/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/240419.mbx T R O U B L E D C O M P A N Y R E P O R T E R Friday, April 19, 2024, Vol. 28, No. 109 Headlines 1001 WL LLC: Hires Holland & Knight LLP as Special Counsel 1908 BED: Unsecured Creditors Will Get 100% of Claims in Plan 2U INC: Incurs $317.6 Million Net Loss in 2023 301 W NORTH: Hires Property Valuation Advisors Inc. as Appraiser 40TH STREET DEVELOPMENT: Hires Shapero Law as Special Counsel 4D FACTORY: Seeks to Hire Lawson & Moshenberg as Special Counsel 751 ST. NICHOLAS: Taps Scott-Peters Management as Real Estate Agent ACORDA THERAPEUTICS: U.S. Trustee Appoints Creditors' Committee AMERICAN RESOURCES: BF Borgers CPA Raises Going Concern Doubt ARTIFICIAL INTELLIGENCE: Penetrates Further Into Healthcare Market ASCENT RESOURCES: Moody's Ups CFR to Ba3 & Alters Outlook to Stable ASPEN CHAPEL: Files Amendment to Disclosure Statement ATLAS PURCHASER: Moody's Alters Outlook on 'Caa1' CFR to Negative AUSTIN GRADY: Mark Dennis of SL Biggs Named Subchapter V Trustee AUSTIN GRADY: Seeks to Hire Kutner Brinen as Bankruptcy Counsel AVALON GLOBOCARE: Marcum LLP Raises Going Concern Doubt AZALEA TOPCO: S&P Alters Outlook to Stable, Affirms 'B-' ICR BABY BLUE: Salvatore LaMonica Named Subchapter V Trustee BCPE EMPIRE: S&P Alters Outlook to Positive, Affirms 'B-' ICR BENARK LLC: Seeks to Hire Center City Law as Bankruptcy Counsel BLUM HOLDINGS: Marcum LLP Raises Going Concern Doubt BOISE CASCADE: S&P Upgrades ICR to 'BB', Outlook Stable BOWFLEX INC: Court Approves Johnson Health Purchase Agreement C.L. DALE: Seeks to Hire Farthing Legal PC as Counsel CAN B CORP: Reports $9.7 Million Net Loss in 2023 CANO HEALTH: Ceases Ownership of MSP Recovery's Class A Shares CASA SYSTEMS: U.S. Trustee Appoints Creditors' Committee CAST & CREW: Moody's Lowers CFR to B3 & Alters Outlook to Stable CAST & CREW: S&P Affirms 'B' ICR, Off CreditWatch Negative CBDMD INC: Bradley Whitford Holds Common Shares, Stock Options CDO LONESTAR: Voluntary Chapter 11 Case Summary CHARLIE'S HOLDINGS: Mazars USA Raises Going Concern Doubt CHEMOURS CO: S&P Affirms 'BB-' ICR on Filing Of 10-K, Outlook Neg. CHICKEN SOUP: To Make Special Payment on 9.50% Notes Due 2025 CHRISTIAN DIOR: Wins Bid to Dismiss 2nd Amended Slaten Complaint CITIUS PHARMACEUTICALS: Extension of Expiry Date for Warrants OK'd CORENERGY INFRASTRUCTURE: Taps KMPG to Provide Audit Services CQENS TECHNOLOGIES: MaloneBailey Raises Going Concern Doubt CRUZIN AUTO: Case Summary & Seven Unsecured Creditors CYTODYN INC: Incurs $11.9 Million Net Loss in Third Quarter DIAMOND SPORTS: Professional Sports Leagues Slam Chapter 11 Plan DIVERSIFIED MASONRY: Hires Allen Vellone Wolf as Legal Counsel DOUG GROSS: Seeks to Hire RTI Auctions as Auctioneer EASTERN WA CONSTRUCTION: Case Summary & Nine Unsecured Creditors ECHOSTAR CORP: Swings to $1.6 Billion Net Loss in 2023 EGAE LLC: Amends Plan to Include Tenants Unsecured Claims Pay EGAE LLC: Wins Cash Collateral Access Thru July 9 EIGER PHARMACEUTICALS: DOJ Says Lacks Texas for Chapter 11 FARGO BREWING: Seeks Cash Collateral Access FLOWERS BY EMILY: Hires Krigel Nugent + Moore, P.C. as Counsel FORUM ENERGY: Moody's Alters Outlook on 'B3' CFR to Negative FRIENDS OF DOLPHINS: Case Summary & Three Unsecured Creditors FTX GROUP: Bankman-Fried Plans to Appeal 25-Year Sentence FTX TRADING: Examiner Hires Ashby & Geddes as Delaware Counsel GENERAL ENTERPRISE: WWC PC Raises Going Concern Doubt GLOBAL MEDICAL: Moody's Ups CFR to B3 & Alters Outlook to Stable GLOBAL VALUES: Court OKs Cash Collateral Access Thru June 30 GRESHAM WORLDWIDE: Incurs $15.3 Million Net Loss in 2023 GRID AT MESA: Seeks to Tap May Potenza Baran as Chapter 11 Counsel HARBOR DRIVE: Case Summary & Nine Unsecured Creditors HELIUS MEDICAL: Receives Nasdaq Non-Compliance Notice HEYCART INC: U.S. Trustee Appoints Creditors' Committee HISTOGEN INC: Files for Chapter 11 to Facilitate Wind-Down HURLBURT CONSTRUCTION: Taps SF Business Solutions as Accountant IAMGOLD CORP: Boosts Cashflow With Gold Prepay Arrangements IAMGOLD CORP: Swings to $103.8 Million Net Income in 2023 IAMGOLD CORP: To Hold Conference Call on May 10 to Discuss Results IBIO INC: ADAR1 Partners, 3 Others Report 9.27% Equity Stake INFINITY COMMERCIAL: Taps DeConcini McDonald as Bankruptcy Counsel INNOVATIVE REAL: Seeks Approval to Hire Keating Firm as Counsel INVESTMENTS SWK: Hires Simpson Law Group as Counsel J C CONTRACTORS: Hires Eileen N. Shaffer as Legal Counsel JANE STREET: Moody's Rates New $1.25BB Senior Secured Notes 'Ba2' JANE STREET: S&P Assigns 'BB' Rating on Senior Secured Notes JLM COUTURE: Bridal Designer Wants Case Converted to Chapter 7 JUMBO SEAFOOD: Hires Mr. Evans of Georgetown Development as CRO KATANA ELECTRONICS: Hires Common Law as Tax Bankruptcy Counsel KWIKCLICK INC: GreenGrowth CPAs Raises Going Concern Doubt L AND L CARE: Hires A.O.E. Law & Associates as Counsel LABRUZZO WOODLANDS: Unsecureds Will Get 60.5% Dividend in Plan LINCOLN HOLDINGS: Lender Seeks Turnover of Cash Collateral LIVEONE INC: Converts $11.4M of Preferred Shares to Common Shares MAJOSTAN CORP: 31st Street's Plan Has 100% for Unsecured Creditors MARIN SOFTWARE: All 5 Proposals Approved at Annual Meeting MARIN SOFTWARE: Six-to-One Reverse Stock Split Takes Effect MERCY HOTEL: Files Emergency Bid to Use Cash Collateral MOHAWK DRIVE: Hires Joseph H. Maynard as Financial Analyst MOXY RESTAURANT: Hires Mandelbaum Barrett PC as Counsel MOXY RESTAURANT: Seeks to Hire Lalaj CPA PC as Accountant NABORS INDUSTRIES: Amends Receivables Purchase Agreement NANOSTRING TECHNOLOGIES: Bruker to Acquire Assets for $392.6 Mil. NCD HOLDING: Seeks to Hire Tittle Law Group as Counsel NEPTUNE WELLNESS: Unit Inks Foreclosure Agreement With NH Expansion NEW ANTHEM: Seeks to Hire Carter & Carter as Bankruptcy Counsel NOGIN INC: Permitted to Get Another $3-Mil. Cash NOVA LIFESTYLE: WWC PC Raises Going Concern Doubt NRG ENERGY: Moody's Affirms 'Ba1' CFR, Outlook Stable NUMBER HOLDINGS: Hilco to Oversee Sale of 99 Cent Properties ORENGO AIR: Seeks Approval to Hire JPC Law Office as Attorney OUTKAST ELECTRICAL: Taps Thomas H. Curran as Special Counsel PAP OIL GROUP: Seeks to Hire Eisner Advisory Group as Accountant PERIMETER ORTHOPAEDICS: Hires Geeslin Group LLC as Accountant PLOURDE SAND: Seeks Cash Collateral Access PRECISION ANESTHESIA: Hires EmergeLaw PLC as Bankruptcy Counsel PRESTO AUTOMATION: Brown Stone, N. Montazeri No Longer Hold Shares PRIDE GROUP: Needs Additional Time to Get U.S. DIP Approval PRIME MARKETING: Hires NKA Financial Services Inc. as Accountant PROFESSIONAL DIVERSITY: Regains Compliance With Nasdaq Requirement PSG CONCRETE: Hires Amy B. Whitmarsh CPA PA as Accountant PUNTO OTTICO: Case Summary & 18 Unsecured Creditors PURDUE PHARMA: Seeks to Hire BDO USA P.C. as Accountant QHT-US INC: Seeks to Hire Richards Brandt as Legal Counsel R. MILLENNIUM: Unsecured Creditors Will Get 42% Dividend in Plan REDDI RENTS THREE: Robert Handler Named Subchapter V Trustee REMARK HOLDINGS: Faces Delisting From Nasdaq REMARK HOLDINGS: Incurs $29.15 Million Net Loss in 2023 REMARK HOLDINGS: Needs More Time to Complete 2023 Annual Report RENO CITY CENTER: Two New Committee Members Appointed RESHAPE LIFESCIENCES: Hires Haskell & White as New Auditor RITE AID: Sets to Close 5 More Stores in Pennsylvania & New Jersey ROCHESTER HOLDING: U.S. Trustee Unable to Appoint Committee SC HEALTHCARE: Seeks to Hire Ordinary Course Professionals SCHMOLDT CONSTRUCTION: Hires Saunders as Construction Counsel SHELTERING ARMS: Hires Golenbock Eiseman as Special Counsel SKY DEVELOPMENT: Files Emergency Bid to Use Cash Collateral SKY DEVELOPMENT: Seeks to Hire Logan A. Weinkauf, PC as Attorney SMILE WITH HEART: Taps McGrail & Bensinger as Bankruptcy Counsel ST. IVES RV: Unsecureds Will Get 2.55% of Claims over 5 Years STALWART PLASTICS: U.S. Trustee Appoints Creditors' Committee STERETT COMPANIES: Court OKs Cash Collateral Access Thru May 17 STOP SMACKN: Hires Arthur Lander C.P.A. P.C. as Accountant SUMMIT EXECUTIVE: Case Summary & Nine Unsecured Creditors SURGE REAL: Seeks to Hire Agbor Ebot Tabi PC as Counsel SUSTAITA ENTERPRISES: Hires Rosen Systems Inc. as Auctioneer SWEET SPOT: Jarrod Martin Named Subchapter V Trustee TELLURIAN INC: Widens Net Loss to $166.2 Million in 2023 TENABLE HOLDINGS: Moody's Raises CFR to Ba3, Outlook Stable TEST AND BALANCING: Monique Almy Named Subchapter V Trustee TEST AND BALANCING: Taps Frost & Associates as Bankruptcy Counsel TRUMP MEDIA: Incurs $21.9 Million Net Loss in 2023 TTW TRANSPORT: Hires Polis & Associates as Bankruptcy Counsel UNCONDITIONAL LOVE: Committee Hires Genesis as Financial Advisor UPHEALTH INC: Lowers Net Loss to $56.4 Million in 2023 UPHEALTH INC: Lowers Net Loss to $56.4 Million in 2023 VERTEX ENERGY: Boosts Incentive Plan With RSUs, Share Increase VIEW INC: U.S. Trustee Unable to Appoint Committee VIVAKOR INC: Lender Executes Amended Convertible Promissory Note WALLAROO'S FURNITURE: Wins Interim Cash Collateral Access WOLF RIGS: Seeks to Hire Paul Ng as Accountant YUNHONG GREEN: Replaces BF Borgers With Wolf & Company as Auditor ZADA REHAB: Nicole Nigrelli Named Subchapter V Trustee [*] Companies Defaulting on Debt 2nd Highest Since 2008 [*] Schuyler Carroll, Jessica Sklute Join Manatt's New York Office [*] Senator's Judge Shopping Bill Targets Bankruptcy, Patent Suits [*] Three Professionals Join MACCO Restructuring Group [^] BOOK REVIEW: The Turnaround Manager's Handbook ********* 1001 WL LLC: Hires Holland & Knight LLP as Special Counsel ---------------------------------------------------------- 1001 WL LLC, seeks approval from the U.S. Bankruptcy Court for the Western District of Texas to employ Holland & Knight LLP as Special Counsel. The firm will provide litigation services, including adversary proceedings and contested matters in the bankruptcy case. The firm will be paid at these rates: Mark Taylor $750 William Nix, III $585 Nicholas Miller $495 The firm received a retainer in the amount of $15,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Mark C. Taylor, a partner at Holland & Knight LLP, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Mark C. Taylor, Esq. Holland & Knight, LLP 100 Congress Avenue, 18th Floor Austin, TX 78701 Tel: (512) 685-6400 Fax: (512) 685-6417 About 1001 WL LLC 1001 WL, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Tex. Case No. 24-10119) on Feb. 6, 2024. In the petition signed by Drew Dennett, authorized signatory, the Debtor disclosed up to $50 million in both assets and liabilities. Judge Shad Robinson oversees the case. Stephen W. Sather, Esq., at Barron & Newburger PC represents the Debtor as counsel. 1908 BED: Unsecured Creditors Will Get 100% of Claims in Plan ------------------------------------------------------------- 1908 Bed and Breakfast, Inc., filed with the U.S. Bankruptcy Court for the Southern District of Mississippi a Plan of Reorganization dated April 9, 2024. The Debtor is a Mississippi corporation. 1908 B&B is managed by its president, Rebecca Center. The Debtor was formed in March 2022 and has been under the same management since its exception. The Debtor is owned 51% by Rebecca Center and 49% by her husband, Dr. Brian Center. Its primary asset is a historic bed and breakfast located at 1012 Beach Blvd, Biloxi, MS 39530 "the Property" that contains six units. An appraisal report of the property conducted on May 16, 2022 concluded that the value of the property was $1,570,000.00. In financing the purchase of the Property, the Debtor incurred two debts to Cadence Bank on May 24, 2022: the primary note was a twenty-year adjustable rate note in the amount of $940,000.00 ("the First Mortgage") and the second note was a one year note in the amount of $50,000.00 ("the Second Mortgage"). The Debtor's Plan of Reorganization proposes to cure and maintain the existing default as to the Debtor's first mortgage with Cadence Bank and further proposes to pay in full the Debtor's second mortgage that is also held by Cadence Bank. The Debtor's Plan further proposes to pay other debts owed by the Debtor. Class 3 consists of all claims filed as Unsecured Claims. The only Class 3 Creditor that has been ascertained is the unsecured, non-priority portion of the MDOR claim. This claim and any other claims that emerge as general unsecured claims will be paid at 100%. This Plan will be funded by ongoing operations of the Debtor, contributions by the Debtor's principals, and potentially with DIP Financing to be obtained with approval of the Court. The Debtor anticipates that Rebecca Center, who is an insider of the Debtor, will continue in her position as President of the Debtor. A full-text copy of the Plan of Reorganization dated April 9, 2024 is available at https://urlcurt.com/u?l=Z0khdJ from PacerMonitor.com at no charge. Attorney for the Debtor: Michael Ramsey, Esq. SHEEHAN & RAMSEY, PLLC 492 Porter Avenue Ocean Springs, MS 39564 Tel: (228) 875-0572 Fax: (228) 875-0895 About 1908 Bed and Breakfast 1908 Bed and Breakfast, Inc., doing business as 1908 Coastal Historic Bed and Breakfast, owns and operates a rental property in Biloxi, Miss. The current owners who recently purchased the property has just completed another major renovation to convert the property to six fully contained units. The property is located right on the Gulf Coast's shoreline on Beach Blvd (U.S. 90). 1908 Bed and Breakfast filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. Miss. Case No. 24-50029) on Jan. 10, 2024, with $1 million to $10 million in assets and $500,000 to $1 million in liabilities. Rebecca Center, president, signed the petition. Judge Katharine M. Samson oversees the case. Michael T. Ramsey, Esq., at Sheehan and Ramsey, PLLC represents the Debtor as legal counsel. 2U INC: Incurs $317.6 Million Net Loss in 2023 ---------------------------------------------- 2U, Inc. filed with the Securities and Exchange Commission its Annual Report on Form 10-K reporting a net loss of $317.61 million on $945.95 million of revenue for the year ended Dec. 31, 2023, compared to a net loss of $322.15 million on $963.08 million of revenue for the year ended Dec. 31, 2022. As of Dec. 31, 2023, the Company had $1.46 billion in total assets, $1.24 billion in total liabilities, and $219.04 million in total stockholders' equity. McLean, Virginia-based KPMG LLP, the Company's auditor since 2013, issued a "going concern" qualification in its report dated March 6, 2024, citing that the Company projects that it will not have sufficient cash on hand or available liquidity to meet the obligations of the Second Amended Credit Agreement. As a result, substantial doubt is raised about the Company's ability to continue as a going concern. A full-text copy of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/1459417/000145941724000011/twou-20231231.htm About 2U Inc. Headquartered in Lanham, MD, 2U, Inc. -- is an online education platform company. The Company's mission is to expand access to high-quality education and unlock human potential. As a trusted partner to top-ranked nonprofit universities and other leading organizations, the Company delivers technology and services that enable its clients to bring their educational offerings online at scale. 301 W NORTH: Hires Property Valuation Advisors Inc. as Appraiser ---------------------------------------------------------------- 301 W North Avenue, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Illinois to employ Property Valuation Advisors, Inc. as appraiser. The firm will appraise the Debtor's main asset, a mixed-use apartment building containing 69 residential apartments, 33 parking spaces and approximately 4,300 square feet of commercial retail space on the ground level. The firm will be paid $8,5000 for the appraisal of the property and up to 10 hours of deposition preparation and testimony, and an hourly rate of $350 for time in excess of such 10 hours. Brian D. Flanagan, a partner at Property Valuation Advisors, Inc., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Brian D. Flanagan Property Valuation Advisors, Inc. 321 North Loomis Street, Suite 101 Chicago, IL 60607 Tel: (312) 455-1220 About 301 W North Avenue, LLC 301 W North Avenue, LLC is engaged in activities related to real estate. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 24-02741) on February 27, 2024. In the petition signed by F. Martin Paris, Jr., president of MK Manager Corp. as manager of Debtor, the Debtor disclosed up to $50 million in both assets and liabilities. Judge Donald R. Cassling oversees the case. Robert Glantz Much Shelist, P.C., Esq. at MUCH SHELIST PC, represents the Debtor as legal counsel. 40TH STREET DEVELOPMENT: Hires Shapero Law as Special Counsel ------------------------------------------------------------- 40th Street Development, LLC received approval from the U.S. Bankruptcy Court for the Northern District of California to employ Shapero Law Firm, PC as its special litigation counsel. The firm will prosecute claims or causes of action on these cases: (1) a claim by 40th Street Development, LLC against Escrow Experts, Alameda County Superior Court Case No. 24CV066193 for conversion, breach of fiduciary duty and unfair business practices (Escrow Experts Case); and (2) a claim against AB Capital, LLC for conversion, breach of contract, wrongful foreclosure and unfair business practices (AB Capital Case). The firm will be compensated as follows: a. In the Escrow Experts matter, the attorney to receive 33 percent of any recovery plus reimbursement of actual, necessary expenses and other charges incurred. b. In the AB Capital Case, the firm will receive $2,000 per month, plus reimbursement of actual, necessary expenses and other charges incurred. Shapero Law Firm does not represent or hold an interest adverse to the debtor or its estate with respect to the matter on which it is to be employed. The firm can be reached through: Sarah Shapero, Esq. Shapero Law Firm, PC 100 Pine St Ste 530 San Francisco, CA 94111 Phone: (415) 273-8015 About 40th Street Development 40th Street Development, LLC is a single asset real estate (as defined in 11 U.S.C. Sec. 101(51B)). 40th Street Development filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Calif. Case No. 22-50930) on Oct. 13, 2022. In the petition filed by its managing member, Steven Trinh, the Debtor reported $10 million to $50 million in both assets and liabilities. Judge M. Elaine Hammond oversees the case. The Debtor is represented by Eric A. Nyberg, Esq., at Kornfield Nyberg Bendes Kuhner & Little. 4D FACTORY: Seeks to Hire Lawson & Moshenberg as Special Counsel ---------------------------------------------------------------- 4D Factory, Inc. and its affiliates received approval from the U.S. Bankruptcy Court for the Southern District of New York to employ Lawson & Moshenberg, PLLC as special counsel and McDowell Hetherington LLP as interim special counsel. The firms' services include: a. assisting the Debtors in analyzing claims it may have against debtors in the adversary; b. preparing and filing such pleadings as are necessary to pursue the Debtors' claims in the adversary; c. conducting appropriate examinations of witnesses, claimants, and other parties in interest in connection with such litigation; d. representing the Debtors in the adversary; e. handling any appeals that may result from the Adversary; and f. performing any other legal services that may be appropriate in connection with the prosecution of the adversary. The firms' hourly rates are as follows: Partners & Senior Counsel $800 Associates $375 to $695 Paralegals $250 As disclosed in the court filings, Lawson & Moshenberg and McDowell Hetherington do not hold or represent an interest adverse to the state and are "disinterested," as that term is defined in section 101(14) of the Code. The firm can be reached through: Avi Moshenberg, Esq. LAWSON & MOSHENBERG PLLC McDowell Hetherington LLP 1001 Fannin Street, Suite 2400 Houston, TX 77002 Telephone: (713) 337-5580 Facsimile: (713) 337-8850 About 4D Factory 4D Factory, Inc. is a New York-based media technology holding company that invests in the technology-driven evolution of the media landscape including platforms, content and applications. 4D Factory, Inc. and its affiliate, The 4D Factory, LLC, filed petitions under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D.N.Y. Case Nos. 23-11618 and 23-11619) on Oct. 10, 2023. Cort Javarone, managing member, signed the petitions. At the time of the filing, 4D Factory, Inc. reported as much as $50,000 in both assets and liabilities while The 4D Factory, LLC reported $10 million to $50 million in assets and $1 million to $10 million in liabilities. Judge Michael E. Wiles oversees the cases. Robert J. Spence, Esq., at Spence Law Office, P.C. represents the Debtors as bankruptcy counsel. 751 ST. NICHOLAS: Taps Scott-Peters Management as Real Estate Agent ------------------------------------------------------------------- 751 St. Nicholas Avenue Realty Corp. seeks approval from the U.S. Bankruptcy Court for the Southern District of New York to employ Scott-Peters Management Inc. as its real estate broker. The firm has an exclusive right to represent the Debtor on the sale of its property located at 767 Beck Street, Bronx, New York 10455. Upon the sale, the broker will receive a commission of 5 percent of the gross sales price. As disclosed in the court filings, the broker hold no adverse interest to the Debtor or the estate and is disinterested. The broker can be reached through: Randolf Scott Peters Scott-Peters Management Inc. 676 Riverside Dr., Suite 7C New York, NY 10031 Tel: (917) 653-5001 About 751 St. Nicholas Avenue Realty Corp. 751 St. Nicholas Avenue Realty Corp. is primarily engaged in renting and leasing real estate properties. 751 St. Nicholas Avenue Realty Corp. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 23-11688) on October 23, 2023. The petition was signed by David Hill as president. At the time of filing, the Debtor estimated $1 million to $10 million in both assets and liabilities. Judge David S. Jones presides over the case. Leo Fox, Esq. represents the Debtor as counsel. ACORDA THERAPEUTICS: U.S. Trustee Appoints Creditors' Committee --------------------------------------------------------------- The U.S. Trustee for Region 2 appointed an official committee to represent unsecured creditors in the Chapter 11 cases of Acorda Therapeutics, Inc. and its affiliates. The committee members are: 1. Prime Vigilance Ltd. 1 Occam Court The Surrey Research Park Guilford, Surrey GU2 7HJ United Kingdom Attention: Hunter Sutherland Telephone: (585) 447-3708 2. Research Catalyst, LLC P.O. Box 631131 Highlands Ranch, CO 80163 Attention: Melissa Overbaugh, Director Telephone: (314) 221-4505 3. Catalent Massachusetts LLC 14 Schoolhouse Road Somerset, NJ 08873 Attention: Shaun P. Tooker Telephone: (732) 537-615 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 Acorda Therapeutics Acorda is a biopharmaceutical company that has developed breakthrough products, therapies, and biotechnology to restore function and improve the lives of people with neurological disorders. INBRIJA is approved for intermittent treatment of OFF episodes in adults with Parkinson's disease treated with carbidopa/levodopa. Acorda Therapeutics Inc. and its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 24-22284) on April 1, 2024. In the petition signed by Michael A. Gesser, as chief financial officer, the Debtor disclosed total assets as of Dec. 31, 2023, of $108,525,000 and total debt as of Dec. 31, 2023, of $266,204,000. The Honorable Bankruptcy Judge David S. Jones handles the case. Acorda is being advised by Baker McKenzie as legal counsel, Ernst & Young as financial advisor, and Ducera Partners and Leerink Partners as the investment bankers. Kroll Restructuring Administration is the claims agent. Merz is being advised by Freshfields Bruckhaus Deringer US LLP as legal counsel, Morgan Stanley as investment banker, and Deloitte as financial and tax advisors. Senior Convertible Noteholders are being advised by King & Spalding as legal counsel and Perella Weinberg Partners as investment banker. AMERICAN RESOURCES: BF Borgers CPA Raises Going Concern Doubt ------------------------------------------------------------- American Resources Corporation disclosed in a Form 10-K Report filed with the U.S. Securities and Exchange Commission for the fiscal year ended December 31, 2023, that its auditor expressed that there is substantial doubt about the Company's ability to continue as a going concern. Lakewood, CO-based BF Borgers CPA PC, the Company's auditor since 2020, issued a "going concern" qualification in its report dated April 15, 2024, citing that the Company has suffered recurring losses from operations, has a significant accumulated deficit, and has continued to experience negative cash flows from operations. These factors raise substantial doubt about the Company's ability to continue as a going concern. The Company has incurred recurring losses and as of December 31, 2023, had an accumulated deficit of $178,694,329. For the year ending December 31, 2023, the Company sustained a net loss of $11,455,086, compared to a net loss of $1,445,672 for the same period in 2022. These factors, among others, raise substantial doubt about the Company's ability to continue as a going concern within the next 12 months. The Company's continuation as a going concern is contingent upon its ability to obtain additional financing and to generate revenue and cash flow to meet its obligations on a timely basis. The Company will continue to seek to raise additional funding through debt or equity financing during the next 12 months from the date of issuance of these financial statements. Management believes that actions presently being taken to obtain additional funding provide the opportunity for the Company to continue as a going concern. There is no guarantee the Company will be successful in achieving these objectives. As of December 31, 2023, the Company had $91,746,164 in total assets, $91,522,320 in total liabilities, and $223,844 in total stockholders' equity. A full-text copy of the Company's Form 10-K is available at https://tinyurl.com/yc4k793y About American Resources Corp American Resources Corporation operates through subsidiaries that were formed or acquired in 2020, 2019, 2018, 2016 and 2015 for the purpose of acquiring, rehabilitating and operating various natural resource assets including coal used in the steel making and industrial markets, critical and rare earth elements used in the electrification economy and aggregated metal and steel products used in the recycling industries. ARTIFICIAL INTELLIGENCE: Penetrates Further Into Healthcare Market ------------------------------------------------------------------ Robotic Assistance Devices, Inc. (RAD), a subsidiary of Artificial Intelligence Technology Solutions, Inc., has secured an initial order from a prominent healthcare provider ranked in the top 25 nationwide. The order is for multiple units of RAD's RIO 360 solar-powered security towers. The specifics of the order, including the number of units and financial details, have not been revealed, citing confidentiality agreements between the parties involved. This news signifies RAD's continued penetration into the healthcare market, showcasing the growing demand for its innovative security solutions within this sector. By deploying RIO 360 towers, healthcare providers can enhance their security measures and ensure the safety of their facilities, staff, and patients. "I am pleased that the healthcare industry is starting to take notice of what's going on at RAD," commented Steve Reinharz, CEO/CTO of AITX and RAD. This substantial order reaffirms our commitment to driving technological advancements that make a meaningful difference, and we look forward to further strengthening our presence in the healthcare market." The Company also noted that the client is expected to deploy RAD Light My Way, once the RIO units are deployed. RAD Light My Way is an integrated mobile app and hardware solution that empowers users by placing the control of their safety and security firmly in their own hands. With RAD Light My Way, users gain instant access to emergency services, real-time threat detection, and the ability to summon assistance swiftly through nearby RAD devices. Sitting atop a standard RIO 360 configuration are dual ROSA units. ROSA is a multiple award-winning, compact, self-contained, portable, security and communication solution that can be installed and activated in about 15 minutes. ROSA's AI-driven security analytics include human, firearm, vehicle detection, license plate recognition, responsive digital signage and audio messaging, and complete integration with RAD's software suite notification and autonomous response library. Two-way communication is optimized for cellular, including live video from ROSA's high-resolution, full-color, always-on cameras. RAD has published five Case Studies detailing how ROSA has helped eliminate instances of theft, trespassing and loitering at hospital campuses, multi-family communities, car rental locations, and construction sites across the country. AITX, through its subsidiary, Robotic Assistance Devices, Inc. (RAD), is redefining the $25 billion (US) security and guarding services industry through its broad lineup of innovative, AI-driven Solutions-as-a-Service business model. RAD solutions are specifically designed to provide cost savings to businesses of between 35%-80% when compared to the industry's existing and costly manned security guarding and monitoring model. RAD delivers these tremendous cost savings via a suite of stationary and mobile robotic solutions that complement, and at times, directly replace the need for human personnel in environments better suited for machines. All RAD technologies, AI-based analytics and software platforms are developed in-house. RAD has a prospective sales pipeline of over 35 Fortune 500 companies and numerous other client opportunities. RAD expects to continue to attract new business as it converts its existing sales opportunities into deployed clients generating a recurring revenue stream. Each Fortune 500 client has the potential of making numerous reorders over time. About Artificial Intelligence Technology Headquartered in Ferndale, MI, Artificial Intelligence Technology Solutions Inc. is an innovator in the delivery of artificial intelligence-based solutions that empower organizations to gain new insight, solve complex challenges and fuel new business ideas. Through its next-generation robotic product offerings, AITX's RAD, RAD-M and RAD-G companies help organizations streamline operations, increase ROI, and strengthen business. AITX technology improves the simplicity and economics of patrolling and guard services and allows experienced personnel to focus on more strategic tasks. Customers augment the capabilities of existing staff and gain higher levels of situational awareness, all at drastically reduced cost. AITX solutions are well-suited for use in multiple industries such as enterprises, government, transportation, critical infrastructure, education, and healthcare. Deer Park, Illinois-based L J Soldinger Associates, LLC, the Company's auditor since 2019, issued a "going concern" qualification in its report dated June 14, 2023, citing that the Company had a net loss of approximately $18 million, an accumulated deficit of approximately $112 million and stockholders' deficit of approximately $32 million as of and for the year ended February 28, 2023, and therefore there is substantial doubt about the ability of the Company to continue as a going concern. For the nine months ended Nov. 30, 2023, the Company had negative cash flow from operating activities of $9,378,427. As of Nov. 30, 2023, the Company has an accumulated deficit of $125,535,116, and negative working capital of $12,944,810. Management does not anticipate having positive cash flow from operations in the near future. The Company said these factors raise a substantial doubt about the Company's ability to continue as a going concern within the next 12 months. ASCENT RESOURCES: Moody's Ups CFR to Ba3 & Alters Outlook to Stable ------------------------------------------------------------------- Moody's Ratings upgraded Ascent Resources Utica Holdings, LLC's (Ascent) Corporate Family Rating to Ba3 from B1, Probability of Default Rating to Ba3-PD from B1-PD, and backed senior unsecured notes' ratings to B1 from B3. The outlook was changed to stable from positive. "The upgrade of Ascent's ratings reflects Moody's expectation for the company to use a meaningful portion of free cash flow to reduce debt and continue to build operating and financial resilience of the business," commented Jonathan Teitel, a Moody's Ratings Senior Analyst and Vice President. "It also considers the company's significant natural gas hedges which sustain cash margins and drive positive free cash flow during a period of weak natural gas prices." RATINGS RATIONALE The upgrade of Ascent's CFR to Ba3 reflects the expectation that the company will deliver some improvement in capital efficiency in 2024-25, reduce debt and strengthen operating and financial resilience of the business measured against Moody's medium term price range for Henry Hub natural gas. Governance considerations recognize the company's conservative financial policies that target debt reduction, as well as its successful track record of managing operating risks. Ascent's credit profile is supported by the company's large hedge book which sustains cash margins and support cash needs during a period of weak natural gas prices, provides cash flow visibility and mitigates risks from natural gas price volatility. A significant portion of the company's natural gas production for 2024 and 2025 is hedged and the company has hedges going out several years. Ascent's capital spending in 2024-25 is focused on a program that maintains production levels. Supported by hedges and a maintenance capital spending program, Moody's Ratings expects Ascent to generate solid positive free cash flow in 2024, sufficient to fund expected debt reduction and some shareholder distributions. The Ba3 rating is supported by the company's large-scale natural gas production and ample proved reserves and acreage, good economies of scale and a large quantity of drilling inventory. The company is concentrated in the Appalachia region, focusing on natural gas production in the Utica Shale, but also has inventory in the Marcellus Shale. The company has significant firm transportation commitments, providing flow assurance for its volumes but these could become burdensome if production drops. Moody's Ratings expects Ascent to maintain very good liquidity through 2025. Ascent has an RBL revolving credit facility (unrated) with $2 billion of elected commitments and a $3 billion borrowing base. As of December 31, 2023, the company had $765 million in borrowings outstanding on its revolver and $169 million in letters of credit issued under the facility. Ascent carries a minimal amount of cash on its balance sheet. The revolver matures in June 2027 but has a springing maturity to August 2026 if more than $150 million of the senior notes due November 2026 are outstanding in August 2026. The revolver has two financial covenants comprised of a maximum leverage ratio of 3.5x (net of up to $100 million of cash) and a minimum current ratio of 1x. Moody's Ratings expects Ascent to maintain compliance with these covenants through 2025. Ascent's senior unsecured notes are rated B1, one notch below the CFR, reflecting effective subordination to the large potential claims of the secured RBL revolver. The stable outlook reflects Moody's Ratings' expectation for Ascent to use a meaningful portion of free cash flow to reduce debt and to maintain solid credit metrics, with cash flow supported by significant natural gas hedges. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Factors that could lead to an upgrade include greater than expected debt reduction below $2 billion; maintenance of production and replacement of reserves while generating positive free cash flow; lower leverage and retained cash flow (RCF) to debt sustained above 40%; and managing shareholder returns within cash flow. Factors that could lead to a downgrade include deteriorating cash margins or capital returns; RCF/debt below 30%; deterioration of liquidity; or more aggressive financial policies. Ascent, headquartered in Oklahoma City, Oklahoma, is a privately owned independent exploration and production company focused on natural gas production in the Utica Shale in Ohio. The company was formed in 2013 by its private equity sponsors, primarily The Energy & Minerals Group and First Reserve Corporation. Riverstone became a sponsor in 2018 when Ascent closed on several acquisitions. During 2023, Ascent produced an average of 2.1 Bcfe/d (91% natural gas). The principal methodology used in these ratings was Independent Exploration and Production published in December 2022. ASPEN CHAPEL: Files Amendment to Disclosure Statement ----------------------------------------------------- The Aspen Chapel, Inc., submitted a First Amended Disclosure Statement describing First Amended Plan of Reorganization dated April 9, 2024. Under the terms of the Plan, post-confirmation, Debtor intends to obtain a $2 million loan to finance needed repairs and improvements to The Chapel, including the repairs identified in the McClain Report and additional improvements needed to secure new revenue streams to make The Chapel financially sustainable. The Plan allows both AJC and the ACC to continue to use The Chapel according to the terms set forth in the Plan. Debtor intends to pay the post-confirmation loan from user fees to be paid by the AJC and the ACC, and from new revenue generated from charitable gifts and grants; new user groups; special events such as weddings, memorials and baptisms; and concerts and other cultural events to be held at The Chapel. The Debtor envisions The Chapel as a "community campus" that would adapt the building to better meet the changing needs of the community for sacred spaces as well as points of gathering and connection. The Chapel's prominent location at the Aspen roundabout, its proximity to Aspen schools and bus routes, and its ample parking lot, uniquely positions The Chapel to realize its plan for the future. Following Plan confirmation, Debtor intends to continue to operate The Chapel as an independent sacred space serving the Roaring Fork Valley, consistent with the founder's vision of inclusiveness and community unity. The Chapel will continue to house both the ACC and AJC consistent with their past usage in exchange for monthly User Fees as provided in the Plan. Like in the prior iteration of the Plan, Class Three consists of all other allowed unsecured creditor claims, including ACC's Claim Nos. 2 & 3. It appears Claim No. 3 is duplicative of Claim No. 2 and, unless withdrawn, within 90 days of the Effective Date, Debtor intends to object to Claim No. 3. Claim No. 2 seeks repayment of $89,074 related to ACC's sole funding of The Chapel's roof replacement in 2020. Debtor collected these funds from AJC post-Petition and the funds have been held in a segregated account since then. Debtor will offset against any amount allowed to the ACC on its claims for amounts the ACC then owes to the Debtor. Projected through December 1, 2024, following Plan confirmation, the ACC will owe Debtor $77,525 in past due contributions to the Repairs and Replacement Reserves Fund leaving a balance due to the ACC of $11,547. All of the remaining unsecured claims will be paid in full on the Effective Date with the exception of Alpenglow Foundation and Potamkin HY Palmetto, LLC, totaling $40,000. These claims relate to Administrative Expenses incurred by Debtor and financed by claimants with unsecured demand promissory notes. Those notes (together with post-petition demand notes issued by Debtor and held by the same two entities and projected to total $400,000 at the Effective Date) will be converted to revolving term notes and paid in full, as detailed in the Plan. All of these additional Class Three claimants are unimpaired. The Debtor has obtained a loan commitment from 16 private lenders who collectively have agreed to loan Debtor $2 million on the Effective Date. The Loan will be used to fund repairs needed to maintain The Chapel in the condition it was in in 1989, according to current building code requirements and construction standards. Loan proceeds will also improve The Chapel to comply with all current state and federal regulations, including ADA compliance, and to remodel the existing kitchen, bathrooms, and gallery/community room spaces and otherwise prepare The Chapel as a desirable special event facility. The Loan will be secured by a deed of trust on The Chapel's property, and will accrue interest at 8% per annum, until paid in full. The term of the Loan is ten years and there is no prepayment penalty. The Debtor's Plan will allow The Chapel to continue to serve the Roaring Fork Valley fulfilling the founder's vision of a gathering place for inter-spiritual dialogue and community unity. The Plan provides payment in full to all Debtor's creditors, and provides the AJC the possessory rights it claims pursuant to its Claim No. 4. A full-text copy of the First Amended Disclosure Statement dated April 9, 2024 is available at https://urlcurt.com/u?l=6HcKVp from PacerMonitor.com at no charge. Attorneys for the Debtor: Jeffrey A. Weinman, Esq. ALLEN VELLONE WOLF HELFRICH & FACTOR, P.C. 1600 Stout Street, 1900 Denver, CO 80202 Tel: 303-534-4499 Email: jweinman@allen-vellone.com About The Aspen Chapel The Aspen Chapel, doing business as Aspen Chapel of the Prince of Peace, sought Chapter 11 bankruptcy protection (Bankr. D. Colo. Case No. 22-11531) on May 3, 2022. In the petition filed by Virginia C. Newton, as chair of the Board of Trustees, The Aspen Chapel listed up to $10 million in assets and up to $500,000 in liabilities. The case is assigned to Judge Michael E. Romero. Jeffrey Weinman, Esq., at Allen Vellone Wolf Helfrich & Factor PC and Foster Graham Milstein & Calisher, LLP serve as the Debtor's bankruptcy counsel and special counsel, respectively. ATLAS PURCHASER: Moody's Alters Outlook on 'Caa1' CFR to Negative ----------------------------------------------------------------- Moody's Ratings affirmed Atlas Purchaser, Inc.'s (Alvaria) Corporate Family Rating of Caa1. Moody's Ratings affirmed and appended a limited default (/LD) designation to Alvaria's Caa1-PD Probability of Default Rating. Concurrently, Moody's Ratings assigned the following ratings at Alvaria Holdco (Cayman): Backed Senior Secured Bank Credit Facility (1st out) at B2, Backed Senior Secured Bank Credit Facility (2nd out) at Caa1, Backed Senior Secured Bank Credit Facility (3rd out) at Caa3, and Backed Senior Secured Bank Credit Facility (4th out) at Caa3. The outlook on Atlas Purchaser, Inc. changed to negative from stable and for Alvaria Holdco (Cayman) was assigned negative. The /LD designation to the PDR reflects that Moody's Ratings views the debt exchange transactions as a distressed exchange (DE). A distressed exchange is considered a form of default under Moody's Ratings' criteria. Alvaria also entered into a new credit agreement on March 20, 2024 and amended it on March 29, 2024 to reflect phase I and phase II of the debt exchange. The "/LD" designation will be removed in approximately three business days. Under the agreements, the first lien and second lien lenders received 90-93.5 cents and 80 cents on the dollar, respectively, on their then outstanding debt. The following debt exchange and new transactions took place: 1. New Money $78 million term loan (split in two tranches) due May 2028 which will have a first lien/first-out payment priority. 2. $595 million first lien term loan has been exchanged into $424 million second out term loan due May 2028 and $135 million third out tranche A term loan due May 2028. 3. $250 million second lien term loan has been exchanged into $154 million third out tranche B term loan due May 2028 and $46 million fourth out term loan due May 2028. 4. The $75 million revolving credit facility lenders rolled their commitments into a $75 million second out revolver which will be subordinate to the $78 million New Money term loan and pari passu to the $424 million second out term loan. The revolver will expire in May 2027. The negative outlook reflects Moody's Ratings' expectation of continued operating challenges and pressured cash flow generation in the next 12-18 months. It also considers that although Alvaria's near term liquidity position is supported by new money, temporary PIK features, and a covenant holiday; once these factors subside there is risk of another default. There continues to be uncertainty around the inflection point of Alvaria's bookings and sales declines. Moody's Ratings expects Alvaria's leverage to be in the 10x range in the next 12-18 months. RATINGS RATIONALE Alvaria's Caa1 CFR reflects the company's high debt/EBITDA of roughly 7.5x as of September 30, 2023 PF for the restructuring (with the expectation to reach above 10x in the next two years due to rising PIK debt and operating performance) and the challenges of operating within the competitive call center industry. Long term success will depend on Alvaria's ability to migrate existing users to the cloud while competing against much larger and better capitalized competitors, including Nice, Genesys, Cisco and Verint. Alvaria's aggressive financial policy under controlled ownership and a history of debt exchange constrain the credit profile. Moody's Ratings expects negative FCF through 2024 resulting from high interest costs, declining sales, and the lingering impacts of a security breach earlier in the year. Alvaria benefits from its solid niche positions within the call center infrastructure and workforce optimization software industries. The company has significantly restructured its operations over the last few years. However, business challenges inclusive of a challenged macroeconomic environment (leading to enterprise scrutiny of IT spend), high interest rates, integration actions, weakness in the contact center space, and a cyber incident have pressured Alvaria's operating performance and liquidity. Although Alvaria has been managing its costs to retain EBITDA margins, these actions have not been enough to fully offset the cash outflows caused by the challenges facing the company. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if Moody's Ratings expects Alvaria to generate sustained positive free cash flow by managing its cost structure or producing sales and profitability growth. The ratings could be downgraded if sales and earnings will likely continue to decline for an extended period of time, or if Alvaria's liquidity position further deteriorates. The principal methodology used in these ratings was Software published in June 2022. Alvaria, headquartered in Atlanta, GA, was founded through the merger of Aspect Software, Inc. and Noble Systems Corporation in May 2021. The company is a provider of call center (CC) software and workforce optimization (WFO) solutions to more than 1,800 enterprise customers located primarily in North America. The company is majority owned by private equity firm Abry Partners following the May 2021 LBO. Private equity firm Vector Capital, Aspect Software, Inc.'s previous majority owner, and management own the remaining equity. Revenue was approximately $314 million in 2023. AUSTIN GRADY: Mark Dennis of SL Biggs Named Subchapter V Trustee ---------------------------------------------------------------- The U.S. Trustee for Region 11 appointed Mark Dennis, a certified public accountant at SL Biggs, as Subchapter V trustee for Austin Grady Builders, LLC. Mr. Dennis will be paid an hourly fee of $400 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Dennis declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Mark D. Dennis, CPA SL Biggs, A Division of SingerLewak, LLP 2000 S. Colorado Blvd., Tower 2, Ste. 200 Denver, CO 80222 Phone: 303-226-5471 Email: mdennis@slbiggs.com About Austin Grady Builders Austin Grady Builders, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Colo. Case No. 24-11698) on April 8, 2024, with $50,001 to $100,000 in assets and $500,001 to $1 million in liabilities. Judge Joseph G. Rosania Jr. presides over the case. Keri L. Riley, Esq., at Kutner Brinen Dickey Riley, P.C. represents the Debtor as legal counsel. AUSTIN GRADY: Seeks to Hire Kutner Brinen as Bankruptcy Counsel --------------------------------------------------------------- Austin Grady Builders, LLC seeks approval from the U.S. Bankruptcy Court for the District of Colorado to hire Kutner Brinen Dickey Riley, P.C. as its bankruptcy counsel. The firm will render these services: (a) advise the Debtor with respect to its powers and duties; (b) aid the Debtor in the development of a plan of reorganization under Chapter 11; (c) file the necessary petitions, pleadings, reports, and actions that may be required in the continued administration of the Debtor's property under Chapter 11; (d) take necessary actions to enjoin and stay until a final decree herein the continuation of pending proceedings and to enjoin and stay until a final decree herein the commencement of lien foreclosure proceedings and all matters as may be provided under 11 U.S.C. Sec. 362; and (e) perform all other legal services for the Debtor that may be necessary. The hourly rates of the firm's counsel and staff are as follows: Jeffrey S. Brinen $515 Jonathan M. Dickey $375 Keri L. Riley $375 The firm received a retainer in the amount of $16,662 from the Debtor. Keri Riley, Esq., an attorney at Kutner Brinen Dickey Riley, disclosed in a court filing that the firm is a "disinterested person" as defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Keri L. Riley, Esq. Kutner Brinen Dickey Riley, PC 1660 Lincoln Street, Suite 1720 Denver, CO 80264 Telephone: (303) 832-2400 Email: klr@kutnerlaw.com About Austin Grady Builders Austin Grady Builders, LLC sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Colo. Case No. 24-11698) on April 8, 2024, listing $50,001 to $100,000 in assets and $500,001 to $1 million in liabilities. Judge Joseph G Rosania Jr presides over the case. Keri L. Riley, Esq. at Kutner Brinen Dickey Riley, P.C. represents the Debtor as counsel. AVALON GLOBOCARE: Marcum LLP Raises Going Concern Doubt ------------------------------------------------------- Avalon GloboCare Corp. disclosed in a Form 10-K Report filed with the U.S. Securities and Exchange Commission for the fiscal year ended December 31, 2023, that its auditor expressed that there is substantial doubt about the Company's ability to continue as a going concern. Costa Mesa, California-based Marcum LLP, the Company's auditor since 2019, issued a "going concern" qualification in its report dated April 15, 2024, citing that the Company has a significant working capital deficiency, has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. The Company had a working capital deficit of approximately $5,912,000 at December 31, 2023 and had incurred recurring net losses and generated negative cash flow from operating activities of approximately $16,707,000 and $6,505,000 for the year ended December 31, 2023, respectively. The Company has a limited operating history and its continued growth is dependent upon the continuation of generating rental revenue from its income-producing real estate property in New Jersey and income from equity method investment through its 40% interest in Lab Services MSO and obtaining additional financing to fund future obligations and pay liabilities arising from normal business operations. In addition, the current cash balance cannot be projected to cover the operating expenses for the next 12 months from the release date of this report. These matters raise substantial doubt about the Company's ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company's ability to raise additional capital, implement its business plan, and generate significant revenues. There are no assurances that the Company will be successful in its efforts to generate significant revenues, maintain sufficient cash balance or report profitable operations or to continue as a going concern. The Company plans on raising capital through the sale of equity to implement its business plan. However, there is no assurance these plans will be realized and that any additional financings will be available to the Company on satisfactory terms and conditions, if any. As of December 31, 2023, the Company had $20,582,536 in total assets, $13,213,760 in total liabilities, and $7,368,776 in total equity. A full-text copy of the Company's Form 10-K is available at https://tinyurl.com/wzprrz2w About Avalon GloboCare Corp. Avalon GloboCare Corp. is dedicated to developing and delivering innovative, transformative, precision diagnostics and clinical laboratory services. Our main strategy is to acquire ownership or license rights in precision diagnostic assets, genetic testing and clinical laboratory companies through joint ventures, share ownership structures or distribution rights. We plan to play a leading role in the innovation of diagnostic testing, utilizing proprietary technology to deliver precise, genetics-driven results. AZALEA TOPCO: S&P Alters Outlook to Stable, Affirms 'B-' ICR ------------------------------------------------------------ S&P Global Ratings revised the outlook on Azalea TopCo Inc. (doing business as PG Forsta; PGF) to stable from negative and affirmed the 'B-' issuer credit rating on the company. S&P said, "At the same time, we assigned our 'B-' issue-level rating and '3' recovery rating to the proposed first-lien debt. The '3' recovery rating indicates our expectation of meaningful (50%-70%; rounded estimate: 55%) recovery in the event of a payment default. "The stable outlook reflects our belief that PGF can sustain mid-single-digit percent organic revenue growth or higher, show incremental margin improvement through operating leverage and efficiencies, and generate $15 million-$25 million of free cash flow in 2024, improving further in 2025. In this scenario we expect PGF to maintain leverage above 10x with only modest deleveraging as the preferred PIK feature largely offsets EBITDA growth." PGF has announced plans to issue a new $1.825 billion first-lien term loan maturing in 2031 and $990 million of payment-in-kind (PIK) preferred equity to refinance its existing first- and second-lien term loans, amounts outstanding under its current revolving credit facility (RCF), and existing PIK preferred equity. S&P said, "PGF's proposed transaction improves our view of cash flow generation but also limits ratings upside. PGF plans to issue a new $1.825 billion first-lien term loan due 2031 along with $990 million of PIK preferred equity. The company will use the proceeds to refinance the existing first- and second-lien debt, repay about $95 million outstanding under its RCF, and redeem existing preferred equity. We treat the new preferred equity as akin to debt in our analysis of the capital structure, leading us to view this transaction as largely leverage neutral. "However, the new capital structure reduces PGF's interest burden by about $35 million-$45 million on a pro forma basis in 2024, providing a tailwind to the company's cash flow generation. We now expect PGF to generate positive free operating cash flow (FOCF) of $15 million-$25 million compared to our prior expectation of break-even for 2024. Although our view of cash flow and liquidity improved, we believe the company is highly incentivized to redeem the relatively large PIK preferred equity tranche, possibly with debt that bears cash interest (absent a more transformative transaction). Before considering a higher rating, we would need to expect a higher level of cash flow and a lower level of leverage to absorb this potential higher cash interest burden. "We believe PGF is positioned well to sustain at least mid-single-digit percent revenue growth and improve margins. We expect PGF to generate organic top-line growth of about 4.5%-5.0% in 2024 and 5.5%-6.0% in 2025. We attribute much of this growth to its ability to sell into its already robust installed base of health care customers while also benefiting from annual contracted price increases. However, a portion of our revenue forecast is based on historical performance, which offers some uncertainty in new growth areas. "That said, we believe the high-value nature of the PGF's offering to its customers and relatively low price point places the company in a good position to continue penetrating its robust customer base. Over the years, PGF has built on its tech stack through mergers and acquisitions (M&A) and internal investments. In our opinion, this provides solid runway for bundled offerings and up-sell opportunities, particularly as health care providers, PGF's core customer base, start to improve margins with the return of higher-margin elective procedures, and as labor pressures slowly ease. "We understand that 2023 was a year focused on integration and consolidation, and 2024 should begin to see some of those added costs subside. In addition, the improved flexibility on cash flow and liquidity the proposed transaction provides will likely allow PGF to become more acquisitive and increase internal investments in 2024 and beyond. Although the extent to which these items will contribute to further growth is still uncertain, they could provide additional tailwinds going forward. "The incremental costs for an additional product sale into an existing customer is low, providing operating leverage which we expect will support EBITDA margin improvement. The company also continues to benefit from product enhancements that improve overall efficiency, an ongoing shift among its customers to a digital platform (away from paper surveys), and some additional synergies from the Forsta acquisition to be realized in 2024. Overall, we expect solid growth prospects, incremental margin improvements, and a lower interest burden all to contribute to positive FOCF in 2024, improving further in 2025 and beyond as we expect a lower interest rate environment. "Our rating continues to reflect PGF's leading market position in its core health care business, subscription nature of its business, long-standing client relationships, and strong market share. PGF has been the largest player in the patient experience market for many years, which highlights the importance of its real-time measurement's actionable improvement opportunities. Its business strength also reflects the main health care survey product's above-average EBITDA margins, strong brand awareness, high client retention rates (about 98%), good revenue visibility from multiyear contracts, and a diverse customer base with no single client accounting for more than 3% of total revenue. We believe PGF's main competitive advantage is its proprietary health care provider survey data extending over 30 years. The extensive data allows for deeper analysis over time to provide more actionable insights than competitors. Over time, we believe competitors could erode this advantage, highlighting the importance of PGF's diversification and cross-selling strategy. "The stable outlook reflects our belief that PGF can sustain mid- to high-single-digit percent organic revenue growth, show incremental margin improvement through operating leverage and efficiencies, and generate $15 million-$25 million of free cash flow in 2024, improving further in 2025. In this scenario we expect PGF to maintain leverage above 10x with only modest deleveraging as the preferred PIK feature largely offsets EBITDA growth. "We could lower our rating on PGF if the company is unable to generate sufficient cash flow to cover its fixed charges, including debt amortization, on a sustained basis. This could occur due to continued margin pressure on its customer base, leading to significant client losses or a loss of market share stemming from new entrants or other large tech-enabled players in the health care space." Although unlikely over the next 12 months, we could consider a higher rating if: -- Adjusted free cash flow to debt is sustained above 3% (assuming the PIK preferred equity dividend is paid in cash), which translates to free cash flow to debt (assuming the PIK preferred equity dividend is paid in kind) of about 7.5%. -- Adjusted leverage (including PIK preferred shares) is sustained below 6.0x. S&P said, "Governance factors are a moderately negative consideration in our credit rating analysis of PGF. Our highly leveraged assessment of the company's financial risk profile reflects that its corporate decision-making prioritizes the interests of its controlling owners, which is in line with our view of the majority of rated entities owned by private-equity sponsors. Our assessment also reflects private-equity owners' generally finite holding periods and focus on maximizing shareholder returns." BABY BLUE: Salvatore LaMonica Named Subchapter V Trustee -------------------------------------------------------- The U.S. Trustee for Region 2 appointed Salvatore LaMonica, Esq., at LaMonica Herbst & Maniscalco, LLP, as Subchapter V trustee for Baby Blue of Junction, LLC. Mr. LaMonica will be paid an hourly fee of $725 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. LaMonica declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Salvatore LaMonica, Esq. LaMonica Herbst & Maniscalco, LLP 3305 Jerusalem Avenue, Suite 201 Wantagh, NY 11793 Phone: 516-826-6500 Email: sl@lhmlawfirm.com About Baby Blue of Junction Baby Blue of Junction, LLC filed a voluntary petition for relief under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 22-40551) on March 21, 2022, with as much as $1 million in both assets and liabilities. Salvatore LaMonica, Esq., serves as Subchapter V trustee. Judge Elizabeth S. Stong oversees the case. Michael A. King, Esq., serves as the Debtor's bankruptcy counsel. BCPE EMPIRE: S&P Alters Outlook to Positive, Affirms 'B-' ICR ------------------------------------------------------------- S&P Global Ratings affirmed all our ratings on distributor of foodservice packaging and facilities maintenance supplies BCPE Empire Holdings Inc. (d/b/a Imperial Dade), including the 'B-' issuer credit rating. S&P revised its outlook to positive from stable, reflecting the possibility of an upgrade if credit measures improve at least in line with our forecast and the company continues to demonstrate good cash generation and deleveraging. Imperial Dade's rapidly expanding market position follows its successful tuck-in acquisition strategy, which is driving stronger earnings and cash generation. The company increased its revenue base by about 150% between 2021 and 2023, enhancing its market share in the highly fragmented janitorial-sanitation (jan-san) and food service packaging (FSP) distribution industry. It now operates across most U.S. states and Canada, reflecting reduced regional concentration along with a well-diversified customer base. Over the past few years, Imperial has demonstrated a track record of successfully integrating acquisitions. The company made 19 acquisitions in 2023 and has already completed several more this year. S&P said, "We expect ongoing tuck-in acquisitions that continue to expand its geographic reach over time and believe integration risk is limited. Its larger size should strengthen bargaining power with suppliers while its operating efficiency benefits from higher revenue on fixed costs and greater route density. We revised our business risk assessment to fair from weak, reflecting its meaningful growth and our view that it can expand profit margins." The positive outlook reflects the possibility of an upgrade if Imperial Dade demonstrates consistent profit margin expansion as it realized benefits of its investments, with moderating costs related to facility consolidations and supersite developments. This should drive deleveraging and increasing FOCF generation. S&P could raise its ratings on Imperial Dade if earnings growth and moderated capex lead to: -- S&P Global Ratings'-adjusted debt to EBTIDA approaching 7.5x and S&P believes leveraging transactions above this level are unlikely; and -- FOCF to debt approaching the mid-single-digit percent area. S&P could revise its outlook to stable if it believes: -- S&P Global Ratings'-adjusted debt to EBTIDA will be sustained above 7.5x; or -- FOCF to debt will be sustained in the low-single-digit percent area or lower. Governance is a moderately negative consideration, as is the case for most rated entities owned by private-equity sponsors. S&P believes the company's highly leveraged financial risk profile points to corporate decision-making that prioritizes the interest of the controlling owners. This also reflects the generally finite holding periods and a focus on maximizing shareholder returns. BENARK LLC: Seeks to Hire Center City Law as Bankruptcy Counsel --------------------------------------------------------------- Benark, LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Pennsylvania to hire Center City Law Offices, LLC as its counsel. The firm's services include: a) preparing papers required to be filed in connection with this bankruptcy proceeding including all schedules, statement of financial affairs, lists of creditors, review of operating reports and other papers; b) giving the Debtor legal advice with respect to the powers and duties as debtors in possession; c) representing the Debtor at its initial debtor interview, its first meeting of creditors, all status hearings; confirmation hearings and any Rule 2004 examinations; d) preparing on behalf of the debtor in possession, all necessary applications, answers, complaints, motions, orders, reports and all legal papers; and e) performing all other legal services for the Debtor as Debtor in Possession as may be required and necessary concerning the continued administration of this case including the preparation of the disclosure statement, if necessary, disposable income test and plan of reorganization. The firm will charge $300 per hour for services rendered by its principal. The Debtor paid a retainer fee of $5,000 to the law firm. Maggie S. Soboleski, sole proprietor of the firm, disclosed in a court filing that she is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Maggie S. Soboleski, Esq. CENTER CITY LAW OFFICES, LLC 2705 Bainbridge Street Philadelphia, PA 19107 Tel: (215) 620-2132 Email: msoboles@yahoo.com About Benark LLC Benark, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Pa. Case No. 24-11112) on April 1, 2024, with up to $50,000 in assets and up to $500,000 in liabilities. Judge Ashely M. Chan presides over the case. Maggie S. Soboleski, Esq., at Center City Law Offices LLC represents the Debtor as bankruptcy counsel. BLUM HOLDINGS: Marcum LLP Raises Going Concern Doubt ---------------------------------------------------- Blum Holdings, Inc. disclosed in a Form 10-K Report filed with the U.S. Securities and Exchange Commission for the fiscal year ended December 31, 2023, that its auditor expressed that there is substantial doubt about the Company's ability to continue as a going concern. Costa Mesa, California-based Marcum LLP, the Company's auditor since 2018, issued a "going concern" qualification in its report dated April 15, 2024, citing that the Company has a significant working capital deficiency, has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. The Company incurred a pre-tax net loss from continuing operations of $9.7 million and $186.69 million for the years ended December 31, 2023 and 2022, respectively, and had an accumulated deficit of $454.18 million and $440.05 million as of December 31, 2023 and 2022, respectively. At December 31, 2023, the Company had a consolidated cash balance of $0.86 million. Management expects to experience further net losses in 2024 and in the foreseeable future. The Company may not be able to generate sufficient cash from operating activities to fund its ongoing operations. The Company's future success is dependent upon its ability to achieve profitable operations and generate cash from operating activities. There is no guarantee that the Company will be able to generate enough revenue or raise capital to support its operations. As of December 31, 2023, the Company had $32.1 million in total assets, $77.8 million in total liabilities, and $45.7 million in total stockholders' deficit. A full-text copy of the Company's Form 10-K is available at https://tinyurl.com/yv34prwp About Blum Holdings Inc. Blum Holdings, Inc. is a cannabis company with operations in retail and distribution throughout California, with an emphasis on providing the highest quality of medical and adult use cannabis products. The Company is home to Korova, a brand of high potency products across multiple product categories, currently available in California. The Company operates Blum OC, a premier cannabis dispensary in Orange County, California. The Company also owns dispensaries in California which operate as The Spot in Santa Ana, Blum in Oakland, and Blum in San Leandro. BOISE CASCADE: S&P Upgrades ICR to 'BB', Outlook Stable ------------------------------------------------------- S&P Global Ratings raised its issuer credit rating on Boise Cascade Co. to 'BB' from 'BB-' and at the same time, S&P raised its issue-level rating on the company's senior unsecured notes to 'BB' from 'BB-' concurrent with the upgrade. The recovery rating is '3'. The stable outlook reflects S&P's view that the company's credit measures contain a sufficient cushion, even if less-favorable business conditions lead to some earnings compression. S&P said, "We expect leverage to remain below 1x in 2024 and 2025 despite declines in EBITDA. We expect the company's primary new residential construction and repair and remodel (R&R) end markets to remain soft, with normalized commodity woods prices to persist through 2025. As a result, we expect EBITDA to decline about 5%-10% in 2024. However, we expect leverage will remain below 1x as the company continues to maintain low debt balances and ample liquidity to meet its near-term needs." Boise Cascade's conservative financial policies should support low leverage even during weaker macroeconomic performance and earnings volatility. In 2023, the company's revenues declined 18.5% from 2022. Despite that, leverage remained below 1x, which is well below our downside trigger of 3x . Leverage has remained below 1x since 2021 following record earnings, primarily driven by extreme inflation. S&P said, "As such, we believe the company has demonstrated a financial policy that supports a higher rating with adequate cushion on metrics and management of excess cash through dividends and investments in growth strategies. That said, the company typically returns more than one third of free operating cash to shareholders in the form of dividends. Given these outflows, we wouldn't expect leverage to remain below 1.5x through a moderate cyclical downturn." S&P said, "Our assessment of BCC's competitive position is based on its vertical integration and margin accretive product mix, which somewhat offsets the inherent volatility from pricing and demand. We anticipate EBITDA margins will remain in the 10%-11% through 2024 and 2025, an improvement from margins below 5% pre-pandemic. The company's growth strategy focuses on expanding margin accretive product mix across the business, including engineered wood products which generate favorable margins compared to commoditized products such as oriented strand board, plywood, and lumber. The company additionally captures margin and competitive advantage through intersegmental sales, which has increased more than 65% since 2019. "The stable outlook reflects our expectation the company will maintain adjusted leverage below 2x over the next 12 months. We expect the company to maintain these credit measures even amid a tougher macroeconomic and operating environment. "We could lower our ratings on Boise Cascade Co. over the next 12 months if S&P Global Ratings-adjusted debt to EBITDA approached 3x." This could occur if: -- There is a severe downturn that drastically decreases demand for the company's products that we expect will be sustained; or -- Management maintains an aggressive financial policy, including pursuing large debt-financed acquisitions and dividends that weaken credit measures. S&P views another upgrade as highly unlikely within the next 12 months; however, S&P could raise the rating if: -- The company improves its product and end-market diversity to reduce volatility in earnings; and -- The company continues to maintain credit metrics with leverage below 1.5x. BOWFLEX INC: Court Approves Johnson Health Purchase Agreement ------------------------------------------------------------- BowFlex Inc. on April 15, 2024, disclosed that the U.S. Bankruptcy Court for the District of New Jersey entered an order approving the sale of the Acquired Assets pursuant to the terms of the previously announced Stalking Horse Asset Purchase Agreement with Johnson Health Tech Retail, Inc. Pursuant to the terms of the Purchase Agreement, Johnson Health Tech has agreed to acquire substantially all of the Company's assets for $37,500,000 in cash, less certain adjustments. "We are pleased that the Court has approved this transaction with Johnson Health Tech," said Jim Barr, BowFlex Inc. Chief Executive Officer. "Johnson Health Tech is among the world's largest and fastest-growing fitness equipment manufacturers and home to some of the most respected brands in the fitness industry, making them the right organization to lead BowFlex into its next chapter." The transaction remains subject to customary closing conditions and is expected to close on or around April 22, 2024. Additional information about the asset sale and court-supervised process is available online at https://dm.epiq11.com/Bowflex, or by contacting the Company's Claims Agent, Epiq, at BowflexInc@epiqglobal.com or by calling toll-free at (888) 311-7005 or +1 (971) 328-4573 for calls originating outside of the U.S. Sidley Austin LLP and Holland & Hart LLP are serving as legal advisors to BowFlex. FTI Consulting, Inc. and FTI Capital Advisors LLC have been retained as financial advisor and investment banker to BowFlex to manage the sale process. About Bowflex Inc. BowFlex, Inc., together with its affiliates, is an international developer, distributor, and manufacturer of health and fitness products sold under several marquee fitness brands across international markets. The company is headquartered in Vancouver, Wash. BowFlex and BowFlex New Jersey, LLC concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.N.J. Lead Case No. 24-12364) on March 4, 2024. Jim Barr, chief executive officer, signed the petitions. At the time of the filing, BowFlex reported $50 million to $100 million in both assets and liabilities while BowFlex New Jersey reported as much as $50,000 in both assets and liabilities. Judge Andrew B Altenburg Jr. presides over the cases. The Debtors tapped Fox Rothschild, LLP and Sidley Austin, LLP as bankruptcy counsels, and Epiq Corporate Restructuring, LLC as claims agent. The U.S. Trustee for Regions 3 and 9 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. The committee is represented by James S. Carr, Esq. C.L. DALE: Seeks to Hire Farthing Legal PC as Counsel ----------------------------------------------------- C.L. Dale Construction Services, LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Virginia to employ Farthing Legal, PC as counsel. The firm will provide these services: a. take all necessary action to protect and preserve the estate of the Debtor, including the prosecution of actions on the Debtor's behalf, the defense of any actions commenced against the Debtor, the negotiation disputes in which the Debtor is involved and the preparation and objections to claims filed against the Debtor's estate; b. prepare on behalf of the Debtor, as Debtor in Possession, all necessary motions, applications, answers, orders, reports and other papers in connection with the administration of the Debtor's estate; c. negotiate and prepare, on behalf of the Debtor, a plan of reorganization and all related documents; and d. perform all other necessary legal services in connection with the prosecution of the Chapter 11 case. The firm will be paid as follows: Scot S. Farthing, Esq. $400 per hour Robert Copeland, Esq. $200 per hour Associates $200 per hour Paraprofessionals $75 per hour The Debtor paid the firm an advance fee of $15,000 as retainer. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Scot Farthing, Esq., a partner at Farthing Legal, disclosed in a court filing that his firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Scot Farthing, Esq. Farthing Legal, PC 490 West Monroe St. Wytheville VA 24382 Tel: (276) 625-0222 Email: scotf@sfarthinglaw.com About C.L. Dale Construction Services, LLC C.L. Dale Construction Services, LLC, filed a Chapter 11 bankruptcy petition (Bankr. W.D. Va. Case No. 24-70240) on April 3, 2024. The Debtor hires Farthing Legal, PC as counsel. CAN B CORP: Reports $9.7 Million Net Loss in 2023 ------------------------------------------------- Can B Corp. filed with the Securities and Exchange Commission its Annual Report on Form 10-K reporting a net loss of $9.74 million on $2.16 million of total revenues for the year ended Dec. 31, 2023, compared to a net loss of $14.92 million on $6.68 million of total revenues for the year ended Dec. 31, 2022. As of Dec. 31, 2023, the Company had $10.13 million in total assets, $11.13 million in total liabilities, and a total stockholders' deficit of $1 million. As of Dec. 31, 2023, the Company had cash and cash equivalents of $34,006 and negative working capital of $5,747,103. Cash and cash equivalents decreased $31,519 compared to Dec. 31, 2022. For the year ended Dec. 31, 2023, $1,349,938 was provided by financing activities, and $1,311,838 was used in operating activities. The Company currently has no agreements, arrangements, or understandings with any person to obtain funds through bank loans, lines of credit or any other sources. The Company currently has no commitments with any person for any capital expenditures. Lakewood, CO-based BF Borgers CPA PC, the Company's auditor since 2021, issued a "going concern" qualification in its report dated April 15, 2024, citing that the Company's significant operating losses raise substantial doubt about its ability to continue as a going concern. A full-text copy of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/0001509957/000149315224014686/form10-k.htm About Can B Corp Headquartered in Hicksville New York, Can B Corp (f/k/a Canbiola, Inc.) -- http://www.canbiola.com-- is in the business of promoting health and wellness through its development, manufacture and sale of products containing cannabinoids derived from hemp biomass and the licensing of durable medical devices. Can B's products include oils, creams, moisturizers, isolate, gel caps, spa products, and concentrates and lifestyle products. The Company develops its own line of proprietary products as well seeks synergistic value through acquisitions in the hemp industry. It aims to be the premier provider of the highest quality hemp derived products on the market through sourcing the best raw material and offering a variety of products it believes will improve people's lives in a variety of areas. CANO HEALTH: Ceases Ownership of MSP Recovery's Class A Shares -------------------------------------------------------------- Cano Health, Inc. disclosed in a Schedule 13D/A Report filed with the U.S. Securities and Exchange Commission that as of April 2, 2024, they ceased to beneficially own shares of MSP Recovery's Class A Common Stock. About Cano Health Inc. Cano Health, Inc., and its affiliates are an independent primary care physician group. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-10164) on February 4, 2024. In the petitions signed by Mark Kent, authorized signatory, the Debtors disclosed $1,211,931,000 in assets and $1,471,032,000 in liabilities. Judge Karen B. Owens oversees the cases. The Debtors tapped Richards, Layton & Finger, P.A. and Weil, Gotshal & Manges, LLP as bankruptcy counsels; Quinn Emanuel Urquhart & Sullivan, LLP as special counsel; Houlihan Lokey, Inc. as investment banker; and AlixPartners, LLP as financial advisor. Kurtzman Carson Consultants, LLC is the claims, notice and solicitation agent. Gibson, Dunn & Crutcher, LLP and Pachulski, Stang, Ziehl & Jones, LLP represent the ad hoc first lien group while ArentFox Schiff, LLP represents Wilmington Savings Fund Society, FSB, the DIP agent. Credit Suisse AG, Cayman Islands Branch, serves as administrative agent and collateral agent, under the Credit Agreement. Freshfields Bruckhaus Deringer US, LLP is counsel to the agent. JPMorgan Chase Bank, N.A., serves as administrative agent and collateral agent under the Side-Car Credit Agreement. It is represented by Proskauer Rose, LLP. CASA SYSTEMS: U.S. Trustee Appoints Creditors' Committee -------------------------------------------------------- The U.S. Trustee for Region 3 appointed an official committee to represent unsecured creditors in the Chapter 11 cases of Casa Systems, Inc. and its affiliates. The committee members are: 1. Avnet, Inc. Attn: Dennis Losik 2000 West Center Drive, Suite B401 Bell Works Chicagoland Hoffman Estates, IL 60192 Phone: 847-396-7401 Email: dennis.losik@avnet.com 2. Sanmina Corporation Attn: Brian Wszolek 2700 North First Street San Jose, CA 95134 Phone: 256-882-4937 Email: brian.wszolek@sanmina.com 3. Illinois Valley Cellular, LLC Attn: Daniel E. Hopkins 295 East Swedesford Road Wayne, PA 19087 Phone: 610-517-8690 Email: dhopkins@cellonenation.com 4. T-Mobile US Inc. Attn: Jonathan Putman 3635 132nd Avenue SE Bellevue WA 98006 Phone: 917-855-7839 Email: jonathan.putman1@t-mobile.com 5. Caroline Reichert Attn: Anne L. Clark, Esq. 111 Broadway, Suite 1505 New York, NY 10006 Phone: 212-403-7300 Fax: 212-221-3172 Email: aclark@vladeck.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 Casa Systems Casa Systems, Inc. (Nasdaq: CASA) is a next-gen technology leader that supports mobile, cable, and wireline communications services providers with market leading solutions. Casa's virtualized and cloud-native software solutions modernize operatorsÃ¢â‚¬â„¢ network architectures, expand the range of services they can offer their consumer and commercial customers, accelerate time to revenue and reduce the TCO of their network infrastructure and operations. Casa's suite of open, cloud-native network solutions unlocks new ways for service providers to quickly build flexible networks and service offerings that maximize revenue-generating capabilities. Commercially deployed in more than 70 countries, Casa Systems serves over 475 Tier 1 and regional service providers worldwide. On the Web: http://www.casasystems.com/ On April 3, 2024, Casa Systems, Inc., and two of its affiliates each filed petitions seeking relief under chapter 11 of the United States Bankruptcy Code (Bankr. D. Del. Lead Csae No. 24-10695). In the petition filed by CFO Edward Durkin, Casa Systems estimated assets and liabilities between $100 million and $500 million each. The Debtors' cases have been assigned to the Honorable Karen B. Owens. Casa has engaged Sidley Austin LLP as legal counsel, Ducera Partners LLC as financial advisor, and Alvarez & Marsal North America, LLC as restructuring advisor. Epiq is the claims agent. CAST & CREW: Moody's Lowers CFR to B3 & Alters Outlook to Stable ---------------------------------------------------------------- Moody's Ratings has downgraded Cast & Crew LLC's corporate family rating from B2 to B3 and its probability of default rating from B2-PD to B3-PD. Concurrently, Moody's has assigned B2 ratings to the company's $150 million senior secured 1st lien revolver ("RLOC") and the upsized $950 million senior secured 1st lien term loan. The existing 1st lien credit facility ratings were downgraded to B2 from B1 and will be withdrawn once these obligations are fully repaid. The outlook was changed from negative to stable. The company is a California-based provider of technology-enabled payroll processing and related services to the entertainment industry. The ratings downgrade was driven by the company's weakened operating performance in the quarter ended December 31, 2023 and Moody's expectation that the lingering effects from the 2023 WGA and SAG-AFTRA strike will continue to weigh on Cast & Crew's financial performance over the next 12-months. The company has announced plans to amend & extend its existing $895 million Senior Secured First Lien Term Loan B due 2026 to December 2028 (coterminous with their existing $468 million Extended Senior Secured First Term Loan B), with a $55 million upsize of that facility to repay the drawn RLOC. Concurrent with the term loan extension, the company is seeking to extend its existing $150 million RLOC to an expiration date of June 30, 2028. As proposed, the transaction is leverage neutral. RATINGS RATIONALE Cast & Crew's B3 CFR is principally constrained by the company's high, and increased debt leverage, that Moody's does not expect to decline meaningfully over the next 12-18 months. The company's credit profile is also negatively impacted by risks related to the company's concentrated exposure to the media and entertainment sectors, which have been crystalized by the 2023 work stoppages in the industry and could continue with the International Alliance of Theatrical Stage Employees (IATSE) negotiations in July 2024. Additional credit risks stem from the company's ability to effectively manage workers' compensation insurance claims, cybersecurity related risks given the company's access to sensitive customer data, Cast & Crew's concentrated equity ownership, and the potential for aggressive financial policies. The credit profile benefits from the company's relatively large scale and entrenched position within its niche market, long term customer relationships, and specialized industry expertise as a provider of payroll processing, production accounting, and related services for media and entertainment companies. The company has maintained strong profitability margins, which could fuel recovery in credit metrics if the top-line growth returns to historically good levels. Moody's considers Cast & Crew's liquidity profile as adequate, but liquidity could come under pressure due to higher debt service costs and if the activity rebound in the entertainment sector is slower than previously anticipated. The company had an unrestricted cash balance of $86 million as of December 31, 2023. The company's first lien term loan is not subject to financial maintenance covenants. However, Cast & Crew has a springing covenant for its revolving credit facility based on a maximum first lien net leverage ratio of 8.3x during Q2 2024. The company received a waiver for this requirement expiring on December 31, 2024 and once expired, Moody's expects Cast & Crew to be in compliance with the covenant requirement. The stable ratings outlook reflects Moody's expectation that Cast & Crew's revenue and adjusted EBITDA will return close to FY22 levels over the next 12-18 months. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS A ratings upgrade could occur if the company improves revenue growth that leads to increased scale and EBITDA expansion, leverage reduction, and liquidity improvement, restoring its financial performance to pre-strike levels. The ratings could be downgraded if revenue or EBITDA contract materially from current levels, the company continues to generate weak or negative free cash flow, or liquidity deteriorates. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. Cast & Crew, based in Burbank, CA and owned by affiliates of equity sponsor EQT, is a provider of technology-enabled payroll processing, production accounting software, workers' compensation coverage and related value-added services to clients across the entertainment industry. The company's core competency is their ability to manage a complex labor structure that is often more difficult and costly for temporary production companies to navigate independently. CAST & CREW: S&P Affirms 'B' ICR, Off CreditWatch Negative ---------------------------------------------------------- S&P Global Ratings affirmed all ratings on Burbank, Calif.-based entertainment production payroll services and software provider Cast & Crew LLC, including its 'B' issuer credit rating, and removed them from CreditWatch, where S&P placed them with negative implications on Sept. 11, 2023. The negative outlook reflects S&P's expectation that S&P Global Ratings-adjusted debt to EBITDA will remain elevated at 7x and elevated interest expense and capital spending will result in free operating cash flow (FOCF) to debt in the low-single-digit percent area. S&P said, "Following the resolution of the Hollywood strikes, we think Cast & Crew will expand its revenue as production returns. We anticipate rebounds in entertainment production activity will increase revenue in the double-digit percent area in the next two years as television, large film projects, and streaming content return. While we expect delays in the first half of the year, we forecast the industry will normalize in the next two years, resulting in Cast & Crew's gross wages reverting to their pre-strike growth trajectory. Content spending should taper as streaming services trim their budgets following a period of elevated production spending. Still, we think revenue prospects remain strong due to demand for premium Hollywood content as studios prioritize higher-profile and fewer productions. "Cast & Crew should maintain profitability and free cash flow generation given the industry resurgence. We forecast S&P Global Ratings-adjusted EBITDA margins returning to the low-40% area in the next two years as volume returns. During the strikes, Cast & Crew cut costs to maintain profitability. While EBITDA contracted about 30%, margins remained in the high-30% area. We believe steady recovery during the second quarter of fiscal 2024 will continue, resulting in a return to 2022 EBIDTA although at a slower pace due to a lag in production. We forecast the company will convert profits into modest FOCF, but tax distributions and higher interest expense will result in FOCF to debt in the low-single-digit percents." High leverage and ownership by a financial sponsor constrain our ratings on Cast & Crew. Due to earnings contraction, leverage has trended to the 10x area, but it will remain elevated at 7x in the next year as EBITDA normalizes. S&P said, "Our assessment is constrained by financial sponsor ownership that focuses on shareholder returns. Given elevated pre-strike leverage, we believe Cast & Crew's sponsor has an aggressive financial policy, which could result in further leveraging acquisitions or equity returns." The successful refinancing will address Cast & Crew's debt maturity wall and provide an additional liquidity cushion. The proposed transaction includes upsizing the term loan B facility by $55 million to repay the outstanding revolver debt and extending the maturity of the term loan B and revolver to 2028. This alleviates refinancing risk, improves liquidity, and provides some flexibility as production resumes. The negative outlook on Cast & Crew reflects S&P's expectation that leverage will remain elevated at 7x and higher interest expense and capital spending requirements will result in FOCF to debt in the low-single-digit percent area. Social factors are a negative consideration in S&P's analysis of Cast & Crew. This reflects the mission-critical importance of its human resources and payroll services to its clients and their employees. In addition, there are high inherent risks and adverse consequences (reputational damage, legal or regulatory fines, or operational disruptions) if it fails to protect sensitive information or its critical infrastructure and applications. S&P said, "Governance is a moderately negative consideration in our analysis, 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 its controlling owners." This also reflects private-equity sponsors' generally finite holding periods and focus on maximizing shareholder returns. CBDMD INC: Bradley Whitford Holds Common Shares, Stock Options -------------------------------------------------------------- Bradley Whitford, chief accounting officer of cbdMD, Inc., filed a Form 3 Report with the U.S. Securities and Exchange Commission, disclosing direct beneficial ownership of 445 shares of the company's common stock as of March 29, 2024. Additionally, Whitford holds stock options to purchase (i) 334 shares of the Company's common stock, exercisable until January 27, 2027, at a price of $45 per share; and (ii) 334 shares of the Company's common stock, exercisable until January 9, 2028, at a price of $10.53 per share. A full-text copy of the Report is available at https://tinyurl.com/5n7bsnhn About cbdMD, Inc. Headquartered in Charlotte, NC, cbdMD, Inc. -- www.cbdmd.com -- owns and operates the nationally recognized CBD (cannabidiol) brands cbdMD, Paw CBD and cbdMD Botanicals. Its mission is to enhance its customer's overall quality of life while bringing CBD education, awareness and accessibility of high quality and effective products to all. Company sources cannabinoids, including CBD, which are extracted from non-GMO hemp grown on farms in the United States. Charlotte, North Carolina-based Cherry Bekaert LLP, the Company's auditor since 2016, issued a "going concern" qualification in its report dated Dec. 22, 2023, citing that the Company has historically incurred losses, including a net loss of approximately [$23 million] in the current year, resulting in an accumulated deficit of approximately $174 million as of Sept. 30, 2023. These conditions raise substantial doubt about the Company's ability to continue as a going concern. "The Company's working capital position may not be sufficient to support the Company's daily operations for the twelve months subsequent to the issuance of these annual financial statements. The Company's ability to continue as a going concern is dependent upon its ability to improve profitability and the ability to acquire additional funding. These and other factors raise substantial doubt about the Company's ability to continue as a going concern within twelve months after the date that the annual financial statements are issued," the Company said in its Quarterly Report for the quarter ended Dec. 31, 2023. CDO LONESTAR: Voluntary Chapter 11 Case Summary ----------------------------------------------- Debtor: CDO Lonestar Investments LLC 7150 IH 35 N New Braunfels, TX 78130 Business Description: CDO Lonestar Investments LLC is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). Chapter 11 Petition Date: April 18, 2024 Court: United States Bankruptcy Court Western District of Texas Case No.: 24-50672 Judge: Hon. Michael M. Parker Debtor's Counsel: Morris E. "Trey" White, III, Esq. VILLA & WHITE LLP 100 NE Loop 410 Suite 615 Tel: (210) 225-4500 E-mail: treywhite@villawhite.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Christopher Owens as member. The Debtor filed an empty 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/DBRGCNY/CDO_Lonestar_Investments_LLC__txwbke-24-50672__0001.0.pdf?mcid=tGE4TAMA CHARLIE'S HOLDINGS: Mazars USA Raises Going Concern Doubt --------------------------------------------------------- Charlie's Holdings, Inc. disclosed in a Form 10-K Report filed with the U.S. Securities and Exchange Commission for the fiscal year ended December 31, 2023, that its auditor expressed that there is substantial doubt about the Company's ability to continue as a going concern. Fort Washington, PA-based Mazars USA LLP, the Company's auditor since 2023, issued a "going concern" qualification in its report dated April 15, 2024, citing that the Company has incurred significant operating losses, has negative cash flows from operations, and has an accumulated deficit. The Company is dependent on its ability to increase revenues and obtain financing to execute its development plans and continue operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. The Company operates in a rapidly changing legal and regulatory environment; new laws and regulations or changes to existing laws and regulations could significantly limit the Company's ability to sell its products, and/or result in additional costs. Additionally, the Company was required to obtain approval from the United States Food and Drug Administration to continue selling and marketing certain of products used for the vaporization of nicotine in the United States. Currently, a substantial portion of the Company's sales are derived from products that are subject to approval by the FDA. There was a significant cost associated with the application process and there can be no assurance the FDA will approve previous and/or future applications. For the year ended December 31, 2023, the Company's revenue declined, the Company generated a loss from operations of approximately $2,202,000, and a consolidated net loss of approximately $2,093,000. Cash used in operations was approximately $783,000. The Company had a stockholders' deficit of $107,000 at December 31, 2023. During the year ended December 31, 2023, the Company's working capital position decreased to $332,000 from $1,067,000, as of December 31, 2022. Considering these facts, the issuance of one or several Marketing Denial Orders from the FDA would increase the potential for inventory obsolescence and uncollectable accounts receivables and potentially require us to remove products from circulation. These regulatory risks, as well as other industry-specific challenges, our low working capital and cash position remain factors that raise substantial doubt about the Company's ability to continue as a going concern. As of December 31, 2023, the Company had $5,768,000 in total assets, $5,875,000 in total liabilities, and $107,000 in total stockholders' deficit. A full-text copy of the Company's Form 10-K is available at https://tinyurl.com/3prhxuju About Charlie's Holdings Inc. Charlie's Holdings, Inc. (OTCQB: CHUC) is an industry leader in the premium, nicotine-based, vapor products space. The Company's products are sold around the world to select distributors, specialty retailers, and third-party online resellers through subsidiary companies Charlie's Chalk Dust, LLC and Don Polly, LLC. Charlie's Chalk Dust, LLC has developed an extensive portfolio of brand styles, flavor profiles, and innovative product formats. Don Polly, LLC creates innovative hemp-derived products and brands. CHEMOURS CO: S&P Affirms 'BB-' ICR on Filing Of 10-K, Outlook Neg. ------------------------------------------------------------------ S&P Global Ratings removed all ratings from CreditWatch, where they were placed on March 1, 2024 with negative implications and affirmed the issuer credit rating on The Chemours Co. at 'BB-'. The outlook is negative. The negative outlook reflects S&P's view that even though Chemours is proactively addressing the material weaknesses we still believe there are uncertainties that could affect credit quality further. Chemours filed its delayed 10-K report on March 27, 2024. Prior to this, the company previously announced that it had replaced key members of its executive leadership team. Furthermore, Chemours announced it would take proactive measures to address the material weaknesses in internal controls over financial reporting that were disclosed in its 2023 10-K. S&P's negative outlook reflects increased credit risks from the uncertainty created by the current situation. S&P said, "While we do not have further information beyond the company's recent disclosure, potential credit risks arising from the current situation could include a weakening of the company's access to capital markets or a weakening of its ability to successfully manage its environmental and other liabilities. Our action also considers uncertainty around the weakness in internal controls over the company's financial reporting and transparency following these recent disclosures, especially the delay in filing the company's form 10-K and auditor comments about internal control weaknesses. We view Chemours' remedial actions as positive indicators that the company is moving to resolve these weaknesses and we believe the more immediate credit risks we mention here have been mostly resolved. However, the limited view of the issues at this early stage of their reporting by the company raises broader questions about potential risks that might not have manifested yet. For instance, we will continue to monitor how lenders and customers respond to the current situation. We could lower the ratings on Chemours if we believe lenders may limit the company's liquidity or if customers take actions that would adversely affect business results that in turn could hurt credit quality." The audit committee's internal review of working capital actions determined that payments of up to approximately $100 million were delayed until the first quarter of 2024, primarily to certain vendors that were originally due to be paid in the fourth quarter of 2023; and collection of up to approximately $260 million of receivables that were originally not due to be received until the first quarter of 2024 were accelerated into the fourth quarter of 2023. Furthermore, the audit committee's internal review determined that there was a lack of transparency with the company's board of directors by three former members of senior management. However, the material weaknesses did not result in any material misstatements of the company's financial statements or disclosures but did result in immaterial revisions to the statements for March 31, 2023, June 30, 2023, and Sept. 30, 2023. S&P said, "We believe Chemours' business strengths, in particular, but also its financial strength, offer potential support to credit quality. "We continue to view the company's market position and its competitive position as credit positives. The company's strengths include its competitive advantages and the market-leading positions of its key products in the titanium technologies (TT), thermal and specialized solutions (TSS), and advanced performance materials (APM) businesses. The large scale of the company's plants and its technological capabilities enable it to use a variety of inputs that contribute to its low-cost position. For example, Chemours produces TiO2 using the chloride process, which generally creates a superior, higher-value product than the alternate sulfate process. "Our current base case is that operating performance in 2024 should remain steady, absent any material impact from the internal investigations. "At this early stage, we do not consider in our base case a meaningful potential loss of business or earnings on account of the company's recently disclosed issues. We think improved GDP growth in Europe, along with a gradual easing of destocking issues, could strengthen earnings in future. The company has reported large cash balances of $1.2 billion in unrestricted cash, and about $604 million in restricted cash (primarily relating to the U.S. public water district settlement). In addition, the company reported full availability, net of outstanding letters of credit, under its $900 million revolving credit facility. Chemours has no material debt maturities before 2026." The current rating does not factor in potential increases in environmental liabilities beyond those already provided for by the company. In January 2021, Chemours, DuPont, Corteva, and EI du Pont de Nemours & Co. (EID), a subsidiary of Corteva, entered into a binding memorandum of understanding, reflecting the parties' agreement to share potential future legacy liabilities relating to per- and polyfluoroalkyl substances (PFAS) arising out of pre-July 2015 conduct. The agreement provides a framework under which Chemours is responsible for 50% of potential liabilities for 20 years or $4 billion, whichever is sooner. In 2023, the company released funds held in escrow to fund, in part, the U.S. public water system settlement agreement for $592 million. The next escrow payment of $50 million is expected to be made by Sept. 30, 2025, and by Sept. 30 of each subsequent year through 2028. The agreement sets the target balance of the escrow account to $700 million by 2028, with Chemours making 50% of the deposits and DuPont and Corteva together making 50% of the deposits. We believe the escrow account will be more than sufficient to cover any potential settlements and we do not anticipate any increase in these liabilities within the next 12 months. S&P believes the sharing agreement with Dupont and Corteva benefits Chemours and therefore S&P views it as positive for credit quality, relative to our previous expectations. S&P said, "The negative rating outlook on Chemours reflects ongoing uncertainty such as the potential for fallout, especially from lenders and customers. We view positively the steps undertaken by the company to address the situation; however, in our view, it will take time for the company to resolve all governance issues and restore confidence in its management. Over the next year, we expect stable earnings and credit metrics. Specifically, we project that the company's weighted average funds from operations (FFO) to debt will be in the low-20% area. We base these assumptions on our belief that the level of demand in most of its end markets in the U.S., Europe, and China will remain steady. In addition, we factor in Chemours' known environmental and contingent liabilities and do not--at this point--assume any sizable increase in these liabilities beyond those provided. We also do not assume any acquisitions, debt-funded shareholder rewards, or the sale of any significant businesses in our base case. "We could lower our ratings on Chemours within the next year if we believe the reported issues lead to credit deterioration, if new issues come to light, or we foresee adverse actions from the company's lenders or customers. In addition, we could lower our ratings if we expect its weighted-average FFO to debt to drop below 20% without a near-term remedy. This could occur if its earnings decline significantly in 2024 due to raw material shortages or continued supply chain issues that cause its margins to fall by more than 200 basis points (bps). The company's metrics could weaken if it faces rising pricing pressure due to falling demand in its end markets. We could also lower our rating if it becomes apparent that Chemours' current provisions and accruals for contingent liabilities are insufficient and it will likely need to increase them substantially. "We will consider revising the outlook to stable over the next year if we believe the steps undertaken by the company to address the current situation are sufficient such that we believe there's no further credit risk. We could also raise our ratings if the company outperforms our expectations of its three major business segments above our projections. Under this scenario, we expect the company's FFO to total debt to remain above 30%. Furthermore, we would anticipate its adjusted EBITDA margins to stay in the low- to mid-20% area. However, we would also consider the volatility of its earnings from the TiO2 business and assess the sustainability of any improvements before undertaking a positive rating action. We will review the potential for any credit risks related to new environmental issues or an increase in risk related to current issues before considering an upgrade." CHICKEN SOUP: To Make Special Payment on 9.50% Notes Due 2025 ------------------------------------------------------------- Chicken Soup for the Soul Entertainment Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that it notified U.S. Bank Trust Company, National Association, as successor in interest to U.S. Bank National Association, as Trustee, with respect to the Company's 9.50% Notes due 2025, of the Company's intent to make a special payment on April 30, 2024 (the "Special Distribution Date") in the amount of $1,074,042.20, representing all accrued and unpaid interest that was due and not paid to the Note holders on the original interest payment due date of April 1, 2024 (an aggregate of $1,065,327.23), plus interest on such interest (an aggregate of $8,714.97) at the same rate prescribed by the Notes (the "Special Payment"). The record date for the Special Payment is April 16, 2024 (the "Special Record Date"). Subject to receipt of such funds from the Company, the Trustee will distribute an aggregate of $1,074,042.20 pro rata to holders as of the Special Record Date. About Chicken Soup Chicken Soup for the Soul Entertainment, Inc. provides premium content to value-conscious consumers. The company is one of the largest advertising-supported video-on-demand (AVOD) companies in the US, with three flagship AVOD streaming services: Redbox, Crackle, and Chicken Soup for the Soul. In addition, the company operates Redbox Free Live TV, a free ad-supported streaming television service (FAST), with over 160 channels as well as a transaction video on demand (TVOD) service, and a network of approximately 32,000 kiosks across the US for DVD rentals. To provide original and exclusive content to its viewers, the company creates, acquires, and distributes films and TV series through its Screen Media and Chicken Soup for the Soul TV Group subsidiaries. Chicken Soup for the Soul Entertainment is a subsidiary of Chicken Soup for the Soul, LLC, which publishes the famous book series and produces super-premium pet food under the Chicken Soup for the Soul brand name. In its Quarterly Report for the period ended Sept. 30, 2023, the Company said there is substantial doubt about its ability to continue as a going concern and this could materially impact its ability to obtain capital financing and the value of its common and preferred stock. "In order to partially replace the working capital shortfall resulting from the lack of the aforementioned working capital loan, the Company factored its short-dated receivables but was unable to factor its long-term receivables (which we expected to create additional liquidity generally sufficient to cover the shortfall). Also, the Company launched initiatives to improve its efficiency and reduce its cost structure, including, but not limited to, (i) optimizing its kiosk network, (ii) evaluating and implementing workforce reductions across its supply chain and corporate teams and (iii) maximizing cost synergies across the combined businesses. The combination of these factors has resulted in asserted defaults and/or contractual terminations with critical content and service providers, impacting our ability to procure and monetize content efficiently across our distribution platforms. Due to the on-going impact of the above factors on our current and future results of operations, cash flows and financial condition, there is substantial doubt as to the ability of the Company to continue as a going concern," the Company stated in its Quarterly Report for the period ended Nov. 30, 2023. Chicken Soup reported a net loss attributable to the Company of $101.54 million in 2022 and a net loss attributable to the Company of $50.41 million in 2021. As of Sept. 30, 2023, the Company had $481.33 million in total assets, $890.06 million in total liabilities, and a total deficit of $408.72 million. CHRISTIAN DIOR: Wins Bid to Dismiss 2nd Amended Slaten Complaint ---------------------------------------------------------------- Judge Jacqueline Scott Corley of the U.S. District Court for the Northern District of California grants the Defendant's motion to dismiss the Plaintiff's second amended complaint in the lawsuit entitled ALEXIS SLATEN, Plaintiff v. CHRISTIAN DIOR PERFUMES, LLC, Defendant, Case No. 3:23-cv-00409-JSC (N.D. Cal.). The Plaintiff brings this putative class action against Defendant Christian Dior Perfumes (Dior) alleging Dior deceptively labels and advertises the sun protection factor (SPF or sunscreen) benefits of certain cosmetic products. The Plaintiff is a California resident who bought Dior Forever Foundation from a Macy's store in Daly City, California for several years. Based on the front label, the Plaintiff believed the product would provide cosmetic coverage for 24 hours and SPF 15 sun protection "for longer than two hours." However, the SPF protection, "will last, at most, only two hours," says the complaint. The Defendant moved to dismiss the Plaintiff's Second Amended Complaint for failure to state a claim. Judge Corley granted Dior's motion to dismiss saying the Plaintiff fails to plausibly plead Dior's Products' labels are false or misleading to reasonable consumers because, after referencing the Products' back labels, no reasonable consumer could interpret the front labels' "24H" representation as applying to the Products' sunscreen. Plaintiff's additional survey and consumer review allegations also fail to compel a different result. As no further amendment could save the claims, the dismissal is without leave to amend, ruled Judge Corley. Moreover, the Plaintiff had contended that the Court cannot "determine as a matter of law that [the] front label is either not deceptive, or, at a minimum, that it is ambiguous and the back label cures all" because consumer confusion is "still a question of fact." Judge Corley held that the Plaintiff is incorrect. Plausibility remains a legal question for the Court. The Plaintiff's contention would effectively mean courts could never grant motions to dismiss in such cases, he added. A full-text copy of the Court's Order dated April 1, 2024, is available at: https://tinyurl.com/5bea4sby CITIUS PHARMACEUTICALS: Extension of Expiry Date for Warrants OK'd ------------------------------------------------------------------ Citius Pharmaceuticals, Inc. disclosed in Form 8-K Report filed with the U.S. Securities and Exchange Commission that on April 3, 2024, the Board of Directors of the Company approved an extension by one year to April 5, 2025 for warrants to purchase an aggregate of 1,294,498 shares of common stock, $0.001 par value per share, with an exercise price of $1.42 per share of common stock. The Investor Warrants are held by Leonard Mazur, the Company's Chief Executive Officer and Chairman of the Board of Directors, and Myron Holubiak, the Company's Executive Vice President and member of the Board of Directors, and were originally issued in April 2019 in a private placement conducted simultaneously with a registered direct offering of shares of common stock (the "2019 Offering") managed by H. C. Wainwright & Co., LLC. Mazur and Holubiak participated in the private placement on the same basis as all other investors. Additionally, 240,130 warrants with an exercise price of $1.9313 per share issued in connection with the 2019 Offering were extended by one year to April 5, 2025. Such Placement Agent Warrants are held by certain representatives of Wainwright or their assignees. The terms of the Warrants were previously extended in April 2021 to April 5, 2024. There are no other Warrants remaining outstanding from the 2019 Offering and if such Warrants are fully exercised, the Company would receive approximately $2.3 million in cash proceeds. Except as set forth above, all other terms, conditions and rights of the Warrants remain in full force and effect, which were described in the Current Report on Form 8-K filed by the Company on April 3, 2019. About Citius Pharmaceuticals Inc. Headquartered in Cranford, NJ, Citius Pharmaceuticals, Inc. -- http://www.citiuspharma.com-- is a late-stage pharmaceutical company dedicated to the development and commercialization of first-in-class critical care products with a focus on oncology, anti-infectives in adjunct cancer care, unique prescription products and stem cell therapy. Boston, Massachusetts-based Wolf & Company, P.C., the Company's auditor since 2014, issued a "going concern" qualification in its report dated Dec. 29, 2023, citing that the Company has suffered recurring losses and negative cash flows from operations and has a significant accumulated deficit. These conditions raise substantial doubt about the Company's ability to continue as a going concern. CORENERGY INFRASTRUCTURE: Taps KMPG to Provide Audit Services ------------------------------------------------------------- CorEnergy Infrastructure Trust, Inc. seeks approval from the U.S. Bankruptcy Court for the Western District of Missouri to employ KPMG LLP to provide audit services. The firm will render these services: a. conduct the Debtor's Financial Accounting Standards Board ASC Topic 360, Property, Plant and Equipment to comply with its financial reporting requirements; b. review Debtor's long-lived assets and asset groups, which are to be held and used, for impairment to determine whether the carrying amount of the long-lived asset group might not be recoverable; and c. subject to ASC 360 results, take further steps to estimate the fair value of the subject assets to provide a fair value measurement of such assets for purposes of completing Debtor's 2023 audit. The Debtor shall pay fees based on the actual time incurred to complete the work at 65 percent of KPMG's standard hourly rates for the individuals involved in providing the services. KPMG's standard hourly rates are: Partners $936 Managing Directors $891 Directors/Senior Managers $801 Managers $696 Senior Associates $576 Associates $258 Elliot J. Graf, managing director of KPMG LLP, assured the court that his firm is a "disinterested person" within the meaning of section 101(14) of the Bankruptcy Code, and does not hold or represent an interest adverse to the Debtors' estates. The firm can be reached through: Elliot J. Graf KPMG LLP Suite 900 10 South Broadway St. Louis, MO 63102 Telephone: (314) 444-1400 Facsimile: (314) 444-1470 About CorEnergy Infrastructure CorEnergy Infrastructure Trust, Inc. is a Maryland corporation formed in 2005 as a Business Development Company under the Investment Company Act of 1940, but since 2012 has operated for tax purposes as a real estate investment trust ("REIT"). Its stock is publicly traded and widely held, and it operates under the oversight of a board of directors that meets the independence standards of the New York Stock Exchange. Since its conversion to a REIT in 2012, CorEnergy has focused on owning and leasing energy midstream infrastructure and operating energy midstream companies. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Mo. Case No. 24-40236) on February 25, 2024, with $14,492,662 in assets and $118,415,403 in liabilities. David J. Schulte, officer, signed the petition. Judge Cynthia A. Norton oversees the case. Mark T. Benedict, Esq. of HUSCH BLACKWELL LLP represents the Debtor as legal counsel. CQENS TECHNOLOGIES: MaloneBailey Raises Going Concern Doubt ----------------------------------------------------------- CQENS Technologies Inc. disclosed in a Form 10-K Report filed with the U.S. Securities and Exchange Commission for the fiscal year ended December 31, 2023, that its auditor expressed that there is substantial doubt about the Company's ability to continue as a going concern. Houston, Texas-based MaloneBailey, LLP, the Company's auditor since 2013, issued a "going concern" qualification in its report dated April 15, 2024, citing that the Company has suffered recurring losses from operations and has a net capital deficiency that raises substantial doubt about its ability to continue as a going concern. "For 2023, we reported a net consolidated loss of $4,303,550 and net cash used in operations of $2,583,282. At December 31, 2023, we had cash on hand of $350,565 and an accumulated deficit of $23,856,439. These factors, among others, raise substantial doubt about our ability to continue as a going concern. There are no assurances we will be successful in our efforts to raise capital, develop a source of revenues, report profitable operations or to continue as a going concern, in which event investors would lose their entire investment in our company," the Company stated. As of December 31, 2023, the Company had $2,282,630 in total assets, $1,336,664 in total liabilities, and $945,966 in total stockholders' equity. A full-text copy of the Company's Form 10-K is available at https://tinyurl.com/4hk8dd7t About CQENS Technologies Inc. CQENS Technologies Inc. IS a technology company. It designs and develops innovative methods to heat plant-based and/or medicant-infused formulations to produce aerosols for the efficient and efficacious inhalation of the plant and medicant constituents contained therein. CRUZIN AUTO: Case Summary & Seven Unsecured Creditors ----------------------------------------------------- Debtor: Cruzin Auto, LLC 6330 Frankford Road Dallas, TX 75252 Chapter 11 Petition Date: April 17, 2024 Court: United States Bankruptcy Court Eastern District of Texas Case No.: 24-40884 Judge: Hon. Brenda T Rhoades Debtor's Counsel: Robert T DeMarco, Esq. DEMARCO MITCHELL, PLLC 500 N. Central Expressway Suite 500 Plano, TX 75074 Tel: (972) 991-5591 E-mail: robert@demarcomitchell.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Jonathan Cruz as president. A full-text copy of the petition containing, among other items, a list of the Debtor's seven unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/RRTC7LA/Cruzin_Auto_LLC__txebke-24-40884__0001.0.pdf?mcid=tGE4TAMA CYTODYN INC: Incurs $11.9 Million Net Loss in Third Quarter ----------------------------------------------------------- CytoDyn Inc. filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q reporting a net loss of $11.92 million for the three months ended Feb. 29, 2024, compared to a net loss of $13.70 million for the same period in 2023. For the nine months ended Feb. 29, 2024, the Company reported a net loss of $33.05 million compared to a net loss of $61.19 million for the same period in 2023. As of Feb. 29, 2024, the Company had $10.27 million in total assets, $129.65 million in total liabilities, and a total stockholders' deficit of $119.38 million. The Company incurred a net loss for the nine months ended Feb. 29, 2024, and has an accumulated deficit of approximately $874.7 million as of Feb. 29, 2024. The Company said these factors, among several others, raise substantial doubt about our ability to continue as a going concern. According to CytoDyn, "The Company's continuance as a going concern is dependent upon its ability to obtain additional operating capital, complete the development of its product candidate, leronlimab, obtain approval to commercialize leronlimab from regulatory agencies, continue to outsource manufacturing of leronlimab, and ultimately achieve revenues and attain profitability. The Company plans to continue to engage in research and development activities related to leronlimab and a new or modified longer-acting therapeutic for multiple indications and expects to incur significant research and development expenses in the future, primarily related to its regulatory compliance, including performing additional clinical trials and seeking regulatory approval of its product candidate for commercialization. These research and development activities are subject to significant risks and uncertainties. The Company intends to finance its future development activities and its working capital needs primarily from the sale of equity and debt securities, combined with additional funding from other sources. However, there can be no assurance that the Company will be successful in these endeavors." A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/0001175680/000155837024005134/cydy-20240229x10q.htm About CytoDyn Inc. Headquartered in Vancouver, Washington, CytoDyn Inc. -- http://www.cytodyn.com-- is a clinical stage biotechnology company focused on the clinical development and potential commercialization of its product candidate, leronlimab, which is being studied for MASH, solid tumors in oncology, and HIV indications. The Company's focus is on implementing a therapeutic development and commercialization pathway for leronlimab through an approach that is opportunistic and minimizes the amount of Company capital needed for the creation of value by identifying strategies that are time- and cost-effective and support the creation of non-dilutive financing opportunities, such as license agreements and co-development or strategic partnerships. DIAMOND SPORTS: Professional Sports Leagues Slam Chapter 11 Plan ---------------------------------------------------------------- Yun Park of Law360 reports that three major U. S. professional sports leagues, whose games are broadcast by Bally Sports Network parent company Diamond Sports Group, criticized the company's Chapter 11 restructuring plan, saying it fails to provide information about the debtor's go-forward operating business plan and any ongoing business agreements with distributors. About Diamond Sports Group Diamond Sports Group, LLC, and its affiliates own and/or operate the Bally Sports Regional Sports Networks, making them the nation's leading provider of local sports programming. DSG's 19 Bally Sports RSNs serve as the home for 42 MLB, NHL, and NBA teams. DSG also holds joint venture interests in Marquee, the home of the Chicago Cubs, and the YES Network, the local destination for the New York Yankees and Brooklyn Nets. The RSNs produce about 4,500 live local professional telecasts each year in addition to a wide variety of locally produced sports events and programs. DSG is an unconsolidated and independently run subsidiary of Sinclair Broadcast Group. Diamond Sports Group and 29 of its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 23-90116) on March 14, 2023. In the petition signed by David F. DeVoe, Jr., as chief financial officer and chief operating officer, Diamond Sports Group listed $1 billion to $10 billion in both assets and liabilities. Judge Christopher M. Lopez oversees the cases. The Debtors tapped Paul, Weiss, Rifkind, Wharton & Garrison, LLP and Porter Hedges, LLP as bankruptcy counsel; Wilmer Cutler Pickering Hale, Dorr, LLP and Quinn Emanuel Urquhart & Sullivan, LLP as special counsel; AlixPartners, LLP as financial advisor; Moelis & Company, LLC and LionTree Advisors, LLC as investment bankers; Deloitte Tax, LLP, as tax advisor; Deloitte Financial Advisory Services, LLP, as accountant; and Deloitte Consulting, LLP as consultant. Kroll Restructuring Administration, LLC is the claims 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 Akin Gump Strauss Hauer& Feld LLP as counsel; FTI Consulting, Inc., as financial advisor; and Houlihan Lokey Capital, Inc., as investment banker. DIVERSIFIED MASONRY: Hires Allen Vellone Wolf as Legal Counsel -------------------------------------------------------------- Diversified Masonry, LLC seeks approval from the U.S. Bankruptcy Court for the District of Colorado to employ Allen Vellone Wolf Helfrich & Factor P.C. as counsel. The firm's services include: -- providing legal advice and representation in connection with the general administration of the Estate; -- making confirmation of any proposed plan of reorganization, all other contested and adversary matters that arise in this case; -- taking investigation and litigation of any avoidance or other action the Estate may have; and -- providing other legal services for Debtor related to or arising out of contested matters in this bankruptcy case. The firm will be paid at these rates: Jeffrey A. Weinman $625 per hour Katharine S. Sender $375 per hour Brenton L. Gragg $365 per hour Paralegals $120 to 225 per hour The firm received a retainer of $22,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Jeffrey A. Weinman, Esq., a partner at Allen Vellone Wolf Helfrich & Factor P.C., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Jeffrey A. Weinman, Esq. Katharine S. Sender, Esq. Allen Vellone Wolf Helfrich & Factor P.C. 1600 Stout Street, Suite 1900 Denver, CO 80202 Tel: (303) 534-4499 Email: JWeinman@allen-vellone.com KSender@allen-vellone.com About Diversified Masonry, LLC The Debtor manufactures commercial and residential stone, stucco, brick and block for national builders, local municipalities and residential clients. Diversified Masonry, LLC in Denver, CO, filed its voluntary petition for Chapter 11 protection (Bankr. D. Colo. Case No. 24-11578) on April 3, 2024, listing $1,983,868 in assets and $2,685,778 in liabilities. Dev Mahanti as manager/member, signed the petition. Judge Thomas B. Mcnamara oversees the case. ALLEN VELLONE WOLF HELFRICH & FACTOR, P.C. serve as the Debtor's legal counsel. DOUG GROSS: Seeks to Hire RTI Auctions as Auctioneer ---------------------------------------------------- Doug Gross Construction, Inc. seeks approval from the U.S. Bankruptcy Court for the Western District of New York to employ RTI Auctions as auctioneer. The firm will conduct online auction sales of certain of the Debtor's equipment and vehicles located at the Debtor's business location at 600 Ritas Way, Painted Post, New York. The firm will be paid a "Buyer's Premium" equal to 10 percent of the auction sales price of items sold for $1,000 or more and a "Buyer's Premium" equal to 15 percent of the auction sales price of items sold for less than $1,000. As disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Jesse Teitsworth RTI Auctions 6502 Barber Hill Rd. Geneseo, NY 14454 Tel: (585) 243-1563 About Doug Gross Construction, Inc. The Debtor specializes in all aspects of site work including land clearing, complete bull dozer service, pond installation, excavation of foundation and basements, installation of all septic systems installation of municipal sewer lines, and so much more. It also offers roll-off waste Doug Gross Construction, Inc. in Painted Post, NY, filed its voluntary petition for Chapter 11 protection (Bankr. W.D.N.Y. Case No. 24-20166) on March 25, 2024, listing $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Larry K. Knowles as president, signed the petition. Judge Warren, USBJ oversees the case. LIPPES MATHIAS LLP serve as the Debtor's legal counsel. EASTERN WA CONSTRUCTION: Case Summary & Nine Unsecured Creditors ---------------------------------------------------------------- Debtor: Eastern WA Construction, Inc 1564 Swartout Rd Manson, WA 98831 Chapter 11 Petition Date: April 18, 2024 Court: United States Bankruptcy Court Eastern District of Washington Case No.: 24-00594 Judge: Hon. Frederick P. Corbit Debtor's Counsel: Metiner G. Kimel, Esq. KIMEL LAW OFFICES 205 N. 40th Ave., Suite 205 Yakima, WA 98908 Tel: (509) 452-1115 Fax: (509) 965-5860 Email: mkimel@mkimellaw.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Jorge Ochoa as president. A full-text copy of the petition containing, among other items, a list of the Debtor's nine unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/A5VFGPA/Eastern_WA_Construction_Inc__waebke-24-00594__0001.0.pdf?mcid=tGE4TAMA ECHOSTAR CORP: Swings to $1.6 Billion Net Loss in 2023 ------------------------------------------------------ Echostar Corporation filed with the Securities and Exchange Commission its Annual Report on Form 10-K reporting a net loss of $1.63 billion on $17.02 billion of total revenue for the year ended Dec. 31, 2023, compared to net income of $2.53 billion on $18.63 billion of total revenue for the year ended Dec. 31, 2022. As of Dec. 31, 2023, the Company had $57.11 billion in total assets, $36.72 billion in total liabilities, $438.38 million in redeemable noncontrolling interests, and $19.95 billion in total stockholders' equity. Denver, Colorado-based KPMG LLP, the Company's auditor since 2002, issued a "going concern" qualification in its report dated Feb. 29, 2024, citing that the Company has debt maturing in 2024 and expects to use a substantial amount of cash in the next twelve months. This raises substantial doubt about its ability to continue as a going concern. A full-text copy of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/1415404/000155837024002209/tmb-20231231x10k.htm About EchoStar Corporation EchoStar Corporation (Nasdaq: SATS) -- www.echostar.com -- is a provider of technology, networking services, television entertainment and connectivity, offering consumer, enterprise, operator and government solutions worldwide under its EchoStar, Boost Mobile, Boost Infinite, Sling TV, DISH TV, Hughes, HughesNet, HughesON, and JUPITER brands. In Europe, EchoStar operates under its EchoStar Mobile Limited subsidiary and in Australia, the company operates as EchoStar Global Australia. EGAE LLC: Amends Plan to Include Tenants Unsecured Claims Pay ------------------------------------------------------------- EGAE LLC submitted a Second Amended Disclosure Statement and Second Amended Plan of Reorganization dated April 9, 2024. The goal of the Plan is to pay creditors to the fullest extent possible through the revenues generated by Debtor over time. The Plan will be funded by a new value contribution from the current equity owner of the Debtor, the Marlow Family Exempt Perpetual Trust, via funds advanced to EGAE. The Plan further proposes that MidCap's secured claim and other secured claims will be restructured according to the terms described. Unsecured creditors will be paid in a fair and equitable manner, receiving payments over the life of the Plan. The Debtor has and will examine, analyze, and where appropriate, seek recovery of avoidable transfers. Debtor also retains its rights to avoid payments or distributions to any other recipients made within the preference period. Debtor also retains the right to avoid any liens that a creditor may have attempted to perfect in the 90 days before the bankruptcy or after the bankruptcy filing. Transfers to insider companies were made within the year prior to the bankruptcy filing, to-wit: $308,134 to Kenco Building Services, LLC, and $548,944 to MMDT, LLC. Alleged fraudulent transfers of $857,078 have been claimed. However, no amount has been substantiated because (a) there are defenses against the allegations that have not been litigated, and (b) the recipients of the transfers have no assets of value and any judgment against them would be uncollectable. All of their income is generated from the services they perform for the Debtor. The insider companies would become insolvent entities if the Debtor were to fail to reorganize under a Chapter 11 plan of reorganization and a Chapter 7 liquidation were pursued. However, Debtor will pursue any viable claim within six months of the Effective Date. Class 5 consists of Tenants' Unsecured Claims. This Class shall consist of the allowed collective claims of the tenants who reside in the McKinley Tower pursuant to leases. Prior to the Petition Date, the Debtor held the tenants' security deposits in a separate bank account, from which the debtor borrowed approximately $43,000 to make repairs to the Property. To date, the Debtor has not replenished the security deposit fund giving rise to certain claims on behalf of the Tenants (the "Tenants Claims"). The Debtor intends to assume all unexpired tenant leases under Section 365 of the Bankruptcy Code and in doing so cure the Tenant Claims by fully replacing their security deposits. Payment in full to cure the collective Class 5 claims shall be made on the Effective Date. The Amended Disclosure Statement does not alter the proposed treatment for unsecured creditors and the equity holder: * Class 4 consists of General Unsecured Claims. This Class is estimated at $1,970,000, excluding disputed claims and excluding a deficiency from Class 3. If MidCap does not make the election under Section 1111(b) of the Bankruptcy Code to have its Class 3 Claim treated as fully secured, Class 4 shall receive the following payments commencing on the Distribution Date and continuing annually until the fifth anniversary of the Effective Date: $30,000 in Years 1-5. In the event MidCap elects to be "fully secured" by asserting an election to be treated under Section 1111(b), Class 4 shall receive payments in five equal annual installments of $30,000. Payments shall commence on the Distribution Date and continue annually until the fifth anniversary of the Effective Date. All remaining amounts of Class 4 Claims shall be discharged. Payments will be made from Debtor's post-confirmation cash flow and equity contributions. * Class 6 consists of Ownership Interest in EGAE, LLC EGAE, LLC's prepetition equity holder will continue its ownership of the Debtor post-confirmation and shall contribute the sums necessary for occurrence of the Effective Date of the Plan. On the Effective Date, the Marlow Family Exempt Perpetual Trust shall contribute $200,000 to the Reorganized Debtor in order to retain the equity of the Reorganized Debtor. Debtor believes that this is a new substantial infusion of money that is necessary for a successful reorganization and is at least equivalent to the interest received on account of such contribution. In addition, the Debtor's management company, Kenco Building Services, LLC, will have a variable payment plan with a management fee based on 5% of total revenues paid after payment of claims to creditors which will allow for an effective guarantee in the event the Debtor has any operating losses during the course of the Plan of Reorganization. Stated more succinctly, and as demonstrated by the cash flow projections, management will support cash flow by reducing its management fee and by contributions as required in order to ensure feasibility. Kenco will also waive any rejection damages arising out of the Debtor's termination of the prior management agreement. A full-text copy of the Second Amended Disclosure Statement dated April 9, 2024 is available at https://urlcurt.com/u?l=zjsco2 from PacerMonitor.com at no charge. Attorney for the Debtor: John C. Smith, Esq. SMITH & SMITH GERALD K. SMITH AND JOHN C. SMITH LAW OFFICES, PLLC ATTORNEYS AT LAW 6720 E. Camino Principal, Suite 203 Tucson, AZ 85715 Tel: (520) 722-1605 Fax: (520) 844-8070 Email: john@smithandsmithpllc.com About EGAE LLC EGAE, LLC, a company that owns and operates an apartment building in Anchorage, Alaska, sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ala. Case No. 23-00169) on Oct. 5, 2023. In the petition signed by Marc Marlow, manager, the Debtor disclosed up to $50 million in assets and up to $10 million in liabilities. Judge Gary Spraker oversees the case. John C. Smith, Esq., at Gerald K. Smith and John C. Smith Law Offices, PLLC, serves as the Debtor's legal counsel. EGAE LLC: Wins Cash Collateral Access Thru July 9 ------------------------------------------------- The U.S. Bankruptcy Court for the District of Alaska authorized GAE, LLC to use cash collateral on an interim basis in accordance with the budget, with a 10% variance, through July 9, 2024. The Debtor requires the use of cash collateral to continue its ongoing operations in the ordinary course of business, and in order to avoid disruption of such operations. MidCap Funding Investment X LLC contends the Debtor is currently indebted to MidCap as of the petition date in the amount of $10.8 million. As partial adequate protection for the diminution of any interest that MidCap holds in prepetition Collateral as a result of the Debtor's use of cash collateral, MidCap is granted replacement liens in the Debtor's postpetition assets of the same kind, type, and nature as the Prepetition Collateral in which MidCap held anylien. Any Postpetition Lien in Postpetition Collateral granted will be in the same order, priority, validity and enforceability as any prepetition lien in Prepetition Collateral securing the claim of MidCap in the same type of assets. To the extent of any diminution in value of MidCap's interest in the Prepetition Collateral due to cash collateral use which is not otherwise protected by the Postpetition Lien granted, MidCap will retain its rights under Section 11 U.S.C. 507(b). During the cash collateral period the Debtor will pay to MidCap a payment of $41,000, payable on or before the 10th day of each month, to be applied to accrued post-petition interest. The payment will not affect or waive the rights of MidCap to assert in any future proceeding before the Court the right to additional adequate protection payments or seek recovery of all default interest, fees, costs or other charges set forth in any Loan documents. A further interim hearing on the matter is set for July 8-9 at 9:30 a.m. A copy of the court's order and the Debtor's budget is available at https://urlcurt.com/u?l=ZRfNeE from PacerMonitor.com. The Debtor projects total expenses, on a monthly basis, as follows: $122,503 for April 2024; $118,603 for May 2024; and $118,603 for June 2024. About EGAE, LLC EGAE, LLC owns and operates an apartment building in Anchorage, Alaska. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ala. Case No. 23-00169) on October 5, 2023. In the petition signed by Marc Marlow, manager, the Debtor disclosed up to $50 million in assets and up to $10 million in liabilities. Judge Gary Spraker oversees the case. John C. Smith, Esq., at Gerald K. Smith and John C. Smith Law Offices, PLLC, represents the Debtor as legal counsel. EIGER PHARMACEUTICALS: DOJ Says Lacks Texas for Chapter 11 ---------------------------------------------------------- Mike Vilensky of Bloomberg Law reports that drug developer Eiger Biopharmaceuticals Inc.'s bankruptcy should be transferred or dismissed because the company has no relationship to the Dallas district where it filed, the Justice Department's bankruptcy monitor said. "The history, operations, and corporate structure of the Debtors do not indicate any connections with the Northern District of Texas, much less connections sufficient to create venue in this Court," the US Trustee said in an emergency motion Thursday, April 11, 2024. The request comes amid heightened scrutiny of where companies file for bankruptcy. About Eiger Biopharmaceuticals Palo Alto, California-based Eiger BioPharmaceuticals, Inc., is a commercial-stage biopharmaceutical company focused on the development of innovative therapies for rare metabolic diseases. The Company's shares traded on Nasdaq under the symbol "EIGR". Eiger Biopharmaceuticals Inc. and its subsidiaries sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Lead Case No. 24-80040) on April 1,2024. In its petition, Eiger listed $38.8 million in assets and $53.1 million in liabilities as of the bankruptcy filing. Eiger is represented by Sidley Austin LLP as its legal counsel, Alvarez & Marsal as its financial advisor and SSG Capital Advisors, LLC as its restructuring investment banker. Kurtzman Carson Consultants LLC is the claims agent. FARGO BREWING: Seeks Cash Collateral Access ------------------------------------------- The Fargo Brewing Company, LLC asks the U.S. Bankruptcy Court for the District of North Dakota for authority to use cash collateral and provide adequate protection to the U.S. Small Business Administration. The Debtor must be able to use cash collateral to fund payroll and other employee-related expenses, pay vendors, and make such other payments as are essential for the continued management and operation of the Debtor's business. On January 31, 2017,the Debtor, executed and delivered to BlackRidge Bank as Lender, a Promissory Note in the original principal sum of $1.738 million. This was an SBA guaranteed loan. The assets of BlackRidge Bank were purchased by First Western Bank & Trust and First Western is the current holder of the First Note. On June 22, 2021, Debtor as Borrower and First Western as Lender entered into a Promissory Note in the original principal sum of $243,102. As of the Petition Date, the Debtor is obligated to First Western in the following principal amounts: $1.3 million on the First Note and $154,289 on the Second Note for a total amount of $1.4 million plus accrued and unpaid interest with respect thereto, fees, costs, and other expenses. The Debtor has granted security interests in all or substantially all of its personal property assets to secure its obligations under the First Note and Second Note. First Western perfected a security interest in the Prepetition Collateral by virtue of a UCC-1 financing statement filed with the North Dakota Secretary of State's Office on January 13, 2021 as Document No. 21-000835534-1. The Prepetition Collateral has an estimated liquidation value of $370,743 versus a total debt owing to First Western of $1.400 million. On April 27, 2020, the Debtor executed and delivered to the SBA a Promissory Note in the original principal sum of $158,800 for SBA Loan # x7205. This was a COVID-19 Economic Injury Disaster Loan. A First Modification was executed on August 2, 2021 which increased the amount of the EIDL Loan to $500,000. As of the Petition Date, the Debtor has obligations owing to SBA on the EIDL Note in the sum of $500,000. The SBA perfected a security interest in the Prepetition Collateral by virtue of a UCC-1 financing statement filed with the North Dakota Secretary of State's Office on May 18, 2020, as Document No. 20-000728292-2. SBA has priority over the First Western with respect to the Prepetition Collateral because its financing statement is first in time. The Debtor does not believe the SBA's claim is fully secured because its debt exceeds the value of the Prepetition Collateral. As adequate protection, the SBA will be granted replacement liens on cash collateral pursuant to 11 U.S.C. section 552 in the Debtor's post-petition cash collateral of the same priority, dignity, and effects as the prepetition liens on the Prepetition Collateral. Replacement liens will not attach to avoidance actions or other actions under Chapter 5 of the Bankruptcy Code or any proceeds or recoveries from them. A copy of the Debtor's motion and budget is available at https://urlcurt.com/u?l=XXNYmy from PacerMonitor.com. The Debtor projects total expenses, on a weekly basis, as follows: $19,039 for the week starting April 21, 2024; $7,323 for the week starting April 28, 2024; $25,869 for the week starting May 5, 2024; $6,400 for the week starting May 12, 2024; $18,807 for the week starting May 19, 2024; and $7,699 for the week starting May 26, 2024. About The Fargo Brewing Company, LLC The Fargo Brewing Company, LLC is a craft brewery company. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. N.D. Case No. 24-30152) on April 15, 2024. In the petition signed by Jared Hardy, president, the Debtor disclosed up to $500,000 in assets and up to $10 million in liabilities. Caren Stanley, Esq., at VOGEL LAW FIRM, represents the Debtor as legal counsel. FLOWERS BY EMILY: Hires Krigel Nugent + Moore, P.C. as Counsel -------------------------------------------------------------- Flowers By Emily, Inc. seeks approval from the U.S. Bankruptcy Court for the District of Kansas to employ Krigel Nugent + Moore, P.C. as counsel. The firm will provide these services: a. advise the Debtor with respect to its powers and duties as Debtor and Debtor-in-Possession in the continued management and operation of its business; b. attend meetings and negotiate with representatives of creditors and other parties in interest; c. take all necessary action to protect and preserve the estate; d. prepare on behalf of Debtor all motions, applications, answers, orders, reports and papers necessary to the administration for the estate; e. negotiate and prosecute on the Debtor's behalf all contracts for the sale of assets, plan of reorganization, and all related agreements and documents, take any action that is necessary for the Debtor to obtain confirmation of its Plan of Reorganization; f. appear before this Court and the United States Trustee; g. protect the interests of the Debtor's estate before the Court and the U.S. Trustee; and h. perform all other necessary legal services and provide all other necessary legal advice to the Debtor in connection with this Chapter 11 proceeding. The firm will be paid at these rates: Attorneys $300 to $400 per hour Paralegals $100 per hour The firm received from the Debtor a retainer in the amount of $7,500, plus the filing fee of $1,738 The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Erlene W. Krigel, Esq., a partner at Krigel Nugent + Moore, P.C., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Erlene W. Krigel, Esq. Krigel Nugent + Moore, P.C. 4520 Main Street, Suite 700 Kansas City, MO 64111 Tel: (816) 756-5800 Fax: (816) 756-1999 About Flowers By Emily, Inc. Flowers by Emily, Inc., filed a Chapter 11 bankruptcy petition (Bankr. D. Kan. Case No. 24-20312) on March 22, 2024, disclosing under $1 million in both assets and liabilities. The Debtor is represented by KRIGEL & KRIGEL, PC. FORUM ENERGY: Moody's Alters Outlook on 'B3' CFR to Negative ------------------------------------------------------------ Moody's Ratings affirmed Forum Energy Technologies, Inc.'s Corporate Family Rating at B3, Probability of Default Rating at B3-PD, and senior secured notes' rating at Caa1. Forum's Speculative Grade Liquidity (SGL) rating was downgraded to SGL-4 from SGL-3. The outlook was changed to negative from stable. "The change of Forum Energy's outlook to negative reflects increasing refinancing risks as the company's debt will soon go current which pressures liquidity," commented Jonathan Teitel, a Moody's Ratings Vice President and Senior Analyst. "The affirmation of the ratings with the negative outlook considers the potential for the company to repay its notes by maturity though liquidity would be pressured and there are risks to free cash flow generation in the interim." RATINGS RATIONALE The change in Forum's outlook to negative reflects increasing refinancing risks. It also considers that the company has the potential to repay its notes in 2025 using a combination of cash on the balance sheet, positive free cash flow, and revolver availability. Forum's B3 CFR reflects modest financial leverage and Moody's Ratings' expectation that the company will grow revenue and EBITDA into 2025, both organically and through the acquisition of Variperm Energy Services (Variperm), driving debt/EBITDA lower. Forum has high operating leverage in a competitive and cyclical industry, where revenue is correlated with the volatile rig count. The company benefits from geographic and customer diversification, sales of both capital equipment and consumable products, and products for use through the well lifecycle. It has the ability to grow with minimal capital expenditures but needs to manage significant swings in working capital that could weigh on cash flow. The acquisition of Variperm, which closed in January 2024, provides Forum increased access to the Canadian market and should strengthen its relationships with large customers in Canada. Variperm is a provider of sand and flow control products for use by producers in the Canadian oil sands. The acquisition adds to Forum's size and scale. In the near term, Forum will need to manage inherent execution and integration risks associated with the acquisition. Forum's SGL-4 rating reflects Moody's Ratings' view that the company has weak liquidity driven by debt due in 2025 that will begin going current in May 2024 (specifically, the ABL revolver). In connection with the acquisition of Variperm, Forum extended its ABL revolver to 2028. However, the ABL maturity springs 91 days prior to the secured notes due August 2025 if they are still outstanding at that time. As of December 31, 2023, the company had $46 million of cash on its balance sheet and an undrawn revolver. Upon closing the Variperm acquisition early in January 2024, the company had about $73 million available under its revolver. The revolver has a minimum springing fixed charge coverage ratio covenant of 1x (springing is based on excess availability). Moody's Ratings expects Forum to maintain compliance with this financial covenant into 2025. Forum's senior secured notes due 2025 are rated Caa1, one notch below the CFR. This reflects that the notes are secured by a second lien with respect to the ABL priority collateral. The notes have priority over the seller term loan with respect to non-ABL priority collateral and equal priority with the seller term loan with respect to ABL priority collateral. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Factors that could lead to a downgrade include Moody's Ratings' expectation for reduced free cash flow generation; further weakening of liquidity; or more aggressive financial policies. Factors that could lead to an upgrade include successful integration and operations of the acquired assets; sustained low leverage; and consistent positive free cash flow applied toward debt reduction, as well as an improvement in the liquidity position. Forum, headquartered in Houston, Texas is a publicly traded company with equipment sales primarily to the oil and gas industry. The principal methodology used in these ratings was Oilfield Services published in January 2023. FRIENDS OF DOLPHINS: Case Summary & Three Unsecured Creditors ------------------------------------------------------------- Debtor: Friends of Dolphins, Inc. d/b/a Splash Car Wash 113 South Valrico Road Valrico, FL 33594 Business Description: The Debtor offers automotive repair and maintenance services. Chapter 11 Petition Date: April 18, 2024 Court: United States Bankruptcy Court Middle District of Florida Case No.: 24-02130 Judge: Hon. Roberta A Colton Debtor's Counsel: Michael A. Stavros, Esq. DAVID JENNIS, PA DBA JENNIS MORSE 606 East Madison Street Tampa, FL 33602 Tel: (813) 229-2800 Email: ecf@JennisLaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Tazine Roshandli Jaffer as director. A full-text copy of the petition containing, among other items, a list of the Debtor's three unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/XWYRHVY/Friends_of_Dolphins_Inc__flmbke-24-02130__0001.0.pdf?mcid=tGE4TAMA FTX GROUP: Bankman-Fried Plans to Appeal 25-Year Sentence --------------------------------------------------------- Ava Benny-Morrison of Bloomberg News reports that FTX co-founder Sam Bankman-Fried will appeal his conviction and 25-year prison sentence for committing a multibillion dollar fraud at his once-thriving cryptocurrency exchange. The 32-year-old filed a notice of appeal in federal court in Manhattan Thursday, April 11, 2024, formally starting the process to have his conviction and punishment overturned. The filing comes two weeks after Judge Lewis A. Kaplan sentenced Bankman-Fried to more than two decades in prison, finding the former chief executive officer was not truly remorseful for the "very serious crime." A jury had convicted the MIT graduate of fraud following a high-profile trial in late 2023. About FTX Group FTX is the world's second-largest cryptocurrency firm. FTX is a cryptocurrency exchange built by traders, for traders. FTX offers innovative products including industry-first derivatives, options, volatility products and leveraged tokens. Then CEO and co-founder Sam Bankman-Fried said Nov. 10, 2022, that FTX paused customer withdrawals after it was hit with roughly $5 billion worth of withdrawal requests. Faced with liquidity issues, FTX on Nov. 9, 2022, struck a deal to sell itself to its giant rival Binance, but Binance walked away from the deal amid reports on FTX regarding mishandled customer funds and alleged US agency investigations. Bankman-Fried agreed to step aside, and restructuring vet John J. Ray III was quickly named new CEO. FTX Trading Ltd (d/b/a FTX.com), West Realm Shires Services Inc. (d/b/a FTX US), Alameda Research Ltd. and certain affiliated companies then commenced Chapter 11 proceedings (Bankr. D. Del. Lead Case No. 22-11068) on an emergency basis on Nov. 11, 2022. Additional entities sought Chapter 11 protection on Nov. 14, 2022. FTX Trading and its affiliates each listed $10 billion to $50 billion in assets and liabilities, making FTX the biggest bankruptcy filer in the US this year. According to Reuters, SBF shared a document with investors on Nov. 10, 2022, showing FTX had $13.86 billion in liabilities and $14.6 billion in assets. However, only $900 million of those assets were liquid, leading to the cash crunch that ended with the company filing for bankruptcy. The Hon. John T. Dorsey is the case judge. The Debtors tapped Sullivan & Cromwell, LLP as bankruptcy counsel; Landis Rath & Cobb, LLP as local counsel; and Alvarez & Marsal North America, LLC as financial advisor. Kroll is the claims agent, maintaining the page https://cases.ra.kroll.com/FTX/Home-Index The Official Committee of Unsecured Creditors tapped Paul Hastings as counsel, FTI Consulting, Inc., as financial advisor, and Jefferies LLC as the investment banker. Young Conaway Stargatt & Taylor LLP is the Committee's Delaware and conflicts counsel. Montgomery McCracken Walker & Rhoads LLP, led by partners Gregory T. Donilon, Edward L. Schnitzer, and David M. Banker, is representing Sam Bankman-Fried in the Chapter 11 cases. White-collar crime specialist Mark S. Cohen has reportedly been hired to represent SBF in litigation. Lawyers at Paul Weiss previously represented SBF but later renounced representing the entrepreneur due to a conflict of interest. FTX TRADING: Examiner Hires Ashby & Geddes as Delaware Counsel -------------------------------------------------------------- Robert J. Cleary, the Examiner of FTX Trading Ltd., seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Ashby & Geddes, P.A. as Delaware counsel. The firm will provide these services: a. represent and assist him and his lead counsel in the discharge of his duties and responsibilities as Examiner pursuant to the Examination Scope Order, other orders of this Court, and applicable law; b. assist him and his lead counsel in preparing reports, including the report contemplated by the Examination Scope Order; c. represent him in the preparation of motions, applications, notices, orders and other documents necessary to discharge his duties as Examiner; d. represent him at hearings and other proceedings before this Court, or any other court if necessary; e. analyze and advise him regarding any legal issues that arise in connection with the discharge of his duties as Examiner; f. assist him and his lead counsel with interviews, examinations, and the review of documents and other materials in connection with his investigation; g. perform all other necessary legal services on behalf of the Examiner in connection with these Chapter 11 Cases; and h. assist him in undertaking any additional tasks or duties the Court might direct or that he might determine are necessary and appropriate in his role as Examiner. The firm will be paid at these rates: Partners $750 to $925 per hour Counsel $620 to $730 per hour Associates $395 to $550 per hour Paralegals $335 to $375 per hour Practice Support $275 to $325 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Michael D. Debaecke, Esq., of counsel at Ashby & Geddes, P.A., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Michael D. Debaecke, Esq. Ashby & Geddes, P.A. 500 Delaware Avenue, 8th Floor Wilmington, DE 19801 Tel: (302) 654-1888 About FTX Trading Ltd. FTX is the world's second-largest cryptocurrency firm. FTX is a cryptocurrency exchange built by traders, for traders. FTX offers innovative products including industry-first derivatives, options, volatility products and leveraged tokens. Then CEO and co-founder Sam Bankman-Fried said Nov. 10, 2022, that FTX paused customer withdrawals after it was hit with roughly $5 billion worth of withdrawal requests. Faced with liquidity issues, FTX on Nov. 9 struck a deal to sell itself to its giant rival Binance, but Binance walked away from the deal amid reports on FTX regarding mishandled customer funds and alleged US agency investigations. At 4:30 a.m. on Nov. 11, Bankman-Fried ultimately agreed to step aside, and restructuring vet John J. Ray III was quickly named new CEO. FTX Trading Ltd (doing business as FTX.com), West Realm Shires Services Inc. (doing business as FTX US), Alameda Research Ltd. and certain affiliated companies then commenced Chapter 11 proceedings (Bankr. D. Del. Lead Case No. 22-11068) on an emergency basis on Nov. 11, 2022. More entities sought Chapter 11 protection on Nov. 14, 2022. FTX Trading and its affiliates each listed $10 billion to $50 million in assets and liabilities, making FTX the biggest bankruptcy filer in the US this year. According to Reuters, SBF shared a document with investors on Nov. 10 showing FTX had $13.86 billion in liabilities and $14.6 billion in assets. However, only $900 million of those assets were liquid, leading to the cash crunch that ended with the company filing for bankruptcy. The Hon. John T. Dorsey is the case judge. The Debtors tapped Sullivan & Cromwell, LLP as bankruptcy counsel; Landis Rath & Cobb, LLP as local counsel; and Alvarez & Marsal North America, LLC as financial advisor. Kroll is the claims and noticing agent. The official committee of unsecured creditors tapped Paul Hastings, LLP as bankruptcy counsel; FTI Consulting, Inc. as financial advisor; and Jefferies, LLC as the investment banker. Young Conaway Stargatt & Taylor, LLP is the committee's Delaware and conflicts counsel. Montgomery McCracken Walker & Rhoads LLP, led by partners Gregory T. Donilon, Edward L. Schnitzer, and David M. Banker, is representing Sam Bankman-Fried in the Chapter 11 cases. White collar crime specialist Mark S. Cohen has reportedly been hired to represent SBF in litigation. Lawyers at Paul Weiss previously represented SBF but later renounced representing the entrepreneur due to a conflict of interest. Robert J. Cleary was appointed as examiner in these Chapter 11 cases. He tapped Patterson Belknap Webb & Tyler LLP as his counsel. GENERAL ENTERPRISE: WWC PC Raises Going Concern Doubt ----------------------------------------------------- General Enterprise Ventures, Inc. disclosed in a Form 10-K Report filed with the U.S. Securities and Exchange Commission for the fiscal year ended December 31, 2023, that its auditor expressed that there is substantial doubt about the Company's ability to continue as a going concern. San Mateo, California-based WWC, P.C., the Company's auditor since 2018, issued a "going concern" qualification in its report dated April 15, 2024, citing that the Company incurred substantial losses during the year ended December 31, 2023. As of December 31, 2023, the Company had a working capital deficit. Accordingly, these factors give rise to substantial doubt that the Company will be able to continue as a going concern. The Company incurred a net loss of $9,855,019, for the year ended December 31, 2023, compared to a net loss of $2,907,828 for the corresponding year ended December 31, 2022. As of December 31, 2023, the Company had $5,303,144 in total assets, $1,667,832 in total liabilities, and $3,635,312 in total stockholders' equity. A full-text copy of the Company's Form 10-K is available at https://tinyurl.com/4dmuuhub About General Enterprise Ventures General Enterprise Ventures, Inc. is an environmentally sustainable flame retardant and flame suppression company for the residential home industry throughout the United States and international markets. Management is experienced at business integration and branding potential. The Company is bringing to the marketplace unique, disruptive products with significant environmental impact potential. GLOBAL MEDICAL: Moody's Ups CFR to B3 & Alters Outlook to Stable ---------------------------------------------------------------- Moody's Ratings upgraded Global Medical Response, Inc.'s ("GMR") Corporate Family Rating to B3 from Caa2 and the Probability of Default Rating to B3-PD from Caa2-PD. At the same time, Moody's Ratings assigned B3 ratings to GMR's new proposed senior secured first lien term loan and senior secured notes. There is no action on the Caa2 ratings of GMR's existing senior secured first lien term loan, term loan and notes, which may be withdrawn once the transaction closes. The outlook is revised to stable from negative. On April 16, 2024, GMR announced a transaction to amend and extend its existing $3.757 billion first lien term loans maturing in March 2025 and October 2025 to a new $3.566 billion first lien term loan that matures in October 2028. In addition, GMR will exchange its existing $600 million 6.5% senior secured notes maturing in October 2025 to new $600 million 9.5% senior secured notes that mature in October 2028. GMR will also raise $948 million of new payment-in-kind (PIK) preferred equity to repay the $600 million second lien term loan in full, add approximately $85 million of cash to the balance sheet, cover approximately $71 million in PIK original issue discount (OID), while also reducing first lien term loan by approximately $200 million. Moody's Ratings considers components of this transaction, including the conversion of some interest payments to pay-in-kind, to represent an economic loss to the term loan and note holders. Moody's Ratings will append an /LD to the PDR upon transaction close, signifying a limited default. The /LD designation reflects Moody's Ratings view that the transaction constitutes a distressed exchange, which is a default under Moody's Ratings definition. Moody's Ratings will remove the /LD designation from the PDR in approximately three business days from the time of designation. The ratings upgrade reflects Moody's Ratings view that the company's financial leverage and liquidity will improve with this transaction. Further, the transaction will extend the company's debt maturities to October 2028. Despite upcoming reimbursement risk, specifically with the Veterans Affairs (VA), Moody's Ratings believes that GMR can withstand a material rate rebasing when the new VA rule goes into effect primarily driven by the company's diverse medical transportation segments and payor mix. Moody's Ratings estimates that the company's pro forma debt/EBITDA is in the low 6 times range following the debt recapitalization transaction. Further, Moody's Ratings believes that GMR's operating performance continues to improve through early 2024. The outlook is stable. Moody's Ratings expects GMR will operate with good liquidity and financial leverage in the mid-to-high 5 times range in the next 12-18 months. Governance risk considerations are material to the rating action. The recapitalization transaction will improve GMR's liquidity by adding cash to the balance sheet and extending the maturity profile of the capital structure, a positive governance consideration. However, there are components of the transaction that represent an economic loss to the existing debt holders, which Moody's Ratings considers a limited default under the rating agency's definition. RATINGS RATIONALE GMR's B3 CFR reflects the company's high financial leverage. Moody's Ratings expects the company's debt/EBITDA to remain in the mid-to-high 5 times range over the next 12-18 months. The rating is constrained by GMR's exposure to weather fluctuations in the air medical transport business, certain labor pressures, and continued uncertainty surrounding reimbursement, specifically with the potential for the implementation of the VA rate rebasing rule in February 2025. The rating is also constrained by headline risk, with multiple fatal aviation accidents in the past 18 months. GMR's rating benefits from the company's scale and leading position as a provider of end-to-end medical transportation and healthcare services in the United States. The company also benefits from significant diversification by geography, payors and service lines, as well as growing predictability of revenues from increasingly in-network commercial payor sources. Moody's Ratings expects GMR to have good liquidity over the next 12 months. Following the debt recapitalization transaction, GMR will have approximately $200 million of cash and approximately $500 million of availability on its $700 million ABL facility. The ABL facility expires in 2027 and is restricted by approximately $200 million of letters of credit. Moody's Ratings expects GMR will generate positive free cash flow over the next 12 months before paying approximately $37 million of mandatory term loan amortization. That said, free cash flow generation beyond the next 12 months could be hindered if and when the VA rate rebasing rule goes into effect in early 2025. GMR has a minimum fixed charge covenant of 1.0x if availability under the ABL drops below the greater of $49 million and 10% of the line cap (defined as the lesser of the facility size and borrowing base). Moody's Ratings expects adequate cushion should the covenant be tested. The B3 rating of the senior secured term loan and notes is the same as the B3 CFR, reflecting the existence of sizeable higher-ranked debt (ABL and aircraft secured notes). The senior secured debt has a first lien security pledge on all assets (excluding aircraft), capital stock and intercompany debt of the borrower and guarantors. An exception to this are the assets securing the company's ABL facility, on which it has a second lien pledge. The ABL collateral includes cash, accounts receivables, inventory, spare parts, among other items. ESG CONSIDERATIONS GMR's CIS-4 (previously CIS-5) indicates that the rating is lower than it would have been if ESG risk exposures did not exist. Primary drivers of the CIS-4 include governance risks G-4 (previously G-5), driven by the company's aggressive financial policies vis-à-vis high financial leverage and recent distressed exchange transaction. The score also reflects exposure to social risks (S-4), most notably with human capital and the company's susceptibility to labor shortages with pilots, EMTs, paramedics, and nurses. GMR also has exposure to health and safety risks, as the company must maintain a strong safety track record with both its employees and patients while operating under difficult conditions at times. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if the company materially improves its earnings (including a reduction in EBITDA add-backs), cash flows and interest coverage. Quantitatively, the ratings could be upgraded if debt-to-EBITDA is sustained below 5.5 times on a Moody's Ratings adjusted basis. GMR's ratings could be downgraded if the company's liquidity weakens, evident with sustained negative free cash flow. The ratings could be downgraded if the company experiences a material deterioration in operating performance, EBITDA, and earnings quality. Ratings could be downgraded if reimbursement pressures (specifically with the VA rule) exceed Moody's Ratings expectations. Ratings could also be downgraded if the company exhibits aggressive financial policies, such as debt-funded acquisitions or shareholder distributions. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. Global Medical Response, Inc. provides air, ground, specialty and residential fire services, and managed medical transportation through its wholly-owned subsidiaries -- Air Medical Group Holdings LLC and AMR Holdco, Inc. The company is owned by investment funds affiliated with investment firm Kohlberg Kravis Roberts & Co. (KKR). Net revenues were approximately $5.4 billion for the last twelve months ended December 31, 2023. GLOBAL VALUES: Court OKs Cash Collateral Access Thru June 30 ------------------------------------------------------------ The U.S. Bankruptcy Court for the Middle District of Georgia, Athens Division, authorized Global Values, Inc. and Global Values VT, LLC to use cash collateral on an interim basis, in accordance with the budget, through June 30, 2024. The Debtors acknowledge that as of the Petition Date they are indebted to Community National Bank in the aggregate amount of $3.779 million in principal, $405,260 in interest, $11,782 in attorney's fees, and $23,138 in late fees, for a total amount due to CNB as of the Petition Date of $4.3 million and that CNB alleges that the CNB Debt is secured by first priority liens against real estate located at 19 South Front Street, Barre, Vermont, 25 South Front Street, Barre, Vermont, Vanetti Place, Barre, Vermont, and all business assets of the Debtors. The CNB Debt constitutes the legal, valid, and binding obligation of the Debtors, jointly and severally, enforceable in accordance with the prepetition loan documents between the Debtors and CNB. The Debtors acknowledge that as of the Petition Date the Vermont Economic Development Authority and the Vermont Small Business Development Corporation allege that the Debtors are jointly and severally indebted to (i) VEDA in the aggregate amount of principal of $447,641, interest of $13,760, and attorney's fees of $2,024 and (ii) VSBDC in the aggregate amount of principal of $170,629 and interest of $5,645. The Debtors further acknowledge that VEDA and VSBDC allege that (i) the alleged debts to VEDA are secured by a mortgage on 19 South Front Street Barre, Vermont and by UCC liens on the Debtors' business assets and (ii) the alleged debts to VSBDC are secured by a mortgage on 25 South Front Street, Barre, Vermont. As adequate protection, CNB is granted replacement liens and security interests in any and all assets acquired by the Debtors after the Petition Date of the same kind, category, and character that CNB held a perfected lien against as of the Petition Date. The Debtors will pay when due postpetition property taxes with respect to real property located at 19 South Front Street, Barre, Vermont; 25 South Front Street, Barre, Vermont; and Vanetti Place Barre, Vermont and provide proof of payment to CNB at the time payment is made. The Debtors will also maintain property insurance on the properties collateralizing Respondents' and other secured parties' purported secured claims. The Debtors are directed to use their best efforts to sell their businesses and their real and personal property at a Court-approved sale under 11 U.S.C. Section 363. The Debtors will comply with the following timeline in connection with any such sale: a. The Debtors must receive an offer to purchase or file an application to employ an auction company or other sale-related professional that is acceptable to CNB no later than April 30, 2024; b. The Debtors must receive a fully executed purchase and sale contract and file a motion to approve the sale no later than May 15, 2024; c. A sale closing or other Court-authorized asset disposition must be conducted on or before June 28, 2024. A final hearing on the matter is set for June 20 at 10:30 a.m. A copy of the court's order and the Debtor's budget is available at https://urlcurt.com/u?l=VG6Us7 from PacerMonitor.com. The Debtor projects total expenses, on a monthly basis, as follows: $337,740 for April 2024; $337,740 for May 2024; and $337,740 for June 2024. About Global Values, Inc. Global Values, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Ga. Case No. 23-30612) on December 4, 2023. In the petition signed by Anand S. Anandan, president, the Debtor disclosed up to $50 million in both assets and liabilities. Judge James Smith oversees the case. David L. Bury, Jr., Esq., at Stone and Baxter, LLP, represents the Debtor as legal counsel. GRESHAM WORLDWIDE: Incurs $15.3 Million Net Loss in 2023 -------------------------------------------------------- Gresham Worldwide, Inc. filed with the Securities and Exchange Commission its Annual Report on Form 10-K reporting a net loss of $15.27 million on $37.83 million of revenues for the year ended Dec. 31, 2023, compared to a net loss of $18.42 million on $30.26 million of revenues for the year ended Dec. 31, 2022. As of Dec. 31, 2023, the Company had $31.93 million in total assets, $35 million in total liabilities, and a total stockholders' deficit of $3.07 million. New York, New York-based Marcum LLP, the Company's auditor since 2021, issued a "going concern" qualification in its report dated April 15, 2024, citing that the Company has a significant working capital deficiency, has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. A full-text copy of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/719274/000095017024044482/giga-20231231.htm About Gresham Worldwide Gresham Worldwide, Inc., formerly Giga-tronics, Incorporated, designs, manufactures and distributes purpose-built electronics equipment, automated test solutions, power electronics, supply and distribution solutions, as well as radio, microwave and millimeter wave communication systems and components for a variety of applications with a focus on the global defense industry and the healthcare market. GRID AT MESA: Seeks to Tap May Potenza Baran as Chapter 11 Counsel ------------------------------------------------------------------ The Grid at Mesa, LLC seeks approval from the U.S. Bankruptcy Court for the District of Arizona to hire May Potenza Baran & Gillespie P.C. as its Chapter 11 counsel. The firm will render these services: a. prepare pleadings and applications and conducting of examinations incidental to estate administration b. advise the Debtor of its rights, duties, and obligations under Chapter 11 of the Bankruptcy Code; c. take any and all other necessary action incident to the proper preservation and administration of this Chapter 11 estate d. advise the Debtor in the formulation and presentation of a sale and/or a plan pursuant to Chapter 11 of the Bankruptcy Code, the disclosure statement and concerning any and all matters relating to the case. Hourly fees MPBG will charge are: Grant L. Cartwright $395 Andrew A. Harnisch $395 Elizabeth Luna (paralegal) $165 Andrew A. Harnisch, partner with the law firm of May, Potenza, Baran & Gillespie, P.C., attests that his firm is a "disinterested person," as that term is defined in Section 101(14) and does not hold an interest adverse to the estate. MPBG can be reached through: Grant L. Cartwright, Esq. Andrew A. Harnisch, Esq. MAY, POTENZA, BARAN & GILLESPIE, P.C. 201 N. Central Avenue, Suite 2200 Phoenix, AZ 85004-0608 Tel: (602) 252-1900 Fax: (602) 252-1114 E-mail: gcartwright@maypotenza.com aharnisch@maypotenza.com About The Grid at Mesa, LLC The Grid at Mesa, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Ariz. Case No. 24-02408) on March 20, 2024, listing $10 million to $50 million in assets and liabilities. The petition was signed by Mitch Pinkard as authorized representative of the Debtor. Grant L. Cartwright, Esq. at MAY POTENZA BARAN & GILLESPIE, PC represents the Debtor as counsel. HARBOR DRIVE: Case Summary & Nine Unsecured Creditors ----------------------------------------------------- Debtor: Harbor Drive LLC 64 Harbor Drive Brooklyn New York 11234 Business Description: Harbor Drive is the owner of a parcel of real property in Brooklyn, NY encumbered by a mortgage lien. Chapter 11 Petition Date: April 18, 2024 Court: United States Bankruptcy Court Eastern District of New York Case No.: 24-41656 Judge: Hon. Elizabeth S. Stong Debtor's Counsel: Stacey Simon Reeves, Esq. LAW OFFICE OF STACEY SIMON REEVES 3220 Fairfield Avenue 7A Bronx New York 10463 Tel: (347) 340-1008 Fax: (718) 593-4485 Email: stacey_simon@msn.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Dexter Williams as member. A full-text copy of the petition containing, among other items, a list of the Debtor's nine unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/3UPTOKI/Harbor_Drive_LLC__nyebke-24-41656__0001.0.pdf?mcid=tGE4TAMA HELIUS MEDICAL: Receives Nasdaq Non-Compliance Notice ----------------------------------------------------- Helius Medical Technologies, Inc. disclosed in Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company received written notice from the Nasdaq Stock Market LLC stating that the Company no longer complies with the minimum stockholders' equity requirement under Nasdaq Listing Rule 5550(b)(1) for continued listing on The Nasdaq Stock Market LLC because the Company's stockholders' equity, as reported in the Company's Annual Report on Form 10-K for the fourth quarter and year ended December 31, 2023, has fallen below $2.5 million. The notice also indicates that the Company does not meet the alternative compliance standards. Under applicable Nasdaq rules, the Company has 45 calendar days from the date of the notice, or until May 20, 2024, to submit a plan to regain compliance. The Company intends to timely submit such a plan to Nasdaq. If the Company's plan is accepted, Nasdaq may grant the Company an extension of up to 180 calendar days from the date of the notice to evidence compliance. The notice has no immediate impact on the listing of the Company's common stock, which will continue to trade on The Nasdaq Stock Market LLC under the symbol "HSDT". 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. Minneapolis, Minnesota-based Baker Tilly US, LLP, the Company's auditor since 2022, issued a "going concern" qualification in its report dated March 28, 2024, 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. These are the reasons that raise substantial doubt about its ability to continue as a going concern. HEYCART INC: U.S. Trustee Appoints Creditors' Committee ------------------------------------------------------- The U.S. Trustee for Region 16 appointed an official committee to represent unsecured creditors in the Chapter 11 case of Heycart Inc. The committee members are: 1. Yangjian Kimberi Industry and Trade Co., Ltd c/o Bihe Zhao No. I2, Nawei Industrial Zone II Dongcheng Town, Yangdong District 529900 Yangjiang Guangdong Sheng, China Phone: +86 18718768077 Email: ke14@kimberi.com.cn 2. Xiamen Ruihe Xingyi Trading Co., Ltd. c/o Jeffrey M. Simon, Esq. c/o Yongyuan “Henry” Li, Esq. YK Law LLP 4 Park Plaza, #1040, Irvine, CA 92614 Phone: (213) 558-3418 Email: hli@yklaw.us Email: jsimon@yklaw.us 3. BlueX Trade, Inc. c/o Ajay Gupta, Esq. Gupta Evans & Ayres, PC 5353 Mission Center Road, Suite 215 San Diego, CA 92108 Phone: (619) 866-3444 Email: ag@socal.law 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 Heycart Inc. Heycart Inc. is primarily engaged in selling utensils, ceramic dishes, reusable labels and wine accessories. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 24-10483) on February 28, 2024. In the petition signed by Aiden Chien, chief operating officer, the Debtor disclosed $1,231,380 in assets and $23,500,047 in liabilities. Judge Theodor Albert oversees the case. Zev Schechtman, Esq., at Saul Ewing, LLP represents the Debtor as legal counsel. HISTOGEN INC: Files for Chapter 11 to Facilitate Wind-Down ---------------------------------------------------------- Histogen Inc., a drug development company for treatment of bacterial skin infections, on April 18 disclosed that it has filed voluntary petitions for relief under subchapter V of Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Southern District of California to confirm a plan of liquidation that will distribute all value to stakeholders, including shareholders. Histogen intends to promptly propose and confirm a plan of liquidation and make distributions to the benefit of its estate. The Company announced on September 18, 2023, that it had discontinued further development and would seek approve for a Plan of Dissolution. Histogen is represented by DLA Piper, LLP as its legal counsel and Armanino LLP as its financial advisor. About Histogen Histogen Inc. was a clinical-stage therapeutics company focused on developing potential clinical and preclinical drugs for a variety of antiapoptotic and anti-inflammatory effects. HURLBURT CONSTRUCTION: Taps SF Business Solutions as Accountant --------------------------------------------------------------- Hurlburt Construction, LLC seeks approval from the U.S. Bankruptcy Court for the District of New Mexico to employ Muneeb Baig of SF Business Solutions as its accountant. The professional services to be performed by the accountant are: a) update and maintain the Debtor's books and accounts; b) prepare appropriate tax returns for the Debtor; c) aid the Debtor's attorneys in all negotiations; and, d) perform all of the accounting services for the Debtor as Debtor-in-Possession, as may be necessary. Mr. Baig will charge $25 per hour for his services. SF Business Solutions represents no interest adverse to the Debtor or its estate in matters upon which it is to be engaged, according to court filings. The firm can be reached through: Muneeb Baig SF Business Solutions 13624 Dessau Rd Pflugerville, TX 78660 About Hurlburt Construction, LLC Hurlburt Construction, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.N.M. Case No. 24-10348) on April 5, 2024, listing $723,954 in assets and $1,746,204 in liabilities. The petition was signed by Eric Dick as manager/member. Judge Robert H. Jacobvitz presides over the case. Michael R. Nevarez, Esq. at THE NEVAREZ LAW FIRM, PC represents the Debtor as counsel. IAMGOLD CORP: Boosts Cashflow With Gold Prepay Arrangements ----------------------------------------------------------- IAMGOLD Corporation announced that it has entered into a forward gold sale arrangement and a partial amendment to one of its existing gold prepay arrangements. The net result of these Arrangements is the effective transition of current gold delivery obligations totaling 37,500 ounces out of the second quarter of 2024 into the same period in the following year, increasing cashflow in Q2 2024 by approximately $73.6 million assuming current gold prices. "The deferral of the prior prepay arrangement for gold deliveries out of the second quarter provides additional liquidity during a period when our Côté Gold mine is taking its first steps toward commercial production, following a successful start of production and commissioning of all major equipment," said Renaud Adams, President and CEO of IAMGOLD. "In the current strong gold price environment, we saw an opportunity to further strengthen our balance sheet against other risks, including potential further delays in the closing of the two remaining transactions for the West Africa exploration assets, which are still expected to close this year. Initial ramp up activities at Côté Gold are progressing well, with a high degree of confidence in achieving commercial production in the third quarter towards our goal of Côté operations reaching 90% throughput exiting 2024." Maarten Theunissen, Chief Financial Officer of IAMGOLD commented: "The deferral arrangement allows us sell 6,250 ounces in the current gold price environment by deferring the physical delivery into the arrangement to the second quarter of 2025. The prepay allows us to realize value on the sale of 31,250 gold ounces at a floor price of $2,100 per ounce while maintaining upside exposure on these ounces up to a gold price of $2,925 per ounce. Further, the arrangements were very competitive on a cost of capital basis versus drawing on the credit facility during the ongoing pre-commercial ramp up of operations at Côté." Under the 2025 Q2 Prepay Arrangement, the Company will receive a prepayment amount of $59.4 million during Q2 2024 in exchange for delivering 31,250 ounces in the second quarter of 2025. The Q2 Deferral Prepay Arrangement allows for the deferral of 6,250 ounces that were previously scheduled for delivery in Q2 2024, under the existing gold prepay arrangements entered into in 2022 (the "2022 Prepay Arrangements"), to now be delivered in Q2 2025. This deferral allows for the Company to sell the equivalent ounces in Q2 2024 which equates to approximately $14.2 million at current spot prices. The combined Arrangements effectively transition the cashflow impact of the prior obligation, as defined in the 2022 Prepay Arrangements, to deliver 37,500 ounces in the second quarter 2024 to the second quarter of 2025. The Arrangements are supported by the Company's syndicate of banks under its revolving credit facility. Key terms of the 2025 Q2 Prepay Arrangement are as follows: * Funding of $59.4 million is provided to IAMGOLD at an effective gold price of $1,900 per ounce (net of financing costs) and paid equally in three monthly increments in the second quarter of 2024 for physical delivery of 31,250 ounces of gold over the period of April 2025 to June 2025. * The arrangement has a collar range of $2,100 to $2,925 and IAMGOLD will receive a cash payment based on the market price, if it is within the collar range in the month of delivery. * Delivery can be made from the production of gold from any of IAMGOLD's operating mines. Key terms of the Q2 Deferral Prepay Arrangement are as follows: * Deferral of the delivery of 6,250 ounces from Q2 2024 under the 2022 Prepay Arrangements to Q2 2025. The ounces that are deferred were previously funded at a forward price of $1,753 per ounce. * The Company will make a cash payment of $0.6 million in total at the time of delivery in Q2 2025 in consideration for the deferral. * Delivery can be made from the production of gold from any of IAMGOLD's operating mines. As background, during 2021, the Company entered the 2022 Prepay Arrangements in respect of 150,000 gold ounces. These arrangements had an average forward contract pre-funded price of $1,753 per ounce on 50,000 gold ounces and a collar range of $1,700 to $2,100 per ounce on the remaining 100,000 gold ounces. The Company received $236.0 million in 2022 and was to physically deliver the 150,000 ounces in equal monthly increments of 12,500 ounces (37,500 ounces quarterly) over the course of 2024. On December 18, 2023, IAMGOLD announced similar gold prepay arrangements to defer the gold deliveries due in the first quarter of 2024 into the first quarter of 2025. About IAMGOLD Corporation Headquartered in Toronto, Canada, IAMGOLD Corporation is an intermediate gold producer and developer based in Canada with operating mines in North America and West Africa. In June 2023, S&P Global Ratings revised its outlook on IAMGOLD Corp. to positive from negative and affirmed its 'CCC+' issuer credit rating. At the same time, S&P lowered its issue-level rating on the company's unsecured notes to 'CCC' from 'CCC+' and revised its recovery rating to '5' from '4'. In September 2023, Egan-Jones Ratings Company maintained its 'B+' foreign currency and local currency senior unsecured ratings on debt issued by IAMGOLD. IAMGOLD CORP: Swings to $103.8 Million Net Income in 2023 --------------------------------------------------------- IAMGOLD Corporation filed with the U.S. Securities and Exchange Commission its Annual Report on Form 6-K, disclosing a net income of $103.8 million on $987.1 of revenue for the year ended December 31, 2023, compared to a net loss of $52.8 million on $958.8 million of revenue for the same period in 2022. As of December 31, 2023, the Company had $4.54 billion in total assets, $2.27 billion in total liabilities, and $2.26 billion in total equity. A full-text copy of the Company's Annual report is available at https://tinyurl.com/48phv2cy About IAMGOLD Corporation Headquartered in Toronto, Canada, IAMGOLD Corporation is an intermediate gold producer and developer based in Canada with operating mines in North America and West Africa. In June 2023, S&P Global Ratings revised its outlook on IAMGOLD Corp. to positive from negative and affirmed its 'CCC+' issuer credit rating. At the same time, S&P lowered its issue-level rating on the company's unsecured notes to 'CCC' from 'CCC+' and revised its recovery rating to '5' from '4'. In September 2023, Egan-Jones Ratings Company maintained its 'B+' foreign currency and local currency senior unsecured ratings on debt issued by IAMGOLD. IAMGOLD CORP: To Hold Conference Call on May 10 to Discuss Results ------------------------------------------------------------------ IAMGOLD Corporation announced that it plans to release its first quarter 2024 operating and financial results after market hours on, May 9, 2024. Senior management will host a conference call to discuss the operating performance and financial results on May 10, 2024. About IAMGOLD Corporation Headquartered in Toronto, Canada, IAMGOLD Corporation is an intermediate gold producer and developer based in Canada with operating mines in North America and West Africa. In June 2023, S&P Global Ratings revised its outlook on IAMGOLD Corp. to positive from negative and affirmed its 'CCC+' issuer credit rating. At the same time, S&P lowered its issue-level rating on the company's unsecured notes to 'CCC' from 'CCC+' and revised its recovery rating to '5' from '4'. In September 2023, Egan-Jones Ratings Company maintained its 'B+' foreign currency and local currency senior unsecured ratings on debt issued by IAMGOLD. IBIO INC: ADAR1 Partners, 3 Others Report 9.27% Equity Stake ------------------------------------------------------------ ADAR1 Partners, LP, ADAR1 Capital Management, LLC, ADAR1 Capital Management GP, LLC, and Daniel Schneeberger disclosed in Schedule 13G Report filed with the U.S. Securities and Exchange Commission that as of March 26, 2024, they beneficially owned 789,293 shares of iBio, Inc.'s Common Stock representing 9.27% of the Shares outstanding, based on 8,515,226 Shares outstanding as of April 1, 2024, as reported in iBio, Inc.'s Current Report on Form 8-K filed with the Securities and Exchange Commission on April 1, 2024. This Schedule relates to shares of common stock of the Issuer, par value $0.001 per share, directly held by ADAR1 Fund. ADAR1 Capital Management acts as an investment adviser to, and manages investment and trading accounts of, ADAR1 Fund. ADAR1 General Partner acts as the general partner of ADAR1 Fund. ADAR1 Capital Management and ADAR1 General Partner may be deemed to indirectly beneficially own securities held by ADAR1 Fund. Schneeberger is the Manager of ADAR1 Capital Management and ADAR1 General Partner. Mr. Schneeberger may be deemed to indirectly beneficially own securities held by ADAR1 Fund. A full-text copy of the Report is available at https://tinyurl.com/mwkzryy8 About iBio Inc. iBio, Inc. -- http://www.ibioinc.com-- is a preclinical stage biotechnology company that leverages the power of Artificial Intelligence (AI) for the development of precision antibodies. Its proprietary technology stack is designed to minimize downstream development risks by employing AI-guided epitope-steering and monoclonal antibody (mAb) optimization. iBio reported a net loss available to the Company's stockholders of $65.01 million for the year ended June 30, 2023, compared to a net loss available to stockholders of $50.39 million for the year ended June 30, 2022. As of June 30, 2023, the Company had $41.21 million in total assets, $25.83 million in total liabilities, and $15.38 million in total stockholders' equity. Holmdel, New Jersey-based CohnReznick LLP, the Company's auditor since 2010, issued a "going concern" qualification in its report dated Sept. 27, 2023, citing that the Company has suffered recurring losses from operations and negative cash flows from operating activities for the years ended June 30, 2023 and 2022 and has an accumulated deficit as of June 30, 2023. These matters, among others, raise substantial doubt about its ability to continue as a going concern. INFINITY COMMERCIAL: Taps DeConcini McDonald as Bankruptcy Counsel ------------------------------------------------------------------ Infinity Commercial Insurance Incorporated seeks approval from the U.S. Bankruptcy Court for the District of Arizona to employ DeConcini McDonald Yetwin & Lacy, P.C. as its attorneys. The professional services that DeConcini is to render include: a. give the Debtor legal advice with respect to its powers and duties of a debtor and debtor-in-possession; b. give the Debtor legal advice with respect to the sale or disposition of estate assets, if necessary; c. take required action to recover certain property and money owed to the Debtor, if necessary; d. prepare on behalf of the Debtor, the necessary statements, schedules, complaints, answers, applications, orders, reports, plan of reorganization, motions, objections, and other legal documents; and e. perform all other legal services that the Debtor deems necessary. The firm will be paid at these rates: Jody A. Corrales $375 per hour Paraprofessionals $185 per hour Jody Corrales, Esq., a shareholder of DeConcini, disclosed in a court filing that her firm does not represent any interest that is materially adverse to the Debtor or its bankruptcy estate. The firm can be reached through: Jody A. Corrales, Esq. DeConcini McDonald Yetwin & Lacy 2525 E. Broadway Blvd., #200 Tucson, AZ 85716 Telephone: (520) 322-5000 Email: jcorrales@dmyl.com About Infinity Commercial Insurance Infinity Commercial Insurance Incorporated primarily operates in the insurance industry. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ariz. Case No. 24-01044) on Feb. 13, 2024, with up to $100,000 in assets and up to $10 million in liabilities. Jessica R. Loomis, president and founder, signed the petition. The Debtor tapped Christopher C. Simpson, Esq., at Osborn Maledon, PA as bankruptcy counsel and Jody A. Corrales, Esq., at DeConcini McDonald Yetwin & Lacy as conflicts counsel. INNOVATIVE REAL: Seeks Approval to Hire Keating Firm as Counsel --------------------------------------------------------------- Innovative Real Estate Developers, Inc. seeks approval from the U.S. Bankruptcy Court for the Western District of Louisiana to hire The Keating Firm, APLC as its bankruptcy counsel. The firm's services include: a. providing the Debtor with legal advice with respect to its power and duties under the Bankruptcy Code; c. preparing legal papers; d. preparing and filing bankruptcy schedules, statements of affairs and other documents that may be required; e. representing the Debtor at hearings and other proceedings; f. representing the Debtor at the initial interview and meeting of creditors; g. preparing and filing disclosure statement and Chapter 11 plan, and representing the Debtor at confirmation hearings; and h. performing all other legal services. The hourly rates charged by the firm's attorneys and staff are as follows: David Patrick Keating $275 per hour Paralegal and Law Clerks $75 per hour David Patrick Keating, Esq., a partner at Keating Firm, disclosed in court filings that his firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. Keating Firm can be reached at: D. Patrick Keating, Esq. THE KEATING FIRM, APLC P.O. BOX 3426 Lafayette, LA 70502 Phone: (337) 594-8200 Email: rickkeating@charter.net About Innovative Real Estate Developers Innovative Real Estate Developers, Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. W.D. La. Case No. 24-50278) on April 9, 2024, listing $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities. Judge John W Kolwe presides over the case. David Patrick Keating, Esq. at the Keating Firm, APLC represents the Debtor as counsel. INVESTMENTS SWK: Hires Simpson Law Group as Counsel --------------------------------------------------- Investments SWK LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of Florida to employ Simpson Law Group as counsel. The firm will provide these services: a. give advice to the Debtor with respect to its powers and duties as a debtor-in-possession and the continued management of its business operations; b. advise the Debtor with respect to its responsibilities in complying with the United States Trustee's Operating Guidelines and Reporting Requirements and with the rules of the court; c. prepare motions, pleadings, orders, applications, adversary proceedings, and other legal documents necessary in the administration of the case; d. protect the interest of the Debtor in all matters pending before the court; and e. represent the Debtor in negotiation with its creditors in the preparation of a plan. The firm will be paid at these rates: Sherri B. Simpson $425 per hour Paralegal $200 per hour Legal Assistants $125 per hour The firm will be paid a retainer in the amount of $9,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Sherri B. Simpson, Esq., a partner at Simpson Law Group, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Sherri B. Simpson, Esq. Simpson Law Group 7800 W. Oakland Park Blvd. Suite B-102 Sunrise, FL 33351 Tel: (954) 524-4141 Fax: (954) 763-5117 About Investments SWK LLC Investments SWK, LLC is a single asset real estate debtor (as defined in 11 U.S.C. Section 101(51B)). The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 24-10630) on January 24, 2024, with $1 million to $10 million in both assets and liabilities. Lorne A. Wray, authorized member, signed the petition. Judge Peter D. Russin oversees the case. Sherri B. Simpson, Esq., at Simpson Law Group represents the Debtor as bankruptcy counsel. J C CONTRACTORS: Hires Eileen N. Shaffer as Legal Counsel --------------------------------------------------------- J C Contractors, Inc. seeks approval from the U.S. Bankruptcy Court for the Southern District of Mississippi to employ Eileen N. Shaffer, Attorney at Law as its counsel. The firm will provide these services: a. advise the Debtor regarding questions that will arise throughout the pendency of its Chapter 11 bankruptcy proceeding; b. appear in, prosecute, and defend suits and proceedings; c. represent the Debtor in court hearings and assisting in the preparation of legal papers; d. advise the Debtor in connection with any reorganization plan, which may be proposed in the bankruptcy proceeding and other matters concerning the Debtor; and e. perform other necessary legal services. The firm will be paid as follows: Attorney $200 per hour Paralegal $100 per hour In addition, the firm will seek reimbursement for its out-of-pocket expenses. Eileen Shaffer, Esq., disclosed in a court filing that her firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Eileen N. Shaffer, Esq. Eileen N. Shaffer, Attorney at Law Post Office Box 1177 Jackson, MS 39215-1177 Tel: (601) 969-3006 Email: eshaffer@eshaffer-law.com About J C Contractors, Inc. J C Contractors, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Miss. Case No. 24-00787) on April 2, 2024, with $500,001 to $1 million in assets and $100,001 to $500,000 in liabilities. Judge Jamie A. Wilson presides over the case. Eileen N. Shaffer, Esq., represents the Debtor as legal counsel. JANE STREET: Moody's Rates New $1.25BB Senior Secured Notes 'Ba2' ----------------------------------------------------------------- Moody's Ratings assigned Ba2 rating to Jane Street Group, LLC's proposed senior secured notes. Moody's Ratings said that the Jane Street proposed issuance of around $1.25 billion in senior secured notes due 2031 does not affect its Ba1 Corporate Family Rating, Ba2 senior secured rating and its positive outlook. Moody's Ratings said that Jane Street plans to use the net proceeds from the proposed debt issuance for general corporate purposes; and that it expects that the company will eventually deploy most of the funds as trading capital within its strategies across a broad group of asset classes. RATINGS RATIONALE Moody's Ratings said Jane Street's Ba1 CFR reflects its strong financial profile which has been continuously supported by its large scale and market share, producing consistently high profitability and substantial retained equity. Moody's Ratings said that Jane Street's ratings also incorporate the inherently high level of operational and market risks in the firm's market-making activities. These risks are mitigated by Jane Street's strong partnership culture, operational risk management framework, liquidity buffers and key executives' high level of involvement in risk management and controls. While debt increases could result in refinancing risks in periods leading up to maturity, especially if there is a reduction in profitability, Moody's Ratings said that prudent and long-term funding make for a relatively stable source of liquidity during growth periods. Moody's Ratings also said that Jane Street's $2.978 billion term loan matures in January 2028 and its existing $600 million senior secured notes are due November 2029. Accordingly, Moody's Ratings said it does not expect the planned debt raise to affect Jane Street's financial profile. Moody's Ratings said the proposed notes will be secured by a first-priority security interest in the same collateral that is pledged for the benefit of the lenders under Jane Street's existing credit facility. Jane Street's proposed senior secured notes will therefore be pari passu with its existing credit facility and accordingly its assigned Ba2 rating is in line with its Ba2 senior secured term loan rating. Moody's Ratings said that in addition to Jane Street, JSG Finance, Inc. - a wholly owned subsidiary of Jane Street - will be the co-issuer of the proposed notes. Jane Street's positive outlook reflects the ongoing improvements in the firm's financial profile, including its increased equity capital relative to its long-term debt. The positive outlook also reflects Jane Street's strong partnership culture, operational risk management framework and key executives' high level of involvement in control and management oversight through a period of significant growth. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING Jane Street's ratings could be upgraded should it maintain its strengthened financial profile while preserving risk management and controls frameworks that reflect the incremental risks associated with its growth. The ratings could also be upgraded should Jane Street demonstrate a reduced reliance or change to more favorable terms in key prime brokerage relationships resulting in a more durable funding profile. Jane Street's ratings could be downgraded should it increase its risk appetite or suffer from a risk management or operational failure; experience adverse changes in corporate culture or management quality; experience a substantial and sustained decline in profitability caused by changes in the market or regulatory environment; increase its capital distributions in a manner that is not commensurate with its historic trends; or change its funding mix to a significantly heavier weighting towards long-term debt and away from equity resulting in an increase in its balance sheet leverage. The principal methodology used in this rating was Securities Industry Market Makers Methodology published in November 2019. JANE STREET: S&P Assigns 'BB' Rating on Senior Secured Notes ------------------------------------------------------------ S&P Global Ratings assigned its 'BB' issue rating to Jane Street Group LLC's announced issuance of senior secured notes due 2031 (around $1.25 billion). S&P expects the company to use the proceeds to further expand trading capital and support liquidity as it continues to expand its trading operations. S&P expect Jane Street's risk-adjusted capital ratio to remain well in excess of 13% pro forma the debt issuance. The new debt will add to $3 billion of secured term loan and $600 million of existing secured senior notes. Jane Street has been substantially expanding its operations over the past two years (as illustrated by the fast growth of its balance sheet). Nevertheless, the company's capital position remains aligned with S&P's 'BB' issuer credit rating on the company, in its view, owing to strong internal capital generation (with about 60% of 2023 net income accreting to its capital base). S&P also believe the funding position remains consistent with its view on the company, given the addition of long-term debt (including a $600 million secured term loan upsize in January 2024). JLM COUTURE: Bridal Designer Wants Case Converted to Chapter 7 -------------------------------------------------------------- A bridal dress designer engaged in litigation with bankrupt dressmaker JLM Couture asked a Delaware court Friday, April 12, 2024, to convert the company's insolvency case to a Chapter 7 liquidation, saying the costs of that ongoing litigation will drain estate resources to the point it won't be able to pay for the bankruptcy case. Hayley Paige Gutman filed a motion to convert the case of JLM Couture, Inc., from a chapter 11 case to one proceeding under chapter 7 of the Bankruptcy Code. Prior to the Petition Date, Paige worked as a designer under the umbrella of the Debtor, specifically on the brands Hayley Paige, Blush by Hayley Paige, La Petite Hayley Paige, and Hayley Paige Occasions. Ms. Page asserts that the Debtor's financial history is a textbook example of distress and decline. Prior to the lawsuit with Paige , which was filed in December 2020, for the period of 2018 through 2020 the Debtor's revenues declined by a total of sixty-one percent (61%), with a twenty-six percent (26%) decline in 2020 alone. The decline continued as the Debtor recognized losses during the years of 2018 through 2022 of $8,277,456 Ms. Page notes that compounding these problems, and representative of the Debtor's financial hardships, is the fact that its revenue projections have an error which suggests that the Debtor's financial state is over $3.4 million worse than expected. Review of the Debtor's financial state indicates that the Debtor's projected cash, after adjustments for additional borrowing debt and related liabilities, is negative $3.4 million. Pursuant to her analysis of the Plan filed by JLM Couture, Paige has discovered a set of difficulties facing the Debtor, each of which alone would be a significant obstacle to any meaningful restructuring effort. These problems, in combination, make the Debtor's case utterly untenable. For several years, the Debtor has been in protracted litigation with Paige over the rights to her name, marketing, and various brands associated with her public image. The legal fees are an incredible drain on the estate and these expenses will continue for the foreseeable future if a settlement is not reached. The legal fees associated with the Paige litigation are likely to exceed $750,000 annually and to escalate into a monthly range of $70,000 to $85,000 per month once that litigation enters the discovery phase. According to Ms. Paige, this cash drain is a burden on the estate that cannot be ignored and is a significant barrier to resolving the cash-flow problems the Debtor faces. About JLM Couture JLM Couture, Inc., operates a bridal design and manufacturing business in New York. It operates 12 collections, nine of which are bridal lines, one bridesmaid line and one flower girl line. JLM Couture filed its voluntary petition for relief under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Del. Case No. 23-11659) on Oct. 2, 2023, with $2,850,196 in total assets and $2,115,305 in total liabilities. Joseph L. Murphy, president, signed the petition. Judge J. Kate Stickles oversees the case. The Debtor tapped Cross & Simon, LLC, as its legal counsel. JUMBO SEAFOOD: Hires Mr. Evans of Georgetown Development as CRO --------------------------------------------------------------- Jumbo Seafood Restaurant, Inc. seeks approval from the U.S. Bankruptcy Court for the District of Columbia to employ Dallas R. Evans of Georgetown Development Partners as chief restructuring officer. The CRO will assist in carrying out the Debtor's duties under the bankruptcy code. Mr. Evans will be paid $300 per hour. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. As disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Dallas R. Evans Georgetown Development Partners 128 M Street NW Suite 15 Washington, DC 20001 Tel: (202) 871-8330 Email: devans@gdpartners.net About Jumbo Seafood Restaurant, Inc. Jumbo Seafood Restaurant, Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.C. Case No. 24-00090) on March 27, 2024, listing $50,001 to $100,000 in assets and $500,001 to $1 million in liabilities. Judge Elizabeth L Gunn presides over the case. Maurice Belmont VerStandig, Esq. at The Verstandig Law Firm, LLC represents the Debtor as counsel. KATANA ELECTRONICS: Hires Common Law as Tax Bankruptcy Counsel -------------------------------------------------------------- Katana Electronics, LLC seeks approval from the U.S. Bankruptcy Court for the District of Utah to employ Common Law PC as its tax bankruptcy counsel. The firm will provide these services: a. prepare ERC Credit acquisition; b. take all necessary action to protect and preserve the estate of the Debtor regarding tax issues; c. assist in preparing on behalf of the Debtor all necessary tax related documentation; d. represent the Debtor in connection with all appearances pertaining to tax issues; and e. render all other legal services for Debtor which may be necessary regarding tax issues. The firm will bill these rates: Michael Black $400 per hour Paralegals $100 to $200 an hour Common Law does not hold or represent any interest adverse to the estate and is a disinterested person within the meaning of 11 U.S.C. Sec. 101(14) or 1195, according to court filings. The firm can be reached through: Michael Black Common Law PC 299 S Main St #1300 Salt Lake City, UT 84111 Telephone: (385) 479-9440 About Katana Electronics Katana Electronics, LLC is an electronics manufacturing company specializing in circuit boards and other electronic hardware. Katana Electronics filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Utah Case No. 23-22919) on July 11, 2023, with $50,001 to $100,000 in assets and $100,001 to $500,000 in liabilities. Brian Rothschild, Esq., has been appointed as Subchapter V trustee. Judge Kevin R. Anderson oversees the case. The Debtor tapped Theodore Floyd Stokes, Esq., at Stokes Law PLLC as legal counsel and Beynon & Associates, Inc. as accountant. KWIKCLICK INC: GreenGrowth CPAs Raises Going Concern Doubt ---------------------------------------------------------- KwikClick, Inc. disclosed in a Form 10-K Report filed with the U.S. Securities and Exchange Commission for the fiscal year ended December 31, 2023, that its auditor expressed that there is substantial doubt about the Company's ability to continue as a going concern. Los Angeles, California-based GreenGrowth CPAs, the Company's auditor since 2023, issued a "going concern" qualification in its report dated April 15, 2024, citing that the Company has suffered recurring losses since inception and has not achieved profitable operations, which raise substantial doubt about its ability to continue as a going concern. The Company has a net loss of approximately $3,900,000 for the year ended December 31, 2023. If the Company doesn't begin to generate sufficient revenue or raise additional funds through financing, the Company may need to incur additional liabilities with certain outside and related parties to sustain the Company's existence. The Company will require additional funding to finance the growth of its future operations as well as to achieve its strategic objectives. The Company may experience difficulties in raising these funds due to inflationary economic impacts on funding sources. This raises substantial doubt about the Company's ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company's ability to raise additional capital and generate revenue. As of December 31, 2023, the Company had $1,555,889 in total assets, $2,829,843 in total liabilities, and $1,273,954 in total stockholders' deficit. A full-text copy of the Company's Form 10-K is available at https://tinyurl.com/4h9vxkxr About KwikClick Inc. KWIKClick, Inc., a Delaware corporation. KWIKClick is a social interaction, selling, and referral software platform. Stores and manufacturers wishing to promote their products or services on the KWIKClick software platform, pay nothing to use the platform, which connects them to promoters, influencers, and customers, all referred to as "affiliates". L AND L CARE: Hires A.O.E. Law & Associates as Counsel ------------------------------------------------------ L and L Care Home, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of California to employ A.O.E. Law & Associates, APC as general bankruptcy counsel. The firm's services include: -- taking all necessary action to protect and preserve the estate; -- negotiating with creditors and other parties in interest; -- advising the Debtor in connection with proceedings; -- preparing the plan of reorganization and disclosure statement; -- preparing any necessary pleadings and attending court hearings thereon; and -- performing other legal services normally incident to Chapter 11 cases. The firm will be paid at these rates: Principals $450 per hour Associates $350 per hour Paralegals $150 to $200 per hour The Debtor paid the firm a retainer of $14,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Anthony O. Egbase, Esq., a partner at A.O.E. Law & Associates, APC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Anthony O. Egbase, Esq. Shana Y. Stark, Esq. A.O.E. Law & Associates, APC Bunker Hill Towers 800 W. 1st Street, Suite 400 Los Angeles, CA. 90012 Tel: (213) 620-7070 Email: info@aoelaw.com About L and L Care Home, LLC L and L Care Home, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Cal. Case No. 24-40340) on March 11, 2024. In the petition signed by Melissa Lipardo, chief executive officer, the Debtor disclosed up to $100,000 in assets and up to $500,000 in liabilities. Judge Charles Novack oversees the case. Anthony O. Egbase, Esq., at A.O.E. Law & Associates, APC, represents the Debtor as legal counsel. LABRUZZO WOODLANDS: Unsecureds Will Get 60.5% Dividend in Plan -------------------------------------------------------------- LaBruzzo Woodlands, LLC, filed with the U.S. Bankruptcy Court for the Western District of Pennsylvania a Disclosure Statement to accompany Chapter 11 Plan dated April 9, 2024. The Debtor is a business located in the Commonwealth of Pennsylvania. The Debtor is a property management company. The Debtor initiated this Chapter 11 after becoming financially distressed due to delinquent property taxes and an outstanding SBA loan. The Plan is to be implemented by the reorganized Debtor through future income based on projected growth of revenue from rentals of 8% annually. Class 5 consists of the General Unsecured Non-Tax Claim of the Small Business Administration. The claim of Small Business Administration in the amount of $252,371.01, secured against the business property is to be treated according to terms being negotiated between the parties. This Class is impaired. This Class will receive a distribution of 60.5% of their allowed claims. Class 6 consists of the Unsecured Claim of Department of Environmental Protection. The $400,000.00 claim of Department of Environmental Protection shall be treated according to terms being negotiated between the parties. This Class is impaired. This Class will receive a distribution of 60.5% of their allowed claims. Source of funds for plan payments will be derived from Debtor's Income. A full-text copy of the Disclosure Statement dated April 9, 2024 is available at https://urlcurt.com/u?l=aYBJtN from PacerMonitor.com at no charge. Counsel to the Debtor: Brian C. Thompson, Esq. Thompson Law Group, PC 125 Warrendale Bayne Road, Suite 200 Warrendale, PA 15086 Telephone: (724) 799-8404 Facsimile: (724) 799-8409 Email: bthompson@thompsonattorney.com About LaBruzzo Woodlands LaBruzzo Woodlands, LLC, is engaged in activities related to real estate. The Debtor offers duplexes, tri-plexes apartments, and houses as well as commercial spaces. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Pa. Case No. 23-10389) on July 27, 2023. In the petition signed by Joseph LaBruzzo, president, the Debtor disclosed up to $50,000 in assets and up to $10 million in liabilities. Judge John C. Melaragno oversees the case. Brian C. Thompson, Esq., at Thompson Law Group, P.C., is the Debtor's legal counsel. LINCOLN HOLDINGS: Lender Seeks Turnover of Cash Collateral ---------------------------------------------------------- Deutsche Bank National Trust Company, as Trustee for Ameriquest Mortgage Securities Inc., Asset-Backed Pass-Through Certificates, Series 2005-R10, asks the U.S. Bankruptcy Court for the Eastern District of New York, Brooklyn Division to require Lincoln Holdings NY, LLC to turnover cash collateral, commence adequate protection payments, and provide an accounting of rental income with respect to real property of the Debtor. On September 30, 2005, Francis James executed and delivered or is otherwise obligated with respect to that certain Promissory Note in the original principal amount of $675,000. Borrower defaulted under the terms of the Loan Documents and Creditor commenced a Foreclosure proceeding. On July 7, 2015, Creditor obtained a Final Foreclosure Judgment for $1.184 million. Following entry of the Judgment, Borrower executed and recorded an unauthorized Grant Deed purporting to transfer interest in the Property to the Debtor, Lincoln Holdings NY LLC. Creditor objects to any use of the cash collateral unless the Debtor commences adequate protection payments. To the extent the Property has been producing rental income, it appears the Debtor has been using cash collateral in violation of the Bankruptcy Code. Creditor is being harmed by the Debtor's use of cash collateral as the Subject Loan remains in default while Creditor maintain taxes and insurance for the Property. The Creditor also requests clarification regarding the amount of income produced by the Property (if any) and the turnover of any cash collateral generated from the petition date to present. The Debtor has yet to file a proposed motion seeking court authorization to use the cash collateral of Creditor for any purpose. Further, Debtor has yet to file operating reports. Creditor requests replacement lien(s) in the Debtor's post-petition rents, cash, accounts receivable and inventory, and all proceeds thereof, to the same extent and priority as any duly perfected and unavoidable liens in cash collateral held by Creditor as of the Petition Date. A hearing on the matter is set for June 18, 2024 at 3:30 p.m. About Lincoln Holdings NY LLC Lincoln Holdings NY LLC is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). In the petition signed by Abe Green as authorized signer, the Debtor disclosed up to$10 million in both assets and liabilities. Vivian Sobers, Esq. of SOBERS LAW PLLC, represents the Debtor as legal counsel. LIVEONE INC: Converts $11.4M of Preferred Shares to Common Shares ----------------------------------------------------------------- LiveOne, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company entered into Letter Agreements with (i) Harvest Small Cap Partners Master, Ltd., (ii) Harvest Small Cap Partners, L.P., and (iii) Trinad Capital Master Fund Ltd., a fund controlled by Ellin, the Company's Chief Executive Officer, Chairman, director and principal stockholder, the holders of the Company's Series A Perpetual Convertible Preferred Stock, par value $0.001 per share, with a stated value of $1,000 per share. Pursuant to the Agreements (i) the Holders converted approximately $11.4 million worth of shares of Series A Preferred Stock into shares of the Company's common stock, at a price of $2.10 per share, as follows: HSCPM converted 5,602.09 shares of Series A Preferred Stock into 2,667,664 shares of the Company's common stock, HSCP converted 2,397.91 shares of Series A Preferred Stock into 1,141,860 shares of the Company's common stock, and Trinad Capital converted 3,395.09 shares of Series A Preferred Stock into 1,616,709 shares of the Company's common stock, and (ii) HSCPM, HSCP and Trinad Capital received 910,340, 389,660 and 535,399 three-year warrants to purchase the Company's common stock exercisable at a price of $2.10 per share. In addition, pursuant to the Agreements, the Harvest Funds agreed (x) that any future dividends payable on the Series A Preferred Stock shall be paid in-kind or in cash at the option of the Company; provided, that as long as any Series A Preferred Stock is held by the Harvest Funds, Trinad Capital shall receive the dividend solely in kind, (y) to delete the requirement for the Company to purchase from the Harvest Funds $5,000,000 in aggregate of the then outstanding shares of Series A Preferred Stock held by the Harvest Funds on or before August 3, 2024. The Shares and the Warrants were issued, and the shares of the Company's common stock underlying the Warrants, to the extent exercised, will be issued, to the Holders as restricted securities in a private placement transaction exempt from the registration requirements of the Securities Act of 1933, as amended. The Company further agreed, on or prior to the date that is 45 days after the Effective Date, to prepare and file with the SEC, a Registration Statement on Form S-3 (or such other form as applicable) covering the resale under the Securities Act of the Warrants and the Warrant Shares. The Company agreed to use its commercially reasonable best efforts to cause such registration statement to be declared effective promptly thereafter on or before 45 days after the filing of such registration statement (or if the SEC issues any comments with respect to such registration statement, on or before 90 days after the filing of such registration statement). Upon effectiveness of such Registration Statement, the Company agreed to use its reasonable best efforts to keep the Registration Statement effective with the SEC for a period equal to three years from the Effective Date for the Warrants, and with respect to the Warrant Shares, so long as any Warrants are outstanding, and to supplement, amend and/or re-file such Registration Statement to comply with such effectiveness requirement. Robert Ellin, the CEO and Chairman of LiveOne, stated, "Jeff Osher, the Managing Member of the Harvest Funds, has successfully invested and partnered in many of my companies for over 20 years. He is renowned as one of the best small cap investors around the globe. I'm honored and excited that Jeff has once again shown extraordinary confidence in choosing to convert his interest-bearing perpetual preferred stock into our common stock at $2.10 per share. As a result, we will save approximately $7M in FY 2025 in cash flow and this will provide us with the necessary reserves to execute our business model, buy back what we believe to be our undervalued stock and pursue accretive acquisitions." About LiveOne Headquartered in Los Angeles, California, LiveOne, Inc. (NASDAQ: LVO) (formerly known as LiveXLive Media, Inc.) is a creator-first, music, entertainment and technology platform focused on delivering premium experiences and content worldwide through memberships and live and virtual events. LiveOne reported a net loss of $10.02 million for the year ended March 31, 2023, compared to a net loss of $43.91 million for the year ended March 31, 2022. As of Dec. 31, 2023, the Company had $65.83 million in total assets, $56.64 million in total liabilities, $4.93 million in mezzanine equity, and $4.25 million in total equity. Los Angeles, CA-based Macias Gini & O'Connell LLP, the Company's auditor since 2022, issued a "going concern" qualification in its report dated June 29, 2023, citing that the Company has suffered recurring losses from operations, negative cash flows from operating activities and has a net capital deficiency. These matters raise substantial doubt about the Company's ability to continue as a going concern. MAJOSTAN CORP: 31st Street's Plan Has 100% for Unsecured Creditors ------------------------------------------------------------------ 31st Street Funding LLC, a secured creditor of Majostan Corp., filed with the U.S. Bankruptcy Court for the Eastern District of New York a Disclosure Statement describing Plan of Liquidation for the Debtor dated April 9, 2024. The Debtor is an active New York corporation with its principal place of business at 23-52 31st Street, Astoria, New York, NY 11105. The principal asset of the Debtor is that certain mixed use real property located at 23-52 31st Street, Astoria, New York, NY 11105 [Block: 842, Lot: 28] (defined herein as the "Property"). The disposition of the Property is the primary source of recovery for creditors in this case. The Debtor's principal, Andrew Moulinos operates his law practice out of the ground floor commercial unit and does not pay rent. As of the Filing Date, 31st Funding asserted a fully secured claim in the amount of $776,529.41 based on the Foreclosure Judgment, defaulted note and first mortgage lien. 31st Funding intends to assert in its capacity as Plan Proponent, a claim pursuant to section 503(b) of the Bankruptcy Code based on a substantial contribution to this case, which motion will filed and served be on notice to case parties, and subject to allowance by the Bankruptcy Court). 31st Funding has agreed to bid its claim in the amount of $872,018 plus cash in an amount sufficient to pay all claims in full in this case, which as discussed in greater detail below, would be in the amount of up to the amount of approximately $1,276,271.40 as of June 30, 2024. To the extent any portion of this Opening Bid amount is disallowed, 31st Funding will make up that disallowed portion in cash as part of its Opening Bid at an auction. 31st Funding shall not be entitled to a break-up fee on its Opening Bid. The Plan and Confirmation Order will provide that, under no circumstances and regardless of the face amount of its Opening Bid, will 31st Funding be required to pay out in Cash any more than is necessary to pay all claims in full with a $10.00 distribution to Class 6 if it is the Successful Bidder, or to make up any unlikely shortfall in the event it is outbid at the Auction. Class 5 consists of all Allowed General Unsecured Claims. The General Unsecured Claims filed against the Debtor or scheduled by the Debtor in the Schedules include, as of the Filing Date: (a) a $3,785.02 general unsecured claim asserted by the NYS Dept of Taxation and Finance as part of Claim No. 1; (b) a $1,535.02 general unsecured claim asserted by the NYS Dept of Taxation and Finance as part of Claim No. 2 (which may be duplicative of Claim No. 1 and will be reviewed by the Plan Proponent and/or Plan Administrator before such claim is paid); (c) a $17,353.76 general unsecured claim asserted by Con Edison as part of Claim No. 3; and (d) a $5,850.77 claim asserted by the Internal Revenue Service as part of Claim No. 5, for a total unsecured class of claims of $28,524.57 (without taking into account the possibility of a duplicative claim). This Class will receive a distribution of 100% of their allowed claims. In the event 31st Funding is the Successful Bidder and the Property is transferred to 31st Funding pursuant to its Opening Bid, 31st Funding shall pay all the Allowed General Unsecured Claims in full in cash on the Distribution Date. In the event the Successful Bidder is a Cash bidder that outbids 31st Funding, then the Allowed General Unsecured Claims shall be paid in full from the Sales Proceeds, from available Cash and from Causes of Action (if any). If for any reason, 31st Funding is not the Successful Bidder and there is a shortfall of Cash to pay claims, 31st Funding will backstop the Plan to make up the shortfall. The treatment and consideration to be received by General Unsecured Claimholders, subject to the terms of the Plan, in full settlement and final satisfaction of all of its Class 5 general unsecured claims against the Debtor and this estate but shall not impair its rights to payment they may have under any other classified or unclassified claims. Class 5 is Unimpaired under the Plan and is not entitled to vote. Class 6 consists of Allowed Interests in the Debtor. In the event 31st Funding is the Successful Bidder and the Property is transferred to 31st Funding pursuant to its bid, 31st Funding shall pay the Class 6 interest holder the sum of $10.00. In the event the Successful Bidder is a Cash bidder that outbids 31st Funding, then the Class 6 interest holder shall receive all of the Sales Proceeds remaining after all Allowed unclassified and classified claims have been paid in full. The treatment and consideration to be received by Holders of Allowed Interests in Class 6 shall be, subject to the terms hereof, in full settlement and final satisfaction of their respective Interests to the extent of the Distributions provided for herein on account of such Interests. Class 6 is an Unimpaired under the Plan and is not entitled to vote. Except as otherwise provided in the Plan or the Confirmation Order, all Cash necessary for Debtor to make Distributions and payments required under the Plan to Holders of Allowed Claims will be paid by the Plan Administrator from the proceeds of the Auction and sale of the Property defined in the Plan as the 'Sales Proceeds', and from the available Cash proceeds from the Property, and/or from recoveries from Causes of Action as required. The Plan is a liquidating plan that contemplates the orderly liquidation of all property of the Debtor's estate and as such, the Plan does not entitle the Debtor to a discharge. All Claims against the Debtor are addressed in and are paid in whole pursuant the Plan. A full-text copy of the Disclosure Statement dated April 9, 2024 is available at https://urlcurt.com/u?l=8N3kPD from PacerMonitor.com at no charge. Attorneys for Plan Proponent: RAVERT PLLC Gary O. Ravert, Esq. 16 Madison Square West, FL 12 #269 New York, New York 10010 Tel: (646) 961-4770 Direct Fax: (917) 677-5419 Email: gravert@ravertpllc.com About Majostan Corp. Majostan Corp. is a primarily engaged in renting and leasing real estate properties. It owns a three-story building located at 23 52 31st St., Astoria, N.Y. Majostan filed a petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 23-40331) on Jan. 31, 2023, with total assets of $2,600,000 and total liabilities of $676,282. Andrew Moulinos, president, signed the petition. Judge Elizabeth S. Stong oversees the case. The Debtor is represented by Rosalyn Maldonado, Esq., at Rosalyn Maldonado P.C. MARIN SOFTWARE: All 5 Proposals Approved at Annual Meeting ---------------------------------------------------------- Marin Software Incorporated disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company completed its Annual Meeting of Stockholders during which the stockholders: * Elected Don Hutchison and Diena Lee Mann as the Class II members of the Board of Directors to hold office until the 2027 annual meeting of stockholders. * Approved an amendment to the Company's Certificate of Incorporation to effect a reverse stock split at a ratio in the range of 1-for-4 to 1-for-6, with the exact ratio to be set within that range at the discretion of its Board of Directors on or before April 30, 2024 without further approval or authorization of its stockholders. * Approved an amendment to its certificate of incorporation to decrease our authorized shares of common stock from 142,857,143 to such number determined by calculating the product of 142,857,143 multiplied by two times (2x) the reverse stock split ratio. * Voted, on a non-binding, advisory basis, on the compensation paid by the Company to the Company's Named Executive Officers for the fiscal year ended December 31, 2023. * Ratified the appointment of Grant Thornton LLP as the Company's independent registered public accounting firm for the fiscal year ending December 31, 2024. About Marin Software Inc. San Francisco, CA-based Marin Software, Inc. provides enterprise marketing software for advertisers and agencies to integrate, align and amplify their digital advertising spend across the web and mobile devices. offered as a unified software-as-a-service ("SaaS") advertising management solution for search, social and eCommerce advertising, the Company's platform helps digital marketers convert precise audiences, improve financial performance and make better decisions. San Jose, California-based Grant Thornton LLP, the Company's auditor since 2018, issued a "going concern" qualification in its report dated February 23, 2024, citing that the Company incurred a net loss of $22 million during the year ended December 31, 2023, and as of that date, the Company had an accumulated deficit of approximately $344 million and negative operating cash flows. These conditions, along with other matters, raise substantial doubt about the Company's ability to continue as a going concern. MARIN SOFTWARE: Six-to-One Reverse Stock Split Takes Effect ----------------------------------------------------------- Marin Software Incorporated disclosed in a Form 8-K filed with the Securities and Exchange Commission that on April 4, 2024, the board of directors of the Company approved a reverse stock split ratio of 6-to-1 and a resulting reduction in the Company's authorized shares of common stock from 142,857,143 shares to 47,619,047 shares, subject to the approval of the stockholders at the Company's 2024 Annual Meeting of Stockholders. On April 5, 2024, the Company completed its Annual Meeting of Stockholders, whereby the stockholders approved the amendments to the Company's Restated Certificate of Incorporation to implement the Reverse Split and the Authorized Share Reduction, as described in the Company's Definitive Proxy Statement filed on March 5, 2024, as revised on March 28, 2024. The Company filed the Charter Amendment with the Secretary of State of the State of Delaware on April 11, 2024. The Reverse Split and Authorized Share Reduction became effective at 5:00 p.m. Eastern Time on April 12, 2024, whereby every six shares of the Company's issued and outstanding common stock will be automatically combined and converted into one issued and outstanding share of the Company's common stock. The Reverse Split will not affect any stockholder's ownership percentage of the Company's common stock. The Company's common stock will continue to trade on the Nasdaq Capital Market under the symbol "MRIN" after the opening of trading on April 15, 2024, but will be assigned a new CUSIP number (56804T 304) and will trade on a split-adjusted basis. About Marin Software Headquartered in San Francisco, California, Marin Software Incorporated -- www.marinsoftware.com -- is a provider of digital marketing solutions for search, social, and eCommerce advertising channels, offered as a unified SaaS, advertising management platform for performance-driven advertisers and agencies. The Company's platform is an analytics, workflow and optimization solution for marketing professionals, enabling them to maximize the performance of their digital advertising spend. The Company markets and sells its solutions to advertisers directly and through leading advertising agencies, and its customers collectively manage billions of dollars in advertising spend on its platform globally across a wide range of industries. San Jose, California-based Grant Thornton LLP, the Company's auditor since 2018, issued a "going concern" qualification in its report dated Feb. 23, 2024, citing that the Company incurred a net loss of $22 million during the year ended Dec. 31, 2023, and as of that date, the Company had an accumulated deficit of approximately $344 million and negative operating cash flows. These conditions, along with other matters, raise substantial doubt about the Company's ability to continue as a going concern. MERCY HOTEL: Files Emergency Bid to Use Cash Collateral ------------------------------------------------------- Mercy Hotel Group, LLC asks the U.S. Bankruptcy Court for the Northern District of Georgia, Atlanta Division, for authority to use cash collateral and provide adequate protection. The Debtor requires the use of cash collateral for general operational and administrative expenses. The Debtor is a borrower from Georgia Banking Company. GBC holds a security interest in the Debtor's real property and tangible and intangible personal property. To the extent that any interest that GBC and any other creditor who may have in the cash collateral is diminished, the Debtor proposes to grant these creditors a replacement lien in post-petition collateral of the same kind, extent, and priority as the liens existing pre-petition, except that the Adequate Protection Lien will not extend to the proceeds of any avoidance actions received by Debtor or the estate pursuant to chapter 5 of the Bankruptcy Code. A copy of the Debtor's motion and budget is available at https://urlcurt.com/u?l=nD1hnn from PacerMonitor.com. About Mercy Hotel Group, LLC Mercy Hotel Group, LLC is engaged in activities related to real estate. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 24-53760) on April 12, 2024. In the petition signed by Aziz Dhanani, manager and member, the Debtor disclosed up to $50 million in both assets and liabilities. Judge Sage M. Sigler oversees the case. Will Geer, Esq., at ROUNTREE, LEITMAN, KLEIN & GEER, LLC, represents the Debtor as legal counsel. MOHAWK DRIVE: Hires Joseph H. Maynard as Financial Analyst ---------------------------------------------------------- Mohawk Drive Corp. seeks approval from the U.S. Bankruptcy Court for the District of Massachusetts to employ Joseph H. Maynard Accounting as financial analyst. The firm will assist the Debtor with accounting spreadsheets and projections. The firm will be paid at the rate of $50 per hour. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. As disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Joseph H. Maynard Joseph H. Maynard Accounting 1001 Guelphwood Road Southbridge, MA 01550-2011 About Mohawk Drive Corp. Mohawk Drive Corp. owns the real property located at 25 Mohawk Drive, Leominster, MA having a current value of $6 million. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Mass. Case No. 24-40250) on March 15, 2024. In the petition signed by Kevin Crowley, treasurer, the Debtor disclosed $6,522,513 in assets and $1,664,799 in liabilities. Michael B. Feinman, Esq., at Feinman Law Office, represents the Debtor as bankruptcy counsel. MOXY RESTAURANT: Hires Mandelbaum Barrett PC as Counsel ------------------------------------------------------- Moxy Restaurant Associates Inc. seeks approval from the U.S. Bankruptcy Court for the Southern District of New York to employ Mandelbaum Barrett PC as counsel. The firm will provide these services: (a) advise the Debtor of its rights, powers, and duties as a debtor-in-possession in continuing to operate and manage its business and assets; (b) advise and consult Debtor on the conduct of these Chapter 11 cases, including all of the legal and administrative requirements of operating in Chapter 11; (c) attend meetings and negotiations with representatives of creditors and other parties-in-interest; (d) take all necessary actions to protect and preserve Debtor's estate; (e) review the nature and validity of agreements relating to Debtor's business and property and advise the Debtor in connection therewith; (f) review the nature and validity of liens, if any, asserted against Debtor and advise as to the enforceability of such liens; (g) advise Debtor concerning the actions Debtor might take to collect and recover property for the benefit of its estate; (h) prepare on Debtor's behalf all necessary and appropriate applications, motions, pleadings, orders, notices, petitions, schedules, and other documents, and review all financial and other reports to be filed in the Debtor's Chapter 11 case; (i) advise Debtor concerning, and preparing responses to, applications, motions, pleadings, notices, and other papers which may be filed in the Debtor's Chapter 11 case; (j) represent the Debtor in connection with obtaining authority to continue using cash collateral and post-petition financing; (k) appear before the Court and any appellate courts to represent the interests of Debtor's estate; (l) advise the Debtor concerning tax matters; (m) advise the Debtor in connection with any potential sale of assets; (n) counsel Debtors in connection with formulation, negotiation and promulgation of a Chapter 11 Plan; (o) provide litigation with respect to competing plans; and (p) perform all other legal services for and on behalf of the Debtor which may be necessary or appropriate in the administration of its Chapter 11 case. The firm will be paid at these rates: Partner $475 to $850 per hour Of Counsel $430 to $650 per hour Associate $310 to $525 per hour Paralegal $100 to $350 per hour The Debtor paid the firm a retainer of $75,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Vincent J. Roldan, Esq, a partner at Mandelbaum Barrett PC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Vincent J. Roldan, Esq. Mandelbaum Barrett PC 3 Becker Farm Road, Suite 105 Roseland, NJ 07068 Tel: (973) 736-4600 Fax: (973) 736-4670 Email: vroldan@mblawfirm.com About Moxy Restaurant Associates Inc. Moxy Restaurant Associates, Inc. operates as a full-service restaurant in New York. The Debtor filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. N.Y. Case No. 24-10449) on March 19, 2024, with $100,000 to $500,000 in assets and $1 million to $10 million in liabilities. Thomas McCarthy, director, signed the petition. Judge Michael E. Wiles oversees the case. Vincent Roldan, Esq., at Mandelbaum Barrett, PC represents the Debtor as legal counsel. MOXY RESTAURANT: Seeks to Hire Lalaj CPA PC as Accountant --------------------------------------------------------- Moxy Restaurant Associates Inc. seeks approval from the U.S. Bankruptcy Court for the Southern District of New York to employ Lalaj CPA PC as accountant. The firm's services include: a) work with Debtor management and its professionals to assist in the preparation of Bankruptcy Schedules, Statements of Financial Affairs, and other court mandated post-petition filings, as required; b) prepare 13-week rolling cash projections (financial model) as necessary; c) assist in providing financial information to and negotiating with the various creditors; d) assist in the preparation of a Plan of Reorganization (feasibility analysis), or a Plan of Liquidation of the Debtor; e) file Debtor's monthly sales tax and annual tax returns; and f) provide other services as may be necessary. The firm will be paid at these rates: Partners $400 per hour Senior Managers $250 per hour Managers $200 per hour Staff Accountants $150 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Elton Lalaj, a partner at Lalaj CPA PC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Elton Lalaj Lalaj CPA PC 2817 31st Street Astoria, NY 11102 Tel: (212) 404-6150 Fax: (212) 404-7450 About Moxy Restaurant Associates Inc. Moxy Restaurant Associates, Inc. operates as a full-service restaurant in New York. The Debtor filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. N.Y. Case No. 24-10449) on March 19, 2024, with $100,000 to $500,000 in assets and $1 million to $10 million in liabilities. Thomas McCarthy, director, signed the petition. Judge Michael E. Wiles oversees the case. Vincent Roldan, Esq., at Mandelbaum Barrett, PC represents the Debtor as legal counsel. NABORS INDUSTRIES: Amends Receivables Purchase Agreement -------------------------------------------------------- Nabors Industries Ltd. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that on April 1, 2024, Nabors Industries, Inc. and Nabors A.R.F., LLC, a bankruptcy remote special purpose entity organized under the laws of Delaware, each an indirect subsidiary of the Company, together with Wells Fargo Bank, N.A., Arab Banking Corporation B.S.C., New York Branch, and Nomura Corporate Funding Americas, LLC, entered into the Fourth Amendment to the Receivables Purchase Agreement, amending that certain Receivables Purchase Agreement dated September 13, 2019, among the Nabors Entities, the Purchasers party thereto, and Wells Fargo as Administrative Agent. The Fourth Amendment amends the Purchase Agreement to, among other things: * Extend the term of the Purchase Agreement to the earliest to occur of (i) April 1, 2027, (ii) the day that is ninety (90) calendar days prior to the occurrence of the "Maturity Date" (or other similar or replacement term) under and as defined in the Credit Agreement dated as of January 21, 2022 (the "Credit Agreement") and (iii) if any of the principal amount of the 7.25% Senior Notes are outstanding as of October 15, 2025, then October 15, 2025; * Decrease the triggering Liquidity level for each Weekly Reporting Period from $220,000,000 to $87,500,000; * Eliminate the Cash Control Period; * Eliminate as an event of termination, the failure to maintain, unless cured as provided by in the Credit Agreement, a Consolidated Cash Balance of $160,000,000; and Add as events of termination, as provided in the Credit Agreement, either the Company ceasing to have Minimum Guarantor Value of at least 90% or the Company failing to satisfy the Interest Coverage Financial Covenant as of any date of determination. A full-text copy of the Fourth Amendment is available at https://tinyurl.com/2pcu4ebc About Nabors Nabors Industries Ltd. (NYSE: NBR) owns and operates land-based drilling rig fleets and provides offshore platform rigs in the United States and several international markets. Nabors also provides directional drilling services, tubular services, performance software, and innovative technologies for its own rig fleet and those of third parties. Nabors Industries reported a net loss of $307.22 million in 2022, a net loss $543.69 million in 2021, a net loss of $762.85 million in 2020, a net loss of $680.51 million in 2019, a net loss of $612.73 million in 2018, and a net loss of $540.63 million in 2017. As of Sept. 30, 2023, the Company had $4.72 billion in total assets, $3.34 billion in total liabilities, $834.19 million in redeemable noncontrolling interest in subsidiary, and $548.17 million in total equity. * * * Egan-Jones Ratings Company on September 28, 2023, upgraded the foreign currency and local currency senior unsecured ratings on debt issued by Nabors Industries, Inc. to CCC+ from CCC-. NANOSTRING TECHNOLOGIES: Bruker to Acquire Assets for $392.6 Mil. ----------------------------------------------------------------- NanoString Technologies, Inc., a leading provider of life science tools for discovery and translational research, on April 17 disclosed that substantially all of its assets will be acquired by Bruker Corporation, a global life science analytical instrument company, for approximately $392.6 million in cash consideration, plus the assumption of certain liabilities. Following the closing, NanoString's business operations will no longer be the subject of a chapter 11 proceeding and will be owned by Bruker on a go-forward basis. The acquisition by Bruker validates NanoString's market-leading technology and ensures continuity of NanoString's business operations and product development initiatives for customers and substantially all of its employees. "NanoString's market-leading platforms for spatial biology and gene expression are enabling researchers to gain unprecedented insights into cancer, immunology, neurology, and other critical disease areas. As a global leader in the life science analytical instrument industry, Bruker is uniquely positioned to ensure ongoing customer access to NanoString's innovations," said Brad Gray, President and CEO of NanoString. "The sale to Bruker will also bring about a swift conclusion of our restructuring process. Our loyal customers, suppliers and employees have stood with us through this dynamic period, and we are grateful for their dedication to the future of our technology and our mission to map the universe of biology." The transaction was agreed to under a court-supervised chapter 11 sale process pursuant to Section 363 of the U.S. Bankruptcy Code and is expected to close in early-May 2024. On March 10(th), another party initially agreed to serve as the "stalking horse" bidder in conjunction with the sale process. On April 12, Bruker submitted a qualifying bid. Following an auction on April 16, a revised offer from Bruker was selected as the winning bid. The substantially improved terms of the Bruker transaction represent an approximately 78% increase in value relative to the "stalking horse" bid. The agreement is subject to Bankruptcy Court approval and other customary closing conditions. Additional Information About the Court-Supervised Restructuring Process Additional information regarding the Company's court-supervised process, including court filings and other information, is available on a separate website administrated by the Company's claims agent, Kroll, at https://cases.ra.kroll.com/NanoString. The Company is represented by Willkie Farr & Gallagher LLP as counsel, AlixPartners LLP as restructuring advisor and Perella Weinberg Partners L.P. as restructuring investment banker. Bruker is represented by Morgan Lewis & Bockius LLP as counsel and Goldman Sachs & Co. LLC as financial advisor. About NanoString Technologies NanoString Technologies, Inc. offers an ecosystem of innovative discovery and translational research solutions and empowers its customers to map the universe of biology. NanoString and affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-10160) on February 4, 2024. In the petition signed by R. Bradley Gray, president and chief executive officer, NanoString disclosed $100 million to $500 million in both assets and liabilities. The Debtors tapped Willkie Farr & Gallagher, LLP and Young Conaway Stargatt & Taylor, LLP as legal counsels; AlixPartners, LLP as financial advisor; Weil, Gotshal & Manges LLP as special patent counsel; and Perella Weinberg Partners LP as investment banker. Kroll Restructuring Administration LLC is the Debtors' administrative advisor. Gibson Dunn & Crutcher, LLP and Sullivan & Cromwell, LLP serve as counsels to certain DIP lenders. Richards, Layton & Finger and Houlihan Lokey Capital, Inc. act as Delaware bankruptcy counsel and financial advisor to the DIP lenders. Meanwhile, Alston & Bird and Potter Anderson serve as bankruptcy counsel and Delaware counsel, respectively, to the DIP agent. NCD HOLDING: Seeks to Hire Tittle Law Group as Counsel ------------------------------------------------------ NCD Holding Trust seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Tittle Law Group as counsel. The firm will provide these services: (a) provide legal advice with respect to the Debtor's powers and duties as debtor-in-possession in the continued operation of its business and the management of its property; (b) take all necessary action to protect and preserve the Debtor's estate; (c) prepare on behalf of the Debtor necessary motions, answers, orders, reports, and other legal papers in connection with the administration of its estate; (d) assist the Debtor in preparing for and filing a plan of reorganization at the earliest possible date; (e) perform any and all other legal services for the Debtor in connection with the Debtor's Chapter 11 Case; and (f) perform such legal services as the Debtor may request with respect to any matter, including, but not limited to, corporate finance and governance, contracts, antitrust, labor, and tax. The firm will be paid at these rates: Attorneys $550 per hour Paralegals $225 per hour The firm received a retainer in the amount of $3,700. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Brandon J. Tittle, Esq., a partner at Tittle Law Group, PLLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Brandon J. Tittle, Esq. Tittle Law Group, PLLC 5465 Legacy Dr., Ste. 650 Plano, TX 75024 Tel: (972) 731-2590 Email: btittle@tittlelawgroup.com About NCD Holding Trust NCD Holdings is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101 (51B)). NCD Holdings Trust in Austin TX, filed its voluntary petition for Chapter 11 protection (Bankr. N.D. Tex. Case No. 24-30638) on March 4, 2024, listing as much as $1 million to $10 million in both assets and liabilities. Kelli Haynie as trustee, signed the petition. TITTLE LAW GROUP, PLLC serve as the Debtor's legal counsel. NEPTUNE WELLNESS: Unit Inks Foreclosure Agreement With NH Expansion ------------------------------------------------------------------- Neptune Wellness Solutions Inc. disclosed in a Form 8-K filed with the Securities and Exchange Commission that Sprout Foods, Inc., a subsidiary of the Company, entered into that certain Peaceful Foreclosure Agreement with NH Expansion Credit Fund Holdings LP, in its capacity as collateral agent and as a lender under those certain promissory notes issued by Sprout in favor of MSEC and certain other lenders. The Foreclosure Agreement was entered into in connection with the default notice dated March 22, 2024 and disclosed on a Current Report on Form 8-K of the Company dated March 27, 2024. The Foreclosure Agreement provided for the transfer of substantially all assets of Sprout, excluding accounts receivable and inventory, to MSEC, and the further sale of the Assets by MSEC to a private buyer, as further described in the Foreclosure Agreement, with the purchase price being applied to the Notes. Sprout agreed to cooperate with MSEC and the buyer in connection with the Foreclosure Agreement. About Neptune Wellness Solutions Inc. Headquartered in Laval, Quebec, Neptune is a consumer-packaged goods company that aims to innovate health and wellness products. Neptune is a diversified health and wellness company with multiple brand units. With a mission to redefine health and wellness, Neptune is focused on building a broad portfolio of high quality, affordable consumer products in response to long-term secular trends and market demand for natural, plant-based, sustainable and purpose-driven lifestyle brands. Montreal, Quebec-based KPMG LLP, the Company's auditor since 2021, issued a "going concern" qualification in its report dated July 14, 2023, citing that the Company incurred significant operating losses and negative cash flows from operations since inception, had an accumulated deficit, and trade and other payables exceed its total current assets at March 31, 2023. The Company is required to actively manage its liquidity and expenses and payments of payables are not being made as the amounts become due. The Company requires funding in the very near term in order to continue its operations. If the Company is unable to obtain funding in the very near-term, it may have to cease operations and liquidate its assets. These conditions cast substantial doubt about the Company's ability to continue as a going concern. The Company is actively managing its liquidity and expenses, including by extending payables due and reducing investment in its businesses. There is substantial doubt about the Company's ability to continue as a going concern. As of February 15, 2024, the Company had approximately $0.3 million in cash and cash equivalents. The Company believes its current cash position will be sufficient to operate its business for approximately one month under its current business plan. In addition, The Company is pursuing several cash generating transactions as well as planning for further expense reductions. There can be no assurance that any cash generating transaction will be completed or that the Company's expense reduction measures will be sufficient to allow it to continue operating its business. The Company needs substantial additional funding to continue operating its business. If it is unable to continue as a going concern, the Company may have to liquidate its assets, and the values it receives for its assets in liquidation or dissolution could be significantly lower than the values reflected in its financial statements. The Company may have to liquidate its assets in the very near term if additional funding is not received in the upcoming months, according to the Company's Quarterly Report for the period ended Sept. 30, 2023. NEW ANTHEM: Seeks to Hire Carter & Carter as Bankruptcy Counsel --------------------------------------------------------------- New Anthem, LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of North Carolina to hire Carter & Carter, P. A. as its bankruptcy counsel. The firm's services include: a. understanding and complying with its duties and responsibilities as a debtor-in-possession; b. managing or liquidating the bankruptcy estate and its assets; c. preparing and filing motions, applications, orders, reports, and other legal pleadings and papers; d. providing information and documents to the Bankruptcy Administrator, the Subchapter V Trustee, and other parties in interest; e. preparing for and attending the Intake Conference, the Status Conference, and other meetings and hearings in connection with the bankruptcy case; f. communicating and negotiating with creditors and administrative claimants; g. proposing a plan of reorganization, h. representing the debtor in connection with the plan confirmation process; i. protecting property of the estate; j. recovering property of the estate where feasible; k. handling any contested matters and adversary proceedings; and l. providing advice and counsel to the debtor as may be required during this bankruptcy proceeding. The attorney has agreed to charge a flat fee of $20,000 for this Chapter 11 case. As disclosed in the Oliver Carter III, attorney with Carter & Carter, assured the court that his firm does not represent or hold any interest adverse to the estate and is a "disinterested person" as contemplated under 11 U.S.C. Secs. 327 and 1195. The firm can be reached through: Oliver Carter, III, Esq. New Anthem, LLC 408 Market Street Wilmington, NC 28401 Telephone: (910) 763-3626 Facsimile: (866) 249-7856 Email: oliver@carterandcarterlaw.com About New Anthem New Anthem, LLC operates a brewery. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.C. Case No. 24-01126) on April 4, 2024, with $859,996 in assets and $4,146,783 in liabilities. J. Aaron Skiles, manager, signed the petition. Judge Joseph N. Callaway presides over the case. Oliver Carter III, Esq., at Carter & Carter, P.A. represents the Debtor as legal counsel. NOGIN INC: Permitted to Get Another $3-Mil. Cash ------------------------------------------------ Vince Sullivan of Law360 reports that e-commerce company Nogin Inc. received permission Thursday, April 11, 2024, from a Delaware bankruptcy court to draw another $3 million in Chapter 11 financing as it continues working toward implementing its court-approved restructuring plan. About Nogin Inc. Nogin, Inc., a New York-based company, provides enterprise-class ecommerce technology and services for consumer products through its Intelligent Commerce technology, a cloud-based ecommerce environment purpose-built for brands selling direct-to-consumer (D2C) and business-to-business (B2B). Nogin and its affiliates filed Chapter 11 petitions (Bankr. D. Del. Lead Case No. 23-11945) on Dec. 5, 2023. In the petition signed by its chief restructuring officer, Vladimir Kasparov, Nogin reported $47,263,000 in assets and $142,815,000 in liabilities. Judge Craig T. Goldblatt oversees the cases. The Debtors tapped Daniel J. DeFransceschi, Esq., at Richards, Layton & Finger, P.A. as legal counsel; Livingstone Partners, LLC as investment banker; and Triple P RTS, LLC as restructuring advisor. Mr. Kasparov and Robin Chiu of Triple P RTS serve as the Debtors' chief restructuring officer and deputy chief restructuring officer, respectively. Donlin, Recano & Company, Inc. is the Debtors' claims and noticing agent and administrative advisor. The U.S. Trustee for Region 3 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. The committee tapped Lowenstein Sandler, LLP and Morris James, LLP as bankruptcy counsels, and Dundon Advisers, LLC as financial advisor. NOVA LIFESTYLE: WWC PC Raises Going Concern Doubt ------------------------------------------------- Nova Lifestyle, Inc. disclosed in a Form 10-K Report filed with the U.S. Securities and Exchange Commission for the fiscal year ended December 31, 2023, that its auditor expressed that there is substantial doubt about the Company's ability to continue as a going concern. San Mateo, California-based WWC PC, the Company's auditor since 2022, issued a "going concern" qualification in its report dated April 12, 2024, citing that the Company incurred a net loss for the years ended December 31, 2023 and 2022, and the accumulated deficit increased from $36.71 million to $44.43 million from 2022 to 2023. These factors, raise substantial doubt about its ability to continue as a going concern. The Company incurred a net loss of $7.72 million and $17.10 million for the years ended December 31, 2023 and 2022. Net cash balance decreased to $0.37 million for the year ended December 31, 2023 from $1.37 million for the year ended December 31, 2022. Continuation as a going concern is dependent upon the ability of the Company to obtain the necessary financing to meet its obligations and pay its liabilities arising from normal business operations when they come due, and ultimately upon its ability to achieve profitable operations. The outcome of these matters cannot be predicted with any certainty at this time and raises substantial doubt that the Company will be able to continue as a going concern. The Company has faced ongoing losses from operations, and significant cash outflows from cash used in operating activities in past years. The company lacks assurance regarding its ability to achieve profitability or secure essential financing for its operations. Considering these principal conditions, the Company's management has determined that it is probable the company might encounter challenges in meeting its obligations within one year after the issuance of financial statements, primarily due to insufficient cash flow. Therefore, the Company must assess the probability that its plans will effectively alleviate the substantial doubt. The Company management has the following plans to alleviate the substantial doubt: The Company will participate in four major U.S. furniture fairs every year to seek new customers to increase the company's sales. To augment diversified revenue streams, The Company's subsidiary Nova Malaysia is proactively engaged in the development of an innovative home decoration design IT software system. Besides, in the second quarter of this year, the company will raise money from the market to increase cash flow and investment capital. As of December 31, 2023, the Company had $6.2 million in total assets, $5.7 million in total liabilities, and $496,354 in total stockholders' equity. A full-text copy of the Company's Form 10-K is available at https://tinyurl.com/mr3x74r9 About Nova Lifestyle Inc. Nova LifeStyle, Inc. is a U.S.-headquartered innovative designer and marketer of contemporary styled residential and commercial furniture formerly known as Stevens Resources, Inc. Nova was incorporated in the State of Nevada on September 9, 2009. The Company's products are marketed through wholesale and retail channels as well as various online platforms worldwide. NRG ENERGY: Moody's Affirms 'Ba1' CFR, Outlook Stable ----------------------------------------------------- Moody's Ratings affirmed NRG Energy, Inc.'s (NRG) ratings, including its Ba1 corporate family rating, Baa3 senior secured rating, and Ba2 senior unsecured rating. NRG's SGL-2 speculative grade liquidity rating is unchanged. At the same time, Moody's have affirmed the ratings of APX Group, Inc. (APX, Ba3 senior unsecured), a subsidiary of Vivint Smart Home, Inc. (Vivint), which, in turn, is a subsidiary of NRG, and the ratings of Alexander Funding Trust II (Baa3 senior secured). The outlooks of NRG, APX and Alexander Funding Trust II are stable. RATINGS RATIONALE "The affirmation of NRG's ratings reflects its strong operational and financial performance in 2023 and Moody's expectation that this will continue," said Toby Shea, VP – Sr. Credit Officer, "However, Moody's have raised the CFO pre-WC to debt ratio threshold required for the company to maintain its current ratings because of the declining contribution of hard assets and the growing reliance on retail and trading, which increases business risk." NRG has sold or retired a large share of its generation portfolio over the past few years, including most recently its 44% ownership share in a large nuclear facility in November 2023. The company currently owns about 13 gigawatts (GW) of generating capacity, a sharp fall from 30 GW of owned capacity at the end of 2017. At the same time, retail and trading activity at NRG has gained prominence, as the company acquired several retail and trading companies, including the substantial acquisition of Direct Energy in 2021 for $3.6 billion along with smaller retail energy providers such as XOOM Energy in 2018 for $210 million and Stream Energy in 2019 for $300 million. As a result, Moody's estimate that the organization's retail, trading, and home monitoring businesses will contribute more cash flow than its generation assets going forward. NRG performed well both operationally and financially in 2023 despite a hot summer in Texas that resulted in record loads and frequent price spikes. The company's CFO pre-WC to debt ratio on a fully-adjusted basis rose to 24.6% in 2023, from 17.6% the year before. The retail energy supply business tends to suffer during extreme heat and periods of commodity volatility because it can be expensive to buy spot power during heat waves to cover the unexpected increase in usage. Nevertheless, NRG's overall cash flow remained strong in 2023 because the high prices and market volatility also benefitted its generation fleet and created trading opportunities. Importantly, NRG's power plants operated well in 2023 and did not suffer from major outages as was the case in 2022. NRG's Vivint subsidiary exhibited strong overall results in 2023. Customer count increased by 6%, customer lifetime remained at nine years, and its retention rate of 89% is unchanged from 2022. The monthly recurring service margin per subscriber rose to $39 in 2023 from $36 in 2022, a 9% increase. The net cost of acquiring a new customer, however, increased to $836 per customer from $734 per customer, a 14% increase. The increase in net acquisition cost, while credit negative, is acceptable given the size of the service margin. Liquidity NRG has a Speculative Grade Liquidity rating of SGL-2, which reflects good liquidity derived from the expected strong free cash flow of over $1 billion for 2024 and a large amount of credit facilities. NRG has a total of $7.4 billion in liquidity facilities, including a $4.3 billion corporate revolving credit facility, a $1.4 billion receivables securitization facility, $500 million of Pre-capitalized Trust Securities (P-Caps), and several other smaller specialized credit facilities. At the end of 2023, the company reported approximately $4.3 billion of availability under these facilities. The revolving credit facility, which matures in February 2028, contains a material adverse change clause for new borrowings, a credit and liquidity negative. NRG has a springing financial covenant in its revolving credit facilities and term loans that require the company to maintain a corporate net debt-to-EBITDA ratio of 4x or below on the last day of any four quarter period in which the sum of all outstanding revolving loans and LCs (other than $400M of undrawn letters of credit and cash collateralized or backstopped letters of credit) exceeds 30% of the revolving credit facility on such day. Because these ratios are calculated to cover only NRG's secured debt, the company is comfortably in compliance and should not have any problem continuing to meet these requirements. NRG's liquidity could fluctuate significantly due to market-driven collateral calls. In 2023, the company experienced an outflow of $1.8 billion in trade collateral. The company indicated in its 2023 10-K that a $0.5/MMBtu fall in gas prices could result in an additional $1.5 billion of collateral outflow. NRG's free cash flow could also decline starting in 2025 if the company commits to building 1.5 GW of new gas plants. NRG's upcoming debt maturities include $500 million of senior secured notes and $247 million of tax-exempt bonds due in 2025. NRG also has a $600 million senior secured notes issuance due in June 2024, but it has secured the repayment funding through a $875 million term loan B issuance in April. Outlook NRG's stable outlook reflects a large and profitable retail operation and a strong wholesale power market in Texas. It incorporates Moody's expectation that the company will manage its trading operation with adequate risk controls, limit illiquid positions, and maintain adequate liquidity. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Factors that Could Lead to an Upgrade To attain an investment-grade rating, NRG will need to achieve a CFO pre-WC to debt of 27% on a sustained basis. Moody's have raised the financial metric upgrade guidance to 27% from 25% because of the continued decline in the share of hard assets in NRG's asset composition, which elevates business risk. Factors that Could Lead to a Downgrade Moody's could take negative rating action should business conditions deteriorate in the retail or wholesale power markets, further increasing the company's business risk. Moody's could also take negative action should the company's trading risk exceed Moody's expectations or if its liquidity position materially weakens. To maintain its current ratings, Moody's expect NRG to maintain a CFO pre-WC to debt metric of at least 19%. Company profile NRG is a leading competitive energy supplier headquartered in Houston, TX. The company owns 13 GW of generation capacity and sells power to approximately 8 million residential and business customers, including around 2 million residential customers served by its Vivint home services subsidiary. NRG operates nationally, but Texas is the most important market, representing about half of its gross margin and cash flow. LIST OF AFFECTED RATINGS Issuer: NRG Energy, Inc. Affirmations: LT Corporate Family Ratings, Affirmed Ba1 Probability of Default, Affirmed Ba1-PD Preferred Stock, Affirmed Ba3 Senior Secured Bank Credit Facility, Affirmed Baa3 Senior Secured Regular Bond/Debenture, Affirmed Baa3 Senior Unsecured Regular Bond/Debenture, Affirmed Ba2 Outlook Actions: Outlook, Remains Stable Issuer: Chautauqua Co. Capital Resource Corp., NY Affirmations: Senior Secured Revenue Bonds, Affirmed Baa3 Issuer: Delaware Economic Development Authority Affirmations: Senior Secured Revenue Bonds, Affirmed Baa3 Issuer: Fort Bend County Industrial Development Corp Affirmations: Backed Senior Secured Revenue Bonds, Affirmed Baa2 Issuer: Texas City Industrial Development Corp., TX Affirmations: Backed Senior Secured Revenue Bonds, Affirmed Baa2 Issuer: Alexander Funding Trust II Affirmations: Senior Secured Regular Bond/Debenture, Affirmed Baa3 Outlook Actions: Outlook, Remains Stable Issuer: APX Group, Inc. Affirmations: Senior Secured Bank Credit Facility, Affirmed Ba2 Senior Secured Regular Bond/Debenture, Affirmed Ba2 Senior Unsecured Regular Bond/Debenture, Affirmed Ba3 Outlook Actions: Outlook, Remains Stable The principal methodology used in these ratings was Unregulated Utilities and Unregulated Power Companies published in December 2023. NUMBER HOLDINGS: Hilco to Oversee Sale of 99 Cent Properties ------------------------------------------------------------ Hilco Real Estate, LLC (HRE), in collaboration with Jefferies LLC, is managing the sale of 377 real estate assets, encompassing 44 owned and 333 leased properties, as part of the bankruptcy Chapter 11 filing of 99 Cents Only Stores LLC. Outside of the real estate sales, Hilco Merchant Resources will be overseeing the liquidation efforts, including the sale of all inventory and fixtures. Found in major cities like the Dallas-Fort Worth and Houston area, Phoenix, Las Vegas and Los Angeles, these properties lie in some of the respective area's most coveted retail corridors. Among the highlights of this expansive portfolio are several marquee properties situated along iconic thoroughfares such as Westheimer Road and Broadway Street in Houston, Texas, Flamingo Road and Tropicana Avenue in Las Vegas, Nevada, and Sunset Boulevard and Pico Boulevard in Los Angeles, California. The complete list of properties can be viewed on 99CentsRESales.com. Known for their extensive array of products including groceries, household goods, health and beauty products and more, 99 Cents Only Stores vary in size from 5,200+/- square feet to 66,500+/- square feet. With an average size of 23,000+/- square feet, the portfolio boasts prime retail space ideal for reuse by a variety of similar or alternative users. While investors and developers are encouraged to consider the ongoing grocery and retail potential, there are compelling opportunities for redevelopment as well. Notably, three sites feature vacant land parcels, with a standout being an expansive 14+/- acre lot in San Jacinto, California. Surrounded by a mix of residential neighborhoods and commercial districts, this specific location presents exciting prospects for significant development endeavors at the city's most desirable retail intersection. Joel Schneider, senior vice president at Hilco Real Estate, emphasized the importance of these 99 Cents Only Stores' locations, stating, "HRE's announcement of these sales underscores the value of these properties. We understand the significance of these storefronts and encourage buyers to continue serving the community as a one-stop-shop retail provider." He continued, "We invite investors and developers to explore the compelling opportunities they present whether retail use or redevelopment." The sale is being conducted by Order of the U.S. Bankruptcy Court for the District of Delaware. All bids must be submitted on the approved asset purchase agreement available for review and download from 99CentsRESales.com. Interested buyers should review the bid procedures, available on 99CentsRESales.com, outlining the requirements to participate in the sale process. For further details about the owned locations, please contact Steve Madura, Joel Schneider and Michael Kneifel at 9CentsOwned@hilcoglobal.com and the Jefferies team at 99CentsRE@Jefferies.com. For further details about the leased locations, please contact Matt Tabloff and Adam Humerick at 99CentsLeased@hilcoglobal.com and the Jefferies team at 99CentsRE@Jefferies.com. For further details about the on-going sale of 99 Cents Only Stores' inventory and fixtures, please contact Alex McKeown at amckeown@hilcoglobal.com. To learn more about the sale process and terms or to obtain access to due diligence documents, please visit 99CentsRESales.com or call (855) 755-2300. About Hilco Real Estate Hilco Real Estate ("HRE"), a Hilco Global company (HilcoGlobal.com), is headquartered in Northbrook, Illinois (USA). HRE is a national provider of strategic real estate disposition services. Acting as an agent or principal, HRE uses its experience to advise and execute strategies to assist clients in deriving the maximum value from their real estate assets. By leveraging multi-faceted sales strategies and techniques, aggressive repositioning and restructuring experience, a vast and motivated network of buyers and sellers, and substantial access to capital, HRE exceeds expectations even in the most complex transactions. About Jefferies Jefferies (NYSE: JEF) is a leading global, full-service investment banking and capital markets firm that provides advisory, sales and trading, research, wealth, and asset management services. With more than 40 offices around the world, we offer insights and expertise to investors, companies and governments. For more information: www.jefferies.com. About Number Holdings Founded in 1982, 99 Cents Only Stores LLC -- http://www.99only.com/ -- operate over 370 "extreme value" retail stores in California, Arizona, Nevada and Texas under the business names "99¢ Only Stores" and "The 99 Store." The Company offers its customers a wide array of quality products -- from everyday household items, to fresh produce, deli, and other grocery items, to an assortment of seasonal and party merchandise -- many of which are still priced at or below 99.99 cents. The Company's stores are primarily located in urban areas and underserved communities, many of which lack close access to traditional grocery stores. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-10719) on April 7, 2024. In the petition signed by Christopher J. Wells, as chief restructuring officer, the Debtor disclosed up to $10 billion in both assets and liabilities. Judge Kate Stickles oversees the case. The Debtors tapped Milbank LLP as general bankruptcy counsel, Morris, Nichols, Arsht & Tunnel LLP as Delaware bankruptcy counsel, Jefferies LLC as investment banker, Alvarez & Marsal North America, LLC as financial advisor, Hilco Merchant Resources, LLC and Hilco Real Estate, LLC as retail consultant and real estate consultant, and Kroll Restructuring Administration LLC as claims and noticing agent. ORENGO AIR: Seeks Approval to Hire JPC Law Office as Attorney ------------------------------------------------------------- Orengo Air Corporation seeks approval from the U.S. Bankruptcy Court for the District of Puerto Rico to hire JPC Law Office as its attorney. The Debtor requires JPC Law Office to: a. advise the Debtor with respect to its duties, powers and responsibilities in the case under the laws of the U.S. and Puerto Rico in which the debtor in possession conducts its operations; b. advise the Debtor in connection with a determination on whether a reorganization is feasible and if not, help the Debtor in the orderly liquidation of its assets; c. assist the Debtor with respect to negotiations with creditors for the purpose of achieving a reorganization or an orderly liquidation; d. prepare necessary complaints, answers, orders, reports, memoranda of law and any other legal paper or document required in the above captioned case; e. appear before the Bankruptcy Court or any other court in which the Debtor asserts a claim, interest or defense related to the bankruptcy case; f. perform such other legal services for debtor as may be required in the proceeding or in connection with the operation of the Debtor's business including, but not limited to, notarial services; and g. employ other professional services, if necessary. JPC Law Office will be paid at the hourly rate of $200. JPC Law Office will be paid a retainer in the amount of $10,283. JPC Law Office will also be reimbursed for reasonable out-of-pocket expenses incurred. Jose M Prieto Carballo, partner of JPC Law Office, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtor and its estates. JPC Law Office can be reached at: Jose M Prieto Carballo, Esq. JPC LAW OFFICE P.O. Box 363565 San Juan, PR 00936-3565 Telephone: (787) 607-2066 E-mail: jpc@jpclawpr.com About Orengo Air Corporation Orengo Air Corporation filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.P.R. Case No. 24-01434) on April 9, 2024, listing $2,366,403 in assets and $5,312,448 in liabilities. The petition was signed by Luis D. Torres Orengo as president. Jose M Prieto Carballo, Esq. at JPC LAW OFFICES represents the Debtor as counsel. OUTKAST ELECTRICAL: Taps Thomas H. Curran as Special Counsel ------------------------------------------------------------ Outkast Electrical Contractors, Inc. seeks approval from the U.S. Bankruptcy Court for the District of Massachusetts to employ Thomas H. Curran Associates, LLC as its special litigation counsel. The firm will represent the Debtor in litigation matters with respect to recovery, collections, and turnover of monies and amounts due to the Debtor, and enforce the automatic stay and recovery of damages for violations of same. The firm will charge these hourly rates: Partners and Of-Counsel $550 to $650 Associates $325 to $550 Law Clerks/Assistants $150 As disclosed in the court filings, Thomas H. Curran Associates is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Thomas H. Curran, Esq. Thomas H. Curran Associates, LLC 10 Post Office Square Suite 800 South Boston, MA 02109 Phone: (617) 207-8670 About Outkast Electrical Contractors, Inc. Outkast Electrical Contractors, Inc. provides full-service commercial electrical construction and renovation services throughout the greater Boston area. The company is based in Dorchester Center, Mass. Outkast filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Mass. Case No. 24-10272) on February 13, 2024, with $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Paul Gray, president, signed the petition. Judge Janet E. Bostwick oversees the case. John Sommerstein, Esq., at John F. Sommerstein represents the Debtor as legal counsel. PAP OIL GROUP: Seeks to Hire Eisner Advisory Group as Accountant ---------------------------------------------------------------- Pap Oil Group, Inc. seeks approval from the U.S. Bankruptcy Court for the Southern District of Florida to employ Eisner Advisory Group, LLC and EisnerAmper LLP as its accountants. The accountant will render these services: (a) give advice to the debtor with respect to the financial aspects of this case; (b) prepare financial statements, accounting documents, monthly operating reports and tax documents; and (c) prepare necessary financial projections, budgets and financial analysis for the disclosure statement, plan and other necessary filings before this Court. The firm's hourly rates range from $195 to $800 depending on the level and skill of the professional assigned. The initial retainer charged by the accountant is $5,000. Andrew Bernstein, CPA, managing director of Eisner Advisory Group, As disclosed in the court filings, Eisner Advisory Group does not hold or represent any interest adverse to the Debtor or its estate. The firm can be reached through: Andrew Bernstein, CPA, CFF, CVA Eisner Advisory Group, LLC EisnerAmper LLP 1001 Brickell Bay Drive, Suite 1400 Miami, FL 33131 Tel: (305) 371-6200 About Pap Oil Group, Inc. Pap Oil Group, Inc. filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 24-11581) on February 20, 2024, with up to $50,000 in assets and up to $500,000 in liabilities. Judge Peter D. Russin oversees the case. Nicholas G. Rossoletti, Esq., represents the Debtor as legal counsel. PERIMETER ORTHOPAEDICS: Hires Geeslin Group LLC as Accountant ------------------------------------------------------------- Perimeter Orthopaedics, P.C. and its affiliates seek approval from the U.S. Bankruptcy Court for the Northern District of Georgia to employ Geeslin Group LLC as accountant. The firm's services include: a. assisting the Debtors in preparing and filing their tax returns; b. analyzing financial data and preparing financial reports as necessary to comply with orders of the Court and requests from the U.S. Trustee and other parties-in-interest; and c. providing other essential accounting duties necessary to ensure the accuracy of information presented to the Court and parties in interest in these cases. The firm will be paid at these rates: Dale Geeslin $320 per hour Managers $210 per hour Senior accountants $160 per hour Nonprofessional staff $140 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Dale Geeslin, a partner at Geeslin Group LLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Dale Geeslin, CPA Geeslin Group LLC 200 Westpark Dr, Suite 370 Peachtree City, GA 30269 Tel: (770) 487-0001 About Perimeter Orthopaedics, P.C., Perimeter Orthopaedics, P.C. and Perimeter Outpatient Surgery Associates, Inc. are a physician practice that specializes in orthopedics. The Debtors filed petitions under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Ga. Lead Case No. 23-20554) on May 17, 2023. At the time of filing, Perimeter Orthopaedics reported as much as $50,000 in assets and $1 million to $10 million in liabilities. Perimeter Outpatient reported as much as $50,000 in assets and $500,001 to $1 million in liabilities. Judge James R. Sacca oversees the cases. The Debtors tapped William A. Rountree, Esq., at Rountree Leitman Klein & Geer, LLC as bankruptcy counsel and Durrett Firm as special counsel. PLOURDE SAND: Seeks Cash Collateral Access ------------------------------------------ Plourde Sand & Gravel Co., Inc. asks the U.S. Bankruptcy Court for the District of Delaware for authority to use cash collateral and provide adequate protection. Specifically, the Debtor asks to use and spend up to $282,989 of cash collateral to pay post-petition costs and expenses including payroll and monthly operating expenses incurred in the ordinary course of business and making adequate protection payments to the extent provided for in the budget during the period between May 1, 2024 and June 30, 2024. The Debtor further seeks permission from the Court to provide GreenLake and the Internal Revenue Service with the following adequate protection for any loss or diminution in value of the cash collateral securing its claims to the extent such claims qualify as secured claims under 11 U.S.C. Section 506 pending the further order or orders of the Court: a. The Debtor will continue to make adequate protection payments in the amount of $6,625 each week to GreenLake. These payments will continue pending further order of the Court. b. The Debtor will continue to make adequate protection payments in the amount of $1,000 each week to the IRS. These payments will continue pending further order of the Court. c. The Debtor will grant the Potential Record Lienholders that hold or claim to hold valid, binding, enforceable and automatically perfected liens on the Debtor's post-petition property of same kinds, types and description in, to and on which a Potential Record Lienholders held valid and enforceable perfected liens on the Petition Date, each of which shall have and enjoy the same priority as such liens had under applicable state law on the Petition Date, if any. The Record Cash Collateral Liens held by the other Potential Cash Collateral Record Lienholders confer any value on them. A copy of the motion is available at https://urlcurt.com/u?l=Zh58JC from PacerMonitor.com. About Plourde Sand & Gravel Co., Inc. Plourde Sand & Gravel Co., Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. N.H. Case No. 24-10015) on January 9, 2024. In the petition signed by Daniel O. Plourde, sole shareholder and vice president, the Debtor disclosed up to $10 million in both assets and liabilities. Judge Bruce A. Harwood oversees the case. Eleanor Wm. Dahar, Esq., at VICTOR W. DAHAR PROFESSIONAL ASSOCIATION, represents the Debtor as legal counsel. PRECISION ANESTHESIA: Hires EmergeLaw PLC as Bankruptcy Counsel --------------------------------------------------------------- Precision Anesthesia Billing, LLC seeks approval from the U.S. Bankruptcy Court for the Middle District of Tennessee to hire EmergeLaw, PLC as its bankruptcy counsel. The firm's services include: a. providing legal advice with respect to the rights, powers and duties of Debtor in the management of its property; b. investigating and, if necessary, instituting legal action on behalf of the Debtor to collect and recover assets of the estate of Debtor; c. preparing all necessary pleadings, orders and reports with respect to this proceeding and to render all other necessary or proper legal services; d. assisting and counseling the Debtor in the preparation, presentation and confirmation of the plan; e. representing the Debtor as may be necessary to protect the Debtor's interests; and f. performing all other legal services that may be necessary and appropriate in the general administration of the Debtor's estate. Robert Gonzales and Nancy King are the firm's attorneys who will be primarily responsible for representing the Debtors in these cases. As of Jan. 1, 2024, Mr. Gonzales's current hourly rate is $675 and Ms. King's is $625. The firm received a total of $76,738 in connection with its representation of the Debtor. Robert Gonzales, Esq., a partner at EmergeLaw, disclosed in a court filing that the firm is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Robert J. Gonzales, Esq. Nancy B. King, Esq. EMERGELAW, PLLC 4235 Hillsboro Pike, Suite 350 Nashville, TN 37215 Tel: (615) 815-1535 Email: robert@emerge.law nancy@emerge.law About Precision Anesthesia Billing Precision Anesthesia Billing, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Tenn. Case No. 24-01207) on April 9, 2024, with up to $50,000 in assets and up to $500,000 in liabilities. Judge Charles M. Walker presides over the case. Nancy B. King, Esq., and Robert James Gonzales, Esq., at Emergelaw, PLLC represents the Debtor as bankruptcy counsel. PRESTO AUTOMATION: Brown Stone, N. Montazeri No Longer Hold Shares ------------------------------------------------------------------ Brown Stone Capital Limited and Nima Montazeri disclosed in a Schedule 13G Report filed with the U.S. Securities and Exchange Commission that as of February 29, 2024, they ceased to beneficially own shares of Presto's common stock. About Presto Automation Presto (Nasdaq: PRST) provides enterprise-grade AI and automation solutions to the restaurant industry. Presto's solutions are designed to decrease labor costs, improve staff productivity, increase revenue, and enhance the guest experience. Presto offers its AI solution, Presto Voice, to quick service restaurants (QSR) and its pay-at-table tablet solution, Presto Touch, to casual dining chains. Some of the most recognized restaurant names in the United States are among Presto's customers, including Carl's Jr., Hardee's, and Checkers for Presto Voice. Substantial doubt exists about the Company's ability to continue as a going concern within one year after the date that the financial statements are available to be issued. The Company continues efforts to mitigate the conditions or events that raise this substantial doubt, however, as some components of these plans are outside of management's control, the Company cannot offer any assurances they will be effectively implemented. The Company cannot offer any assurance that any additional financing will be available on acceptable terms or at all. If the Company is unable to raise additional capital it would likely lead to an event of default under the Credit Agreement and the potential exercise of remedies by the Agent and Lender, which would materially and adversely impact its business, results of operations and financial condition, according to the Company's Quarterly Report for the period ended Sept. 30, 2023. PRIDE GROUP: Needs Additional Time to Get U.S. DIP Approval ----------------------------------------------------------- Ben Zigterman of Law360 reports that at a hearing Thursday, April 11, 2024, in Delaware bankruptcy court, Canadian trucking company Pride Group was unable to reach an agreement on provisional approval of its debtor-in-possession facility that received the go-ahead in Canadian court, as the U.S. Trustee warned of the expanding scope of Chapter 15 provisional relief hearings. About Pride Group Holdings Pride Group Holdings is a Canadian trucking company. It operates businesses offering new and used truck and tractor sales, truck leasing, financing, logistics, maintenance and fuel sales. Its founders, Sam and Jas Johal launched the business with one location as a used truck retailer and now operate more than 50 locations in the U.S. and Canada. Pride Group Holdings sought relief under Chapter 15 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 24-10632) on April 1, 2024. The Debtor is represented by: Derek C. Abbott Morris, Nichols, Arsht & Tunnell 302-658-9200 dabbott@mnat.com PRIME MARKETING: Hires NKA Financial Services Inc. as Accountant ---------------------------------------------------------------- Edward Burr, the Trustee for Prime Marketing, LLC seeks approval from the U.S. Bankruptcy Court for the District of Nevada to employ NKA Financial Services, Inc. as accountant. The firm will provide these services: a. provide accounting and bookkeeping services to the Debtor; b. issue 1099s if required; and c. prepare the Debtor's tax returns; and (4) perform such other accounting, bookkeeping and related services as may be required by the Debtor. The firm will be paid at these rates: Accounting/bookkeeping from February 2024 $525 per month Flat fee for issuing 1099s $150 to $250 Preparing the Debtor's 2023 tax returns $2,500 to $3,000 The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Nikhil Arora, a partner at NKA Financial Services, Inc., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Nikhil Arora NKA Financial Services, Inc. 21053 Devonshire St. # 202 Tel: (818) 273-6881 About Prime Marketing, LLC Prime Marketing, LLC is a provider of smart IT tools for a business of global organizations of any sizes. From developing exclusive strategies to delivering the products, services and expertise, the company helps its clients' business run more competently and revise through technology Solutions. Prime Marketing filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Nev. Case No. 24-50091) on Jan. 29, 2024, with $100,000 to $500,000 in assets and $1 million to $10 million in liabilities. Judge Katharine M. Samson oversees the case. The Debtor tapped Jeffrey I. Golden, Esq., at Golden Goodrich, LLP as bankruptcy counsel; L. Edward Humphrey, Esq., at Humphrey O'Rourke, PLLC as local counsel; and Theodore Slater, Esq., at Slater Law, APC as special litigation counsel. PROFESSIONAL DIVERSITY: Regains Compliance With Nasdaq Requirement ------------------------------------------------------------------ Professional Diversity Network, Inc. disclosed in a Form 8-K filed with the Securities and Exchange Commission that on April 2, 2024, the Company received a letter from Nasdaq stating that based on the Company's Form 10-K for the period ended Dec. 31, 2023, evidencing stockholders' equity of $2,568,241, Nasdaq has determined that the Company complies with the Rules and the matter is now closed. The Company intends to pursue other transactions in the near term, including without limitation, equity financing transactions and/or acquisitions, to further shore up the Company's shareholders' equity. As previously disclosed, on Nov. 21, 2023, Nasdaq notified the Company that it did not comply with the minimum $2.5 million stockholders' equity, or $35 million market value of listed securities, or $500,000 of net income from continuing operations requirements for The Nasdaq Capital Market set forth in Listing Rules 5550(b)(1), or 5550(b)(2), or 5550(b)(3), respectively. About Professional Diversity Headquartered in Chicago, Illinois, Professional Diversity Network, Inc. -- https://www.prodivnet.com -- is a global developer and operator of online and in-person networks that provides access to networking, training, educational and employment opportunities for diverse professionals. The Company serves a variety of such communities, including Women, Hispanic-Americans, African-Americans, Asian-Americans, persons with disabilities, Military Professionals, and Lesbian, Gay, Bisexual, Transgender and Queer (LGBTQ+). The Company's goal is (i) to assist its registered users and members in their efforts to connect with like-minded individuals and identify career opportunities within the network and (ii) connect members with prospective employers while helping the employers address their workforce diversity needs. The Company believes that the combination of its solutions allows it to approach recruiting and professional networking in a unique way and thus create enhanced value for its members and clients. Oak Brook, Illinois-based Sassetti LL, the Company's auditor since 2022, issued a "going concern" qualification in its report dated March 29, 2024, citing that the Company has incurred recurring operating losses, has a significant accumulated deficit, and will need to raise additional funds to meet its obligations and the costs of its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. PSG CONCRETE: Hires Amy B. Whitmarsh CPA PA as Accountant --------------------------------------------------------- PSG Concrete & Excavation, LLC seeks approval from the U.S. Bankruptcy Court for the Middle District of Florida to employ Amy B. Whitmarsh, CPA PA as accountant. The firm will assist in the preparation and filing of all required tax returns and filings and will make sure same are accurate and based on reliable accounting. The firm will be paid at the rates of $150 per hour. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Amy B. Whitmarsch, CPA PA, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Amy B. Whitmarsch Amy B. Whitmarsch, CPA PA 432 W. New York Ave., Ste. A Deland, FL 32720 Tel: (386) 734-1219 About PSG Concrete & Excavation PSG Concrete & Excavation, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-00044) on Jan. 5, 2024, with up to $50,000 in assets and $100,001 to $500,000 in liabilities. Judge Grace E. Robson oversees the case. Melissa A. Youngman, Esq., at Winter Park Estate Plans & Reorgs represents the Debtor as legal counsel. PUNTO OTTICO: Case Summary & 18 Unsecured Creditors --------------------------------------------------- Debtor: Punto Ottico USA LLC d/b/a Punto Ottico Humaneyes 1086 Madison Avenue Unit C-2 New York NY 10028 Chapter 11 Petition Date: April 18, 2024 Court: United States Bankruptcy Court Southern District of New York Case No.: 24-10660 Judge: Hon. Philip Bentley Debtor's Counsel: Joseph A. Pack, Esq. PACK LAW 51 NE 24th St., Suite 108 Miami, FL 33137 Tel: 305-916-4500 E-mail: joe@packlaw.com Estimated Assets: $100,000 to $500,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Stefania Passatutto as manager. A full-text copy of the petition containing, among other items, a list of the Debtor's 18 unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/5NWHX2Y/Punto_Ottico_USA_LLC__nysbke-24-10660__0001.0.pdf?mcid=tGE4TAMA PURDUE PHARMA: Seeks to Hire BDO USA P.C. as Accountant ------------------------------------------------------- PURDUE PHARMA L.P and its affiliates seek approval from the U.S. Bankruptcy Court for the Southern District of New York to employ BDO USA, P.C. as accountant. The firm will provide these services: a. assessment of the Debtors' 340B drug pricing program; b. analysis of the Debtors' internal controls systems; c. tax restructuring services; d. fresh start accounting services; e. consulting services related to the Debtors' accounting methodology; f. tax planning and compliance services; g. tax advisory services; and h. other internal audit, tax and accounting services as requested by the Debtors. The firm will be paid at these rates: Principals/ Managing Director $725 to $1,150 per hour Director $650 to $850 per hour Manager $550 to $750 per hour Seniors $375 to $625 per hour Associates $175 to 375 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Mandy Carroll, a principal at BDO USA, P.C., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Mandy Carroll BDO USA, P.C One International Place Boston, MA 02110 Tel: (617) 422-0700 About Purdue Pharma LP Purdue Pharma L.P. and its subsidiaries -- http://www.purduepharma.com/-- develop and provide prescription medicines and consumer products that meet the evolving needs of healthcare professionals, patients, consumers and caregivers. Purdue's subsidiaries include Adlon Therapeutics L.P., focused on treatment for Attention-Deficit/Hyperactivity Disorder (ADHD) and related disorders; Avrio Health L.P., a consumer health products company that champions an improved quality of life for people in the United States through the reimagining of innovative product solutions; Imbrium Therapeutics L.P., established to further advance the emerging portfolio and develop the pipeline in the areas of CNS, non-opioid pain medicines, and select oncology through internal research, strategic collaborations and partnerships; and Greenfield Bioventures L.P., an investment vehicle focused on value-inflection in early stages of clinical development. Opioid makers in the U.S. are facing pressure from a crackdown on the addictive drug in the wake of the opioid crisis and as state attorneys general file lawsuits against manufacturers. More than 2,000 states, counties, municipalities and Native American governments have sued Purdue Pharma and other pharmaceutical companies for their role in the opioid crisis in the U.S., which has contributed to the more than 700,000 drug overdose deaths in the U.S. since 1999. OxyContin, Purdue Pharma's most prominent pain medication, has been the target of over 2,600 civil actions pending in various state and federal courts and other fora across the United States and its territories. On Sept. 15 and 16, 2019, Purdue Pharma L.P. and 23 affiliated debtors each filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 19-23649), after reaching terms of a preliminary agreement for settling the massive opioid litigation. The Debtors' consolidated balance sheet as of Aug. 31, 2019, showed $1.972 billion in assets and $562 million in liabilities. U.S. Bankruptcy Judge Robert Drain oversees the cases. The Debtors tapped Davis Polk & Wardwell, LLP and Dechert, LLP, as legal counsels; PJT Partners as investment banker; AlixPartners as financial advisor; and Grant Thornton, LLP as tax structuring consultant. Prime Clerk, LLC, is the claims agent. Akin Gump Strauss Hauer & Feld LLP and Bayard, P.A., represent the official committee of unsecured creditors appointed in the Debtors' bankruptcy cases. David M. Klauder, Esq., is the fee examiner appointed in the Debtors' cases. The fee examiner is represented by Bielli & Klauder, LLC. * * * U.S. Bankruptcy Judge Robert Drain in early September 2021 approved a plan to turn Purdue into a new company (Knoa Pharma LLC) no longer owned by members of the Sackler family, with its profits going to fight the opioid epidemic. The Sackler family agreed to pay $4.3 billion over nine years to the states and private plaintiffs and in exchange for a lifetime legal immunity. The deal resolves some 3,000 lawsuits filed by state and local governments, Native American tribes, unions, hospitals and others who claimed the company's marketing of prescription opioids helped spark and continue an overdose epidemic. Separate appeals to approval of the Plan have already been filed by the U.S. Bankruptcy Trustee, California, Connecticut, the District of Columbia, Maryland, Rhode Island and Washington state, plus some Canadian local governments and other Canadian entities. In early March 2022, Purdue Pharma reached a nationwide settlement over its role in the opioid crisis, with the Sackler family members boosting their cash contribution to as much as $6 billion. The settlement was hammered out with attorneys general from the eight states -- California, Connecticut, Delaware, Maryland, Oregon, Rhode Island, Vermont and Washington -- and D.C. who had opposed the previous settlement. QHT-US INC: Seeks to Hire Richards Brandt as Legal Counsel ---------------------------------------------------------- QHT-US Inc. seeks approval from the U.S. Bankruptcy Court for the Central District of Utah to hire the law firm of Richards Brandt Miller Nelson as its counsel. The Debtor requires the assistance of bankruptcy counsel to: -- advise the Debtor regarding its obligations and the requirements of the Bankruptcy Code; and -- represent and assist the Debtor with respect to issues concerning cash collateral, payment of pre-petition debt, assumption or rejection of executory contracts, avoidance actions, preference actions, preparation of bankruptcy schedules and statement of financial affairs, formulation of a plan of reorganization, and other legal matters that may arise in the course of this bankruptcy proceeding. The firm will be paid at these hourly rates: Lead Counsel $340 Associates $230 Paraprofessional $190 Richards Brandt received a prepetition retainer of $10,000. Richards Brandt is disinterested within the meaning of 11 U.S.C. Sec. 101(14), according to court filings. The firm can be reached through: Matthew Barneck, Esq. Richards Brandt Miller Nelson, PC 299 S Main St., 15th Floor Salt Lake City, UT 84111 Phone: (801) 531-2000 Email: matthew-barneck@rbmn.com About QHT-US, Inc. QHT-US, Inc. is a family owned healthy lozenge manufacturer located in Utah. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Utah Case No. 24-21569) on April 8, 2024. In the petition signed by John W. Taylor, president/CEO, the Debtor disclosed up to $500,000 in assets and up to $10 million in liabilities. Judge Kevin R Anderson oversees the case. Adam S. Affleck, Esq., at Richards Brandt Miller Nelson, oversees the case. R. MILLENNIUM: Unsecured Creditors Will Get 42% Dividend in Plan ---------------------------------------------------------------- R. Millennium Transport, Inc., filed with the U.S. Bankruptcy Court for the Eastern District of California a Plan of Reorganization for Small Business dated April 9, 2024. The Debtor is a corporation. Since 2014, the Debtor has been in the business of hauling freight through the United States, primarily refrigerated products such as fresh produce and meat. Pre-petition, the Debtor was forced to borrow money at interest rates of 90% and 211% per annum. Payments were deducted daily from the Debtor's bank account, a total of $285,000 in the 90 days preceding the petition date. After the Trustee and Debtor in Possession's counsel reviewed options with potential special counsel, it was determined to not seek recovery of potential preferences but at the same time avoid having to pay the loans due to the lenders' failure to file proofs of claim. Profit and loss statements for 2023 and the first quarter of 2024 demonstrate sufficient income to continue paying the two remaining secured claims (Crossroads Equipment Lease & Finance of $5,900 per month and Sumitomo Mitsui Finance and Lease Company of $4,650 per month, each for the next 19 months), and a new payment to the Trustee of $5,000 per month for 60 months. After the two remaining secured claims are paid, the payments which had been going to them ($10,550 per month) will be available for distribution by the Trustee to other creditors. The final Plan payment is expected to be paid on May 1,2028. This Modified Plan of Reorganization proposes to pay creditors of the Debtor from cash flow from future operations over a four-year period. Non-priority unsecured creditors (excluding insiders) holding allowed claims will receive distributions, which the proponent of this Modified Plan has valued at 42 cents on the dollar. This Modified Plan also provides for full payment of administrative and priority tax claims. Finally, this Modified Plan also provides for the full payment of allowed secured claims. Class 4 consists of Non-priority unsecured claims. Holders of Class 4 claims, as a class, will receive the following payments: (a) $1,196 per month for 19 months commencing June 1, 2024; and (b) $12,185 per month for 29 months commencing January 1, 2026. The estimated dividend is 42%. This Class is impaired. Class 5 consists of Non-priority unsecured claims held by insiders. The holders of Class 5 claims will receive nothing on account of their $819,000 claim. This Class is impaired. Class 6 consists of Equity interests in the Debtor. Class 6 will be unaffected by the Plan. The Debtor has sufficient cash flow to pay all unclassified claims. The Debtor has sufficient cash flow to make the payments called for by this Modified Plan. A full-text copy of the Plan of Reorganization dated April 9, 2024 is available at https://urlcurt.com/u?l=CmuoaR from PacerMonitor.com at no charge. Attorney for the Debtor: David C. Johnston, Esq. 1600 G Street, Suite 102 Modesto, CA 95354 Tel: (209) 579-1150 Email: david@johnstonbusinesslaw.com About R. Millennium Transport R. Millennium Transport, Inc., a company that provides transportation services, sought protection under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Calif. Case No. 20-90349) on May 15, 2020. At the time of the filing, Debtor disclosed assets of between $1 million and $10 million and liabilities of the same range. Judge Ronald H. Sargis oversees the case. David C. Johnston, Esq., is Debtor's bankruptcy attorney. REDDI RENTS THREE: Robert Handler Named Subchapter V Trustee ------------------------------------------------------------ The U.S. Trustee for Region 11 appointed Robert Handler of Commercial Recovery Associates, LLC as Subchapter V trustee for Reddi Rents Three, LLC. Mr. Handler will be paid an hourly fee of $450 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Handler declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Robert P. Handler Commercial Recovery Associates, LLC 205 West Wacker Drive, Suite 918 Chicago, IL 60606 Tel: (312) 845-5001 x221 Email: rhandler@com-rec.com About Reddi Rents Three Reddi Rents Three, LLC, a company in Schaumburg, Ill., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 24-05023) on April 5, 2024, with $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Raman Reddi, manager, signed the petition. Judge Janet S. Baer presides over the case. Paul M. Bach, Esq., at Paul M. Bach, Esq., represents the Debtor as legal counsel. REMARK HOLDINGS: Faces Delisting From Nasdaq -------------------------------------------- Remark Holdings, Inc. reported in a Form 8-K filed with the Securities and Exchange Commission that on April 8, 2024, The Nasdaq Stock Market LLC issued a press release publicizing that it would formally delist the common stock of the Company and file a Form 25-NSE with the U.S. Securities and Exchange Commission, which form was filed on April 9, 2024. Trading of the Company's common stock on Nasdaq was previously suspended at the opening of business on Feb. 14, 2024. The Company's common stock currently trades on the OTCQX market under the trading symbol MARK. About Remark Holdings Remark Holdings, Inc. (NASDAQ: MARK) -- http://www.remarkholdings.com-- is a diversified global technology business with leading artificial intelligence and data-analytics, as well as a portfolio of digital media properties. The Company's innovative artificial intelligence ("AI") and data analytics solutions continue to gain worldwide awareness and recognition through comparative testing, product demonstrations, media exposure, and word of mouth. The Company continues to see positive responses and increased acceptance of its software and applications in a growing number of industries. The Company 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 Sept. 30, 2023, the Company had $12.40 million in total assets, $45.32 million in total liabilities, and a total stockholders' deficit of $32.92 million. "Our history of recurring operating losses, working capital deficiencies and negative cash flows from operating activities give rise to, and management has concluded that there is, substantial doubt regarding our ability to continue as a going concern. Our independent registered public accounting firm, in its report on our consolidated financial statements for the year ended December 31, 2022, has also expressed substantial doubt about our ability to continue as a going concern. Our consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty," said Remark Holdings in its Quarterly Report for the period ended Sept. 30, 2023. REMARK HOLDINGS: Incurs $29.15 Million Net Loss in 2023 ------------------------------------------------------- Remark Holdings, Inc. filed with the Securities and Exchange Commission its Annual Report on Form 10-K reporting a net loss of $29.15 million on $4.40 million of revenue for the year ended Dec. 31, 2023, compared to a net loss of $55.48 million on $11.67 million of revenue for the year ended Dec. 31, 2022. As of Dec. 31, 2023, the Company had $10.24 million in total assets, $49.83 million in total liabilities, and a total stockholders' deficit of $39.59 million. Los Angeles, California-based Weinberg & Company, the Company's auditor since 2020, issued a "going concern" qualification in its report dated April 15, 2024, 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. Management Commentary "We spent much time and effort during 2023 on building a global sales network to help our Remark AI platform to more rapidly expand. We previously relied on our staff to sell directly to customers, but with partnerships like ours with Microsoft -- and soon to be with others -- we expect our sales will grow rapidly," said Kai-Shing Tao, Chairman and chief executive officer of Remark Holdings. "We have spent the last month planning and will soon launch our go-to market with Microsoft, which excites us for what is to come. We are finding significant interest in our respective security, construction, and infrastructure AI solutions." Mr. Tao continued, "We also recently began our first proof of concept with one of the largest construction developments in the world, which is located in Saudi Arabia. We expect this will lead to many other significant opportunities in the region given our experience in deploying our smart construction platform." "Finally, we expect that our recent success with the Clark County School District will, given that such school district is one of the top five school districts in the U.S., lead to our ability to expand our solutions into many other school districts throughout the U.S.," concluded Mr. Tao. A full-text copy of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/0001368365/000136836524000060/mark-20231231.htm About Remark Holdings, Inc. Remark Holdings, Inc. (OTCQX: MARK) -- www.remarkholdings.com -- is the AI-powered analytics platform that brings valuable insights to the video feeds provided by current cameras and computer vision solutions through its integrated suite of AI tools that help organizations understand their customer behavior and demographics while providing real-time alerts to predetermined inspection and security parameters. Remark's international team of sector-experienced professionals has created award-winning GDPR-compliant and CCPA-compliant video analytics solutions that service the government agencies, hospitality, public safety, retail, and transportation sectors. The company's headquarters are in Las Vegas, Nevada, USA, with operational offices in New York and international offices in London, England. REMARK HOLDINGS: Needs More Time to Complete 2023 Annual Report --------------------------------------------------------------- Remark Holdings, Inc. filed a Form 12b-25 with the Securities and Exchange Commission with respect to its Annual Report on Form 10-K for the year ended Dec. 31, 2023. Remark Holdings was unable to file its Annual Report without unreasonable effort or expense due to delays in obtaining and compiling information for inclusion in the Report. The Company expects to be able to file the Report on or before the fifteenth calendar day following its original prescribed due date. The Company expects revenue for the year ended Dec. 31, 2023 to be significantly less than the revenue for the year ended Dec. 31, 2022. The Company's revenue from China significantly decreased because COVID-19-related preventative measures that had been imposed through the end of 2022, in addition to increasingly high levels of political tension between the U.S. and China, had lingering economic and operational effects which made it difficult for the Company to operate on a similar pace as it had previously done. The Company also expects significant changes in the components of its total cost and expense, primarily due to changes in business development activities, provision for bad debt, reduction in stock-based compensation, impairments of long-lived assets, interest expense and finance cost related to obligations to issue common stock. The Company is not able to quantify such changes at this time as the audit of its consolidated financial statements is still in process. Additionally, the Company will not report any gain or loss on investment for the year ended Dec. 31, 2023, while it reported a loss on investment in the year ended Dec. 31, 2022 of approximately $26.4 million on its investment in the common stock of an unrelated entity. About Remark Holdings Remark Holdings, Inc. (NASDAQ: MARK) -- http://www.remarkholdings.com-- is a diversified global technology business with leading artificial intelligence and data-analytics, as well as a portfolio of digital media properties. The Company's innovative artificial intelligence ("AI") and data analytics solutions continue to gain worldwide awareness and recognition through comparative testing, product demonstrations, media exposure, and word of mouth. The Company continues to see positive responses and increased acceptance of its software and applications in a growing number of industries. The Company 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 Sept. 30, 2023, the Company had $12.40 million in total assets, $45.32 million in total liabilities, and a total stockholders' deficit of $32.92 million. "Our history of recurring operating losses, working capital deficiencies and negative cash flows from operating activities give rise to, and management has concluded that there is, substantial doubt regarding our ability to continue as a going concern. Our independent registered public accounting firm, in its report on our consolidated financial statements for the year ended December 31, 2022, has also expressed substantial doubt about our ability to continue as a going concern. Our consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty," said Remark Holdings in its Quarterly Report for the period ended Sept. 30, 2023. RENO CITY CENTER: Two New Committee Members Appointed ----------------------------------------------------- The U.S. Trustee for Region 17 appointed Mary Beth Tucker of Luxe Industries, LLC and Patrick DeLaVergne of Quick Space as new members of the official committee of unsecured creditors in the Chapter 11 case of Reno City Center Owner, LLC. As of April 16, the members of the committee are: 1. Luis Delacruz doing business as Optimum Flooring 2. Sean G. Frey of SGF Engineering 3. Robert Amster of Sierra Display Fixtures Inc. 4. Mary Beth Tucker of Luxe Industries, LLC 5. Patrick DeLaVergne of Quick Space About Reno City Center Owner Reno City Center Owner, LLC is a single asset real estate debtor (as defined in 11 U.S.C. Section 101(51B)). Reno City Center Owner filed Chapter 11 petition (Bankr. D. Nev. Case No. 24-50152) on Feb. 16, 2024, with $100 million to $500 million in both assets and liabilities. The petition was signed by Kirk Walton, managing member of GPWM QOF Manager LLC, the Debtor's manager. Judge Hilary L. Barnes presides over the case. Elizabeth Fletcher, Esq., at Fletcher & Lee represents the Debtor as legal counsel. The U.S. Trustee for Region 17 appointed an official committee to represent unsecured creditors in the Debtor's Chapter 11 case. RESHAPE LIFESCIENCES: Hires Haskell & White as New Auditor ---------------------------------------------------------- ReShape Lifesciences Inc. disclosed in a Form 8-K filed with the Securities and Exchange Commission that, with the prior approval of the Audit Committee of the Board of Directors, the Company dismissed RSM US LLP as its independent registered public accounting firm, effective immediately. In connection with the dismissal of RSM, with the prior approval of the Audit Committee, the Company engaged Haskell & White LLP as the Company's independent registered public accounting firm for the fiscal year ending Dec. 31, 2024 and related interim periods. RSM's Report of Independent Registered Public Accounting Firm on the Company's consolidated financial statements for the fiscal years ended Dec. 31, 2023 and 2022, did not contain an adverse opinion or a disclaimer of opinion, and were not qualified or modified as to uncertainty, audit scope, or accounting principles, except that such reports contained a separate emphasis of matter paragraph related to substantial doubt about the Company's ability to continue as a going concern. RSM was appointed by the Board of Directors on July 15, 2022, as the Company's independent registered public accounting firm, and has served as the Company's auditor from that date through April 8, 2024. The Company said that during the fiscal years ended Dec. 31, 2023 and 2022, and through April 9, 2024 (the date of this report), there were no disagreements with RSM on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which, if not resolved to RSM's satisfaction, would have caused it to make reference to the subject matter of the disagreements in connection with its report on any of the Company's financial statements for such periods. During the fiscal years ended Dec. 31, 2023 and 2022, and through the date of this report, there were no reportable events (as that term is described in Item 304(a)(1)(v) of Regulation S-K), except for the material weaknesses in the Company's internal control over financial reporting, as previously reported in Part II, Item 9A, "Controls and Procedures," in the Company's Annual Report on Form 10-K for the years ended Dec. 31, 2023 and 2022, filed with the Securities and Exchange Commission on April 1, 2024 and April 17, 2023, respectively. Additionally, during the fiscal years ended Dec. 31, 2023 and 2022 and through the date of Haskell & White's appointment, neither the Company nor anyone on its behalf consulted with Haskell & White regarding the application of accounting principles to a specified transaction, either completed or proposed, or the type of audit opinion that might be rendered on the Company's financial statements, and neither a written report nor oral advice was provided to the Company that Haskell & White concluded was an important factor considered by the Company in reaching a decision as to any accounting, auditing, or financial reporting issue, any matter that was the subject of a "disagreement" with its former auditors or a "reportable event," as those terms are defined in Item 304 of Regulation S-K. About ReShape Lifesciences ReShape Lifesciences Inc. (Obalon Therapeurtics, Inc.) is a weight loss and metabolic health-solutions company, offering an integrated portfolio of proven products and services that manage and treat obesity and metabolic disease. ReShape Lifesciences reporting a net loss of $11.38 million for the year ended Dec. 31, 2023, compared to a net loss of $46.21 million for the year ended Dec. 31, 2022. As of Dec. 31, 2023, the Company had $10.66 million in total assets, $4 million in total liabilities, and $6.66 million in total stockholders' equity. Irvine, California-based RSM US LLP, the Company's auditor since 2022, issued a "going concern" qualification in its report dated April 1, 2024, citing that the Company has suffered recurring losses from operations and negative cash flows. The Company currently does not generate revenue sufficient to offset operating costs and anticipates such shortfalls to continue. This raises substantial doubt about the Company's ability to continue as a going concern. RITE AID: Sets to Close 5 More Stores in Pennsylvania & New Jersey ------------------------------------------------------------------ Emily Rose Grassi of NBC Philadelphia reports that Rite Aid is adding several more Philadelphia area locations to its list of shut downs. In Philly, the locations on Germantown Avenue, North Broad Street ad Woodland Avenue are now up for sale. In Chester County, the Rite Aid on Eagleview Boulevard in Exton will be closed. And, in southern New Jersey, the pharmacy on Maple Avenue in Pennsauken is on the list. This now brings the total closures to 37 stores. Rite Aid says it will gradually phase out these locations in the coming weeks. 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 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, and Alvarez & Marsal North America, LLC, as financial, tax and restructuring advisor. Kroll Restructuring Administration is the claims and noticing agent. ROCHESTER HOLDING: U.S. Trustee Unable to Appoint Committee ----------------------------------------------------------- The U.S. Trustee for Region 21 disclosed in a court filing that no official committee of unsecured creditors has been appointed in the Chapter 11 case of The Rochester Holding Company of Georgia, LLC. About The Rochester Holding The Rochester Holding Company of Georgia, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 24-52362) on March 5, 2024, with as much as $50,000 in both assets and liabilities. Judge Barbara Ellis-Monro oversees the case. Richard K. Valldejuli, Jr., Esq., represents the Debtor as legal counsel. SC HEALTHCARE: Seeks to Hire Ordinary Course Professionals ---------------------------------------------------------- SC Healthcare Holding, LLC and its affiliates seek approval from the U.S. Bankruptcy Court for the District of Delaware to retain professionals utilized in the ordinary course of business. The Debtor needs ordinary course professionals to perform services for matters unrelated to this Chapter 11 case. The Debtor seeks to pay OCPs 100 percent of the fees and expenses incurred. The Debtor does not believe that any of the ordinary course professionals have an interest materially adverse to it, its estates, creditors, or other parties in interest in connection with the matter upon which they are to be engaged. The OCPs include: Duane Morris LLP 190 S La Salle St # 3700 Chicago, IL 60603 -- Legal Services Livingston, Barger, Brandt & Schroeder, LLP 3013 Village Office Place Champaign, IL 61822 -- Legal Services Pretzel & Stouffer, Chartered 200 S Wacker Dr #2600 Chicago, IL 60606 -- Legal Services Sorling Northrup 1 North Old State Capitol Plaza, Suite 200 Springfield, IL 62701 -- Legal Services Reifers, Holmes, & Peters LLC 120 N. LaSalle St. Suite 950 Chicago, IL 60602 -- Legal Services Clifton, Larson, Allen LLP One Grand Central Place 60 E 42nd St Suite 5100 New York, NY 10165 -- Accounting Services Ginoli & Company Ltd. 7625 N. University St., Ste A Peoria, IL 61614 -- Accounting Services Baker Tilly US, LLP 205 N Michigan Ave 28th Floor Chicago, IL 60601-5927 -- Tax Accounting Services Gold Star Software 1945 Maplewood Lane Munster, IN 46321 -- IT Services Kemper CPA Group 200 E Randolph St #3300 Chicago, IL 60601 -- IT Services Lane & Waterman LLP 230 W Monroe St Ste 1900 Chicago, IL 60606 -- Legal Services Swanson, Martin, & Bell LLP 330 N Wabash Ave #3300 Chicago, IL 60611 -- Legal Services Hinshaw & Culbertson LLP 151 N Franklin St Suite 2500 Chicago, IL 60606 -- Legal Services Quinn Johnston 227 NE Jefferson Peoria, IL 61602 -- Legal Services Stanton PRM 909 Third Avenue, 3rd Floor New York, NY 10022 -- Public Relations About SC Healthcare Holding SC Healthcare Holding, LLC, et al. comprise one of the largest nursing home operators in the United States and work in partnership with physicians, skilled nurses, and other health care providers in order to provide various healthcare and rehabilitation services for elderly citizens in Illinois, Missouri, and Iowa. SC Healthcare Holding, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-10443) on March 20, 2024. In the petition signed by David R. Campbell as authorized signatory, SC Healthcare disclosed up to $100 million to $500 million in assets and $100 million to $500 million in liabilities. Judge Hon. Thomas M Horan oversees the case. Young Conaway Stargatt & Taylor, LLP and Winston & Strawn LLP represent the Debtors as legal counsel. SCHMOLDT CONSTRUCTION: Hires Saunders as Construction Counsel ------------------------------------------------------------- Schmoldt Construction, Inc., seeks approval from the U.S. Bankruptcy Court for the Eastern District of Texas to employ Saunders Walsh & Beard as construction counsel. The firm will represent the Debtor as special construction counsel in non-litigation matters on an as-needed basis, including, but not limited to, contract drafting, commercial debt collection, and preserving lien/bond rights. The firm will be paid at these rates: Partner $425 per hour Associates $255 to $350 per hour Paralegals $150 per hour The firm received an initial retainer in the amount of $5,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Jacob D. Thomas, Esq., a partner at Saunders Walsh & Beard, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Jacob D. Thomas, Esq. Saunders Walsh & Beard 6850 TPC Dr Ste 210 McKinney, TX 75070 Tel: (214) 919-3555 About Schmoldt Construction, Inc. Schmoldt Construction, Inc., is a small construction business. The Debtor sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Tex. Case No. 24-40041) on Jan. 3, 2024, listing $100,001 to $500,000 in both assets and liabilities. Judge Brenda T. Rhoades oversees the case. DeMarco Mitchell, PLLC, serves as the Debtor's counsel. SHELTERING ARMS: Hires Golenbock Eiseman as Special Counsel ----------------------------------------------------------- Sheltering Arms Children and Family Services, Inc. seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York to employ Golenbock Eiseman Assor Bell & Peskoe LLP as special real estate counsel. The firm's services includes assisting the Debtor with matters relating to the disposition of its remaining owned real property and the resolution of certain matters ancillary to the prepetition disposition of its real property portfolio. The firm will be paid at these rates: David M. Rubin, Esq., Partner $850 per hour Jane Waldman, Esq., Counsel $695 per hour Rose Ngoma, Paralegal $325 per hour The firm received a prepetition retainer of $100,000 in June 2023 to cover the fees and expenses in connection with its representation of the Debtor in connection with the disposition of its real estate portfolio and related matters. In addition, the firm received a replenishment of $40,000 on February 14, 2024. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. David M. Rubin, Esq., a partner at Golenbock Eiseman Assor Bell & Peskoe LLP, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: David M. Rubin, Esq. Golenbock Eiseman Assor Bell & Peskoe LLP 711 Third Avenue New York, NY 10017 Tel: (212) 907-7300 About Sheltering Arms Children and Family Services, Inc. Founded approximately 200 years ago, Sheltering Arms (formerly Episcopal Social Services of New York, Inc.), maintained a mission to foster a society where every child and family it served was given the opportunity to succeed and thrive. Sheltering Arms Children and Family Services, Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-41037) on March 7, 2024, listing $10 million to $50 million in both assets and liabilities. Adam T. Berkowitz, Esq. and Michael Goldberg, Esq. at GARFUNKEL WILD, P.C. represent the Debtor as counsel. SKY DEVELOPMENT: Files Emergency Bid to Use Cash Collateral ----------------------------------------------------------- Sky Development, Ltd. asks the U.S. Bankruptcy Court for the District of Massachusetts for authority to use cash collateral and provide adequate protection. The Debtor requires the use of cash collateral to continue to operate its business, maintain the real estate, and to pay usual and necessary post-petition operating expenses, including mortgage expenses, insurance, and utilities. The Debtor's owners, Michael Sudofsky and Katherine Sudofsky, formed Sky Development, Ltd. to purchase, develop and lease real estate. The Debtor has historically operated in good standing with its lenders. The property in Marion and Mattapoisett, Massachusetts has two mortgages from Abington Bank that encumbers the real estate. Unfortunately, the Debtor fell into arrears on the mortgage due to property closures during the COVID-19 pandemic. In July 2023, the Debtor began to suffer cash depletion caused by lost rents and the Debtor entered discussions with Abington Bank regarding the outstanding mortgage obligation. In total, Debtor collects in excess of $58,000 per month in rental income. Two units are vacant at 345 Front Street and Debtor hopes to rent them each out, subject to court approval, in the amount of $750.00 each. Further, the Debtor intends to develop 413 Wareham Road into an outdoor eating area. It would rent stalls to local food vendors and guests would order food directly from there and consume food on premises at common tables or takeout. The Debtor will collect rent from each food vendor. In sum, the Debtor believes the total value of its assets is approximately $6 million to $8 million. In order of priority, the following entities have asserted security interests in the Debtor's assets, including cash collateral. a. Town of Marion, Massachusetts: Marion has a pre-petition priority claim of $39,685 for real estate taxes. b. Town of Mattapoisett, Massachusetts: Mattapoisett has a pre-petition claim of $3,300 for real estate taxes. c. Abington Bank: Abington Bank holds two prepetition mortgage liens on all the Debtor's real estate. As of the petition date, the first mortgage has a balance of approximately $2.8 million and the second mortgage has a balance of approximately $1.174 million. The Debtor believes that both Abington loans are fully secured. d. GM Financial: The Debtor has a secured auto loan for a pickup truck. The loan will continue to be paid in the ordinary course of business. e. Massachusetts Department of Revenue: The Massachusetts Department of Revenue has a priority claim of approximately $7,200. f. General Unsecured Debt: The Debtor has approximately $36,975 in general unsecured debt to non-insiders, which is primarily comprised of unpaid trade vendors. The Debtor will resume paying the first mortgage in the amount of $15,426 (Loan# -4119) and the second mortgage in the amount of $7,549 (Loan# -0088) as they come due in May 2024. Abington Bank exercised its assignment of rents pre-petition and collected rents from 350-354 Front Street, Marion, Massachusetts in the monthly amount of approximately $25,957 per month. At this early date, the Debtor is uncertain the precise amount of rent collected by Abington’s and how it was applied to the Abington loans. As adequate protection payments to the Marion and the Mattapoisett, the Debtor will pay the next quarterly tax payment as they become due. The Debtor believes there is equity in the property in the amount of $4 million. A copy of the motion is available at https://urlcurt.com/u?l=HNHFWa from PacerMonitor.com. About Sky Development Ltd. Sky Development Ltd. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Mass. Case No. 24-10658) on April 9, 2024. In the petition signed by Michael Sudofsky, manager, the Debtor disclosed up to $50,000 in both assets and liabilities. Logan Weinkauf, Esq., at Logan A. Weinkauf, P.C., represents the Debtor as legal counsel. SKY DEVELOPMENT: Seeks to Hire Logan A. Weinkauf, PC as Attorney ---------------------------------------------------------------- Sky Development Ltd seeks approval from the U.S. Bankruptcy Court for the District of Massachusetts to hire Logan A. Weinkauf, P.C. as its attorneys. The firm's services include: (i) advising the Debtor with respect to its duties as debtor-in-possession; (ii) advising the Debtor with respect to any plan of reorganization and any other matters relevant to the formulation and negotiation of a plan of reorganization; (iii) representing the Debtor at all hearings in this matter; (iv) preparing all necessary and appropriate applications, motions, answers, proposed orders, reports, pleadings and other documents, and review all financial and other reports to be filed in the Chapter 11 proceeding; (v) reviewing and analyzing the nature and validity of any liens asserted against the Debtor's property; (vi) reviewing and analyzing claims against the Debtor, the treatment of such claims and the preparation, filing or prosecution of any objections to claims; and (vii) performing all other legal services as may be necessary or appropriate during the course of the Debtor's bankruptcy proceeding. The firm will charge $300 per hour for its services. The firm received a retainer in the amount of $6,000, and an additional $1,7380 as payment towards the Chapter 11 filing fee. As disclosed in the court filings, Logan A. Weinkauf is a disinterested person as that term is defined in 11 U.S.C. Sec. 101(14). The firm can be reached through: Logan A. Weinkauf, Esq. Logan A. Weinkauf, PC. 18 N. Water Street New Bedford, MA 02740 Phone: (508) 403-9806 Email: freshstart@weinkaufpc.com About Sky Development Ltd Sky Development Ltd filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Mass. Case No. 24-10658) on April 9, 2024, listing up to $50,000 in both assets and liabilities. Judge Janet E Bostwick presides over the case. Logan A. Weinkauf, Esq. at Logan A. Weinkauf, P.C. represents the Debtor as its counsel. SMILE WITH HEART: Taps McGrail & Bensinger as Bankruptcy Counsel ---------------------------------------------------------------- Smile with Heart Inc. seeks approval from the U.S. Bankrutpcy Court for the Eastern District of New York to hire McGrail & Bensinger LLP as its attorneys. McGrail & Bensinger will replace Jacobs P.C. as legal counsel. The firm's services include: a. providing legal advice with respect to the Debtor's powers and duties in accordance with the provisions of the Bankruptcy Code; b. preparing bankruptcy schedules, reports, adversary proceedings and legal documents; and c. performing all other necessary legal services for the Debtor. The hourly rates charged by the firm's attorneys and paralegals are as follows: Partners $595 to $645 Counsel $545 Associates $395 to $495 Paralegals $195 David McGrail, Esq., a partner at McGrail & Bensinger, disclosed in a court filing that his firm neither holds nor represents any interest adverse to the Debtor's estate and creditors. The firm can be reached through: David McGrail, Esq. Jeffrey Ephraim Glatt, Esq. Veronique Urban, Esq. McGrail & Bensinger, LLP 888-C Eighth Avenue, Suite 107 New York, NY 10019 Phone: (646) 285-8476 Email: dmcgrail@mcgrailbensinger.com Email: jglatt@mcgrailbensinger.com Email: vurban@mcgrailbensinger.com About Smile with Heart Smile with Heart is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). Smile with Heart Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-40996) on March 3, 2024, listing $1 million to $10 million in both assets and liabilities. The petition was signed by David Frankl as owner. Judge Elizabeth S. Stong presides over the case. Leo Jacobs, Esq. at JACOBS PC represents the Debtor as counsel. ST. IVES RV: Unsecureds Will Get 2.55% of Claims over 5 Years ------------------------------------------------------------- St. Ives RV Resort LLC filed with the U.S. Bankruptcy Court for the Southern District of Texas a Plan of Reorganization dated April 9, 2024. St. Ives RV Resort LLC started operations in 2019. St. Ives RV Resort LLC manages and operates a RV Resort and campsite business. The Debtor is currently owned 60% by Jayanand Pasala and 40% by Josphine Kiranmai Pasala. Mr. Pasala will remain managing member and both he and Mrs. Pasala will retain ownership interests going forward. St. Ives RV Resort LLC's assets include its land, improvements, cash on hand, office furniture, inventory, equipment, trailers and vehicles. There is a fully secured vehicle lender, but the other secured creditors are only partially secured based on the liquidation analysis and UCC filings. Any secured creditor not treated in this Plan as fully secured are therefore under secured and those portions of their underscored claim shall be treated as unsecured. The Debtor proposes to pay allowed unsecured creditors 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 four classes of Claimants. These claimants will receive cash repayments over a period of time beginning on or after the Effective Date. Class 3 consists of Allowed 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 monthly disbursements based on the projection distributions of each 12-month period. The Debtor will distribute up to $89,500 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 2.55% of their allowed claims under this plan. These payments will be made quarterly. The allowed unsecured claims total $3,508,365.77. Class 4 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 4 Claimants are not impaired under the Plan. The Debtor anticipates the continued operations of the business to fund the Plan. In the event that the plan is confirmed consensually Section 1191(a) of the Bankruptcy Code, the Debtor anticipates serving as the disbursing agent. In the event that the plan is confirmed nonconsensually under Section 1191(b) of the Bankruptcy Code, given that there are only 4 creditors to receive payments under the plan, the Debtor will seek permission to serve as the disbursing agent to save on further administrative expenses to the estate. A full-text copy of the Plan of Reorganization dated April 9, 2024 is available at https://urlcurt.com/u?l=IcH1AX from PacerMonitor.com at no charge. Counsel to the Debtor: Robert C. Lane, Esq. Lane Law Firm, PLLC 6200 Savoy, Suite 1150 Houston, TX 77036 Tel: (713) 595-8200 Fax: (713) 595-8201 Email: notifications@lanelaw.com About St. Ives RV Resort LL St. Ives RV Resort LLC owns and operates RV Park and campsites. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 24-80083) on March 28, 2024. In the petition signed by Jay Pasala, president, the Debtor disclosed $1,521,677 in assets and $5,038,189 in liabilities. Judge Jeffrey P. Norman oversees the case. Robert C Lane, Esq., at the Lane Law Firm, represents the Debtor as legal counsel. STALWART PLASTICS: U.S. Trustee Appoints Creditors' Committee ------------------------------------------------------------- The U.S. Trustee for Region 21 appointed an official committee to represent unsecured creditors in the Chapter 11 case of Stalwart Plastics, Inc. The committee members are: 1. Industrial Contracting Services & Maintenance, Inc. c/o Trish Fisher, Office Manager P.O. Box 8102 Columbus, GA 31908 Phone: (706) 568-0699 Fax: (706) 568-0606 Email: trish@icsandm.net 2. Clearwater Plumbing c/o Kael Kerlick, Recovery Specialist 1008 Mattlind Way Milford, DE 19963 Phone: (302) 786-5803 Fax: (302)786-5803 Email: kael@rsgcollect.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 Stalwart Plastics Stalwart Plastics, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Ga. Case No. 24-40194) on March 29, 2024. In the petition signed by Angelina Valero, chief financial officer, the Debtor disclosed up to $50 million in both assets and liabilities. David L. Bury, Jr., Esq., at Stone & Baxter, LLP, represents the Debtor as legal counsel. STERETT COMPANIES: Court OKs Cash Collateral Access Thru May 17 --------------------------------------------------------------- The U.S. Bankruptcy Court for the Western District of Kentucky, Owensboro Division, authorized Sterett Companies, LLC and affiliates to use cash collateral on an interim basis in accordance with the budget, through May 17, 2024. On October 29, 2020, the Debtors entered a credit and security agreement. The financial institutions party to the Prepetition Credit and Security Agreement are Rockland Trust Company, Huntington National Bank, and Webster Business Credit, a division of Webster Bank N.A., successor in interest to Webster Business Credit Corporation as Agent. As of the Petition Date, pursuant to the Prepetition Credit and Security Agreement, the Debtors were indebted to the Lenders in the principal amount of $67.023 million, plus accrued prepetition interest, fees, expenses and other amounts arising under the Prepetition Credit and Security Agreement. The Prepetition Obligations were secured by valid, enforceable, and perfected liens on and security interests encumbering substantially all assets of the Debtor. As adequate protection, the Agent is granted a lien, mortgage, and/or security interest in all of the Debtors' presently owned or hereafter acquired property and assets. The Adequate Protection Lien will be a senior first priority Lien on the Adequate Protection Collateral. In the event that the Adequate Protection Lien is insufficient, for any reason, as adequate protection of Agent's interests in the Adequate Protection Collateral, Agent for itself and for the ratable benefit of each Lender was granted a post-petition superpriority administrative expense claim against each of the Debtors. As further adequate protection, the Debtors is directed to provide to Agent, on behalf of the Lenders, the following payments: (a) (i) on April 1, 2024, an Adequate Protection Payment of $200,000, and (ii) on April 15, 2024, an Adequate Protection Payment of $200,000; and (b) (i) on May 1, 2024, an Adequate Protection Payment of $200,000, and (ii) on May 15, 2024, an Adequate Protection Payment of $200,000. The events constitute an "Event of Default" include: (a) The failure of the Debtors to perform, in any material respect, any of the terms, provisions, conditions, covenants or obligations under the Fourth Interim Order (or any prior Cash Collateral Orders), including, without limitation, failure to make any payments under the Fifth Interim Order when due or, failure to comply with any Milestones; (b) The Court enters an order authorizing the sale of all or substantially all assets of the Debtors that does not provide for the payment in full of the Obligations in cash upon the closing of the sale, except to the extent agreed upon and consented to by the Lenders; (c) the Debtors cease operations of their present businesses or take any material action for the purpose of effecting the foregoing; and (d) The Debtors' Chapter 11 Cases are either dismissed or converted to cases under Chapter 7 of the Bankruptcy Code pursuant to an order of the Court, the effect of which has not been stayed. A further hearing on the matter is set for May 13, 2024 at 8:30 a.m. A copy of the court's order and the Debtor's budget is available at https://urlcurt.com/u?l=DN5oEd from PacerMonitor.com. The Debtor projects total operating disbursements, on a weekly basis, as follows: $436,000 for the week ending April 21, 2024; $534,000 for the week ending April 21, 2024; and $382,000 for the week ending April 28, 2024. About Sterett Companies, LLC Sterett Companies, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Ky. Case No. 23-40625) on October 27, 2023. In the petition signed by William L. Sterett, III, CEO, the Debtor disclosed up to $50,000 in assets and up to $50 million in liabilities. Judge Charles R. Merrill oversees the case. Neil C. Bordy, Esq., at Seiller Waterman LLC, represents the Debtor as legal counsel. STOP SMACKN: Hires Arthur Lander C.P.A. P.C. as Accountant ---------------------------------------------------------- Stop Smackn, LLC seeks approval from the U.S. Bankruptcy Court for the District of Columbia to employ Arthur Lander, C.P.A., P.C. as accountant. The firm's services include: -- compiling books and records; -- preparing and filing all necessary tax returns on behalf of the estate; -- advising Debtor of his duties and responsibilities under the Internal Revenue Code; -- working with the Debtor in assessing the Estate's financial condition; and -- providing other matters that arise in the administration of this estate in bankruptcy relating to accounting matters. The firm will be paid at these rates: Arthur Lander $510 per hour Scott Johnson $170 per hour Chris Mueller $200 per hour Bookkeeper $85 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Arthur Lander, president of Arthur Lander CPA, disclosed in a court filing that his firm is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. The firm can be reached through: Arthur Lander Arthur Lander, C.P.A., P.C. 300 N. Washington St. #104 Alexandria, VA 22314 Phone: (703) 486-0700 Email: law@businesslegalservicesinc.com About Stop Smackn, LLC Stop Smackn, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D.Col. Case No. 24-00072) on March 8, 2024, listing up to $50,000 in assets and $500,001 to $1 million in liabilities. The Law Office of Richard G. Hall serves as the Debtor's legal counsel. SUMMIT EXECUTIVE: Case Summary & Nine Unsecured Creditors --------------------------------------------------------- Debtor: Summit Executive LLC 13575 58th Street N Suite 200 Clearwater, FL 33760 Business Description: Summit Executive is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). The Debtor is the owner the commercial real estate located at 13575 58th Street N #200, Clearwater, FL valued at $3.3 million. Chapter 11 Petition Date: April 18, 2024 Court: United States Bankruptcy Court Middle District of Florida Case No.: 24-02134 Judge: Hon. Roberta A. Colton Debtor's Counsel: Samantha L Dammer, Esq. BLEAKLEY BAVOL DENMAN & GRACE 15316 N. Florida Avenue Tampa, FL 33613 Tel: (813) 221-3759 Email: sdammer@bbdglaw.com Total Assets: $4,392,503 Total Liabilities: $5,908,732 The petition was signed by Yuliya Barnes as manager. A full-text copy of the petition containing, among other items, a list of the Debtor's nine unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/664KD7I/Summit_Executive_LLC__flmbke-24-02134__0001.0.pdf?mcid=tGE4TAMA SURGE REAL: Seeks to Hire Agbor Ebot Tabi PC as Counsel ------------------------------------------------------- Surge Real Estate Investments, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Georgia to employ The Law Office of Agbor Ebot Tabi, PC as counsel. The firm will render these services: (a) prepare pleadings and applications; (b) conduct of examination; (c) advise the Debtor of its rights, duties and obligations as a debtor-in-possession; (d) consult with Applicant and representing Applicant with respect to a Chapter 11; (e) perform those legal services incidental and necessary to the day-to-day operations of the Debtor's business; and (f) take any and all other action incident to the proper preservation and administration of the Debtor's estate and business. The firm will be paid at these rates: Attorneys $300 to $475 per hour Paralegals and Law clerk $110 to $200 per hour The firm received a retainer fee of $5,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Agbor Ebot Tabi, Esq., a partner at The Law Office of Agbor Ebot Tabi, PC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Agbor Ebot Tabi, Esq. The Law Office of Agbor Ebot Tabi, PC 3330 Cobb Parkway Suite 324 Acworth, GA 30101 Tel: (678) 755-0893 Fax: (678) 550-9775 Email: Adolphtabi@gmail.com About Surge Real Estate Investments, LL Surge Real Estate Investments, LLC filed Chapter 11 petition (Bankr. N.D. Ga. Case No. 24-52334) on March 4, 2024, with up to $500,000 in assets and up to $50,000 in liabilities. Judge Paul Baisier oversees the case. Agbor Ebot Tabi, Esq., at The Law Office of Agbor Ebot Tabi, PC is the Debtor's legal counsel. SUSTAITA ENTERPRISES: Hires Rosen Systems Inc. as Auctioneer ------------------------------------------------------------ Sustaita Enterprises, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Rosen Systems, Inc. as auctioneer. The firm will market, sell and auction the Debtor's owns 35 unencumbered trailers and the miscellaneous office furniture, shop equipment, and machinery equipment which serves as the collateral securing the debt owed to Regions Bank. The firm will be paid 15 percent buyer's premium on the sale of the Uncencumbered Trailers and the Regions Miscellaneous Equipment plus reimbursement of its actual expenses from the proceeds of sale. As disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Kyle Rosen Rosen Systems, Inc. 2323 Langford St. Dallas, TX 75208 Tel: (972) 248-2266 About Sustaita Enterprises, LLC Sustaita Enterprises, LLC is part of the general freight trucking industry. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 23-31812) on August 21, 2023. In the petition signed by Carlos Sustaita, president and member, the Debtor disclosed $3,969,806 in assets and $3,589,563 in liabilities. Brandon Tittle, Esq., at Glast, Phillips & Murray, P.C., represents the Debtor as legal counsel. Lane Gormatt Trubitt, LLC is the financial advisor. SWEET SPOT: Jarrod Martin Named Subchapter V Trustee ---------------------------------------------------- The U.S. Trustee for Region 7 appointed Jarrod Martin, Esq., a practicing attorney in Houston, as Subchapter V trustee for Sweet Spot Rentals, LLC. Mr. Martin will be paid an hourly fee of $600 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Martin declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Jarrod B. Martin, Esq. 1200 Smith Street, Suite 1400 Houston, TX 77002 Phone: 713-356-1280 Email: JBM.Trustee@chamberlainlaw.com About Sweet Spot Rentals Sweet Spot Rentals, LLC filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. Texas Case No. 24-31523) on April 3, 2024, with $50,001 to $100,000 in assets and $500,001 to $1 million in liabilities. Judge Jeffrey Norman presides over the case. Michael L. Hardwick, Esq., at Michael Hardwick Law, PLLC represents the Debtor as bankruptcy counsel. TELLURIAN INC: Widens Net Loss to $166.2 Million in 2023 -------------------------------------------------------- Tellurian, Inc. filed with the Securities and Exchange Commission its Annual Report on Form 10-K reporting a net loss of $166.18 million on $166.13 million of total revenue for the year ended Dec. 31, 2023, compared to a net loss of $49.81 million on $391.93 million of total revenue for the year ended Dec. 31, 2022. As of Dec. 31, 2023, the Company had $1.32 billion in total assets, $179.20 million in total current liabilities, $519.91 million in total long-term liabilities, and $624.92 million in total stockholders' equity. Houston, Texas-based Deloitte & Touche LLP, the Company's auditor since 2016, issued a "going concern" qualification in its report dated Feb. 23, 2024, citing that the Company has incurred recurring losses from operations and has yet to establish an ongoing source of revenues that is sufficient to cover its future operating costs and obligations as they become due for the twelve months following the date these consolidated financial statements are issued, which raises substantial doubt about its ability to continue as a going concern. A full-text copy of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/61398/000006139824000009/tell-20231231.htm About Tellurian Tellurian Inc. is a Houston-based company that is developing and plans to own and operate a portfolio of LNG marketing and infrastructure assets that includes an LNG terminal facility and related pipelines. The Company also owns upstream natural gas assets; on Feb. 6, 2024, the Company announced that it is exploring a sale of those assets. TENABLE HOLDINGS: Moody's Raises CFR to Ba3, Outlook Stable ----------------------------------------------------------- Moody's Ratings upgraded Tenable Holdings, Inc.'s Corporate Family Rating to Ba3, from B1, its Probability of Default Rating to Ba3-PD, from B1-PD, and the rating for the backed senior secured 1st lien bank credit facilities issued by its wholly-owned subsidiary Tenable, Inc. to Ba3, from B1. The ratings outlook for both entities is stable. Tenable's SGL-1 Speculative Grade Liquidity rating is unchanged. RATINGS RATIONALE The ratings upgrade reflects Tenable's very good revenue growth prospects and strengthening business profile driven by good momentum in its platform offerings and growth in larger enterprise customer accounts. Moody's further expects that the company will remain committed to growing its operating margins toward its long-term goal of mid-20% (non-GAAP basis) and maintain conservative financial policies characterized by low debt levels and strong cash position relative to debt. Tenable benefits from growing demand for cybersecurity exposure management solutions with increasing adoption of digital technologies and expanding enterprise networks that also increase cybersecurity risks. The company has high revenue visibility from recurring subscription and software maintenance revenues that represented 95% of its total revenues in 2023, and have high net revenue retention rates. Management has a good track record of generating growth from acquiring new customers, increasing sales in the installed base, and expanding product offerings through acquisitions and organic investments. Moody's expects revenue growth to increase from 13% in 2024 to the mid-teens percentages in 2025 driven by growth in the company's Tenable One Exposure Management platform offering and a more favorable IT spending environment compared to the last 12 to 18 months. Tenable's Nessus product line with its long operating history and an extensive user community is a sustainable source of competitive differentiation. Nessus is a cost-effective source of acquiring revenue generating customers through the conversion of its free users to paying subscribers and enterprise platform users over time. The data and insights from Nessus' over 3 million unique users also enhance the threat assessment capabilities of Tenable's products. The SGL-1 liquidity rating reflects Tenable's very good liquidity profile comprising $474 million of cash and short-term investments and Moody's projections for $188 million in free cash flow. Tenable also maintains access to a $50 million revolving credit facility. Tenable's ratings are constrained by its moderate operating scale and weak profitability under US GAAP. Total debt to EBITDA is expected to remain very high as a result of the company's high stock-based compensation expense relative to revenues that result in weak profitability under US GAAP. Although product revenue diversity will continue to increase, the niche VM category accounted for the vast majority of its revenues, but in that category Tenable has a long track record of market share leadership. At the same time, Moody's expects Tenable's competitive challenges to increase as the company targets the large and underpenetrated cloud security opportunity, which has attracted many endpoint and network security vendors that also offer VM solutions. The Ba3 rating incorporates Moody's expectation that Tenable will maintain a strong cash position relative to low debt levels and pursue balanced capital allocation with respect to share repurchases and acquisitions such that its credit metrics will strengthen with earnings growth. The stable rating outlook reflects Tenable's very good growth prospects and Moody's expectation that the company will operate with low debt levels and maintain a strong cash position relative to debt. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Moody's could upgrade Tenable's ratings if the company maintains strong revenue and free cash flow growth, it establishes a longer track record of balanced financial policies, including low debt levels, and product revenue diversity continues to increase. Conversely, the ratings could be downgraded if operating cash flow growth decelerates meaningfully or operating margins decline. The ratings could also be downgraded if large acquisitions or shareholder returns erode liquidity, lead to a significant increase in debt levels, or increase integration risk. The principal methodology used in these ratings was Software published in June 2022. TEST AND BALANCING: Monique Almy Named Subchapter V Trustee ----------------------------------------------------------- Gerard Vetter, Acting U.S. Trustee for Region 4, appointed Monique Almy, Esq., as Subchapter V trustee for Test and Balancing, Inc. Ms. Almy, a partner at Crowell & Moring, LLP, will be paid an hourly fee of $800 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. Almy declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Monique D. Almy, Esq. Crowell & Moring, LLP 1001 Pennsylvania Avenue, NW Washington, DC 20004 Phone: (202) 624-2935 Email: malmy@crowell.com About Test and Balancing Test and Balancing, Inc. filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Md. Case No. 24-12942) on April 9, 2024, with $100,001 to $500,000 in both assets and liabilities. Daniel Alan Staeven, Esq., at Frost & Associates, LLC represents the Debtor as legal counsel. TEST AND BALANCING: Taps Frost & Associates as Bankruptcy Counsel ----------------------------------------------------------------- Test and Balancing, Inc. seeks approval from the U.S. Bankruptcy Court for the District of Maryland to hire Frost & Associates, LLC as its bankruptcy counsel. The firm will provide these services: a. prepare bankruptcy petitions, schedules, and financial statements for filing; b. provide the Debtor with legal advice with respect to its powers and duties pursuant to the Bankruptcy Code; c. prepare on behalf of the Debtor all necessary applications, answers, orders, reports, and other legal papers; d. assist in analyses and representation with respect to lawsuits to which the Debtor are or may be a party; e. negotiate, prepare, file and seek approval of a plan of reorganization; f. represent the Debtor at all hearings, meetings of creditors and other proceedings; and g. perform all other legal services for the Debtor which may be necessary to serve the best interests of the Debtor and their bankruptcy estate in this proceeding. The firm received an advanced retainer in the amount of $15,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Daniel A. Staeven, Esq., a partner at Frost & Associates, LLC, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Daniel A. Staeven Frost & Associates, LLC 839 Bestgate Rd. Ste. 400 Annapolis, MD 21401 Tel: (410) 497-5947 Email: daniel.staeven@frosttaxlaw.com About Test and Balancing Test and Balancing, Inc. sought protection for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Md. Case No. 24-12942) on April 9, 2024, listing $100,001 to $500,000 in both assets and liabilities. Daniel Alan Staeven, Esq. at Frost & Associates, LLC represents the Debtor as counsel. TRUMP MEDIA: Incurs $21.9 Million Net Loss in 2023 -------------------------------------------------- Trump Media & Technology Group Corp., formerly known as Digital World Acquisition Corp., filed with the Securities and Exchange Commission its Annual Report on Form 10-K reporting a net loss of $21.89 million for the year ended Dec. 31, 2023, compared to a net loss of $15.64 million for the year ended Dec. 31, 2022. As of Dec. 31, 2023, the Company had $311.02 million in total assets, $66.24 million in total liabilities, $308.65 million in Class A common stock subject to possible redemption, and a total stockholders' deficit of $63.87 million. Ocean, New Jersey-based Adeptus Partners, LLC, the Company's auditor since 2023, issued a "going concern" qualification in its report dated April 1, 2024, citing that it is uncertain that the Company will consummate a business merger in the allotted time. If a business merger is not consummated by the specified date, there will be a mandatory liquidation and subsequent dissolution of the Company. Additionally, the Company has incurred and expects to incur significant cost in pursuit of its acquisition plans. These factors raise a substantial doubt about its ability to continue as a going concern. A full-text copy of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/1849635/000114036124017011/ef20025355_10k.htm About TMTG Trump Media & Technology Group Corp. operates Truth Social, a social media platform established as a safe harbor for free expression amid increasingly harsh censorship by Big Tech corporations. TTW TRANSPORT: Hires Polis & Associates as Bankruptcy Counsel ------------------------------------------------------------- TTW Transport, Inc. seeks approval from the U.S. Bankruptcy Court for the Central District of California to hire Polis & Associates, a Professional Law Corporation, as its general bankruptcy counsel. The Debtor requires Polis & Associates to: a. advise the Debtor with respect to its rights, powers, duties and obligation as a Debtor-in-Possession in the administration of this bankruptcy the case, the management of its affairs, and the management of its properties as they relate to the Chapter 11 case; b. prepare pleadings and applications, and conduct examinations incidental to administration; c. advise and represent the Debtor in connection will all applications motions or complaints for reclamation, adequate protection, sequestration, relief from stays, appointment of a trustee or examiner and all other similar matters; d. analyze claims of creditors in the Debtor's bankruptcy estate; e. advise and assist the Debtor in the formulation and presentation of a plan or reorganization pursuant to Chapter 11 of the Bankruptcy Code and concerning any and all matters relating thereto; f. perform any and all other legal services incident and necessary for the prosecution of the Debtor's bankruptcy estate; g. perform any and all other legal services incident and necessary to preserve assets for the benefit of the estate and its creditors. Polis & Associates will be paid at these hourly rate: Thomas J. Polis $550 The Debtor agreed to pay Polis & Associates a retainer fee of $15,000 plus the filing fee of $41,738 for the bankruptcy filing. Polis & Associates will also be reimbursed for reasonable out-of-pocket expenses incurred. Thomas J. Polis, principal with the firm of Polis & Associates, a Professional Law Corporation, assured the Court that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code and does not represent any interest adverse to the Debtors and their estates. Polis & Associates may be reached at: Thomas J. Polis, Esq. Polis & Associates, a Professional Law Corporation 19800 MacArthur Boulevard, Suite 1000 Irvine, CA 92612-2433 Telephone: (949) 862-0040 Facsimile: (949) 862-0041 E-mail: tom@polis-law.com About TTW Transport, Inc. TTW Transport, Inc. is part of the general freight trucking industry. TTW Transport, Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Case No. 24-10559) on March 6, 2024, listing $4,368,589 in total assets and $1,044,059 in total liabilities. The petition was signed by Jonathan Witkin as direct of finance. Judge Scott C Clarkson presides over the case. Thomas J. Polis, Esq. at POLIS & ASSOCIATES, APLC represents the Debtor as counsel. UNCONDITIONAL LOVE: Committee Hires Genesis as Financial Advisor ---------------------------------------------------------------- The official committee of unsecured creditors of Unconditional Love Inc., seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Genesis Credit Partners LLC as Financial Advisor. The firm will provide these services: a. participate in in-person and telephonic meetings of the Committee and any subcommittees formed thereby; b. assist and advise the Committee in its meetings and negotiations with the Debtors and other parties in interest regarding these chapter 11 cases; c. familiarize with and analyze the Debtors' cash collateral budgets, assets and liabilities, and overall financial condition; d. review financial and operational information furnished by the Debtors; e. assist the Committee in analyzing claims asserted against, and interests in, the Debtors, and in negotiating with the holders of such claims and interests; f. assist with the Committee's review of the Debtors' Schedules of Assets and Liabilities, Statements of Financial Affairs, and other financial reports prepared by the Debtors; g. assist the Committee in its investigation of the acts, conduct, assets, liabilities, management, and financial condition of the Debtors and of the historic and ongoing operation of their businesses; h. assist the Committee in its analysis of and negotiations with the Debtors or any third party related to, financing, asset disposition transactions, compromises of controversies, and assumption and rejection of executory contracts and unexpired leases; i. monitor and assist with the sale process, interact with the Debtors' investment banker and report to the Committee thereto; j. assist the Committee in its investigation of the validity of the Debtors' prepetition debt and/or liens and any other potential claims against prepetition debt holders; k. assist the Committee in its analysis of, and negotiations with the Debtors or any third party related to the formulation, confirmation, and implementation of any chapter 11 plan and all documentation related thereto; l. assist and advise the Committee with respect to communications with the general creditor body in these chapter 11 cases; m. review and analyze complaints, motions, applications, orders, and other pleadings filed with the Court, and assisting the Committee concerning responses thereto; n. assist the Committee in its review and analysis of, and negotiations with the Debtors and their non-Debtor affiliates related to, intercompany claims and transactions; o. review and analyze analyses or reports prepared in connection with the Debtors' potential claims and causes of action, advise the Committee with respect to formulating positions thereon, and perform such other diligence and independent analysis as may be requested by the Committee; p. advise the Committee with respect to applicable federal and state regulatory issues, as such issues may arise in these chapter 11 cases; q. if necessary, participate as a witness in hearings before the Court with respect to matters upon which GCP has provided advice; and r. render other activities as approved by the Committee, the Committee's counsel, and as agreed to by the firm. The firm will be paid at these rates: Partners $795 to $950 per hour Directors/Managers $550 to $695 per hour Associates/Vice-Presidents $435 to $550 per hour Analysts $255 to $395 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Edward Kim, a partner at Genesis Credit Partners, disclosed in a court filing that the firm is a "disinterested person" as defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Edward Kim, Esq. Genesis Credit Partners LLC 701 Brickell Avenue, Suite 1480 Miami, FL 33131 About Unconditional Love Inc., 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. 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. Pachulski Stang Ziehl & Jones LLP and Hogan Lovells US LLP are the Committee's counsel, and Force Ten Partners, LLC, is the financial advisor. UPHEALTH INC: Lowers Net Loss to $56.4 Million in 2023 ------------------------------------------------------ UpHealth, Inc. filed with the Securities and Exchange Commission its Annual Report on Form 10-K reporting a net loss of $56.4 million on $130 million of total revenue for the year ended Dec. 31, 2023, compared to a net loss of $223 million on $158.8 million of total revenue for the year ended Dec. 31, 2022. As of Dec. 31, 2023, the Company had $231.8 million in total assets, $176.7 million in total liabilities, and $55.1 million in total stockholders' equity. San Jose, California-based BPM LLP, the Company's auditor since 2022, issued a "going concern" qualification in its report dated April 4, 2024, citing that the Company's recurring losses from operations, available cash, cash used in operations, and the Chapter 11 bankruptcy proceedings involving certain subsidiaries of the Company raises substantial doubt about the Company's ability to continue as a going concern. A full-text copy of the Form 10-K is available at https://tinyurl.com/tvxwcnux About UpHealth UpHealth -- https://uphealthinc.com/ -- is a global digital health company that delivers digital-first technology, infrastructure, and services to dramatically improve how healthcare is delivered and managed. The UpHealth platform creates digitally enabled "care communities" that improve access and achieve better patient outcomes at lower cost, through digital health solutions and interoperability tools that serve patients wherever they are, in their native language. UpHealth's clients include health plans, healthcare providers and community-based organizations. UPHEALTH INC: Lowers Net Loss to $56.4 Million in 2023 ------------------------------------------------------ UpHealth, Inc. filed with the Securities and Exchange Commission its Annual Report on Form 10-K reporting a net loss of $56.42 million on $129.99 million of total revenues for the year ended Dec. 31, 2023, compared to a net loss of $222.93 million on $158.80 million of total revenues for the year ended Dec. 31, 2022. As of Dec. 31, 2023, the Company had $231.81 million in total assets, $176.70 million in total liabilities, and $55.10 million in total stockholders' equity. San Jose, California-based BPM LLP, the Company's auditor since 2022, issued a "going concern" qualification in its report dated April 4, 2024, citing that the Company's recurring losses from operations, available cash, cash used in operations, and the Chapter 11 bankruptcy proceedings involving certain subsidiaries of the Company raises substantial doubt about the Company's ability to continue as a going concern. A full-text copy of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/0001770141/000177014124000046/uph-20231231.htm About UpHealth UpHealth -- https://uphealthinc.com/ -- is a provider of a full continuum of behavioral health solutions through the utilization of evidence-based treatments and services. Operating through its TTC Healthcare, Inc. subsidiary, UpHealth targets mental health issues and substance use disorders with services provided by psychiatrists, physicians, neurologists, licensed therapists, and clinical social workers. The company's levels of care include detox, residential, partial hospitalization programs, intensive outpatient programs, outpatient, and telehealth. UpHealth's clients include health plans, healthcare providers and community-based organizations. VERTEX ENERGY: Boosts Incentive Plan With RSUs, Share Increase -------------------------------------------------------------- Vertex Energy, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that on April 1, 2024, on the approval and recommendation of the Compensation Committee of the Board of Directors of the Company, the Board of Directors approved (1) a First Amendment to the Vertex Energy, Inc. Amended and Restated 2020 Equity Incentive Plan (the "First Amendment" and the "2020 Plan"), to amend the 2020 Plan to allow for the grant of Restricted Stock Units (RSUs); previously the 2020 Plan allowed for the grant of Restricted Stock Shares, but not RSUs and the First Amendment updates the 2020 Plan to allow for the grant of RSUs; and (2) an increase in the number of shares available for future issuance under the 2020 Plan by 3,740,573 shares, to 5,240,574 shares, which represents 4% of the Company's total outstanding shares of common stock as of December 31, 2023 (93,514,346 shares). The 2020 Plan, which was approved by the stockholders of the Company, provides that the total shares available for issuance under the 2020 Plan totals the "sum of (i) one million five hundred thousand (1,500,000) shares of Common Stock, and (ii) an annual increase on April 1st of each calendar year, beginning in 2021 and ending in 2030 (each a "Date of Determination"), in each case subject to the approval and determination of the [Board of Directors or Compensation Committee] on or prior to the applicable Date of Determination, equal to the lesser of (A) four percent (4%) of the total shares of Common Stock of the Company outstanding on the last day of the immediately preceding fiscal year and (B) such smaller number of shares as determined by the Administrator (the "Share Limit")", and on April 1, 2024, the Board of Directors, pursuant to the authority granted to the Board of Directors by the 2020 Plan, approved an increase in the available shares under the 2020 Plan as set forth above. About Vertex Energy Vertex Energy is a leading energy transition company that specializes in producing both renewable and conventional fuels. The Company's innovative solutions are designed to enhance the performance of our customers and partners while also prioritizing sustainability, safety, and operational excellence. With a commitment to providing superior products and services, Vertex Energy is dedicated to shaping the future of the energy industry. * * * As reported by the Troubled Company Reporter on Feb. 8, 2024, Fitch Ratings has downgraded Vertex Energy Inc.'s (Vertex) and Vertex Refining Alabama LLC's Long-Term Issuer Default Ratings (IDR) to 'CCC+' from 'B-'. Fitch has also downgraded the rating of Vertex Refining Alabama's senior secured term loan to 'B-'/'RR3' from 'B'/'RR3'. The downgrade reflects Vertex's weaker liquidity buffer amid lower U.S. Gulf Coast refining crack spreads and weak Fitch-expected contribution from renewable diesel segment in 2024. The company's FCF generation is highly sensitive to refining crack spreads that declined in 4Q23 from abnormally high 2022-2023 levels. Its unrestricted cash balance fell from $141 million at YE 2022 to around $70-80 million at YE 2023. Fitch projects negative EBITDA and FCF for Vertex in 2024 based on the assumptions of continued crack spread normalization and weak renewable diesel profitability. VIEW INC: U.S. Trustee Unable to Appoint Committee -------------------------------------------------- The U.S. Trustee for Region 3 disclosed in a court filing that no official committee of unsecured creditors has been appointed in the Chapter 11 case of View Inc. About View Inc. View Inc. provides smart building technologies that transform buildings to improve human health and experience, reduce energy consumption, and generate additional revenue for building owners. View Smart Windows automatically adjust in response to the sun, eliminating the need for blinds and increasing access to natural light. View Smart Windows are installed and designed into 50 million square feet of buildings including offices, hospitals, airports, educational facilities, hotels, and multifamily residences. View Smart Building Cloud connects, manages and optimizes a portfolio of smart buildings with cybersecurity solutions. View Smart Building Cloud enables digitalization of over 100 million square feet of real estate. On the Web: http://www.view.com/ View Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 24-10692) on April 2, 2024. In the petition signed by William T. Krause, as chief legal officer, the Debtor reports estimated assets and liabilities between $100 million and $500 million. Cole Schotz, P.C. serves as legal advisor and SOLIC Capital serves as financial advisor to View. Kroll Restructuring Administration LLC is the claims and balloting agent. Sidley Austin LLP serves as legal advisor to Cantor Fitzgerald. Gibson, Dunn & Crutcher LLP serves as legal advisor to RXR. VIVAKOR INC: Lender Executes Amended Convertible Promissory Note ---------------------------------------------------------------- As previously disclosed by Vivakor, Inc. in a Current Report on Form 8-K filed with the Securities and Exchange Commission on Feb. 2, 2024, the Company received a loan from a non-affiliated individual lender in the principal amount of $1,000,000 and, in connection therewith, the Company agreed to issue 100,000 restricted shares of the Company's common stock. The Loan bears interest at the rate of 10% per annum, matures on Dec. 31, 2024. The Company issued a promissory note dated Dec. 5, 2023 in connection with the Loan. On April 8, 2024, the lender returned an executed amended and restated convertible promissory note for the Loan. The convertible promissory note replaces the Original Note but maintains the same interest rate and maturity date of the Original Note, and the obligation to issue 100,000 shares of the Company's restricted stock remains in effect. Pursuant to the terms of the Amended Note, the holder can convert the outstanding principal and interest due under the Amended Note into shares of the Company's common stock at price equal to 90% of the average closing price of the Company's common stock for the previous three trading days prior to the conversion date, with a floor conversion price of $0.75 per share. The holder may not convert amounts owed under the Amended Note if such conversion would cause him to own more than 4.99% of the Company's common stock after giving effect to the issuance, which limitation may be raised to 9.99% upon no less than 61 days notice to the Company regarding his desire to increase the conversion limitation percentage. About Vivakor Inc. Coralville, Iowa-based Vivakor, Inc. is a clean energy technology company focused on the oil remediation and natural resources sectors. Vivakor's corporate mission is to create, acquire, accumulate, and operate distinct assets, intellectual properties, and exceptional technologies. Its Silver Fuels Delhi, LLC, and White Claw Colorado City, LLC subsidiaries include crude oil gathering, storage, and transportation facilities, which feature long-term ten year take-or-pay contracts. Vivakor reported a net loss attributable to the Company of $19.44 million in 2022, a net loss attributable to the company of $5.48 million in 2021, a net loss attributable to the company of $2.18 million in 2020. As of Sept. 30, 2023, the Company had $76.12 million in total assets, $52.21 million in total liabilities, and $23.90 million in total stockholders' equity. Vivakor has historically suffered net losses and cumulative negative cash flows from operations, and as of September 30, 2023, the Company had an accumulated deficit of approximately $62.1 million. As of September 30, 2023 and December 31, 2022, the Company had a working capital deficit of approximately $19 million and $3.7 million, respectively. Subsequent to September 30, 2023 $10 million of the working capital deficit was paid with an issuance of common stock. As of September 30, 2023, the Company had cash of approximately $1.2 million. In addition, the Company has obligations to pay approximately $14.4 million (of which approximately $10 million was satisfied through the issuance of its common stock under the terms of the debt subsequent to September 30, 2023) of debt in cash within one year of the issuance of these financial statements. The Company's CEO has also committed to provide credit support through December 2024, as necessary, for an amount up to $8 million to provide the Company sufficient cash resources, if required, to execute its plans for the next 12 months. These conditions raise substantial doubt about the Company's ability to continue as a going concern. The Company believes the liquid assets and CEO commitment give it adequate working capital to finance its day-to-day operations for at least 12 months through November 2024, according to the Company's Quarterly Report for the period ended Sept. 30, 2023. WALLAROO'S FURNITURE: Wins Interim Cash Collateral Access --------------------------------------------------------- The U.S. Bankruptcy Court for the District of Utah authorized Wallaroo's Furniture and Mattresses, LLC and affiliates to use cash collateral, on an interim basis, in accordance with the budget. As previously reported by the Troubled Company Reporter, the Debtor sought authorization to pay the April 4, 2024, payroll for the period from March 21, 2024, through April 3, 2024 which includes payment for the pre-petition period from the March 21, 2024 through March 29, 2024. None of the proposed payments to each individual exceeds $15,150. The pre-petition wage claims are based on compensation earned within 180 days of the petition date under the statutory cap, entitling them to priority status pursuant to 11 U.S.C. Section 507(a)(4). As part of the foregoing relief, the Debtor also sought authorization to pay all federal and state withholding and payroll-related taxes resulting from this pre-petition pay period. The entities that assert an interest in the Debtor's cash collateral are the U.S. Small Business Administration, UFS West, Rowan Capital, Wynwood Capital, Bluevine Capital, and Backd. As of the petition date, the Debtor's deposit accounts had a balance of $3,148 and accounts receivables in the amount of $379,651. On the date of the petition, the Debtor's cash collateral was estimated to be valued at $382,799. As adequate protection and for the Debtor's use of the cash collateral, SBA, UFS West, Rowan Capital, Wynwood Capital, Bluevine Capital Capital, Backd will be granted replacement liens in the Debtor's post-petition cash, accounts receivables, and the proceeds of each of the foregoing, to the same extent and priority as any duly perfected and unavoidable liens in cash collateral held by the Secured Creditor as of the Petition Date. A final hearing on the matter is set for April 25 at 2 p.m. A copy of the order is available at https://urlcurt.com/u?l=GevI8c from PacerMonitor.com. About Wallaroo's Furniture and Mattresses LLC Wallaroo's Furniture and Mattresses LLC specializes in offering a wide selection of high-end furniture and mattresses. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Utah Case No. 24-21395) on March 29, 2024. In the petition signed by Nathan Chetrit, managing member, the Debtor disclosed up to $50,000 in assets and up to $10 million in liabilities. Judge Joel T. Marker oversees the case. Geoffrey L. Chesnut, Esq., at RED ROCK LEGAL SERVICES, PLLC, represents the Debtor as legal counsel. WOLF RIGS: Seeks to Hire Paul Ng as Accountant ---------------------------------------------- Wolf Rigs Inc. seeks approval from the U.S. Bankruptcy Court for the District of Colorado to employ Paul Ng, a licensed enrolled agent from Colorado, as an accountant. The professional will provide these services: a. prepare and submit State and Federal Tax preparation including prior years returns; b. advise as needed for Tax Planning; c. represent before the IRS for any tax matter; and d. produce all reports required by the United States Trustee for the Debtor. The firm will be paid at these rates: Enrolled Agents $300 per hour Associates $150 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Paul Ng, an accountant, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Paul Ng 10038 Chelmsford Terrace Parker, CO 80134 About Wolf Rigs, Inc. Wolf Rigs, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Colo. Case No. 24-10507) on February 5, 2024, with $500,001 to $1 million in both assets and liabilities. Judge Kimberley H. Tyson presides over the case. Michael R. Totaro, Esq., at Totaro & Shanahan, LLP represents the Debtor as legal counsel. YUNHONG GREEN: Replaces BF Borgers With Wolf & Company as Auditor ----------------------------------------------------------------- Yunhong Green CTI Ltd. disclosed in Form 8-K Report filed with the Securities and Exchange Commission that the Audit Committee of the Board of Directors the Company, instructed the Company's CEO to terminate the engagement with BF Borgers CPA PC, the Company's independent registered public accounting firm, on April 1, 2024. The audit relationship began during December 2022. The Audit Committee has selected Wolf & Company, PC as the Company's independent registered public accounting firm. The audit reports for the years ended December 31, 2023 and December 31, 2022 did not contain any adverse opinion or disclaimer of opinion, nor were such reports qualified or modified as to uncertainty, audit scope or accounting principles, except that the audit report on the Company's financial statements contained a paragraph indicating that there was substantial doubt about the ability of the Company to continue as a going concern. There were no disagreements between the Company and BFB with respect to any accounting treatment. During the Company's two most recent fiscal years through April 1, 2024, there were (i) no disagreements under Item 304(a)(1)(iv) of Regulation S-K between the Company and its prior auditor on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which, if not resolved to its prior auditor's satisfaction, would have caused its prior auditor to make reference to the subject matter of such disagreement in connection with its reports and (ii) no events of the types listed in paragraphs (A) through (D) of Item 304(a)(1)(v) of Regulation S-K. As disclosed in Item 9A of the Company's Annual Reports on Form 10-K for the years ended December 31, 2023 and December 31, 2022, management determined a material weakness in internal control over financial reporting related to the Company's capabilities, processes, and controls related to limited staffing and over-reliance on certain personnel, as well as related employee turnover. A material weakness is a deficiency, or combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected on a timely basis. Management determined that these deficiencies constitute a material weakness that was not identified and remediated as of December 31, 2023 and December 31, 2022, respectively. Based on this material weakness, management concluded that at December 31, 2023 and December 31, 2022, internal control over financial reporting was not effective. During the years ended December 31, 2023 and December 31, 2022, there were no "reportable events" (as that term is defined in Item 304(a)(1)(v) of Regulation S-K), except as discussed above. The Company has authorized BFB to respond fully to any inquiries of the successor independent registered public accounting firm. In relation to the termination of BFB, on April 1, 2024, the Audit Committee approved the appointment of Wolf & Company, P.C. to serve as the Company's independent registered public accounting firm for the fiscal year ending December 31, 2024. The effective date of Wolf & Company's appointment as the Company's independent registered public accounting firm is April 1, 2024. During the fiscal years ended December 31, 2022 and December 31, 2023, and the subsequent interim period through March 31, 2024, neither the Company, nor anyone acting on the Company's behalf, has consulted with Wolf & Company regarding either (i) the application of accounting principles to a specified transaction, either completed or proposed, or the type of audit opinion that might be rendered on the Company's consolidated financial statements, in any case where either a written report or oral advice was provided to the Company by Wolf & Company that Wolf & Company concluded was an important factor considered by the Company in reaching a decision as to any accounting, auditing or financial reporting issue; or (ii) any matter that was either the subject of a "disagreement" (within the meaning of Item 304(a)(1)(iv) of Regulation S-K and the related instructions) or a "reportable event" (as that term is defined in Item 304(a)(1)(v) of Regulation S-K). About Yunhong Green Barrington, Illinois-based Yunhong Green CTI Ltd develops, produces, distributes and sells a number of consumer products throughout the United States and in several other countries, and it produces film products for commercial and industrial uses in the United States. The Company's principal lines of products include: Novelty Products consisting principally of foil and latex balloons and related gift items; and Flexible Films for food and other commercial and packaging applications. ZADA REHAB: Nicole Nigrelli Named Subchapter V Trustee ------------------------------------------------------ The U.S. Trustee for Regions 3 and 9 appointed Nicole Nigrelli, Esq., at Ciardi, Ciardi & Astin as Subchapter V trustee for Zada Rehab, LLC. Ms. Nigrelli will be paid an hourly fee of $450 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. Nigrelli declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Nicole M. Nigrelli, Esq. Ciardi, Ciardi & Astin 1905 Spruce Street Philadelphia, PA 19103 Phone: (215) 557-3550 ext. 115 Email: nnigrelli@ciardilaw.com About Zada Rehab Zada Rehab, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. N.J. Case No. 24-13446) on April 3, 2024, with up to $50,000 in assets and up to $1 million in liabilities. Daniel Yousefzadeh, owner, signed the petition. Brian W. Hofmeister, Esq., at the Law Firm of Brian W. Hofmeister, LLC, represents the Debtor as bankruptcy counsel. [*] Companies Defaulting on Debt 2nd Highest Since 2008 ------------------------------------------------------- Jill R. Shah of Bloomberg News reports that, according to a new report from S&P Global Ratings, the percentage of companies that have defaulted on their debt more than once has reached its second highest level since 2008. Around 35% of total global defaults in 2023 were by issuers that are “re-defaulters,” a trend that’s also dampening recoveries, Nicole Serino, director of credit research and insights at the ratings company, said in a report. That’s in part because of an increase in the number of issuers with ratings of B- or below, which have high levels of debt. "These capital structures were set up during times of lower rates and in anticipation of lower rates," Serino said in an interview. "You saw that bubble grow, and grow, and grow." Higher-than-estimated consumer inflation has lowered expectations for the number of rate cuts from the Federal Reserve this year. That so called higher-for-longer environment will make it more difficult for the most leveraged, high-risk companies, especially those that have already defaulted. The uptick in re-defaults comes as more and more borrowers opt to undergo distressed exchanges, which are agreements that deal losses to creditors and help companies and their owners avoid bankruptcy. Such transactions only provide "a temporary reprieve to issuers in regaining their footing," said S&P, which labels those as "selective defaults." The greatest share of borrowers in selective default are re-rated CCC+, one that suggests a high probability of defaulting again, according to the analysis. The report also found that investors suffer more losses on capital structures that have defaulted multiple times, especially those in senior unsecured bonds, where recoveries plunged from around 60% to around 40%. The US speculative-grade default rate was 4.8% through the end of March, according to estimates by S&P, which measures the percentage of issuers defaulting in the trailing twelve months. [*] Schuyler Carroll, Jessica Sklute Join Manatt's New York Office ------------------------------------------------------------------ Manatt, Phelps & Phillips, LLP, a multidisciplinary, integrated professional services firm, on April 16 announced the arrival of New York-based Partners Schuyler G. Carroll and Jessica Sklute. Leading clients through complex bankruptcy proceedings and acting as a trusted adviser across various transactional and litigation-related matters, Mr. Carroll helps develop strategic solutions for clients' most pressing restructuring needs. A consumer financial services lawyer focused primarily on payments systems and solutions, Ms. Sklute brings a national perspective and decades of experience that significantly enhance Manatt's consumer financial regulatory capabilities for its bank and fintech clients. "Schuyler and Jessica both bring an impressive background at the intersection of law and consulting that aligns with Manatt's integrated platform and allows them to seamlessly support clients on cutting-edge matters throughout our core practice areas," said Manatt CEO and Managing Partner Donna L. Wilson. "Schuyler's high-profile background throughout the bankruptcy space adds even more depth to our powerhouse litigation team, led by Partner Naeun Rim, while Jessica's sophisticated payments-related experience complements our nationwide consumer financial services team, led by Partner Scott Pearson." Mr. Carroll provides innovative solutions and litigation support to clients on bankruptcy, restructuring and transactional matters, focusing primarily on Chapter 11, 15 and 7 proceedings, in addition to distressed acquisitions and creditors' rights enforcement. He represents a wide range of clients--such as debtors, creditor committees, trade creditors, claims traders, indenture trustees, bondholders and secured and unsecured creditors -- across the industries in which Manatt focuses, including health care and real estate. He also regularly counsels on potential bankruptcy issues relating to other strategic transactions like investments, loans and mergers and acquisitions. Additionally, Mr. Carroll has extensive experience in state and federal courts litigating for creditors' rights as well as navigating a wide range of related enforcement actions and fraud claims. Ms. Sklute advises clients on consumer financial services regulatory issues with a particular focus on traditional and emerging payments products and solutions, money transmission laws, strategic alliances and general compliance. She works with market-leading banks, fintechs, retailers, senior lenders and other institutional investors on new product development, regulatory diligence, compliance, joint marketing, sponsorship and outsourcing arrangements and a wide range of operational and strategic transactions. She has considerable experience dealing with federal and state regulators on compliance matters and applications to federal and state banking agencies pertaining to acquisitions, divestitures, organizations and business expansions, including national banks, state banks and industrial loan companies. "I have long admired Manatt's entrepreneurial spirit, and the way in which the Firm blends legal and consulting services mirrors my own client philosophy," said Carroll. "I'm excited to collaborate with the Firm's team of lawyers and consultants to continue supporting clients in their most significant bankruptcy, restructuring and litigation matters." Ms. Sklute added, "I look forward to joining Manatt's nationally recognized financial services team and work with the Firm's clients on a wide range of innovative payments initiatives. Manatt is dedicated to providing the highest quality services, so I am thrilled to partner with this extraordinary team to continue guiding clients through various transactional and regulatory compliance issues." Mr. Carroll and Ms. Sklute join the Firm's expanding roster of legal and consulting professionals across the Firm's core practices, including Health Care (Heide Bajnrauh, Axel Bernabe, Robert (Rob) Fraiman, Seth Frazier, Eric Gold, Paul Irving, Dr. Tracy Johnson, Anna Lansky, Lauren Polak, Thomas (Tom) Robertson, Lisa Sbrana and Mark Wietecha); Digital and Technology (Tim Andrews and Lisa W. Rosaya); Entertainment (Binta Niambi Brown, Bill D'Angelo); and Litigation (Kareem A. Salem, Justin Wolosz, Randy S. Grossman and Dylan Carson) Mr. Carroll earned his J.D. from St. John's University School of Law and his B.A. from Binghamton University. Ms. Sklute earned her J.D. from The University of Pennsylvania Law School and her B.A. from Bucknell University. About Manatt, Phelps & Phillips, LLP Manatt, Phelps & Phillips, LLP -- http://www.manatt.com-- is a professional services firm, providing integrated legal and consulting services to a global client base. With offices strategically located in California (Los Angeles, Orange County, San Diego, San Francisco, Sacramento and Silicon Valley), New York (New York City and Albany), Chicago, Washington, D.C., and Boston, the Firm represents sophisticated clients -- including Fortune 500, middle-market and emerging companies -- across a range of industry sectors such as health care; financial services; entertainment; digital and technology; and energy, environmental and real estate. [*] Senator's Judge Shopping Bill Targets Bankruptcy, Patent Suits ------------------------------------------------------------------ Michael Shapiro and Evan Ochsner of Bloomberg La reports that techniques used by patent owners and bankrupt companies to get their cases in front of specific judges could be at risk with legislation from Senate Minority Leader Mitch McConnell. The bill, introduced by McConnell (R-Ky.) Wednesday, April 10, 2024, diverges from guidance issued by the federal judiciary's policymaking body and a competing proposal from Majority Leader Chuck Schumer by tweaking rules for establishing venue in patent and bankruptcy suits. The practice called "judge shopping" by its critics has drawn attention in recent years as conservative attorneys general challenged Biden administrative policies in one-judge divisions in Texas and Louisiana. [*] Three Professionals Join MACCO Restructuring Group ------------------------------------------------------ Christina Maxwell, Bobby Salehi and Alex Vopat have joined MACCO Restructuring Group, LLC. Drew McManigle, Founder and CEO of MACCO, expressed his enthusiasm about the company's continued growth, stating, "I am delighted to welcome Christina, Bobby, and Alex to our team. Their combined talents and extensive backgrounds will significantly bolster MACCO's capabilities and reinforce our commitment to providing unparalleled service to our clients." Christina Maxwell, a Managing Director based in Denver with a focus on the Mid-West region, brings over 30 years of diverse experience in corporate finance, restructuring, and Chapter 11 bankruptcy. Her track record of success includes orchestrating a pre-packaged Chapter 11 bankruptcy reorganization for an internationally recognized sandwich franchisor. Subsequently as President and CEO, Christina negotiated and managed the divestiture of all viable assets of the business and is serving as the Winddown Administrator in the US and Canada. With a background that includes executive roles at top accounting firms and a proven ability to navigate complex financial landscapes, Ms. Maxwell is well-equipped to drive results for MACCO's clients. In 2017, she was featured in "Women in the C-Suite" by Franchise Update Magazine. She holds a CPA license in Colorado and a B.A. in Accounting from the University of Missouri-Columbia. Bobby Salehi, a Senior Financial Advisor located in Houston, boasts two decades of corporate finance experience, specializing in capital market transactions and business restructuring. His leadership positions at energy companies and a Houston-based family office have honed his skills in strategic financial management and deal structuring. Mr. Salehi's expertise in optimizing growth and shareholder value through innovative strategies makes him a valuable addition to the MACCO team. He holds a B.A. in Corporate Communications and Management from The University of Texas - Austin and an MBA from Texas A&M. Alex Vopat, based in Houston, brings a unique blend of operational knowledge and financial acumen to his role as Director. With over ten years of experience in the oil and gas industry, Mr. Vopat possesses a deep understanding of both financial and operational challenges. His hands-on experience in operational management for an offshore drilling company, combined with his expertise in financial analysis and regulatory compliance, enables him to develop comprehensive restructuring plans that drive sustainable results. Mr. Vopat holds dual B.A. degrees in Accounting and Finance from Illinois State University and is pursuing his CPA designation. Mr. McManigle concluded, "At MACCO, our award-winning approach to business restructuring empowers us to provide agile solutions and decisive actions, that enables us to 'put out the fire and protect the stakeholders from getting burned'." [^] BOOK REVIEW: The Turnaround Manager's Handbook -------------------------------------------------- Author: Richard S. Sloma Publisher: Beard Books Soft cover: 226 pages List Price: $34.95 Review by Gail Owens Hoelscher In the introduction to this book, the author suggests that an accurate subtitle could be "How to Become a Successful Company Doctor." Using everyday medical analogies throughout, he targets "corporate general practitioners" charged with the fiscal health of their companies. As with many human diseases, early detection of turnaround situations is critical. The author describes turnaround situations as a continuum differentiated by length of time to disaster: "Cash Crunch," "Cash Shortfall," "Quantity of Profit," and "Quality of Profit." The book centers on 13 steps to a successful turnaround. The steps are presented in a flowchart form that relates one to another. Extensive data collection and analysis are required, including the quantification of 28 symptoms, the use of 48 diagnostic and analytical tools, and up to 31 remedial actions. (In case the reader balks at the effort called for, the author points out that companies that collect and analyze such data on a regular basis generally don't find themselves in a turnaround situation to begin with!) The first step is to determine which of 28 symptoms are plaguing the company. The symptoms generally pertain to manufacturing firms, but can be applied to service or retail companies as well. Most of the symptoms should be familiar to the reader, but the author lays them out systematically, and relates them to the analytical tools and remedial actions found in subsequent chapters. The first seven involve the inability to make various payments, from debt service to purchase commitments. Others include excessive debt/equity ratio; eroding gross margin; increasing unit overhead expenses; decreasing product line profitability; decreasing unit sales; and decreasing customer profitability. Step 2 employs 48 diagnostic and analytical tools to derive inferences from the symptom data and to judge the effectiveness of any proposed remedy. The author begins by saying ". . . if the only tool you have is a hammer, you will view every problem only as a nail!" He then proceeds to lay out all 48 tools in his medical bag, which he sorts into two kinds, macro- and micro- tools. Macro-tools require data from several symptoms or assess and evaluate more than a single symptom, whereas micro-tools more general-purpose in function. The 12 macro-tools run from "The Art of Approximation" to "Forward-Aged Margin Dollar Content in Order Backlog." The 36 micro-tools include "Product Line Gross Margin Percent Profitability," Finance/Administration People-Related Expenses As Percent Of Sales," and "Cumulative Gross $ by Region." Next, managers are directed to 31 possible remedial actions, categorized by the four stage turnaround continuum described above. The first six actions are to be considered at the Cash Crunch stage, and range from a fire-sale of inventory to factoring accounts receivable. The next six deal with reducing people-related expenses, followed by 13 actions aimed at reducing product- and plant-related expenses. The subsequent five actions include eliminating unprofitable products, customers, channels, regions, and reps. Finally, managers are advised on increasing sales and improving gross margin by cost reduction in various ways. The remaining steps involve devising the actual turnaround plan, ensuring management and employee ownership of the plan, and implementing and monitoring the plan. The advice is comprehensive, sensible and encouraging, but doesn't stoop to clich, or empty motivational babble. The author has clearly operated on patients before and his therapeutics have no doubt restored many a firm's financial health. ********* 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 2024. 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 ***