/raid1/www/Hosts/bankrupt/TCR_Public/230228.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
Tuesday, February 28, 2023, Vol. 27, No. 58
Headlines
130 BOWERY ACQUISITION: Seeks Cash Collateral Access
1888 INDUSTRIAL: Investcorp Credit Marks $2.5MLoan at 75% Off
1888 INDUSTRIAL: Investcorp Credit Marks $5.9M Loan at 25% Off
1ST CHOICE: Voluntary Chapter 11 Case Summary
3333 ALPHARETTA: Files Amendment to Disclosure Statement
4TH AVENUE APARTMENTS: Gets OK to Hire Parkins & Rubio as Counsel
77 VARET: Unsecured Creditors Will Get 3% Dividend in Joint Plan
AAG FH: Moody's Withdraws 'B3' CFR Following Debt Repayment
ABG INTERMEDIATE 2: Moody's Rates New Secured First Lien Loans 'B1'
ALCARAZ CATERING: Amends Plan to Include IRS Priority Claim Pay
ALLEN MEDIA: $660M Bank Debt Trades at 17% Discount
ALTISOURCE PORTFOLIO: S&P Upgrades ICR to 'CCC+', Outlook Stable
AMERICAN ACHIEVEMENT: Sixth Street Virtually Writes Off Loans
AMERICAN TRAILER: S&P Alters Outlook to Neg., Affirms 'B' ICR
AMERICAN VIRTUAL: Taps Northland Securities as Investment Banker
AMERICANAS SA: To Settle Debt With Small Creditors
ANKURA CONSULTING: Oaktree Specialty Marks $2.9M Loan at 15% Off
ARBAH HOTEL: Case Summary & Six Unsecured Creditors
ARU PHARMA: Case Summary & Eight Unsecured Creditors
ASGN INCORPORATED: Moody's Alters Outlook on 'Ba2' CFR to Positive
ASSOCIATED ASPHALT: Oaktree Specialty Marks $2.4M Loan at 23% Off
B GSE GROUP: Gets OK to Hire Cohne Kinghorn as Special Counsel
BAUSCH HEALTH: $2.50B Bank Debt Trades at 21% Discount
BAUSCH HEALTH: S&P Cuts ICR to 'SD' on Below-Par Debt Repurchases
BAY AREA COMMERCIAL: Unsecureds to Split $275K in Subchapter V Plan
BIOPLAN USA: Investcorp Credit Marks $8.4M Loan at 18% Off
BOLTA US LTD: Gets OK to Hire Hilco as Appraiser
BOTEILHO HAWAII: Continued Operations to Fund Plan
BOUCHARD TRANSPORTATION: Confirmation Order Reversed, Case Remanded
BPB DRUGS: Gets OK to Hire Trachtenberg & Pauker as Accountant
BRIDGER STEEL: Voluntary Chapter 11 Case Summary
BRIGHT MOUNTAIN: Todd Speyer Resigns as Director
CABLE ONE: S&P Retains 'BB' Issuer Credit Rating
CACHET FINANCIAL: Bancorp Bank's Bid to Withdraw Reference Denied
CARE NEIGHBORHOOD: Unsecureds to be Paid in Full over 5 Years
CAREERBUILDER LLC: Investcorp Credit Marks $8M Loan at 31% Off
CARLA'S PASTA: Summary Judgment on Mechanic's Lien Issues Denied
CBC RESTAURANT: Court OKs Cash Collateral Access Thru March 3
CHICK LUMBER: Seeks Cash Collateral Access Thru June 30
CLOVIS ONCOLOGY: Seeks $5MM Additional DIP Loan from TOP IV
CONSTELLATION RENEWABLES: Moody's Affirms Ba3 Secured Debt Rating
CONVERGEONE INC: Oaktree Specialty Marks $11.8M Loan at 41% Off
CORNELL WEST 34: Marathon CRE's Foreclosure Case Remanded
CORSAMI GROUP: Seeks to Hire Paul Reece Marr as Counsel
COTTON WEAVE: Seeks to Hire Carrington as Legal Counsel
CPC ACQUISITION: $225M Bank Debt Trades at 40% Discount
CRANE MAN: Unsecureds' Recovery Lowered to 13.5% of Claims in Plan
DAR HOME: Files Emergency Bid to Use Cash Collateral
DFW BOAT: Files Emergency Bid to Use Cash Collateral
DIEBOLD NIXDORF: $626M Bank Debt Trades at 31% Discount
DITECH HOLDING: Freedman's Proof of Claim Disallowed
DIVINE CEMENT: Case Summary & 20 Largest Unsecured Creditors
DOSHI ASSOCIATES: Unsecureds to Get Share of Income for 60 Months
DSG ENTERTAINMENT: Investcorp Virtually Writes Off Loan
EDGEWELL PERSONAL: Moody's Alters Outlook on 'Ba3' CFR to Negative
ELGIN MATH: Moody's Rates 2023A & 2023 Education Bonds 'Ba2'
ENVISION HEALTHCARE: $1B Bank Debt Trades at 69% Discount
ESME LEARNING: Hercules Capital Marks $4.8M Loan at 66% Off
EVERNEST HOLDINGS: Unsecureds to Get Share of Income for 5 Years
EXELA TECHNOLOGIES: Unit Makes Overdue Payments on Bonds
FC COMPASSUS: Moody's Cuts CFR to B3, Outlook Stable
FRANKIE'S COMICS: Seeks to Hire Roscoe & Roscoe as Accountant
FREE SPEECH: Alex Jones Still Spending $100K a Month
FTX GROUP: Judge Declines Call for New Probe Into Collapse
FTX GROUP: Top SBF Associate Nears Plea Deal
GALLERIA WEST: Seeks to Hire Hayward as Legal Counsel
GARCIA GRAIN: Files Emergency Bid to Use Cash Collateral
GIBRALTAR CAPITAL: Hercules Capital Marks $15M Loan at 15% Off
GLOBAL PROCESSING: Taps Nyemaster Goode as Litigation Counsel
GOPHER RESOURCE: $510M Bank Debt Trades at 23% Discount
GRAFTECH FINANCE: Moody's Cuts CFR to B1 & Alters Outlook to Neg.
GTT REMAINCO: $418M Bank Debt Trades at 17% Discount
H.M.C. INC: Case Summary & Nine Unsecured Creditors
HANJIN INT'L: Moody's Alters Outlook on 'B1' CFR to Positive
HENDERSON LOGISTICS: Files Emergency Bid to Use Cash Collateral
HOLDINGS MANAGEMENT: Case Summary & 20 Top Unsecured Creditors
HOLDINGS MANAGEMENT: Files Emergency Bid to Use Cash Collateral
HONEY CREEK: Case Summary & Three Unsecured Creditors
HYRECAR INC: Case Summary & 20 Largest Unsecured Creditors
HYRECAR INC: Seeks $5MM DIP Loan from Holmes Motors
INDIE BREWING: Unsecured Creditors Will Get 100% of Claims in Plan
INLAND BOAT: Unsecureds Will Get 29% of Claims in Subchapter V Plan
INPIXON: Issues 462,626 Common Shares to Two Noteholders
KJMN PROPERTIES: Hits Chapter 11 Bankruptcy Protection
KUBERLAXMI LLC: Unsecureds to Get Share of Income for 60 Months
LIGHT OF PEACE: Voluntary Chapter 11 Case Summary
LILIS ENERGY: Wins $420K Judgment Against Platinum Oilfield
LONGRUN PBC: Seeks to Hire Shatz Schwartz and Fentin as Counsel
LUCIRA HEALTH: March 2 Deadline Set for Panel Questionnaires
LYONS MAGNUS: $285M Bank Debt Trades at 28% Discount
M & J DUMP: Case Summary & Eight Unsecured Creditors
M & M DEVELOPMENT: Taps Frost & Associates as Bankruptcy Counsel
M6 ETX II: $150MM Incremental Loan No Impact on Moody's 'B1' CFR
M6 ETX II: Fitch Affirms 'B+' LongTerm IDR, Outlook Stable
MAVERICK GAMING: $310M Bank Debt Trades at 16% Discount
MCO GENERAL: Wins Access to PS Funding's Cash Collateral
MDWERKS INC: Inks Amendment No. 1 to Two Trees Merger Agreement
METROPOLITAN DIAGNOSTIC: Bancorp's Summary Judgment Bid Granted
MHE INTEREDIATE: Oaktree Specialty Marks $200,000 Loan at 26% Off
MILLION DOLLAR SMILE: Court OKs Cash Collateral Use Thru April 22
MOBIQUITY TECHNOLOGIES: Tasso Partners Reports 5.76% Equity Stake
MONCLA MARINE: Stewart's Claims Survives Summary Judgment
MOUNTAIN MOVING: Court OKs Final Cash Collateral Access
MOUROX FAMILY: Seeks Interim Cash Collateral Access
NATIONAL MENTOR: $1.70B Bank Debt Trades at 22% Discount
O'MY FOODS: Asset or Equity Sale Proceeds to Fund Plan
OREGON TOOL: Moody's Cuts CFR to Caa1, Outlook Remains Negative
PARAMOUNT REAL ESTATE: Seeks to Hire Carrington as Legal Counsel
PCL PROPERTIES: Files for Chapter 11 Bankruptcy
PELLETIER MANAGEMENT: Amends REH Secured Claim Pay Details
PLACER ACADEMY SCHOOLS: Seeks Chapter 7 Bankruptcy
PLOURDE SAND: Gets OK to Hire William S. Gannon as Legal Counsel
PRESTIGE CONSTRUCTION: Taps Eric A. Liepins as Bankruptcy Counsel
PROPERTY HOLDERS: Unsecureds to Get 100 Cents on Dollar in Plan
RENNASENTIENT INC: Files Emergency Bid to Use Cash Collateral
RESOLUTE INVESTMENT: S&P Alters Outlook to Neg., Affirms 'B' ICR
REVLON INC: Updates Restructuring Plan Disclosures
SAINT KROIX: Unsecured Creditors to Get 100 Cents on Dollar in Plan
SAMSON RESOURCES: Bid to Dismiss LLOG Exploration's Claims Granted
SENECAL CONSTRUCTION: Commences Subchapter V Bankruptcy Case
SHEERKAHN SERVICES: Unsecureds Will Get 22% of Claims in Plan
SHILO INN BEND: Wins Cash Collateral Access Thru June 30
SHILO INN IDAHO FALLS: Wins Cash Collateral Access Thru June 30
SHILO INN OCEAN SHORES: Wins Cash Collateral Access Thru June 30
SHUTTERFLY LLC: Prospect Floating Marks $1.96M Loan at 29% Off
SINTX TECHNOLOGIES: Mitchell Kopin, Two Others Report 4.5% Stake
SPRING MOUNTAIN: Hearing on Exclusivity Extension Set for March 1
STANADYNE LLC: Court OKs Interim Cash Collateral Access
STANADYNE LLC: Files Chapter 11 With $300M in Debt
STARRY GROUP: March 1 Deadline Set for Panel Questionnaires
SUPREME WORX: Court OKs Cash Collateral Access Thru April 11
SUREFUNDING LLC: Seeks to Extend Plan Exclusivity Through April 25
TALOS ENERGY: Moody's Hikes 2nd Lien Notes to B3, Outlook Stable
TEVA PHARMACEUTICAL: Fitch Affirms 'BB-' Issuer Default Rating
TMK HAWK: $25M Bank Debt Trades at 43% Discount
TRAPP TREE SERVICE: Hires Shiver Certified Public Accountants
TUESDAY MORNING: Will Close More Than Half of U.S. Stores
UBER TECHNOLOGIES: Moody's Ups CFR to Ba3 & Alters Outlook to Pos.
US RENAL CARE: $225M Bank Debt Trades at 33% Discount
VACATION CONSULTING: Hires David Schroeder Law Office as Counsel
VANTAGE DRILLING: Moody's Ups CFR to 'B3', Outlook Stable
VERITAS US: EUR748.6M Bank Debt Trades at 25% Discount
WESTBANK HOLDINGS: Amends Unsecured Claims Pay Details
WESTERN STEEL: Involuntary Chapter 11 Case Summary
WILL-ONITA'S FAMILY: Gets OK to Hire Rodney Shepherd as Counsel
WILLIAM HOLDINGS: Lender Seeks to Prohibit Cash Collateral Access
WILLOW LAKE HOLDINGS: Case Summary & Nine Unsecured Creditors
WILLOW LAKE MITIGATION: Case Summary & 8 Unsecured Creditors
WIN WASTE: Moody's Lowers CFR to B2 & Alters Outlook to Negative
WINC INC: Seeks to Extend Plan Exclusivity to June 28
WORLD ACCEPTANCE: S&P Affirms 'B-' ICR on Covenant Amendments
WP CPP HOLDINGS: Oaktree Specialty Marks $6M Loan at 16% Off
WWEX UNI: Oaktree Specialty Marks $5M Loan at 16% Off
XPLORNET COMMUNICATIONS: $200M Bank Debt Trades at 36% Discount
YOLANDA C. HOLMES: Unsecureds to Recover 8.32% in Subchapter V Plan
[*] SRZ's Business Reorganization Group Ranked in Chambers Global
[^] Large Companies with Insolvent Balance Sheet
*********
130 BOWERY ACQUISITION: Seeks Cash Collateral Access
----------------------------------------------------
130 Bowery Acquisition LLC asks the U.S. Bankruptcy Court for the
Southern District of New York to use cash collateral on an interim
basis and provide adequate protection.
The Debtor requires the use of cash collateral for ordinary and
necessary operating expenses.
As a result of the COVID-19 pandemic and the forced closures of
restaurants and events, Capitale NYC was forced to shut its doors
and cancel pre-scheduled events. In return, Capitale NYC fell
behind in its rental payments, causing the Debtor to lose its
income stream.
The Debtor's diminished income caused it to fall behind in its own
obligations, and a foreclosure was commenced.
The Debtor says one creditor asserts a "blanket lien" on all of its
assets: Wells Fargo Bank, National Association, As Trustee For The
Benefit of the Registered Holders of CCUBS Commercial Mortgage
Trust 2017-C1, Commercial Mortgage Pass-Through Certificates,
Series 2017-C1, acting by and through its special servicer, Midland
Loan Services, a Division of PNC Bank, National Association, under
the Pooling and Servicing Agreement dated November 1, 2017.
On October 11, 2017, the Debtor obtained a $12 million credit from
Cantor Commercial Real Estate Lending, L.P. To evidence its
indebtedness under the Loan Agreement, on October 11, 2017, the
Debtor executed and delivered to the Original Lender an Amended,
Restated and Consolidated Promissory Note in the original principal
amount of $12 million.
To secure payment of the Note, the Debtor executed, acknowledged
and delivered to the Original Lender, the Amended, Restated and
Consolidated Mortgage, Assignment of Leases and Rents, Security
Agreement and Fixture Filing dated as of October 11, 2017, in the
original principal amount of $12 million.
On October 19, 2017, the Original Lender duly recorded the Mortgage
in the Office of City Register of the City of New York as City
Register File Number 2017000385779 and duly paid the mortgage
recording taxes.
As of the Petition Date, the Secured Noteholder asserts that the
total indebtedness due under the Loan was at least $19.128
million.
As adequate protection for the Debtor's use of cash collateral, the
Debtor will grant the Secured Noteholder replacement liens in all
of the Debtor's post-petition assets and proceeds, to the extent
that the Secured Noteholder had a valid security interest in said
pre-petition assets on the Petition Date and in the continuing
order of priority that existed as of the Petition Date.
The Replacement Liens will be subject and subordinate only to: (a)
United States Trustee fees payable under 28 U.S.C. Section 1930 and
31 U.S.C Section 3717; (b) professional fees of duly retained
professionals in the Chapter 11 case as may be awarded pursuant to
11 U.S.C. Sections 330 or 331 or pursuant to any monthly fee order
entered in the Debtor's Chapter 11 case; (c) the fees and expenses
of a hypothetical Chapter 7 trustee to the extent of $10,000; and
(d) the recovery of funds or proceeds from the successful
prosecution of avoidance actions pursuant to 11 U.S.C. sections
502(d), 544, 545, 547, 548, 549, 550 or 553.
In addition, no later than the third business day of each month,
the Debtor will make an adequate protection payment to the Secured
Noteholder in an amount of $1,625 per diem for the prior month, and
will make a real estate tax escrow to be maintained by the Secured
Noteholder in equal installments on account of the real estate tax
payable to the City of New York on January 1, 2023 and July 1,
2023. The Secured Noteholder will apply the Adequate Protection
Payment to the Loan in a manner permitted under the terms of the
Loan Documents.
As additional adequate protection, if and to the extent that the
Replacement Liens prove insufficient to adequately protect the
interests of the Secured Noteholder in the Collateral, then Secured
Noteholder will have a super-priority administrative claim against
the Debtor under 11 U.S.C. section 507(b). The Superpriority Claim
will constitute and will be, pursuant to 11 U.S.C. section
364(c)(1), a claim in the Bankruptcy Case with priority over any
and all administrative expenses of the kinds specified in 11 U.S.C.
section 503(b) or 507(b) and over any and all administrative
expenses or other claims, whether or not such expenses or claims
may become secured by a judgment lien or other non-consensual lien,
levy, or attachment.
A copy of the motion is available at https://bit.ly/3SsaeJv from
PacerMonitor.com.
About 130 Bowery Acquisition LLC
130 Bowery Acquisition LLC sought protection for relief under
CHapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No.
22-11109) on August 12, 2022, with up to $50,000 in both assets and
liabilities.
Judge John P Mastando III presides over the case.
Dawn Kirby, Esq., at Kirby Aisner & Curley, LLP and The Law Offices
of Fred L. Seeman represent the Debtor as bankruptcy counsel and
special litigation counsel, respectively.
1888 INDUSTRIAL: Investcorp Credit Marks $2.5MLoan at 75% Off
-------------------------------------------------------------
Investcorp Credit Management BDC, Inc has marked its $2,521,637
loan extended to 1888 Industrial Services, LLC to market at
$630,409 or 25% of the outstanding amount, as of December 31, 2022,
according to a disclosure contained in Investcorp Credit's Form
10-Q for the quarterly period ended December 31, 2022, filed with
the Securities and Exchange Commission on February 13, 2023.
Investcorp Credit is a participant in a Senior Secured First Lien
Loan to 1888 Industrial Services, LLC. The loan accrues interest at
a rate of 3M L + 5.00% (1.00% Floor) per annum. The loan matured
last January 5, 2021.
Investcorp Credit has classified the loan as non-accrual.
Investcorp Credit, a Maryland corporation formed in May 2013, is a
closed-end, externally managed, non-diversified management
investment company that has elected to be regulated as a business
development company under the Investment Company Act of 1940, as
amended, and has elected to be treated as a regulated investment
company under Subchapter M of the Internal Revenue Code for U.S.
federal income tax purposes.
1888 Industrial Services, LLC provides general contracting
services. The Company offers construction, pipeline, maintenance,
hydrovac, trucking, fabrication, and pressure testing services.
1888 Industrial Services serves customers in the State of Colorado
1888 INDUSTRIAL: Investcorp Credit Marks $5.9M Loan at 25% Off
--------------------------------------------------------------
Investcorp Credit Management BDC, Inc has marked its $5,911,230
loan extended to1888 Industrial Services LLC to market at
$1,477,807 or 75% of the outstanding amount, as of December 31,
2022, according to a disclosure contained in Investcorp Credit's
Form 10-Q for the quarterly period ended December 31, 2022, filed
with the Securities and Exchange Commission on February 13, 2023.
Investcorp Credit is a participant in a Senior Secured First Lien
Loan to 1888 Industrial Services LLC. The loan accrues interest at
a rate of 3M L + 5.00% Payment In Kind (1.00% Floor) per annum. The
loan matured last January 5, 2023.
Investcorp Credit has classified the loan as non-accrual asset.
Investcorp Credit, a Maryland corporation formed in May 2013, is a
closed-end, externally managed, non-diversified management
investment company that has elected to be regulated as a business
development company under the Investment Company Act of 1940, as
amended, and has elected to be treated as a regulated investment
company under Subchapter M of the Internal Revenue Code for U.S.
federal income tax purposes.
1888 Industrial Services, LLC provides general contracting
services. The Company offers construction, pipeline, maintenance,
hydrovac, trucking, fabrication, and pressure testing services.
1888 Industrial Services serves customers in the State of
Colorado.
1ST CHOICE: Voluntary Chapter 11 Case Summary
---------------------------------------------
Debtor: 1st Choice Rehabilitation & Wellness Center, PLLC
641 Pennsylvania Ave SE
Washington DC 20003
Chapter 11 Petition Date: February 24, 2023
Court: United States Bankruptcy Court
District of Maryland
Case No.: 23-11243
Debtor's Counsel: Ronald Drescher, Esq.
DRESCHER & ASSOCIATES, PA
10999 Red Run Blvd. Suite 205 PMB 224
Owings Mills, MD 21117
Tel: 410-484-9000
Email: rondrescher@drescherlaw.com
Estimated Assets: $100,000 to $500,000
Estimated Liabilities: $1 million to $10 million
The petition was signed by Rashida A. Cohen 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/OVRH6WQ/1st_Choice_Rehabilitation__Wellness__mdbke-23-11243__0001.0.pdf?mcid=tGE4TAMA
3333 ALPHARETTA: Files Amendment to Disclosure Statement
--------------------------------------------------------
3333 Alpharetta Lifehope 10 Acre Land, LLC, submitted an Amended
Disclosure Statement for Amended Plan of Reorganization dated
February 23, 2023.
Over the course of this case, the Debtor has also continued to run
the Business and has diligently pursued either a refinance or sale
of the Property. The Debtor has now secured a Purchase and Sale
Agreement for the Property for $39,500,000.00, which will allow the
Debtor to pay its creditors in full and emerge from bankruptcy
successfully.
The plan provides for the payment in full of all secured, priority,
and general unsecured claims (except for the claims of the Honan
Entities) and retention of equity interests in the Debtor.
Capital One holds a lien on virtually all of the Debtor's assets.
Capital One filed proof of claim 4-1 in the amount of
$31,085,028.82. The Debtor proposes to pay Capital One's claim in
full at the closing of the Sale, including all interest, costs,
fees and other amounts owing under the loan documents that accrue
through the date of the closing. Capital One shall retain its lien
on its collateral and the lien shall be valid and fully enforceable
to the same validity, extent and priority as existed on the
Petition Date until Capital One's claim is paid in full.
The cash distributions contemplated by the Plan shall be funded by
cash generated from the sale of the Property.
The Ground Lease
The Ground Lease shall be assumed at the closing of the Sale. All
cure payments which are required by Section 365(b)(1) of the
Bankruptcy Code, including the amounts claimed in the Ground
Lessor's Proof of Claim, and all post-petition cure costs that have
accrued as of the closing date, shall be paid directly out of
escrow at closing to the Ground Lessor. The Ground Lease will be
assigned to the Purchaser upon the closing of the Sale. The Debtor
and Brian McCoy on behalf of the Purchaser intend to negotiate with
the Ground Lessor to ensure that the Purchaser can provide adequate
assurance of future performance.
To that end, Brian McCoy currently is negotiating with Orbvest US,
Inc. ("Orbvest"), an entity which provided equity to the asset and
the Debtor in the past. The parties are proposing a venture between
Brian McCoy and Orbvest, in a structure that will satisfy the
Ground Lessor. This venture will have a combined equity/market
capitalization of approximately of $350M and sufficient liquidity
to satisfy the requirement of adequate assurance of future
performance as assignee of the Ground Lease.
Sale of the Property
The Debtor has secured a Purchase and Sale Agreement for a sale of
the Property to a special purpose entity which is being formed to
purchase the Property called 3333 Physicians Center MOB 1 SPE, LLC
(the "Purchaser"). The Manager of the Purchaser is Brian McCoy. Mr.
McCoy is currently a tenant in the Property. Mr. McCoy and Mr.
Honan have known each other for a number of years because they are
both experts in the healthcare industry. Mr. McCoy and Mr. Honan
have one partnership in a Physician Practice management company,
purely for healthcare compliance purposes. Mr. Honan receives no
compensation, but does assist physician tenants, in Richmond Honan
Affiliated assets with equipment financing and contractual
venturing between physician tenants and legal and health care
compliable transactions.
Mr. McCoy built a 20-year healthcare company with 20,000 physicians
and 90 integrated networks. He also created the fastest growing
professional employment organization in the SouthEast United States
and the. largest Preferred Provider Organization in the country,
that took the company public on the New York stock exchange. Under
the PSA, the inspection period has ended. The Purchaser has been a
tenant in the Property since 2019 and knows the building well and
so did not require the normal due diligence, however during the
inspection period the Purchaser conducted mechanical and building
systems inspections, and received satisfactory results.
The Purchaser has secured financing for the Sale from Alpha Funding
(the "Lender"). The loan is conditioned on an appraisal of the
Property with a value to establish a 65% loan to-value ratio. The
tenants have historically paid rent in this building. Due to COVID
rent payments were disrupted. Tenants are returning to their normal
rent payments schedules (there are still a small group of tenants,
that have not commenced with normal rent payments, however the
start-up of their rent payments is built into the underwriting of
the financing) and financing contemplate interest reserve for the
lenders, including the Ground Lessor, until all tenants are
occupying and paying rent.
A full-text copy of the Amended Disclosure Statement dated February
23, 2023 is available at https://bit.ly/3IVlefh from
PacerMonitor.com at no charge.
Attorneys for the Debtor:
William A. Rountree, Esq.
Will Geer, Esq.
Benjamin R. Keck, Esq.
Rountree Leitman Klein & Geer, LLC
Century Plaza I
2987 Clairmont Road, Suite 350
Atlanta, GA 30329
Telephone: (404) 584-1238
Facsimile: (404) 704-0246
Email: wrountree@rlkglaw.com
wgeer@rlklglaw.com
echilders@rlkglaw.com
About 3333 Alpharetta Lifehope 10 Acre Land
3333 Alpharetta Lifehope 10 Acre Land, LLC, is a Georgia-based
company that owns a commercial rental property located at 3333 Old
Milton Parkway, Alpharetta, Georgia 30005.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. N.D. Ga. Case No. 22-57594) on Sept. 23,
2022. In the petition signed by its designated manager, Scott C.
Honan, the Debtor disclosed up to $100 million in assets and up to
$50 million in liabilities.
Judge Lisa Ritchey Craig oversees the case.
William A. Rountree, Esq., at Rountree Leitman Klein & Geer, LLC,
serves as the Debtor's counsel.
4TH AVENUE APARTMENTS: Gets OK to Hire Parkins & Rubio as Counsel
-----------------------------------------------------------------
4th Avenue Apartments, LLC received approval from the U.S.
Bankruptcy Court for the Western District of Texas to employ
Parkins & Rubio, LLP to handle its Chapter 11 case.
The firm will be paid at these rates:
Lenard M. Parkins $1,150 per hour
Charles M. Rubio $775 per hour
Matthew W. Bourda $550 per hour
Other Associate Attorneys $550 per hour
Paralegals $180 - $250 per hour
In addition, the firm will receive reimbursement for out-of-pocket
expenses incurred.
The firm received from the Debtor an advance fee of $105,000.
Charles Rubio, Esq., a partner at Parkins & Rubio, 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:
Lenard M. Parkins, Esq.
Charles M. Rubio, Esq.
Matthew W. Bourda, Esq.
Parkins & Rubio, LLP
700 Milam Street, Suite 1300
Houston, TX 77002
Tel: (713) 715-1660
Fax: (713) 715-1669
Email: lparkins@parkinsrubio.com
crubio@parkinsrubio.com
mbourda@parkinsrubio.com
About 4th Avenue Apartments
4th Avenue Apartments, LLC is a single asset real estate (as
defined in 11 U.S.C. Sec. 101(51B)). It is one of several
affiliated companies that purchase, refurbish, operate, and manage
residential real estate as attractive investment opportunities. The
company owns a 52-unit garden-style apartment community built
between 1950 and 1956 in Phenix City, Ala., part of the Columbus,
Georgia Metropolitan Statistical Area, and directly across the
Chattahoochee River from Fort Benning. On the Web:
https://wildmountaincapital.com/
4th Avenue Apartments filed a petition for relief under Chapter 11
of the Bankruptcy Code (Bankr. W.D. Texas Case No. 22-51475) on
Dec. 29, 2022, with $1 million to $10 million in assets and
liabilities. Mark Allen, manager at 4th Avenue Apartments, signed
the petition. Judge Craig A. Gargotta oversees the case.
The Debtor is represented by Parkins & Rubio, LLP.
77 VARET: Unsecured Creditors Will Get 3% Dividend in Joint Plan
----------------------------------------------------------------
77 Varet Holding Corp. and 162-164 82nd St. LLC submitted an
Amended Disclosure Statement in support of Amended Joint Plan of
Reorganization dated February 23, 2023.
The Debtors' major asset consists of two residential apartment
buildings located on the Upper East Side of Manhattan at 162-164
East 82nd Street, New York, NY (the "Property"). The Plan is
primarily designed to address outstanding mortgage debt at the
Property and mezzanine level.
Pre-petition, the Lender's claim totaled $17,550,744.00 on account
of both loans, including all principal, accrued interest, fees and
costs. As part of the negotiations with the Lender, the Debtors
sought and obtained the Lender's consent to the Reduced Payoff
price of $16.75 million if paid on or before April 1, 2023 (the
"Refinancing Deadline"). The Debtors intend to retain a broker
(Rosewood Realty Group), which will pursue both options. In the
event the Debtors do not timely refinance the total secured debt,
the Plan automatically toggles to the Alternate Sale Option,
pursuant to which the Debtors shall proceed with an auction sale of
the Property under 11 U.S.C. ยง363(b) and (f), subject to the
Lender's credit bid rights under Section 363(k).
The Plan is the product of extensive negotiations with the secured
creditor, East 82nd Holdco LLC (the "Lender") and provides for
either a refinancing of the total secured debt, or a sale of them
Debtors' property under an auction sale process. Under either
option, a fund of $50,000 will be created to pay a pro rata
dividend to general unsecured creditors.
Priority Tax Claims
There are unpaid pre-petition real estate taxes in the approximate
amount of $80,000, as well as filed proofs of priority income tax
claims asserted by New York State and New York City aggregating
approximately $3,100. To the extent any allowed Priority Tax Claims
are not paid prior to the Effective Date, all allowed Priority Tax
Claims shall be paid on the Effective Date of the Plan.
Class 1 consists of the allowed Secured Tax Claim of NY State. New
York State filed a proof of claim including a secured claim in the
amount of $1,037.96. The allowed Secured Tax Claim shall be paid in
full on the Effective Date of the Plan. Class 1 is unimpaired and
not entitled to vote on the Plan.
Class 3 consists of the allowed Unsecured Claims of General
Creditors, including all pre-petition vendors, service providers
and insiders. Class 3 allowed Unsecured Claims are estimated by the
Debtors to total approximately $1.6 million. Class 3 is impaired
under the Plan and eligible to vote.
On the Effective Date, each holder of an Allowed Class 3 Unsecured
Claim shall receive a pro rata dividend from the General Unsecured
Creditor Pool of $50,000 in full and final satisfaction of such
holder's allowed Unsecured Claim, for an estimated dividend of 3%.
Since the monies to fund the dividend to Class 3 creditors will be
provided either through the Refinancing or as part of a sale, the
Debtors submit that there is little risk to the Class 3 creditors
that they will receive the proposed distribution under the Plan.
The Plan shall be funded with residual cash available in the DIP
account, subject to the terms of the Cash Collateral Stipulation,
and either (a) through the Refinancing of the Property in an amount
that generates sufficient proceeds to pay the Lender's Claim at the
Reduced Payoff, plus enables the Debtors to pay the balance of the
other obligations due hereunder, or (b) should the Alternative Sale
Option go into effect, the Plan shall be funded by either sale
proceeds generated from a third-party buyer or the Lender's funding
obligations under its credit bid.
For a point of emphasis, in the event the Debtors are unsuccessful
in obtaining a Refinancing then the Plan shall automatically and
indefeasibly "toggle" in favor of the Alternate Sale Option,
whereupon the Debtors shall be required to convey title to the
Property pursuant to approved bidding procedures following an
auction and approval of the sale by the Bankruptcy Court either to
a third-party purchaser or Lender as applicable. The transfer of
the Property shall be free and clear of all claims, liens and taxes
pursuant to Sections 363(f), 1123(a)(5)(D), and 1141(c) of the
Bankruptcy Code.
A full-text copy of the Amended Disclosure Statement dated February
23, 2023 is available at https://bit.ly/3KF4HNQ from
PacerMonitor.com at no charge.
Attorneys for the Debtors:
Kevin J. Nash, Esq.
GOLDBERG WEPRIN FINKEL GOLDSTEIN LLP
125 Park Avenue, 12th Floor
New York, NY 10017
About 77 Varet Holding Corp.
77 Varet Holding Corp. sought protection under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 22-42316) on Sept.
21, 2022. In the petition filed by David Goldwasser, as manager,
the Debtor reported assets between $10 million and $50 million and
liabilities between $1 million and $10 million.
Judge Nancy Hershey Lord oversees the case.
The Debtor tapped Kevin J. Nash, Esq., at Goldberg Weprin Finkel
Goldstein LLP, as counsel.
AAG FH: Moody's Withdraws 'B3' CFR Following Debt Repayment
-----------------------------------------------------------
Moody's Investors Service has withdrawn all ratings for AAG FH LP
(AAG) including the B3 corporate family rating and the B3-PD
probability of default rating. At the time of withdrawal, the
outlook was negative.
Withdrawals:
Issuer: AAG FH LP
Corporate Family Rating, Withdrawn, previously rated B3
Probability of Default Rating, Withdrawn, previously rated B3-PD
Senior Unsecured Regular Bond/Debenture, Withdrawn, previously
rated Caa1 (LGD4)
Outlook Actions:
Issuer: AAG FH LP
Outlook, Changed To Rating Withdrawn From Negative
RATINGS RATIONALE
Moody's has withdrawn the ratings because AAG's debt previously
rated by Moody's has been fully repaid.
AAG, headquartered in Toronto, Ontario, Canada, is an auto retailer
with 12 dealerships across North America (2 in the USA and 10 in
Canada), offering 12 new vehicle brands and all major brands of
used vehicles.
ABG INTERMEDIATE 2: Moody's Rates New Secured First Lien Loans 'B1'
-------------------------------------------------------------------
Moody's Investors Service assigned a B1 ratings to ABG Intermediate
Holdings 2 LLC's (dba "Authentic Brands") proposed senior secured
first lien credit facilities, including its extended and upsized
$240 million revolving credit facility due 2028, $1.525 billion
term loan due 2028, and $600 million delayed draw term loan due
2028. The company's existing ratings and positive outlook are
unaffected.
The proceeds of the proposed new term loan will be used to
refinance the company's existing senior secured first lien term
loan B4 due September 2024. The proceeds of the delayed draw term
loan will be used to finance a potential acquisition of
Boardriders, Inc. The ratings are subject to the transactions
closing as proposed and review of final documentation.
Assignments:
Issuer: ABG Intermediate Holdings 2 LLC
Backed Senior Secured 1st Lien Term Loan, Assigned B1 (LGD3)
Backed Senior Secured 1st Lien Delayed Draw Term Loan, Assigned B1
(LGD3)
Backed Senior Secured 1st Lien Revolving Credit Facility, Assigned
B1 (LGD3)
RATINGS RATIONALE
Authentic Brands B2 CFR reflects governance risks, including
financial and M&A strategies that have led to high leverage driven
by both its acquisitive nature and financial sponsor ownership.
Moody's pro forma debt/EBITDA weakened early in 2022 as a result of
the debt associated with the Reebok and David Beckham acquisitions
but quickly improved to below 5x pro forma as of September 2022
because of earnings growth and cash-financed acquisitions. The
company also has moderate brand and licensee concentrations, and
the potential exists for execution challenges associated with its
acquisition-based growth strategy.
ABG Intermediate Holdings 2 LLC benefits from the relatively stable
and predictable revenue and cash flow streams it receives in the
form of royalty payments from its licensees, which include
significant contractually guaranteed minimums and potential
overages (payments made in excess of those amounts). The company
has exhibited steady operating performance over the past few years,
including demonstrated resilience through the coronavirus pandemic.
In 2020 full year revenue and earnings grew over 2019 because of
collections on a large portion of guaranteed minimum royalties from
licensees, e-commerce growth, effective expense management
initiatives and acquisitions. Also, its inherently asset-light
licenser business model carries low fixed overhead costs and
supports the company's strong operating margins and associated free
cash flow generation. Liquidity is good, supported by balance sheet
cash, ample free cash flow and excess revolver availability.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The positive outlook reflects Moody's expectation for consistent
operating performance over the next 12-18 months, driven by
low-to-mid single-digit top-line organic revenue growth, high
margins and strong positive free cash flow. The positive outlook
also reflects Moody's expectation that the company will continue to
improve its credit metrics through earnings growth and successful
integration of acquisitions.
The ratings could be upgraded if the company maintains its
operating performance and more conservative financial policies
through a demonstrated willingness to sustain debt-to-EBITDA below
5.0 times and EBITA-to-interest expense above 2.75 times.
The ratings could be downgraded if the company experiences weaker
than anticipated operating performance resulting from challenges in
integrating acquired brands, the non-renewal of licenses, or
renewals of its licenses at materially lower revenue streams.
Specific metrics include debt-to-EBITDA sustained above 6.5 times
or EBITA-to-interest sustained below 2.25 times.
The principal methodology used in these ratings was Apparel
published in June 2021.
Headquartered in New York, NY, ABG Intermediate Holdings 2 LLC is
the borrowing entity for holding company Authentic Brands Group
LLC. Authentic Brands is a brand management company with a
portfolio of over 50 brands. The company also has control over the
use of the name, image and likeness of several celebrities. The
company is majority owned by private equity firms and other
co-investors, with affiliates of Blackrock, Inc. being the largest
shareholders. Authentic Brands is privately owned and does not
publicly disclose its financial information. Revenue exceeded $950
million for the twelve month period ended September 2022.
ALCARAZ CATERING: Amends Plan to Include IRS Priority Claim Pay
---------------------------------------------------------------
Alcaraz Catering, Inc., submitted a Second Amended Plan of
Reorganization for Small Business dated February 21, 2023.
The Plan Proponent's financial projections show that the Debtor
will have projected disposable income of $5,850. The final Plan
payment is expected to be paid on 60 months after the effective
date.
Debtor's gross revenues increase each year as prior business, such
as catering return to pre-covid levels. The increase in revenue
will support the added costs created by inflation.
Non-priority unsecured creditors holding allowed claims will
receive distributions, which the proponent of this Plan has valued
at approximately 100 cents on the dollar. This Plan also provides
for the payment of administrative and priority claims.
Class 1 consists of Priority claims. The Debtor has established a
priority claim for the IRS Claim of $1,000. Each holder of a
priority tax claim will be paid in equal monthly installments over
48 months commencing on the effective date.
Class 2 consists of Secured claims:
* 2a Creditor SBA is modifying their arrearages amount downward
to zero which will lower the Plan payment, but the balance of the
loan will increase so on-going monthly payment to the SBA will be
slightly larger. Debtor shall pay the $11,327.88 payment through
March 31, 2023, then it will be increased on April 1, 2023 to
$13,327.88. The repayment terms of the SBA Note evidencing the SBA
loan to the Debtor, all of which loan documents are attached to the
SBA Proof of Claim No.1-1, filed on August 25, 2022, and
collectively referred to as the "SBA Loan," shall be modified as
follows ("Note Modification Agreement"):
-- Interest shall accrue on the principal balance at the rate
of 2.716% per year;
-- The maturity date shall be April 1, 2037; and
-- Regularly scheduled monthly loan payments shall be paid as
follows: $11,327.88 beginning December 1, 2022 until March 1, 2023;
and $13,260.29 beginning April 1, 2023 and continuing through the
SBA Loan maturity date of April 1, 2037, at which time all
remaining unpaid principal and accrued unpaid interest shall become
due and payable.
* 2b Creditor Prime Alliance Bank filed Claim No. 6 ("Claim") on
September 23, 2022 in the total amount of $2,218,991.03, including
principal in the amount of $1,571,985.23, arising from Prime's
pre-petition loan to the Debtor in the original principal amount of
$1,994,500.00 ("Loan"). The Debtor must carry a commercial
insurance policy for the building which includes listing PRIME as
an additional insured. The Debtor must pay all property tax
payments that are due during the interim payment period.
-- Prime shall retain its lien on all presently-owned or
hereafter-acquired assets of the Reorganized Debtor, to the same
extent as it had a valid and perfected security interest in the (i)
Pre-Petition Collateral, including all cash collateral, and (ii)
all proceeds therefrom, until all indebtedness under the Prime Loan
Documents, as modified by this Plan, is paid in full.
-- The Reorganized Debtor shall pay Prime a lump sum of (i)
$135,000.00 within 120 days of December 1, 2022 (March 31, 2023)
[1] and (ii) $200,000.00 within 42 months of December 1, 2022 (June
1, 2026) (together, the "Lump Sum Payments").
-- Upon the Reorganized Debtor's (i) timely delivery of the
Lump Sum Payment; (ii) timely delivery of all monthly payments of
principal and interest due under the Loan at the variable contract
rate as such payments come due on the 1st of each month during the
term of this Plan, and in the amount of $16,774.37 as of January 1,
2023; and (iii) timely performance of all other obligations due and
owing to Prime under the Loan Documents, including all timely
financial reporting required thereby, Prime's Claim shall be
reduced to the principal amount of $1,571,985.23, minus monthly
payments applied as set forth in the Loan Documents, plus interest
accruing at the variable contract rate of interest. For the
avoidance of doubt, upon full and timely payment received by Prime,
Prime will waive all arrears, default interest, late charges,
forced place insurance costs, and attorneys' fees and costs arising
under the Loan before confirmation as listed: $12,256.63 for
post-petition legal costs; $28,144.00 for Forced placed property
insurance; $26,861.00 in Postpetition attorney fees and costs, plus
a Pre-petition accrued but unpaid default interest of $551,534.07,
all satisfied by the two timely lump sum payments.
Class 3 consists of Non-priority unsecured creditors. Unsecured
creditors that presented a timely claims will be paid over the Plan
period of 60-months in equal installments commencing on the
effective date. All payments shall be initiated on the effective
date of the Plan.
The Claims register listed eight claims in this matter. Six are
unsecured claims and they total $168,057.51, and there are only two
secured claims: Prime Alliance Bank and SBA. SBA is modifying their
claim to reflect no arrears in this matter. Prime has agreed to two
lump-sum payments over the next 42 months so its arrearage will be
reduced to zero. Debtor's objection to claim will be dismissed upon
the Court's confirmation of settlement and Plan. The IRS filed a
small claim of $1000, but it is considered a priority claim.
Antonio Alcaraz with the help of Arturo Alcaraz shall continue to
manage the reorganized debtor. Debtor shall obtain a gift payment
from Antonio Alcaraz and/or Leticia Alcaraz in March 2023 and June
2023 to cover the lump sums due for the Plan. $135,000 in March
2023, and $18,500 in June 2023. They are the two shareholders and
the payments will be gifts not loans to the company.
Debtor proposes to pay the claimed amounts equally over 60 months.
The payment to unsecured creditors will be approximately $2,800.96
per month starting on day of confirmation. Debtor has sufficient
revenue to pay the amount of the Plan. Payments to unsecured
creditors shall be made directly by the Debtor. The Order of
confirmation shall authorize the Debtor to make such payments as
required by section 1194(b).
Debtor proposes debtor attorney fees to be paid over the next 24
months. The Debtor attorney fees are estimated at $58,500. The
payment of attorney fees over 24 months is $2,437.50 per month. The
Sub Chapter V fee administration costs are estimated at $18,500,
and shall be scheduled for payment on the effective date. No amount
will be paid until court approval of professional fees and costs as
required by the Bankruptcy Code. Any amount owing will be paid on
the later of the Effective Date or the date of allowance of the
claim, unless the Administrative claimants consents to the payment
over time. Debtor has initiated work to pursue additional catering
contracts which are larger in the Spring and Summer of each year,
If they are obtained, the Plan may be paid off quicker than 60
months.
The Plan will be funded by the on-going revenues from operation of
the business. A business that serves the underserved communities in
the county. Over 129 families rely upon Alcaraz Catering operating
to make their own living. They have been loyal to Debtor and Debtor
has been loyal to them. The rents received from the food trucks
provides enough revenue to support the Plan payments. If the
catering or government contracts to serve food are secured in the
future, addition revenues will be generated to accelerate the
repayment of the arrears in this matter.
A full-text copy of the Second Amended Plan dated February 21, 2023
is available at https://bit.ly/3KAzzik from PacerMonitor.com at no
charge.
Attorney for the Debtor:
Kenneth H.J. Henjum, Esq.
Kenneth H.J. Henjum Law Office
1190 S Victoria Ave, Ste 106
Ventura, CA 93003
Phone: 805-654-7032
Fax: 805-658-7629
Email: kh@Henjumlaw.com
About Alcaraz Catering
Alcaraz Catering Inc., a catering company in Oxnard, Calif., filed
a petition for relief under Subchapter V of Chapter 11 of the
Bankruptcy Code (Bankr. C.D. Calif. Case No. 22-10622) on August
13, 2022. In the petition filed by Antonio Alcaraz, as president,
the Debtor reported assets and liabilities between $1 million and
$10 million each.
Susan K Seflin has been appointed as Subchapter V trustee.
Kenneth H J Henjum, of the Law Offices of Kenneth H J Henjum, is
the Debtor's counsel.
ALLEN MEDIA: $660M Bank Debt Trades at 17% Discount
---------------------------------------------------
Participations in a syndicated loan under which Allen Media LLC is
a borrower were trading in the secondary market around 83.5
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The $660 million facility is a Term loan that is scheduled to
mature on February 10, 2027. The amount is fully drawn and
outstanding.
Allen Media LLC operates as a media company. The Company
specializes in video production, photography, senior pictures,
business portraits, graphic design work, photo editing, and
screenplay analysis services.
ALTISOURCE PORTFOLIO: S&P Upgrades ICR to 'CCC+', Outlook Stable
----------------------------------------------------------------
S&P Global Ratings raised its issuer credit rating on Altisource
Portfolio Solutions S.A. to 'CCC+' from 'SD'. The outlook is
stable.
S&P said, "We also raised our issue rating on the company's senior
secured term loan to 'CCC-' from 'D'. The recovery rating on the
notes remains '6', incorporating our expectation of negligible
recovery (5%) in a hypothetical default scenario.
"The maturity extension and a subsequent successful equity offering
improved Altisource's liquidity; however, we still expect the
company to generate negative cash flow from operations due to its
countercyclical business model. Altisource's business is highly
dependent on mortgage foreclosures and delinquencies, and it was
hurt by the moratorium on foreclosures from the CARES Act in 2020
and 2021. Although the moratorium ended in 2021, foreclosure
initiations and defaults remain below pre-pandemic levels,
resulting in continued negative cash flow from operations in 2022.
While mortgage foreclosures could rise as a result of the uncertain
macroeconomic environment, Altisource's higher-margin marketplace
business likely won't fully benefit from new foreclosures until
2024. That being said, the company reported positive EBITDA in
fourth-quarter 2022, the first positive EBITDA quarter since 2020.
We think 2024 is the earliest that cash flow from operations could
return to positive levels.
"We think the company has enough liquidity to sustain another 12
months of operations. Altisource's liquidity consists of $51
million in cash and cash equivalents as of year-end 2022 and $15
million of available capacity under the amended revolver. The
company used $20 million of the $21.2 million proceeds from its
equity offering to pay down the newly amended senior secured term
loan, partially meeting the $30 million of amortization required to
extend the term loan maturity an additional year to April 2026.
"Altisource continues to generate negative cash flow from
operations every quarter, resulting in cash on balance sheet
declining to $51 million at year-end 2022 from $98 million at
year-end 2021. While we believe the term loan amendment will burden
cash flows by at least another $8 million per year via higher cash
interest payments and amortization requirements, we think improving
operating performance in 2023 could offset the burden. If liquidity
falls under $35 million, the company also has the option to convert
up to 2% of cash interest to payment-in-kind in the following
quarter.
"The stable outlook on Altisource reflects our view that over the
next 12 months, while the company will continue to generate
negative cash flow from operations due to low residential mortgage
delinquencies and foreclosures, it could also benefit from
deteriorating macroeconomic conditions. The stable outlook also
incorporates our expectation that Altisource will have adequate
liquidity to maintain operations and service its debt over the next
12 months."
S&P could lower the ratings over the next 12 months if:
-- S&P believes Altisource's liquidity is not able to sustain
another 12 months of operations and debt amortization, or
-- The company executes exchange offers or debt restructuring on
its senior secured term loan due April 2025 that we would view as
distressed.
An upgrade is unlikely over the next 12 months. Over the longer
term, S&P could raise the ratings if it believes Altisource will
sustain positive cash flow from operations and EBITDA interest
coverage comfortably above 1.0x. An upgrade is also dependent on
Altisource maintaining adequate liquidity to service its debt over
the next 12 months.
S&P said, "Our simulated default scenario assumes a default in
2024. We assume continued weakness in Altisource's cash flow
generation will limit the company's ability to service interest
expense and maintenance capital expenditures, resulting in a
default.
"The default scenario assumes that Altisource would reorganize in
the event of a default. We have therefore valued the company on a
going-concern basis, using a 4.5x EBITDA multiple at emergence."
Weak cash flow generation
-- EBITDA at emergence: $5.4 million
-- EBITDA multiple: 4.5x
-- Net enterprise value (after 5% administrative costs): $23.2
million
-- Collateral value available to secured creditors: $23.2 million
-- Senior secured claims: $271 million
--Recovery expectations: 5% ('6' recovery rating)
Note: All debt amounts include six months of prepetition interest.
AMERICAN ACHIEVEMENT: Sixth Street Virtually Writes Off Loans
-------------------------------------------------------------
Sixth Street Specialty Lending, Inc has marked its $1,363,000 loan
extended to American Achievement Corporation to market at $78,000
or 6% of the outstanding amount, as of December 31, 2022, according
to a disclosure contained in Sixth Street's Form 10-K for the
fiscal year ended December 31, 2022, filed with the Securities and
Exchange Commission on February 16, 2023.
Sixth Street is a participant in a First Lien loan to American
Achievement Corporation. The loan accrues interest at a rate of
18.13% (incl. 17.63% Payment In Kind (L + 14%)) per annum. The loan
matures in September 2026.
Sixth Street also marked a $4,740,000 Subordinated note due
September 2026 at $71,000.
Sixth Street says both investments are on non-accrual status as of
December 31, 2022.
Sixth Street Specialty Lending, Inc is a Delaware corporation
formed on July 21, 2010. The Company was formed primarily to lend
to, and selectively invest in, middle-market companies in the
United States. The Company has elected to be regulated as a
business development company. In addition, for tax purposes, the
Company has elected to be treated as a regulated investment company
under Subchapter M of the Internal Revenue Code of 1986, as
amended. The Company is managed by Sixth Street Specialty Lending
Advisers, LLC. On June 1, 2011, the Company formed a wholly owned
subsidiary, TC Lending, LLC, a Delaware limited liability company.
On March 22, 2012, the Company formed a wholly owned subsidiary,
Sixth Street SL SPV, LLC, a Delaware limited liability company. On
May 19, 2014, the Company formed a wholly owned subsidiary, Sixth
Street SL Holding, LLC, a Delaware limited liability company. On
December 9, 2020, the Company formed a wholly owned subsidiary,
Sixth Street Specialty Lending Sub, LLC, a Cayman Islands limited
liability company.
American Achievement Corporation manufactures and distributes
commemorative jewelry, including class rings, and recognition
products.
AMERICAN TRAILER: S&P Alters Outlook to Neg., Affirms 'B' ICR
-------------------------------------------------------------
S&P Global Ratings revised its outlook on American Trailer World
Corp. (ATW) to negative from stable and affirmed all of its
ratings, including its 'B' issuer credit rating.
The negative outlook reflects S&P's expectation that the company's
S&P Global Ratings-adjusted leverage will remain close to our
mid-6x downgrade threshold in 2023 because of a materially weaker
demand environment.
S&P expects reduced demand in the trailer market in 2023. During
2021 and 2022, numerous secular trends led to an increase in
trailer demand, including the expansion in the number of pickups on
the road that can tow a trailer, the substitution of trailers for
traditional driving dump and gooseneck sales, and some pull-forward
sales as new models were released. However, the demand for ATW's
trailers began declining in the third quarter of 2022, including a
39% drop in its professional-grade trailer unit volumes and a 53%
drop in its consumer-grade trailer unit volumes from their
respective peaks in 2021, as its network of dealers destocked their
inventory in anticipation of a worsening macroeconomic environment.
The pull back in demand is further supported by our assumption of a
decline in U.S. housing starts to 1.2 million in 2023 from 1.5
million in 2022. Housing starts are a significant data point when
assessing the demand for trailers because companies in the
construction and landscaping end markets rely on trailers to move
materials. S&P expects the unit volume declines and modest drop in
pricing, along with the company's sale of its parts distribution
business (about 18% of revenue) in the third quarter of 2022, will
cause its revenue to fall 20%-25% in 2023.
S&P said, "While we expect ATW's S&P Global Ratings-adjusted
EBITDA margin to remain stable in 2023, we forecast lower absolute
EBITDA will cause its S&P Global Ratings-adjusted leverage to
increase toward the mid-6x area (our downgrade threshold for the
current rating). As the company's volumes decline through 2023, we
expect its deteriorating operating leverage and sale of its
higher-margin distribution business will pressure its EBITDA
margins. Nonetheless, we forecast ATW's S&P Global Ratings-adjusted
EBITDA margin to remain stable in 2023 due to material cost
deflation and its ability to optimize its pricing as costs decline.
Therefore, we forecast its S&P Global Ratings-adjusted EBITDA
margin will remain about 11%. Nevertheless, given our forecast for
a 20%-25% decline in revenue, its lower S&P Global Ratings-adjusted
EBITDA will cause its S&P Global Ratings-adjusted leverage to
increase to the mid-6x area in 2023 from about 5.9x as of Sept. 30,
2022 (about 4.7x pro forma for the sale of the parts distribution
business and the subsequent $425 million paydown of the term loan
B). In the near term, we believe there are potential risks to our
forecast, specifically around the magnitude and duration of the
decline in its sales volume, that could cause its S&P Global
Ratings-adjusted leverage to increase above 6.5x for a sustained
period.
"We forecast ATW's free operating cash flow (FOCF) generation will
improve in 2023 but anticipate it will maintain an aggressive
financial policy. We expect the company's FOCF to turn positive in
2023 (2022 includes a tax payment from the sale of its parts
distribution business), supported by the release of inventory as
its volumes decline. Given ATW's track record, we believe it will
use its FOCF largely for acquisitions and distributions, rather
than for debt reduction. The company used a portion of the proceeds
from the sale of its parts distribution to fund a $262 million
distribution to its owner and deployed the remainder to reduce debt
and pay related taxes, fees, and expenses. This distribution is the
third since 2021 and bring the total to $794 million, which
includes $625 million of additional borrowings. While we do not
incorporate any further debt-funded dividends in our forecast, we
believe the company may undertake such transactions as its
operating prospects improve.
"The negative outlook reflects our view that ATW's S&P Global
Ratings-adjusted leverage will remain close to our mid-6x downgrade
threshold in 2023 because of a materially weaker demand
environment."
S&P could lower its ratings on ATW if it expects its S&P Global
Ratings-adjusted leverage will remain above 6.5x without clear
prospects for recovery in the next few quarters. This could occur
if:
-- The demand for trailers is more constrained than S&P currently
forecasts, the company is unable to maintain its pricing, or it
pursues large debt-funded acquisitions or shareholder returns; or
-- S&P does not believe the company will generate positive FOCF
over the next 12 months.
S&P could revise its outlook on ATW to stable if it expects its S&P
Global Ratings-adjusted leverage will remain below 6.5x, which
could occur if:
-- The demand for trailers rebounds and the company maintains its
pricing; and
-- S&P believes it can generate positive FOCF over the next 12
months and maintain adequate liquidity, including minimal draws on
its asset-based lending (ABL) facility.
ESG credit indicators: E-2, S-2, G-3
AMERICAN VIRTUAL: Taps Northland Securities as Investment Banker
----------------------------------------------------------------
American Virtual Cloud Technologies, Inc. and its affiliates
received approval from the U.S. Bankruptcy Court for the District
of Delaware to employ Northland Securities, Inc. as investment
banker.
The Debtors require an investment banker to:
(a) identify buyers, which are the most likely to acquire the
Debtors or their assets;
(b) assist the Debtors in formulating a strategy for soliciting
interest from acquirers, whether approached by Northland or whether
the Debtors is approached proactively, which may have an interest
in buying the Debtors or their assets, and the development of
procedures and timetables for marketing the Debtors to potential
acquirers;
(c) assist in the preparation of management's confidential
memorandum describing the Debtors or their assets;
(d) introduce the Debtors and their assets to potential
acquirers, and coordinate due diligence investigations by potential
acquirers;
(e) along with the Debtors, evaluate proposals from interested
parties regarding a sale, formulate negotiation strategies, and
assist in negotiations and closing of a sale; and
(f) other services customarily provided by investment bankers
for similar engagements.
The firm will be paid as follows:
(a) a cash transaction fee of $500,000, provided that (i)
notwithstanding anything contained in the Engagement Agreement to
the contrary, the minimum aggregate amount for all cash fees
payable pursuant to the Engagement Agreement shall be $500,000 and
(ii) the aggregate amount of the retainer fees received by
Northland shall be credited against the cash fees will be $500,000,
regardless of the number of transactions or buyers involved;
(b) if such a sale for which Northland would have been entitled
to a fee is not consummated after execution of a definitive
agreement, 25% of any termination, break-up, topping, or other fee
or the value of any option the Debtors received pursuant to the
termination provisions in the definitive agreement relating to such
sale.
Northland was paid by the Debtor an advance retainer of $150,000.
In addition, the firm will receive a non-refundable retainer fee of
$50,000 per month, plus expenses.
Kurtis Fechtmeyer, a managing director at Northland, disclosed in a
court filing that hisfirm is a "disinterested person" as the term
is defined in Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
Kurtis Fechtmeyer
Northland Securities, Inc.
150 South Fifth Street, Suite 3300
Minneapolis, MN 55402
Tel: (612) 851-5952
Email: kfechtmeyer@northlandcapitalmarkets.com
About American Virtual Cloud Technologies
American Virtual Cloud Technologies, Inc., and its affiliates offer
cloud-based business communication services to customers looking to
transition business-critical services, phone services and other
business applications to the cloud. Its "Kandy" product is one of
the largest pure-play providers of unified communications as a
service (UCaaS), communications platform as a service (CPaaS), and
Microsoft Teams Direct Routing as a Service (DRaaS) for blue-chip
enterprise customers such as AT&T, IBM/Kyndryl, and Etisalat.
American Virtual Cloud Technologies and affiliates AVCtechnologies
USA, Inc. and Kandy Communications, LLC sought Chapter 11
protection (Bankr. D. Del. Lead Case No. 23-10020) on Jan. 11,
2023. The Debtors disclosed $31,122,000 in total assets and
$13,641,000 in total debt as of Sept. 30, 2022.
Judge Mary F. Walrath oversees the cases.
The Debtors tapped Cole Schotz P.C. as legal counsel; SOLIC Capital
Advisors, LLC and SOLIC Capital, LLC as financial advisors; and
Northland Securities as investment banker. Kroll Restructuring
Administration, LLC is the claims and noticing agent and
administrative advisor.
The U.S. Trustee for Regions 3 and 9 appointed an official
committee to represent unsecured creditors in the Debtors' cases.
Saul Ewing, LLP and Dundon Advisers, LLC serve as the committee's
legal counsel and financial advisor, respectively.
AMERICANAS SA: To Settle Debt With Small Creditors
--------------------------------------------------
Jose Orozco of Bloomberg News reports that, according to a filing,
Americanas and allied companies plan to begin settling some debts
with small creditors after a meeting on Thursday.
Americanas and allied companies plan to pay around BRL 192.4
million in class I and IV net credits in the short term with part
of the funds obtained from the DIP financing without affecting
company cash flow.
The company will continue working to build a consensus to settle
the liabilities of the other creditors.
Americanas and allied companies seek a legal solution capable of
meeting the needs of creditors, reducing the economic impact of the
bankruptcy on them.
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 billionaire Jorge
Paulo Lemann, Carlos Alberto Sicupira and Marcel Telles.
The retailer nosedived in January 2023 after becoming mired in an
accounting scandal. The firm filed for bankruptcy at a court in
Rio de Janeiro on Jan. 19, 2023.
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.
ANKURA CONSULTING: Oaktree Specialty Marks $2.9M Loan at 15% Off
----------------------------------------------------------------
Oaktree Specialty Lending Corporation has marked its $2,996,000
loan extended to Ankura Consulting Group LLC to market at
$2,558,000 or 85% of the outstanding amount, as of December 31,
2022, according to a disclosure contained in Oaktree Specialty's
Form 10-Q for the quarterly period ended December 31, 2022, filed
with the Securities and Exchange Commission on February 7, 2023.
Oaktree Specialty is a participant in a Second Lien Term Loan to
Ankura Consulting Group LLC. The loan accrues 12.36% (LIBOR+8.00%)
per annum. The loan matures on March 19, 2029.
Oaktree Specialty Lending Corporation is a specialty finance
company that looks to provide customized, one-stop credit solutions
to companies with limited access to public or syndicated capital
markets. Oaktree Specialty was formed in late 2007 and operates as
a closed-end, externally managed, non-diversified management
Investment Company that has elected to be regulated as a Business
Development Company under the Investment Company Act.
Ankura Consulting Group LLC is an independent global expert
services and advisory firm that delivers services and end-to-end
solutions to help clients at critical inflection points related to
change, risk, disputes, finance, performance, distress, and
transformation.
ARBAH HOTEL: Case Summary & Six Unsecured Creditors
---------------------------------------------------
Debtor: Arbah Hotel Corp.
2750 Tonnelle Avenue
North Bergen, NJ 07047
Chapter 11 Petition Date: February 24, 2023
Court: United States Bankruptcy Court
District of New Jersey
Case No.: 23-11467
Debtor's Counsel: Justin M Gillman, Esq.
GILLMAN, BRUTON & CAPONE, LLC
770 Amboy Avenue
Edison, NJ 08837
Tel: (732) 661-1664
Fax: (732) 661-1707
Email: jgillman@gbclawgroup.com
Estimated Assets: $10 million to $50 million
Estimated Liabilities: $100,000 to $500,000
The petition was signed by Mark Wysocki, vice president and
operations manager.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/23GA4RQ/Arbah_Hotel_Corp__njbke-23-11467__0001.0.pdf?mcid=tGE4TAMA
List of Debtor's Six Unsecured Creditors:
Entity Nature of Claim Claim Amount
1. Assured Partners $76,731
1317 Route 73 Suite 101
Mount Laurel, NJ 08054
2. Cablevision Lightpath $2,750
1111 Stewart Avenue
Bethpage, NY 11714
3. Optimum $360
1111 Stewart Ave
Bethpage, NY 11714
4. Stonefield
$9,302
92 Park Avenue
Rutherford, NJ 07070
5. Township of North Bergen $95,000
Attn: Building Department
4233 John F. Kennedy Blvd # 208
North Bergen, NJ 07047
Tel: (201) 392-2051
6. Township of North Bergen $91,943
Office of the Tax Collector
4233 Kennedy Blvd
North Bergen, NJ 07047
ARU PHARMA: Case Summary & Eight Unsecured Creditors
----------------------------------------------------
Debtor: Aru Pharma, Inc.
7 Wingate Place
Yonkers, NY 10705
Chapter 11 Petition Date: February 27, 2023
Court: United States Bankruptcy Court
Southern District of New York
Case No.: 23-22157
Judge: Hon. Sean H. Lane
Debtor's Counsel: Michael G. Mc Auliffe, Esq.
THE LAW OFFICE OF MICHAEL G. MC AULIFFE
68 South Service Road
Suite 100
Melville, NY 11747
Tel: 516-927-8413
Fax: 516-927-8414
Email: mgmlaw@optonline.net
Total Assets: $109,091
Total Liabilities: $1,409,828
The petition was signed by Rajammal Jayakumar, proposed executrix
of the Estate of Arumugan Jayakumar.
A full-text copy of the petition containing, among other items, a
list of the Debtor's eight unsecured creditors is available for
free at PacerMonitor.com at:
https://www.pacermonitor.com/view/PVYYECY/Aru_Pharma_Inc__nysbke-23-22157__0001.0.pdf?mcid=tGE4TAMA
ASGN INCORPORATED: Moody's Alters Outlook on 'Ba2' CFR to Positive
------------------------------------------------------------------
Moody's Investors Service affirmed the ratings at ASGN
Incorporated, a Virginia-based staffing and consulting firm
specializing in technology, engineering and life sciences, and
creative/digital services, including its corporate family rating
and probability of default rating at Ba2 and Ba2-PD, respectively.
At the same time, Moody's affirmed the company's senior secured
credit facilities comprised of a $460 million revolving credit
facility due 2024 and $490.8 million outstanding senior secured
term loan due 2025 at Ba1. Moody's also affirmed the company's $550
million senior unsecured notes due 2028 at Ba3. The
speculative-grade liquidity ("SGL") rating is maintained at SGL-1.
The outlook was revised to positive from stable to reflect Moody's
expectation that ASGN will achieve revenue growth in the
mid-to-high single digits in 2023, supported by good performance
out of its commercial consulting business, that will reduce debt to
EBITDA below 2x absent any debt funded acquisitions during the next
12-18 months.
Affirmations:
Issuer: ASGN Incorporated
Corporate Family Rating, Affirmed Ba2
Probability of Default Rating, Affirmed Ba2-PD
Senior Secured 1st Lien Bank Credit Facility, Affirmed Ba1 (LGD2)
Senior Unsecured Regular Bond/Debenture, Affirmed Ba3 (LGD5)
Outlook Actions:
Issuer: ASGN Incorporated
Outlook, Changed To Positive From Stable
RATINGS RATIONALE
ASGN's Ba2 CFR reflects its leading position in the professional IT
consulting and staffing services sector, large operating scale with
revenue over $4.5 billion in FY22 in a fragmented industry and
focus on a large and diverse commercial client base and the US
Federal Government. EBITDA margins of nearly 12% in FY22 are modest
in consideration of the company's staffing and consulting model,
but the company generates strong free cash flow with around $330
million expected in 2023. ASGN's credit metrics including debt to
EBITDA of 2.1x and FCF to debt of 25% for the fiscal year ended
2022 position the company strongly in the Ba2 CFR rating category.
The company also has a rapidly growing consulting business across
the commercial and government sectors that is now 49% of revenue as
of FY22 that Moody's expects will continue to outpace growth in
staffing despite modest cooling off in IT consulting spending
growth in 2023. Moody's anticipates profit margins will remain flat
given rising costs associated with wage inflation for highly
skilled professionals, but revenue growth in the mid-to-high single
digits will keep up with rising costs. The credit profile is
constrained by a debt-funded acquisition strategy that has
historically led to financial leverage increasing to as high as
4.0x debt to EBITDA, following a transaction.
All financial metrics cited reflect Moody's standard adjustments.
The affirmation of the Ba1 rating assigned to the $460 million
senior secured revolving credit facility due November 2024 and
$490.8 million senior secured term loan due 2025 reflects the
Ba2-PD PDR and a LGD assessment of LGD2 and is supported by their
priority position in the capital structure that benefits from loss
absorption from the $550 million senior unsecured notes due 2028.
The senior notes were affirmed at Ba3 with an LGD5 assessment
reflecting their contractual subordination to first lien credit
facilities.
The positive outlook reflects Moody's expectation that although the
company maintains a financial policy that prioritizes the use of
free cash flow towards acquisitions and share repurchases, Moody's
expects debt to EBITDA is likely to be sustained below 2.5x despite
the possibility that the company raises incremental debt. The
company's publicly stated revenue target of $6 billion by 2024 will
require about $1.5 billion in revenue growth, which Moody's expects
about half will need to come from acquisitions. The outlook could
be revised to stable from positive if Moody's expects debt to
EBITDA will remain above 2.5x, from debt funded acquisitions or
otherwise, or retained cash flow to net debt declines below 25%.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The rating could be upgraded if company's revenue and earnings
growth remains strong such that debt to EBITDA is sustained and
Moody's expects it to remain below 2.5x and retained cash flow to
net debt above 30%, through the economic cycle. Demonstration of
balanced financial strategies as it pertains to leverage and
allocation of capital, as well as greater financial flexibility
through a predominantly unsecured debt capital structure, including
its bank credit facility, would also support a rating upgrade.
The positive outlook indicated that rating downgrades are unlikely
over the next 12-18 months. However, ASGN's ratings could be
downgraded if company's revenue and earnings decline, Moody's
expects debt to EBITDA to remain above 3.5x, retained cash flow to
net debt falls below 20% and the company adopts more aggressive
including additional leveraging acquisitions prior to debt
reduction, or debt-financed dividends or share repurchases.
The SGL-1 liquidity rating reflects ASGN's very good liquidity
supported by Moody's expectation for free cash flow of around $330
million in 2023, cash balance of $70.3 million on December 31,
2022, and $428.5 million availability under its recently upsized
$460 million revolving credit facility due November 2024. The
senior revolving credit facility has a springing covenant of
secured leverage set at 3.75x (actual 0.9x on December 31, 2022)
triggered by $1 utilization under its revolving credit facility.
Moody's expects the company to maintain ample cushion under this
covenant requirement through maturity. There are no required
minimum amortization payments on the company's senior secured term
loan due 2025.
The principal methodology used in these ratings was Business and
Consumer Services published in November 2021.
Headquartered in Glen Allen, Virginia, ASGN Incorporated (NYSE:
ASGN) is a leading consulting and professional staffing firm,
specializing in the technology, engineering and life sciences, and
creative/digital functions. The company is publicly traded and
generated nearly $4.6 billion of revenue for the year ended
December 31, 2022.
ASSOCIATED ASPHALT: Oaktree Specialty Marks $2.4M Loan at 23% Off
-----------------------------------------------------------------
Oaktree Specialty Lending Corporation has marked its $2,493,000
loan extended to Associated Asphalt Partners, LLC to market at
$1,928,000 or 77% of the outstanding amount, as of December 31,
2022, according to a disclosure contained in Oaktree Specialty's
Form 10-Q for the quarterly period ended December 31, 2022, filed
with the Securities and Exchange Commission on February 7, 2023.
Oaktree Specialty is a participant in a First Lien Term Loan to
Associated Asphalt Partners, LLC. The loans accrues 9.63%
(LIBOR+5.25%) per annum. The loan matures on April 5, 2024.
Oaktree Specialty Lending Corporation is a specialty finance
company that looks to provide customized, one-stop credit solutions
to companies with limited access to public or syndicated capital
markets. Oaktree Specialty was formed in late 2007 and operates as
a closed-end, externally managed, non-diversified management
Investment Company that has elected to be regulated as a Business
Development Company under the Investment Company Act.
Associated Asphalt Partners, LLC manufactures asphalt products. The
Company provides emulsions, polymer modified asphalt, and rubber
binder products.
B GSE GROUP: Gets OK to Hire Cohne Kinghorn as Special Counsel
--------------------------------------------------------------
B GSE Group, LLC received approval from the U.S. Bankruptcy Court
for the Western District of North Carolina to employ Cohne Kinghorn
P.C. as its special counsel.
The Debtor needs the firm's legal assistance in connection with the
case pending in the U.S. District Court for the District of Utah,
captioned as John Bean Technologies Corporation vs. B GSE Group,
LLC and Bryan Bullerdick (Case No. 17-cv-00142).
The firm will be paid at hourly rates ranging from $150 to $500.
Jeffrey Trousdale, Esq., a partner at Cohne Kinghorn, 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 through:
Jeffrey Trousdale, Esq.
Cohne Kinghorn, P.C.
111 E. Broadway, 11th Floor
Salt Lake City, UT 84111
Telephone: (801) 363-4300
Email: jtrousdale@ck.law
About B GSE Group
B GSE Group, LLC, doing business as Bullerdick GSE LLC, delivers
turnkey system solutions to military and commercial airport
terminals, ramps, and hangars around the globe -- cutting capital
maintenance costs, saving time, and reducing fuel consumption.
B GSE Group filed a petition for relief under Subchapter V of
Chapter 11 of the Bankruptcy Code (Bankr. W.D.N.C. Case No.
23-30013) on Jan. 6, 2023. In the petition filed by Mark Allen,
manager, the Debtor disclosed between $1 million and $10 million in
both assets and liabilities. David Schilli has been appointed as
Subchapter V trustee.
Judge J. Craig Whitley oversees the case.
The Debtor tapped Richard S. Wright, Esq., at Moon Wright &
Houston, PLLC as bankruptcy counsel; Bell, Davis & Pitt, PA and
Cohne Kinghorn P.C. as special counsels; and GreerWalker, LLP as
financial advisor.
BAUSCH HEALTH: $2.50B Bank Debt Trades at 21% Discount
------------------------------------------------------
Participations in a syndicated loan under which Bausch Health Cos
Inc is a borrower were trading in the secondary market around 78.8
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The $2.50 billion facility is a Term loan that is scheduled to
mature on February 1, 2027. About $2.44 billion of the loan is
withdrawn and outstanding.
Bausch Health Companies Inc. discovers and distributes
pharmaceutical. The Company develops drugs for unmet medical needs
in central nervous system disorders, eye health, and
gastrointestinal diseases, as well as contact lenses, intraocular
lenses, ophthalmic surgical equipment, and aesthetic devices.
Bausch Health Companies serves customers worldwide.
BAUSCH HEALTH: S&P Cuts ICR to 'SD' on Below-Par Debt Repurchases
-----------------------------------------------------------------
S&P Global Ratings lowered its issuer credit rating on Bausch
Health Cos. Inc. (BHC) to 'SD' (selective default) from 'CCC+'.
At the same time, S&P lowered its issue-level rating on the
affected unsecured notes to 'D' from 'CCC'.
The downgrade follows BHC's latest below-par debt purchase. BHC
announced that it repurchased approximately $446 million of senior
secured and senior unsecured notes for $250 million of cash during
the fourth quarter. S&P views the repurchase of the unsecured notes
as distressed because noteholders received much less value than
originally promised: between 47-68 cents on the dollar, depending
on the tranche, for an average of approximately 50 cents on the
dollar. This transaction also follows another open-market,
below-par purchase that BHC completed in the second quarter of
2022.
S&P said, "We plan to reassess our issuer credit rating on the
company and raise our issue-level ratings on its affected unsecured
debt in the near term. Over the coming days, we will reassess and
most likely raise our issuer credit rating on BHC to the 'CCC'
category, reflecting the longer-term issues surrounding the
sustainability of BHC's capital structure and the nearer-term risk
of further distressed exchanges."
ESG credit indicators: E-2, S-3, G-3
BAY AREA COMMERCIAL: Unsecureds to Split $275K in Subchapter V Plan
-------------------------------------------------------------------
Bay Area Commercial Sweeping, Inc., filed with the U.S. Bankruptcy
Court for the Northern District of California a Plan of
Reorganization for Small Business under Subchapter V dated February
21, 2023.
Since 2018, the Debtor has been in the business of providing
commercial street sweeping services, generally as a hired
contractor, for construction sites, state and municipal roadways,
and other customers requiring street cleaning.
The Debtor was facing litigation and possible judgment related a
dispute with the labor union and alleged breach of the collective
bargaining agreement in the case entitled Operating Engineers
Health and Welfare Trust Fund for Northern California et al. v. Bay
Area Commercial Sweeping Inc. et al., Case No. 3:20-cv-04942- MMC,
pending in the United States District Court for the Northern
District of California. The significant cost of defending this
litigation substantially impacted the Debtor's ability to
successfully operate, and a result, the Debtor sought relief under
Title 11, Chapter 11, Sub-Chapter V of the United States Code to
reorganize its business affairs with the threat and cost of
continual litigation.
The Plan Proponent's financial projections show that the Debtor
will have projected disposable income of $273,899.85. The Debtor
expects to fund the full payment required under the Plan within 60
months after the Plan is confirmed.
This Plan of Reorganization proposes to pay creditors of the Debtor
from cash on hand, collection of accounts receivables, and cash
profits from business operations, and to the extent necessary, from
liquidation and sale of certain nonessential assets of the estate.
Non-priority unsecured creditors holding allowed claims will
receive distributions, which the proponent of this Plan is unable
to value in terms of cents on the dollar because the total amount
of all claims is unknown. This Plan also provides for the payment
of administrative and priority claims.
Class 3(A) consists of non-priority unsecured creditors
(Convenience Class). Class 3(A) is impaired by this Plan. Each
Class 3(A) claimant shall receive on the Effective Date of the Plan
a single payment equal to the lesser of its allowed claim or
$1,000.
Class 3(B) consists of non-priority unsecured creditors. Class 3(B)
is impaired by this Plan. Allowed general unsecured claims, not
otherwise treated in Class 3(A), shall receive a pro-rata share of
a fund totaling $275,000, created by Debtor's payment of $14,460.40
per quarter for a period of 20 quarters, starting in the subsequent
quarter following the Effective Date, due on the 15th day of the
first month of each quarter. Pro-rata shall mean the entire amount
of the fund divided by the entire amount owed to creditors with
allowed claims in Class 3(B).
Class 4 consists of Equity security holders of the Debtor. Class 4
is not impaired by this Plan. Equity security holders of the Debtor
shall retain their respective interest in the Reorganized Debtor
and are deemed to accept the Plan.
After confirmation of the Plan, Debtor will continue business
operations of providing commercial street sweeping services to
customers and Debtor will also maintain possession, custody, and
control of all essential assets for continuation of normal business
operations.
As of January 31, 2023, Debtor has available cash on hand of
$121,948.57 and accounts receivable, not otherwise subject to a
security interest, of $176,831.36, which will be used to make all
payments due on the Effective Date, which are currently estimated
to be $97,734.29. Further, to the extent necessary, counsel for
Debtor (Meyer Law Group, LLP) will agree to accept payment of its
allowed administrative claim (estimated at $45,000) over the term
of the Plan to ensure feasibility on the Effective Date.
A full-text copy of the Plan of Reorganization dated February 21,
2023 is available at https://bit.ly/3IuWZD5 from PacerMonitor.com
at no charge.
Attorney for the Plan Proponent:
Brent D. Meyer, Esq.
Meyer Law Group, LLP
268 Bush Street #3639
San Francisco, CA 94104
Telephone: (415) 765-1588
Facsimile: (415) 762-5277
Email: brent@meyerllp.com
About Bay Area Commercial Sweeping
Bay Area Commercial Sweeping, Inc. -- https://www.bacsweeping.com/
-- filed a petition under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. N.D. Cal. Case No. 22-50590) on July 8,
2022, listing $500,000 to $1 million in assets and $1 million to
$10 million in liabilities. Timothy Nelson has been appointed as
Subchapter V trustee.
Judge Stephen L. Johnson oversees the case.
Brent D. Meyer, Esq., at Meyer Law Group, LLP, is the Debtor's
counsel.
BIOPLAN USA: Investcorp Credit Marks $8.4M Loan at 18% Off
----------------------------------------------------------
Investcorp Credit Management BDC, Inc has marked its $8,444,805
loan extended to Bioplan USA Inc. to market at $6,924,740 or 82% of
the outstanding amount, as of December 31, 2022, according to a
disclosure contained in Investcorp Credit's Form 10-Q for the
quarterly period ended December 31, 2022, filed with the Securities
and Exchange Commission on February 13, 2023.
Investcorp Credit Management BDC is a participant in a Senior
Secured First Lien Loan to Bioplan USA Inc. The loan accrues
interest at a rate of 3M L + 7.25%+ 0.50% Payment In Kind (1.00%
Floor) per annum. The loan matures on December 22, 2023.
Investcorp Credit Management BDC classified the Bioplan loan as a
non-accrual asset.
Investcorp Credit Management BDC, Inc, a Maryland corporation
formed in May 2013, is a closed-end, externally managed,
non-diversified management investment company that has elected to
be regulated as a business development company under the Investment
Company Act of 1940, as amended, and has elected to be treated as a
regulated investment company under Subchapter M of the Internal
Revenue Code for U.S. federal income tax purposes.
Bioplan USA, Inc. provides sampling and packaging machinery
products. The Company offers products for fragrance, beauty, and
personal care industries.
BOLTA US LTD: Gets OK to Hire Hilco as Appraiser
------------------------------------------------
Bolta US Ltd. received approval from the U.S. Bankruptcy Court for
the Northern District of Alabama to employ Hilco Valuation
Services, LLC to conduct an appraisal of its machinery and
equipment.
Hilco will charge a flat fee of $22,500, exclusive of any fees for
expert testimony. The firm will charge separately a $400 per hour,
plus up to an additional $4,000 per day in the event
representatives from the firm are required to attend depositions or
provide court testimony.
Sarah Baker, managing member of Hilco, disclosed in a court filing
that his firm is "disinterested" as defined in Section 101(14) of
the Bankruptcy Code.
The firm can be reached through:
Sarah K. Baker
Hilco Valuation Services, LLC
5 Revere Dr., Suite 206
Northbrook, IL 60062
Phone: 847-849-2994
Email: sbaker@hilcoglobal.com
About Bolta US Ltd.
Bolta US Ltd., an auto parts manufacturer in Tuscaloosa, Ala.,
sought protection under Chapter 11 of the U.S. Bankruptcy Code
(Bankr. N.D. Ala. Case No. 23-70042) on Jan. 13, 2023. In the
petition signed by its chief restructuring officer, Jeffrey Truitt,
the Debtor disclosed up to $50 million in assets and up to $100
million in liabilities.
Judge Jennifer H. Henderson oversees the case.
The Debtor tapped Stephen Gross, Esq., at McDonald Hopkins, LLC as
bankruptcy counsel; Rosen Harwood, P.C. as local bankruptcy
counsel; Winter McFarland, LLC as special counsel; and Donnelly
Penman & Partners as investment banker.
The U.S. Bankruptcy Administrator for the Northern District of
Alabama appointed an official committee to represent unsecured
creditors in the Debtor's case. The committee is represented by
Maples Law Firm, PC.
BOTEILHO HAWAII: Continued Operations to Fund Plan
--------------------------------------------------
Boteilho Hawaii Enterprises, Inc., d/b/a Cloverleaf Dairy, filed
with the U.S. Bankruptcy Court for the District of Hawaii a Small
Business Plan of Reorganization dated February 21, 2023.
The Debtor operates Clover Leaf Dairy, the last remaining
commercial dairy in the State of Hawaii. The Debtor also operates a
ranching operation which raises beef cattle.
The bankruptcy was filed, in part, to obtain the turnover of
Debtor's cattle and equipment in the possession of Dutch Hawaiian
Dairy Farms ("DHDF") and its managing member, Kees Kea, and to
discharge litigation commenced by Honoka'a Land Company, LLC
("HLC") which appealed an adverse ruling by the Circuit Court on
the island of Hawaii finding that it did not have a valid contract
to purchase the Debtor. HLC has failed to file a proof of claim in
this case.
The Debtor obtained court approval to borrow $500,000 in
postpetition secured financing from Logix Capital. Finally, the
Debtor also obtained court approval to assume the two state
agricultural leases.
As of January 31, 2023, the Debtor had approximately $37,255.67 in
cash. The Debtor is current on its administrative obligations.
Class 4 consists of Employee benefits earned before the Petition
Date. Except to the extent that the holder of an Allowed Class 4
Claim agrees to a different treatment, the holder of an Allowed
Class 4 Claim who is not employed by the Debtor as of the Effective
Date shall receive on account of such Allowed Claim, Cash in the
amount equal to the holder's Allowed Claim, 30 days after the later
of (a) the Effective Date; and (b) the date on which an order
allowing such Claim becomes a Final Order, and, in each case, or as
soon thereafter as is practicable. The allowed Priority unsecured
claim total $7,575.15. The allowed General unsecured claims total
$14,839.65.
Class 5 consists of General Unsecured Creditors (Excluding Employee
Claims). Neither retain nor receive property under the Plan. The
allowed unsecured claims total $1,236,760 to $5,019,079.
Class 6 consists of Convenience Class (Claims under $20,000.00 โ
or holder agrees to reduce to $20,000 in order to be treated as a
Convenience Claim). The amount of claim in this Class total $69,485
to $209,485. Payment of 30% of Allowed Claim paid 30 days after the
Effective Date or as soon thereafter as is practicable.
Class 7 consists of Equity Interest holders. Retain interest in
Debtor.
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.
The Debtor will continue its business operations and pay Plan
obligations from its net disposable income.
The Debtor believes that the Debtor will have enough cash on hand
on the Effective Date of the Plan to pay all the Claims and
expenses that are entitled to be paid on that date. As of January
31, 2023, the Debtor had approximately $37,255.67 in cash in bank
accounts. The Debtor has access to up to $500,000 in DIP financing.
Assuming that the Effective Date is July 1, 2023, the Debtor
estimates that it will approximately $128,600 in cash on the
Effective Date, which is sufficient to pay all claims and expenses
entitled to be paid on the Effective Date.
A full-text copy of the Plan of Reorganization dated February 21,
2023 is available at https://bit.ly/3kj74v3 from PacerMonitor.com
at no charge.
Attorneys for Debtor:
Chuck C. Choi, Esq.
Allison A. Ito, Esq.
Choi & Ito
700 Bishop Street, Suite 1107
Honolulu, HI 96813
Telephone: (808) 533-1877
Facsimile: (808) 566-6900
Email: cchoi@hibklaw.com
aito@hibklaw.com
About Boteilho Hawaii Enterprises
Boteilho Hawaii Enterprises, Inc., operates the Cloverleaf Dairy in
North Kohala, near Hawi, on the northern tip Hawaii island. The
Boteilho family has operated it continuously since 1962. The Debtor
is the last remaining commercial dairy farm in Hawaii.
Boteilho Hawaii Enterprises sought protection under Chapter 11 of
the U.S. Bankruptcy Code (Bankr. D. Hawaii Case No. 22-00827) on
Nov. 21, 2022, with up to $10 million in both assets and
liabilities. Edward Boteilho, Jr., president, signed the petition.
Judge Robert J. Faris oversees the case.
The Debtor tapped Chuck C. Choi, Esq., at Choi & Ito, as bankruptcy
counsel and Dentons US, LLP as special litigation counsel.
BOUCHARD TRANSPORTATION: Confirmation Order Reversed, Case Remanded
-------------------------------------------------------------------
In the civil case titled IN RE BOUCHARD TRANSPORTATION CO., INC.,
et al., Debtors, MORTON S. BOUCHARD, III, et al., Appellants, v.
BOUCHARD TRANSPORTATION CO., INC., et al., Appellees, Civil Action
No. H-21-2937, (S.D. Tex.), District Judge Lee H. Rosenthal
reverses the bankruptcy court's Confirmation Order and remands the
case to allow the bankruptcy court to modify the plan.
In September 2020, the financial impact of the COVID-19 pandemic
caused Bouchard Transportation Co., Inc. and 51 affiliated debtors
to file for bankruptcy under Chapter 11 of the Bankruptcy Code.
Morton Bouchard -- the company's chief executive officer --
continued to serve as CEO and sole officer of the company during
the first 5 months of the bankruptcy proceedings. In February 2021,
however, the bankruptcy court found that Mr. Bouchard had impeded
the Chapter 11 process, ordered Mr. Bouchard removed from his posts
in the company, and appointed a chief restructuring officer to act
on behalf of the Debtors during the remainder of the bankruptcy
proceedings.
The Debtors filed a proposed plan for Chapter 11 reorganization
with the bankruptcy court on Aug. 23, 2021. The primary issue in
dispute before the bankruptcy court was whether the Plan's
exculpation clause was too broad. Mr. Bouchard agreed that the
exculpation clause should cover debtors, the creditors' committee
and its members, and the trustees and its members for conduct
within the scope of their duties in the bankruptcy. But Mr.
Bouchard objected to the breadth of the clause because it released
non-debtors and other third parties and entities. Mr. Bouchard also
objected to the provision for an injunction to enforce the
exculpation provisions by prohibiting litigation against the
exculpated parties.
Over Mr. Bouchard's objections, the bankruptcy court confirmed the
Debtors' proposed plan. Mr. Bouchard appealed the confirmation.
This appeal presents two issues: is Mr. Bouchard's objection at
this stage equitably moot, and, if not, is the exculpation clause
overly broad in the categories of third parties it releases from
liability? No stay was sought or obtained, and the Plan was
substantially consummated.
The Court finds the clause that Bouchard objects to here is very
similar to the clause the Fifth Circuit found overbroad in the case
of NexPoint Advisors, L.P. v. Highland Capital Management, 48 F.4th
419 (5th Cir. 2022), petition for cert. filed, No. 22-631 (U.S.
Jan. 5, 2023). In this case, Highland dealt with similar challenges
to an exculpation clause that released third parties and an
equitable mootness issue. The Fifth Circuit held that the
exculpation provision could cover only (1) the debtor and related
entities, (2) the unsecured creditors committee and its members,
and (3) the independent directors. Although the Highland plan has
been substantially consumated, and despite the absence of a stay,
the Highland court held that equitable mootness did not bar review
of the exculpation clause because "equity strongly supports
appellate review of issues consequential to the integrity and
transparency of the Chapter 11 process" and "the goal of finality
sought in equitable mootness analysis does not outweigh a court's
duty to protect the integrity of the process."
Applying Highland, the Court reverses the Bankruptcy Court's
Confirmation Order only to the extent that it approved the
exculpation provision releasing a broad range of third parties and
entered the related injunction provision. The Court remands the
case to the bankruptcy court to allow it to modify the plan, which
was approved before Highland issued, in accordance with the Fifth
Circuit's opinion in Highland and this order.
A full-text copy of the Memorandum and Order dated Feb. 7, 2023, is
available at https://tinyurl.com/56v43dcn from Leagle.com.
About Bouchard Transportation
Founded in 1918, Bouchard Transportation Co., Inc.'s first cargo
was a shipment of coal. By 1931, Bouchard acquired its first oil
barge. Over the past 100 years and five generations later, Bouchard
has expanded its fleet, which now consists of 25 barges and 26 tugs
of various sizes, capacities and capabilities, with services
operating in the United States, Canada and the Caribbean.
Bouchard and certain of its affiliates sought Chapter 11 protection
(Bankr. S.D. Tex. Lead Case No. 20-34682) on Sept. 28, 2020. At the
time of the filing, the Debtors estimated assets of between $500
million and $1 billion and liabilities of between $100 million and
$500 million.
Judge David R. Jones oversees the cases.
The Debtors tapped Kirkland & Ellis LLP, Kirkland & Ellis
International LLP and Jackson Walker LLP as their legal counsel;
Portage Point Partners, LLC as restructuring advisor; Jefferies LLC
as investment banker; Berkeley Research Group, LLC as financial
advisor; and Grant Thornton, LLP as tax consultant. Stretto is the
claims agent.
The U.S. Trustee for Region 7 appointed an official committee of
unsecured creditors in the Debtors' cases. The committee tapped
Ropes & Gray LLP as bankruptcy counsel, Clyde & Co US LLP as
maritime counsel, and Berkeley Research Group LLC as financial
advisor.
BPB DRUGS: Gets OK to Hire Trachtenberg & Pauker as Accountant
--------------------------------------------------------------
BPB Drugs, Inc. received approval from the U.S. Bankruptcy Court
for the Southern District of New York to employ Trachtenberg &
Pauker, LLP as its accountant.
The firm's services include:
a. assisting the Debtor's management in its preparation of
monthly operating reports, financial statements and related
financial statements supporting the Debtor's schedules;
b. preparing and tax-related filings required by the Debtor;
c. providing accounting advice as requested by the Debtor's
management; and
d. other accounting services, which may be necessary and proper
in the Debtor's Chapter 11 case.
Trachtenberg & Pauker will be paid at these rates:
Martin Pauker $410 per hour
Michael Cowles $375 per hour
Lara Levine $175 per hour
The firm received from the Debtor an advance retainer payment of
$8,000.
Martin Pauker, CPA, a partner at Trachtenberg & Pauker, 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:
Martin Pauker, CPA
Trachtenberg & Pauker, LLP, CPAs
100 Crossways Park West, Suite 110
Woodbury, NY 11797
Phone: (516) 496-7100
Fax: (516) 496-7436
Email: mpauker@tpcpa.com
About BPB Drugs
BPB Drugs, Inc. owns and operates a pharmacy in New York. The
company conducts business under the name Gallery Drug.
BPB Drugs filed its voluntary petition for relief under Chapter 11
of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 22-11656) on Dec.
9, 2022, with $500,000 to $1 million in assets and $1 million to
$10 million in liabilities. Johnny D. Lee, member and director,
signed the petition.
Judge Philip Bentley presides over the case.
Randolph E. White, Esq., at White & Wolnerman, PLLC represents the
Debtor as counsel.
BRIDGER STEEL: Voluntary Chapter 11 Case Summary
------------------------------------------------
Debtor: Bridger Steel, Inc.
f/k/a Bridger Steel Belgrade, Inc.
f/k/a Bridger Steel Billings, Inc.
f/k/a Bridger Steel Helena, Inc.
f/k/a Bridger Steel Great Falls, Inc.
f/k/a Bridger Steel South Dakota, LLC
f/k/a Bridger Steel Casper, Inc.
1558 Amsterdam Rd
Belgrade, MT 59714
Business Description: Bridger Steel is a manufacturer of metal
panel systems for roofing, siding & wall,
interior, and fencing applications.
Chapter 11 Petition Date: February 24, 2023
Court: United States Bankruptcy Court
District of Montana
Case No.: 23-20019
Judge: Hon. Benjamin P. Hursh
Debtor's Counsel: James A. Patten, Esq.
PATTEN PETERMAN BEKKEDAHL & GREEN
2817 2nd Avenue N, St 300
Billings, MT 59101
Tel: 406-252-8500
Email: apatten@ppbglaw.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $10 million to $50 million
The petition was signed by Dennis L. Johnson 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/NN7RNBY/BRIDGER_STEEL_INC__mtbke-23-20019__0001.0.pdf?mcid=tGE4TAMA
BRIGHT MOUNTAIN: Todd Speyer Resigns as Director
------------------------------------------------
Todd Speyer provided Bright Mountain Media, Inc.'s Board of
Directors a letter of resignation as a director of the Company,
effective March 31, 2023. Mr. Todd Speyer will continue to serve
as the Company's senior vice president of Revenue Operations.
Meanwhile, Bright Mountain disclosed in a Form 8-K filed with the
Securities and Exchange Commission it has commenced a process to
evaluate director candidates with the intention of appointing two
independent directors to the Company's Board of Directors.
About Bright Mountain
Based in Boca Raton, Fla., Bright Mountain Media, Inc. --
www.brightmountainmedia.com -- is engaged in operating a
proprietary, end-to-end digital media and advertising services
platform designed to connect brand advertisers with
demographically-targeted consumers -- both large audiences and more
granular segments -- across digital, social and connected
television publishing formats. The Company defines "end-to-end" as
its process for taking ad buying from beginning to end, delivering
a complete functional solution, usually without requiring any
involvement from a third party.
Bright Mountain reported a net loss of $12 million for the year
ended Dec. 31, 2021, a net loss of $72.71 million for the year
ended Dec. 31, 2020, a net loss of $4.17 million for the year ended
Dec. 31, 2019, and a net loss of $5.22 million for the year ended
Dec. 31, 2018. As of Sept. 30, 2022, the Company had $30.28
million in total assets, $41.80 million in total liabilities, and a
total shareholders' deficit of $11.52 million.
East Brunswick, New Jersey-based WithumSmith+Brown, PC, the
Company's auditor since 2021, issued a "going concern"
qualification in its report dated June 10, 2022, citing that the
Company has suffered recurring losses from operations and has a net
capital deficiency that raise substantial doubt about its ability
to continue as a going concern.
CABLE ONE: S&P Retains 'BB' Issuer Credit Rating
------------------------------------------------
S&P Global Ratings withdrew its issue-level ratings on Cable One
Inc.'s revolving credit facility, term loan B-2, and term loan B-3
at the issuer's request.
Cable One Inc. yesterday announced that it increased its revolving
credit facility by $500 million to $1 billion and extended the
maturity date to February 2028 from October 2025. In addition, the
company issued an incremental $150 million term loan B-3 and
extended the maturity of the existing facility to October 2029 from
October 2027. It then used proceeds from both the upsized revolver
and the upsized term loan B-3 to retire its term loan A, which
totaled $638 million in aggregate principal. The maturity of the
existing term loan B-2 was also extended to October 2029 from
October 2027.
S&P said, "We consider the transaction to be leverage neutral
because Cable One used the revolver proceeds to pay down the
existing term loan A. However, we view the transaction as modestly
favorable for the company's liquidity because it extended the
revolver's maturity. As such, our 'BB' issuer credit rating on
Cable One remains unchanged.
"Our 'BB+' issue-level rating on the company's term loan B-4
remains unchanged. To reflect the higher amount of secured debt in
its capital structure, we revised our recovery expectations for the
senior secured debt to 70% from 75%, which remains in the 70%-90%
recovery band for the '2' recovery rating. Our '5' recovery rating
on the senior unsecured debt is unchanged."
ESG credit indicators: E-2, S-2, G-2
CACHET FINANCIAL: Bancorp Bank's Bid to Withdraw Reference Denied
-----------------------------------------------------------------
In the case styled IN RE CACHET FINANCIAL SERVICES, a California
Corporation, Debtor/Plaintiff, v. THE BANCORP BANK, a
Delaware-Chartered Banking Institution, Defendant, Case No.
2:21-cv-08778-FLA, (C.D. Cal.), District Judge Fernando L.
Aenlle-Rocha for the Central District of California has issued an
order denying The Bancorp Bank's motion for an order withdrawing
reference of the underlying Adversary Proceeding from the
Bankruptcy Court.
Cachet Financial Services has requested the Court to take judicial
notice of various documents filed in the Bankruptcy Action, the
Adversary Proceeding, and Interpleader Action, as well as a recent
decision from this district. Citing the case titled Reyn's Pasta
Bella, LLC v. Visa USA, Inc., 442 F.3d 741, 746 n. 6 (9th Cir.
2006), the Court settles that "courts may take judicial notice of
court filings and other matters of public record." Accordingly, the
Court grants Cachet's requests for judicial notice with respect to
any document on which the court relies.
Meanwhile, in its motion, Bancorp argues that withdrawal is
mandatory, or in the alternative, that there is cause to support
permissive withdrawal. Bancorp argues its defense to Cachet's
claims "will require material consideration of a complex body of
law related to ACH transfers, banking regulations, and the safety
and soundness requirements for financial institutions."
The Court finds, however, that all of Cachet's claims against
Bancorp, aside from Cachet's objection to Bancorp's Proofs of
Claim, arise from state law. As such, Cachet does not affirmatively
assert any claims arising from non-title 11 federal law that would
require substantial interpretation of the non-title 11 statute.
The Court finds that Bancorp has failed to show that non-title 11
federal issues "require the interpretation, as opposed to mere
application, of the non-title 11 statute," or that the Bankruptcy
Court "must undertake analysis of significant open and unresolved
issues" regarding non-title 11 federal law. Accordingly, the Court
finds that mandatory withdrawal is not appropriate.
Cachet argues the Adversary Proceeding qualifies as a "core
proceeding" because its claims against Bancorp are "counterclaims
by the estate against persons filing claims against the estate." On
the other hand, Bancorp argues that even if Cachet's state-law
claims qualify as "counterclaims" under the statute, they should be
considered non-core as they "go far beyond any issues raised by
Bancorp's proof of claim with respect to Bancorp's claimed right to
indemnification under the ODFI Agreement."
The Court finds non-core issues do not predominate over core issues
in the Adversary Proceeding, and that considerations of (1)
judicial efficiency, delay, and costs to the parties and (2) the
uniformity of bankruptcy administration weigh against withdrawal.
Accordingly, the Court denies Bancorp's request for permissive
withdrawal.
A full-text copy of the Order dated Feb. 6, 2023, is available at
https://tinyurl.com/3mv937b2 from Leagle.com.
About Cachet Financial Services
Pasadena, Calif.-based Cachet Financial Services --
https://www.cachetservices.com/ -- provides Automated Clearing
House (ACH) processing services for payroll-related electronic
transactions, including direct deposits, tax payments, garnishment
payments, benefits payments, 401(k) payments, expense reimbursement
payments, agency checks, and fee collection.
Cachet Financial Services filed a Chapter11 petition (Bankr. C.D.
Cal. Case No. 20-10654) on Jan. 21, 2020. In the petition signed by
Aberash Asfaw, president, the Debtor was estimated to have $10
million to $50 million in both assets and liabilities.
The Honorable Vincent P. Zurzolo presides over the case.
The Debtor tapped Shulman Bastian LLP as its bankruptcy counsel,
Loeb & Loeb LLP as local counsel, and The Rosner Law Group LLC as
special counsel.
The Office of the U.S. Trustee appointed a committee of unsecured
creditors on March 17, 2020. The committee is represented by
Sheppard, Mullin, Richter & Hampton LLP.
CARE NEIGHBORHOOD: Unsecureds to be Paid in Full over 5 Years
-------------------------------------------------------------
Care Neighborhood Redevelopment Corporation filed with U.S.
Bankruptcy Court for the Southern District of Illinois a Disclosure
Statement with respect to Plan of Reorganization dated February 23,
2023.
The Debtor is an Illinois corporation formed for the purpose of
acquiring and developing real property in East St. Louis, Illinois.
The real property the Debtor acquired was to be redeveloped for
residential purposes.
In connection with the redevelopment, the Debtor sought and
obtained an agreement with the City of East St. Louis and St. Clair
County under which the Debtor's real property was subject to no
real estate tax for a period of 10 years and a fifty percent
reduction in real estate taxes for a further 10 years.
Initially, the City of East St. Louis and St. Clair County honored
the agreement concerning real estate taxes, but following a change
in administrations the City of East St. Louis would not honor the
agreement and, as a result, St. Clair County began taxing the
Debtor's real property as though no agreement existed.
The Debtor filed its Chapter 11 bankruptcy case on February 22,
2022, and it filed the Bankruptcy Case for the purpose of
restructuring its secured debts and to commence litigation
concerning its agreements with the City of East St. Louis and St.
Clair County.
In the Plan, the Debtor proposes to pay in full all allowed claims
over time. The Debtor believes that certain alleged secured claims
arising from unpaid real estate taxes will be disallowed. If those
claims are ultimately allowed, they will be paid over time. Holders
of unsecured claims will likewise be paid in full over time.
The Debtor will continue to operate its business in order to make
the payments required under the Plan. The Debtor believes that
those continued operations will provide sufficient cash flow to pay
operating expenses and make all payments required of it under the
Plan and those payments necessary to fund its post confirmation
secured obligations.
Class 1 consists of the secured claim of Walter and Lois Benton
evidenced by a contract for deed for the real property and
improvements at 1516 N. 43rd St., East St. Louis, Illinois, having
an approximate balance of $39,721.00. Class 1 is impaired. The
allowed claim in Class 1 will be paid in two different payment
streams. Following confirmation of the Plan, the Debtor will
recommence regular monthly payments on account of the secured claim
in Class 1. The arrearage on account of the claim in Class 1 will
be paid monthly over a period of 5 years.
Class 2 consists of the claims of Raven Securities and St Clair
Trustee in the aggregate sum of $53,500.00. The Debtor disputes
those claims, and will challenge them in this Court. Class 3 is
impaired. In the event the claims in Class 2 are ultimately
allowed, the Debtor will redeem the unpaid real estate taxes over a
period of 10 years with interest at 5% per annum. Those claims, if
allowed, will be paid monthly commencing 30 days following entry of
an order allowing those claims.
Class 3 consists of allowed general unsecured claims in the amount
of $9,563. Class 3 is impaired. Under the Plan, holders of
allowed claims in Class 3 will be paid in full, with interest at 4%
per annum over a period of 5 years. Payments will be made monthly
commencing 30 days following the effective date of the Plan.
Class 4 consists of allowed interests in the Debtor. Class 4 is
unimpaired. The holders of allowed interests in the Debtor will
retain those interests.
Within 30 days following the Effective Date, the Debtor will
commence litigation against the real estate tax claimants, the City
of East St. Louis, and St. Clair County seeking a declaration
concerning the Debtor's agreements with the City and County.
The Plan provides for continued operation of the Debtor's business
and properties. The Debtor believes its business operations will
generate sufficient revenue to make all payments required under the
Plan, including payments to unsecured creditors and payments on
account of secured claims.
A full-text copy of the Disclosure Statement dated February 23,
2023 is available at https://bit.ly/3ECByid from PacerMonitor.com
at no charge.
Counsel to the Debtor:
Steven M. Wallace, Esq.
Goldenberg Heller & Antognoli, P.C.
2227 South State Route 157
Edwardsville, Illinois 62925
Telephone: (618) 656-5150
Email: steven@ghalaw.com
About Care Neighborhood
Care Neighborhood Redevelopment Corporation is an Illinois
corporation formed for the purpose of acquiring and developing real
property in East St. Louis, Illinois.
Care Neighborhood Redevelopment filed a Chapter 11 petition (Bankr.
S.D. Ill. Case No. 22-30093) on Feb. 21, 2022. The Debtor is
represented by Steven M. Wallace, Esq. of GOLDENBERG HELLER &
ANTOGNOLI, P.C.
CAREERBUILDER LLC: Investcorp Credit Marks $8M Loan at 31% Off
--------------------------------------------------------------
Investcorp Credit Management BDC, Inc has marked its $8,041,805
loan extended to CareerBuilder LLC to market at $5,548,848 or 69%
of the outstanding amount, as of December 31, 2022, according to a
disclosure contained in Investcorp Credit's Form 10-Q for the
quarterly period ended December 31, 2022, filed with the Securities
and Exchange Commission on February 13, 2023.
Investcorp Credit is a participant in a Senior Secured First Lien
Loan to CareerBuilder LLC. The loan accrues interest at a rate of
3M L + 6.75% (1.00% Floor) per annum. The loan matures on July 31,
2023.
Investcorp Credit Management BDC, Inc, a Maryland corporation
formed in May 2013, is a closed-end, externally managed,
non-diversified management investment company that has elected to
be regulated as a business development company under the Investment
Company Act of 1940, as amended, and has elected to be treated as a
regulated investment company under Subchapter M of the Internal
Revenue Code for U.S. federal income tax purposes.
CareerBuilder operates an online job portal. The Company offers job
postings, standard job optimization, employment recommendation
e-mails, branding, talent and compensation intelligence, and
recruitment services.
CARLA'S PASTA: Summary Judgment on Mechanic's Lien Issues Denied
----------------------------------------------------------------
In the adversary proceeding entitled IN RE: OLD CP, INC., et al.,
Chapter 11, Debtors. THE DENNIS ENGINEERING GROUP, LLC, Plaintiff,
v. PEOPLE'S UNITED BANK, N.A. and BMO HARRIS BANK, N.A.,
Defendants, Case No. 21-20111 (JJT), Jointly Administered, Adv.
Pro. Case No. 21-02004 (JJT), (Bankr. D. Conn.), Bankruptcy Judge
James J. Tancredi has issued a decision and ruling on the Lender's
motion for partial summary judgment and Dennis Group's cross-motion
for partial summary judgment.
Before the Court are two dueling motions for partial summary
judgment -- one filed by People's United Bank, N.A. and BMO Harris
Bank, N.A. (the "Lenders") and the other one filed by The Dennis
Engineering Group, LLC. Dennis Group and the Lenders each seek
various declaratory judgment rulings as to the validity and scope
of Dennis Group's Certificate of Mechanic's Lien.
On June 6, 2017, Suri Realty, LLC hired Dennis Group to provide
certain services necessary to expand its food production facility
pursuant to the terms of that certain Agreement for Engineering and
Construction Management Services. Suri was the owner of the
Properties, whereas its affiliate, Carla's Pasta, Inc. was a
separate legal entity that operated a pasta manufacturing facility
within the Properties.
The dispute between the Parties centers around their claimed
entitlement to approximately $24.89 million of proceeds generated
from the judicial sale of certain properties in the Debtors' --
Carla's Pasta together with Suri -- main bankruptcy case.
To protect its rights to the Proceeds, Dennis Group filed a
Complaint against the Lenders. Among other claims for relief,
Dennis Group seeks to determine the extent and validity of the
Lenders' Mortgage against the Proceeds and a declaratory judgment
that its Mechanic's Lien is senior in priority to the Lenders'
Mortgage, such that Dennis Group would be entitled to the Proceeds
from the sale of the Properties.
In response, the Lenders raised several affirmative defenses and
pled various counterclaims. In particular, the Lenders asserted
that Dennis Group's Mechanic's Lien is fully subordinate in
priority to the Lenders' Mortgage. At the heart of the Lenders'
Motion is their contention that, because Dennis Group filed its
Mechanic's Lien on December 23, 2019, more than ninety days after
completion of the Expansion Project in August 2019, the Mechanic's
Lien is untimely and invalid.
The Parties vehemently dispute whether Dennis Group unreasonably
delayed the Expansion Project and paint vastly different pictures
of the Nature of Dennis Group's activities after August 2019.
Firstly, the Lenders underscore that Dennis Group was issuing
invoices to the Debtors through October 2020, almost a year after
the Mechanic's Lien was filed. Secondly, the Lenders further assert
that Dennis Group unreasonably delayed final completion of the
Expansion Project.
The Court finds that each of these disputes constitutes a genuine
dispute of material fact that precludes a legal finding as to
whether the Expansion Project was complete upon its substantial or
final completion. As such, the Court must withhold summary judgment
as to the Lender's concerns pending resolution at trial.
.
The Lenders also dispute the lienability of $83,759 in legal fees
charged by Dennis Group's attorneys. In apparent recognition that
legal fees are non-lienable, Dennis Group has stated that these
legal fees were not included in the Mechanic's Lien, which the
Lenders do not dispute in their Reply. Finally, the Lenders dispute
the lienability of invoices totaling $541,494 for work performed
after the Mechanic's Lien was filed. Dennis Group posits that
post-lien attorney's fees and interest can be rewarded in a
foreclosure action -- as such, principal balances incurred
post-filing should be equally secured. To the contrary, the plain
language of Connecticut law requires that a lienor file a
mechanic's lien "within ninety days after [ceasing]" his work.
Consequently, the Court grants summary judgment in favor of the
Lenders on these issues.
A full-text copy of the Second Memorandum of Decision and Ruling
dated Feb. 7, 2023, is available at https://tinyurl.com/4zeu34su
from Leagle.com.
About Carla's Pasta and Suri Realty
Carla's Pasta Inc. is a family-owned and operated business
headquartered in South Windsor, Conn. It manufactures food
products including pasta sheets, tortellini, ravioli, and steam bag
meals for branded and private label retail, foodservice
distributors, and restaurant. Founded in 1978 by Carla Squatrito,
Carla's Pasta's stock is held by members of the Squatrito family.
On Dec. 31, 2016, Carla's Pasta acquired 100% of Suri Realty, LLC's
membership interests. Suri's business is limited to the ownership
of two adjoining parcels of real property located at 50 Talbot Lane
and 280 Nut, meg Road, South Windsor, Conn.
Carla's Pasta operates its business from an approximately the
150,000-square-foot BRC+ certified production facility.
On Oct. 29, 2020, an involuntary petition for relief under Chapter
7 of the Bankruptcy Code was filed against Suri by Dennis Group, HJ
Norris, LLC, Renaissance Builders, Inc., and Elm Electrical, Inc.
On Dec. 17, the Court approved Suri's request and converted the
involuntary Chapter 7 case to one under Chapter 11.
Carla's Pasta filed a Chapter 11 petition (Bankr. D. Conn. Case No.
21-20111) on Feb. 8, 2021. It estimated assets of $10 million to
$50 million and liabilities of $50 million to $100 million.
The cases are jointly administered under Case No. 21-20111. Judge
James J. Tancredi oversees the cases.
The Debtors tapped Locke Lord LLP as their legal counsel, Verdolino
& Lowey, PC as accountant, Cowen & Co. as investment banker, and
Novo Advisors, LLC as financial advisor. Sandeep Gupta of Novo
Advisors is the Debtors' chief restructuring officer.
CBC RESTAURANT: Court OKs Cash Collateral Access Thru March 3
-------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware authorized
CBC Restaurant Corp. and its debtor-affiliates to use cash
collateral on an interim basis, through March 3, 2023.
The Debtors are authorized to use cash collateral for the limited
purpose of funding up to $2.4 million to pay its regular payroll
due on February 23, 2023, and make certain payments to essential
postpetition food vendors in the amount of up to $1 million with
respect to postpetition food orders and deliveries, subject to
proof of usage being provided to SSCP Restaurant Investors LLC.
Cash collateral access will be limited to the aggregate amount of
not more than $3.4 million pursuant to the terms of the Interim
Order.
In their request, the Debtors sought Court permission to use up to
$5.4 million of cash collateral on a limited, short-term basis.
Pursuant to the Credit and Guaranty Agreement, dated as of November
10, 2017 by and among CBC Restaurant Corp., a Delaware corporation,
Corner Bakery Holding Company, a Delaware corporation, and certain
subsidiaries of the Company, as Guarantors, the Lenders party
thereto from time to time and SSCP Restaurant Investors, LLC as the
successor by assignment from Goldman Sachs Specialty Lending Group,
L.P., as Administrative Agent and Collateral Agent, the Lenders
agreed to extend credit facilities in an aggregate amount not to
exceed $177.5 million, consisting of $155 million aggregate amount
of Tranche A Term Loans, and $22.5 million aggregate principal
amount of Revolving Commitments, subject to a $9.5 million sublimit
for Revolving Loans and a $13 million sublimit for Letters of
Credit.
Certain Credit Parties also entered into a Pledge and Security
Agreement dated as of November 10, 2017, as amended or otherwise
modified from time to time, including the Pledge Supplement dated
September 30, 2019, and a Trademark Security Agreement, also dated
as of November 10, 2017, granted in connection with the Credit
Facility.
As of the Petition Date, the amount allegedly due under the Credit
Agreement (and disputed by the Debtors) is approximately $33.8
million.
SSCP asserts that pursuant to the Prepetition Agreements, as of the
Petition Date, the Credit Parties owed SSCP not less than $42.5
million. SSCP further asserts that certain monetary and
non-monetary defaults existed as of the Petition Date pursuant to
the Prepetition Agreements, which had not been cured as of the
Petition Date.
The Debtors are in the process of investigating the validity of
SSCP's prepetition liens, reviewing their books and records, and
reconciling all amounts paid and owing under the Credit Facility.
As adequate protection, SSCP is granted replacement liens and
security interests in an amount not to exceed the Debtors' Cash
Collateral Usage in all accounts and inventory acquired by the
Debtors after the Petition Date.
The Adequate Protection Liens will be valid, perfected, enforceable
and effective against the Debtors, their successors and assigns,
including any trustee or receiver in this or any superseding
chapter 7 case, without any further action by Debtors or SSCP and
without the execution, delivery, filing or recordation of any
promissory notes, financing statements, security agreements or
other documents.
These events constitute an "Event of Default":
a. Any material failure to comply with the terms of the
Interim Order;
b. If a second interim order granting the continued use of
SSCP's cash collateral by the Debtors or approving postpetition
financing is not approved by the Court and entered on or before
March 3, 2023 or such later date as is agreed to in writing by the
Debtors and SSCP;
c. If any representation made by the Debtors after the
commencement of the Chapter 11 case in any report or financial
statement delivered to SSCP proves to have been false or misleading
in any material respect as of the time when made or given;
d. The Debtors (or any of them) fail to provide SSCP any
reports or accounting information when due or access to its books
and records within a reasonable time after such access is
requested. If a trustee or examiner, with authority to affect the
operation of the business of the Debtors (or any of them) is
appointed in the chapter 11 proceedings without the consent of
SSCP;
e. If the bankruptcy cases of the Debtors (or any of them)
are converted to a case under chapter 7; or
f. If the bankruptcy cases of the Debtors (or any of them)
are dismissed.
A copy of the motion is available at https://bit.ly/3kpC3W9 from
PacerMonitor.com.
A further interim hearing on the matter is set for March 3, 2023 at
1 p.m.
About CBC Restaurant Corp.
CBC Restaurant Corp. and its affiliates operate and franchise
quick-casual eateries under the name Corner Bakery Cafe. The
Debtors sought protection under Chapter 11 of the U.S. Bankruptcy
Code (Bankr. D. Del. Lead Case No. 23-10245) on February 22, 2023.
In the petition signed by Jignesh Pandya, CEO and COO, the Debtor
disclosed up to $50 million in both assets and liabilities.
Judge Karen B. Owens oversees the case.
The Debtors tapped Mette H. Kurth, Esq., at Culhane Meadows PLLC as
legal counsel, Hilco Trading LLC d/b/a Hilco Global as financial
advisor and investment banker, and Kurtzman Carson Consultants LLC
as notice, claims, balloting agent, and administrative advisor.
CHICK LUMBER: Seeks Cash Collateral Access Thru June 30
-------------------------------------------------------
Chick Lumber, Inc. asks the U.S. Bankruptcy Court for the District
of New Hampshire for authority to use up to $1,953,776 of cash
collateral to pay post-petition costs and expenses incurred in the
ordinary course of business to the extent provided for in the
budget during the period between April 1 to June 30, 2023.
Based on a UCC Lien Report and the Debtor's books of account and
business records, the Debtor concluded preliminarily that only BFG
Corporation and Amex Bank hold or may hold a lien on or interest in
the cash collateral.
As adequate protection, the Debtor will make these monthly adequate
protection payments on or before the last day of each month during
the Use Term:
$481.70 to Jeldwen, Inc.;
$24.66 to BFG Corporation (H2H NC Paint Tinter);
$37.83 to GreatAmerica Financial Services Corp.;
$0.00 to Citizens One Auto Finance;
$226.60 to Citizens One Auto Finance;
$211.94 to Citizens One Auto Finance;
$39.52 to Wells Fargo Equipment Finance, Inc. - Forklift;
$63.25 to Wells Fargo Equipment Finance, Inc. Moffett
Machine;
$82.22 to Hitachi Capital Financial; and
$1,197.93 to an Escrow account for Citizens Financial Group,
Inc. and American Express Bank, FSB.
The Debtor noted that it has satisfied the claim secured by the
Record Lien held by Ford Motor Credit during January 2022.
The Debtor will grant all Record Lienholders with valid, binding,
enforceable and automatically perfected liens on the Debtor's
postpetition property of the same kinds, types and description in,
to and on which a Record Lienholder held valid and enforceable,
perfected liens on the Petition Date, which will have and enjoy the
same priority as such liens had under applicable state law on the
Petition Date.
The Debtor will:
i. pay real and property insurance invoices on insurance
policies on property of the estate as and when shown on the
Budget;
ii. provide to all Record Lienholders certificates of property
and casualty insurance in amounts not less than the lesser of: (a)
the reasonable replacement value of each property and all of them
in aggregate; or (b) the current fair market value of each
property; such certificates of insurance will name the Record
Lienholders as loss payees and will provide that the insurance
company will use its best effort to give a loss payee at least
fourteen days' notice of the cancellation or prospective
cancellation of such a policy to each loss payee;
iii. timely file its monthly operating reports.
The Proposed Order includes a "winding down" proviso under which
the Court reserves the right to enter further orders as may be
necessary regarding the use of cash collateral to provide for
payment of any administrative claims for wage and trade creditors
who have supplied goods or services to the Debtor during the period
of operation under the order which remain unpaid at the time of
termination of authorized cash collateral usage, and which goods or
services have created additional collateral for the secured
claimant.
A copy of the motion is available at https://bit.ly/3XTT8oY from
PacerMonitor.com.
A copy of the January to March 2023 budget is available at
https://bit.ly/3U27v8s from PacerMonitor.com.
A copy of the April to June 2023 budget is available at
https://bit.ly/3EIosjw from PacerMonitor.com.
The budget provides for total cash out, on a monthly basis, as
follows:
$619,597 for March 2023;
$538,000 for April 2023;
$682,000 for May 2023; and
$720,000 for June 2023.
About Chick Lumber
Chick Lumber, Inc. -- https://www.chicklumber.com/ -- is a dealer
of lumber, plywood, steel beams, engineered wood, trusses, steel
and asphalt roofing, windows, doors, siding, trim, stair parts, and
finish materials. It also offers drafting and design, installation,
delivery, outside sales, and plan reading and estimating services.
The Debtor sought Chapter 11 protection (Bankr. D.N.H. Case No.
19-11252) on Sept. 9, 2019, in Concord. In the petition signed by
Salvatore Massa, president, the Debtor disclosed between $1 million
and $10 million in both assets and liabilities.
Judge Bruce A. Harwood oversees the case.
William S. Gannon PLLC is the Debtor's legal counsel.
The Office of the U.S. Trustee appointed a committee of unsecured
creditors on Oct. 3, 2019. The Committee is represented by
Goldstein & McClintock, LLLP as its legal counsel.
CLOVIS ONCOLOGY: Seeks $5MM Additional DIP Loan from TOP IV
-----------------------------------------------------------
Clovis Oncology, Inc. asks the U.S. Bankruptcy Court for the
District of Delaware for authority to obtain additional DIP
financing in the form of Incremental DIP Loans of up to $5.167
million from Top IV Talents, but only if it proves necessary to
complete a wind-down of Rubraca.
The Debtors want to remain prepared for the downside scenario (as
unlikely as it may be) given the unique nature of their business.
The Additional Financing is in essence a backstop to guarantee the
Debtors will have sufficient funds to conduct a proper wind-down
while allowing the sales process to continue without jeopardizing
the health and care of cancer patients in the event of a future
potential wind-down.
Under certain U.S. and European regulations and other contractual
compliance obligations, the Debtors must transition all commercial
and clinical patients off of Rubraca before they can withdraw their
rucaparib New Drug Application (NDA) in the US or the Marketing
Authorization Applications in Europe. The Debtors and their
non-Debtor affiliates would need to notify health care providers,
patients, pharmacies, vendors, and government entities that Rubraca
will no longer be available to treat clinical and commercial
patients.
According to the Debtor, the process alone to shut down ongoing
clinical studies and commercial activities could take up to three
or four months to complete. Only after this step could the Debtors
withdraw the Rubraca Investigational New Drug applications and
Supplemental New Drug Application, and the Debtors would be
required to provide regulatory and pharmacovigilance support during
this time. Importantly, the Debtors would need to employ sufficient
personnel throughout this process to effectuate these necessary
wind-down activities across their global operations.
The Debtors have received interest from potential third party
buyers with promising initial bids for Rubraca, as well as
potential interest from the prepetition lenders regarding a
potential credit bid in connection with a Rubraca Sale. Thus, the
Debtors have determined that it is in the best interests of their
estates to continue the Rubraca sale process, rather than commence
a wind-down of Rubraca at this time. While the Debtors are
encouraged about the prospects of a potential Rubraca Sale, they do
not yet have a stalking horse or other binding commitment from any
prospective buyer, and -- with the Rubraca bid deadline stretching
out until March 21, 2023 -- need to ensure they have sufficient
liquidity to fund an orderly wind-down if not commenced
immediately.
On January 24, 2023, the Court entered a final order approving the
Original DIP Motion. Pursuant to the Final DIP Order, the Court
approved a secured superpriority debtor-in-possession credit
facility in an aggregate principal amount not to exceed $75 million
under the Secured Superpriority Debtor-in-Possession Financing
Agreement, dated as of January 6, 2023, by and among Clovis as
borrower, Debtors Clovis Oncology UK Limited and Clovis Oncology
Ireland Limited, as guarantors, the lenders from time to time party
thereto and TOP IV Talents, LLC as administrative agent for the DIP
Lenders.
In order to obtain the Additional Financing, the Debtors seek the
Court's authorization to enter into, and approval of, the
Incremental DIP Facility Commitment Letter, dated as of February
21, 2023, with the DIP Lenders and any other necessary
documentation related thereto. The Commitment Letter sets forth a
commitment from the DIP Lenders to provide Additional Financing in
the total principal amount of $5.167 million substantially similar
terms as the DIP Credit Agreement.
The Debtors cannot draw on the Incremental DIP Facility before
March 15, 2023, and if they draw on the Incremental DIP Facility
before April 15, 2023, a limited amount of $2.012 million (of the
full $5.167 million) will be available; any additional borrowing
above this amount is not available until after April 15, 2023.
Further, the maximum amount of Additional Financing which may be
borrowed shall not exceed the amount necessary to finance (net of
available cash) the wind-down of Rubraca in accordance with the
Agreed Rubraca WindDown Budget. Therefore, the Incremental DIP
Facility is designed as a "rainy day" fund, only to be used if the
Debtors find themselves in a situation where they require
additional funds to properly wind-down Rubraca.
Among other things, the DIP Credit Agreement permits the Debtors to
commence the wind-down of Rubraca at any time after February 16,
2023, depending on the status of the Rubraca sale process and the
DIP Lenders' willingness to provide additional financing to
increase the runway to pursue a Rubraca Sale.
A copy of the motion is available at https://bit.ly/3kpxjjv from
PacerMonitor.com.
About Clovis Oncology
Clovis Oncology, Inc. is an American pharmaceutical company, which
mainly markets products for treatment in oncology. The company is
based in Boulder, Colo. Clovis Oncology and its affiliates sought
protection under Chapter 11 of the U.S. Bankruptcy Code (Bank. D.
Del. Lead Case No. 22-11292) on Dec. 11, 2022. In the petition
signed by Paul E. Gross, executive vice president and general
counsel, Clovis Oncology disclosed $319,164,834 in assets and
$754,564,457 in liabilities.
Judge J. Kate Stickles oversees the cases.
The Debtors tapped Morris Nichols Arsht and Tunnell, LLLP and
Wilkie Farr & Gallagher, LLP as bankruptcy counsels; AlixPartners,
LLP as financial advisor; Perella Weinberg Partners, LP as
investment banker; and Kroll Restructuring Administration, LLC as
claims, noticing, and solicitation agent.
The U.S. Trustee for Region 3 appointed an official committee of
unsecured creditors in the Debtors' cases. The committee tapped
Morrison & Foerster, LLP as lead bankruptcy counsel; Potter
Anderson & Corroon, LLP as Delaware counsel; Alvarez & Marsal North
America, LLC as financial advisor; and Jefferies, LLC as investment
banker.
CONSTELLATION RENEWABLES: Moody's Affirms Ba3 Secured Debt Rating
-----------------------------------------------------------------
Moody's Investors Service affirmed Constellation Renewables, LLC's
(CR) Ba3 rating on its senior secured term loan and changed the
outlook to positive from stable.
Affirmations:
Issuer: Constellation Renewables, LLC
Senior Secured Bank Credit Facility, Affirmed Ba3
Outlook Actions:
Issuer: Constellation Renewables, LLC
Outlook, Changed To Positive From Stable
RATINGS RATIONALE
CR's Ba3 rating affirmation and change in outlook to positive from
stable reflects the borrower's steady financial performance with
debt reduction generally around the original Moody's Case. As of
the last twelve months ending September 2022, CR had consolidated
Project CFO to Debt of 7.6%, debt service coverage ratio of 1.43x
and holding company level debt of around $692 million, which is
right around the original Moody's Case expectations. CR's financial
performance is supported by its broad portfolio of renewable solar
and wind projects that have long term contracts with mostly load
serving utilities and cooperatives that underpins the issuer's
credit quality. These long term contracts provide for fixed power
prices, have an estimated weighted average remaining contract life
of more than 13 years and represent more than 95% of the total
revenues through debt maturity. Additionally, geographic and
resource diversity of the borrower's assets serve to substantially
reduce overall power generation uncertainty, which is typically one
of the major risks for renewable power projects.
The positive outlook for CR also considers the improved credit
profile of Pacific Gas & Electric Company (PG&E), a subsidiary of
PG&E Corporation (Ba2 corporate family rating: positive), whose
ratings were affirmed and outlook revised to positive from stable
on February 8, 2023. PG&E is the sole offtaker for the AV Solar
Ranch 1, LLC (AVSR) project that provides around half of CR's total
dividends and represents nearly all of CR's distributions from
contracted cash flows after 2032.
CR's rating affirmation also considers ownership by a strategic
sponsor, use of mostly proven technology, a long operating history,
and project finance holding company features. Key lender
protections at CR include a cash funded six-month debt service
reserve, a 75% excess cash sweep, and collateral in the borrower's
assets comprising mainly of stock of subsidiaries. The borrower's
liquidity is further supported by a $25 million liquidity reserve
that can be replenished, if used, at CR's option.
CR's credit profile also reflects the holding company loan's
structural subordination to operating company debt or tax equity
across most assets and its high consolidated leverage that leads to
relatively low consolidated cash flow ratios and refinancing risk.
Additionally, a minority of projects utilize turbines made by
Suzlon, Senivon, and Clipper that have led to operating issues. In
2021, CR took an almost $44 million pre tax impairment charge at
the Criterion plant due to significant long term operational
issues. Moody's understand CR will seek to remediate the affected
70 MW Criterion plan in a credit supportive manner.
RATING OUTLOOK
CR's positive outlook reflects Moody's expectation of holding
company debt service coverage ratio (DSCR) averaging above 2.0x,
expectations for continued debt reduction at least according to the
original Moody's Case, and the positive outlook on PG&E.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING
Factors that could lead to an upgrade
CR's rating could improve if its debt reduction at the CR level
continues at least according to the original Moody's Case or if
PG&E's credit profile continues to improve.
Factors that could lead to a downgrade
Consolidated DSCR drops materially below 1.30x, consolidated
Project CFO to Debt drops below 5% or Debt to EBITDA exceeds well
over 9x on a sustained basis
AVSR or a substantial portion of the portfolio incurs major
operational problems
The borrower is unable to receive a material portion of its
dividends from its underlying projects or holdco DSCR drops well
below 2.0x on a sustained basis
Substantial credit deterioration of major project level offtakers
including PG&E
Debt reduction is less than expected
Profile
Constellation Renewables, LLC (CR, formerly known as ExGen
Renewables IV, LLC), a holding company, indirectly owns around a
962 MW (net ownership adjusted) portfolio of 29 operating solar and
wind power projects spread over 14 states. The projects reached
commercial operations from 2007 through 2016 and most of the assets
have operating company level debt while a few others have tax
equity financings. Approximately half of CR's dividends flow
through Constellation Renewables Partners, LLC (CRP, formerly known
as ExGen Renewable Partners, LLC), a joint venture with an
affiliate of Axium Infrastructure. Constellation Energy Generation
LLC's (CEG: Baa2 stable) (formerly known as Exelon Generation
Company), a subsidiary of Constellation Energy Corporation (CEC),
indirectly owns 100% of CR.
The principal methodology used in this rating was Power Generation
Projects Methodology published in January 2022.
CONVERGEONE INC: Oaktree Specialty Marks $11.8M Loan at 41% Off
---------------------------------------------------------------
Oaktree Specialty Lending Corporation has marked its $11,882,000
loan extended to ConvergeOne Holdings ,Inc to market at $6,963,000
or 59% of the outstanding amount, as of December 31, 2022,
according to a disclosure contained in Oaktree Specialty's Form
10-Q for the quarterly period ended December 31, 2022, filed with
the Securities and Exchange Commission on February 7, 2023.
Oaktree Specialty is a participant in a First Lien Term Loan to
ConvergeOne Holdings, Inc. The loans accrues 9.38% (LIBOR+5.00%)
per annum. The loan matures on January 4, 2026.
Oaktree Specialty Lending Corporation is a specialty finance
company that looks to provide customized, one-stop credit solutions
to companies with limited access to public or syndicated capital
markets. Oaktree Specialty was formed in late 2007 and operates as
a closed-end, externally managed, non-diversified management
Investment Company that has elected to be regulated as a Business
Development Company under the Investment Company Act.
ConvergeOne Holdings, Inc. operates as a holding company. The
Company, through its subsidiaries, provides managed cloud, cyber
security, enterprises networking, data center, application and
software development, security infrastructure, and hosted
collaboration solutions.โ
CORNELL WEST 34: Marathon CRE's Foreclosure Case Remanded
---------------------------------------------------------
In the civil case captioned Marathon CRE 2018-FL1 Issuer, Ltd.,
Plaintiff, v. 257-263 W 34th Street LLC; Sorabh Maheshwari; Justin
Ehrlich; Chaim Lebowitz; Issac Laufer; Sukenik, Segal & Graff,
P.C.; E&W Wholesale Electrical Inc.; and John Does 1-100,
Defendants, Case No. 22 Civ. 1991 (KPF), (S.D.N.Y.), District Judge
Katherine Polk Failla grants the motions, filed by Marathon CRE
2018-FL1 Issuer, Ltd., to amend the Complaint and to remand this
action to New York Supreme Court.
Marathon CRE 2018-FL1 Issuer, Ltd., commenced this commercial
foreclosure action in the New York Supreme Court against Defendant
257-263 W 34th Street LLC (Borrower) and Defendants Sorabh
Maheshwari, Justin Erlich, Chaim Lebowitz, and Issac Laufer
(Guarantor Defendants). Following six months of proceedings in
state court, the Defendants removed the case to the New York
District Court, pursuant to its diversity jurisdiction.
However, months prior to that removal, Marathon had assigned its
interests in various mortgages and accompanying security documents
to a non-diverse entity -- 263 W 34th Street Lender, LLC (Lender).
Indeed, Marathon's motion to substitute that entity as the
Plaintiff in the state case was still pending at the time of
removal.
Following the completion of briefing on Marathon's motion to amend
and remand, non-party Cornell West 34 Holder LLC (Debtor) filed a
notice of bankruptcy on the docket of this case. In this notice,
the Debtor explained that it is the owner of 15.03% of 257-263 W
34th Street JV LLC, which entity owns 100% of the equity in 257-263
W 34th Mezz LLC, which entity owns 99.99% of 257-263 W 34th Street
LLC, which entity owns the subject Property. In response to the
Court's Order, the Debtor filed a letter to the Court, explaining
that it intended to file a motion to intervene in this case under
Federal Rule of Civil Procedure 24, with an eye toward removing the
action to bankruptcy court.
Given the Debtor's bankruptcy, there are also potential questions
about the applicability of the automatic stay. Because Marathon's
motion to amend and to remand concerns jurisdictional issues, and
because consideration of a motion to remand would not constitute a
"continuation" of an action for purposes of the automatic stay, the
Court first considers the motion to amend and to remand.
The factual record before the Court indicates that all of the
Mortgage Loan Documents, including the notes, were assigned to the
Lender on Nov. 18, 2021 -- prior to the state court summary
judgment briefing. The Court observes that all of the relevant
interests and notes related to this foreclosure action appear to
have been assigned to Lender at that time. Indeed, the Court
understands that Marathon's attempt to substitute Lender as the
Plaintiff during the state court component of this action was
precipitated by the November 2021 assignment.
Because the only "competent proof" in this case demonstrates that
the Lender held all of the Mortgage Loan Documents at and for
several months prior to the time of removal, the Court concludes
that the Lender was an indispensable party when this case was
removed. Indeed, in the absence of Lender to this action,
Marathon's sought-after relief -- foreclosure -- would be
impossible, and this fact was equally true prior to the time of
removal. Accordingly, the Court grants Marathon leave to amend the
Complaint to substitute Lender as the proper Plaintiff in this
action.
The Complaint does not state that Marathon is a citizen of New
York. Instead, it states that "Marathon is a company incorporated
in the Cayman Islands with limited liability, with an office
located at One Bryant Park, 38th Floor, New York, New York 10036."
Marathon did not state that its principal place of business is New
York.
The Court finds that Marathon's misrepresentation regarding its New
York office does not rise to the level of a "fraudulent" statement
regarding citizenship. However, the facts of this case compel the
Court to remand the matter back to state court for lack of subject
matter jurisdiction, given its grant of Marathon's unopposed
application to amend the Complaint to substitute the Lender (a
non-diverse, New York citizen) -- as the Plaintiff in this action.
A full-text copy of the Opinion and Order dated Feb. 7, 2023, is
available at https://tinyurl.com/y5v8f8cj from Leagle.com.
About Cornell West 34 Holder
Cornell West 34 Holder, LLC is engaged in activities related to
real estate. It is a Brooklyn-based holding company whose sole
asset is its ownership of 15.03% of 257-263 W 34th Street JV LLC.
JV's sole asset is its ownership of 100% of the equity in 257-263 W
34th Mezz LLC. Mezz's sole asset is its ownership of 99.99% of
257-263 W 34th Street LLC. 257-263 W 34th Street's sole asset is
the real property located at 257-263 W 34th Street in Midtown
Manhattan improved by a commercial building.
Cornell West 34 Holder filed for Chapter 11 protection (Bankr.
E.D.N.Y. Case No. 22-41888) on Aug. 3, 2022. In the petition filed
by its manager, David Goldwasser, the Debtor reported $1 million to
$10 million in both assets and liabilities.
Judge Elizabeth S. Stong oversees the case.
Goldberg Weprin Finkel Goldstein, LLP, is the Debtor's counsel.
CORSAMI GROUP: Seeks to Hire Paul Reece Marr as Counsel
-------------------------------------------------------
Corsami Group, LLC seeks approval from the U.S. Bankruptcy Court
for the Northern District of Georgia to employ Paul Reece Marr,
P.C. to handle its Chapter 11 case.
Paul Reece Marr, Esq., the firm's attorney, will be paid $425 per
hour for his services while paralegals will be paid $195 per hour.
In addition, the firm will receive reimbursement for out-of-pocket
expenses incurred.
Mr. Marr 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:
Paul Reece Marr, Esq.
Paul Reece Marr, P.C.
6075 Barfield Road Suite 213
Sandy Springs, GA 30328
Tel: (770) 984-2255
Email: paul.marr@marrlegal.com
About Corsami Group
Corsami Group, LLC, a company in Suwanee, Ga., filed its voluntary
petition for Chapter 11 protection (Bankr. N.D. Ga. Case No.
23-50863) on Jan. 27, 2023, with as much as $1 million to $10
million in both assets and liabilities. Senei Perez, Corsami
Group's manager, signed the petition.
Judge Wendy L. Hagenau oversees the case.
Paul Reece Marr, P.C. serves as the Debtor's legal counsel.
COTTON WEAVE: Seeks to Hire Carrington as Legal Counsel
-------------------------------------------------------
Cotton Weave Estates, LLC seeks approval from the U.S. Bankruptcy
Court for the Eastern District of Texas to employ Carrington,
Coleman, Sloman& Blumenthal, LLP as its legal counsel.
The firm's services include:
a) advising the Debtor concerning its powers and duties in the
continued operations of its business and management of its
property;
b) acting to help protect, preserve and maximize the value of
the Debtor's estate, including the sale and liquidation of assets
outside the ordinary course of business, if prudent and advisable;
c) preparing legal papers, including a Chapter 11 plan,
disclosure statement and related documents; and
d) other necessary legal services related to the Debtor's
Chapter 11 case.
The firm will be paid at these rates:
Attorneys $375 to $950 per hour
Paraprofessionals $290 to $315 per hour
Legal Secretaries $150 per hour
In addition, the firm will receive reimbursement for out-of-pocket
expenses incurred.
The retainer fee is $17,500.
Mark Castillo, Esq., a partner at Carrington, disclosed in a court
filing that his firm is a "disinterested person" as the term is
defined in Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
Mark A. Castillo, Esq.
Robert C. Rowe, Esq.
Carrington, Coleman, Sloman& Blumenthal, LLP
901 Main Street, Suite 5500
Dallas, TX 75202
Telephone: (214) 855-3000
Facsimile: (214) 580-2641
Email: markcastillo@ccsb.com
rrowe@ccsb.com
About Cotton Weave Estates
Cotton Weave Estates, LLC is a company in Wylie Texas, which
operates in the residential building construction industry.
Cotton Weave Estates filed its voluntary petition for Chapter 11
protection (Bankr. E.D. Texas Case No. 23-40030) on Jan. 2, 2023,
with $1 million to $10 million in both assets and liabilities. Ryan
Cole, chief executive officer of Cotton Weave Estates, signed the
petition.
Judge Brenda T. Rhoades oversees the case.
Carrington, Coleman, Sloman& Blumenthal, LLP is the Debtor's legal
counsel.
CPC ACQUISITION: $225M Bank Debt Trades at 40% Discount
-------------------------------------------------------
Participations in a syndicated loan under which Cpc Acquisition
Corp is a borrower were trading in the secondary market around 59.9
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The $225 million facility is a Term loan that is scheduled to
mature on December 29, 2028. The amount is fully drawn and
outstanding.
CPC Acquisition Corp is in the chemicals industry.
CRANE MAN: Unsecureds' Recovery Lowered to 13.5% of Claims in Plan
------------------------------------------------------------------
Crane Man, Inc., submitted an Amended Small Business Plan of
Reorganization dated February 23, 2023.
This Plan of Reorganization proposes to pay creditors of the Debtor
from cash flow from operations and future income.
This Plan provides for three classes of secured claims, one class
of priority unsecured claims and one class of general unsecured
claims. Unsecured creditors holding allowed claims will receive
distributions, which the proponent of this Plan has at 13.5 cents
on the dollar.
This Plan also provides for the payment of administrative and
priority claims to the extent permitted by the Code in 60
installments.
Class 2 consists of the Secured Claim of Truist. The Debtor will
pay Truist pursuant to the agreement reached by the parties
consisting of (i) payments in the amount of $1,952.21 starting
April 1, 2023 and payable on the 1st day of each month thereafter
up through and including March 1, 2028, based upon a principal
balance of $171,014.58 amortized over an eleven-year term at 8%
interest and (ii) increased payments in the amount of $2,652.21
beginning on April 1, 2028, and payable on the 1st day of each
month thereafter through and including May 1, 2032, at which time
Truist shall be paid in full.
The principals of the Debtor have personally guaranteed the Truist
loans. Truist will stay all collection actions against the Debtor's
principals, Stephen and Joyce Clegg, so long as plan payments are
timely made to Truist. In the event of a default under the Plan and
failure to timely cure by the Debtor, Truist shall be immediately
permitted to exercise its rights against Stephen and Joyce Clegg.
Debtor shall continue to made adequate protection payments pursuant
to that certain Stipulation and Order (i) Authorizing Use of Cash
Collateral; and (ii) Granting Adequate Protection until
commencement of Plan payments.
Class 5 consists of all unsecured claims including both SBA loans.
The Plan will pay unsecured creditors $700.00 a month distributed
pro rata on a quarterly basis for a total payout to allowed
unsecured creditor claims of $42,000.00 or about 13.5% pay-out. The
SBA is treated as an unsecured creditor.
Debtor will commence making its payments under the plan on the
first day of the calendar month that follows the effective date of
the plan. It will fund the plan payments from its income made in
the ordinary course of its business.
The Debtor contemplates the secured creditors will accept this plan
and that the unsecured creditors will receive fair and equitable
treatment. The Debtor buys motor vehicles and improves them for
resale which activity will continue to generate cash flow to fund
plan payments.
A full-text copy of the Amended Plan dated February 23, 2023 is
available at https://bit.ly/3Z92DSI from PacerMonitor.com at no
charge.
Counsel for Debtor:
Andrew S. Nason, Esq.
Emmett Pepper, Esq.
Pepper and Nason
8 Hale Street
Charleston, WV 25301
Tel: (304) 346-0361
Fax: (304) 346-1054
Email: info@PepperNason.com
About Crane Man
Crane Man, Inc., is a specialized equipment repair company that is
helping heavy equipment operators to meet their needs. The Debtor
filed a Chapter 11 bankruptcy petition (Bankr. S.D. W.Va. Case No.
22-20172) on Nov. 8, 2022, with as much as $1 million in both
assets and liabilities. Judge B. Mckay Mignault oversees the case.
The Debtor is represented by Pepper and Nason.
DAR HOME: Files Emergency Bid to Use Cash Collateral
----------------------------------------------------
DAR Home Company, LLC asks the U.S. Bankruptcy Court for the
Southern District of Texas, Galveston Division, for authority to
use cash collateral on an emergency basis.
On February 23, 2023, the Debtor filed its monthly operating report
for January 2023. The report was filed late. The report also
outlines a $32,219 net loss.
The Debtor asserts the net loss is attributable to accounts payable
withheld by Main Street Renewals in the month of January 2023. This
hold was based upon pre-petition communications made to MSR by
Cloudfund, LLC, a creditor in the case. Despite the Debtor's best
efforts a release could not be obtained and MSR refused to pay
debtor for materials purchased and work performed.
On January 20, 2023, the Debtor's counsel notified Brendon Singh,
the subchapter V trustee appointed to the case, of the issues. On
January 25, the trustee obtained the necessary release and
forwarded such release to counsel for MSR. Unfortunately, and
likely unknown to the trustee, the email address for MSR's counsel
was entered incorrectly and MSR never received the release.
On February 1, counsel for the Debtor forwarded the release to MSR
after learning it had not been received.
On February 3, $38,968 was deposited into the Debtor's account by
MSR for funds withheld in January 2023. The Debtor asserts that had
these funds deposited in January, as was expected, the Debtor would
have ended the month with positive net income of $6,749.
The Debtor asserts the late filing of the January 2023 monthly
operating report was not intentional. The Debtor's principal has
been sick with extreme COVID-like symptoms and has been confined to
not spread any illnesses to clients, coworkers, or family members.
The Debtor was not able to prepare the report in a timely fashion
as a result.
The Debtor believes any further delay in its ability to use cash
collateral would hinder its ability to reorganize.
The Debtor has recently received a large contract that requires it
to resume working as soon as possible.
A copy of the Debtor's motion is available at
https://bit.ly/3ZkqGxk from PacerMonitor.com.
About DAR Home Company, LLC
DAR Home Company, LLC operates as a retail service company. DAR
Home's primary income is derived from construction services for
individual and business consumers looking to build and remodel
their homes or businesses. DAR Home serves local markets in
Brazoria and Harris counties in Texas.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. S.D. Tex. Case No. 22-80240) on December
12, 2022. In the petition signed by David Rodriguez, owner, the
Debtor disclosed up to $50,000 in assets and up to $500,000 in
liabilities.
Judge Jeffrey P. Norman oversee the case.
Michael L. Hardwick. Esq., at Michael Hardwick Law, PLLC, is the
Debtor's legal counsel.
Brendon Singh has been appointed as the subchapter V trustee.
DFW BOAT: Files Emergency Bid to Use Cash Collateral
----------------------------------------------------
DFW Boat Specialists, LLC asks the U.S. Bankruptcy Court for the
Eastern District of Texas, Sherman Division, for authority to use
cash collateral on an emergency basis, to make payroll and pay
other immediate expenses to keep its doors open.
DFW Boat Specialists contends that the entire chance of its
reorganizing depends on the ability to immediately obtain access to
the alleged Collateral to continue operations of the company while
effectuating a plan of reorganization.
Action Credit Enterprises, LLC, Nextgear Capital, Carbucks and XL
Funding may assert liens on, among other things, the inventory and
accounts receivable generated by the Debtor. This Collateral may
constitute the cash collateral of the Secured Creditors as that
term is defined in the Bankruptcy Code.
As adequate protection, the Secured Creditors will be granted
replacement liens pursuant to 11 U.S.C. section 552.
A copy of the Debtor's motion and budget is available at
https://bit.ly/3IQWCnV from PacerMonitor.com.
The Debtor projects $80,000 in total income for 30 days.
About DFW Boat Specialists, LLC
DFW Boat Specialists, LLC operates a motor vehicle dealership and
repair shop in Denton, Texas. The Debtor sought protection under
Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Tex. Case No.
23-40316) on February 22, 2023. In the petition signed by Richard
Gay, managing member, the Debtor disclosed up to $50,000 in assets
and up to $1 million in liabilities.
Eric A. Liepins, Esq., at Eric A. Liepins PC. represents the Debtor
as legal counsel.
DIEBOLD NIXDORF: $626M Bank Debt Trades at 31% Discount
-------------------------------------------------------
Participations in a syndicated loan under which Diebold Nixdorf Inc
is a borrower were trading in the secondary market around 68.8
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The $626 million facility is a Term loan that is scheduled to
mature on July 15, 2025. The amount is fully drawn and
outstanding.
Diebold Nixdorf, Incorporated provides automatic teller machines,
financial, and point of sale (POS) services.
DITECH HOLDING: Freedman's Proof of Claim Disallowed
----------------------------------------------------
Bankruptcy Judge James L. Garrity, Jr. for the Southern District of
New York has issued an order sustaining the Consumer Claims
Trustee's objection to the proof of claims filed by Jared Freedman
in the bankruptcy case styled In re: Ditech Holding Corporation, et
al., Chapter 11, Debtors, Case No. 19-10412 (JLG), (Jointly
Administered), (Bankr. S.D.N.Y.).
On April 25, 2019, Jared Freedman filed Proof of Claim No. 21375 as
an unsecured claim in the amount of $21.48 million against Ditech
Holding Corporation on account of certain "Litigation."
Mr. Freedman describes himself as "a successful serial entrepreneur
who was gravely harmed by the actions of GMAC (dba Ditech LLC), and
then Walters Management/Green Tree Financial, and now Ditech
Holdings." He asserts that he "has incurred substantial legal
expenses, suffered grievous harm to his reputation, lost multiple
multi-million-dollar opportunities, and had to liquidate
irreplaceable 100+ year old family heirlooms to pay for legal
bills."
Mr. Freedman advises that it is his "strong belief that shifting
entity known as Walters Management/Green Tree/Ditech
Financial/Ditech Holdings has committed, and is still committing,
serial Bankruptcy Fraud in an (often successful!) attempt to shield
themselves from the repercussions of their industrial scale
malfeasance." He contends that "due to this long history of well
documented fraud, bankruptcy protections offer no relief." He also
"strongly believes that the cost of this going unpunished will
eventually be the total destruction of the Public's Faith in our
real-estate and financial systems."
The Consumer Claims Trustee, on the other hand, seeks an order
disallowing and expunging the Claim -- challenges the legal
sufficiency of the Claim. The Consumer Claims Trustee objected to
the Claim on the basis that: (i) the Claimant's Quiet Title
Complaint alleges wrongdoing by GMAC, not the Debtor, and does not
state a claim for which relief can be granted in this proceeding;
(ii) the transfer of servicing rights from GMAC to the Debtor does
not state a claim for which relief can be granted; and (iii) the
Claimant's prior recoveries from government actions against GMAC
and Countrywide do not form the basis of a claim against the
Debtor, nor does his successful defense of prior foreclosure
actions constitute a claim against the Debtor.
In response to the Objection, Mr. Freedman reiterates that the two
lawsuits involve the Debtors and not GMAC. He also contends that
since Ditech injected itself into the Quiet Title Action, he is
asserting a counterclaim against Ditech for damages resulting from
"its fraudulent title transfers; the filing of a fraudulent
foreclosure action; document falsification; credit destruction;
business opportunity and reputation destruction; as well as, fees,
fines and depreciation of the real property, all caused by Ditech's
malfeasance."
Of the elements of the Claim listed in the Proof of Claim, the
Court notes that only Ditech's alleged "defamation" provides a
substantive ground for relief against Ditech. The Court further
notes that the "Legal fees, Town Fees & Fines, Property
depreciation, Consumer Credit Destruction or Lost Business
Opportunities" may provide measures of damages against Ditech but
they do not provide a substantive basis for relief against Ditech.
The Court concludes that the Claimant has failed to allege facts
stating prima facie grounds for relief for those elements of the
Claim. As such, the Court disallows and expunges them.
A full-text copy of the Memorandum Decision and Order dated Feb. 7,
2023, is available at https://tinyurl.com/4pfvedmf from
Leagle.com.
About Ditech Holding Corporation
Fort Washington, Pennsylvania-based Ditech Holding Corporation and
its subsidiaries -- http://www.ditechholding.com/-- are
independent servicer and originator of mortgage loans.
Ditech Holding and certain of its subsidiaries, including Ditech
Financial LLC and Reverse Mortgage Solutions, Inc., filed voluntary
Chapter 11 petitions (Bankr. S.D.N.Y. Lead Case No. 19 10412) on
Feb. 11, 2019, after reaching terms with lenders of a Chapter 11
plan that will reduce debt by $800 million.
The Debtors tapped Weil, Gotshal & Manges LLP as legal counsel,
Houlihan Lokey as investment banker and AlixPartners LLP as
financial advisor. Epiq Bankruptcy Solutions LLC served as claims
and noticing agent.
Kirkland & Ellis LLP and FTI Consulting Inc. served as the
consenting term lenders' legal counsel and financial advisor,
respectively.
The U.S. Trustee for Region 2 appointed an official committee of
unsecured creditors in the Debtors' cases on Feb. 27, 2019. The
creditors' committee tapped Pachulski Stang Ziehl & Jones LLP as
its legal counsel and Goldin Associates, LLC, as its financial
advisor.
On May 2, 2019, the U.S. trustee appointed an official committee of
consumer creditors. The consumers committee tapped Quinn Emanuel
Urquhart & Sullivan, LLP, as counsel and TRS Advisors LLC, as
financial advisor.
On Sept. 26, 2019, the Bankruptcy Court confirmed Ditech's Chapter
11 bankruptcy plan, which became effective four days later.
DIVINE CEMENT: Case Summary & 20 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Divine Cement Inc.
527 Vera Court
Joliet, IL 60436
Chapter 11 Petition Date: February 23, 2023
Court: United States Bankruptcy Court
Northern District of Illinois
Case No.: 23-02422
Judge: Hon. A. Benjamin Goldgar
Debtor's Counsel: Ariel Weissberg, Esq.
WEISSBERG AND ASSOCIATES, LTD.
564 W. Randolph Street
Second Floor
Chicago, IL 60661
Tel: 312-663-0004
Fax: 312-663-1514
Email: ariel@weissberglaw.com
Estimated Assets: $0 to $50,000
Estimated Liabilities: $1 million to $10 million
The petition was signed by Lawrence Green as president.
A full-text copy of the petition containing, among other items, a
list of the Debtor's 20 largest unsecured creditors is available
for free at PacerMonitor.com at:
https://www.pacermonitor.com/view/QN4QY3Q/Divine_Cement_Inc__ilnbke-23-02422__0001.0.pdf?mcid=tGE4TAMA
DOSHI ASSOCIATES: Unsecureds to Get Share of Income for 60 Months
-----------------------------------------------------------------
Doshi Associates, Inc., filed with the U.S. Bankruptcy Court for
the Eastern District of Michigan a Subchapter V Plan of
Reorganization dated February 21, 2023.
The Debtor was formed in 1991 as an architectural and engineering
design consulting firm. Its incorporator and current majority
shareholder, Shailesh Doshi, with his wife Rekha Doshi, have run
the day to day operations since its formation.
In 2019 it entered into a commercial lease with Ipanema Troy, LLC
for a total rental commitment of over $1,000,000. In March 2020,
the global pandemic prevented the Debtor from continuing it
operations. Obviously, the economic turmoil played havoc with
business relationships, including those of the Debtor. As a result,
the Debtor was unable to continue its business operations, was
unable to maintain it lease obligations and vacated the leased
premises.
The Debtor tried to negotiate a settlement with Ipanema but was
unable to do so. Ipanema commenced litigation and ultimately
secured a judgment against the Debtor for over $800,000. The Debtor
was left with little choice but to commence these bankruptcy
proceedings.
The Debtor commenced this case to facilitate an orderly winding up
of its affairs along with the partial payment of its outstanding
obligations and believes its current efforts will maximize recovery
to all creditors and other parties in interest.
Class I shall consist of the Allowed Claims of all Non-Insider
Unsecured Creditors. Debtor shall pay its Projected Disposable
Income (PDI) to unsecured creditors in 60 consecutive monthly
installments as set forth in the Plan Projections, with the first
payment coming due on the first day business day of the
Commencement Month, or June 1, 2023, whichever is later, and
monthly thereafter. All payments shall be distributed to Holders of
Allowed Unsecured Claims on a pro-rata basis. The Debtor will
provide the Subchapter V Trustee with its income tax returns on or
before September 15, for each of the next 5 years following the
Effective Date.
The lone creditor in this class is Ipanema Troy, LLC. It is
currently the subject of a preference action which seek the
turnover of a preference payment in the amount of $116,547.18. The
Debtor proposes dismissing the preference action (Adv. Pro. No.
23-04073) and allowing Ipanema to retain 100% of the preference
payment, along with all PDI payments, in full satisfaction of its
Claim. This Class is Impaired.
Class II shall consist of all Insider Unsecured Creditors. The
class will be subordinated to the Class I Claimant and will receive
a 0% distribution. This Class is Impaired.
Class III shall consist of the Debtor's equity holders. These Class
members will have their equity interest in the Debtor extinguished
and will receive no distributions from the Debtor in the form of
Cash or any equity interest in the Reorganized Debtor. This Class
is Impaired.
Title to all property of the Debtor shall vest in the Reorganized
Debtor upon the Effective Date of the Plan. The Debtor shall be
discharged from its status as Debtor and the affairs and business
of the Reorganized Debtor shall thereafter be conducted without
Court involvement except as may be governed by the Plan.
The Debtor has attached as Exhibit B, his summary of post
confirmation financial projections for the life of the Plan.
A full-text copy of the Subchapter V Plan dated February 21, 2023
is available at https://bit.ly/3KAHITP from PacerMonitor.com at no
charge.
Counsel for Debtor:
Stuart A. Gold, Esq.
Gold, Lange & Majoros, P.C.
24901 Northwestern Hwy., Suite 444
Southfield, MI 48075
Tel: (248) 350-8220
Email: sgold@glmpc.com
About Doshi Associates
Doshi Associates is an architectural and engineering company.
Doshi Associates, Inc., filed its voluntary petition for relief
under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Mich. Case No.
22-49210) on Nov. 22, 2022. The petition was signed by Shailesh
Doshi as shareholder. At the time of filing, the Debtor estimated
$100,000 to $500,000 in assets and $1 million to $10 million in
liabilities.
Stuart A. Gold, Esq. at GOLD, LANGE, MAJOROS & SMALARZ, PC, is the
Debtor's counsel.
DSG ENTERTAINMENT: Investcorp Virtually Writes Off Loan
-------------------------------------------------------
Investcorp Credit Management BDC, Inc has marked its $797,857 loan
extended to DSG Entertainment Services, Inc to market at $39,893 or
5% of the outstanding amount, as of December 31, 2022, according to
a disclosure contained in Investcorp Credit's Form 10-Q for the
quarterly period ended December 31, 2022, filed with the Securities
and Exchange Commission on February 13, 2023.
Investcorp Credit is a participant in a Senior Secured First Lien
Loan to DSG Entertainment Services, Inc. The loan accrues interest
at a rate of P + 6.50% (2.00% Floor) per annum. The loan matured
last June 30, 2021.
Investcorp Credit has classified the DSG loan in default and on
non-accrual status.
Investcorp Credit, a Maryland corporation formed in May 2013, is a
closed-end, externally managed, non-diversified management
investment company that has elected to be regulated as a business
development company under the Investment Company Act of 1940, as
amended, and has elected to be treated as a regulated investment
company under Subchapter M of the Internal Revenue Code for U.S.
federal income tax purposes.
DSG is in the entertainment industry.
EDGEWELL PERSONAL: Moody's Alters Outlook on 'Ba3' CFR to Negative
------------------------------------------------------------------
Moody's Investors Service affirmed Edgewell Personal Care Co.'s Ba3
Corporate Family Rating and Ba3-PD Probability of Default Rating.
At the same time, Moody's affirmed the Ba3 ratings on the company's
senior unsecured notes due 2028 and 2029. Moody's downgraded
Edgewell's speculative grade liquidity rating to SGL-2 from SGL-1.
The outlook was changed to negative from stable.
The rating affirmation reflects Moody's expectation that leverage
will decline as the EBITDA margin improves, free cash flow recovers
over the next 12 to 18 months, and the company reduces revolver
borrowings. Moody's expects further pricing and solid trends in
grooming and sun care as well as expansion of Billie beyond Walmart
to additional brick and mortar retail in North America will offset
volume declines across mature wet shave and feminine care
categories. Moody's also expects raw material, transportation,
labor, and foreign exchange costs will remain a headwind but
moderate and for the EBITDA margin to benefit from productivity
initiatives. Moody's forecasts debt-to-EBITDA leverage to decline
to 4.2x for the fiscal year ending September 2024 from 5.1x for the
twelve months ending December 2022. The company's long-term net
leverage target 2-3x (company calculation) is below the 4.0x level
as of December 2022, indicating that the company will remain
focused on reducing leverage.
The change to a negative outlook accounts for the elevated risk
that leverage will not decline as quickly as anticipated because of
a challenging economic backdrop and the company's continued share
repurchases. Higher than expected cost pressures or a weakening
demand environment could slow deleveraging progress, particularly
if the company realizes less cost savings than expected. Slower
expansion of recently acquired brands, volume declines that are not
offset through pricing, or if the working capital reduction is less
than anticipated could also limit free cash flow generation and the
company's ability to pay down the revolver. Financial policy has
been aggressive due to frequent though moderately sized debt funded
acquisitions, implementation of a dividend in 2021, and share
repurchases that have lifted debt and leverage well above the
company's target. Moody's expects the company to reduce the level
of share repurchases from the high $116 million amount over the
last 12 months, but share repurchases are likely to continue and
this will limit the pace of debt and leverage reduction.
The downgrade of the speculative grade liquidity rating to SGL-2
from SGL-1 reflects the reduction in cash and increase in revolver
borrowings resulting from acquisitions, share repurchases and
negative free cash flow due to working capital usage. The SGL-2
reflects that liquidity nevertheless remains good. Cash on hand of
$184 million and expected free cash flow exceeding $100 million
over the next 12 to 18 months provide flexibility to cover cash
needs and fund seasonal working capital. Available capacity on the
$425 million revolving credit has declined materially ($255 million
outstanding borrowings as of December 2022) though is still
meaningful and the company does not have any maturities until the
revolver expires in April 2025. A significant portion of cash is
housed overseas and there could be negative tax or operating
flexibility implications if the company repatriates, creating more
reliance on the revolver if free cash flow does not improve.
Affirmations:
Issuer: Edgewell Personal Care Co.
Corporate Family Rating, Affirmed Ba3
Probability of Default Rating, Affirmed Ba3-PD
Senior Unsecured Regular Bond/Debenture, Affirmed Ba3 (LGD4)
Downgrades:
Issuer: Edgewell Personal Care Co.
Speculative Grade Liquidity Rating, Downgraded to SGL-2 from
SGL-1
Outlook Actions:
Issuer: Edgewell Personal Care Co.
Outlook, Changed To Negative From Stable
RATINGS RATIONALE
Edgewell's Ba3 CFR reflects the company's modest scale in the face
of material competitive pressure from significantly larger, more
diversified, and better capitalized peers. The competitive
landscape along with Edgewell's concentration towards mature and
highly promotional product categories across wet shave and feminine
care creates challenging conditions for organic growth.
Concentration in mature and competitive product categories is
contributing to frequent debt funded acquisitions to lift organic
growth potential. Leverage is high due to recent deterioration in
the EBITDA margin because of elevated input costs as well as share
repurchases and the company's acquisition of Billie in 2021 for
$310 million, which was partly funded on the revolver. Shareholder
distributions are aggressive while the company is well above its
leverage target. The company began paying an annual dividend in
2021 and has consistently repurchased shares despite recently high
leverage and weak cash flow. Moody's expects Edgewell to moderate
share buybacks to allocate more free cash flow to revolver paydowns
and reduce leverage towards its stated 2-3x net debt-to-EBITDA
target using company calculations (4.0x as of the twelve months
ending December 2022). Positively, strong brand recognition across
names like Schick, Playtex, and Banana Boat and solid market
positions with #1 or #2 shares in multiple well-established product
categories helps the company maintain solid relationships with key
retailers and promotes customer reach at the point of sale.
Edgewell's personal care focused portfolio is resilient to
weakening economic conditions and the company's global footprint
helps mitigate the effects of regional downturns. Recent
acquisitions like Cremo and Billie provide organic growth
opportunities at least in the near-term as the company uses its
large distribution network and customer relationships to scale
these offerings.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The negative outlook reflects the heightened risk of leverage
remaining elevated if the EBITDA margin and free cash flow do not
improve as much as expected or if debt reduction is
lower-than-expected due to share repurchases or acquisitions.
An upgrade would require continued organic growth and improvement
to the EBITDA margin such that debt-to-EBITDA leverage is sustained
below 3.0x. An upgrade would also require consistently stronger and
stable free cash flow and good liquidity.
The ratings could be downgraded if slower than anticipated
improvement in the EBITDA margin or free cash flow over the next
12-18 months leads to debt-to-EBITDA leverage remaining above 4.0x.
Continued share repurchase in lieu of reducing revolver borrowings,
a deterioration of liquidity, or if the company engages in
acquisitions prior to reducing leverage could also lead to a
downgrade. The rating could also be downgraded if free cash flow
after dividends continues to fall materially below Moody's
expectation of at least $100 million.
ENVIRONMENTAL, SOCIAL, AND GOVERNANCE FACTORS
Edgewell's CIS-3 score represents moderately negative risk and
reflects Moody's view that the financial policy is aggressive with
a focus on shareholder distributions and debt-funded acquisitions
that is leading to leverage above the moderate 2-3 leverage target.
Environmental risks are highly negative (E-4) due to razor blade
disposal risks though the risk is manageable and the company is
taking steps to reduce the risk. Social risks are moderately
negative (S-3) related to responsible production, health & safety
and demographic and societal trend risks.
Edgewell Personal Care Co., based in Shelton, CT manufactures,
markets and distributes branded personal care products in the wet
shave, skin and sun care, feminine care, and infant care
categories. The company has a portfolio of over 25 brands and a
global footprint in over 50 countries. Edgewell is publicly traded
and generated revenue of around $2.2 billion for the 12 months
ended December 2022.
The principal methodology used in these ratings was Consumer
Packaged Goods published in June 2022.
ELGIN MATH: Moody's Rates 2023A & 2023 Education Bonds 'Ba2'
------------------------------------------------------------
Moody's Investors Service has assigned a Ba2 rating to the Upper
Illinois River Valley Development Authority's approximately $14.68
million Educational Facility Revenue Bonds (Elgin Math & Science
Academy Project), Series 2023A and $285,000 Educational Facility
Revenue Bonds (Elgin Math & Science Academy Project), Taxable
Series 2023B. The outlook is stable.
RATINGS RATIONALE
The Ba2 rating incorporates Elgin Math & Science Academy Charter
School's (EMSA) competitive academic performance compared to its
local district. EMSA's solid demand and enrollment trends also
reflect a strong competitive profile for the school. EMSA benefits
from a stable authorizing and funding environment with its charter
and funding flowing from the Illinois State Board of Education
(ISBE). In addition, despite EMSA's short history the academy has
an experienced management team, which has worked in Illinois
charter schools for over a decade. These are all key credit
strengths that help to balance other challenges. EMSA's
enrollment, even at full capacity, is quite small, which materially
limits operating flexibility. Management also expects sizeable
contributions from fundraising over the next several years, despite
a limited demonstrated ability to achieve its goals. Post issuance
EMSA's leverage will be substantial. Other minor risks include not
reaching full enrollment until fall 2023, and a limited operating
history as the school transitions from growing to stabilizing its
operations.
RATING OUTLOOK
The outlook is stable given Moody's expectation that the school
will reach full enrollment over the next 12 to 18 months and
complete its renovations on time and on budget. The outlook also
incorporates an expectation that the school will be able to meet
budgeted targets for debt service coverage following the expiration
of capitalized interest in 2025.
FACTORS THAT COULD LEAD TO AN UPGRADE OF THE RATINGS
On time and on budget completion of ongoing construction projects
Meeting enrollment projections
A post capitalized interest coverage and liquidity trend above
1.2x and over 100 days cash on hand
Per pupil funding exceeding expectations
FACTORS THAT COULD LEAD TO A DOWNGRADE OF THE RATING
Inability to meet projected enrollment or financial targets
Weak liquidity or coverage levels that impair operating
flexibility
Charter renewal which results in materially costly findings or
term that is less than five years
LEGAL SECURITY
Repayment of the bonds is through a Loan Agreement between the
Upper Illinois River Valley Development Authority (the issuer) and
Elgin Charter School Initiative, d/b/a Elgin Math & Science Academy
Charter School (the obligor/borrower). Under the Master Indenture,
bond repayment is secured by a gross revenue pledge of EMSA's
unrestricted revenues, including all per-pupil revenues. Repayment
of the bonds is also enhanced by a mortgage interest on all of
EMSA's facilities and properties and a pledge of certain funds held
under the indenture.
The debts service covenant is adequate at 1.1x debt service
coverage commencing June 30, 2024. However, if debt service
coverage ratio falls below 1.1x, but is at least 1.0x EMSA will
engage a management consultant, unless EMSA has over 75 days cash
on hand. An event of default arising from failure to achieve the
debt service coverage ratio shall only occur if the ratio is below
1.0x, unless the Borrower has at least 120 days cash on hand as of
the end of such fiscal year. Failure to achieve a debt service
ratio of at least 1.0 by the end of the next fiscal year shall
constitute an event of default regardless of days cash on hand. The
Days Cash on Hand covenant is weak. If the days cash on hand is
less than 45 days EMSA shall engage a management consultant and
will not trigger an event of default. However, failure to maintain
at least 30 days cash on hand is an event of default. Additional
covenants include an additional bonds test which requires a
historical coverage ratio for the most recent audit year of at
least 1.1x debt Service and a projected coverage ratio that
requires 1.1x for first full year after the new assets financed are
placed in service. The debt service reserve fund is the least of
10% of principal amount of bonds, 125% of annual debt service, or
100% of MADS and will be funded by a grant from IFF.
USE OF PROCEEDS
The Series 2023A and Taxable Series 2023B bonds proceeds will be
used to refinance the existing, taxable $7 million IFF Loan and
$5.7 million will be used finance the renovations to the Admin.
Building Project. In addition, the $119,200 will reimburse the
school for cash outlay. Lastly funds will be used to fund
capitalized interest for approximately 18 months.
PROFILE
Founded in 2018, Elgin Math & Science Academy Charter School (EMSA)
is located in the city of Elgin, Illinois which municipality is
part of U-46, the second largest school district in the state with
enrollment with roughly 35,000 students. EMSA is chartered for K-8
and a target enrollment of 468 students. EMSA operates on a single
22-acre campus with 7 buildings. As of academic year 2022-23 the
school was fully enrolled serving 412 students in grades K-7, with
grade 8 expected to be added in Fall 2023. EMSA is one of eleven
charter schools directly authorized by the Illinois State Board of
Education (IBSE). In December 2022, the school was approved to
receive its second charter for five years, the maximum length
allowed under statute by IBSE. The second charter will commence on
July 1, 2023 and expire on June 30, 2028. The school out performs
the district on standardized tests and is fully credentialed as an
EL Education model, a hands on inquiry-based instruction model
pioneered with Outward Bound.
METHODOLOGY
The principal methodology used in these ratings was US Charter
Schools published in September 2016.
ENVISION HEALTHCARE: $1B Bank Debt Trades at 69% Discount
---------------------------------------------------------
Participations in a syndicated loan under which Envision Healthcare
Corp is a borrower were trading in the secondary market around 30.9
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The $1 billion facility is a Term loan that is scheduled to mature
on March 31, 2027. The amount is fully drawn and outstanding.
Envision Healthcare Corporation provides health care services. The
Hospital offers surgery, pharmacy, medical imaging, emergency care,
and other related health care services. Envision Healthcare serves
patients in the United States.
ESME LEARNING: Hercules Capital Marks $4.8M Loan at 66% Off
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Hercules Capital Inc has marked its $4,892,000 loan extended to
Esme Learning Solutions, Inc to market at $1,671,000 or 34% of the
outstanding amount, as of December 31, 2022, according to a
disclosure contained in Hercules Capital's Form 10-K for the fiscal
year ended December 31, 2022, filed with the Securities and
Exchange Commission on February 16, 2023.
Hercules Capital is a participant in a Senior Secured Loan to Esme
Learning Solutions, Inc. The loan accrues interest at a rate of
8.75% (Prime + 5.50%, Payment In Kind Interest 1.50%, 3.00% Exit
Fee) per annum. The loan matures in February 2025.
Hercules Capital says the debt is on non-accrual status as of
December 31, 2022, and is considered non-income producing.
Hercules Capital, Inc is a Maryland corporation formed in December
2003 that began investment operations in September 2004. On
February 25, 2016, it changed its name from Hercules Technology
Growth Capital, Inc. to Hercules Capital, Inc. Specialty Finance
Company. It is focused on providing financing solutions to
high-growth, innovative venture capital-backed and
institutional-backed companies in a variety of technology, life
sciences and sustainable and renewable technology industries.
Esme Learning Solutions, Inc delivers high impact AI-enabled online
learning.
EVERNEST HOLDINGS: Unsecureds to Get Share of Income for 5 Years
----------------------------------------------------------------
Evernest Holdings, LLC, filed with the U.S. Bankruptcy Court for
the Southern District of Florida a Plan of Reorganization under
Subchapter V dated February 21, 2023.
The Debtor is a Florida Limited Liability Company formed on June
29, 2020 for the purpose of acquiring residential real estate.
On or about November 16, 2022, the Debtor acquired the Properties
located at 117 NW 42 Avenue, Miami, Florida, (the 117 NW Property)
15661 SW 29 Terrace Miami, Florida, (the 15661 Property) and 10240
SW 124 Street, Miami, Florida, (the 10240 Property), hereinafter
referred to as "The Evernest Properties"). The primary business of
the debtor is the rental of the properties to residential tenants.
This Plan is an operating plan. It provides for continuing
operation of the Debtor's business to fund an orderly repayment of
claims within the constraints of the cash flow generated by the
Debtor's business.
This Plan of Reorganization proposes to pay creditors of Evernest
Holdings LLC., from future rental income, as well as sales and or
refinance proceeds resultant from the owning and managing of the
Evernest Properties.
Non-priority unsecured creditors holding allowed claims will
receive distributions, which the proponent of this Plan has valued
at approximately 41 cents on the dollar. This Plan also provides
for the payment in full of administrative claims during Year 1 of
the Plan.
As of the date of this plan, the Evernest Properties are leased and
the Debtor projects that as of April 15, 2023 (projected Effective
Date of the plan) the Evernest Properties will continue to be
leased.
Class 6 consists of Creditors with allowed, timely filed,
non-insider unsecured, non-priority claims. This class is impaired.
In accordance with the Debtor's Cash Flow Analysis, the Debtor has
a projected Disposable Income of $176,878, all of which will be
paid as follows:
* Commencing on the first anniversary of the Effective Date of
the Plan and each year thereafter or a total of 5 years, the Debtor
shall make annual payments in an amount equal to the annual
disposable income of the Debtor The Debtor shall distribute the
funds to the holders of liquidated, non-contingent claims as
scheduled or filed, subject to timely objection to the validity or
extent of each claim and the claims of creditors not otherwise
treated under the Plan (the "General Unsecured Claims") on a pro
rata basis commencing one year after the Effective Date and
annually thereafter during the life of the Plan.
On or before the Effective Date, the Court will enter a Claims
Order. The Claims Order will specify (a) the allowed amount of the
Unsecured Creditors' claims; and (b) the dates and amounts of the
monthly payments to said creditors. If there are objections to
claims pending, the Claims Order shall so recite and, upon
allowance or disallowance, the Order shall be amended to reflect
the Court's ruling.
In the event funds are insufficient to pay Class 6 claims in full
upon any sale of The Property or other assets, Class 6 claimants
shall receive a pro-rata share of the funds available to pay Class
6 Unsecured Claims.
Class 4 consists of Equity interests of the Debtor held by Eddrian
Burciaga. Equity security interests of Eddrian Burciaga, who holds
100% of the membership interest in the Debtor. Members of this
class shall retain their equity interests. This class is
unimpaired.
The Distributions under the Plan will be made from revenues
resultant from the rental of the Evernest Properties.
The Plan will be funded by the Debtor's post-petition disposable
income over a 5-year period after the Effective Date. Only
creditors holding Allowed Claims will receive distributions and a
reserve will be set up for filed or scheduled claims that are
disputed and will be subject to the claims objection.
A full-text copy of the Plan of Reorganization dated February 21,
2023 is available at https://bit.ly/3xQt5o4 from PacerMonitor.com
at no charge.
Attorney for the Debtor:
Richard Siegmeister
Richard Siegmeister, PA
3850 Bird Rd, Floor 10
Miami, FL 33146-1501
Tel: (305) 859-7376
Email: rspa111@att.net
About Evernest Holdings
Evernest Holdings, LLC owns real properties located in Miami-Dade
County, Fla.
Evernest Holdings sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. S.D. Fla. Case No. 22-18951) on Nov. 21,
2022. In the petition signed by its manager, Eddrian Burciaga, the
Debtor disclosed up to $50,000 in assets and up to $1 million in
liabilities.
Judge Robert A. Mark oversees the case.
Richard Siegmeister, Esq., at Richard Siegmeister, PA is the
Debtor's legal counsel.
EXELA TECHNOLOGIES: Unit Makes Overdue Payments on Bonds
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An Exela Technologies Inc. subsidiary made interest payments
initially due last month within a 30-day grace period, according to
a regulatory filing.
On February 16, 2023, Exela Intermediate, LLC, an indirect,
wholly-owned subsidiary of Exela Technologies, Inc., made the
semiannual interest payment due under its 11.500% First-Priority
Senior Secured Notes due 2026, and on February 15, 2023,
Intermediate made the semiannual interest payment due under its
10.0% First Priority Senior Secured Notes due 2023.
Intermediate had a 30-day grace period from Jan. 17, 2023 to make
the Interest Payments and Intermediate made such payments within
the grace period.
About Exela Technologies
Exela Technologies, Inc. (NASDAQ: XELA) is an American business
process automation company. Exela delivers technology and data
driven innovation for businesses in all industries. Exela was
created with the merger of SourceHOV LCC, Novitex Holdings, Inc.
and Quinpario Acquisition Corp. On the Web:
http://www.exelatech.com/
FC COMPASSUS: Moody's Cuts CFR to B3, Outlook Stable
----------------------------------------------------
Moody's Investors Service downgraded the ratings of FC Compassus,
LLC ("Compassus"), including the Corporate Family Rating to B3 from
B2, Probability of Default Rating to B3-PD from B2-PD, and senior
secured first lien bank credit facilities ratings to B3 from B2.
The outlook is stable.
The ratings downgrade reflects Compassus' high gross debt-to-EBITDA
levels, which Moody's expects will remain elevated over the next 12
to 18 months. Compassus' EBITDA has been negatively impacted by
certain headwinds, most notably from a clinical labor shortage,
which Moody's expects to continue. As a result of above-average
wage inflationary pressures on the company's costs, Moody's expects
EBITDA growth to remain subdued such that Moody's adjusted gross
debt-to-EBITDA will remain above 7 times over the next 12 to 18
months.
Social risk considerations are material to the rating action.
Compassus is negatively impacted by ongoing clinical labor
shortages that have resulted in higher expenses, weaker operating
performance, and high gross financial leverage.
Downgrades:
Issuer: FC Compassus, LLC
Corporate Family Rating, Downgraded to B3 from B2
Probability of Default Rating, Downgraded to B3-PD from B2-PD
Senior Secured 1st Lien Term Loan, Downgraded to B3 (LGD3) from B2
(LGD4)
Senior Secured Revolving Credit Facility, Downgraded to B3 (LGD3)
from B2 (LGD4)
Outlook Actions:
Issuer: FC Compassus, LLC
Outlook, Remains Stable
RATINGS RATIONALE
Compassus' B3 CFR reflects the company's moderate absolute size and
the presence of considerable competition in a highly fragmented
industry. The rating is constrained by Compassus' high Moody's
adjusted gross debt-to-EBITDA in the low 8 times range for the last
twelve month period ended September 30, 2022. Compassus' rating
also reflects the company's high revenue concentration from
Medicare and the increasing regulatory oversight of the industry.
Moody's expects that there will be continued focus by the
government on implementing measures to contain health care costs,
as well as regulations around improving reporting quality and
compliance. Lastly, Compassus' rating is constrained by exposure to
labor shortages and inflationary wage pressures, especially with
the company's clinical workforce.
The rating is supported by Compassus' status as Ascension's
exclusive preferred provider of hospice service, across its
footprint nationwide. The hospice, home health and infusion sectors
benefit from favorable long-term growth prospects that are driven
by aging demographics, the necessity of these services, and growing
awareness of the benefits of these services for patient experience
and reducing overall health care costs. The rating is also
supported by Compassus' very good liquidity position, evident with
over $175 million of cash on the balance sheet as of September 30,
2022.
Moody's expects Compassus to maintain a very good liquidity
position over the next 12 months. As of September 30, 2022, the
company had approximately $175 million of cash on hand, of which
approximately $7 million is to be repaid to the Centers for
Medicare and Medicaid Services (CMS). Moody's expects Compassus to
generate modestly negative free cash flow in the next 12 months,
which includes mandatory term loan amortization of approximately $6
million. Compassus has access to a $50 million revolving credit
facility, which was undrawn as of September 30, 2022 and expires in
December 2024. Moody's does not expect Compassus will rely on this
facility in the next 12 months, given the company's strong cash
balances. Further, Moody's anticipates Compassus to have sufficient
cushion under its springing first lien net leverage covenant on the
revolver if it were to be tested.
The B3 rating of the senior secured first lien revolving credit
facility and term loan is the same as the B3 CFR. The rating
reflects the fact that the first lien credit facility constitutes
the preponderance of the company's debt.
The outlook is stable. Moody's expects Compassus' adjusted gross
debt-to-EBITDA to remain high over the next 12 to 18 months,
despite maintaining very good liquidity. That said, Moody's also
views long-term growth trends in the hospice sector as favorable
driven by aging demographics, which should benefit Compassus.
ESG CONSIDERATIONS
Compassus' ESG credit impact score is highly negative (CIS-4),
reflecting its very highly negative exposure (S-5) to social risks
in providing hospice care amid ongoing social and regulatory
scrutiny as government and other payors seek ways to reduce overall
healthcare costs. The company relies heavily on Medicare, which
exposes it to regulatory and reimbursement changes. The company is
also exposed to labor pressures given its large workforce of
skilled nurses, of which there is a shortage. Exposure to
governance considerations is highly negative (G-4), reflecting
aggressive financial policies under private equity ownership,
though tempered by Ascension's ownership stake.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
Moody's could consider a rating upgrade if the company is able to
profitably increase its scale, diversify its payor base, and
maintain financial and acquisition policies that support gross
debt/EBITDA below 6.0 times, and free cash flow to debt of at least
7.5%, on a sustained basis. An upgrade would also be dependent upon
the company's ability to successfully execute on its preferred
provider role of hospice services for Ascension, nationwide.
The ratings could be downgraded if a weakening of operating cash
flow or increase in investment needs leads to sustained negative
free cash flow, or if the company's liquidity deteriorates. Ratings
could also be downgraded if the company undertakes significant
debt-funded acquisitions or shareholder distributions. Declining
admissions or an adverse impact from changes in the regulatory
environment, such as a reduction in reimbursement rates, could also
result in a downgrade.
FC Compassus, LLC is among the nation's largest private independent
post-acute care service providers. The company provides hospice,
home health and infusion therapy care via 165 hospice and 37 home
health locations across 30 states (including those partially owned
through the Ascension at Home joint venture). For the twelve months
ended September 30, 2022, the company generated net revenues of
approximately $700 million. FC Compassus, LLC is owned by equity
sponsor TowerBrook Capital Partners L.P. and Ascension TowerBrook
Healthcare Opportunities, L.P., a co-investment vehicle, of which
Ascension Capital is the sole limited partner.
The principal methodology used in these ratings was Business and
Consumer Services published in November 2021.
FRANKIE'S COMICS: Seeks to Hire Roscoe & Roscoe as Accountant
-------------------------------------------------------------
Frankie's Comics LLC seeks approval from the U.S. Bankruptcy Court
for the Eastern District of North Carolina to employ Roscoe &
Roscoe, PA as its accountant.
The Debtor requires an accountant to assist with bookkeeping,
prepare its federal and state tax returns and tax reports, and
perform other accounting services it needs as part of its Chapter
11 bankruptcy proceedings.
The firm will be paid at these rates:
Jeff Roscoe, CPA $160 per hour
Staffs $80 per hour
Jeff Roscoe, CPA, a partner at Roscoe & Roscoe, 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:
Jeff Roscoe, CPA
Roscoe & Roscoe, PA
1001 Pemberton Hill Rd. #201
Apex, NC 27502
Tel: (919) 362-7600
About Frankie's Comics
Frankie's Comics, LLC, a comic bookstore in Apex, N.C., sought
protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr.
E.D.N.C. Case No. 22-02892) on Dec. 14, 2022. In the petition
signed by its owner and manager, Kevin Fields, the Debtor disclosed
up to $10 million in both assets and liabilities.
Judge Joseph N. Callaway oversees the case.
Stevens Martin Vaughn & Tadych, PLLC and Roscoe & Roscoe, PA are
the Debtor's legal counsel and accountant, respectively.
FREE SPEECH: Alex Jones Still Spending $100K a Month
----------------------------------------------------
Joshua Zitser of Insider reports that bankrupt Alex Jones, who owes
almost $1.5 billion to relatives of Sandy Hook victims, is spending
nearly $100,000 a month.
InfoWars founder Alex Jones owes almost $1.5 billion in
court-awarded damages to the families of the victims of the 2012
Sandy Hook school shooting. But the bankrupt conspiracy theorist is
still spending nearly $100,000 a month, according to bankruptcy
paperwork.
The paperwork, which was filed this week with a Texas bankruptcy
court, includes details about Jones' possessions, assets, debts,
and spending.
According to the filings, Jones' estimated monthly expenses total
$99,645.
Jones' biggest monthly outgoings included more than $40,000 on
taxes, $14,000 on childcare and education, $10,000 on alimony and
child support, and $7,450 monthly spending on home repairs and
maintenance.
The filings also show that he spends $4,500 a month in total on
entertainment, clubs, recreation, newspapers, magazines, and
books.
Jones filed for personal bankruptcy late last year, citing the
debts he owed as a result of court-awarded damages related to
spreading false claims about the Sandy Hook shooting.
Jones claimed that the shooting was staged by the US government to
provide a pretext for restricting gun ownership.
In November 2022 he was ordered to pay $965 million in compensatory
damages to families who lost loved ones in the shooting, and a
further $473 million in punitive damages.
The bankruptcy filings show that Jones currently owns three homes
in Austin, Texas, three cars, and two boats. His assets are worth
approximately $10 million.
Jones listed himself as a media personality and "dietary supplement
sales" โ the latter a reference to the supplements and health
products he sells via InfoWars.
In another document from the bankruptcy filings, in a section to
disclose property in his possession but not owned by him, Jones
declared that he was "holding firearms for certain January 6th
participants."
Jones had been subpoenaed by the House Select Committee
investigating the January 6 insurrection for his part in organizing
the "Stop the Steal" rally that preceded the riot.
Insider reported that he pleaded the fifth to almost all of the
questions asked by investigators.
About Free Speech Systems
Free Speech Systems LLC is a broadcast media production and
distribution company that provides broadcasting aural programs by
radio to the public. Free Speech Systems is a family-run business
founded by Alex Jones.
FSS is presently engaged in the business of producing and
syndicating Jones' radio and video talk shows and selling products
targeted to Jones' loyal fan base via the Internet. Today, FSS
produces Alex Jones' syndicated news/talk show (The Alex Jones
Show) from Austin, Texas, which airs via the Genesis Communications
Network on over 100 radio stations across the United States and via
the internet through websites including Infowars.com.
Due to the content of Alex Jones' shows, Jones and FSS have faced
an all-out ban of Infowars from mainstream online spaces. Shunning
from financial institutions and banning Jones and FSS from major
tech companies began in 2018.
Conspiracy theorist Alex Jones was sued by victims' family members
over Jones' lies that the 2012 Sandy Hook Elementary School
shooting was a hoax.
Jones' InfoW LLC and affiliates, IWHealth, LLC and Prison Planet
TV, LLC, filed petitions under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 22-60020) on April
18, 2022.
The Debtors agreed to the dismissal of the Chapter 11 cases in June
2022 after the Sandy Hook victim families dismissed the three
bankrupt companies from their lawsuits.
Free Speech Systems filed a voluntary petition for relief under
Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex.
Case No. 22-60043) on July 29, 2022. In the petition filed by W.
Marc Schwartz, as chief restructuring officer, the Debtor reported
assets and liabilities between $50 million and $100 million.
Melissa A Haselden has been appointed as Subchapter V trustee.
Alexander E. Jones filed for personal bankruptcy under Chapter 11
of the Bankruptcy Code (Bankr. S.D. Tex. Case No. 4:22-bk-60043) on
Dec. 2, 2022, listing $1 million to $10 million in assets against
liabilities of $1 billion to $10 billion in liabilities.
Raymond William Battaglia, of Law Offices of Ray Battaglia, PLLC,
is FSS's counsel.รฦรขโฌลก Raymond W. Battaglia and Crowe &
Dunlevy, P.C., led by Vickie L. Driver, Christina W. Stephenson,
Shelby A. Jordan, and Antonio Ortiz are representing Alex Jones.
FTX GROUP: Judge Declines Call for New Probe Into Collapse
----------------------------------------------------------
Dietrich Knauth of Reuters reports that a U.S. bankruptcy judge on
Wednesday, February 15, 2023, denied calls for a new, independent
probe into FTX's collapse, saying that it would be redundant to
other investigations being carried out by the crypto exchange's new
management and law enforcement.
U.S. Bankruptcy Judge John Dorsey rejected the U.S. Department of
Justice's request for an independent examiner at a hearing on
Wednesday in Wilmington, Delaware, noting the proposed
investigation would likely cost more than $100 million and
undermine FTX's goal of "returning value to creditors."
"There are already multiple investigations underway by incredibly
competent and independent parties," Dorsey said. "Every dollar
spent on administrative expenses in these cases is one dollar less
for the creditors."
The U.S. Trustee, the Justice Department's bankruptcy watchdog, had
argued that an independent examiner should be appointed to
investigate allegations of "fraud, dishonesty, incompetence,
misconduct, and mismanagement" that were "too important to be left
to an internal investigation."
FTX and the committee representing its junior creditors opposed
that demand, saying that the proposed examiner would merely
duplicate work already being done by FTX, its creditors, and law
enforcement agencies.
The proposed examination would also drain millions of dollars from
FTX's limited funds, the company argued.
Judge Dorsey expressed confidence at Wednesday's hearing in the
investigation already being handled by FTX's new CEO, John Ray. Ray
is a "consummate professional" with decades of experience cleaning
up the mess left by troubled companies, and he is wholly
independent of FTX's past misconduct, Dorsey said.
Judge Dorsey also said Wednesday that he intends to appoint a fee
examiner to oversee FTX's spending on professional fees in its
bankruptcy.
FTX's bankruptcy attorneys at Sullivan & Cromwell, some of whom are
charging over $2,100 per hour, have incurred nearly $25 million in
fees for work performed from Nov. 12 through Dec. 31, 2022,
according to recent court filings. An attorney for FTX said the
company will propose someone for the role of fee examiner after
consulting with its creditors.
FTX, once among the world's top crypto exchanges, shook the sector
in November 2022 by filing for bankruptcy, leaving an estimated 9
million customers and investors facing billions of dollars in
losses.
FTX's founder Sam Bankman-Fried, who has been accused of stealing
billions of dollars from FTX customers to pay debts incurred by his
Alameda Research hedge fund, has pleaded not guilty to fraud
charges.
He is scheduled to face trial in October 2023. Several former top
executives, including Alameda Research CEO Caroline Ellison, have
pleaded guilty to fraud.
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, 2022, 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.
FTX GROUP: Top SBF Associate Nears Plea Deal
--------------------------------------------
Allyson Versprille of Bloomberg News reports that another former
member of Sam Bankman-Fried's inner circle is planning to plead
guilty to US criminal charges over his role in an alleged multiyear
fraud at collapsed crypto exchange FTX.
Nishad Singh has been hammering out a deal with Manhattan
prosecutors as they prepare to file fraud charges against him,
according to people familiar with the matter. Such an agreement
could involve cooperating with authorities and further isolate
Bankman-Fried, who has pleaded not guilty to an eight-count
indictment and is awaiting trial. The deal with Singh still has to
be finalized.
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, 2022, 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.
GALLERIA WEST: Seeks to Hire Hayward as Legal Counsel
-----------------------------------------------------
Galleria West Loop Investments, LLC seeks approval from the U.S.
Bankruptcy Court for the Western District of Texas to employ
Hayward, PLLC as its legal counsel.
The firm's services include:
a. providing the Debtor with legal advice regarding its powers
and duties in the continued operation of its business and
management of its property;
b. advising the Debtor of its responsibilities under the
Bankruptcy Code;
c. assisting the Debtor in preparing and filing schedules,
statement of affairs, monthly financial reports and other
documents;
d. representing the Debtor in adversary proceedings and other
contested or uncontested matters, both in the bankruptcy court and
in other courts of competent jurisdiction, related to its Chapter
11 case and financial affairs;
e. representing the Debtor in the negotiation and
documentation of any sales or refinancing of property of the
estate, and in obtaining the necessary approvals of such sales or
refinancing by the court; and
f. assisting the Debtor in the formulation of a plan of
reorganization and disclosure statement, and in taking the
necessary steps to obtain approval of such documents.
The firm will be paid at these rates:
Ron Satija, Esq. $500 per hour
Associates $225 to $500 per hour
Paralegals $150 to $195 per hour
In addition, the firm will receive reimbursement for its
out-of-pocket expenses.
The firm received from the Debtors a retainer of 15,000.
Ron Satija, Esq., a partner at Hayward, disclosed in a court filing
that the firm is a "disinterested person" as the term is defined in
Section 101(14) of the Bankruptcy Code.
The firm can be reached through:
Ron Satija, Esq.
Hayward, PLLC
7300 Burnet Rd., Ste. 530
Austin, TX 78757
Telephone: (737) 881-7102
Email: rsatija@haywardfirm.com
About Galleria West Loop Investments
Galleria West Loop Investments, LLC is primarily engaged in renting
and leasing real estate properties. The company is based in Austin,
Texas.
Galleria West Loop Investments sought protection under Chapter 11
of the Bankruptcy Code (Bankr. W.D. Texas Case No. 23-50027) on
Jan. 3, 2023, with $10 million to $50 million in both assets and
liabilities. Judge Craig A. Gargotta oversees the case.
Ron Satija, Esq., at Hayward, PLLC is the Debtor's legal counsel.
GARCIA GRAIN: Files Emergency Bid to Use Cash Collateral
--------------------------------------------------------
Garcia Grain Trading Corporation asks the U.S. Bankruptcy Court for
the Southern District of Texas, McAllen Division, for authority to
use cash collateral for a two-week period.
The Debtor requires cash collateral access to maintain the safety
of the grain elevator facilities it owns and operates, and provide
for funds for management and accounting involved in the collection
of outstanding receivables during the interim period.
FCStone Merchant Services, LLC, holds title to or a security
interest in certain grain inventory located at the Debtor's grain
elevator facility in Progresso, Texas, along with the associated
grain warehouse receipts, cash, accounts receivable, and other
proceeds from the sale of the grain of the Debtor at such facility
to secure the repayment of indebtedness owed to it have an
outstanding balance of an estimated $19.4 million. The Debtor
estimates the value of the grain located at the Progresso facility
to be $7.501 million with accounts receivable derived from the sale
of the grain estimated to total $2.291 million for an aggregate
collateral value of approximately $10 million.
Similarly, Vantage Bank Texas holds title to or a security interest
in grain inventory, machinery and equipment, and other personal
property assets located at the Debtor's grain elevator facilities
located in Santa Rosa and Donna, Texas, and asserts title to or a
security interest in any grain currently located at the Progresso
facility that in the ordinary course of the Debtor's business was
relocated from Santa Rosa/Donna to the Progresso facility in
preparation for its export and sale to the Debtor's customers in
Mexico. Vantage also asserts title to or a security interest in
grain warehouse receipts associated with the grain inventory at
Donna/Santa Rosa, along with any associated cash, accounts
receivable, and other proceeds from the sale of the grain at such
facilities. Vantage claims its collateral interest in such assets
of the Debtor to secure the repayment of indebtedness represented
by promissory notes executed by the Debtor having an estimated
current outstanding balance of $9.1 million.
In addition to its asserted ownership and security interest against
the personal property of the Debtor, Vantage holds deeds of trust
against real property of the Debtor known as the Pitts Property
valued at an estimated $4.960 million Donna/Santa Rosa having a
combined estimated value of $3.5 million; and the Toluca Ranch
titled in a separate entity named Garcia Balli, LLC having an
estimated value of $1.7 million โ altogether having an estimated
total collateral value of $10.2 million.
The Debtor is currently not buying or selling any grain due to the
suspension of its licenses by the Texas Department of Agriculture
which sealed the Progresso facility and Donna/Santa Rosa, along
with a grain elevator facility the Debtor owns in Edcouch, Texas.
Because of its audit of the grain at such sites which concluded
that the Debtor had a significant deficiency in the amount of grain
in inventory as compared to the grain reflected on its books. Since
there is no commercial grain trading being conducted at this time
the expenditures proposed are section 506(c) expenses simply to
maintain the value of the grain elevator facilities. Thus, no other
form of adequate protection is possible currently.
The Debtor currently has in its possession approximately $155,000
of cash collateral in the form of deposits in its depository
accounts from collections of outstanding accounts receivable owing
from its customers.
A copy of the Debtor's motion is available at
https://bit.ly/3ZkHMLR from PacerMonitor.com.
A copy of the Debtor's budget is available at
https://bit.ly/41mw6tG from PacerMonitor.com.
The Debtor projects $155,469 in beginning cash balance and $86,332
in total operating expenses for the period from February 24 to
March 10, 2023.
About Garcia Grain Trading Corp.
Garcia Grain Trading Corp.'s line of business includes buying
and/or marketing grain, dry beans, soybeans, and inedible beans.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. S.D. Tex. Case No. 23-70028) on February
17, 2023. In the petition signed by Octavio Garcia, CEO/president,
the Debtor disclosed up to $50 million in both assets and
liabilities.
David R. Langston, Esq., at Mullin Hoard & Brown, LLP, represents
the Debtor as legal counsel.
GIBRALTAR CAPITAL: Hercules Capital Marks $15M Loan at 15% Off
--------------------------------------------------------------
Hercules Capital Inc has marked its $15,000,000 loan extended to
Gibraltar Business Capital, LLC to market at $12,802,000 or 85% of
the outstanding amount, as of December 31, 2022, according to a
disclosure contained in Hercules Capital's Form 10-K for the fiscal
year ended December 31, 2022, filed with the Securities and
Exchange Commission on February 16, 2023.
Hercules Capital is a participant in an Unsecured Loan to Gibraltar
Business Capital, LLC. The loan accrues interest at a rate of
14.50% per annum. The loan matures in September 2026.
Hercules Capital, Inc is a Maryland corporation formed in December
2003 that began investment operations in September 2004. On
February 25, 2016, it changed its name from Hercules Technology
Growth Capital, Inc. to Hercules Capital, Inc. Specialty Finance
Company. It is focused on providing financing solutions to
high-growth, innovative venture capital-backed and
institutional-backed companies in a variety of technology, life
sciences and sustainable and renewable technology industries.
Gibraltar Business Capital, LLC offers financing solutions. The
Company specializes in providing capital alternatives to commercial
bank loans for businesses, as well as renders financing including
factoring receivable, invoice financing, and collateral loans.
GLOBAL PROCESSING: Taps Nyemaster Goode as Litigation Counsel
-------------------------------------------------------------
Global Processing, Inc. received approval from the U.S. Bankruptcy
Court for the Northern District of Iowa to employ Nyemaster Goode,
P.C. Law Firm as special litigation counsel.
The Debtor needs the firm's legal assistance in connection with the
case (Case No. LACV027075) it filed against Krienke Foods
International, Inc. for breach of contract and unjust enrichment,
which is currently pending in the Iowa District Court for Cherokee
County.
The firm will be paid at these rates:
Roy Leaf $230 per hour
Noah Sattler $205 per hour
Paralegals $90 per hour
The firm received a retainer of $2,000.
Roy Leaf, Esq., a partner at Nyemaster Goode, disclosed in a court
filing that the firm is a "disinterested person" as the term is
defined in Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
Roy Leaf, Esq.
Nyemaster Goode, P.C.
625 First Street SE Suite 400
Cedar Rapids, IA 552401-2030
Tel: (319) 286-7000/(319) 286-7002
Email: rleaf@nyemaster.com
About Global Processing Inc.
Global Processing, Inc. -- http://www.globalprocessing.org/--
supplies customers around the world with value-added, quality,
farm-grown food products. The company is based in Kanawha, Iowa.
Global Processing filed a petition for relief under Chapter 11 of
the Bankruptcy Code (Bankr. N.D. Iowa Case No. 22-00669) on Oct.
24, 2022, with $10 million to $50 million in both assets and
liabilities. David M. Wilcox, president of Global Processing,
signed the petition.
Judge Thad J. Collins oversees the case.
The Debtor tapped Ronald C. Martin, Esq., at Day Rettig Martin, PC
as bankruptcy counsel; Nyemaster Goode, P.C. Law Firm as special
litigation counsel; and Gregory DeWeese, a professional practicing
in Minnesota, as financial advisor.
Mary Jensen, Acting U.S. Trustee for Region 12, appointed an
official committee of unsecured creditors on Dec. 1, 2022. The
committee tapped Gislason & Hunter, LLP as its counsel.
GOPHER RESOURCE: $510M Bank Debt Trades at 23% Discount
-------------------------------------------------------
Participations in a syndicated loan under which Gopher Resource LLC
is a borrower were trading in the secondary market around 77.2
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The $510 million facility is a Term loan that is scheduled to
mature on March 6, 2025. About $470.5 million of the loan is
withdrawn and outstanding.
Gopher Resource, LLC provides recycling services. The Company
offers lead, plastic, and household waste recycling services.
Gopher Resource serves customers in North America.
GRAFTECH FINANCE: Moody's Cuts CFR to B1 & Alters Outlook to Neg.
-----------------------------------------------------------------
Moody's Investors Service has downgraded GrafTech Finance, Inc.'s
Corporate Family Rating to B1 from Ba3, its Probability of Default
Rating to B1-PD from Ba3-PD and the rating on its senior secured
notes and senior secured credit facilities to B1 from Ba3. The
senior secured rating is commensurate with the corporate family
rating since the revolver, term loan and secured notes share in the
same collateral package and account for virtually all of the debt
in the company's capital structure. GrafTech's Speculative Grade
Liquidity Rating ("SGL") was changed to SGL-3 from SGL-1 to reflect
its weaker liquidity profile and expectations for limited
availability on its revolver as it breaches its springing leverage
covenant. The ratings outlook was changed to negative from stable.
Governance and Social considerations were key drivers of this
rating action. Moody's changed GrafTech's ESG credit impact score
to highly negative (CIS-4) from moderately negative (CIS-3) to
reflect the change in its governance issuer profile score and the
existing highly negative environmental and social issuer profile
scores. The governance issuer profile score was changed to G-4 from
G-3 to indicate highly negative governance risks while the
company's financial strategy and risk management and management
credibility and track record subfactor scores were changed to
highly negative risk from moderately negative risk. The change in
these scores reflects operational risk management including
reliance on one facility for all of its pin stock and another
facility for the majority of its needle coke supply and the quality
of relationships with regulators and policy makers in regard to the
suspension of production in Monterrey, Mexico. Moody's maintained
the company's highly negative social risk score (S-4) but changed
the subfactor score for responsible production to highly negative
risk from moderately negative risk to reflect its high legal and
regulatory risks and community stakeholder engagement and
reputational risks as demonstrated by the facility suspension in
Mexico.
"The downgrade of GrafTech's ratings reflects Moody's expectation
for materially weaker operating results and credit metrics in 2023
due to the impact of the temporary suspension of its production
facility in Monterrey, Mexico and the roll off of its volumes
covered under long term agreements at higher price levels. It also
reflects the uncertainty related to the company's ability to regain
market share that was recently lost as it curtailed order intake
due to a shortage of pin stock," said Michael Corelli, Moody's
Senior Vice President and lead analyst for GrafTech Finance, Inc.
Downgrades:
Issuer: GrafTech Finance, Inc.
Corporate Family Rating, Downgraded to B1 from Ba3
Probability of Default Rating, Downgraded to B1-PD from Ba3-PD
Speculative Grade Liquidity Rating, Downgraded to SGL-3 from
SGL-1
Backed Senior Secured Bank Credit Facility, Downgraded to B1
(LGD3) from Ba3 (LGD3)
Senior Secured Regular Bond/Debenture, Downgraded to B1 (LGD3)
from Ba3 (LGD3)
Outlook Actions:
Issuer: GrafTech Finance, Inc.
Outlook, Changed To Negative From Stable
RATINGS RATIONALE
GrafTech's B1 corporate family rating reflects its strong market
position in the graphite electrode sector, its internal needle coke
supply and the continuing gradual shift to electric arc furnace
steel production. The rating also incorporates its moderate scale,
reliance on one product for the majority of its revenues that is
sold to a highly cyclical sector, dependence on a single facility
for the majority of its needle coke and another for its electrode
pin supply, and the fact that its earnings and credit metrics will
materially weaken in the near term.
GrafTech's operating performance began to materially weaken in 2H
2022 due to softening end market demand, higher energy costs and
the impact of the suspension of its Mexican production facility. As
a result, it produced adjusted EBITDA of $541 million in 2022
versus $664 million in 2021 and only $81 million in Q4 2022 versus
$191 million in Q4 2021. Its operating results will deteriorate
further in 2023 and will be extremely weak in the first half of the
year since it curtailed its order intake in late 2022 following the
suspension of production at its facility in Monterrey, Mexico which
is the only GrafTech facility that currently produces pin stock for
its electrodes. It will also be negatively impacted in 2023 as its
high-priced long-term agreements roll off and energy and other raw
material costs remain elevated. Moody's anticipate adjusted EBITDA
will gradually improve as the year progresses but will decline
substantially and be in the range of $100 million - $150 million in
2023.
The significantly weaker operating performance will result in
credit metrics that are very weak for the current rating with an
adjusted leverage ratio (debt/EBITDA) of around 8.0x and interest
coverage (EBITDA/Interest) of about 2.0x. However, Moody's
anticipate the company's operating results will materially improve
in 2024 as it regains some lost market share, rebuilds its
inventory of pins as production is ramped up in Mexico and it adds
pin production to its St. Mary's facility in Pennsylvania, and
benefits from the ongoing shift to EAF steel production. If it
fails to achieve a substantially improved operating performance in
2024 then further ratings downgrades are possible.
GrafTech has consistently generated strong free cash flow over the
past four years and has shifted to a more balanced capital
allocation policy from a focus on shareholder returns as
Brookfield's ownership position has declined to only 25%. The
company repaid about $910 million of term loan debt in years
2020-2022 while repurchasing about $140 million of its common stock
and paying about $52 million in dividends. Moody's anticipate
minimal free cash flow in 2023 based on the very weak operating
performance and the ongoing payment of about $10 million in annual
dividends.
GrafTech's speculative grade liquidity rating of SGL-3 incorporates
its adequate liquidity profile. The company had $135 million of
cash and $327 million of availability on its $330 million revolving
credit facility as of December 2022, which had no outstanding
borrowings and $3 million of letters of credit issued. The revolver
has a springing maximum senior secured first-lien net leverage
ratio of 4.0x at 35% utilization. Moody's do not expect material
revolver utilization but anticipate the company will exceed a
leverage ratio of 4.0x in 2023 which will reduce availability to
$115.5 million in the near term. GrafTech may not generate positive
free cash flow in 2023 but should maintain adequate liquidity even
if availability is reduced on its revolver due to its sizeable cash
balance and is expected to return to positive cash generation in
2024.
The negative outlook incorporates Moody's expectation for
substantially weaker operating results and credit metrics in 2023
and the risk they don't improve to a level that supports the
current rating in 2024.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings upside for GrafTech is limited by its reliance on a
single needle coke facility for the majority of its supply and its
focus on one product category that serves a highly cyclical sector.
However, an upgrade could be considered if the company sustains a
leverage ratio (Debt/EBITDA) below 3.5x, an interest coverage ratio
(EBITDA/Interest) above 3.5x and retained cash flow above 12% of
its outstanding debt.
Moody's could downgrade GrafTech's ratings if its adjusted
financial leverage is sustained above 5.0x, retained cash flow is
maintained below 8% of its outstanding debt, the company
consistently produces negative free cash flow or experiences a
substantive deterioration in liquidity.
Headquartered in Brooklyn Heights, Ohio, GrafTech International
Ltd. manufactures graphite electrodes and needle coke products. The
company has about 230,000 metric tons of electrode capacity
including its facility in St. Mary's, Pennsylvania. GrafTech
generated $1.3 billion in revenues for the twelve months ended
December 31, 2022. An affiliate of Brookfield Capital Partners Ltd
owns about 25% of the outstanding shares of GrafTech.
The principal methodology used in these ratings was Chemicals
published in June 2022.
GTT REMAINCO: $418M Bank Debt Trades at 17% Discount
----------------------------------------------------
Participations in a syndicated loan under which GTT RemainCo LLC is
a borrower were trading in the secondary market around 82.6
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The $418.3 million facility is a Payment-in-Kind Term loan that is
scheduled to mature on December 30, 2027. The amount is fully
drawn and outstanding.
GTT RemainCo LLC is an affiliate of GTT Communications, Inc.,
formerly Global Telecom and Technology, a multinational
telecommunications and internet service provider company with
headquarters in McLean, Virginia, and incorporated in Delaware.
H.M.C. INC: Case Summary & Nine Unsecured Creditors
---------------------------------------------------
Debtor: H.M.C., Inc.
c/o Holdings Management Company
8705 Bollman Place
Savage, MD 20763
Chapter 11 Petition Date: February 24, 2023
Court: United States Bankruptcy Court
District of Maryland
Case No.: 23-11234
Judge: Hon. David E. Rice
Debtor's Counsel: Joseph M. Selba, Esq.
TYDINGS & ROSENBERG LLP
1 E. Pratt Street
Suite 901
Baltimore, MD 21202
Tel: 410-752-9700
Email: jselba@tydingslaw.com
Total Assets: $131,000
Total Liabilities: $3,112,699
The petition was signed by Kara Anne DiPietro as president.
A full-text copy of the petition containing, among other items, a
list of the Debtor's nine unsecured creditors is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/TFPFQWQ/HMC_Inc__mdbke-23-11234__0001.0.pdf?mcid=tGE4TAMA
HANJIN INT'L: Moody's Alters Outlook on 'B1' CFR to Positive
------------------------------------------------------------
Moody's Investors Service has changed the outlook on Hanjin
International Corporation (HIC) to positive from stable.
At the same time, Moody's has affirmed HIC's B1 corporate family
rating and the Ba2 backed senior secured rating on HIC's term loan
due September 2025, which is guaranteed by HIC's parent Korean Air
Lines Co., Ltd. (KAL).
"The outlook change to positive mainly recognizes KAL's
continuously improving capital structure and liquidity position,
which will provide a sizeable financial buffer to absorb the likely
softening of earnings and financial burden of acquiring Asiana
Airlines Co., Ltd.," says Sean Hwang, a Moody's Assistant Vice
President and Analyst.
"The rating action also reflects the continued strong likelihood of
support from parent KAL to HIC, in case of need, a view that is
further reinforced by a just-announced equity injection," adds
Hwang.
RATINGS RATIONALE
HIC's B1 CFR primarily reflects Moody's assessment of a high
likelihood of support from the company's parent KAL, in times of
need. KAL has 100% ownership of HIC and guaranteed all of HIC's
external debt. This assessment results in a two-notch uplift from
HIC's standalone credit quality.
HIC's CFR benefits from the improving credit quality of the parent
and guarantor, KAL. Moody's estimates that KAL's adjusted
consolidated debt (including lease and pension liabilities)
declined further to around KRW12.8 trillion as of the end of 2022
from KRW14.4 trillion a year earlier, while its unrestricted cash
increased to around KRW5.4 trillion from KRW3.8 trillion, driven by
the company's solid cash flow.
As a result and given its very robust earnings in 2022, Moody's
estimates that the company's adjusted gross debt/EBITDA improved to
around 2.8x in 2022 from 4.4x in 2021, and adjusted net debt/EBITDA
improved to around 1.7x from 3.3x during the same period. These
financial metrics provide a significant financial buffer to absorb
earnings volatility and the pending acquisition of Asiana, which
has higher leverage than KAL.
Moody's estimates the combined airline company will have a proforma
adjusted debt/EBITDA of around 5.5x and proforma adjusted net
debt/EBITDA of around 4.0x over the next 12-18 months, assuming a
significant softening in earnings from the very robust levels in
2022 as cargo freight rates normalize. Still, these ratios are
significantly stronger than the levels prior to 2020.
On February 20, 2023, KAL announced that it will inject $713
million of equity into HIC, which HIC will use to repay all of
KAL's existing parent loan and interest payables.[1] Subsequently,
the $400 million term loan will be the only remaining debt in HIC's
capital structure.
This significant debt reduction will alleviate HIC's interest
burden, which, along with improving hotel operations, will help
lift the company's EBITDA-interest coverage to 1.0x-1.5x over the
next 12-18 months from less than 0.5x in 2022. The improving
coverage will, in turn, help stem the company's cash burn and
support liquidity.
This decision also demonstrates KAL's high willingness to support
HIC, and supports Moody's view that the two companies' credit
profiles are closely linked.
That said, HIC's standalone credit profile will remain constrained
by its elevated financial leverage, with its adjusted debt/EBITA
still expected to remain around 8x-10x over the next 12-18 months,
and the small scale of HIC's single-location operations, although
the latter risk is mitigated by the prime location and competitive
profile of its mixed-use building, the Wilshire Grand Center (WGC)
in downtown Los Angeles.
HIC's Ba2 secured term loan remains two notches higher than the
company's CFR, reflecting the first lien on the majority of HIC's
assets including WGC, which significantly enhances the recovery
prospect for term loan creditors. The equity conversion of parent
loans will not materially affect the recovery prospect for the term
loan.
In terms of environmental, social and governance (ESG)
considerations, HIC is exposed to (1) physical climate risks due to
its geographically concentrated operations, (2) long-term societal
risk stemming from the potential shift in business travel and
workplace flexibility, and (3) governance considerations associated
with its track record of high leverage, as well as concentrated
ownership, although the parent's explicit support mitigates these
risks.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
Moody's could upgrade HIC's CFR and term loan rating if KAL's
credit quality can remain steady through maintenance of moderate
financial leverage and adequate liquidity, as well as a successful
integration with Asiana, while continuing its strong support for
HIC through guarantees. Credit metrics that can support the upgrade
include KAL's adjusted debt/EBITDA sustaining below 5.5x.
Moody's could change the outlook on HIC back to stable if KAL's
credit quality weakens significantly because of weaker earnings or
higher debt-funded investment than Moody's expected, such that its
adjusted debt/EBITDA stays above 5.5x. A material deterioration in
KAL's liquidity and access to external funding would also pressure
the ratings.
The principal methodology used in these ratings was Business and
Consumer Services published in November 2021.
Hanjin International Corporation (HIC), a wholly owned subsidiary
of Korean Air Lines Co., Ltd. (KAL), owns the Wilshire Grand Center
(WGC), a 73-story Class A mixed-use building in Los Angeles in the
US.
Korean Air Lines Co., Ltd. is a leading airline company in Korea.
As of December 31, 2022, the company owned a fleet of 132 passenger
aircraft and 23 cargo aircraft serving 120 destinations across 43
countries.
HENDERSON LOGISTICS: Files Emergency Bid to Use Cash Collateral
---------------------------------------------------------------
Henderson Logistics 64, LLC asks the U.S. Bankruptcy Court for the
Northern District of Georgia, Atlanta Division, for authority to
use cash collateral on an emergency basis to continue its
operations in accordance with the proposed budget.
The Debtor requires the use of cash collateral for general
operational and administrative expenses.
Interpool, Inc. d/b/a/ Trac Intermodal, and Treadstone Capital, LLC
assert liens on the Debtor's cash collateral. Interpool received a
default judgment against the Debtor on January 19, 2023. Shortly
thereafter, Interpool garnished the Debtor's operating account for
$172,810. Both the judgment and the garnishment were filed within
90 days of the Petition Date. The Debtor also periodically factors
invoices with Treadstone. There are no funds owed to Treadstone.
The Garnished Funds are currently being held in the registry of the
State Court of Gwinnett County.
To the extent that any interest that the Creditors may have in the
cash collateral is diminished, the Debtor proposes to grant the
Creditors a replacement lien in post-petition collateral of the
same kind, extent, and priority as the liens existing pre-petition,
except that the Adequate Protection Lien will not extend to the
proceeds of any avoidance actions received by the Debtor or the
estate pursuant to chapter 5 of the Bankruptcy Code.
A copy of the Debtor's motion and budget is available at
https://bit.ly/3IyaRMN from PacerMonitor.com.
The Debtor projects total outflows, on a weekly basis, as follows:
$26,946 for the week beginning February 27, 2023;
$21,892 for the week beginning March 6, 2023;
$15,247 for the week beginning March 13, 2023;
$14,797 for the week beginning March 20, 2023; and
$16,946 for the week beginning March 27, 2023.
About Henderson Logistics 64, LLC
Henderson Logistics 64, LLC is a trucking company owned and
operated by Michael Henderson. The Debtor sought protection under
Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No.
23-51792) on February 23, 2023. In the petition signed by Michael
Henderson, chief executive officer, the Debtor disclosed up to $1
million in assets and up to $500,000 in total liabilities.
William Rountree, Esq., at Rountree, Leitman, Klein & Geer, LLC,
represents the Debtor as legal counsel.
HOLDINGS MANAGEMENT: Case Summary & 20 Top Unsecured Creditors
--------------------------------------------------------------
Debtor: Holdings Management Company
d/b/a HMC
8705 Bollman Place
Suite 100
Savage, MD 20763
Business Description: The Debtor manufactures a wide range of
commercial custom items and packages.
Chapter 11 Petition Date: February 24, 2023
Court: United States Bankruptcy Court
District of Maryland
Case No.: 23-11233
Debtor's Counsel: Joseph M. Selba, Esq.
TYDINGS & ROSENBERG LLP
1 E. Pratt Street
Suite 901
Baltimore, MD 21202
Tel: 410-752-9700
Email: jselba@tydingslaw.com
Total Assets: $4,401,707
Total Liabilities: $6,421,975
The petition was signed by Kara Anne DiPietro as president.
A full-text copy of the petition containing, among other items, a
list of the Debtor's 20 largest unsecured creditors is available
for free at PacerMonitor.com at:
https://www.pacermonitor.com/view/XF5HDTA/Holdings_Management_Company__mdbke-23-11233__0001.0.pdf?mcid=tGE4TAMA
HOLDINGS MANAGEMENT: Files Emergency Bid to Use Cash Collateral
---------------------------------------------------------------
Holdings Management Company asks the U.S. Bankruptcy Court for the
District of Maryland for authority to use cash collateral and
provide adequate protection.
The Debtor requires the use of cash collateral to fund its ongoing
operations including payroll.
The Debtor is currently suffering significant cashflow issues due
to non-payment on two projects for which it has already completed
work. One being a local state college where the total for all work
performed by the Debtor exceeds $2.5 million, yet the Debtor
remains to be paid approximately $1 million by the general
contractor, despite the completion in September 30, 2022 and with
no deficiencies reported as to HMC's work. The second project being
a federal government building in Northern Virginia, where the
Debtor completed work of approximately $1.8 million, yet has been
paid less than $850,000.
These projects have not only strained cashflow for the Debtor, but
has had the result of straining the Debtor's relationships with its
suppliers and subcontractors. Furthermore, because of the
non-payment, HMC was not able to afford its employer sponsored
healthcare plan, and could not meet its regular obligations to
financial partners, landlord, and others.
On May 5, 2022, the Debtor entered into a term loan and revolving
line of credit with Respondent, Sandy Spring Bank, in the combined,
stated principal amount of $1.5 million.
On May 16, 2022, the Bank filed a UCC Financing Statement asserting
a lien in all assets of the Debtor.
The outstanding balance claimed by the Bank under the Loan and
Security Agreement is believed to approximately $1.623 million,
less the amount of the setoff(s) recently effected by the Bank.
Several of the projects that the Debtor has worked on and/or is
currently working on required the Debtor to provide surety bonds to
guarantee the performance and payment of the Debtor's obligations
to its counterparts.
The Debtor's current sureties are Respondents Great Midwest
Insurance Company and Aegis Security Insurance Company.
The Sureties are believed to assert first priority claims to
contract funds on bonded jobs, including by way of applicable
construction trust fund statutes for the benefit of the Debtor's
subcontractors.
In lower priority to the claims of the Bank and the Sureties, there
are a number of parties that are believed to assert secured
interests against the Collateral; namely the remaining Respondents:
(i) Howard County Economic Development Authority, (ii) Brickstone
Group; (iii) Idea 247, Inc.; (iv) State Employees Credit Union of
Maryland, Inc.; (v) Capital Assist, LLC; C; and (vi) QFS Capital
LLC.
The Debtor proposes, as additional "adequate protection" of the
Bank's interest in cash collateral to grant the Bank a security
interest of the same priority and to the same extent as its
respective pre-petition security interest in its collateral base,
and all profits, offspring, and proceeds of the Bank's collateral.
A copy of the motion is available at https://bit.ly/3kuzrX6 from
PacerMonitor.com.
About Holdings Management Company
Holdings Management Company is a Maryland corporation and
commercial manufacturer of custom architectural millwork packages
and acoustic building materials. The company was founded in 2019 to
play an active role in the next era of manufacturing innovation,
growth, and development. As a 100% woman-owned, small business,
Holdings Management is contracted by large and mid-size
construction managers, general contractors, product designers,
architects, procurement managers, supply chain buyers, origin
manufacturers, resellers, and wholesalers.
Holdings Management sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Md. Case No. 23-11233) on February 24,
2023. In the petition signed by Kara Anne DiPietro, president, the
Debtor disclosed up to $10 million in assets and up to $10 million
in liabilities.
Joseph M. Selba, Esq., at Tydings & Rosenberg LLP, as legal
counsel.
HONEY CREEK: Case Summary & Three Unsecured Creditors
-----------------------------------------------------
Debtor: Honey Creek Partners, L.P.
fka Honey Creek Ranch Corporation
2300 Olympia Drive
Unit 271071
Flower Mound TX 75027
Business Description: The Debtor is engaged in activities
related to real estate.
Chapter 11 Petition Date: February 24, 2023
Court: United States Bankruptcy Court
Northern District of Texas
Case No.: 23-30339
Debtor's Counsel: Emily Wall, Esq.
CAVAZOS HENDRICKS POIROT, P.C.
900 Jackson Street
Suite 570
Dallas TX 75202
Tel: (214) 573-7300
Email: ewall@chfirm.com
Estimated Assets: $50 million to $100 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Jon Bayless, president & CEO of GP.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/Z3FO6BQ/Honey_Creek_Partners_LP__txnbke-23-30339__0001.0.pdf?mcid=tGE4TAMA
List of Debtor's Three Unsecured Creditors:
Entity Nature of Claim Claim Amount
1. Megatel Homes III, LLC Lawsuit $0
c/o Mark L. Johansen
Reed Smith LLP
2850 N. Harwood St.,
Suite 1500
Dallas, TX 75201
2. Matrix Equities, Inc. $0
c/o Joshua D. Kipp
Carrington Coleman
Sloman et al
901 Main Street, Suite 5500
3. Honeycreek Venetian, LLC Lawsuit $0
c/o Mark L. Johansen
Reed Smith LLP
2850 N. Harwdood St.,
Suite 1500
HYRECAR INC: Case Summary & 20 Largest Unsecured Creditors
----------------------------------------------------------
Debtor: HyreCar, Inc.
1001 Wilshire Boulevard PMB 2196
Los Angeles, CA 90017
Business Description: The Debtor's core business is the operation
of a virtual car-sharing marketplace that
allows individual and commercial car owners
to rent their idle cars to ride-sharing
service drivers. The Debtor further
provides commercial automobile insurance
coverage to both owners and drivers through
the marketplace.
Chapter 11 Petition Date: February 24, 2023
Court: United States Bankruptcy Court
District of Delaware
Case No.: 23-10259
Debtor's
General
Bankruptcy
Counsel: GREENBERG GLUSKER FIELDS CLAMAN &
MACHTINGER LLP
Debtor's
Local
Delaware
Counsel: Andrew J. Roth-Moore, Esq.
COLE SCHOTZ P.C.
500 Delaware Avenue, Suite 1410
Wilmington, DE 19801
Tel: (302) 652-3131
Email: aroth-moore@colescotz.com
Debtor's
Securities
Law Counsel: RAINES FELDMAN
Debtor's
Claims,
Noticing Agent
and Administrative
Advisor: DONLIN RECANO & COMPANY, INC.
Debtor's
Investment
Banker: ZUKIN PARTNERS LLC
Total Assets as of Dec. 31, 2022: $16,480,799
Total Debts as of Dec. 31, 2022: $18,407,037
Estimated Assets: $10 million to $50 million
Estimated Liabilities: $10 million to $50 million
The petition was signed by Eduardo Iniguez, CEO, CFO.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/Y33MYXI/HyreCar_Inc__debke-23-10259__0001.0.pdf?mcid=tGE4TAMA
List of Debtor's 20 Largest Unsecured Creditors:
Entity Nature of Claim Claim Amount
1. Aon Risk Insurance Services Insurance $1,879,206
West, Inc
P.O. Box 849832
Suite 2800
Los Angeles CA 90084-9832
Mary Nicolini
Tel: 415.486.7278
Email: mary.nicolini@aon.com
2. Latham & Watkins LLP Legal Services $1,061,346
10250 Constellation Blvd
Suite 1100
Los Angeles CA 90067
Joshua Hamilton
Email: Joshua.Hamilton@lw.com
Tel: 424.653.5500; 213.891.8742
3. TTEC BV Trade Debt $907,978
9197 South Peoria Street
Englewood CO 80112
Jason Roque
Tel: 303.397.8100
Email: arglobal@ttec.com; billing@ttec.com
4. Polsinelli Legal Services $672,065
2049 Century Park East
Ste 2900
Los Angeles CA 90067
Bryan Wasser
Tel: 310.203.5308
Email: lkattam@polsinelli.com;
BWasser@polsinelli.com
5. Sedgwick Claims Insurance $609,507
Management Services
PO Box 14670
Sedgwick
Lexington KY 40512-4670
Clint Christman
Tel: 515.698.8907
Email: clint.christman@sedgwick.com
6. HyreDrive Contract $487,730
3350 SW 148th Ave
Suite 202
Miramar FL 33027
Email: hello@hyredrive.com
7. ThoughtWorks, Inc Trade Debt $448,247
200 E. Randolph
25th Floor
Chicago IL 60601
Alena Puri
Tel: 312- 373-1000; 312.874.1415
Email: alena.puri@thoughtworks.com
8. Weil, Gotshal & Manges, LLP Legal Services $305,524
767 Fifth Ave
New York NY 10153
Tel: 201.892.5435
9. O'Melveny Legal Services $294,287
610 Newport Center Drive
17th Floor
Newport Beach CA 92660
Tel: 213.430.6000
Email: mclose@omm.com
10. Northland Capital Markets - Professional $250,000
Vendor Services
150 South Fifth Street
Ste 3300
Minneapolis MN 55402
Jeff Peterson
Tel: 800.851.2920
Email: wires@northlandsecurites.com;
jpeterson@northlandcapitalmarkets.com
11. Fenwick & West LLP Trade Debt $175,688
801 California Street
Mountain View CA 94041
Tel: 650.428.4422
Email: accountsreceivable@fenwick.com
12. NANLABS, INC. Trade Debt $140,760
2035 Sunset Lake Road
Suite B-2
Newark DE 19702
Adrian Etcheverry
Tel: 221.603.6556
Email: adrian.etcheverry@nan-labs.com
13. Mitek Trade Debt $138,139
600 B Street
Suite 100
San Diego CA 92101
Pete Chumpitaz
Tel: 619.269.680
Email: pchumpitaz@miteksystems.com
14. Davis Wright Tremaine Legal Services $131,655
920 Fifth Avenue
Suite 3300
Seattle WA 98104
Tel: 206.622.3150
15. Mitchell Silberberg & Knupp Legal Services $130,254
LLP - Vendor
2049 Century Park East
18th Floor
Los Angeles CA 90067
Tel: 310-312-3177
16. Snapsheet, Inc. Trade Debt $129,842
1 North Dearborn St.
Suite 600
Chicago IL 60602
Connor Cherette
Tel: 312-429-5809
Email: finance@snapsheet.me
17. Rexford Industrial Realty Unpaid Rent $117,673
11620 Wilshire Boulevard
Suite 1000
Los Angeles CA 90025
Jorge Contreras
Tel: 310.966.3800
Email: jcontreras@rexfordindustrial.com;
eric.duncanson@cushwake.com
18. CHECKR.COM Trade Debt $93,772
One Montgomery St
Suite 2000
San Francisco CA 94104
Michael Weiner
Tel: 844 824 3257
Email: jared.ricci@checkr.com;
Email: michael.weiner@checkr.com
19. Assurant Insurance $84,889
11222 Quail Roost Drive
Miami FL 33157
Jennifer Rios
Tel: 305.992.1739
Email: elvira.seijo@assurant.com;
Email: jennifer.rios@assurant.com
20. Halpern May Ybarra Gelberg LLP Legal Service $79,389
550 South Hope Street
Ste 2330
Los Angeles CA 90071
Grant Gelberg
Tel: 213.402.1910
Email: grant.gelberg@halpernmay.com
HYRECAR INC: Seeks $5MM DIP Loan from Holmes Motors
---------------------------------------------------
HyreCar Inc. asks the U.S. Bankruptcy Court for the District of
Delaware for authority to obtain postpetition secured financing in
the form of a Senior Secured Debtor-in-Possession Term Loan and
Security Agreement dated as of February 24, 2023.
Holmes Motors Inc. has committed to provide an aggregate principal
amount of $5 million, with $3.1 million to be funded upon interim
approval of the Debtor's request, and the balance of $1.9 million
funded during the week ended March 17, 2023. The DIP Loan will
allow, and is necessary for, the Debtor to fund its ordinary course
operating expenses while at the same time ensuring a competitive
and thorough sale process.
The Debtor will use the proceeds of the DIP Loan to, among other
things, fund the Debtor's restructuring efforts, including the
marketing and sale of substantially all of its assets, and the
administration of the Debtor's Chapter 11 Case.
The DIP financing matures through the earliest to occur of:
(i) the date that is 71 days after the Interim Funding Date;
(ii) the effective date of a Chapter 11 plan of the Borrower;
(iii) the consummation of a Sale Transaction or other
Disposition of the Acquired Assets of the Borrower under Section
363 of the Bankruptcy Code or otherwise; and
(iv) the acceleration of the DIP Loan, including, without
limitation, as a result of the occurrence of an Event of Default.
The DIP Loan will bear interest at a fixed rate per annum equal to
6.00% per annum. After the occurrence and during an Event of
Default, the interest rate will bear an additional 4.00% per
annum.
The Debtor is required to comply with these milestones:
A. (i) A sale motion establishing procedures for the sale of
the Acquired Assets, which is acceptable to the DIP Lender, and
(ii) a motion for the Interim DIP Order filed with the Bankruptcy
Court on or prior to the first Business Day after the after the
funding of the Interim DIP;
B. An order of the Bankruptcy Court approving the bidding
procedures for the sale of the Acquired Assets that are acceptable
to the DIP Lender and the Interim DIP Order is entered within seven
Business Days after the Interim Funding Date.
C. The deadline for submission of competing bids with respect
to the Acquired Assets occurs within 55 calendar days after the
date of the Interim Funding Date;
D. The auction for the sale of the Acquired Assets (if needed)
occurs within 60 calendar days after the Interim Funding Date;
E. The order of the Bankruptcy Court approving the sale of the
Acquired Assets is entered within three Business Days after the
date of the Auction;
F. The closing of the sale of the Acquired Assets occurs
within three Business Days after the date of the Final Sale Order;
and
G. The Final DIP Order will have been entered by March 20,
2023, unless such date is extended with the consent of the Lender.
As adequate protection for the Debtor's use of the "cash
collateral" of the DIP Lender, the lender will receive:
(a) a continuing security interest in and to and Lien on all
of the Collateral, whether now owned or existing or thereafter
created, acquired, or arising and wheresoever located; which will
be a Superpriority Security Interest in favor of the Lender,
subject only to the Carve-Out Interests; and
(b) as part of the definition of a "Superpriority Security
Interest", the DIP Lender is granted a superpriority administrative
expense claim having priority over any or all administrative
expenses and other claims of the kind specified in, or otherwise
arising or ordered under, any sections of the Bankruptcy Code.
A copy of the motion is available at https://bit.ly/3m4xYqN from
PacerMonitor.com.
About HyreCar Inc.
HyreCar Inc. operates a virtual car-sharing marketplace that allows
individual and commercial car owners to rent their vehicles to
ride-sharing service drivers. HyreCar further provides commercial
automobile insurance coverage to both owners and drivers through
the marketplace.
HyreCar sought protection under Chapter 11 of the U.S. Bankruptcy
Code (Bankr. D. Del. Case No. 23-10259) on February 24, 2023. In
the petition signed by Eduardo Iniguez, chief executive officer,
the Debtor disclosed up to $50 million in both assets and
liabilities.
Andrew J. Roth-Moore, Esq., at Cole Schotz, P.C., represents the
Debtor as legal counsel.
INDIE BREWING: Unsecured Creditors Will Get 100% of Claims in Plan
------------------------------------------------------------------
Indie Brewing, LLC, filed with the U.S. Bankruptcy Court for the
Central District of California a Disclosure Statement describing
Chapter 11 Plan dated February 23, 2023.
The Debtor operated a craft brewery and tasting room in the Boyle
Heights section of Los Angeles from 2015 through 2022. The Debtor
had been profitable in the past, and was very well regarded,
however, a number of events impacted its ability to continue
profitable operations. First, due to the COVID Pandemic its
Business was severely impacted.
Second, prior to and throughout the COVID Pandemic and presently
the Debtor has had a number of disputes with its landlord, 2301
East 7th Street, LLC (the "Landlord"). In March 2021, the Landlord,
sued the Debtor and its members for failure to pay rent during the
Pandemic. The lawsuit resulted in even further duress of the Debtor
and its members at a time when it was losing a significant amount
of money and barely operating.
The sale to Tortugo Brewing Company, LLC in addition to
consideration of $7,200 paid to the Debtor by Tortugo, the
Bankruptcy Court also authorized the assumption and assignment of
the obligations of the debtor to U.S. Bank Equipment Finance
estimated to be approximately $89,176.56 plus accrued interest.
U.S. Bank had a secured 1st priority interest on the equipment sold
and assigned to Tortugo. This sale reduced the Debtors liability to
U.S. Bank to zero.
The Plan is a liquidation plan in which the Debtor has reorganized
its business operations by selling its personal property assets
during the bankruptcy case and paying certain secured creditors on
their security interests, and continuing to litigate a claim
against its previous landlord which is the only remaining material
asset of the bankruptcy estate. Once the litigation Is resolved,
and if the Debtor is successful in the litigation, the Debtor will
be able to make orderly distributions to creditors of the Debtor's
estate (the "Estate") on their prepetition claims.
The Debtor estimates that such distributions will be accomplished
approximately 2 years from the effective date of the Plan.
Therefore, payments under the Plan will be made from the proceeds
of the litigation of the Debtor's claims against its previous
landlord. If the Debtor is not successful in the litigation, then
it is anticipated that creditors will not receive any distributions
from the Estate. Thus, the Plan is a liquidation Plan.
Class 5 consists of General Unsecured Claims. The Reorganized
Debtor will pay creditors holding Allowed Class 5 General Unsecured
Claims from the proceeds of the Litigation within 30 days of the
Debtor receiving such proceeds, if the Debtor is successful. The
Debtor anticipates that if successful in the Litigation it will be
able to pay Class 5 creditors in full on their Allowed Claim. This
class is impaired.
The treatment of Class 5 claim holders will be in full settlement
and satisfaction of all obligations of the Debtor to holders of
Class 5 claims. The allowed unsecured claims total $160,7411. This
Class will receive a distribution of 100% of their allowed claims.
The Debtors equity interests will retain equal interests in the
Reorganized Debtor.
The Plan will be funded by the proceeds of the Litigation against
the Landlord, in which the Debtor claims damages of at least
$600,000 primarily based upon the Landlord's bad faith actions in
not consenting and interfering with the Sale of the Business to the
Second Buyer, and the Landlord violating the Moratorium imposed by
the County of Los Angeles by demanding rent to be paid that was not
yet due. If the Debtor is successful, it is expected to obtain a
judgment of at least $600,000 against the Landlord which should
enable to pay creditors in full.
A full-text copy of the Disclosure Statement dated February 23,
2023 is available at https://bit.ly/3m6QPSc from PacerMonitor.com
at no charge.
Attorneys for Debtor:
Michael S. Kogan, Esq.
KOGAN LAW FIRM, APC
11500 W. Olympic Blvd., Suite 400
Los Angeles, California 90064
Telephone: (310) 954-1690
Email: mkogan@koganlawfirm.com
About Indie Brewing
Indie Brewing LLC -- https://indiebrewco.com/ -- is a
California-based brewing company.
Indie Brewing sought Chapter 11 bankruptcy protection (Bankr. C.D.
Cal. Case No. 22-12633) on May 10, 2022. In the petition filed by
Kevin M. O'Malley, member, Indie Brewing estimated between $500,000
and $1 million in both assets and liabilities.
Judge Ernest M. Robles oversees the case.
The Debtor tapped Michael S. Kogan, Esq., at Kogan Law Firm, APC as
counsel and Marton & Associates as accountant.
INLAND BOAT: Unsecureds Will Get 29% of Claims in Subchapter V Plan
-------------------------------------------------------------------
Inland Boat Club, LLC, filed with the U.S. Bankruptcy Court for the
District of Utah a Plan of Reorganization under Subchapter V dated
February 23, 2023.
The Debtor operates a boat sharing service, where parties to club
contracts may use premium boats owned by the Debtor on lakes and
reservoirs in Utah.
Inland Boat Club currently owns twenty-four Boats that are of the
highest quality on the market. They are manufactured by Nautique,
models G23 and G25. The manufacturer's standard retail price for
these boats is currently $285,000.
On October 27, 2022, the Bankruptcy Court approved the Debtor's
sale of a 2021 Nautique G23 Paragon owned by the Debtor for
$245,000 to Open Waters, LLC. The Court ordered the Debtor to
segregate the full amount of the sale proceeds pending further
order of the Court regarding who is entitled to the proceeds of the
sale.
On Dec. 16, 2022, the Debtor and Babeak Holdings LLC signed a
Letter of Intent for the sale of most of the Debtor's Assets to
Babeak Holdings LLC for $5,000,000, subject to an auction for which
the Debtor will seek approval and filed a motion for approval of an
auction and procedures related to the auction. Babeak Holdings LLC
did not make the required $250,000 earnest money deposit and the
Debtor eventually agreed to an offer from Westover for the purchase
of most of the Debtor's assets for $5,000,000, consisting of a
credit bid of $3,670,000 and cash of $1,330,000 subject to an
auction.
By a memorandum of understanding dated February 17, 2023 (the
"Westover MOU"), the Debtor and Westover agreed to a sale on these
terms and on February 18, 2023, filed an amended motion for
approval an auction and auction procedures. The Debtor will ask for
approval of the winning bidder in connection with confirmation of
this Plan.
The Plan and a separate auction and sale motion being filed by the
Debtor contemplate the sale of the Debtor's Assets. The Sale
Proceeds, which should be in excess of $5,000,000 from the Sale of
Assets and other Assets of the Debtor that are not being sold to
the Purchaser are sufficient to pay Allowed Secured Claims, Allowed
Administrative and Priority Claims, provide funds for the
Reorganized Debtor and Subchapter V Trustee to dispute claims made
by certain parties asserting claims against the Debtor and causes
of action including Avoiding Actions, and to make a meaningful
distribution to Allowed Unsecured Claims.
Class 3 consists of General Unsecured Claims. After satisfaction in
full or adequate provision for satisfaction in full of all Allowed
Secured Claims, Allowed Administrative Expense Claims and Allowed
Priority Claims, each holder of an Allowed Class 3 Claim will
receive from the Distribution Fund payment up to in full of its
Allowed Class 3 Claim, without interest. Following satisfaction in
full or adequate provision for satisfaction in full of all Allowed
Administrative Expense Claims and Allowed Priority Claims, each
holder of an Allowed Class 3 General Unsecured Claim will receive
its pro rata share will receive its pro rata share of amounts
available from the Distribution Fund on a quarterly basis.
The Debtor has projected that holders of General Unsecured Claims
will receive approximately 29% of the amount of their Allowed
General Unsecured Claims. Following resolution of all disputed
Class 3 Claims and payment of the Reorganized Debtor's costs
associated with such resolution, final distributions shall be made
from the Distribution Fund. Class 3 is impaired by the Plan.
The allowed unsecured claims (including deficiency claims) total
$3,200,000.
Class 4 โ Equity Interests.
* Allowed Class 4A Interests, which consist of outstanding
Class A Units, will be treated as follows: In the unlikely event
that all Classes of Claims are paid in full under the Plan, holders
of Class 4A Interests will receive any remaining funds based on
their ownership in the Debtor. Following final distributions from
the Distribution Fund, the Reorganized Debtor may file articles of
dissolution under state law to dissolve the corporation. Class 4A
is impaired by the Plan.
* Allowed Class 4B Interests, which consist of outstanding
Class B Units, will be treated as follows: In the unlikely event
that all Classes of Claims are paid in full under the Plan, holders
of Class 4B Interests will receive any remaining funds based on
their ownership in the Debtor. Following final distributions from
the Distribution Fund, the Reorganized Debtor may file articles of
dissolution under state law to dissolve the corporation. Class 4B
is impaired by the Plan.
The funds required for the confirmation and performance of this
Plan shall be provided from: (a) the credit bid of Westover, if it
is the prevailing bidder, which has the effect of reducing the
Allowed Secured Claim of Westover and is equivalent to cash; (b)
cash proceeds of the Sale of the Debtor's Assets; and (c) all other
funds held by the Debtor as property of the estate on the date
distributions begin under this Plan.
Most of the Debtor's Assets are to be sold to the Purchaser
pursuant to the Sale, either pursuant to the Confirmation Order or
the Sale Order. The Sale should provide sufficient funds to Pay
Allowed Secured Claims, Allowed Administrative Expense Claims, and
Allowed Priority Claims, to pay Professional Claims incurred in
pursuing objections to Claims and in litigation, including Avoiding
Actions.
A full-text copy of the Plan of Reorganization dated February 23,
2023 is available at https://bit.ly/3Y1PFoq from PacerMonitor.com
at no charge.
Attorneys for the Debtor:
Kenneth L. Cannon II, Esq.
Penrod W. Keith, Esq.
Dentons Durham Jones Pinegar, P.C.
111 South Main Street, Suite 2400
P.O. Box 4050
Salt Lake City, UT 84110-4050
Telephone: (801) 415-3000
Facsimile: (801) 415-3500
Email: Kenneth.Cannon@dentons.com
Penrod.Keith@dentons.com
About Inland Boat Club
Inland Boat Club, LLC -- https://www.inlandboatclub.com/ -- is a
boat club for avid boaters and water sport enthusiasts. It is based
in Lindon, Utah.
Inland Boat Club sought bankruptcy protection under Subchapter V of
Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Utah Case No.
22-21879) on May 20, 2022, listing as much as $10 million in both
assets and liabilities. D. Ray Strong of Berkeley Research Group
serves as Subchapter V trustee.
Judge R. Kimball Mosier oversees the case.
Kenneth L. Cannon, II, Esq., and Penrod W. Keith, Esq., at Dentons
Durham Jones Pinegar P.C. are the Debtor's bankruptcy attorneys.
INPIXON: Issues 462,626 Common Shares to Two Noteholders
--------------------------------------------------------
Inpixon disclosed in a Form 8-K filed with the Securities and
Exchange Commission it has issued 134,758 shares of its common
stock to the holder of that certain outstanding promissory note of
the Company issued on March 18, 2020, at a price of $1.09 per
share, which is equal to the Minimum Price as defined in Nasdaq
Listing Rule 5635(d), in connection with the terms and conditions
of an Exchange Agreement, dated Jan. 31, 2023, pursuant to which
the Company and the holder agreed to (i) partition a new promissory
note in the form of the March 2020 Note in the original principal
amount of $146,886.43 and then cause the outstanding balance of the
March 2020 Note to be reduced by $146,886.43; and (ii) exchange the
partitioned notes for the delivery of the Exchange Common Shares.
Additionally, the Company has issued 327,868 Exchange Common Shares
to the holder of that certain outstanding promissory note of the
Company issued on July 22, 2022, at a price of $0.915 per share,
which is equal to the Minimum Price as defined in Nasdaq Listing
Rule 5635(d), in connection with the terms and conditions of an
Exchange Agreement, dated Feb. 13, 2023, pursuant to which the
Company and the holder agreed to (i) partition a new promissory
note in the form of the July 2022 Note in the original principal
amount of $300,000 and then cause the outstanding balance of the
July 2022 Note to be reduced by $300,000; and (ii) exchange the
partitioned notes for the delivery of the Exchange Common Shares.
The offer and sale of the Exchange Common Shares was not registered
under the Securities Act of 1933, as amended, in reliance on an
exemption from registration under Section 3(a)(9) of the Securities
Act, in that (a) the Exchange Common Shares were issued in
exchanges for partitioned notes which are other outstanding
securities of the Company; (b) there was no additional
consideration of value delivered by the holders in connection with
the exchanges; and (c) there were no commissions or other
remuneration paid by the Company in connection with the exchanges.
As of Feb. 17, 2023, after taking into account the issuance of the
Exchange Common Shares, the Company has 13,844,472 shares of common
stock outstanding.
About Inpixon
Headquartered in Palo Alto, Calif., Inpixon (Nasdaq: INPX) is an
indoor data company and specializes in indoor intelligence. The
Company's indoor location data platform and patented technologies
ingest and integrate data with indoor maps enabling users to
harness the power of indoor data to create actionable
intelligence.
Inpixon reported a net loss of $70.13 million for the year ended
Dec. 31, 2021, a net loss of $29.21 million for the year ended Dec.
31, 2020, a net loss of $33.98 million for the year ended Dec. 31,
2019, and a net loss of $24.56 million for the year ended Dec. 31,
2018. As of Sept. 30, 2022, the Company had $108.59 million in
total assets, $21.61 million in total liabilities, $53.20 million
in mezzanine equity, and $33.79 million in total stockholders'
equity.
KJMN PROPERTIES: Hits Chapter 11 Bankruptcy Protection
------------------------------------------------------
KJMN Properties LLC filed for chapter 11 protection in the Northern
District of California without stating a reason.
According to court filings, KJMN Properties estimates between $1
million and $10 million in debt owed to 1 to 49 creditors. The
bare-bones petition states that funds will be available to
unsecured creditors.
A tele/videoconference meeting of creditors under 11 U.S.C. Section
341(a) is slated for March 21, 2023 at 10:00 a.m.
About KJMN Properties LLC
KJMN Properties LLC filed a petition for relief under Chapter 11 of
the Bankruptcy Code (Bankr. N.D. Cal. Case No. 23-50160) on Feb.
15, 2023. In the petition filed by Kim Narog, as managing member,
the Debtor reported assets and liabilities between $1 million and
$10 million each.
The Debtor is represented by:
E. Vincent Wood, Esq.
The Law Offices of E. Vincent Wood
4680 Meritage Ct.
Gilroy, CA 95020
Tel: (925) 278-6680
Fax: (925) 955-1655
Email: vince@woodbk.com
KUBERLAXMI LLC: Unsecureds to Get Share of Income for 60 Months
---------------------------------------------------------------
Kuberlaxmi, LLC, filed with the U.S. Bankruptcy Court for the
Western District of Texas a Subchapter V Plan of Reorganization
dated February 21, 2023.
The Debtor owns and operates a 60-room hotel located at 1101
Country Club Dr. Kirksville, MO 63501 (the "Hotel Property"). The
hotel currently operates outside of a franchise or license systems
and operates independently as the Country Club Inn & Suites.
During 2021-2022, the Debtor has experienced difficulty in
maintaining onsite management of the hotel property. In September,
2021, Celtic Bank provided notice of a foreclosure sale scheduled
to occur on November 29, 2022. On November 26, 2022, the Debtor
commenced this case to stay the foreclose sale noticed by Celtic
Bank.
The Plan generally provides for (I) the full payment of priority
claims including secured property tax claims, (2) the restructuring
of the indebtedness owed to Celtic Bank, the purported first lien
holder with respect to the hotel property, and the treatment of the
allowed secured claim of Celtic Bank, and (3) then the dedication
of the Debtor's net disposable income.
Class 1 consists of the allowed secured claim(s) of any
governmental entity asserting ad valorem property tax claims
against any property of the Debtor (collectively, the "Ad Valorem
Tax Claimants"). The Debtor/Reorganized Debtor shall pay all
amounts allowed and owed to the Ad Valorem Tax Claimants in equal
monthly installments over the 60-month period commencing with the
first full calendar month following the Effective Date. Regardless
of whether the allowed claims are disputed or undisputed, the Ad
Valorem Tax Claimants shall receive interest from the Petition Date
through the Effective Date and from the Effective Date through
payment in full at the state statutory rate.
Class 2 consists of the claim of Celtic Bank. The allowed secured
claim of Celtic Bank will be set at $874,269.00, or as otherwise
may be set by further order of the Court, will accrue interest at
the rate of 5.75% per annum on a 25-year amortization, and will be
paid during (i) months 1-30 after the Effective Date at interest
only and (ii) during months 31-60 after the Effective Date at the
amortized monthly amount under the terms above, with payments under
the foregoing commencing on the first full day of the of the first
full calendar month following the Effective Date.
Class 3 consists of General Unsecured Claims. Class 3 general
unsecured creditors consist of general unsecured claims asserted in
aggregate amount of approximately $1,446,232, consisting of the
Celtic Bank deficiency in the anticipated amount of $1,000,000 and
all other general unsecured claims in the amount of $446,232.
The holders of allowed claims in Class 8 will receive a pro rata
distribution of the net disposable income of the Debtor each month
after the satisfaction of the Plan payments and operating expenses
of the Debtor, for period of 60 months after the Effective Date,
with a distribution occurring at the end of each calendar quarter
commencing with the first full calendar order following the
Effective Date. Class 3 is impaired and may vote for or against the
Plan.
Class 4 consists of General unsecured claims of insiders. The
general unsecured claim of Jatin and Priya Bhatka in the amount of
$400,000 will be allowed in full but will receive no distributions
under the Plan unless and until all of the claims of Class 3 are
paid in full. Class 4 is impaired and may vote for or against the
Plan.
Class 5 consists of Class of Equity Interest Holders. The holders
of equity interests in the Debtor will retain their interests.
Thus, Jatain Bhakta and Priya Bhakta each will retain their 50.00%
interest in the Debtor. Jatin Bhakta and Priya Bhakta shall
continue to own all unit of Kuberlaxmi after the Effective Date.
Each equity interest holder shall retain its interest following
confirmation of the Plan.
Payments and distributions under the Plan will be funded by the
income from the normal operations of the Debtor, and consisting of
operations of the Hotel Property.
The Debtor will prosecute its claims against biBERK / Berkshire
Hathaway business insurance to obtain funds to (i) reduce the
Celtic Bank debt and/or (ii) complete repairs at the hotel property
for the rooms that are not being rented.
A full-text copy of the Plan of Reorganization dated February 21,
2023 is available at https://bit.ly/3KyFiVS from PacerMonitor.com
at no charge.
Counsel to the Debtor:
Jeff Carruth, Esq.
Weycer, Kaplan, Pulaski, & Zuber, P.C.
3030 Matlock Rd., Suite 201
Arlington, Texas 76015
Phone: (713) 341-1058
Facsimile: (866) 666-5322
Email: jcarruth@wkpz.com
About Kuberlaxmi LLC
Kuberlaxmi, LLC is engaged in the business of hospitality and
related services. It owns and operates a 60-room hotel located at
1101 Country Club Dr., Kirksville, Mo.
Kuberlaxmi sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. W.D. Texas Case No. 22-51323) on Nov. 26,
2022. In the petition signed by its manager, Jatin Bhakta, the
Debtor disclosed up to $50,000 in assets and up to $1 million in
liabilities.
Judge Michael M. Parker oversees the case.
Jeff Carruth, Esq., at Weycer, Kaplan, Pulaski and Zuber, P.C. and
Stephen W. Cook, CPA, PLLC serve as the Debtor's legal counsel and
accountant, respectively.
LIGHT OF PEACE: Voluntary Chapter 11 Case Summary
-------------------------------------------------
Debtor: Light of Peace Missionary Baptist Church, Inc.
510 South Glendale Ave.
Rocky Mount, NC 27801
Business Description: The Debtor is a tax-exempt religious
organization.
Chapter 11 Petition Date: February 24, 2023
Court: United States Bankruptcy Court
Eastern District of North Carolina
Case No.: 23-00515
Judge: Hon. Pamela W. Mcafee
Debtor's Counsel: Benjamin R. Eisner, Esq.
THE LAW OFFICES OF OLIVER & CHEEK, PLLC
PO Box 1548
New Bern, NC 28563
Tel: 252-633-1930
Fax: 252-633-1950
Email: ben@olivercheek.com
Total Assets: $1,931,973
Total Liabilities: $230,000
The petition was signed by Barbara Murphy as secretary.
The Debtor stated it has no creditors holding unsecured claims.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/3I3T2GY/Light_of_Peace_Missionary_Baptist__ncebke-23-00515__0001.0.pdf?mcid=tGE4TAMA
LILIS ENERGY: Wins $420K Judgment Against Platinum Oilfield
-----------------------------------------------------------
In the adversary proceeding captioned IN RE LILIS ENERGY, INC., et
al., Chapter 11, Debtors. JOHN D. BAUMGARTNER, solely in his
capacity as the Unsecured Claim Pool Sub-Trustee, Plaintiff, v.
PLATINUM OILFIELD SERVICES LLC, Defendant, Case No. 20-33274,
Adversary No. 22-3149, (Bankr. S.D. Tex.), Bankruptcy Judge Marvin
Isgur for the Southern District of Texas grants the motion for
summary judgment filed by John D. Baumgartner, solely in his
capacity as the Unsecured Claim Pool Sub-Trustee.
On Jan. 13, 2023, John D. Baumgartner moved for summary judgment to
recover preferential payments of $419,832 made to Platinum Oilfield
Services LLC. In response to Baumgartner's motion for summary
judgment, Platinum raises a single defense -- the payments were
made in "the ordinary course of business." Although Platinum fails
to attach a declaration or affidavit in support of that defense, it
does attach a series of purported billing invoices (Exhibit D).
Judge Isgur has reviewed Exhibit D. Some of the invoices reflect
that payments were made on delivery of the goods. Other of the
invoices reflect that payment is immediately due. But none of the
invoices reflect that any payments were not timely made in
accordance with the terms of the invoices. Judge Isgur notices that
there is an absence of any evidence or purported documentation
beyond the bare attachment of the inconclusive invoices as exhibits
to support the ordinary course defense.
Platinum also requests time to complete discovery on its defense,
alleging that additional discovery is needed to establish its
ordinary course defense.
Judge Isgur finds that Platinum is necessarily in possession of its
own invoices and its own records reflecting the timing of the
receipt of payments. Judge Isgur rules that Platinum fails to set
forth anything more than a conclusory statement that the additional
discovery is "necessary to establish its defense" and that Platinum
does not even attempt to explain what information could be obtained
in discovery that is not already contained in its own records.
Accordingly, Judge Isgur grants Baumgartner a judgment in the
amount of $419,832 with costs. The judgment bears an interest at
the rate of 4.69% per annum. Judge Isgur warns Platinum that unless
the judgment is paid in full within 14 days of entry, any claim
held by Platinum is disallowed.
A full-text copy of the Memorandum Opinion dated Feb. 6, 2023, is
available at https://tinyurl.com/mrymv646 from Leagle.com.
About Lilis Energy Inc.
Lilis Energy, Inc. -- https://www.lilisenergy.com/ -- is a
publicly-traded, independent oil and natural gas company focused on
the exploration, development, production, and acquisition of crude
oil, natural gas, and natural gas liquids. Headquartered in Fort
Worth, Texas, Lilis is a pure play Permian Basin company with
focused operations in the Delaware Basin.
Lilis Energy and its affiliates sought protection under Chapter 11
of the Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 20-33274) on
June 28, 2020. As of Dec. 31, 2019, the Debtors had total assets of
$258.6 million and total liabilities of $251.2 million.
Judge David R. Jones oversees the cases.
The Debtors tapped Vinson & Elkins, LLP as legal counsel; Barclays
Capital, Inc., as investment banker and financial advisor; BDO, USA
LLP as accountant and tax advisor; and Stretto as notice, claims
and solicitation agent.
LONGRUN PBC: Seeks to Hire Shatz Schwartz and Fentin as Counsel
----------------------------------------------------------------
Longrun, P.B.C. seeks approval from the U.S. Bankruptcy Court for
the District of Massachusetts to employ Shatz Schwartz and Fentin,
P.C. as its legal counsel.
The Debtor requires legal counsel to:
(a) file bankruptcy schedules and pleadings;
(b) take all steps necessary to authorize use of cash
collateral;
(c) advise the Debtor with respect to its powers and duties in
the continued management, operation and liquidation of its business
and properties, as appropriate;
(d) review all loan and lease documents executed by the Debtor
with its lenders and lessors;
(e) attend meetings and negotiate with representatives of
creditors and other parties in interest;
(f) review and take necessary steps if there are transfers,
which may be avoided as preferential or fraudulent transfers, under
the appropriate provision of the Bankruptcy Code;
(g) take all necessary action to protect and preserve the
Debtor's estate, including the prosecution of actions on the
Debtor's behalf, the defense of any action commenced against the
Debtor, negotiations concerning all litigation in which the Debtor
is or may become involved, and objections to claims filed against
the Debtor's estate;
(h) prepare legal papers;
(i) prepare a plan of liquidation and all related documents, and
take any necessary action on behalf of the Debtor to obtain
confirmation of such plan;
(j) represent the Debtor in connection with any potential
post-petition financing;
(k) advise the Debtor in connection with the sale of assets
outside of the ordinary course of business;
(l) appear before the bankruptcy court, appellate courts and the
Office of the U.S. Trustee;
(m) represent the Debtor with respect to general corporate and
transactional matters;
(n) appear before local authorities or state permitting agency;
and
(o) perform other necessary legal services.
Shatz Schwartz and Fentin will be paid at these rates:
Steven Weiss, Esq. $490 per hour
Mark J. Esposito, Esq. $365 per hour
In addition, the firm will receive reimbursement for out-of-pocket
expenses incurred.
The firm received from the Debtor a retainer in the amount of
$50,000, plus filing fee.
Steven Weiss, Esq., a partner at Shatz Schwartz and Fentin,
disclosed in a court filing that his firm is a "disinterested
person" as the term is defined in Section 101(14) of the Bankruptcy
Code.
The firm can be reached at:
Steven Weiss, Esq.
Shatz Schwartz and Fentin, P.C.
1441 Main Street
Springfield, MA 01103
Tel: (413) 737-1131
Fax: (413) 736 0375
Email: sweiss@ssfpc.com
About Longrun P.B.C.
LongRun P.B.C., doing business as LongRun LLC and Keto & Co., make
low carb food for keto dieters, diabetics, and anyone trying to eat
healthier. It is based in Belmont, Mass.
LongRun P.B.C. filed a petition for relief under Subchapter V of
Chapter 11 of the Bankruptcy Code (Bankr. D. Mass. Case No.
23-10140) on Feb. 1, 2023, with $1 million and $10 million in both
assets and liabilities. Richard Tieken, president and chief
executive officer of LongRun P.B.C., signed the petition.
Judge Christopher J. Panos oversees the case.
The Debtor is represented by Steven Weiss, Esq., at Shatz, Schwartz
and Fentin, P.C.
LUCIRA HEALTH: March 2 Deadline Set for Panel Questionnaires
------------------------------------------------------------
The United States Trustee is soliciting members for committee of
unsecured creditors in the bankruptcy case of Lucira Health, Inc.
If a party wishes to be considered for membership on any official
committee that is appointed, it must complete a questionnaire
available at https://bit.ly/3xRwAut and return by email it to
Joseph Cudia -- Joseph.Cudia@usdoj.gov -- at the Office of the
United States Trustee so that it is received no later than 12:00
p.m., on Thursday, March 2, 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 Lucira Health
Founded in 2013, Lucira is a medical technology company focused on
the development and commercialization of transformative and
innovative infectious disease test kits.
Lucira Health filed a voluntary petition for relief under Chapter
11 of the Bankruptcy Code (Bankr. D. Del., Case No. 23-10242) on
February 22, 2023.
Lawyers at Young Conaway Stargatt & Taylor, LLP and Cooley LLP
serve as counsel to the Debtor, Armanino LLP as its financial
advisors, and Donlin, Recano & Company, Inc. as its claims and
noticing agent.
As of December 2022, the Debtor posted total assets of $145,897,301
and total debts of $84,720,814.
LYONS MAGNUS: $285M Bank Debt Trades at 28% Discount
----------------------------------------------------
Participations in a syndicated loan under which Lyons Magnus Inc is
a borrower were trading in the secondary market around 71.9
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The $285 million facility is a Term loan that is scheduled to
mature on November 14, 2024. The amount is fully drawn and
outstanding.
Lyons Magnus Inc produces and markets food products.
M & J DUMP: Case Summary & Eight Unsecured Creditors
----------------------------------------------------
Debtor: M & J Dump Trucking, LLC
f/d/b/a M & J Trucking, LLC
1240 Liberty Lane
Gallatin, TN 37066
Chapter 11 Petition Date: February 23, 2023
Court: United States Bankruptcy Court
Middle District of Tennessee
Case No.: 23-00643
Judge: Hon. Charles M. Walker
Debtor's Counsel: Steven L. Lefkovitz, Esq.
LEFKOVITZ & LEFKOVITZ
908 Harpeth Valley Place
Nashville, TN 37221
Tel: 615-256-8300
Fax: 615-255-4516
Email: slefkovitz@lefkovitz.com
Total Assets: $1,469,786
Total Liabilities: $1,752,852
The petition was signed by Janice Allardice as majority
shareholder.
A full-text copy of the petition containing, among other items, a
list of the Debtor's eight unsecured creditors is available for
free at PacerMonitor.com at:
https://www.pacermonitor.com/view/RW2TW4Q/M__J_Dump_Trucking_LLC__tnmbke-23-00643__0001.0.pdf?mcid=tGE4TAMA
M & M DEVELOPMENT: Taps Frost & Associates as Bankruptcy Counsel
----------------------------------------------------------------
M & M Development, LLC received approval from the U.S. Bankruptcy
Court for the District of Maryland to employ Frost & Associates,
LLC as its bankruptcy counsel.
The Debtor requires legal counsel to:
a. prepare bankruptcy schedules and financial statements;
b. provide the Debtor with legal advice with respect to its
powers and duties pursuant to the Bankruptcy Code;
c. prepare legal papers;
d. assist in the analyses and provide representations with
respect to lawsuits, which the Debtor is or may be party to;
e. negotiate, prepare, file and seek approval of a plan of
reorganization;
f. represent the Debtor at the meetings of creditors, hearings
and other proceedings; and
g. perform other necessary legal services.
The hourly rates charged by the firm's attorneys range from $425 to
$645. Paralegals, legal assistants and law clerks charge between
$100 and $265 per hour.
The attorneys who are expected to handle the case are:
Daniel Staeven $545 per hour
Bradford Kirby $395 per hour
Rebecca Sheppard $525 per hour
Glen Frost $645 per hour
Law Clerks $100 to $265 per hour
The Debtor paid the firm an advance retainer of $5,000.
As disclosed in court filings, Frost & Associates is a
"disinterested person" within the meaning of Section 101(14) of the
Bankruptcy Code.
The firm can be reached through:
Daniel Alan Staeven, Esq.
Frost & Associates, LLC
839 Bestgate Rd. Ste. 400
Annapolis, MD 21401
Phone: 410-497-5947
Email: daniel.staeven@frosttaxlaw.com
About M & M Development
M&M Development, LLC is primarily engaged in acting as lessors of
buildings used as residences or dwellings. The company is based in
Bowie, Md.
M&M Development filed a petition for relief under Subchapter V of
Chapter 11 of the Bankruptcy Code (Bankr. D. Md. Case No. 23-10687)
on Feb. 1, 2023, with $1 million to $10 million in both assets and
liabilities. Monique Almy has been appointed as Subchapter V
trustee.
Judge Lori S. Simpson oversees the case.
The Debtor is represented by Daniel Alan Staeven, Esq., at Frost &
Associates, LLC.
M6 ETX II: $150MM Incremental Loan No Impact on Moody's 'B1' CFR
----------------------------------------------------------------
Moody's Investors Service said that M6 ETX Holdings II MidCo LLC's
(M6 Midstream) ratings, including the B1 Corporate Family Rating,
B1-PD Probability of Default Rating and the B1 rating for its
senior secured term loan maturing in 2029, and stable outlook are
unaffected following the company's announcement that it will fund
the integration of Align Midstream using the proceeds from the
issuance of a $150 million incremental term loan.
M6 Midstream will integrate the natural gas gathering and
processing assets of Align Midstream which will contribute around
$36 million of EBITDA in 2023. The assets have a complementary
geographic footprint to M6 Midsteam's and the combined entity will
realize operational synergies from the merger. The combined
entity's leverage (measured as Moody's-adjusted debt / EBITDA) will
decline towards 4.0x at the end of 2023 which is in line with
Moody's expectations for the B1 rating.
Moody's also notes that M6 Midstream's capital spending
requirements will significantly decrease over the 2023-2025 period
because the planned capacity expansion on M6's existing pipeline to
the Gulf of Mexico will be substituted by investments outside of
the restricted group (the NG3 pipeline). As a result, M6 Midstream
will benefit from improved free cash flow over the 2023-2025 period
which will contribute to reduce leverage thanks to an excess cash
flow sweep mechanism under the credit facility's terms that
requires repayment of debt with 25% to 75% of any excess cash flow
if M6 Midstream's leverage is above 4.0x.
Moody's expects M6 Midstream to maintain good liquidity, supported
by cash and cash equivalents of $34 million pro forma for the
transaction as of December 31, 2022 and a $75 million undraw
revolving credit facility maturing in August 2027. Cash from
operations of around $120 million in 2023 will be sufficient to
cover planned capital expenditures and debt amortization payments
resulting in modest positive free cash flow.
M6 ETX Holdings II MidCo LLC is a private company operating
midstream natural gas gathering and processing facilities and
pipelines in East Texas. Pro forma for the Align integration, the
company has 700,000 dedicated G&P acres and more than 2 billion
cubic feet per day (Bcf/d) of transportation capacity over 3,800
miles of pipeline. M6 Midstream is owned by EnCap Flatrock
Midstream, Momentum and other legacy sponsors.
M6 ETX II: Fitch Affirms 'B+' LongTerm IDR, Outlook Stable
----------------------------------------------------------
Fitch Ratings has affirmed M6 ETX Holdings II MidCo LLC's (M6)
Long-Term Issuer Default Rating (IDR) at 'B+' with a Stable Rating
Outlook. Additionally, Fitch has downgraded the existing senior
secured term loan rating to 'BB'/'RR2' from 'BB+'/'RR1'.
The loan rating downgrade is due to a reduction in Fitch's
going-concern EBITDA assumption (including Align Midstream). Fitch
continues to forecast significantly rising EBITDA over the forecast
horizon, however Fitch's current forecast is not as robust as
before. The Haynesville basin continues to show solid well
economics and provides M6 with a locational advantage.
M6's rating is based on its strong gathering, processing, treating
and transportation footprint in the East Texas Haynesville Shale,
which is enhanced by the addition of Align Midstream. The rating
also considers the company's single-basin focus with some
segment/asset diversity, and its relatively small size, as measured
by annual EBITDA. M6 features a predominantly fixed-fee for service
business model, some long-term revenue-assurance contracts and
leverage that is strong for the rating category.
KEY RATING DRIVERS
Complementary Asset Addition: Midcoast had the largest natural gas
gathering and processing (G&P) footprint in the East Texas portion
of the Haynesville basin, and this position is enhanced by the
addition of the Align Midstream assets. Momentum Midstream, M6
Midstream's owner, is combining two very complementary asset sets
with its Midcoast and Align Midstream portfolios. These two assets
were purchased by Momentum Midstream in late summer 2022 and have
been operating as a single system since.
On a consolidated basis, M6 now has roughly 700,000 dedicated acres
with a remaining contract life of approximately 7.5 years, just
under 4,000 miles of pipe, roughly 750 MMcf/d of processing
capacity, approximately 4,500 MMcf/d of treating capacity, and
gathering and transportation throughput of roughly 1,600 MMcf/d and
MMbtu/d respectively. Consolidated EBITDA is expected to grow from
around $170 million in 2023 to more than $200 million over the
forecast period.
Add-On Term Loan Financing: M6 is issuing a $150 million add-on
senior secured term loan, the proceeds from which will be used to
repay existing debt at Align Midstream. On a consolidated basis, M6
will now have $750 million in term loan B debt outstanding. Fitch
expects M6 to continue to have a strong post-combination leverage
position of just under 4.5x.
Given expectations for solid near-term volume growth, supported by
continued development activity in the Haynesville and increasing
demand in the Gulf Coast, leverage is expected to decline below
3.5x over the forecast period. Management has a stated leverage
target of 3.0x-3.5x, and the deleveraging plan is supported a
conservative financial policy put in place by M6's sponsors. The
company's leverage continues to be strong for the rating category.
Small Size/Scale: M6's size/scale is limited with EBITDA below $300
million, which is consistent with a 'B' category IDR. The company
only operates in a portion of the Haynesville basin. Lack of
operational, geographic and geological diversity would expose M6 to
outsized event and capital market access risks should production be
disrupted.
M6's limited size/scale is partially offset by its operational
focus within an attractive natural gas producing region and close
proximity to demand centers on the U.S. Gulf Coast. Fitch expects
the Haynesville's production growth to continue given its low-cost
production dynamics and sufficient pipeline takeaway capacity.
While volumes on the M6 system have been relatively flat in recent
years, near-term production growth is based on customer drilling
and completion plans.
Mostly Fixed Fees, Volume Exposed: Fitch expects M6 to generate
75%-80% of its EBITDA from volume-exposed operations, with the
balance coming from ship-or-pay contracts. This exposure comes
predominantly from its G&P business, where M6 has very few minimum
volume commitments. Instead, the company's customers have dedicated
certain acreage to M6 to be gathered, when developed. This makes M6
reliant on its customers to drill and complete wells to drive
volumes through its G&P assets, thereby generating fees for
services provided. The ship-or-pay contracts also offer an
increased likelihood of matching G&P volumes, as contracted
transmission shippers also have acreage dedications with M6.
M6 generates most of its gross margin from fixed-fee-for-service
activities. Only 10%-15% of expected gross margin will be from
activities where it takes direct commodity price exposure. However,
this exposure is related to a spread between two commodity prices
(natural gas and the related natural gas liquids [NGLs]), vs. a
single outright commodity price. Overall exposure can be reduced by
opting to not process gas when uneconomic. M6's ability to manage
and reduce its direct commodity price exposure is supportive of its
credit quality.
Ship-or-Pay Contracts Provide Some Stability: Fitch expects M6 to
generate 20%-25% of EBITDA from contracts under which it will be
paid a fixed fee whether or not volumes are transported. The
weighted average remaining life of these contracts is just under
seven years. M6's ship-or-pay contracted counterparties have strong
credit profiles, with ExxonMobil making up just under half of these
commitments. The inclusion of long-term contracted gas pipelines in
its asset portfolio distinguishes M6 from other single-basin
midstream peers focused solely on volume-exposed G&P activities.
The ship-or-pay contracts are related to the company's
long-distance gas transportation pipelines, the Clarity and DD
Transmission systems. These assets are highly utilized, and Fitch
expects them to remain at or near capacity over the intermediate
term due to strong demand for LNG export in the Gulf Coast (where
Clarity terminates).
Solid Sponsor Support: M6 benefits from a supportive sponsor in
EnCap Flatrock. Fitch believes EnCap Flatrock would support future
expansion capital, should cash on hand/operating cash flows not be
sufficient. EnCap Flatrock has demonstrated less aggressive
financial policies for sponsored entities than other private-equity
midstream owners.
DERIVATION SUMMARY
Given M6's single basin focus, Kinetik Holdings LP (BB+/Positive)
is a peer. When combining the single-basin exposure with annual
EBITDA that is below $300 million, Medallion Midland Acquisition,
LLC (B+/Stable) is a close peer. DT Midstream, Inc. (DTM;
BB+/Stable) features both G&P operations and ownership in
long-distance natural gas pipelines, similar to both M6 and
Kinetik.
M6's credit profile compares favorably to that of Medallion given
that 20%-25% of M6's EBITDA will come from take-or-pay-type
contracts and due to the diversity afforded by operating a
long-distance natural gas pipeline, in addition to G&P assets.
However, this is partially offset by M6's 10%-15% of EBITDA coming
from commodity price exposed margins, compared to Medallion's fully
fixed-fee business model. Another partial offsetting factor is the
stronger relative volume growth experienced by Medallion over
recent history, driven in large part by Medallion's footprint in
the Midland sub-basin (Permian).
While Fitch expects M6's leverage to be lower than Medallion's,
both companies have strong leverage profiles for the rating
category, and so leverage is not a distinguishing factor.
M6 features an EBITDA breakdown that is relatively similar to both
Kinetik and DTM, as to relative contributions from G&P activities
and the long-distance transportation of natural gas. However, with
projected EBITDA of around $200 million over the forecast period,
M6 is significantly smaller than both Kinetik and DTM. Small
business or market disruptions could have a disproportionately
large impact on M6 compared to its larger peers. The smaller
size/scale accounts for a large portion of the differences between
the ratings of M6 and both Kinetik and DTM. DTM also generates a
higher percentage of EBITDA from take-or-pay-type contracts and
both Kinetik and DTM have greater diversity within their respective
pipeline segments, owning stakes in multiple pipeline assets.
Collectively, these factors lead to a three-notch difference
between the IDR of M6 and those of Kinetik and DTM. Leverage is
forecast to be slightly lower at M6 compared to both Kinetik and
DTM, but all three issuers have leverage profiles that are strong
for their respective rating categories, and so leverage is not a
distinguishing factor.
KEY ASSUMPTIONS
- Natural gas production and commodity prices sales consistent
with Fitch's price deck;
- G&P volumes increase from current levels due to announced
customer drilling budgets;
- Ship-or-pay transmission contracts expiring over the forecast
period are extended with current customers or recontracted
with new customers at prevailing market rates;
- Elevated G&P capital spending in 2023 and 2024, relative to
recent history, to connect new wells on dedicated acreage.
A portion of this spending garners incremental fees for M6
such that the company generates a 12.5% rate of return
within four years of dollars spent;
- Base interest rate applicable to the company's outstanding
debt reflects the Fitch Global Economic Outlook, e.g.,
5% for 2023 and 3.5% for 2024;
- No acquisitions assumed over the forecast period;
- No dividends paid to sponsors over the forecast period.
For the Recovery Rating, Fitch's estimates the company's
going-concern value to be greater than the liquidation value. The
going-concern multiple used was a 6.0x EBITDA multiple, which is in
the range of most multiples seen in reorganizations in the energy
sector. There have been a limited number of bankruptcies and
reorganizations within the midstream space but in the limited
sample (such as bankruptcies of Azure Midstream and Southcross
Holdco) the reorganization multiples were between 5x and 7x by
Fitch's estimates.
In Fitch's bankruptcy case study report "Energy, Power and
Commodities Bankruptcies Enterprise Value and Creditor Recoveries,"
published in September 2021, the median enterprise valuation exit
multiplies for 51 energy cases was 5.3x, with a wide range of
multiples observed.
The recovery analysis assumes a default driven by an inability to
refinance the revolving credit facility when due, due to very
depressed commodity prices. Fitch assumed a going-concern EBITDA of
approximately $140 million, lower than the current trailing
12-month EBITDA given the assumed post-bankruptcy scenario where
contract renewal rate and throughput volumes would be less
favorable. This going-concern EBITDA is higher than the $125
million previously assumed. The increase is due to the inclusion of
newly acquired assets, partially offset by a lower assumed
contribution from the company's base business. Fitch calculated
administrative claims to be 10%, and fully drew down the revolving
credit facility, which are the standard assumptions.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
- A $300 million per annum or greater run-rate EBITDA with
EBITDA leverage expected to be below 5.0x on a sustained
basis;
- Should the contribution from ship-or-pay and/or minimum
volume commitment contracts, as a percentage of total
EBITDA, be expected to significantly increase from
current levels.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
- Actual or forecasted EBITDA leverage above 6.0x;
- The initiation of a distribution policy that Fitch forecasts
will have the effect of meaningfully increasing leverage
from current expectations;
- A significant increase in capex, targeted towards higher
business risk projects;
- An acquisition or acquisitions that meaningfully raise
the business risk of M6.
LIQUIDITY AND DEBT STRUCTURE
Adequate Liquidity: Fitch expects M6's liquidity to remain
adequate. Liquidity consists of full availability under the $75
million super senior secured revolving credit facility, which is
effectively senior to its term loan, and roughly $34 million of
cash on the balance sheet. The credit facility matures in 2027
while the term loan matures in 2029. The add-on term loan will have
the same maturity date as the existing term loan.
The term loan requires 1% per annum mandatory amortization and
requires the company to maintain a debt service coverage ratio
(DSCR), as defined in the agreement, of above 1.1x. The revolving
credit facility contains restrictions on leverage and debt service
coverage ratios. M6 was in compliance with its covenants as of
Sept. 30, 2022 and Fitch expects this to continue throughout the
forecast period.
ISSUER PROFILE
M6 is a midstream company providing gathering, processing and
treating services to natural gas producers in the East Texas
portion of the Haynesville basin. It also provides long-haul
transportation to the U.S. Gulf Coast LNG, industrial, and utility
demand markets.
ESG CONSIDERATIONS
M6 ETX Holdings II MidCo LLC has an ESG Relevance Score of '4' for
Group Structure due to due to a somewhat complex group structure.
Group structure considerations have an elevated scope for M6 given
inter-family/related party transactions with affiliate companies.
This has a negative 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.
Entity/Debt Rating Recovery Prior
----------- ------ -------- -----
M6 ETX Holdings
II MidCo LLC LT IDR B+ Affirmed B+
senior secured LT BB Downgrade RR2 BB+
MAVERICK GAMING: $310M Bank Debt Trades at 16% Discount
-------------------------------------------------------
Participations in a syndicated loan under which Maverick Gaming LLC
is a borrower were trading in the secondary market around 83.6
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The $310 million facility is a Term loan that is scheduled to
mature on September 7, 2026. The amount is fully drawn and
outstanding.
Maverick Gaming LLC provides gaming, hospitality, and entertainment
services. The Company offers slot machines, table games, and hotel
rooms. Maverick Gaming serves customers in the United States.
MCO GENERAL: Wins Access to PS Funding's Cash Collateral
--------------------------------------------------------
The U.S. Bankruptcy Court for the Northern District of Illinois,
Eastern Division, authorized MCO General Maintenance, LLC to use
the cash collateral of PS Funding, Inc. on an interim basis in
accordance with the budget, through March 17, 2023.
The Debtor requires the use of cash collateral to continue
operating the property located at 9702 South Winston in Chicago,
Illinois, and its general maintenance pursuant to 11 U.S.C.
sections 1107 and 1108.
The Court order says PS Funding is adequately protected for the
Debtor's cash collateral use under section 361, 362 and 363(e) by
an equity cushion and the Debtor making monthly payments to PS
Funding, Inc. in the amount of $1,473.
In addition to all existing security interests and liens granted to
and held by PS Funding in and to the Prepetition Collateral, as
adequate protection for the Debtor's use of the cash collateral on
terms and conditions of the Interim Order, but only to secure an
amount equal to the Collateral Diminution, the Debtor grants to PS
Funding, pursuant to sections 361(2) and 363(e), automatically and
retroactively effective as of the Petition Date, valid, binding,
and properly perfected post petition security interests and
replacement liens on the Prepetition Collateral.
The Adequate Protection Liens are deemed duly perfected and
recorded under all applicable federal or state or other laws as of
the date thereof, and no notice or other act will be required to
effect such perfection.
Subject to the remaining provisions of the Interim Order, PS
Funding's liens on and security interests in the Prepetition
Collateral -- including the Adequate Protection Liens -- will be
subordinate and subject only to (a) any unpaid fees payable
pursuant to 28 U.S.C. section 1930 and any unpaid fees payable to
the Clerk of the Court or the U.S. Trustee; and (b) professional
fees and disbursements accrued but unpaid as of the date of
termination of the Debtor's use of cash collateral.
A copy of the order is available at https://bit.ly/3YWSjwU from
PacerMonitor.com.
MCO General Maintenance
MCO General Maintenance, LLC is engaged in the business of
providing general maintenance services for the owners of
residential properties. The Debtor sought protection for relief
under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ill. Case No.
22-09454) on Aug. 19, 2022, with up to $500,000 in assets and up to
$100,000 in liabilities.
Judge Timothy A Barnes presides over the case.
Karen J. Porter, Esq., at Porter Law Network represents the Debtor
as counsel.
MDWERKS INC: Inks Amendment No. 1 to Two Trees Merger Agreement
---------------------------------------------------------------
MDwerks, Inc., MD-TT Merger Sub, Inc., a wholly owned subsidiary of
the Company, and Two Trees Beverage Co. entered into Amendment No.
1 to Merger Agreement dated as of Feb. 13, 2023, pursuant to which
the Merger Agreement was amended to reflect Two Trees' authorized,
issued and outstanding capital stock as of the effective date of
the Merger Agreement, which capital stock consisted of 15,000,000
shares of common stock, par value $0.0001 per share, of which
9,999,604.69 shares were issued and outstanding as of the effective
date of the Merger Agreement, and 3,529,500 shares of preferred
stock, par value $0.0001 per share, of which 2,045,672.16 shares
were issued and outstanding as of the effective date of the Merger
Agreement. In addition, pursuant to the terms of Amendment No. 1,
the Merger Agreement was amended to replace Mr. Ragazzo with James
Cassidy, Two Trees' Chairman of the Board, as the party to
indemnify the Company for certain breaches of the representations
and warranties of Two Trees.
On Feb. 13, 2023, MDwerks entered into a Merger Agreement by and
between the Company, Merger Sub, and Two Trees. The Merger
Agreement provides that, subject to the terms and conditions set
forth in the Merger Agreement, the Parties wish to effect a
business combination through a merger of Merger Sub with and into
Two Trees, subject to the terms and conditions set forth in the
Merger Agreement, with Two Trees continuing as the surviving
corporation. As a result of the Merger, the certificate of
incorporation of Two Trees as in effect immediately prior to the
closing date will be the certificate of incorporation of the
Surviving Corporation, and the bylaws of Two Trees as in effect
immediately prior to the closing date will be the bylaws of the
Surviving Corporation.
Pursuant to the terms of the Merger Agreement, at the closing of
the Merger, the Company's Board of Directors will be expanded and a
number of persons as named by Two Trees will be named to the
Company Board such that such persons comprise a majority of the
Company Board, and the Company Board as such newly constituted will
name or replace any officers of the Company as it may determine.
In addition, at the closing of the Merger, the directors and
officers of Two Trees as in place immediately prior to the closing
will remain in place as the directors and officers of the Surviving
Corporation.
The Board of Directors of Merger Sub and the Company Board
unanimously approved the transactions contemplated by the Merger
Agreement, including the Merger, and the Company as the sole
stockholder of Merger Sub approved the Merger Agreement and the
Merger.
In consideration of the Merger Agreement, at the effective time of
the Merger, each of the holders of Two Trees stock, subject to
certain exceptions set forth in the Merger Agreement, shall have
the right to convert all of the shares of Two Trees stock into a
total of 60,000,000 shares of Company common stock, which shall be
apportioned between the Two Trees stockholders, pro rata, based on
the number of shares of Two Trees stock held by each of the Two
Trees stockholders as of the closing of the Merger.
Under the Merger Agreement, at the effective time of the Merger,
each of the issued and outstanding shares of common stock of Two
Trees, subject to certain exceptions set forth in the Merger
Agreement, shall be converted into shares of the Company's common
stock.
At the effective time of the Merger, shares of Two Tree's common
stock generally will be treated in the following manner:
* (1) Any shares of Two Trees common stock held as treasury
stock or held or owned by Two Trees or Merger Sub immediately prior
to the effective time of the Merger will be canceled and retired
and will cease to exist, and no consideration will be delivered in
exchange therefor; and (2) each share of Two Trees common stock
outstanding immediately prior to the effective time of the Merger,
excluding shares to be canceled pursuant to (1) herein and
excluding shares of Two Trees common stock who have exercised and
perfected appraisal rights for such shares in accordance with the
Delaware General Corporation Law, will be automatically converted
solely into the right to receive a number of shares of Company
common stock equal to those set forth in the Merger Consideration.
* No fractional shares of Company common stock will be issued
in connection with the Merger and any fractional share otherwise
issuable to any Two Trees stockholder will be rounded up to the
next whole share.
* Each share of common stock of Merger Sub issued and
outstanding immediately prior to the effective time of the Merger
will be converted into and exchanged for one validly issued, fully
paid and nonassessable share of common stock, $0.001 par value per
share, of the Surviving Corporation. Each stock certificate of
Merger Sub evidencing ownership of any such shares will, as of the
effective time of the Merger, evidence shares of common stock of
the Surviving Corporation.
According to the terms of the Merger Agreement, the Company common
stock issued at the closing of the Merger will be subject to a
lock-up, pursuant to which the Two Trees stockholders receiving
shares of the Company's common stock will not transfer or dispose
of the shares except according to the following schedule: (1)
one-third of the shares will be released from the restriction on
the nine-month anniversary of the effective date of the Merger; (2)
one-third of the shares will be released from the restrictions on
the 18-month anniversary of the effective date of the Merger; and
(3) the remaining one-third of the shares will be released from the
restrictions on the 36-month anniversary of the effective date of
the Merger.
At the effective time of the Merger, Two Trees' stock options
generally will be treated in the following manner:
* Two Trees option holders will exchange all of their Two Trees
Options for options to acquire shares of Company common stock.
* The MDwerks Options will provide for substantially the same
terms as the Two Trees Options, other than (1) they will be fully
vested at issuance, and will increase the number of shares of
Company common stock underlying the MDwerks Options from the number
of shares of Two Trees common stock underlying the Two Trees
Options, and (2) will retain the same exercise price per share of
Company common stock underlying the MDwerks Options as the exercise
price per share of Two Trees common stock underlying the Two Trees
Options, in each case as necessary to provide for the same spread
value for each applicable option holder.
Consummation of the Merger is subject to the satisfaction or waiver
of customary closing conditions, including: (1) approval of the
Merger Agreement by the Two Trees stockholders; (2) the absence of
any law or order by a governmental authority of the United States
or certain non-United States jurisdictions that has the effect of
rendering illegal or prohibiting consummation of the Merger, or
causing the Merger to be rescinded following the completion
thereof. In addition, consummation of the Merger by the Company and
Merger Sub are subject to the satisfaction or waiver of customary
closing conditions, including that (i) the Company will have
completed its due diligence review of Two Trees to its satisfaction
in its sole discretion; and (ii) Two Trees will have provided to
the Company audited financial statements for Two Trees and related
auditor reports thereon, as provided in the Merger Agreement.
Pursuant to the terms of the Merger Agreement, Two Trees agreed
that at the closing of the Merger, Joe Ragazzo, Two Trees' chief
executive officer, shall enter into an indemnification agreement,
pursuant to which Mr. Ragazzo will agree to indemnify the Company
for certain breaches of the representations and warranties of Two
Trees.
The Merger Agreement contains customary representations, warranties
and covenants made by each of the Company, Merger Sub and Two
Trees, including, among others, covenants by Two Trees regarding
the conduct of its business prior to the closing of the Merger.
Either the Company or Two Trees may terminate the Merger Agreement
prior to the closing date if, among certain other circumstances,
certain conditions of the closing have not been satisfied. The
Merger Agreement may be terminated by the Company if, among other
things, (1) the Two Trees stockholders vote against the adoption of
the Merger Agreement; (2) any Action is brought by a third-party
non-Affiliate to enjoin or otherwise restrict the consummation of
the closing; or (3) within five business days after receipt by the
opposing Party of written notice thereof that the other Party is
not reasonably capable of curing a material breach of the Merger
Agreement prior to the termination date thereof.
The Parties intend, for U.S. federal income tax purposes, that the
Merger will qualify as a "reorganization" within the meaning of
Section 368(a) of the Internal Revenue Code of 1986, as amended,
and that the Merger Agreement was adopted as a plan of
reorganization within the meaning of Treasury Regulations Section
1.368-2(g).
About MDWerks
MDwerks, Inc. is a public shell company seeking to create value for
its shareholders by merging with another entity with experienced
management and opportunities for growth in return for shares of its
common stock.
As of June 30, 2022, the Company had zero asset, $239,444 in total
liabilities, and a total stockholders' deficit of $239,444.
As of Sept. 30, 2022, the Company had zero assets, $49,652 in total
liabilities, and a total stockholders' deficit of $49,652.
Diamond Bar, Calif.-based TAAD LLP, the Company's auditor since
2020, issued a "going concern" qualification in its report dated
April 15, 2022, citing that the Company has suffered recurring
losses from operations that raises substantial doubt about its
ability to continue as a going concern.
METROPOLITAN DIAGNOSTIC: Bancorp's Summary Judgment Bid Granted
---------------------------------------------------------------
In the case styled THE BANCORP BANK, Plaintiff, v. METROPOLITAN
DIAGNOSTIC IMAGING, INC; HATTI GROUP RE, LLC; HATTI GROUP RE
CHICAGO, LLC; CORELINQ INNOVATIONS, LLC; CORELINQ VENTURES, LLC;
IMAGEN CHIGAO CORP.; HARSHA HATTI; UNITED DIAGNOSTIC PROVIDERS,
LLC; and MOQUEET SYED, Defendants, Case No. 20 C 1841, (N.D. Ill.),
District Judge Charles P. Kocoras grants the motion for summary
judgment filed by The Bancorp Bank.
The Bancorp Bank has filed a Motion for Summary Judgment on its
breach of contract claims as asserted against the Defendants Hatti
Group RE, LLC, Hatti Group RE Chicago, LLC, Corelinq Innovations,
LLC, Corelinq Ventures, LLC, Imagen Chicago Corp., and Harsha
Hatti, as well as Metropolitan Diagnostic Imaging, Inc.
Metropolitan admits that it breached its contractual obligations
under the Loan Documents. Based upon the review of the loan
documents and materials submitted by Bancorp in support of its
motion, the Court finds that Metropolitan has defaulted in making
the payments required under the loan documents. The Court,
therefore, grants summary judgment Bancorp's favor on Count I for
breach of contract against Metropolitan.
Metropolitan only disputes how much Bancorp was damaged by
Metropolitan's breach. Metropolitan agrees with the majority of
Bancorp's damages calculations. Metropolitan "agrees that the
principal amount of the Bancorp loan that is unpaid is $1,032,509."
Metropolitan does not dispute the late fees ($2,470), incurred fees
($9,257), or that Metropolitan is entitled to "Attorney's Fees and
Court Costs in an amount to be proved by Fee Petition and attorney
affidavit." Metropolitan attempts to dispute only the amount of
interest owed.
Bancorp asserts that the "incurred interest" is equal to $247,530
(which Metropolitan disputes), plus $163 for every day from Nov.
16, 2021 to the date of judgment (which Metropolitan does not
dispute). As supporting evidence, Bancorp cites the Affidavit of
Nicholas Lesniak, the "SBL Portfolio Officer" of Bancorp who
attests: "As of Sept. 8, 2021, the outstanding interest owed on the
Note equaled $236,416. . . interest continued to accrue. . . at a
per diem rate of $163, so that as of Nov. 15, 2021 the outstanding
interest owed on the Note equaled $247,530."
Metropolitan does not agree that $247,530 is an accurate
calculation for two reasons: (1) "there is no calculation offered
as to how the payments of $60,000 Bancorp received from
Metropolitan, as adequate protection payments during the chapter XI
proceedings of Metropolitan, between principal and interest was
made"; and (2) "there is no explanation of how the sum of $236,417
in interest accrued as of Sept. 8, 2021, as stated in the Lesniak
Affidavit, was computed."
The Court finds that Metropolitan only attempted to dispute four of
Bancorp's 72 facts contained in its Statement of Material Facts --
all others are deemed admitted as to Metropolitan. The Court also
finds that Metropolitan did not dispute paragraph 63 of Bancorp's
Statement of Material Facts, which restates the paragraph of the
Lesniak Affidavit. In other words, it is undisputed that the
outstanding interest owed is equal to $247,530. The Court concludes
that Metropolitan's purely argumentative responses do not raise a
triable issue of fact as to the accrued interest -- these arguments
are insufficient to defeat summary judgment.
Bancorp also argues that it is entitled to summary judgment against
the Hatti Defendants because their affirmative defenses are either
waived by the Guarantees or are unavailable as a matter of law. The
Hatti Defendants did not address any of the affirmative defenses
pleaded in their Answer. Instead, they raised a new affirmative
defense. They argued that "Bancorp is not entitled to summary
judgment as a matter of law because it failed to dispose of the
collateral in a commercially reasonable manner."
The Court finds that the Hatti Defendants raised the commercial
reasonableness affirmative defense after the close of discovery,
i.e., when "both parties had already invested a good deal of time
and money in the case on the legitimate expectation that they knew
what the issues were." The Court concludes that the Hatti
Defendants forfeited a commercial reasonableness affirmative
defense which the Court cannot consider at this stage. As such, the
Court grants summary judgment in Bancorp's favor on Count II
(breach of corporate guaranty against the Hatti Defendants) and
Count III (breach of individual guaranty against Harsha Hatti), as
well as the corresponding damages asserted by Bancorp, is
warranted.
A full-text copy of the Memorandum Opinion dated Feb. 7, 2023, is
available at https://tinyurl.com/4h7ss2um from Leagle.com.
Based in Chicago, Illinois, Advanced Medical Imaging Center, Inc.
-- https://www.amic-chicago.com/ -- has been providing radiological
services since 1985. Its services include diagnostic breast MRI,
digital screening mammography, high field MRI/MRA, open MRI/MRA,
digital general x-ray, ultrasound, multi-detector CT/CTA, DEXA and
fluoroscopy/arthrography.
Metropolitan Diagnostic Imaging, d/b/a Advanced Medical Imaging,
Inc., filed a Chapter 11 petition (Bank. N.D. Ill. Case No.
17-35285) on Nov. 28, 2017. In the petition signed by Moqueet
Syed, its president, the Debtor estimated $1 million to $10 million
in both assets and liabilities. The case is assigned to Judge
Timothy A. Barnes. The Debtor's legal counsel is Gregory K. Stern
P.C.
MHE INTEREDIATE: Oaktree Specialty Marks $200,000 Loan at 26% Off
-----------------------------------------------------------------
Oaktree Specialty Lending Corporation has marked its $200,000 loan
extended to MHE Intermediate Holdings LLC to market at $148,000 or
76% of the outstanding amount, as of December 31, 2022, according
to a disclosure contained in Oaktree Specialty's Form 10-Q for the
quarterly period ended December 31, 2022, filed with the Securities
and Exchange Commission on February 7, 2023.
Oaktree Specialty is a participant in a First Lien Revolver Loan to
MHE Intermediate Holdings LLC. The loans accrues 10.94%
(SOFR+6.00%) per annum. The loan matures on July 21, 2027.
Oaktree Specialty Lending Corporation is a specialty finance
company that looks to provide customized, one-stop credit solutions
to companies with limited access to public or syndicated capital
markets. Oaktree Specialty was formed in late 2007 and operates as
a closed-end, externally managed, non-diversified management
Investment Company that has elected to be regulated as a Business
Development Company under the Investment Company Act.
MHE Intermediate Holdings, LLC operates as a holding company. The
Company, through its subsidiaries, provides wholesales and
distributes industrial machineries. MHE Intermediate Holdings
serves customers in the State of Ohio.
MILLION DOLLAR SMILE: Court OKs Cash Collateral Use Thru April 22
-----------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of California
authorized Million Dollar Smile, LLC to use cash collateral on a
final basis through April 22, 2023.
The Debtor requires the use of cash collateral in the amounts
specified in the budget to avoid harm to the estate.
The Court order acknowledges that J.P. Morgan Chase Bank likely
holds the senior lien and likely is fully secured and followed by
First Corporate Solutions, representative for an undisclosed
entity, and it may be partially secured.
As adequate protection, the Secured Creditors are granted
replacement lien in all post-petition assets of the Debtor, other
than avoidance power actions and recoveries.
The replacement lien granted will have the same validity, extent
and priority (and will be subject to the same defenses) as the
Secured Creditors' liens held in prepetition collateral.
A copy of the order is available at https://bit.ly/3ZkElot from
PacerMonitor.com.
About Million Dollar Smile, LLC
Million Dollar Smile, LLC offers oral hygiene and beauty products.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. S.D. Cal. Case No. 23-00001) on January 2,
2023. In the petition signed by Angelo De Simone, managing member,
the Debtor disclosed up to $500,000 in assets and up to $10 million
in liabilities.
Judge Margaret Mann oversees the case.
Steven R. Fox, Esq., at The Fox Law Corporation, Inc., is the
Debtor's legal counsel.
MOBIQUITY TECHNOLOGIES: Tasso Partners Reports 5.76% Equity Stake
-----------------------------------------------------------------
Tasso Partners, LLC disclosed in a Schedule 13G filed with the
Securities and Exchange Commission that as of Dec. 31, 2022, it
beneficially owns 566,000 shares of common stock of Mobiquity
Technologies, Inc., representing 5.76 percent based upon 9,834,366
common shares outstanding as of Feb. 14, 2023. A full-text copy of
the regulatory filing is available for free at:
https://www.sec.gov/Archives/edgar/data/1084267/000168316823000915/tasso_sc13g.htm
About Mobiquity
Headquartered in Shoreham, NY, Mobiquity Technologies, Inc. is a
next-generation marketing and advertising technology and data
intelligence company which operates through its proprietary
software platforms in the programmatic advertising space. The
Company's product solutions are comprised of two proprietary
software platforms: its advertising technology operating system
(or
ATOS) platform; and its data intelligence platform.
Mobiquity reported a net comprehensive loss of $34.95 million for
the year ended Dec. 31, 2021, a net comprehensive loss of $15.03
million for the year ended Dec. 31, 2020, and a net comprehensive
loss of $44.03 million for the year ended Dec. 31, 2019. As of
Sept. 30, 2022, the Company had $4.02 million in total assets,
$1.83 million in total liabilities, and $2.20 million in total
stockholders' equity.
In its Quarterly Report filed on September 30, 2022, the Company
said that without sufficient revenues from operations, and if the
Company does not obtain additional capital, the Company will be
required to reduce the scope of its business development activities
or cease operations. These factors create substantial doubt about
the Company's ability to continue as a going concern within the
twelve-month period subsequent to September 30, 2022.
MONCLA MARINE: Stewart's Claims Survives Summary Judgment
---------------------------------------------------------
In the case styled WILBERT STEWART, v. MONCLA MARINE OPERATIONS,
LLC, ET AL., Case No. 6:17-CV-01260, (W.D. La.) , District Judge
Robert R. Summerhays for the Western District of Louisiana denies
the Motion for Partial Summary Judgment to Dismiss filed by the
Underwriter Defendants -- Atlantic Specialty Insurance Company,
Markel Insurance Company, State National Insurance Company,
Navigators Insurance Company, United States Fire Insurance Company,
Mitsui Sumitomo Insurance Company of America, Lloyd's Underwriters,
and Swiss Re International SE.
Wilbert Stewart was employed as a derrickman for Moncla Marine, LLC
and Moncla Marine Operations, LLC. On Oct. 13, 2016, he was
assigned to the drilling barge RIG 103 where he slipped, "falling
onto his right side on the deck of the frac barge and sustaining
serious personal injuries." Stewart filed this action against
Moncla on Oct. 3, 2017.
Moncla filed for relief under Chapter 11 of the Bankruptcy Code,
and the case is proceeding solely against the Underwriter
Defendants.
Stewart asserts claims under the Jones Act and general maritime
claims for maintenance and cure and unseaworthiness. The
Underwriter Defendants filed the instant Motion for Partial Summary
Judgment addressing Stewart's Jones Act and unseaworthiness
claims.
The Underwriter Defendants first argue that Stewart cannot prove
all of the essential elements of his Jones Act claim. The Jones Act
allows an injured seaman to bring an action against his employer
for negligence. The Underwriter Defendants also challenge Stewart's
unseaworthiness claim. The Underwriter Defendants contend that they
are entitled to summary judgment because Stewart's injuries were
caused solely by his own negligent conduct.
Stewart, however, points to disputed factual issues as to the
comparative fault of Moncla and argues these disputed facts
preclude summary judgment in the present case. Stewart's
unseaworthiness claim is based on his allegation that Moncla failed
to provide a safe egress from RIG 103 to the frac barge. Stewart
points to evidence that RIG 103 did not have a safe means of egress
to the deck of the frac barge.
Under the Jones Act, comparative fault may reduce a seaman's
recovery, but it will not necessarily bar his recovery. Considering
the summary judgment record as a whole, the Court finds fault on
the part of Moncla and its employees even if the evidence also
supports a finding of comparative fault on the part of Stewart.
Therefore, the Court denies the Underwriter Defendants' Motion for
Partial Summary Judgment.
A full-text copy of the Memorandum Ruling dated Feb. 6, 2023, is
available at https://tinyurl.com/2tvfd23e from Leagle.com.
MOUNTAIN MOVING: Court OKs Final Cash Collateral Access
-------------------------------------------------------
The U.S. Bankruptcy Court for the Western District of Virginia,
Harrisonburg Division, authorized Mountain Moving LLC to use cash
collateral on a final basis in accordnce with the budget.
As previously reported by the Troubled Company Reporter, these
entities may assert a claim against the Debtor's personal property
interests, including its accounts, inventory, goods, and/or
equipment:
a. On Deck Capital
b. Rapid Finance
c. LG Funding, LLC
d. Cloudfund, LLC
e. RDM Capital Funding, LLC dba FinTap
f. White Road Capital/GFE Holdings
g. Funding Metrics, LLC dba Lendini
A copy of the order is available at https://bit.ly/3IqiGEj from
PacerMonitor.com.
About Mountain Moving LLC
Mountain Moving LLC, a Virginia limited liability company, provides
freight transport services on a regional basis. Its sole member is
Thomas Powell.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. W.D. Va. Case No. 22-50561) on December 16,
2022. The Debtor disclosed up to $100,000 in assets and up to $1
million in liabilities.
Judge Rebecca B. Connelly oversees the case.
Hannah W. Hutman, Esq., at Hoover Penrod, PLC, represents the
Debtor as legal counsel.
MOUROX FAMILY: Seeks Interim Cash Collateral Access
---------------------------------------------------
Mouroux Family Chiropractic, Inc. asks the U.S. Bankruptcy Court
for the Northern District of California, Division 5, for authority
to use cash collateral in accordance with the budget, with a 20%
variance.
The Debtor requires the use of cash collateral to pay any and all
expenses in the ordinary course of its business.
The Debtor's financial difficulties began in 2020 as a result of
the COVIDโ19 pandemic. Loans taken out during the pandemic are
now coming due.
The United States Small Business Administration is the only
creditor that has filed a UCC-1 lien.
Although the value of the SBA's Secured Interest is more precisely
tied to the going concern value of the company, relevant to the
assets owned by the Debtor as noted on the petition, the SBA's lien
attaches to all of the property listed on Schedule A/B with the
exception of the ultrasound equipment and accessories which are
subject to a purchase money security lien held by creditor NCMIC in
the amount of $2500 (the value of the equipment subject to the
purchase money lien). The value of the remaining collateral is
$96,153.
To protect against deterioration or diminution in the value of the
SBA's interest in the cash collateral, SBA will be granted valid,
enforceable, fully perfected, and unavoidable replacement liens in
favor of the SBA on all of the Debtor's assets or interests in
assets acquired on or after the petition date of the same type and
priority that the SBA had in such assets as of the petition date,
but excluding claims for relief arising under the Bankruptcy Code.
The Replacement Lien will have the same priority, validity and
extent as its prepetition lien, but will be subordinate to the (i)
compensation expense reimbursement (other than for professional
fees and expenses) allowed to a Chapter 7 trustee; and, (ii) the
fees of the Debtor's professionals in the case.
A hearing on the matter is set for March 2, 2023 at 1:30 p.m.
A copy of the motion is available at https://bit.ly/3m8mQJJ from
PacerMonitor.com.
About Mouroux Family Chiropractic, Inc.
Mouroux Family Chiropractic, Inc. offers "one-stop" chiropractic
and medical services in the greater San Jose, California area.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. N.D. Cal. Case No. 23-50186) on February
24, 2023. In the petition signed by Bradley Mouroux, president, the
Debtor disclosed up to $100,000 in assets and up to $1 million in
liabilities.
Steven E. Cowen, Esq., at S.E. Cowen Law, represents the Debtor as
legal counsel.
NATIONAL MENTOR: $1.70B Bank Debt Trades at 22% Discount
--------------------------------------------------------
Participations in a syndicated loan under which National Mentor
Holdings Inc is a borrower were trading in the secondary market
around 77.7 cents-on-the-dollar during the week ended Friday,
February 24, 2023, according to Bloomberg's Evaluated Pricing
service data.
The $1.70 billion facility is a Term loan that is scheduled to
mature on March 2, 2028. The amount is fully drawn and
outstanding.
National Mentor Holdings, Inc. operates as a holding company. The
Company, through its subsidiaries, provides community-based
services for people with injuries and disabilities.
O'MY FOODS: Asset or Equity Sale Proceeds to Fund Plan
------------------------------------------------------
O'MY Foods, LLC, filed with the U.S. Bankruptcy Court for the
Eastern District of Virginia a Plan of Reorganization dated
February 21, 2023.
Originally utilizing the name Greater Good Foods, LLC, since its
inception in February 2017 as a limited liability company, O'MY
Foods has established itself as an innovator in the dairy-free
frozen dessert world.
Following on the heels of the significant reduction in expenses,
O'MY Foods entered its slower sales season. In an effort to be
proactive and preserve its going concern value and potential for
partnership or acquisition, O'MY Foods sought bankruptcy protection
through Subchapter V of Chapter 11.
After consultation with the Subchapter V Trustee, the Debtor has
determined to pursue a sale of the Business through either an Asset
Sale or an Equity Sale. The Plan and Bid/Sale Procedures provide
for a process that facilitates a sale of the Business as a going
concern in the form of the Proposed Sale that will, in all
likelihood, generate greater recoveries for creditors than a
piecemeal liquidation. Thus, the Plan proposed herein is better
than an immediate liquidation of the Debtor.
The Sale Proceeds will be distributed to pay, in whole, part and/or
none, Allowed Claims in these Classes. Specifically, Allowed
Secured Claims will be addressed by (a) payment in full on the
Effective Date, (b) surrender of the Collateral, and/or (c) other
agreement between the Debtor/Reorganized Debtor and the Holder of
the Secured Claim. Allowed Priority Claims will be paid in full on
or before the Initial Distribution Date or as provided in ยง
1129(a)(9)(B) of the Bankruptcy Code or as otherwise agreed by the
Debtor/Reorganized Debtor and the Holder of said claim.
On or before the Interim Distribution Date, the Debtor shall pay to
the Holders of Allowed General Unsecured Claims in Class 4 each's
pro rata shares from the remaining, if any, Sale Proceeds after the
payment of amounts to Classes 1 through 3 and Allowed
Administrative Expenses, including, but not limited to, Fee Claims.
Also, if the Proposed Sale is an Equity Sale, the Holders of
Allowed General Unsecured Claims in Class 4 shall receive each's
pro rata share from (a) the remaining, if any, Sale Proceeds after
the payment of amounts to Classes 1 through 3 and Allowed
Administrative Expenses including, but not limited to, Fee Claims
and (b) potentially the Reorganized Disposable Income if an Equity
Sale occurs that includes such a term.
Holders of Allowed Claims of Convertible Notes will have the option
to either convert the debt to the Debtor's Equity Security or be
treated as General Unsecured Creditors in Class 4. To be clear, the
Debtor's Equity Security Holders (including those who elect to
convert) shall likely receive nothing under the Plan other than a
release of any and all Claims the Debtor may have against said
Holder. This release is being provided in exchange for the Equity
Security Holders' agreement that the Reorganized Debtor's Equity
Security may be offered as part of the Proposed Sale.
The Plan provides for O'MY Foods to either continue as a going
concern or be sold in such a way that the Business will continue
for the benefit of employees, suppliers, customers, and others who
rely on O'MY Foods 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 4 consists of Non-Priority General Unsecured Claim Creditors.
On the Initial Distribution Date in Asset Sale, the Debtor shall
pay to the Holders of Allowed General Unsecured Claims in Class 4
each's pro rata shares from the remaining, if any, Sale Proceeds
after the payment of amounts to Classes 1 through 3 and Allowed
Administrative Expenses, including, but not limited to, Fee Claims.
Also, if the Proposed Sale is an Equity Sale, the Holders of
Allowed General Unsecured Claims in Class 4 shall receive (a) on
the Initial Distribution Date each's pro rata share from the
remaining, if any, Sale Proceeds after the payment of amounts to
Classes 1 through 3 and Allowed Administrative Expenses including,
but not limited to, Fee Claims and (b) potentially each's pro rata
share of the thereafter Distribution Amount if an Equity Sale
occurs that includes such a term.
Class 6 consists of Equity Security. The Holders of the Debtor's
Equity Security shall receive nothing under the Plan other than a
release of any and all Claims the Debtor may have against said
Person. This release is being provided in exchange for the Equity
Security Holders' agreement that the Reorganized Debtor's Equity
Security may be offered as part of the Proposed Sale. To the extent
Sale Proceeds remain after payment of all other amounts due and
owing under this Plan, Holders of the Debtor's Equity Security
shall receive each's pro rata percentage from the remaining Sale
Proceeds.
The Plan shall be implemented through consummation of the Proposed
Sale. Closing of the Proposed Sale shall take place on or before
April 21, 2023 unless said date has been extended by the written
agreement of the Debtor and the Proposed Purchaser.
Upon Reorganization, except as otherwise provided in the Plan
and/or the Confirmation Order, the Purchaser will receive retain
all Estate Property, subject to all Liens of record as of the
Petition Date, which shall secure to Holder of such Liens only
payments due under this Plan. Any defaults as of the Petition Date
are cured by the provisions herein, as they existed on the Petition
Date, which shall be enforceable against the Debtor or Reorganized
Debtor should the Debtor or Reorganized Debtor default on its
obligations under this Plan.
Upon Liquidation, the Debtor's Assets will be transferred to the
Purchaser pursuant to the terms and conditions of the Asset
Purchase Agreement and/or the Confirmation Order. Any remaining
Estate Property shall be (1) liquidated with the proceeds thereof
first being used to pay any unpaid administrative expense incurred
after the Effective Date and then remitted to one or more
Charities, (2) donated to one or more Charities, and/or (3)
abandoned.
A full-text copy of the Plan of Reorganization dated February 21,
2023 is available at https://bit.ly/3m4Ez4L 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 O'MY Foods
O'MY Foods LLC -- https://www.omygelato.com/ -- is a frozen dessert
supplier in Richmond, Va.
O'MY Foods filed a petition under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. E.D. Va. Case No. 22-33509) on Dec. 12,
2022, with $500,000 to $1 million in assets and $1 million to $10
million in liabilities. Peter J. Barrett, Esq., has been appointed
as Subchapter V trustee.
Lynn L. Tavenner, Esq., and Paula S. Beran, Esq., at Tavenner &
Beran, PLC serve as the Debtor's bankruptcy attorneys.
OREGON TOOL: Moody's Cuts CFR to Caa1, Outlook Remains Negative
---------------------------------------------------------------
Moody's Investor Service downgraded Oregon Tool Holdings, Inc.'s
ratings including its corporate family rating to Caa1 from B3 and
its Probability of Default Rating to Caa1-PD from B3-PD. Moody's
also downgraded the senior secured bank credit facilities to B3
from B2 and senior unsecured notes to Caa3 from Caa2. The outlook
remains negative.
"The downgrade reflects Moody's expectations for volume declines in
the Forestry, Lawn, and Garden (FLAG) segment in 2023. Reduced
demand for power equipment will lead retailers and OEM customers to
lower inventory levels through at least the first half of 2023,"
said Justin Remsen, Moody's Assistant Vice President โ Analyst.
The company has an aggressive leverage profile, and Moody's expects
adjusted debt/EBITDA to be maintained at or above 10x through
2023.
The negative outlook considers the risk that Oregon Tool's earnings
will not recover in 2023. Moody's expect margins to improve as
steel and freight costs decline but slowing demand will drive low
single digit sales declines. The negative outlook also reflects the
impact of rising interest rates on the company's cash flow. Coupled
with very high leverage, rising rates elevates the risk of a debt
restructuring.
Downgrades:
Issuer: Oregon Tool Holdings, Inc.
Corporate Family Rating, Downgraded to Caa1 from B3
Probability of Default Rating, Downgraded to Caa1-PD
from B3-PD
Senior Secured Bank Credit Facility, Downgraded to B3 (LGD3)
from B2 (LGD3)
Senior Unsecured Regular Bond/Debenture, Downgraded to
Caa3 (LGD5) from Caa2 (LGD5)
Outlook Actions:
Issuer: Oregon Tool Holdings, Inc.
Outlook, Remains Negative
RATINGS RATIONALE
Oregon Tool's Caa1 CFR reflects Moody's expectation that over the
next 12 to 18 months the company will maintain very high leverage
exceeding 10x debt/EBITDA. Moody's forward view assumes the
company's profitability will improve modestly in 2023 given lower
input costs. Moody's expects breakeven free cash flow in 2023 with
higher profitability and declining inventory offset by rising
interest expense.
The rating also reflects historically low growth in the company's
primary end markets (forestry and agriculture). The forestry
segment has demonstrated stable growth historically, but demand for
lumber can be impacted by the cyclical housing market. Strengths
include the company's dominant global market share, along with
strong brand recognition, and good channel diversification. Oregon
Tool generates a high percentage of revenue from consumable
products such as chainsaw bars and chains and lawnmower blades that
must be replaced frequently providing a recurring revenue stream.
Moody's forecasts that Oregon Tool will have adequate liquidity
over the next 12 to 18 months. Liquidity is supported by cash on
hand on September 30, 2022, of about $59 million. The company's
$150 million asset-based lending (ABL) revolver had $100 million
outstanding and $50 million additional borrowing available as of
September 30, 2022. The company also has an undrawn $50 million
cash flow revolver. Both the $150 million ABL and $50 million cash
flow revolver are due October 2026. Moody's anticipates breakeven
cash flow in 2023 and 2024.
ENVIRONMENTAL, SOCIAL, GOVERNANCE CONSIDERATIONS
Oregon Tool's ESG Credit Impact Score is very highly negative
(CIS-5), attributable to its very highly negative governance score
(G-5). The governance risk and credit impact scores reflect
aggressive financial policies under private equity ownership, as
evidenced by very high debt leverage. The company has a track
record of operational underperformance and a lack of meaningful
track record in achieving near-term performance targets, which
further elevates its governance risk. Moody's does recognize
improvement in compliance and reporting, and Moody's expect 2023
financial results will be published in a more timely manner that is
more consistent with private companies.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be upgraded if Oregon Tool operates with
debt-to-EBITDA below 6.25x, EBITA-to-interest above 1.5x and
positive free cash flow. An upgrade would also be predicated on an
improved liquidity profile.
The ratings could be downgraded if the company's EBITA-to-interest
is maintained below 1.0x or the company experiences deterioration
in liquidity. Finally, a downgrade would likely result if the
likelihood of a restructuring resulting in a reduction in recovery
prospects for creditors or a default increase.
The principal methodology used in these ratings was Manufacturing
published in September 2021.
Oregon Tool Holdings, Inc., headquartered in Portland, Oregon, is a
global manufacturer and distributor of professional-grade,
consumable parts and attachments for use in forestry, lawn and
garden, agriculture and concrete cutting applications. Platinum
Equity, through its affiliates, is the owner of Oregon Tool.
PARAMOUNT REAL ESTATE: Seeks to Hire Carrington as Legal Counsel
----------------------------------------------------------------
Paramount Real Estate Holdings, LLC seeks approval from the U.S.
Bankruptcy Court for the Eastern District of Texas to employ
Carrington, Coleman, Sloman & Blumenthal, LLP as its legal
counsel.
The firm's services include:
a) advising the Debtor concerning its powers and duties in the
continued operations of its business and management of its
property;
b) acting to help protect, preserve and maximize the value of
the Debtor's estate, including the sale and liquidation of assets
outside the ordinary course of business, if prudent and advisable;
c) preparing legal papers, including a Chapter 11 plan,
disclosure statement and related documents; and
d) other legal services related to the Debtor's Chapter 11
case.
The firm will be paid at these rates:
Attorneys $375 to $950 per hour
Paraprofessionals $290 to $315 per hour
Legal Secretaries $150 per hour
In addition, the firm will seek reimbursement for out-of-pocket
expenses incurred.
Carrington received from the Debtor a retainer of $5,000 prior to
the petition date. The post-petition retainer is $20,000.
Mark Castillo, Esq., a partner at Carrington, disclosed in a court
filing that his firm is a "disinterested person" as the term is
defined in Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
Mark A. Castillo, Esq.
Robert C. Rowe
Carrington, Coleman, Sloman& Blumenthal, LLP
901 Main Street, Suite 5500
Dallas, TX 75202
Telephone: (214) 855-3000
Facsimile: (214) 580-2641
Email: markcastillo@ccsb.com
rrowe@ccsb.com
About Paramount Real Estate Holdings
Paramount Real Estate Holdings, LLC is a single asset real estate
as defined in 11 U.S.C. Sec. 101(51B).
Paramount Real Estate Holdings filed a petition for relief under
Chapter 11 of the Bankruptcy Code (Bankr. E.D. Texas Case No.
23-40020) on Jan. 2, 2023. In the petition filed by its chief
executive officer, Ryan Cole, the Debtor reported $10 million to
$50 million in both assets and liabilities.
Judge Brenda T. Rhoades oversees the case.
The Debtor is represented by Robert C. Rowe, Esq., at Carrington
Coleman Sloman & Blumenthal, LLP.
PCL PROPERTIES: Files for Chapter 11 Bankruptcy
-----------------------------------------------
PCL Properties LLC filed for chapter 11 protection in the Northern
District of New York. The Debtor filed as a small business debtor
seeking relief under Subchapter V of Chapter 11 of the Bankruptcy
Code.
The Debtor disclosed $6,132,011 in total assets against $5,493,290
in total liabilities in its schedules. PCL Properties owns several
properties in Oswego, New York, valued at a total of $6,085,250.
The petition states that funds will be available to unsecured
creditors.
A meeting of creditors under 11 U.S.C. Section 341(a) is slated for
March 22, 2023 at 10:00 a.m. at First meeting Ch11 Albany.
About PCL Properties LLC
PCL Properties LLC its operation is limited to leasing of storage
space, commercial space and vacant land.
PCL Properties LLC filed a petition for relief under Subchapter V
of Chapter 11 of the Bankruptcy Code (Bankr. N.D.N.Y. Case No.
23-30066) on February 16, 2023. In the petition filed by Jeff
Holbrook, as sole member, the Debtor reported assets and
liabilities between $1 million and $10 million each.
Michael Brummer-Trustee has been appointed as Subchapter V
trustee.
The Debtor is represented by:
Dirk J. Oudemool, Esq.
305 E. Seneca Steet
Oswego, NY 13126
Tel: (315) 474-7447
Email: dirkj5640@outlook.com
PELLETIER MANAGEMENT: Amends REH Secured Claim Pay Details
----------------------------------------------------------
Pelletier Management and Consulting LLC submitted a Second Amended
Plan of Liquidation dated February 21, 2023.
This amended Plan provides for the orderly liquidation of the
Debtor's assets over time and for the proceeds to be allocated in
accordance with the terms of the Plan and distributed to holders of
Allowed Claims.
The anticipated liquidation includes sale and distribution to Real
Estate Holdings LLC an Oklahoma Series Limited Liability Company
for the benefit of its Series B on terms negotiated with the
assistance of the Subchapter V Trustee for what is anticipated to
be a consensual Plan. The anticipated sale of the Ohio Real Estate
is anticipated to be the subject of a separate order pursuant to 11
U.S.C. Section 363 to a related entity for an agreed upon amount
and subject to terms in accordance with this Plan providing for
mutual waiver between the Debtor's related parties on the one hand
and Real Estate Holdings LLC and related parties on the other hand.
The Debtor intends to liquidate the Ohio Real Estate and the North
Dakota Real Estate and discontinue all operations. The net proceeds
from the sale of the North Dakota Real Estate (net of
Administrative Expenses, including capital gains taxes on the sale
of the North Dakota Real Estate) is intended to be distributed to
Class 5 claimants.
The Plan provides for (1) liquidation of the North Dakota Real
Estate and distribution of the net sale proceeds to the general
unsecured creditors (net of Administrative Expenses, including
capital gains taxes). Given that the Debtor will not have income
from operations, the applicable commitment period is 3 years, but
will be distributed upon sale of the final parcel of the North
Dakota Real Estate.
Class 4, which consists of the secured claim of REH, will receive a
full and final release of all claims held by the Debtor. In
addition, REH will be paid $25,000 from funds on deposit held by
the Debtor along with $575,000 held in escrow by the attorney for
REH, which funds have been placed on deposit from Applewood Log
Home Sales, Inc. (which Applewood Log Home Sales, Inc. is making
available pursuant to an agreement to purchase the Ohio Real Estate
and in accordance with a settlement agreement relating to parties
outside of bankruptcy).
The treatment of the Class 4 claims includes a requirement that
this Court enter a separate Order authorizing the sale of the Ohio
Real Estate to Applewood Log Home Sales, Inc. in exchange for the
payment of $575,000 identified above even if the granting of the
deed from the Debtor to Applewood Log Home Sales, Inc. is delayed
beyond the deadline for release of the $575,000 from escrow upon
confirmation of this Plan. REH is arguably entitled to distribution
of other accounts receivable due or that may become due as rent on
the Ohio Real Estate, which REH has agreed to forego and which the
Debtor will not collect and the tenant will not pay. Upon receipt
of the $600,000 provided for payment as provided herein to REH, REH
shall be deemed to have withdrawn its election under 1111(b) of the
Bankruptcy Code.
Like in the prior iteration of the Plan, all Allowed Unsecured
Claims shall receive the net sale proceeds from the sale of the
North Dakota Real Estate (net of all Administrative Expenses,
including capital gains taxes), which shall be transferred to the
Distribution Agent at closing of the sale of each parcel of North
Dakota Real Estate. Upon consummation of the sale of the last
parcel of North Dakota Real Estate and determination of all
Administrative Expenses, the Distribution Agent shall distribute
100% of the actual remaining net proceeds of the sale of the North
Dakota Real Estate along with any other cash on hand owned by the
Debtor.
On the Effective Date, automatically and without further action,
all remaining assets of the Debtor, whether allocated to Fund or
otherwise, shall vest in the Liquidating Debtor for the sole and
express purpose of making distributions to holders of Allowed
Claims pursuant to the terms and conditions of the Plan. The
Liquidating Debtor shall be the successor in interest to the Debtor
and be appointed the representative of the Estate acting by and
through the Chief Executive Manager and shall have all duties,
powers, standing and authority necessary to implement the Plan and
to administer the assets of the Estate for the benefit of holders
of Allowed Claims.
Any proceeds from the liquidation of estate assets shall be
deposited into the Fund and become assets of the Fund.
A full-text copy of the Second Amended Plan dated February 21, 2023
is available at https://bit.ly/3ZfSMtC from PacerMonitor.com at no
charge.
Counsel for the Debtor:
Patricia J. Friesinger, Esq.
Coolidge Wall Co., LPA
33 W. First Street, Ste. 200
Dayton, OH 45402
Telephone: (937) 449-5776
Facsimile: (937) 223-6705
Email: friesinger@coollaw.com
About Pelletier Management and Consulting
Pelletier Management and Consulting LLC filed a petition for relief
under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr.
S.D. Ohio Case No. 22-31296) on Sept. 16, 2022. In the petition
filed by Gaetan Pelletier, chief executive manager, the Debtor
reported assets between $500,000 and $1 million and estimated
liabilities between $1 million and $10 million.
Donald W. Mallory has been appointed as Subchapter V trustee.
The Debtor is represented by Patricia J. Friesinger, Esq., at
Coolidge Wall Co., LPA.
PLACER ACADEMY SCHOOLS: Seeks Chapter 7 Bankruptcy
--------------------------------------------------
Ben van der Meer of Sacramento Business Journal reports that closed
Rocklin charter school Placer Academy files for Chapter 7
bankruptcy.
Weeks after telling parents it was closing its doors, Placer
Academy Schools in Rocklin has filed for Chapter 7 bankruptcy.
The Feb. 13 filing in U.S. Bankruptcy Court for the Eastern
District of California lists about $952,000 in liabilities against
about $137,700 in assets.
Brian Aton, an attorney with Sacramento-based Downey Brand LLP
who's listed as representing the charter school in the filing, did
not return a message seeking comment. A phone number for the
school, which operated as Placer Academy Charter, was disconnected
and an email on its mostly bare website bounced back Wednesday.
According to the filing, the school's biggest liabilities are
nearly $400,000 to Roseville-based Small Town Construction LLC for
equipment rentals and related charges, about $147,600 to the
Newcastle Elementary School District for special education services
and about $108,000 to Mobile Modular Management Corp. in San
Francisco for classroom structure rental and storage.
Jill Godtland, the school's executive director, lists herself as a
priority creditor, with a claim of nearly $19,800 in unpaid wages
between Dec. 16, 2022, when the school closed, and the bankruptcy
filing.
Several Sacramento television stations reported in December that
Placer Academy Charter had sent a letter to parents informing them
the school would close. According to those reports, the letter
cited higher-than-expected construction costs on a new school
campus as a reason for the closure.
None of the liabilities in the filing list a basis directly related
to construction, though a few, such as Small Town Construction LLC,
do appear to be with companies in or related to construction.
Under assets, the largest single category is about $112,400 in a
school checking account. The school, which opened in 2018, also
lists a $25,000 deposit with the Placer County Association of
Realtors. But the association also appears as a creditor, owed
$32,800 in unpaid rent and $5,530.11 in lease payments on property
tax.
Placer Academy Charter appears to have most recently been housed at
4750 Grove St., an office building in Rocklin. That building, about
10,500 square feet, is currently listed for both lease and sale on
commercial real estate website LoopNet. The Placer County
Association of Realtors owns the building.
In 2020, Placer Academy Charter proposed to convert part of
Stanford Ranch Plaza retail center in Rocklin into a single site
for the school, serving kindergarten through eighth grades. City
planners at the time, however, recommended against the idea.
Godtland said at the time the school was looking at another
possible site, but she feared it wouldn't be ready in time and the
school might have to close. At the time, the school said it had
about 360 students and could grow up to 456 at the Stanford Ranch
Plaza site.
According to Rocklin Planning Commission minutes, the item for
Stanford Ranch Plaza was pulled at the school's request from a
meeting in June 2020, and doesn't appear to have been heard at any
later meeting.
In new reports about the late 2022 closure, the school's enrollment
was said to be about 200.
About Placer Academy School
Placer Academy Schools is a public charter school in Rocklin,
California.
Placer Academy Schools sought relief under Chapter 7 of the U.S.
Bankruptcy Code (Bankr. E.D. Cal. Case No. 2:23-bk-20455) on Feb.
13, 2023. The Debtor lists about $952,000 in liabilities against
about $137,700 in assets.
Placer Academy Schools is represented by:
Brian C. Aton
Downey Brand LLP
Tel: 916-520-5432
E-mail: baton@downeybrand.com
Chapter 7 trustee:
Kimberly J. Husted
11230 Gold Express Dr #310-411
Gold River, CA 95670
PLOURDE SAND: Gets OK to Hire William S. Gannon as Legal Counsel
----------------------------------------------------------------
Plourde Sand & Gravel Co., Inc. received approval from the U.S.
Bankruptcy Court for the District of New Hampshire to employ
William S. Gannon, PLLC as its legal counsel.
The firm's services include:
a. advising the Debtor with respect to its powers and duties
and the continued management and operation of its businesses and
properties;
b. attending meetings and negotiating with representatives of
creditors and other parties in interest, responding to creditor
inquiries, and advising and consulting on the conduct of the case,
including all of the legal and administrative requirements of
operating in Chapter 11;
c. negotiating and preparing a plan of reorganization and all
related documents, and prosecuting the plan through the
confirmation process;
d. representing the Debtor in adversary proceedings or
automatic stay litigation;
e. advising the Debtor in connection with any sale of its
assets;
f. advising the Debtor regarding post-confirmation operations
and consummation of a plan of reorganization;
g. appearing before the bankruptcy court, appellate courts and
the Office of the U.S. Trustee;
h. preparing legal papers; and
i. performing all other necessary legal services for the
Debtor including, without limitation, legal advice relating to
applicable state and federal laws, securities, labor, commercial,
and real estate laws.
The hourly rates charged by the firm are as follows:
William S. Gannon, Esq. $525 per hour
Beth E. Venuti, Paralegal $175 per hour
Jeanne Arquette-Koehler, Staff $120 per hour
The firm received from the Debtor a retainer in the amount of
$11,178.
As disclosed in court filings, William S. Gannon is a
"disinterested person" within the meaning of Section 101(14) of the
Bankruptcy Code.
The firm can be reached through:
William S. Gannon, Esq.
William S. Gannon PLLC
740 Chestnut Street
Manchester, NH 03104
Tel: (603) 621-0833
Fax: (603) 621-0830
Email: bgannon@gannonlawfirm.com
About Plourde Sand & Gravel
Plourde Sand & Gravel Co., Inc. owns eight properties located in
New Hampshire, with an aggregate total value of $5.34 million.
Plourde Sand & Gravel filed a petition for relief under Chapter 11
of the Bankruptcy Code (Bankr. D.N.H. Case No. 23-10039) on Jan.
31, 2023, with $9,192,623 in assets and $8,072,411 in liabilities.
Daniel O. Plourde, sole shareholder and vice president of Plourde
Sand & Gravel, signed the petition.
Judge Bruce A. Harwood oversees the case.
The Debtor is represented by William S. Gannon, Esq., at William S.
Gannon, PLLC.
PRESTIGE CONSTRUCTION: Taps Eric A. Liepins as Bankruptcy Counsel
-----------------------------------------------------------------
Prestige Construction Group of Texas, LLC seeks approval from the
U.S. Bankruptcy Court for the Eastern District of Texas to employ
Eric A. Liepins, PC as its bankruptcy counsel.
The Debtor requires legal assistance to liquidate its assets,
reorganize the claims of the estate, and determine the validity of
claims asserted in the estate.
The hourly rates of the firm's counsel and staff are as follows:
Eric A. Liepins $275
Paralegals and Legal Assistants $30 - $50
In addition, the firm will seek reimbursement for expenses
incurred.
The firm received a retainer of $5,000, plus filing fee.
Mr. Liepins, the sole shareholder of the firm, disclosed in a court
filing that his firm is a "disinterested person" as that term is
defined in Section 101(14) of the Bankruptcy Code.
The firm can be reached through:
Eric A. Liepins, Esq.
Eric A. Liepins, PC
12770 Coit Road, Suite 850
Dallas, TX 75251
Tel: (972) 991-5591
Fax: (972) 991-5788
Email: eric@ealpc.com
About Prestige Construction Group of Texas
Prestige Construction Group of Texas, LLC, a company in Prosper,
Texas, filed its voluntary petition for Chapter 11 protection
(Bankr. E.D. Texas Case No. 23-40170) on Jan. 31, 2023, with up to
$50,000 in assets and $1 million to $10 million in liabilities.
Cory Anderson, managing member of Prestige, signed the petition.
Judge Brenda T. Rhoades oversees the case.
Eric A. Liepins, PC serves as the Debtor's legal counsel.
PROPERTY HOLDERS: Unsecureds to Get 100 Cents on Dollar in Plan
---------------------------------------------------------------
Property Holders, LTD, filed with the U.S. Bankruptcy Court for the
Northern District of Iowa a Small Business Plan of Reorganization
under Subchapter V dated February 21, 2023.
Property Holders Ltd was incorporated on Apil 9, 1990 by Charles L.
Davisson as a small company devoted to acquiring vacant residential
properties built in the early 1920's primarily on the southeast
side of Cedar Rapids, Iowa that needed repair and upgrading to
modern standards.
The COVID-19 pandemic struck early in 2020, and the federal and
state governments placed a moratorium on all residential evictions
for non-payment of rent. This lasted more than 18 months. As a
result, most of the company's tenants stopped paying rent
altogether knowing they could not be evicted.
From July 2022 to the filing of this case in November, Property
Holders, LTD unsuccessfully pursued refinancing of the Greenstate
mortgage debts, while making several overatures to negotiate a
workout with Greenstate. A week prior to the foreclosure sales
scheduled for November 22, 2022, Mr. Davisson realized the credit
union was not going to entertain a workout and he retained
bankruptcy counsel on behalf of the company. This case was filed as
an emergency short filing on November 22, 2022.
Pursuant to the terms of the Plan, Debtor commits to liquidation of
the number of residential properties owned by the estate necessary
to satisfy in full all allowed claims. Debtor does not rely on any
amount of tenant rental revenue from the rental of properties owned
by the estate to pay any portion of the allowed claims. If it turns
out that a portion of the secured claim of Dupaco Community Credit
Union can return to normal servicing under the original contracts
between the parties should Debtor's revenue stream from rental of
properties mortgaged to Dupaco and/or properties retained by the
Debtor after satisfaction of the secured claim of GreenState Credit
Union, then Debtor, with the agreement of Dupaco, will return to
normal servicing of those mortgage debt obligations.
The Debtor's financial projections show that the Debtor will have
net proceeds from the sale of real property and projected
disposable income of $3,500,000. The final Plan payment is
expected to be paid on or before July 31, 2027.
Non-priority unsecured creditors holding allowed claims will
receive distributions, which the proponent of this Plan has valued
at approximately 100 cents on the dollar. This Plan also provides
for the payment of administrative and priority claims.
Class 3 consists of Non-priority unsecured creditors. Each holder
of an allowed Class 3 claim will be paid in cash in a lump sum
following the liquidation of real estate and payments from the
proceeds of liquidated real estate properties to the secured
creditors specified in the treatment of Class 2 and Class 3 claims
and the specified payments have been made to the unclassified
administrative claims, the priority tax claims and Class 1 claims.
The payment to members of this class shall be made from the
remaining proceeds from the sale of real estate and payment to
those secured creditors from the proceeds of liquidated real estate
and contemporaneously with the first monthly payment to the Class 3
claimant, Dupaco Community Credit Union, or within thirty days of
the final payment to GreenState Credit Union should that occur
after the final payment to the Class 2 claimant from the proceeds
of real property sales, whichever comes later. This Class is
impaired.
Class 4 consists of Equity security holders of the Debtor. Charles
A. Davisson, the sole equity security holder of the debtor
corporation shall retain his stock and shall retain all his rights
of ownership upon all payments having been made as provided in this
plan.
As contemplated by the treatments specified for the various classes
of claimholders, the primary means for implementation of the
provisions of this Plan will be obtained through the sales of
residential real estate owned by Debtor and subject to the mortgage
liens of the two secured creditors. Sufficient parcels of real
property, chosen at the discretion of Debtor, shall be sold to pay
all the amounts specified in the treatment of the individual
classes of claimants to be paid from the liquidation of real
estate.
Any payments to the holders of allowed claims which are specified
to be paid from Debtor's rental income stream are, as noted,
provisional upon development of sufficient cash flow from rental
income to sustain those payments over the remaining life of the
obligations being serviced.
A full-text copy of the Plan of Reorganization dated February 21,
2023 is available at https://bit.ly/3Ist8v8 from PacerMonitor.com
at no charge.
Attorney for the Debtor:
Rush M. Shortley, Esq.
1921 51st Street NE
Cedar Rapids, IA 52402
Telephone: (319) 294-1907
Facsimile: (866) 388-4875
Email: rush@shortleylaw.com
About Property Holders
Property Holders, LTD was incorporated on April 9, 1990 by Charles
L. Davisson as a small company devoted to acquiring vacant
residential properties built in the early 1920's primarily on the
southeast side of Cedar Rapids, Iowa.
The Debtor 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, its 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.
RENNASENTIENT INC: Files Emergency Bid to Use Cash Collateral
-------------------------------------------------------------
Rennasentient, Inc. asks the U.S. Bankruptcy Court for the Eastern
District of North Carolina, Raleigh Division, for authority to use
cash collateral to pay its ordinary operating expenses.
The lienholders that assert an interest in the Debtor's cash
collateral are Wells Fargo Bank and the U.S. Small Business
Administration. Wells Fargo is owed $824,000 and the SBA is owed
$147,750.
The Debtor proposes adequate protection to the Secured Creditors in
the form of replacement liens in after-acquired revenue to the same
extent as they had prior to the bankruptcy.
A copy of the Debtor's motion and the budget is available at
https://bit.ly/3kkyAbx from PacerMonitor.com.
The Debtor projects $100,000 in revenue and $91,783 in total
expenses.
About Rennasentient, Inc.
Rennasentient, Inc. sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. E.D.N.C. Case No. 23-00485) on February 21,
2023. In the petition signed by Eric Webb, president, the Debtor
disclosed up to $1 million in assets and up to $10 million in
liabilities.
Philip M. Sasser, Esq., at Sasser Law Firm, represents the Debtor
as legal counsel.
RESOLUTE INVESTMENT: S&P Alters Outlook to Neg., Affirms 'B' ICR
----------------------------------------------------------------
On Feb. 24, 2023, S&P Global Ratings revised its outlook on
Resolute Investment Managers Inc. to negative from stable. S&P
affirmed its 'B' issuer credit rating on Resolute, its 'B' rating
on the company's first-lien term loan, and its 'CCC+' rating on the
company's second-lien term loan. The recovery rating on the
first-lien secured debt remains '3', indicating S&P's expectation
for meaningful (50%) recovery, and the recovery rating on the
second-lien secured debt remains '6', indicating its expectation
for negligible (0%) recovery.
As of Dec. 31, 2022, AUM was around $74 billion, down $15 billion,
or 16%, from year-end 2021. S&P said, "Further, we estimate
distribution revenues to have declined about 62%, or $35 million,
in 2022, driven by lower ARK distribution fees. As a result, we
expect Resolute's adjusted EBITDA to have declined around 33% for
the year, and we estimate adjusted debt to EBITDA to have risen to
around 6.8x as of Dec. 31, 2022, approaching the downside threshold
of 7.0x. Given lower AUM at the start of 2023 and continued market
volatility, we expect earnings growth to be muted in 2023."
Furthermore, S&P expects any refinanced debt to bear a higher
interest rate. As of Dec. 31, 2022, Resolute had outstanding a $542
million first-lien term loan due April 30, 2024, and a $89 million
second-lien term loan due April 30, 2025.
S&P said, "We balance those characteristics against its strong
margins, improving diversification, and adequate liquidity for the
next 12 months. The company had around $46 million of cash and
equivalents as of Dec. 31, 2022, and we anticipate it will generate
between $80 to $85 million of adjusted EBITDA over the next 12
months."
REVLON INC: Updates Restructuring Plan Disclosures
--------------------------------------------------
Revlon, Inc., et al., submitted a Disclosure Statement for First
Amended Joint Plan of Reorganization dated February 21, 2023.
Since the filing of the Chapter 11 Cases, the Debtors and their
advisors have engaged the Debtors' key stakeholders regarding
various possible restructuring alternatives to effectuate a value
maximizing restructuring transaction and create a sustainable
capital structure to position the Debtors for long-term success.
After extensive negotiations, on December 19, 2022, the Debtors,
the Consenting BrandCo Lenders, and the Creditors' Committee,
entered into the initial Restructuring Support Agreement (the
"Original Restructuring Support Agreement"). The Debtors and the
Consenting BrandCo Lenders then pursued intense and active
negotiations with the Debtors' largest objecting constituencyโthe
Ad Hoc Group of 2016 Lenders. Following weeks of negotiations in
January and February 2023, the Debtors, the Ad Hoc Group of BrandCo
Lenders, the Ad Hoc Group of 2016 Lenders, and the Creditors'
Committee reached an agreement on the terms of a settlement in
principle (the "2016 Settlement") that provides for a global
resolution of the significant litigation issues in these Chapter 11
Cases.
Pursuant to the terms of the 2016 Settlement, members of the Ad Hoc
Group of 2016 Lenders are now party to the Restructuring Support
Agreement, as amended and restated on February 21, 2023. The
Debtors, the Consenting BrandCo Lenders, the Consenting 2016
Lenders, and the Creditors' Committee believe that the
restructuring reflected in the Plan is the best available option
for the Debtors' stakeholders, Estates, and go-forward businesses.
The Plan gives effect to the transactions described in the
Restructuring Support Agreement. Among other benefits, the Plan:
* provides for an Equity Rights Offering in the amount of up
to $670 million for the purchase of New Common Stock of the
Reorganized Debtors, which is backstopped by the Equity Commitment
Parties, the proceeds of which will be used, among other things, to
fund plan distributions;
* provides for the discharge and cancellation of Interests in
Holdings and certain Claims on the Effective Date, and the issuance
of New Common Stock to Holders of applicable Allowed Claims on the
Effective Date;
* provides substantial cash distributions to Holders of
Allowed General Unsecured Claims and the issuance of New Warrants
to Holders of Allowed Unsecured Notes Claims, in each case, subject
to acceptance of the Plan by the relevant Class or Holders;
* provides for a global and integrated compromise and
settlement of all disputes, including, without limitation, the
Financing Transactions Litigation Claims, between and among the
Debtors, the Creditors' Committee, the Consenting BrandCo Lenders,
the Consenting 2016 Lenders, and other stakeholders in these
Chapter 11 Cases; and
* has the support of the Creditors' Committee, the Ad Hoc
Group of BrandCo Lenders, and the Ad Hoc Group of 2016 Lenders.
Class 4 consists of OpCo Term Loan Claims. On the Effective Date,
or as soon as reasonably practicable thereafter, each Holder of an
Allowed OpCo Term Loan Claim shall receive, in full and final
satisfaction, compromise, settlement, release, and discharge of
such Claim, (i) such Holder's Pro Rata share of Cash in the amount
of $56 million or (ii) if such Holder makes or is deemed to make
the Class 4 Equity Election, such Holder's Pro Rata share
(determined based on such Holder's Class 4 Equity Electing Claims
as a percentage of all Class 4 Equity Electing Claims) of 18% of
(a) the New Common Stock issued on the Effective Date, prior to and
subject to dilution by any New Common Stock issued in connection
with the Equity Rights Offering (including, for the avoidance of
doubt, any New Common Stock issued pursuant to the Backstop
Commitment Agreement), in connection with any MIP Awards, and/or
upon the exercise of the New Warrants and (b) the Equity
Subscription Rights.
Class 5 consists of 2020 Term B-1 Loan Claims. On the Effective
Date, each Holder of an Allowed 2020 Term B-1 Loan Claim shall
receive, in full and final satisfaction, compromise, settlement,
release, and discharge of such Claim, either (i) a principal amount
of Take-Back Term Loans equal to such Holder's Allowed 2020 Term
B-1 Loan Claim or (ii) an amount of Cash equal to the principal
amount of Take-Back Term Loans that otherwise would have been
distributable to such Holder under clause.
Class 6 consists of 2020 Term B-2 Loan Claims. On the Effective
Date, or as soon as reasonably practicable thereafter, each Holder
of an Allowed 2020 Term B-2 Loan Claim shall receive, in full and
final satisfaction, compromise, settlement, release, and discharge
of such Claim such Holder's Pro Rata share of 82% of (a) the New
Common Stock issued on the Effective Date, prior to and subject to
dilution by any New Common Stock issued in connection with the
Equity Rights Offering (including, for the avoidance of doubt, any
New Common Stock issued pursuant to the Backstop Commitment
Agreement), in connection with any MIP Awards, and/or upon the
exercise of the New Warrants and (b) the Equity Subscription
Rights.
Class 8 consists of Unsecured Notes Claims. On the Effective Date,
or as soon as reasonably practicable thereafter, each Holder of an
Allowed Unsecured Notes Claim shall receive:
* if Class 8 votes to accept the Plan and the Creditors'
Committee Settlement Conditions are satisfied, in full and final
satisfaction, compromise, settlement, release, and discharge of
such Claim, such Holder's Pro Rata share of the Unsecured Notes
Settlement Distribution; or
* if Class 8 votes to reject the Plan or the Creditors'
Committee Settlement Conditions are not satisfied, no recovery or
distribution on account of such Claim, and all Unsecured Notes
Claims shall be canceled, released, extinguished, and discharged,
and of no further force or effect; provided that each Consenting
Unsecured Noteholder shall receive 50% of such Holder's Pro Rata
share of the Unsecured Notes Settlement Distribution (the
"Consenting Unsecured Noteholder Recovery"); provided, further,
that if the Bankruptcy Court finds that such Consenting Unsecured
Noteholder Recovery is improper, there shall be no such
distribution to Consenting Unsecured Noteholders under the Plan.
Class 9(b) consists of Non-Qualified Pension Claims. On the
Effective Date, or as soon as reasonably practicable thereafter,
each Holder of an Allowed Non-Qualified Pension Claim shall
receive:
* if Class 9(b) votes to accept the Plan and the Creditors'
Committee Settlement Conditions are satisfied, in full and final
satisfaction, compromise, settlement, release, and discharge of
such Claim, cash in an amount equal to such Holder's Pro Rata share
of the Pension Settlement Distribution; or
* if Class 9(b) votes to reject the Plan or the Creditors'
Committee Settlement Conditions are not satisfied, no recovery or
distribution on account of such Claim and all Non-Qualified Pension
Claims shall be canceled, released, extinguished, and discharged,
and of no further force or effect.
Class 9(c) consists of Trade Claims. On the Effective Date, or as
soon as reasonably practicable thereafter, each Holder of an
Allowed Trade Claim shall receive:
* if Class 9(c) votes to accept the Plan and the Creditors'
Committee Settlement Conditions are satisfied, in full and final
satisfaction, compromise, settlement, release, and discharge of
such Claim, such Holder's Pro Rata share of the Trade Settlement
Distribution; or
* if Class 9(c) votes to reject the Plan or the Creditors'
Committee Settlement Conditions are not satisfied, no recovery or
distribution on account of such Claim and all Trade Claims shall be
canceled, released, extinguished, and discharged, and of no further
force or effect.
Class 9(d) consists of Other General Unsecured Claims. On the
Effective Date, or as soon as reasonably practicable thereafter,
each Holder of an Allowed Other General Unsecured Claim shall
receive:
* if Class 9(d) votes to accept the Plan and the Creditors'
Committee Settlement Conditions are satisfied, in full and final
satisfaction, compromise, settlement, release, and discharge of
such Claim, such Holder's Pro Rata share of the Other GUC
Settlement Distribution; or
* if Class 9(d) votes to reject the Plan or the Creditors'
Committee Settlement Conditions are not satisfied, no recovery or
distribution on account of such Claim and all Other General
Unsecured Claims shall be canceled, released, extinguished, and
discharged, and of no further force or effect.
On February 21, 2023, the Debtors entered into the amended and
restated Restructuring Support Agreement to memorialize the 2016
Settlement with the Consenting BrandCo Lenders, the Consenting 2016
Lenders, and the Creditors' Committee. On February 21, 2023, the
Debtors filed this Disclosure Statement and the amended Plan, which
documents the terms of the Restructuring Transactions contemplated
by the amended and restated Restructuring Support Agreement. The
Debtors believe the Restructuring Transactions contemplated by the
Plan will significantly reduce the Debtors' funded-debt
obligations, result in a stronger balance sheet for the Debtors,
and maximize value for all stakeholders.
Pursuant to the Restructuring Support Agreement and the Plan, the
Debtors shall conduct an equity rights offering (the "Equity Rights
Offering") in an aggregate amount of $670 million (the "Aggregate
Rights Offering Amount"), subject to the Excess Liquidity Cutback,
at a 30% discount to Plan Equity Value. As set forth in the
Restructuring Term Sheet attached to the Original Restructuring
Support Agreement, 70% of the Aggregate Rights Offering Amount (or
$469 million, subject to the Excess Liquidity Cutback) (the
"Subscription Amount") will be raised by soliciting commitments
from Eligible Holders, while 30% (or $201 million, subject to the
Excess Liquidity Cutback) (the "Direct Allocation Amount") will be
reserved for purchase by the Equity Commitment Parties.
The Reorganized Debtors shall fund distributions under the Plan, as
applicable with: (a) the Exit Facilities; (b) the issuance and
distribution of New Common Stock; (c) the Equity Rights Offering;
(d) the issuance and distribution of New Warrants; and (e) Cash on
hand.
Counsel to the Debtors:
Paul M. Basta, Esq.
Alice Belisle Eaton, Esq.
Kyle J. Kimpler, Esq.
Robert A. Britton, Esq.
Brian Bolin, Esq.
PAUL, WEISS, RIFKIND, WHARTON & GARRISON LLP
1285 Avenue of the Americas
New York, NY 10019
Telephone: (212) 373-3000
Facsimile: (212) 757-3990
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.
SAINT KROIX: Unsecured Creditors to Get 100 Cents on Dollar in Plan
-------------------------------------------------------------------
Saint Kroix, Inc.,filed with the U.S. Bankruptcy Court for the
Northern District of Georgia a First Amended Plan of Reorganization
dated February 21, 2023.
A Georgia corporation, the Debtor is the lessee for an Amended and
Restated Property Lease agreement (the "Lease") with SK ARO LLC
("Landlord") for a Suite located in a shopping and entertainment
district in downtown Atlanta, Georgia, known as "Underground
Atlanta" (the "Premises").
While Debtor is the tenant under the Lease, a related management
companyโOpium Lounge Inc. ("Opium")โ was hired by Debtor to
operate a nightclub out of the Premises. In addition to Debtor's
issues with the Landlord, Debtor borrowed money from various
merchant cash advance lenders ("MCAs") to help with liquidity
needs.
When Debtor and Landlord resolved the issues between them and
entered into the Lease, Debtor was unexpectedly short $216,817.50.
The MCA payments and shortfall of cash created a short-term
liquidity crunch for Debtor. The factors caused Debtor to miss rent
payments to Landlord in August and September 2022. Landlord
subsequently initiated a dispossessory action against Debtor,
which, in turn, caused Debtor to file this bankruptcy case to
preserve the substantial investment in Improvements and cash-flow
for the benefit of all creditors.
Debtor's income is based on a management agreement (the "Management
Agreement") with Opium. Any party desiring to review the Management
Agreement may request a copy free of charge by emailing Debtor's
counsel at the email address in the signature block to this Plan.
Pursuant to the Management Agreement, Opium pays Debtor the cost of
rent under the Lease, which is $54,000.00 per month for the first
24 months of the lease, with marginal increases thereafter. Opium
also pays Debtor an additional $25,000.00 per month, plus 5% of
profits in excess of the first $50,000.00 of Opium's profits.
Additionally, Opium is responsible for paying Debtor's insurance.
The Plan proponent's financial projections show that the Debtor
will have projected disposable income in the amount of not less
than $25,000 per month. The Plan shall be for a 36-month term.
Debtor shall remit any disposable income to creditors until
creditors are paid in full.
This Plan proposes to pay creditors of Debtor from Debtorโs
future projected monthly income.
Debtor does not have any known priority unsecured claims. If a
claimant were to file a priority unsecured claim by the bar date,
and the claim were allowed, Debtor would pay the allowed amount of
any such claim. Non-priority unsecured creditors holding allowed
claims will receive distributions, which the proponent of this Plan
has valued at approximately 100 cents on the dollar. This Plan also
provides for the payment of administrative and priority claims in
full.
Class 1 Priority claims. The Debtor has no priority unsecured
claims.
Class 2 consists of the non-priority unsecured claim of SK ARO LLC.
The unsecured claim of SK ARO LLC shall be paid all disposable
income until its claim is paid in full.
Class 3 consists of the unsecured claims of the MCAsโACE Funding
Source LLC, Advantage Capital Funding, CAN Capital, Mr. Advance
LLC, and Worldwide Capital Group (the "MCAs"). The MCAs purported
to acquire lien rights on or other claims to future receivables
from Debtor. Debtor's position is that the bankruptcy filing
prevents the MCAs' lien claims from attaching to future
receivables, such that the MCAs' claims are unsecured.
All disposable income shall be paid to class 3 claimants, until the
allowed class 3 claims are paid in full, after the class 2 claim is
paid in full. Class 3 claimants shall be paid in monthly pro rata
installments based on the allowed amounts of those claims.
The Debtor will fund the plan payments through its future income,
as more fully described in this Plan of Reorganization. Debtor has
filed financial projections with this Plan showing that the
proposed monthly payments are feasible based on projected income
and expenses.
Opium has signed this Plan to evidence its agreement to the
following: (a) Opium has agreed to make sufficient payments to
Debtor for Debtor to make all plan payments due pursuant to this
Plan; (b) in the event that Opium fails to provide to Debtor
sufficient funds for Debtor to make the payments due pursuant to
this Plan, then any claimholder whose claim is provided for in this
Plan may enforce this Plan against Opium to the same extent and in
the same manner that a claim under this Plan could be enforced
against Debtor; (c) Upon entry of an Order confirming this Plan,
Opium shall be irrevocably bound to perform the obligations agreed
to by Opium in this Plan; (d) Opium hereby submits itself to the
jurisdiction of this Court, and any other court that may enforce
this Plan, for purposes of interpretation and enforcement of
Opium's obligations pursuant to this Plan.
A full-text copy of the First Amended Plan dated February 21, 2023
is available at https://bit.ly/3xORNoP from PacerMonitor.com at no
charge.
Attorneys for Debtor:
Michael D. Robl, Esq.
Maxwell W. Bowen, Esq.
Robl Law Group, LLC
3754 Lavista Road, Suite 250
Tucker, GA 30084
Telephone: (404) 373-5153
Facsimile: (404) 537-1761
Email: michael@roblgroup.com
max@roblgroup.com
About Saint Kroix
Saint Kroix, Inc. is a Georgia corporation. The Debtor filed a
voluntary petition for relief under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. N.D. Ga. Case No. 22-57323) on Sept. 15,
2022, with as much as $1 million in both assets and liabilities.
John T. Whaley has been appointed as Subchapter V trustee.
Judge Paul Baisier oversees the case.
Robl Law Group, LLC serves as the Debtor's counsel.
SAMSON RESOURCES: Bid to Dismiss LLOG Exploration's Claims Granted
------------------------------------------------------------------
District Judge Jane Triche Milazzo for the Eastern District of
Louisiana grants the motion filed by the Defendants Samson Contour
Energy E&P, LLC; Samson Resources II, LLC; and Samson Resources
Company, LLC to dismiss the case captioned LLOG Exploration
Offshore, LLC v. Samson Contour Energy E&P, LLC, Civil Action No.
22-667, (E.D. La).
This case arises out of a contract dispute. On Nov. 15, 2007, LLOG
Exploration Offshore, Inc. and Defendant Samson Contour Energy E&P,
LLC entered into a Purchase and Sale Agreement.
In 2010, Samson Contour assigned the leases to Dynamic Offshore
Resources, LLC -- a corporate predecessor in interest to Fieldwood
Energy Offshore, LLC. In September 2015, Samson Contour filed for
Chapter 11 bankruptcy. Its bankruptcy plan discharged all
obligations, liabilities, and claims against it.
In March of 2022, the United States Department of the Interior's
Bureau of Safety and Environmental Enforcement issued orders to
Samson Contour and LLOG to decommission the wells associated with
the four leases within one year and the platforms and pipelines by
Oct. 31, 2023.
In response to these orders, LLOG sent a letter to Samson Contour
demanding it begin performing the maintenance and monitoring and
notify BSEE of as much. Samson Contour allegedly failed to respond
to this letter or comply with BSEE's orders.
On March 15, 2022, LLOG initiated this action for breach of
contract and declaratory judgment against Samson Contour and two
alleged alter egos of same, namely, Samson Resources, II, LLC and
Samson Resources Company, LLC.
LLOG alleges that Samson Contour is obligated under the PSA to
assume liability and indemnify LLOG for plugging and abandoning the
wells at issue. On the other hand, the Defendants' move to dismiss
LLOG's claims, in which they argue that Samson Contour's
obligations under the PSA were discharged in its 2015 bankruptcy,
and it is therefore no longer obligated to indemnify LLOG for
plugging and abandoning the wells.
The Court finds that the PSA provides that Samson Contour owes an
ongoing obligation to pay and indemnify LLOG for all costs and
liabilities associated with plugging, abandoning, and
decommissioning. However, the Court further finds that LLOG's
obligation -- to transfer to Samson Contour title to the well
leases -- has been completely satisfied. Indeed, LLOG admits in its
Complaint that "LLOG has fully satisfied and performed all
conditions precedent and all its obligations under the PSA."
Because there is no material obligation remains due on both sides
of the obligation, the Court finds and concludes that the PSA is
not an executory contract, and Samson Contour's obligations therein
were discharged in its 2017 bankruptcy plan.
A full-text copy of the Order and Reasons dated Feb. 6, 2023, is
available at https://tinyurl.com/4t4p9z8v from Leagle.com.
About Samson Resources
Samson Resources Corporation, et al., filed Chapter 11 bankruptcy
petitions (Bankr. D. Del. Lead Case No. 15-11934) on Sept. 16,
2015. Philip W. Cook, the executive vice president and CFO, signed
the petition. The Debtors estimated assets and liabilities of more
than $1 billion.
Samson is an onshore oil and gas exploration and production company
with interests in various oil and gas leases primarily located in
Colorado, Louisiana, North Dakota, Oklahoma, Texas, and Wyoming.
The Operating Companies operate, or have royalty or working
interests in, approximately 8,700 oil and gas production sites.
Samson was acquired by KKR and Crestview from Charles Schusterman
in December 2011 for approximately $7.2 billion. The investor
group provided approximately $4.1 billion in equity investments as
part of the purchase price.
Kirkland & Ellis LLP represents the Debtors as general counsel.
Klehr Harrison Harvey Branzburg LLP is the Debtors' local counsel.
Alvarez & Marsal LLC acts as the Debtors' financial advisor.
Blackstone Advisory Partners L.P. serves as the Debtors' Investment
banker. Garden City Group, LLC, serves as claims and noticing
agent to the Debtors.
Andrew Vara, acting U.S. trustee for Region 3, appointed three
creditors of Samson Resources Corp. and its affiliated debtors to
serve on the official committee of unsecured creditors. The
Committee has tapped White & Case LLP as counsel and Farnan LLP as
local counsel.
The Debtors have filed a plan of reorganization. The Creditors'
Committee has filed a competing plan of liquidation. The Hon.
Christopher S. Sontchi of the U.S. Bankruptcy Court for the
District of Delaware entered on Feb. 13, 2017, an order confirming
Samson Resources Corporation, et al.'s plan of reorganization.
SENECAL CONSTRUCTION: Commences Subchapter V Bankruptcy Case
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Senecal Construction Co. Inc. filed for chapter 11 protection in
the Eastern District of North Carolina. The Debtor elected on its
voluntary petition to proceed under Subchapter V of chapter 11 of
the Bankruptcy Code.
Senecal is a commercial metal framing and drywall company.
The goal of this Chapter 11 is to preserve the value of and
restructure the debts of Senecal, so that Senecal may pay, over
time, as much as practicable to its secured and unsecured
creditors. Senecal believes that reorganization is a vastly
superior alternative to liquidation, and that in a liquidation,
unsecured creditors would receive little, if any, return.
The Debtor believes that it can be operated profitably and emerge
successfully from Chapter 11.
According to court filings, Senecal Construction estimates between
$1 million and $10 million in debt owed to 1 to 49 creditors. The
petition states that funds will not be available to unsecured
creditors.
A meeting of creditors under 11 U.S.C. Section 341(a) is slated for
March 14, 2023 at 10:00 a.m. Greenville 341 meeting room.
About Senecal Construction
Senecal Construction Co. Inc. filed a petition for relief under
Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.C.
Case No. 23-00421) on Feb. 15, 2023. In the petition filed by
Roland E. Senecal, Jr., as president, the Debtor reported assets
and liabilities between $1 million and $10 million.
The case is overseen by Honorable Bankruptcy Judge Joseph N.
Callaway.
The Debtor is represented by:
William P Janvier, Esq.
Stevens Martin Vaughn & Tadych, PLLC
4435 Fern Glen Dr. Suite B
Burlington, NC 27215
SHEERKAHN SERVICES: Unsecureds Will Get 22% of Claims in Plan
-------------------------------------------------------------
Sheerkahn Services LLC filed with the U.S. Bankruptcy Court for the
District of New Jersey a Small Business Plan of Reorganization
dated February 21, 2023.
The Debtor is a commercial and residential heating and cooling
business located in Hamilton, New Jersey. Principal David Voacolo
commenced the business in 2013 for the purposes of providing
heating and cooling services for both residential and commercial
clients.
As the business entered 2021 and the Pandemic continued, it
significantly slowed. This fact in conjunction with a rogue general
manager who allowed the debt to explode without corresponding sales
was an unsustainable situation and profits significantly dissipated
into 2022 leading to the Bankruptcy filing by the end of 2022.
Business has started to improve slowly. More importantly, Debtor
Corporation is scheduled to start at least 3 new large projects for
a developer in Princeton in late Spring/early Summer 2023. These
jobs will yield approximately $700,000 in additional revenue with
limited additional expense. They will generate sufficient revenue
for the proposed payments under the Chapter 11 plan. The overall
business outlook is very strong if Debtor is permitted to
reorganize.
The Plan divides the creditors into classes, Secured, Priority, and
General Unsecured. The Plan is devised with the intent to pay to
creditors in periodic payments over 5 years, a sum in excess of the
liquidation threshold, to wit: that which they would have received
in a hypothetical Chapter 7 Liquidation.
There are 11 secured claims, 9 of which are vehicle loans. Three of
these will be redeemed and satisfied by the sale of the vehicle
within 90 days. The remaining 6 are current and will be continued
to paid per contract. The remaining secured claims are A) a
plumbing supply creditor which is secured by virtue of a UCC
financing agreement which will be paid in full through periodic
payments and B) the NJ Dept of Employer Accounts which will be paid
in full through periodic payments, starting upon completion of the
priority payments.
There are priority claims to the Internal Revenue Service and State
of New Jersey Division of Employer Accounts. Upon determination of
actual liability per pending tax assessment appeal review, that
amount will be paid in full in periodic payments starting a date 3
months from the Effective Date. The State of NJ will be paid in
periodic.
There are approximately 22 creditors with claims totalling
approximately $837,000, including two disputed claims. These
creditors have filed claims for $ 606,000 which are alleged to be
overstated and include default rate interest as prohibited by law
and void as against public policy. The general unsecured claims
will be paid 22% of their claims in periodic payments commencing in
approximately 23 months after the effective date upon conclusion of
the priority and secured payments.
Class 6 consists of General Unsecured Claims. Each creditor to be
paid a pro-rata share of available funds in periodic payments
estimated at 22 % of the claim unless de minimus. Payments will
commence in approximately 23 months after the effective date upon
conclusion of payments to Priority and Secured Claims.
Class 7 consists of Equity Interest holder David Voacolo. No
Payment Anticipated other than normal salary.
Debtor is now showing a modest net income each month. That will be
accumulated. pending confirmation to be available for payments due
upon the effective date of the plan. The net profit will be
sufficient to thereafter fund the periodic payments as proposed.
The Debtor is further anticipating substantial additional revenues
from pending projects scheduled to commence late Spring, early
Summer 2023 and proceeds from DIP funding.
A full-text copy of the Plan of Reorganization dated February 21,
2023 is available at https://bit.ly/3m7GWn3 from PacerMonitor.com
at no charge.
About Sheerkahn Services
Sheerkahn Services LLC is a commercial and residential heating and
cooling business located in Hamilton, New Jersey. The Debtor filed
Chapter 11 Petition (Bankr. D.N.J. Case No. 22-19266) on November
21, 2022. Steven J. Abelson, Esq. of ABELSON LAW OFFICES is the
Debtor's Counsel.
In the petition signed by David J. Voacolo, president, the Debtor
disclosed $354,125 in assets and $1,040,457 in liabilities.
SHILO INN BEND: Wins Cash Collateral Access Thru June 30
--------------------------------------------------------
The U.S. Bankruptcy Court for the Western District of Washington at
Tacoma authorized Shilo Inn, Bend, LLC and Shilo Inn, Warrenton,
LLC to use cash collateral on an interim limited basis until the
earliest to occur of (a) the date that the current order ceases to
be in effect, or (b) the occurrence of a Termination Event.
The events consisting a "Termination Event" includes:
a. June 30, 2023 (the Outside Date);
b. The Debtors' failure to deposit on a daily basis all cash
receipts and collections in their DIP Account(s);
c. Entry of an order, without the consent of the Secured
Creditors, reversing, staying or modifying the current order in any
material respect, or terminating the Debtors' use of cash
collateral pursuant to this order;
d. Filing by the Debtors of an application for the approval of
any superpriority claim which is pari passu with or senior to the
Adequate Protection Obligations of Adequate Protection Liens, or
the granting of any such pari passu or senior superpriority claim,
except any such superpriority claim or lien arising thereunder;
e. Entry of an order granting relief from the automatic stay to
permit foreclosure, possession, set-off or any similar remedy with
respect to any collateral necessary to the conduct of the Debtors'
business;
f. Payment of a prepetition claim, except as permitted by a
Court order or the budget;
g. Dismissal of the Debtors' Chapter 11 case, or its conversion
to a case under Chapter 7, or the appointment of a Chapter 11
trustee or an examiner with enlarged powers relating to the
business operations; and
h. The Debtors' failure to maintain, with financially sound
insurance companies, insurance against risks customarily maintained
by companies in businesses similar to the Debtors' business.
RSS WFCM2015NXS4-OR SIB, LLC and RSS WFCM2016NXS5-OR SIW, LLC
assert an interest in the Debtors' cash collateral.
The Secured Creditors, either directly or through a predecessor,
extended certain prepetition credit facilities to Shilo Bend and
Shilo Warrenton, respectively.
The Credit Facilities are evidenced, in part, by certain notes,
security instruments, assignments of leases, UCC-1 statements, and
any and all other pre-petition documents, agreements, and
instruments evidencing, securing, or in any manner relating to the
loans.
Although the Debtor contends that Secured Creditor is adequately
protected by, among other things, substantial equity cushion, the
Secured Creditor disputes such contention and contends that the
Debtor cannot offer adequate protection for its use of cash
collateral. The Secured Creditor has, however, consented to the
Debtor's use of cash collateral, subject to and expressly
conditioned upon the granting of protections as provided for in
the Order.
As a component of adequate protection, the Debtors will make
monthly payments to the Secured Creditors in an amount equal to
monthly interest only payments at the contract (non-default) rate
on the principal amount of the Loan, in the amount of $43,425 per
month for Shilo Bend and the amount of $22,562 per month for Shilo
Warrenton, commencing on or about April 15, 2022, and continuing
monthly thereafter on the 15th of each month through January 15,
2023. The Secured Creditors will apply the Monthly Payments to its
secured claim.
In addition to the security interests preserved by section 552(b)
of the Bankruptcy Code, the Debtor grants, in favor of the Secured
Creditor, a first priority post-petition security interest and lien
in, to and against all of the Debtor's assets, to the same
priority, validity and extent that the Secured Creditor held a
properly perfected pre-petition security interest in such assets.
The liens and security interests granted are deemed perfected
without the necessity for filing or execution of documents which
might otherwise be required under non-bankruptcy law for the
perfection of said security interests.
A sixth interim hearing on the matter is set for June 21 at 10
a.m.
A copy of the court's order and the Debtors' budgets is available
at https://bit.ly/3XQ446U from PacerMonitor.com.
Shilo Inn Bend projects $140,720 in gross profit and $135,949 in
total expenses for March 2023.
Shilo Inn Nampa Suites projects $65,530 in gross profit and $64,266
in total expenses for the same month.
About Shilo Inn, Bend, and Shilo Inn, Warrenton
Shilo Inn, an independently owned and operated hospitality company
with locations in seven western states and Texas, operate Shilo
Inn, Bend, LLC and Shilo Inn, Warrenton, LLC in Oregon.
On August 13, 2021, the companies contemporaneously filed voluntary
Chapter 11 petitions with the U.S. Bankruptcy Court for the Western
District of Washington. The cases are jointly administered under
Shilo Inn, Bend, LLC's case (Bankr. W.D. Lead Case No. 21-41340).
Judge Mary Jo Heston presides over the cases.
On the Petition date, Shilo Inn, Bend estimated $10 million to $50
million in both assets and liabilities, while Shilo Inn, Warrenton
estimated $1 million to $10 million in both assets and liabilities.
The petitions were signed by Mark Hemstreet as secretary of Shilo
Bend Corp., the Debtors' manager.
SHILO INN IDAHO FALLS: Wins Cash Collateral Access Thru June 30
---------------------------------------------------------------
Judge Brian D. Lynch of the U.S. Bankruptcy Court for the Western
District of Washington authorized Shilo Inn, Idaho Falls, LLC to
use cash collateral, pursuant to the budget, to pay for operating
expenses and costs of administration it incurred for the interim
period through the occurrence of a Termination Event or upon
further order or relief from the Court upon the occurrence of any
other Termination Event.
A Termination Event consists of any of the following:
a. June 30, 2023 (the Outside Date);
b. The Debtor's failure to deposit on a daily basis all cash
receipts and collections in its DIP Account(s);
c. Entry of an order, without the consent of the Secured
Creditor, reversing, staying or modifying the current order in any
material respect, or terminating the Debtor's use of cash
collateral pursuant to this order;
d. Filing by the Debtor of an application for the approval of
any superpriority claim which is pari passu with or senior to the
Adequate Protection Obligations of Adequate Protection Liens, or
the granting of any such pari passu or senior superpriority claim,
except any such superpriority claim or lien arising thereunder;
e. Entry of an order granting relief from the automatic stay to
permit foreclosure, possession, set-off or any similar remedy with
respect to any collateral necessary to the conduct of the Debtor's
business;
f. Payment of a prepetition claim, except as permitted by a
Court order or the budget;
g. Dismissal of the Debtor's Chapter 11 case, or its conversion
to a case under Chapter 7, or the appointment of a Chapter 11
trustee or an examiner with enlarged powers relating to the
business operations;
h. The Debtor's failure to keep and maintain all property in
good working order and condition, ordinary wear and tear excepted;
i. The Debtor's failure to maintain, with financially sound
insurance companies, insurance against risks customarily maintained
by companies in businesses similar to the Debtor's business;
j. The Debtor's failure to comply with all laws, rules,
regulations, and orders of any Governmental Authority applicable to
it, its operations or its property; or
k. The Debtor's failure to comply with any of the terms or
conditions of the Order; provided, however, that the Secured
Creditor may waive, in writing, any Termination Event.
RSS CGCMT 2017P7-ID SIIF, LLC -- successor in interest to Natixis
Real Estate Capital LLC -- asserts an interest in the cash
collateral on account of a note for $5.3 million in original
principal amount dated November 2, 2015; a related Loan Agreement;
and Deed of Trust Assignment of Leases and Rents, Security
Agreement, all of which the Debtor executed in favor of Natixis who
assigned its rights in the Loan Documents to the Secured Creditor.
Although the Debtor contends the Secured Creditor is adequately
protected by, among other things, substantial equity cushion, the
Secured Creditor disputes such contention and contends that the
Debtor cannot offer adequate protection for its use of cash
collateral. The Secured Creditor has, however, consented to the
Debtor's use of cash collateral, subject to and expressly
conditioned upon the granting of protections as provided for in
the Order.
As a component of adequate protection, the Debtor will make monthly
payments to the Secured Creditor in an amount equal to monthly
interest only payments at the contract (non-default) rate on the
principal amount of the Loan, in the amount of $26,837 per month,
commencing on or about April 15, 2022 and continuing monthly
thereafter on the 15th of each month through June 15, 2023.
The Secured Creditor will apply the Monthly Payments to its secured
claim. The Debtor will also grant the Secured Creditor a first
priority post-petition security interest and lien against all of
the Debtor's assets, to the same priority, validity and extent that
the Secured Creditor held a properly perfected pre-petition
security interest in such assets, except for claims or recoveries
by or on behalf of the Debtor.
The liens and security interests granted are deemed perfected
without the necessity for filing or execution of documents which
might otherwise be required under non-bankruptcy law for the
perfection of said security interests.
A further hearing on the matter is set for June 21, 2023 at 10
a.m.
A copy of the Court's order and the Debtor's budget is available
for free at https://bit.ly/3ILJwbs from PacerMonitor.com.
The budget provides for total expenses, on a monthly basis, as
follows:
$79,404 for March 2023;
$79,004 for April 2023;
$109,944 for May 2023; and
$164,674 for June 2023.
About Shilo Inn, Idaho Falls, LLC
Shilo Inn, Idaho Falls, LLC filed a Chapter 11 petition (Bankr.
W.D. Wash. Case No. 20-42489) on November 2, 2020. At the time of
filing, Idaho Falls disclosed up to $50 million in assets and up to
$10 million in liabilities.
Judge Brian D. Lynch oversees the case.
Levene, Neale, Bender, Yoo & Brill L.L.P. and Stoel Rives LLP serve
as counsel to Idaho Falls.
Idaho Falls' case is not jointly administered with those of Shilo
Inn, Ocean Shores, LLC, and Shilo Inn, Nampa Suites, LLC, both of
which sought Chapter 11 protection (Bankr. W.D. Wash. Lead Case No.
20-42348) on October 15, 2020. Ocean Shores and Nampa Suites'
cases are jointly administered.
Lane Powell PC represents RSS CGCMT 2017P7-ID SIIF, LLC, the
secured creditor.
SHILO INN OCEAN SHORES: Wins Cash Collateral Access Thru June 30
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Western District of Washington at
Tacoma authorized Shilo Inn, Ocean Shores, LLC and Shilo Inn, Nampa
Suites, LLC to use cash collateral on an interim limited basis for
the period from February 22, 2023, until the earliest to occur of
(a) the date that the current order ceases to be in effect, or (b)
the occurrence of a Termination Event.
A Termination Event consists of any of the following:
a. June 30, 2023 (the Outside Date);
b. The Debtors' failure to deposit on a daily basis all cash
receipts and collections in its DIP Account(s);
c. Entry of an order, without the consent of the secured
creditor, reversing, staying or modifying the current order in any
material respect, or terminating the Debtors' use of cash
collateral pursuant to this order;
d. Filing by the Debtors of an application for the approval of
any superpriority claim which is pari passu with or senior to the
Adequate Protection Obligations of Adequate Protection Liens, or
the granting of any such pari passu or senior superpriority claim,
except any such superpriority claim or lien arising thereunder;
e. Entry of an order granting relief from the automatic stay to
permit foreclosure, possession, set-off or any similar remedy with
respect to any collateral necessary to the conduct of the Debtors'
business;
f. Payment of a prepetition claim, except as permitted by a
Court order or the budget;
g. Dismissal of the Debtors' Chapter 11 case, or its conversion
to a case under Chapter 7, or the appointment of a Chapter 11
trustee or an examiner with enlarged powers relating to the
business operations; and
h. The Debtors' failure to maintain, with financially sound
insurance companies, insurance against risks customarily maintained
by companies in businesses similar to the Debtors' business.
RSS WFCM2016NXSS-WA SIOSN, LLC's predecessor-in-interest extended
certain pre-petition credit facilities to Ocean Shores and Nampa
Suites. These credit facilities include a note, in the original
principal amount of $9.9 million dated November 2, 2015, executed
by the Borrower in favor of Natixis Real Estate Capital LLC, a
Delaware limited liability company.
The Secured Creditor succeeded by assignment to all of the
interests of the Original Lender in the Loan Documents; and as a
result, the Secured Creditor is the current holder of the Note and
the Loan Documents.
Although the Debtor contends that Secured Creditor is adequately
protected by, among other things, substantial equity cushion, the
Secured Creditor disputes such contention and contends that the
Debtor cannot offer adequate protection for its use of cash
collateral. The Secured Creditor has, however, consented to the
Debtor's use of cash collateral, subject to and expressly
conditioned upon the granting of protections as provided for in the
current Order.
As a component of adequate protection, the Debtors will each make
monthly payments to the Secured Creditor in an amount equal to
monthly interest only payments at the contract (non-default) rate
on the principal amount of the Loan, in the amount of $29,900 per
month for Ocean Shores and $16,100 for Nampa Suites, commencing on
or about April 15, 2022, and continuing monthly thereafter on the
15th of each month through January 15, 2023. The Secured Creditor
will apply the Monthly Payments to its secured claim in accordance
with the applicable Loan Documents.
In addition to the security interests preserved by section 552(b)
of the Bankruptcy Code, the Debtor grants, in favor of the Secured
Creditor, a first priority post-petition security interest and lien
in, to and against all of the Debtor's assets, to the same
priority, validity and extent that the Secured Creditor held a
properly perfected pre-petition security interest in such assets.
The liens and security interests granted are deemed perfected
without the necessity for filing or execution of documents which
might otherwise be required under non-bankruptcy law for the
perfection of said security interests.
A further interim hearing on the matter is scheduled for June 21,
2023, at 10 a.m.
A copy of the court's order and the Debtors' budgets is available
for free at https://bit.ly/41j8LZV from PacerMonitor.com.
Shilo Inn Ocean Shores projects $123,830 in gross profit and
$123,569 in total expenses for March 2023.
Shilo Inn Nampa Suites projects $112,810 in gross profit and
$63,778 in total expenses for the same month.
About Shilo Inn
Hospitality companies Shilo Inn, Ocean Shores, LLC and Shilo Inn,
Nampa Suites, LLC sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. W.D. Wash. Lead Case No. 20-42348) on Oct.
15, 2020.
At the time of filing, Shilo Inn, Ocean Shores disclosed assets of
between $10 million and $50 million and liabilities of the same
range. Shilo Inn, Nampa Suites disclosed $1 million to $10 million
in both assets and liabilities.
Judge Brian D. Lynch oversees the cases.
The Debtors tapped Levene, Neale, Bender, Yoo & Brill L.L.P. as
their bankruptcy counsel and Stoel Rives LLP as their local
counsel.
SHUTTERFLY LLC: Prospect Floating Marks $1.96M Loan at 29% Off
--------------------------------------------------------------
Prospect Floating Rate and Alternative Income Fund, Inc. has marked
its $1,960,000 loan extended to Shutterfly LLC to market at
$1,386,244 or 71% of the outstanding amount, as of December 31,
2022, according to a disclosure contained in Prospect Floating's
Form 10-Q for the quarterly period ended December 31, 2022, filed
with the Securities and Exchange Commission on February 13, 2023.
Prospect Floating is a participant in First Lien Senior Secured
Loans to Shutterfly LLC. The loan accrues interest at a rate of
9.38% (1ML+5.00%) per annum. The loan matures on September 25,
2026.
Prospect Floating, incorporated in Maryland on April 29, 2011, is
an externally managed, non-diversified, closed-end management
Investment Company that has elected to be regulated as a business
development company under the Investment Company Act of 1940, as
amended.
Shutterfly, LLC is an American photography, photography products,
and image sharing company, headquartered in Redwood City,
California.
SINTX TECHNOLOGIES: Mitchell Kopin, Two Others Report 4.5% Stake
----------------------------------------------------------------
Mitchell P. Kopin, Daniel B. Asher, and Intracoastal Capital LLC
disclosed in a Schedule 13G filed with the Securities and Exchange
Commission that as of Feb. 7, 2023, they beneficially owned 119,596
shares of common stock of SINTX Technologies, Inc., representing
4.5 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/1269026/000121390023012455/ea173846-13gintra_sintx.htm
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.
SPRING MOUNTAIN: Hearing on Exclusivity Extension Set for March 1
-----------------------------------------------------------------
The U.S. Bankruptcy Court for the Northern District of California
is set to hold a hearing on March 1 to consider the motion filed by
Spring Mountain Vineyard, Inc. to extend the time it can keep
exclusive control of its bankruptcy case.
The motion seeks to extend the company's exclusive period to file a
Chapter 11 plan to July 26, and solicit votes on the plan to Sept.
24.
Spring Mountain's bankruptcy plan will depend upon the outcome of
the sale of the company's assets, which is expected to close by
April 15.
"[Spring Mountain] will be unable to formulate a realistic Chapter
11 plan until that contingency is resolved and [Spring Mountain] is
able to determine the effect of that sale on its reorganization
efforts," said Victor Sahn, Esq., one of the attorneys at
Greenspoon Marder, LLP representing the company.
About Spring Mountain Vineyard
Spring Mountain Vineyard, Inc. is a privately-owned estate
comprised of four vineyards. Its beneficial owner is Jacob Safra
who also owns Encyclopaedia Britannica, Inc.
Spring Mountain Vineyard sought protection under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. N.D. Calif. Case No. 22-10381) on
Sept. 29, 2022, with $100 million to $500 million in both assets
and liabilities. Constantine S. Yannias, president of Spring
Mountain Vineyard, signed the petition.
Judge Charles Novack oversees the case.
The Debtor tapped Greenspoon Marder, LLP as bankruptcy counsel;
Cohen Tauber Spievack & Wagner PC, Stanzler Law Group, PC, and
Abbott & Kindermann, Inc. as special counsels; and BNP Paribas
Securities Corp. as investment banker. Getzler Henrich &
Associates, LLC and Jigsaw Advisors, LLC provide interim management
services and outside winery operations and management services,
respectively.
STANADYNE LLC: Court OKs Interim Cash Collateral Access
-------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware authorized
Stanadyne LLC and its debtor-affiliates to use cash collateral on
an interim basis in accordance with the budget, with a 15%
variance.
The Debtors require the use of cash collateral to permit the
orderly continuation of the operation of their businesses.
On May 2, 2017, the Debtors entered into a financing agreement,
under which Cerberus Business Finance, LLC served as collateral
agent and administrative agent for the lenders. The Financing
Agreement originally provided for a $15 million revolving credit
facility, and a $75 million term loan facility. The Prepetition
Credit Facility had a maturity of five years. The Financing
Agreement was subsequently amended to increase the Revolving Credit
Facility to $25 million and the Term Loan Facility to $255 million.
As of the Petition Date, the total amount due under the Financing
Agreement was approximately $273 million.
As adequate protection, Cerberus, for its own benefit and the
benefit of the Prepetition Secured Lenders, is granted, to the
extent of any Diminution in Value postpetition security interests
in and liens in all property, assets or interests in property or
assets of the Debtors.
Cerberus, for its own benefit and the benefit of the Prepetition
Secured Lenders, to the extent of any Diminution in Value, is also
granted superpriority administrative expense claims against the
Debtors' estates, having priority over any and all other claims
against the Debtors.
The Debtors will pay to Cerberus the reasonable and documented fees
(including reasonable and documented attorneys' fees), and other
out-of-pocket expenses incurred by Cerberus from the Petition Date
through the Budget Period up to an aggregate amount of $900,000.
The Debtors will pay $300,000 to the Prepetition Secured Parties on
or about March 6, 2023 as additional adequate protection, which
amount will be applied to Prepetition Obligations if it is later
established by a final order of the Court or another court of
competent jurisdiction that the Prepetition Secured Lenders are
undersecured.
The Debtors' authority to use cash collateral pursuant to the
Interim Order will automatically terminate without any further
action by the Court, upon the earliest to occur of: (i) March 19,
2023, which date may be extended with the express written consent
of Cerberus and (ii) the occurrence of Termination Event.
The events that constitute a "Termination Event" include:
i. The Debtors fail to make any payment required under the
Interim Order after such payment becomes due under the terms
hereof;
ii. The Debtors fail to comply in any material respect with any
covenant, agreement, or provision of the Interim Order;
iii. Any Debtor uses cash collateral to fund any payments in
respect of prepetition or postpetition claims other than (i) as
permitted under the Interim Order or any other order of the Court
consented to by Cerberus; or (ii) as otherwise expressly
contemplated by the Approved Budget;
iv. The Interim Order ceases, for any reason, to be in full
force and effect in any respect, or the Replacement Liens or the
Superpriority Claims created by the Interim Order cease in any
respect to be enforceable and of the same effect and priority
purported to be created thereby; and
v. The Court will have entered an order amending,
supplementing or otherwise modifying the Interim Order without the
consent of Cerberus.
The final hearing on the matter is set for March 14, 2023 at 2
p.m.
A copy of the order is available at https://bit.ly/3kkGHEM from
PacerMonitor.com.
About Stanadyne LLC
Stanadyne LLC is a global automotive technology offering
engine-based fuel and air management systems. Stanadyne is a
developer and manufacturer of fuel pumps and fuel injectors for
diesel and gasoline engines.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Del. Case No. 23-10207) on February 16,
2023. In the petition signed by John Pinson, chief executive
officer, the Debtor disclosed up to $500 million in both assets and
liabilities.
Judge John T. Dorsey oversees the case.
The Debtor tapped Young Conaway Stargatt & Taylor, LLP and Hughes
Hubbard and Reed LLP as co-general bankruptcy counsel, Kroll, LLC
as financial advisor, and Kurtzman Carson Consultants LLC as
claims, noticing, abd balloting agent and administrative advisor.
STANADYNE LLC: Files Chapter 11 With $300M in Debt
--------------------------------------------------
North Carolina-based fuel pump maker Stanadyne LLC and affiliate
Pure Power Technologies, Inc., filed for Chapter 11 protection in
Delaware bankruptcy court Thursday, February 16, 2023, with more
than $300 million in debt.
The Debtors intend to continue to operate their business during the
pendency of the Chapter 11 cases through the effective date of a
plan of reorganization. Accordingly, in order to minimize the
adverse effects of the commencement of these Chapter 11 Cases on
their business operations, the Debtors request various forms of
relief in the First Day Motions.
The First Day Motions generally seek, among other things,
authorization from the Court for the Debtors to: (a) continue their
business operations with as little disruption as possible through
the effective date of a chapter 11 plan; (b) compensate their
employees through the chapter 11 process; (c) use cash collateral;
(d) implement a critical vendor program; (e) continue their
existing cash management system; (f) continue their existing
customer programs; and (g) retain appropriate professionals whose
services are necessary to the foregoing efforts and the
confirmation and implementation of their chapter 11 plan.
Debtors' Business
The Debtors design, manufacture and supply best-in-class powertrain
pumping, injection, air and fluid management products and control
solutions. The Debtors' core products include fuel injectors,
pumps, and other components necessary for diesel and gasoline
internal combustion engines (ICEs), including gasoline direct
injection pumps, diesel common rail pumps, diesel rotary pumps
(mechanical and electronic), diesel fuel injectors (new and
remanufactured), remanufactured diesel turbochargers and exhaust
gas recycling systems, and high-pressure diesel common rail
connectors.
The Debtors serve both the original equipment market and the
aftermarket, with revenues split broadly equally. Stanadyne LLC
focuses more on the original equipment market, and PPT focusing
more on the aftermarket segment.
As of the Petition Date, the Debtors' collective workforce in the
United States is comprised of approximately 468 employees and 120
temporary employees.
The Debtors operate in several different locations throughout the
United States, including the Debtors' current headquarters located
in Jacksonville, North Carolina, the Debtors' former headquarters
located in Windsor, Connecticut, and manufacturing facilities
located in Blythewood, South Carolina, Columbia, South Carolina,
and Southfield, Michigan. The Windsor, Connecticut and
Jacksonville, North Carolina locations are owned by the Debtors;
the rest of the locations are leased.
In addition to serving as the Debtors' corporate headquarters, the
Jacksonville, North Carolina facility is used to, among other
things, perform gasoline assembly and testing, as well as
engineering development and validation.
The Blythewood, South Carolina facility is the Debtors' largest
manufacturing facility and is used to, among other things, perform
remanufacturing and testing of diesel fuel injectors.
The Columbia, South Carolina facility is used to, among other
things, perform diesel common rail component engineering
development and validation.
The Southfield, Michigan facility is used to, among other things,
perform global engineering, program management, and customer
support.
The Debtors also engage in intercompany transactions with
affiliates located in Italy, the United Arab Emirates, India, and
China. These non-debtor affiliates are key suppliers to the
Debtors that produce highly customized products for the Debtors
that are integral to the Debtors' operations. The Brescia, Italy
facility is used to, among other things, perform sub-micron
machining, diesel injector assembly, diesel injector nozzle
manufacturing, and testing. The Sharjah, United Arab Emirates
facility is used to, among other things, perform diesel rotary pump
assembly and testing. The Chennai, India facility is used to,
among other things, perform diesel rotary pump and injector
assembly and testing, component manufacturing for other plant
sites, and engineering development and validation. The Changshu
and Suzhou, China facilities are used to, among other things,
perform diesel common rail pump assembly and testing, and diesel
common rail engineering development and validation, respectively.
Collectively, Stanadyne has invested nearly $100 million of capital
expenditures in its manufacturing facilities since 2014 to ensure
that it can continue to deliver best-in-class products to its
customers.
The Debtors owe $273,488,345 in principal for term loans and
revolving loans provided by secured lenders led by Cerberus
Business Finance, LLC, as administrative agent and collateral
agent. The prepetition secured lenders purport to have first
priority liens on substantially all assets of Stanadyne LLC,
Stanadyne PPT Holdings, Inc., and PPT, as well as a pledge of 65%
of Stanadyne LLC's ownership interests in its non-Debtor affiliates
located in Italy and India.
Events Leading to Chapter 11 Filings
As with many companies, the COVID-19 pandemic negatively impacted
the
Debtors' operations. Supply chain issues and lockdowns led to an
approximately $37 million decrease in revenue for 2020. Subsequent
supply chain interruptions for the company and its customer base,
including the global chip shortage, have constrained company sales
during the market recovery, putting additional stress on company
cash and resulting in a loss in revenue of approximately $26
million in 2022.
Coupled with the lost revenue attributable to the COVID-19
pandemic, the Debtors have simply not been able to outrun a
significant rise in the variable component of the interest rates
that they must pay under the Financing Agreement. These rate
increases have pushed the Debtors' interest rates into the teens,
with potentially more rate hikes on the horizon. With these rate
hikes, the Debtors' debt service obligations for 2023 are expected
to total approximately $39 million, a number that is simply
unsustainable for the Debtors to be able to continue to operate.
Battling the sharp rise in their interest rate obligations, the
Debtors faced severe liquidity constraints in the weeks leading up
to the Petition Date. Had the Debtors made all required debt
service payments in December and early January, they would have run
out of money.
In November 2022, the Debtors began engaging Cerberus in good-faith
negotiations.
The Debtors determined that it was in their best interests and the
best interests of their stakeholders to seek bankruptcy relief in
order to sustain their business operations and maximize value for
stakeholders.
About Stanadyne LLC
Stanadyne LLC is a global automotive technology offering
engine-based fuel and air management systems. Stanadyne is a
developer and manufacturer of fuel pumps and fuel injectors for
diesel and gasoline engines.
Stanadyne LLC and its affiliates sought protection under Chapter 11
of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 23-10207) on
Feb. 16, 2023. In the petition signed by John Pinson, chief
executive officer, the Debtor disclosed up to $500 million in both
assets and liabilities.
Judge John T. Dorsey oversees the case.
The Debtors tapped Young Conaway Stargatt & Taylor, LLP and Hughes
Hubbard and Reed LLP as co-general bankruptcy counsel, Kroll, LLC
as financial advisor, and Kurtzman Carson Consultants LLC as
claims, noticing, abd balloting agent and administrative advisor.
STARRY GROUP: March 1 Deadline Set for Panel Questionnaires
-----------------------------------------------------------
The United States Trustee is soliciting members for committee of
unsecured creditors in the bankruptcy case of Starry Group
Holdings, Inc., et al.
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/3SvqAB4 and return by email it to
Benjamin A. Hackman --Benjamin.A.Hackman@usdoj.gov -- at the Office
of the United States Trustee so that it is received no later than
4:00 p.m., on Wednesday, March 1, 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 Starry Group
Boston-based Starry Group Holdings, Inc. (NYSE: STRY) is a licensed
fixed wireless technology developer and internet service provider.
The Company is an early-stage growth company.
Starry Group Holdings, Inc. and 11 affiliates filed voluntary
petitions for relief under Chapter 11 of the Bankruptcy Code
(Bankr. D. Del. Lead Case No. 23-10219) on February 20, 2023.
The Hon. Karen B. Owens oversees the cases.
Lawyers at Young Conaway Stargatt & Taylor, LLP and Latham &
Watkins LLP serve as counsel to the Debtors; PJT Partners LP serves
as their investment banker; FTI Consulting, Inc. as their financial
advisors; and Kurtzman Carson Consultants LLC as their claims and
noticing agent.
As of September 30, 2022, Starry Group had $270.6 million in total
assets against $309.7 million in total liabilities.
The petitions were signed by William J. Lundregan as authorized
officer.
SUPREME WORX: Court OKs Cash Collateral Access Thru April 11
------------------------------------------------------------
The U.S. Bankruptcy Court for the Middle District of Florida,
Orlando Division, authorized Supreme Worx, LLC, d/b/a Supreme Pools
to use cash collateral on an interim basis in accordance with the
budget, through April 11, 2023.
The Debtor is permitted to use cash collateral to pay: (a) amounts
expressly authorized by the Court, including payments to the
Subchapter V Trustee and payroll obligations incurred post-petition
in the ordinary course of business; (b) the current and necessary
expenses set forth in the budget, plus an amount not to exceed 10%
for each line item; and (c) such additional amounts as may be
expressly approved in writing by Global Merchant.
As adequate protection, the Secured Creditors 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 documents as may otherwise
be required under applicable non-bankruptcy law.
The Debtor will maintain insurance coverage for its property in
accordance with the obligations under all applicable loan and
security documents.
A hearing on the matter is set for April 11 at 10 a.m.
A copy of the order and the Debtor's budget is available at
https://bit.ly/3m36Qbz from PacerMonitor.com.
The budget provides for total expenses, on a weekly basis, as
follows:
$10,831 for the week of March 20, 2023;
$12,728 for the week of March 27, 2023;
$9,040 for the week of April 3, 2023;
$9,040 for the week of April 10, 2023; and
$10,040 for the week of April 17, 2023.
About Supreme Worx LLC
Supreme Worx LLC sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. M.D. Fla. Case No. 22-04035) on November
11, 2022. In the petition filed by Raymond Torres, managing member,
the Debtor disclosed up to $100,000 in assets and up to $1 million
in liabilities.
Judge Grace E. Robson oversees the case.
Daniel A. Velasquez, Esq., at Latham Luna Eden and Beaudine LLP, is
the Debtor's legal counsel.
SUREFUNDING LLC: Seeks to Extend Plan Exclusivity Through April 25
------------------------------------------------------------------
SureFunding LLC asked the U.S. Bankruptcy Court for the District of
Delaware to extend the exclusive periods during which the
company may file a plan and solicit acceptances thereof through
April 25 and June 24, exclusively.
The Court previously extended the exclusive periods to file a plan
and solicit the acceptance thereof through February 24 and April
25, respectively. Since the prior extension, a number of issues
were addressed:
* The Court denied the motion of certain noteholders to convert the
case to Chapter 7.
* The Court granted the application to retain Gavin/Solmonese as
Chief Restructuring Officer.
* The general deadline for filing proofs of claims, January 30,
passed, and the governmental bar date scheduled for February 24
allows the debtor to evaluate and create a potential plan based
upon the etate's assets and liabilities.
* The debtor has had preliminary discussions with the noteholders,
which may enable the parties to, at a minimum, narrow contested
issues for confirmation of a Chapter 11 plan.
About SureFunding LLC
Las Vegas-based SureFunding, LLC was founded by Jason and Justin
Abernathy in 2014 as a private investment vehicle. It opened in
2015 to outside investors, many of which were family, friends and
business acquaintances. Its investments are in short-term,
high-yield assets.
SureFunding sought Chapter 11 protection (Bankr. D. Del. Case No.
20-10953) on April 14, 2020, with $10 million to $50 million in
both assets and liabilities. Judge Laurie Selber Silverstein
oversees the case.
The Debtor tapped Carl N. Kunz, III, Esq., and Jeffrey R. Waxman,
Esq., at Morris James, LLP as bankruptcy attorneys; Carlyon Cica
Chtd. as special litigation counsel; and Ted Gavin of
Gavin/Solmonese, LLC as chief restructuring and liquidation
officer.
Bayard, P.A. represents the ad hoc committee of SureFunding
noteholders.
TALOS ENERGY: Moody's Hikes 2nd Lien Notes to B3, Outlook Stable
----------------------------------------------------------------
Moody's Investors Service upgraded Talos Energy Ventures GOM LLC's
(formerly Energy Ventures GoM LLC, or "EnVen") senior secured
second lien notes due 2026 to B3 from Caa1. Concurrently, Moody's
withdrew EnVen's B3 Corporate Family Rating and B3-PD Probability
of Default Rating. The outlook was changed to stable from ratings
on review for upgrade. This concludes the review initiated on
September 22, 2022. Talos Production Inc.'s (Talos) ratings,
including its B2 CFR and B3 senior secured second lien notes
rating, and stable outlook remain unchanged.
Upgrades:
Issuer: Talos Energy Ventures GOM LLC
Backed Senior Secured 2nd Lien Regular Bond/Debenture,
Upgraded to B3 (LGD5) from Caa1 (LGD4)
Withdrawals:
Issuer: Talos Energy Ventures GOM LLC
Corporate Family Rating, Withdrawn, previously rated B3
Probability of Default Rating, Withdrawn, previously
rated B3-PD
Outlook Actions:
Issuer: Talos Energy Ventures GOM LLC
Outlook, Changed To Stable From Rating Under Review
RATINGS RATIONALE
The upgrade of EnVen's senior secured notes to B3 follows the
completion of the acquisition by Talos Production Inc. (Talos, B2
stable) on February 13, 2023. The B3 notes rating is one notch
below Talos' CFR and reflects the notes' second lien claim on
assets upon which Talos' RBL revolver (unrated) has a first lien.
Talos' RBL revolver has $965 million in lender commitments. EnVen's
approximately $258 million of senior secured second lien notes due
2026 are rated the same as Talos' $650 million of senior secured
second lien notes due 2026 (both amounts reflect outstanding
principal balances at the closing of the acquisition). In
connection with the acquisition, Talos Production Inc. and its
subsidiaries that are guarantors of the Talos notes became
guarantors of EnVen's notes. Similarly, EnVen and its subsidiaries
that are guarantors of the EnVen notes, became guarantors of Talos'
notes.
Talos' B2 CFR reflects its moderate scale, asset concentration and
challenges of operating in the US Gulf of Mexico, especially
deep-water. Operating in the US Gulf of Mexico involves risks
including relatively short-life reserves and meaningful plugging
and abandonment costs. Talos is supported by its active hedging
program, exposure to premium crude pricing, relatively low risk
behind-pipe drilling and recompletion opportunities, and an
experienced management team that has a multi-year track record of
managing operations in the US Gulf of Mexico. Talos is acquisitive
and faces the prospect of additional spending to explore and
develop its assets, including potentially developing its oil and
gas discovery in the Zama Field offshore Mexico upon a final
investment decision. Talos' leverage metrics are sound, but these
metrics going forward will depend on how the company funds its
future spending and acquisitions.
The stable outlook reflects Moody's expectation that Talos will
continue generating free cash flow and maintain moderate leverage
metrics.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
Factors that could lead to an upgrade include the company
diversifying and growing production and cash flow in a stable to
improving industry environment; retained cash flow (RCF) to debt
above 40%; consistent positive free cash flow generation; and a
leveraged full cycle ratio (LFCR) comfortably exceeding 1x
providing sufficient returns on projects while maintaining adequate
liquidity.
Factors that could lead to a downgrade include production below 50
thousand barrels per day (Mboe/d); RCF/debt below 25%; capital
spending or acquisitions materially increasing leverage; capital
productivity declining significantly; or liquidity deteriorating.
Talos Energy Ventures GOM LLC is a subsidiary of Talos Production
Inc., which itself is a subsidiary of Talos Energy Inc., a publicly
traded independent exploration and production company, which
guarantees Talos Production Inc.'s notes on a senior unsecured
basis. Talos Energy Inc. does not guarantee EnVen's notes. Talos
Energy Inc. conducts all business operations through its operating
subsidiaries, owns no operating assets and has no material
operations, cash flows or liabilities independent of its
subsidiaries.
The principal methodology used in these ratings was Independent
Exploration and Production published in December 2022.
TEVA PHARMACEUTICAL: Fitch Affirms 'BB-' Issuer Default Rating
--------------------------------------------------------------
Fitch Ratings has affirmed Teva Pharmaceutical Industries Limited's
(Teva) and Teva Pharmaceutical USA, Inc.'s Long-Term Issuer Default
Ratings (IDRs) at 'BB-' and their senior unsecured credit facility
ratings at 'BB-'/'RR4'. Fitch has also affirmed the senior
unsecured credit facility ratings and senior unsecured debt ratings
of Teva's subsidiaries at 'BB-'/'RR4'.
The ratings apply to approximately $22.8 billion of Fitch adjusted
debt (inclusive of securitizations) as of Dec. 31, 2022. The 'BB-'
IDR reflects Teva's solid position as one of the leading, global
generic pharmaceutical companies, extensive generic and specialty
portfolio, good pipeline of prescription drugs, and growing
opportunities with biosimilar products. Teva benefits from an
established distribution and sales network and diverse production
capability. Offsetting these strengths are declining reported
revenues, high, albeit declining debt balances and limited
financial flexibility.
KEY RATING DRIVERS
Leading Global Generic Manufacturer: Teva is one of the leading
global generic drug manufacturers with a broad portfolio of
specialty, over the counter medicines and active pharmaceutical
ingredients (API). Teva operates 39 finished goods and
pharmaceutical packaging plants in 27 countries. In addition, it
operates 14 API production facilities producing several hundred
APIs in various therapeutic categories. With solid expertise in a
variety of production technologies and an extensive patent
portfolio, Teva is positioned well to capitalize on the demand for
both generic and biosimilar drugs over the medium to long term.
Increasing Challenge of Revenue growth: Sales of generic products
along with Teva's former leading product, Copaxone, continue to
experience steady erosion on a reported basis. Fitch continues to
forecast relatively flat to modest growth in revenues over the near
to medium term. Generic product revenue is expected to emerge
between $8.0 billion to $9.0 billion, and will be affected
primarily by the adverse challenges in the U.S. generic market
caused by pricing pressure and minimal growth from product
launches. Copaxone revenues are expected to continue to decline
steadily from generic competition and are expected to be replaced
largely by growth of Ajovy and Austedo. Fitch does not anticipate
significant revenue growth for either drug over the near term
because of competition from other biosimilars and the ongoing
effects of the coronavirus pandemic.
Margin Pressure: Teva's generics business in the U.S. has been
negatively affected by additional pricing pressure as a result of
customer consolidation into larger buying groups capable of
extracting greater price reductions. Accelerated Food & Drug
Administration approvals for versions of off-patent medicines have
increased competition for Teva's products, and revenue traction for
newly launched products is slower than expected. Pricing pressure,
particularly in the U.S., will likely continue to meaningfully
weigh on revenue and margins in the near term. These pressures will
remain a challenge over the medium to long term and may be
heightened by the Inflation Reduction Act.
Fitch expects aging populations in developed markets and increasing
access to healthcare in emerging markets to support volume growth
for Teva and its generic pharmaceutical peers, but price erosion is
expected to meaningfully offset such growth over the near term.
Adjusted Debt Remains High: Fitch believes that Teva's
restructuring activities have been effective in rightsizing the
company amid persistent revenue declines. Margin improvement will
be derived from both a continued focus on costs and disciplined new
R&D and capital investment over the forecast period and thereafter
with top line growth. Fitch's 2022 adjusted EBITDA leverage is
approximately 6.1x, but is expected to decline with further
application of FCF to debt reduction. Fitch treats the balance of
receivables sold through securitization structures as a component
of adjusted debt. As a result of the increase in use of
securitization facilities, adjusted EBITDA leverage remains high
for the 'BB-' rating.
Clarity Around Litigation Profile: Fitch's current forecast assumes
litigation and restructuring costs at approximately $400 million
per year. Fitch treats litigation settlement payments as a
reduction of EBITDA rather than incorporating the liability into an
issuer's debt for purposes of setting rating sensitivities.
Notwithstanding the potential burden associated with ongoing
litigation and restructuring, Fitch forecasts assumes that Teva
will continue to generate adequate levels of FCF and be able to
extend its debt maturities in order to adequately service its
debt.
DERIVATION SUMMARY
Teva's 'BB-' IDR reflects its position as a leading global generic
drug manufacturer, its broad portfolio of products, highly skilled
workforce and manufacturing capabilities and a track record of
innovation. Offsetting these strengths are its relatively high
financial leverage, revenue growth challenge and exposure to
litigation claims. Within Fitch's rated universe, Viatris Inc.
(BBB/Stable) is a key peer in terms of size and scope of operations
in the generics area. Teva is rated lower because of its leverage
and litigation exposure. Teva is also experiencing erosion of its
top line due to price pressure on its generic drug portfolio and
because of increasing competitive pressures influencing the
company's branded drug sales. Viatris has lower leverage, more
product and geographic diversification and greater profitability,
supporting the higher rating. Relative to other healthcare and
pharma peers such as Avantor Inc. (BB/Positive) and Jazz
Pharmaceuticals (BB-/Positive), Teva is more highly leveraged and
has a greater loss contingency profile. Other 'BB-' rated
healthcare companies operating in different industry subsectors
typically have leverage sensitivities of 4.0x-5.0x.
The ratings of Teva Pharmaceutical Industries Limited and Teva
Pharmaceuticals USA, Inc. are determined to be the same under
Fitch's Parent-Subsidiary Linkage Criteria. The overall linkage of
the two entities is deemed to be strong in light of the strategic,
legal and operational ties between the two entities. Hence, there
is no notching between the ratings. No Country Ceiling or operating
environment aspects have an effect on the rating.
Teva has a modest amount of convertible senior debentures
outstanding as of Dec. 31, 2022, following the exercise by holders
of the debentures to require Teva to redeem such debentures in
February 2021. The remaining $23 million are treated as senior
unsecured debt in Teva's capital structure and receive no equity
credit because the principal amount is paid in cash and only the
residual conversion value above the principal amount is paid in
shares.
KEY ASSUMPTIONS
Fitch's Key Assumptions Within Its Rating Case for the Issuer:
- Copaxone revenues of $400 million-$500 million; Austedo
revenues of $1.0 billion-$1.4 billion and Ajovy revenues of
$400 million-$425 million over the forecast through 2026;
no material contribution is assumed from the product pipeline;
- Generic medicine revenues decline at a CAGR or 2% over the
forecast as generic erosion is counteracted by new generic
product launches;
- Adjusted EBITDA margins remain between 25%-26% over the
forecast;
- Cash costs of $200 million for litigation settlements and
expenses and $200 million for restructuring are included
as a charge to adjusted EBITDA over the forecast;
- A modest investment in working capital is assumed through
the forecast period, which may fluctuate depending on the
level of new product launches;
- Debt reduction remains a priority, but declines to levels
in line with FCF generation of $1.0 billion-$1.5 billion
over the forecast; Fitch's treats the balance of sold
receivables at year-end as a component of adjusted debt;
- Gross EBITDA leverage declines below 5.0x after FYE 2024;
(cash flow from operations/capex) to total debt remains
between 5%-10% over the forecast.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade:
- Positive rating momentum will be driven primarily by
revenue growth, debt reduction and the favorable resolution
of the litigation profile;
- Gross EBITDA leverage maintained below 5.0x;
- Maintaining adequate levels of FCF to continue to pay
debt maturities through the forecast period.
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade:
- Gross EBITDA leverage sustained above 6.0x;
- The company cannot maintain stable operating performance
and reduce debt, in part due to litigation expenses
above forecasts, increased headwinds from the generic
pricing environment and an inability to generate meaningful
sales from new product launches;
- FCF, while positive, declines to levels that meaningfully
increase Teva's reliance on asset sales or new external
sources of capital to meet debt obligations.
LIQUIDITY AND DEBT STRUCTURE
Cash Prioritized for Deleveraging: Teva's principal sources of
short-term liquidity are cash flow from operations, cash
investments, liquid securities, securitization facilities and a
$1.8 billion revolving credit facility (RCF), which matures in
April 2026 but can be extended twice for one-year periods.
The RCF (recently amended in February 2023) contains certain
covenants, including limitations on incurring liens and
indebtedness and maintaining certain financial ratios, including a
maximum net leverage ratio of 4.0x for 4Q23 and 3.5x for 4Q24.
Fitch believes that Teva has adequate flexibility under the EBITDA
calculation to comply with the amended ratio requirements through
FY 2023.
Securitization Facilities: Teva has increased it use of receivable
securitization facilities in 2022 to accelerate its cash
collections. Fitch views the balance of sold receivables as of any
balance sheet date to represent a form of collateralized financing
and adjusts reported debt and the changes in the balances of sold
receivables as a component of financing cash flows.
Debt Maturities: Fitch believes that Teva has adequate sources of
liquidity from FCF and available cash to meets its obligations
through FY 2024, but will need to refinance its maturities
thereafter to align its FCF generation with debt maturities.
The FCF forecast is principally sensitive to product revenues,
revenues from new products, cost reductions and litigation costs.
Fitch believes that Teva may benefit over the medium to long term
from its focus on innovative and complex pharmaceuticals, which
generally command higher prices and margins. However, the
commoditized portion of its generic drug portfolio is more prone to
pricing pressure.
If Teva settles the price-fixing or opioid litigation for an amount
significantly in excess of amounts assumed by Fitch or if faster
than anticipated payments are required, it could constrain R&D
spending, investments and debt-paying capabilities and thus
constrain any positive rating momentum or result in negative rating
momentum over the near to medium term.
ISSUER PROFILE
Teva Pharmaceutical Industries Limited and its subsidiaries (Teva)
is a global pharmaceutical company operating worldwide with
headquarters in Israel and a significant presence in the U.S.,
Europe and certain other markets around the world. Its key
strengths include world-leading generic medicines expertise and
portfolio, focused specialty medicines portfolio and global
infrastructure and scale.
SUMMARY OF FINANCIAL ADJUSTMENTS
Fitch has adjusted historical and forecasted EBITDA to reflect
reported merger and integration expenses, restructuring costs,
impairments, gains from anti-trust legal settlements, litigation
charges and LIFO inventory related adjustments. In addition, Fitch
has adjusted reported debt and financing cash flows (debt
repayment) to include the balance of receivables sold and the
annual changes related to such balances, respectively, in
connection with EU and U.S. securitization facilities.
ESG CONSIDERATIONS
Teva has an ESG Relevance Score of '4' for Exposure to Social
Impacts due to pressure to contain healthcare spending growth, a
highly sensitive political environment, exposure to price-fixing
and opioid litigation, and social pressure to contain costs or
restrict pricing. This has a negative impact on the credit profile
and is relevant to the rating 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.
Entity/Debt Rating Recovery Prior
----------- ------ -------- -----
Teva Pharmaceutical
Finance Netherlands
IV B.V.
senior unsecured LT BB- Affirmed RR4 BB-
Teva Pharmaceutical
Finance Co, LLC
senior unsecured LT BB- Affirmed RR4 BB-
Teva Pharmaceutical
Finance Netherlands
II B.V.
senior unsecured LT BB- Affirmed RR4 BB-
Teva Pharmaceutical
Industries Limited LT IDR BB- Affirmed BB-
senior unsecured LT BB- Affirmed RR4 BB-
Teva Pharmaceutical
Finance Netherlands
III B.V.
senior unsecured LT BB- Affirmed RR4 BB-
Teva Pharmaceuticals
USA, Inc. LT IDR BB- Affirmed BB-
senior unsecured LT BB- Affirmed RR4 BB-
TMK HAWK: $25M Bank Debt Trades at 43% Discount
-----------------------------------------------
Participations in a syndicated loan under which TMK Hawk Parent
Corp is a borrower were trading in the secondary market around 57
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The $25 million facility is a Delay-Draw Term loan that is
scheduled to mature on August 30, 2024.
TMK Hawk Parent Corp. is the holding company of TriMark USA, LLC, a
foodservice equipment and supplies distributor.
TRAPP TREE SERVICE: Hires Shiver Certified Public Accountants
-------------------------------------------------------------
Trapp Tree Service, LLC received approval from the U.S. Bankruptcy
Court for the District of South Carolina to employ Shiver Certified
Public Accountants CPAs, LLC.
The Debtor needs the firm's accounting services for the successful
reorganization of its business.
The firm will be paid at hourly rates ranging from $200 to $300.
Rodrick Shiver, CPA, a partner at Shiver, 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:
Rodrick T. Shiver, CPA
Shiver Certified Public Accountants CPAs, LLC
1722 Main Street, Suite 1A
Columbia, SC 29201
Tel: (803) 780-4608
Email: rshiver@shivergroup.com
About Trapp Tree Service
Trapp Tree Service, LLC sought protection for relief under Chapter
11 of the Bankruptcy Code (Bankr. D.S.C. Case No. 22-03307) in Dec.
2, 2022, with up to $50,000 in assets and $100,001 to $500,000 in
liabilities. Judge David R. Duncan oversees the case.
William Joseph Barr, Esq., at the Barr Law, LLC and Shiver
Certified Public Accountants CPAs, LLC serve as the Debtor's legal
counsel and accountant, respectively.
TUESDAY MORNING: Will Close More Than Half of U.S. Stores
---------------------------------------------------------
Candace Carlisle of CoStar News reports that off-price retailer
Tuesday Morning is planning to close more than half of its U.S.
stores as it seeks to drastically restructure its business to
return to profitability.
The company with 464 U.S. retail locations filed for Chapter 11
bankruptcy protection in a Texas court Tuesday, February 14, 2023,
for the second time in three years, saying it faced "unprecedented
challenges," including under-performing sales at some of its
stores.
Tuesday Morning is asking the bankruptcy court for approval to
close 264 locations spanning 38 states, according to documents
filed with the U.S. Bankruptcy Court for the Northern District of
Texas, Fort Worth division.
Tuesday Morning's management team determined that "immediate
liquidation of the company's inventory at its under-performing
store locations under the supervision of the bankruptcy court is
the best strategy to maximize value for the benefit of creditors,"
according to the documents.
The Dallas-based retailer expects the bulk of the proposed store
closings and liquidation sales to take about eight weeks to
complete, according to the filing. The sales are "necessary to
maximize the value of the assets being sold," Tuesday Morning's
team told the court.
The proposed closures, as well as Tuesday Morning's $51.5 million
of debtor-in-possession financing from Invictus Global Management
LLC, are subject to approval of the bankruptcy court. Tuesday
Morning's first-day hearing on its proposed Chapter 11
restructuring plan is expected to be heard before Judge Edward
Morris on Wednesday afternoon.
Neil Saunders, managing director of GlobalData and a retail analyst
who tracks the industry and has no affiliation with Tuesday
Morning, told CoStar News he expects the retailer to emerge from
bankruptcy because it has the funding and seem ready to make the
needed cuts and to restructure the business.
"Closing stores is necessary because the business isnโt working
and many stores are not making money," Saunders told CoStar News in
an email. "However, this is a symptom of the wider problem of not
having a good proposition. Unless this is corrected, more and more
stores will have to close, and this will continue until there is
nothing left of the chain."
To view the 264 locations by state that Tuesday Morning wants to
close:
https://www.costar.com/article/1330408303/tuesday-morning-seeks-to-close-more-than-half-its-us-stores-through-bankruptcy-court
About Tuesday Morning
Tuesday Morning Corporation is one of the original off-price
retailers specializing in name-brand, high-quality products for the
home, including upscale home textiles, home furnishings,
housewares, gourmet food, toys and seasonal decor, at prices
generally below those found in boutique, specialty and department
stores, catalogs and on-line retailers. Based in Dallas, Texas,
the Company opened its first store in 1974 and currently operates
hundreds of stores in 40 states. On the Web:
http://www.tuesdaymorning.com/
Tuesday Morning Corporation, then with around 700 stores in 40
states, filed Chapter 11 protection on May 27, 2020 (Bankr. N.D.
Tex. Lead Case No. 20-31476). Tuesday Morning then disclosed total
assets of $92 million and total liabilities of $88.35 million as of
April 30, 2020.
Tuesday Morning announced Jan. 4, 2021, it has successfully
completed its reorganization and emerged from Chapter 11
bankruptcy. The Company exited Chapter 11 with 490 of its best
performing stores. Following emergence from Chapter 11, Tuesday
Morning began trading on Jan. 21, 2021, on OTCQX under the symbol
"TUEM" and then commenced trading on the Nasdaq Capital Market on
May 25, 2021, under the ticker symbol "TUEM".
Tuesday Morning sought relief for the second time under Chapter 11
of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 23-90000) on
Feb. 14, 2023. In the petition filed by Andrew T. Berger, as chief
executive officer, the Debtor listed assets and liabilities of $100
million to $500 million.
In the 2020 cases, the Debtors tapped Haynes and Boone, LLP as
general bankruptcy counsel; Alixpartners LLP as financial advisor;
Stifel, Nicolaus & Co., Inc. as investment banker; A&G Realty
Partners, LLC as real estate consultant; and Great American Group,
LLC as liquidation consultant. The official committee of unsecured
creditors tapped Munsch Hardt Kopf & Harr, P.C., as counsel.
In the 2023 case, lawyers at Munsch Hardt Kopf & Harr, P.C., serve
as counsel to the Debtors. The Debtors tapped Piper Sandler as
investment banker; and Stretto, Inc., as claims and noticing agent.
UBER TECHNOLOGIES: Moody's Ups CFR to Ba3 & Alters Outlook to Pos.
------------------------------------------------------------------
Moody's Investors Service upgraded Uber Technologies, Inc.'s
Corporate Family Rating to Ba3, from B1, its senior secured term
loan ratings to Ba2, from Ba3, and its senior unsecured debt
ratings to B1, from B2. Moody's also assigned a Ba2 rating to
Uber's $1.4 billion of proposed term loans maturing in 2030. The
ratings outlook was changed to positive, from stable. Uber's
Speculative Grade Rating of SGL-1, which reflects its very good
liquidity, is unchanged.
Upgrades:
Issuer: Uber Technologies, Inc.
Corporate Family Rating, Upgraded to Ba3 from B1
Probability of Default Rating, Upgraded to Ba3-PD from
B1-PD
Senior Secured Bank Credit Facility, Upgraded to Ba2 (LGD3
from Ba3 (LGD3)
Senior Unsecured Regular Bond/Debenture, Upgraded to B1 (LGD4)
from B2 (LGD4)
Assignments:
Issuer: Uber Technologies, Inc.
Senior Secured Term Loan B2, Assigned Ba2 (LGD3)
Outlook Actions:
Issuer: Uber Technologies, Inc.
Outlook, Changed To Positive From Stable
RATINGS RATIONALE
Moody's analyst Raj Joshi said, "The upgrade of the CFR to Ba3
reflects Uber's substantial improvements in profitability and cash
flow generation during 2022 that Moody's believes will be
sustained." The positive ratings outlook reflects Moody's
expectation that Uber's further improvements in profitability will
support more than $2 billion in free cash flow in 2023 (or
approximately 20% of total lease adjusted debt in 2023), driven by
high teens growth in Gross Bookings (GB) and incremental
improvements in adjusted EBITDA margins. Governance considerations
are a key driver of the ratings action. Uber's credit profile is
positively influenced by management's track record of delivering
strong improvements in EBITDA toward its goal of achieving $5
billion of adjusted EBITDA in 2024. Moody's also expects Uber to
maintain a conservative financial policy such that its EBITDA
growth will lead to sustainable deleveraging and strengthening of
its liquidity position.
Uber's adjusted EBITDA (as reported by the company) increased to
$665 million in 4Q '22, from $86 million a year ago, benefiting
from post-pandemic recovery in the ridesharing business, a stable
competitive environment across Uber's businesses, and operating
efficiencies. Moody's believes that Uber's substantive reductions
in operating costs in 2020, the sale and divestitures of its
multiple cash-absorptive businesses, and Moody's expectation for
strong GB growth provide a platform for sustained increases in
profitability. Management has demonstrated its ability to execute
its growth plans that is evidenced in the strong GB growth from new
products. The improvements in profitability reflect Uber's ability
to leverage cross-platform synergies and technology enhancements
that are driving improvements in cost per trip, higher driver and
consumer engagement, and competitive differentiation.
The Ba3 CFR reflects Uber's strong financial profile, including its
$4.3 billion of cash and short-term investments at year-end 2022,
and Moody's expectations for more than $2 billion in free cash flow
in 2023. If the company continues to execute toward its growth and
profitability targets, and regulatory and competitive conditions
remain stable, Moody's expects Uber's free cash flow to increase to
more than $3.5 billion in 2024. Uber benefits from the secular
growth in demand for app-based transportation services across its
global footprint. Its credit profile also reflects the substantial
operating scale of its online commerce platform (Moody's expects
approximately $135 billion of GB in 2023); high business and
geographic revenue diversity; and, its leading category positions
in several key ridesharing and food delivery markets globally.
Uber's credit profile is additionally supported by its $5.2 billion
of minority equity interests in multiple online transportation
businesses.
At the same time, Uber faces intense competition in all of its
service lines. Its businesses are vulnerable to swings in
profitability due to the low switching costs for independent
drivers as well as consumers, and from aggressive competitors when
they target market share gains. Uber's credit profile is
constrained by its high regulatory and litigation risks. The
company had $1.6 billion of aggregate liabilities at year-end 2022
(down from $2.2 billion a year ago) related to legal and regulatory
matters and certain non-income tax disputes. However, Moody's
believes that Uber's strengthening financial profile, its improving
relations with regulators globally, and demonstrated ability to
grow profitability after adapting its businesses to regulatory
requirements in multiple jurisdictions reflect the company's
ability to manage regulatory risks. The resolution of the UK tax
disputes and arbitration claims by more than 150,000 drivers in the
US has removed an overhang on its credit profile. Moody's believes
that Uber's operating scale, business diversity and strong
liquidity provide good cushion against uncertainties from the core
issue of classification of drivers in its businesses in various
jurisdictions.
Moody's expects Uber's financial policies to evolve as it generates
substantial free cash flow. Uber's strong prospective free cash
flow and the increasing float of its common stock as a result of
its large stock-based compensation expense ($1.9 billion 4Q '22
annualized) increase the risk that the company could initiate share
repurchases in the intermediate term to offset the growth in
outstanding shares. The Ba3 CFR and the positive outlook
incorporate Moody's expectation that Uber's EBITDA growth will lead
to sustained deleveraging over the next 12 to 18 months and the
company will balance its capital allocation between debt investors,
acquisitions and shareholder returns.
Moody's rates Uber's senior secured term loans Ba2, or one notch
higher than the CFR, which reflects a security interest in certain
of Uber's intellectual property and the pledge of 64% of stock from
Uber Singapore Technology Pte. Ltd., a subsidiary of Uber, under
which Uber's minority equity interests in Yandex and Didi are
held.
The SGL-1 Speculative Grade Liquidity rating reflects Uber's very
good liquidity primarily comprising $4.3 billion of unrestricted
cash and more than $2 billion of free cash flow in 2023. Uber has
access to about $2 billion of funds under its $2.3 billion of
revolving credit facility (not rated by Moody's). In addition, Uber
holds minority equity interests in multiple on-demand
transportation businesses globally that have substantial value.
ESG considerations have a moderate negative (CIS-3) impact on
Uber's credit profile, reflecting the company's moderately negative
exposure to social, environmental and governance factors.
Uber's credit profile benefits from growing consumer adoption of
on-demand apps for transportation services. Uber's transportation
platforms also provide millions of independent drivers with the
opportunity to supplement incomes. But these positive societal and
demographic trends are more than offset by the high social risks
from regulatory uncertainties in the long-term, litigation risks,
and potential for reputation harm from Uber's reliance on
independent contractors in the majority of its businesses. Uber's
classification of drivers as independent contractors and/or whether
statutory pay, benefits and taxes apply in such relationships
continues to be challenged in several jurisdictions.
Environmental considerations have moderately negative risks for
Uber. The company's on-demand transportation platforms facilitate a
large number of Mobility and Delivery trips, and a growing number
of freight shipments, primarily through fossil-fuel powered
vehicles that are owned by third parties. The company has committed
to zero emissions in its Mobility business by 2030 in the US and
Europe, and in the remaining regions by 2040. As regulatory
policies increasingly target carbon reduction goals, there is
potential for negative credit impact in the long-term from higher
costs to the company for providing its transportation services,
increase in investments, or reduced supply of vehicles and
drivers.
Governance considerations reflect Uber's use of debt to partially
fund operating losses and acquisitions in prior periods. The risks
are tempered by Uber's very good liquidity and management's track
record of substantially improving profitability over the last 12 to
18 months. Moody's expects that Uber's EBITDA increases will
support further strengthening of its credit profile and lead to
deleveraging.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
Moody's could upgrade Uber's ratings if the company maintains good
organic revenue growth, it remains on a path toward generating $3.5
billion of free cash flow, and Moody's expects the company to
maintain balanced financial policies that will lead to sustained
deleveraging. In addition, a rating upgrade will also be influenced
by Moody's assessment of Uber's financial strength relative to its
legal and regulatory risks.
Moody's could downgrade Uber's ratings if competitive challenges,
shareholder-friendly financial policies, elevated regulatory risks
or adverse outcome from legal proceedings erode Uber's liquidity
and Moody's expects that Uber is unlikely to sustain free cash flow
of 10% of total debt (Moody's adjusted).
Uber Technologies, Inc., through its proprietary technology
applications facilitates transportation services by connecting
consumers with drivers in its Mobility and Delivery segments, and
shippers with carriers in its Freight segment.
The principal methodology used in these ratings was Business and
Consumer Services published in November 2021.
US RENAL CARE: $225M Bank Debt Trades at 33% Discount
-----------------------------------------------------
Participations in a syndicated loan under which US Renal Care Inc
is a borrower were trading in the secondary market around 66.9
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The $225 million facility is a Term loan that is scheduled to
mature on July 26, 2026. About $221.6 million of the loan is
withdrawn and outstanding.
U.S. Renal Care is a dialysis provider available for people living
with chronic and acute renal disease.
VACATION CONSULTING: Hires David Schroeder Law Office as Counsel
----------------------------------------------------------------
Vacation Consulting Services, LLC seeks approval from the U.S.
Bankruptcy Court for the Western District of Missouri to employ
David Schroeder Law Office, PC to handle its Chapter 11 case.
The Debtor requires legal counsel to:
(a) give advice regarding the power and duties of the Debtor in
the continued management and operation of its business affairs;
(b) attend meetings and negotiate with representatives of
creditors, the Office of the U.S. Trustee and other parties in
interest;
(c) take all necessary action to protect and preserve the
estate, including the prosecution of actions on the Debtor's
behalf, the defense of any actions commenced against the estate,
and objections to claims filed against the estate;
(d) prepare legal papers;
(e) negotiate and prosecute contracts for the sale of the
Debtor's assets, plan of liquidation, disclosure statement and all
related documents, and take any action that is necessary for the
Debtor to obtain confirmation of the plan; and
(f) appear before the court and perform all other necessary
legal services in connection with the bankruptcy case.
The firm will be paid at these rates:
David E. Schroeder $325 per hour
Paralegals $100 per hour
In addition, the firm will receive reimbursement for expenses
incurred.
David Schroeder, Esq., a partner at David Schroeder Law Office,
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:
David E. Schroeder, Esq.
David Schroeder Law Office, PC
3804 S. Fremont Ave.
Springfield, MO 65804
Tel: (417) 890-1000
Fax: (417) 590-8600
Email: bk1@dschroederlaw.com
About Vacation Consulting Services
Vacation Consulting Services, LLC, a company in Springfield, Mo.,
sought protection under Chapter 11 of the Bankruptcy Code (Bankr.
W.D. Mo. Case No. 23-60006) on Jan. 9, 2023, with as much as
$50,000 in assets and $1 million to $10 million in liabilities.
Judge Cynthia A. Norton oversees the case.
David E. Schroeder, Esq., at David Schroeder Law Offices, P.C. is
the Debtor's counsel.
VANTAGE DRILLING: Moody's Ups CFR to 'B3', Outlook Stable
---------------------------------------------------------
Moody's Investors Service assigned a B3 rating to Vantage Drilling
International's newly issued first-lien senior secured notes due
2028. Moody's concurrently upgraded the company's Corporate Family
Rating to B3 from Caa1 and Probability of Default Rating to B3-PD
from Caa1-PD. The SGL-3 Speculative Grade Liquidity rating was
unchanged. The rating outlook remains stable.
These actions follow Vantage's successful marketing and pricing of
$200 million of new senior secured notes, which is expected to
close on March 1, 2023. Net proceeds will be used to redeem
Vantage's existing $180 million secured notes due November 2023,
and to add cash to its balance sheet.
Assignments:
Issuer: Vantage Drilling International
Senior Secured Regular Bond/Debenture, Assigned B3 (LGD3)
Upgrades:
Issuer: Vantage Drilling International
Corporate Family Rating, Upgraded to B3 from Caa1
Probability of Default Rating, Upgraded to B3-PD from Caa1-PD
Outlook Actions:
Issuer: Vantage Drilling International
Outlook, Remains Stable
RATINGS RATIONALE
The upgrade of Vantage's CFR to B3 reflects its significantly
improved maturity and liquidity profile in a supportive offshore
rig market environment. By eliminating near term refinancing risks,
management should be able to dedicate more time in finding and
winning new contracts at higher dayrates to further enhance
financial flexibility.
The B3 CFR reflects Vantage's small scale offshore rig fleet
comprised of two drillships and two jackups; significant debt
burden relative to its near term cash flow prospects; and high
re-contracting risk given three of its four owned rigs will roll
out of contracts in 2023. While high energy prices and increased
demand for offshore rigs have raised dayrates and lifted rig value
globally, Moody's expect the re-contracting environment to remain
competitive as the offshore industry continues to recover from a
prolonged downturn. Oil and gas prices need to stay high to attract
continued upstream investments and Vantage will have to
successfully recontract at higher dayrates to sustain and improve
its credit profile. The B3 CFR is supported by Vantage's modern rig
fleet, safe and efficient operating track record, good asset
coverage of its debt and the improving fundamentals of the offshore
rig industry.
The new 2028 first lien senior secured notes are rated B3, the same
as the CFR, given Vantage has no other debt in the capital
structure. The new notes have a first-lien claim on substantially
all of Vantage's assets. There are no financial covenants under the
notes indenture, although there is a requirement to apply 50% of
excess cash flow towards principal reduction on an annualized
basis. Moody's will withdraw its ratings on the 2023 notes upon
full repayment, which is expected to occur in early-March 2023.
Vantage should have adequate liquidity through mid-2024, which is
reflected in the SGL-3 rating. The company's cash and cash
equivalents position pro forma for the refinancing and redemption
as of December 31, 2022 is $74 million. Vantage does not have a
revolving credit facility, but Moody's expects the company to
generate free cash flow in 2023 given its modest capital
expenditure requirements.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
Given the limited scale of Vantage's rig fleet, an upgrade could be
considered if the company reduces debt while significantly
increasing the size and duration of its contracted revenue backlog
in a healthy industry environment. An upgrade would also require
the company to be able to sustain the EBITDA/Interest ratio above
5x. The ratings could be downgraded if the EBITDA/Interest ratio
falls below 2.5x or the company is unable to recontract rigs over
an extended period leading to significant cash burn and a weak
liquidity position.
Vantage Drilling International is an offshore drilling company
headquartered in the Cayman Islands. The company owns and operates
four modern, high specification rigs and provides rig management
services to third parties.
The principal methodology used in these ratings was Oilfield
Services published in January 2023.
VERITAS US: EUR748.6M Bank Debt Trades at 25% Discount
------------------------------------------------------
Participations in a syndicated loan under which Veritas US Inc is a
borrower were trading in the secondary market around 74.6
cents-on-the-dollar during the week ended Friday, February 24,
2023, according to Bloomberg's Evaluated Pricing service data.
The EUR748.6 million facility is a Term loan that is scheduled to
mature on September 1, 2025. The amount is fully drawn and
outstanding.
Veritas US Inc. designs and develops enterprise software solutions.
WESTBANK HOLDINGS: Amends Unsecured Claims Pay Details
------------------------------------------------------
Federal National Mortgage Association, the largest creditor in the
bankruptcy cases of Westbank Holdings, LLC, et al., submitted a
Second Amended Disclosure Statement for its Creditor's Plan of
Reorganization dated February 23, 2023.
The Bankruptcy Court has approved procedures to govern the bidding
on and an auction for the Debtors' Real Property. The Plan provides
a mechanism for the distribution of the proceeds of the sale of the
Debtors' Real Property and proceeds of insurance claims that have
been received to date.
The Plan is a liquidating plan. It provides for the Distribution of
the proceeds of the sale of the Debtors' Real Property with funds
paid to the secured creditor (Fannie Mae) and a portion of the
funds carved-out to cover sale expenses, administration of the
Bankruptcy Case, and to fund Distributions under the Plan. The
carve-out funds, along with other assets such as insurance proceeds
and any recoveries from pending or future insurance and litigation
claims, shall be deposited into a Liquidating Trust.
The Liquidating Trustee shall make an initial Distribution to
holders of General Unsecured Claims (excluding Fannie Mae) within
thirty days of the Effective Date of the Plan. The Liquidating
Trustee shall make subsequent Distributions to remaining holders of
General Unsecured Claims on a pro rata basis following the
liquidation of the Debtors' Assets. Fannie Mae reserves all rights
as loss payee to any insurance proceeds, rights under the Fannie
Mae Liens, the existing loan documents and replacement liens
granted in connection with the use of Fannie Mae's cash collateral.
Fannie Mae further reserves all rights as loss payee under any
forced placed insurance policies.
The Debtors' chapter 11 cases are being jointly administered. Under
the Plan, the cases will continue to be jointly administered, but
will not be substantively consolidated. The proceeds from the
sale(s) of the Debtors' Real Property will be administered and
distributed on a case-by-case basis. Certain liabilities of three
of the Debtors (Liberty Park Apartments, LLC; Forest Park
Apartments, LLC; and Washington Place, LLC) are crosscollateralized
and will be administered accordingly, according to a footnote in
the Amended Disclosure Statement.
Class 1 consists of the Allowed Secured Claim of Fannie Mae. Fannie
Mae is a secured creditor of the Debtors with legal, valid,
binding, perfected, enforceable, first-priority liens on and
security interests in (the "Fannie Mae Liens") the Debtors' real
and personal property constituting collateral for the subject
loans, including but not limited to the Debtors' Real Property and
the Insurance Claims. At the Closing of the Asset Sales, Fannie Mae
shall receive the Real Property Net Proceeds. The Real Property Net
Proceeds paid to Fannie Mae shall be applied to the Class 1
Indebtedness, with the proceeds of the sale of each Debtor's real
property applied to the indebtedness secured by such property.
Fannie Mae shall continue to retain its Liens on other Assets of
the Debtors that are not sold in the Asset Sales, including but not
limited to Fannie Mae's Liens on any Insurance Proceeds and Causes
of Action and the proceeds from the liquidation of such collateral
shall be distributed to Fannie Mae and applied to the debt secured
thereby.
* The U.S. Small Business Administration ("SBA") has filed the
following proofs of claim asserting liens on tangible and
intangible personal property of the Debtors: Westbank Holdings, LLC
($87,522.05); Cypress Park Apartments II LLC ($70,689.87); Liberty
Park Apartments, LLC ($32,927.83); Washington Place, LLC
($43,501.38); and Riverview Apartments LLC ($133,603.53). These
claims are based on promissory notes and security agreements from
2020 and 2021. As any liens held by the SBA are junior to Fannie
Mae's perfected liens and, as Fannie Mae is only partially secured,
the SBA claims are unsecured and are included in Class 2 โ
General Unsecured Claims.
* The City of New Orleans has filed two proofs of claim (Claim
Nos. 49, 50) in Case No. 22-10082 asserting liens against the
Westbank Real Property due to certain code violations. As any such
lien held by the City of New Orleans is junior to Fannie Mae's
perfected liens and, as Fannie Mae is only partially secured, these
claims are unsecured and included in Class 2 โ General Unsecured
Claims.
Class 2 consists of General Unsecured Claims. There are five
subclasses of General Unsecured Claims.
Subclass 2A consists of all holders of Allowed General Unsecured
Claims other than those held by tenants (Subclass 2B), the Sewerage
and Water Board (Subclass 2C), the Small Business Administration
(Subclass 2D), and Fannie Mae (Subclass 2E). For the avoidance of
doubt, claims held by Insiders are not included Subclass 2A, but
are included in Class 3, Subordinated Claims. Except to the extent
that a holder of an Allowed Subclass 2A Claim agrees to a different
treatment, holders of Allowed Subclass 2A Claims, in full and final
satisfaction, compromise, settlement, release, and discharge of and
in exchange for each Allowed Class 2 Claim, shall receive payments
in full of their claim.
Subclass 2B consists of Allowed Unsecured Claims held by current or
former tenants at any of the multifamily housing properties owned
by the Debtors. The allowance of Claims held by tenants shall be
determined based on whether the tenant elects the $1,000 payment
option (the "$1,000 Option") or elects to opt-out of the $1,000
payment option and to have its claim administered in the pool for
Pro Rata Distributions (the "Opt-Out Option"). Each holder of a
Subclass 2B Claim (Tenant Unsecured Claim) who does not timely
submit a Class 2B Opt-Out Form, in full satisfaction of such claim,
shall receive $1,000. Each holder of a Subclass 2B Claim (Tenant
Unsecured Claim) who timely submits a Class 2B Opt Out Form, shall
retain all rights to seek allowance of its Claim in the full amount
of such asserted Claim, all objections shall be preserved, and such
Claim shall be placed in the Liquidating Trust to receive its share
of Pro Rata Distributions under the Plan.
Subclass 2C consists of the Allowed General Unsecured Claims of the
Sewerage and Water Board. In partial satisfaction of its Subclass
2C Claim, the SWB shall receive an initial distribution of
$200,000. In exchange for such initial distribution, the amount of
the asserted Subclass 2C General Unsecured Claim shall be reduced
by $500,000. The balance of the Subclass 2C Claim, following
allowance and application of the $500,000 credit, shall be included
in the pool for Pro Rata Distributions under Class 2 โ General
Unsecured Claims.
Subclass 2D consists of the claims of the Small Business
Administration, including both the claims asserted as secured
claims and the claims asserted as general unsecured claims. Except
to the extent that the SBA agrees to a different treatment, the
holder of Allowed Class 2D Claims shall receive, in full and final
satisfaction, compromise, settlement, release and discharge of and
in exchange for each Allowed Class 2D Claim, shall receive its
proportionate share of Pro Rata Distributions.
Subclass 2E consists of the Fannie Mae Deficiency Claim. The holder
of Allowed Class 2E Claims shall receive, in full and final
satisfaction, compromise, settlement, release and discharge of and
in exchange for each Allowed Class 2D Claim, shall receive its
proportionate share of Pro Rata Distributions.
* There is an additional potential recovery of $5,600,000 of
recoverable depreciation from the insurers. This estimated amount
would be adjusted to reflect the costs of administration (which
would increase the deficiency amount) and the net recoveries from
other insurance claims (which would decrease the deficiency
amount). Based upon the facts available at this time, Fannie Mae
projects that its deficiency claims will be in the range of $5
million to $15 million.
On the Effective Date, the Liquidating Trust will be created. The
Liquidating Trust shall be governed by the Liquidating Trust
Agreement, the Plan, and the Confirmation Order. The Liquidating
Trustee, who shall be selected by Fannie Mae and the Chapter 11
Trustee, shall have all of the powers and duties set forth in
Article VI of the Plan. The Liquidating Trustee shall owe a
fiduciary duty to the Class 2 and Class 3 creditors to maximize
their recovery subject to the terms of the Plan. Except as
specifically set forth in the Plan, holders of Allowed Claims shall
look solely to the Liquidating Trust for the satisfaction of their
Claims. For federal income tax purposes, the transfer of the
identified assets to the Liquidating Trust will be deemed a
transfer to the holders of Allowed Claims followed by a deemed
transfer by such beneficiaries to the Liquidating Trust.
A full-text copy of the Second Amended Disclosure Statement dated
February 23, 2023 is available at https://bit.ly/3ECLWqa from
PacerMonitor.com at no charge.
Attorneys for Federal National Mortgage Association, d/b/a Fannie
Mae:
Edward H. Arnold, III, Esq.
Katie Dysart, Esq.
Lacey E. Rochester, Esq.
Christopher Vitenas, Esq.
BAKER DONELSON BEARMAN CALDWELL & BERKOWITZ, PC
201 St. Charles Ave., Suite 3600
New Orleans, LA 70170
Telephone: (504) 566-5204
Facsimile: (504) 636-3904
E-mail: harnold@bakerdonelson.com
About Westbank Holdings
Westbank Holdings, LLC, is a New Orleans, La.-based company
primarily engaged in renting and leasing real estate properties.
Westbank Holdings and its affiliates filed voluntary petitions for
relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D. La.
Lead Case No. 22-10082) on Jan. 27, 2022. In its petition, Westbank
Holdings listed as much as $50 million in both assets and
liabilities. Joshua Bruno, manager, signed the petition.
Judge Meredith S. Grabill oversees the cases.
Frederick L. Bunol, Esq., at The Derbes Law Firm, LLC, Alvendia
Kelly & Demarest, LLC and G Rowland CPA & Associates, serve as the
Debtors' bankruptcy counsel, special counsel and accountant,
respectively. Richard W. Cryar, a partner at F M Reed Company, is
the Debtors' chief restructuring officer.
Dwayne M. Murray, the Chapter 11 trustee appointed in the Debtors'
cases, tapped Fishman Haygood, LLP as legal counsel and Patrick J.
Gros, CPA, as accountant.
WESTERN STEEL: Involuntary Chapter 11 Case Summary
--------------------------------------------------
Alleged Debtor: Western Steel Inc.
200 South Virginia Street
Suite 858
Reno, NV 89501
Involuntary Chapter
11 Petition Date: February 24, 2023
Court: United States Bankruptcy Court
District of Nevada
Case No.: 23-50118
Hon. Natalie M. Cox
Petitioners' Counsel: Unknown
A full-text copy of the Involuntary Petition is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/2KOOELQ/WESTERN_STEEL_INC__nvbke-23-50118__0001.0.pdf?mcid=tGE4TAMA
Alleged creditor who signed the petition:
Petitioner Nature of Claim Claim Amount
Steven Mark Hayden Sr. Demand Promissory $1,530,000
Suite 111-684 Note
8465 West Sahara Ave
Las Vegas NV 89117
WILL-ONITA'S FAMILY: Gets OK to Hire Rodney Shepherd as Counsel
---------------------------------------------------------------
Will-Onita's Family Restaurant, LLC received approval from the U.S.
Bankruptcy Court for the Western District of Pennsylvania to employ
Rodney Shepherd, Esq., a practicing attorney in Pittsburgh, to
handle its Chapter 11 case.
Mr. Shepherd received a retainer from the Debtor in the amount of
$2,500 and will charge at the hourly rate of $275 should the
retainer become exhausted. In addition, the attorney will receive
reimbursement for out-of-pocket expenses incurred.
As disclosed in court filings, Mr. Shepherd is a "disinterested
person" as the term is defined in Section 101(14) of the Bankruptcy
Code.
Mr. Shepherd can be reached at:
Rodney D. Shepherd, Esq.
2403 Sidney Street, Suite 208
Pittsburgh, PA 15203
Tel: (412) 471-9670
Email: rodsheph@cs.com
About Will-Onita's Family Restaurant
Will-Onita's Family Restaurant, LLC filed a Chapter 11 bankruptcy
petition (Bankr. W.D. Pa. Case No. 23-20108) on Jan. 19, 2023, with
up to $50,000 in assets and $100,001 to $500,000 in liabilities.
Judge Gregory L. Taddonio oversees the case.
The Debtor tapped Rodney D. Shepherd, Esq., a practicing attorney
in Pittsburgh, to handle its bankruptcy case.
WILLIAM HOLDINGS: Lender Seeks to Prohibit Cash Collateral Access
-----------------------------------------------------------------
Satinder Sadhar asks the U.S. Bankruptcy Court for the Central
District of California, Los Angeles Division, to prohibit Howard M.
Ehrenberg, the Chapter 11 Trustee of William Holdings, LLC, to use
his cash collateral.
Sadhar asserts two liens. The first is on the real property
identified as 6650 Emmet Terrace Drive, Los Angeles, CA and 5731
Carlton Way LLC. Sadhar supports maximizing the Debtor's assets and
liquidating the Properties as soon as possible. It is unclear the
status of Carlton Way Property.
Sadhar objects on grounds that there is insufficient information
provided in the Motion because there is no indication what
valuation of the collateral is being used by the Trustee. Sadhar
believes that as of the Petition Date and given the current market
that the value of the Emmet Terrace Property is depreciating and as
such Sadhar is not adequately protected.
Further, the projections of rental income and expenses show that
the Chapter 11 Trustee is operating in the negative. As such,
Sadhar objects to the use of cash collateral as his interest in the
Properties are not adequately protected. Under the present facts,
the protections proposed by the Trustee for the use of the Cash
Collateral is not sufficient to adequately protect.
To the extent the Court grants the Cash Collateral Motion, Sadhar
requests a replacement lien for the amount in any diminution in
value of his interest in the Cash Collateral and regular debt
service payment on the loans. Sadhar contends he retains his lien
on excess cash generated by the Emmet Terrace Property and the
Carlton Way Property. If for any reason Sadhar is not paid in full
from any proposed sale of the Emmet Terrace Property and Carlton
Way Property and is required to foreclose on the Properties, he
says any excess cash flow that has been rolled over must be paid
over to him in accordance with his priority rights.
A copy of Sadhar's motion is available at https://bit.ly/3YW9dvG
from PacerMonitor.com.
About William Holdings LLC
William Holdings LLC sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. C.D. Cal. Case No. 22-14708) on August 29,
3033. In the petition filed by Kameron Segal, as CEO, the Debtor
reports estimated assets and liabilities between $10 million and
$50 million each.
Judge Deborah J. Saltzman oversees the case.
The Debtor is represented by the Law Offices of Michael Jay
Berger.
Howard M. Ehrenberg has been appointed as the Chapter 11 Trustee of
William Holdings, LLC.
WILLOW LAKE HOLDINGS: Case Summary & Nine Unsecured Creditors
-------------------------------------------------------------
Debtor: Willow Lake Holdings, LLC
374.91 acres, Section 15 & 22 T12SR8W
Cameron, LA 70631
Business Description: Willow Lake Holdings owns 374.91 acres
located in Cameron Parish, LA, valued
at $800,000.
Chapter 11 Petition Date: February 27, 2023
Court: United States Bankruptcy Court
Western District of Louisiana
Case No.: 23-20083
Judge: Hon. John W. Kolwe
Debtor's Counsel: Bradley L. Drell, Esq.
GOLD, WEEMS, BRUSER, SUES & RUNDELL
POB 6118
Alexandria, LA 71307-6118
Tel: (318) 445-6471
Fax: (318) 445-6476
Total Assets: $800,000
Total Liabilities: $4,323,619
The petition was signed by William Barron as co-manager.
A full-text copy of the petition containing, among other items, a
list of the Debtor's nine unsecured creditors is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/MPTOAII/Willow_Lake_Holdings_LLC__lawbke-23-20083__0001.0.pdf?mcid=tGE4TAMA
WILLOW LAKE MITIGATION: Case Summary & 8 Unsecured Creditors
------------------------------------------------------------
Debtor: Willow Lake Mitigation, LLC
Mitigation Credits
Cameron, LA 70631
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 27, 2023
Court: United States Bankruptcy Court
Western District of Louisiana
Case No.: 23-20084
Judge: Hon. John W. Kolwe
Debtor's Counsel: Bradley L. Drell, Esq.
GOLD, WEEMS, BRUSER, SUES & RUNDELLL
POB 6118
Alexandria, LA 71307-6118
Tel: (318) 445-6471
Fax: (318) 445-6476
Total Assets: $6,935,305
Total Liabilities: $3,926,271
The petition was signed by William Barron as co-manager.
A full-text copy of the petition containing, among other items, a
list of the Debtor's eight unsecured creditors is available for
free at PacerMonitor.com at:
https://www.pacermonitor.com/view/M4JR4NY/Willow_Lake_Mitigation_LLC__lawbke-23-20084__0001.0.pdf?mcid=tGE4TAMA
WIN WASTE: Moody's Lowers CFR to B2 & Alters Outlook to Negative
----------------------------------------------------------------
Moody's Investors Service downgraded the ratings of WIN Waste
Innovations Holdings Inc., including the corporate family rating to
B2 from B1, probability of default rating to B2-PD from B1-PD and
first-lien senior secured debt rating to B2 from B1. Moody's also
changed the outlook to negative from stable.
The downgrades and outlook change to negative reflect WIN's weaker
operating performance driven by several operating challenges that
are unlikely to improve meaningfully in the near term, sustaining
the company's high leverage and constraining its liquidity. The
company is navigating recent headwinds from unplanned
outages/downtime at certain waste-to-energy (WtE) facilities,
supply chain delays for delivery of related repair parts, and
volume disruptions for its rail-served landfills and transfer
stations tied to extended labor/union issues at its rail partner,
CSX. Moody's expects adjusted debt-to-EBITDA to remain above 6x
through 2023.
Further, the available liquidity on WIN's revolving credit facility
has materially declined as the company has tapped the revolver to
fund growth initiatives. Moody's expects the sponsor (shareholder)
to support the company given WIN's modest liquidity and sustained
negative free cash flow, driven in part by a sizable capital
investment program. Moody's notes the sponsor (Macquarie) has
previously provided capital support for the company's growth
investments.
Moody's took the following actions on WIN Waste Innovations
Holdings Inc.:
Downgrades:
Issuer: WIN Waste Innovations Holdings Inc.
Corporate Family Rating, Downgraded to B2 from B1
Probability of Default Rating, Downgraded to B2-PD from B1-PD
Senior Secured First Lien Term Loan, Downgraded to B2 (LGD4) from
B1 (LGD3)
Senior Secured First Lien Revolving Credit Facility, Downgraded to
B2 (LGD4) from B1 (LGD3)
Outlook Actions:
Issuer: WIN Waste Innovations Holdings Inc.
Outlook, Changed To Negative From Stable
RATINGS RATIONALE
WIN's ratings reflect its modest scale with a primary regional
focus in the Northeast US, capital-intensive business model that
constrains free cash flow and high financial leverage, sustained in
part by an aggressive acquisition strategy. WIN is also exposed to
earnings and cash flow volatility from fluctuating commodity prices
and wholesale power markets in its energy business (about 15% of
revenue), although that risk is partially mitigated by hedging.
Rising costs for labor and equipment will continue to exert margin
pressures amid labor availability and supply chain issues. But
higher pricing on renewed and renewing contracts along with
expected positive momentum in fixing recent operational issues
should support an improvement in credit metrics over the next 12-18
months.
WIN benefits from stable waste disposal demand, underpinned by long
term contracts (averaging 7 years), and valuable infrastructure
assets with high barriers to entry that support a recurring revenue
base. With disposal capabilities supported by strategically located
facilities and rail-connected transfer stations, the company is
well-positioned to capture growing demand in the northeast US, a
region with declining landfill disposal capacity and a
supply-demand imbalance. Moody's believes this will continue to
provide favorable pricing conditions and support stronger margins
and cash flow over time.
The negative outlook reflects the uncertainty around the timing to
restore disrupted plant operations and disposal volumes and
meaningfully improving earnings and liquidity.
Moody's views liquidity as limited but adequate in the near term,
with some flexibility to reduce capital expenditures to enable
modest positive free cash flow, availability on the $477 million
revolving facility and cash on hand expected to remain above $20
million. Nevertheless, given the company's substantive capex and
vulnerability to plant disruptions, Moody's expects that WIN will
have to rely on the revolving facility or finding a longer term
capital solution via external financing options, which could
increase the company's cost of capital and leverage. The revolving
facility, expiring in 2026, had approximately $126 million
available at September 30, 2022, net of letters of credit. The
facility is subject to a springing maximum first-lien net leverage
covenant of 7x, tested if borrowings exceed 35% of the revolver
commitment and subject to certain carve-outs related to letters of
credit. Moody's expects the company to maintain compliance though
the level of headroom in complying with the covenant will tighten
in the near term. The term loan has no financial maintenance
covenants.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be downgraded with a failure to improve operating
results, including expectations of declining organic revenue
growth, weakening margins and/or debt-to-EBITDA remaining above 6x.
Inability to improve the available liquidity in the near term,
including meaningfully increasing the revolver availability, could
lead to a downgrade especially given the company's negative free
cash flow and liquidity needs.
Although unlikely in the near term, the ratings could be upgraded
with profitable and prudent expansion of the company's operating
footprint beyond its primary northeast US markets for greater
scale. Debt-to-EBITDA sustained below 5x, EBITA-to-interest above
1.0x and free cash flow-to-debt at 1%-3% could also support a
ratings upgrade. The maintenance of good liquidity, including
sustained positive free cash flow, maintaining ample revolver
availability and reduced reliance on external funding sources,
would also be a prerequisite for an upgrade.
The principal methodology used in these ratings was Environmental
Services and Waste Management Companies published in April 2018.
WIN Waste Innovations Holdings Inc. is an indirect wholly-owned
subsidiary of Wheelabrator Technologies, Inc. The company was
formed in January 2021 from the combination of Wheelabrator and
Tunnel Hill Partners, LP, a leading integrated waste-by-rail
company in the US which owns and operates a network of collection
and transfer assets in the Northeast US. WIN Waste has additional
assets/facilities in Ohio, Georgia, Florida and the Mid-Atlantic
US. The company and its subsidiaries, including the legacy
Wheelabrator entities and Tunnel Hill Partners, LP, are owned by
affiliates of Macquarie, a private equity firm. Revenue was
approximately $1.1 billion for the twelve months ended September
30, 2022.
WINC INC: Seeks to Extend Plan Exclusivity to June 28
-----------------------------------------------------
Winc Inc., et al asked the U.S. Bankruptcy Court for the District
of Delaware to extend the exclusive filing period and
exclusive solicitation period by approximately ninety days, through
and including June 28, 2023 and August 28, 2023,
respectively.
The initial exclusive filing period extends through and includes
March 30, 2023, while the initial exclusive solicitation period
extends through and includes May 29, 2023.
In the approximately three months since the petition date, the
debtors and their advisors devoted a significant amount of time and
effort to preserving and maximizing the value of their estates for
the benefit of all stakeholders through the sale of the assets,
along with preparing and filing motions, applications, and other
pleadings. The debtors need sufficient time to negotiate and
prepare a confirmable chapter 11 plan and related disclosure
statement.
About Winc Inc.
Winc, Inc. develops, produces, and sells alcoholic beverages
through wholesale and direct-to-consumer business channels in
conjunction with winemakers, vineyards, distillers, and
manufacturers, both domestically and internationally. Its products
are available at retailers and restaurants throughout the United
States.
Winc and its affiliates sought protection under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. Del Lead Case No. 22-11238) on Nov.
30, 2022. In the petition signed by its interim chief executive
officer and president, Brian Smith, Winc disclosed up to
$50,318,000 in assets and up to $36,751,000 in liabilities.
Laurie Selber Silverstein oversees the cases.
The Debtors tapped Young Conaway Stargatt & Taylor, LLP as
restructuring and bankruptcy counsel; RPA Advisors, LLC as
financial advisor; and Canaccord Genuity Group Inc. as investment
banker. Epiq Corporate Restructuring, LLC is the Debtors' notice,
claims, solicitation and balloting agent, and administrative
advisor.
The U.S. Trustee for Region 3 appointed an official committee to
represent unsecured creditors in the Debtors' Chapter 11 cases.
The committee tapped the law firms of A.M. Saccullo Legal, LLC and
ArentFox Schiff, LLP as legal counsels; CohnReznick, LLP as
financial advisor; and CohnReznick Capital Markets Securities, LLC
as investment banker.
WORLD ACCEPTANCE: S&P Affirms 'B-' ICR on Covenant Amendments
-------------------------------------------------------------
S&P Global Ratings affirmed 'B-' issuer credit rating on World
Acceptance Corp (WRLD). The outlook remains negative. S&P also
affirmed its 'CCC+' issue rating on World Acceptance Corp.'s senior
unsecured notes.
In November 2022, WRLD amended its financial covenants on revolving
credit facility, which meaningfully reduced its default risk and
avoided debt acceleration.
The amended credit agreement has temporarily alleviated the
pressure of a covenant breach and subsequent debt acceleration. As
part of the amendment, WRLD was able to lower its required fixed
charge coverage ratio from 2.25x to 1.15x till quarter ended June
30, 2023 (1.6x as of December 2022) before gradually rising to 1.5x
in September 2023, 2.0x for December 2023, and 2.75x from March
2024 onwards. The company was able to get higher Collateral
Performance Indicator (CPI) to up to 28% for calendar months ending
October 2022 through June 30, 2023 (25.5% as of December 2022)
before decreasing to 26% thereafter. As CPI exceeds 24%, the
advance rate decreases to as low as 62% from 74% from October 2022
through June 30, 2023. Total debt to consolidated adjusted net
worth decreases from 250% as of December 31, 2022 to a low of 200%
for September 2023 before rising to 225% in December 2023 and 250%
thereafter. Over the next 12 months, S&P expects the company to be
covenant compliant.
As of December 31, 2022, tangible equity declined to approximately
$336 million from $381 million a year ago due to operating losses
and share repurchases. The amendment requires the company to
maintain a fixed charge coverage ratio of at least 2.0x for four
consecutive fiscal quarters to declare dividends or purchase
shares. As of December 31, 2022, WRLD's debt to tangible equity,
was 2.4x versus 2.1x a year ago. As of the same date, the company
had $145 million of credit reserves (9.3% of gross receivables),
compared with $133 million (8.2% of gross receivables) a year ago.
Adjusting for these reserves, S&P expects leverage, measured by
debt to adjusted total equity, will remain between 1.5x-2.75x.
Annualized charge-offs of average net loan receivables for nine
months ended December 2022 increased to 23.6% from 12.0% a year
ago. The rise in net charge-offs stemmed from aging delinquencies
from increased new and shorter-tenured customers. Although the
company has scaled back on originations and tightened its credit
underwriting over the past several quarters, S&P expects
delinquencies and charge-offs will remain elevated over the next 12
months as high inflation continues to pressure consumers' ability
to repay. The company is heavily reliant on the revolving credit
facility which, in S&P's view, limits the company's operational and
financial flexibility.
If the company's unencumbered assets to unsecured debt ratio drops
below 1.0x and priority debt ratio remains 30% or higher, S&P will
further lower the issue rating by one-notch for a total of two
notches from the issuer credit rating.
S&P said, "The negative outlook on WRLD over the next 12 months
reflects our expectation that tough operating conditions will
likely lead to deterioration in WRLD's asset quality, the company
maintains some cushion to its covenant requirements, and adequate
liquidity to meet its operational needs. Our outlook also considers
WRLD continuing to operate with leverage of 1.5x-2.75x.
"We could lower the ratings over the next six to 12 months if the
company's liquidity continues to deteriorate, or it is unable to
get covenant waivers on its credit facilities if needed, such that
a default is imminent. We could also lower the ratings if
regulatory issues materially affect the company's ability to
operate or if the company buybacks debt at distressed levels, which
we could view as a de facto restructuring tantamount to default.
"We could revise the outlook to stable if the company maintains an
adequate covenant cushion, stable asset quality, adequate
liquidity, and leverage well below 2.75x."
ESG credit indicators: E-2, S-3, G-2
WP CPP HOLDINGS: Oaktree Specialty Marks $6M Loan at 16% Off
------------------------------------------------------------
Oaktree Specialty Lending Corporation has marked its $6,000,000
loan extended to WP CPP Holdings LLC.to market at $5,055,000 or 84%
of the outstanding amount, as of December 31, 2022, according to a
disclosure contained in Oaktree Specialty's Form 10-Q for the
quarterly period ended December 31, 2022, filed with the Securities
and Exchange Commission on February 7, 2023.
Oaktree Specialty is a participant in a Second Lien Term Loan to WP
CPP Holdings LLC. The loans accrues 12.17% (LIBOR+7.75%) per annum.
The loan matures on April 30, 2026.
Oaktree Specialty Lending Corporation is a specialty finance
company that looks to provide customized, one-stop credit solutions
to companies with limited access to public or syndicated capital
markets. Oaktree Specialty was formed in late 2007 and operates as
a closed-end, externally managed, non-diversified management
Investment Company that has elected to be regulated as a Business
Development Company under the Investment Company Act.
Headquartered in Cleveland, Ohio, WP CPP Holdings, LLC, d/b/a
Consolidated Precision Products, is a castings manufacturer of
engineered components and subassemblies for the commercial
aerospace, military and defense and energy markets. The company is
majority-owned in equal parts by private equity firm Warburg Pincus
and Berkshire Partners.
WWEX UNI: Oaktree Specialty Marks $5M Loan at 16% Off
-----------------------------------------------------
Oaktree Specialty Lending Corporation has marked its $5,000,000
loan extended to WWEX Uni Topco Holdings LLC.to market at
$4,191,000 or 84% of the outstanding amount, as of December 31,
2022, according to a disclosure contained in Oaktree Specialty's
Form 10-Q for the quarterly period ended December 31, 2022, filed
with the Securities and Exchange Commission on February 7, 2023.
Oaktree Specialty is a participant in a Second Lien Term Loan to
WWEX Uni Topco Holdings LLC. The loans accrues 11.73% (LIBOR+7.00%)
per annum. The loan matures on July 26, 2029.
Oaktree Specialty Lending Corporation is a specialty finance
company that looks to provide customized, one-stop credit solutions
to companies with limited access to public or syndicated capital
markets. Oaktree Specialty was formed in late 2007 and operates as
a closed-end, externally managed, non-diversified management
Investment Company that has elected to be regulated as a Business
Development Company under the Investment Company Act.
WWEX UNI Topco Holdings, LLC is headquartered in Dallas, Texas and
is a non-asset based third party logistics services provider to a
wide array of end-markets and customers. The company is owned by
private equity sponsors, CVC Capital Partners, Providence Equity
Partners, PSG, Ridgemont Equity Partners and management.
XPLORNET COMMUNICATIONS: $200M Bank Debt Trades at 36% Discount
---------------------------------------------------------------
Participations in a syndicated loan under which Xplornet
Communications Inc is a borrower were trading in the secondary
market around 64.4 cents-on-the-dollar during the week ended
Friday, February 24, 2023, according to Bloomberg's Evaluated
Pricing service data.
The $200 million facility is a Term loan that is scheduled to
mature on October 1, 2029. The amount is fully drawn and
outstanding.
Xplornet Communications Inc operates as a broadband service
provider. The Company offers voice and data communication services
through wireless and satellite networks. Xplornet Communications
serves customers in Canada.
YOLANDA C. HOLMES: Unsecureds to Recover 8.32% in Subchapter V Plan
-------------------------------------------------------------------
Yolanda C. Holmes, M.D. P.C., submitted an Amended Subchapter V
Plan dated February 23, 2023.
The term of this Plan begins on the confirmation date of this Plan
and ends on the 36th month subsequent to that date or upon
completion of plan funding, which is approximately $238,018.36. The
debtor reserves the right to extend plan term for 6 months to
complete plan funding.
The value of the property to be distributed under the Plan during
the term of the Plan is not less than the Debtor's projected
disposable income for that same period. Unsecured creditors holding
allowed claims will receive distributions, which the Debtor has
valued at approximately 0.083 cents on the dollar. The Plan also
provides for the payment of secured, administrative, and priority
claims in accordance with the Bankruptcy Code.
Debtor shall assume its Medicare executory contracts effective the
date of the effective date of this plan. Such Medicare executory
contracts shall include Debtor's enrollment agreement and Debtor's
Supplier Agreement. Notwithstanding anything to the contrary in
this plan or in the order confirming this plan, cure, for purposes
of the assumption by the Debtor of the Medicare Supplier Agreement,
shall consist of the agreement by the Debtor to continue
participation in the Medicare program in the ordinary course of
business, and to be governed by, and subject to, the terms and
conditions of its Medicare Supplier Agreement and the incorporated
Medicare statutes, regulations, policies and procedures, and to
remain liable for any debt to CMS as if the bankruptcy case had not
occurred.
Such terms and conditions under the Medicare Supplier Agreement
shall include, but shall not be limited to, the recoupment or
recovery by CMS or its contractors of any Medicare overpayments
determined to be due from the Debtors, whether related to
prepetition or postpetition services. In addition, nothing in this
plan or confirmation order shall release (or operate to enjoin) any
claim of the United States, on behalf of CMS, against the Debtor or
against any non-debtor. The assumption and cure of the Medicare
Supplier Agreement, or any rights or remedies thereunder, shall not
be subject in any manner to, or limited in any manner by, any
provision of the Bankruptcy Code or Rules, including but not
limited to any term in this plan or the confirmation order granting
security interests to other parties in the Debtor's healthcare
accounts receivable.
Furthermore, because any amount due shall be collected in the
ordinary course, the United States, on behalf of CMS, shall not be
required to file any separate claim in the bankruptcy to collect
any amounts due to CMS under the Medicare program, whether via a
proof of claim, claim for cure, or administrative claim. All of
CMS's claims shall be unimpaired under 11 U.S.C. ยง 1124 and shall
pass through the bankruptcy case unaffected by the Plan,
Confirmation Order and/or any other court order in the bankruptcy
case.
The debtor is actively negotiating an avoidance action on behalf of
the debtor's bankruptcy estate against Zircon to recover $57,700.59
garnished from debtor's bank account during the preference period.
The parties have reached an agreement subject to court approval to
resolve the claim without the risk and cost of litigation. The
proposed settlement provides that Zircon will pay in cash the sum
of $30,000.00 to debtor upon entry of an order of the Bankruptcy
Court approving a settlement under which: (1) Zircon receives a
global release of any and all claims the estate or the debtor does
or may assert against it; (2) upon entry of a final order approving
settlement, Zircon waives any claims against the estate and agrees
to withdraw its proof of claim with prejudice and agrees to vote in
favor of the debtor's chapter 11 plan.
Class 4 consists of Allowed General Unsecured Claim. After payments
of Classes 1, 2, and 3, and withdrawal of Zircon proof of claim
with prejudice, pro-rata to unsecured. General unsecured claimants
will receive distributions in month 24 (February 2025).
Distributions to unsecured claimants are based on projections. The
actual distribution to unsecured claimants will vary and will be
based on total claims allowed. This Class is impaired. Balance
after Zircon claim withdrawal with prejudice shall be $667,493.67.
This Class will receive a distribution of 8.32% of their allowed
claims.
During the term of this Plan, the Debtor shall submit the projected
disposable income for the performance of this plan and $10,000 from
settlement proceeds to the supervision and control of the
Subchapter V Trustee or debtor for distribution to claimants as
provided for under the plan.
The Debtor will use the revenue for the remaining months during the
year to carry the business through the slow months. The Debtor
believes that the business will maintain and slowly increase
revenues but also increase operational costs. Thus, the Debtor
believes that the disposable income for the plan term will be
steady.
A full-text copy of the Amended Subchapter V Plan dated February
23, 2023 is available at https://bit.ly/3KFm0yb from
PacerMonitor.com at no charge.
The Debtor is represented by:
Frank Morris II, Esq.
Law Firm of MorrisMargulies, LLC
8201 Corporate Drive, Suite 260
Landover, MD 20785
Phone: 301-731-1000
Fax: 301-731-1206
Email: frankmorrislaw@yahoo.com
About Yolanda C. Holmes
Yolanda C. Holmes, M.D. P.C., is privately owned with a specialty
in Dermatology and Cosmetics.
The Debtor filed a petition under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. D.C. Case No. 22 00194) on Oct. 24, 2022,
with as much as $1 million in both assets and liabilities.
Judge Elizabeth L. Gunn oversees the case.
Jolene E. Wee has been appointed as Subchapter V trustee.
The Debtor is represented by Frank Morris II, Esq., at The Law Firm
of MorrisMargulies, LLC.
[*] SRZ's Business Reorganization Group Ranked in Chambers Global
-----------------------------------------------------------------
Schulte Roth & Zabel disclosed that its Business Reorganization
Group is again ranked among "the elite" bankruptcy/restructuring
firms in the world in the 2023 edition of Chambers Global.
Adam Harris, co-chair of our Business Reorganization Group, has
also been named among the world's leading bankruptcy/restructuring
lawyers.
View the list of SRZ's rankings at
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[^] Large Companies with Insolvent Balance Sheet
------------------------------------------------
Total
Share- Total
Total Holders Working
Assets Equity Capital
Company Ticker ($MM) ($MM) ($MM)
------- ------ ------ ------- -------
7GC & CO HOLD-A VII US 231.4 (10.3) (2.2)
7GC & CO HOLDING VIIAU US 231.4 (10.3) (2.2)
ABSOLUTE SOFTWRE ABST US 533.6 (8.8) (62.8)
ABSOLUTE SOFTWRE OU1 GR 533.6 (8.8) (62.8)
ABSOLUTE SOFTWRE ABST CN 533.6 (8.8) (62.8)
ABSOLUTE SOFTWRE ABT2EUR EU 533.6 (8.8) (62.8)
ABSOLUTE SOFTWRE OU1 GZ 533.6 (8.8) (62.8)
ACCELERATE DIAGN AXDX* MM 75.8 (9.8) 56.7
AIR CANADA AC CN 29,507.0 (1,555.0) 312.0
AIR CANADA ADH2 GR 29,507.0 (1,555.0) 312.0
AIR CANADA ACEUR EU 29,507.0 (1,555.0) 312.0
AIR CANADA ADH2 TH 29,507.0 (1,555.0) 312.0
AIR CANADA ACDVF US 29,507.0 (1,555.0) 312.0
AIR CANADA ADH2 QT 29,507.0 (1,555.0) 312.0
AIR CANADA ACEUR EZ 29,507.0 (1,555.0) 312.0
AIR CANADA ADH2 GZ 29,507.0 (1,555.0) 312.0
ALNYLAM PHAR-BDR A1LN34 BZ 3,535.3 (67.6) 1,918.1
ALNYLAM PHARMACE ALNY US 3,535.3 (67.6) 1,918.1
ALNYLAM PHARMACE DUL GR 3,535.3 (67.6) 1,918.1
ALNYLAM PHARMACE DUL QT 3,535.3 (67.6) 1,918.1
ALNYLAM PHARMACE ALNYEUR EU 3,535.3 (67.6) 1,918.1
ALNYLAM PHARMACE DUL TH 3,535.3 (67.6) 1,918.1
ALNYLAM PHARMACE ALNY* MM 3,535.3 (67.6) 1,918.1
ALNYLAM PHARMACE DUL GZ 3,535.3 (67.6) 1,918.1
ALNYLAM PHARMACE ALNYEUR EZ 3,535.3 (67.6) 1,918.1
ALPHA ENERGY INC APHE US 2.2 (1.1) (1.3)
ALTICE USA INC-A ATUS US 33,665.0 (503.9) (1,471.3)
ALTICE USA INC-A 15PA GR 33,665.0 (503.9) (1,471.3)
ALTICE USA INC-A 15PA TH 33,665.0 (503.9) (1,471.3)
ALTICE USA INC-A ATUSEUR EU 33,665.0 (503.9) (1,471.3)
ALTICE USA INC-A 15PA GZ 33,665.0 (503.9) (1,471.3)
ALTICE USA INC-A ATUS* MM 33,665.0 (503.9) (1,471.3)
ALTICE USA INC-A ATUS-RM RM 33,665.0 (503.9) (1,471.3)
ALTIRA GP-CEDEAR MOC AR 36,954.0 (3,923.0) (1,396.0)
ALTIRA GP-CEDEAR MOD AR 36,954.0 (3,923.0) (1,396.0)
ALTIRA GP-CEDEAR MO AR 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC PHM7 GR 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC MO* MM 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC MO US 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC MO SW 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC MOEUR EU 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC MO TE 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC PHM7 TH 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC MO CI 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC PHM7 QT 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC MOUSD SW 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC PHM7 GZ 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC 0R31 LI 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC ALTR AV 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC MOEUR EZ 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC MOCL CI 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC MO-RM RM 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP INC PHM7 BU 36,954.0 (3,923.0) (1,396.0)
ALTRIA GROUP-BDR MOOO34 BZ 36,954.0 (3,923.0) (1,396.0)
AMC ENTERTAINMEN AMC US 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN AH9 GR 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN AMC4EUR EU 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN AH9 TH 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN AH9 QT 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN AMC* MM 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN AH9 GZ 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN AH9 SW 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN AMC-RM RM 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN A2MC34 BZ 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN APE* MM 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN AH9 BU 9,206.1 (2,579.0) (717.4)
AMC ENTERTAINMEN AMCE AV 9,206.1 (2,579.0) (717.4)
AMERICAN AIR-BDR AALL34 BZ 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE AAL US 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE A1G GR 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE AAL* MM 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE A1G TH 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE A1G QT 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE A1G GZ 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE AAL11EUR EU 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE AAL AV 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE AAL TE 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE A1G SW 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE 0HE6 LI 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE AAL11EUR EZ 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE AAL-RM RM 64,716.0 (5,799.0) (6,227.0)
AMERICAN AIRLINE AAL_KZ KZ 64,716.0 (5,799.0) (6,227.0)
AMPLIFY ENERGY C AMPY US 458.2 (35.3) (48.9)
AMPLIFY ENERGY C 2OQ GR 458.2 (35.3) (48.9)
AMPLIFY ENERGY C MPO2EUR EU 458.2 (35.3) (48.9)
AMPLIFY ENERGY C 2OQ TH 458.2 (35.3) (48.9)
AMPLIFY ENERGY C 2OQ GZ 458.2 (35.3) (48.9)
AMPLIFY ENERGY C 2OQ QT 458.2 (35.3) (48.9)
AMYRIS INC AMRS* MM 754.1 (404.8) (36.8)
AMYRIS INC A2MR34 BZ 754.1 (404.8) (36.8)
AON PLC-BDR A1ON34 BZ 32,704.0 (429.0) 417.0
AON PLC-CLASS A AON US 32,704.0 (429.0) 417.0
AON PLC-CLASS A 4VK GR 32,704.0 (429.0) 417.0
AON PLC-CLASS A 4VK QT 32,704.0 (429.0) 417.0
AON PLC-CLASS A 4VK TH 32,704.0 (429.0) 417.0
AON PLC-CLASS A AON1EUR EU 32,704.0 (429.0) 417.0
AON PLC-CLASS A AONN MM 32,704.0 (429.0) 417.0
AON PLC-CLASS A 4VK GZ 32,704.0 (429.0) 417.0
ASHFORD HOSPITAL AHD GR 3,971.7 (68.8) -
ASHFORD HOSPITAL AHT US 3,971.7 (68.8) -
ASHFORD HOSPITAL AHT1EUR EU 3,971.7 (68.8) -
ASHFORD HOSPITAL AHD TH 3,971.7 (68.8) -
ATLAS TECHNICAL ATCX US 528.8 (125.1) 98.7
AUTOZONE INC AZO US 15,315.9 (3,837.9) (2,075.9)
AUTOZONE INC AZ5 TH 15,315.9 (3,837.9) (2,075.9)
AUTOZONE INC AZ5 GR 15,315.9 (3,837.9) (2,075.9)
AUTOZONE INC AZOEUR EU 15,315.9 (3,837.9) (2,075.9)
AUTOZONE INC AZ5 QT 15,315.9 (3,837.9) (2,075.9)
AUTOZONE INC AZO AV 15,315.9 (3,837.9) (2,075.9)
AUTOZONE INC AZ5 TE 15,315.9 (3,837.9) (2,075.9)
AUTOZONE INC AZO* MM 15,315.9 (3,837.9) (2,075.9)
AUTOZONE INC AZOEUR EZ 15,315.9 (3,837.9) (2,075.9)
AUTOZONE INC AZ5 GZ 15,315.9 (3,837.9) (2,075.9)
AUTOZONE INC AZO-RM RM 15,315.9 (3,837.9) (2,075.9)
AUTOZONE INC-BDR AZOI34 BZ 15,315.9 (3,837.9) (2,075.9)
AVALON ACQUISI-A AVAC US 212.6 (8.7) (0.1)
AVALON ACQUISI-A 6YL GR 212.6 (8.7) (0.1)
AVALON ACQUISI-A AVACEUR EU 212.6 (8.7) (0.1)
AVALON ACQUISITI AVACU US 212.6 (8.7) (0.1)
AVID TECHNOLOGY AVID US 237.5 (141.4) (22.4)
AVID TECHNOLOGY AVD GR 237.5 (141.4) (22.4)
AVID TECHNOLOGY AVD TH 237.5 (141.4) (22.4)
AVID TECHNOLOGY AVD GZ 237.5 (141.4) (22.4)
AVIS BUD-CEDEAR CAR AR 25,927.0 (700.0) (688.0)
AVIS BUDGET GROU CUCA GR 25,927.0 (700.0) (688.0)
AVIS BUDGET GROU CAR US 25,927.0 (700.0) (688.0)
AVIS BUDGET GROU CUCA QT 25,927.0 (700.0) (688.0)
AVIS BUDGET GROU CAR2EUR EU 25,927.0 (700.0) (688.0)
AVIS BUDGET GROU CAR* MM 25,927.0 (700.0) (688.0)
AVIS BUDGET GROU CAR2EUR EZ 25,927.0 (700.0) (688.0)
AVIS BUDGET GROU CUCA TH 25,927.0 (700.0) (688.0)
AVIS BUDGET GROU CUCA GZ 25,927.0 (700.0) (688.0)
BABCOCK & WILCOX BW US 881.6 (17.1) 179.1
BABCOCK & WILCOX UBW1 GR 881.6 (17.1) 179.1
BABCOCK & WILCOX BWEUR EU 881.6 (17.1) 179.1
BATH & BODY WORK LTD0 GR 5,494.0 (2,205.0) 887.0
BATH & BODY WORK LTD0 TH 5,494.0 (2,205.0) 887.0
BATH & BODY WORK BBWI US 5,494.0 (2,205.0) 887.0
BATH & BODY WORK LBEUR EU 5,494.0 (2,205.0) 887.0
BATH & BODY WORK BBWI* MM 5,494.0 (2,205.0) 887.0
BATH & BODY WORK LTD0 QT 5,494.0 (2,205.0) 887.0
BATH & BODY WORK BBWI AV 5,494.0 (2,205.0) 887.0
BATH & BODY WORK LBEUR EZ 5,494.0 (2,205.0) 887.0
BATH & BODY WORK LTD0 GZ 5,494.0 (2,205.0) 887.0
BATH & BODY WORK BBWI-RM RM 5,494.0 (2,205.0) 887.0
BATTERY FUTURE A BFAC/U US 354.9 350.4 0.2
BATTERY FUTURE-A BFAC US 354.9 350.4 0.2
BED BATH &BEYOND BBBY* MM 4,401.4 (798.6) (694.1)
BED BATH &BEYOND BBBY-RM RM 4,401.4 (798.6) (694.1)
BELLRING BRANDS BRBR US 735.0 (370.3) 304.9
BELLRING BRANDS D51 TH 735.0 (370.3) 304.9
BELLRING BRANDS BRBR2EUR EU 735.0 (370.3) 304.9
BELLRING BRANDS D51 GR 735.0 (370.3) 304.9
BELLRING BRANDS D51 QT 735.0 (370.3) 304.9
BEYOND MEAT INC BYND US 1,062.2 (203.5) 530.6
BEYOND MEAT INC 0Q3 GR 1,062.2 (203.5) 530.6
BEYOND MEAT INC 0Q3 GZ 1,062.2 (203.5) 530.6
BEYOND MEAT INC BYNDEUR EU 1,062.2 (203.5) 530.6
BEYOND MEAT INC 0Q3 TH 1,062.2 (203.5) 530.6
BEYOND MEAT INC 0Q3 QT 1,062.2 (203.5) 530.6
BEYOND MEAT INC BYND AV 1,062.2 (203.5) 530.6
BEYOND MEAT INC 0Q3 SW 1,062.2 (203.5) 530.6
BEYOND MEAT INC 0A20 LI 1,062.2 (203.5) 530.6
BEYOND MEAT INC BYNDEUR EZ 1,062.2 (203.5) 530.6
BEYOND MEAT INC 0Q3 TE 1,062.2 (203.5) 530.6
BEYOND MEAT INC BYND* MM 1,062.2 (203.5) 530.6
BEYOND MEAT INC B2YN34 BZ 1,062.2 (203.5) 530.6
BEYOND MEAT INC BYND-RM RM 1,062.2 (203.5) 530.6
BIOCRYST PHARM BO1 TH 550.0 (1,454.6) 427.4
BIOCRYST PHARM BCRX US 550.0 (1,454.6) 427.4
BIOCRYST PHARM BO1 GR 550.0 (1,454.6) 427.4
BIOCRYST PHARM BO1 QT 550.0 (1,454.6) 427.4
BIOCRYST PHARM BCRXEUR EU 550.0 (1,454.6) 427.4
BIOCRYST PHARM BCRX* MM 550.0 (1,454.6) 427.4
BIOCRYST PHARM BCRXEUR EZ 550.0 (1,454.6) 427.4
BIOTE CORP-A BTMD US 109.6 (109.9) 78.4
BLACK MOUNTAIN A BMAC/U US 283.4 (9.5) 0.0
BLACK MOUNTAIN-A BMAC US 283.4 (9.5) 0.0
BLUE BIRD CORP BLBD US 351.6 (9.2) (26.4)
BLUE BIRD CORP 4RB GR 351.6 (9.2) (26.4)
BLUE BIRD CORP 4RB GZ 351.6 (9.2) (26.4)
BLUE BIRD CORP BLBDEUR EU 351.6 (9.2) (26.4)
BLUE BIRD CORP BLBDEUR EZ 351.6 (9.2) (26.4)
BLUE BIRD CORP 4RB TH 351.6 (9.2) (26.4)
BLUE BIRD CORP 4RB QT 351.6 (9.2) (26.4)
BOEING CO-BDR BOEI34 BZ 137,100 (15,848) 19,471.0
BOEING CO-CED BA AR 137,100 (15,848) 19,471.0
BOEING CO-CED BAD AR 137,100 (15,848) 19,471.0
BOEING CO/THE BA EU 137,100 (15,848) 19,471.0
BOEING CO/THE BCO GR 137,100 (15,848) 19,471.0
BOEING CO/THE BAEUR EU 137,100 (15,848) 19,471.0
BOEING CO/THE BA TE 137,100 (15,848) 19,471.0
BOEING CO/THE BA* MM 137,100 (15,848) 19,471.0
BOEING CO/THE BA SW 137,100 (15,848) 19,471.0
BOEING CO/THE BOEI BB 137,100 (15,848) 19,471.0
BOEING CO/THE BA US 137,100 (15,848) 19,471.0
BOEING CO/THE BCO TH 137,100 (15,848) 19,471.0
BOEING CO/THE BA PE 137,100 (15,848) 19,471.0
BOEING CO/THE BOE LN 137,100 (15,848) 19,471.0
BOEING CO/THE BA CI 137,100 (15,848) 19,471.0
BOEING CO/THE BCO QT 137,100 (15,848) 19,471.0
BOEING CO/THE BAUSD SW 137,100 (15,848) 19,471.0
BOEING CO/THE BCO GZ 137,100 (15,848) 19,471.0
BOEING CO/THE BA AV 137,100 (15,848) 19,471.0
BOEING CO/THE BA-RM RM 137,100 (15,848) 19,471.0
BOEING CO/THE BAEUR EZ 137,100 (15,848) 19,471.0
BOEING CO/THE BA EZ 137,100 (15,848) 19,471.0
BOEING CO/THE BACL CI 137,100 (15,848) 19,471.0
BOEING CO/THE BA_KZ KZ 137,100 (15,848) 19,471.0
BOMBARDIER INC-A BBD/A CN 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-A BDRAF US 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-A BBD GR 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-A BBD/AEUR EU 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-A BBD GZ 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-B BBD/B CN 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-B BBDC GR 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-B BDRBF US 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-B BBDC TH 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-B BBDBN MM 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-B BBD/BEUR EU 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-B BBDC GZ 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-B BBD/BEUR EZ 12,324.0 (2,762.0) 148.0
BOMBARDIER INC-B BBDC QT 12,324.0 (2,762.0) 148.0
BOX INC- CLASS A BOX US 1,056.4 (78.2) 59.1
BOX INC- CLASS A 3BX GR 1,056.4 (78.2) 59.1
BOX INC- CLASS A 3BX TH 1,056.4 (78.2) 59.1
BOX INC- CLASS A 3BX QT 1,056.4 (78.2) 59.1
BOX INC- CLASS A BOXEUR EU 1,056.4 (78.2) 59.1
BOX INC- CLASS A BOXEUR EZ 1,056.4 (78.2) 59.1
BOX INC- CLASS A 3BX GZ 1,056.4 (78.2) 59.1
BOX INC- CLASS A BOX-RM RM 1,056.4 (78.2) 59.1
BRIDGEBIO PHARMA BBIO US 728.7 (1,130.4) 523.0
BRIDGEBIO PHARMA 2CL GR 728.7 (1,130.4) 523.0
BRIDGEBIO PHARMA 2CL GZ 728.7 (1,130.4) 523.0
BRIDGEBIO PHARMA BBIOEUR EU 728.7 (1,130.4) 523.0
BRIDGEBIO PHARMA 2CL TH 728.7 (1,130.4) 523.0
BRIGHTSPHERE INV BSIG US 518.7 (21.6) -
BRIGHTSPHERE INV 2B9 GR 518.7 (21.6) -
BRIGHTSPHERE INV BSIGEUR EU 518.7 (21.6) -
BRIGHTSPHERE INV 2B9 GZ 518.7 (21.6) -
BRINKER INTL EAT US 2,519.6 (267.5) (336.3)
BRINKER INTL BKJ GR 2,519.6 (267.5) (336.3)
BRINKER INTL BKJ QT 2,519.6 (267.5) (336.3)
BRINKER INTL EAT2EUR EU 2,519.6 (267.5) (336.3)
BRINKER INTL EAT2EUR EZ 2,519.6 (267.5) (336.3)
BRINKER INTL BKJ TH 2,519.6 (267.5) (336.3)
BROOKFIELD INF-A BIPC CN 10,178.0 (361.0) (3,762.0)
BROOKFIELD INF-A BIPC US 10,178.0 (361.0) (3,762.0)
CALUMET SPECIALT CLMT US 2,568.7 (265.4) (536.5)
CARDINAL HEA BDR C1AH34 BZ 44,482.0 (2,212.0) 1,384.0
CARDINAL HEALTH CAH US 44,482.0 (2,212.0) 1,384.0
CARDINAL HEALTH CLH GR 44,482.0 (2,212.0) 1,384.0
CARDINAL HEALTH CLH TH 44,482.0 (2,212.0) 1,384.0
CARDINAL HEALTH CLH QT 44,482.0 (2,212.0) 1,384.0
CARDINAL HEALTH CAHEUR EU 44,482.0 (2,212.0) 1,384.0
CARDINAL HEALTH CLH GZ 44,482.0 (2,212.0) 1,384.0
CARDINAL HEALTH CAH* MM 44,482.0 (2,212.0) 1,384.0
CARDINAL HEALTH CAHEUR EZ 44,482.0 (2,212.0) 1,384.0
CARDINAL HEALTH CAH-RM RM 44,482.0 (2,212.0) 1,384.0
CARDINAL-CEDEAR CAH AR 44,482.0 (2,212.0) 1,384.0
CARDINAL-CEDEAR CAHC AR 44,482.0 (2,212.0) 1,384.0
CARDINAL-CEDEAR CAHD AR 44,482.0 (2,212.0) 1,384.0
CARVANA CO CVNA US 8,698.0 (1,053.0) 2,002.0
CARVANA CO CV0 TH 8,698.0 (1,053.0) 2,002.0
CARVANA CO CV0 QT 8,698.0 (1,053.0) 2,002.0
CARVANA CO CVNAEUR EU 8,698.0 (1,053.0) 2,002.0
CARVANA CO CV0 GR 8,698.0 (1,053.0) 2,002.0
CARVANA CO CV0 GZ 8,698.0 (1,053.0) 2,002.0
CARVANA CO CVNAEUR EZ 8,698.0 (1,053.0) 2,002.0
CARVANA CO CV0 SW 8,698.0 (1,053.0) 2,002.0
CARVANA CO CVNA* MM 8,698.0 (1,053.0) 2,002.0
CARVANA CO CVNA-RM RM 8,698.0 (1,053.0) 2,002.0
CEDAR FAIR LP FUN US 2,235.9 (591.6) (153.2)
CENGAGE LEARNING CNGO US 2,600.8 (298.1) (64.5)
CENTRUS ENERGY-A LEU US 618.2 (100.3) 111.0
CENTRUS ENERGY-A 4CU TH 618.2 (100.3) 111.0
CENTRUS ENERGY-A 4CU GR 618.2 (100.3) 111.0
CENTRUS ENERGY-A LEUEUR EU 618.2 (100.3) 111.0
CENTRUS ENERGY-A 4CU GZ 618.2 (100.3) 111.0
CENTRUS ENERGY-A 4CU QT 618.2 (100.3) 111.0
CHENIERE ENERGY LNG US 41,266.0 (171.0) (1,187.0)
CHENIERE ENERGY CHQ1 GR 41,266.0 (171.0) (1,187.0)
CHENIERE ENERGY CQP US 19,633.0 (2,131.0) 199.0
CHENIERE ENERGY CHQ1 TH 41,266.0 (171.0) (1,187.0)
CHENIERE ENERGY CHQ1 QT 41,266.0 (171.0) (1,187.0)
CHENIERE ENERGY LNG2EUR EU 41,266.0 (171.0) (1,187.0)
CHENIERE ENERGY LNG* MM 41,266.0 (171.0) (1,187.0)
CHENIERE ENERGY CHQ1 SW 41,266.0 (171.0) (1,187.0)
CHENIERE ENERGY LNG2EUR EZ 41,266.0 (171.0) (1,187.0)
CHENIERE ENERGY CHQ1 GZ 41,266.0 (171.0) (1,187.0)
CINEPLEX INC CGX CN 2,150.5 (211.8) (310.3)
CINEPLEX INC CX0 GR 2,150.5 (211.8) (310.3)
CINEPLEX INC CPXGF US 2,150.5 (211.8) (310.3)
CINEPLEX INC CX0 TH 2,150.5 (211.8) (310.3)
CINEPLEX INC CGXEUR EU 2,150.5 (211.8) (310.3)
CINEPLEX INC CGXN MM 2,150.5 (211.8) (310.3)
CINEPLEX INC CX0 GZ 2,150.5 (211.8) (310.3)
COGENT COMMUNICA CCOI US 1,010.2 (518.6) 245.6
COGENT COMMUNICA OGM1 GR 1,010.2 (518.6) 245.6
COGENT COMMUNICA CCOIEUR EU 1,010.2 (518.6) 245.6
COGENT COMMUNICA CCOI* MM 1,010.2 (518.6) 245.6
COHERUS BIOSCIEN CHRS US 550.9 (97.1) 277.0
COHERUS BIOSCIEN 8C5 GR 550.9 (97.1) 277.0
COHERUS BIOSCIEN 8C5 TH 550.9 (97.1) 277.0
COHERUS BIOSCIEN CHRSEUR EU 550.9 (97.1) 277.0
COHERUS BIOSCIEN 8C5 QT 550.9 (97.1) 277.0
COHERUS BIOSCIEN 8C5 GZ 550.9 (97.1) 277.0
COMMUNITY HEALTH CYH US 14,669.0 (734.0) 896.0
COMMUNITY HEALTH CG5 GR 14,669.0 (734.0) 896.0
COMMUNITY HEALTH CG5 TH 14,669.0 (734.0) 896.0
COMMUNITY HEALTH CG5 QT 14,669.0 (734.0) 896.0
COMMUNITY HEALTH CYH1EUR EU 14,669.0 (734.0) 896.0
COMMUNITY HEALTH CYH1EUR EZ 14,669.0 (734.0) 896.0
COMMUNITY HEALTH CG5 GZ 14,669.0 (734.0) 896.0
COMPOSECURE INC CMPO US 169.8 (324.8) 36.2
CONSENSUS CLOUD CCSI US 627.4 (289.7) 43.7
CONTANGO ORE INC CTGO US 23.3 (0.8) 8.4
CPI CARD GROUP I PMTS US 305.0 (94.3) 112.7
CPI CARD GROUP I CPB1 GR 305.0 (94.3) 112.7
CPI CARD GROUP I PMTSEUR EU 305.0 (94.3) 112.7
CTI BIOPHARMA CO CEPS QT 123.5 (16.8) 77.6
CTI BIOPHARMA CO CTIC US 123.5 (16.8) 77.6
CTI BIOPHARMA CO CEPS GR 123.5 (16.8) 77.6
CTI BIOPHARMA CO CTIC1EUR EZ 123.5 (16.8) 77.6
CTI BIOPHARMA CO CTIC1EUR EU 123.5 (16.8) 77.6
CTI BIOPHARMA CO CEPS TH 123.5 (16.8) 77.6
CYTOKINETICS INC CYTK US 1,076.0 (16.0) 807.8
CYTOKINETICS INC KK3A GR 1,076.0 (16.0) 807.8
CYTOKINETICS INC KK3A QT 1,076.0 (16.0) 807.8
CYTOKINETICS INC CYTKEUR EU 1,076.0 (16.0) 807.8
CYTOKINETICS INC KK3A TH 1,076.0 (16.0) 807.8
CYTOKINETICS INC CYTKEUR EZ 1,076.0 (16.0) 807.8
DEFENCE THERAPEU DTC CN 0.3 (0.9) (1.0)
DEFENCE THERAPEU DTCFF US 0.3 (0.9) (1.0)
DELEK LOGISTICS DKL US 1,638.2 (114.3) (192.7)
DELL TECHN-C DELL US 85,172.0 (3,368.0) (13,220)
DELL TECHN-C 12DA TH 85,172.0 (3,368.0) (13,220)
DELL TECHN-C 12DA GR 85,172.0 (3,368.0) (13,220)
DELL TECHN-C 12DA GZ 85,172.0 (3,368.0) (13,220)
DELL TECHN-C DELL1EUR EU 85,172.0 (3,368.0) (13,220)
DELL TECHN-C DELLC* MM 85,172.0 (3,368.0) (13,220)
DELL TECHN-C 12DA QT 85,172.0 (3,368.0) (13,220)
DELL TECHN-C DELL AV 85,172.0 (3,368.0) (13,220)
DELL TECHN-C DELL1EUR EZ 85,172.0 (3,368.0) (13,220)
DELL TECHN-C DELL-RM RM 85,172.0 (3,368.0) (13,220)
DELL TECHN-C-BDR D1EL34 BZ 85,172.0 (3,368.0) (13,220)
DENNY'S CORP DE8 GR 498.3 (37.1) (43.3)
DENNY'S CORP DENN US 498.3 (37.1) (43.3)
DENNY'S CORP DENNEUR EU 498.3 (37.1) (43.3)
DENNY'S CORP DE8 TH 498.3 (37.1) (43.3)
DENNY'S CORP DE8 GZ 498.3 (37.1) (43.3)
DIEBOLD NIXDORF DBD SW 3,065.0 (1,371.1) 166.0
DINE BRANDS GLOB DIN US 1,972.0 (301.6) 126.7
DINE BRANDS GLOB IHP GR 1,972.0 (301.6) 126.7
DINE BRANDS GLOB IHP TH 1,972.0 (301.6) 126.7
DINE BRANDS GLOB IHP GZ 1,972.0 (301.6) 126.7
DIVERSIFIED ENER DEC LN - - -
DIVERSIFIED ENER DGOCGBX EU - - -
DIVERSIFIED ENER DECL PO - - -
DIVERSIFIED ENER DECL L3 - - -
DIVERSIFIED ENER DECL B3 - - -
DIVERSIFIED ENER DECL TQ - - -
DIVERSIFIED ENER DGOCGBX EP - - -
DIVERSIFIED ENER DGOCGBX EZ - - -
DIVERSIFIED ENER DECL IX - - -
DIVERSIFIED ENER DECL EB - - -
DIVERSIFIED ENER DECL QX - - -
DIVERSIFIED ENER DECL BQ - - -
DIVERSIFIED ENER DECL S1 - - -
DOMINO'S P - BDR D2PZ34 BZ 1,602.2 (4,189.1) 254.0
DOMINO'S PIZZA EZV TH 1,602.2 (4,189.1) 254.0
DOMINO'S PIZZA EZV GR 1,602.2 (4,189.1) 254.0
DOMINO'S PIZZA DPZ US 1,602.2 (4,189.1) 254.0
DOMINO'S PIZZA EZV QT 1,602.2 (4,189.1) 254.0
DOMINO'S PIZZA DPZEUR EU 1,602.2 (4,189.1) 254.0
DOMINO'S PIZZA DPZ AV 1,602.2 (4,189.1) 254.0
DOMINO'S PIZZA DPZ* MM 1,602.2 (4,189.1) 254.0
DOMINO'S PIZZA EZV GZ 1,602.2 (4,189.1) 254.0
DOMINO'S PIZZA DPZEUR EZ 1,602.2 (4,189.1) 254.0
DOMINO'S PIZZA DPZ-RM RM 1,602.2 (4,189.1) 254.0
DOMO INC- CL B DOMO US 217.3 (146.1) (78.7)
DOMO INC- CL B 1ON GR 217.3 (146.1) (78.7)
DOMO INC- CL B 1ON GZ 217.3 (146.1) (78.7)
DOMO INC- CL B DOMOEUR EU 217.3 (146.1) (78.7)
DOMO INC- CL B 1ON TH 217.3 (146.1) (78.7)
DROPBOX INC-A DBX US 3,110.1 (309.4) 293.3
DROPBOX INC-A 1Q5 GR 3,110.1 (309.4) 293.3
DROPBOX INC-A 1Q5 SW 3,110.1 (309.4) 293.3
DROPBOX INC-A 1Q5 TH 3,110.1 (309.4) 293.3
DROPBOX INC-A 1Q5 QT 3,110.1 (309.4) 293.3
DROPBOX INC-A DBXEUR EU 3,110.1 (309.4) 293.3
DROPBOX INC-A DBX AV 3,110.1 (309.4) 293.3
DROPBOX INC-A DBX* MM 3,110.1 (309.4) 293.3
DROPBOX INC-A DBXEUR EZ 3,110.1 (309.4) 293.3
DROPBOX INC-A 1Q5 GZ 3,110.1 (309.4) 293.3
DROPBOX INC-A DBX-RM RM 3,110.1 (309.4) 293.3
EMBECTA CORP EMBC US 1,196.9 (836.1) 391.4
EMBECTA CORP EMBC* MM 1,196.9 (836.1) 391.4
EMBECTA CORP JX7 GR 1,196.9 (836.1) 391.4
EMBECTA CORP JX7 QT 1,196.9 (836.1) 391.4
EMBECTA CORP EMBC1EUR EZ 1,196.9 (836.1) 391.4
EMBECTA CORP EMBC1EUR EU 1,196.9 (836.1) 391.4
EMBECTA CORP JX7 GZ 1,196.9 (836.1) 391.4
EMBECTA CORP JX7 TH 1,196.9 (836.1) 391.4
ESPERION THERAPE ESPR US 247.9 (323.8) 154.4
ESPERION THERAPE 0ET GR 247.9 (323.8) 154.4
ESPERION THERAPE 0ET TH 247.9 (323.8) 154.4
ESPERION THERAPE ESPREUR EU 247.9 (323.8) 154.4
ESPERION THERAPE 0ET QT 247.9 (323.8) 154.4
ESPERION THERAPE ESPREUR EZ 247.9 (323.8) 154.4
ESPERION THERAPE 0ET GZ 247.9 (323.8) 154.4
ETSY INC ETSY US 2,635.0 (547.3) 882.0
ETSY INC 3E2 GR 2,635.0 (547.3) 882.0
ETSY INC 3E2 TH 2,635.0 (547.3) 882.0
ETSY INC 3E2 QT 2,635.0 (547.3) 882.0
ETSY INC 2E2 GZ 2,635.0 (547.3) 882.0
ETSY INC ETSY AV 2,635.0 (547.3) 882.0
ETSY INC ETSYEUR EZ 2,635.0 (547.3) 882.0
ETSY INC ETSY* MM 2,635.0 (547.3) 882.0
ETSY INC ETSY-RM RM 2,635.0 (547.3) 882.0
ETSY INC - BDR E2TS34 BZ 2,635.0 (547.3) 882.0
ETSY INC - CEDEA ETSY AR 2,635.0 (547.3) 882.0
FAIR ISAAC - BDR F2IC34 BZ 1,458.7 (802.1) 128.8
FAIR ISAAC CORP FRI GR 1,458.7 (802.1) 128.8
FAIR ISAAC CORP FICO US 1,458.7 (802.1) 128.8
FAIR ISAAC CORP FICOEUR EU 1,458.7 (802.1) 128.8
FAIR ISAAC CORP FRI QT 1,458.7 (802.1) 128.8
FAIR ISAAC CORP FICOEUR EZ 1,458.7 (802.1) 128.8
FAIR ISAAC CORP FICO1* MM 1,458.7 (802.1) 128.8
FAIR ISAAC CORP FRI GZ 1,458.7 (802.1) 128.8
FERRELLGAS PAR-B FGPRB US 1,537.6 (305.7) 116.2
FERRELLGAS-LP FGPR US 1,537.6 (305.7) 116.2
FORTINET INC FTNT US 6,228.0 (281.6) 732.0
FORTINET INC FO8 TH 6,228.0 (281.6) 732.0
FORTINET INC FO8 GR 6,228.0 (281.6) 732.0
FORTINET INC FTNTEUR EU 6,228.0 (281.6) 732.0
FORTINET INC FO8 QT 6,228.0 (281.6) 732.0
FORTINET INC FO8 SW 6,228.0 (281.6) 732.0
FORTINET INC FTNT* MM 6,228.0 (281.6) 732.0
FORTINET INC FTNTEUR EZ 6,228.0 (281.6) 732.0
FORTINET INC FO8 GZ 6,228.0 (281.6) 732.0
FORTINET INC FTNT-RM RM 6,228.0 (281.6) 732.0
FORTINET INC-BDR F1TN34 BZ 6,228.0 (281.6) 732.0
GCM GROSVENOR-A GCMG US 549.1 (47.0) 158.0
GENELUX CORP GNLX US 10.2 (36.5) (21.3)
GODADDY INC -BDR G2DD34 BZ 6,973.5 (329.3) (877.2)
GODADDY INC-A GDDY US 6,973.5 (329.3) (877.2)
GODADDY INC-A 38D GR 6,973.5 (329.3) (877.2)
GODADDY INC-A 38D QT 6,973.5 (329.3) (877.2)
GODADDY INC-A GDDY* MM 6,973.5 (329.3) (877.2)
GODADDY INC-A GDDYEUR EZ 6,973.5 (329.3) (877.2)
GODADDY INC-A 38D TH 6,973.5 (329.3) (877.2)
GODADDY INC-A 38D GZ 6,973.5 (329.3) (877.2)
GOGO INC GOGO US 728.6 (128.3) 212.5
GOGO INC G0G GR 728.6 (128.3) 212.5
GOGO INC G0G QT 728.6 (128.3) 212.5
GOGO INC GOGOEUR EU 728.6 (128.3) 212.5
GOGO INC G0G TH 728.6 (128.3) 212.5
GOGO INC G0G GZ 728.6 (128.3) 212.5
GOOSEHEAD INSU-A GSHD US 324.0 (45.7) 33.1
GOOSEHEAD INSU-A 2OX GR 324.0 (45.7) 33.1
GOOSEHEAD INSU-A GSHDEUR EU 324.0 (45.7) 33.1
GOOSEHEAD INSU-A 2OX TH 324.0 (45.7) 33.1
GOOSEHEAD INSU-A 2OX QT 324.0 (45.7) 33.1
H&R BLOCK - BDR H1RB34 BZ 2,593.2 (643.5) 130.0
H&R BLOCK INC HRB US 2,593.2 (643.5) 130.0
H&R BLOCK INC HRB GR 2,593.2 (643.5) 130.0
H&R BLOCK INC HRB TH 2,593.2 (643.5) 130.0
H&R BLOCK INC HRB QT 2,593.2 (643.5) 130.0
H&R BLOCK INC HRBEUR EU 2,593.2 (643.5) 130.0
H&R BLOCK INC HRBEUR EZ 2,593.2 (643.5) 130.0
H&R BLOCK INC HRB GZ 2,593.2 (643.5) 130.0
H&R BLOCK INC HRB-RM RM 2,593.2 (643.5) 130.0
HCA HEALTHC-BDR H1CA34 BZ 52,438.0 (73.0) 3,741.0
HCA HEALTHCARE I 2BH GR 52,438.0 (73.0) 3,741.0
HCA HEALTHCARE I HCA US 52,438.0 (73.0) 3,741.0
HCA HEALTHCARE I 2BH TH 52,438.0 (73.0) 3,741.0
HCA HEALTHCARE I 2BH QT 52,438.0 (73.0) 3,741.0
HCA HEALTHCARE I HCAEUR EU 52,438.0 (73.0) 3,741.0
HCA HEALTHCARE I HCA* MM 52,438.0 (73.0) 3,741.0
HCA HEALTHCARE I 2BH TE 52,438.0 (73.0) 3,741.0
HCA HEALTHCARE I HCAEUR EZ 52,438.0 (73.0) 3,741.0
HCA HEALTHCARE I 2BH GZ 52,438.0 (73.0) 3,741.0
HCA HEALTHCARE I HCA-RM RM 52,438.0 (73.0) 3,741.0
HCM ACQUISITI-A HCMA US 295.2 276.9 1.0
HCM ACQUISITION HCMAU US 295.2 276.9 1.0
HERBALIFE NUTRIT HOO GR 2,732.0 (1,265.9) 379.5
HERBALIFE NUTRIT HLF US 2,732.0 (1,265.9) 379.5
HERBALIFE NUTRIT HLFEUR EU 2,732.0 (1,265.9) 379.5
HERBALIFE NUTRIT HOO QT 2,732.0 (1,265.9) 379.5
HERBALIFE NUTRIT HOO GZ 2,732.0 (1,265.9) 379.5
HERBALIFE NUTRIT HLFEUR EZ 2,732.0 (1,265.9) 379.5
HERBALIFE NUTRIT HOO TH 2,732.0 (1,265.9) 379.5
HEWLETT-CEDEAR HPQD AR 38,587.0 (2,918.0) (6,352.0)
HEWLETT-CEDEAR HPQC AR 38,587.0 (2,918.0) (6,352.0)
HEWLETT-CEDEAR HPQ AR 38,587.0 (2,918.0) (6,352.0)
HILLEVAX INC HLVX US 322.1 287.2 291.5
HILTON WORLD-BDR H1LT34 BZ 15,512.0 (1,098.0) (502.0)
HILTON WORLDWIDE HLT US 15,512.0 (1,098.0) (502.0)
HILTON WORLDWIDE HI91 TH 15,512.0 (1,098.0) (502.0)
HILTON WORLDWIDE HI91 GR 15,512.0 (1,098.0) (502.0)
HILTON WORLDWIDE HI91 QT 15,512.0 (1,098.0) (502.0)
HILTON WORLDWIDE HLTEUR EU 15,512.0 (1,098.0) (502.0)
HILTON WORLDWIDE HLT* MM 15,512.0 (1,098.0) (502.0)
HILTON WORLDWIDE HI91 TE 15,512.0 (1,098.0) (502.0)
HILTON WORLDWIDE HLTEUR EZ 15,512.0 (1,098.0) (502.0)
HILTON WORLDWIDE HLTW AV 15,512.0 (1,098.0) (502.0)
HILTON WORLDWIDE HI91 GZ 15,512.0 (1,098.0) (502.0)
HILTON WORLDWIDE HLT-RM RM 15,512.0 (1,098.0) (502.0)
HORIZON ACQUIS-A HZON US 528.3 (20.7) (4.5)
HORIZON ACQUISIT HZON/U US 528.3 (20.7) (4.5)
HP COMPANY-BDR HPQB34 BZ 38,587.0 (2,918.0) (6,352.0)
HP INC HPQ* MM 38,587.0 (2,918.0) (6,352.0)
HP INC HPQ US 38,587.0 (2,918.0) (6,352.0)
HP INC 7HP TH 38,587.0 (2,918.0) (6,352.0)
HP INC 7HP GR 38,587.0 (2,918.0) (6,352.0)
HP INC HPQ TE 38,587.0 (2,918.0) (6,352.0)
HP INC HPQ CI 38,587.0 (2,918.0) (6,352.0)
HP INC HPQ SW 38,587.0 (2,918.0) (6,352.0)
HP INC 7HP QT 38,587.0 (2,918.0) (6,352.0)
HP INC HPQUSD SW 38,587.0 (2,918.0) (6,352.0)
HP INC HPQEUR EU 38,587.0 (2,918.0) (6,352.0)
HP INC 7HP GZ 38,587.0 (2,918.0) (6,352.0)
HP INC HPQ AV 38,587.0 (2,918.0) (6,352.0)
HP INC HPQEUR EZ 38,587.0 (2,918.0) (6,352.0)
HP INC HPQ-RM RM 38,587.0 (2,918.0) (6,352.0)
HP INC HPQCL CI 38,587.0 (2,918.0) (6,352.0)
INHIBRX INC INBX US 164.9 (35.1) 128.3
INHIBRX INC 1RK GR 164.9 (35.1) 128.3
INHIBRX INC INBXEUR EU 164.9 (35.1) 128.3
INHIBRX INC 1RK QT 164.9 (35.1) 128.3
INSEEGO CORP INSG-RM RM 184.4 (55.8) 29.0
INSPIRED ENTERTA INSE US 286.6 (50.6) 50.8
INSPIRED ENTERTA 4U8 GR 286.6 (50.6) 50.8
INSPIRED ENTERTA INSEEUR EU 286.6 (50.6) 50.8
J. JILL INC JILL US 489.4 (2.0) 35.9
J. JILL INC 1MJ1 GR 489.4 (2.0) 35.9
J. JILL INC JILLEUR EU 489.4 (2.0) 35.9
J. JILL INC 1MJ1 GZ 489.4 (2.0) 35.9
JACK IN THE BOX JBX GR 2,922.5 (736.2) (238.7)
JACK IN THE BOX JACK US 2,922.5 (736.2) (238.7)
JACK IN THE BOX JACK1EUR EU 2,922.5 (736.2) (238.7)
JACK IN THE BOX JBX GZ 2,922.5 (736.2) (238.7)
JACK IN THE BOX JBX QT 2,922.5 (736.2) (238.7)
JACK IN THE BOX JACK1EUR EZ 2,922.5 (736.2) (238.7)
KARYOPHARM THERA KPTI US 358.2 (16.7) 284.3
KARYOPHARM THERA 25K TH 358.2 (16.7) 284.3
KLX ENERGY SERVI KLXE US 440.1 (55.9) 68.5
L BRANDS INC-BDR B1BW34 BZ 5,494.0 (2,205.0) 887.0
LAMAR ADVERTIS-A LAMR US 6,475.2 (361.5) (238.8)
LAMAR ADVERTIS-A 6LA GR 6,475.2 (361.5) (238.8)
LAMAR ADVERTIS-A 6LA TH 6,475.2 (361.5) (238.8)
LAMAR ADVERTIS-A LAMREUR EU 6,475.2 (361.5) (238.8)
LAMAR ADVERTIS-A LAMR* MM 6,475.2 (361.5) (238.8)
LATAMGROWTH SPAC LATGU US 134.9 127.1 1.2
LATAMGROWTH SPAC LATG US 134.9 127.1 1.2
LEGACY VENTUR-B LGYV US 0.0 (0.0) (0.0)
LENNOX INTL INC LXI GR 2,567.6 (203.1) (99.2)
LENNOX INTL INC LII US 2,567.6 (203.1) (99.2)
LENNOX INTL INC LII1EUR EU 2,567.6 (203.1) (99.2)
LENNOX INTL INC LXI TH 2,567.6 (203.1) (99.2)
LENNOX INTL INC LII* MM 2,567.6 (203.1) (99.2)
LESLIE'S INC LESL US 1,076.8 (225.6) 253.9
LESLIE'S INC LE3 GR 1,076.8 (225.6) 253.9
LESLIE'S INC LESLEUR EU 1,076.8 (225.6) 253.9
LESLIE'S INC LE3 QT 1,076.8 (225.6) 253.9
LINDBLAD EXPEDIT LIND US 811.5 (55.1) (126.4)
LINDBLAD EXPEDIT LI4 GR 811.5 (55.1) (126.4)
LINDBLAD EXPEDIT LINDEUR EU 811.5 (55.1) (126.4)
LINDBLAD EXPEDIT LI4 TH 811.5 (55.1) (126.4)
LINDBLAD EXPEDIT LI4 QT 811.5 (55.1) (126.4)
LINDBLAD EXPEDIT LI4 GZ 811.5 (55.1) (126.4)
LOWE'S COS INC LWE GR 46,973.0 (12,868) 4,115.0
LOWE'S COS INC LOW US 46,973.0 (12,868) 4,115.0
LOWE'S COS INC LWE TH 46,973.0 (12,868) 4,115.0
LOWE'S COS INC LOW SW 46,973.0 (12,868) 4,115.0
LOWE'S COS INC LWE QT 46,973.0 (12,868) 4,115.0
LOWE'S COS INC LOWEUR EU 46,973.0 (12,868) 4,115.0
LOWE'S COS INC LWE GZ 46,973.0 (12,868) 4,115.0
LOWE'S COS INC LOW* MM 46,973.0 (12,868) 4,115.0
LOWE'S COS INC LWE TE 46,973.0 (12,868) 4,115.0
LOWE'S COS INC LOWE AV 46,973.0 (12,868) 4,115.0
LOWE'S COS INC LOWEUR EZ 46,973.0 (12,868) 4,115.0
LOWE'S COS INC LOW-RM RM 46,973.0 (12,868) 4,115.0
LOWE'S COS-BDR LOWC34 BZ 46,973.0 (12,868) 4,115.0
MADISON SQUARE G MSGS US 1,300.9 (386.4) (275.0)
MADISON SQUARE G MS8 GR 1,300.9 (386.4) (275.0)
MADISON SQUARE G MSG1EUR EU 1,300.9 (386.4) (275.0)
MADISON SQUARE G MS8 TH 1,300.9 (386.4) (275.0)
MADISON SQUARE G MS8 QT 1,300.9 (386.4) (275.0)
MADISON SQUARE G MS8 GZ 1,300.9 (386.4) (275.0)
MANNKIND CORP NNFN GR 295.3 (250.5) 167.6
MANNKIND CORP MNKD US 295.3 (250.5) 167.6
MANNKIND CORP NNFN TH 295.3 (250.5) 167.6
MANNKIND CORP NNFN QT 295.3 (250.5) 167.6
MANNKIND CORP MNKDEUR EU 295.3 (250.5) 167.6
MANNKIND CORP NNFN GZ 295.3 (250.5) 167.6
MARKETWISE INC MKTW* MM 435.2 (328.0) (119.1)
MASCO CORP MAS US 5,187.0 (242.0) 1,057.0
MASCO CORP MSQ GR 5,187.0 (242.0) 1,057.0
MASCO CORP MSQ TH 5,187.0 (242.0) 1,057.0
MASCO CORP MAS* MM 5,187.0 (242.0) 1,057.0
MASCO CORP MSQ QT 5,187.0 (242.0) 1,057.0
MASCO CORP MAS1EUR EU 5,187.0 (242.0) 1,057.0
MASCO CORP MSQ GZ 5,187.0 (242.0) 1,057.0
MASCO CORP MAS1EUR EZ 5,187.0 (242.0) 1,057.0
MASCO CORP MAS-RM RM 5,187.0 (242.0) 1,057.0
MATCH GROUP -BDR M1TC34 BZ 4,182.8 (358.9) 326.0
MATCH GROUP INC 0JZ7 LI 4,182.8 (358.9) 326.0
MATCH GROUP INC MTCH US 4,182.8 (358.9) 326.0
MATCH GROUP INC MTCH1* MM 4,182.8 (358.9) 326.0
MATCH GROUP INC 4MGN TH 4,182.8 (358.9) 326.0
MATCH GROUP INC 4MGN GR 4,182.8 (358.9) 326.0
MATCH GROUP INC 4MGN QT 4,182.8 (358.9) 326.0
MATCH GROUP INC 4MGN SW 4,182.8 (358.9) 326.0
MATCH GROUP INC MTC2 AV 4,182.8 (358.9) 326.0
MATCH GROUP INC 4MGN GZ 4,182.8 (358.9) 326.0
MATCH GROUP INC MTCH-RM RM 4,182.8 (358.9) 326.0
MBIA INC MBI US 4,015.0 (849.0) -
MBIA INC MBJ GR 4,015.0 (849.0) -
MBIA INC MBJ TH 4,015.0 (849.0) -
MBIA INC MBJ QT 4,015.0 (849.0) -
MBIA INC MBI1EUR EU 4,015.0 (849.0) -
MBIA INC MBJ GZ 4,015.0 (849.0) -
MCDONALD'S - CDR MCDS CN 50,435.6 (6,003.4) 1,622.1
MCDONALD'S - CDR MDO0 GR 50,435.6 (6,003.4) 1,622.1
MCDONALDS - BDR MCDC34 BZ 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MDO TH 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCD TE 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MDO GR 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCD* MM 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCD US 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCD SW 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCD CI 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MDO QT 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCDUSD EU 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCDUSD SW 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCDEUR EU 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MDO GZ 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCD AV 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCDUSD EZ 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCDEUR EZ 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP 0R16 LN 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCD-RM RM 50,435.6 (6,003.4) 1,622.1
MCDONALDS CORP MCDCL CI 50,435.6 (6,003.4) 1,622.1
MCDONALDS-CEDEAR MCDD AR 50,435.6 (6,003.4) 1,622.1
MCDONALDS-CEDEAR MCDC AR 50,435.6 (6,003.4) 1,622.1
MCDONALDS-CEDEAR MCD AR 50,435.6 (6,003.4) 1,622.1
MCKESSON CORP MCK* MM 62,690.0 (2,089.0) (3,349.0)
MCKESSON CORP MCK GR 62,690.0 (2,089.0) (3,349.0)
MCKESSON CORP MCK US 62,690.0 (2,089.0) (3,349.0)
MCKESSON CORP MCK TH 62,690.0 (2,089.0) (3,349.0)
MCKESSON CORP MCK1EUR EU 62,690.0 (2,089.0) (3,349.0)
MCKESSON CORP MCK QT 62,690.0 (2,089.0) (3,349.0)
MCKESSON CORP MCK GZ 62,690.0 (2,089.0) (3,349.0)
MCKESSON CORP MCK1EUR EZ 62,690.0 (2,089.0) (3,349.0)
MCKESSON CORP MCK-RM RM 62,690.0 (2,089.0) (3,349.0)
MCKESSON-BDR M1CK34 BZ 62,690.0 (2,089.0) (3,349.0)
MEDIAALPHA INC-A MAX US 265.2 (68.4) 6.0
MICROSTRATEG-BDR M2ST34 BZ 2,410.3 (383.1) (52.8)
MICROSTRATEGY MSTR US 2,410.3 (383.1) (52.8)
MICROSTRATEGY MIGA GR 2,410.3 (383.1) (52.8)
MICROSTRATEGY MSTREUR EU 2,410.3 (383.1) (52.8)
MICROSTRATEGY MIGA SW 2,410.3 (383.1) (52.8)
MICROSTRATEGY MIGA TH 2,410.3 (383.1) (52.8)
MICROSTRATEGY MIGA QT 2,410.3 (383.1) (52.8)
MICROSTRATEGY MSTREUR EZ 2,410.3 (383.1) (52.8)
MICROSTRATEGY MSTR* MM 2,410.3 (383.1) (52.8)
MICROSTRATEGY MIGA GZ 2,410.3 (383.1) (52.8)
MICROSTRATEGY MSTR-RM RM 2,410.3 (383.1) (52.8)
MICROSTRATEGY MSTR AR 2,410.3 (383.1) (52.8)
MONEYGRAM INTERN MGI US 4,389.1 (186.4) (11.3)
MONEYGRAM INTERN 9M1N GR 4,389.1 (186.4) (11.3)
MONEYGRAM INTERN 9M1N QT 4,389.1 (186.4) (11.3)
MONEYGRAM INTERN 9M1N TH 4,389.1 (186.4) (11.3)
MONEYGRAM INTERN MGIEUR EU 4,389.1 (186.4) (11.3)
MSCI INC 3HM GR 4,997.5 (1,007.9) 497.4
MSCI INC MSCI US 4,997.5 (1,007.9) 497.4
MSCI INC 3HM QT 4,997.5 (1,007.9) 497.4
MSCI INC 3HM SW 4,997.5 (1,007.9) 497.4
MSCI INC MSCI* MM 4,997.5 (1,007.9) 497.4
MSCI INC MSCIEUR EZ 4,997.5 (1,007.9) 497.4
MSCI INC 3HM GZ 4,997.5 (1,007.9) 497.4
MSCI INC 3HM TH 4,997.5 (1,007.9) 497.4
MSCI INC MSCI AV 4,997.5 (1,007.9) 497.4
MSCI INC MSCI-RM RM 4,997.5 (1,007.9) 497.4
MSCI INC-BDR M1SC34 BZ 4,997.5 (1,007.9) 497.4
NATHANS FAMOUS NATH US 81.8 (46.0) 58.4
NATHANS FAMOUS NFA GR 81.8 (46.0) 58.4
NATHANS FAMOUS NATHEUR EU 81.8 (46.0) 58.4
NEW ENG RLTY-LP NEN US 387.8 (61.0) -
NINE ENERGY SERV NINE US 407.5 (32.1) 86.0
NINE ENERGY SERV NEJ GR 407.5 (32.1) 86.0
NINE ENERGY SERV NINE1EUR EU 407.5 (32.1) 86.0
NINE ENERGY SERV NINE1EUR EZ 407.5 (32.1) 86.0
NINE ENERGY SERV NEJ GZ 407.5 (32.1) 86.0
NINE ENERGY SERV NEJ TH 407.5 (32.1) 86.0
NINE ENERGY SERV NEJ QT 407.5 (32.1) 86.0
NOVAVAX INC NVV1 GR 2,267.4 (566.0) 92.0
NOVAVAX INC NVAX US 2,267.4 (566.0) 92.0
NOVAVAX INC NVV1 TH 2,267.4 (566.0) 92.0
NOVAVAX INC NVV1 QT 2,267.4 (566.0) 92.0
NOVAVAX INC NVAXEUR EU 2,267.4 (566.0) 92.0
NOVAVAX INC NVV1 GZ 2,267.4 (566.0) 92.0
NOVAVAX INC NVV1 SW 2,267.4 (566.0) 92.0
NOVAVAX INC NVAX* MM 2,267.4 (566.0) 92.0
NOVAVAX INC 0A3S LI 2,267.4 (566.0) 92.0
NOVAVAX INC NVV1 BU 2,267.4 (566.0) 92.0
NUTANIX INC - A NTNX US 2,357.4 (791.0) 524.3
NUTANIX INC - A 0NU GR 2,357.4 (791.0) 524.3
NUTANIX INC - A NTNXEUR EU 2,357.4 (791.0) 524.3
NUTANIX INC - A 0NU TH 2,357.4 (791.0) 524.3
NUTANIX INC - A 0NU QT 2,357.4 (791.0) 524.3
NUTANIX INC - A 0NU GZ 2,357.4 (791.0) 524.3
NUTANIX INC - A NTNXEUR EZ 2,357.4 (791.0) 524.3
NUTANIX INC - A NTNX-RM RM 2,357.4 (791.0) 524.3
NUTANIX INC-BDR N2TN34 BZ 2,357.4 (791.0) 524.3
O'REILLY AUT-BDR ORLY34 BZ 12,628.0 (1,060.8) (2,015.6)
O'REILLY AUTOMOT OM6 GR 12,628.0 (1,060.8) (2,015.6)
O'REILLY AUTOMOT ORLY US 12,628.0 (1,060.8) (2,015.6)
O'REILLY AUTOMOT OM6 TH 12,628.0 (1,060.8) (2,015.6)
O'REILLY AUTOMOT ORLY SW 12,628.0 (1,060.8) (2,015.6)
O'REILLY AUTOMOT OM6 QT 12,628.0 (1,060.8) (2,015.6)
O'REILLY AUTOMOT ORLY* MM 12,628.0 (1,060.8) (2,015.6)
O'REILLY AUTOMOT ORLYEUR EU 12,628.0 (1,060.8) (2,015.6)
O'REILLY AUTOMOT OM6 GZ 12,628.0 (1,060.8) (2,015.6)
O'REILLY AUTOMOT ORLY AV 12,628.0 (1,060.8) (2,015.6)
O'REILLY AUTOMOT ORLYEUR EZ 12,628.0 (1,060.8) (2,015.6)
O'REILLY AUTOMOT ORLY-RM RM 12,628.0 (1,060.8) (2,015.6)
OAK STREET HEALT OSH US 2,100.5 (155.6) 509.6
OAK STREET HEALT HE6 GZ 2,100.5 (155.6) 509.6
OAK STREET HEALT HE6 GR 2,100.5 (155.6) 509.6
OAK STREET HEALT OSH3EUR EU 2,100.5 (155.6) 509.6
OAK STREET HEALT HE6 TH 2,100.5 (155.6) 509.6
OAK STREET HEALT HE6 QT 2,100.5 (155.6) 509.6
OAK STREET HEALT OSH* MM 2,100.5 (155.6) 509.6
OMEROS CORP 3O8 GR 457.6 (46.3) 249.0
OMEROS CORP OMER US 457.6 (46.3) 249.0
OMEROS CORP 3O8 TH 457.6 (46.3) 249.0
OMEROS CORP OMEREUR EU 457.6 (46.3) 249.0
OMEROS CORP 3O8 QT 457.6 (46.3) 249.0
OMEROS CORP 3O8 GZ 457.6 (46.3) 249.0
ORACLE BDR ORCL34 BZ 128,469 (3,776.0) (9,545.0)
ORACLE CO-CEDEAR ORCLC AR 128,469 (3,776.0) (9,545.0)
ORACLE CO-CEDEAR ORCL AR 128,469 (3,776.0) (9,545.0)
ORACLE CO-CEDEAR ORCLD AR 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORCL US 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORC GR 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORCL* MM 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORCL TE 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORC TH 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORCL CI 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORCL SW 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORCLEUR EU 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORC QT 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORCLUSD SW 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORC GZ 128,469 (3,776.0) (9,545.0)
ORACLE CORP 0R1Z LN 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORCL AV 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORCLEUR EZ 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORCLCL CI 128,469 (3,776.0) (9,545.0)
ORACLE CORP ORCL-RM RM 128,469 (3,776.0) (9,545.0)
ORGANON & CO OGN US 10,437.0 (1,066.0) 1,264.0
ORGANON & CO 7XP TH 10,437.0 (1,066.0) 1,264.0
ORGANON & CO OGN-WEUR EU 10,437.0 (1,066.0) 1,264.0
ORGANON & CO 7XP GR 10,437.0 (1,066.0) 1,264.0
ORGANON & CO OGN* MM 10,437.0 (1,066.0) 1,264.0
ORGANON & CO 7XP GZ 10,437.0 (1,066.0) 1,264.0
ORGANON & CO 7XP QT 10,437.0 (1,066.0) 1,264.0
ORGANON & CO OGN-RM RM 10,437.0 (1,066.0) 1,264.0
OTIS WORLDWI OTIS US 9,819.0 (4,664.0) (700.0)
OTIS WORLDWI 4PG GR 9,819.0 (4,664.0) (700.0)
OTIS WORLDWI 4PG GZ 9,819.0 (4,664.0) (700.0)
OTIS WORLDWI OTISEUR EZ 9,819.0 (4,664.0) (700.0)
OTIS WORLDWI OTISEUR EU 9,819.0 (4,664.0) (700.0)
OTIS WORLDWI OTIS* MM 9,819.0 (4,664.0) (700.0)
OTIS WORLDWI 4PG TH 9,819.0 (4,664.0) (700.0)
OTIS WORLDWI 4PG QT 9,819.0 (4,664.0) (700.0)
OTIS WORLDWI OTIS AV 9,819.0 (4,664.0) (700.0)
OTIS WORLDWI OTIS-RM RM 9,819.0 (4,664.0) (700.0)
OTIS WORLDWI-BDR O1TI34 BZ 9,819.0 (4,664.0) (700.0)
PAPA JOHN'S INTL PZZA US 864.2 (269.4) (14.1)
PAPA JOHN'S INTL PP1 GR 864.2 (269.4) (14.1)
PAPA JOHN'S INTL PZZAEUR EU 864.2 (269.4) (14.1)
PAPA JOHN'S INTL PP1 GZ 864.2 (269.4) (14.1)
PAPA JOHN'S INTL PP1 TH 864.2 (269.4) (14.1)
PAPA JOHN'S INTL PP1 QT 864.2 (269.4) (14.1)
PAPAYA GROWTH -A PPYA US 296.2 280.8 0.9
PAPAYA GROWTH OP PPYAU US 296.2 280.8 0.9
PAPAYA GROWTH OP CC40 GR 296.2 280.8 0.9
PAPAYA GROWTH OP PPYAUEUR EU 296.2 280.8 0.9
PAR PACIFIC HOLD PARR US 3,107.1 (392.2) 16.9
PAR PACIFIC HOLD 61P GR 3,107.1 (392.2) 16.9
PET VALU HOLDING PET CN 697.3 (25.3) 68.9
PETRO USA INC PBAJ US - (0.1) (0.1)
PHATHOM PHARMACE PHAT US 201.9 (26.4) 174.9
PHILIP MORRI-BDR PHMO34 BZ 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PM1EUR EU 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PMI SW 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PM1 TE 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN 4I1 TH 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PM1CHF EU 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN 4I1 GR 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PM US 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PMIZ IX 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PMIZ EB 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN 4I1 QT 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN 4I1 GZ 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN 0M8V LN 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PMOR AV 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PM* MM 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PM1CHF EZ 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PM1EUR EZ 61,681.0 (6,311.0) (7,717.0)
PHILIP MORRIS IN PM-RM RM 61,681.0 (6,311.0) (7,717.0)
PLANET FITNESS I P2LN34 BZ 2,846.3 (248.1) 282.3
PLANET FITNESS-A PLNT US 2,846.3 (248.1) 282.3
PLANET FITNESS-A 3PL TH 2,846.3 (248.1) 282.3
PLANET FITNESS-A 3PL GR 2,846.3 (248.1) 282.3
PLANET FITNESS-A 3PL QT 2,846.3 (248.1) 282.3
PLANET FITNESS-A PLNT1EUR EU 2,846.3 (248.1) 282.3
PLANET FITNESS-A PLNT1EUR EZ 2,846.3 (248.1) 282.3
PLANET FITNESS-A 3PL GZ 2,846.3 (248.1) 282.3
PROS HOLDINGS IN PH2 GR 453.0 (35.5) 106.3
PROS HOLDINGS IN PRO US 453.0 (35.5) 106.3
PROS HOLDINGS IN PRO1EUR EU 453.0 (35.5) 106.3
PTC THERAPEUTICS PTCT US 1,705.6 (347.1) -
PTC THERAPEUTICS BH3 GR 1,705.6 (347.1) -
PTC THERAPEUTICS P91 TH 1,705.6 (347.1) -
PTC THERAPEUTICS P91 QT 1,705.6 (347.1) -
RAPID7 INC RPD US 1,359.0 (120.1) (21.0)
RAPID7 INC R7D GR 1,359.0 (120.1) (21.0)
RAPID7 INC RPDEUR EU 1,359.0 (120.1) (21.0)
RAPID7 INC R7D TH 1,359.0 (120.1) (21.0)
RAPID7 INC RPD* MM 1,359.0 (120.1) (21.0)
RAPID7 INC R7D GZ 1,359.0 (120.1) (21.0)
RAPID7 INC R7D QT 1,359.0 (120.1) (21.0)
REDWOODS ACQUISI RWODU US 117.2 112.6 0.3
REDWOODS ACQUISI RWOD US 117.2 112.6 0.3
REVLON INC-A REV* MM 2,520.6 (2,497.1) (6.0)
RIMINI STREET IN RMNI US 333.3 (75.4) (61.6)
RIMINI STREET IN 0QH GR 333.3 (75.4) (61.6)
RIMINI STREET IN RMNIEUR EU 333.3 (75.4) (61.6)
RIMINI STREET IN 0QH QT 333.3 (75.4) (61.6)
RINGCENTRAL IN-A RNG US 2,073.7 (283.3) 143.5
RINGCENTRAL IN-A 3RCA GR 2,073.7 (283.3) 143.5
RINGCENTRAL IN-A RNGEUR EU 2,073.7 (283.3) 143.5
RINGCENTRAL IN-A 3RCA TH 2,073.7 (283.3) 143.5
RINGCENTRAL IN-A 3RCA QT 2,073.7 (283.3) 143.5
RINGCENTRAL IN-A RNGEUR EZ 2,073.7 (283.3) 143.5
RINGCENTRAL IN-A RNG* MM 2,073.7 (283.3) 143.5
RINGCENTRAL IN-A 3RCA GZ 2,073.7 (283.3) 143.5
RINGCENTRAL-BDR R2NG34 BZ 2,073.7 (283.3) 143.5
RITE AID CORP RAD US 8,209.8 (403.7) 854.1
RITE AID CORP RTA1 GR 8,209.8 (403.7) 854.1
RITE AID CORP RTA1 TH 8,209.8 (403.7) 854.1
RITE AID CORP RTA1 QT 8,209.8 (403.7) 854.1
RITE AID CORP RADEUR EU 8,209.8 (403.7) 854.1
RITE AID CORP RTA1 GZ 8,209.8 (403.7) 854.1
SABRE CORP SABR US 4,962.9 (872.8) 545.9
SABRE CORP 19S GR 4,962.9 (872.8) 545.9
SABRE CORP 19S TH 4,962.9 (872.8) 545.9
SABRE CORP 19S QT 4,962.9 (872.8) 545.9
SABRE CORP SABREUR EU 4,962.9 (872.8) 545.9
SABRE CORP SABREUR EZ 4,962.9 (872.8) 545.9
SABRE CORP 19S GZ 4,962.9 (872.8) 545.9
SBA COMM CORP 4SB GR 10,585.0 (5,244.6) (214.0)
SBA COMM CORP SBAC US 10,585.0 (5,244.6) (214.0)
SBA COMM CORP 4SB TH 10,585.0 (5,244.6) (214.0)
SBA COMM CORP 4SB QT 10,585.0 (5,244.6) (214.0)
SBA COMM CORP SBACEUR EU 10,585.0 (5,244.6) (214.0)
SBA COMM CORP 4SB GZ 10,585.0 (5,244.6) (214.0)
SBA COMM CORP SBAC* MM 10,585.0 (5,244.6) (214.0)
SBA COMMUN - BDR S1BA34 BZ 10,585.0 (5,244.6) (214.0)
SEAGATE TECHNOLO S1TX34 BZ 7,867.0 (470.0) 356.0
SEAGATE TECHNOLO STXN MM 7,867.0 (470.0) 356.0
SEAGATE TECHNOLO STX US 7,867.0 (470.0) 356.0
SEAGATE TECHNOLO 847 GR 7,867.0 (470.0) 356.0
SEAGATE TECHNOLO 847 GZ 7,867.0 (470.0) 356.0
SEAGATE TECHNOLO STX4EUR EU 7,867.0 (470.0) 356.0
SEAGATE TECHNOLO 847 TH 7,867.0 (470.0) 356.0
SEAGATE TECHNOLO STXH AV 7,867.0 (470.0) 356.0
SEAGATE TECHNOLO 847 QT 7,867.0 (470.0) 356.0
SEAGATE TECHNOLO STH TE 7,867.0 (470.0) 356.0
SEAWORLD ENTERTA SEAS US 2,355.5 (420.3) (153.8)
SEAWORLD ENTERTA W2L GR 2,355.5 (420.3) (153.8)
SEAWORLD ENTERTA W2L TH 2,355.5 (420.3) (153.8)
SEAWORLD ENTERTA SEASEUR EU 2,355.5 (420.3) (153.8)
SEAWORLD ENTERTA W2L QT 2,355.5 (420.3) (153.8)
SEAWORLD ENTERTA W2L GZ 2,355.5 (420.3) (153.8)
SILVER SPIKE-A SPKC/U CN 128.5 (6.3) 0.5
SIRIUS XM HO-BDR SRXM34 BZ 10,022.0 (3,351.0) (1,943.0)
SIRIUS XM HOLDIN SIRI US 10,022.0 (3,351.0) (1,943.0)
SIRIUS XM HOLDIN RDO TH 10,022.0 (3,351.0) (1,943.0)
SIRIUS XM HOLDIN RDO GR 10,022.0 (3,351.0) (1,943.0)
SIRIUS XM HOLDIN RDO QT 10,022.0 (3,351.0) (1,943.0)
SIRIUS XM HOLDIN SIRIEUR EU 10,022.0 (3,351.0) (1,943.0)
SIRIUS XM HOLDIN RDO GZ 10,022.0 (3,351.0) (1,943.0)
SIRIUS XM HOLDIN SIRI AV 10,022.0 (3,351.0) (1,943.0)
SIRIUS XM HOLDIN SIRIEUR EZ 10,022.0 (3,351.0) (1,943.0)
SIX FLAGS ENTERT SIX US 2,704.1 (421.8) (212.8)
SIX FLAGS ENTERT 6FE GR 2,704.1 (421.8) (212.8)
SIX FLAGS ENTERT SIXEUR EU 2,704.1 (421.8) (212.8)
SIX FLAGS ENTERT 6FE TH 2,704.1 (421.8) (212.8)
SIX FLAGS ENTERT 6FE QT 2,704.1 (421.8) (212.8)
SKYX PLATFORMS C SKYX US 47.8 12.5 15.0
SLEEP NUMBER COR SNBR US 953.9 (438.2) (732.1)
SLEEP NUMBER COR SL2 GR 953.9 (438.2) (732.1)
SLEEP NUMBER COR SNBREUR EU 953.9 (438.2) (732.1)
SLEEP NUMBER COR SL2 TH 953.9 (438.2) (732.1)
SLEEP NUMBER COR SL2 QT 953.9 (438.2) (732.1)
SLEEP NUMBER COR SL2 GZ 953.9 (438.2) (732.1)
SMILEDIRECTCLUB SDC* MM 631.8 (321.9) 190.3
SPIRIT AEROSYS-A S9Q GR 6,666.2 (243.8) 1,205.8
SPIRIT AEROSYS-A SPR US 6,666.2 (243.8) 1,205.8
SPIRIT AEROSYS-A S9Q TH 6,666.2 (243.8) 1,205.8
SPIRIT AEROSYS-A SPREUR EU 6,666.2 (243.8) 1,205.8
SPIRIT AEROSYS-A S9Q QT 6,666.2 (243.8) 1,205.8
SPIRIT AEROSYS-A SPREUR EZ 6,666.2 (243.8) 1,205.8
SPIRIT AEROSYS-A S9Q GZ 6,666.2 (243.8) 1,205.8
SPIRIT AEROSYS-A SPR-RM RM 6,666.2 (243.8) 1,205.8
SPLUNK INC SPLK US 5,251.3 (569.6) 525.9
SPLUNK INC S0U GR 5,251.3 (569.6) 525.9
SPLUNK INC S0U TH 5,251.3 (569.6) 525.9
SPLUNK INC S0U QT 5,251.3 (569.6) 525.9
SPLUNK INC SPLK SW 5,251.3 (569.6) 525.9
SPLUNK INC SPLKEUR EU 5,251.3 (569.6) 525.9
SPLUNK INC SPLK* MM 5,251.3 (569.6) 525.9
SPLUNK INC SPLKEUR EZ 5,251.3 (569.6) 525.9
SPLUNK INC S0U GZ 5,251.3 (569.6) 525.9
SPLUNK INC SPLK-RM RM 5,251.3 (569.6) 525.9
SPLUNK INC - BDR S1PL34 BZ 5,251.3 (569.6) 525.9
SPRING VALLEY AC SVIIU US 0.7 (0.0) (0.7)
SPRING VALLEY AC SVII US 0.7 (0.0) (0.7)
SQUARESPACE IN-A SQSP US 962.8 (62.1) (98.7)
SQUARESPACE IN-A 8DT GR 962.8 (62.1) (98.7)
SQUARESPACE IN-A 8DT GZ 962.8 (62.1) (98.7)
SQUARESPACE IN-A SQSPEUR EU 962.8 (62.1) (98.7)
SQUARESPACE IN-A 8DT TH 962.8 (62.1) (98.7)
SQUARESPACE IN-A 8DT QT 962.8 (62.1) (98.7)
STARBUCKS CORP SBUX US 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUX* MM 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SRB TH 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SRB GR 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUX CI 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUX SW 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SRB QT 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUX PE 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUXUSD SW 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SRB GZ 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUX AV 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUX TE 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUXEUR EU 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUX IM 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUXEUR EZ 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP 0QZH LI 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUX-RM RM 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUXCL CI 28,256.1 (8,665.9) (2,311.3)
STARBUCKS CORP SBUX_KZ KZ 28,256.1 (8,665.9) (2,311.3)
STARBUCKS-BDR SBUB34 BZ 28,256.1 (8,665.9) (2,311.3)
STARBUCKS-CEDEAR SBUX AR 28,256.1 (8,665.9) (2,311.3)
STARBUCKS-CEDEAR SBUXD AR 28,256.1 (8,665.9) (2,311.3)
TABULA RASA HEAL TRHC US 403.8 (31.7) 81.8
TABULA RASA HEAL TRHCEUR EU 403.8 (31.7) 81.8
TABULA RASA HEAL 43T TH 403.8 (31.7) 81.8
TABULA RASA HEAL 43T GZ 403.8 (31.7) 81.8
TEMPUR SEALY INT TPD GR 4,359.8 (12.3) 214.0
TEMPUR SEALY INT TPX US 4,359.8 (12.3) 214.0
TEMPUR SEALY INT TPXEUR EU 4,359.8 (12.3) 214.0
TEMPUR SEALY INT TPD TH 4,359.8 (12.3) 214.0
TEMPUR SEALY INT TPD GZ 4,359.8 (12.3) 214.0
TEMPUR SEALY INT T2PX34 BZ 4,359.8 (12.3) 214.0
TEMPUR SEALY INT TPX-RM RM 4,359.8 (12.3) 214.0
TRANSDIGM - BDR T1DG34 BZ 18,489.0 (3,328.0) 4,521.0
TRANSDIGM GROUP T7D GR 18,489.0 (3,328.0) 4,521.0
TRANSDIGM GROUP TDG US 18,489.0 (3,328.0) 4,521.0
TRANSDIGM GROUP T7D QT 18,489.0 (3,328.0) 4,521.0
TRANSDIGM GROUP TDGEUR EU 18,489.0 (3,328.0) 4,521.0
TRANSDIGM GROUP T7D TH 18,489.0 (3,328.0) 4,521.0
TRANSDIGM GROUP TDG* MM 18,489.0 (3,328.0) 4,521.0
TRANSDIGM GROUP TDGEUR EZ 18,489.0 (3,328.0) 4,521.0
TRANSDIGM GROUP TDG-RM RM 18,489.0 (3,328.0) 4,521.0
TRAVEL + LEISURE WD5A GR 6,757.0 (904.0) 903.0
TRAVEL + LEISURE TNL US 6,757.0 (904.0) 903.0
TRAVEL + LEISURE WD5A TH 6,757.0 (904.0) 903.0
TRAVEL + LEISURE WD5A QT 6,757.0 (904.0) 903.0
TRAVEL + LEISURE WYNEUR EU 6,757.0 (904.0) 903.0
TRAVEL + LEISURE 0M1K LI 6,757.0 (904.0) 903.0
TRAVEL + LEISURE WD5A GZ 6,757.0 (904.0) 903.0
TRAVEL + LEISURE TNL* MM 6,757.0 (904.0) 903.0
TRIUMPH GROUP TG7 GR 1,597.3 (688.1) 453.2
TRIUMPH GROUP TGI US 1,597.3 (688.1) 453.2
TRIUMPH GROUP TGIEUR EU 1,597.3 (688.1) 453.2
TRIUMPH GROUP TG7 TH 1,597.3 (688.1) 453.2
TUPPERWARE BRAND TUP US 1,053.6 (175.4) 108.1
TUPPERWARE BRAND TUP GR 1,053.6 (175.4) 108.1
TUPPERWARE BRAND TUP QT 1,053.6 (175.4) 108.1
TUPPERWARE BRAND TUP GZ 1,053.6 (175.4) 108.1
TUPPERWARE BRAND TUP TH 1,053.6 (175.4) 108.1
TUPPERWARE BRAND TUP1EUR EU 1,053.6 (175.4) 108.1
TUPPERWARE BRAND TUP1EUR EZ 1,053.6 (175.4) 108.1
UBIQUITI INC 3UB GR 1,268.7 (248.0) 530.1
UBIQUITI INC UI US 1,268.7 (248.0) 530.1
UBIQUITI INC UBNTEUR EU 1,268.7 (248.0) 530.1
UBIQUITI INC 3UB TH 1,268.7 (248.0) 530.1
UNITI GROUP INC UNIT US 4,811.0 (2,260.2) -
UNITI GROUP INC 8XC GR 4,811.0 (2,260.2) -
UNITI GROUP INC 8XC TH 4,811.0 (2,260.2) -
UNITI GROUP INC 8XC GZ 4,811.0 (2,260.2) -
UROGEN PHARMA LT URGN US 128.5 (63.3) 102.6
UROGEN PHARMA LT UR8 GR 128.5 (63.3) 102.6
UROGEN PHARMA LT URGNEUR EU 128.5 (63.3) 102.6
VECTOR GROUP LTD VGR GR 1,049.3 (823.3) 281.6
VECTOR GROUP LTD VGR US 1,049.3 (823.3) 281.6
VECTOR GROUP LTD VGR QT 1,049.3 (823.3) 281.6
VECTOR GROUP LTD VGREUR EU 1,049.3 (823.3) 281.6
VECTOR GROUP LTD VGREUR EZ 1,049.3 (823.3) 281.6
VECTOR GROUP LTD VGR TH 1,049.3 (823.3) 281.6
VECTOR GROUP LTD VGR GZ 1,049.3 (823.3) 281.6
VERISIGN INC VRS TH 1,733.4 (1,562.2) (78.2)
VERISIGN INC VRS GR 1,733.4 (1,562.2) (78.2)
VERISIGN INC VRSN US 1,733.4 (1,562.2) (78.2)
VERISIGN INC VRS QT 1,733.4 (1,562.2) (78.2)
VERISIGN INC VRSNEUR EU 1,733.4 (1,562.2) (78.2)
VERISIGN INC VRS GZ 1,733.4 (1,562.2) (78.2)
VERISIGN INC VRSN* MM 1,733.4 (1,562.2) (78.2)
VERISIGN INC VRSNEUR EZ 1,733.4 (1,562.2) (78.2)
VERISIGN INC VRSN-RM RM 1,733.4 (1,562.2) (78.2)
VERISIGN INC-BDR VRSN34 BZ 1,733.4 (1,562.2) (78.2)
VERISIGN-CEDEAR VRSN AR 1,733.4 (1,562.2) (78.2)
VIVINT SMART HOM VVNT US 2,959.0 (1,740.2) (528.4)
W&T OFFSHORE INC WTI US 1,490.3 (55.0) 229.8
W&T OFFSHORE INC UWV GR 1,490.3 (55.0) 229.8
W&T OFFSHORE INC WTI1EUR EU 1,490.3 (55.0) 229.8
W&T OFFSHORE INC UWV TH 1,490.3 (55.0) 229.8
W&T OFFSHORE INC UWV GZ 1,490.3 (55.0) 229.8
WAYFAIR INC- A W US 3,580.0 (2,550.0) (139.0)
WAYFAIR INC- A 1WF GR 3,580.0 (2,550.0) (139.0)
WAYFAIR INC- A 1WF TH 3,580.0 (2,550.0) (139.0)
WAYFAIR INC- A WEUR EU 3,580.0 (2,550.0) (139.0)
WAYFAIR INC- A 1WF QT 3,580.0 (2,550.0) (139.0)
WAYFAIR INC- A WEUR EZ 3,580.0 (2,550.0) (139.0)
WAYFAIR INC- A 1WF GZ 3,580.0 (2,550.0) (139.0)
WAYFAIR INC- A W* MM 3,580.0 (2,550.0) (139.0)
WAYFAIR INC- BDR W2YF34 BZ 3,580.0 (2,550.0) (139.0)
WEBER INC - A WEBR US 1,560.3 (504.4) (0.9)
WEWORK INC-CL A WE* MM 17,863.0 (3,455.0) (1,541.0)
WINGSTOP INC WING US 424.2 (390.9) 164.3
WINGSTOP INC EWG GR 424.2 (390.9) 164.3
WINGSTOP INC WING1EUR EU 424.2 (390.9) 164.3
WINGSTOP INC EWG GZ 424.2 (390.9) 164.3
WINMARK CORP WINA US 33.7 (60.4) 9.6
WINMARK CORP GBZ GR 33.7 (60.4) 9.6
WW INTERNATIONAL WW US 1,092.8 (659.5) 89.8
WW INTERNATIONAL WW6 GR 1,092.8 (659.5) 89.8
WW INTERNATIONAL WW6 TH 1,092.8 (659.5) 89.8
WW INTERNATIONAL WTWEUR EU 1,092.8 (659.5) 89.8
WW INTERNATIONAL WW6 QT 1,092.8 (659.5) 89.8
WW INTERNATIONAL WW6 GZ 1,092.8 (659.5) 89.8
WW INTERNATIONAL WTW AV 1,092.8 (659.5) 89.8
WW INTERNATIONAL WTWEUR EZ 1,092.8 (659.5) 89.8
WW INTERNATIONAL WW-RM RM 1,092.8 (659.5) 89.8
WYNN RESORTS LTD WYR GR 11,779.3 (1,597.0) 688.4
WYNN RESORTS LTD WYNN* MM 11,779.3 (1,597.0) 688.4
WYNN RESORTS LTD WYNN US 11,779.3 (1,597.0) 688.4
WYNN RESORTS LTD WYR TH 11,779.3 (1,597.0) 688.4
WYNN RESORTS LTD WYNN SW 11,779.3 (1,597.0) 688.4
WYNN RESORTS LTD WYR QT 11,779.3 (1,597.0) 688.4
WYNN RESORTS LTD WYNNEUR EU 11,779.3 (1,597.0) 688.4
WYNN RESORTS LTD WYR GZ 11,779.3 (1,597.0) 688.4
WYNN RESORTS LTD WYNNEUR EZ 11,779.3 (1,597.0) 688.4
WYNN RESORTS LTD WYNN-RM RM 11,779.3 (1,597.0) 688.4
WYNN RESORTS-BDR W1YN34 BZ 11,779.3 (1,597.0) 688.4
YUM! BRANDS -BDR YUMR34 BZ 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC YUM US 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC TGR GR 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC TGR TH 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC YUMEUR EU 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC TGR QT 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC YUM SW 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC YUMUSD SW 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC TGR GZ 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC YUM* MM 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC YUM AV 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC YUMEUR EZ 5,846.0 (8,876.0) (56.0)
YUM! BRANDS INC YUM-RM RM 5,846.0 (8,876.0) (56.0)
*********
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.
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*** End of Transmission ***