal partnership income tax returns and provide other accounting services. The firm will charge $1,450 for the preparation of annual federal partnership income tax returns, and $325 to $430 per hour for other services. Russel Reece, CPA of Hancock Askew & Co. assured the court that his firm is disinterested as defined in 11 U.S.C. Sec. 101(14). The firm can be reached through: Russel Reece, CPA Hancock Askew & Co., LLP 3740 Davinci Court, Suite 400 Peachtree Corners, GA 30092 Phone: (770) 246-0793 About Realmark Marina Grill, L.L.C. Realmark Marina Grill, L.L.C. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Lead Case No. 22-01229) on Dec. 12, 2022. At the time of filing, the Debtor estimated $1,000,001 to $10 million in assets and up to $50,000 in liabilities. Judge Caryl E Delano presides over the case. Amy Denton Mayer, Esq. at Stichter Riedel Blain & Postler, P.A. represents the Debtor as counsel. REVLON INC: Hair Relaxer Claimants Say Disclosures Insufficient --------------------------------------------------------------- Hair relaxer claimants Monique Bibbs, Tyann Greer, Chimzi Nwanen, and Rhonda Terrell object to the Disclosure Statement for Joint Plan of Reorganization of Revlon, Inc. and Its Debtor Affiliates. The Hair Relaxer Claimants assert that the Disclosure Statement must be denied because it does not contain even the most basic information required and, in fact, contains almost none of the most important information Hair Relaxer Claimants need to evaluate the Plan and their proposed treatment thereunder. The Hair Relaxer Claimants submit that the Disclosure Statement lacks clarity and sufficient disclosures regarding issues of material importance to those claimants that have used Debtors hair relaxer claimants—and which is absolutely necessary to make an informed decision on the Plan—and the motion should not be approved unless and until such issues are fully and completely addressed in a straight forward manner. Hair Relaxer Claimants state that it did not receive actual notice of the bar date. In addition, they did not receive sufficient constructive or publication notice of the bar date. The publication notice does not even mention Revlon's hair relaxer products, and so Hair Relaxer Claimants would never be alerted to their potential claims arising from those products. The Hair Relaxer Claimants were deprived of their due process rights because they did not receive sufficient notice to protect their rights. Class 9(a) of the plan contains the holders of Talc Personal Injury Claims. See Joint Plan of Reorganization of Revlon, Inc. and Its Debtor Affiliates Pursuant to Chapter 11 of the Bankruptcy Code, at p. 23. Class 9(a) will contain procedures for distributions to holders of Talc Personal Injury Claims, so that they properly evaluate the plan. On the other hand, all other tort claims, including hair relaxer claims, are classified in Class 9(d). The Disclosure Statement does not state that there will be procedures for Class 9(d) claims. In addition, as demonstrated in Hair Relaxer Claimants' Motion to Extend the Bar Date for Filing Hair Relaxer Proofs of Claim, the existing bar date (October 24, 2022) should be vacated and renoticed so that the notice for the bar date provides sufficient notice to all hair relaxer claimants. Counsel to various claimants injured by hair relaxer products: Sander L. Esserman, Esq. Peter C. D'Apice, Esq. Michael J. Collins, Esq. STUTZMAN, BROMBERG, ESSERMAN & PLIFKA A PROFESSIONAL CORPORATION 2323 Bryan Street Suite 2200 Dallas, TX 75201 (214) 969-4900 (214) 969-4999 (facsimile) Email: esserman@sbep-law.com dapice@sbep-law.com collins@sbep-law.com 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; antiperspirant 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 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. The Debtors tapped Paul, Weiss, Rifkind, Wharton & Garrison, LLP as bankruptcy counsel; Mololamken, LLC as special litigation counsel; PJT Partners, LP as investment banker; KPMG, LLP as tax services provider; and Alvarez & Marsal North America, LLC as restructuring advisor. Robert M. Caruso and Matthew Kvarda of Alvarez & Marsal serve as the Debtors' chief restructuring officer and interim chief financial officer, respectively. Meanwhile, Kroll Restructuring Administration, LLC is the Debtors' claims agent and administrative advisor. The U.S. Trustee for Region 2 appointed an official committee of unsecured creditors on June 24, 2022. Brown Rudnick, LLP, Province, LLC and Houlihan Lokey Capital, Inc. serve as the committee's legal counsel, financial advisor and investment banker, respectively. RIOT PLATFORMS: Terminates Chief Commercial Officer --------------------------------------------------- Chad Everett Harris is no longer employed by Riot Platforms, Inc. effective as of Feb. 1, 2023, according to the Company's Form 8-K filed with the Securities and Exchange Commission. Mr. Harris's duties as chief commercial officer of the Company, as well as his positions with the Company's subsidiaries, have been transitioned. His departure from Riot is determined to be a termination without "Cause," as defined under the terms of Mr. Harris's employment agreement, which are reflected in the Company's standard executive employment agreement. In connection with Mr. Harris's departure, it is anticipated that the Company and Mr. Harris will enter into a separation agreement and general release, the material terms of which have not been finalized as of the date of this Current Report on Form 8-K. Upon the effectiveness of such agreement, Mr. Harris will be eligible to receive separation benefits corresponding to a termination without "Cause" under the Company's standard executive employment agreement, subject to his compliance with the terms of such separation agreement and general release. About Riot Platforms Headquartered in Castle Rock, Colorado, Riot Platforms (formerly Riot Blockchain, Inc.) -- www.riotplatforms.com -- is a Bitcoin mining and digital infrastructure company focused on a vertically integrated strategy. The Company has Bitcoin mining data center operations in central Texas, Bitcoin mining operations in central Texas, and electrical switchgear engineering and fabrication operations in Denver, Colorado. Riot Blockchain reported a net loss of $7.93 million for the year ended Dec. 31, 2021, a net loss of $12.67 million for the year ended Dec. 31, 2020, a net loss of $20.30 million for the year ended Dec. 31, 2019, and a net loss of $60.21 million for the year ended Dec. 31, 2018. As of Sept. 30, 2022, Riot Blockchain had $1.45 billion in total assets, $154.25 million in total liabilities, and $1.30 billion in total stockholders' equity. ROCK RIDGE: Case Summary & 20 Largest Unsecured Creditors --------------------------------------------------------- Debtor: Rock Ridge Farms Partnership 6611 Luther Rd. Wilson, NC 27896 Chapter 11 Petition Date: February 2, 2023 Court: United States Bankruptcy Court Eastern District of North Carolina Case No.: 23-00291 Judge: Hon. Joseph N. Callaway Debtor's Counsel: David F. Mills, Esq. NARRON WENZEL, P.A. P.O. Box 1567 102 S. Third St. Smithfield, NC 27577 Tel: 919-934-0049 Fax: 919-938-1058 Email: dmills@narronwenzel.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Robert C. Boyette as partner. 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/2KOPBCA/Rock_Ridge_Farms_Partnership__ncebke-23-00291__0001.0.pdf?mcid=tGE4TAMA ROCKLEY PHOTONICS: NYSE Suspends Trading of Shares -------------------------------------------------- The New York Stock Exchange LLC announced on January 24, 2023 that the staff of NYSE Regulation has determined to commence proceedings to delist the two securities of Rockley Photonics Holdings Limited (the "Company") from the NYSE. Trading in the Company's Securities will be suspended immediately: Symbol Description ------ ----------- RKLY Ordinary shares, $0.000004026575398 par value per share RKLY WS Warrants, each whole warrant exercisable for one ordinary share at an exercise price of $11.50 per share NYSE Regulation reached its decision that the Company is no longer suitable for listing pursuant to Listed Company Manual Section 802.01D after the Company's January 24, 2023 disclosure that the Company has voluntarily filed a petition for relief under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of New York. In reaching its delisting determination, NYSE Regulation noted the uncertainty as to the ultimate effect of this process on the value of the Company's ordinary shares. NYSE Regulation also noted that the Company's prepackaged plan of reorganization contemplates that existing ordinary shares of the Company will be cancelled, extinguished, and released upon consummation of the reorganization. The Company has a right to a review of this determination by a Committee of the Board of Directors of the Exchange. The NYSE will apply to the Securities and Exchange Commission to delist the Company’s Securities upon completion of all applicable procedures, including any appeal by the Company of the NYSE Regulation staff's decision. About Rockley Photonics Holdings Ltd Rockley Photonics Holdings Limited -- https://rockleyphotonics.com -- is a global leader in photonics-based health monitoring and communications solutions. The company's technology platform enables continuous monitoring of critical biomarkers through a wearable device. Rockley Photonics Holdings Limited filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 23-10081) on January 23, 2023. In the petition filed by Richard A. Meier, as CEO, the Debtor reported assets between $50 million and $100 million and liabilities between $100 million and $500 million. The Debtor is represented by: Dania Slim, Esq. Pillsbury Winthrop Shaw Pittman LLP 3rd Floor 1 Ashley Road Altrincham, Cheshire OUTSIDE U. S. SACRAMENTO COUNTY HOUSING: S&P Cuts Revenue Bond Rating to 'B+' --------------------------------------------------------------- S&P Global Ratings lowered to 'B+' from 'BB-' its long-term rating on the Sacramento County Housing Authority, Calif.'s series 2000 Issue B multifamily housing revenue bonds (Cottage Estates Apartment). The outlook is stable. "The downgrade reflects the application of a 'B+' rating cap based on our view that debt service coverage (DSC) will be below 1.0x between four and 10 years from now. We expect DSC to be as low as 0.1x on the final maturity date of Feb. 1, 2033," said S&P Global Ratings credit analyst Caroline West. The bonds are backed by a mortgage loan secured by an irrevocable standby Fannie Mae credit enhancement facility. S&P said, "The rating is capped at 'B+' under our "Federally Enhanced Housing" criteria due to our calculations (using speculative-grade rating level S&P Global Ratings stressed reinvestment assumptions) that DSC will fall below 1.0x between four and 10 years from now. We expect coverage to remain above 1x until the final maturity on Feb. 1, 2033, when we expect it to be as low as 0.1x. The stable outlook reflects our view that the rating is unlikely to change within a two-year timeframe. However, over the medium term, as per our criteria, once we project that DSC could fall below 1x within four years, a lower cap of 'B-' may apply if coverage and parity trends remain the same; we may transition the rating down to that cap over the medium term. "We have analyzed the transaction's environmental, social, and governance (ESG) risks relative to its legal framework, operational risk framework, cash flow and enhancement type, and views these risks as neutral in our credit analysis." SINTX TECHNOLOGIES: Plans to Offer 1.7 Million Units ---------------------------------------------------- SINTX Technologies, Inc. has filed a Form S-1 registration statement with the Securities and Exchange Commission relating to a proposed offering on a best-efforts basis of up to 1,668,520 Units, each consisting of one share of common stock, one Class C Warrant to purchase one share of common stock, and one-half of one Class D Warrant, each whole Class D Warrant to purchase one share of common stock, at an assumed public offering price of $8.99 per Unit, equal to the closing price of its common stock on the Nasdaq Capital Market on Jan. 23, 2023. Each Class C Warrant will be immediately exercisable for one share of common stock at an exercise price of $_ per share (not less than 100% and not more than 120% of the public offering price of each Unit sold in this offering) and expire years after the issuance date. Each whole Class D Warrant will be immediately exercisable for one share of common stock at an exercise of $_ per share (not less than 100% and not more than 120% of the public offering price of each Unit sold in this offering) and expire years after the issuance date. The Company is also offering to each purchaser of Units that would otherwise result in the purchaser's beneficial ownership exceeding 4.99% of the Company's outstanding shares of common stock immediately following the consummation of this offering the opportunity to purchase Units consisting of one pre-funded warrant (in lieu of one share of common stock), one Class C Warrant, and one-half of one Class D Warrant. A holder of pre-funded warrants will not have the right to exercise any portion of its pre-funded warrants if the holder, together with its affiliates, would beneficially own in excess of 4.99% (or, at the election of the holder, such limit may be increased to up to 9.99%) of the number of shares of common stock outstanding immediately after giving effect to such exercise. Each pre-funded warrant will be exercisable for one share of common stock. The purchase price of each Unit including a pre-funded warrant will be equal to the price per Unit including one share of common stock, minus $0.0001, and the remaining exercise price of each pre-funded warrant will equal $0.0001 per share. The pre-funded warrants will be immediately exercisable (subject to the beneficial ownership cap) and may be exercised at any time until all of the pre-funded warrants are exercised in full. For each Unit including a pre-funded warrant the Company sells (without regard to any limitation on exercise set forth therein), the number of Units including a share of common stock the Company is offering will be decreased on a one-for-one basis. The shares of common stock and pre-funded warrants, if any, can each be purchased in this offering only with the accompanying Warrants as part of a Unit, but the components of the Units will immediately separate upon issuance. The Company is also registering the shares of common stock issuable from time to time upon the exercise of the Class C Warrants, Class D Warrants, and pre-funded warrants included in the Units offered hereby. The Company is also registering the shares of common stock issuable from time to time upon the exercise of the placement agent's warrants. SINTX's Common Stock is listed on the Nasdaq Capital Market, or Nasdaq, under the symbol "SINT." On Jan. 23, 2023, the last reported sale price of the Company's Common Stock was $8.99 per share. There is no established public trading market for the Warrants or the pre-funded warrants. The Company does not intend to apply for listing of the Warrants or pre-funded warrants on any securities exchange or recognized trading system. There is no established public trading market for the Warrants and the Company does not expect markets to develop. Without an active trading market, the liquidity of the Warrants will be limited. The Units will be offered at a fixed price and are expected to be issued in a single closing. The Company expects this offering to be completed not later than two business days following the commencement of this offering and the Company will deliver all securities to be issued in connection with this offering delivery versus payment/receipt versus payment upon receipt of investor funds received by the Company. Accordingly, neither the Company nor the placement agent have made any arrangements to place investor funds in an escrow account or trust account since the placement agent will not receive investor funds in connection with the sale of the securities offered hereunder. The Company have engaged Maxim Group LLC as its exclusive placement agent to use its reasonable best efforts to solicit offers to purchase its securities in this offering. The placement agent is not purchasing or selling any of the securities the Company is offering and is not required to arrange for the purchase or sale of any specific number or dollar amount of the securities. Because there is no minimum offering amount required as a condition to closing in this offering the actual public offering amount, placement agent's fee, and proceeds to the Company, if any, are not presently determinable and may be substantially less than the total maximum offering amounts set forth above and throughout this prospectus. A full-text copy of the prospectus is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/1269026/000149315223003152/forms-1.htm About SINTX Technologies Headquartered in Salt Lake City, Utah, SINTX Technologies, Inc. -- https://ir.sintx.com -- is an OEM ceramics company that develops and commercializes silicon nitride for medical and non-medical applications. The core strength of SINTX Technologies is the manufacturing, research, and development of silicon nitride ceramics for external partners. SINTX presently manufactures advanced ceramic powders and components in its manufacturing facilities based in Salt Lake City, Utah. SINTX reported a net loss of $8.78 million for the year ended Dec. 31, 2021, a net loss of $7.03 million for the year ended Dec. 31, 2020, and a net loss of $4.79 million for the year ended Dec. 31, 2019. As of Sept. 30, 2022, the Company had $14.56 million in total assets, $5.15 million in total liabilities, and $9.41 million in total stockholders' equity. SINTX TECHNOLOGIES: Shares Prelim Q4, Full Year 2022 Revenue Update ------------------------------------------------------------------- SINTX Technologies, Inc. announced select preliminary unaudited financial results for the fourth quarter and full year ended Dec. 31, 2022. These results are subject to the completion of the Company's year-end financial reporting processes, reviews, and audit. Preliminary unaudited estimated revenue was approximately $770k in Q4 2022 and $1.6 million for the year ended Dec. 31, 2022. The Company continued quarter-on-quarter revenue growth throughout 2022 and exceeded the annual revenue of any prior year since selling the spine business in 2018. Government contracts and grants in biomedical and technical ceramics fields made up $521k in Q4 2022 and $962k for the full year. Sources of commercial revenue included products for aerospace, energy, dental, and spine markets totaling $248k in Q4 2022 and $602k for the full year. SINTX's recent acquisition in Maryland also made a large contribution to the overall revenue result. SINTX anticipates new revenue sources in 2023 via continued growth in the aerospace and energy markets. In addition, the Company expects the Armor facility in Salt Lake City to be fully operational in Q1. "We are very pleased to update our shareholders and other partners on our progress in 2022," said Dr. Sonny Bal, President and CEO of SINTX. "The entire SINTX team worked very hard and executed against some significant opportunities. We are all very excited for the future of SINTX." About SINTX Technologies Headquartered in Salt Lake City, Utah, SINTX Technologies, Inc. -- https://ir.sintx.com -- is an advanced ceramics company that develops and commercializes materials, components, and technologies for medical and technical applications. SINTX is engaged in the research, development, and manufacturing of silicon nitride, and its products have been implanted in humans since 2008. SINTX reported a net loss of $8.78 million for the year ended Dec. 31, 2021, a net loss of $7.03 million for the year ended Dec. 31, 2020, and a net loss of $4.79 million for the year ended Dec. 31, 2019. As of Sept. 30, 2022, the Company had $14.56 million in total assets, $5.15 million in total liabilities, and $9.41 million in total stockholders' equity. SIXTH AVE RETAIL: Foreclosure Sale for 6th Avenue Property Set -------------------------------------------------------------- Pursuant to a judgment of foreclosure and sale entered on Dec. 16, 2022, Christopher E. Chang, Esq., referee, will sell at auction to the highest bidder at the Portico of the New York County Supreme Court, 60 Centre Street, New York, New York 10007, on Feb. 8, 2023, at 2:15 p.m., the premises known as 735 Sixth Avenue, New York, NY 10010, designated on the Countyland map as Block 800, Lot 1301 (deed recorded Aug. 28, 2013) in the office of the City Register as CRFN 201300034568), and more particularly described in the judgment of foreclosure and sale. Sold subject to all terms and conditions in said judgment and terms of sale. Approximate amount of judgment is $47.4 million plus interest and costs. Supreme Court, New York County: CGCMT 2013-GC15 Sixth Avenue LLC v. Sixth Ave. Retail LLC et al., Index No. 160040/2019. SMILE HOMECARE: Seeks Access to US Med's Cash Collateral -------------------------------------------------------- Smile Homecare Agency Inc. asks the U.S. Bankruptcy Court for the Eastern District of New York for authority to use the cash collateral of US Med Capital LLC, a prepetition secured lender pursuant to a Deposit Account Control Agreement. The Debtor requires the use of cash collateral to satisfy the post-petition costs and expenses of the continued operations of its business. The Debtor anticipates its expenses for the next 90 days will total approximately $1.890 million. The Debtor expects receipts to total approximately $1.950 million. On December 2, 2020, the Debtor entered into a Deposit Account Control Agreement by and among US Med Capital LLC, Valley National Bank, and Smile Homecare Agency Inc. Further, a Healthcare Insurance Receivables Purchase and Security Agreement dated March 3, 2022, was executed between US Med Capital LLC, and Smile Homecare Agency Inc. Furthermore, pursuant to the terms of the referenced contract, US Med is entitled to receive a determined portion of the Debtor's Healthcare account receivables deposited to the Debtor's Valley National Bank checking account ending with 0839 in the amount of 20%, and the Debtor is entitled to receive a portion of 80% of the account receivables, as per the factoring account terms. As of January 31, 2023, US Med has failed to turn over the contractual portion of 80% of the receivables to the Debtor. Per the US Med request made prior to the Debtor's Chapter 11 case filing, the funds in the Debtor's Valley account 0839 have been restrained and access to the account has been prohibited by Valley National Bank to the Debtor, commencing December 20, 2022. There is currently pending a motion for the Violation of the Automatic stay, pending in front of the Court, for the violation of the Debtor's automatic stay under 11 U.S.C. section 362, as the restraint therein has not been lifted in spite of the invocation of the automatic stay. The Debtor was thus unable to operate the Valley National Bank account, ending with the digits 0839, starting December 20, 2022. Prior to the filing of the bankruptcy petition, the referenced account was the operating account of the business, wherein the Debtor's account receivables were deposited on a regular basis to the Valley account 0839. As of January 24, 2022, the total amount of the account receivable funds accumulated in account, is currently $528,232. According to the Debtor, the funds are intended to be used by the Debtor for the purposes of making outstanding pay roll payments, which the Debtor has been unable to do for over 45 days, resulting in a very significant outstanding payroll amount. US Med's counsel has asserted that the funds currently held in the Valley account, ending with digits 0839, constitute cash collateral, are subject to DACA, and as such, will not be turned over to the Debtor. The Debtor asserts the funds held in the Valley account are subject to the terms of the factoring agreement dated March 3, 2022, with US Med, and as per those terms, the Debtor is entitled to at least 80% thereof. The Debtor proposes to provide US Med with the adequate protection pursuant to the proposed budget. A copy of the motion is available at https://bit.ly/3l1qNiK from PacerMonitor.com. A hearing on the matter is set for February 24, 2023 at 10:30 a.m. About Smile Homecare Agency Inc. Smile Homecare Agency Inc. is a provider of home care services in Brooklyn, New York. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 23-40233) on January 25, 2023. In the petition signed by Ellen Verny, president, the Debtor disclosed $539,257 in assets and $7,427,000 in liabilities. Judge Elizabeth S. Stong oversees the case. Alla Kachan, Esq., at Law Offices of Alla Kachan, PC, oversees the case. SONOMA PHARMACEUTICALS: Signs Distribution Agreement With Daewoong ------------------------------------------------------------------ Effective Jan. 26, 2023, Sonoma Pharmaceuticals, Inc. entered into an exclusive distribution agreement with Daewoong Pharmaceutical Co., Ltd. for the marketing and distribution of Primocyn Skin Solution products, containing the Company's Microcyn technology, in South Korea. The agreement is for an initial term of two years, subject to automatic two-year renewal periods. Pursuant to the distribution agreement, Daewoong Pharmaceutical will obtain marketing authorization as well as regulatory clearances for Primocyn Skin Solution products in South Korea. About Sonoma Pharmaceuticals Sonoma Pharmaceuticals, Inc. -- http://www.sonomapharma.com-- is a global healthcare company that develops and produces stabilized hypochlorous acid, or HOCl, products for a wide range of applications, including wound care, animal health care, eye care, oral care and dermatological conditions. The Company's products reduce infections, itch, pain, scarring and harmful inflammatory responses in a safe and effective manner. In-vitro and clinical studies of HOCl show it to have impressive antipruritic, antimicrobial, antiviral and anti-inflammatory properties. Its stabilized HOCl immediately relieves itch and pain, kills pathogens and breaks down biofilm, does not sting or irritate skin and oxygenates the cells in the area treated assisting the body in its natural healing process. The Company sells its products either directly or via partners in 54 countries worldwide. Sonoma reported a net loss of $5.09 million for the year ended March 31, 2022, compared to a net loss of $3.95 million for the year ended March 31, 2021. As of Sept. 30, 2022, the Company had $14.96 million in total assets, $7.94 million in total liabilities, and $7.02 million in total stockholders' equity. Atlanta, Georgia-based Frazier & Deeter, LLC, the Company's auditor since 2021, issued a "going concern" qualification in its report dated July 13, 2022, citing that the Company has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about its ability to continue as a going concern. STARRY GROUP: Ends Deal with AEP Ventures, Cuts 24% of Workforce ---------------------------------------------------------------- Starry, Inc., a wholly owned subsidiary of Starry Group Holdings, Inc., on January 25, 2023, entered into a Mutual Termination Agreement with AEP Ventures, LLC, pursuant to which the Company and AEP mutually agreed to terminate the Amended and Restated Strategic Alliance Agreement, dated September 14, 2021, as amended, and related agreements previously entered into between the parties relating to the joint deployment of Starry's internet service in Columbus, Ohio. Pursuant to the terms of the Mutual Termination Agreement, AEP will be responsible for the termination of leases for vertical asset sites and fiber licenses, and Starry will be responsible for removal of certain equipment and related materials from each site covered by such leases and licenses. Starry agrees to indemnify AEP for any claims or losses arising from Starry's removal of the equipment or its failure to remove the equipment before the relevant termination date. The Mutual Termination Agreement further provides that certain equipment lease agreements will terminate concurrently with termination of the leases and licenses. Starry is obligated to repurchase certain equipment previously acquired by AEP from Starry and pay to AEP the netted amount of invoices outstanding, for an aggregate total payment of approximately $6.2 million, which will be made in equal monthly installments beginning on July 1, 2023 and will continue until the total amount is paid, on or before July 1, 2025. The move came a week after the parent company cut 24% of its workforce. On January 18, Starry Group announced a reduction in the Company's current workforce by approximately 100 employees, which took effect on January 23. The decision was based on cost-reduction initiatives intended to reduce operating expenses and allow the Company to focus on serving its existing core markets and customers. The Company estimates it will incur one-time cash charges of approximately $800,000 in connection with the reduction in force, primarily consisting of notice period and severance payments, employee benefits and related costs. The Company expects that the majority of such charges will be incurred in the first quarter of 2023, and that the reduction in force will be substantially complete by the end of the second quarter of 2023. In aggregate, over the next 12 months, the reduction in force is expected to result in $12.0 million in cash operating expense savings related to foregone salaries and benefits. The Company also anticipates $5.3 million in non-cash savings related to share-based compensation expense that will no longer be recognized due to the cancellation of previously granted, unvested equity awards. Approximately $500,000 of the non-cash savings had previously been recognized as share-based compensation expense and will be reversed in the first quarter of 2023. In the future, there may also be incremental one-time charges associated with the Company's non-work force related cost savings actions. The Company warned in its quarterly report back in November there is substantial doubt about its ability to continue as a going concern for at least one year. About Starry Group Boston-based Starry Group Holdings, Inc. (NYSE: STRY) is a licensed fixed wireless technology developer and internet service provider. The Company had total assets of $270.6 million against $309.8 million in total liabilities. The Company is an early-stage growth company and has generated losses and negative cash flows from operating activities since inception. The Company requires additional capital investment to execute the strategic business plan to grow its subscriber base in existing markets from already-deployed network assets and launch services in new markets. Management plans to raise additional capital through a combination of potential options, including but not limited to, equity and debt financings. Additional equity financing may not be available, and if it is available, it may not be on terms favorable to the Company and could be dilutive to current stockholders. Debt financing, if available, may involve restrictive covenants and dilutive financing instruments. The Company said the inherent uncertainties may impact its ability to remain in compliance with financial covenants over the next 12 months. If the Company breaches its financial covenants and fails to secure a waiver or forbearance from the third-party lender, the breach or failure could accelerate the repayment of the outstanding borrowing under the Starry Credit Agreement or the exercise of other rights or remedies the third-party lender may have under applicable law. No assurance can be provided that a waiver or forbearance will be granted or the outstanding borrowing under the Starry Credit Agreement will be successfully refinanced on terms that are acceptable to the Company. The Company's ability to access capital when needed is not assured and, if capital is not available to the Company when, and in the amounts needed, the Company could be required to delay, scale back or abandon some or all of its expansion efforts and other operations, which could materially harm the Company's business, financial condition and results of operations. In October 2022, the Company announced it has hired PJT Partners to advise the Company and its Board of Directors on mergers and acquisitions, capital raising, and balance sheet solutions. Latham & Watkins LLP is serving as legal counsel to the Company and its Board of Directors. SUMMIT LLC: Unsecured Creditors to Get 100% w/o Interest in 2025 ---------------------------------------------------------------- Summit LLC submitted Chapter 11 Plan of Reorganization and a Disclosure Statement dated January 20, 2023. Under the reorganizing plan, the Debtor seeks to accomplish payments under the Plan by continuing to operate and paying creditors over time. The Effective Date of the proposed Plan is the first day of the month that is at least 10 days after entry of an order confirming the Plan, which is estimated to be July 1, 2023. The Debtor is the owner and operator of a certain 47-unit apartment complex located at 324 S. Catalina Street, Los Angeles, CA 90020 (the "Property"). The Property is the Debtor's primary asset. The Debtor believes that the Property is not subject to rent control. Based on an appraisal prepared by a certified appraiser, Paul E. Russell the Property is worth $13,000,000. However, since the preparation of the Appraisal, the Debtor has been actively marketing the Property for sale and has determined that, due to a change of market conditions, the Property is likely worth less, especially if a sale must occur quickly. Under the Plan, Class 4 General Unsecured Claims total $9,221. Creditors will receive one balloon payment of $9,221 on Dec. 1, 2025. Class 4 is impaired. The Plan will be funded from the income produced from the Property, gifts from Kashani's non-debtor entities, and for the balloon payments indicated in the Plan, either sale of the Property or refinancing of the Property. Attorneys for the Debtor: David R. Haberbush, Esq. Vanessa M. Haberbush, Esq. Lane K. Bogard, Esq. HABERBUSH, LLP 444 West Ocean Boulevard, Suite 1400 Long Beach, CA 90802 Telephone: (562) 435-3456 Facsimile: (562) 435-6335 E-mail: vhaberbush@lbinsolvency.com A copy of the Disclosure Statement dated Jan. 20, 2023, is available at https://bit.ly/3XuQSou from PacerMonitor.com. About Summit LLC Summit, LLC, a California-based company, sought bankruptcy protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 22-13853) on July 15, 2022. In the petition filed by its managing member, Moussa Kashani, the Debtor listed assets between $10 million and $50 million and liabilities of the same range. Judge Ernest M. Robles oversees the case. David R. Haberbush, Esq., at Haberbush, LLP, is the Debtors' legal counsel. SUPERIOR REAL ESTATE: Ben Waggoner Offers $37.5K for Assets ----------------------------------------------------------- Superior Real Estate Solutions, LLC, asks the U.S. Bankruptcy Court for the Eastern District of Arkansas to approve the sale of assets to Ben Waggoner for $37,500. The Debtor owns and manages residential and commercial real estate. It has control of and continues to operate its business as the DIP pursuant to sections 1107(a) and 1108 of the Bankruptcy Code. The Debtor intends to liquidate a portion of real estate, as part of these chapter 11 proceedings, which efforts are expected to result in returns to creditors at a higher rate than dismissal or conversion. Moreover, due to the need for speed in liquidating certain real estate which is currently burdensome to the estate, a sale under 11 U.S.C. Section 363 is preferred over a sale pursuant to a chapter 11 plan. The Debtor has located a prospective buyer of its assets. On Dec. 5, 2022, it received from Stone Realty, a draft Real Estate Contract, which outlined the terms under which Ben Waggoner, of Beach Kats LLC, is willing to purchase the Debtor's assets for $37,500. On Dec. 5, 2022, the Debtor and Ben Waggoner signed the Contract. Proceeds from the sale will be paid and distributed at closing as follows: (a) Sale expenses, which will include a carve out for estimated UST Quarterly Fees. (b) Satisfaction of the outstanding first indebtedness First Security Bank pursuant to a first and prior mortgage. (c) Any excess proceeds are to be paid to SRS Distribution, Inc., c/o Kevin Seltzer, Seltzer & Seltzer LC, 7751 Carondelet Avenue, Suite B, St. Louis, Missouri 63105, pursuant to a foreign judgment filed of record in Faulkner County Circuit Court, Case No. 23CV-22-1027 on Sept. 6, 2022, for $36,833.72. The sale of assets to Ben Waggoner will be free and clear of all liens and other claims of creditors. Any and all claims of creditors will transfer to sales proceeds, which will be distributed as noted. For good cause shown, the Debtor asks the provisions of FRBP 6004(g) dealing with the stay of any order authorizing the sale until the expiration of 10 days after the entry of the order, be waived to permit immediate closing per the Contract as soon as practicable after entry of an order approving the Motion to Sell. The believes the proposed sale of the assets consistent with the Contract free and clear of liens, encumbrances, and interests on the terms described is in the best interests of all creditors and parties in interest and should be approved. It therefore asks the Court to grant the relief sought. A copy of the Contract is available at https://tinyurl.com/46mpjeej from PacerMonitor.com free of charge. About Superior Real Estate Solutions Superior Real Estate Solutions LLC owns and manages residential and commercial real estate. The company is based in Vilonia, Ark. Superior Real Estate Solutions filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Ark. Case No. 22-13494) on Dec. 15, 2022. In the petition filed by Alvin Franks Jr. as authorized signatory, the Debtor reported $1 million to $10 million in both assets and liabilities. Judge Bianca M. Rucker oversees the case. The Debtor is represented by Kevin P. Keech, Esq., at Keech Law Firm, PA. SUZUKI CAPITAL: Court Confirms Second Amended Plan -------------------------------------------------- Judge Michael E. Wiles has entered an order confirming Suzuki Capital LLC's Second Amended Chapter 11 Plan of Reorganization under Subchapter V of Title 11 of the Bankruptcy Code. The Debtor is authorized and directed to take all steps necessary to effectuate consummation of the Plan and the payments and distributions set forth therein, all in conformity with the terms of the Plan, including the agreements reached with Noy and Baum that led to the withdrawal of their objection. This Plan shall be deemed confirmed in accordance with Section 1191(a) of the Bankruptcy Code, and the Debtor is granted a discharge from any debt that arose before confirmation of this Plan, and the Debtor and the Reorganized Debtor shall be released from any and all Claims (as defined in Section 101(5) of the Bankruptcy Code), including, without limitation, demands and liabilities that arose before the Confirmation Date, except as otherwise provided in the Plan. The services of the Subchapter V Trustee, Heidi J. Sorvino, Esq., are terminated immediately upon the Effective Date of the Plan and her services are discharged as of that date. During the period in which payments continue to be due Class 3 creditors under the Plan, upon reasonable written request to the Debtor, made by email to ssuzuki@suzukicapital.com, with a copy to bregenstein@suzukicapital.com, by Baum or Noy, or their counsel, and no more than 4 times per year, the Debtor will send, by email to Baum, Noy, or their counsel, as the case may be, within 30 days of such request, copies of (i) Debtor's and SCPD's balance sheets and income statements, for that period, if available, and (ii) Debtor's and SCPD's bank statements, in each case, for the period from the Effective Date of the Plan through the date of the first request, and thereafter from the last date to which the last-produced documents relate to the date of the next request, exclusive of any documents previously provided in accordance with this paragraph. Based on the record at the hearing, the Debtor has complied with the applicable provisions of Chapter 11 of the Bankruptcy Code. The Plan has been accepted by all impaired classes of unsecured claims and equity interests as required by 11 U.S.C. Section 1129(a)(8), and in light of the withdrawal of the objection filed by Noy and Baum, and their agreement to accept the Plan, there are no pending objections no classes of claims or interests that have rejected the Plan. About Suzuki Capital Suzuki Capital, LLC, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 21-10338) on Feb. 23, 2021. Sammy Isamu Suzuki, chief executive officer, signed the petition. In the petition, the Debtor disclosed assets of between $100,000 and $500,000 and liabilities of between $1 million and $10 million. Judge Michael E. Wiles oversees the case. Platzer Swergold Levine Goldberg Katz & Jaslow, LLP, is the Debtor's legal counsel. THOMAS KUTRUBES: Gelman Buying Costa Rica Property for $12K ----------------------------------------------------------- Thomas Kutrubes asks the U.S. Bankruptcy Court for the District of Colorado to authorize the sale of interest in a "Guard House - Costa Rica," described as "Residence: 1 acre entrance lot in Costa Rica (Aguajas) with 900 sq ft cement house at entrance for guard & family" to Gary Farber Gelman for $12,000. On his Schedule A/B, the Debtor disclosed an ownership interest in the Costa Rica Property. On July 13, 2022, the Court authorized the employment of Osa Pen Realty to serve as broker for the Costa Rica Property. On Dec. 21, 2022, the Debtor received a Property Purchase Offer, in which the Buyer proposes to purchase the Debtor's interest in the Costa Rica Property for $12,000 in accordance with the terms of the Property Purchase Offer. The pertinent terms of the Property Purchase Offer are: a. The sale shall be free and clear of liens, claims, and encumbrances; b. The Buyer will close within 15 days of the Debtor's acceptance of the offer (essentially within 15 days of Court approval); and c. The Buyer is paying all closing costs and the realtor commission. The Debtor is not aware of any secured claims that encumber the Costa Rica Property. By the Motion, the Debtor asks Court approval of the Property Purchase Offer authorization to sell his interest in the Costa Rica Property free and clear of all liens, claims, and encumbrances. It is in the best interest of the Debtor, his estate, and his creditors to sell his interest in the Costa Rica Property. The Debtor does not presently and has not historically utilized the Costa Rica Property to conduct business or generate income. Given there are no known secured claims encumbering the Costa Rica Property, sale of the Debtor's interest therein as set forth in the Property Purchase Offer will result in a net benefit to the estate in the amount of approximately $12,000. Net sale proceeds from the sale of the Costa Rica Property shall be deposited into the trust account of Wadsworth Garber Warner Conrardy PC and used to satisfy administrative claims (including outstanding Court approved professional fees) or as otherwise ordered by the Court. Therefore, the sale of the Costa Rica Property will maximize the return for the Debtor's creditors and serves a sound business purpose. Thomas Kutrubes sought Chapter 11 protection (Bankr. D. Colo. Case No. 20-18219) on Dec. 30, 2020. The Debtor tapped Aaron A. Garber, Esq., at Wadsworth Garber Warner Conrardy as counsel. TITLE PIPE: Unsecureds Owed $2.9-Mil. to Get 6% Under Plan ---------------------------------------------------------- Title Pipe, Inc., submitted a First Amended Plan of Reorganization. Business operation expenses over the past months have been scaled back substantially and are currently at approximately $6,000 per month. Title Pipe is finalizing options and feature rework to enable subscription-based billing and have established a margin revenue model for the associations allowing Title Pipe to utilize them as sales, training and marketing channels to their users. Title Pipe currently operates using a contract developer model as is customary in its industry. Title Pipe's current team is lean and very experienced. Title Pipe is hopeful that bankruptcy protection will allow Title Pipe the opportunity to focus on growth without legal distraction. Now that the product is market-ready, the team believes that given a chance to develop relationships with its potential clients (many of whom have indicated interest), Title Pipe will experience the success necessary to pay creditors. Title Pipe would like and appreciate the opportunity to properly launch into a market unfettered by legal entanglement or fear of a third party interfering with its partner relationships. It is anticipated that the payments to Unsecured Creditors will exceed the Debtor's projected disposable income and will exceed the liquidation of all the Debtor's assets. The Debtor intends to pay $240,941 to the Class of General Unsecured Claims into the Plan over a period of 36 months. The Debtor shall make a payment on the date of confirmation in the amount of $91,121 that will pay all administrative expenses and priority tax claims in full. In addition, the Debtor shall make equal payments of $4,281 in months 2 through 36. Total Plan Payments $240,941.00. The Debtor scheduled $2,946,643.28 in general unsecured debt. It is anticipated that this class shall receive approximately 6% of their respective claims. Debtor shall make payments from future income of the Debtor and/or future capital investment. A hearing on the confirmation of this plan is scheduled for March 16, 2023 at 9:00 a.m. in Courtroom no. 4 at 550 w. Fort St., 5th floor Boise, Idaho 83724. Objection to confirmation of the Plan must be submitted by February 24, 2023. Attorney for the Debtor: Patrick J. Geile, Esq. FOLEY FREEMAN, PLLC 953 S. Industry Way, P.O. Box 10 Meridian, ID 83680 Tel: (208) 888-9111 Fax: (208) 888-5130 E-mail: pgeile@foleyfreeman.com A copy of the Disclosure Statement dated Jan. 20, 2023, is available at https://bit.ly/3J5wXIs from PacerMonitor.com. About Title Pipe Title Pipe, Inc. -- https://www.titlepipe.com/ -- is a software company in Eagle, Idaho, which offers computer systems design and related services. Title Pipe filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Idaho Case No. 22-00328) on July 26, 2022, with between $100,000 and $500,000 in assets and between $1 million and $10 million in liabilities. The Debtor has elected to proceed under Subchapter V of Chapter 11. Matthew W. Grimshaw of Grimshaw Law Group, P.C. is the Subchapter V trustee. Judge Joseph M. Meier oversees the case. Patrick John Geile, Esq., at Foley Freeman, PLLC and Cheryl Guiddy, CPA serve as the Debtor's legal counsel and accountant, respectively. TRADITION BREWING: Unsecureds Will Get 10% in Subchapter V Plan --------------------------------------------------------------- Tradition Brewing Company, LLC, filed with the U.S. Bankruptcy Court for the Eastern District of Virginia a Plan of Reorganization under Subchapter V dated January 29, 2023. Tradition Brewing is a Virginia limited liability company. The Company operates in a 4,000-square-foot taproom with a mezzanine loft, complete with a secondary bar and ample indoor and outdoor seating. Even though Tradition believed it had established a path to financial success (as it continued to produce stellar beer products with a great customer fan base), some of its early investors holding convertible notes grew weary and instituted litigation with respect to their debt instruments. The Board believes that Subchapter V will provide Tradition a method to address the demands of the convertible noteholder litigants and appropriately restructure valid debts while simultaneously continuing to provide the unique services and delicious products and brews the Newport News community has come to cherish. The financial projections show that the Reorganized Debtor will have Disposable Income through year four less payments to Allowed Administrative Expenses, Fee Claims and Claims of Holders in Classes 1 through 4 of approximately $180,000. The final Plan payment is expected to be paid no later than April 1, 2027. This Plan proposes to pay the Debtor's Creditors via (a) Disposable Income for four years and (b) the Equity Conversion. Allowed Secured Claims will be paid (a) pursuant to the terms of Pre-Petition Loan Documents, (b) in full on the Effective Date, (c) surrender of the Collateral and/or (d) as otherwise agreed by the Debtor/Reorganized Debtor and the Holder of the Secured Claim. As part of the Equity Surrender, NNRHA will be paid after the Effective Date pursuant to the terms of Pre-Petition Loan Documents, with any arrearages being paid at the end of the term of said documents in monthly payments equivalent to the last regular monthly payment made pursuant to the Pre-Petition Loan Documents. Allowed Priority Claims will be paid in full on or before the Effective Date or as provided in § 1129(a)(9)(B) of the Bankruptcy Code or as otherwise agreed by the Debtor/Reorganized Debtor and the Holder of said claim. Creditors holding Allowed General Unsecured Claims will receive Distributions for four years from the Reorganized Debtor's Disposable Income projected to be $180,000 and a mechanism to convert and receive Equity Security in the Reorganized Debtor. Furthermore, the Plan provides for Tradition to continue as a going concern for the benefit of the landlord, employees, suppliers, customers, and others who rely on Tradition as a business, all of whom are important constituents under Subchapter V that should be taken into consideration as mandated by Congress and courts around the Country. Class 5 consists of Non-Priority General Unsecured Claim Creditors. Each Holder shall receive 10% 6 of its Allowed Claim in four payments from the Distribution Amounts of 25% in year one, 13% in year two, 22% in year three, and 40% in year four (collectively, the "Yearly Distributions") and to the extent that the Holder of a Claim in Class 5 agrees in writing on its Ballot that its Yearly Distributions shall remain with the Reorganized Debtor, said Holder shall receive its pro rata share of 90% of the Reorganized Debtor's Equity Security. The obligations of the Debtor with respect to Claims in Class 5 shall not be secured. Class 6 consists of Equity Security. In connection with the Equity Surrender, the Class A Investors shall surrender 90% of the Security Equity in the Reorganized Debtor but will retain 10%. After the Effective Date, Tradition shall continue to operate under the Board's governance with Mr. Goodson and Mr. Bowditch providing the day-to-day managerial oversight pursuant to the Goodson Commitment and the Bowditch Commitment. Payments under the Plan will be made with the Disposable Income of the Debtor/Reorganized Debtor. Mr. Goodson and Mr. Bowditch have agreed respectively to the Goodson Resolution and the Bowditch Resolution, which resolutions provide additional liquidity to the Reorganized Debtor. A full-text copy of the Plan of Reorganization dated January 29, 2023 is available at https://bit.ly/3HO1p8Z from PacerMonitor.com at no charge. Counsel for the Debtor: Lynn L. Tavenner, Esq. Paula S. Beran, Esq. Tavenner & Beran, PLC 20 North 8th Street Richmond, VA 23219 Telephone: (804) 783-8300 Facsimile: (804) 783-0178 Email: ltavenner@tb-lawfirm.com pberan@tb-lawfirm.com About Tradition Brewing Company Tradition Brewing Company, LLC, is a company in Newport News, Va., which operates a beverage manufacturing business. Tradition Brewing Company filed its voluntary petition for Chapter 11 protection (Bankr. E.D. Va. Case No. 22-50715) on Oct. 31, 2022, with $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Pax Goodson, Board Chairman, signed the petition. Judge Stephen C. St. John oversees the case. Tavenner & Beran, PLC serves as the Debtor's legal counsel. TRANSOCEAN LTD: 0.5% Exchangeable Senior Bonds Delisted From NYSE ----------------------------------------------------------------- The New York Stock Exchange LLC has filed a Form 25-NSE with the Securities and Exchange Commission notifying the removal from listing and/or registration of 0.5% Exchangeable Senior Bonds due 2023 guaranteed by Transocean Ltd. under Section 12(b) of the Securities Exchange Act of 1934. About Transocean Transocean Ltd. is an international provider of offshore contract drilling services for oil and gas wells. The Company specializes in technically demanding sectors of the offshore drilling business with a particular focus on ultra-deepwater and harsh environment drilling services. Transocean reported a net loss of $591 million for the year ended Dec. 31, 2021, a net loss of $568 million for the year ended Dec. 31, 2020, and a net loss of $1.25 billion for the year ended Dec. 31, 2019. As of Sept. 30, 2022, the Company had $20.62 billion in total assets, $1.50 billion in total current liabilities, $7.88 billion in total long-term liabilities, and $11.23 billion in total equity. * * * As reported by the TCR on Oct. 18, 2022, S&P Global Ratings raised the issuer credit rating on Switzerland-domiciled offshore drilling contractor Transocean Ltd. to 'CCC' from 'SD'. The upgrade reflects Transocean's enhanced liquidity runway. TRANSOCEAN LTD: Awarded $392M Contract for Dhirubhai Drillship -------------------------------------------------------------- Transocean Ltd. announced that the ultra-deepwater drillship, Dhirubhai Deepwater KG2, has been awarded a 910-day contract by a national oil company for work offshore Brazil. The estimated backlog of $392 million excludes a mobilization fee of 90 times the contract dayrate. The new contract is expected to commence in the third quarter of 2023. About Transocean Transocean Ltd. is an international provider of offshore contract drilling services for oil and gas wells. The Company specializes in technically demanding sectors of the offshore drilling business with a particular focus on ultra-deepwater and harsh environment drilling services. Transocean reported a net loss of $591 million for the year ended Dec. 31, 2021, a net loss of $568 million for the year ended Dec. 31, 2020, and a net loss of $1.25 billion for the year ended Dec. 31, 2019. As of Sept. 30, 2022, the Company had $20.62 billion in total assets, $1.50 billion in total current liabilities, $7.88 billion in total long-term liabilities, and $11.23 billion in total equity. * * * As reported by the TCR on Oct. 18, 2022, S&P Global Ratings raised the issuer credit rating on Switzerland-domiciled offshore drilling contractor Transocean Ltd. to 'CCC' from 'SD'. The upgrade reflects Transocean's enhanced liquidity runway. TRANSOCEAN LTD: Unit Inks Indenture Governing Existing Notes ------------------------------------------------------------ On Jan. 31, 2023, in connection with the closing of the previously-announced offering by Transocean Inc. (the "Issuer"), a wholly-owned subsidiary of Transocean Ltd., of U.S. $1.175 billion in aggregate principal amount of 8.75% senior secured notes due 2030, the Issuer entered into an indenture with (x) Transocean Ltd., (y) certain of the Issuer's subsidiaries that guarantee the existing (i) 7.75% Senior Secured Notes due 2024 issued by Transocean Phoenix 2 Limited, (ii) 5.875% Senior Secured Notes due 2024 issued by Transocean Guardian Limited, (iii) 6.25% Senior Secured Notes due 2024 issued by Transocean Proteus Limited and (iv) 6.125% Senior Secured Notes due 2025 issued by Transocean Pontus Limited and (z) Truist Bank, as trustee and collateral agent. The Notes are fully and unconditionally guaranteed on a senior unsecured basis by Transocean Ltd. and guaranteed on a senior secured basis by the Limited Guarantors, in each case, up to a secured guarantee cap equal to the principal amount of such notes refinanced (together with any applicable premium, fees and expenses). Accordingly, the Limited Guarantors are subject to a Secured Limited Guarantee Cap on the Notes equal to $247 million, $320 million, $256 million and $352 million, respectively. The Notes are also secured by a lien on Deepwater Thalassa, Deepwater Proteus, Transocean Enabler, Transocean Encourage and Deepwater Pontus and certain other assets related to the Collateral Rigs, up to the applicable Secured Limited Guarantee Cap. The Notes have not been registered under the U.S. Securities Act of 1933, as amended, or under any state securities laws, and were offered only to qualified institutional buyers under Rule 144A under the Securities Act and outside the United States in compliance with Regulation S under the Securities Act. The terms of the Notes are governed by the Indenture, which contains covenants that, among other things, (i) limit the activities of the Issuer, each owner and each operator of the Collateral Rigs, (ii) limit the ability of the Issuer and its subsidiaries to incur liens and engage in certain sale and lease-back transactions, (iii) limit the ability of the Issuer's subsidiaries to incur indebtedness, and (iv) limit the ability of the Issuer and the Guarantors to consolidate, merge or enter into a scheme of arrangement qualifying as an amalgamation. The Indenture also contains customary events of default. Indebtedness under the Notes may be accelerated in certain circumstances upon an event of default as set forth in the Indenture. On Jan. 17, 2023, each of the issuers of the Existing Secured Notes exercised its right to optionally redeem all of its applicable series of the Existing Secured Notes at the applicable redemption price for such series, which redemptions were conditioned upon and subject to the Notes issuance. The redemptions are currently expected to be consummated on Feb. 16, 2023, assuming the satisfaction by such date of the conditions thereto. Concurrently with the closing of the offering of the Notes, the redemption price was deposited with the trustee under the indentures governing each series of Existing Secured Notes, such indentures were satisfied and discharged and the liens securing the obligations under such indentures were released. This report does not constitute a notice of redemption under the optional redemption provisions of the indentures governing the Existing Secured Notes. All of the net proceeds from the Notes were used to fund the redemption of all of the outstanding Existing Secured Notes, subject to the satisfaction of the conditions precedent thereto. Transocean Inc. transferred a portion of the net proceeds from the Notes issuance, together with cash on hand to the extent required to complete such redemptions, to each applicable subsidiary issuer of the respective series of Existing Secured Notes, and each such issuer applied such proceeds to consummate such redemption, subject to the satisfaction of the conditions precedent thereto. About Transocean Transocean Ltd. is an international provider of offshore contract drilling services for oil and gas wells. The Company specializes in technically demanding sectors of the offshore drilling business with a particular focus on ultra-deepwater and harsh environment drilling services. Transocean reported a net loss of $591 million for the year ended Dec. 31, 2021, a net loss of $568 million for the year ended Dec. 31, 2020, and a net loss of $1.25 billion for the year ended Dec. 31, 2019. As of Sept. 30, 2022, the Company had $20.62 billion in total assets, $1.50 billion in total current liabilities, $7.88 billion in total long-term liabilities, and $11.23 billion in total equity. * * * As reported by the TCR on Oct. 18, 2022, S&P Global Ratings raised the issuer credit rating on Switzerland-domiciled offshore drilling contractor Transocean Ltd. to 'CCC' from 'SD'. The upgrade reflects Transocean's enhanced liquidity runway. TRAYLOR CHATEAU: Court Okays Appointment of Chapter 11 Trustee -------------------------------------------------------------- Judge Kathy Surratt-States of the U.S. Bankruptcy Court for the Eastern District of Missouri approved the appointment of David Sosne, Esq., attorney at Summers Compton Wells, LLC, as Chapter 11 trustee for Traylor Chateau, LLC. The approval comes upon the application filed by the Acting U.S. Trustee for Region 13 to appoint a bankruptcy trustee to take over Traylor's Chapter 11 case. Mr. Sosne may be reached at: David A. Sosne, Esq. Summers Compton Wells, LLC 903 S. Lindbergh Blvd., Suite 200 St. Louis, MO 63131 Office: 314.991.4999 Email: dsosne@scw.law A copy of the appointment order is available for free at https://bit.ly/3Y5qkKB from PacerMonitor.com. About Traylor Chateau Traylor Chateau, LLC is a Missouri limited liability company that owns a 30-unit apartment building located at 5832-5840 Cabanne Avenue, in Saint Louis City, Mo. The company is a single asset real estate (as defined in 11 U.S.C. Section 101(51B)). Traylor Chateau sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Mo. Case No. 22-43815) on Dec. 6, 2022, with up to $10 million in assets and up to $1 million in liabilities. Rena T. Traylor, member of Traylor Chateau, signed the petition. Judge Kathy A. Surratt-States oversees the case. Frank R. Ledbetter, Esq., at Ledbetter Law Firm, LLC represents the Debtor as counsel. TREASURE ISLAND: U.S. Trustee Unable to Appoint Committee --------------------------------------------------------- The U.S. Trustee for Region 21, until further notice, will not appoint an official committee of unsecured creditors in the Chapter 11 case of Treasure Island Yacht and Tennis Club of Pinellas County, LLC, according to court dockets. About Treasure Island Yacht Treasure Island Yacht and Tennis Club of Pinellas County, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 22-05052) on Dec. 22, 2022. In the petition signed by William L. Edwards, member, the Debtor estimated $1 million to $10 million in assets and $10 million to $50 million in liabilities. Judge Caryl E. Delano oversees the case. The Debtor tapped Stephenie Biernacki Anthony, Esq., at Anthony & Partners, LLC as bankruptcy counsel and Kathryn J. Sole, Esq., at Sole Law, PLLC as special counsel. TROPICAL DELIGHT: Unsecured Creditors to Get 6.5% in 3 Years ------------------------------------------------------------ Tropical Delight 1, Inc., submitted a First Amended Plan of Reorganization. Debtor is a S-Corporation formed under the laws of the State of Florida. It has one shareholder and the corporate entity is in business of owning and operating a small restaurant. Including the principal of the Debtor, it has two full-time employees and one part-time employee. Ms. Heather Kelly, the President and sole shareholder serves as a manager and cook for the restaurant. Under the Plan, Class 3 consists of the General Unsecured Claims, specifically, this class consists of General Unsecured Claim of the Internal Revenue Service, the unsecured portion of the U.S. Small Business Administration, and creditors 24 Capital Funding, Everest Business Funding, Highppoint Capital SPE1, LLC. and Kinetic Direct Funding, LLC. The holders of Class 3 General Unsecured Claims will receive 6.50% of the amount owed prepetition in 36 months, paid in at a total of $322.00 per month commencing on the Effective Date of the Plan. There shall be no distribution on account of disputed claims until such objection or dispute is resolved by final Order. The Debtor shall, however, reserve funds to make the proportionate distribution to such creditors until such time as all claims objections have been finally determined. All funds reserved on account of disallowed claims shall be distributed pro-rata to the holders of allowed unsecured claims at the conclusion of the claims objection process. The Debtor will retain all property of the estate and such property shall re-vest in the Debtor at discharge. Thereafter, the Debtor may use, acquire and dispose of their property free of any restrictions of the Bankruptcy Code, the Bankruptcy Rules, and the Bankruptcy Court. As of the effective date of this Plan, all property retained by the Debtors and sold shall be free and clear of any and all liens and interests except as specifically provided in the Plan or the order confirming the Plan. Counsel for the Debtor: Rehan N. Khawaja, Esq. BANKRUPTCY LAW OFFICES OF REHAN N. KHAWAJA 817 North Main Street Jacksonville, FL 32202 Telephone: (904) 355-8055 Facsimile: (904) 355-8058 Electronic Mail: Khawaja@Fla-Bankruptcy.com A copy of the First Amended Plan of Reorganization dated Jan. 20, 2023, is available at https://bit.ly/3QUVC4z from PacerMonitor.com. 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 as much as $1 million in both assets and liabilities. Robert Altman has been appointed as Subchapter V trustee. The Bankruptcy Law Offices of Rehan N. Khawaja is the Debtor's counsel. UNCLE DAN'S TIRE: Court OKs Cash Collateral Access Thru Feb 19 -------------------------------------------------------------- The U.S. Bankruptcy Court for the District of Oregon authorized Uncle Dan's Tire World, Inc. to use cash collateral on an interim basis in accordance the budget, with a 10% variance, through February 19, 2023. The Debtor requires the use of cash collateral to continue operating its business. As previously reported by the Troubled Company Reporter, the Debtor's secured creditors are the Internal Revenue Service and CFG Merchant Solutions. The secured creditors have UCC liens filed on bank accounts and accounts receivable recorded in the Office of The Secretary of the State. The first lien of CFG has a current balance of approximately $40,000. The second lien of the IRS has a balance of approximately $16,000. As adequate protection, the Secured Creditors are granted a security interest and replacement lien, dollar for dollar, in all of the post-petition accounts and accounts receivables to replace their security interest and liens in collateral to the extent of Pre-Petition cash collateral utilized by Debtor during the pendency of the bankruptcy proceeding. The Court's order provides that the automatic stay of section 362 of the Bankruptcy Code is modified as necessary to permit the IRS to perfect the adequate protection lien granted to them thereunder; provided, however, that the IRS will not be required to record any document with any filing officer or take any other action to perfect such lien, such lien being hereby deemed to be perfected without any such further action. Another hearing on the matter is set for February 16, 2023 at 2 p.m. A copy of the order and the Debtor's budget is available at https://bit.ly/3JQHvMf from PacerMonitor.com. The Debtor projects total expenses, on a monthly basis, as follows: $43,660 for January 2023; $43,660 for February 2023; $43,660 for March 2023; $43,660 for April 2023; $43,660 for May 2023; and $43,660 for June 2023. About Uncle Dan's Tire World, Inc. Uncle Dan's Tire World, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ore. Case No. 23-30137) on January 23, 2023. In the petition signed by Daniel Svihla, president, the Debtor disclosed up to $100,000 in assets and up to $500,000 in liabilities. Judge Teresa H. Pearson oversees the case. Ted A. Troutman, Esq., at Troutman Law Firm P.C., is the Debtor's legal counsel. UNITED FURNITURE: Court Okays Appointment of Chapter 11 Trustee --------------------------------------------------------------- Judge Selene Maddox of the U.S. Bankruptcy Court for the Northern District of Mississippi approved the appointment of Derek Henderson, Esq., as the Chapter 11 trustee for United Furniture Industries, Inc. The approval comes upon the application filed by David Asbach, Acting U.S. Trustee for Region 5, to appoint a bankruptcy trustee to take over United Furniture's Chapter 11 case. Mr. Henderson, a practicing attorney in Jackson, Miss., disclosed in a court filing that he does not have any connection with the company, creditors and other "parties in interest." A copy of the appointment order is available for free at https://bit.ly/3DnGYNu from PacerMonitor.com. About United Furniture Industries United Furniture Industries, Inc. manufactures and sells upholstery. It offers bonded leather and upholstery fabric recliners, reclining sofas and loveseats, sectionals, and sofa sleepers, as well as stationary sofas, loveseats, chairs, and ottomans. United Furniture Industries was subject to an involuntary Chapter 7 bankruptcy petition (Bankr. N.D. Miss. Case No. 22-13422) filed on Dec. 30, 2022. The petition was signed by alleged creditors Wells Fargo Bank, National Association, Security Associates of Mississippi Alabama LLC, and V & B International, Inc. On Jan. 18, 2023, the court entered the order for relief, thereby, converting the case to one under Chapter 11. Judge Selene D. Maddox oversees the case. Wells Fargo is represented by R. Spencer Clift, III, Esq., while Security Associates is represented by Andrew C. Allen, Esq., at The Law Offices of Andrew C. Allen. UNITED TALENT: S&P Rates New $250MM Incremental Term Loan 'B+' -------------------------------------------------------------- S&P Global Ratings assigned its 'B+' rating to United Talent Agency LLC's (UTA) proposed $250 million nonfungible incremental term loan. UTA plans to use the proceeds to pay down its existing revolver balance, fund cash to its balance sheet for general corporate purposes, and fund potential future mergers and acquisitions (M&A). S&P forecasts UTA's adjusted leverage will remain below 5.0x pro forma the add-on, which is the leverage threshold S&P sets for the current rating. UTA continues to report strong operating performance driven by growth across all its business segments, including Film and TV, Music, and eSports. S&P expects the company will remain acquisitive as it aims to add capabilities and services on a more global scale. Issue Ratings - Recovery Analysis Key analytical factors -- S&P's simulated default scenario contemplates a default in 2027 due to a combination of factors. These include a protracted economic downturn that reduces media spending across UTA's client base, leading to losses in commissions, revenue, and personnel (with multiple talent agents and their clients leaving UTA to join competing firms). -- S&P expects UTA's lenders would pursue a reorganization in the event of a default, given the company's position as the third-largest U.S. talent agency and its recurring revenue generated from past contracts. -- UTA's pro forma capital structure will consist of a $215 million revolving credit facility due in 2026 and a $650 million first-lien term loan due in 2028. -- The credit facility benefits from the guarantee of the borrower and all its material subsidiaries. It is secured by a first-lien on all tangible and intangible assets of UTA and material subsidiaries, including the stock of all subsidiaries. -- Other default assumptions include an 85% draw on the revolving credit facility, LIBOR of 2.5%, and all debt amounts include six months of prepetition interest. Simulated default assumptions -- Simulated year of default: 2027 -- EBITDA at emergence: $82 million -- Implied enterprise value multiple: 6.5x Simplified waterfall -- Net enterprise value: $506 million -- Senior secured debt claims: $830 million --Recovery expectations: 50%-70% (rounded estimate: 60%) All debt amounts include six months of prepetition interest. VELOCIOUS DELIVERY: Wins Access to Cash Collateral Thru Mar 20 -------------------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, entered an order authorizing Velocious Delivery LLC to use cash collateral on an interim basis in accordance with the budget through March 20, 2023. Corporation Service Company, C T Corporation System, RDM Capital Funding, LLC, and Corporation Service Company are granted, effective upon the Petition Date, continuing valid and perfected replacement like-kind liens in all of the accounts and general intangibles arising from the operation of the Debtor's business presently securing the indebtedness owing to Corporation Service Company, C T Corporation System, RDM Capital Funding, LLC and Corporation Service Company under 11 U.S.C. Section 361(2) in the same priority as such lien existed prepetition in the accounts and general intangibles. The Debtor is directed to continue tendering $1,000 monthly to the Subchapter V Trustee, Jarrod B. Martin, on the last day of each month until plan confirmation. The Debtor may not pay professionals, including its accountant until further Court order. A further hearing on the matter is set for March 22 at 11 a.m. A copy of the order and the Debtor's budget is available at https://bit.ly/3wLYozV from PacerMonitor.com. The Debtor projects $115,000 in gross income and $13,077 in total expenses. About Velocious Delivery LLC Velocious Delivery LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 22-33690) on December 9, 2022. In the petition signed by Brandon Toledo, president, the Debtor disclosed up to $100,000 in assets and up to $500,000 in liabilities. Judge Jeffrey P. Norman oversees the case. Samuel L. Milledge, Sr. Esq., at The Milledge Law Firm, PLLC, represents the Debtor as counsel. Jarrod B. Martin has been appointed as Subchapter V Trustee. VOLUNTEER ENERGY: Unsec. Creditors Get 9.5% to 45.7% in Plan ------------------------------------------------------------ Volunteer Energy Services, Inc., submitted a Disclosure Statement for the Third Amended Chapter 11 Plan of Liquidation. As of the Petition Date, the Debtor estimated that approximately $40 million of general unsecured debt was outstanding, comprised primarily of amounts due and owing to Wholesale Energy Suppliers and transportation debt. The Debtor estimates that on the Plan Effective Date (assumed to be March 31, 2023 for purposes of the Liquidation Analysis), there will be approximately $6.6 million in unencumbered cash. After the payment of allowed Administrative Expense Claims, Priority Tax Claims, and Other Priority Claims, the Debtor estimates that there will be approximately $2.28 million available for the Liquidating Trust. The Debtor estimates that after the payment of expenses of the Liquidating Trust and the collection of additional recoveries, comprised of collateral, accounts receivable, professional fee savings, other budgetary savings, and the pursuit of causes of action, the total recoveries for general unsecured creditors may be between $2.94 million and $12.8 million. Such recoveries constitute estimated recoveries for general unsecured creditors between 9.5% and 45.7%. The Debtor highly encourages all creditors to review the Liquidation Analysis (and the accompanying Liquidation Analysis notes) for a complete understanding of how these estimates were derived. Under the Plan, Class 5 General Unsecured Claims totaling $23 million to $31 million will recover 9.5% to 45.7% of their claims. Each Holder of an Allowed General Unsecured Claim in Class 5, except to the extent that a Holder of an Allowed General Unsecured Claim agrees to less favorable treatment, will receive one or more distributions equal to its Pro Rata share of the General Unsecured Creditor Interests as such distributions become available as is reasonably practicable in the reasonable discretion of the Liquidating Trustee. The Liquidating Trust, in the Liquidating Trustee's discretion, shall make periodic distributions of available cash to the holders of Allowed General Unsecured Creditor Interests at any time after the Effective Date. Class 5 is impaired. The Plan shall be funded from the Effective Date Cash and any other Assets of the Estate, except as expressly set forth in the Plan. Counsel to the Debtor: Darren Azman, Esq. Natalie Rowles, Esq. MCDERMOTT WILL & EMERY LLP One Vanderbilt Avenue New York, NY 10017-3852 Telephone: (212) 547-5400 Facsimile: (212) 547-5444 - and - David M. Whitaker, Esq. Philip K. Stovall, Esq. ISAAC WILES & BURKHOLDER, LLC Two Miranova Place, Suite 700 Columbus, OH 43215-5098 Telephone: (614) 221-2121 Facsimile: (614) 365-9516 A copy of the Disclosure Statement dated Jan. 20, 2023, is available at https://bit.ly/3XyPNfx from PacerMonitor.com. About Volunteer Energy Services Volunteer Energy Services, Inc., an electric power provider based in Pickerington, Ohio, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Ohio Case No. 22-50804) on March 25, 2022. In the petition signed by David Warner, chief financial officer, the Debtor disclosed up to $100 million in both assets and liabilities. Judge C. Kathryn Preston oversees the case. McDermott Will & Emery, LLP, and Isaac Wiles and Burkholder, LLC, serve as the Debtor's lead bankruptcy counsel and local counsel, respectively. GlassRatner Advisory & Capital Group, LLC, doing business as B. Riley Advisory Services, is the Debtor's financial advisor. Epiq Corporate Restructuring, LLC, is the claims agent and administrative advisor. VTV THERAPEUTICS: Selects Elizabeth Keiley as EVP, General Counsel ------------------------------------------------------------------ vTv Therapeutics Inc. announced the appointment of Elizabeth (Betzy) Keiley as executive vice president and general counsel, effective immediately. "We welcome Betzy to vTv. Her years of legal expertise and deep experience in life sciences will be valuable to the vTv team," said Paul Sekhri, president and chief executive officer of vTv Therapeutics. "Her decades of experience in both private practice and corporate settings make her an ideal fit for this position. I am confident that we will benefit from her contributions and look forward to working closely with her as we move ahead toward our long-term capital funding goals and launching our phase 3 clinical trials." Ms. Keiley is an accomplished life science industry attorney who has served in multiple senior-level legal positions at publicly traded biotechnology, diagnostic and medical device companies. She joins vTv from Entasis Therapeutics Holdings Inc., where she served as general counsel. Prior to Entasis, she was senior vice president, general counsel at Oxford Immunotec, where she simultaneously served for seven years as chief compliance officer, and was Assistant General Counsel, Americas, of Zimmer, Inc., a subsidiary of Zimmer Holdings, Inc. Before beginning her corporate career in 2008, Ms. Keiley was a partner at Wildman, Harrold, Allen & Dixon LLP in Chicago, Illinois, where she focused on a wide range of corporate and commercial matters for clients in a variety of industries, including medical devices. Ms. Keiley earned her bachelor's degree in Psychology and Philosophy from Boston College and a J.D. from Loyola University School of Law. "With the upcoming initiation of our pivotal studies of TTP399, the company is approaching a key inflection point with the potential to become a commercial organization in the coming years," added Ms. Keiley. "I am eager to put my skills and expertise to work as we continue to advance the development of TTP399 toward our ultimate goal of changing the treatment paradigm for patients with T1D." About vTv Therapeutics vTv Therapeutics Inc. is a clinical-stage biopharmaceutical company focused on developing oral small molecule drug candidates. vTv has a pipeline of clinical drug candidates led by programs for the treatment of type 1 diabetes, Alzheimer's disease, and inflammatory disorders. vTv's development partners are pursuing additional indications in type 2 diabetes, chronic obstructive pulmonary disease (COPD), and genetic mitochondrial diseases. vTv Therapeutics reported a net loss attributable to the company of $12.99 million for the year ended Dec. 31, 2021, a net loss attributable to the company of $8.50 million for the year ended Dec. 31, 2020, and a net loss attributable to the company of $13.04 million for the year ended Dec. 31, 2019. As of Sept. 30, 2022, the Company had $35.52 million in total assets, $27.88 million in total liabilities, $24.21 million in redeemable noncontrolling interest, and a total stockholders' deficit attributable to the company of $16.57 million. Raleigh, North Carolina-based Ernst & Young LLP, the Company's auditor since 2000, issued a "going concern" qualification in its report dated March 29, 2022, citing that the Company has not generated any product revenue, has not achieved profitable operations, has insufficient liquidity to sustain operations and has stated that substantial doubt exists about the Company's ability to continue as a going concern. W&T OFFSHORE: Closes $275 Million Senior Second Lien Notes Offering ------------------------------------------------------------------- W&T Offshore, Inc. announced the closing of its offering of $275 million in aggregate principal amount of 11.75% Senior Second Lien Notes due 2026 at par in a private offering that is exempt from registration under the Securities Act of 1933, as amended. The Company intends to use the net proceeds of the offering, along with cash on hand, to fund the redemption of all of the Company's 9.75% Senior Second Lien Notes due 2023. On the closing date of the offering of the Notes, the Company satisfied and discharged the indenture governing the Existing Second Lien Notes. Tracy W. Krohn, chairman and chief executive officer, commented, "As we have discussed previously, we considered a number of alternatives with regard to our 2023 notes including full repayment of the notes. Our focus with all of the options reviewed was not only to significantly reduce debt but also to improve the balance sheet going forward and preserve financial flexibility. Ultimately, we decided that using our substantial cash balance sheet to pay off half of these notes, significantly reduce interest payments and issue new notes with similar terms but with a shorter tenure, was our best path forward as it also allows us to have more liquidity to potentially fund higher return accretive capital projects and acquisitions in the near term. We continue to see a number of attractive acquisition opportunities in our core focus area and have significant financial resources and flexibility to act quickly when we identify the best opportunities for W&T." The Notes and the related guarantees have not been and will not be registered under the Securities Act or any other securities laws, and the Notes and the related guarantees may not be offered or sold except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and any other applicable securities laws. The Notes and the related guarantees are being offered only to persons reasonably believed to be qualified institutional buyers in the United States under Rule 144A and to non-U.S. investors outside the United States pursuant to Regulation S. About W&T Offshore W&T Offshore, Inc. -- http://www.wtoffshore.com-- is an independent oil and natural gas producer with operations offshore in the Gulf of Mexico and has grown through acquisitions, exploration and development. As of Sept. 30, 2022, the Company holds working interests in 47 offshore fields in federal and state waters (45 fields producing and 2 fields capable of producing, which include 39 fields in federal waters and 8 in state waters). The Company currently has under lease approximately 622,000 gross acres (449,500 net acres) spanning across the outer continental shelf off the coasts of Louisiana, Texas, Mississippi and Alabama, with approximately 8,000 gross acres in Alabama State waters, 449,000 gross acres on the conventional shelf and approximately 165,000 gross acres in the deepwater. A majority of the Company's daily production is derived from wells it operates. W&T Offshore reported a net loss of $41.48 million for the year ended Dec. 31, 2021, compared to net income of $37.79 million for the year ended Dec. 31, 2020. As of Sept. 30, 2022, the Company had $1.49 billion in total assets, $380.77 million in total current liabilities, $665.97 million in long-term debt, $398.72 million in asset retirement obligations (less current portion), $94.84 million in other liabilities, $113,000 in deferred income taxes, $4.90 million in commitments and contingencies, and a total shareholders' deficit of $55.02 million. * * * Moody's Investors Service upgraded W&T Offshore, Inc.'s Corporate Family Rating to B3 from Caa1, according to a TCR report dated Jan. 25, 2023. "The upgrade of W&T Offshore's Corporate Family Rating reflects the refinancing transaction, which extends the company's debt maturity profile and reduces debt, as well as supportive commodity prices that sustain stronger credit metrics," commented Jonathan Teitel, a Moody's analyst. As reported by the TCR on Jan. 11, 2023, S&P Global Ratings placed its 'CCC+' issuer credit rating on W&T Offshore Inc. and all issue-level ratings on CreditWatch with positive implications, reflecting the expected improvement in its debt maturity profile as well as continued improvement in credit measures. WB MAINTENANCE: 3 Inactive Debtors Submit Plan Disclosures ---------------------------------------------------------- On Oct. 19, 2022, WB Maintenance Inc. d/b/a WB Maintenance & Repair, Go-Pro Maintenance Inc., W.B. Maintenance & Repair Corp., W.B. & Son Construction Corp., and WB Maintenance & Design Group, Inc., filed their proposed Joint Plan of Reorganization. On Nov. 16, 2022, at the behest of the Office of the U.S. Trustee, WB Maintenance Inc., Case No. 1-22-41755, W.B. & Son Construction Corp., Case No. 1-22-41758, and WB Maintenance & Design Group, Inc., Case No. 1-22-41759 (the "Three Inactive Debtors") filed a motion for authorization to remove the subchapter V designation from their cases and procced under regular chapter 11. The Three Inactive Debtors filed their amended petitions as exhibits to the subchapter V Removal Motion, which indicate their non-subchapter V status. The order authorizing the removal of the subchapter V designation was signed and entered on Dec. 29, 2022. Due to the removal of the subchapter V designation from the Chapter 11 Bankruptcy Cases of the Three Inactive Debtors, The Three Inactive Debtors on Jan. 18, 2023, submitted a Disclosure Statement pursuant to section 1125 of the Bankruptcy Code to accompany their joint Plan. Disclosure Statement According to the Disclosure Statement, the Plan contemplates payment in full to all creditors. The Liquidation analysis for each of the Three Inactive Debtors shows no assets or business from which claims can be paid and therefore there is potential of no recovery by their general unsecured creditors. Under the Plan, Class 2 Non-Priority Unsecured Claims (Wage and Hour Claims) consists of the claims of Byron Geovanny Arevalo Fajardo, et. al. ("Plaintiffs"), on the one hand, and defendants WB Maintenance & Design Group, Inc., W.B. & Son Construction Corp., Wladimir Briceno, Betty Briceno, Jeissy Briceno, Jeimy Briceno, and Alexander Briceno ("Defendants") pending in the United States District Court, Eastern District of New York bearing Civil Action No: 1:21-cv-5263 (SJB) (hereinafter, the "FLSA Suit") as such claims are allowed and approved by order of the U.S. District Court and the U.S. Bankruptcy Court. Plaintiffs' claims are scheduled as disputed by the Debtors in their Schedules. Each of the Plaintiffs filed 1 claim in each of the Chapter 11 Bankruptcy Cases, except that Plaintiff Byron Geovanny Arevalo Fajardo did not file a claim in the case of Go-Pro Maintenance Inc. (22-41756). The total amount of Plaintiffs' claims is $2,701,644. Pursuant to a settlement agreement reached by Plaintiffs and Defendants, by their counsel (the "Settlement Agreement"), the total of the obligation to be paid to Plaintiffs as of the date of the Disclosure Statement, is the gross sum of $530,000 (the "Settlement Amount") which is to be paid to Plaintiffs' attorneys, "Levin-Epstein & Associates, P.C., as Attorney for Plaintiffs" as follows: 1 lump-sum payment of $375,000 and the balance to be paid in 6 consecutive monthly payments of $25,833. The lump-sum payment shall be paid on the Effective Date of the Plan and the first installment shall be due within 30 days after the Plaintiffs' receipt of the down payment, this Agreement being approved by the U.S. Bankruptcy Court and confirmation of the Debtors' Plan. Plaintiffs' claims will be allowed as reduced pursuant to the Settlement Agreement under the lead case, WB Maintenance Inc. (22-41755) and paid in amount equal to approximately 20% of the amount set forth in the aggregate amount filed in their proofs of claim. Class 2 is impaired. Class 3 General Unsecured Trade Claims total $112,815. Allowed claims of all pre-petition unsecured creditors of the Debtor, subject to an allowance of their claims by the Court, will be paid in cash, an amount equal to 100% of the allowed amount of such creditors' claim payable as follows: in12 monthly installments commencing 30 days after the Effective Date of the Plan. Each of the 12 monthly payments shall be approximately $9,401. Class 3 is impaired The funds necessary for the satisfaction of creditors' claims shall be generated from revenues received in the ordinary course of the Debtors' collective operation of their construction business, particularly from the business operations of Debtors Go-Pro Maintenance Inc. and W.B. Maintenance & Repair Corp. Counsel for the Debtors: Ralph E. Preite, Esq. KOUTSOUDAKIS & IAKOVOU LAW GROUP PLLC 40 Wall Street, 49th floor New York, NY 10005 Tel: (212) 404-8608 E-mail: ralph@kilegal.com A copy of the Disclosure Statement dated Jan. 18, 2023, is available at https://bit.ly/3kxx7y1 from PacerMonitor.com. About WB Maintenance Inc. WB Maintenance Inc. sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 22-41755) on July 22, 2022, listing under $1 million in both assets and liabilities. Ralph E Preite, Esq. at Koutsoudakis & Iakovou Law Group PLLC, is the Debtor's counsel. WORLEY CHIROPRACTIC: March 7 Plan & Disclosure Hearing Set ---------------------------------------------------------- On Jan. 23, 2023, Worley Chiropractic Clinic PA filed with the U.S. Bankruptcy Court for the District of South Carolina a Disclosure Statement with respect to Chapter 11 Plan. On Jan. 26, 2023, Judge Helen E. Burris conditionally approved the Disclosure Statement and ordered that: * March 7, 2023 at 10:30 AM at the Clement F. Haynsworth Federal Building and U.S. Courthouse, 300 East Washington Street Greenville, South Carolina is the hearing to consider final approval of the disclosure statement and confirmation of the Plan. * Feb. 28, 2023, is fixed as the last day for all creditors and other parties in interest entitled to vote on the Plan to file their written acceptance or rejection of the Plan. * Feb. 28, 2023, is fixed as the last day for any creditor or party in interest that wishes to object to confirmation of the Plan to file and serve the objection. A copy of the order dated January 26, 2023 is available at https://bit.ly/3wV5CkR from PacerMonitor.com at no charge. Debtor's Counsel: Robert H. Cooper, Esq. The Cooper Law Firm 150 Milestone Way, Suite B Greenville, SC 29615 Tel: (864) 271-9911 Fax: (864) 232-5236 Email: rhcooper@thecooperlawfirm.com About Worley Chiropractic Clinic Worley Chiropractic Clinic PA is a chiropractic clinic located in Greenwood, S.C. Worley Chiropractic Clinic sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. S.C. Case No. 22-01831) on July 12, 2022, listing $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Donald B. Worley, president, signed the petition. Judge Helen E. Burris oversees the case. Robert H. Cooper, Esq., at The Cooper Law Firm, serves as the Debtor's legal counsel while Montgomery & Company, CPAs, PA is the Debtor's accountant. XBRIDGE LLC: Creditor Seeks Chapter 11 Trustee Appointment ---------------------------------------------------------- A creditor of XBridge, LLC called for an independent trustee to take over the company's Chapter 11 case, citing failure by the court-appointed receiver to safeguard assets of the company. In a filing with the U.S. Bankruptcy Court for the District of Colorado, Gerald Kernis said a bankruptcy trustee should be appointed to manage the case in light of Alliance Management, LLC's failure to secure the company's assets, including intellectual property and revenue from customer contracts. "Those intellectual property assets and customer revenues have been leeched away from [XBridge] and diverted to related entities of [Bruce] Schaumberg," Mr. Kernis said, referring to Focus Solutions, LLC and Focus Systems, two of the companies owned by Mr. Schaumberg, XBridge's major shareholder. The receiver's inaction allegedly caused the transfer of XBridge's platform and intellectual property to servers owned by Focus Systems, placing them outside of the receiver's control. It also resulted in the transfer of the company's customers who are now sending all revenue to Focus Solutions, with nothing remitted to XBridge, according to documents filed by Mr. Kernis' attorneys in court. One of those attorneys, Keri Riley, Esq., at Kutner Brinen Dickey Riley, PC, criticized the receiver for proposing a sale of XBridge's assets to Mr. Schaumberg with a broad release of claims that the receiver has not investigated. The receiver proposed to sell the assets, including litigation claims, to Mr. Schaumberg in exchange for a release of his claims against XBridge's estate and a small cash portion. This would result in Mr. Schaumberg's companies, including Focus Solutions and Focus Systems, receiving approximately 62% of the sale proceeds or over $680,531, according to Ms. Riley. "The lack of transparency, concerns over insider dealings and the failure to secure assets of [XBridge] has caused significant concerns from creditors, resulting in Kernis filing the present involuntary petition and is cause for appointment of a Chapter 11 trustee," Ms. Riley said in court papers. Mr. Kernis brought involuntary Chapter 11 case against XBridge on Jan. 6. The case is currently pending before Judge Joseph Rosania, Jr. of the U.S. Bankruptcy Court for the District of Colorado. Mr. Kernis may be reached through: Jeffrey S. Brinen, Esq. Keri L. Riley, Esq. Kutner Brinen Dickey Riley, PC 1660 Lincoln Street, Suite 1720 Denver, CO 80264 Telephone: (303) 832-2400 Email: klr@kutnerlaw.com About XBridge LLC XBridge, LLC is a company in De Pere Wis., which specializes in healthcare data technology. It offers CRM, patient monitoring technologies, and financial packages. On Jan. 6, 2023, Gerald Kernis filed an involuntary Chapter 11 petition (Bankr. D. Colo. Case No. 23-10045) against the Debtor. The petitioning creditor is represented by Keri L. Riley, Esq., at Kutner Brinen Dickey Riley, PC. Judge Joseph G. Rosania, Jr. oversees the case. [*] David Castleman Joins Otterbourg as Member in Bankruptcy Dep't ------------------------------------------------------------------ Otterbourg P.C. on Jan. 30 disclosed that David Castleman has joined the firm as a member in the Restructuring and Bankruptcy Department. He comes to Otterbourg from Raines Feldman LLP, where he was a partner. Mr. Castleman's practice focuses on federal equity receiverships and complex litigation in both state and federal courts. Recognized for his experience in cryptocurrency insolvencies, Mr. Castleman was recently appointed as receiver regarding a $250 million alleged internet-based Ponzi scheme in a case brought by the Commodity Futures Trading Commission in the Southern District of New York. In this, he helped in the recovery of over $100 million for the benefit of claimants, including over $60 million in cryptocurrency held overseas in the first year of the receivership. "Dave is an impactful lawyer with an impressive track record in a very demanding practice," said Richard Stehl, Otterbourg's chairman. "He brings unique skills to Otterbourg that enhance our bankruptcy practice and expands the range of complex cryptocurrency services we provide. We are pleased to welcome Dave to Otterbourg." Mr. Castleman was previously senior counsel at a prominent litigation boutique firm, working extensively on receivership matters. Earlier, he served as an Assistant Attorney General in the New York Investor Protection Bureau, where he was instrumental in achieving a $714 million global settlement against a major financial institution on behalf of fraud victims. Mr. Castleman contributed substantially to novel strategies by the New York Attorney General to use the Martin Act to hold fossil fuel companies responsible for contributing to climate change. He received his J.D., cum laude and Order of the Coif, from the University of Pennsylvania Law School, where he served as Executive Editor of the Law Review. "Dave will be a valuable addition to our practice, strengthening our fiduciary and receivership practice, and enhancing the services provided by Erik Weinick and Phil Berg in crypto currency forensics," said Melanie Cyganowski, Chair of the firm's Restructuring and Bankruptcy Department and former Chief Judge of the Eastern District Bankruptcy Court. Otterbourg's Restructuring and Bankruptcy group specializes in the representation of stakeholders of all types in connection with insolvency matters throughout the United States, as well as insolvency matters that may involve other jurisdictions in Europe, Asia and Latin America. The practice provides legal services in all areas of debtor and creditors' rights including the review of contracts, restructuring agreements, general insolvency issues, strategic planning, and the discovery and analysis of fraud. About Otterbourg P.C. Otterbourg P.C. offers clients a unique combination of legal insight and practical solutions and is known for its integrity, legal expertise, stability and business knowledge. The firm, established in 1909, regularly represents clients in matters of national and international scope, including banks, finance companies, hedge funds, private equity firms, real estate investment firms, corporate clients and high net-worth individuals. The firm's practice areas include domestic and cross-border financings, litigation and alternative dispute resolutions, real estate, restructuring and bankruptcy proceedings, mergers and acquisitions and other corporate transactions, and trusts and estates. [^] BOOK REVIEW: The Luckiest Guy in the World ---------------------------------------------- Author: Boone Pickens Publisher: Beard Books Paperback: US$34.95 Review by Gail Owens Hoelscher Buy a copy for yourself and one for a colleague on-line at: http://www.beardbooks.com/beardbooks/the_luckiest_guy_in_the_world.html "This is the story of a man who turned a $2,500 investment into America's largest independent oil company in thirty years and along the way discovered that something is terribly wrong with corporate America. Mesa Petroleum is the company, and I'm the man." Thus begins the autobiography of Boone Pickens, who prefers to be referred to without his first initial, "T." Mr. Pickens' autobiography was originally published in 1987, at the end of the rollercoaster years when he was one of the most famous (or infamous, depending on your point of view) and most-feared corporate raiders during a decade known for corporate raiding. For the 2000 Beard Books edition, Pickens wrote an additional five chapters about the subsequent, equally tumultuous, 13 years, during which time he suffered corporate raiders of his own, recapitalized, and retired, only to see his beloved company merge with Pioneer. One of his few laments is being remembered mainly for the high-profile years, rather than for the company he built from virtually nothing. Of the takeover attempts, he says: "I saw undervalued assets in the public marketplace. My game plan with Gul, Phillips, and Unocal wasn't to take on Big Oil. Hell, that wasn't my role. My role was to make money for the stockholders of Mesa. I just saw that Big Oil's management had done a lousy job for their stockholders." He would prefer to be known as a champion of the shareholder rights movement, which prompted big corporations to become more responsive to the needs and demands of their stockholders. He founded the United Shareholders Association, a group that successfully lobbied for changes in corporate governance. In a memorable interview in the May/June 1986 Harvard Business Review, Pickens said, "Chief executives, who themselves own few shares of their companies, have no more feeling for the average stockholder than they do for baboons in Africa." Boone Pickens was born in 1928 in Holdenville, Oklahoma. His grandfather was Methodist missionary to the Indians there; his father was a lawyer and small player in the oil business. People in Holdenville worked hard and used such expressions as "Root hog or die," meaning "Get in and compete or fail." The family later moved to Amarillo, Texas, where Pickens went to Texas A&M for one year, but graduated from Oklahoma State University in 1951 with a degree in geology. He worked at Phillips Petroleum for three years, and then, despite growing family obligations, struck out on his own. His wife's uncle told him, "Boone, you don't have a chance. You don't know anything." This book is a wonderful read. Pickens pulls no punches, and is as hard on himself as anyone else. He talks about proxy fights, Texas-Oklahoma football games, his three marriages, poker, takeover strategies, and unfair duck hunting practices, all in the same easy tone. You feel like he's sitting right there in the room with you. Pickens ends the introduction to this story with this: "How I got from a little town in Eastern Oklahoma to the towers of Wall Street is an exciting, unlikely, sometimes painful story. And, if you're young and restless, I'm hoping you'll make a journey similar to mine." Root hog or die! Thomas Boone Pickens Jr. — https://boonepickens.com/ — was an American business magnate and financier. Among his lengthy accolades, Time magazine has identified him one of it 100 most influential people, Financial World named him CEO of the Decade in 1989 and Oil and Gas Investor identified him as one of the "100 Most Influential People of the Petroleum Century." He was born in May 1928. He died September 11, 2019. ********* Monday's edition of the TCR delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Monday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR editor holds some position in the issuers public debt and equity securities about which we report. Each Tuesday edition of the TCR contains a list of companies with insolvent balance sheets whose shares trade higher than $3 per share in public markets. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. On Thursdays, the TCR delivers a list of recently filed Chapter 11 cases involving less than $1,000,000 in assets and liabilities delivered to nation's bankruptcy courts. The list includes links to freely downloadable images of these small-dollar petitions in Acrobat PDF format. Each Friday's edition of the TCR includes a review about a book of interest to troubled company professionals. All titles are available at your local bookstore or through Amazon.com. Go to http://www.bankrupt.com/books/to order any title today. Monthly Operating Reports are summarized in every Saturday edition of the TCR. The Sunday TCR delivers securitization rating news from the week then-ending. TCR subscribers have free access to our on-line news archive. Point your Web browser to http://TCRresources.bankrupt.com/and use the e-mail address to which your TCR is delivered to login. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter is a daily newsletter co-published by Bankruptcy Creditors Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Philadelphia, Pa., USA. Randy Antoni, Jhonas Dampog, Marites Claro, Joy Agravante, Rousel Elaine Tumanda, Joel Anthony G. Lopez, Psyche A. Castillon, Ivy B. Magdadaro, Carlo Fernandez, Christopher G. Patalinghug, and Peter A. Chapman, Editors. Copyright 2023. All rights reserved. ISSN: 1520-9474. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR subscription rate is $975 for 6 months delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are $25 each. For subscription information, contact Peter A. Chapman at 215-945-7000. *** End of Transmission ***