/raid1/www/Hosts/bankrupt/TCR_Public/231107.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, November 7, 2023, Vol. 27, No. 310
Headlines
11824 OCEAN PARK: Court OKs Deal on Cash Collateral Access
511 SEAWARD: Amends Disclosures to Address Objections
962 972 BUSHWICK: Voluntary Chapter 11 Case Summary
A1 PROPERTIES: Court OKs Interim Cash Collateral Access
AGWAY FARM: Amends Unsecured Claims Pay Details
AIR METHODS: Davis Polk Advises Lenders, Noteholders in Ch. 11
AMERICAN PHYSICIAN: Court OKs Cash Collateral Access on Final Basis
APPS INC: Seeks Cash Collateral Access Thru Dec 2
AQUABOUNTY TECHNOLOGIES: Regains Compliance With Nasdaq Rule
CACTUS LAND: Case Summary & 17 Unsecured Creditors
CANO HEALTH: Consummates 1-for-100 Reverse Stock Split
CANOPY GROWTH: Inks 4th Amendment to Acreage Share Exchange Deal
CARVANA CO: Posts $741 Million Net Income in Third Quarter
CEDAR FAIR: S&P Places 'BB-' ICR on CreditWatch Positive
CIDARA THERAPEUTICS: Posts $8.2 Million Net Loss in Third Quarter
CLOVER FAST FOOD: Seeks Cash Collateral Access Thru Dec 31
CONNECT HOLDING II: Moody's Cuts CFR to Caa1, Outlook Neg.
CURO GROUP: Incurs $104.4 Million Net Loss in Third Quarter
DIVERSIFIED HEALTHCARE: Incurs $65.8M Net Loss in Third Quarter
ENERGY HARBOR: Fitch Retains 'BB+' LongTerm IDR on Watch Negative
ENVISION HEALTHCARE: Exits Financial Restructuring Process
FIRST BRANDS: Fitch Alters Outlook on BB- LongTerm IDR to Negative
FIRST BRANDS: Moody's Rates New EUR First Lien Term Loan 'B1'
GIGA-TRONICS INC: Chief Operating Officer Resigns
GOODYEAR TIRE: Moody's Affirms B1 CFR & Alters Outlook to Negative
HARBOR SPRINGS: S&P Rates 2023A/2023B Revenue Bonds 'BB+'
HAWAIIAN HOLDINGS: Moody's Lowers CFR to Caa1, Outlook Negative
HELIUS MEDICAL: Columbus Capital Acquires 9.6% Stake
HELIUS MEDICAL: To Release Q3 2023 Financial Results on Nov. 9
HILCORP ENERGY: S&P Rates New $500MM Senior Unsecured Notes 'BB+'
HOVNANIAN ENTERPRISES: S&P Affirms 'B-' Issuer Credit Rating
HUDSON RIVER TRADING: Moody's Alters Outlook on Ba2 CFR to Stable
IN-POWER MOTORS: Voluntary Chapter 11 Case Summary
KIDDE-FENWAL: Saccullo & Kelley Update List of Government Claimants
LEXARIA BIOSCIENCE: Regains Compliance With Nasdaq Bid Price Rule
LIVINGSTON TOWNSHIP: Case Summary & Two Unsecured Creditors
LSRM PROPERTY: Case Summary & Five Unsecured Creditors
LUMEN TECHNOLOGIES: Closes Sale of EMEA Business to Colt for $1.8B
LUMEN TECHNOLOGIES: Fitch Lowers LongTerm IDR to 'CCC-'
M.V.J. AUTO: Court OKs Cash Collateral Access Thru Jan 2024
MALACHITE INNOVATIONS: Signs Warrant Exchange Agreements
MEDNOW INC: Placed Into Receivership by BC Supreme Court
MEP INFRASTRUCTURE: Court OKs Cash Collateral Access Thru Nov 30
MERCY HOSPITAL: U.S. Trustee Appoints Pensioners' Committee
MXP OPERATING: Kennedy Firm Represents Committee of Trade Creditors
NATIONAL JEWISH HEALTH: S&P Affirms 'BB+' Long-Term Bonds Rating
NAVIENT CORP: Fitch Gives BB-(EXP) Rating on $500MM Unsec. Notes
NEWELL BRANDS: Fitch Lowers LongTerm IDR to 'B+', Outlook Stable
NEXUS BUYER: S&P Alters Outlook to Positive, Affirms 'B-' ICR
OPEN COURT: Property Sale Proceeds to Fund Plan
OSG HOLDINGS: Paul Hastings Represents First Lien Lenders
OUTLOOK THERAPEUTICS: Provides Update on Type A Meetings With FDA
P & P ENTERPRISES: Court OKs Cash Collateral Access Thru Nov 10
PERMIAN RESOURCES: Fitch Hikes LongTerm IDR to 'BB', Outlook Pos.
PLAINS END: Fitch Affirms 'BB+' Rating on Senior Secured Bonds
PROS HOLDINGS: Incurs $13.9 Million Net Loss in Third Quarter
REMARK HOLDINGS: Gets Delisting Notice From Nasdaq
REVOLVE CONSTRUCTION: Unsecureds Will Get 17% of Claims in Plan
RITE AID: A&G Plans to Sell Additional Pharmacy Leases
RITE AID: U.S. Trustee Appoints Creditors' Committee
RITE AID: U.S. Trustee Appoints Tort Claimants' Committee
ROBS BAR: Unsecureds Will Get 100% of Claims over 5 Years
SIX FLAGS: S&P Places 'B+' ICR on CreditWatch Positive
SURGE TRANSPORTATION: Alexander, Winton Files Rule 2019 Statement
SURGE TRANSPORTATION: Baxter Bailey Files Rule 2019 Statement
TACORA RESOURCES: Moody's Cuts PDR to 'D-PD' Amid Bankruptcy Filing
TACORA RESOURCES: To Sell Assets Under CCAA Proceedings
THERATECHNOLOGIES INC: Closes US$25M Stock Offerings
TITAN CONCRETE: Penachio Malara Files Rule 2019 Statement
TRICORD BUSINESS: Unsecureds to Get Share of Income for 3 Years
TROIKA MEDIA: Regains Compliance With Nasdaq Listing Requirement
UNCONDITIONAL LOVE: U.S. Trustee Appoints Creditors' Committee
UNITY ELECTRICAL: Unsecureds to Get $500 per Month for 60 Months
UPHEALTH HOLDINGS: U.S. Trustee Appoints Creditors' Committee
VERDE PURCHASER: S&P Assigns 'B+' ICR, Outlook Stable
VITAL PHARMACEUTICALS: McGuireWoods Advises 3 Suppliers
VTV THERAPEUTICS: Gets $4.4M Proceeds From Sale of Reneo Shares
WALDON ENTERPRISES: Unsecureds to Recover 8.3% over 60 Months
YELLOW CORP: Receives Approval of Rolling Stock Agency Agreement
YEP COMMERCE: Voluntary Chapter 11 Case Summary
YIELD10 BIOSCIENCE: Inks Non-Binding Partnership Deal With BioMar
[*] 24 Nixon Peabody Practices Get Best Lawyers Tier 1 Rankings
[*] Jay Goffman, Steve Smith Launch Restructuring Advisory Firm
[] McDonald Hopkins Among Best Lawyers' 2023 Top Law Firms List
[^] Large Companies with Insolvent Balance Sheet
*********
11824 OCEAN PARK: Court OKs Deal on Cash Collateral Access
----------------------------------------------------------
The U.S. Bankruptcy Court for the Central District of California,
Los Angeles Division, authorized 11824 Ocean Park Partners LLC to
use cash collateral on an interim basis in accordance with its
agreement with Calcap Income Fund I, LLC.
As previously reported by the Troubled Company Reporter, CALCAP's
predecessor and the Debtor entered into a Loan and Security
Agreement on July 23, 2021, extending a construction loan of $4.350
million. The Debtor executed a Deed of Trust, Assignment of Leases
and Rents, Fixture Filing and Security Agreement to secure the
obligations owed. The Deed of Trust encumbers the real property
with a first-priority lien and pledges all personal property
associated with the property and its construction. All rights,
title, and interest under the Loan Documents were assigned to
CALCAP on April 18, 2023.
The parties agreed that the Debtor may use cash collateral for the
maintenance, operation and construction of the Property commonly
known as 11824 Ocean Park Blvd, Los Angeles, California 90064.
The Debtor's right to use cash collateral will continue through and
including December 14, 2023, the continued hearing date on the
Motion, according to the terms set forth in the stipulation, unless
the right terminates earlier upon the occurrence of a Default as
defined in the Stipulation, following written notice and a three
day cure period.
As adequate protection, the Debtor agreed to pay CALCAP the amount
of $10,000 per month, on November 1, 2023 and December 1, 2023.
The Debtor's rights to use cash collateral will terminate upon the
occurrence of any of the following events:
a. The Court's determination that the Debtor committed an event of
Default that was not timely cured;
b. Entry of an order (i) granting any creditor other than CALCAP
relief from the automatic stay to exercise any rights which may
impair CALCAP's collateral under any of the Loan Documents, (ii)
converting the case to Chapter 7, (iii) dismissing the case, or
(iv) appointing a trustee; and
c. the Debtor's failure to maintain insurance as required.
A further hearing on the matter is set for December 14 at 11:30
a.m.
A copy of the order is available at https://urlcurt.com/u?l=bH3lDI
from PacerMonitor.com.
About 11824 Ocean Park Partners, LLC
11824 Ocean Park Partners LLC in Los Angeles, CA, filed its
voluntary petition for Chapter 11 protection (Bankr. C.D. Cal. Case
No. 23-16465) on October 3, 2023, listing as much as $1 million to
$10 million in both assets and liabilities. Ronald L. Meer as
president of Bear Capital Partners, Inc., the Managing Member of
Ocean Park Manager, LLC, the Managing Member of the Debtor, signed
the petition.
Judge Deborah J. Saltzman oversees the case.
RHM LAW, LLP serve as the Debtor's legal counsel.
511 SEAWARD: Amends Disclosures to Address Objections
-----------------------------------------------------
511 Seaward LLC filed omnibus reply to the objections to Debtor's
Motion for Order Approving Debtor's Disclosure Statement Describing
Chapter 11 Plan of Liquidation.
The Debtor responds to the objections of: (1) Brandy Valdez and
Arnold Valdez as Trustees of the Arnold and Brandy Valdez Family
Trust ("Valdezes"), (2) Shahla Melamed ("Melamed"), and (3) West
Coast Servicing, Inc. ("WCS" (collectively, the "Objecting
Parties"). The Debtor is currently preparing a redlined and clean
version of the Disclosure Statement Describing Chapter 11 Plan of
Liquidation and Chapter 11 Plan of Liquidation Dated.
The Debtor points out that the objection to the Disclosure
Statement raised by Malamed is a lack of disclosure regarding the
four liens on the Property other than the lien held by WCS based
upon Malamed's naked assumption that the liens are fraudulent
conveyances. While the Debtor disputes any assertion that the liens
held by the four junior lienholders are fraudulent in any manner,
the Debtor is amending the Disclosure Statement at Section II.A
"Debtor's Business Operations," which already lists the various
liens on the Property, to provide additional information regarding
the formation of the Debtor and the funds that were put in by each
of the four lienholders, which were actual funds received by the
Debtor and used by the Debtor for things including, but not limited
to, mortgage payments, removal of the original structure on the
Property, grading, and other construction related costs. The Debtor
had already disclosed the recordation dates of the liens in its
amended Schedule D but will also include this information in the
amended disclosure statement.
The Debtor further points out that the Valdezes take issue with the
fact that the Disclosure Statement lists the value of the Property
at $3,000,000 indicating that more information is needed as to the
how this valuation was obtained. As evidenced in their own
Objection, the number was derived from the Debtor's schedules and
the number in the schedules was derived from comparable sales. The
Debtor is allowed to rely on its own schedules as evidence of the
Property's value. The listing price of $2,995,000 was derived by
the Debtor's brokers as the market value of the Property. The fair
market value of the Property will ultimately be determined by what
a buyer will be willing to pay for the Property and that will be
presented to the Court and creditors through a separately filed
sale motion. It is not necessary for the Debtor to obtain an
appraisal or provide different valuations of the Property such as
if it were fully entitled and developed (as the Debtor is not
completing construction) in order to provide sufficient information
in the Disclosure Statement as to the value of the Property.
The Debtor asserts that the Valdezes object that the Disclosure
Statement does not describe its claims against various third
parties in sufficient detail. The Debtor did describe its
cross-claims in the litigation section of the Disclosure Statement
at Section C.1.4. Those claims are essentially dependent on a court
finding the Debtor liable on the underlying litigation, which has
not occurred. As that has not happened to date, providing a
monetary value on the claims would be difficult, if not impossible.
The Debtor is willing to provide more detail as to the allegations
in the cross-complaint in the Disclosure Statement. The other
claims described in the Objection are theoretical at this time. The
Debtor has provided in the Disclosure Statement that all claims
will be preserved for the estate. To the extent necessary, the
Debtor is willing to amend the Disclosure Statement to provide that
the proceeds of future litigation will be used to repay general
unsecured creditors. This would encompass any alleged claims that
the Valdezes believe exist against insurance or bonds.
The Debtor cannot provide any further disclosures in good faith as
to the estimated recovery by general unsecured creditors. The
Property has a value of $3,000,000 and is being listed at
$2,995,000. The Debtor currently has an offer at $2,500,000. The
secured classes clearly indicate that there is more secured debt
than the value of the Property. The Debtor can amend the Disclosure
Statement and Plan to provide that the estimated recovery by
general unsecured creditors will be $0 although the Debtor is
attempting to work a carve-out to provide some distribution greater
than $0. What that carve-out will be is unknown and to put a value
on it would be misleading to creditors.
The Debtor has addressed above the amendments that it will make
regarding the liens from the insiders. The same arguments as to
both Malamed and the Valdezes equally apply to this objection
raised by WCS. The only additional point to be made here is to
correct the error of WCS that the Property was always a vacant
piece of land, which it should know as it is the senior secured
lender. The Debtor demolished the original construction on the
Property and was beginning to grade and bring in other construction
materials and there were other costs by which the monies funded by
the other secured entities were used.
The Debtor did indicate to WCS that it was unnecessary for the
Debtor to provide additional documentation as to plan, permits, and
other approvals as part of the plan process because no such
representations were being made to any potential purchasers. The
discrepancy between whether such plans had been approved by the HOA
or not and what that would even entitle the Debtor or future
purchaser to do with the Property was in dispute and the Debtor was
not making any representations or warranties regarding the same.
The fact that there was a point of dispute does not mean that there
are claims that the Debtor now needs to disclose. When developing
the value for the Property, the Debtor's brokers took into
consideration the existence, or lack thereof of these entitlements
and came up with a market value of $2,995,000. Further disclosure
of these issues will not assist in WCS deciding to vote for or
against the Plan. It is the senior secured lien and there is equity
above its lien. It will be paid in full through the sale. No
additional disclosures will change this. WCS does not have the
standing to raise issues on behalf of other creditors and this is
an issue that does not affect the distribution to WCS or its rights
under the Plan.
The Debtor was authorized to employ its broker on August 9, 2023.
The Disclosure Statement was filed on August 10, 2023. To the
extent that additional information on marketing efforts would
assist WCS in determining whether to vote for or against a plan
that will pay its lien in full, the Debtor is amending the Plan to
provide additional information on marketing efforts. Again, with
this particular objection, WCS is raising issues on behalf of
creditors other than itself – "this information is of critical
importance for creditors to determine how to vote . . ." -- not for
WCS to vote, but others. No other creditor has raised this as an
issue for approval of the Disclosure Statement.
The Debtor points out that the Plan does not contain a deadline by
which the Debtor has to sell the Property, but by no means is it
the Debtor's intention to hold creditors hostage by holding onto
the Property for any indefinite period of time. The Debtor is
seeking to sell the Property as soon as possible and to exit this
case. Nor is it the Debtor's intention to obtain an injunction,
other than as is allowed under the Bankruptcy Code, that would
restrict any creditor from pursuing its rights as would be
permitted under the Plan or law. Because the sale of the Property
is not actually occurring through the Plan, but instead the sale
will occur and the proceeds distributed through the Plan, the
Effective Date of the Plan cannot be simply 15 days after the entry
of the confirmation order. Based upon timing the sale may occur
well before the confirmation date and creditors may already be paid
pursuant to Court order or the confirmation hearing may occur prior
to the sale in which case, the Debtor would automatically be in
default because it could not make its effective date payments.
The Debtor further points out that much of this argument is spent
on whether the Debtor has properly identified the Debtor's insiders
in various documents filed with the Court. It is not a basis for
finding that the Plan is patently unconfirmable and as provided
above, the Debtor is providing additional information as to the
insider loans and revising classes 2-5. If there are additional
documents that need to be amended, which are irrelevant to the
Disclosure Statement process and plan confirmation, the Debtor will
review the filings and file amendments where necessary.
The Debtor asserts that WCS is legally incorrect in its analysis of
whether the sale of the Property can be accomplished under 11
U.S.C. s 363(f). First, although not mentioned by WCS, the Debtor
will be able to satisfy the requirements of § 363(b). As to
whether the sale can be free and clear of liens, WCS limits its
argument to only one subsection of s 363(f), that of s 363(f)(3),
that the purchase price is more than the total of the liens. The
Debtor can satisfy WCS's lien under this subsection because even
the current offer will pay its lien in full. As for the junior
liens, the Debtor will argue both Sec. 363(f)(2), consent of the
secured creditors, and Sec. 363(f)(5), that the entity could be
compelled to accept a money judgment. There is no legal requirement
under the Bankruptcy Code that a disclosure statement and plan
include the legal predicates for a sale of the Property. The sale
is not being approved as part of the Plan, but instead a separate
sale motion will be filed wherein the legal authorities and
argument will be subsumed. The Debtor is not required to include
the express consent of the lienholders or any other argument.
Attorneys for 511 Seaward LLC:
David M. Goodrich, Esq.
Beth E. Gaschen, Esq.
GOLDEN GOODRICH LLP
3070 Bristol Street, Suite 640
Costa Mesa, California 92626
Telephone 714-966-1000
Facsimile 714-966-1002
E-mail: dgoodrich@go2.law
bgaschen@go2.law
About 511 Seaward
511 Seaward, LLC, which is engaged in activities related to real
estate, sought Chapter 11 protection (Bankr. C.D. Cal. Case No.
23-10994) on May 12, 2023. The company is based in Newport Beach,
Calif. with as much as $1 million to $10 million in both assets and
liabilities. Robert Montgomery as managing member, signed the
petition. Golden Goodrich, LLP, serves as the Debtor's legal
counsel.
962 972 BUSHWICK: Voluntary Chapter 11 Case Summary
---------------------------------------------------
Debtor: 962 972 Bushwick Ave LLC
1828 61st Street
Brooklyn NY 11204
Business Description: The Debtor is engaged in activities related
to real estate.
Chapter 11 Petition Date: November 6, 2023
Court: United States Bankruptcy Court
Eastern District of New York
Case No.: 23-44074
Judge: Hon. Elizabeth S Stong
Debtor's Counsel: Isaac Nutovic, Esq.
LAW OFFICES OF ISAAC NUTOVIC
261 Madison Avenue, 26th Floor
NY, NY 10016
Tel: 917-922-7963
Email: inutovic@nutovic.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by David Greenfield as managing member.
The Debtor failed to include in the petition a list of its 20
largest unsecured creditors.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/7QPV76Q/962_972_Bushwick_Ave_LLC__nyebke-23-44074__0001.0.pdf?mcid=tGE4TAMA
A1 PROPERTIES: Court OKs Interim Cash Collateral Access
-------------------------------------------------------
The U.S. Bankruptcy Court for the Western District of Missouri,
Kansas City, authorized A1 Properties KC LLC, Inc. to use cash
collateral on an interim basis in accordance with the budget.
While Debtor has not fully analyzed all of its creditors' liens,
the Debtor believes that the US Small Business Administration holds
duly perfected liens on its accounts receivables, inventory, and
accounts.
The US Small Business Administration claims a secured interest in
cash collateral by virtue of UCC-1 filing on June 27, 2020.
The Debtor is directed to pay $326 per month to the SBA beginning
November 28, 2023 and the 28th of each month until further Order of
the Court.
As further adequate protection, the SBA is granted replacement
security interests in, and liens on, all post-Petition Date
acquired property of the Debtor and the Debtor's bankruptcy
estate.
The Debtor will continue to maintain adequate and sufficient
insurance on all its property and assets. The Debtor will timely
file all post-petition tax returns and will make timely deposits of
all post-petition taxes.
A final hearing on the matter is set for November 16, 20023 at 9
a.m.
A copy of the order is available at https://urlcurt.com/u?l=5thkEv
from PacerMonitor.com.
About A1 Properties KC LLC, Inc.
A1 Properties KC LLC, Inc. sought protection under Chapter 11 of
the U.S. Bankruptcy Code (Bankr. W.D. Mo. Case No. 23-41518-btf11)
on October 30, 2023. In the petition signed by William Moore,
owner, the Debtor disclosed up to $10,000 in assets and up to $1
million in liabilities.
Judge Brian T. Fenimore oversees the case.
Colin Gotham, Esq., at Evans & Mullinix, P.A., represents the
Debtor as legal counsel.
AGWAY FARM: Amends Unsecured Claims Pay Details
-----------------------------------------------
Agway Farm & Home Supply, LLC, submitted a Combined Disclosure
Statement and Joint Plan of Liquidation dated October 26, 2023.
The Debtor's goals in the chapter 11 case have been to sell
substantially all of its assets, complete the wind-down of its
business, collect on outstanding receivables, address pending
claims, including litigation claims, and make distributions to
creditors as efficiently as possible through the liquidating Plan.
The Plan provides for a Plan Administrator to liquidate, collect,
sell, or otherwise dispose of the remaining assets of the Debtor's
bankruptcy estate (the "Estate") (including, without limitation,
certain causes of action), if and to the extent such assets were
not previously monetized to Cash or otherwise transferred or
disposed of by the Debtor prior to the Effective Date, and then to
distribute all net proceeds to creditors generally in accordance
with the priority scheme under the Bankruptcy Code, subject to the
terms of the Plan.
Class 3 consists of all Unsecured Claims. Each Holder of an Allowed
Class 3 Claim shall receive a Pro Rata share of Available Cash
after the payment of Professional Fee Claims, Administrative
Claims, Priority Tax Claims, Priority Non-Tax Claims, Other Secured
Claims, and expenses related to the wind-down of the Debtor, as
determined by the Plan Administrator, in exchange for their Allowed
Claims. Unsecured Claims are subject to all statutory, equitable,
and contractual subordination claims, rights, and grounds available
to the Debtor, the Estate, and pursuant to the Plan, the Plan
Administrator, which subordination claims, rights, and grounds are
fully enforceable prior to, on, and after the Effective Date.
Class 3 is Impaired, and the Holders thereof are entitled to vote
on the Plan. Unsecured Claims, estimated amount $46 million but
expected to be reduced after objections to certain Class 3 Claims.
This Class will receive a distribution of 6% to 14% of their
allowed claims.
Class 4 consists of all Interests. There shall be no Distribution
on account of Class 4 Interests. Upon the Effective Date, all
Interests will be deemed cancelled and will cease to exist.
Available Cash shall be used to fund distributions to Creditors
(including holders of Allowed Administrative Claims, Priority Tax
Claims, Priority Non-Tax Claims, Other Secured Claims and Unsecured
Claims) or other payments to be made pursuant to or otherwise
consistent with the Plan. On the Effective Date, the Debtor expects
to have approximately $6 million Cash on hand.
A full-text copy of the Combined Disclosure Statement and Joint
Plan dated October 26, 2023 is available at
https://urlcurt.com/u?l=It7gar from Stretto, Inc., the claims
agent.
Counsel for Debtor and Debtor in Possession:
Jeffrey R. Waxman, Esq.
Brya M. Keilson, Esq.
MORRIS JAMES LLP
500 Delaware Avenue; Suite 1500
Wilmington, DE 19801
Telephone: (302) 888-6800
Facsimile: (302) 571-1750
E-mail: jwaxman@morrisjames.com
bkeilson@morrisjames.com
- and -
Alan J. Friedman, Esq.
Melissa Davis Lowe, Esq.
SHULMAN BASTIAN FRIEDMAN & BUI LLP
100 Spectrum Center Drive; Suite 600
Irvine, CA 92618
Telephone: (949) 340-3400
Facsimile: (949) 340-3000
E-mail: afriedman@shulmanbastian.com
mlowe@shulmanbastian.com
Counsel to the Official Committee of Unsecured Creditors:
Bradford J. Sandler, Esq.
Paul J. Labov, Esq.
Colin R. Robinson, Esq.
PACHULSKI STANG ZIEHL & JONES LLP
919 N. Market Street, 17th Floor
Wilmington, DE 19801
Telephone: (302) 652-4100
Facsimile: (302) 652-4400
E-mail: bsandler@pszjlaw.com
plabov@pszjlaw.com
crobinson@pszjlaw.com
About Agway Farm & Home Supply
Agway Farm & Home Supply LLC -- https://www.agway.com/ -- is a
one-stop shop for lawn, garden, bird, pet and farm products. It is
based in Richmond, Va.
Agway Farm & Home Supply sought protection under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. D. Del. Case No. 22-10602) on July 6,
2022, listing $10 million to $50 million in both assets and
liabilities. Jay Quickel, president and chief executive officer of
Agway Farm & Home Supply, signed the petition.
Judge J. Kate Stickles oversees the case.
The Debtor tapped Shulman Bastian Friedman & Bui, LLP as lead
bankruptcy counsel; Morris James, LLP as local Delaware counsel;
Wilson Elser Moskowitz Edelman & Dicker LLP as special litigation
counsel; and Focus Management Group USA, Inc. as financial advisor.
Stretto, Inc. is the claims and noticing agent and administrative
advisor.
The official committee of unsecured creditors appointed in the case
selected Pachulski Stang Ziehl & Jones as legal counsel; FTI
Consulting, Inc. as financial advisor; and Hilco IP Services, LLC
as intellectual property marketing agent.
AIR METHODS: Davis Polk Advises Lenders, Noteholders in Ch. 11
--------------------------------------------------------------
Davis Polk is advising an ad hoc group of first-lien lenders and
unsecured noteholders in connection with the chapter 11
restructuring and recapitalization of Air Methods Corporation. The
restructuring, which is already supported by 71.6% of the aggregate
first term loan holders, 66.8% of the aggregate unsecured note
holders and the company's financial sponsor, will reduce the
company's funded debt by approximately $1.7 billion.
Air Methods and the consenting parties entered into a restructuring
support agreement on October 23, 2023, and Air Methods then
commenced solicitation of votes on a plan of reorganization. Air
Methods filed its chapter 11 cases in the United States Bankruptcy
Court for the Southern District of Texas on October 24, 2023. At
the first-day hearing, Judge Marvin Isgur approved the interim
debtor-in-possession (DIP) order and other first-day relief.
In connection with the restructuring, members of the ad hoc lender
group have agreed to backstop an $80 million new-money DIP
financing facility. The DIP package also includes a roll-up of
prepetition term loans of up to $75 million, which rolled-up loans
will be converted into exit term loans upon emergence from
bankruptcy. The DIP financing is open to all first-lien lenders.
The restructuring further contemplates (i) an up to $200 million
debt rights offering for exit term loans with a stapled equity
feature, (ii) an equity rights offering to provide incremental
liquidity and (iii) a private placement to finance an up-to $135
million (reduced dollar-for-dollar for any amounts funded under the
equity rights offering) cash-out option for lenders to receive cash
at a 10% discount to plan equity value in lieu of equity, each of
which is backstopped (or, in the case of the private placement,
fully committed) by members of the ad hoc lender group.
Air Methods is the nation's leading air medical service, delivering
lifesaving care to more than 100,000 people every year. With more
than 40 years of air medical experience, Air Methods is the
preferred partner for hospitals and one of the nation's largest
community-based providers of air medical services.
The Davis Polk restructuring team includes partners Damian S.
Schaible and Adam L. Shpeen, counsel Stephen D. Piraino and Robert
(Bodie) Stewart and associates David Kratzer and Hailey W. Klabo.
The finance team includes counsel Jon Finelli and associates
Timothy H. Oyen and Carly Cha. Associates Moses Farzan Nekou and
Kerim Aksoy are providing capital markets advice. Partner Corey M.
Goodman is providing tax advice. All members of the Davis Polk team
are based in the New York office.
Davis Polk refers to Davis Polk & Wardwell LLP, a New York limited
liability partnership, and its associated entities.
About Air Methods Corporation
Founded in 1980, Air Methods is a provider of air medical emergency
services in the United States, providing more than 100,000
transports per year while offering clinical quality, safety, and
life-saving care to patients across the country. Headquartered in
Greenwood Village, Colorado, the Company operates a fleet of
approximately 390 helicopters and fixed-wing aircraft serving 47
states from over 275 bases located in 40 different states.
Air Methods Corporation and its affiliates sought protection under
Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Lead Case
No. 23-90886) on October 24, 2023. In the petition signed by
Christopher J. Brady, as authorized signatory, Air Methods
disclosed up to $10 billion in both assets and liabilities.
Judge Marvin Isgur oversees the case.
Weil, Gotshal & Manges LLP represents the Debtors as legal counsel.
The Debtors also tapped Lazard Freres $ Co. LLC as investment
banker, Alvarez & Marsal as financial advisor, and Epiq Corporate
Restructuring, LLC as claims, noticing & solicitation agent and
administrative advisor.
AMERICAN PHYSICIAN: Court OKs Cash Collateral Access on Final Basis
-------------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware authorized
American Physician Partners, LLC and affiliates to use cash
collateral on a final basis in accordance with the budget, with a
15% variance.
The Debtors have an immediate and critical need to use cash
collateral including cash generated from collection of patient
receivables and net proceeds generated from sales of patient
receivables to fund payroll and administer the Chapter 11 Cases.
On December 21, 2016, the Debtor obtained loans and other financial
accommodations under the Amended and Restated Credit and Guaranty
Agreement from a consortium of lenders and Goldman Sachs Specialty
Lending Group, L.P., as the administrative agent.
Under the Prepetition Secured Facility, the Prepetition Lenders
provided to the Debtors an aggregate principal amount of up to
$589.7 million as of August 31, 2023. Immediately prior to the
Petition Date, the Prepetition Borrower and Prepetition Guarantors
are indebted to the Prepetition Secured Parties in the aggregate
principal amount under the Prepetition Secured Facility on account
of term loans of not less than $570.2 million as of August 31, 2023
and on account of revolver loans of not less than $19.5 million as
of August 31, 2023.
As adequate protection, the Prepetition Agent on behalf of the
Prepetition Secured Parties, are granted continuing, valid,
binding, enforceable, and perfected Liens, which will be senior in
priority to the Prepetition Liens, upon all of the Prepetition
Collateral.
As further adequate protection, the Prepetition Agent, on behalf of
itself and the Prepetition Secured Parties are granted
superpriority administrative expense claims in each of the Chapter
11 Cases and any Successor Cases.
As a condition to the use of cash collateral, and as further
adequate protection to the Prepetition Secured Parties, the Debtor
is directed to comply with the following milestone: No later than
December 15, 2023, the Bankruptcy Court will have confirmed a plan
of liquidation, in form and substance satisfactory to the
Prepetition Secured Parties, and the effective date of such plan
will have occurred; provided, however, that the Creditors'
Committee may seek a one time extension of such Case Milestone of
not more than 30 days for cause upon a showing that the Debtors, or
the Prepetition Secured Parties, failed to reasonably cooperate
with the Creditors' Committee with respect to information
reasonably and timely requested by the Creditors' Committee.
The events that constitute Events of Default include:
(i) the failure of the Debtors to perform, in any respect, any of
the material terms, provisions, conditions, covenants, or
obligations under the Final Order, unless waived by the Prepetition
Agent (acting at the direction of the Required Lenders), in
writing;
(ii) (A) the failure of the Debtors to comply with the Budget,
subject to the Permitted Variance, or (B) the payment of, or
application by the Debtors for authority to pay, any prepetition
claims unless in accordance with the Budget or as agreed by the
Prepetition Secured Parties; and
(iii) the entry of an order amending, supplementing, staying,
vacating or otherwise materially modifying this Final Order or the
Cash Management Order in a manner that materially and adversely
affects the Prepetition Secured Parties, the filing by a Debtor of
a motion for reconsideration with respect to this Final Order or
the Cash Management Order without the consent of the Prepetition
Agent.
A copy of the order is available at https://urlcurt.com/u?l=lIrFun
from PacerMonitor.com.
About American Physician Partners
American Physician Partners, LLC, is an emergency medicine
management company in Brentwood, Tenn.
American Physician Partners and its affiliates sought protection
under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead
Case No. 23-11469) on Sept. 18, 2023. In the petition signed by
its chief restructuring officer, John DiDonato, American Physician
Partners disclosed $100 million to $500 million in assets and $500
million to $1 billion in liabilities.
Judge Brendan L. Shannon oversees the cases.
Laura Davis Jones, Esq., at Pachulski Stang Ziehl & Jones LLP, is
the Debtor's legal counsel.
APPS INC: Seeks Cash Collateral Access Thru Dec 2
-------------------------------------------------
Apps, Inc. and Market Share, Inc. ask the U.S. Bankruptcy Court for
the District of Connecticut, Hartford Division, for authority to
use cash collateral and provide adequate protection.
The Debtors seek to use cash collateral on a preliminary basis from
the date of the hearing on the Motion through December 2, 2023 and
to pay actual, necessary, and ordinary course operating expenses.
As an essential retailer servicing diverse demographics, including
seniors and first responders, the Debtors navigated the Covid-19
pandemic without any store closures or layoffs. Unfortunately,
however, the Debtor were eventually impacted by the long-term
effects of the pandemic, such as rising interest rates affecting
variable loans, inflation increasing operational costs, and a
general retail slowdown, especially in wireless retail for major
telecommunication carriers.
These challenges led to increased labor rates and an approximate
12-to-15% drop in retail sales.
To counter the decline, the Debtors diversified their approach,
focusing on new product launches and a business-to-business
initiative. Through participation in the Goldman Sachs 10,000 Small
Business Program, the Debtors devised a growth plan involving sales
to businesses outside traditional retail, necessitating new hires
and an extending the typical sales cycle.
Despite initial challenges, the B2B strategy has gained traction,
especially with larger business customers.
However, the current debt load is unsustainable for the Debtors,
thus necessitating the instant bankruptcy filing.
Market Share obtained a Small Business Express Matching Grant from
the Connecticut Department of Economic and Community Development in
the amount of $100,000 on June 24, 2014. At the same time, Market
Share borrowed $221,700 from the DECD to build-out, remodel, and
relocate three stores. The DECD loan balance is approximately
$43,993. The DECD loan is secured by an all asset UCC-1 filing
against Market Share.
In addition to the DECD loan, Market Share borrowed $100,000 from
TD Bank, N.A. The TD Bank loan is guaranteed by Apps2. The TD Bank
loan balance is approximately $96,689. The TD Bank loan is secured
by an all asset UCC-1 filing against Market Share.
Both Debtors, along with a related non-debtor entity Singular
Leaseholdings, entered into two loans with Newtek Small Business
Finance, LLC in 2018. The Debtors owe Newtek a total of
approximately $1.8 million to Newtek. The Newtek loans are secured
by an all asset UCC-1 filing against both Debtors.
In addition to the above debt, Market Share was approved for
emergency COVID19 assistance in 2020. It received a United States
Small Business Administration Economic Injury Disaster Loan in the
approximate amount of $500,000. The SBA EIDL loan balance is
approximately $498,250 and is secured by a UCC-1 filing against
Market Share. Channel Partners Capital, LLC also lent approximately
$150,000 to Market Share on September 14, 2022. Channel filed a
UCC-1 filing more than a year later on September 26, 2023. ODK
Capital LLC loaned Market Share $250,000 on March 24, 2023. The ODK
Capital loan is secured by a UCC-1 filing. EBF Holdings, LLC, d/b/a
Everest Business Funding loaned Market Share $50,000 on August 3,
2023. Everest filed a UCC-1 filing on September 7, 2023.
The following parties-in-interest may claim an interest in the
Debtors' "cash collateral," as that term is defined by Bankruptcy
Code Section 363(a):
a. DECD;
b. TD Bank;
c. Newtek;
d. SBA;
e. Channel;
f. ODK Capital; and
g. Everest.
In exchange for the continued use of cash collateral by the
Debtors, the Debtors will grant the Claimants senior security
interests in, and liens upon, to attach to the same validity,
extent, and priority that the Claimants possess as to said liens on
the Petition Date, but only to the extent the amount of their
respective secured position erodes in value, all personal property
and real estate.
A copy of the motion is available at https://urlcurt.com/u?l=pv5uup
from PacerMonitor.com.
A copy of the budget is available at https://urlcurt.com/u?l=kganuI
from PacerMonitor.com.
The Debtor projects total paid out, on a weekly basis, as follows:
$47,107 for the week ending November 4, 2023;
$2,618 for the week ending November 11, 2023;
$30,774 for the week ending November 18, 2023;
$1,327 for the week ending November 25, 2023; and
$46,024 for the week ending December 2, 2023.
About Apps, Inc.
Apps, Inc. sell AT&T service plans, devices, and accessories to
both individual consumers and businesses.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Conn. Case No. 23-20895) on November 3,
2023. In the petition signed by Gordon H. Newton, president, the
Debtor disclosed up to $50,000 in assets and up to $10 million in
liabilities.
Judge James J. Tancredi oversees the case.
Jeffrey M. Sklarz, Esq., at Green & Sklarz LLC, oversees the case.
AQUABOUNTY TECHNOLOGIES: Regains Compliance With Nasdaq Rule
------------------------------------------------------------
AquaBounty Technologies, Inc. disclosed in a Current Report on Form
8-K filed with the Securities and Exchange Commission that the
Company received a letter from the Listing Qualifications
Department of The Nasdaq Stock Market LLC informing the Company
that it had regained compliance with the minimum bid price
requirement under Nasdaq Listing Rule 5550(a)(2) and that the
matter is now closed.
On Oct. 31, 2022, AquaBounty received a notification letter from
Nasdaq notifying the Company that because the closing bid price for
its common stock, par value $0.001 per share, had been below $1.00
per share for 30 consecutive business days, it no longer complied
with the minimum bid price requirement for continued listing on the
Nasdaq Capital Market. Nasdaq Listing Rule 5550(a)(2) requires
listed securities to maintain a minimum bid price of $1.00 per
share.
About AquaBounty
Headquartered in Maynard, Massachusetts, AquaBounty Technologies,
Inc. (NASDAQ: AQB) -- www.aquabounty.com -- is a land-based
sustainable aquaculture company that provides fresh Atlantic salmon
to nearby markets by raising its fish in carefully monitored
land-based fish farms through a safe, secure and sustainable
process. The Company's land-based Recirculating Aquaculture System
("RAS") farms, including a grow-out farm located in Indiana, United
States and a broodstock and egg production farm located on Prince
Edward Island, Canada, are close to key consumption markets and are
designed to prevent disease and to include multiple levels of fish
containment to protect wild fish populations. AquaBounty is raising
nutritious salmon that is free of antibiotics and contaminants and
provides a solution resulting in a reduced carbon footprint and no
risk of pollution to marine ecosystems as compared to traditional
sea-cage farming.
Aquabounty reported a net loss of $22.16 million in 2022 following
a net loss of $22.32 million in 2021.
In its Quarterly Report on Form 10-Q for the period ended June 30,
2023, filed with the Securities and Exchange Commission, Aquabounty
said, "Since inception, the Company has incurred cumulative
operating losses and negative cash flows from operations and
expects that this will continue for the foreseeable future. As of
June 30, 2023, the Company has $43.8 million in cash and cash
equivalents, and restricted cash, a significant portion of which is
required to fund its current liabilities and other contractual
obligations."
"The Company's ability to continue as a going concern is dependent
upon its ability to raise additional capital and there can be no
assurance that such capital will be available in sufficient amounts
or on terms acceptable to the Company. This raises substantial
doubt about the Company's ability to continue as a going concern
within one year after the date that the accompanying condensed
consolidated financial statements are issued," the Company said.
CACTUS LAND: Case Summary & 17 Unsecured Creditors
--------------------------------------------------
Debtor: Cactus Land Holdings, Inc.
300 SE 13th Street
Fort Lauderdale, FL 33316
Business Description: The Debtor is resident-owned manufactured
home community in Florida.
Chapter 11 Petition Date: November 6, 2023
Court: United States Bankruptcy Court
Southern District of Florida
Case No.: 23-19135
Judge: Hon. Peter D. Russin
Debtor's Counsel: Matthew S. Kish, Esq.
SHAPIRO BLASI WASSERMAN & HERMANN PA
7777 Glades Road, Ste 400
Boca Raton, FL 33434
Tel: 561-477-7800
Email: mkish@sbwh.law
Total Assets: $4,478,161
Total Liabilities: $1,887,404
The petition was signed by Jack "Jay" Rust, Jr. as president.
A full-text copy of the petition containing, among other items, a
list of the Debtor's 17 unsecured creditors is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/LPZBAUI/Cactus_Land_Holdings_Inc__flsbke-23-19135__0001.0.pdf?mcid=tGE4TAMA
CANO HEALTH: Consummates 1-for-100 Reverse Stock Split
------------------------------------------------------
Cano Health, Inc. announced that it completed a 1-for-100 reverse
stock split of its shares Class A common stock and Class B common
stock, including both issued and outstanding and unissued shares,
following approval by the Company's stockholders and its Board of
Directors.
Discussing the preliminary vote tabulation from the Company's
special stockholders' meeting held on Nov. 2, 2023, Solomon
Trujillo, Chairman of the Board said, "The Board and management are
very pleased that our stockholders expressed overwhelming support
for the Reverse Stock Split at this time, which we expect will
enable the Company's Class A common stock to regain compliance with
the New York Stock Exchange's (the "NYSE") listing rules." Mr.
Trujillo added, "With our third quarter 2023 earnings release and
third quarter 2023 Form 10-Q scheduled for November 9, 2023, we
look forward to sharing more information on our performance with
investors during our third quarter 2023 earnings call."
The Reverse Stock Split became effective immediately upon the
Company's filing of the Certificate of Amendment to the Company's
Certificate of Incorporation with the Secretary of State of the
State of Delaware on Nov. 2, 2023. The Company's Class A common
stock began trading on a split-adjusted basis when the NYSE opened
on Nov. 3, 2023 and will continue trading on the NYSE under the
symbol "CANO", with a new CUSIP number (13781Y 202). The trading
symbol and CUSIP number for the Company's warrants will remain
unchanged. As a result of the Reverse Stock Split, the Company's
Class A and Class B stockholders will receive 1 new share of Class
A common stock or Class B common stock, each with a new par value
of $0.01 per share, for every 100 shares they hold. Holders of
Class B common stock who hold a corresponding number of membership
units in Primary Care (ITC) Intermediate Holdings, LLC ("PCIH
common units") will receive 1 new PCIH common unit for every 100
PCIH common units held. The same 1-for-100 ratio was used to
effect the Reverse Stock Split of both Class A and Class B common
stock, as well as warrants and other rights and accordingly, all
stockholders were affected proportionately.
In connection with the Reverse Stock Split, the total number of
Class A common stock and Class B common stock authorized for
issuance under Cano Health's amended Certificate of Incorporation
will be reduced from 6,000,000,000 to 60,000,000 shares of its
Class A common stock and from 1,000,000,000 to 10,000,000 shares of
its Class B common stock. Accordingly, using the shares
outstanding as of Oct. 30, 2023, after giving effect to the ratio
used in the Reverse Stock Split, the Company has issued and
outstanding approximately 2,887,607 shares of Class A common stock
and approximately 2,518,935 shares of Class B common stock, each
with a par value of $0.01 per share. The Reverse Stock Split will
not change the number of shares of authorized preferred stock,
which will remain at 10,000,000 shares.
The number of shares of Class A common stock subject to the
Company's outstanding stock options and unvested restricted stock
units ("RSUs"), as well as the relevant exercise price per share,
were proportionately adjusted to reflect the Reverse Stock Split.
Accordingly, the approximately 9,521,703 outstanding stock options
and approximately 19,635,760 unvested restricted stock units were
reduced to approximately 95,217 outstanding stock options and
approximately 196,357 unvested RSUs, respectively. The number of
shares authorized for issuance under the Company's stock plan was
also reduced from 52 million shares of Class A common stock to
520,000 shares using the same 1-for-100 split ratio.
The Reverse Stock Split will not affect any stockholder's
percentage ownership interests or proportionate voting power,
except to the extent that it results in a stockholder receiving
cash in lieu of fractional shares.
As previously disclosed, the Company believes the Reverse Stock
Split will increase the price per share of the Company's Class A
common stock and thus enable it to regain compliance with the price
criteria of Section 802.01C of the NYSE Listed Company Manual, as
well as to allow the Company's common stock to be more attractive
to a broader range of investors. Cano Health, however, cannot
assure that the price of its Class A common stock after the Reverse
Stock Split will reflect the 1-for-100 reverse split ratio, that
the price per share following the Effective Time of the Reverse
Stock Split will be maintained for any period of time, or that the
price will remain above the pre-split trading price.
Fractional Shares
No fractional shares will be issued in connection with the Reverse
Stock Split. Instead, as soon as practicable after the Effective
Time, Cano Health's transfer agent, Continental Stock Transfer &
Trust Company, will aggregate all shares of record holders that
would otherwise have resulted in fractional shares and arrange for
them to be sold on the open market. CST will then allocate the
proceeds of such sales to the record holders' respective accounts
pro rata in lieu of fractional shares as soon as practicable
following the Effective Time. Stockholders will not be entitled to
receive interest for the period of time between the Effective Time
and the date the stockholder receives their cash payment, if any,
in lieu of fractional shares.
Treatment of Outstanding Derivative Securities
All outstanding warrants to purchase the Company's Class A common
stock will be proportionately adjusted as a result of the Reverse
Stock Split in accordance with the terms of the warrants.
Proportionate adjustments will be made to the Company's outstanding
equity awards, as well as to the number of shares issuable under
the Company's 2021 Stock Option and Incentive Plan and 2021
Employee Stock Purchase Plan, as amended.
Additionally, in connection with the Reverse Stock Split, and
pursuant to the terms of the Warrant Agreement, dated as of Feb.
24, 2023, by and between the Company and CST, as warrant agent and
transfer agent, the exercise and redemption terms of the Company's
issued and outstanding redeemable warrants to purchase shares of
the Company's Class A common stock, were adjusted to reflect: (i) a
reduction in the number of shares of Class A Common Stock issuable
upon exercise of each Warrant, which resulted in each 100 Warrants
being exercisable for one share of Common Stock; (ii) an increase
in each Warrant's exercise price per whole share of Class A Common
Stock to $1,150; and (iii) the stated redemption prices per Warrant
being proportionately reduced. All Warrants issued and outstanding
prior to the Effective Time remain outstanding, and the Warrants
continue to be traded on the NYSE under the ticker symbol "CANO/WS"
with the same CUSIP and ISIN numbers. The Company does not intend
to amend the terms of the Warrant Agreement to reflect the
corresponding adjustments as a result of the Reverse Stock Split.
Exchange Agent
CST is acting as exchange agent for the Reverse Stock Split.
Holders of the Company's common stock held electronically in
book-entry form or through a bank, broker or other nominee do not
need to take any action in connection with the Reverse Stock Split.
Holders of record will be receiving information from CST regarding
their stock ownership post-Reverse Stock Split. Stockholders who
hold their shares with a broker, bank or other nominee should
contact their broker, bank or other nominee if they have any
questions regarding the Reverse Stock Split.
Upon the Effective Time, each certificate representing shares of
the Company's common stock immediately prior to the Reverse Stock
Split will be deemed to represent the number of full shares of
common stock resulting from the Reverse Stock Split. However,
until stockholders of record have surrendered their old
certificates for exchange and otherwise complied with CST's
procedures, CST has advised the Company that they will not be able
to process payments to any such stockholder in lieu of fractional
shares, if any, or process payments to any such stockholder in
respect of dividends or other distributions, if any, that may be
declared and payable to holders of record following the Effective
Time, nor will CST be able to effectuate any sale or transfer of
shares by any such stockholder after the Effective Time.
Additional information concerning the Reverse Stock Split can be
found in Cano Health's definitive proxy statement filed with the
SEC on Oct. 16, 2023, as well as on Cano Health's Investor
Relations website, https://investors.canohealth.com.
About Cano Health
Cano Health, Inc. (NYSE: CANO) -- canohealth.com -- is a primary
care-centric, technology-powered healthcare delivery and population
health management platform. Founded in 2009, with its headquarters
in Miami, Florida, Cano Health is transforming healthcare by
delivering primary care that measurably improves the health,
wellness, and quality of life of its patients and the communities
it serves through its primary care medical centers and supporting
affiliated providers.
Cano Health reported a net loss of $428.39 million in 2022, a net
loss of $116.74 million in 2021, a net loss of $71.06 million in
2020, and a net loss of $19.78 million in 2019.
Cano Health announced that on Sept. 5, 2023, it was notified by
NYSE Regulation Inc. that it is not in compliance with Section
802.01C of the NYSE Listed Company Manual because the average
closing stock price of a share of the Company's Class A common
stock was less than $1.00 per share over a consecutive 30
trading-day period.
* * *
As reported by the TCR on Aug. 17, 2023, S&P Global Ratings lowered
its issuer credit rating on Cano Health Inc. to 'CCC-' from 'B-'.
S&P said, "We based our negative outlook on our expectation for
continued weak operating performance and cash flow deficits. Given
the company's current liquidity position, we believe there is
heightened risk of a near-term default such as a bankruptcy filing,
debt restructuring, or missed interest payment."
CANOPY GROWTH: Inks 4th Amendment to Acreage Share Exchange Deal
----------------------------------------------------------------
Canopy Growth Corporation disclosed in a Current Report on Form 8-K
filed with the Securities and Exchange Commission that the Company,
Canopy USA, LLC, and Acreage Holdings, Inc. entered into a fourth
amendment to the Floating Share Arrangement Agreement.
Pursuant to the terms of the Amendment, the Company, Canopy USA,
and Acreage agreed to amend the Exercise Outside Date (as defined
in the Floating Share Arrangement Agreement) from Oct. 31, 2023 to
Dec. 31, 2023.
The completion of the Floating Share Arrangement is subject to
satisfaction or, if permitted, waiver of certain closing
conditions, including, among others, completion of the Canopy
Capital Reorganization (as defined in the Floating Share
Arrangement Agreement) on or prior to the Exercise Outside Date.
The Company said there can be no certainty, nor can the Company
provide any assurance, that all conditions precedent contained in
the Floating Share Arrangement Agreement and the Existing
Arrangement Agreement will be satisfied or waived, which may result
in the acquisition of Acreage not being completed.
Canopy entered into an arrangement agreement dated Oct. 24, 2022,
as amended on March 17, 2023, May 31, 2023 and Aug. 31, 2023, with
Canopy USA and Acreage, pursuant to which, subject to the terms and
conditions of the Floating Share Arrangement Agreement, including
all closing conditions contained in the arrangement agreement
between the Company and Acreage dated April 18, 2019, as amended on
May 15, 2019, Sept. 23, 2020 and Nov. 17, 2020, Canopy USA will
acquire all of the issued and outstanding Class D subordinate
voting shares of Acreage by way of a court-approved plan of
arrangement under the Business Corporations Act (British Columbia)
at a fixed exchange ratio of 0.45 of a common share of Canopy
Growth for each Floating Share held.
About Canopy Growth
Headquartered in Smiths Falls, Ontario, Canopy Growth is a cannabis
and consumer packaged goods company which produces, distributes,
and sells a diverse range of cannabis, hemp, and CPG products.
Cannabis products are principally sold for adult-use and medical
purposes under a portfolio of distinct brands in Canada pursuant to
the Cannabis Act, SC 2018, c 16 (the "Cannabis Act"), and globally
pursuant to applicable international and Canadian legislation,
regulations, and permits. The Company's other product offerings,
which are sold by its subsidiaries in jurisdictions where it is
permissible to do so, include: (i) Storz & Bickel GmbH vaporizers;
(ii) BioSteel Sports Nutrition Inc. sports nutrition beverages,
hydration mixes, proteins and other specialty nutrition products;
and (iii) This Works Products Ltd. beauty, skincare, wellness and
sleep products. Its core operations are in Canada, the United
States, and Germany.
Ottawa, Canada-based KPMG LLP, the Company's auditor since 2019,
issued a "going concern" qualification in its report dated June 22,
2023, citing that the Company has material debt obligations coming
due in the short-term, has suffered recurring losses from
operations and requires additional capital to fund its operations,
which raise substantial doubt about its ability to continue as a
going concern.
CARVANA CO: Posts $741 Million Net Income in Third Quarter
----------------------------------------------------------
Carvana Co. filed with the Securities and Exchange Commission its
Quarterly Report on Form 10-Q disclosing net income of $741 million
on $1.95 billion of sales and operating revenues for the three
months ended Sept. 30, 2023, compared to a net loss of $508 million
on $2.49 billion of sales and operating revenues for the three
months ended Sept. 30, 2022.
For the nine months ended Sept. 30, 2023, the Company reported net
income of $350 million on $5.73 billion of sales and operating
revenues compared to a net loss of $1.45 billion on $8.18 billion
of sales and operating revenues for the nine months ended Sept. 30,
2022.
As of Sept. 30, 2023, the Company had $7.02 billion in total
assets, $7.22 billion in total liabilities, and a total
stockholders' deficit of $202 million.
"We have always believed Carvana will be the largest and most
profitable automotive retailer, and our focus on unit economics
over the past several quarters led to Q3 results that clearly
validate the differentiation and profitability potential of our
business model," says Ernie Garcia, Carvana founder and chief
executive officer, in a press release. "For the second consecutive
quarter, we delivered GPUs that far exceed our 2021 high water
marks and generated hundreds of millions of positive net income and
Adjusted EBITDA despite a challenging industry environment. While
our focus today remains on continuing to drive operating efficiency
and even stronger unit economics, we are incredibly well positioned
for a return to profitable growth when the time is right as
evidenced by the operating leverage we realized in Q3 and the
substantial infrastructure we have built to support efficient
scaling."
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/0001690820/000169082023000323/cvna-20230930.htm
About Carvana
Founded in 2012 and based in Tempe, Arizona, Carvana Co. --
http://www.carvana.com-- is an e-commerce platform for buying and
selling used cars. Carvana.com allows someone to purchase a
vehicle from the comfort of their home, completing the entire
process online, benefiting from a 7-day money back guarantee, home
delivery, nationwide inventory selection and more. Customers also
have the option to sell or trade-in their vehicle across all
Carvana locations, including its patented Car Vending Machines, in
more than 300 U.S. markets.
Carvana Co. reported a net loss of $2.89 billion for the year ended
Dec. 31, 2022, a net loss of $287 million for the year ended Dec.
31, 2021, and a net loss of $462 million for the year ended Dec.
31, 2020. As of Dec. 31, 2022, the Company had $8.70 billion in
total assets, $9.75 billion in total liabilities, and a total
stockholders' deficit of $1.05 billion.
* * *
As reported by the TCR on Sept. 13, 2023, S&P Global Ratings raised
its issuer credit rating on U.S.-based Carvana Co. to 'CCC+' from
'D'. S&P said, "The negative outlook reflects our expectation that
we could downgrade the company if the company's performance were to
deteriorate further such that we believe liquidity would become
constrained or if we believe there is a likelihood the company
could conduct a distressed restructuring over the next 12 months.
The upgrade to 'CCC+' reflects the near-term improvement in the
company's liquidity position, though the capital structure remains
unsustainable."
Moody's Investors Service upgraded Carvana Co.'s corporate family
rating to Caa3 from Ca, the TCR reported on Sept. 22, 2023.
Moody's said the upgrade of Carvana's CFR to Caa3 reflects the
completion of its debt exchange that pushes out some near-term
maturities, reduces outstanding debt and materially reduces cash
interest expense in the two years following the exchange.
CEDAR FAIR: S&P Places 'BB-' ICR on CreditWatch Positive
--------------------------------------------------------
S&P Global Ratings placed all its ratings on Cedar Fair, including
its 'BB-' issuer credit rating, on CreditWatch with positive
implications.
Sandusky, Ohio-based regional theme park operator Cedar Fair L.P.,
announced a deal to merge with Six Flags Entertainment Corp.
S&P said, "The CreditWatch positive placement reflects our view
that we expect the combined company could have stronger
creditworthiness than Cedar Fair on a stand-alone basis. On Nov. 2,
2023, Cedar Fair announced an all-stock merger of equals with Six
Flags, expected to close in the first half of 2024. Pro forma for
the transaction, excluding the company's expected $200 million in
synergies, we expect the combined company's S&P Global
Ratings-adjusted leverage will be about 4.5x."
Cedar Fair will benefit from increased scale following its merger
with Six Flags, approximately doubling its EBITDA base, modestly
improving EBITDA margins (before potential synergies), and owning a
total of 42 parks and nine resort properties in North America. The
combined entity will also benefit from increased geographic
diversity and reduced EBITDA concentration in its largest parks if
it can pass regulatory scrutiny. S&P said, S&P said, "We believe
the combined entity can support higher leverage than Cedar Fair on
a standalone basis given its meaningfully larger scale and improved
geographic diversity. We believe greater diversity and scale can
help mitigate any potential EBITDA volatility caused by regional
economic downturns or weather-related event risk."
In the third quarter of 2023, Cedar Fair's revenue decreased 1%
from the same period in 2022, driven by a decrease in in-park per
capita spending after the recovery of lower-priced attendance
channels led to lower admissions spending. This was partially
offset by a 1% increase in attendance, a 2% increase in out-of-park
revenue, and an increase in food and beverage spending. EBITDA
margin increased in the quarter due to ongoing cost-cutting efforts
offsetting the slight revenue decline. As of Sept. 30, 2023, Cedar
Fair's leverage was low-4x, well below S&P's current 5x downgrade
threshold.
S&P said, "While we forecast modest revenue growth, macroeconomic
risks persist and could slow the pace of growth. Although the
Federal Reserve's fight against inflation hasn't yet materially
weakened the regional theme park sector's performance, we believe
park attendance and per capita spending could falter next year. S&P
Global economists forecast increasing risk for a macroeconomic
downside scenario caused by a slowdown in business activity,
increased unemployment, and a steeper decline in consumer spending.
Under our downside scenario, we forecast a slowdown into 2024,
which may lead consumers to pull back on leisure spending, causing
industrywide revenue and profitability to decline. In addition,
rising labor and other cost inflation hurts theme park
profitability.
"We expect to address the CreditWatch placement once we are
confident the proposed transaction can achieve regulatory,
shareholder, and other approvals to close in the first half of
2024. We will assess the combined company's business position, pro
forma capital structure, and long-term financial policy as more
information becomes available. The CreditWatch placement on the
company's issue-level ratings assumes a similar proportionate mix
of secured and unsecured debt in the pro forma capital structure
compared to the standalone entity. If the deal does not proceed, we
will likely affirm our ratings on Cedar Fair and remove it from
CreditWatch."
Cedar Fair owns and operates amusement and water parks and hotels
in the U.S. and Canada. The company operates 11 amusement parks,
four outdoor water parks, one indoor water park, and six hotels.
Its larger amusement parks include Cedar Point in Sandusky, Ohio;
Knott's Berry Farm near Los Angeles; Canada's Wonderland near
Toronto; and Kings Island near Cincinnati. The company's five
largest parks account for roughly 85% of its consolidated EBITDA.
Cedar Fair went public in 1987 and is based in Sandusky, Ohio.
CIDARA THERAPEUTICS: Posts $8.2 Million Net Loss in Third Quarter
-----------------------------------------------------------------
Cidara Therapeutics, Inc. filed with the Securities and Exchange
Commission its Quarterly Report on Form 10-Q disclosing a net loss
attributable to common stockholders of $8.17 million on $12.72
million of total revenues for the three months ended Sept. 30,
2023, compared to net income attributable to common stockholders of
$11.90 million on $40.74 million of total revenues for the three
months ended Sept. 30, 2022.
For the nine months ended Sept. 30, 2023, the Company reported a
net loss attributable to common stockholders of $17.32 million on
$46.32 million of total revenues compared to a net loss
attributable to common stockholders of $16.42 million on $54.07
million of total revenues for the nine months ended Sept. 30,
2022.
As of Sept. 30, 2023, the Company had $63.47 million in total
assets, $55.43 million in total liabilities, and $8.04 million in
total stockholders' equity.
Cidara said, "We performed an analysis of our ability to continue
as a going concern. We believe, based on our current business
plan, that our existing cash and cash equivalents will not be
sufficient to fund our obligations for the next twelve months,
which raises substantial doubt about our ability to continue as a
going concern. Our ability to execute our operating plan depends on
our ability to obtain additional funding through equity offerings,
debt financings or potential licensing and collaboration
arrangements. We plan to continue to fund our losses from
operations through cash and cash equivalents on hand, as well as
through future equity offerings, debt financings, other third party
funding, and potential licensing or collaboration arrangements.
There can be no assurance that additional funds will be available
when needed from any source or, if available, will be available on
terms that are acceptable to us. Even if we raise additional
capital, we may also be required to modify, delay or abandon some
of our plans which could have a material adverse effect on our
business, operating results and financial condition and our ability
to achieve our intended business objectives. Any of these actions
could materially harm our business, results of operations and
future prospects."
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1610618/000161061823000098/cdtx-20230930.htm
About Cidara Therapeutics
Headquartered in San Diego, Calif., Cidara Therapeutics --
www.cidara.com -- is using its proprietary Cloudbreak platform to
develop novel drug-Fc conjugates (DFCs). These targeted
immunotherapies offer the unique opportunity to create "single
molecule cocktails" comprised of targeted small molecules and
peptides coupled to a human antibody fragment (Fc). DFCs are
designed to save lives and improve the standard of care for
patients facing cancers and other serious diseases by inhibiting
specific disease targets while simultaneously engaging the immune
system. In addition, Cidara received FDA approval for REZZAYO
(rezafungin for injection), which it has licensed to multiple
partners to commercialize in the U.S. and ex-U.S.
San Diego, California-based Ernst & Young LLP, the Company's
auditor since 2014, issued a "going concern" qualification in its
report dated March 23, 2023, citing that the Company has suffered
recurring losses from operations and negative cash flows from
operating activities since its inception and has stated that
substantial doubt exists about the Company's ability to continue as
a going concern.
CLOVER FAST FOOD: Seeks Cash Collateral Access Thru Dec 31
----------------------------------------------------------
Clover Fast Food, Inc. asks the U.S. Bankruptcy Court for the
District of Delaware for authority to use cash collateral on a
final basis and provide adequate protection from November 1, 2023
through December 31, 2023.
The Debtor requires the use of cash collateral to fund working
capital and capital expenditures, and operate and maintain its
business and property.
Prior to the Petition Date, the Debtor and Blue58, LLC, as
collateral agent for the secured lenders entered into a loan
facility pursuant to the following documents and instruments: (a)
various Promissory Notes, from the Debtor payable to Lenders in the
aggregate principal amount of $754,000 and (b) a Secured Promissory
Note Purchase Agreement, dated October 13, 2023, that included
various other documents, including, but not limited to, a
Guarantee, Security Agreement, and Collateral Agent Agreement.
In connection with the Prepetition Loan Documents, Blue58, as
collateral agent, filed a UCC-1 Financing Statement with the
Delaware Secretary of State on October 13, 2023, designated as
filing number 20233731682. As of the Petition Date, the Debtor is
indebted to the Lenders under the Prepetition Loan Documents in an
aggregate amount, including appropriately accrued interest and
other valid fees, of not less than $754,000.
The Debtor submits that the Lenders, to the extent of the valid and
perfected liens on the Prepetition Collateral, will be adequately
protected notwithstanding the Debtor's use of cash collateral. As
demonstrated by the Debtor's projected budget, the Debtor will
operate with positive cash flow for the period from November 3,
2023 through December 31, 2023.
The Debtor submits that the Lenders are adequately protected by the
significant equity cushion in the Prepetition Collateral.
A copy of the motion is available at https://urlcurt.com/u?l=ycbCK7
from PacerMonitor.com.
About Clover Fast Food, Inc.
Clover Fast Food, Inc. DBA Clover Food Lab is a vegetarian fast
food chain which operates restaurants around the Boston Metro
Area.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Del. Case No. 23-11812) on November 3,
2023. In the petition signed by Julia Wrin Piper, as chief
executive officer, the Debtor disclosed $8,397,968 in total assets
and $4,573,997 in total liabilities.
Judge Brendan Linehan Shannon oversees the case.
Karen M. Grivner, Esq., at Clark Hill PLC, represents the Debtor as
legal counsel.
CONNECT HOLDING II: Moody's Cuts CFR to Caa1, Outlook Neg.
----------------------------------------------------------
Moody's Investors Service downgraded Connect Holding II LLC's
(Connect Holding, also known as Brightspeed) corporate family
rating to Caa1 from B3, its probability of default rating to
Caa1-PD from B3-PD, and the rating on the backed senior secured
bank credit facilities, to B3 from B2. Moody's, also downgraded the
rating on the senior unsecured notes of Embarq Corporation
(Embarq), a subsidiary of Connect Holding, to Caa3 from Caa2. The
outlook for Connect Holding and Embarq changed to negative.
Previously, the outlooks were stable.
The downgrades reflect the company's aggressive financial policies
including high financial leverage, operating and margin pressures,
high capital intensity and negative free cash flow associated with
the fiber buildout of its footprint. Moody's also projects that in
2025, Connect Holding will require additional financing to complete
the funding of the company's fiber expansion to reach its goal of
55% of total passings. Moody's projects total debt-to-EBITDA
(inclusive of Moody's Adjustments) will be 7.1x at year-end 2023
and 7.3x in 2024, or 5.2x and 5.4x, excluding the $1.9 billion in
holdco notes.
RATINGS RATIONALE
Connect Holding's Caa1 CFR reflects the company's high and
increasing leverage, continued operating pressures resulting in
lower revenue and EBITDA margins, and execution risks associated
with the company's on-going capex program to transform its legacy
copper-based network to fiber. Over the next three years,
Brightspeed plans to increase its fiber passings to about 55% of
its current footprint of 6.8 million total passings, which under
Moody's base case, will require additional funding. Absent access
to capital markets, according to Moody's assumptions, Connect
Holding will need to draw a substantial amount under its revolving
credit facility in 2025 to complete the projected build to 55%,
further limiting the company's financial flexibility. At the same
time, the rating takes into consideration the company's good
liquidity, and no significant debt maturities due prior to 2029,
excluding the repayment of the holdco notes, which mature in 2027.
In addition, the rating reflects the company's scale (the fifth
largest local telecom company in the US based on households
passed), valuable assets, and continued solid demand for high-speed
broadband service.
Moody's expects Connect Holding to have good liquidity over the
next 12 to 15 months, supported by $1.2 billion in cash as of June
30, 2023, $542 million in availability (net of $58 million in
letters of credit) under the company's $600 million senior secured
revolving credit facility expiring in October 2027, and Moody's
expectation of around $620 million of negative free cash flow for
full year 2023 and $640 million in 2024.
The revolving credit facility contains a springing maximum first
lien net leverage covenant to be tested when 35% or more of the
revolver is outstanding at the end of each quarter. Moody's expects
that the company will not rely on the revolver over the next 12
months. If the covenants were to be tested, there will be at least
a 35% cushion over the requirement. The term loans are
covenant-lite.
Connect Holding's CIS-5 Credit Impact Score indicates the rating is
lower than it would have been if ESG risk exposures did not exist
and the negative impact is more pronounced than issuers scored
CIS-4. The score reflects the company's aggressive financial
policy, high leverage, and limited financial flexibility as well as
changing demographic and societal trends towards the use of
wireline connectivity.
The negative outlook reflects Moody's expectation for (i) continued
operating weakness, and limited visibility as to when the corporate
turnaround and material investments will yield meaningful financial
/ operating results and (ii) decreasing financial flexibility with
material funding required in 2025 to complete the company's fiber
expansion.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be upgraded if Connect Holding achieves a
long-term solution to its financing needs, the company's operating
performance and liquidity improves, and total debt-to-EBITDA is
sustained below 6.0x. The ratings could be downgraded if the
company's liquidity position and operating performance
deteriorates, the company's growth strategy materially stalls, or
Moody's view on the likelihood of a default or recovery for debt
holders were to be lowered.
Headquartered in Charlotte, North Carolina, Connect Holding II LLC
(also known as Brightspeed) is a provider of broadband and
telecommunications services. In October 2023, the company was
formed as a carve out of a 20-state Incumbent Local Exchange
Carrier (ILEC) footprint from Lumen Technologies, Inc. to become
the fifth largest local telecom company in the US.
The principal methodology used in these ratings was
Telecommunications Service Providers published in September 2022.
CURO GROUP: Incurs $104.4 Million Net Loss in Third Quarter
-----------------------------------------------------------
Curo Group Holdings Corp. filed with the Securities and Exchange
Commission its Quarterly Report on Form 10-Q disclosing a net loss
of $104.44 million on $167.86 million of total revenue for the
three months ended Sept. 30, 2023, compared to net income of $25.65
million on $186.41 million of total revenue for the three months
ended Sept. 30, 2022.
For the nine months ended Sept. 30, 2023, the Company reported a
net loss of $223.24 million on $504.25 million of total revenue
compared to net income of $909,000 on $737.55 million of total
revenue for the nine months ended Sept. 30, 2022.
As of Sept. 30, 2023, the Company had $1.77 billion in total
assets, $2.17 billion in total liabilities, and a total
stockholders' deficit of $398.02 million.
As of Sept. 30, 2023, principal debt balances outstanding were $2.0
billion, consisting of 57% of fixed rate debt and 43% of variable
rate debt.
As of Sept. 30, 2023, available capital resources were
approximately $285.3 million, comprised of $82.6 million in
unrestricted Cash and cash equivalents, $127.9 million in unused
borrowing capacity for growth and $74.8 million of unencumbered
Gross loans receivable.
"The third quarter marked another significant milestone with the
sale of the Flexiti business which allows us to focus on being an
industry leader in Direct Lending in the U.S. and Canada," said
Doug Clark, chief executive officer at CURO. "We completed our
conversion to a single loan management system across our U.S.
footprint and continue to invest in our technology infrastructure
which we believe will accelerate our path to profitability. We
continue to execute on our plan outlined at the beginning of the
year, which resulted in meeting our expectations for the third
consecutive quarter. Our disciplined underwriting, prudent
originations and enhanced servicing have resulted in improved
credit quality metrics while at the same time allowing us to grow
our loan portfolio. We diligently monitor challenges presented by
the macro environment and will remain vigilant on executing our
long-term strategy which has exciting opportunities in both the U.S
and Canada."
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1711291/000171129123000107/curo-20230930.htm
About Curo Group
Headquartered in Chicago, IL, Curo Group Holdings COrp. is a
tech-enabled, omni-channel consumer finance company serving a full
spectrum of non-prime, near-prime and prime consumers in portions
of the U.S. and Canada. CURO was founded over 25 years ago to meet
the growing needs of consumers looking for alternative access to
credit. The Company continuously updates its products and
technology platform to offer a variety of convenient, accessible
financial and loan services.
Curo Group reported a net loss of $185.48 million for the year
ended Dec. 31, 2022. As of Dec. 31, 2022, the Company had $2.79
billion in total assets, $2.84 billion in total liabilities, and a
total stockholders' deficit of $54.13 million.
* * *
As reported by the TCR on May 26, 2023, S&P Global Ratings raised
its issuer credit rating on Curo Group Holdings Corp. to 'CCC+'
from 'SD'. S&P said, "While the debt exchange improved Curo's
liquidity by over $100 million, we expect the company to continue
generating negative net income in 2023. We take a balanced view of
the company's debt restructuring. Curo was able to address its
liquidity needs, but it added debt with higher interest rates to
its capital structure."
Moody's Investors Service downgraded Curo Group Holdings Corp.'s
corporate family rating to Caa2 from Caa1, the TCR reported on May
24, 2023. Moody's said the downgrade of Curo's CFR to Caa2 from
Caa1 was driven by deterioration in the company's credit profile
over the past year following the acquisitions of Heights Finance
and First Heritage, two near prime installment businesses, and the
sale of its legacy US deep subprime lending business.
DIVERSIFIED HEALTHCARE: Incurs $65.8M Net Loss in Third Quarter
---------------------------------------------------------------
Diversified Healthcare Trust filed with the Securities and Exchange
Commission its Quarterly Report on Form 10-Q disclosing a net loss
of $65.78 million on $356.52 million of total revenues for the
three months ended Sept. 30, 2023, compared to a net loss of $81.49
million on $322.92 million of total revenues for the three months
ended Sept. 30, 2022.
For the nine months ended Sept. 30, 2023, the Company reported a
net loss of $191.01 million on $1.05 billion of total revenues
compared to net income of $49.55 million on $946.68 million of
total revenues for the nine months ended Sept. 30, 2022.
As of Sept. 30, 2023, the Company had $5.53 billion in total
assets, $3.08 billion in total liabilities, and $2.44 billion in
total shareholders' equity.
Going Concern
Diversified Healthcare said, "The senior living industry has been
adversely affected by the slow recovery from the COVID-19 pandemic
as well as current economic and market conditions. These
conditions continue to have a significant negative impact on our
results of operations, financial condition and cash flows. Our
ratio of consolidated income available for debt service to debt
service was below the 1.5x incurrence requirement under our credit
agreement and our public debt covenants as of September 30, 2023.
We cannot be certain how long this ratio will remain below 1.5x,
and we are unable to refinance existing or maturing debt or issue
new debt until this ratio is at or above 1.5x on a pro forma basis.
As of September 30, 2023, we had $278.1 million of cash and cash
equivalents, $450.0 million in outstanding borrowings under our
credit facility which matures on January 15, 2024 and $250.0
million of senior notes that mature on May 1, 2024. Our credit
facility is secured by 62 properties which had an appraised value
of approximately $1.1 billion based on appraisals completed in
2023.
"As discussed in Note 1 to our condensed consolidated financial
statements included in Part I, Item 1 of this Quarterly Report on
Form 10-Q, based on these challenges and upcoming debt maturities,
we have concluded that there is substantial doubt about our ability
to continue as a going concern for at least one year from the date
of issuance of the financial statements included in Part I, Item 1
of this Quarterly Report on Form 10-Q. Our continuation as a going
concern is dependent upon many factors, including our ability to
meet our debt covenants and repay our debts and other obligations
when due. While we believe raising permissible new capital,
including proceeds from our planned asset sales, and the possible
extension of our credit facility, will alleviate the substantial
doubt about our ability to continue as a going concern, we cannot
provide assurance that any new capital raised, including proceeds
from our planned asset sales, will be available to us or sufficient
to repay our upcoming maturing debt, or that our lenders will agree
to an extension of the maturity date of our credit facility. We
cannot be sure that we will be able to obtain any future debt
financing, and any such debt financing we may obtain may not be
sufficient to repay our upcoming maturing debt. If we are unable
to obtain sufficient funds, we may be unable to continue as a going
concern."
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1075415/000107541523000035/dhc-20230930.htm
About Diversified Healthcare Trust
Diversified Healthcare Trust (Nasdaq: DHC) -- www.dhcreit.com -- is
a real estate investment trust, which owns senior living
communities, medical office and life science buildings and wellness
centers throughout the United States. As of Sept. 30, 2023, DHC's
approximately $7.2 billion portfolio included 376 properties in 36
states and Washington, D.C., occupied by approximately 500 tenants,
and totaling approximately 9 million square feet of life science
and medical office properties and more than 27,000 senior living
units. DHC is managed by The RMR Group (Nasdaq: RMR), an
alternative asset management company with approximately $36 billion
in assets under management as of Sept. 30, 2023 and more than 35
years of institutional experience in buying, selling, financing and
operating commercial real estate.
ENERGY HARBOR: Fitch Retains 'BB+' LongTerm IDR on Watch Negative
-----------------------------------------------------------------
Fitch Ratings has maintained Energy Harbor Corporation's Long-Term
Issuer Default Rating (IDR) of 'BB+' on Rating Watch Negative
(RWN).
The RWN indicates negative action is likely as Fitch expects to
equalize Energy Harbor's IDR with Vistra Corp.'s IDR (BB/Stable)
following the closure of Vistra's acquisition of Energy Harbor's
nuclear assets. If the transaction does not close, Fitch will
affirm the 'BB+' IDR, remove the RWN and assign a Stable Rating
Outlook to Energy Harbor. Fitch will resolve the RWN once the deal
closes or is terminated.
KEY RATING DRIVERS
Pending Acquisition Drives the Ratings: Fitch continues to expect
that Vistra will acquire Energy Harbor as announced earlier this
year. Upon close of the transaction, Energy Harbor's nuclear and
retail businesses will combine with Vistra's nuclear, retail,
renewables and storage businesses under a newly formed subsidiary
holding company, "Vistra Vision".
Vistra continues to expected to close the deal by the YE 2023.
Fitch acknowledges it could be pushed out into 2024 as the
approvals from Federal Energy Regulatory Commission (FERC) and the
Department of Justice (DOJ) are still pending. The Nuclear
Regulatory Commission approved the transaction in September 2023,
but FERC recently extended the deadline for its approval process
until April 11, 2024.
Vistra agreed to divest off two of its natural gas power plants
located in PJM to alleviate any market concern issues raised during
the regulatory approval process. Vistra recently issued $1.7
billion of debt that will be used to finance transaction; the
remaining funds would come from cash on hand and revolver.
Acquisition by Vistra Increases Financial Risk Profile: While the
acquisition provides modest improvement to the combined
enterprise's business position, the proposed acquisition results in
a weaker financial profile. Vistra would fully control the legal,
strategic and operational aspects of the combined business, and as
a result, following the deal closure, Fitch will likely equalize
Energy Harbor's IDR with Vistra's.
Weaker Standalone Financial Policy: In the event that the merger
fails, Fitch views Energy Harbor's financial policy, including
target leverage and capital allocation policy as being somewhat
uncertain. The company has not significantly changed its capital
structure since it emerged from bankruptcy. In establishing a
permanent capital structure, Fitch estimates Energy Harbor's
leverage could be materially higher than Fitch's expectation of
around 1.0x over the 2023-2025 period. The current rating action
incorporates this assumption.
Energy Harbor's only existing debt is approximately $430 million in
municipal bonds, which will be assumed by Vistra Vision upon close
of the transaction. Fitch does not rate this debt.
DERIVATION SUMMARY
Energy Harbor and Vistra Corp. (BB/Stable) have similar business
strategies of combining generation and retail businesses and a load
match book. While Vistra has a larger generation portfolio than
Energy Harbor, it is predominately in ERCOT, which does not benefit
from capacity prices, and includes coal fired-generation in
addition to natural gas assets. In comparison, Energy Harbor has a
nuclear-baseload profile, which runs at nearly 92% capacity.
Fitch views Ontario, Canada based nuclear generator Bruce Power
(BBB+/Stable) as having slightly stronger profile as its generation
capacity at 6.5GW is larger than Energy Harbor's, and the output
from its facilities is sold on a wholesale basis to the Independent
Electricity System Operator (IESO) under favorable contractual
terms including a supportive rate of return and escalators, resets,
and pass-throughs for most cost items.
Both Vistra and Energy Harbor benefit from their ownership of large
retail electricity businesses, which are typically countercyclical
to wholesale generation given the length and stickiness of customer
contracts. Vistra benefits from its incumbent position in Texas
with a high margin mass retail market, while Energy Harbor's retail
unit serves a mix of C&I, residential, small and medium-sized
business, Provider of Last Resort and government aggregation
customer base with margins that are generally lower and a customer
base that is more stable. Bruce Power does not have any retail
operations for physical delivery.
In the interim period before the transaction closes, Fitch expects
Energy Harbor and Vistra to maintain leverage in-line with current
ratings: around 1.0x at Energy Harbor compared with around 4.0x at
Vistra. EBITDA leverage is projected to be around 2.0x at Bruce
Power.
KEY ASSUMPTIONS
- The acquisition closes as per the stated terms;
- Vistra receives approvals in a timely manner.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
- The Rating Watch could be removed and the ratings affirmed if the
transaction fails to close and the company states its financial
policy such that leverage (as defined earlier) is sustained between
2.0x and 3.0x;
- Further positive rating action could be considered if the
transaction fails to close and the company states its financial
policy such that leverage is less than 2.0x on a sustained basis.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
- Transaction closes as per currently understood terms;
- Transaction fails to close and leverage exceeds 3.0x on a
sustained basis.
LIQUIDITY AND DEBT STRUCTURE
Adequate Liquidity: Energy Harbor has adequate liquidity, given
substantial cash on-hand as of June 30, 2023. The company is
expected to be FCF positive, and Fitch projects cash on hand will
continue to increase over the next 12-18 months. The company also
has a Zero Carbon 366-day LC facility. The facility was renewed
until October 2024. Fitch believes liquidity is sufficient for
collateral posting. Absence of a long-term credit facility is a
slight weakness, but Fitch expects the company can access
additional bank lending to bridge short-term liquidity needs.
ISSUER PROFILE
Energy Harbor Corp. is a privately held energy producer and
retailer, headquartered in Akron, OH. The company owns and operates
four nuclear power generation units in Ohio and Pennsylvania
totaling about 4.0GW. The company also serves over one million
residential, commercial and industrial customers.
ESG CONSIDERATIONS
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
Entity/Debt Rating Prior
----------- ------ -----
Energy Harbor Corp. LT IDR BB+ Rating Watch Maintained BB+
ENVISION HEALTHCARE: Exits Financial Restructuring Process
----------------------------------------------------------
Envision Healthcare, a leading medical group, on Nov. 3 disclosed
that it has successfully completed and emerged from its
restructuring process with a markedly strengthened capital
structure to support its growth as a leading medical group.
Envision's now effective Plan of Reorganization, supported by its
key creditor groups and confirmed by the Bankruptcy Court on
October 11, 2023, has reduced the company's debt by more than 70%.
In connection with emergence, Envision Healthcare and AMSURG
separated into two stand-alone entities with separate leadership
teams and owner groups. Both companies, supported by new equity
owners, are well positioned for long-term success.
"Envision continues to deliver high-performing services for our
patients, hospital partners and the communities we serve," said
Envision Chief Executive Officer Jim Rechtin. "Now that our
financial restructuring has been completed successfully, we are
driving Envision's future growth from a position of stability and
strength. We have significantly less debt as well as a strong
operating model that will fuel the success of our patients and
partners, achieve our strategic objectives, and accelerate our
growth."
"The emergence is the culmination of the hard work, collaboration,
and vision of many," continued Rechtin. "I especially want to thank
our talented and committed Envision clinicians and teammates for
their unwavering focus on continuing to deliver high quality
patient care throughout this process -- and thank our hospital
partners, vendors and other valued partners for their trust and
support. With a focus on innovation, reliability and
high-performing service, we will continue as a leading medical
group delivering care when its needed most."
About Envision Healthcare Corporation
Envision Healthcare Corporation -- http://www.EnvisionHealth.com/
-- is a national medical group that delivers physician and advanced
practice provider services, primarily in the areas of emergency and
hospitalist medicine, anesthesiology, radiology, teleradiology and
neonatology. As a leader in ambulatory surgical care, AMSURG holds
ownership in more than 250 surgery centers in 41 states and the
District of Columbia, with medical specialties ranging from
gastroenterology to ophthalmology and orthopedics. In total, the
medical group offers a differentiated suite of clinical solutions
on a national scale with a local understanding of communities,
creating value for health systems, payers, providers and patients.
On May 15, 2023, Envision and affiliates filed voluntary petitions
for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D.
Texas Lead Case No. 23-90342). Envision reported $1 billion to $10
billion in both assets and liabilities.
Judge Christopher M. Lopez oversees the cases.
The Debtors tapped Kirkland & Ellis, LLP and Kirkland & Ellis
International, LLP as bankruptcy counsels; Jackson Walker, LLP as
conflict counsel and co-counsel with Kirkland & Ellis; Alvarez &
Marsal North America, LLC as restructuring advisor; PJT Partners,
LP as investment banker; and KPMG, LLP as tax consultant. Kroll
Restructuring Administration, LLC is the claims, noticing and
solicitation agent.
The U.S. Trustee for Region 7 appointed an official committee to
represent unsecured creditors in the Debtors' Chapter 11 cases. The
committee tapped White & Case, LLP as legal counsel and Force Ten
Partners, LLC as financial advisor.
Daniel T. McMurray is the patient care ombudsman appointed in the
Debtors' cases.
FIRST BRANDS: Fitch Alters Outlook on BB- LongTerm IDR to Negative
------------------------------------------------------------------
Fitch Ratings has affirmed First Brands Group LLC's (FBG) Long-Term
Issuer Default Rating (IDR) at 'BB-'. Fitch has also affirmed FBG's
secured asset-based lending (ABL) revolver rating at 'BB+'/'RR1',
first lien secured term loan rating (which includes the proposed
EUR300 million non-fungible add-on) at 'BB+'/'RR2', and second lien
secured term loan rating at 'BB-'/'RR4'.
The Rating Outlook has been revised to Negative from Stable.
The revision of FBG's Outlook to Negative reflects the
variable-rate debt the company has added over the past year,
including the planned Euro term loan add-on. Although Fitch views
FBG's business profile as consistent with the 'BB' category, Fitch
expects pro forma EBITDA interest coverage to decline to a level
commensurate with the 'B' category.
Fitch could revise the Outlook back to Stable as the company
establishes additional acquisition visibility, de-risks expected
M&A, and manages its financial profile in line with 'BB-' rating
tolerances. Fitch recognizes management has a favorable integration
track record, but the heightened level of M&A within new products
and geographies elevates near-term execution, as well as financial
profile, risks.
KEY RATING DRIVERS
Term Loan Add-On: FBG plans to add a non-fungible EUR300 million
euro-denominated tranche to its existing first lien term loan. This
will be the third add-on in 2023, following a $300 million increase
in February and a $450 million increase in August. Fitch expects
proceeds will largely be used to provide Euro-denominated funds for
potential future acquisitions in the region.
Pricing for the euro tranche will be based on EURIBOR, unlike the
rest of the first lien term loan, which is based on SOFR. With
EURIBOR recently running about 140 basis points lower than SOFR,
cash interest on the new tranche is expected to be lower than on
the other tranches.
Declining Interest Coverage: The steep rise in interest rates over
the past year has made FBG's cost of debt significantly more
expensive. Based on current SOFR rates, Fitch estimates that cash
interest on FBG's first lien term loan is running above 10.5%,
while interest on the second lien term loan is likely running a
little under 14%. The proposed euro tranche will likely see
interest closer to 9%.
The increase in floating-rate debt, plus the rise in interest
rates, is likely to result in EBITDA interest coverage, pro forma
for acquisitions undertaken in 2023, declining from 3.6x (according
to Fitch's methodology) to below 3.0x and potentially toward the
mid-2x range if rates remain elevated through 2024. This is
consistent with an IDR in the 'B' range.
Strong Business Profile: FBG maintains a strong and diversified
portfolio of aftermarket brands, which are market-leading across
multiple categories. The company has the leading market share in
North America within the aftermarket brakes, filters, fuel pumps,
gas springs and wipers categories. Key brands include Centric,
Raybestos and StopTech in brakes; FRAM and CHAMP in filters; Carter
and Airtex-ASC in fuel & water pumps; STRONGARM in gas springs;
AUTOLITE in spark plugs; Horizon in towing equipment; and Trico,
ANCO and Michelin in wipers.
Cost Saving Initiatives: FBG continues to identify substantial cost
savings opportunities, the majority of which are related to
acquisitions that were completed over the past several years. In
order to achieve the anticipated savings, FBG expects to incur
material restructuring charges that will be realized as the cost
savings initiatives progress. Fitch views the savings as largely
achievable and has incorporated much of the savings into its
forecasts.
FCF Expected to Grow: Fitch expects FBG's FCF margins (according to
Fitch's methodology) to be solid but pressured a bit in the short
term due to the timing of the company's restructuring activities,
as well as increased interest costs on a higher debt load and
increased interest rates. Higher capex could also put some pressure
on FBG's near-term FCF margin.
Pro forma for acquisitions completed over the past year, Fitch
expects FBG's FCF margins to run at about 5.5% in 2023. Fitch
expects FCF margins to rise toward the upper-single-digit range in
future years, once the company's cost savings initiatives are fully
implemented and the company realizes acquisition synergies. Fitch
expects capex as a percentage of revenue to average about 3.0% over
the next several years.
Declining Leverage Over Time: Fitch expects FBG's leverage to
generally trend lower over time. However, FBG is an acquisitive
company, and the pace of leverage reduction will be gated by the
timing of acquisitions and the debt raised to fund them. Over the
past couple of years, FBG has tended to use proceeds from debt to
put cash on its balance sheet to fund potential future
acquisitions. Thus, the company may carry excess debt at times
while it looks for acquisition opportunities.
Including the proposed Euro add-on to its term loan, Fitch expects
FBG will have added over $1.0 billion of debt to its capital
structure in 2023. However, Fitch expects incremental EBITDA from
the 2023 acquisitions, along with synergy benefits and other cost
savings, to result in pro forma EBITDA leverage ending the year
slightly below 4.0x. EBITDA leverage could potentially decline
below 3.5x over the following two years, although this would
require the company to take a pause from its debt-funded
acquisition activities.
DERIVATION SUMMARY
FBG primarily focuses on non-discretionary, branded automotive
aftermarket parts and components, although it does have some Tier 1
automotive exposure as well. Compared with other rated suppliers
with significant exposure to the automotive aftermarket, such as
Robert Bosch GmbH (A/Stable), The Goodyear Tire & Rubber Company
(BB-/Stable), Tenneco Inc. (B/Stable), and Clarios International
Inc. (B/Stable), FBG is smaller, with sales that are less
geographically diversified, as the majority of FBG's revenue is
derived in North America.
Compared with other Fitch-rated auto suppliers, FBG's products
generally contain lower levels of technology content, with key
products, such as brakes, wiper blades, gas springs, fuel & water
pumps, spark plugs, automotive filters, and trailer and towing
equipment that are more mature than those of higher-tech rated
issuers such as BorgWarner Inc. (BBB+/Stable) or Aptiv PLC
(BBB/Stable).
Compared with Tenneco and Clarios, FBG's EBITDA leverage is lower
and its EBITDA margins are stronger. FBG's strong EBITDA margins
are expected to be nearly double those of many investment-grade
auto suppliers, such as BorgWarner, Aptiv and Lear Corporation
(BBB/Stable), as FBG benefits from restructuring activities and
acquisition synergies over the intermediate term. Fitch expects
FBG's FCF margins to be stronger than Aptiv and Clarios over time
as cash restructuring expenses decline. However, FBG's interest
coverage has declined to levels more commensurate with auto
suppliers in the 'B' category, as nearly all of the company's debt
is subject to floating interest rates.
KEY ASSUMPTIONS
Fitch's Key Assumptions Within The Rating Case for the Issuer:
- Pro forma revenue rises by nearly 50% in 2023, primarily as a
result of Pylon Manufacturing and Horizon Global acquisitions.
Beyond 2023, organic revenue growth runs in the 3.5%-4.0% range
annually;
- Pro forma EBITDA margins strengthen over the next few years as
the company achieves cost efficiencies from restructuring and
acquisition synergies;
- Pro forma FCF margins run near 6% in 2023, and then rise toward
the upper-single-digit range thereafter;
- Capital intensity (capex as a percentage of revenue) averages
about 3.0% for the next several years;
- Excess cash is primarily directed toward bolt-on acquisitions.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
- EBITDA leverage sustained below 3.0x;
- FCF margins sustained above 5.0%;
- Further diversification in the company's geographic and
end-markets.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
- A merger or acquisition that results in higher leverage or lower
margins for a sustained period;
- EBITDA leverage sustained above 4.0x;
- EBITDA interest coverage sustained below 3.0x;
- FCF margins sustained below 1.0%.
LIQUIDITY AND DEBT STRUCTURE
Liquidity: Fitch expects FBG's liquidity position to remain solid.
As of July 1, 2023, FBG had $477 million of unrestricted cash
(excluding Fitch's adjustments for not readily available cash). In
addition to its cash, FBG maintains further liquidity through its
$250 million asset-based lending (ABL) revolver that matures in
2028. As of July 1, 2023, FBG had $176 million of remaining
available capacity after accounting for $74 million of outstanding
LOCs. The borrowing base did not reduce the amount available on the
ABL revolver at July 1, 2023.
Based on its criteria, Fitch treats cash needed to cover seasonal
needs and other obligations as not readily available for purposes
of calculating net metrics. Based on Fitch's estimate of the amount
of cash the company needs to keep on hand to cover seasonality in
its business, Fitch has treated $75 million of FBG's cash as not
readily available.
Debt Structure: As of July 1, 2023, FBG's debt structure consisted
of borrowings on its secured credit facility (which includes the
first lien term loan, second lien term loan, and the ABL revolver)
and off-balance sheet factoring that Fitch treats as debt. Total
debt, including off-balance sheet factoring, was $3.8 billion in
principal value at July 1, 2023. Pro forma for the $450 million
term loan upsizing in August 2023 and the planned EUR300 million
upsizing, debt would have been about $4.6 billion.
FBG's off-balance sheet factoring includes supply chain financing
programs that the company has with some of its aftermarket
customers to whom the company has entered into extended payment
terms. If the financial institutions involved in these programs
were to curtail or end their participation, FBG might need to
borrow from its revolver to offset the effect, but it could also
mitigate at least a portion of the effect by exercising its
contractual right to shorten the payment terms with these
particular aftermarket customers.
ISSUER PROFILE
FBG is a manufacturer of non-discretionary, branded automotive
aftermarket parts and components in North America. The company has
a leading market position in the top-three categories sold at auto
parts retailers. Key brands include FRAM, Trico, Centric and
Raybestos.
ESG CONSIDERATIONS
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
Entity/Debt Rating Recovery Prior
----------- ------ -------- -----
First Brands
Group LLC LT IDR BB- Affirmed BB-
senior secured LT BB+ Affirmed RR2 BB+
senior secured LT BB+ Affirmed RR1 BB+
Senior Secured
2nd Lien LT BB- Affirmed RR4 BB-
FIRST BRANDS: Moody's Rates New EUR First Lien Term Loan 'B1'
-------------------------------------------------------------
Moody's Investors Service assigned a B1 rating to First Brands
Group, LLC's new Euro-denominated senior secured first lien term
loan due 2027. The company's existing ratings, including the B2
corporate family rating and B2-PD probability of default rating,
are unchanged at this time. The outlook remains positive.
Proceeds from the EUR300 million incremental term loan will be used
to further bolster the company's already very good liquidity. As
with other recent debt raises, Moody's expects First Brands to use
the excess liquidity to support organic growth investments and
opportunistically pursue acquisitions. Particularly, Moody's
expects First Brands to evaluate expansion opportunities within the
European automotive aftermarket. Moody's estimates that the
European region represents about 20% of First Brands' revenue.
Inclusive of the proposed Euro-denominated term loan, Moody's
expects debt/EBITDA to be around 5x on a pro forma basis as of June
30, 2023. The pro forma leverage calculation includes various
adjustments, but does not give credit for unrealized cost savings.
The positive outlook reflects the expectation that First Brands'
debt/EBITDA will trend toward 4x over the next 12 months as
earnings benefit from stable organic revenue growth and the
realization of ongoing cost savings. In addition, Moody's expects
First Brands to generate free cash flow to debt of at least 5% in
2023 and 2024 (incorporating cash costs to realize savings)
following negative free cash flow in 2022.
However, Moody's also considers the uncertainty around the specific
use of the company's recent debt raises. Greater clarity on the
impact of potential acquisitions or other deployment of cash remain
important considerations to First Brands' credit profile.
RATINGS RATIONALE
First Brands' ratings reflect its sizeable scale as a predominately
automotive aftermarket parts supplier, good margins and history of
fully debt funded acquisitions. First Brands' current scale has
been achieved predominately through acquisitions over the last few
years while its good margins have been largely supported by
substantial cost saving initiatives following those acquisitions.
The cost savings are primarily achieved from a combination of
facilities consolidation, product insourcing and procurement
efficiencies. Moody's expects First Brands to maintain many of
these efficiencies as a significantly larger company. However,
Moody's notes there are upfront costs to enact these restructuring
efforts and risks around the sustainability of savings over the
longer term.
Thus far in 2023, First Brands has completed three acquisitions,
including Horizon Global during the first quarter and Cardone
Industries, a former competitor in the brake products space, during
the third quarter. Both acquisitions reflect First Brands' strategy
to purchase underperforming assets and pursue significant
restructuring efforts to improve profitability. At the time of each
acquisition, both Horizon and Cardone were operating at a loss.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING
The ratings could be upgraded if First Brands maintains a less
aggressive financial policy of debt funded acquisitions and
sustains its realized cost savings such that EBITA margin exceeds
20%. The ratings could also be upgraded if debt/EBITDA approaches
4x and good liquidity is maintained with free cash flow to debt in
the high single digits.
The ratings could be downgraded if Moody's anticipates inability
for the company to maintain realized cost savings and expects a
material deterioration in EBITA margin. Metrics that could result
in a rating downgrade include free cash flow to debt below 3% or
debt/EBITDA sustained above 6x.
The principal methodology used in this rating was Automotive
Suppliers published in May 2021.
First Brands Group, LLC, headquartered in Cleveland, OH, is a
leading manufacturer and distributor of primarily aftermarket
component parts for the automotive and other industrial equipment
markets. The company's products include wipers, air and oil
filters, water and fuel pumps, brake drums and rotors, spark plugs,
towing and trailering equipment and gas springs.
GIGA-TRONICS INC: Chief Operating Officer Resigns
-------------------------------------------------
Giga-Tronics Incorporated disclosed in a Form 8-K filed with the
Securities and Exchange Commission that Timothy Long resigned as
chief operating officer of the Company for personal reasons,
effective Nov. 24, 2023.
Mr. Long has agreed, prior to the Effective Date, to assist the
Company in developing a succession plan and to help the Company
identify his replacement. According to the Company, there can be no
assurance that a suitable replacement will be identified in a
timely manner.
About Giga-tronics Inc.
Headquartered in Dublin, California, Giga-Tronics Inc. is a
publicly held company, traded on the OTCQB Capital Market under the
symbol "GIGA". Giga-tronics -- http://www.gigatronics.com-- is a
provider of purpose-built electronic technology solutions for
defense and other mission critical applications. The Company
designs, manufactures, and distributes specialized precision
electronic solutions, automated test solutions, power electronics,
supply and distribution solutions, display solutions and radio,
microwave and millimeter wave communication systems and components
for a variety of applications with a focus on the global defense
industry for military airborne, sea and ground applications
including high fidelity signal simulation and recording solutions
for Electronic Warfare test and training applications.
Giga-Tronics reported a net loss of $18.42 million for the year
ended Dec. 31, 2022, compared to a net loss of $2.86 million for
the year ended Dec. 31, 2021.
New York, New York-based Marcum LLP, the Company's auditor since
2021, issued a "going concern" qualification in its report dated
May 11, 2023, citing that the Company has incurred significant
losses and needs to raise additional funds to meet its obligations
and sustain its operations. These conditions raise substantial
doubt about the Company's ability to continue as a going concern.
GOODYEAR TIRE: Moody's Affirms B1 CFR & Alters Outlook to Negative
------------------------------------------------------------------
Moody's Investors Service affirmed The Goodyear Tire & Rubber
Company's (Goodyear) B1 corporate family rating, B1-PD probability
of default rating and the B2 and B3 ratings of the company's senior
unsecured notes. At the same time, Moody's affirmed Goodyear
Europe B.V.'s backed senior unsecured notes rating at Ba3. The
outlook was changed to negative from stable for both Goodyear and
Goodyear Europe B.V. Goodyear's Speculative Grade Liquidity rating
remains SGL-2.
The change in outlook to negative reflects Moody's growing concern
that weak earnings and cash flow could persist well into 2024.
Despite expected sequential improvement from the first half of this
year, Q3 and Q4 2023 earnings will likely be weaker than the prior
year leaving leverage above 6x through year-end 2023. Free cash
flow should improve from the sharply negative results seen in the
last twelve months ended June 2023, yet Moody's still expects
negative free cash flow for the full year.
Goodyear continues to struggle with its cost structure as
profitability remains below its peers. In response, in July 2023
the company announced a comprehensive strategic and operational
review as part of a cooperation agreement with activist investor
Elliot Investment Management. Goodyear has implemented numerous
restructuring initiatives in recent years, including reducing
production of less profitable tires, modernizing plants (more
automation), rationalizing salaried workforce and closing
manufacturing plants. However, the current review is expected to
be more aggressive, yielding more substantial cost saving
opportunities intended to improve earnings and position the company
for a sustainably more competitive operating model. Goodyear is
expected to make the strategic and operational review findings
public by November 15th.
The rating affirmations reflect solid liquidity, expectations for
improving but still weak earnings and significant opportunity for
cost savings that could be realized over the next 12-18 months.
RATINGS RATIONALE
The ratings reflect Goodyear's status as a top global manufacturer
of aftermarket and original equipment tires, highlighted by a
well-recognized brand name and leading market share position in
North America. Goodyear maintains good scale and is experiencing
growth in higher margin 17-inch and larger tires. The 2021
acquisition of Cooper Tire & Rubber Company strengthened Goodyear's
US replacement tire market position and the original equipment tire
business in China where light vehicle demand, including electric
vehicles, is rapidly expanding.
Continued easing of raw material inputs and modestly improving
product mix should improve operating results. However, Moody's
expects leverage will remain very high at over 6x into 2024.
Further, free cash flow, which has been significantly negative,
will only be modestly positive in 2024. Interest coverage will
remain weak due to the heavy debt load. Liquidity is expected to
remain good with solid cash and ample borrowing availability under
revolving credit facilities.
The negative outlook reflects Moody's expectation for key credit
metrics to remain weak into at least mid-2024. Meaningful
improvement in profitability and cash flow will rely heavily on the
company's ability to successfully implement what is anticipated to
be more ambitious cost saving initiatives.
Goodyear's SGL-2 Speculative Grade Liquidity Rating is supported by
Moody's expectation for maintenance of a robust cash position (over
$1 billion at June 30, 2023) and significant availability under
various revolving credit facilities. At June 30, 2023, the company
had over $2 billion of availability under a $2.75 billion
asset-based lending facility (ABL) expiring 2026 and availability
of approximately $360 million under the EUR800 million revolving
credit facility set to expire 2028. Moody's expect free cash flow
to be negative for 2023, improving to at least $50 million in 2024
due to modestly stronger demand and improved cost management.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
Ratings could be downgraded if the EBITA margin does not steadily
improve, free cash flow fails to progress towards breakeven or
debt-to-EBITDA remains above 5.5x. EBITA-to-interest remaining
below 2x could also result in a downgrade. A downgrade could also
arise from a meaningful decline in liquidity, including increased
reliance on revolving credit facilities for the need to fund
outlays relating to any strategic review actions.
The ratings could be upgraded with sustained improvement in
margins, boosted by sizable and near-term actionable cost saving
initiatives from the strategic review findings. Expectations for
solidly positive and increasing free cash flow used for debt
reduction, such that debt-to-EBITDA falls toward 3.5x, or
EBITA-to-interest in excess of 3x could also result in a rating
upgrade.
The principal methodology used in these ratings was Automotive
Suppliers published in May 2021.
The Goodyear Tire & Rubber Company is one of the largest tire
manufacturers in the world. The company also manufactures and sells
rubber related chemicals for various industrial applications.
Goodyear provides commercial truck service and tire retreading
centers and operates retail outlets that offer products for sale to
consumer and commercial customers and provide repair and other
services. Revenue for the twelve months ended June 30, 2023 was
over $20 billion.
HARBOR SPRINGS: S&P Rates 2023A/2023B Revenue Bonds 'BB+'
---------------------------------------------------------
S&P Global Ratings assigned its 'BB+' long-term rating to the
California School Finance Authority's (CSFA) $16.6 million series
2023A (tax-exempt) and $505,000 series 2023B (taxable) charter
school revenue bonds, to be issued for the Harbor Springs Charter
Schools Obligated Group. The outlook is stable.
The authority will lend the 2023 bond proceeds to Pacific Springs
Facilities LLC who will own the facility and lease it to Harbor
Springs for Pacific Springs Charter School (PSCS), pursuant to bond
indentures and a loan agreement. The bonds are ultimately secured
by gross revenues of PSCS (the obligated group). The network's
other schools, Vista Springs Charter School (VSCS) and Harbor
Springs Charter School, are not included in the obligated group and
their revenues are not pledged to the bonds. The bonds are further
secured by a debt service reserve fund that will be funded at
maximum annual debt service (MADS) with grant proceeds from the
CSFA Credit Enhancement Grant Program.
Proceeds of the 2023 bonds will primarily be used to refinance an
existing privately placed loan that was used to acquire a new
building ($12.5 million), and to finance improvements to the new
building (approximately $3.0 million). Once renovations are
completed, PSCS will operate in the new building, and its existing
facility lease will be eliminated.
Based on our "Group Rating Methodology" (GRM) criteria, published
July 1, 2019, the rating analysis encompasses the entire Harbor
Springs organization due to the network approach to general
strategy and shared oversight. The 'BB+' rating is based on S&P's
group credit profile and its view that the obligated group is core
to the organization. Given the core status of the obligated group,
the bond rating is equal to that of the group credit profile and
all references hereafter to Harbor Springs are at the consolidated
level, unless otherwise specified. The rating applies only to the
bonds and not to the organization.
"We assessed Harbor Springs' enterprise profile as adequate,
characterized by steady enrollment and student retention, good
working relationships with the charter authorizers, and a
long-tenured management team," said S&P Global Ratings credit
analyst Kimberly Barrett. "We assessed Harbor Springs' financial
profile as adequate, reflecting a trend of recurring positive
operating results, solid financial resource ratios, and manageable
pro forma MADS burden," Ms. Barrett added. These credit factors,
combined, lead to an anchor of 'bbb-'. As S&P's GRM criteria
indicate, the final rating can be adjusted below the anchor, and in
its opinion, the 'BB+' better reflects the network's relatively
smaller size and shorter operating history compared with peers.
The stable outlook reflects S&P's expectation that Harbor Springs'
enrollment will remain at least steady, that the network will
continue to prudently manage its budget and post positive operating
results with the inclusion of additional costs and debt service
stemming from the acquisition of the new classroom building, and
that there are no plans to issue additional debt in the near term.
HAWAIIAN HOLDINGS: Moody's Lowers CFR to Caa1, Outlook Negative
---------------------------------------------------------------
Moody's Investors Service downgraded its ratings of Hawaiian
Holdings, Inc. ("Hawaiian"), including the corporate family rating
to Caa1 from B2 and probability of default rating to Caa1-PD from
B2-PD. Moody's also downgraded the rating on subsidiary Hawaiian
Airlines, Inc.'s ("Airlines") Series 2013-1 Class A Enhanced
Equipment Trust Certificates ("EETC") to B3 from B1 and the rating
assigned to HawaiianMiles Loyalty, Ltd.'s $1.2 billion of senior
notes secured by the company's HawaiianMiles loyalty program and
its brand intellectual property ("Notes") to B2 from Ba3. The
speculative grade liquidity rating ("SGL") was lowered to SGL-3
from SGL-2. The ratings outlooks remain negative.
"The downgrades reflect Moody's increasing concerns of Hawaiian's
ability to achieve a material positive inflection in its operating
profit and cash flow in the upcoming 12 months," said Moody's
Senior Vice President, Jonathan Root. The inability to materially
improve operating profit and cash flow in the quarters ahead will
complicate the refinancing of the loyalty program notes or raise
the potential for a transaction that Moody's would deem a
distressed exchange, which are governance concerns. Based on
Hawaiian's most recent guidance from its Q3 earnings call, Moody's
now forecasts an operating loss of about $300 million and negative
operating cash flow of about $50 million in 2023. Moody's projects
that deficits will be sustained near these levels in 2024 because
the headwinds buffeting the company's revenue performance are
unlikely to meaningfully subside. Moody's anticipates that the
competitive intensity in the company's West Coast to Hawaii and
neighbor island operations will remain high. Accordingly, the
prospects for the higher fare levels needed to cover the company's
operating costs with cushion are modest. Moody's believes that the
lower pricing from Southwest Airlines for inter-island flights and
in the US West Coast to Hawaii market will continue to hamper
Hawaiian's cash generation. GTF engine inspections required on the
company's A321neo fleet and uncertainty of the strength of demand
from Japan and for travel to Maui are additional headwinds for
Hawaiian to overcome in 2024. "Ongoing losses at the levels Moody's
projects and the investment net of debt funding of four 787
deliveries in 2024 would consume upwards of $300 million of the
company's cash," said Root. Cash stood at $1.1 billion on September
30, 2023. If demand and pricing on Japan and US West Coast routes
are much stronger than Moody's current estimates, free cash flow
would still be negative and the decline in the cash cushion would
be tempered.
The negative outlook reflects the potential for ongoing weak
operating cash flow that would lead to further reductions in the
company's cash cushion, reducing the excess cash on hand that could
otherwise be available for debt retirement.
Moody's lowered its speculative grade liquidity rating ("SGL") to
SGL-3 because of the $300 million decline in the cash cushion it
projects for 2024. Moody's expects cash of $1.0 billion at the end
of 2023, which will reflect a burn of $300 million since June 30,
2023. Debt amortization of about $50 million annually in each of
2024 and 2025 is manageable.
The Jan 2026 maturity of the HawaiianMiles' $1.2 billion loyalty
financing is the overarching pressure point on the company's
ratings. It exacerbates the need to restore strong positive
operating cash flow within months rather than years.
The downgrade of the loyalty program notes is in step with the
downgrade of the corporate family rating. Moody's practice has been
to rate obligations secured by loyalty programs and in the case of
Hawaiian, also its brand intellectual property, one notch above the
senior secured rating on a company's secured debt rating determined
by Moody's Loss Given Default for Speculative-Grade Companies
rating methodology. Loyalty financings are obligations of
bankruptcy-remote special purpose entities. In this transaction,
Hawaiian and Airlines and the respective intermediate holding
companies Hawaiian Finance 1, Ltd. and its subsidiary, Hawaiian
Finance 2, Ltd. -- owner of the loyalty financing co-issuers,
unconditionally guarantee the issuers' obligations under the notes'
indenture on a joint and several basis.
The EETC rating remains one notch above the corporate family rating
("CFR"). The one notch of uplift reflects Moody's belief that the
relatively low coupon on the financing and that Hawaiian owns the
six A330s that collateralize the transaction indicate a high
likelihood of affirmation should the airline file for bankruptcy.
This implies that lessors would feel the brunt of any downsizing of
the 24 aircraft, A330-200 fleet in a reorganization. Hawaiian owns
12 of the type including the six in the 2013-1 EETC. Moody's
estimates the current loan-to-value at about 115%. The final
scheduled payment date is January 15, 2026.
RATINGS RATIONALE
The Caa1 corporate family rating ("CFR") reflects the simultaneous
challenges that are limiting cash generation in each of the
company's three niches, US West Coast to Hawaii, Inter-island and
Japan and Oceania to Hawaii. Prior to the pandemic, market
conditions provided a foundation for Hawaiian to generate good cash
flow, de-lever and earn acceptable returns on capital. However, the
impact of Southwest Airlines' entry into two of the company's three
niches brings to light the fragility of Hawaiian's business model.
Southwest's entry increased price competition in the California to
Hawaii market. It also introduced competition on neighbor island
routes, driving down the average fare there by upwards of 50%.
Demand from Japan is reportedly increasing heading into the 2023
fourth quarter; however, capacity additions will outpace demand
growth, delaying solid strengthening of yields in this market in
the near term. The Caa1 rating also anticipates increasing
refinancing risk because of absorption of the cash cushion the
company has been able to sustain since the issuance of the loyalty
program notes in January 2021. Moody's believes that the effects of
the August 2023 fires on travel demand to Maui and Hawaii will be
temporary, rather than leading to a sustained decline in demand for
travel to Hawaii. The lack of earnings also makes credit metrics
extremely weak. Metrics are likely to remain weak through 2025.
Moody's lowered its governance Issuer Profile Score to G-4 from
G-3. The effect of the weak earnings on financial leverage and the
linkage of leverage to Moody's governance issuer profile scoring
caused this change. Moody's also lowered its Credit Impact Score to
CIS-4 from CIS-3. This reflects the increasing weight of the
company's situation on its ratings at ESG factors do weigh on the
company's rating. Moody's believes Hawaiian would like to restore
its pre-pandemic balance sheet strength; however, this will be
challenging given the aforementioned idiosyncratic headwinds. The
undrawn $235 million revolver and unencumbered assets that could
bring in about $500 million of new debt support the liquidity
profile.
The B2 rating on the notes reflects the essentiality of the
Hawaiian Airlines' brand and related intellectual property for it
to operate its business and the importance of its loyalty program
to its day-to-day operations and cash flows. This is balanced by
relatively low recovery prospects if the collateral ever needed to
be monetized to pay off the notes under an airline liquidation
scenario. The notes rating is currently one notch above the rating
Moody's would assign to other senior secured obligations based on
its LGD waterfall. Moody's applies a one notch positive override of
the LGD model rating to the loyalty program notes because it
expects a lower loss given default compared to other of the
company's senior secured debt obligations, which are unrated.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be downgraded if Moody's expects that operating
cash flow will trail its current projection for 2024, leading to
larger cash burn and faster consumption of the cash cushion. A
downgrade could also occur if the risk of a default or transaction
that Moody's would deem a distressed exchange increases. There will
be no upwards pressure on the ratings until Hawaiian sustains
positive operating cash flow and the prospects for refinancing the
loyalty program notes become apparent.
Changes in the EETC ratings can result from any combination of
changes in the underlying credit quality or ratings of the company,
Moody's opinion of the importance of the aircraft collateral to the
company's operations and/or its estimates of current and projected
aircraft market values, which will affect estimates of
loan-to-value.
The principal methodology used in rating Hawaiian Holdings, Inc.
and HawaiianMiles Loyalty, Ltd. was Passenger Airlines published in
August 2021.
Headquartered in Honolulu, Hawaii, Hawaiian Holdings, Inc. is the
holding company parent of Hawaiian Airlines, Inc., Hawaii's biggest
and longest-serving airline. Hawaiian offers nonstop service to
Hawaii from 15 US gateway cities, and serves American Samoa,
Australia, Cook Islands, Japan, New Zealand, South Korea and
Tahiti. Hawaiian also provides approximately 150 jet flights daily
between the Hawaiian Islands. The company reported revenue of $2.6
billion in 2022
HELIUS MEDICAL: Columbus Capital Acquires 9.6% Stake
----------------------------------------------------
In a Schedule 13G filed with the Securities and Exchange
Commission, Columbus Capital Management, LLC disclosed that as of
Oct. 23, 2023, it beneficially owned 54,504 shares of common stock
of Helius Medical Technologies, Inc., representing 9.6 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/1610853/000194104023000326/colcap13g102023.txt
About Helius Medical
Helius Medical Technologies, Inc. -- http://www.heliusmedical.com
-- is a neurotech company in the medical device field focused on
neurologic deficits using orally applied technology platform that
amplifies the brain's ability to engage physiologic compensatory
mechanisms and promote neuroplasticity, improving the lives of
people dealing with neurologic diseases.
Helius Medical reported a net loss of $14.07 million for the year
ended Dec. 31, 2022, compared to a net loss of $18.13 million for
the year ended Dec. 31, 2021. As of March 31, 2023, the Company had
$13.75 million in total assets, $7.69 million in total liabilities,
and $6.07 million in total stockholders' equity.
Minneapolis, Minnesota-based Baker Tilly US, LLP, the Company's
auditor since 2022, issued a "going concern" qualification in its
report dated March 9, 2023, citing that the Company has recurring
losses from operations, an accumulated deficit, expects to incur
losses for the foreseeable future and requires additional working
capital, thus raising substantial doubt about the Company's ability
to continue as a going concern.
HELIUS MEDICAL: To Release Q3 2023 Financial Results on Nov. 9
--------------------------------------------------------------
Helius Medical Technologies, Inc. announced that the Company will
release its third quarter 2023 financial results on Thursday, Nov.
9, 2023, after the market closes.
Dane C. Andreeff, president and chief executive officer, and
Jeffrey S. Mathiesen, chief financial officer will host a
conference call to discuss the results and provide an expanded
business update regarding Helius' progress and plans surrounding
the U.S. commercialization of PoNS as follows:
Date: Thursday, November 9, 2023
Time: 4:30 p.m. Eastern Time
Toll free: 800-225-9448
International: 203-518-9708
Conference ID: HSDTQ323
Webcast:
The webcast will be archived under the Newsroom section of the
Company's investor relations website.
Preliminary unaudited consolidated financial results as of and for
the quarter ended Sept. 30, 2023:
-- Expects to report Q3 revenues in range of $140 - $150,000,
reflecting the expected decrease in U.S. sales with the conclusion
of the Patient Therapy Access Program (PTAP) on June 30, 2023
-- Expects to report approximately $7.0 million in cash, cash
equivalents and proceeds receivable from warrant exercises,
extending cash runway into Q2 2024
-- Expects to report cash used in operating activities for the
first nine months of 2023, ranging from $8.3 - $8.4 million, and
for Q3, $2.4 - $2.5 million, reflecting continued focus on cash
management
About Helius Medical
Helius Medical Technologies, Inc. -- http://www.heliusmedical.com
-- is a neurotech company in the medical device field focused on
neurologic deficits using orally applied technology platform that
amplifies the brain's ability to engage physiologic compensatory
mechanisms and promote neuroplasticity, improving the lives of
people dealing with neurologic diseases.
Helius Medical reported a net loss of $14.07 million for the year
ended Dec. 31, 2022, compared to a net loss of $18.13 million for
the year ended Dec. 31, 2021. As of March 31, 2023, the Company had
$13.75 million in total assets, $7.69 million in total liabilities,
and $6.07 million in total stockholders' equity.
Minneapolis, Minnesota-based Baker Tilly US, LLP, the Company's
auditor since 2022, issued a "going concern" qualification in its
report dated March 9, 2023, citing that the Company has recurring
losses from operations, an accumulated deficit, expects to incur
losses for the foreseeable future and requires additional working
capital, thus raising substantial doubt about the Company's ability
to continue as a going concern.
HILCORP ENERGY: S&P Rates New $500MM Senior Unsecured Notes 'BB+'
-----------------------------------------------------------------
S&P Global Ratings assigned its 'BB+' issue-level rating and '3'
recovery rating to U.S.-based privately held oil and gas
exploration company Hilcorp Energy I L.P.'s (HEI) and Hilcorp
Finance Co.'s proposed $500 million senior unsecured notes due
2033. The '3' recovery rating indicates S&P's expectation for
meaningful (50%-70%; rounded estimate: 65%) recovery in the event
of a payment default. The notes will rank equally in right of
payment with the company's existing and future unsecured debt and
will be guaranteed on an unsecured unsubordinated basis by HEI's
restricted subsidiaries.
The company intends to use proceeds from this offering to repay
borrowings under its senior secured credit facility, as well as for
general partnership purposes. As of Sept. 29, 2023, HEI had about
$990 million of outstanding borrowings under the credit facility.
However, S&P expects HEI will subsequently draw on its credit
facility to partially finance its recently announced acquisition of
natural gas properties and integrated gathering and processing
assets in East Texas.
Additionally, following the company's semi-annual borrowing base
redetermination in October, it reduced the elected commitments on
its credit facility to $1.75 billion from $2.00 billion, and
extended the maturity date by approximately 2 years to Oct. 10,
2028.
S&P said, "We estimate HEI's credit measures will be in line with
our expectations for the current rating over the next two years.
Based on our current oil and natural gas price assumptions, we
expect the company's funds from operations (FFO) to debt will be
about 45%-50% while its debt to EBITDA remains below 2.0x through
2024."
ISSUE RATINGS--RECOVERY ANALYSIS
Key analytical factors
--S&P's simulated default scenario considers a period of sustained
low commodity prices, which is consistent with the conditions of
past defaults in this sector.
-- S&P bases its valuation on a company-provided consolidated
PV-10 report, using midyear proven reserves evaluated at its
recovery price deck assumptions of $50 per barrel for West Texas
Intermediate crude oil and $2.50 per million Btus for Henry Hub
natural gas.
-- S&P's recovery analysis for HEI also incorporates the $1.75
billion in commitments on its senior secured reserve-based lending
facility, which S&P assumes would be fully drawn at default.
Simulated default assumptions
-- Simulated year of default: 2028
-- Jurisdiction (Rank A): The company is headquartered in the U.S.
and most of its revenue and assets are located domestically.
-- S&P adjusted its gross enterprise value (EV) to account for
restructuring administrative costs (estimated at about 5% of gross
value).
Simplified waterfall
-- Net EV (after 5% in administrative costs): $12 billion
-- Total collateral value available to the secured reserve-based
lending facility: $12 billion
-- Secured first-lien debt: $3.1 billion
--Recovery expectations: Not applicable
-- Total value available to unsecured claims: $8.9 billion
-- Senior unsecured claims: $5.1 billion
--Recovery expectations: 50%-70% (rounded estimate: 65%)
Note: All debt amounts include six months of prepetition interest.
S&P generally cap its recovery ratings on the unsecured debt issued
by corporate entities that S&P rates 'BB-' or higher at '3'
(50%-70% recovery) to account for the risk they will add priority
or pari passu debt on the path to default.
HOVNANIAN ENTERPRISES: S&P Affirms 'B-' Issuer Credit Rating
------------------------------------------------------------
S&P Global Ratings affirmed its 'B-' issuer credit rating on
Hovnanian Enterprises Inc. (HOV). At the same time, S&P raised its
rating on its series A preferred debt to 'CCC-' from 'CC',
commensurate with its expectation that the company will maintain a
fixed-coverage ratio above 2.0x and secured debt leverage ratio
below 4.0x, which are required for HOV to pay the dividend, for the
foreseeable future.
S&P said, "The issue-level rating on the preferred stock should
have been raised on July 29, 2022, when we upgraded Hovnanian and
after dividend payments on the security had resumed, but the rating
was not changed at that time due to an analytical error.
The stable outlook reflects our expectation that HOV's leverage at
this point in the U.S. housing cycle provides a good buffer to
maintain EBITDA to interest coverage of approximately 3x-3.5x over
the next 12 months.
"We expect demand to be stronger through the remainder of HOV's
fiscal 2023, with a positive turn in macroeconomic trends. Mortgage
rates are stabilizing after the significant jump through the first
half of 2023 as buyers acclimate to higher interest rates.
Additionally, S&P Global Ratings analysts expect housing starts of
about 1.4 million in 2023 and 1.3 million in 2024 (compared with
1.2 million we previously forecast), as recessionary fears in the
U.S. economy dissipate. Homebuilders have also moderated their
incentive programs leading to more normal cancellation rates.
Strong demand pick-up since the start of 2023 coupled with a
limited resale market will likely enable more sales and home
constructions in 2023. We expect the 30-year conventional
fixed-rate mortgage to be in the mid- to high-6% range for 2023,
before declining to the high-5% area for 2024.
"We believe HOV will maintain a debt-to-EBITDA ratio of 4x-5x over
the next 12 to 24 months. We forecast EBITDA interest coverage of
3x to 3.5x the end of fiscal 2024 through the company's commitment
to reduce its elevated debt levels. We forecast the company will
generate EBITDA of roughly $325 million-$350 million in fiscal 2023
and 2024. We expect margins to decline compared to fiscal 2022 due
to softening housing demand in the first half of 2023. However, HOV
has retained the ability to generate leverage metrics commensurate
with a 'B-' rating. As macroeconomic uncertainty subsides and
demand for housing maintains a reasonable pace, we expect the
company to maintain its current operating performance, which will
decrease its S&P Global Ratings'-adjusted debt to EBITDA ratio
toward the 4x area in fiscal year 2024 from our expectations of
4.6x at the end of fiscal 2023.
"We anticipate HOV will finish fiscal 2023 with slightly more than
5,500 home closings, inclusive of its joint ventures. As the
company has managed to significantly decrease average construction
cycle times, we expect gross margins to fall slightly due to softer
demand, resulting in 13% fewer homes closed than in fiscal 2022. We
don't anticipate significant increases in home prices, which when
combined with lower closings, will reduce revenue by approximately
10%. As a result, we expect its S&P Global Ratings'-adjusted EBITDA
margin to decrease to the 12%-13% range in fiscal 2023 and 2024 and
adjusted EBITDA decreasing to roughly $325 million-$350 million.
However, we expect demand to increase while home prices depreciate
going into fiscal 2024 along with improved cycle times, resulting
in roughly flat revenue growth through 2024.
"The stable outlook on HOV reflects our expectation that debt to
EBITDA will remain between 4x and 5x through fiscal-year 2024, its
EBITDA interest coverage will remain comfortable above 2x, and it
will fund its operations with internally generated cash flows."
S&P could lower its rating on HOV to 'CCC+' if;
-- EBITDA to interest coverage declines to 2x. This could occur,
for example, if its EBITDA falls to about $250 million, which
represents nearly a 25% decline from our forecast; or
-- Cash funds from operations falls below 12% due to deteriorating
cash flow generation; or
-- If the company is unable to refinance the upcoming maturities
in 2026 such that liquidity becomes constrained, or the weighted
average maturity declines below 2 years.
S&P could raise its issuer credit rating on HOV to 'B' over the
next 12-18 months if:
-- It refinances a material portion of its mostly secured capital
structure;
-- Sustains debt to EBITDA of well below 4x; and
-- Maintains EBITDA interest coverage comfortably above 3x with no
sign of degradation.
HUDSON RIVER TRADING: Moody's Alters Outlook on Ba2 CFR to Stable
-----------------------------------------------------------------
Moody's Investors Service has affirmed Hudson River Trading LLC's
(HRT) Ba2 Corporate Family Rating, Ba3 Issuer Rating and Ba3 senior
secured first lien term loan B rating. Moody's has also changed
HRT's outlook to stable from negative.
RATINGS RATIONALE
The ratings affirmation reflects HRT's highly liquid balance sheet,
healthy capital base and resilient profitability. Moody's said
HRT's credit profile benefits from a partnership culture and
sustained oversight of a highly-engaged leadership team. HRT's
ratings continue to reflect operational and market risk from its
rapid global expansion, especially into regions with weaker capital
market conditions than the firm's core US operations.
The change in outlook to stable from negative reflects the firm's
solid performance amid a challenging market environment. Since the
beginning of 2023, average implied US equities market volatility
and average bid/ask spreads have declined. Because of this more
benign market environment, trading revenue opportunities for market
makers have become more restrained than during the covid period.
However, HRT's profitability has remained strong while its risk
appetite does not appear to have been stretched in the more
challenging trading environment.
HRT's stable outlook reflects Moody's assessment that HRT will
continue to maintain healthy profits and retained equity capital to
support its growing operations. The stable outlook also reflects
Moody's expectation that the firm will continue to place an
appropriately high emphasis on maintaining an effective controls
and risk management framework and a deliberative risk appetite as
it expands its market presence by trading strategy and
geographically.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
HRT's ratings could be upgraded if it: (1) further controls its
risk appetite and delivers strong evidence of heightened risk
awareness and risk management capabilities in a variety of market
conditions and geographies; (2) improves the stability and
diversity of profitability and cash flows from the development of
substantial and lower-risk ancillary business activities; and (3)
increases its retained capital and liquidity while reducing
reliance on key prime brokerage relationships outside of US
equities trading.
HRT's ratings could be downgraded should evidence emerge that HRT's
risk appetite is accelerating at a faster pace than its long-term
capital, liquidity and controls, particularly with respect to its
growth ambitions in regions and markets that have heightened
market, operational and liquidity risks. The ratings could also be
downgraded with evidence that HRT's risk awareness and risk
management capabilities are not operating at a level commensurate
with its evolving risk environment.
PRINCIPAL METHODOLOGY
The principal methodology used in these ratings was Securities
Industry Service Providers Methodology published in November 2019.
IN-POWER MOTORS: Voluntary Chapter 11 Case Summary
--------------------------------------------------
Debtor: IN-Power Motors LLC
2301 W. Buckeye Road
Phoenix, AZ 85009
Business Description: The Debtor is a dealer of used car, truck &
SUV in Phoenix, AZ.
Chapter 11 Petition Date: November 6, 2023
Court: United States Bankruptcy Court
District of Arizona
Case No.: 23-07975
Judge: Hon. Daniel P. Collins
Debtor's Counsel: Allan D. NewDelman, Esq.
ALLAN D. NEWDELMAN, P.C
80 East Columbus Avenue
Phoenix, AZ 85012
Tel: (602) 264-4550
Fax: (602) 277-0144
Email: anewdelman@adnlaw.net
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Ricardo Castro as managing member.
The Debtor failed to include in the petition a list of its 20
largest unsecured creditors.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/RVNLAKY/IN-POWER_MOTORS_LLC__azbke-23-07975__0001.0.pdf?mcid=tGE4TAMA
KIDDE-FENWAL: Saccullo & Kelley Update List of Government Claimants
-------------------------------------------------------------------
The Ad Hoc Group of Governmental Claimants in the chapter 11 case
of Kidde-Fenwal, Inc., filed a fifth amended verified statement
pursuant to Rule 2019 of the Federal Rules of Bankruptcy
Procedure.
The Committee members hold unsecured claims against the Debtor's
estate related to the Debtor's design, manufacture, distribution,
and sale of aqueous film-forming foam.
The members of the Ad Hoc Group of Governmental Claimants are:
1. The State of Maryland
2. The Commonwealth of Massachusetts
3. The State of New Mexico
4. The State of New Hampshire
5. The State of New Jersey
6. The State of North Carolina
7. Commonwealth of the Northern Mariana Islands
8. The State of Oregon
9. The State of Rhode Island
10. The State of Tennessee
11. The State of Texas
12. Suffolk County Water Authority
13. State of Washington
14. State of Wisconsin
15. Commonwealth of Virginia
16. State of Delaware
17. The State of New York
18. The State of Maine
19. State of Vermont
20. State of Hawaii
Counsel to the Ad Hoc Committee of Governmental Claimants
Anthony M. Saccullo, Esq.
Mark T. Hurford, Esq.
Mary E. Augustine, Esq.
A. M. SACCULLO LEGAL, LLC
27 Crimson King Drive
Bear, DE 19701
Tel: (302) 836-8877
Fax: (302) 836-8787
E-mail: ams@saccullolegal.com
mark@saccullolegal.com
meg@saccullolegal.com
- and -
James S. Carr, Esq.
KELLEY DRYE & WARREN LLP
3 World Trade Center
175 Greenwich Street
New York, NY 10007
Tel: 212-808-7800
Fax: 212-808-7897
E-mail: Jcarr@kelleydrye.com
- and -
Sean T. Wilson, Esq.
KELLEY DRYE & WARREN LLP
515 Post Oak Blvd, Suite 900
Houston, TX 77027
Telephone: (212) 808-7612
Facsimile: (713) 355-5001
E-mail: Swilson@kelleydrye.com
About Kidde-Fenwal
Kidde-Fenwal Inc. -- https://www.kidde-fenwal.com/ -- manufactures
fire protection systems. It offers products such as fire control
systems, explosion aircraft protection, laser-based smoke detection
devices, electronic gas ignitions, and fire suppressions.
Kidde-Fenwal markets its products to mining, manufacturing,
education, and commercial sectors.
Kidde-Fenwal sought relief under Chapter 11 of the U.S. Bankruptcy
Code (Bankr. D. Del. Case No. 23-10638) on May 14, 2023. In the
petition filed by its chief transformation officer, James
Mesterharm, the Debtor reported assets between $100 million and
$500 million and estimated liabilities between $1 billion and $10
billion.
The Debtor tapped Sullivan & Cromwell, LLP and Morris Nichols Arsht
& Tunnell, LLP as legal counsels; and Guggenheim Securities, LLC as
investment banker. Stretto, Inc. is the claims and noticing agent
and administrative advisor.
LEXARIA BIOSCIENCE: Regains Compliance With Nasdaq Bid Price Rule
-----------------------------------------------------------------
Lexaria Bioscience Corp. disclosed in a Current Report on Form 8-K
filed with the Securities and Exchange Commission that on Nov. 3,
2023, it received a letter from the listing qualifications
department staff of The Nasdaq Stock Market confirming that the
closing bid for the Company's common stock during the 11
consecutive business days from Oct. 19, 2023 to Nov. 2, 2023 had
been at or greater than $1.00 and therefore compliance with the
$1.00 minimum bid price requirement set forth in Nasdaq Listing
Rule 5550(a)(2) for continued listing on Nasdaq had been regained.
About Lexaria
Lexaria Bioscience Corp. -- http://www.lexariabioscience.com-- is
a biotechnology company developing the enhancement of the
bioavailability of a broad range of fat-soluble active molecules
and active pharmaceutical ingredients using its patented
DehydraTECH drug delivery technology. DehydraTECH combines
lipophilic molecules or APIs with specific long-chain fatty acids
and carrier compounds that improve the way they enter the
bloodstream, increasing their effectiveness and allowing for lower
overall dosing while promoting healthier oral ingestion methods.
Lexaria Bioscience reported a net loss and comprehensive loss of
$7.38 million for the year ended Aug. 31, 2022, a net loss and
comprehensive loss of $4.19 million for the year ended Aug. 31,
2021, a net loss and comprehensive loss of $4.08 million for the
year ended Aug. 31, 2020, and a net loss and comprehensive loss of
$4.16 million for the year ended Aug. 31, 2019. For the nine
months ended May 31, 2023, the Company reported a net loss of $5.46
million.
LIVINGSTON TOWNSHIP: Case Summary & Two Unsecured Creditors
-----------------------------------------------------------
Debtor: Livingston Township Fund One, LLC
116 Livingston Church Road
Suite C
Flora, MS 39071
Chapter 11 Petition Date: November 6, 2023
Court: United States Bankruptcy Court
Southern District of Mississippi
Case No.: 23-02573
Judge: Hon. Jamie A. Wilson
Debtor's Counsel: Eileen N. Shaffer, Esq.
ATTORNEY AT LAW
PO Box 1177
Jackson, MS 39215-1177
Tel: (601) 969-3006
Email: eshaffer@eshaffer-law.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Michael Bollenbacher as managing
member.
A copy of the Debtor's list of two unsecured creditors is available
for free at PacerMonitor.com at:
https://www.pacermonitor.com/view/3MOV42I/Livingston_Township_Fund_One_LLC__mssbke-23-02573__0008.0.pdf?mcid=tGE4TAMA
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/4Y3U55I/Livingston_Township_Fund_One_LLC__mssbke-23-02573__0001.0.pdf?mcid=tGE4TAMA
LSRM PROPERTY: Case Summary & Five Unsecured Creditors
------------------------------------------------------
Debtor: LSRM Property Acquisitions, LLC
6221 Norwood Drive
Frisco, TX 75034
Business Description: LSRM Property is a Single Asset Real Estate
debtor (as defined in 11 U.S.C. Section
101(51B)). The Debtor has equitable
interest in real property located at 309 Ave
B, Garland, 317 Ave B. The current value of
the Debtor's interest is $1.3 million.
Chapter 11 Petition Date: November 6, 2023
Court: United States Bankruptcy Court
Eastern District of Texas
Case No.: 23-42131
Debtor's Counsel: Eric A. Liepins, Esq.
ERIC A. LIEPINS, P.C.
2770 Coit Road, Ste. 850
Suite 1100
Dallas, TX 75251
Tel: (972) 991-5591
Fax: (972) 991-5788
Email: eric@ealpc.com
Total Assets: $1,304,000
Total Liabilities: $1,548,021
The petition was signed by Roby Morales as managing member.
A full-text copy of the petition containing, among other items, a
list of the Debtor's five unsecured creditors is available for free
at PacerMonitor.com at:
https://www.pacermonitor.com/view/76D23IY/LSRM_Property_Acquisitions_LLC__txebke-23-42131__0001.0.pdf?mcid=tGE4TAMA
LUMEN TECHNOLOGIES: Closes Sale of EMEA Business to Colt for $1.8B
------------------------------------------------------------------
Lumen Technologies announced the closing of the sale of its
European, Middle Eastern, and African (EMEA) business to Colt
Technology Services, headquartered in London, for $1.8 billion
cash. This transaction represents an attractive multiple (~11x) for
Lumen's EMEA business and delivers significant value to Lumen's
stakeholders.
"We're excited about what this transaction does for our customers
and for Lumen," said Kate Johnson, Lumen CEO. "Our focus on
building deep relationships with strategic partners allows us to
simplify our business while delivering a seamless networking
experience for our multinational customers. Through our strong
relationship with Colt, both companies are well positioned for
future growth."
Lumen will remain a key strategic partner for Colt's customers'
needs in North America. The Lumen network remains one of the
largest, most deeply peered in the world. A small team of talented
Lumen employees will continue to support operations in EMEA.
About Lumen Technologies
Headquartered in Monroe, Louisiana, Lumen Technologies, Inc. is an
international facilities-based technology and communications
company focused on providing its business and mass markets
customers with a broad array of integrated products and services
necessary to fully participate in its ever-evolving digital world.
The Company's platform empowers its customers to swiftly adjust
digital programs to meet immediate demands, create efficiencies,
accelerate market access and reduce costs - allowing customers to
rapidly evolve their IT programs to address dynamic changes.
Lumen reported a net loss of $1.55 billion in 2022.
* * *
As reported by the TCR on Aug. 24, 2023, Moody's Investors Service
downgraded Lumen Technologies, Inc.'s corporate family rating to
Caa1 from B2. Moody's said the downgrade reflects the Company's
increasing financial risks and continued weak operating
performance.
Also in August 2023, S&P Global Ratings lowered its issuer credit
rating on U.S.-based telecommunications service provider Lumen
Technologies Inc. to two notches to 'CCC+' from 'B'. S&P said "The
two-notch downgrade reflects our view that Lumen's capital
structure is unsustainable longer term. We expect the company's
operating and financial performance will remain challenged for the
next couple of years as its turnaround plan faces significant
challenges."
LUMEN TECHNOLOGIES: Fitch Lowers LongTerm IDR to 'CCC-'
-------------------------------------------------------
Fitch Ratings has downgraded Lumen Technologies, Inc.'s and
subsidiaries, Level 3 Parent, LLC's and Level 3 Financing, Inc.'s,
Long-Term Issuer Default Ratings (IDR) to 'CCC-' from 'B-'. Fitch
has also downgraded the issue-level ratings assigned to Lumen and
Level 3 Financing, Inc., as well as issue-level ratings at Qwest
Capital Funding, Inc.
In addition, Fitch has downgraded the Long-Term IDRs for Qwest
Corporation, Qwest Communications International Inc., and Qwest
Services Corp. to 'CCC+' from 'B-'. Each of Lumen's rated
subsidiaries were placed on Rating Watch Negative.
The rating actions and Negative Watch reflect the increased event
risks stemming from the company's disclosure of a transaction
support agreement (TSA) for a comprehensive maturity extension
transaction that Fitch believes could result in a distressed debt
exchange (DDE) for the Lumen and Level 3 entities. The ratings also
reflect execution risks related to the company's ability to
strengthen its operating profile. Fitch believes the combination of
the large debt balance with weak operating results calls into
question the long-term sustainability of the company's capital
structure, even with extended maturities.
KEY RATING DRIVERS
Debt Restructuring: Fitch believes the announced debt restructuring
agreement, if executed, could result in a DDE for the Lumen and
Level 3 entities per the agency's criteria given the following: (i)
a restructuring could lead to a reduction in terms via a debt
maturity extension, albeit at higher interest rates; and (ii) the
restructuring is likely occurring to avoid bankruptcy, similar
insolvency or intervention proceedings.
The transaction provides the company some future flexibility by
extending some maturities while also adding a new $1.2 billion of
incremental financing. However, the refinancing does not solve the
long-term issue of a potentially unstainable capital structure
combined with fundamental operating pressures.
Weaker-than-Expected Results: Fitch believes Lumen could experience
pro forma EBITDA pressures at least through 2024. Management
announced on its 3Q23 earnings call a new cost savings plan it will
implement that is meant to reduce its cost base by $300 million per
year, or roughly 3% of its cost base. Pro forma results exclude the
results from its Latin American business (sold in August 2022), its
20-state incumbent local exchange (ILEC) property (sold in October
2022), and its EMEA business (sold in November 2023).
Leverage Expectations: Fitch estimates EBITDA leverage, or
debt/EBITDA, could trend higher to the mid-4.0x range in the next
few years if the company continues to experience fundamental
pressures. Proceeds from the EMEA transaction could help and
support some debt reduction; however, the company will ultimately
need to stabilize and grow its core EBITDA. There is a fair degree
of execution risk around the new management team's plans to return
the business to growth.
Looming Maturities: Lumen has approximately $1.8 billion of debt
maturities in 2025, not including the expiration of its $2.2
billion senior secured credit facility that expires in January
2025. The company also has a more meaningful $9.5 billion of debt
maturing in 2027. Fitch believes proceeds from the sale of its EMEA
assets and expected cash tax refunds in late 2023/early 2024 could
help to reduce its 2025 maturities.
Addressing the 2025 maturities provides some additional runway to
address the 2027 maturities. Further, the TSA refinancing
transaction, if executed, would extend the company's maturities.
However, Fitch believes if the company's operating profile fails to
strengthen over time, its available refinancing options will
diminish.
Key Competitor in Business Services: Lumen operates in an industry
where scale is a key factor, and is a top-three competitor in the
business services market. AT&T Inc. (BBB+/Stable) is the largest
company in this segment. Lumen's revenue base is similar in size to
the comparable operations of Verizon Communications Inc.
(A-/Stable). The company's network capabilities provide it with a
solid base to grow enterprise segment revenue. Fitch believes the
company has a strong metropolitan network that enables it to
compete effectively in business services, as well as a broad
product and service portfolio that emphasizes IP-based
infrastructure and managed services.
Divestitures Impact: Fitch views cash proceeds from the EMEA
business sale closed on Nov. 1, 2023 - roughly $1.5 billion of
proceeds after expenses - as a credit positive, as it provides
Lumen with incremental capital to address its large debt balance.
The EMEA transaction follows other asset sales executed in 2H 2022.
Lumen sold its Latin American and certain U.S. ILEC properties in
2022, with a total value of approximately $10.2 billion, including
$1.4 billion of Embarq debt assumed by the purchaser of the ILEC
properties. The sales contributed to a $9.9 billion reduction in
estimated net debt, after accounting for the $1.04 billion tax
payment in 2023.
Secular Challenges Facing Telecoms: Fitch believes Lumen faces
secular challenges similar to other wireline operators. The company
seeks to more aggressively address these challenges through
increased investment in its enterprise and consumer fiber to the
home businesses following asset sales. The company faces execution
risk with regard to this strategy, but Fitch believes the
investments have the potential to stabilize and eventually grow
revenues.
The ratings reflect continued secular challenges and the effect on
the company's revenue profile posed by migration to newer products
and services from legacy offerings. Increased investments in the
near-term under growth and optimization programs, and, to some
extent, inflationary factors will affect expected results. These
factors are partly offset by the potential for improved longer-term
competitive positioning and a focus on the enterprise business,
although execution risk remains high.
Parent-Subsidiary Relationship: Fitch equalizes the IDRs of Lumen
and Level 3 Parent (the guarantor of its subsidiary Level 3
Financing's debt), based on a stronger subsidiary/weaker parent
approach, based on open legal ring-fencing and open access and
control.
DERIVATION SUMMARY
Lumen has a relatively strong competitive position based on the
scale and size of its wireline operations in the
enterprise/business services market. In this market, Lumen has a
moderately smaller revenue position than AT&T Inc. and is similar
in size to Verizon. All three companies have an advantage with
national or multinational companies, given extensive footprints in
the U.S. and abroad. Lumen has a larger enterprise business that
notably differentiates it from other wireline operators, such as
Windstream Services, LLC (B/Stable) and Frontier Communications
Parent, Inc. (BB-/Negative).
AT&T and Verizon maintain lower financial leverage, generate higher
EBITDA and FCF, and have wireless offerings providing more service
diversification compared with Lumen. FCF improved at Lumen due to
the dividend reduction and cost synergies, but Fitch projects FCF
will remain negative in the near term. Lumen has lower exposure to
the residential market than wireline operators Frontier and
Windstream. The residential market held up relatively well during
the coronavirus pandemic, but continues to face secular challenges.
Incumbent wireline operators face competition for residential
broadband customers from cable operators. Lumen and other wireline
operators are investing more aggressively in fiber in response to
these threats.
KEY ASSUMPTIONS
Fitch's Key Assumptions Within the Rating Case for the Issuer
Include:
- Organic revenues will decline in the mid-single digits in 2023,
gradually improving to low-single digit declines by the end of its
2023-2026 forecast period;
- The sale of the EMEA business closed in 4Q23 and Fitch assumes
some of the net proceeds from the sale are used to reduce debt;
- EBITDA margins are expected to be in the low 30% range over the
ratings horizon, with modest improvement starting in 2025 as
benefits from growth and optimization programs are realized;
- 2023 capex to be near the mid-point of company guidance of $2.9
billion-$3.1 billion;
- Capital intensity remains in the low 20% range. Fiber spending
reflects the continued passing of more locations and success-based
capex;
- No stock repurchases.
RECOVERY ANALYSIS
Key Recovery Rating Assumptions
The recovery analysis assumes Lumen would be reorganized as a going
concern in bankruptcy rather than liquidated. Fitch assumed a 10%
administrative claim. The revolving facility is assumed to be fully
drawn.
Going Concern Approach
In estimating a distressed enterprise value (EV) for the three
issuers in Lumen's capital structure, Fitch assumes that continued
secular challenges cause pricing pressure in the enterprise
business, and there is a slower than anticipated uptake in growth
products. These forces cause revenue and earnings to decline,
prompting a restructuring.
For Level 3, after a period of restructuring, Fitch assumes EBITDA
margins contract to around 28%, producing going concern (GC) EBITDA
of approximately $1.6 billion, pro forma for the sale of the EMEA
business, reflecting Fitch's view of a sustainable, post
reorganization EBITDA level upon which Fitch bases the EV.
Fitch applies a 5.5x EV/EBITDA multiple to arrive at the GC EV of
$8 billion for Level 3. The choice of this multiple considered that
the multiple is slightly lower than the median technology, media,
and telecom enterprise value multiple but is in line with other
similar telecom companies that exhibit similar characteristics.
Peers use EV/EBITDA multiples of 4.5x-6.0x.
In Fitch's 2023 "Telecom, Media, and Technology Bankruptcy
Enterprise Values and Credit Recoveries" case study, Fitch notes 12
telecom and cable bankruptcies and reorganizations with recovery
multiples of 3.7x to 18.2x. The median among these companies was
5.4x. Level 3 has a modern fiber network, unlike some peers that
emerged from bankruptcy a decade or more ago.
The allocation of GC EV under the liability waterfall results in
the first-lien senior secured debt attaining a 'RR1'/100% recovery,
and senior unsecured debt achieving a 'RR2'/81% recovery. For Qwest
Corp., after restructuring Fitch assumes that EBITDA margins
contract to approximately 46% from 56% in 2022, producing GC EBITDA
of approximately $2.7 billion, reflecting Fitch's view of a
sustainable, post reorganization EBITDA level upon which Fitch
bases the EV of roughly $12.0 billion.
Fitch applies a 5.0x EV/EBITDA multiple at Qwest Corp. Fitch
applied a lower multiple to reflect the secular pressures in the
local part of the business. The allocation of GC EV under the
liability waterfall results in the senior unsecured debt achieving
a 'RR1'/100% recovery. The unsecured debt at Qwest Corp. is
structurally senior within Lumen's capital structure, leading to
the 'RR1' rating. There is approximately $9.8 billion of residual
value at Qwest Corp.
Fitch assumes there is no EBITDA at Lumen, as Level 3 and Qwest
Corp. generate a substantial majority of consolidated EBITDA and
certain corporate costs offset EBITDA generated by the small level
of operations outside of the two largest subsidiaries. Fitch
assumes there are no administrative claims at the Lumen level,
given such claims were applied at the two issuing subsidiaries.
The $9.8 billion of residual Qwest Corp. value flows up to Qwest
Services Corporation, which provides a senior secured debt
guarantee to Lumen's first-lien debt, results in Lumen's first-lien
senior secured debt, including the full draw on the revolver,
achieving a 'RR1'/100% recovery. There is sufficient residual value
after the recovery on the first-lien debt at Lumen, that the senior
unsecured guarantee provided by Qwest Communications International
to Qwest Capital Funding leads to a 'RR1'/100% recovery.
Thereafter, the remaining value in the liability waterfall is
available to Lumen's senior unsecured debt, leading to a 'RR4'/48%
recovery.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade:
- Fitch is unlikely to upgrade in the near-term given the ongoing
discussions to refinance the capital structure. Upon successful
execution of a refinancing transaction, however, Fitch could assess
the likelihood of a higher rating based upon the new capital
structure.
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
- Completion of the proposed refinancing transaction could lead to
a distressed debt exchange;
- Failure to address the 2025 scheduled maturities or any other
event that increases the likelihood of a distressed debt exchange;
- A weakening of Lumen's operating results, including the
deteriorating margins and consistent mid-single digit or greater
revenue erosion brought on by difficult economic conditions or
competitive pressures the company is unable to offset through cost
reductions.
LIQUIDITY AND DEBT STRUCTURE
Adequate Liquidity: Lumen's cash and cash equivalents totalled $311
million as of September 2023, reflecting a decline relative to the
$1.2 billion of cash on hand as of December 2022. Fitch notes
material use of cash for tax payments related to the 2022
divestitures. The company also expects an approximately $900
million cash tax refund, including $200 million tax refund benefit
in late 2023 and $700 million in 1Q 2024.
Debt Profile: Total debt as of September 2023 was approximately $20
billion, reflecting a modest decline from $20.4 billion as of
December 2022 before finance leases, unamortized discounts, debt
issuance costs and other adjustments.
The credit agreement was amended and restated in January 2020. The
$2.2 billion senior secured revolving credit facility is set to
mature in January 2025 and had $75 million outstanding as of
September 2023. Lumen's secured credit facility benefits from
secured guarantees by Qwest Communications International Inc.,
Qwest Services Corporation, CenturyTel Holdings, Inc., and Wildcat
Holdco LLC. Qwest Capital Funding is an unsecured debt guarantor.
The largest regulated subsidiary, Qwest Corp., does not guarantee
Lumen's secured facility, nor does Level 3 Parent. The Lumen senior
secured notes are guaranteed by the same subsidiaries guaranteeing
the senior secured credit facilities and will be secured by the
same collateral.
The secured revolving credit facility and term loan A limit Lumen's
gross debt/EBITDA to no more than 4.75x. The current credit
agreement requires cash interest coverage to be no less than 2.0x.
The company is subject to an excess cash flow sweep of 50%, with
step downs to 25% and 0%, at total leverage of 3.5x and 3.0x,
respectively. The excess cash flow calculation provides credit for
voluntary prepayments and certain other investments.
ISSUER PROFILE
Lumen Technologies, Inc. is one of the largest wireline providers
in the U.S. with a strong presence in the enterprise market,
including multinational corporations, large enterprises, small and
medium-sized businesses, governments and other carriers on a
wholesale basis.
ESG CONSIDERATIONS
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
Entity/Debt Rating Recovery Prior
----------- ------ -------- -----
Level 3 Parent,
LLC LT IDR CCC- Downgrade B-
Level 3 Financing,
Inc. LT IDR CCC- Downgrade B-
senior
unsecured LT CCC+ Downgrade RR2 B
senior secured LT B- Downgrade RR1 BB-
Qwest
Communications
International Inc. LT IDR CCC+ Downgrade B-
Qwest Capital
Funding, Inc.
senior
unsecured LT B- Downgrade RR1 BB-
Lumen Technologies,
Inc. LT IDR CCC- Downgrade B-
senior
unsecured LT CCC- Downgrade RR4 CCC+
senior secured LT B- Downgrade RR1 BB-
Qwest Services
Corporation LT IDR CCC+ Downgrade B-
Qwest Corporation LT IDR CCC+ Downgrade B-
senior
unsecured LT B+ Downgrade RR1 BB-
M.V.J. AUTO: Court OKs Cash Collateral Access Thru Jan 2024
-----------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of Florida,
Miami Division, authorized M.V.J. Auto World, Inc. to use cash
collateral on an interim basis in accordance with the budget, with
a 10% variance, through January 2024.
The Debtor requires immediate authority to use cash collateral to
continue its business operations without interruption toward the
objective of formulating an effective plan of reorganization.
Prior to, on and after the Petition Date, the Debtor has received
and collected, and continues to receive cash/profits, income and
all sums arising from the Debtor's business, of which Ocean Bank
has a security interest as to the same.
Ocean Bank has alleged that as of the Petition Date, the Debtor was
indebted to Secured Lender in an amount in excess of $164,883.
As adequate protection for the use of cash collateral, the Debtor
grants in favor of Secured Lender a first priority post-petition
lien on all cash generated/proceeds by the Debtor's services
post-petition and/or the Property and a first priority replacement
lien on all assets of the Debtor. The replacement lien and security
interest granted is automatically deemed perfected upon entry of
this Order without the necessity of the Secured Lender taking
possession, filing financing statements, mortgages or other
documents.
In addition, the Debtor will pay Ocean Bank an adequate protection
payment of $2,000 per month, commencing in October 2023 and until
plan confirmation or further order of the Court, of which the
Debtor will pay to Secured Lender on or before the fifteenth day of
the next succeeding calendar month.
A final hearing on the matter is set for January 31 at 9:30 a.m.
A copy of the order is available at https://urlcurt.com/u?l=z1qJGR
from PacerMonitor.com.
About M.V.J. Auto World, Inc.
M.V.J. Auto World, Inc. filed Chapter 11 petition (Bankr. S.D. Fla.
Case No. 23-16612) on Aug. 21, 2023, with $100,001 to $500,000 in
assets and liabilities. Tarek Kiem, Esq., at Kiem Law, PLLC has
been appointed as Subchapter V trustee.
Judge Laurel M. Isicoff oversees the case.
The Debtor is represented by the law firms of Kingcade, Garcia &
McMaken, PA and Leiderman Shelomith + Somodevilla, PLLC, doing
business as LSS Law.
MALACHITE INNOVATIONS: Signs Warrant Exchange Agreements
--------------------------------------------------------
Malachite Innovations, Inc. disclosed in a Current Report on Form
8-K filed with the Securities and Exchange Commission that it
entered into warrant exchange agreements with certain holders of
warrants to exchange warrants to purchase a total of 21,733,334
shares of the Company's common stock for an aggregate of 2,173,334
shares of the Company's common stock.
About Malachite Innovations Inc.
Headquartered in Cleveland, Ohio, Malachite Innovations, Inc. is a
public holding company dedicated to improving the health and
wellness of people and the planet through a novel and innovative
approach to impact investing. Malachite owns and operates a
balanced portfolio of operating businesses focused on developing
long-term solutions to environmental, social and health challenges,
with a particular focus on economically disadvantaged communities.
Malachite takes an opportunistic approach to impact investing by
leveraging its competitive advantages and looking at solving old
problems in new ways.
Malachite said in its Quarterly Report on Form 10-Q for the period
ended June 30, 2023, that "As reflected in the accompanying
financial statements, during the six months ended June 30, 2023,
the Company incurred a net loss of $190,098 and used $398,399 of
cash in the Company's operating activities. These factors raise
substantial doubt about the Company's ability to continue as a
going concern within one year of the date that the financial
statements are issued."
MEDNOW INC: Placed Into Receivership by BC Supreme Court
--------------------------------------------------------
Mednow Inc. (TSXV: MNOW) (OTCQX: MDNWF) on Nov. 3 disclosed that it
and certain of its subsidiaries, including thirteen of its Canadian
operating subsidiaries, 2716725 Ontario Inc., 10111132 Manitoba
Ltd. (dba Mednow MB), Mednow Clinic Services Inc., Mednow East
Inc., Mednow Medical Inc., Mednow Ontario Limited, Mednow Pharmacy
AB Ltd., Mednow Operations Inc., Mednow Pharmacy Inc., Mednow
Pharmacy MB Ltd., Mednow Pharmacy Services Inc., Mednow Technology
Inc., and Mednow Virtual Care Ltd. have been placed into
receivership by Order of the Supreme Court of British Columbia (the
"Court") pursuant to the provisions of the Bankruptcy and
Insolvency Act (Canada) (the "BIA"). The Company consented to the
appointment of Ernst & Young Inc. as a restructuring professional
(the "Receiver") in furtherance of re-positioning the operating
business to meet the long-term needs of its key stakeholders,
including its valued customers.
In light of the inability of the Company to secure access to
capital in the public markets or by way of private placement and to
certain underperforming business segments, the Company is, with the
assistance of the Receiver, seeking to re-position the business for
long term success under a revised operating protocol. The role of
the Receiver is transitional to building an enterprise premised on
long-term values and success that includes the Company's valued
customers and key stakeholders.
The Company understands that on or about November 21, 2023, the
Receiver will seek the approval of the Court for a sale and
investment solicitation process ("SISP") to identify parties
interested in purchasing the assets and undertakings of the Company
and its subsidiaries. In furtherance of operating the business,
without interruption, the Receiver has retained the services of the
employees to best ensure a smooth transition and to maintain
regulatory requirements for the operating pharmacies, secured
adequate financing to continue the operations, contracted with key
industry knowledge leaders, and entered into discussions with a
group of interested stakeholders (including the former Chairperson
of the Board and Chief Executive Officer of Mednow Inc.) that
intend to submit an offer to purchase for the assets and
undertakings of the Company on an accelerated basis.
"We will continue to serve the interests of our customers across
our operating platforms, including our two operating pharmacies
located in Toronto, Ontario, and Vancouver, British Columbia, our
franchisee operated pharmacy located in Saint-Laurent, Quebec and
our on-line pharmacy at www.mednow.ca with the high level of
quality, care and service that we have delivered in the past," said
Mr. Dave Marantz, Strategic Advisor to the Receiver. Mr. Marantz
added, "We see the onset of these proceedings as a starting block
to allow the business to emerge as an ongoing entity no longer
burdened by certain commercial challenges and macro-market
realities that will benefit our stakeholders. During these
proceedings, we look forward to the continued support of our
customers and stakeholders."
About Mednow Inc.
Mednow is a healthcare technology company offering virtual access
with a high standard of care. Designed with accessibility and
quality of care in mind, Mednow provides virtual pharmacy and
telemedicine services as well as doctor home visits through an
interdisciplinary approach to healthcare that is focused on the
patient experience. Mednow's services include free at-home delivery
of medications, doctor consultations, a user-friendly interface for
easy upload, transfer, and refill of prescriptions, access to
healthcare professionals through an intuitive chat experience and
the specialized PillSmart(TM) system that packages prescriptions in
easy-to-use daily dose packs, each labelled with the date and time
of the next dose.
MEP INFRASTRUCTURE: Court OKs Cash Collateral Access Thru Nov 30
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Northern District of Illinois,
Eastern Division, authorized MEP Infrastructure Solutions, Inc. to
use cash collateral on an interim basis in accordance with the
budget, with a 10% variance, through November 30, 2023.
As adequate protection to the U.S. Small Business Association,
BlueVine Inc., Byz Funder NY LLC, NewCo Capital Group VI LLC,
CloudFund LLC, and Rocket Capital NY LLC, for the use of their
Collateral or cash collateral, the Lien Claimants are granted and
post-petition replacement liens, to the extent and with the same
priority as held pre-petition, in and to the cash collateral and
all post-petition property of the Debtor of the same type or kind
substantially equivalent to the pre-petition Collateral.
A further hearing on the matter is set for November 27 at 10 a.m.
A copy of the order is available at https://urlcurt.com/u?l=LA3ug2
from PacerMonitor.com.
The Debtor projects $263,447 in total income and $254,685 in total
expenses.
About MEP Infrastructure
MEP Infrastructure Solutions, Inc. is a Chicago-based company that
provides architectural, engineering and related services.
The Debtor filed a petition under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. N.D. Ill. Case No. 23-08505) on June 28,
2023, with $1 million to $10 million in assets and liabilities.
Santos A. Torres, president, signed the petition.
Judge A. Benjamin Goldgar oversees the case.
Paul M. Bauch, Esq., at Bauch & Michaels, LLC is the Debtor's
counsel.
MERCY HOSPITAL: U.S. Trustee Appoints Pensioners' Committee
-----------------------------------------------------------
Mary Jensen, Acting U.S. Trustee for Region 12, appointed an
official committee to represent pensioners in the Chapter 11 cases
of Mercy Hospital Iowa City and its affiliates.
The committee members are:
1. Mary McMurray
47 Lakeview Plance NE
Iowa City, IA 52240
Phone: (310)331-5540
Email: mary_mcmurray50@hotmail.com
2. Mary McCarthy
1200 23rd Ave Unit 2
Coralville, IA 52241
Phone: (319) 321-1120
Email: m2coolit@gmail.com
3. Carol Ebinger
39 Chandler Place
Iowa City, IA 52245
Phone: (319) 331-5892
Email: cmebinger@gmail.com
4. Joni Werle
2225 Sugar Bottom Rd NE
Solon, IA 52333
Phone: (319) 631-2265
Email: joni.werle@gmail.com
5. Jodine Gunn
2218 E Grantview Drive
Coralville, IA 52241
Phone: (319) 400-7720
Email: jodykgunn@gmail.com
6. Jean Berge
1107 Wylde Green Rd
Iowa City, IA 52246
Phone: (319) 541-7538
Email: berge.jean@gmail.com
7. Jeanne Hein
1386 Pleasantview Drive
Tipton, IA 52772
Phone: (319) 930-1343
Email: hein.jeanne@gmail.com
About Mercy Hospital, Iowa City, Iowa
Mercy Hospital, Iowa City, Iowa is a Catholic-based Iowa nonprofit
corporation and a tax-exempt organization described in Section
501(c)(3) of the Internal Revenue Code of 1986 (as amended) that
operates an acute care community hospital and clinics located in
Iowa City, Iowa and surrounding communities.
Mercy Hospital and affiliates, Mercy Iowa City ACO, LLC and Mercy
Services Iowa City, Inc. sought protection under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. N.D. Iowa Lead Case No. 23-00623) on
Aug. 7, 2023. In its petition signed by Mark E. Toney, chief
restructuring officer, Mercy Hospital disclosed up to $500 million
in both assets and liabilities.
Judge Thad J. Collins oversees the cases.
The Debtors tapped Nyemaster Goode, P.C and McDermott Will & Emery
LLP as bankruptcy co-counsel; Toneykorf Partners, LLC to provide
interim management services; H2C Securities Inc. as investment
banker; and Epiq Corporate Restructuring, LLC as notice and claims
agent.
Mary Jensen, Acting U.S. Trustee for Region 12, appointed an
official committee to represent unsecured creditors in the Debtors'
Chapter 11 cases.
MXP OPERATING: Kennedy Firm Represents Committee of Trade Creditors
-------------------------------------------------------------------
The Ad Hoc Committee of Trade Creditors of MXP Operating, LLC (the
"Committee") filed a verified statement pursuant to Rule 2019 of
the Federal Rules of Bankruptcy Procedure.
The Committee consists of trade creditors who provided goods and
services to the Debtor and ultimately for the benefit of working
interest holder, HKMF Holdings Company, LLC, the successor to Seven
Energy Investments, LLC d/b/a Alpha Seven Energy (together,
"HKMF").
The purpose of the Committee is to represent the position and
interests of the forgoing trade creditors with respect to the
bankruptcy estate's interest in the following matters: (a) Debtor's
Use of Cash; and (b) Debtor's assumption of Joint Operating
Agreement; and (c) hearing on the forgoing motions set for November
7, 2023.
The Committee members' addresses and claim amounts are as follows:
1. XP Oilfield Consultants, Inc.
318 FM 2488
Covington, Texas 76636
* $5,889,161.40
2. AWL Services
P.O. Box 271
Coalgate, OK 74538
* $38,500
3. H&H Oilfield Supply, Inc.
3625 Sienna Ridge Drive
Newcastle, OK
* $89,653.99
4. Josue Silva
717 Doucette Street
Pampa, Texas 79065
* $30,450
5. Frontier Fuel Company
P.O. Box 128
Dalhart, Texas 79022
* $117,209.39
Counsel for the Ad Hoc Committee of Trade Creditors:
The Kennedy Firm
Kirk Kennedy Texas, Esq.
Email: kkennedy@kennedyfirmtexas.com
8150 N. Central Expressway
10th Floor
Dallas, Texas 75206
(832) 646-9228 (Telephone)
About MXP Operating
MXP Operating, LLC operates a company providing operating services
for Oil and Gas wells in Texas and Oklahoma.
The Debtor filed its voluntary petition for relief under Chapter 11
of the Bankruptcy Code (Bankr. E.D. Tex. Case No. 23-41446) on
August 11, 2023. The petition was signed by Rachel T. Patman, Esq.
as managing member. At the time of filing, the Debtor estimated
$2,732,000 in assets and $8,603,928 in liabilities.
Judge Brenda T. Rhoades oversees the case.
Eric A. Liepins, Esq., at Eric A. Liepins, P.C., is the Debtor's
counsel.
NATIONAL JEWISH HEALTH: S&P Affirms 'BB+' Long-Term Bonds Rating
----------------------------------------------------------------
S&P Global Ratings revised the outlook to stable from positive and
affirmed its 'BB+' long-term rating on the Colorado Health
Facilities Authority's series 2012 bonds and its 'BB+' underlying
rating (SPUR) on the authority's series 2005 bonds, issued for
National Jewish Health (NJH).
S&P Global Ratings also affirmed its 'A-/A-2' dual rating on the
authority's series 2005 variable-rate revenue bonds issued for NJH.
We base the rating jointly on the low correlation of our SPUR on
NJH and the long-term rating on the letter of credit (LOC)
provider, UMB Bank N.A. S&P bases the short-term rating solely on
the bank's credit quality. The LOC expires March 1, 2025.
"The outlook revision reflects significant deterioration in
unrestricted reserves, worsening key metrics to levels in line with
a speculative-grade rating," said S&P Global Ratings credit analyst
Chloe Pickett. "The outlook revision also reflects worsened
operations and cash flow in fiscal 2023, resulting in weak maximum
annual debt service coverage," Ms. Pickett added.
A gross revenue pledge from NJH and its subsidiary secures the
bonds.
The rating reflects NJH's national reputation and broad patient
draw, providing unique services in several states as one of the
country's top respiratory and pulmonary specialty hospitals.
Leveraging its reputation, NJH is engaged in several key strategic
affiliations, which continue to increase and diversify the
hospital's revenue base. Furthermore, NJH attracts and maintains a
well-sized active medical staff, the majority of which are employed
by the hospital. NJH also benefits from an experienced and
well-tenured management team, focusing on expanding the
organization's geographic reach while maintaining exceptional
clinical quality and industry-leading research.
S&P said, "The stable outlook reflects our expectation of
increasing unrestricted reserves in line with expected financial
performance improvement and the recognition of significant one-time
items in fiscal 2024. The outlook is also supported by NJH's strong
and stable enterprise profile, particularly its national reputation
and broad patient draw.
"We could revise the outlook to negative or lower the rating if NJH
sees further deterioration in balance-sheet strength through a
reduction in unrestricted reserves or material additional debt. We
could also take a negative rating action if NJH sustains current
weak financial performance, resulting in a trend of significantly
lower maximum annual debt service coverage.
"While unlikely during the outlook period, we could revise the
outlook to positive or raise the rating over time if NJH
demonstrates a trend of improved financial performance, as well as
continued growth and diversification of its revenue base.
Furthermore, we would also view favorably sustained improvement in
unrestricted reserves, generating days' cash on hand and
unrestricted reserves-to-long-term debt in line with an
investment-grade rating."
NAVIENT CORP: Fitch Gives BB-(EXP) Rating on $500MM Unsec. Notes
----------------------------------------------------------------
Fitch Ratings expects to rate Navient Corporation's upcoming
long-term $500 million senior unsecured notes issuance 'BB-(EXP)'.
Proceeds from the issuance are expected to be used for general
corporate purposes, including the repayment of outstanding
unsecured debt.
KEY RATING DRIVERS
The unsecured debt is expected to rank pari passu with Navient's
existing senior unsecured debt, and therefore, the expected rating
is equalized with its outstanding senior unsecured debt and
Long-Term Issuer Default Rating (IDR). The equalization reflects
average recovery prospects under a stress scenario given the
availability of unencumbered assets.
Fitch does not expect the debt issuance to have a meaningful impact
on the company's leverage profile as proceeds are expected to
refinance upcoming unsecured debt maturities. Navient's leverage,
calculated as debt to tangible equity, excluding debt and capital
associated with the guaranteed FFELP assets and the mark-to-market
gains/losses on derivatives, was 10.7x at 3Q23, compared with 11.9x
at YE22.
Navient's ratings reflect its scale and position as one of the
largest non-government owners and servicers of student loan assets,
its demonstrated track record (including as part of its predecessor
organization) in the student loan servicing/collection space, the
low credit risk and predictable cash flow nature of its FFELP loan
assets and its adequate liquidity profile.
Rating constraints include Navient's monoline business model with a
concentration on student lending, higher leverage relative to
peers, a reliance on secured, wholesale funding and high levels of
asset encumbrance, long-term strategic uncertainty related to the
success of its growth initiatives, and ongoing regulatory,
legislative and litigation risk related to student lending.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
- An increase in Navient's debt to tangible equity ratio (excluding
FFELP and the mark to market on floor income hedges) to over 12x on
a sustained basis;
- A decrease in the unsecured debt mix representing less than 10%
of the company's non-FFELP funding;
- Significant deterioration in credit performance of its PSL
portfolio leading to materially weaker operating results;
- An increase in shareholder distributions above Navient's core
earnings;
- An adverse outcome in the pending CFPB actions that significantly
impairs its market position, liquidity and/or future
profitability.
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade
- Sustainable growth in core earnings from successful execution on
new loan originations and BP segment revenues;
- Strong credit performance on the private education loan refi
portfolio through periods of economic stress;
- A meaningful reduction in leverage below 8.0x;
- A demonstrated ability to access the unsecured debt market on
economic terms.
DEBT AND OTHER INSTRUMENT RATINGS: KEY RATING DRIVERS
The unsecured debt ranks pari passu with Navient's existing senior
unsecured debt, and therefore, the rating is equalized with
Navient's outstanding senior unsecured debt and its Long-Term IDR.
The equalization reflects average recovery prospects under a stress
scenario given the availability of unencumbered assets.
DEBT AND OTHER INSTRUMENT RATINGS: RATING SENSITIVITIES
The unsecured debt rating is equalized with the long-term IDR and
is expected to move in tandem. However, a meaningful increase in
the proportion of secured funding or reduction of the unencumbered
asset pool could result in the unsecured debt rating being notched
down below the IDR.
ESG CONSIDERATIONS
Navient has an ESG Relevance Score of '4' for Exposure to Social
Impacts due to its exposure to shift in social or consumer
preferences as a result of an institution's social positions, or
social and/or political disapproval of core activities, which has a
negative impact on the credit profile, and is relevant to the
rating in conjunction with other factors.
Navient has an ESG Relevance Score of '4' for Customer Welfare -
Fair Messaging, Privacy, and Data Security due to its exposure to
compliance risks including fair lending practices, debt collection
practices and consumer data protection, which has a negative impact
on the credit profile, and is relevant to the rating in conjunction
with other factors.
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
Entity/Debt Rating
----------- ------
Navient Corporation
senior unsecured LT BB-(EXP) Expected Rating
NEWELL BRANDS: Fitch Lowers LongTerm IDR to 'B+', Outlook Stable
----------------------------------------------------------------
Fitch Ratings has downgraded Newell Brands Inc.'s Long-Term Issuer
Default Rating (IDR) to 'B+' from 'BB' and unsecured credit
facility and notes to 'BB-'/'RR3' from 'BB'/'RR4'. The Rating
Outlook is Stable.
The downgrades reflect ongoing challenges that indicate
significantly reduced medium-term earnings power and cash flow.
Beyond the overall slowdown in discretionary consumer spending
since mid-2022 and a weakening macro environment, execution risk
remains a concern, as Newell continues to realign and restructure
its business segments and supply chain network and reposition its
brand portfolio, which could further disrupt operations. Fitch
therefore expects EBITDA to remain below $1 billion, with EBITDA
leverage (gross debt/EBITDA) increasing to over 6x in 2023 from
4.9x in 2022 and remaining elevated in the high 5x-6x over the next
24 months.
KEY RATING DRIVERS
Accelerated Declines: Newell's operations beginning 2H22 have been
challenged by changing consumer behavior with a shift towards
services after strong pandemic-induced demand, a slowdown in
consumer spending given moderating consumer fundamentals, and
declining customer orders as retailers reduce inventory levels
across general merchandise categories. This has been compounded by
the company's brand execution challenges. The company has also seen
significant margin headwinds from cost inflation, an increase in
advertising and promotion expense as a percentage of sales and an
unfavorable impact from foreign exchange, partially offset by
pricing, productivity savings and lower overhead costs.
Core sales (a Newell metric which eliminates the impact of M&A and
other non-comparable factors) declines have accelerated into 2023.
Fitch projects core sales to decline 13% and Fitch-adjusted EBITDA
margin of 10.4% with EBITDA trending towards $830 million from
about $1.2 billion in 2022. With the company still expecting core
sales declines for another few quarters, Fitch now expects 2024
core sales to decline and for EBITDA to remain below $1 billion
versus prior expectations of returning to the $1.2 billion range.
EBITDA margin is expected to improve towards 12% in 2025 but remain
well below the 14% range pre-2022.
Elevated Leverage: Gross leverage increased to 4.9x in 2022 versus
3.7x in 2021, given the decline in EBITDA in 2H22 and the addition
of approximately $600 million in short-term debt, due to a FCF
outflow of almost $1 billion. Fitch expects gross leverage to
increase to 6.4x in 2023, given the significant EBITDA decline
offset by the paydown of a significant portion of the short-term
debt with FCF. Fitch expects FCF to turn positive at $380 million
in 2023, on working capital improvement. FCF is expected to be
modest going forward, given projected EBITDA levels in the mid-$800
million to $900 million range and neutral working capital.
Liquidity is adequate near term and the company has $200 million in
debt maturities in 2024, which it could refinance or pay down with
revolver borrowings. Newell will need to refinance $550 million due
2025 and close to $2 billion of unsecured notes due 2026,
potentially with secured debt.
Focus on Major Brands: Newell previously shared that it expects to
sustain low single digit organic sales growth over the medium term
by strengthening brands through increased innovation, focusing on
omnichannel initiatives (with ecommerce at 22% of sales), and
accelerating international growth (one-third of sales). Newell has
realigned its business segments several times over the last few
years in an effort to drive growth and improve profitability. This
combined with material shifts in consumer spending patterns during
and post the pandemic make it challenging to assess underlying
business trends.
In early 2023, the company realigned its businesses into three
operating segments: Home and Commercial Solutions (55% of 2022
revenue), Learning and Development (31%), and Outdoor and
Recreation (14%).
In May 2023, Chris Peterson, prior CFO, became the new President
and CEO after the retirement of Ravi Saligram. He recently shared
his plan to focus on front-end or brand capability build out. The
company will shift its focus towards the larger and more profitable
brands, prioritizing the business in the U.S., and
disproportionately investing in segments that have greater
potential. The company noted that its top 25 brands comprise 90% of
its revenue and profits and it plans to reduce its current brand
portfolio from 80 to 60 by end of 2023.
The company aims to invest further in innovation, brand building
capabilities, and make additional supply chain improvements to
support this strategy with the overall goal of long-term topline
acceleration and margin expansion.
Return to 14% EBITDA Margin Challenging: Newell has a long-term
target of driving operating margin improvement of 50bp annually.
Actions include reduction in overhead costs and working capital
management. In September 2021, Newell discussed a new multi-year
supply chain initiative (Project OVID) to transform its go-to
market strategy, particularly in the U.S., moving from 23 business
specific supply chains to a single integrated supply chain.
In January 2023, Newell announced another restructuring and savings
initiative, Project Phoenix, that aims to strengthen the company
and further reduce complexity, streamline its operating model and
drive operational efficiencies, with annualized pre-tax savings in
the range of $220 million to $250 million beginning 2024.
Given Newell's ongoing top line deterioration, gross margin
challenges in a number of categories, investments required to
support its brands and potential execution risk, Fitch expects it
could be challenging to return to the 14% EBITDA range seen in
2019-2021.
DERIVATION SUMMARY
Newell's 'B+'/Stable rating reflects ongoing challenges that
indicate significantly reduced medium-term earnings power and cash
flow. Beyond the overall slowdown in discretionary consumer
spending since mid-2022 and a weakening macro environment,
execution risk remains a concern, as Newell continues to realign
and restructure its business segments and supply chain network and
prune its brand portfolio, which could further disrupt operations.
Fitch therefore expects EBITDA to remain below $1 billion, with
gross leverage (gross debt/EBITDA) increasing to over 6x in 2023
from 4.9x in 2022 and remaining elevated in the high 5x-6x over the
next 24 months.
Other consumer product companies within Fitch's rated portfolio
include ACCO Brands Corporation, Mattel, Inc., Hasbro, Inc. and
Knowlton Development Corporation, Inc (KDC).
ACCO's 'BB'/Stable ratings reflect the company's historically
consistent FCF and reasonable gross leverage, which trended at
approximately 3.0x prior to pandemic-related operating challenges
in 2020. The rating and Outlook are constrained by secular
challenges in the office products industry and channel shifts
within the company's customer mix. Fitch expects margin recovery
combined with debt paydown to drive leverage back toward 4.0x in
2023, but a prolonged downturn could be a rating concern.
Mattel's 'BB+'/Positive ratings reflects its strong portfolio of
owned brands such as Barbie, Hot Wheels and Fisher Price, which the
company has worked to revitalize and re-energize in recent years.
The Positive Outlook reflects Fitch's view that Mattel's improved
competitive positioning and debt reduction over the past few years
could support its ability to navigate near-term macroeconomic
volatility and eventually support an investment-grade rating.
Hasbro's 'BBB-'/Stable ratings reflect its position as one of the
world's largest toy companies, its good liquidity and cash flow
profile and expectations that gross leverage will be in the low 3x
range in 2024, recognizing that it could be elevated in the mid-3x
range in 2023. The company could also use asset sales or FCF to
support deleveraging.
KDC's 'B-'/Stable ratings reflects its position as a global leader
in custom formulation, packaging and manufacturing solutions for
beauty, personal care and home care brands, supported by a diverse
product portfolio and long-term customer relationships. While Fitch
expects EBITDA leverage could improve in fiscal years 2024 and 2025
on margin recovery supported by cost initiatives, Fitch would
require increased confidence in continued organic EBITDA growth, a
commitment to sustaining leverage below 7x, and generating positive
FCF to consider a positive rating action.
KEY ASSUMPTIONS
Fitch's Key Assumptions Within The Rating Case for the Issuer:
- Revenue declines of around 15% to $8 billion in 2023 from $9.5
billion in 2022, reflecting core sales declines of 13% driven by a
significant pullback in retail orders and an overall slowdown in
discretionary consumer spending. Top line is also expected to be
impacted from a combination of currency headwinds and the divested
businesses (the company divested its Connected Home & Security on
March 31, 2022, which had net sales of $395 million in 2021).
Revenue is expected to decline by 5% in 2024 reflecting low single
digit core sales decline and approximately 2%-3% of currency
headwinds and brand exits, before growing modestly in the low
single digits in 2025 and thereafter;
- Operating EBITDA is expected to be approximately $830 million in
2023, versus $1.2 billion in 2022, and is expected to grow towards
the $900 million range by 2025. EBITDA margin is expected to be
approximately 10.4% in 2023 (versus 12.6% in 2022), 11.3% in 2024
and increase 50 bps in in 2025, with the improvement reflecting a
combination of easing inflationary pressures and some benefit from
cost reduction initiatives;
- Capex of around $300 million and dividends at close to $180
million in 2023, compared to dividends of $385 million in 2022. In
May 2023, Newell reduced its quarterly dividend to $0.07 per share
compared to the prior pay-out of $0.23 per share. Dividends are
expected to be close to $120 million in 2024 and thereafter;
- FCF (after dividends) is expected to be around $380 million in
2023 after a significant FCF outflow of almost $1 billion in 2022,
on working capital improvement after a material increase in working
capital in 2022. FCF is expected to be modest going forward given
projected EBITDA levels in the mid-$800 million to $900 million
range and neutral working capital;
- Fitch expects leverage to increase to the mid-6x range in 2023
(from 4.9x in 2022 and 3.7x in 2021) before trending below 6x by
2025, assuming some top line stabilization and EBITDA margin
recovery. The projected net EBITDA leverage of 6.2x in 2023 and
6.0x in 2024 (5.7x and 5.5x, respectively excluding off-balance
sheet factored receivables) is significantly higher than Newell's
long-term net leverage (net debt/EBITDA) target of 2.5x.
RECOVERY ANALYSIS
Fitch's recovery assumes Newell's value is maximized as a going
concern in a post default scenario, given a going-concern valuation
of approximately $4.5 billion compared with around $2.5 billion in
value from a liquidation of assets.
Fitch's going concern value is derived from a projected EBITDA of
around $750 million. The scenario assumes a lower revenue base of
around $6 billion, around 25% below 2023 projected revenue of $8
billion, assuming market share losses or discontinuation of some of
its existing brand portfolio. EBITDA margins could trend around
12%-13% in a recovery scenario, below the 14% margins achieved in
2019-2021. A going concern multiple of 6x was selected, within the
4x-8x range observed for North American corporates, reflecting
Fitch's assessment of Newell's industry dynamics and
company-specific factors.
After deducting 10% administrative claims from the $4.5 billion
going concern valuation and adjusting for senior ranking
receivables claims, the unsecured claims have good recovery
prospects (51%-70%). Therefore, the unsecured credit facility,
which is assumed to be fully drawn at $1.5 billion, and
approximately $4.8 billion in unsecured notes are rated at
'BB-'/'RR3'.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
- A positive rating action could result from increased confidence
in the company's ability to grow core sales in the low single
digits, improve EBITDA to over $1 billion and deploy FCF towards
debt reduction, such EBITDA leverage is sustained under 5x.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
- A negative rating action could result from worse than expected
operating performance leading to reduced confidence in Newell's
ability to stabilize its business and/or lower than expected debt
reduction such that EBITDA leverage is sustained above 6x.
LIQUIDITY AND DEBT STRUCTURE
Adequate Liquidity: As of Sept. 30, 2023, Newell had $396 million
in cash on hand and approximately $1.1 billion available under its
$1.5 billion unsecured revolving credit facility due to mature in
August 2027, after netting out $376 million in short-term
borrowings and $21 million of letters of credit. In October 2023,
Newell terminated its $375 million A/R facility and entered into a
new accounts receivable securitization facility due October 2026,
providing liquidity of up to $225 million between February and
April of each year, and up to $275 million at all other times.
Newell's total outstanding debt was approximately $5.5 billion at
Sept. 30, 2023, versus $5.8 billion at the end of 2022 and $5.4
billion at the end of 2021 including off-balance sheet factored
receivables in the $300 million to $400 million range as part of
Fitch-adjusted debt. Fitch expects Newell to end 2023 with debt of
around $5.3 billion as the company deploys its FCF toward paydown a
significant portion of the $600 million in short term debt it took
on in 2022 due to working capital increases.
The next debt maturity is $200 million of debt due in December
2024, which the company could choose to refinance or pay down with
cash on hand or revolver borrowings. Newell will need to refinance
$550 million due 2025 and close to $2 billion of unsecured notes
due 2026, potentially with secured debt.
ISSUER PROFILE
Newell is a global marketer of consumer and commercial products,
marketed under Paper Mate, Sharpie, Dymo, EXPO, Parker, Elmer's,
Coleman, Marmot, Oster, Sunbeam, FoodSaver, Mr. Coffee, Rubbermaid
Commercial Products, Graco, Baby Jogger, NUK, Calphalon,
Rubbermaid, Contigo, First Alert, Mapa, Spontex, Quickie and Yankee
Candle.
SUMMARY OF FINANCIAL ADJUSTMENTS
- Historical EBITDA has been adjusted for stock-based compensation,
restructuring and restructuring related costs, acquisition
amortization & impairment, transaction and related costs, other
items.
ESG CONSIDERATIONS
Newell has an Environmental, Social and Governance (ESG) Relevance
Score of '4' for Financial Transparency. Operating comparability
over the last few years has been challenging given a number of
reclassifications of continuing versus discontinued operations as
well as business segments in 2018-2022. This has a negative impact
on the credit profile and is relevant to the ratings in conjunction
with the other factors.
The items above are in the context of Newell having previously seen
material weaknesses in internal controls over financial reporting
related to the company's tax accounting in 2019 and 2020, which
have since been remedied and an SEC subpoena in January 2020
related to the impairment of goodwill and other intangibles in
2018, which got resolved with a settlement in September 2023. In
June 2021, the company received a subpoena related to disclosures
around the potential impact of revised U.S. Treasury regulations.
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
Entity/Debt Rating Recovery Prior
----------- ------ -------- -----
Newell Brands Inc. LT IDR B+ Downgrade BB
senior unsecured LT BB- Downgrade RR3 BB
NEXUS BUYER: S&P Alters Outlook to Positive, Affirms 'B-' ICR
-------------------------------------------------------------
S&P Global Ratings revised its outlook to positive from stable and
affirmed its 'B-' issuer credit rating on Nexus Buyer LLC
(IntraFi).
S&P said, "At the same time, we affirmed our 'B-' issue-level
rating and '3' recovery rating on the first-lien credit facility
and our 'CCC' issue-level rating and '6' recovery rating on the
second-lien credit facility.
"The positive outlook reflects the possibility of an upgrade within
the next 12 months if we become more certain IntraFi's financial
policy will position the company to sustain S&P Global
Ratings-adjusted leverage beneath 7.5x, with free operating cash
flow (FOCF) to debt above 5%.
"The outlook revision reflects our expectation for sustained
earnings growth that will steadily improve IntraFi's capacity to
maintain credit metrics commensurate with a higher rating,
inclusive of potential large leveraging transactions. IntraFi's S&P
Global Ratings-adjusted leverage declined to about 4.6x as of Sept.
30, 2023 from over 7x in 2022. Under our updated base-case
forecast, we expect its leverage will decline below 4x in 2024,
primarily driven by the rapid increase in reciprocal deposit
volumes placed amid stresses on the banking sector in 2023." The
collapse of Silicon Valley Bank, Signature Bank, and First Republic
Bank in the first half of 2023 caused IntraFi's reciprocal deposit
and liquidity management transaction usage to surge due to
increased depositor demand for FDIC insurance protection and
greater regional bank demand for deposit funding.
Deposit volumes and liquidity management fee rates remain elevated
through 2023, supporting significant revenue and EBITDA expansion
and visibility into 2024 performance. The company collects an
annual fee of about 12 basis points on reciprocal deposit volumes
placed on its network. S&P believes average reciprocal deposit
volumes have increased 75% as of Sept. 30, 2023, since 2022, and
net balance retention is historically over 100%. IntraFi's recent
deposit growth demonstrates its value proposition and provides
visibility into its forecast operating performance, supporting our
improved business risk assessment.
S&P said, "The positive outlook reflects the possibility of an
upgrade within the next 12 months if we believe IntraFi's financial
policy will position the company to sustain S&P Global
Ratings-adjusted leverage below 7.5x with FOCF to debt above 5%."
S&P could revise the outlook back to stable if it expects IntraFi's
leverage will remain over 7.5x with FOCF to debt below 5%. In this
scenario, S&P would expect:
-- Reciprocal deposit volume declines or liquidity management
spreads compress beyond its base-case expectation due to
legislative changes; or
-- The company engages in further aggressive financial policies
such as debt-funded dividends.
S&P said, "We could raise the ratings if a strong operating and
regulatory environment support net revenue and earnings growth in
line with our base-case forecast such that we expect IntraFi's
leverage will remain below 7.5x on a sustained basis with FOCF to
debt above 5% inclusive of any leveraging shareholder returns.
"Governance is a moderately negative consideration, as it is for
most rated entities owned by private-equity sponsors. We believe
the company's highly leveraged financial risk profile points to
corporate decision-making that prioritizes the interests of the
controlling owners. This also reflects private-equity sponsors'
generally finite holding periods and focus on maximizing
shareholder returns."
OPEN COURT: Property Sale Proceeds to Fund Plan
-----------------------------------------------
Open Court Sports Complex, LLC, filed with the U.S. Bankruptcy
Court for the Southern District of Texas a Subchapter V Plan of
Reorganization dated October 26, 2023.
The Debtor operates an indoor sports and recreation complex
providing court rentals, hosts tournaments, provides volleyball and
basketball training, offers open gym memberships, and hosts various
camps and clinics to the Houston, Texas metropolitan area.
Despite most governmental assistance not being available to the
Debtor because it was not operational during the early stages of
the pandemic, Open Court successfully established its facility and
opened to the public in July, 2020. The key asset of the debtor is
the 10,000 square foot facility located at 1808 Woodcreek Bend
Lane, Katy, Texas 77494 ("Property").
The Debtor has formulated a Plan of Reorganization which
contemplates the liquidation of the Property and business
operations through a sale on the open market to provide the funds
necessary to repay its obligation.
Pending sale of the Property, Angela Smith-Duncan, Andrew Duncan,
and Gina Decurtis-Gorman will remain as the Member owners of the
entity. Angela Smith-Duncan and Andrew Duncan will remain as the
Managers of the Debtor and its operations.
The key terms of the Plan are as follows:
* The Debtor has filed an Application to Employ Sharon Rowsey
with The Rowsey Group to market the Property for sale;
* To facilitate realization of the highest possible value for
the Property, pending sale of the Property, the Debtor will
continue to operate its business as a going concern within the
budget approved in the Second and Final Motion for Use of Cash
Collateral.
* Pending a consummated sale of the Property, the Debtor will
pay Susser Bank’s secured claim in monthly installments of
$5,000.00 on or before the 15th of each month;
* Pending a consummated sale of the Property, the Debtor will
pay the prePetition real property taxes owed to Resolution Finance,
Inc. in the monthly amount of $2,140.68.
* All post-Petition real and personal property taxes will be
paid at the closing of the sale of Property. The Debtor will remain
current in its payment of any post-Petition taxes incurred for
sales, franchise, or Texas Workforce Commission obligations.
* The Debtor will make a pro-rata distribution to general
unsecured creditors from the net sales proceeds derived from the
sale of the Property after payment in full to all secured and
priority claims.
Class 7 is comprised of the unsecured claims. The Unsecured
Creditors will receive a pro rata distribution of the net proceeds
remaining from the sale of the Property after payment in full of
Classes 1-6. This class is impaired.
The remaining class includes the Members of Open Court. The Members
will retain their ownership interest of the LLC for the period of
time necessary to complete the sale of the Property and wind down
the operations of the entity. No disbursement will be made to Class
8 Members until the Property is sold and all other classes are paid
pursuant to the Plan. This class is impaired.
Open Court, through it representative, Angela Smith-Duncan, will
represent the company for purposes of executing any documents
necessary to facilitate the sale of the Property. Ms. Smith Duncan
anticipates the title company will facilitate payment of the
secured and priority tax claims through the closing process. Ms.
Smith-Duncan will serve as the disbursing agent for all unsecured
claims to be paid pursuant to this Plan. Ms. Smith-Duncan will file
all required reports detailing the payments made on all approved
claims.
A full-text copy of the Subchapter V Plan dated October 26, 2023 is
available at https://urlcurt.com/u?l=pWvH1X from PacerMonitor.com
at no charge.
Attorneys for the Debtor:
Kimberly A. Bartley, Esq.
Waldron & Schneider, PLLC
15150 Middlebrook Drive
Houston, TX 77058
Telephone: (281) 488-4438
Facsimile: (281) 488-4597
Email: kbartley@ws-law.com
About Open Court Sports Complex
Open Court Sports Complex, LLC is an indoor basketball, volleyball,
pickleball, and floor sports facility in Katy, Texas.
The Debtor filed a petition under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. S.D. Texas Case No. 23-32826) on July 28,
2023, with $8,281,574 in assets and $6,208,520 in liabilities.
Angela Smith-Duncan, manager, signed the petition.
Judge Jeffrey P. Norman oversees the case.
Kimberly A. Bartley, Esq., at Waldron & Schneider, LLP, is the
Debtor's legal counsel.
OSG HOLDINGS: Paul Hastings Represents First Lien Lenders
---------------------------------------------------------
The law firm Paul Hastings LLP filed a verified statement pursuant
to Rule 2019 of the Federal Rules of Bankruptcy Procedure to
disclose that in the Chapter 11 case of OSG Holdings, Inc., et al.,
the firm represents an ad hoc group of first lien lenders, or
investment advisors, subadvisors, or managers of discretionary
accounts.
The ad hoc group hold existing first lien loans ("First Lien
Loans") outstanding under that certain Amended and Restated First
Lien Credit Agreement, dated as of August 31, 2022, by and among
OSG Holdings, Inc., Output Services Group, Inc. (the "Borrower"),
Acquiom Agency Services LLC and Seaport Loan Products LLC, as
coadministrative agents (collectively, the "First Lien Co
Administrative Agents"), and the lenders and guarantors party
thereto (as amended, amended and restated, supplemented or
otherwise modified from time to time, the "Credit Agreement").
Counsel represents only the AHG and the First Lien Co
Administrative Agents and does not represent or purport to
represent any persons or entities other than the AHG or the First
Lien Co-Administrative Agents in connection with the Chapter 11
Cases. In addition, as of the date of this Verified Statement, the
AHG, both collectively and through its individual members, does not
represent or purport to represent any other persons or entities in
connection with the Chapter 11 Cases.
The Ad Hoc Group of First Lien Lenders' address and the nature and
amount of disclosable economic interests held in relation to the
Debtors are:
1. Audax Management Company (NY), LLC
320 Park Avenue, 18th Floor
New York, NY 10022
* First Lien Term Loans ($21,246,776.59)
2. Bayside Capital, LLC
1450 Brickell Ave, 31st Floor
Miami, FL 33131
* First Lien Term Loans ($78,660,238.58)
3. Bridgepoint Credit I A (L) S.A.R.L.
6B, Rue du Fort
Niedergrünewald, L-2226
Luxembourg, Grand Duchy of Luxembourg
* First Lien Term Loans ($5,623,359.52)
4. Bridgepoint Credit I A S.A.R.L.
6B, Rue du Fort
Niedergrunewald, L-2226
Luxembourg, Grand Duchy of Luxembourg
* First Lien Term Loans ($410,333.30)
5. Bridgepoint Credit II (L) S.A.R.L.
6B, Rue du Fort
Niedergrunewald, L-2226
Luxembourg, Grand Duchy of Luxembourg
* First Lien Term Loans ($25,716,427.55)
6. Bridgepoint Credit II SARL
6B, Rue du Fort
Niedergrünewald, L-2226
Luxembourg, Grand Duchy of Luxembourg
* First Lien Term Loans ($2,038,559.47)
7. Bridgepoint Credit S SARL
6B, Rue du Fort
Niedergrünewald, L-2226
Luxembourg, Grand Duchy of Luxembourg
* First Lien Term Loans ($15,989,286.00)
8. Capital One, National Association
100 First Stamford Place, Suite
615, Stamford, CT 06902
* First Lien Term Loans ($23,381,948.58)
* Revolver Loans ($5,100,329.29)
9. TIAA Churchill Middle Market CLO I, Ltd.
375 Park Ave. 9th Floor
New York, NY 10022
* First Lien Term Loans ($6,543,717.16)
10. Churchill Middle Market CLO III, LLC
375 Park Ave. 9th Floor
New York, NY 10022
* First Lien Term Loans ($5,866,536.26)
11. Churchill Middle Market CLO IV, Ltd.
375 Park Ave. 9th Floor
New York, NY 10022
* First Lien Term Loans ($6,567,018.12)
12. Churchill MMSLFK GT 1
375 Park Ave. 9th Floor
New York, NY 10022
* First Lien Term Loans ($1,400,963.87)
13. Nuveen Churchill Direct Lending Corp.
375 Park Ave. 9th Floor
New York, NY 10022
* First Lien Term Loans ($3,896,982.53)
14. Teachers Insurance and Annuity Association of America
375 Park Ave. 9th Floor
New York, NY 10022
* First Lien Term Loans ($13,134,036.23)
15. Churchill Asset Management LLC
375 Park Ave. 9th Floor
New York, NY 10022
* First Lien Term Loans ($8,055,542.25)
16. First Eagle Alternative Credit, LLC
227 West Monroe Street,
Suite #3800, Chicago, IL 60606
* First Lien Term Loans ($27,524,598.49)
17. Monroe Capital Management LLC; Monroe Capital Asset
Management
LLC; MRCC Senior Loan Fund I, LLC
311 S. Wacker Dr., 64th floor
Chicago IL 60606
* First Lien Term Loans ($24,174,344.57)
18. PEMBERTON MIDMARKET DEBT HOLDINGS III (USD COINVESTMENT), a
compartment of Pemberton Mid-Market Debt III Master Holdco SV
S.a.r.l.
2-4 Rue Eugene Ruppert, L-2453
Luxembourg
* First Lien Term Loans ($20,370,998.24)
19. PEMBERTON STRATEGIC CREDIT HOLDINGS II (A), a compartment of
Pemberton Strategic Credit II Master Holdco SV S.a r.l
2-4 Rue Eugene Ruppert, L-2453
Luxembourg
* First Lien Term Loans ($51,265,662.84)
20. PEMBERTON STRATEGIC CREDIT HOLDINGS II (B), a compartment of
Pemberton Strategic Credit II Master Holdco SV S.a r.l
2-4 Rue Eugène Ruppert, L-2453
Luxembourg
* First Lien Term Loans ($40,560,529.38)
21. PennantPark Credit Opportunities Fund III LP
1691 Michigan Ave, Miami
Beach, FL 33139
* First Lien Term Loans ($11,314,150)
22. PennantPark Senior Secured Loan Facility II LLC
1691 Michigan Ave, Miami
Beach, FL 33139
* First Lien Term Loans ($7,758,924)
23. PennantPark Floating Rate Funding I LLC
1691 Michigan Ave, Miami
Beach, FL 33139
* First Lien Term Loans ($4,922,906)
24. PennantPark CLO III, Ltd.
1691 Michigan Ave, Miami
Beach, FL 3313
* First Lien Term Loans ($2,900,274)
25. PennantPark Senior Credit Fund Levered Funding LLC
1691 Michigan Ave, Miami
Beach, FL 33139
* First Lien Term Loans ($2,051,226)
Counsel to the Ad Hoc Group of First Lien Lenders:
PAUL HASTINGS LLP
James T. Grogan III, Esq.
Schlea M. Thomas, Esq.
600 Travis Street, 58th Floor
Houston, Texas 77002
Telephone: (713) 860-7300
Facsimile: (713) 353-3100
Email: jamesgrogan@paulhastings.com
schleathomas@paulhastings.com
Jayme T. Goldstein, Esq.
Christopher M. Guhin, Esq.
Caroline M. Diaz, Esq.
PAUL HASTINGS LLP
200 Park Avenue
New York, New York 10166
Telephone: (212) 318-6000
Facsimile: (212) 319-4090
Email: jaymegoldstein@paulhastings.com
chrisguhin@paulhastings.com
carolinediaz@paulhastings.com
- and -
Matthew Micheli, Esq.
PAUL HASTINGS LLP
71 S. Wacker Drive, Forty-Fifth Floor
Chicago, Illinois 60606
Telephone: (312) 499-6000
Facsimile: (312) 499-6100
Email: mattmicheli@paulhastings.com
About OSG Holdings
OSG Group is a business print and digital
communications provider. OSG Group runs a digital and print
communications platform, serving corporate clients throughout North
America and the United Kingdom. The Company provides primarily
transactional, marketing, and payment solutions to various
industries, including consumer services, business-to-business
markets, education, retail, property management, financial
services, healthcare, and the government, both through the use of
its traditional print and mail businesses, as well as through its
omnichannel software-as-service (SaaS) platform. The Company also
provides a comprehensive suite of complementary services to its
clients, such as online payment portals and accounts receivable
software, real-time reporting and data analytics, and database
management services.
OSG Holdings Inc. and its affiliates, including OSG Group Holdings,
Inc., sought relief under Chapter 11 of the U.S. Bankruptcy Code
(Bankr. S.D. Tex. Lead Case No. 23-90799) on Oct. 15, 2023. In the
petition filed by Keith A. Maib, as chief restructuring officer,
OSG Holdings estimated assets and liabilities between $500 million
and $1 billion each.
The Honorable Bankruptcy Judge Christopher M. Lopez handles the
cases.
The Debtors tapped McDERMOTT WILL & EMERY LLP as general
bankruptcy
counsel; ACCORDION PARTNERS, LLC as financial advisor; and
HOULIHAN
LOKEY CAPITAL, INC., as investment banker. KURTZMAN CARSON
CONSULTANTS LLC is the claims agent.
OUTLOOK THERAPEUTICS: Provides Update on Type A Meetings With FDA
-----------------------------------------------------------------
Outlook Therapeutics, Inc. announced that it has completed the
requested Type A Meetings with the U.S. Food and Drug
Administration (FDA) to discuss the Complete Response Letter (CRL)
dated Aug. 29, 2023 regarding the Biologics License Application
(BLA) for ONS-5010, an investigational ophthalmic formulation of
bevacizumab under development to treat wet AMD.
The FDA informed Outlook Therapeutics that an additional adequate
and well-controlled clinical trial would be required for the
approval of ONS-5010 for the treatment of wet AMD. During the
meetings, Outlook Therapeutics reached an agreement in principle
with the FDA on a clinical trial design that would most likely
allow for the resubmission of the ONS-5010 BLA as early as the end
of calendar year 2024, and subsequent approval around mid-2025,
pending final agreement on a clinical trial protocol with the FDA
and successful completion of the required additional clinical
trial. The FDA and Outlook Therapeutics also agreed on the
approaches needed to resolve the CMC comments in the CRL and
Outlook Therapeutics believes these efforts should be sufficient to
support approval.
"We are confident that we can meet the additional requirements that
the FDA is requiring for approval of ONS-5010. The retina
community of patients, physicians and payers are all in need of an
FDA-approved bevacizumab that meets ophthalmic standards for the
treatment of wet AMD, and we remain focused on achieving this
critical treatment option," said Russell Trenary, president and CEO
of Outlook Therapeutics.
About Outlook Therapeutics
Outlook Therapeutics, Inc., formerly known as Oncobiologics, Inc.
-- http://www.outlooktherapeutics.com-- is a biopharmaceutical
company working to develop the first FDA-approved ophthalmic
formulation of bevacizumab for use in retinal indications,
including wet AMD, DME and BRVO. If ONS-5010, its investigational
ophthalmic formulation of bevacizumab, is approved, Outlook
Therapeutics expects to commercialize it as the first and only
on-label approved ophthalmic formulation of bevacizumab for use in
treating retinal diseases in the United States, Europe, Japan and
other markets.
Philadelphia, Pennsylvania-based KPMG LLP, the Company's auditor
since 2015, issued a "going concern" qualification in its report
dated Dec. 29, 2022, citing that the Company has incurred recurring
losses and negative cash flows from operations and has an
accumulated deficit, that raise substantial doubt about its ability
to continue as a going concern.
P & P ENTERPRISES: Court OKs Cash Collateral Access Thru Nov 10
---------------------------------------------------------------
The U.S. Bankruptcy Court for the Eastern District of Virginia,
Alexandria Division, authorized P & P Enterprises, Inc. to use cash
collateral on an interim basis in accordance with the budget,
through November 10, 2023.
The Debtor requires the use of cash collateral to meet its expenses
and maintain the operation of its business.
The Debtor is indebted to Berkshire Bank in the amount of $984,606
as of the Filing Date under a note executed on November 14, 2016,
payable to the Lender in the original principal amount of $3.4
million, known as SBA Loan # 89909450-07. The Note was secured by a
deed of trust dated November 14, 2016 granting the Lender a valid,
properly-perfected, first-priority security interest in real
properties known as (i) 9471 Manassas Road, Manassas Park, VA
20111, and (ii) 9103 Peabody Street, Manassas, Virginia 20110, as
well as certain equipment, fixtures, inventory, and other property.
As of the Petition Date, the Lender has a valid secured claim in
the amount of $984,606. The Security Agreement and UCC Financing
Statements provide the Lender a security interest in all business
assets of the Debtor.
A copy of the court's order and the Debtor's budget is available at
https://urlcurt.com/u?l=Yh22nS from PacerMonitor.com.
The Debtor projects $36,595 in total cash inflows from operations
and $10,250 in total Chapter 11 expenses for the 13-week period
ending November 10, 2023.
About P & P Enterprises
P & P Enterprises, Inc. filed Chapter 11 petition (Bankr. E.D. Va.
Case No. 23-11236) on July 31, 2023, with $50,001 to $100,000 in
assets and $500,001 to $1 million in liabilities.
Judge Klinette H. Kindred oversees the case.
Christopher S. Moffitt, Esq., at the Law Offices of Christopher S.
Moffitt represents the Debtor as legal counsel.
PERMIAN RESOURCES: Fitch Hikes LongTerm IDR to 'BB', Outlook Pos.
-----------------------------------------------------------------
Fitch Ratings has upgraded the Long-Term Issuer Default Ratings
(IDRs) of Permian Resources Corporation and Permian Resources
Operating LLC (collectively PR) to 'BB' from 'BB-' and the senior
unsecured ratings to 'BB'/'RR4' from 'BB-'/'RR4'. Fitch has also
upgraded the IDRs for Earthstone Energy, Inc. and Earthstone Energy
Holdings, LLC (collectively Earthstone) to 'BB' from 'B+'. This
equalizes the ratings for Earthstone and PR following the close of
PR's acquisition of Earthstone. Earthstone Energy Holdings, LLC's
two outstanding unsecured notes due 2027 and 2031 were also
upgraded to 'BB'/'RR4' from 'B+'/'RR4' and have been assumed by PR
at close. Additionally, Fitch has upgraded Permian Resources
Operating, LLC's reserve-based lending credit facility (RBL) to
'BBB-'/'RR1' from 'BB+'/'RR1'. The Rating Outlook is Positive.
The upgrades and Positive Outlook reflect the credit-accretive
Earthstone acquisition, which materially increases PR's production
size, proved reserves and total acres and supports strong
post-dividend FCF. PR's credit profile is also supported by Fitch's
expectation for material synergy realization by YE 2024, strong
post-close liquidity profile, sub 1.5x EBITDA leverage and adequate
oil hedge coverage.
The Positive Outlook could be resolved following successful
integration of Earthstone, realization of targeted synergies
resulting in improved cash netbacks and progress toward reducing
the post-close RBL borrowings.
Fitch has removed the Rating Watch Positive from all entities and
issuance ratings and withdrawn the IDRs of Earthstone given
reorganization of the rated entities following the acquisition and
assumption of Earthstone's outstanding notes by PR. Fitch has also
withdrawn Earthstone Energy Holdings, LLC's RBL as it was
terminated at close.
KEY RATING DRIVERS
Credit-Friendly, All-Stock Acquisition: The approximately $4.5
billion Earthstone transaction is credit positive given the
stock-for-stock exchange between PR and Earthstone at a fixed
exchange ratio of 1.446 shares, representing an 8% premium based on
the 20-day volume weighted average share prices upon announcement.
Both companies exhibit fairly conservative balance sheets, which
leads to Fitch-forecast pro forma 2024 leverage of 1.1x and
mid-cycle leverage of 1.4x at Fitch's oil price assumptions of
$70/bbl WTI and $57/bbl WTI, respectively. This is consistent with
similarly sized peers, and the company's improved pro forma FCF
profile will also allow for continued debt reduction and
accelerated shareholder returns.
Enhanced Permian Footprint: The acquisition materially enhances
PR's size and scale with pro forma Permian net acres of
approximately 400,000, primarily in the Delaware basin, total
production of approximately 300 Mboepd (46% oil) and adds
significant core inventory in the Delaware basin which immediately
competes for capital. PR will retain its status as a pure-play
Permian producer, which should drive operational improvements,
including improved drilling and completion efficiencies, lower
operating costs and G&A benefits, which should improve returns.
Delaware-Focused Drilling Program: Fitch believes management's
11-rig, Delaware-focused drilling program going forward should
facilitate drilling and completion efficiencies and generate strong
FCF through the medium term. Management expects to allocate nearly
90% of its capital toward high rate-of-return projects in the
Delaware basin while maintaining one of Earthstone's rigs in the
Midland Basin. Fitch estimates 2024 capex of approximately $2.0
billion which could be reduced following synergy realization, scale
benefits and cost reductions given PR's lower operating cost
profile versus ESTE.
Synergy Potential; Strong FCF: Fitch believes synergies associated
with the deal will be achievable by YE 2024. Management has
identified approximately $175 million of estimated annual
synergies, including $115 million stemming from operational
efficiencies and cost savings, $30 million in G&A synergies and $30
million in cost of capital savings via refinancing opportunities
for ESTE's notes once callable. Fitch believes the reduced cost
structure should improve post-base dividend FCF generation, which
Fitch currently estimates at over $600 million in 2024 at its
$70/bbl WTI price assumption.
Adequate Hedge Profile: Fitch believes PR's rolling hedge program
provides adequate downside protection for the company and the fixed
dividend. PR is currently hedging approximately 20% of Fitch's 2024
forecast oil production at a weighted average price of
approximately $75 WTI in addition to approximately 20% of Fitch's
2024 forecast natural gas production. Fitch expects modest
increases in oil hedge coverage going into 2024 as management looks
to maintain a rolling oil hedge coverage of approximately 30% for
the next 12-month periods going forward with additional natural gas
and basis hedges.
Balanced Shareholder Returns: Management remains committed to
returning at least 50% of its post-base dividend FCF to
shareholders via variable dividends and share repurchases.
Post-close, PR plans to increase its quarterly base dividend by 20%
to $0.06/share and Fitch expects sustainable dividend growth over
the medium to long term. Fitch believes the capital allocation
program is supported by the company's enhanced asset base, rolling
hedge program and strong FCF profile while also providing
flexibility to further strengthen the balance sheet over time.
Ratings Equalized Under PSL: Fitch has equalized the ratings
between PR and Earthstone under the parent subsidiary linkage
criteria based primarily on high legal, strategic and operational
incentives. There are strong legal ties between the entities as the
Earthstone debt will rank pari passu with all existing PR debt and
will be guaranteed by all material direct and indirect subsidiaries
which also guarantee the RBL. The linkage is further supported by
strong strategic and operational ties given the substantial asset
value Earthstone provides to the group along with a fully
integrated management team.
DERIVATION SUMMARY
PR's pro forma production profile of approximately 300 Mboepd (46%
oil) compares similarly to Civitas Resources, Inc. (BB/Positive;
325-345 Mboepd pro forma the Vencer Energy transaction) and
Endeavor Energy Resources, L.P. (BBB-/Stable; 258 Mboepd in 2Q22),
is larger than Murphy Oil Corporation (BB+/Stable; 191 Mboepd as of
2Q23) and Matador Resources Co. (BB-/Positive; 131 Mboepd), but
trails APA Corporation (BBB-/Stable; 399 Mboepd as of 2Q23). The
company has historically maintained Fitch-calculated unhedged cash
netbacks around the Permian peer average, which should improve
following operational enhancements and execution on synergies.
Fitch forecasts 2024 pro forma leverage of approximately 1.1x,
which is consistent with Fitch's E&P peer group and could further
improve following debt reduction.
KEY ASSUMPTIONS
- WTI oil price of $75/bbl in 2023, $70/bbl in 2024, $65/bbl in
2025, and $60/bbl in 2026, and $57/bbl in the long term;
- Henry Hub natural gas price of $2.80/mcf in 2023, $3.25/mcf in
2024, $3.00/mcf in 2025 and $2.75 in the long term;
- Average production of approximately 300 mboepd in 2024 with low-
to mid-single-digit growth thereafter;
- Capex of $2.0 billion in 2024 with growth-linked spending
thereafter;
- Measured increases in the fixed dividend;
- No material M&A activity.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
- Successful integration and realization of operational synergies
that improves unit costs, netbacks and enhances FCF generation;
- Progress toward reduction of post-close RBL borrowings;
- Maintenance of economic inventory and reserve life;
- Mid-cycle EBITDA leverage sustained below 2.0x.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
- Inability to generate FCF and/or excessive RBL borrowings
resulting in a deterioration of the liquidity profile;
- Deviation from stated conservative financial and capital
allocation policy;
- Mid-cycle EBITDA leverage sustained above 2.5x.
LIQUIDITY AND DEBT STRUCTURE
Strong Liquidity: PR's pro forma liquidity is strong with over $1.5
billion of available borrowing capacity under the RBL and is also
supported by strong FCF expectations. This follows an incremental
$500 million of lender commitments post-close, increasing the total
elected commitment amount from $1.5 billion to $2.0 billion.
Fitch does not expect any material incremental borrowings under the
RBL facility and believes the outstanding balance will be reduced
in the medium term. Fitch's forecast of over $600 million of
post-base dividend FCF in 2024 supports the liquidity profile and
reduction of the RBL balance going forward.
ISSUER PROFILE
Pro forma the Earthstone acquisition, PR will remain a pure-play
Permian basin operator with approximately 400,000 total net acres
and 300 Mboepd of liquids-weighted production.
ESG CONSIDERATIONS
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
Entity/Debt Rating Recovery Prior
----------- ------ -------- -----
Earthstone
Energy, Inc. LT IDR BB Upgrade B+
LT IDR WD Withdrawn BB
Permian Resources
Operating, LLC LT IDR BB Upgrade BB-
senior
unsecured LT BB Upgrade RR4 BB-
senior secured LT BBB- Upgrade RR1 BB+
senior
unsecured LT BB Upgrade RR4 B+
Permian Resources
Corporation LT IDR BB Upgrade BB-
Earthstone Energy
Holdings, LLC LT IDR BB Upgrade B+
LT IDR WD Withdrawn BB
senior secured LT WD Withdrawn BB+
PLAINS END: Fitch Affirms 'BB+' Rating on Senior Secured Bonds
--------------------------------------------------------------
Fitch Ratings has affirmed Plains End Financing, LLC's senior
secured bonds at 'BB+'. The Rating Outlook is Stable.
RATING RATIONALE
The rating reflects Fitch's expectations of continued stable
operational and cost profiles. Plains End benefits from fixed-price
tolling-style power purchase agreements (PPAs) with an
investment-grade counterparty. However, the cash flow profile is
susceptible to fluctuations in project dispatch and operating
costs. The average rating case debt service coverage ratio (DSCR)
is 1.28x with a minimum of 1.20x in 2027, and is slightly below
indicative thresholds for the current rating level mainly due to
Fitch's projection of slowly rising property taxes in light of
recent cost trends.
The projected financial profile is acceptable at the current rating
level given actual performance above rating case levels, sizable
cash balances to mitigate cost increases, a history of property tax
settlements, and expectations of future stable dispatch and major
maintenance costs through the remaining life of the debt. However,
continued growth of property taxes (about 28% of expected total
costs in 2023) above Fitch's rating case expectations of 4% per
year could pressure the rating.
KEY RATING DRIVERS
Stable Operating Profile [Operation Risk - Midrange]:
The project consists of two peaking facilities (PEI and PEII)
designed to provide back-up generation for nearby wind projects due
to the intermittency of wind resources. Operating costs fluctuate
based on the level of dispatch, and in the past, heightened
dispatch has substantially accelerated the timing of planned major
maintenance events. However, dispatch has decreased from the 2008
high and future operating risk is somewhat mitigated by Plains
End's stable operating profile.
Low Supply Risk [Supply Risk - Stronger]:
The tolling-style PPAs are with Public Service Company of Colorado
(PSCo; A-/Stable). Under the contracts, all variable fuel expenses
are passed through to PSCo, subject to heat rate adjustments. The
contracts represent a stronger attribute that limits the fuel
supply risk to the project
Stable Contracted Revenues [Revenue Risk - Midrange]:
The project benefits from stable and predictable revenues under two
20-year fixed price PPAs with a strong utility counterparty, PSCo.
Under the PPAs, PEI and PEII receive substantial capacity payments
that account for nearly 90% of consolidated revenues. However,
energy margins may not sufficiently fund accelerated overhaul
expenses resulting from increased dispatch.
Typical Structural Features [Debt Structure: Midrange]:
Plains End's senior debt has standard structural features,
including a forward- and backward-looking dividend lock-up at 1.20x
consolidated DSCR, a six-month debt service reserve, and is both
fully amortizing and fixed rate.
Financial Profile
Historical average coverage ratios have generally remained
consistent with Fitch's base case metrics. Fitch's rating case
incorporates lower availability, recent property tax assessments,
as well as a 10% increase in fixed operating costs above the base
case. For this annual review, Fitch increased property taxes in the
rating case by around USD1 million on average annually between 2024
and 2027, following the latest property tax assessment and trend of
growing property taxes. This was partially offset by an additional
USD500 thousand added in ancillary revenues, in light of favorable
performance over the last six years. The average rating case senior
DSCR is 1.28x with a minimum of 1.20x in 2027.
PEER GROUP
Tierra Mojada Luxembourg II S.a r.l. (Tierra Mojada; BBB-/Stable)
is a mostly contracted cogeneration plant in Mexico, that operates
under tolling-style PPAs similar to Plains End for the contracted
portion of its generation. Tierra Mojada's operating profile is
more variable than Plains End's, as it is a baseload plant with
some merchant exposure over the medium-term. Its higher rating is
explained by more robust coverage levels under the rating case,
averaging 1.57x with a minimum of 1.42x, which compensate for its
additional risks. Other privately rated projects with lower ratings
typically exhibit higher sensitivity to operational stresses and
have lower rating case coverages.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
- Continued increases in operating costs (including property taxes
and insurance) above Fitch's expectations that result in DSCRs
below 1.30x;
- A loss of the property tax assessment appeal and/or continued
property tax litigation without retention of sufficient cash at the
project level to offset expected future expense increases.
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade
- Stable operating and financial performance and other material
improvements to cash flow resulting in coverage exceeding 1.40x on
average in the rating case.
TRANSACTION SUMMARY
Plains End consists of two peaking facilities located in Arvada,
Jefferson County, Colorado with a combined capacity of 228.6 MW,
used primarily as a back-up for wind generation, as well as other
generation sources. The project is indirectly owned by Tyr Energy
(50%), John Hancock (35%) and Prudential (15%). Combined cash flows
from both plants have serviced the obligations under two bond
issues (senior - still outstanding, and subordinate - fully repaid
in July 2023).
CREDIT UPDATE
The facilities have experienced stable operations in 2022 and for
the seven months of 2023 through July. During both periods,
availability remained high and stable at 99.9%. The capacity factor
increased to 2.0% in 2022 from 1.1% in 2021, and net generation for
the portfolio nearly doubled. Operational performance during the
first seven months of 2023 with a capacity factor of 1.7% remained
in line with performance during 2022, and with expected performance
for peaking facilities. No material changes in major maintenance
are anticipated.
Cash revenues were about 3% higher than in Fitch's base case in
2022, mostly due to higher ancillary revenues. Expenses were about
6% higher, mostly related to higher-than-expected property taxes
and insurance costs. Higher revenues slightly offset higher
expenses for the year, leading to a senior and consolidated DSCR of
1.45x and 1.18x, respectively. This was slightly higher than
Fitch's base case projections of 1.43x senior and 1.16x
consolidated DSCR.
For the rolling 12 months of actual performance through September
2023, revenues were about USD800,000 higher than the Fitch 2023
base case, but expenses were about USD1.5 million higher, mostly
due to higher property tax. This resulted in a lower senior DSCR of
1.34x versus 1.40x, and a lower consolidated DSCR of 1.13x versus
1.19x (considering all subordinated non-mandatory debt service).
Actual DSCRs were higher than 2023 rating case DSCRs of 1.24x
senior and 1.05x consolidated (considering all subordinated
non-mandatory debt service).
In recent years, the Colorado tax authority has issued
higher-than-expected valuations for the plants, resulting in higher
property tax obligations. Management has appealed the valuations,
and the settled valuation value was ultimately about 15% below the
original. 2022 property taxes were paid in 2023.
However, the tax authority's valuations for 2023 are 17% higher for
PEI and 26% higher for PEII. Management has filed another appeal
and has retained Kroll for the appeal process. Management is
expecting a resolution by early 2Q24. 2023 property taxes are
expected to be paid in 2024.
FINANCIAL ANALYSIS
Fitch Cases
The subordinate tranche was paid in fully in July 2023, so
consolidated DSCR will no longer be presented going forward in
Fitch's financial analysis. In light of recent and expected future
financial performance, Fitch has updated its assumptions for
ancillary revenues and property taxes during this review. Since
2018, the project has earned about USD3.0 million per year in
ancillary revenues (dispatch & warm standby) while Fitch's cases
have assumed about USD2.5 million. Given the consistent performance
of higher ancillary revenues than projected, Fitch added an
additional USD500 thousand per year in revenues in both the base
and rating case.
Given the trend of increasing property taxes, Fitch's current base
case assumes that property taxes will increase by 4% in 2024 over
2023 property taxes paid in 2024, and flatten thereafter. The
rating case assumes that property taxes will continue to grow at 4%
after 2023. Both the base and the rating case assume that Plains
End will be successful in its ongoing appeal of the property tax
valuation. The assumed 4% growth rate for property taxes under the
rating case is based on the difference between the 2023 Final
Notice of Valuation values and the 2022 Final Notice of Valuation
figures. The base case includes a 5% parallel stress on the
aforementioned curve to account for forecasting uncertainty and
potential litigation expenses, whereas the rating case includes a
10% stress.
Fitch's base case assumes a forced outage rate of 0.8%, 99.2%
availability, an average heat rate of 9,036 Btu/kWh (9,336 Btu/kWh
for PEI and 8,735 Btu/kWh for PEII), and a consolidated plant
capacity factor of 1.6%. The resulting profile produces an average
senior DSCR of 1.37x and minimum of 1.30x in 2027, slightly lower
than last review's average of 1.46x and minimum of 1.40x due to the
higher property tax profile.
Fitch's rating case assumes a forced outage rate of 1.0%, 99.0%
availability, consolidated plant capacity factor of 1.6% and
elevated costs 10% above the base case. The resulting profile
produces an average senior DSCR of 1.28x and minimum of 1.20x in
2027, slightly lower than last review's average of 1.31x and
minimum of 1.24x. Currently projected rating case DSCRs are
slightly beneath indicative thresholds for a 'BB+' rating under
applicable criteria. However, the rating at 'BB+' is appropriate
due to actual performance above rating case projections, the
project's track-record of appealing property tax assessments, and
sizable balances of available cash-on-hand (about USD8.1 million)
to mitigate cost overruns.
Fitch ran a sensitivity case, which is meant to represent a
downside case in which the appeal of the 2023 property tax is not
successful, and property taxes increase by 22%, growing at 4%
thereafter. This case was run under rating case conditions, and
yields an average DSCR of 1.21x with a minimum of 1.13x in 2027.
Should this scenario materialize, negative rating action may be
warranted.
SECURITY
Plains End's obligations are jointly and severally guaranteed by
PEI and PEII. The obligations of the issuer and guarantors are
secured by a first-priority perfected security interest in favor of
the collateral agent. The collateral includes all real and personal
property, all project documents and material agreements, all cash
and accounts, and all ownership interests in the issuer and
guarantors.
The collateral will be applied in the following order:
- First, for the benefit of the lenders under the senior bonds and
senior credit facilities until full discharge of any payments and
obligations; and
- Second, any excess shall be returned to the issuer, guarantor or
sponsor.
ESG CONSIDERATIONS
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
Entity/Debt Rating Prior
----------- ------ -----
Plains End
Financing, LLC
Plains End
Financing,
LLC/Project
Revenues &
Assets - First
Lien/1 LT LT BB+ Affirmed BB+
PROS HOLDINGS: Incurs $13.9 Million Net Loss in Third Quarter
-------------------------------------------------------------
PROS Holdings, Inc. filed with the Securities and Exchange
Commission its Quarterly Report on Form 10-Q disclosing a net loss
of $13.87 million on $77.25 million of total revenue for the three
months ended Sept. 30, 2023, compared to a net loss of $13.85
million on $70.35 million of total revenue for the three months
ended Sept. 30, 2022.
"We delivered a strong third quarter, exceeding our guidance ranges
across all metrics, delivering 16% subscription revenue growth and
more than $17 million of improvement to free cash flow
year-over-year," stated CEO Andres Reiner in a press release. "We
are delivering on our growth objectives while driving incredible
improvements to our operational efficiency, a testament to our
team's relentless focus on achieving our goal of being a rule of 40
company by 2026."
For the nine months ended Sept. 30, 2023, the Company reported a
net loss of $46.16 million on $226.22 million of total revenue
compared to a net loss of $64.90 million on $205.20 million of
total revenue for the nine months ended Sept. 30, 2022.
As of Sept. 30, 2023, the Company had $431.85 million in total
assets, $486.73 million in total liabilities, and a total
stockholders' deficit of $54.88 million.
PROS Holdings stated, "We believe our existing cash and cash
equivalents, including current estimates of future operating cash
flows and funds available under our Credit Agreement, will provide
adequate liquidity and capital resources to meet our operational
requirements, anticipated capital expenditures, coupon interest and
principal payments for our remaining 2024 Notes for the next twelve
months. Our future working capital requirements depend on many
factors, including the operations of our existing business, growth
of our customer subscription services, future acquisitions we might
undertake, expansion into complementary businesses, timing of
adoption and implementation of our solutions and customer churn.
Capital markets have tightened in response to the macroeconomic
environment making new financing more difficult and/or expensive
and we may not be able to obtain such financing on terms acceptable
to us. During the nine months of 2023, the financial markets
experienced some disruption due to certain regional bank failures.
We have not experienced any material impact from this disruption
but will continue to monitor the situation and take action
accordingly."
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1392972/000139297223000117/pro-20230930.htm
About PROS
Headquartered in Houston, Texas, PROS Holdings, Inc. (NYSE: PRO) --
www.pros.com -- is a provider of AI-powered SaaS pricing, CPQ,
revenue management, and digital offer marketing solutions. The
PROS Platform leverages AI to provide real-time predictive insights
that enable businesses to drive revenue and margin improvements.
PROS Holdings reported a net loss of $82.25 million in 2022, a net
loss of $81.21 million in 2021, a net loss of $76.98 million in
2020, a net loss of $69.08 million in 2019, a net loss of $64.25
million in 2018, a net loss of $77.93 million in 2017, and a net
loss of $75.23 million in 2016.
REMARK HOLDINGS: Gets Delisting Notice From Nasdaq
--------------------------------------------------
Remark Holdings, Inc. disclosed in a Form 8-K filed with the
Securities and Exchange Commission that on Oct. 26, 2023, the
Company received a staff determination letter from the Listing
Qualifications Department of The Nasdaq Stock Market LLC indicating
that the Company did not regain compliance with the Continued
Listing Standards. Accordingly, unless the Company requests an
appeal of Nasdaq's determination, its common stock is subject to
delisting.
On April 27, 2023, Remark received a written notice from Nasdaq
Stock notifying the Company that, pursuant to Nasdaq Listing Rule
5550(b)(3), the Company is required to maintain a minimum of
$500,000 in net income from continuing operations in the most
recently completed fiscal year, or two of the last three fiscal
years. Since the Company's Form 10-K for the period ended Dec. 31,
2022 reported net loss from continuing operations, and as of April
25, 2023, the Company did not meet the alternative continued
listing standards under Nasdaq Listing Rule 5550(b) of a minimum
stockholders' equity of $2.5 million or minimum market value of
listed securities of $35 million, the Company no longer complies
with the Continued Listing Standards.
The Company submitted to Nasdaq a plan to regain compliance with
the Continued Listing Standards, and in July 2023, Nasdaq granted
the Company until Oct. 24, 2023 to regain compliance.
Remark said it will appeal Nasdaq's delisting determination to a
Hearings Panel. Such hearings are generally scheduled within
approximately 30 days of the request. The Company's common stock
will continue to be listed and traded on the Nasdaq Capital Market
pending a decision by the Panel.
About Remark Holdings
Remark Holdings, Inc. (NASDAQ: MARK) --
http://www.remarkholdings.com-- delivers an integrated suite of AI
solutions that help organizations monitor, understand, and act on
threats in real-time. Remark consists of an international team of
sector-experienced professionals that have created video analytics.
The Company's GDPR-compliant and CCPA-compliant solutions focus on
market sectors including retail, federal and state governmental
entities, public safety, hospitality, and transportation. The
company's headquarters are in Las Vegas, Nevada, USA, with
operational offices in New York and international offices in
London, England.
Remark Holdings reported a net loss of $55.48 million for the year
ended Dec. 31, 2022, compared to net income of $27.47 million for
the year ended Dec. 31, 2021. As of March 31, 2023, the Company had
$14.17 million in total assets, $39.95 million in total
liabilities, and a total stockholders' deficit of $25.78 million.
Los Angeles, California-based Weinberg & Company, P.A., the
Company's auditor since 2020, issued a "going concern"
qualification in its report dated April 17, 2023, citing that the
Company has suffered recurring losses from operations and negative
cash flows from operating activities and has a negative working
capital and a stockholders' deficit that raise substantial doubt
about its ability to continue as a going concern.
REVOLVE CONSTRUCTION: Unsecureds Will Get 17% of Claims in Plan
---------------------------------------------------------------
Revolve Construction, Inc., filed with the U.S. Bankruptcy Court
for the District of Colorado a Plan of Reorganization dated October
26, 2023.
The Debtor is a Colorado corporation engaged in business as a
general contractor providing design build services for residential
construction projects across the Front Range.
The Debtor was operating successfully until 2020, when work
stoppages and delays caused by COVID-19 began to cause a financial
strain on the Debtor. In order to fund cash shortfalls, the Debtor
entered into a number of agreements with merchant cash advance
companies ("MCAs") purporting to purchase the future receivables of
the Debtor. The burdensome payment terms to the MCAs caused
additional financial strains on the Debtor, eventually leading in
the Debtor having to pay over $80,000 per month just to service the
loans.
While the Debtor was attempting to manage its debt burden, the
Debtor was also attempting to manage costs while material costs and
labor rates continued to increase, causing even more of a financial
strain on the Debtor. As a result of the ongoing financial
difficulties, the Debtor filed its voluntary petition for relief
pursuant to Chapter 11, Subchapter V of the Bankruptcy Code on July
31, 2023 in order to restructure its operations, preserve its
cashflow, and continue as a going concern.
Class 6 consists of those unsecured creditors of the Debtor who
hold Allowed Claims that were either scheduled by the Debtor as
undisputed, or subject to timely filed proofs of claim to which the
Debtor does not successfully object. Class 6 claimants shall
receive payment of their Allowed Claims as follows:
* Class 6 shall receive a pro-rata distribution equal to 100%
of the Debtor's Net Revenue calculated on a quarterly basis after
contributions to the Expense Reserve.
* Commencing on the first day of the second calendar quarter
following the Effective date of the Plan and continuing each
quarter thereafter, the Debtor shall set aside an amount equal to
(100%) of the prior quarter's Net Revenue. By way of example, if
the Plan is confirmed in January 2024, then on April 1, 2024, the
Debtor shall set aside an amount equal to the Net Revenue generated
from January 2024 through March 2024.
* The first distribution to the Expense Reserve and then to
Class 6 Creditors shall be made on the fifteenth day of the second
calendar quarter following the Effective Date of the Plan.
Distributions to Class 6 creditors shall continue on the fifteenth
day of each calendar quarter thereafter.
* Based on the Debtor's projections, the Debtor estimates
Class 6 Creditors will receive approximately 17% on account of
their claims. Upon request by any party in interest, the Debtor
shall provide a quarterly financial statement, including amounts
disbursed to creditors in accordance with the Plan.
* In addition to the amounts set forth, unsecured creditors
shall receive 50% of the amounts recovered for claims arising under
Chapter 5 after payment of attorney fees, cost of litigation, and
cost of recovery.
Class 7 includes Interests in the Debtor held by the
preconfirmation shareholders. Class 7 is unimpaired by this Plan.
On the Effective Date of the Plan, Class 9 shall retain its
Interests in the properties which it owned prior to the
Confirmation Date, subject to the terms of the Plan.
As evidenced by the projections, the Debtor anticipates that its
income will be positive each year of the Plan, and will generate
sufficient revenue to meet its obligations under the Plan. The
Debtor has used its best efforts to prepare accurate projections.
The Debtor's actual income will fluctuate based on actual sales and
changes in the market.
The Debtor has based payments to Class 6 Unsecured Creditors on
Gross Revenue, which amount represents the Debtor's revenue on a
project, which will ensure the feasibility of the Plan. As the
Debtor's revenue fluctuates, the amount set aside for creditors
will fluctuate as well, but the Debtor will not be overburdened
with fixed debt payments.
A full-text copy of the Plan of Reorganization dated October 26,
2023 is available at https://urlcurt.com/u?l=Lw3BNM from
PacerMonitor.com at no charge.
Attorneys for Debtor:
Keri L. Riley, Esq.
Kutner Brinen Dickey Riley, P.C.
1660 Lincoln Street, Suite 1720
Denver, CO 80264
Tel: (303) 832-2400
Email: klr@kutnerlaw.com
About Revolve Construction
Revolve Construction, Inc., is part of the residential building
construction industry. Its services include: 3D rendering,
architectural design, architectural drawings, custom home,
energy-efficient homes, green building, log home construction, new
home construction, project management, sustainable design,
design-build.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Colo. Case No. 23-13369) on July 28,
2023. In the petition signed by Jared Phifer, owner/president, the
Debtor disclosed $475,249 in total assets and $2,482,339 in total
liabilities.
Judge Michael E Romero oversees the case.
Keri L. Riley, Esq., at KUTNER BRINEN DICKEY RILEY PC, is the
Debtor's legal counsel.
RITE AID: A&G Plans to Sell Additional Pharmacy Leases
------------------------------------------------------
A&G Real Estate Partners, in its capacity as real estate advisor to
Rite Aid Corporation, on Nov. 6 announced plans to market for sale
a second tranche of neighborhood pharmacy leases, pending approval
by the U.S. Bankruptcy Court for the District of New Jersey.
The tranche comprises 92 leases, which will be available in private
sales, pending court approval, as part of Rite Aid's financial
restructuring process. The Company is working collaboratively with
its financial stakeholders to reduce its debt and better position
its business for long-term success. As part of this, Rite Aid is
continuing to assess its property portfolio and will close
additional stores to optimize its real estate footprint and improve
its overall financial performance. This newest grouping of leases
follows A&G's prior offerings announced on Oct. 17, 2023.
"The lack of new build of this type of product is driving demand
for these leases," said Andy Graiser, Co-President of New
York-based A&G. "We continue to be pleased by the strong interest
we are receiving across the country from potential replacement
users."
Including options, all leases being marketed by Rite Aid--the
third-largest drugstore chain in the United States--boast more than
10 years of remaining term. The newly available leases are located
in the following eight states:
-- California (17) -- Maryland (6) -- Michigan (22) -- New Jersey
(7) -- New York (11) -- Ohio (2) -- Pennsylvania (17) -- Washington
(6 Bartell Drugs, 4 Rite Aid). The stores range from 5,000 to
33,548 square feet. The highly visible sites include 53
freestanding locations, all but nine of which offer attached one-
or two-lane drive-throughs, as well as 36 stores located in strip
or power centers. Three of the locations are in central business
districts.
As the Company's restructuring process moves forward, A&G will
market additional leases, with the total number depending on the
outcome of ongoing negotiations between A&G and Rite Aid
landlords.
"In consultation with A&G, Rite Aid is working to strengthen its
overall financial position by reducing its rent expenses and
optimizing its portfolio," Mr. Graiser said. "As it does so, other
retailers and investors are now able to acquire leases and
properties that once were out of reach locations, in attractive
markets across the United States."
About Rite Aid Corp.
Rite Aid -- http://www.riteaid.com-- is a full-service pharmacy
that improves health outcomes. Rite Aid is defining the modern
pharmacy by meeting customer needs with a wide range of vehicles
that offer convenience, including retail and delivery pharmacy, as
well as services offered through our wholly owned subsidiaries,
Elixir, Bartell Drugs and Health Dialog. Elixir, Rite Aid's
pharmacy benefits and services company, consists of accredited mail
and specialty pharmacies, prescription discount programs and an
industry leading adjudication platform to offer superior member
experience and cost savings. Health Dialog provides healthcare
coaching and disease management services via live online and phone
health services. Regional chain Bartell Drugs has supported the
health and wellness needs in the Seattle area for more than 130
years. Rite Aid employs more than 6,100 pharmacists and operates
more than 2,100 retail pharmacy locations across 17 states.
The Debtors sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D.N.J. Lead Case No. 23-18993) on
Oct. 15, 2023. In the petition signed by Jeffrey S. Stein, chief
executive officer and chief restructuring officer, Rite Aid
disclosed $7,650,418,000 in total assets and $8,597,866,000 in
total liabilities.
Judge Michael B. Kaplan oversees the cases.
The Debtors tapped Kirkland & Ellis LLP and Kirkland & Ellis
International LLP as general bankruptcy counsel, Cole Schotz, P.C.,
as local bankruptcy counsel, Guggenheim Partners as investment
banker, Alvarez & Marsal North America, LLC as financial, tax and
restructuring advisor, and Kroll Restructuring Administration as
claims and noticing agent.
RITE AID: U.S. Trustee Appoints Creditors' Committee
----------------------------------------------------
The U.S. Trustee for Regions 3 and 9 appointed an official
committee to represent unsecured creditors in the Chapter 11 cases
of Rite Aid Corp. and its affiliates.
The committee members are:
1. Benderson Development Company, LLC
7978 Cooper Creek Blvd., Suite 100
University Park, FL 34201
Attn: Mark Chait
Tel: (941) 780-3228
Email: markchait@benderson.com
2. McKesson Corporation
6535-6555 State Hwy 161
Irving, TX 75039
Attn: Ben Carlsen
Tel: (404) 599-1649
Email: ben.carlsen@mckesson.com
3. Computershare Trust Company, N.A.
9062 Old Annapolis Road
Columbia, MD 21045
Attn: Megan Ford
Tel: (667) 786-1078
Email: megan.ford@computershare.com
4. United Food and Commercial Workers International Union
1775 K Street NW
Washington, DC 20006
Attn: Wendell Young
Tel: (610) 940-1805
Email: w@ufcw1776.org
5. MCS Advantage, Inc.
MCS Plaza
255 Ave. Ponce De Leon
9th Floor, Suite 900
San Juan, PR 00919
Attn: Maite Morales Martinez
Tel: (787) 522-8212
Email: maite.morales@medicalcardsystem.com
6. Realty Income Corporation
11995 El Camino Real
San Diego, CA 92130
Attn: Demetri Lahanas
Tel: (858) 284-5327
Email: dlahanas@realtyincome.com
7. Loyd F. Schmuckley, Jr., Relator
c/o Paul Lawrence, II, Esq.
Waters Kraus & Paul, LLP
37163 Montville Road
Middleburg, VA 20117
Tel: (512) 431-0393
Email: plawrence@waterskraus.net
8. Humana Health Plan, Inc.
500 W. Main Street
Louisville, KY 40202
Attn: Elizabeth Monohan
Tel: (502) 580-2710
Email: emonohan@humana.com
9. Pension Benefit Guaranty Corporation
445 12th Street SW
Washington, DC 20024
Attn: Cassandra Guichard
Tel: (202) 229-4923
Email: guichard.cassandra@pbgc.gov
Official creditors' committees serve as fiduciaries to the general
population of creditors they represent. They may investigate the
debtor's business and financial affairs. Committees have the right
to employ legal counsel, accountants and financial advisors at a
debtor's expense.
About Rite Aid
Rite Aid -- http://www.riteaid.com-- is a full-service pharmacy
that improves health outcomes. Rite Aid is defining the modern
pharmacy by meeting customer needs with a wide range of vehicles
that offer convenience, including retail and delivery pharmacy, as
well as services offered through our wholly owned subsidiaries,
Elixir, Bartell Drugs and Health Dialog. Elixir, Rite Aid's
pharmacy benefits and services company, consists of accredited mail
and specialty pharmacies, prescription discount programs and an
industry leading adjudication platform to offer superior member
experience and cost savings. Health Dialog provides healthcare
coaching and disease management services via live online and phone
health services. Regional chain Bartell Drugs has supported the
health and wellness needs in the Seattle area for more than 130
years. Rite Aid employs more than 6,100 pharmacists and operates
more than 2,100 retail pharmacy locations across 17 states.
The Debtors sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D.N.J. Lead Case No. 23-18993) on October
15, 2023. In the petition signed by Jeffrey S. Stein, chief
executive officer and chief restructuring officer, Rite Aid
disclosed $7,650,418,000 in total assets and $8,597,866,000 in
total liabilities.
Judge Michael B. Kaplan oversees the cases.
The Debtors tapped Kirkland & Ellis LLP and Kirkland & Ellis
International LLP as general bankruptcy counsel, Cole Schotz, P.C.
as local bankruptcy counsel, Guggenheim Partners as investment
banker, Alvarez & Marsal North America, LLC as financial, tax and
restructuring advisor, and Kroll Restructuring Administration as
claims and noticing agent.
RITE AID: U.S. Trustee Appoints Tort Claimants' Committee
---------------------------------------------------------
The U.S. Trustee for Regions 3 and 9 appointed an official
committee to represent tort claimants in the Chapter 11 cases of
Rite Aid Corp. and its affiliates.
The committee members are:
1. Michael Masiowski, M.D.
Counsel:
Paul S. Rothstein, Esq.
Paul S. Rothstein, P.A.
626 NE 1st Street
Gainesville, FL 32601
Tel: (352) 376-7650
Email:psr@rothsteinforjustice.com
2. Nancy Zailo
Counsel:
Anne Andrews, Esq.
Andrews & Thornton, AAL, ALC
4701 Von Karman Ave., Suite 300
Corporate Plaza Drive
Newport Beach, CA 92660
Tel: (949) 748-1000
Email: aa@andrewsthornton.com
3. Andrew Parsons
Counsel:
Anjali A. Mehta, Esq.
Bevan & Associates, LPA, Inc.
6555 Dean Memorial Parkway
Boston Heights, OH 44236
Tel: (330) 650-0088
Email: amehta@bevanlaw.com
4. Blue Cross Blue Shield Association
Counsel:
Mark D. Fischer, Esq.
Rawlings & Associates PLLC
1 Eden Parkway
LaGrange, KY 40031
Tel: (502) 814-2139
Email: mdf@rawlingsandassociates.com
-- and --
Alan Halperin, Esq.
Halperin Battaglia Benzija, LLP
40 Wall Street, 37th Floor
New York, NY 10005
Tel: (212)-765-9100
Email: ahalperin@halperinlaw.net
5. Erie County Medical Center Corporation
Counsel:
Marco Cercone, Esq.
Rupp Pfalzgraf
1600 Liberty Building
Buffalo, NY 14202
Tel: (716) 854-3400
Email: cercone@rupppfalzgraf.com
6. Karen Pforr
Counsel:
Joseph D. Hall, Esq.
Joseph D. Hall & Associates LLC
1065 N 115th St #130
Omaha, NE 68154
Tel: (402) 990-5953
Email: joe@jdhalaw.com
7. Sandra Blankenship
Counsel:
Kevin W. Thompson, Esq.
Thompson Barney
2030 Kanawha Blvd. East
Charleston WV 25311
Tel: (304) 430-8286
Email: kwthompsonwv@thompsonbarney.com
8. Rita Valega
Counsel:
Chris McKean, Esq.
MRHFM Law Firm
1015 Locust St. Suite 1200
St. Louis, MO 63101
Tel: (314) 241-2003
Email: cmckean@mrhfmlaw.com
9. Alphonse Borkowski
Counsel:
David J. Stanoch, Esq.
Conlee Whiteley, Esq
Kanner & Whiteley, L.L.C.
701 Camp Street
New Orleans, LA 70130
Tel: (504) 524-5777
Email: d.stanoch@kanner-law.com
Email: c.whiteley@kanner-law.com
About Rite Aid
Rite Aid -- http://www.riteaid.com-- is a full-service pharmacy
that improves health outcomes. Rite Aid is defining the modern
pharmacy by meeting customer needs with a wide range of vehicles
that offer convenience, including retail and delivery pharmacy, as
well as services offered through our wholly owned subsidiaries,
Elixir, Bartell Drugs and Health Dialog. Elixir, Rite Aid's
pharmacy benefits and services company, consists of accredited mail
and specialty pharmacies, prescription discount programs and an
industry leading adjudication platform to offer superior member
experience and cost savings. Health Dialog provides healthcare
coaching and disease management services via live online and phone
health services. Regional chain Bartell Drugs has supported the
health and wellness needs in the Seattle area for more than 130
years. Rite Aid employs more than 6,100 pharmacists and operates
more than 2,100 retail pharmacy locations across 17 states.
The Debtors sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D.N.J. Lead Case No. 23-18993) on October
15, 2023. In the petition signed by Jeffrey S. Stein, chief
executive officer and chief restructuring officer, Rite Aid
disclosed $7,650,418,000 in total assets and $8,597,866,000 in
total liabilities.
Judge Michael B. Kaplan oversees the cases.
The Debtors tapped Kirkland & Ellis LLP and Kirkland & Ellis
International LLP as general bankruptcy counsel, Cole Schotz, P.C.
as local bankruptcy counsel, Guggenheim Partners as investment
banker, Alvarez & Marsal North America, LLC as financial, tax and
restructuring advisor, and Kroll Restructuring Administration as
claims and noticing agent.
ROBS BAR: Unsecureds Will Get 100% of Claims over 5 Years
---------------------------------------------------------
Robs Bar & Grill, LLC, filed with the U.S. Bankruptcy Court for the
Southern District of Texas a Plan of Reorganization dated October
26, 2023.
The Debtor started operations in May 2022. Robs Bar manages and
operates a sports bar and grill.
The Debtor is currently owned 100% by Robert Curry. He will remain
the owner and retain his 100% ownership interests going forward.
The Debtor elected to file a chapter 11 reorganization as the best
means to resolve the current liabilities of the company and
determine the secured portions of those creditors.
Debtor proposed to pay allowed unsecured based on the liquidation
analysis and cash available. Debtor anticipates having enough
business and cash available to fund the plan and pay the creditors
pursuant to the proposed plan. It is anticipated that after
confirmation, the Debtor will continue in business. Based upon the
projections, the Debtor believes it can service the debt to the
creditors.
The Debtor will continue operating its business. The Debtor's Plan
will break the existing claims into six classes of Claimants. These
claimants will receive cash repayments over a period of time
beginning on or after the Effective Date.
Class 6 consists of Unsecured Claims. All allowed unsecured
creditors shall receive a pro rata distribution at zero percent per
annum over the next 5 years beginning not later than the 1st day of
the next calendar month following 30 days after the effective date
of the plan and continuing every year thereafter. Creditors shall
receive either monthly, or quarterly disbursements based on the
projection distributions of each 12-month period.
Debtor will distribute up to $12,868.40 to the general allowed
unsecured creditor pool over the 5-year term of the plan, includes
the under-secured claim portions. The Debtor's General Allowed
Unsecured Claimants will receive 100% of their allowed claims under
this plan. These payments may be made monthly or quarterly but at
the very minimum Class 6 claimants shall receive the yearly
distribution of one-fifth their payment amount each year.
Class 7 Equity Interest Holders. The current owners will receive no
payments under the Plan; however, they will be allowed to retain
ownership in the Debtor. Class 7 Claimants are not impaired under
the Plan.
Debtor anticipates the continued operations of the business to fund
the Plan.
A full-text copy of the Plan of Reorganization dated October 26,
2023 is available at https://urlcurt.com/u?l=92sB36 from
PacerMonitor.com at no charge.
Debtor's Counsel:
Robert C Lane, Esq.
The Lane Law Firm, PLLC
6200 Savoy, Suite 1150
Houston, Texas 77036
Tel: (713) 595-8200
Facsimile: (713) 595-8201
Email: notifications@lanelaw.com
About Robs Bar & Grill
Robs Bar & Grill, LLC, manages and operates a sports bar and
grill.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. S.D. Tex. Case No. 23-32814) on July 28,
2023. In the petition signed by Robert Curry, owner, the Debtor
disclosed up to $50,000 in assets and up to $500,000 in
liabilities.
Judge Jeffrey P. Norman oversees the case.
Robert C Lane, Esq., at The Lane Law Firm, represents the Debtor as
legal counsel.
SIX FLAGS: S&P Places 'B+' ICR on CreditWatch Positive
------------------------------------------------------
S&P Global Ratings placed all its ratings on Six Flags
Entertainment Corp., including its 'B+' issuer credit rating, on
CreditWatch with positive implications.
U.S.-based regional theme park operator Six Flags, announced a deal
to merge with Cedar Fair L.P.
S&P said, "The CreditWatch positive placement reflects our view
that we expect the combined company could have stronger
creditworthiness than Six Flags on a stand-alone basis. On Nov. 2,
2023, the company announced an all-stock merger of equals with
Cedar Fair, expected to close in the first half of 2024. Pro forma
for the transaction, excluding the company's expected $200 million
in synergies, we estimate the combined company's S&P Global
Ratings-adjusted leverage will be about 4.5x."
Six Flags will benefit from increased scale following its merger
with Cedar Fair, approximately doubling its EBITDA base and owning
a total of 42 parks and nine resort properties in North America.
The combined entity will also benefit from increased geographic
diversity and reduced EBITDA concentration in its largest parks if
it can pass regulatory scrutiny. S&P said, "We believe the combined
entity can support higher leverage than Six Flags on a standalone
basis given its meaningfully larger scale and improved geographic
diversity. We believe greater diversity and scale can help mitigate
any potential EBITDA volatility caused by regional economic
downturns or weather-related event risk."
In the third quarter of 2023, Six Flags' revenue increased 8% from
the same period in 2022, driven by higher attendance due to higher
season pass sales, sponsorship revenue, and food and beverage
sales. Lower guest spending per capita partially offset this,
driven by optimized season-pass and single-day-ticket pricing that
resulted in lower admissions pricing. The higher attendance mix
from season-pass holders also contributed to the decline, who spend
less on certain in-park products than single-day guests. EBITDA
margin decreased slightly in the quarter due to an increase in cash
operating costs from higher attendance, increased advertising
spend, and higher spend associated with an earlier start to the
fall events schedule, partially offset by the revenue increase. As
of Sept. 30, 2023, Six Flags' leverage was around 4.8x, limited
cushion below our current 5x upgrade threshold.
S&P said, "While we forecast modest revenue growth, macroeconomic
risks persist and could slow the pace of growth. Although the
Federal Reserve's fight against inflation hasn't yet materially
weakened the regional theme park sector's performance, we believe
park attendance and per capita spending could falter next year. S&P
Global economists forecast increasing risk for a macroeconomic
downside scenario caused by a slowdown in business activity,
increased unemployment, and a steeper decline in consumer spending.
Under our downside scenario, we forecast a slowdown into 2024,
which may lead consumers to pull back on leisure spending, causing
industrywide revenue and profitability to decline. In addition,
rising labor and other cost inflation hurts theme park
profitability.
"We expect to address the CreditWatch placement once we are
confident the proposed transaction can achieve regulatory,
shareholder, and other approvals to close in the first half of
2024. We will assess the combined company's business position, pro
forma capital structure, and long-term financial policy as more
information becomes available."
Six Flags owns and operates regional theme and water parks under
the Six Flags brand name. The company's parks offer various thrill
rides, water attractions, themed areas, concerts and shows,
restaurants, game venues, and retail outlets. Its portfolio
consists of 27 parks, including 24 in the U.S., two in Mexico, and
one in Montreal.
SURGE TRANSPORTATION: Alexander, Winton Files Rule 2019 Statement
-----------------------------------------------------------------
Alexander, Winton & Associates, Inc. ("AWA"), the assignee of motor
carriers' rights to unpaid prepetition freight charges on shipments
brokered by Surge Transportation, Inc., filed a verified statement
pursuant to Rule 2019 of the Federal Rules of Bankruptcy
Procedure.
AWA submitted a claim for $1,076,063.07 ("AWA Claim") based upon
the rights assigned to AWA. As such, AWA is a first-party owner of
the rights it asserts in this bankruptcy proceeding and does not
"represent" any interest other than its own interests as
"represent" is defined in Rule 2019 of the Federal Rules of
Bankruptcy Procedure.
AWA has not exchanged any monetary consideration with its
assignors, but adequate and sufficient consideration has been
provided by AWA to its assignors by way of its promises to pay
established, confidential, and proprietary amounts based upon AWA's
recovery of the unpaid debt assigned to AWA.
Attorneys for Alexander, Winton:
COHEN & PALOMBO P.C.
Jeffrey D. Cohen, Esq.
Timothy L. Frey, Esq.
The Times Building
32 Parking Plaza, Suite 402
Ardmore, PA 19003
Telephone: 215-609-1110
Facsimile: 215-609-1117
Email: jcohen@freightlaw.net
tfrey@freightlaw.net
About Surge Transportation
Founded in 2016 by Omar Singh, Surge Transportation, Inc., is a
Jacksonville-based trucking and freight broker licensed with the
U.S. Department of Transportation and the United States Federal
Motor Carrier Safety Administration. It specializes in sourcing
extra truckload capacity during peak seasons and other periods of
high demand. Surge Transportation maintains satellite offices in
Chicago, Ill. and Ashburn, Va.
Surge Transportation filed a Chapter 11 petition (Bankr. M.D. Fla.
Case No. 23-01712) on July 24, 2023, with $10 million to $50
million in both assets and liabilities. Mr. Singh signed the
petition.
Judge Jacob A. Brown oversees the case.
Bradley R. Markey, Esq., at Thomas Markey, is the Debtor's legal
counsel.
SURGE TRANSPORTATION: Baxter Bailey Files Rule 2019 Statement
-------------------------------------------------------------
Baxter Bailey & Associates, Inc., the assignee of motor carriers'
rights to unpaid prepetition freight charges on shipments brokered
Surge Transportation, Inc., filed a verified statement pursuant to
Rule 2019 of the Federal Rules of Bankruptcy Procedure.
BBA submitted 228 claims totaling $679,609 in this bankruptcy
proceeding ("BBA Claims") based upon BBA's assigned rights. As
such, BBA is a first-party owner of the rights it asserts in this
bankruptcy proceeding and does not "represent" any interest other
than its own interests as "represent" is defined in Rule 2019 of
the Federal Rules of Bankruptcy Procedure.
BBA has not exchanged any monetary consideration with its
assignors, but adequate and sufficient consideration has been
provided by BBA to its assignors by way of its promises to pay
established, confidential, and proprietary amounts based upon BBA's
recovery of the unpaid debt assigned to BBA.
Attorneys for Baxter Bailey:
COHEN & PALOMBO P.C.
Jeffrey D. Cohen, Esq.
Timothy L. Frey, Esq.
The Times Building
32 Parking Plaza, Suite 402
Ardmore, PA 19003
Telephone: 215-609-1110
Facsimile: 215-609-1117
Email: jcohen@freightlaw.net
tfrey@freightlaw.net
About Surge Transportation
Founded in 2016 by Omar Singh, Surge Transportation, Inc., is a
Jacksonville-based trucking and freight broker licensed with the
U.S. Department of Transportation and the United States Federal
Motor Carrier Safety Administration. It specializes in sourcing
extra truckload capacity during peak seasons and other periods of
high demand. Surge Transportation maintains satellite offices in
Chicago, Ill. and Ashburn, Va.
Surge Transportation filed a Chapter 11 petition (Bankr. M.D. Fla.
Case No. 23-01712) on July 24, 2023, with $10 million to $50
million in both assets and liabilities. Mr. Singh signed the
petition.
Judge Jacob A. Brown oversees the case.
Bradley R. Markey, Esq., at Thomas Markey, is the Debtor's legal
counsel.
TACORA RESOURCES: Moody's Cuts PDR to 'D-PD' Amid Bankruptcy Filing
-------------------------------------------------------------------
Moody's Investors Service downgraded Tacora Resources Inc.'s
probability of default rating to D-PD from C-PD. Moody's affirmed
Tacora's corporate family rating at C and senior secured notes
rating at C. The outlook was changed to stable from negative.
These actions follow the October 10, 2023 announcement that Tacora
obtained an order from the Ontario Superior Court of Justice
commencing proceedings under the Companies' Creditors Arrangement
Act (the "CCAA").
Subsequent to the actions, Moody's will withdraw the ratings due to
Tacora's bankruptcy filing.
Governance risk factors are material to the rating action including
aggressive financial strategy and risk management practices that
resulted in an untenable capital structure that constrained the
company's ability to make its interest payments.
RATINGS RATIONALE
The downgrade of the PDR to D-PD reflects Tacora's bankruptcy
filing on October 10, 2023. The C CFR and senior secured bank notes
ratings reflects Moody's view of estimated recovery. In connection
with the CCAA proceedings, Tacora has reached an agreement for a
$75 million debtor-in possession facility with Cargill,
Incorporated. During the CCAA Proceedings, Tacora will continue
operations.
Headquartered in Montreal, Quebec, Tacora Resources Inc. has one
operating mine in Canada, the Scully Mine in Wabush, Newfoundland
and Labrador.
The principal methodology used in these ratings was Mining
published in October 2021.
TACORA RESOURCES: To Sell Assets Under CCAA Proceedings
-------------------------------------------------------
Tacora Resources Inc. sought and obtained an initial order (the
"Initial Order") under the Companies' Creditors Arrangement Act.
The Initial Order provides, among other things, a stay of
proceedings until Oct. 20, 2023 ("Stay Period") and may be extended
by the Court from time to time. Tacora will be seeking an
extension of the Stay Period at a hearing scheduled for October 19,
2023. Pursuant to the Initial Order, FTI Consulting Canada Inc.
was appointed as monitor of the Company.
On Oct. 30, 2023, Tacora obtained an amended and restated initial
order from the Court extending the period of the Court-ordered stay
of proceedings against Tacora under the CCAA until February 9,
2024. On the same date, Tacora obtained an order from the Court
approving the Sale and Investment Solicitation Process.
According Court Documents, the current filing and commencement of
the CCAA Proceedings stems from the Company's need for additional
capital to address an imminent liquidity crisis and need for
additional capital to operate the business, as well as the maturity
and payment due dates of various debt obligations. The CCAA
Proceedings will allow Tacora to:
a) secure interim financing to ensure the Company
can continue to operate in the ordinary course;
b) preserve the going-concern value of the Scully
Mine; and
c) continue and complete the Strategic Process
to execute upon a value-maximizing sale or
recapitalization transaction for the benefit
of stakeholders.
Since the successful restart of operations at the Scully Mine in
2019, several factors have contributed to the Company's production
levels being well below name-plate production capacity. The
Company's production levels have, in turn, resulted in elevated
operating costs due to the high fixedcost nature of the Business.
In 2022, Tacora completed three key capital projects, which are
critical to ramping up production at the Scully Mine. Tacora faced
significant operational issues related to these projects, including
design flaws that required significant attention from management
and plant employees. This diverted attention away from required
preventative maintenance work throughout the plant, which caused
further operational challenges. 30 These challenges, among others,
resulted in frequent unplanned downtime and lower production
throughout 2022, which negatively impacted production volume and
led to elevated production costs for the Company.
Tacora's liquidity situation was further exacerbated by iron ore
price volatility throughout 2022 and 2023, which placed significant
pressure on the Company to raise new capital in order to continue
operating.
Pursuant to the Initial Order, all persons having oral or written
agreements with Tacora or statutory or regulatory mandates for the
supply of goods and/or services are restrained until further Order
of the Court from discontinuing, altering, interfering with or
terminating the supply of such goods or services as may be required
by Tacora, provided that the normal prices or charges for all such
goods or services received after the date of the Initial Order are
paid by Tacora in accordance with normal payment practices of
Tacora or such other practices as may be agreed upon by the
supplier or service provider and Tacora and the Monitor, or as may
be ordered by this Court. The Initial Order prohibits Tacora from
making payment of amounts relating to the supply of goods or
services prior to Oct. 10, 2023, other than certain payments
specified in the Initial Order
A copy of the Initial Order and copies of the materials filed in
the CCAA proceedings may be obtained at
http://cfcanada.fticonsulting.com/tacoraor on= request from the
Monitor by calling 1-416-649-8138 or toll free, 1-833-420-9074 or
emailing tacora@fticonsulting.com
Further details, contact the Monitor:
FTI Consulting Canada Inc.
TD South Tower
79 Wellington Street West
Suite 2010, P.O. Box 104
Toronto, ON M5K 1G
Tel: 1-416-649-8138
Toll Free: 1-833-420-9074
Email: Tacora@fticonsulting.com
Nigel Meakin
Tel: 416-649-8065
Email: Nigel.Meakin@fticonsulting.com
Jodi Porepa
Tel: 416-649-8059
Email: Jodi.Porepa@fticonsulting.com
Graham McIntyre
Tel: 902-478-0134
Email: Graham.McIntyre@fticonsulting.com
Counsel for the Company:
Stikeman Elliott LLP
5300 Commerce Court West
199 Bay Street
Toronto, ON M5L 1B9
Ashley Taylor
Tel: 416-869-5236
Email: ataylor@stikeman.com
Eliot N. Kolers
Tel: 416-869-5637
Email: ekolers@stikeman.com
Lee Nicholson
Tel: 416-869-5604
Email: leenicholson@stikeman.com
Natasha Rambaran
Tel: 416-869-5504
Email: nrambaran@stikeman.com
Philip Yang
Tel: 416-869-5593
Email: pyang@stikeman.com
RJ Reid
Tel: 416-869-5614
Email: rreid@stikeman.com
Counsel for the Monitor:
Cassels Brock & Blackwell LLP
Suite 3200, Bay Adelaide Centre -
North Tower
40 Temperance Street
Toronto, ON M5H 0B4
Ryan Jacobs
Tel: 416-860-6465
Email: rjacobs@cassels.com
Jane Dietrich
Tel: 416-860-5223
Email: jdietrich@cassels.com
Alan Merskey
Tel: 416-860-2948
Email: amerskey@cassels.com
Monique Sassi
Tel: 416-860-6886
Email: msassi@cassels.com
Financial Advisor to the Company:
Greenhill & Co. Canada Ltd.
1271 Avenue of the Americas
New York, NY 10020
Chetan Bhandari
Tel: 212-389-1514
Email: chetan.bhandari@greenhill.com
Michael Nessim
Tel: 416-601-2577
Email: michael.nessim@greenhill.com
Usman Masood
Tel: 416-601-2578
Email: usman.masood@greenhill.com
Charles Geizhals
Tel: 212-389-1761
Email: charles.geizhals@greenhill.com
Tacora is a private company focused on the production and sale of
high-grade iron ore concentrate mined from the Scully Mine, located
near Wabush, Newfoundland and Labrador, Canada.
THERATECHNOLOGIES INC: Closes US$25M Stock Offerings
----------------------------------------------------
Theratechnologies Inc. announced that it has closed its public
offering of 12,500,000 common shares of the Company at a public
offering price of US$1.00 per Common Share.
The gross proceeds of the Public Offering are US$12,500,000, before
deducting the underwriting discounts and commissions and other
estimated offering expenses. Pursuant to the underwriting
agreement dated Oct. 25, 2023, the Company has also granted the
underwriter a 30-day option to purchase up to 1,875,000 Common
Shares at the Offering Price, less underwriting discounts and
commissions.
Cantor Fitzgerald & Co. acted as sole bookrunner for the Public
Offering.
In connection with the Public Offering, the Company has also closed
its concurrent private placement with Investissement Quebec of
9,118,184 Common Shares and 3,381,816 fully-funded, non-voting
subscription receipts, exchangeable into Common Shares on a
one-for-one basis in lieu of Common Shares, in each case, at the
Offering Price, for US$12,500,000 aggregate gross proceeds, less a
capital commitment fee of 1.5% payable to Investissement Quebec and
Investissement Quebec's legal fees. The component of the
Concurrent Private Placement in the form of Exchangeable
Subscription Receipts is designed to ensure that, following
completion of the Public Offering and the Concurrent Private
Placement, Investissement Quebec does not have beneficial ownership
or control over more than 19.9% of the issued and outstanding
Common Shares and therefore is not a "control person" within
applicable Canadian securities laws. All securities issued in
connection with the Concurrent Private Placement are subject to a
four-month hold period from the closing date under applicable
Canadian securities laws, in addition to such other restrictions as
may apply under applicable securities laws of jurisdictions outside
Canada.
The Company also entered into an investor rights agreement,
pursuant to which Investissement Quebec will be entitled to
nominate one director to the Company's board of directors for as
long as it holds 50% of the Common Shares purchased pursuant to the
Concurrent Private Placement.
As at the date of closing, Investissement Quebec beneficially owns
approximately 19.9% (25.4% if the Exchangeable Subscription
Receipts were to be exchanged into Common Shares) of the issued and
outstanding Common Shares. If the Option is exercised in full,
Investissement Quebec will beneficially own approximately 19.1%
(24.5% if the Exchangeable Subscription Receipts were to be
exchanged into Common Shares) of the issued and outstanding Common
Shares as of the date of closing.
The Public Offering and the Concurrent Private Placement are
subject to final acceptance of the Toronto Stock Exchange.
About Theratechnologies
Theratechnologies (TSX: TH) (NASDAQ: THTX) -- www.theratech.com --
is a biopharmaceutical company focused on the development and
commercialization of innovative therapies addressing unmet medical
needs.
Montreal, Canada-based KPMG LLP, the Company's auditor since 1993,
issued a "going concern" qualification in its report dated Feb. 27,
2023, citing that the Company's convertible notes mature in June
2023 and its Loan Facility contains various covenants, including
minimum liquidity covenants. There is material uncertainty related
to events or conditions that cast substantial doubt about its
ability to continue as a going concern.
TITAN CONCRETE: Penachio Malara Files Rule 2019 Statement
---------------------------------------------------------
Anne Penachio of Penachio Malara LLP filed a verified statement
pursuant to Rule 2019 of the Federal Rules of Bankruptcy Procedure
to disclose that in the Chapter 11 case of Titan Concrete, Inc.,
the firm represents several entities.
The Entities' address and the nature and amount of disclosable
economic interests held in relation to the Debtor are:
1. Mestousis Development
1226 Oak Point Avenue
Bronx, NY 10474
* $30,000.00
2. Mestousis Enterprises
1226 Oak Point Avenue
Bronx, NY 10474
* $130,000.00
3. Mestousis, LLC
1226 Oak Point Avenue
Bronx, NY 10474
* $70,000.00
4. Point H Realty Corp.
1226 Oak Point Avenue
Bronx, NY 10474
* $3,000,000.00
5. Peter Mestousis, Sr., and
1226 Oak Point Avenue
Bronx, NY 10474
* $950,000.00
6. Joanna Mestousis
1226 Oak Point Avenue
Bronx, NY 10474
* $250,000.00
Attorney for the Entities:
PENACHIO MALARA LLP
Anne Penachio, Esq.
245 Main Street, Suite 450
White Plains, NY 10601
(914) 946-2889
About Titan Concrete
Titan Concrete, Inc., a company in Carmel, N.Y., provides concrete
and ready-mix services to commercial, industrial, residential and
homeowner customers.
The Debtor filed a petition under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. S.D.N.Y. Case No. 23-35835) on Oct. 4,
2023, with $1 million to $10 million in both assets and
liabilities. Harry Malinowski, chief restructuring officer, signed
the petition.
Judge Cecelia G. Morris oversees the case.
Jeremy R. Johnson, Esq., at Polsinelli, PC, is the Debtor's legal
counsel.
TRICORD BUSINESS: Unsecureds to Get Share of Income for 3 Years
---------------------------------------------------------------
Tricord Business Group, LLC, and its affiliates filed with the U.S.
Bankruptcy Court for the Middle District of Tennessee a Joint Plan
of Reorganization dated October 26, 2023.
Tricord is a global supply chain management company specializing in
low-cost country sourcing of engineered products.
The Company was formed in 2011 as Tricord International, LLC with
equal ownership by founders Mr. Robert E. Monger and Mr. James C.
Clayton. The Company caters to Original Equipment Manufacturers
(OEMs), Tier One, and Tier Two manufacturers in the United States
through its sourcing platforms, primarily in Asia with a
significant presence in India.
This Plan is the Debtors' comprehensive proposal to deleverage and
pay creditors as much as the business can reasonably support.
Class 11 consists of all Allowed Claims against Debtor Tricord
Business Group, LLC that are not Secured or Priority Claims,
including any Allowed Deficiency Claims Hancock Whitney Bank and
Fora Financial Business Loans, LLC. Each Holder of an Allowed Class
11 Claim shall be paid its Pro Rata portion of Debtor Tricord
Business Group, LLC's Disposable Income in annual Distributions
during the Commitment Period, with the first such payment due on
first anniversary of the Effective Date.
Class 12 consists of all Allowed Claims against Debtor James C.
Clayton that are not Secured or Priority Claims. Each Holder of an
Allowed Class 12 Claim shall be paid its Pro Rata portion of Debtor
James C. Clayton's monthly net income reflected on his Schedule J
in annual Distributions during the Commitment Period, with the
first such payment due on first anniversary of the Effective Date.
Class 13 consists of all Allowed Claims against Debtor Robert E.
Monger that are not Secured or Priority Claims. Each Holder of an
Allowed Class 13 Claim shall be paid its Pro Rata portion of Debtor
Robert E. Monger's monthly net income reflected on his Schedule J
in annual Distributions during the Commitment Period, with the
first such payment due on first anniversary of the Effective Date.
Class 14 includes all equity and ownership interests in the
Debtors. Except for any property to be sold, abandoned, or
otherwise relinquished under this Plan, Interests in and ownership
of the Debtors shall remain unaltered.
Commitment Period means the 3-year period contemplated and set
forth under Bankruptcy Code section 1191(c).
Debtor Tricord Business Group, LLC shall use proceeds from
operations to pay all required payments on the Effective Date and
all payments due under the Plan on an on-going basis.
A full-text copy of the Joint Plan dated October 26, 2023 is
available at https://urlcurt.com/u?l=xb3XCh from PacerMonitor.com
at no charge.
Proposed Attorneys for Debtors:
Robert J. Gonzales, Esq.
Nancy B. King, Esq.
EMERGELAW, PLC
4235 Hillsboro Pike, Suite 300
Suite 505
Nashville, TN 37215
Tel: (615) 815-1535
Email: ecf@emerge.law
About Tricord Business
Tricord Business Group, LLC d/b/a Tricord International is a global
supply chain management company specializing in low-cost country
sourcing of engineered products.
Tricord Business Group filed a Chapter 11 petition (Bankr. M.D.
Tenn. Case No. 23-03934) on Oct. 26, 2023, with $537,478 in assets
and $7,154,199 in liabilities. James C. Clayton, chief executive
officer, signed the petition.
Judge Randal S. Mashburn oversees the case.
Robert J. Gonzales, Esq., of EMERGELAW, PLC, is the Debtor's
Counsel
TROIKA MEDIA: Regains Compliance With Nasdaq Listing Requirement
----------------------------------------------------------------
Troika Media Group, Inc. disclosed in a Current Report on Form 8-K
filed with the Securities and Exchange Commission that it received
notification from Nasdaq that it had regained compliance with
Nasdaq Listing Rule 5250(c)(1). The Staff's notification indicated
that this matter is now closed.
On Aug. 22, 2023, Troika Media received a delinquency notification
letter from Nasdaq stating that the Company was not in compliance
with Nasdaq Listing Rule 5250(c)(1) because it had not timely filed
its Quarterly Report on Form 10-Q for the quarter ended June 30,
2023. According to the letter from Nasdaq, the Company must submit
a plan of compliance within 60 days addressing how it intends to
regain compliance with Nasdaq's listing rules or otherwise file the
Form 10-Q before the expiration of such
60-day period. The Company filed the Form 10-Q before the
expiration of the 60-day period.
About Troika
Troika Media Group, Inc. (fka M2 nGage Group, Inc.) -- thetmgrp.com
-- is a professional services company that architects and builds
enterprise value in consumer facing brands to generate scalable
performance driven revenue growth. The Company delivers three
solutions pillars that: CREATE brands and experiences and CONNECT
consumers through emerging technology products and ecosystems to
deliver PERFORMANCE based measurable business outcomes.
Troika Media reported a net loss of $9.58 million for the six
months ended Dec. 31, 2022. Troika Media reported a net loss of
$38.69 million for the year ended June 30, 2022, a net loss of $16
million for the year ended June 30, 2021, and a net loss of $14.45
million for the year ended June 30, 2020. For the six months ended
June 30, 2023, the Company reported a net loss of $20.16 million.
UNCONDITIONAL LOVE: U.S. Trustee Appoints Creditors' Committee
--------------------------------------------------------------
The U.S. Trustee for Regions 3 and 9 appointed an official
committee to represent unsecured creditors in the Chapter 11 cases
of Unconditional Love, Inc. and its affiliates.
The committee members are:
1. CSC Leasing Co.
6802 Paragon Place, Suite 350
Richmond, VA 23220
Attn: Mason Cory
Will Forston
Dave Bosher
Tel: 804-673-1000
Email: wforston@cscleasing.com
mason@cscleasing.com
dbosher@cscleasing.com
2. SCG Capital Corporation
74 West Park Place
Stamford, CT 06901
Attn: John Strabo
Tel: 203-324-9495
Email: jstrabo@scglease.com
3. Industrias Maquin, S.A de C.V.
Retorno 2 Esteban de Antunano #8
Parque Indutrial Ciudad Textil de Puebla Huejotzingo
Puebla, MX 74160
Attn: Ruben Madero Gonzalez
Tel: +52-2224028163
Email: rubenm@alquimara.mx
4. Irving Consumer Products, Ltd.
100 Midland Drive
Dieppe, NB E1A 6X4 Canada
Attn: Marc LeBlance
Tel: 506-859-5543
Email: _leblanc.marc@jdirving.com
5. Fitness Simpsonville, Inc.
840 SE Main Street
Simpsonville, SC 29681
Attn: Hal Singley
Tel: 864-245-0723
Email: hsingley@fitesa.com
6. Brands International Corp
594 Newpark Blvd.
Newmarket, ON L3X 2S2
Attn: Reva Kohn
Tel: 905-830-4404 X206
Email: rkohn@brandsicorp.com
7. Justman Packaging & Display
6300 Telegraph Road
Commerce, CA 90067
Attn: Joshua Justman
Tel: 323-728-8888
Email: jjustman@justmanpackaging.com
Official creditors' committees serve as fiduciaries to the general
population of creditors they represent. They may investigate the
debtor's business and financial affairs. Committees have the right
to employ legal counsel, accountants and financial advisors at a
debtor's expense.
About Unconditional Love
Founded in February 2019, Hello Bello is a retailer of baby
necessities, selling products made with plant-based ingredients and
organic botanicals across the baby, family, and wellness markets.
The Company is headquartered in Los Angeles, California, with
manufacturing plants located in the United States, Mexico, Canada,
and China.
On Oct. 23, 2023, Unconditional Love Inc. and its affiliate filed
voluntary petitions for relief under Chapter 11 of the Bankruptcy
Code (Bankr. D. Del. Lead Case No. 23-11759). The Debtors listed
$100 million to $500 million in estimated assets and liabilities.
The petitions were signed by Erica Buxton as chief executive
officer.
Hon. Mary F. Walrath presides over the cases.
The Debtors tapped Young Stargatt & Taylor as Delaware bankruptcy
counsels. Willkie Farr & Gallagher LLP is the Debtors' general
bankruptcy counsel. Emerald Capital Advisors Corp. is the Debtors'
restructuring advisor. Jefferies LLC is the Debtors' investment
banker. Stretto, Inc. is the Debtors' notice, claims, solicitation
and balloting agent.
UNITY ELECTRICAL: Unsecureds to Get $500 per Month for 60 Months
----------------------------------------------------------------
Unity Electrical Services, LLC, filed with the U.S. Bankruptcy
Court for the Southern District of Texas a Subchapter V Plan of
Reorganization dated October 26, 2023.
The Debtor provides residential and commercial electrician services
in the Cypress, Woodlands, Tomball, and Houston areas of the state
of Texas, including the sale and installation of standby
generators.
Due to the economic impact of the global epidemic COVID19, the
Debtor entered into several financing agreements to maintain
ongoing operations and the filed this bankruptcy case to
restructure its liabilities.
Class 5 shall consist of Allowed Unsecured Priority Claims held by
the Internal Revenue Service. In full satisfaction, the Internal
Revenue Service shall receive 60 consecutive monthly payments of
$2,500.00 with payments commencing the first calendar day of the
month, thirty days after the Effective Date.
Class 6 shall consist of Allowed General Unsecured Claims. Holders
of Allowed General Unsecured Claims shall receive 60 Pro Rata
consecutive monthly payments of $500.00 in Cash with payments
commencing the first calendar day of the month following thirty
days after the Effective Date. Class 6 is impaired under the Plan.
In the event of any failure of the Reorganized Debtor to timely
make its required plan payments to this Class, which shall
constitute an event of default under the Plan, it shall send Notice
of Default to the Reorganized Debtor. If the default is not cured
within 30 days of the date of such notice, the Claimant in Class 6
may proceed to collect all amounts owed pursuant to state law
without further recourse to the Bankruptcy Court. Claimants in
Class 6 are only required to send 2 notices of default, and upon
the third event of default, Claimants in Class 6 may proceed to
collect all amounts owed under state law without recourse to the
Bankruptcy Court and without further notice.
The following Allowed Unsecured Claims are as follows: Bank of
America ($30,000.00); Home Depot Credit Services ($5,596.88);
Quickbooks ($20,000.00); ServiceTitan, Inc. ($9,797.00); and Simply
Funding, Inc. ($95,145.06).
The equity interest holders shall retain their equity interest.
The payments contemplated in this Plan shall be funded from the
postpetition operations of the Debtor through the Effective Date.
A full-text copy of the Subchapter V Plan dated October 26, 2023 is
available at https://urlcurt.com/u?l=PGGB9m from PacerMonitor.com
at no charge.
Attorneys for Unity Electrical:
Susan Tran, Esq.
Brendon Singh, Esq.
TRAN SINGH LLP
2502 La Branch Street
Houston, TX 77004
Tel: (832) 975-7300
Fax: (832) 975-7301
Email: bsingh@ts-llp.com
About Unity Electrical Services
Unity Electrical Services, LLC is a one-stop solution for
electrical needs in Cypress, Woodlands, Tomball and Houston area.
The Debtor provides a full list of services for residential and
commercial applications.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. S.D. Tex. Case No. 23-32844) on July 28,
2023.
In the petition signed by Andrea Clara, managing member, the Debtor
disclosed up to $500,000 in assets and up to $1 million in
liabilities.
Judge Jeffrey P. Norman oversees the case.
Susan Tran Adams, Esq., at Tran Singh, LLP, is the Debtor's legal
counsel.
UPHEALTH HOLDINGS: U.S. Trustee Appoints Creditors' Committee
-------------------------------------------------------------
The U.S. Trustee for Region 3 appointed an official committee to
represent unsecured creditors in the Chapter 11 case of UpHealth
Holdings, Inc.
The committee members are:
1. Needham & Company, LLC
Attn: Jack Iacovone
250 Park Avenue, 10th Floor
New York, NY 10177
Phone: (212) 705-0297
Email: jiacovone@needhamco.com
2. PillDrill, Inc.
Attn: Peter Havas
322 Karen Avenue, #2707
Las Vegas, NV 89109
Phone: (415) 747-2103
Email: phavas@pilldrill.com
3. KL, Individually and as Putative Class Representative
Attn: C/O Todd C. Werts
Lear Werts, LLP
103 Ripley Street
Columbia, MO 65201
Phone: (573) 875-1991
Fax: (573) 279-0024
Email: werts@learwerts.com
Official creditors' committees serve as fiduciaries to the general
population of creditors they represent. They may investigate the
debtor's business and financial affairs. Committees have the right
to employ legal counsel, accountants and financial advisors at a
debtor's expense.
About UpHealth Holdings
UpHealth Holdings Inc. is a global digital health company
delivering technology platforms, infrastructure and services to
modernize care delivery and health management.
UpHealth Holdings sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Del. Case No. 23-11476) on Sept. 19,
2023. In the petition filed by Samuel J. Meckey, as chief
executive officer, the Debtor reports estimated assets and
liabilities between $100 million and $500 million each.
Stuart M. Brown, Esq., at DLA Piper LLP (US), is the Debtor's
counsel.
VERDE PURCHASER: S&P Assigns 'B+' ICR, Outlook Stable
-----------------------------------------------------
S&P Global Ratings assigned its 'B+' issuer credit rating to Verde
Purchaser LLC. At the same time, S&P assigned its 'B+' issue level
and '3' recovery rating to Verde Purchaser LLC's term loan B and
senior secured notes.
S&P said, "The stable outlook reflects our expectation that Veritiv
will maintain healthy demand for its products within its packaging
and facility solutions segment while continuing to drive margin
growth through operational improvements as the company continues to
shift away from noncore businesses. Additionally, we expect the
company to maintain leverage below 5x on a sustained basis."
On August 7, 2023, Clayton Dubilier & Rice (CD&R) announced a
definitive agreement to acquire Veritiv Corp. through a new holding
company, Verde Purchaser LLC (holdco) for a total enterprise value
of $2.6 billion.
S&P said, "Our rating reflects Veritiv's sizable market share
within the fragmented packaging distribution industry, offset by
continued expected weakness within its print solutions market.
Veritiv maintains solid market share within its three main end
markets: packaging (55% of 2022 net sales), facility solutions
(11%), and print solutions (33%). We believe the company has a
broad portfolio of products and offerings within the packaging
segment, with over 50% of products custom and value-added, which
creates further stickiness with customers compared with its
traditional distribution network.
"We anticipate the company to continue to grow its value-added
segment, supporting further margin expansion in the coming years.
We believe the company has lower product breadth within the print
solutions segment, though we expect it will represent a
significantly lower portion of the portfolio over time as the
company will strategically shift away from its lower-margin,
noncore businesses."
In 2022, the company sold its lower-margin logistics solutions
business and its Veritiv Canada Inc. business, which contributed
$33 million in EBITDA in 2021. Veritiv maintains limited customer
and supplier concentration. The company purchases products from
over 3,600 suppliers, with the top supplier representing 8% of
purchases and the top 20 under 50% of 2022 sales. The company sells
to over 10,000 customers, with the top customer representing 4% of
sales and the top 20 customers representing 18% of 2022 sales.
S&P said, "We forecast softer revenue over the next two years given
ongoing volume headwinds. Industry wide destocking significantly
impaired the company's volumes in the first three quarters of 2023,
though we expect some relief into 2024. Despite the lower revenue,
we expect S&P Global Ratings-adjusted EBITDA levels of roughly $500
million in 2023 and $450 million in 2024, which we believe will
support leverage below 4x. Management has noted it will focus its
excess cash flow on potential merger and acquisition opportunities
and debt paydown, which would support credit metrics in line with
current levels.
"Veritiv's capital-lite operating model supports strong
free-operating cash flow (FOCF) generation With capital spending
historically between 0.3%-0.5% of revenues, Veritiv has generated
strong FOCF despite EBITDA margins well below 10%. We forecast
positive FOCF of at least $370 million in 2024. We anticipate its
EBITDA margins will expand over the next several years as
management expects print solutions to naturally become a smaller
portion of the portfolio as the packaging and facility solutions
segments grow. We believe the continued focus on further
operational initiatives in sales, supply chain, and warehouse and
logistical optimization will also support improved FOCF.
"The stable outlook reflects our expectation that Veritiv will
maintain healthy demand for its products within its packaging and
facility solutions segment while continuing grow margins through
operational improvements as it shifts away from noncore businesses.
Additionally, we expect the company to maintain leverage below 5x
on a sustained basis."
S&P could lower the rating on Verde Purchaser if:
-- A prolonged deterioration in operating performance results in a
constrained liquidity positions and FOCF falls below 5% of debt;
or
-- The company pursues aggressive financial policies, prioritizing
debt-funded acquisitions or sponsor dividends over debt repayment,
resulting in sustained leverage over 5x.
S&P could raise its rating on Verde Purchaser if the company and
financial sponsors demonstrate a commitment to maintaining a
conservative financial policy such that leverage is sustained below
4x, inclusive of acquisitions and shareholder rewards.
VITAL PHARMACEUTICALS: McGuireWoods Advises 3 Suppliers
-------------------------------------------------------
Sara F. Holladay of McGuireWoods LLP filed a verified statement
pursuant to Rule 2019 of the Federal Rules of Bankruptcy Procedure
to disclose that in the Chapter 11 case of Vital Pharmaceuticals,
Inc., et al., the firm represents:
1. Hoffman Beverage Company, Inc.
4105 South Military Highway
Chesapeake, Virginia 23321
2. Brown Distributing Company, LLC
7986 Villa Park Drive
Henrico, Virginia 23228
3. Virginia Eagle Distributing Company, LLC
827 Lee Highway
PO Box 496
Verona, Virginia 24482
Counsel for Hoffman, Brown and Virginia:
MCGUIREWOODS LLP
Sara F. Holladay, Esq.
Bank of America Tower
50 North Laura Street, Suite 3300
Jacksonville, Florida 32202
(T): (904) 798-2662
(F): (904) 360-6317
Email: sholladay@mcguirewoods.com
About Vital Pharmaceuticals
Since 1993, Florida-based Vital Pharmaceuticals, Inc., doing
business as Bang Energy and as VPX Sports, has developed
performance beverages, supplements, and workout products to fuel
high-energy lifestyles. VPX Sports is the maker of Bang energy
drinks, among other consumer products.
Vital Pharmaceuticals, Inc., along with certain of its domestic
subsidiaries and affiliates, filed voluntary petitions for
protection under Chapter 11 of the Bankruptcy Code (Bankr. S.D.
Fla. Lead Case No. 22-17842) on Oct. 10, 2022.
VPX estimated $500 million to $1 billion in assets and liabilities
as of the bankruptcy filing.
The Hon. Scott M. Grossman is the case judge.
The Debtors tapped Latham & Watkins, LLP as general bankruptcy
counsel; Berger Singerman, LLP as local counsel; Haynes and Boone,
LLP and Faulkner ADR Law, PLLC as special counsels; Huron
Consulting Group, Inc., as CTO services provider; and Rothschild &
Co US, Inc., as investment banker; and Grant Thornton, LLP as
financial advisor. Stretto, Inc., is the notice, claims and
solicitation agent.
The U.S. Trustee for Region 21 appointed an official committee of
unsecured creditors on Nov. 1, 2022. The committee tapped
Lowenstein Sandler, LLP as general bankruptcy counsel; Sequor Law,
P.A., as local counsel; and Lincoln Partners Advisors, LLC as
financial advisor.
VTV THERAPEUTICS: Gets $4.4M Proceeds From Sale of Reneo Shares
---------------------------------------------------------------
vTv Therapeutics Inc. announced that it has entered into a common
stock repurchase agreement with Reneo Pharmaceuticals, Inc. through
which Reneo has purchased all of its common stock that was granted
to vTv under the Reneo License Agreement for total proceeds to vTv
of approximately $4.4 million.
"The proceeds from the sale of our Reneo stock will provide vTv
with important financial support as we continue our preparations
for the launch of the cadisegliatin Phase 3 program in T1D. We
remain in active discussions related to the financing, partnering
and/or licensing of cadisegliatin," said Paul Sekhri, president and
chief executive officer of vTv Therapeutics. "We are excited about
the therapeutic potential of mavodelpar and look forward to Reneo's
upcoming data readout. If mavodelpar is successful, it could
provide significant upside to vTv and our shareholders through
potential milestone payments and commercial royalties."
Under the Reneo license agreement signed in December 2017, vTv
granted Reneo an exclusive worldwide license to intellectual
property relating to its PPARO agonist program. Reneo's lead
program, mavodelpar, is a PPARO agonist currently being studied in
a pivotal Phase 2b clinical trial in adults with primary
mitochondrial myopathies (PMM). vTv remains eligible to receive
clinical, regulatory and commercial milestones totaling up to $94.5
million, as well as tiered royalties in the mid-single digits to
low teens on potential sales of products based on tiers of annual
net sales of licensed products, subject to certain customary
reductions.
About vTv Therapeutics
vTv Therapeutics Inc. is a clinical stage biopharmaceutical company
focused on developing oral, small molecule drug candidates. vTv
has a pipeline of clinical drug candidates led by cadisegliatin
(TTP399), a potential adjunctive therapy to insulin for the
treatment of type 1 diabetes. vTv's development partners are
pursuing additional indications in type 2 diabetes, chronic
obstructive pulmonary disease, renal disease, primary mitochondrial
myopathy, and glioblastoma and other cancers and cancer
treatment-related conditions.
vTv Therapeutics reported a net loss attributable to the Company of
$19.16 million for the year ended Dec. 31, 2022, compared to a net
loss attributable to the Company of $12.98 million for the year
ended Dec. 31, 2021. As of March 31, 2023, the Company had $28.83
million in total assets, $28.42 million in total liabilities,
$19.60 million in redeemable noncontrolling interest, and a total
stockholders' deficit of $19.19 million.
Raleigh, North Carolina-based Ernst & Young LLP, the Company's
auditor since 2000, issued a "going concern" qualification in its
report dated March 6, 2023, citing that the Company has not
generated any product revenue, has not achieved profitable
operations, has insufficient liquidity to sustain operations and
has stated that substantial doubt exists about the Company's
ability to continue as a going concern.
WALDON ENTERPRISES: Unsecureds to Recover 8.3% over 60 Months
-------------------------------------------------------------
Waldon Enterprises, LLC, filed with the U.S. Bankruptcy Court for
the District of Maryland a Subchapter V Plan of Reorganization
dated October 26, 2023.
The Debtor is a Maryland limited liability company founded in 2013
with its headquarters located in Annapolis, Maryland. Michael and
Jennifer Waldon, the Debtor's managing members, began by developing
a product line in the coastal aesthetic which they named "Annapolis
Candle".
The Debtor is owned 51% by Jennifer Waldon and 49% by Michael
Waldon, and currently employs 5 people, including the Waldons.
The goal of this case is to confirm this Plan on a consensual
basis, believing that it is fair and reasonable to creditors while
allowing the Debtor to become debt-free within a reasonable time
frame.
The value of the property to be distributed under the Plan during
the term of the Plan is not less than the Debtor's Net Income for
that same period. General unsecured creditors holding allowed
claims will receive distributions which the Debtor has valued at
approximately 8.3 cents on the dollar, assuming the pending motions
and objections are approved/sustained as requested). The Plan also
provides for the payment of secured, administrative, and priority
claims in accordance with the Bankruptcy Code.
As of the date of the filing of this Plan, Counsel for the Debtor
is holding a total of $5,280 ($280 is from prepetition retainer and
$5,000 is from post-petition payments by the Debtor) in his IOLTA
account for the Debtor. These funds (the "Preconfirmation
Payments") shall be applied to administrative claims in accordance
with the terms of this Plan, and subject to Court approval. The
Debtor will continue to fund this account until confirmation.
During the term of this Plan the Debtor shall pay all available net
income in accordance with the terms of this Plan directly to the
Creditors. The term of this Plan begins on the Effective Date and
ends on the 60th month after that date.
Class 5 consists of Allowed General Unsecured Claims. Based upon
Projections, these claims should be paid pro rata as follows:
$4,233.95 for month 50 and $6,927 for months 51-60. The amount of
claim in this Class total $884,930.45 (including those arising from
506 motions and objections). This Class will receive a distribution
of $73,503.95 or 8.3% of their allowed claims. This Class is
impaired.
All net income from the operation of the business will be used to
fund this Plan. The Debtor does not anticipate coming in from any
other source.
A full-text copy of the Subchapter V Plan dated October 26, 2023 is
available at https://urlcurt.com/u?l=DEcyKK from PacerMonitor.com
at no charge.
Attorney for the Debtor:
Alon J. Nager
Nager Law Group, LLC
8180 Lark Brown Road, Suite 201
Elkridge, MD 21075
Tel: (443) 701-9669
Email: alon@nagerlaw.com
About Waldon Enterprises
Waldon Enterprises, LLC, is a Maryland limited liability company
founded in 2013 with its headquarters located in Annapolis,
Maryland.
Waldon Enterprises sought protection for relief under Chapter 11 of
the Bankruptcy Code (Bankr. D. Md. Case No. 23-15289) on July 28,
2023, listing $100,001 to $500,000 in assets and $500,001 to $1
million in liabilities. Alon J. Nager, Esq. at Nager Law Group, LLC
serves as the Debtor's counsel.
YELLOW CORP: Receives Approval of Rolling Stock Agency Agreement
----------------------------------------------------------------
Yellow Corporation disclosed in a Form 8-K Report filed with the
Securities and Exchange Commission that on October 27, 2023, the
Bankruptcy Court issued a final order approving the Motion of
Debtors' for Entry of an Order (I) Approving Agency Agreement With
Nations Capital, LLC, Ritchie Bros. Auctioneers (America) Inc.,
IronPlanet, Inc., Ritchie Bros Auctioneers (Canada) Ltd., and
IronPlanet Canada Ltd. Effective As Of October 16, 2023; (II)
Authorizing the Sale of Rolling Stock Assets Free and Clear of
Liens, Claims, Interests, and Encumbrances; and (III) Granting
Related Relief [Docket No. 863], which sought (i) expedited
approval of that certain Agency Agreement attached as Exhibit 1 to
the Rolling Stock Agency Agreement Order, dated as of October 16,
2023, by and among Nations Capital, LLC, Ritchie Bros. Auctioneers
(America) Inc., IronPlanet, Inc., Ritchie Bros Auctioneers (Canada)
Ltd., and IronPlanet Canada Ltd. and the Debtors and (ii) retention
of the Agent as the Debtors' exclusive marketer, broker, and
auctioneer of the Rolling Stock Assets.
The Debtors and the Agent entered into the Rolling Stock Agency
Agreement on October 16, 2023, subject to the Bankruptcy Court's
entry of the Rolling Stock Agency Agreement Order, which authorized
the Debtors' and the Agent's entry into the Rolling Stock Agency
Agreement, effective as of the Effective Date. Pursuant to the
Rolling Stock Agency Agreement, the Agent will act as the Debtors'
exclusive marketer, broker, and auctioneer of the Debtors' Rolling
Stock Assets located at, in, or in the vicinity of the properties
owned or leased by the Company and which Rolling Stock Assets are
listed in the exhibits to the Rolling Stock Agency Agreement.
The Rolling Stock Agency Agreement provides for an 18-month term,
measured from the effective date of the Rolling Stock Agency
Agreement, during which period the Agent will provide various
services to the Debtors, including, but not limited to, reasonably
refurbishing Rolling Stock Assets, marketing the Rolling Stock
Assets for sale, conducting auctions for the Rolling Stock Assets
and storing the Rolling Stock Assets at Agent Properties.
Additionally, pursuant to the Rolling Stock Agency Agreement, the
Agent will use its commercially best efforts to remove all Rolling
Stock Assets from the Company Properties within six (6) months of
the Bankruptcy Court's entry of the Rolling Stock Agency Agreement
Order, or October 27, 2023, including to remove the Rolling Stock
Assets from the Priority Company Properties (as defined in the
Rolling Stock Agency Agreement and representing roughly fifty
percent (50%) of all Company Properties) within three months of
October 27, 2023, and to transport such Rolling Stock Assets to
Agent Properties. The Agent will conduct in-person sales of the
Rolling Stock Assets from either Company Properties (if prior to
the applicable aforementioned removal dates) or Agent Properties.
As compensation for its services, the Agent will be entitled to
withhold a certain percentage of gross proceeds from sales of
Rolling Stock Assets (such percentages set forth in the Rolling
Stock Agency Agreement). The Agent will also be entitled to certain
expense reimbursements as set forth in the Rolling Stock Agency
Agreement. The Rolling Stock Agency Agreement was negotiated in
good faith and at arms-length between the Debtors and the Agent
over the course of multiple weeks.
About Yellow Corporation
Yellow Corporation -- http://www.myyellow.com/-- operates
logistics and less-than-truckload (LTL) networks in North America,
providing customers with regional, national, and international
shipping services throughout. Yellow's principal office is in
Nashville, Tenn., and is the holding company for a portfolio of LTL
brands including Holland, New Penn, Reddaway, and YRC Freight, as
well as the logistics company Yellow Logistics.
Yellow Corporation and 23 affiliates concurrently filed voluntary
petitions for relief under Chapter 11 of the Bankruptcy Code
(Bankr. D. Del. Lead Case No. 23-11069) on August 6, 2023, before
the Hon. Craig T. Goldblatt. As of March 31, 2023, Yellow Corp. had
$2,152,200,000 in total assets against $2,588,800,000 in total
liabilities. The petitions were signed by Matthew A. Doheny as
chief restructuring officer.
The Debtors tapped Kirkland & Ellis LLP as restructuring counsel;
Pachulski Stang Ziehl & Jones LLP as Delaware local counsel;
Kasowitz, Benson and Torres LLP as special litigation counsel;
Goodmans LLP as special Canadian counsel; Ducera Partners LLC as
investment banker; and Alvarez and Marsal as financial advisor.
Epiq Bankruptcy Solutions serves as claims and noticing agent.
Milbank LLP serves as counsel to certain investment funds and
accounts managed by affiliates of Apollo Capital Management, L.P.
White & Case LLP serves as counsel to Beal Bank USA.
Arnold & Porter Kaye Scholer LLP serves as counsel to the United
States Department of the Treasury.
On Aug. 16, 2023, the United States Trustee for Region 3 appointed
an official committee of unsecured creditors in the Chapter 11
cases. The committee tapped Akin Gump Strauss Hauer & Feld LLP and
Benesch, Friedlander, Coplan & Aronoff LLP as counsel; Miller
Buckfire as investment banker; and Huron Consulting Services LLC as
financial advisor.
YEP COMMERCE: Voluntary Chapter 11 Case Summary
-----------------------------------------------
Debtor: Yep Commerce, Inc.
4600 Florin Perkins Road, Unit 200
Sacramento, CA 95828
Business Description: The Debtor is a general freight trucking
company. Its logistics solutions are
designed to serve the needs of individual
shippers, small and mid-sized businesses, as
well as enterprise customers.
Chapter 11 Petition Date: November 6, 2023
Court: United States Bankruptcy Court
District of Delaware
Case No.: 23-11820
Debtor's Counsel: Jason S. Levin, Esq.
MORRIS JAMES LLP
500 Delaware Avenue, Suite 1500
Wilmington DE 19803
Tel: (302) 888-6800
Email: jlevin@morrisjames.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Airende Ojeomogha as chief executive
officer.
The Debtor failed to include in the petition a list of its 20
largest unsecured creditors.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/RR4HQZQ/Yep_Commerce_Inc__debke-23-11820__0001.0.pdf?mcid=tGE4TAMA
YIELD10 BIOSCIENCE: Inks Non-Binding Partnership Deal With BioMar
-----------------------------------------------------------------
Yield10 Bioscience, Inc. announced it has entered into a
non-binding letter of intent with BioMar Group, a global aquafeed
producer, to form a partnership to commercialize Camelina
engineered to produce omega-3 oil for use as a high-quality
supplement to the scarce supply of marine long-chain fatty acids
used in aquafeed. Producing omega-3 oil in Camelina represents a
land-based way to make this key aquafeed ingredient.
BioMar is focused on developing innovative and sustainable
nutritional solutions that positively impact the needs of seafood
producers.
"We believe that the Yield10 Omega-3 Camelina technology represents
a potentially excellent solution for producing crop omega-3 oils at
commercial scale. Reliable and scalable sources of EPA and DHA are
critical for aquafeeds to ensure the sustainable development of the
aquaculture industry. We look forward to working together with the
Yield10 team to make this product a commercial success," stated
Carlos Diaz, CEO BioMar Group.
"A partnership with BioMar has the potential to combine the
strengths of both companies for the accelerated development of
Camelina produced omega-3 oils. We look forward to working closely
with BioMar to develop a collaborative program to bring this new
source of high-quality EPA and EPA+DHA omega-3 oils to the market
to strive to meet the aquaculture industry's growth demand and
sustainability goals," said Oliver Peoples, Ph.D. president and
CEO, Yield10 Bioscience.
Over the next year, Yield10 expects to scale-up planted acres of
Camelina to supply BioMar with oil for formulation and testing
while also working towards securing regulatory approval for
commercial production of Omega-3 Camelina oil and meal in the
targeted production geographies. Yield10 and BioMar believe that
the Omega-3 Camelina technology will play an important role in the
future omega-3 market, enabling access to key nutrients from
sustainable sources and paving the way for future growth within the
aquaculture industry.
About Yield10
Yield10 Bioscience, Inc. -- http://www.yield10bio.com-- is an
agricultural bioscience company focused on the large-scale
production of low carbon sustainable products from processing
Camelina seed using the oilseed Camelina sativa ("Camelina") as a
platform crop.
Yield10 Bioscience reported a net loss of $13.57 million for the
year ended Dec. 31, 2022, compared to a net loss of $11.03 million
for the year ended Dec. 31, 2021. As of Dec. 31, 2022, the Company
had $8.08 million in total assets, $3.68 million in total
liabilities, and $4.40 million in total stockholders' equity.
Boston, Massachusetts-based RSM US LLP, the Company's auditor since
2017, issued a "going concern" qualification in its report dated
March 14, 2023, citing that the Company has suffered recurring
losses from operations and does not have sufficient liquidity to
meet forecasted costs. This raises substantial doubt about the
Company's ability to continue as a going concern.
[*] 24 Nixon Peabody Practices Get Best Lawyers Tier 1 Rankings
---------------------------------------------------------------
Best Law Firms(R) has recognized 24 Nixon Peabody practices as
National Tier 1 leaders in its 2024 edition. In addition, 45
practices across the firm received Regional Tier 1 rankings.
The following Nixon Peabody national practices received Tier 1
rankings from Best Lawyers(R), which publishes the rankings in Best
Law Firms(R):
-- Banking and Finance Law -- Bankruptcy and Creditor Debtor
Rights/Insolvency and Reorganization Law -- Commercial Litigation
-- Corporate Law -- Criminal Defense: White-Collar -- Employee
Benefits (ERISA) Law -- Employment Law -- Management -- Energy Law
-- Environmental Law -- Franchise Law -- Healthcare Law --
Litigation -- Construction -- Litigation -- Intellectual Property
-- Litigation -- Real Estate -- Media Law -- Patent Law -- Public
Finance Law -- Real Estate Law -- Securities/Capital Markets Law --
Securities Regulation -- Tax Law -- Trademark Law -- Trusts &
Estates Law -- Venture Capital Law
In addition to its national practices, Nixon Peabody received Tier
1 rankings at the regional level in the following geographies:
Albany, NY; Boston, MA; Buffalo, NY; Chicago, IL; Long Island, NY;
Los Angeles, CA; Manchester, NH; New York City; Providence, RI;
Rochester, NY; San Francisco, CA; and Washington, DC.
Marking the 14th edition of Best Law Firms(R), the 2024 rankings
are based on research analyzing client and lawyer evaluations and
peer reviews.
[*] Jay Goffman, Steve Smith Launch Restructuring Advisory Firm
---------------------------------------------------------------
Jay Goffman, the former Global Head of Restructuring at Skadden
Arps and Steve Smith, the former Global Head of Restructuring and
Leverage Finance at UBS announced the launch of their boutique
restructuring advisory firm Smith Goffman Partners LLC.
Smith Goffman Partners is the only restructuring advisory firm that
will feature a merchant banking model that provides advice and
capital to their clients. The firm will bring together the legal,
business and financial skills needed for a successful restructuring
in one place.
Over their careers, Messrs. Smith and Goffman have restructured
over $1 trillion in debt. Together, they have conceived and applied
ground-breaking, innovative and revolutionary concepts to the most
complex and thorniest restructurings in history. Such deals include
LyondellBassel, where Mr. Goffman represented the owner and Mr.
Smith led the team at UBS which provided a $6.5 billion DIP loan,
the largest ever in a US bankruptcy.
"We can't think of a better time to launch given the increase in
the number of bankruptcies we have seen and are seeing this year
and the recessionary headwinds in the economy," said Mr. Smith.
"And, I can't think of a better partner than Jay Goffman to
co-found this firm with."
Mr. Smith added, "Our intent going into this is to remain a
boutique so we can be intimately involved in advising and guiding
our clients. We want our clients to know that we will be hands-on
so that they can get the benefit of our many years of experience."
During the $20 billion prearranged Charter Communications
reorganization, Mr. Smith represented the largest group of
creditors and post-reorg equity holders, while Mr. Goffman
represented Charter's owner Paul Allen. The judge who oversaw the
bankruptcy proceedings called the "Paul Allen Settlement" "the
lynchpin of the largest, most ambitious and most complex
prearranged bankruptcy ever attempted."
Mr. Smith also served as financial advisor to General Growth
Properties, at the time the second-largest mall operator in the
nation, during its bankruptcy proceedings. Under Mr. Smith's
stewardship, they presented the board with first-of-its-kind equity
fundraising that served to put a floor under competitive bidding by
several buyers to control the company post-bankruptcy. The
bankruptcy judge overseeing the case declared it the most
successful bankruptcy in the nation's history.
"We believe our firm fills an important niche," said Mr. Goffman,
who has led or played a leading role in more than 50 in-and-out
court restructurings, including American Airlines, America West,
Charter, MGM and the Portland Trailblazers, "Our clients will be
advised by two very senior and experienced professionals who have
not only been personally involved in nearly every industry and
every aspect of a restructuring, but who have headed the
restructuring practices for one of the largest law firms and one of
the largest investment banking firms in the world."
Mr. Goffman was a partner and head of the corporate restructuring
practice at O'Sullivan Graev & Karabell before starting his 24-year
career at Skadden.
While at O'Sullivan, he was credited for creating and pioneering
what was then the revolutionary concept of "Prepackaged
Reorganization" -- a strategy that allows companies to emerge from
bankruptcy in days rather than years by negotiating with creditors
in advance of Chapter 11 proceedings. As such, companies are
allowed to reorganize quickly and cost effectively, avoiding
liquidation, saving jobs and maximizing value for all.
Mr. Goffman was most recently Client Chairman of Teneo's Financial
Advisory Business and Mr. Smith was Managing Partner of Aurora
Resurgence, a Los Angeles based distressed for control fund.
[] McDonald Hopkins Among Best Lawyers' 2023 Top Law Firms List
---------------------------------------------------------------
McDonald Hopkins has once again been recognized as one of the
nation's top law firms by Best Lawyers(R). The 14th edition of the
United States Best Law Firms(R) rankings, released on November 2,
2023, highlights McDonald Hopkins in 45 categories, with seven
practices ranking nationally: Bankruptcy and Creditor Debtor Rights
/ Insolvency and Reorganization Law, Corporate Law, Health Care
Law, Banking and Finance Law, Commercial Litigation, Patent Law and
Real Estate Law.
Since 2010, Best Law Firms has been considered one of the most
credible rankings of exceptional law firms, rooted in a rigorous,
peer-to-peer, industry-driven evaluation. Achieving a tiered
ranking in Best Law Firms signals a unique combination of quality
law practice and breadth of legal expertise.
NATIONAL TIER 1
-- Bankruptcy and Creditor Debtor Rights / Insolvency and
Reorganization Law
NATIONAL TIER 2
-- Corporate Law -- Health Care Law
NATIONAL TIER 3
-- Banking and Finance Law -- Commercial Litigation -- Patent Law
-- Real Estate Law
METROPOLITAN TIER 1
Cleveland
-- Banking and Finance Law -- Bankruptcy and Creditor Debtor Rights
/ Insolvency and Reorganization Law -- Commercial Litigation --
Corporate Law -- Litigation - Trusts & Estates -- Real Estate Law
-- Trusts & Estates Law
Detroit
-- Bankruptcy and Creditor Debtor Rights / Insolvency and
Reorganization Law -- Commercial Litigation -- Litigation - Labor &
Employment -- Litigation - Real Estate
West Palm Beach
-- Commercial Litigation -- Litigation - Real Estate -- Real Estate
Law
METROPOLITAN TIER 2
Chicago
-- Bankruptcy and Creditor Debtor Rights / Insolvency and
Reorganization Law -- Corporate Law
Cleveland
-- Commercial Finance Law -- Criminal Defense: White-Collar --
Economic Development Law -- Employee Benefits (ERISA) Law --
Government Relations Practice -- Litigation - Real Estate --
Mergers & Acquisitions Law -- Tax Law
Detroit
-- Employee Benefits (ERISA) Law -- Employment Law - Individuals --
Employment Law - Management -- Real Estate Law
West Palm Beach
-- Construction Law -- Litigation - Construction -- Litigation -
Trusts & Estates
METROPOLITAN TIER 3
Chicago
-- Commercial Litigation -- Health Care Law -- Patent Law
Cleveland
-- Mass Tort Litigation / Class Actions - Defendants -- Patent Law
-- Product Liability Litigation -- Defendants
West Palm Beach
-- Litigation - Banking & Finance
About McDonald Hopkins
Founded in 1930, McDonald Hopkins -- http://www.mcdonaldhopkins.com
-- is a business advisory and advocacy law firm with locations in
Baltimore/Annapolis, Chicago, Cleveland, Columbus, Detroit, and
West Palm Beach. With more than 175 attorneys and 50 service and
industry teams, the firm has the expertise and knowledge to meet
the growing number of legal and business challenges its clients
face.
[^] Large Companies with Insolvent Balance Sheet
------------------------------------------------
Total
Share- Total
Total Holders' Working
Assets Equity Capital
Company Ticker ($MM) ($MM) ($MM)
------- ------ ------ -------- -------
ACCELERATE DIAGN AXDX* MM 49.9 (38.7) (11.5)
AEMETIS INC AMTX US 212.6 (238.9) (88.0)
AEMETIS INC DW51 GR 212.6 (238.9) (88.0)
AEMETIS INC AMTXGEUR EZ 212.6 (238.9) (88.0)
AEMETIS INC AMTXGEUR EU 212.6 (238.9) (88.0)
AEMETIS INC DW51 GZ 212.6 (238.9) (88.0)
AEMETIS INC DW51 TH 212.6 (238.9) (88.0)
AEMETIS INC DW51 QT 212.6 (238.9) (88.0)
ALNYLAM PHAR-BDR A1LN34 BZ 3,839.1 (165.9) 2,035.7
ALNYLAM PHARMACE ALNY US 3,839.1 (165.9) 2,035.7
ALNYLAM PHARMACE DUL GR 3,839.1 (165.9) 2,035.7
ALNYLAM PHARMACE DUL QT 3,839.1 (165.9) 2,035.7
ALNYLAM PHARMACE ALNYEUR EU 3,839.1 (165.9) 2,035.7
ALNYLAM PHARMACE DUL TH 3,839.1 (165.9) 2,035.7
ALNYLAM PHARMACE DUL SW 3,839.1 (165.9) 2,035.7
ALNYLAM PHARMACE DUL GZ 3,839.1 (165.9) 2,035.7
ALNYLAM PHARMACE ALNYEUR EZ 3,839.1 (165.9) 2,035.7
ALPHATEC HOLDING L1Z1 GR 628.2 (4.6) 160.9
ALPHATEC HOLDING ATEC US 628.2 (4.6) 160.9
ALPHATEC HOLDING ATECEUR EU 628.2 (4.6) 160.9
ALPHATEC HOLDING L1Z1 GZ 628.2 (4.6) 160.9
ALTICE USA INC-A ATUS* MM 32,208.5 (321.3) (2,327.3)
ALTICE USA INC-A ATUS-RM RM 32,208.5 (321.3) (2,327.3)
ALTIRA GP-CEDEAR MOC AR 36,469.0 (3,357.0) (6,991.0)
ALTIRA GP-CEDEAR MOD AR 36,469.0 (3,357.0) (6,991.0)
ALTIRA GP-CEDEAR MO AR 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC PHM7 GR 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC MO* MM 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC MO US 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC MO SW 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC MOEUR EU 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC 4MO TE 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC PHM7 TH 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC MO CI 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC PHM7 QT 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC MOUSD SW 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC PHM7 GZ 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC 0R31 LI 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC ALTR AV 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC MOEUR EZ 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC MO-RM RM 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC PHM7 BU 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC PHM7D EB 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC PHM7D IX 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP INC PHM7D I2 36,469.0 (3,357.0) (6,991.0)
ALTRIA GROUP-BDR MOOO34 BZ 36,469.0 (3,357.0) (6,991.0)
AMC ENTERTAINMEN AMC US 8,669.7 (2,582.6) (846.6)
AMC ENTERTAINMEN AH91 GR 8,669.7 (2,582.6) (846.6)
AMC ENTERTAINMEN AMC4EUR EU 8,669.7 (2,582.6) (846.6)
AMC ENTERTAINMEN AH91 TH 8,669.7 (2,582.6) (846.6)
AMC ENTERTAINMEN AH91 QT 8,669.7 (2,582.6) (846.6)
AMC ENTERTAINMEN AMC* MM 8,669.7 (2,582.6) (846.6)
AMC ENTERTAINMEN AH91 GZ 8,669.7 (2,582.6) (846.6)
AMC ENTERTAINMEN AH91 SW 8,669.7 (2,582.6) (846.6)
AMC ENTERTAINMEN AMC-RM RM 8,669.7 (2,582.6) (846.6)
AMC ENTERTAINMEN AH9 BU 8,669.7 (2,582.6) (846.6)
AMC ENTERTAINMEN AMCE AV 8,669.7 (2,582.6) (846.6)
AMERICAN AIR-BDR AALL34 BZ 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE AAL US 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE A1G GR 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE AAL* MM 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE A1G TH 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE A1G QT 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE A1G GZ 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE AAL11EUR EU 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE AAL AV 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE 4AAL TE 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE A1G SW 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE 0HE6 LI 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE AAL11EUR EZ 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE AAL-RM RM 65,711.0 (5,136.0) (7,672.0)
AMERICAN AIRLINE AAL_KZ KZ 65,711.0 (5,136.0) (7,672.0)
AON PLC-BDR A1ON34 BZ 33,112.0 (486.0) 403.0
AON PLC-CLASS A AON US 33,112.0 (486.0) 403.0
AON PLC-CLASS A 4VK GR 33,112.0 (486.0) 403.0
AON PLC-CLASS A 4VK QT 33,112.0 (486.0) 403.0
AON PLC-CLASS A 4VK TH 33,112.0 (486.0) 403.0
AON PLC-CLASS A AON1EUR EZ 33,112.0 (486.0) 403.0
AON PLC-CLASS A AON1EUR EU 33,112.0 (486.0) 403.0
AON PLC-CLASS A AONN MM 33,112.0 (486.0) 403.0
AON PLC-CLASS A 4VK GZ 33,112.0 (486.0) 403.0
AULT DISRUPTIVE ADRT/U US 2.9 (3.0) (1.7)
AUTOZONE INC AZO US 15,985.9 (4,349.9) (1,732.4)
AUTOZONE INC AZ5 TH 15,985.9 (4,349.9) (1,732.4)
AUTOZONE INC AZ5 GR 15,985.9 (4,349.9) (1,732.4)
AUTOZONE INC AZOEUR EU 15,985.9 (4,349.9) (1,732.4)
AUTOZONE INC AZ5 QT 15,985.9 (4,349.9) (1,732.4)
AUTOZONE INC AZO AV 15,985.9 (4,349.9) (1,732.4)
AUTOZONE INC 4AZO TE 15,985.9 (4,349.9) (1,732.4)
AUTOZONE INC AZO* MM 15,985.9 (4,349.9) (1,732.4)
AUTOZONE INC AZOEUR EZ 15,985.9 (4,349.9) (1,732.4)
AUTOZONE INC AZ5 GZ 15,985.9 (4,349.9) (1,732.4)
AUTOZONE INC AZO-RM RM 15,985.9 (4,349.9) (1,732.4)
AUTOZONE INC-BDR AZOI34 BZ 15,985.9 (4,349.9) (1,732.4)
AVID TECHNOLOGY AVID US 293.8 (119.0) 9.4
AVID TECHNOLOGY AVD GR 293.8 (119.0) 9.4
AVID TECHNOLOGY AVD TH 293.8 (119.0) 9.4
AVID TECHNOLOGY AVD GZ 293.8 (119.0) 9.4
AVIS BUD-CEDEAR CAR AR 31,395.0 (125.0) (611.0)
AVIS BUDGET GROU CUCA GR 31,395.0 (125.0) (611.0)
AVIS BUDGET GROU CAR US 31,395.0 (125.0) (611.0)
AVIS BUDGET GROU CUCA QT 31,395.0 (125.0) (611.0)
AVIS BUDGET GROU CAR2EUR EU 31,395.0 (125.0) (611.0)
AVIS BUDGET GROU CAR* MM 31,395.0 (125.0) (611.0)
AVIS BUDGET GROU CAR2EUR EZ 31,395.0 (125.0) (611.0)
AVIS BUDGET GROU CUCA TH 31,395.0 (125.0) (611.0)
AVIS BUDGET GROU CUCA GZ 31,395.0 (125.0) (611.0)
BATH & BODY WORK LTD0 GR 5,195.0 (2,154.0) 680.0
BATH & BODY WORK LTD0 TH 5,195.0 (2,154.0) 680.0
BATH & BODY WORK BBWI US 5,195.0 (2,154.0) 680.0
BATH & BODY WORK LBEUR EU 5,195.0 (2,154.0) 680.0
BATH & BODY WORK BBWI* MM 5,195.0 (2,154.0) 680.0
BATH & BODY WORK LTD0 QT 5,195.0 (2,154.0) 680.0
BATH & BODY WORK BBWI AV 5,195.0 (2,154.0) 680.0
BATH & BODY WORK LBEUR EZ 5,195.0 (2,154.0) 680.0
BATH & BODY WORK LTD0 GZ 5,195.0 (2,154.0) 680.0
BATH & BODY WORK BBWI-RM RM 5,195.0 (2,154.0) 680.0
BAUSCH HEALTH CO BVF GR 27,064.0 (235.0) 824.0
BAUSCH HEALTH CO BHC US 27,064.0 (235.0) 824.0
BAUSCH HEALTH CO BHC CN 27,064.0 (235.0) 824.0
BAUSCH HEALTH CO BVF TH 27,064.0 (235.0) 824.0
BAUSCH HEALTH CO VRX SW 27,064.0 (235.0) 824.0
BAUSCH HEALTH CO BHCN MM 27,064.0 (235.0) 824.0
BAUSCH HEALTH CO VRX1EUR EU 27,064.0 (235.0) 824.0
BAUSCH HEALTH CO BVF QT 27,064.0 (235.0) 824.0
BAUSCH HEALTH CO BVF GZ 27,064.0 (235.0) 824.0
BAUSCH HEALTH CO VRX1EUR EZ 27,064.0 (235.0) 824.0
BELLRING BRANDS BRBR US 722.4 (364.7) 282.4
BELLRING BRANDS D51 TH 722.4 (364.7) 282.4
BELLRING BRANDS BRBR2EUR EU 722.4 (364.7) 282.4
BELLRING BRANDS D51 GR 722.4 (364.7) 282.4
BELLRING BRANDS D51 QT 722.4 (364.7) 282.4
BEYOND MEAT INC BYND US 968.6 (299.1) 442.8
BEYOND MEAT INC 0Q3 GR 968.6 (299.1) 442.8
BEYOND MEAT INC 0Q3 GZ 968.6 (299.1) 442.8
BEYOND MEAT INC BYNDEUR EU 968.6 (299.1) 442.8
BEYOND MEAT INC 0Q3 TH 968.6 (299.1) 442.8
BEYOND MEAT INC 0Q3 QT 968.6 (299.1) 442.8
BEYOND MEAT INC BYND AV 968.6 (299.1) 442.8
BEYOND MEAT INC 0Q3 SW 968.6 (299.1) 442.8
BEYOND MEAT INC 0A20 LI 968.6 (299.1) 442.8
BEYOND MEAT INC BYNDEUR EZ 968.6 (299.1) 442.8
BEYOND MEAT INC 4BYND TE 968.6 (299.1) 442.8
BEYOND MEAT INC BYND* MM 968.6 (299.1) 442.8
BEYOND MEAT INC BYND-RM RM 968.6 (299.1) 442.8
BIOCRYST PHARM BO1 TH 522.9 (1,619.4) 417.6
BIOCRYST PHARM BCRX US 522.9 (1,619.4) 417.6
BIOCRYST PHARM BO1 GR 522.9 (1,619.4) 417.6
BIOCRYST PHARM BO1 QT 522.9 (1,619.4) 417.6
BIOCRYST PHARM BCRXEUR EU 522.9 (1,619.4) 417.6
BIOCRYST PHARM BCRX* MM 522.9 (1,619.4) 417.6
BIOCRYST PHARM BCRXEUR EZ 522.9 (1,619.4) 417.6
BIOTE CORP-A BTMD US 139.1 (73.2) 90.4
BOEING CO-BDR BOEI34 BZ 134,281.0 (16,717.0) 13,873.0
BOEING CO-CED BA AR 134,281.0 (16,717.0) 13,873.0
BOEING CO-CED BAD AR 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BA EU 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BCO GR 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BAEUR EU 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE 4BA TE 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BA* MM 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BA SW 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BA US 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BCO TH 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BA PE 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BA CI 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BCO QT 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BAUSD SW 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BCO GZ 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BA AV 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BA-RM RM 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BAEUR EZ 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BA EZ 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BACL CI 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BA_KZ KZ 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BCOD EB 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BCOD IX 134,281.0 (16,717.0) 13,873.0
BOEING CO/THE BCOD I2 134,281.0 (16,717.0) 13,873.0
BOMBARDIER INC-A BBD/A CN 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-A BDRAF US 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-A BBD GR 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-A BBD/AEUR EU 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-A BBD GZ 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-B BBD/B CN 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-B BBDC GR 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-B BDRBF US 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-B BBDC TH 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-B BBDBN MM 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-B BBD/BEUR EU 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-B BBDC GZ 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-B BBD/BEUR EZ 12,524.0 (2,470.0) (1.0)
BOMBARDIER INC-B BBDC QT 12,524.0 (2,470.0) (1.0)
BOOKING HLDG-BDR BKNG34 BZ 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS PCE1 GR 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS BKNG US 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS BKNG* MM 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS PCE1 TH 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS BKNG CI 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS BKNG SW 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS PCE1 QT 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS BKNGUSD SW 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS PCLNEUR EU 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS PCE1 GZ 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS BOOK AV 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS 4BKNG TE 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS PCLNEUR EZ 25,635.0 (625.0) 5,647.0
BOOKING HOLDINGS BKNG-RM RM 25,635.0 (625.0) 5,647.0
BOX INC- CLASS A BOX US 1,068.1 (45.9) 99.4
BOX INC- CLASS A 3BX GR 1,068.1 (45.9) 99.4
BOX INC- CLASS A 3BX TH 1,068.1 (45.9) 99.4
BOX INC- CLASS A 3BX QT 1,068.1 (45.9) 99.4
BOX INC- CLASS A BOXEUR EU 1,068.1 (45.9) 99.4
BOX INC- CLASS A BOXEUR EZ 1,068.1 (45.9) 99.4
BOX INC- CLASS A 3BX GZ 1,068.1 (45.9) 99.4
BOX INC- CLASS A BOX-RM RM 1,068.1 (45.9) 99.4
BRIDGEBIO PHARMA BBIO US 655.0 (1,193.7) 481.6
BRIDGEBIO PHARMA 2CL GR 655.0 (1,193.7) 481.6
BRIDGEBIO PHARMA 2CL GZ 655.0 (1,193.7) 481.6
BRIDGEBIO PHARMA BBIOEUR EU 655.0 (1,193.7) 481.6
BRIDGEBIO PHARMA 2CL TH 655.0 (1,193.7) 481.6
BRINKER INTL EAT US 2,474.8 (156.3) (364.5)
BRINKER INTL BKJ GR 2,474.8 (156.3) (364.5)
BRINKER INTL BKJ QT 2,474.8 (156.3) (364.5)
BRINKER INTL EAT2EUR EU 2,474.8 (156.3) (364.5)
BRINKER INTL EAT2EUR EZ 2,474.8 (156.3) (364.5)
BRINKER INTL BKJ TH 2,474.8 (156.3) (364.5)
BROOKFIELD INF-A BIPC CN 10,973.0 (764.0) (3,410.0)
BROOKFIELD INF-A BIPC US 10,973.0 (764.0) (3,410.0)
CALUMET SPECIALT CLMT US 2,804.2 (297.8) (350.8)
CARDINAL HEA BDR C1AH34 BZ 43,710.0 (3,490.0) (377.0)
CARDINAL HEALTH CAH US 43,710.0 (3,490.0) (377.0)
CARDINAL HEALTH CLH GR 43,710.0 (3,490.0) (377.0)
CARDINAL HEALTH CLH TH 43,710.0 (3,490.0) (377.0)
CARDINAL HEALTH CLH QT 43,710.0 (3,490.0) (377.0)
CARDINAL HEALTH CAHEUR EU 43,710.0 (3,490.0) (377.0)
CARDINAL HEALTH CLH GZ 43,710.0 (3,490.0) (377.0)
CARDINAL HEALTH CAH* MM 43,710.0 (3,490.0) (377.0)
CARDINAL HEALTH CAHEUR EZ 43,710.0 (3,490.0) (377.0)
CARDINAL HEALTH CAH-RM RM 43,710.0 (3,490.0) (377.0)
CARDINAL-CEDEAR CAH AR 43,710.0 (3,490.0) (377.0)
CARDINAL-CEDEAR CAHC AR 43,710.0 (3,490.0) (377.0)
CARDINAL-CEDEAR CAHD AR 43,710.0 (3,490.0) (377.0)
CARVANA CO CVNA US 7,025.0 (202.0) 1,791.0
CARVANA CO CV0 TH 7,025.0 (202.0) 1,791.0
CARVANA CO CV0 QT 7,025.0 (202.0) 1,791.0
CARVANA CO CVNAEUR EU 7,025.0 (202.0) 1,791.0
CARVANA CO CV0 GR 7,025.0 (202.0) 1,791.0
CARVANA CO CV0 GZ 7,025.0 (202.0) 1,791.0
CARVANA CO CVNAEUR EZ 7,025.0 (202.0) 1,791.0
CARVANA CO CVNA* MM 7,025.0 (202.0) 1,791.0
CARVANA CO CVNA-RM RM 7,025.0 (202.0) 1,791.0
CEDAR FAIR LP FUN US 2,318.6 (565.8) (141.1)
CENTRUS ENERGY-A LEU US 762.0 (32.5) 197.2
CENTRUS ENERGY-A 4CU TH 762.0 (32.5) 197.2
CENTRUS ENERGY-A 4CU GR 762.0 (32.5) 197.2
CENTRUS ENERGY-A LEUEUR EU 762.0 (32.5) 197.2
CENTRUS ENERGY-A 4CU GZ 762.0 (32.5) 197.2
CENTRUS ENERGY-A 4CU QT 762.0 (32.5) 197.2
CHENIERE ENERGY CQP US 19,557.0 (1,046.0) (139.0)
CINEPLEX INC CGX CN 2,234.8 (62.6) (293.6)
CINEPLEX INC CX0 GR 2,234.8 (62.6) (293.6)
CINEPLEX INC CPXGF US 2,234.8 (62.6) (293.6)
CINEPLEX INC CX0 TH 2,234.8 (62.6) (293.6)
CINEPLEX INC CGXEUR EU 2,234.8 (62.6) (293.6)
CINEPLEX INC CGXN MM 2,234.8 (62.6) (293.6)
CINEPLEX INC CX0 GZ 2,234.8 (62.6) (293.6)
COHERUS BIOSCIEN CHRS US 469.6 (174.8) 216.0
COHERUS BIOSCIEN 8C5 GR 469.6 (174.8) 216.0
COHERUS BIOSCIEN 8C5 TH 469.6 (174.8) 216.0
COHERUS BIOSCIEN CHRSEUR EU 469.6 (174.8) 216.0
COHERUS BIOSCIEN 8C5 QT 469.6 (174.8) 216.0
COHERUS BIOSCIEN CHRSEUR EZ 469.6 (174.8) 216.0
COHERUS BIOSCIEN 8C5 GZ 469.6 (174.8) 216.0
COMPOSECURE INC CMPO US 181.1 (271.9) 61.3
CONSENSUS CLOUD CCSI US 667.1 (217.4) 90.9
CONTANGO ORE INC CTGO US 25.7 (4.8) 10.0
COOPER-STANDARD CPS US 2,029.0 (57.4) 258.8
COOPER-STANDARD C31 GR 2,029.0 (57.4) 258.8
COOPER-STANDARD CPSEUR EU 2,029.0 (57.4) 258.8
COOPER-STANDARD C31 GZ 2,029.0 (57.4) 258.8
COOPER-STANDARD C31 TH 2,029.0 (57.4) 258.8
CPI CARD GROUP I PMTS US 300.1 (63.0) 116.3
CPI CARD GROUP I CPB1 GR 300.1 (63.0) 116.3
CPI CARD GROUP I PMTSEUR EU 300.1 (63.0) 116.3
CYTOKINETICS INC CYTK US 740.6 (438.8) 483.7
CYTOKINETICS INC KK3A GR 740.6 (438.8) 483.7
CYTOKINETICS INC KK3A QT 740.6 (438.8) 483.7
CYTOKINETICS INC CYTKEUR EU 740.6 (438.8) 483.7
CYTOKINETICS INC KK3A TH 740.6 (438.8) 483.7
CYTOKINETICS INC CYTKEUR EZ 740.6 (438.8) 483.7
DELEK LOGISTICS DKL US 1,692.6 (129.5) 29.0
DELL TECHN-C DELL US 85,658.0 (2,677.0)##########
DELL TECHN-C 12DA TH 85,658.0 (2,677.0)##########
DELL TECHN-C 12DA GR 85,658.0 (2,677.0)##########
DELL TECHN-C 12DA GZ 85,658.0 (2,677.0)##########
DELL TECHN-C DELL1EUR EU 85,658.0 (2,677.0)##########
DELL TECHN-C DELLC* MM 85,658.0 (2,677.0)##########
DELL TECHN-C 12DA QT 85,658.0 (2,677.0)##########
DELL TECHN-C DELL AV 85,658.0 (2,677.0)##########
DELL TECHN-C DELL1EUR EZ 85,658.0 (2,677.0)##########
DELL TECHN-C DELL-RM RM 85,658.0 (2,677.0)##########
DELL TECHN-C-BDR D1EL34 BZ 85,658.0 (2,677.0)##########
DENNY'S CORP DE8 GR 479.8 (35.8) (56.0)
DENNY'S CORP DENN US 479.8 (35.8) (56.0)
DENNY'S CORP DENNEUR EU 479.8 (35.8) (56.0)
DENNY'S CORP DE8 TH 479.8 (35.8) (56.0)
DENNY'S CORP DE8 GZ 479.8 (35.8) (56.0)
DIEBOLD NIXDORF DBD US 3,405.5 (2,130.6) (953.4)
DIGITALOCEAN HOL DOCN US 1,425.1 (358.8) 287.2
DIGITALOCEAN HOL 0SU GR 1,425.1 (358.8) 287.2
DIGITALOCEAN HOL 0SU TH 1,425.1 (358.8) 287.2
DIGITALOCEAN HOL DOCNEUR EU 1,425.1 (358.8) 287.2
DIGITALOCEAN HOL 0SU GZ 1,425.1 (358.8) 287.2
DIGITALOCEAN HOL 0SU QT 1,425.1 (358.8) 287.2
DINE BRANDS GLOB DIN US 1,659.6 (273.7) (120.5)
DINE BRANDS GLOB IHP GR 1,659.6 (273.7) (120.5)
DINE BRANDS GLOB IHP TH 1,659.6 (273.7) (120.5)
DINE BRANDS GLOB IHP GZ 1,659.6 (273.7) (120.5)
DOMINO'S P - BDR D2PZ34 BZ 1,619.5 (4,141.5) 232.7
DOMINO'S PIZZA EZV TH 1,619.5 (4,141.5) 232.7
DOMINO'S PIZZA EZV GR 1,619.5 (4,141.5) 232.7
DOMINO'S PIZZA DPZ US 1,619.5 (4,141.5) 232.7
DOMINO'S PIZZA EZV QT 1,619.5 (4,141.5) 232.7
DOMINO'S PIZZA DPZEUR EU 1,619.5 (4,141.5) 232.7
DOMINO'S PIZZA DPZ AV 1,619.5 (4,141.5) 232.7
DOMINO'S PIZZA DPZ* MM 1,619.5 (4,141.5) 232.7
DOMINO'S PIZZA EZV GZ 1,619.5 (4,141.5) 232.7
DOMINO'S PIZZA DPZEUR EZ 1,619.5 (4,141.5) 232.7
DOMINO'S PIZZA DPZ-RM RM 1,619.5 (4,141.5) 232.7
DOMO INC- CL B DOMO US 212.1 (151.8) (84.3)
DOMO INC- CL B 1ON GR 212.1 (151.8) (84.3)
DOMO INC- CL B 1ON GZ 212.1 (151.8) (84.3)
DOMO INC- CL B DOMOEUR EU 212.1 (151.8) (84.3)
DOMO INC- CL B 1ON TH 212.1 (151.8) (84.3)
DOMO INC- CL B 1ON QT 212.1 (151.8) (84.3)
DROPBOX INC-A DBX US 3,010.6 (350.3) 270.3
DROPBOX INC-A 1Q5 GR 3,010.6 (350.3) 270.3
DROPBOX INC-A 1Q5 SW 3,010.6 (350.3) 270.3
DROPBOX INC-A 1Q5 TH 3,010.6 (350.3) 270.3
DROPBOX INC-A 1Q5 QT 3,010.6 (350.3) 270.3
DROPBOX INC-A DBXEUR EU 3,010.6 (350.3) 270.3
DROPBOX INC-A DBX AV 3,010.6 (350.3) 270.3
DROPBOX INC-A DBX* MM 3,010.6 (350.3) 270.3
DROPBOX INC-A DBXEUR EZ 3,010.6 (350.3) 270.3
DROPBOX INC-A 1Q5 GZ 3,010.6 (350.3) 270.3
DROPBOX INC-A DBX-RM RM 3,010.6 (350.3) 270.3
EMBECTA CORP EMBC US 1,252.1 (809.4) 401.7
EMBECTA CORP EMBC* MM 1,252.1 (809.4) 401.7
EMBECTA CORP JX7 GR 1,252.1 (809.4) 401.7
EMBECTA CORP JX7 QT 1,252.1 (809.4) 401.7
EMBECTA CORP EMBC1EUR EZ 1,252.1 (809.4) 401.7
EMBECTA CORP EMBC1EUR EU 1,252.1 (809.4) 401.7
EMBECTA CORP JX7 GZ 1,252.1 (809.4) 401.7
EMBECTA CORP JX7 TH 1,252.1 (809.4) 401.7
ENGENE HOLDINGS ENGN US 0.0 (0.1) (0.1)
ETSY INC ETSY US 2,449.2 (622.5) 795.0
ETSY INC 3E2 GR 2,449.2 (622.5) 795.0
ETSY INC 3E2 TH 2,449.2 (622.5) 795.0
ETSY INC 3E2 QT 2,449.2 (622.5) 795.0
ETSY INC 2E2 GZ 2,449.2 (622.5) 795.0
ETSY INC 300 SW 2,449.2 (622.5) 795.0
ETSY INC ETSY AV 2,449.2 (622.5) 795.0
ETSY INC ETSYEUR EZ 2,449.2 (622.5) 795.0
ETSY INC ETSY* MM 2,449.2 (622.5) 795.0
ETSY INC ETSY-RM RM 2,449.2 (622.5) 795.0
ETSY INC 4ETSY TE 2,449.2 (622.5) 795.0
ETSY INC - BDR E2TS34 BZ 2,449.2 (622.5) 795.0
ETSY INC - CEDEA ETSY AR 2,449.2 (622.5) 795.0
EVOLUS INC EOLS US 169.0 (7.0) 55.1
EVOLUS INC EVL GR 169.0 (7.0) 55.1
EVOLUS INC EOLSEUR EU 169.0 (7.0) 55.1
EVOLUS INC EVL TH 169.0 (7.0) 55.1
EVOLUS INC EVL QT 169.0 (7.0) 55.1
EVOLUS INC EVL GZ 169.0 (7.0) 55.1
EVOLUS INC EOLSEUR EZ 169.0 (7.0) 55.1
FAIR ISAAC - BDR F2IC34 BZ 1,584.6 (704.0) 182.1
FAIR ISAAC CORP FRI GR 1,584.6 (704.0) 182.1
FAIR ISAAC CORP FICO US 1,584.6 (704.0) 182.1
FAIR ISAAC CORP FICOEUR EU 1,584.6 (704.0) 182.1
FAIR ISAAC CORP FRI QT 1,584.6 (704.0) 182.1
FAIR ISAAC CORP FICOEUR EZ 1,584.6 (704.0) 182.1
FAIR ISAAC CORP FICO1* MM 1,584.6 (704.0) 182.1
FAIR ISAAC CORP FRI GZ 1,584.6 (704.0) 182.1
FAIR ISAAC CORP FRI TH 1,584.6 (704.0) 182.1
FENNEC PHARMACEU FRX CN 19.4 (9.7) 15.6
FENNEC PHARMACEU FENC US 19.4 (9.7) 15.6
FENNEC PHARMACEU RV41 TH 19.4 (9.7) 15.6
FENNEC PHARMACEU RV41 GR 19.4 (9.7) 15.6
FENNEC PHARMACEU FRXEUR EU 19.4 (9.7) 15.6
FENNEC PHARMACEU RV41 GZ 19.4 (9.7) 15.6
FERRELLGAS PAR-B FGPRB US 1,531.4 (247.4) 176.6
FERRELLGAS-LP FGPR US 1,531.4 (247.4) 176.6
FIBROGEN INC FGEN* MM 515.1 (60.3) 217.3
FIBROGEN INC FGEN-RM RM 515.1 (60.3) 217.3
FOGHORN THERAPEU FHTX US 313.4 (57.4) 213.4
GCM GROSVENOR-A GCMG US 450.8 (100.9) 89.4
GEN RESTAURANT G GENK US 184.7 31.6 12.3
GODADDY INC -BDR G2DD34 BZ 6,793.9 (664.5) (1,204.8)
GODADDY INC-A GDDY US 6,793.9 (664.5) (1,204.8)
GODADDY INC-A 38D GR 6,793.9 (664.5) (1,204.8)
GODADDY INC-A 38D QT 6,793.9 (664.5) (1,204.8)
GODADDY INC-A GDDY* MM 6,793.9 (664.5) (1,204.8)
GODADDY INC-A 38D TH 6,793.9 (664.5) (1,204.8)
GODADDY INC-A 38D GZ 6,793.9 (664.5) (1,204.8)
GOOSEHEAD INSU-A GSHD US 323.2 (13.4) 15.1
GOOSEHEAD INSU-A 2OX GR 323.2 (13.4) 15.1
GOOSEHEAD INSU-A GSHDEUR EU 323.2 (13.4) 15.1
GOOSEHEAD INSU-A 2OX TH 323.2 (13.4) 15.1
GOOSEHEAD INSU-A 2OX QT 323.2 (13.4) 15.1
GREEN PLAINS PAR GPP US 120.3 (1.1) 4.9
GROUPON INC G5NA GR 587.2 (24.8) (171.8)
GROUPON INC G5NA TH 587.2 (24.8) (171.8)
GROUPON INC GRPN US 587.2 (24.8) (171.8)
GROUPON INC G5NA QT 587.2 (24.8) (171.8)
GROUPON INC GRPNEUR EU 587.2 (24.8) (171.8)
GROUPON INC G5NA GZ 587.2 (24.8) (171.8)
GROUPON INC GRPN AV 587.2 (24.8) (171.8)
GROUPON INC GRPN* MM 587.2 (24.8) (171.8)
GROUPON INC GRPNEUR EZ 587.2 (24.8) (171.8)
HCM ACQUISITI-A HCMA US 295.2 276.9 1.0
HCM ACQUISITION HCMAU US 295.2 276.9 1.0
HERBALIFE LTD HOO GR 2,724.7 (1,103.5) 180.7
HERBALIFE LTD HLF US 2,724.7 (1,103.5) 180.7
HERBALIFE LTD HLFEUR EU 2,724.7 (1,103.5) 180.7
HERBALIFE LTD HOO QT 2,724.7 (1,103.5) 180.7
HERBALIFE LTD HOO GZ 2,724.7 (1,103.5) 180.7
HERBALIFE LTD HOO TH 2,724.7 (1,103.5) 180.7
HERON THERAPEUTI HRTX-RM RM 201.2 (39.3) 78.6
HEWLETT-CEDEAR HPQD AR 36,632.0 (2,245.0) (7,727.0)
HEWLETT-CEDEAR HPQC AR 36,632.0 (2,245.0) (7,727.0)
HEWLETT-CEDEAR HPQ AR 36,632.0 (2,245.0) (7,727.0)
HILTON WORLD-BDR H1LT34 BZ 15,200.0 (1,753.0) (1,077.0)
HILTON WORLDWIDE HLT US 15,200.0 (1,753.0) (1,077.0)
HILTON WORLDWIDE HI91 TH 15,200.0 (1,753.0) (1,077.0)
HILTON WORLDWIDE HI91 GR 15,200.0 (1,753.0) (1,077.0)
HILTON WORLDWIDE HI91 QT 15,200.0 (1,753.0) (1,077.0)
HILTON WORLDWIDE HLTEUR EU 15,200.0 (1,753.0) (1,077.0)
HILTON WORLDWIDE HLT* MM 15,200.0 (1,753.0) (1,077.0)
HILTON WORLDWIDE 4HLT TE 15,200.0 (1,753.0) (1,077.0)
HILTON WORLDWIDE HLTEUR EZ 15,200.0 (1,753.0) (1,077.0)
HILTON WORLDWIDE HLTW AV 15,200.0 (1,753.0) (1,077.0)
HILTON WORLDWIDE HI91 GZ 15,200.0 (1,753.0) (1,077.0)
HILTON WORLDWIDE HLT-RM RM 15,200.0 (1,753.0) (1,077.0)
HP COMPANY-BDR HPQB34 BZ 36,632.0 (2,245.0) (7,727.0)
HP INC HPQ* MM 36,632.0 (2,245.0) (7,727.0)
HP INC HPQ US 36,632.0 (2,245.0) (7,727.0)
HP INC 7HP TH 36,632.0 (2,245.0) (7,727.0)
HP INC 7HP GR 36,632.0 (2,245.0) (7,727.0)
HP INC 4HPQ TE 36,632.0 (2,245.0) (7,727.0)
HP INC HPQ CI 36,632.0 (2,245.0) (7,727.0)
HP INC HPQ SW 36,632.0 (2,245.0) (7,727.0)
HP INC 7HP QT 36,632.0 (2,245.0) (7,727.0)
HP INC HPQUSD SW 36,632.0 (2,245.0) (7,727.0)
HP INC HPQEUR EU 36,632.0 (2,245.0) (7,727.0)
HP INC 7HP GZ 36,632.0 (2,245.0) (7,727.0)
HP INC HPQ AV 36,632.0 (2,245.0) (7,727.0)
HP INC HPQEUR EZ 36,632.0 (2,245.0) (7,727.0)
HP INC HPQ-RM RM 36,632.0 (2,245.0) (7,727.0)
HP INC 7HPD EB 36,632.0 (2,245.0) (7,727.0)
HP INC 7HPD IX 36,632.0 (2,245.0) (7,727.0)
HP INC 7HPD I2 36,632.0 (2,245.0) (7,727.0)
IMMUNITYBIO INC IBRX US 291.2 (645.2) (546.7)
IMMUNITYBIO INC 26CA GR 291.2 (645.2) (546.7)
IMMUNITYBIO INC 26CA TH 291.2 (645.2) (546.7)
IMMUNITYBIO INC NK1EUR EU 291.2 (645.2) (546.7)
IMMUNITYBIO INC 26CA GZ 291.2 (645.2) (546.7)
IMMUNITYBIO INC 26CA QT 291.2 (645.2) (546.7)
INHIBRX INC INBX US 213.2 (24.8) 172.0
INHIBRX INC 1RK GR 213.2 (24.8) 172.0
INHIBRX INC INBXEUR EU 213.2 (24.8) 172.0
INHIBRX INC 1RK QT 213.2 (24.8) 172.0
INSEEGO CORP INSG-RM RM 136.8 (90.8) 4.0
INSMED INC INSM US 1,324.9 (289.4) 729.8
INSMED INC IM8N GR 1,324.9 (289.4) 729.8
INSMED INC IM8N TH 1,324.9 (289.4) 729.8
INSMED INC INSMEUR EU 1,324.9 (289.4) 729.8
INSMED INC INSM* MM 1,324.9 (289.4) 729.8
INSPIRATO INC ISPO* MM 365.4 (122.9) (173.8)
INSPIRED ENTERTA INSE US 353.5 (50.3) 64.4
INSPIRED ENTERTA 4U8 GR 353.5 (50.3) 64.4
INSPIRED ENTERTA INSEEUR EU 353.5 (50.3) 64.4
INTUITIVE MACHIN LUNR US 95.8 (72.8) (58.1)
INVITAE CORP NVTA* MM 1,523.0 (200.8) 299.3
INVITAE CORP NVTA-RM RM 1,523.0 (200.8) 299.3
IRONWOOD PHARMAC I76 GR 603.2 (346.8) 12.2
IRONWOOD PHARMAC IRWD US 603.2 (346.8) 12.2
IRONWOOD PHARMAC I76 TH 603.2 (346.8) 12.2
IRONWOOD PHARMAC I76 QT 603.2 (346.8) 12.2
IRONWOOD PHARMAC IRWDEUR EU 603.2 (346.8) 12.2
IRONWOOD PHARMAC I76 GZ 603.2 (346.8) 12.2
JACK IN THE BOX JBX GR 2,951.8 (705.4) (228.5)
JACK IN THE BOX JACK US 2,951.8 (705.4) (228.5)
JACK IN THE BOX JACK1EUR EU 2,951.8 (705.4) (228.5)
JACK IN THE BOX JBX GZ 2,951.8 (705.4) (228.5)
JACK IN THE BOX JBX QT 2,951.8 (705.4) (228.5)
JACK IN THE BOX JACK1EUR EZ 2,951.8 (705.4) (228.5)
L BRANDS INC-BDR B1BW34 BZ 5,195.0 (2,154.0) 680.0
LESLIE'S INC LESL US 1,137.4 (179.8) 221.4
LESLIE'S INC LE3 GR 1,137.4 (179.8) 221.4
LESLIE'S INC LESLEUR EU 1,137.4 (179.8) 221.4
LESLIE'S INC LE3 TH 1,137.4 (179.8) 221.4
LESLIE'S INC LE3 QT 1,137.4 (179.8) 221.4
LIFEMD INC LFMD US 33.9 (7.4) (7.9)
LINDBLAD EXPEDIT LIND US 851.6 (91.7) (59.9)
LINDBLAD EXPEDIT LI4 GR 851.6 (91.7) (59.9)
LINDBLAD EXPEDIT LINDEUR EU 851.6 (91.7) (59.9)
LINDBLAD EXPEDIT LI4 TH 851.6 (91.7) (59.9)
LINDBLAD EXPEDIT LI4 QT 851.6 (91.7) (59.9)
LINDBLAD EXPEDIT LI4 GZ 851.6 (91.7) (59.9)
LOWE'S COS INC LWE GR 44,521.0 (14,732.0) 4,624.0
LOWE'S COS INC LOW US 44,521.0 (14,732.0) 4,624.0
LOWE'S COS INC LWE TH 44,521.0 (14,732.0) 4,624.0
LOWE'S COS INC LWE QT 44,521.0 (14,732.0) 4,624.0
LOWE'S COS INC LOWEUR EU 44,521.0 (14,732.0) 4,624.0
LOWE'S COS INC LWE GZ 44,521.0 (14,732.0) 4,624.0
LOWE'S COS INC LOW* MM 44,521.0 (14,732.0) 4,624.0
LOWE'S COS INC 4LOW TE 44,521.0 (14,732.0) 4,624.0
LOWE'S COS INC LOWE AV 44,521.0 (14,732.0) 4,624.0
LOWE'S COS INC LOWEUR EZ 44,521.0 (14,732.0) 4,624.0
LOWE'S COS INC LOW-RM RM 44,521.0 (14,732.0) 4,624.0
LOWE'S COS-BDR LOWC34 BZ 44,521.0 (14,732.0) 4,624.0
LUMINAR TECHNOLO LAZR US 658.4 (82.3) 393.9
LUMINAR TECHNOLO LAZR* MM 658.4 (82.3) 393.9
LUMINAR TECHNOLO LAZR-RM RM 658.4 (82.3) 393.9
LUMINAR TECHNOLO 9FS GR 658.4 (82.3) 393.9
LUMINAR TECHNOLO LAZREUR EU 658.4 (82.3) 393.9
LUMINAR TECHNOLO 9FS TH 658.4 (82.3) 393.9
LUMINAR TECHNOLO 9FS GZ 658.4 (82.3) 393.9
LUMINAR TECHNOLO 9FS QT 658.4 (82.3) 393.9
LUMINE GROUP INC LMN CN 1,481.8 (2,860.1) (3,545.5)
LUMINE GROUP INC LMGIF US 1,481.8 (2,860.1) (3,545.5)
MADISON SQUARE G MSGS US 1,315.0 (337.2) (371.3)
MADISON SQUARE G MS8 GR 1,315.0 (337.2) (371.3)
MADISON SQUARE G MSG1EUR EU 1,315.0 (337.2) (371.3)
MADISON SQUARE G MS8 TH 1,315.0 (337.2) (371.3)
MADISON SQUARE G MS8 QT 1,315.0 (337.2) (371.3)
MADISON SQUARE G MS8 GZ 1,315.0 (337.2) (371.3)
MADISON SQUARE G MSGE US 1,401.2 (69.5) (245.4)
MADISON SQUARE G MSGE1* MM 1,401.2 (69.5) (245.4)
MANNKIND CORP NNFN GR 313.4 (260.5) 133.3
MANNKIND CORP MNKD US 313.4 (260.5) 133.3
MANNKIND CORP NNFN TH 313.4 (260.5) 133.3
MANNKIND CORP NNFN QT 313.4 (260.5) 133.3
MANNKIND CORP MNKDEUR EU 313.4 (260.5) 133.3
MANNKIND CORP NNFN GZ 313.4 (260.5) 133.3
MARKETWISE INC MKTW* MM 445.6 (257.3) (50.3)
MARRIOTT - BDR M1TT34 BZ 25,267.0 (661.0) (3,995.0)
MARRIOTT INTERNA MAQD EB 25,267.0 (661.0) (3,995.0)
MARRIOTT INTERNA MAQD IX 25,267.0 (661.0) (3,995.0)
MARRIOTT INTERNA MAQD I2 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A MAQ TH 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A MAQ GR 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A MAR US 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A MAQ QT 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A MAREUR EU 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A MAQ GZ 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A MAR AV 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A 4MAR TE 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A MAQ SW 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A MAREUR EZ 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A MAR* MM 25,267.0 (661.0) (3,995.0)
MARRIOTT INTL-A MAR-RM RM 25,267.0 (661.0) (3,995.0)
MATCH GROUP -BDR M1TC34 BZ 4,248.9 (299.0) 548.1
MATCH GROUP INC 0JZ7 LI 4,248.9 (299.0) 548.1
MATCH GROUP INC MTCH US 4,248.9 (299.0) 548.1
MATCH GROUP INC MTCH1* MM 4,248.9 (299.0) 548.1
MATCH GROUP INC 4MGN TH 4,248.9 (299.0) 548.1
MATCH GROUP INC 4MGN GR 4,248.9 (299.0) 548.1
MATCH GROUP INC 4MGN QT 4,248.9 (299.0) 548.1
MATCH GROUP INC 4MGN SW 4,248.9 (299.0) 548.1
MATCH GROUP INC MTC2 AV 4,248.9 (299.0) 548.1
MATCH GROUP INC 4MGN GZ 4,248.9 (299.0) 548.1
MATCH GROUP INC MTCH-RM RM 4,248.9 (299.0) 548.1
MBIA INC MBI US 2,990.0 (1,228.0) -
MBIA INC MBJ GR 2,990.0 (1,228.0) -
MBIA INC MBJ TH 2,990.0 (1,228.0) -
MBIA INC MBJ QT 2,990.0 (1,228.0) -
MBIA INC MBI1EUR EU 2,990.0 (1,228.0) -
MBIA INC MBJ GZ 2,990.0 (1,228.0) -
MCDONALD'S CORP MDOD EB 52,089.3 (4,854.8) 2,847.3
MCDONALD'S CORP MDOD IX 52,089.3 (4,854.8) 2,847.3
MCDONALD'S CORP MDOD I2 52,089.3 (4,854.8) 2,847.3
MCDONALDS - BDR MCDC34 BZ 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MDO TH 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP 4MCD TE 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MDO GR 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCD* MM 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCD US 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCD SW 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCD CI 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MDO QT 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCDUSD EU 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCDUSD SW 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCDEUR EU 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MDO GZ 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCD AV 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCDUSD EZ 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCDEUR EZ 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP 0R16 LN 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCD-RM RM 52,089.3 (4,854.8) 2,847.3
MCDONALDS CORP MCDCL CI 52,089.3 (4,854.8) 2,847.3
MCDONALDS-CEDEAR MCDD AR 52,089.3 (4,854.8) 2,847.3
MCDONALDS-CEDEAR MCDC AR 52,089.3 (4,854.8) 2,847.3
MCDONALDS-CEDEAR MCD AR 52,089.3 (4,854.8) 2,847.3
MCKESSON CORP MCK* MM 66,091.0 (1,464.0) (3,616.0)
MCKESSON CORP MCK GR 66,091.0 (1,464.0) (3,616.0)
MCKESSON CORP MCK US 66,091.0 (1,464.0) (3,616.0)
MCKESSON CORP MCK TH 66,091.0 (1,464.0) (3,616.0)
MCKESSON CORP MCK1EUR EU 66,091.0 (1,464.0) (3,616.0)
MCKESSON CORP MCK QT 66,091.0 (1,464.0) (3,616.0)
MCKESSON CORP MCK GZ 66,091.0 (1,464.0) (3,616.0)
MCKESSON CORP MCK1EUR EZ 66,091.0 (1,464.0) (3,616.0)
MCKESSON CORP MCK-RM RM 66,091.0 (1,464.0) (3,616.0)
MCKESSON-BDR M1CK34 BZ 66,091.0 (1,464.0) (3,616.0)
MEDIAALPHA INC-A MAX US 133.0 (99.7) (9.2)
METTLER-TO - BDR M1TD34 BZ 3,370.4 (89.7) 238.5
METTLER-TOLEDO MTD US 3,370.4 (89.7) 238.5
METTLER-TOLEDO MTO GR 3,370.4 (89.7) 238.5
METTLER-TOLEDO MTO QT 3,370.4 (89.7) 238.5
METTLER-TOLEDO MTO GZ 3,370.4 (89.7) 238.5
METTLER-TOLEDO MTO TH 3,370.4 (89.7) 238.5
METTLER-TOLEDO MTDEUR EU 3,370.4 (89.7) 238.5
METTLER-TOLEDO MTD* MM 3,370.4 (89.7) 238.5
METTLER-TOLEDO MTDEUR EZ 3,370.4 (89.7) 238.5
METTLER-TOLEDO MTD AV 3,370.4 (89.7) 238.5
METTLER-TOLEDO MTD-RM RM 3,370.4 (89.7) 238.5
MSCI INC 3HM GR 4,865.5 (1,049.1) 434.7
MSCI INC MSCI US 4,865.5 (1,049.1) 434.7
MSCI INC 3HM QT 4,865.5 (1,049.1) 434.7
MSCI INC 3HM SW 4,865.5 (1,049.1) 434.7
MSCI INC MSCI* MM 4,865.5 (1,049.1) 434.7
MSCI INC MSCIEUR EZ 4,865.5 (1,049.1) 434.7
MSCI INC 3HM GZ 4,865.5 (1,049.1) 434.7
MSCI INC 3HM TH 4,865.5 (1,049.1) 434.7
MSCI INC MSCI AV 4,865.5 (1,049.1) 434.7
MSCI INC MSCI-RM RM 4,865.5 (1,049.1) 434.7
MSCI INC-BDR M1SC34 BZ 4,865.5 (1,049.1) 434.7
N/A 3XD GZ 3,271.2 (21.4) 614.8
N/A 0WKA GZ 1,149.1 (113.7) 509.1
N/A CPB1 GZ 300.1 (63.0) 116.3
N/A KK3A GZ 740.6 (438.8) 483.7
N/A BKJ GZ 2,474.8 (156.3) (364.5)
N/A D51 GZ 722.4 (364.7) 282.4
N/A IM8N GZ 1,324.9 (289.4) 729.8
N/A BH3 GZ 1,259.9 (670.8) 48.2
NANOSTRING TECHN NSTG* MM 289.0 (21.5) 159.0
NATHANS FAMOUS NATH US 65.6 (35.4) 40.0
NATHANS FAMOUS NFA GR 65.6 (35.4) 40.0
NATHANS FAMOUS NATHEUR EU 65.6 (35.4) 40.0
NATIONAL CINEMED NCMI US 43.4 (19.3) 14.0
NEW ENG RLTY-LP NEN US 386.9 (64.3) -
NIOCORP DEVELOPM NB CN 27.7 (11.7) 0.2
NOVAVAX INC NVV1 GR 1,685.0 (754.5) (468.7)
NOVAVAX INC NVAX US 1,685.0 (754.5) (468.7)
NOVAVAX INC NVV1 TH 1,685.0 (754.5) (468.7)
NOVAVAX INC NVV1 QT 1,685.0 (754.5) (468.7)
NOVAVAX INC NVAXEUR EU 1,685.0 (754.5) (468.7)
NOVAVAX INC NVV1 GZ 1,685.0 (754.5) (468.7)
NOVAVAX INC NVV1 SW 1,685.0 (754.5) (468.7)
NOVAVAX INC NVAX* MM 1,685.0 (754.5) (468.7)
NOVAVAX INC 0A3S LI 1,685.0 (754.5) (468.7)
NOVAVAX INC NVV1 BU 1,685.0 (754.5) (468.7)
NUTANIX INC - A NTNX US 2,526.9 (707.4) 725.6
NUTANIX INC - A 0NU GR 2,526.9 (707.4) 725.6
NUTANIX INC - A NTNXEUR EU 2,526.9 (707.4) 725.6
NUTANIX INC - A 0NU TH 2,526.9 (707.4) 725.6
NUTANIX INC - A 0NU QT 2,526.9 (707.4) 725.6
NUTANIX INC - A 0NU GZ 2,526.9 (707.4) 725.6
NUTANIX INC - A 0NU SW 2,526.9 (707.4) 725.6
NUTANIX INC - A NTNXEUR EZ 2,526.9 (707.4) 725.6
NUTANIX INC - A NTNX-RM RM 2,526.9 (707.4) 725.6
NUTANIX INC-BDR N2TN34 BZ 2,526.9 (707.4) 725.6
O'REILLY AUT-BDR ORLY34 BZ 13,551.8 (1,760.5) (2,453.4)
O'REILLY AUTOMOT OM6 GR 13,551.8 (1,760.5) (2,453.4)
O'REILLY AUTOMOT ORLY US 13,551.8 (1,760.5) (2,453.4)
O'REILLY AUTOMOT OM6 TH 13,551.8 (1,760.5) (2,453.4)
O'REILLY AUTOMOT OM6 QT 13,551.8 (1,760.5) (2,453.4)
O'REILLY AUTOMOT ORLY* MM 13,551.8 (1,760.5) (2,453.4)
O'REILLY AUTOMOT ORLYEUR EU 13,551.8 (1,760.5) (2,453.4)
O'REILLY AUTOMOT OM6 GZ 13,551.8 (1,760.5) (2,453.4)
O'REILLY AUTOMOT ORLY AV 13,551.8 (1,760.5) (2,453.4)
O'REILLY AUTOMOT ORLYEUR EZ 13,551.8 (1,760.5) (2,453.4)
O'REILLY AUTOMOT ORLY-RM RM 13,551.8 (1,760.5) (2,453.4)
ORGANON & CO OGN US 10,979.0 (555.0) 1,571.0
ORGANON & CO 7XP TH 10,979.0 (555.0) 1,571.0
ORGANON & CO OGN-WEUR EU 10,979.0 (555.0) 1,571.0
ORGANON & CO 7XP GR 10,979.0 (555.0) 1,571.0
ORGANON & CO OGN* MM 10,979.0 (555.0) 1,571.0
ORGANON & CO 7XP GZ 10,979.0 (555.0) 1,571.0
ORGANON & CO 7XP QT 10,979.0 (555.0) 1,571.0
ORGANON & CO OGN-RM RM 10,979.0 (555.0) 1,571.0
ORGANON & CO 4OGN TE 10,979.0 (555.0) 1,571.0
OTIS WORLDWI OTIS US 10,390.0 (4,610.0) -
OTIS WORLDWI 4PG GR 10,390.0 (4,610.0) -
OTIS WORLDWI 4PG GZ 10,390.0 (4,610.0) -
OTIS WORLDWI OTISEUR EZ 10,390.0 (4,610.0) -
OTIS WORLDWI OTISEUR EU 10,390.0 (4,610.0) -
OTIS WORLDWI OTIS* MM 10,390.0 (4,610.0) -
OTIS WORLDWI 4PG TH 10,390.0 (4,610.0) -
OTIS WORLDWI 4PG QT 10,390.0 (4,610.0) -
OTIS WORLDWI OTIS AV 10,390.0 (4,610.0) -
OTIS WORLDWI OTIS-RM RM 10,390.0 (4,610.0) -
OTIS WORLDWI-BDR O1TI34 BZ 10,390.0 (4,610.0) -
PAPA JOHN'S INTL PZZA US 877.6 (459.0) (54.8)
PAPA JOHN'S INTL PP1 GR 877.6 (459.0) (54.8)
PAPA JOHN'S INTL PZZAEUR EU 877.6 (459.0) (54.8)
PAPA JOHN'S INTL PP1 GZ 877.6 (459.0) (54.8)
PAPA JOHN'S INTL PP1 TH 877.6 (459.0) (54.8)
PAPA JOHN'S INTL PP1 QT 877.6 (459.0) (54.8)
PAPA JOHN'S INTL PZZAEUR EZ 877.6 (459.0) (54.8)
PELOTON INTERA-A PTON US 2,672.8 (371.0) 837.5
PELOTON INTERA-A 2ON GR 2,672.8 (371.0) 837.5
PELOTON INTERA-A 2ON GZ 2,672.8 (371.0) 837.5
PELOTON INTERA-A PTONEUR EZ 2,672.8 (371.0) 837.5
PELOTON INTERA-A PTONEUR EU 2,672.8 (371.0) 837.5
PELOTON INTERA-A 2ON QT 2,672.8 (371.0) 837.5
PELOTON INTERA-A 2ON TH 2,672.8 (371.0) 837.5
PELOTON INTERA-A PTON* MM 2,672.8 (371.0) 837.5
PELOTON INTERA-A 0A46 LI 2,672.8 (371.0) 837.5
PELOTON INTERA-A PTON AV 2,672.8 (371.0) 837.5
PELOTON INTERA-A 2ON SW 2,672.8 (371.0) 837.5
PELOTON INTERA-A PTON-RM RM 2,672.8 (371.0) 837.5
PELOTON INTERACT 4PTON TE 2,672.8 (371.0) 837.5
PETRO USA INC PBAJ US 0.0 (0.1) (0.1)
PHILIP MORRI-BDR PHMO34 BZ 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN PM1EUR EU 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN PMI SW 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN 4PM TE 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN 4I1 TH 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN PM1CHF EU 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN 4I1 GR 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN PM US 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN PMIZ IX 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN PMIZ EB 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN 4I1 QT 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN 4I1 GZ 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN 0M8V LN 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN PMOR AV 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN PM* MM 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN PM1CHF EZ 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN PM1EUR EZ 62,927.0 (7,706.0) (2,354.0)
PHILIP MORRIS IN PM-RM RM 62,927.0 (7,706.0) (2,354.0)
PITNEY BOW-CED PBI AR 4,423.4 (75.5) (241.9)
PITNEY BOWES INC PBW GR 4,423.4 (75.5) (241.9)
PITNEY BOWES INC PBI US 4,423.4 (75.5) (241.9)
PITNEY BOWES INC PBW TH 4,423.4 (75.5) (241.9)
PITNEY BOWES INC PBIEUR EU 4,423.4 (75.5) (241.9)
PITNEY BOWES INC PBW QT 4,423.4 (75.5) (241.9)
PITNEY BOWES INC PBW GZ 4,423.4 (75.5) (241.9)
PITNEY BOWES INC PBI-RM RM 4,423.4 (75.5) (241.9)
PLANET FITNESS I P2LN34 BZ 2,848.2 (216.0) 230.9
PLANET FITNESS I PLNT* MM 2,848.2 (216.0) 230.9
PLANET FITNESS-A PLNT US 2,848.2 (216.0) 230.9
PLANET FITNESS-A 3PL TH 2,848.2 (216.0) 230.9
PLANET FITNESS-A 3PL GR 2,848.2 (216.0) 230.9
PLANET FITNESS-A 3PL QT 2,848.2 (216.0) 230.9
PLANET FITNESS-A PLNT1EUR EU 2,848.2 (216.0) 230.9
PLANET FITNESS-A 3PL GZ 2,848.2 (216.0) 230.9
PROS HOLDINGS IN PH2 GR 431.9 (54.9) 42.5
PROS HOLDINGS IN PRO US 431.9 (54.9) 42.5
PROS HOLDINGS IN PRO1EUR EU 431.9 (54.9) 42.5
PTC THERAPEUTICS PTCT US 1,259.9 (670.8) 48.2
PTC THERAPEUTICS BH3 GR 1,259.9 (670.8) 48.2
PTC THERAPEUTICS P91 TH 1,259.9 (670.8) 48.2
PTC THERAPEUTICS P91 QT 1,259.9 (670.8) 48.2
RAPID7 INC RPD US 1,399.3 (161.6) 28.3
RAPID7 INC R7D GR 1,399.3 (161.6) 28.3
RAPID7 INC RPDEUR EU 1,399.3 (161.6) 28.3
RAPID7 INC R7D SW 1,399.3 (161.6) 28.3
RAPID7 INC R7D TH 1,399.3 (161.6) 28.3
RAPID7 INC RPD* MM 1,399.3 (161.6) 28.3
RAPID7 INC R7D GZ 1,399.3 (161.6) 28.3
RAPID7 INC R7D QT 1,399.3 (161.6) 28.3
RAPID7 INC-BDR R2PD34 BZ 1,399.3 (161.6) 28.3
RE/MAX HOLDINGS RMAX US 597.9 (63.3) 21.3
RE/MAX HOLDINGS 2RM GR 597.9 (63.3) 21.3
RE/MAX HOLDINGS RMAXEUR EU 597.9 (63.3) 21.3
RH RH US 4,212.8 (284.6) 483.9
RH RS1 GR 4,212.8 (284.6) 483.9
RH RH* MM 4,212.8 (284.6) 483.9
RH RHEUR EU 4,212.8 (284.6) 483.9
RH RS1 TH 4,212.8 (284.6) 483.9
RH RS1 GZ 4,212.8 (284.6) 483.9
RH RHEUR EZ 4,212.8 (284.6) 483.9
RH RS1 QT 4,212.8 (284.6) 483.9
RH - BDR R2HH34 BZ 4,212.8 (284.6) 483.9
RINGCENTRAL IN-A RNG US 1,960.4 (272.4) 211.2
RINGCENTRAL IN-A 3RCA GR 1,960.4 (272.4) 211.2
RINGCENTRAL IN-A RNGEUR EU 1,960.4 (272.4) 211.2
RINGCENTRAL IN-A 3RCA TH 1,960.4 (272.4) 211.2
RINGCENTRAL IN-A 3RCA QT 1,960.4 (272.4) 211.2
RINGCENTRAL IN-A RNGEUR EZ 1,960.4 (272.4) 211.2
RINGCENTRAL IN-A RNG* MM 1,960.4 (272.4) 211.2
RINGCENTRAL IN-A 3RCA GZ 1,960.4 (272.4) 211.2
RINGCENTRAL-BDR R2NG34 BZ 1,960.4 (272.4) 211.2
SABRE CORP SABR US 4,741.7 (1,267.9) 288.1
SABRE CORP 19S GR 4,741.7 (1,267.9) 288.1
SABRE CORP 19S TH 4,741.7 (1,267.9) 288.1
SABRE CORP 19S QT 4,741.7 (1,267.9) 288.1
SABRE CORP SABREUR EU 4,741.7 (1,267.9) 288.1
SABRE CORP SABREUR EZ 4,741.7 (1,267.9) 288.1
SABRE CORP 19S GZ 4,741.7 (1,267.9) 288.1
SAVERS VALUE VIL SVV US 1,783.2 (12.6) (23.8)
SBA COMM CORP 4SB GR 10,334.2 (5,131.4) (203.2)
SBA COMM CORP SBAC US 10,334.2 (5,131.4) (203.2)
SBA COMM CORP 4SB TH 10,334.2 (5,131.4) (203.2)
SBA COMM CORP 4SB QT 10,334.2 (5,131.4) (203.2)
SBA COMM CORP SBACEUR EU 10,334.2 (5,131.4) (203.2)
SBA COMM CORP 4SB GZ 10,334.2 (5,131.4) (203.2)
SBA COMM CORP SBAC* MM 10,334.2 (5,131.4) (203.2)
SBA COMM CORP SBACEUR EZ 10,334.2 (5,131.4) (203.2)
SBA COMMUN - BDR S1BA34 BZ 10,334.2 (5,131.4) (203.2)
SCOTTS MIRACLE SCQA GR 3,413.7 (267.3) 624.1
SCOTTS MIRACLE SMG US 3,413.7 (267.3) 624.1
SCOTTS MIRACLE SCQA QT 3,413.7 (267.3) 624.1
SCOTTS MIRACLE SCQA TH 3,413.7 (267.3) 624.1
SCOTTS MIRACLE SCQA GZ 3,413.7 (267.3) 624.1
SEAGATE TECHNOLO STXN MM 7,196.0 (1,702.0) 163.0
SEAGATE TECHNOLO STX US 7,196.0 (1,702.0) 163.0
SEAGATE TECHNOLO 847 GR 7,196.0 (1,702.0) 163.0
SEAGATE TECHNOLO 847 GZ 7,196.0 (1,702.0) 163.0
SEAGATE TECHNOLO STX4EUR EU 7,196.0 (1,702.0) 163.0
SEAGATE TECHNOLO 847 TH 7,196.0 (1,702.0) 163.0
SEAGATE TECHNOLO STXH AV 7,196.0 (1,702.0) 163.0
SEAGATE TECHNOLO 847 QT 7,196.0 (1,702.0) 163.0
SEAGATE TECHNOLO 4STX TE 7,196.0 (1,702.0) 163.0
SEAWORLD ENTERTA SEAS US 2,505.2 (377.5) (176.9)
SEAWORLD ENTERTA W2L GR 2,505.2 (377.5) (176.9)
SEAWORLD ENTERTA W2L TH 2,505.2 (377.5) (176.9)
SEAWORLD ENTERTA SEASEUR EU 2,505.2 (377.5) (176.9)
SEAWORLD ENTERTA W2L QT 2,505.2 (377.5) (176.9)
SEAWORLD ENTERTA W2L GZ 2,505.2 (377.5) (176.9)
SIRIUS XM HO-BDR SRXM34 BZ 10,129.0 (2,893.0) (2,117.0)
SIRIUS XM HOLDIN SIRI US 10,129.0 (2,893.0) (2,117.0)
SIRIUS XM HOLDIN RDO TH 10,129.0 (2,893.0) (2,117.0)
SIRIUS XM HOLDIN RDO GR 10,129.0 (2,893.0) (2,117.0)
SIRIUS XM HOLDIN RDO QT 10,129.0 (2,893.0) (2,117.0)
SIRIUS XM HOLDIN SIRIEUR EU 10,129.0 (2,893.0) (2,117.0)
SIRIUS XM HOLDIN RDO GZ 10,129.0 (2,893.0) (2,117.0)
SIRIUS XM HOLDIN SIRI AV 10,129.0 (2,893.0) (2,117.0)
SIRIUS XM HOLDIN SIRIEUR EZ 10,129.0 (2,893.0) (2,117.0)
SIRIUS XM HOLDIN SIRI* MM 10,129.0 (2,893.0) (2,117.0)
SIX FLAGS ENTERT SIX US 2,717.1 (335.3) (280.1)
SIX FLAGS ENTERT 6FE GR 2,717.1 (335.3) (280.1)
SIX FLAGS ENTERT SIXEUR EU 2,717.1 (335.3) (280.1)
SIX FLAGS ENTERT 6FE TH 2,717.1 (335.3) (280.1)
SIX FLAGS ENTERT 6FE QT 2,717.1 (335.3) (280.1)
SIX FLAGS ENTERT S2IX34 BZ 2,717.1 (335.3) (280.1)
SLEEP NUMBER COR SNBR US 965.2 (419.1) (713.2)
SLEEP NUMBER COR SL2 GR 965.2 (419.1) (713.2)
SLEEP NUMBER COR SNBREUR EU 965.2 (419.1) (713.2)
SLEEP NUMBER COR SL2 TH 965.2 (419.1) (713.2)
SLEEP NUMBER COR SL2 QT 965.2 (419.1) (713.2)
SLEEP NUMBER COR SL2 GZ 965.2 (419.1) (713.2)
SONDER HOLDINGS SOND* MM 1,607.9 (136.6) (43.4)
SPIRIT AEROSYS-A S9Q GR 6,538.1 (855.7) 971.2
SPIRIT AEROSYS-A SPR US 6,538.1 (855.7) 971.2
SPIRIT AEROSYS-A S9Q TH 6,538.1 (855.7) 971.2
SPIRIT AEROSYS-A SPREUR EU 6,538.1 (855.7) 971.2
SPIRIT AEROSYS-A S9Q QT 6,538.1 (855.7) 971.2
SPIRIT AEROSYS-A SPREUR EZ 6,538.1 (855.7) 971.2
SPIRIT AEROSYS-A S9Q GZ 6,538.1 (855.7) 971.2
SPIRIT AEROSYS-A SPR-RM RM 6,538.1 (855.7) 971.2
SPLUNK INC SPLK US 6,076.9 (39.0) 1,040.2
SPLUNK INC S0U GR 6,076.9 (39.0) 1,040.2
SPLUNK INC S0U TH 6,076.9 (39.0) 1,040.2
SPLUNK INC S0U QT 6,076.9 (39.0) 1,040.2
SPLUNK INC SPLK SW 6,076.9 (39.0) 1,040.2
SPLUNK INC SPLKEUR EU 6,076.9 (39.0) 1,040.2
SPLUNK INC SPLK* MM 6,076.9 (39.0) 1,040.2
SPLUNK INC SPLKEUR EZ 6,076.9 (39.0) 1,040.2
SPLUNK INC S0U GZ 6,076.9 (39.0) 1,040.2
SPLUNK INC SPLK-RM RM 6,076.9 (39.0) 1,040.2
SPLUNK INC - BDR S1PL34 BZ 6,076.9 (39.0) 1,040.2
SQUARESPACE -BDR S2QS34 BZ 766.4 (291.2) (113.9)
SQUARESPACE IN-A SQSP US 766.4 (291.2) (113.9)
SQUARESPACE IN-A 8DT GR 766.4 (291.2) (113.9)
SQUARESPACE IN-A 8DT GZ 766.4 (291.2) (113.9)
SQUARESPACE IN-A SQSPEUR EU 766.4 (291.2) (113.9)
SQUARESPACE IN-A 8DT TH 766.4 (291.2) (113.9)
SQUARESPACE IN-A 8DT QT 766.4 (291.2) (113.9)
STARBUCKS CORP SBUX US 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SBUX* MM 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SRB TH 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SRB GR 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SBUX CI 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SBUX SW 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SRB QT 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SBUX PE 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SBUXUSD SW 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SRB GZ 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SBUX AV 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP 4SBUX TE 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SBUXEUR EU 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP 1SBUX IM 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SBUXEUR EZ 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP 0QZH LI 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SBUX-RM RM 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SBUXCL CI 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SBUX_KZ KZ 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SRBD BQ 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SRBD EB 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SRBD IX 29,445.5 (7,987.8) (2,041.9)
STARBUCKS CORP SRBD I2 29,445.5 (7,987.8) (2,041.9)
STARBUCKS-BDR SBUB34 BZ 29,445.5 (7,987.8) (2,041.9)
STARBUCKS-CEDEAR SBUX AR 29,445.5 (7,987.8) (2,041.9)
STARBUCKS-CEDEAR SBUXD AR 29,445.5 (7,987.8) (2,041.9)
TABULA RASA HEAL TRHC US 355.9 (78.1) 53.0
TABULA RASA HEAL 43T GR 355.9 (78.1) 53.0
TABULA RASA HEAL TRHCEUR EU 355.9 (78.1) 53.0
TABULA RASA HEAL 43T TH 355.9 (78.1) 53.0
TABULA RASA HEAL 43T GZ 355.9 (78.1) 53.0
TG THERAPEUTICS TGTX US 331.1 (1,499.9) 135.9
TG THERAPEUTICS NKB2 GR 331.1 (1,499.9) 135.9
TG THERAPEUTICS NKB2 TH 331.1 (1,499.9) 135.9
TG THERAPEUTICS NKB2 QT 331.1 (1,499.9) 135.9
TG THERAPEUTICS NKB2 GZ 331.1 (1,499.9) 135.9
TG THERAPEUTICS TGTXEUR EU 331.1 (1,499.9) 135.9
TRANSDIGM - BDR T1DG34 BZ 19,555.0 (2,387.0) 4,719.0
TRANSDIGM GROUP T7D GR 19,555.0 (2,387.0) 4,719.0
TRANSDIGM GROUP TDG US 19,555.0 (2,387.0) 4,719.0
TRANSDIGM GROUP T7D QT 19,555.0 (2,387.0) 4,719.0
TRANSDIGM GROUP TDGEUR EU 19,555.0 (2,387.0) 4,719.0
TRANSDIGM GROUP T7D TH 19,555.0 (2,387.0) 4,719.0
TRANSDIGM GROUP TDG* MM 19,555.0 (2,387.0) 4,719.0
TRANSDIGM GROUP TDGEUR EZ 19,555.0 (2,387.0) 4,719.0
TRANSDIGM GROUP TDG-RM RM 19,555.0 (2,387.0) 4,719.0
TRAVEL + LEISURE WD5A GR 6,602.0 (1,004.0) 614.0
TRAVEL + LEISURE TNL US 6,602.0 (1,004.0) 614.0
TRAVEL + LEISURE WD5A TH 6,602.0 (1,004.0) 614.0
TRAVEL + LEISURE WD5A QT 6,602.0 (1,004.0) 614.0
TRAVEL + LEISURE WYNEUR EU 6,602.0 (1,004.0) 614.0
TRAVEL + LEISURE 0M1K LI 6,602.0 (1,004.0) 614.0
TRAVEL + LEISURE WD5A GZ 6,602.0 (1,004.0) 614.0
TRAVEL + LEISURE TNL* MM 6,602.0 (1,004.0) 614.0
TRINSEO PLC TSE US 3,271.2 (21.4) 614.8
TRINSEO PLC 3XD GR 3,271.2 (21.4) 614.8
TRINSEO PLC TSE3EUR EU 3,271.2 (21.4) 614.8
TRIUMPH GROUP TG7 GR 1,649.9 (751.9) 518.3
TRIUMPH GROUP TGI US 1,649.9 (751.9) 518.3
TRIUMPH GROUP TGIEUR EU 1,649.9 (751.9) 518.3
TRIUMPH GROUP TG7 TH 1,649.9 (751.9) 518.3
TRIUMPH GROUP TG7 GZ 1,649.9 (751.9) 518.3
UBIQUITI INC 3UB GR 1,388.1 (63.1) 815.6
UBIQUITI INC UI US 1,388.1 (63.1) 815.6
UBIQUITI INC UBNTEUR EU 1,388.1 (63.1) 815.6
UBIQUITI INC 3UB TH 1,388.1 (63.1) 815.6
UNITED HOMES GRO UHG US 246.9 (117.1) 200.1
UNITED HOMES GRO 6PO GR 246.9 (117.1) 200.1
UNITED HOMES GRO DHHCEUR EU 246.9 (117.1) 200.1
UNITI GROUP INC UNIT US 4,981.3 (2,444.4) -
UNITI GROUP INC 8XC GR 4,981.3 (2,444.4) -
UNITI GROUP INC 8XC TH 4,981.3 (2,444.4) -
UNITI GROUP INC 8XC GZ 4,981.3 (2,444.4) -
UROGEN PHARMA LT URGN US 95.4 (138.4) 54.6
UROGEN PHARMA LT UR8 GR 95.4 (138.4) 54.6
UROGEN PHARMA LT URGNEUR EU 95.4 (138.4) 54.6
VECTOR GROUP LTD VGR GR 1,101.0 (773.4) 356.4
VECTOR GROUP LTD VGR US 1,101.0 (773.4) 356.4
VECTOR GROUP LTD VGR QT 1,101.0 (773.4) 356.4
VECTOR GROUP LTD VGREUR EU 1,101.0 (773.4) 356.4
VECTOR GROUP LTD VGREUR EZ 1,101.0 (773.4) 356.4
VECTOR GROUP LTD VGR TH 1,101.0 (773.4) 356.4
VECTOR GROUP LTD VGR GZ 1,101.0 (773.4) 356.4
VERISIGN INC VRS TH 1,695.9 (1,633.4) (166.6)
VERISIGN INC VRS GR 1,695.9 (1,633.4) (166.6)
VERISIGN INC VRSN US 1,695.9 (1,633.4) (166.6)
VERISIGN INC VRS QT 1,695.9 (1,633.4) (166.6)
VERISIGN INC VRSNEUR EU 1,695.9 (1,633.4) (166.6)
VERISIGN INC VRS GZ 1,695.9 (1,633.4) (166.6)
VERISIGN INC VRSN* MM 1,695.9 (1,633.4) (166.6)
VERISIGN INC VRSNEUR EZ 1,695.9 (1,633.4) (166.6)
VERISIGN INC VRSN-RM RM 1,695.9 (1,633.4) (166.6)
VERISIGN INC-BDR VRSN34 BZ 1,695.9 (1,633.4) (166.6)
VERISIGN-CEDEAR VRSN AR 1,695.9 (1,633.4) (166.6)
WAVE LIFE SCIENC WVE US 230.0 (43.8) 44.5
WAVE LIFE SCIENC WVEEUR EU 230.0 (43.8) 44.5
WAVE LIFE SCIENC 1U5 GR 230.0 (43.8) 44.5
WAVE LIFE SCIENC 1U5 TH 230.0 (43.8) 44.5
WAVE LIFE SCIENC 1U5 GZ 230.0 (43.8) 44.5
WAYFAIR INC- A W US 3,360.0 (2,708.0) (212.0)
WAYFAIR INC- A 1WF GR 3,360.0 (2,708.0) (212.0)
WAYFAIR INC- A 1WF TH 3,360.0 (2,708.0) (212.0)
WAYFAIR INC- A WEUR EU 3,360.0 (2,708.0) (212.0)
WAYFAIR INC- A 1WF QT 3,360.0 (2,708.0) (212.0)
WAYFAIR INC- A WEUR EZ 3,360.0 (2,708.0) (212.0)
WAYFAIR INC- A 1WF GZ 3,360.0 (2,708.0) (212.0)
WAYFAIR INC- A W* MM 3,360.0 (2,708.0) (212.0)
WAYFAIR INC- BDR W2YF34 BZ 3,360.0 (2,708.0) (212.0)
WEWORK INC-CL A WE* MM 15,063.0 (3,593.0) (1,445.0)
WINGSTOP INC WING US 351.7 (475.4) 65.5
WINGSTOP INC EWG GR 351.7 (475.4) 65.5
WINGSTOP INC WING1EUR EU 351.7 (475.4) 65.5
WINGSTOP INC EWG GZ 351.7 (475.4) 65.5
WINGSTOP INC EWG TH 351.7 (475.4) 65.5
WINMARK CORP WINA US 55.5 (34.6) 32.2
WINMARK CORP GBZ GR 55.5 (34.6) 32.2
WORKIVA INC WK US 1,149.1 (113.7) 509.1
WORKIVA INC 0WKA GR 1,149.1 (113.7) 509.1
WORKIVA INC WKEUR EU 1,149.1 (113.7) 509.1
WORKIVA INC 0WKA TH 1,149.1 (113.7) 509.1
WORKIVA INC 0WKA QT 1,149.1 (113.7) 509.1
WPF HOLDINGS INC WPFH US 0.0 (0.3) (0.3)
WW INTERNATIONAL WW US 1,032.3 (675.2) 24.8
WW INTERNATIONAL WW6 GR 1,032.3 (675.2) 24.8
WW INTERNATIONAL WW6 TH 1,032.3 (675.2) 24.8
WW INTERNATIONAL WTWEUR EU 1,032.3 (675.2) 24.8
WW INTERNATIONAL WW6 QT 1,032.3 (675.2) 24.8
WW INTERNATIONAL WW6 GZ 1,032.3 (675.2) 24.8
WW INTERNATIONAL WW6 SW 1,032.3 (675.2) 24.8
WW INTERNATIONAL WTW AV 1,032.3 (675.2) 24.8
WW INTERNATIONAL WTWEUR EZ 1,032.3 (675.2) 24.8
WW INTERNATIONAL WW-RM RM 1,032.3 (675.2) 24.8
WYNN RESORTS LTD WYR GR 13,783.7 (1,507.2) 3,005.7
WYNN RESORTS LTD WYNN* MM 13,783.7 (1,507.2) 3,005.7
WYNN RESORTS LTD WYNN US 13,783.7 (1,507.2) 3,005.7
WYNN RESORTS LTD WYR TH 13,783.7 (1,507.2) 3,005.7
WYNN RESORTS LTD WYR QT 13,783.7 (1,507.2) 3,005.7
WYNN RESORTS LTD WYNNEUR EU 13,783.7 (1,507.2) 3,005.7
WYNN RESORTS LTD WYR GZ 13,783.7 (1,507.2) 3,005.7
WYNN RESORTS LTD WYNNEUR EZ 13,783.7 (1,507.2) 3,005.7
WYNN RESORTS LTD WYNN-RM RM 13,783.7 (1,507.2) 3,005.7
YUM! BRANDS -BDR YUMR34 BZ 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC YUM US 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC TGR GR 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC TGR TH 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC YUMEUR EU 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC TGR QT 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC YUM SW 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC YUMUSD SW 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC TGR GZ 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC YUM* MM 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC YUM AV 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC YUMEUR EZ 6,071.0 (8,190.0) 201.0
YUM! BRANDS INC YUM-RM RM 6,071.0 (8,190.0) 201.0
*********
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.
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers. Information contained
herein is obtained from sources believed to be reliable, but is
not guaranteed.
The TCR subscription rate is $975 for 6 months delivered via
e-mail. Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance thereof
are $25 each. For subscription information, contact Peter A.
Chapman at 215-945-7000.
*** End of Transmission ***