/raid1/www/Hosts/bankrupt/TCR

/raid1/www/Hosts/bankrupt/TCR_Public/241104.mbx T R O U B L E D C O M P A N Y R E P O R T E R Monday, November 4, 2024, Vol. 28, No. 308 Headlines 100 CHARLOTTE: Gets Interim OK to Use Cash Collateral 1708 S. RACINE: To Sell Chicago Estate to Lender 2 FISH COMPANY: Unsecureds to Split $10K in Consensual Plan 738 RT196 HOLDINGS: Voluntary Chapter 11 Case Summary 742 LEX: Case Summary & Three Unsecured Creditors ACCORD LEASE: Case Summary & 20 Largest Unsecured Creditors ACK FAMILY: Hires Law Office of Barry H. Spitzer as Counsel ADVANCED CARE: Hires SK Financial CPA LLC as Accountant AETIUS COMPANIES: Committee Hires Greerwalker as Financial Advisor AGTJ13 LLC: Seeks to Extend Plan Exclusivity to Jan. 31, 2025 ALL IN ONE MANAGEMENT: Case Summary & 20 Top Unsecured Creditors AMERICAN TRADERS: Hires Michal Berger as Bankruptcy Counsel APPLE CENTRAL: Case Summary & 20 Largest Unsecured Creditors AQUARIAN INSURANCE: Fitch Rates $750MM Sr. Unsecured Notes ‘BB’ ARQ LLC: Unsecureds Will Get 3.1% of Claims via Quarterly Payments ARSENAL AIC: Fitch Affirms 'BB-' LongTerm IDR, Outlook Stable ASPEN ELECTRONICS: Case Summary & 20 Largest Unsecured Creditors ATTLEBORO REALTY: Hires Riemer & Braunstein LLP as Counsel AUDACY CAPITAL: Moody's Assigns Caa1 CFR Following Bankr. Emergence B.A.S.S. & M. INC: Gets Interim OK for $4MM DIP Loan From Nine Left BACKYARD ENVIRONMENTS: Behrooz Vida Named Subchapter V Trustee BACKYARD ENVIRONMENTS: Has Court Permission to Use Cash Collateral BBCK ONE HOLDING: Asset & Litigation Proceeds to Fund Plan BEECHAM GROUP: Case Summary & 17 Unsecured Creditors BIG RIVER: Seeks to Hire Lane Law Firm PLLC as Counsel BLACK WOLF HOLDINGS: Gets Interim OK to Use Cash Collateral BLACKRIDGE OPERATING: Unsecureds Will Get 2% to 4% over 60 Months BLUE DOG IN BOCA: Court Approves Use of Cash Collateral BLUE DOG IN BOCA: Tarek Kiem Named Subchapter V Trustee BROWN GENERAL: Hires Baker Firm PLLC as Counsel BWB CONTROLS: BWB Holdings Unsecured Claims Will Get 2.40% CAMBRIDGE RIVERVIEW: Court OKs Limited Use of Cash Collateral CANDE HOFFMAN: Janice Seyedin Named Subchapter V Trustee CAPITAL COMMERCIAL: Case Summary & Four Unsecured Creditors CARVANA CO: Posts $148 Million Net Income in Third Quarter CENTERPOINT ENERGY: Fitch Gives 'BB+' Rating on Jr. Sub. Notes CHARLES-N-ANGEL'S: Gets Interim OK to Use Cash Collateral CHESSWOOD GROUP: Chapter 15 Case Summary CHIC COUTURE: Gets Interim OK to Use Cash Collateral Until Nov. 21 CLOUD BERN: Michael Coury Named Subchapter V Trustee CMM OFFROAD: Unsecured Creditors to Split $376K over 5 Years COMMERCIAL FLOORING: To Sell Hays Farm Inventory to W.R. Newman COMTECH TELECOMMUNICATIONS: Widens Net Loss to $100M in FY 2024 COST LESS: Hires Simen Figura & Parker CPA PC as Counsel COVENANT COMMUNITIES: S&P Affirms 'BB+' Rating on 2018B Rev. Bonds CTF CHICAGO: Gets Interim OK to Use Cash Collateral Until Nov. 30 CUSTOM HOLDINGS: Hires Roop Law Office L.C. as Attorney DANIEL SMART: Claims to be Paid From Income & Avoidance Proceeds DENALI COMMUNITY: Case Summary & Three Unsecured Creditors DIAMOND SCAFFOLD: Unsecureds to Get Share of GUC Cash Flow DIGITAL AUTO: Updates Unsecured Claims Pay Details DIOCESE OF OGDENSBURG: Exclusivity Period Extended to Jan. 17, 2025 DNC AND TCPA: Has Permission to Use Cash Collateral DORETHA WARD: Case Summary & Three Unsecured Creditors DOTLESS LLC: Seeks to Extend Plan Exclusivity to December 6 DS26 LLC: Seeks 60-Day Extension of Plan Filing Deadline EARTH ALIVE: Secures Approval for Interim Financing, Sale Process EGZIT CORPORATION: Neema Varghese Named Subchapter V Trustee ELYSIUM AXIS: Unsecureds Will Get 10% of Claims over 5 Years ESE INDUSTRIES: Claims to be Paid From Auction Sale Proceeds EXACTECH INC: Nov. 7 Deadline Set for Panel Questionnaires EXPERT AUTOMOTIVE: Jeanette McPherson Named Subchapter V Trustee FAIR OFFER: Hires BrickDriven Realty as Real Estate Agent FIG & FENNEL: Gets Court OK to Use Newtek's Cash Collateral FINTHRIVE SOFTWARE: Moody's Cuts CFR to Ca, Outlook Stable FLEET SERVICES: Gets OK to Use Cash Collateral Until Dec. 10 FORGE FLIGHTWORKS: Gets Final OK to Use Cash Collateral FREIRICH FOODS: Seeks to Extend Plan Exclusivity to Feb. 1, 2025 FUEL REYNOLDA: Seeks Court OK to Use Cash Collateral G-FORCE POWERSPORTS: Christine Brimm Named Subchapter V Trustee GALLERIA 2425: Hilco Closes $27M Bankruptcy Sale of Houston Office GARDA WORLD: Fitch Assigns 'B-' Rating on Sr. Unsecured Notes GOOD NATURED: Obtains CCAA Court Approval of Sale HDC HOLDINGS II: Committee Hires Epiq as Administrative Advisor HDC HOLDINGS II: Committee Hires Mosaic Growth Partners as CRO HEALTHCARE HOLDINGS: Voluntary Chapter 11 Case Summary HIRSCH GLASS: Case Summary & 12 Unsecured Creditors HYPERION EDUCATION: Case Summary & One Unsecured Creditor ILUMIVU INC: Court Approves Interim Use of Cash Collateral INFINITE PROPERTIES: Rental Income to Fund Plan Payments INNOVATIVE DESIGNS: Board Accepts Resignation of Director IROQUOIS-HUEY LLC: Hires Brown Law Firm P.C. as Counsel ISUN INC: Plan Exclusivity Period Extended to Nov. 30 IVANTI SOFTWARE: S&P Alters Outlook to Negative, Affirms 'B-' ICR J-H EXPEDITING SERVICES: Gets Interim OK to Use Cash Collateral JD WIDEMAN: Gets Final Approval to Use Cash Collateral JML ENGINEERING: Voluntary Chapter 11 Case Summary JPC LAND: Hires Barron & Newburger PC as Counsel K&N PARENT: Moody's Cuts CFR to Caa3 & Alters Outlook to Negative KANSAI INC: Case Summary & 18 Unsecured Creditors KROWNED KRYSTALS: Hires Patrick J. Gros CPA APAC as Accountant KYLE CHANDANAIS: Has Deal on Cash Collateral Access LASERSHIP INC: S&P Downgrades ICR to 'CCC-', Outlook Negative LCM CORP: Seeks to Extend Plan Filing Deadline to December 16 LEXXUS LLC: Kevin Neiman Named Subchapter V Trustee LIGONIER TAVERN: Gets Court OK to Use Cash Collateral Until Nov. 30 MALIA REALTY: Case Summary & Six Unsecured Creditors MARIA INVESTMENTS: Property Sale & Litigation Proceeds to Fund Plan MARTINS INTERSTATE: Gets Interim OK to Use Cash Collateral MASTIN LABS: Gets Interim OK to Use Cash Collateral MIKESELL TRADING: Gets OK to Use Cash Collateral Until Dec. 31 MIRACLE RESTAURANT: Asset Sale Proceeds, or Income, to Fund Plan MORAN FOODS: S&P Affirms 'CCC+' Issuer Credit Rating, Outlook Neg. MORAN FOODS: S&P Withdraws 'CCC+' Issuer Credit Rating NATIONAL CAMPUS: S&P Affirms 'B' LT Rating on 2019 Revenue Bonds NEWELL BRANDS: Fitch Assigns BB- Rating on $1.25BB Sr. Unsec Notes NORTHWEST RENEWABLE: Unsecureds to Get Nothing in Plan ONEMAIN FINANCE: S&P Rates New $500MM Senior Unsecured Notes 'BB' ONONTIO LANDSCAPING: Paul Levine Named Subchapter V Trustee ORYX OILFIELD: Committee Hires McCathern PLLC as Co-Counsel OSTERIA DEL TEATRO: Gets Interim OK to Use Cash Collateral PAPER IMPEX: Selling Trailers to Sereja Chalumyan for $65,000 PERFECTIONS INC: Carol Fox Named Subchapter V Trustee PIGEON FREIGHT: Court Extends Use of Cash Collateral Until Nov. 22 PL DEVELOPMENTS: Represented by Latham & Watkins in Exchange Offer POWER BLOCK: Unsecureds to Get Share of GUC Cash in Consensual Plan PREMIER CAR WASH: Unsecureds Will Get 1.5% to 2% over 60 Months PREMIER HOSPITALITY: Court Approves Interim Use of Cash Collateral PYLE TRANSPORTATION: Unsecureds Will Get 32% of Claims over 3 Years RAIDER CONTRACTING: Hires Demarco·Mitchell PLLC as Counsel RAYANI HOLDINGS: Hires Kidder Matthews as Realtor REMARKABLE HEALTHCARE: Court Prohibits Use of Cash Collateral SIYATA MOBILE: Inks Limited Purchase Agreement With Telecom Partner SK MOHAWK: Fitch Lowers LongTerm IDR to 'RD' on Debt Exchange SONOMA CELLAR: Gets Final OK to Use Cash Collateral Until Dec. 31 SOVIRISH CORPORATION: Mark Sharf Named Subchapter V Trustee SP PF BUYER: Moody's Withdraws 'Caa2' CFR Following Debt Repayment SPI INVESTMENT: Chapter 15 Case Summary SPOT AT ANDERSON: Seeks to Extend Plan Exclusivity to Jan. 13, 2025 STAR TRANSPORTATION: Voluntary Chapter 11 Case Summary STG DISTRIBUTION: Fitch Gives CCC+ IDR on Debt Exchange Completion STRUCTURE ONE: Case Summary & 20 Largest Unsecured Creditors SUNSET LAKES: $1.5M Sale to 5M Venture to Fund Plan SUPERSTAR ELIZABETH: Gets OK to Use Cash Collateral Until Dec. 31 TDA ENTERPRISES: Unsecureds to Split $11K over 55 Months TECTUM ROOFING: Hires Kutner Brinen Dickey Riley P.C. as Counsel TGI FRIDAY'S: Case Summary & 50 Largest Unsecured Creditors TGI FRIDAY'S: Files Chapter 11 to Address Legacy Liabilities TJJ TRANSPORT: Seeks to Extend Plan Exclusivity to April 29, 2025 TUBULAR SYNERGY: Seeks to Extend Plan Exclusivity to December 6 U.S. PRESS: Claims to be Paid From Business Income ULTRA SAFE: Nov. 5 Deadline Set for Panel Questionnaires UNDERGROUND SOLUTIONS: Agrees to Pay $1,050 Monthly to Lender UNITED FIBER: Case Summary & 20 Largest Unsecured Creditors UNIVERSAL SEATING: Court Denies Access to Cash Collateral VEGA COLLEGIATE: Moody's Affirms Ba2 Rating on 2021A/B School Bonds VINE BEVERAGE: Case Summary & 20 Largest Unsecured Creditors WESTERN RISE: Unsecureds Will Get 10.3% of Claims over 4 Years YOUNG TRANSPORTATION: Robert Alan Byrd Named Subchapter V Trustee ZOOZ POWER: Shareholders Ratify Appointment of Kesselman as Auditor [*] 12 Greenberg Traurig Delaware Attorneys Named 2024 Top Lawyers [*] Four Cohn & Dussi Attorneys Named to 2023 Super Lawyers List [*] Luke Homen Honored for Excellence in Consumer Bankruptcy Law [^] BOND PRICING: For the Week from Oct. 28 to Nov. 1, 2024 ********* 100 CHARLOTTE: Gets Interim OK to Use Cash Collateral ----------------------------------------------------- 100 Charlotte, LLC received interim approval from the U.S. Bankruptcy Court for the Middle District of Florida to use the cash collateral of Fairwinds Credit Union. The interim order directed the company to pay only expenses necessary for the operation of its business and not any pre-bankruptcy expenses, officer salaries, professional fees, or insiders without further order of the court. 100 Charlotte was ordered to pay $2,875 per month to Fairwinds Credit Union as adequate protection. As of the petition date, 100 Charlotte owed $387,326 to Fairwinds Credit Union under a loan agreement. The next hearing is scheduled for Jan. 9, 2025. About 100 Charlotte 100 Charlotte, LLC is the owner of real property located at 100 Charlotte Ave, New Smyrna Beach, Fla., valued at $1.24 million. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-02514) on May 20, 2024, with $1,244,508 in assets and $387,326 in liabilities. Roberto Martins, Sr., manager, signed the petition. Judge Tiffany P. Geyer oversees the case. Bryan K. Mickler, Esq., at the Law Offices of Mickler & Mickler, LLP, represents the Debtor as bankruptcy counsel. 1708 S. RACINE: To Sell Chicago Estate to Lender ------------------------------------------------ 1708 S. Racine LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division, to sell its real estate commonly known as 1708 South Racine, Chicago, IL 60608, free and clear of liens and encumbrances. The Debtor is an LLC whose managing member is Miguel Aguilar; the other member is the Mary Lou Aguilar Living Trust. The Estate, commonly known as 1708 South Racine, Chicago, IL 60608, secures a loan from 1708 South Racine LLC in the approximate amount of $297,868.25. The Debtor received a contract offer from 1708 South Racine with a purchase value of $1,400,000. Prior to the lender's offer, the Debtor received a proposal from a separate third party for $1,400,000, however, the Debtor deems the offer from 1708 South to be superior. 1708 Scout has been in possession of the estate since at least approximately July 1, 2022, when it was named as mortgagee in possession. About 1708 S. Racine LLC 1708 S. Racine, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 24-07345) on May 16, 2024, listing under $1 million in both assets and liabilities. Judge Janet S. Baer presides over the case. John F. Hiltz, Esq., at Leibowitz Hiltz & Zanzig, LLC, represents the Debtor as counsel. 2 FISH COMPANY: Unsecureds to Split $10K in Consensual Plan ----------------------------------------------------------- 2 Fish Company, LLC filed with the U.S. Bankruptcy Court for the Western District of Michigan a Plan of Reorganization under Subchapter V dated September 18, 2024. The Debtor was formed April 13, 2011 and operates a small full service marketing agency, with a mailing address of 430 E. 8th Street PMB 196 Holland, MI 49423 and a principal business located at 675 E. 16th Street, Suite 230 Holland, MI 49423. The Debtor believes that confirmation of this plan will alleviate the burden and allow it to make meaningful payments to its creditors. While its debt service burden significantly decreased, the Debtor's business is stable and expected to become profitable. However, until Debtor filed this bankruptcy case, Debtor was not able to commit to proper staffing levels while maintaining payments to its creditors and working to grow its business. Class 6 consists of all unsecured, non-priority claims. The Debtor estimates that the unsecured non-priority claims in this estate will be approximately $733,040.66. If the Debtor's plan is confirmed as consensual, then General Unsecured Claims shall: * Receive a pro rata share of $10,000.00 ("Consensual General Unsecured Claim Base"). The Consensual General Unsecured Claim Base shall be satisfied through pro rata Quarterly payments of at least $667.00. The Quarterly payments of at $667.00 shall be paid on or before the final day of each calendar quarter, until the total base has been distributed to creditors. The first Quarterly payment shall be due on or before the last day of the calendar quarter during which the effective date falls. * In addition to quarterly payments, creditors holding Class 6 claims shall receive, for tax years 2024 through 2026, a pro rata portion of 33% of the Debtor's EBITDA in excess of $50,000.00 (the "Excess EBITDA Distribution"). * The Excess EBITDA Distribution provision provides Debtor with incentive to grow its business during its Chapter 11 while providing its creditors with protection against the Debtor receiving an inequitable windfall after discharging significant liabilities through this Plan. Using EBITDA as the triggering factor is intended to compare "apples-to-apples" in that future net EBITDA would be calculated using future revenue and future expenses, which minimizes discrepancies form inflationary factors. It is specifically contemplated that the calculation of future EBITDA will include a reasonable salary and benefits for Scott Millen, Michelle Millen, and any other equity security holder who is actually working for the Debtor. If the Debtor's Plan is confirmed as non-consensual, then General Unsecured Claims shall receive a pro rata share of $3,000.00 ("Non-Consensual General Unsecured Claim Base"). The Debtor Plan must provide for al of its projected disposable income for 36 to 60 months. In a non-consensually confirmed plan, the Debtor agrees to pay general unsecured creditors its projected disposable income multiplied by 36. After accounting for payment of the Debtor's secured claim (Class 3 and Class 4), and its priority claims (Class 2), the Debtor projects no disposable income. Class 7 consists of the Debtor's owners, who are Scott Millen and Michelle Millen. The Equity Security Holders of the Debtor shall retain their interests in the Debtor. Payments required under the Plan will be made from Debtor's budget and net profit. A full-text copy of the Plan of Reorganization dated September 18, 2024 is available at https://urlcurt.com/u?l=KCkXQQ from PacerMonitor.com at no charge. Counsel to the Debtor: James R. Oppenhuizen, Esq. Oppenhuizen Law Firm, PLC 125 Ottawa Ave. NW, Suite 237 Grand Rapids, MI 49503 Telephone: (616) 730-1861 (616) 648-9221 Email: joppenhuizen@oppenhuizenlaw.com About 2 Fish Company LLC 2 Fish Company, LLC, operates a small full service marketing agency. The Debtor filed a Chapter 11 bankruptcy petition (Bankr. W.D. Mich. Case No. 24-01637) on June 20, 2024, disclosing under $1 million in both assets and liabilities. The Debtor hires Oppenhuizen Law Firm, PLC as counsel. 738 RT196 HOLDINGS: Voluntary Chapter 11 Case Summary ----------------------------------------------------- Debtor: 738 RT196 Holdings LLC 738 Rt. 196 Tobyhanna PA 18466 Business Description: The Debtor is engaged in activities related to real estate. Chapter 11 Petition Date: October 30, 2024 Court: United States Bankruptcy Court Middle District of Pennsylvania Case No.: 24-02812 Judge: Hon. Mark J Conway Debtor's Counsel: Philip W. Stock, Esq. LAW OFFICE OF PHILIP W. STOCK 706 Monroe Street Stroudsburg PA 18360 Tel: 570-420-0500 E-mail: pwstock@ptd.net Estimated Assets: $1 million to $10 million Estimated Liabilities: $500,000 to $1 million The petition was signed by Shatrughan Sinha as sole member. The Debtor failed to include in the petition a list of its 20 largest unsecured creditors. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/FHTAKEQ/738_RT196_HOLDINGS_LLC__pambke-24-02812__0001.0.pdf?mcid=tGE4TAMA 742 LEX: Case Summary & Three Unsecured Creditors ------------------------------------------------- Debtor: 742 Lex Inc. 412 Utica Avenue Brooklyn, NY 11213 Business Description: 742 Lex Inc. owns a mixed use property with two residential apartments and three commercial stores valued at $1.3 million. Chapter 11 Petition Date: October 30, 2024 Court: United States Bankruptcy Court Eastern District of New York Judge: Hon. Jil Mazer-Marino Debtor's Counsel: John Emefieh, Esq. LAW OFFICE OF JOHN EMEFIEH 294 Atlantic Avenue 2 Brooklyn NY 11201 Tel: 718-624-5001 Email: johnemefieh@gmail.com Total Assets: $1,310,000 Total Liabilities: $1,220,486 The petition was signed by Ranjette Coombs as president. 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/7WBXU2A/742_Lex_Inc__nyebke-24-44503__0001.0.pdf?mcid=tGE4TAMA ACCORD LEASE: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------- Debtor: Accord Lease, Inc. 901 Raymond St, Elgin, IL 60120 Business Description: Accord Lease, Inc. is engaged in the automotive leasing and renting business. Chapter 11 Petition Date: November 1, 2024 Court: United States Bankruptcy Court Northern District of Illinois Case No.: 24-16518 Judge: Hon. David D Cleary Debtor's Counsel: O. Allan Fridman, Esq. LAW OFFICE OF ALLAN FRIDMAN 555 Skokie Blvd 500 Northbrook, IL 60062 Tel: 847-412-0788 Fax: 847-412-0898 Email: allan@fridlg.com Total Assets: $3,773,857 Total Liabilities: $5,800,404 The petition was signed by Igor Tsapar as president. A full-text copy of the petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/U6U5XCA/Accord_Lease_Inc__ilnbke-24-16518__0001.0.pdf?mcid=tGE4TAMA ACK FAMILY: Hires Law Office of Barry H. Spitzer as Counsel ----------------------------------------------------------- ACK Family Limited Partnership seeks approval from the U.S. Bankruptcy Court for the Eastern District of California to employ Law Office of Barry H. Spitzer as counsel to handle its Chapter 11 case. The firm will be paid based upon its normal and usual hourly billing rates. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Lorris L. Bakken, a partner at Law Office of Barry H. Spitzer, 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: Lorris L. Bakken, Esq. Law Office of Barry H. Spitzer 2150 River Plaza Drive, Suite 140 Sacramento, CA 95833 Tel: (916) 442-9002 Fax: (916) 442-9003 About ACK Family Limited Partnership Ack Family Limited is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). Ack Family Limited filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Cal. Case No. 24-20758) on February 28, 2024. In the petition signed by Chun-Mei Dodge as general partner, the Debtor estimated $500,000 to $1 million in liabilities. Judge Christopher M Klein presides over the case. Stephen Reynolds, Esq., at REYNOLDS LAW CORPORATION, is the Debtor's counsel. ADVANCED CARE: Hires SK Financial CPA LLC as Accountant ------------------------------------------------------- Advanced Care Hospitalists, PL seeks approval from the U.S. Bankruptcy Court for the Middle District of Florida to employ SK Financial CPA LLC as accountant. The firm will prepare the Debtor's 2023 tax return and assist with plan projections to the extent necessary. The firm will charge $2,500 for preparation of the tax return and supporting documents. Shamsuddin Khan, a partner at SK Financial CPA 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: Shamsuddin Khan SK Financial CPA LLC 2210 Ashley Oaks Cir. #101 Wesley Chapel, FL 33544 Tel: (813) 322-3936 Fax: (813) 322-6636 About Advanced Care Hospitalists, PL Advanced Care Hospitalists, PL, is a medical group practice in Lakeland, Fla. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-02899) on May 21, 2024, with up to $50,000 in assets and up to $50 million in liabilities. Gulab Sher, M.D., president and managing member, signed the petition. Judge Catherine Peek McEwen oversees the case. David S. Jennis, Esq., at David Jennis, P.A., doing business as Jennis Morse, represents the Debtor as legal counsel. AETIUS COMPANIES: Committee Hires Greerwalker as Financial Advisor ------------------------------------------------------------------ The official committee of unsecured creditors of Aetius Companies, Inc. seeks approval from the U.S. Bankruptcy Court for the Western District of North Carolina to employ Greerwalker LLP to provide financial advisory services in connection with its Chapter 11 case. The firm will be paid at $150 to $690 per hour. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. William A. Barbee, a partner at GreerWalker 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: William A. Barbee GreerWalker LLP 227 West Trade Street, Suite 1100 Charlotte, NC 28202 Tel: (704) 377-0239 Email: greerwalker@greerwalker.com About Aetius Companies Aetius Companies, LLC, and affiliates operate a restaurant chain. Aetius Companies and its affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. W.D.N.C. Lead Case No. 23-30470) on July 19, 2023. In the petition signed by Mark Cote, president, the Debtor disclosed up to $50 million in both assets and liabilities. Judge Craig Whitley oversees the case. Robert A. Cox, Jr., Esq., at Hamilton Stephens Steele + Martin, PLLC, is the Debtor's legal counsel. Judge Whitley, upon recommendation of the U.S. Bankruptcy Administrator for the Western District of North Carolina, issued an order appointing an official committee to represent unsecured creditors. Brinkman Law Group, P.C., is the Committee's counsel, and Cole Hayes, is local counsel. AGTJ13 LLC: Seeks to Extend Plan Exclusivity to Jan. 31, 2025 ------------------------------------------------------------- Judge Sandra R. Klein of the U.S. Bankruptcy Court for the Central District of California extended AGTJ13, LLC, ("Property Co") and AGTJ Manager, LLC's ("Hold Co") to extend its exclusivity periods to file a plan of reorganization to January 31, 2025. The Debtors explain that this is a complex case, involving valuable real property which the Debtor believes to be worth substantially more than the debts against such real property. There are numerous constituents involved, numerous contractual relationships and there are numerous case contingencies pending at this time, particularly as to the ultimate impact of the Court's Stay Relief Order on these estates and the disposition of the Property. The Debtors submit that these case contingencies warrant a brief extension of the Debtors' plan exclusivity period. The Debtors believe that the ultimate resolution of these contingencies will affect the manner in which these cases should proceed. The Debtor submits that these contingencies warrant an extension of the exclusivity periods. The Debtors claim that they have undertaken to comply with a variety of their administrative obligations, including, preparing and providing to the United States Trustee the Debtors' compliance materials, and supplements thereto, preparing and filing its Schedules of Assets and Liabilities, attending an initial debtor interview and a section 341(a) meeting of creditors, and preparing and filing case status reports. The Debtors have filed their February 2024 to May 2024 monthly operating reports and will file their June 2024 monthly operating reports. The Debtors submit this factor weighs in favor of extending the Debtors' plan exclusivity period. The Debtors assert that their request is being made in good faith and not for the purpose of pressuring creditors into acceding to certain plan terms. The Debtors make this request based on the need to address case contingencies and obtain a more accurate purview of this case once further developments occur and clarity is obtained regarding the disposition of the Property and whether the Debtors and CPIF will be able to reach any agreement regarding the disposition of the Property. The Debtors further assert that their goal is to maximize the value of the estates for the benefit of all creditors and the Debtors believe that such a goal remains possible, though further developments need to occur before a further plan process takes place in these cases. Therefore, this factor weighs in favor of extending the Debtors' respective plan exclusivity periods. Counsel for the Debtors: Ron Bender, Esq. Beth Ann R. Young, Esq. Krikor J. Meshefejian, Esq. LEVENE, NEALE, BENDER, YOO & GOLUBCHIK L.L.P. 2818 La Cienega Avenue Los Angeles, CA 90034 Telephone: (310) 229-1234 Facsimile: (310) 229-1244 Email: rb@levene.COM bry@levene.COM kjm@levene.COM About AGTJ13, LLC AGTJ13, 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. C.D. Cal. Case No. 24-11409) on Feb. 26, 2024. In the petition signed by Lafayette Jackson Sharp, IV, manager, the Debtor disclosed up to $100 million in both assets and liabilities. Judge Sandra R Klein oversees the case. Ron Bender, Esq., at LEVENE, NEALE, BENDER, YOO & GOLUBCHIK L.L.P., represents the Debtor as legal counsel. ALL IN ONE MANAGEMENT: Case Summary & 20 Top Unsecured Creditors ---------------------------------------------------------------- Debtor: All In One Management and Services, Inc. 801 E. Grand Ave. Springfield, IL 62703 Chapter 11 Petition Date: October 31, 2024 Court: United States Bankruptcy Court Central District of Illinois Case No.: 24-70883 Judge: Hon. Mary P Gorman Debtor's Counsel: Jeana K. Reinbold, Esq. SGRO, HANRAHAN, DURR, RABIN & REINBOLD LLP 1119 S. 6th Street Springfield, IL 62703 Tel: 217-789-1200 Email: jeana@casevista.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Pamela L. Frazier as president. A full-text copy of the petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/EC4QDFY/All_In_One_Management_and_Services__ilcbke-24-70883__0001.0.pdf?mcid=tGE4TAMA AMERICAN TRADERS: Hires Michal Berger as Bankruptcy Counsel ----------------------------------------------------------- American Traders Inc. seeks approval from the U.S. Bankruptcy Court for the Eastern District of California to employ Law Offices of Michal Berger as general bankruptcy counsel. The firm's services include: a. communicating with creditors of the Debtor; b. reviewing the Debtor's Chapter 11 bankruptcy petition and all supporting schedules to determine if amendment are needed; c. advising the Debtor of its legal rights and obligation in a bankruptcy proceeding; d. working to bring the Debtor into full compliance with reporting requirements of the Office of the United States Trustee; e. preparing status report as required by the Court; f. responding to any motions filed in Debtor's bankruptcy proceeding. The firm will be paid at these rates: Michael Berger $645 per hour Sofya Davtyan $475 per hour Robert Poteete $275 per hour Paralegal/Law Clerks $200 per hour Law Offices of Michal Berger will be paid a retainer in the amount of $25,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Michael Berger, Esq., a partner at Law Offices of Michal Berger, 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 Berger, Esq. Law Offices of Michal Berger 9454 Wilshire Boulevard, 6th Floor Tel: (310) 271-6223 Fax: (310) 271-9805 Email: michael.berger@bankruptcypower.com About American Traders Inc. American Traders Inc., doing business as Modesto Hotel/La Casa Modesto, owns and operates a hotel. American Traders Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Cal. Case No.: 24-90602) on Oct. 11, 2024. In the petition filed by Daljeet S. Mann, as chief financial officer, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Honorable Bankruptcy Judge Ronald H. Sargis handles the case. The Debtor is represented by: Michael Jay Berger, Esq. LAW OFFICES OF MICHAEL JAY BERGER 9454 Wilshire Boulevard, 6th Floor Beverly Hills, CA 90212 Tel: (310) 271-6223 Fax: (310) 271-9805 E-mail: michael.berger@bankruptcypower.com APPLE CENTRAL: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------ Debtor: Apple Central KC, LLC Applebee's Neighborhood Grill & Bar 170 Mason Street Greenwich, CT 06830 Chapter 11 Petition Date: October 30, 2024 Court: United States Bankruptcy Court District of Kansas Case No.: 24-21427 Judge: Hon. Dale L Somers Debtor's Counsel: Frank Wendt, Esq. BROWN & RUPRECHT, PC 2323 Grand Blvd., Suite 1100 Kansas City, MO 64108 Tel: (816) 292-7000 Fax: (816) 292-7050 Email: fwendt@brlawkc.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $10 million to $50 million The petition was signed by Michael Rummel as authorized signatory. A full-text copy of the petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/ZKXD3BQ/N_Apple_Central_KC_LLC__ksbke-24-21427__0001.0.pdf?mcid=tGE4TAMA AQUARIAN INSURANCE: Fitch Rates $750MM Sr. Unsecured Notes ‘BB’ ------------------------------------------------------------------- Fitch Ratings has assigned a 'BB' rating to Aquarian Insurance Holdings, LLC's $750 million 7.875% issuance of senior unsecured notes. The ratings previously assigned to Aquarian and its primary insurance operating subsidiary, Investors Heritage Life Insurance Company, are unaffected by today's rating action. Key Rating Drivers The assignment of the final rating follows receipt of final documentation. Additionally, the final rating is in line with the expected rating assigned Oct. 23, 2024 and reflects standard notching for a ring-fenced regulatory environment. Additional guarantors to the announced senior unsecured note include APH Somerset Investor 2 LLC, APH2 Somerset Investor 2 LLC, and APH3 Somerset Investor 2 LLC. The group plans to use the proceeds from the proposed issuance to pay down existing senior secured debt and support its primary operating subsidiaries in Bermuda and the United States. The proposed notes are not expected to cause Aquarian to breach any rating sensitivities. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Cash interest coverage below 3x; - Consolidated Financial leverage above 40%; - Deterioration in Fitch's view of Aquarian's core operating entities' credit quality. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - GAAP based fixed-charge coverage above 4x; - Improvement in Fitch's view of Aquarian's core operating entities' credit quality. Date of Relevant Committee October 21, 2024 Entity/Debt Rating Prior ----------- ------ ----- Aquarian Insurance Holdings LLC senior unsecured LT BB New Rating BB(EXP) ARQ LLC: Unsecureds Will Get 3.1% of Claims via Quarterly Payments ------------------------------------------------------------------ ARQ, LLC filed with the U.S. Bankruptcy Court for the Central District of California a Subchapter V Plan of Reorganization dated September 17, 2024. ARQ was founded in 2008 by Kunal Hinduja and Juan Salman, two engineers with backgrounds in multidimensional radio frequency technologies, computer science, electrical engineering and information technology. The Debtor specializes in the engineering and installation of solutions to enhance cellular wireless coverage and reliability with a focus on densely populated or interior locations, using technologies such as Distributed Antenna Systems (DAS), Small Cells, and Citizens Broadband Radio Service (CBRS). Debtor's customers include the largest cellular wireless networks, banking institutions, hospitals, and entertainment venues. The COVID-19 pandemic caused the major wireless carriers to restrict their budgets, causing a domino effect in the industry resulting in reduced revenue from 2022 through the filing of the bankruptcy case. The business model transformation to subcontractors reduces liabilities and risk while also reducing potential profit. The reduced risk and increased stability are crucial to Debtor's future operations and plan feasibility. This is an operating plan with only one available source of money coming from Debtor's projected disposable income; in other words, it is a pot plan. Class 3.1 contains unsecured claims that are not entitled to priority under Code Section 507(a). Each allowed general unsecured claim that is not disputed, contingent, or subject to a claim objection or plan treatment stipulation will receive its pro rata share equal to 3.1% of its allowed claim, to be disbursed in quarterly installments, or upon payment in full, whichever occurs sooner. The allowed unsecured claims total $1,922,479.26. This Class is impaired. Class 3.2 consists of the undisputed claims of Sun IT Services, Inc, which is wholly owned by Kunal Hinduja, who is a fifty-five percent shareholder of ARQ, LLC. The general unsecured claim of Sun IT Services, Inc. shall not be entitled to a distribution under the Plan and is subject to all Plan provisions and terms with the exception of the application of any discharge. Debtor will not receive a discharge of any debt owed to Sun IT Services, Inc. Class 3.3 consists of the undisputed claims of CliftonLarsonAllen LLP, which filed Claim 15 for $3,438.75. CliftonLarsonAllen LLP is Debtor's pre-petition Certified Public Accounting to be employed post-petition for similar services. This claim will first be considered as an administrative claim subject to employment under the terms approved by this court under Sections 1195 and 330 of the Bankruptcy Code, with any excess amount owed to be classified and paid pro-rata with Class 3.1 general unsecured claims. The funding of the Plan will be by way of available cash on the Effective Date of the Plan and from projected future disposable income Debtor generates with post-confirmation operations. A full-text copy of the Subchapter V Plan dated September 17, 2024 is available at https://urlcurt.com/u?l=m9H6TY from PacerMonitor.com at no charge. Attorneys for the Debtor: Andy C. Warshaw, Esq. DiMarco Warshaw, APLC P.O. Box 704 San Clemente, CA 92674 Telephone: (949) 345-1455 Facsimile: (949) 417-9412 Email: andy@dimarcowarshaw.com About ARQ LLC ARQ, LLC specializes in the engineering and installation of solutions to enhance wireless coverage and reliability in any location, from office buildings and conference halls to university campuses and sports venues, using technologies such as Distributed Antenna Systems (DAS), Small Cells, and Citizens Broadband Radio Service (CBRS). ARQ filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. C.D. Cal. Case No. 24-11556) on June 20, 2024. In the petition signed by Kunal Hinduja, president, the Debtor disclosed $404,207 in assets and $5,093,247 in liabilities. Judge Scott C. Clarkson oversees the case. Andy C. Warshaw, Esq., at DiMarco Warshaw, APLC serves as the Debtor's counsel. ARSENAL AIC: Fitch Affirms 'BB-' LongTerm IDR, Outlook Stable ------------------------------------------------------------- Fitch Ratings has affirmed Arsenal AIC Parent LLC's Long-Term Issuer Default Rating (IDR) at 'BB-' and senior secured debt rating at 'BB+' with a Recovery Rating of 'RR2'. The Rating Outlook is Stable. The 'BB-' rating reflects the company's competitive position in the aluminum fabricated product markets, diversified customers and end-markets and operational capabilities. The ratings reflect expected benefits from secular growth trends in increasing aluminum content driven by light-weighting and sustainability. These strengths are balanced by the cyclicality of the company's commoditized products, high post-acquisition leverage and uncertainty around the sponsor's medium-term financial policy and capital allocation, including potential M&As and shareholder returns. Key Rating Drivers Weak Near-Term Demand: Fitch expects sluggish demand in most of Arsenal's end-markets to continue through 1H25, but within anticipated cyclical ranges. While supply chain issues have eased, weak consumer sentiment and high financing cost will dampen automotive retail demand. Aircraft manufacturers face operational challenges in ramping up production to pre-pandemic levels. Non-residential construction is faring better than residential. Packaging demand remains strong due to North American supply shortages, but this segment contributes less to overall margins. Pass-throughs Mitigate Commodity Risk: Arsenal's top-line is more volatile than other diversified industrial companies due to aluminum commodity price risks. However, margins are generally protected by passing costs to customers, hedging, and contractual agreements. Arsenal's solid market position as a dual or sole provider to key customers also supports margins. Fitch believes long-term contracts and relationships with major manufacturers like Boeing Company (BBB-/Negative), Airbus SE (A-/Positive) and Ford Motor Company (BBB-/Stable), along with technical product specifications, create barriers to entry. Positive FCF: Fitch forecasts high single-digit EBITDA margins and low single-digit FCF margins for the company. Annual pension-related payments of around $125 million weaken FCF generation. Arsenal's capital intensity is moderate, with capex usually below 3% of revenue on average and moderate working capital requirements. Near-term capex intensity will temporarily exceed 3% of sales due to increased spending on improving asset integrity. Fitch believes higher aluminum content and a focus on operational efficiency will likely support long-term margin improvement. Operational Efficiency Gain on Track: Fitch expects cost-containment measures to support steady to slightly higher near-term EBITDA despite expected lower demand in broad end-markets. Stronger profitability will come from cost containment measures, including better inventory and other input procurement, organizational restructuring and normalized operating expenses. Arsenal's margins were impacted by unscheduled outages in 2022 and higher energy price in Europe in 2023, which are now largely stabilized. In 1H24, Arsenal recorded lower pricing and volume but improved EBITDA margins due to operational efficiency gains and cost pass-throughs. Flexible Operational Capabilities: Except for aerospace, the company benefits from versatile assets that allow production line switching to serve different end-markets and mitigate cyclicality. The company prioritizes higher-margin industrial products like transportation and building products/construction, followed by lower-margin but stable packaging, while maintaining some capacity for spot market demands. In aerospace, long-term contracts provide revenue visibility for designated assets. Secular Tailwinds Support Growth: Fitch believes Arsenal will benefit from secular growth trends in various end-markets, driven by its advantages in light-weighting, strength and recyclability, especially in light of ESG initiatives. Fitch expects higher aluminum content in aircraft and electric vehicles compared to older generations. Aluminum offers a better weight-to-strength ratio and recyclability than steel in buildings and construction. There is increasing demand for aluminum packaging due to a long-term shift in consumer preferences. Notably, over 70% of all aluminum ever produced is still in circulation today. Take-private Transaction: In August 2023, Arsenal, an affiliate of Apollo Global Management, acquired Arconic Corporation. Apollo's Project Artemis aims to grow margins through raw material optimization, cost savings, and productivity improvements. Arsenal plans to allocate capital to improve asset integrity and reduce outages, targeting $140 million in cost savings compared to its 2022 baseline. However, private equity ownership introduces uncertainty regarding medium-term financial policy like capital allocation priorities, including potential M&As and shareholder returns. Derivation Summary Arsenal has weaker profitability than similarly rated peers in the diversified industrials sector. Fitch believes it compares well with Kaiser Aluminum Corp. (BB-/Stable), a manufacturer of semi-fabricated specialty aluminum mill products, in terms of diversification and exposure to cyclical end-markets. Fitch anticipates Arsenal's end-markets will remain diversified, and expects the company's cash flow to gradually improve following several cost-cutting measures, reduced environmental costs and lower pension contributions. Key Assumptions - Sales volume to recover to a normalized level, followed by low-single digit increase in volumes throughout the forecasted period, led by aerospace, transportation, and packaging; - Margins gradually increase and trend toward the high-single digit range over the next few years; - Capex between 2% and 3% of revenue per year; - No dividend; - Pension contributions plus other post-employment benefit (OPEB) payments around $125 million per year over the forecast; - No voluntary gross debt repayment or M&A. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Demonstrated commitment to a financial policy leading to mid-cycle EBITDA leverage sustained below 3.25x; - Improved financial flexibility with EBITDA coverage sustained above 4.0x; - EBITDA margin improvement toward low-double digits due to successful cost saving initiatives or higher asset utilization supported by strong end-market demand; Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Mid-cycle gross EBITDA leverage sustained around 4.0x; - Weakening financial flexibility with EBTIDA/FFO interest coverage sustained below 3.0x or 2.5x respectively; - Contingent liabilities, pension contributions, or weaker utilization result in significant impact to FCF margins reducing financial flexibility. Liquidity and Debt Structure Strong Liquidity: Arsenal's liquidity is expected to be supported by the $1.2 billion ABL facility. Fitch anticipates Arsenal will maintain liquidity between $1.0 billion and $1.5 billion on average over the next several years between cash and its ABL facility, which could be drawn upon during the year to cover short-term working capital fluctuations but would likely be subsequently paid down. Issuer Profile Arsenal (dba Arconic) is a provider of rolled aluminum products, extrusions, and building products within the building and construction, industrial, packaging, ground transportation, and aerospace & defense end-markets. MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Macro and Sector Forecasts data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. ESG Considerations The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Recovery Prior ----------- ------ -------- ----- Arsenal AIC Parent LLC LT IDR BB- Affirmed BB- senior secured LT BB+ Affirmed RR2 BB+ ASPEN ELECTRONICS: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------------- Debtor: Aspen Electronics Manufacturing, Inc. 8975 Marshall Court Suite 100 Westminster, CO 80031 Business Description: Aspen is an electronics manufacturer in Westminster, Colorado. Chapter 11 Petition Date: November 1, 2024 Court: United States Bankruptcy Court District of Colorado Case No.: 24-16558 Judge: Hon. Joseph G Rosania Jr Debtor's Counsel: Jenny M.F. Fujii, Esq. KUTNER BRINEN DICKEY RILEY PC 1660 Lincoln Street, Suite 1720 Denver, CO 80264 Tel: 303-832-2400 Email: jmf@kutnerlaw.com Total Assets: $1,828,289 Total Liabilities: $2,710,940 The petition was signed by Giao Le as president. A copy of the Debtor's list of 20 largest unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/RGFC7EY/Aspen_Electronics_Manufacturing__cobke-24-16558__0004.0.pdf?mcid=tGE4TAMA A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/2P5WOSQ/Aspen_Electronics_Manufacturing__cobke-24-16558__0001.0.pdf?mcid=tGE4TAMA ATTLEBORO REALTY: Hires Riemer & Braunstein LLP as Counsel ---------------------------------------------------------- Attleboro Realty LLC seeks approval from the U.S. Bankruptcy Court for the District of Massachusetts to employ Riemer & Braunstein LLP as bankruptcy counsel. The firm's services include a. advising the Debtor with respect to its powers and debtor-in-possession and the continued management and operation of its business and assets; b. attending meetings and negotiating with representatives of creditors and other parties-in-interest and responding to creditors inquiries; c. advising the Debtor regarding its ability to initiate actions to collect and recover property for the benefit of its estate; d. advising and assisting the Debtor in connection with any potential property disposition; e. assisting the Debtor in reviewing, estimating and resolving claims asserted against the Debtor's estate; f. negotiating and preparing on behalf of the Debtor a feasible plan of reorganization and all related documents; g. preparing necessary motions, applications, responses, orders, reports, and documents necessary for the administration of the estate; and h. performing all other bankruptcy-related legal services for and providing all other legal advice to the Debtor that may be necessary and proper in this proceeding. The firm will charge the Debtor for its legal services on flat fee basis in accordance with its ordinary and customary rates. The firm received from the Debtor a retainer of $25,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Alan L. Braunstein, Esq., a partner at Riemer & Braunstein 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: Alan L. Braunstein, Esq. Riemer & Braunstein LLP 100 Cambridge Street, 22nd Floor Boston, MA 02114 Tel: (617) 880-3516 Fax: (617) 692-3516 Email: abraunstein@riemerlaw.com About Attleboro Realty LLC Attleboro Realty LLC is a limited liability company. Attleboro Realty LLC sought relief under Chapter 11 of the U.S. Bankruptcy (Bankr. D. Mass. Case No. 24-12070) on October 15, 2024. In the petition filed by Paul Simoes, as authorized representative of the Debtor, the Debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $500,000 and $1 million. The Debtor is represented by: Alan L. Braunstein, Esq. RIEMER & BRAUNSTEIN LLP 100 Cambridge Street 22nd Floor Boston, MA 02114 Tel: (617) 523-9000 E-mail: abraunstein@riemerlaw.com AUDACY CAPITAL: Moody's Assigns Caa1 CFR Following Bankr. Emergence ------------------------------------------------------------------- Moody's Ratings assigned a Caa1 Corporate Family Rating and a Caa1-PD Probability of Default Rating to Audacy Capital, LLC (Audacy) following its emergence from Chapter 11. Concurrently, Moody's assigned a B2 rating to the new $25 million senior secured first out exit term loan A due 2028 and Caa2 rating to the new $225 million senior secured second out exit term loan B due 2029. The outlook is positive. The assignment of ratings reflects the substantial debt reduction following Audacy's emergence from Chapter 11 bankruptcy protection on September 30, 2024. The restructuring converted approximately $1.6 billion of funded debt into the equity of the reorganized company, which is now a private company. Following the 82% reduction in debt, Moody's believe the company is better positioned to execute its business strategies to deliver growth in its digital business and margin expansion through ongoing cost reduction initiatives, though significant risks remain including the secular pressures on the radio industry. Moody's expect Audacy to maintain adjusted debt to EBITDA (including Moody's standard lease adjustments) below 4.0x over the next 12 to 18 months. Governance considerations, especially financial strategy and risk management, are a key driver of the rating action, given the evolving financial strategies following Audacy's exit from bankruptcy. RATINGS RATIONALE The Caa1 CFR reflects Audacy's position as the second largest radio broadcaster in the U.S. through operations in 45 markets with diversified format offerings, moderate post-emergence leverage and growing digital businesses. At the same time, the credit is constrained by weak radio advertising demand and uncertainties related to the timing of a recovery as negative secular pressures continue. Following the emergence from bankruptcy, the company plans to further reduce costs and operate with a leaner organization. Audacy's costs reduction efforts include renegotiating sports rights and streaming rights fees and reducing G&A spend. With post-emergence debt of $325 million, Moody's expects adjusted leverage (including Moody's standard lease adjustments) of 3.4x or 2.9x (excluding lease adjustments) in 2024 and 4.1x or 3.3x in 2025, a non-presidential election year. The credit profile reflects the uncertainties in realizing the planned cost initiatives, ongoing restructuring expenses and significant challenges including advertising dollars shifting to digital platforms which have put pressure on traditional radio broadcasting. While Audacy has been focused on growing its digital business, radio broadcasting still accounts for approximately 60% of total revenue. Due to the ongoing restructuring efforts and cost reduction initiatives, Moody's expects free cash flow to be negative in 2024 and 2025. As the company continues to look for opportunities to sell towers sites and land, Moody's expects the proceeds from the asset sales will contribute to liquidity. Moody's expects Audacy to maintain adequate liquidity over the next 12 to 18 months supported by approximately $75 million of cash on the balance sheet following bankruptcy exit and availability of $25 million of the $100 million accounts receivable securitization (AR) facility, which is not rated. Despite the reduced interest burden post-bankruptcy, Moody's anticipates free cash flow to be negative in 2025 due to ongoing one-off expenses related to restructuring and cost initiative programs. The company's uses of cash include 1% amortization ($2.3 million per annum) of the second out term loan that begins Q1 2025, annual interest expense of $25-$30 million, working capital needs and capital expenditure of $50-$60 million. Audacy's debt maturity profile is comprised of $100 million accounts receivable securitization facility that expires in January 2026, the new $25 million senior secured first out exit term loan due 2028, and the new $225 million senior secured second out exit term loan due 2029. The AR facility and term loan contain financial covenants that include the maintenance of a minimum liquidity of $25 million. The credit agreement allows a $50 million super priority revolving credit facility or up to $150 million of an asset-based lending (ABL) facility, inclusive of the existing AR facility. Moody's expects the company to refinance the AR facility well in advance of the maturity date. The B2 rating on the $25 million senior secured first out exit term is two notches above the Caa1 CFR given the instrument's small size, senior most ranking in the capital structure behind the AR facility, and first loss support provided by the second out exit term loan and unsecured claims. The first out term loan is secured on a first priority basis by substantially all assets (excluding the assets securing the securitization facility) and are guaranteed by its domestic subsidiaries excluding the securitization subsidiary. The Caa2 rating on the $225 million senior secured second out exit term loan is one notch below the CFR given the ranking within the capital structure behind the AR facility and the first out exit term loan. The second out term loan is secured on a same priority basis but is subordinated in right of payment to the first out term loan by the same collateral. If Audacy uses the full $50 million of additional capacity allowed in its the exit credit agreement to either expand the ABL facility or add a super priority revolver, there is a possibility for downward pressure on the B2 first out term loan rating. Marketing terms for the new credit facilities include the following: Incremental pari passu debt capacity up to $75 million, plus unlimited amounts subject to 2.0x consolidated net secured leverage ratio. There is no inside maturity sublimit. The credit agreement prohibits the designation of unrestricted subsidiaries, preventing collateral "leakage" to such subsidiaries. The credit agreement provides some limitations on up-tiering transactions, requiring affected lender consent for amendments that subordinate the debt and liens unless such lenders can ratably participate in such priming debt. Amendments authorizing the incurrence of additional debt for the purpose of influencing voting threshold require affected lender consent. Audacy's ESG Credit Impact Score of CIS-5 indicates the rating is lower than it would have been if ESG risks did not exist and the negative impact on the rating is higher than for issuers scored CIS-4. Governance risk is the main driver reflecting the financial policies that led to the bankruptcy and short track record post emergence. The exit resulted in ownership and control being transferred to its former creditors. The positive outlook reflects Moody's expectation that Audacy will stabilize its operating performance post emergence from bankruptcy and realize the savings from the planned cost reduction program. In addition, Moody's expects its adjusted financial leverage (including standard lease adjustments) will remain at or below 4.0x while negative free cash flow generation improves in the next 12 to 18 months. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if Audacy demonstrates positive organic revenue and EBITDA growth on a sustained basis driven by expansion in its digital businesses and is on a path to positive free cash flow generation in 2026 as cost initiatives are realized. The ratings could be downgraded if Audacy faces weakening competitive position or a deterioration in operating performance that further constrains the liquidity profile. A shift to more aggressive financial policies including debt-funded acquisitions or shareholder distributions could also pressure the ratings. Audacy, Inc. (fka Entercom Communications Corp.), headquartered in Philadelphia, PA, is the second largest US radio broadcaster based on revenue. The company was founded in 1968 by Joseph M. Field and is focused on radio broadcasting with radio stations in large and mid-sized markets as well as podcasting, digital initiatives, and live events. In November 2017, the company completed the merger of CBS Radio. As of last twelve months ended June 2024, revenue totaled $1.2 billion. The principal methodology used in these ratings was Media published in June 2021. B.A.S.S. & M. INC: Gets Interim OK for $4MM DIP Loan From Nine Left ------------------------------------------------------------------- B.A.S.S. & M. Inc. and affiliates received interim approval from the U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division to get a loan from Nine Left Capital Master Fund, LP to get through bankruptcy. The interim order, signed by Judge Donald Cassling, approved the companies' $4 million debtor-in-possession (DIP) loan, of which $2 million will be made immediately available to the companies. It also approved the companies' use of cash collateral on an interim basis. The companies require DIP loan to fund their post-petition working capital needs pending the final hearing, which is scheduled for Dec. 3. The DIP loan is due and payable on the earlier of Aug. 31, 2025; the effective date of a confirmed plan of reorganization or liquidation; the occurrence of an event of default; and the date of the closing of a sale of all or substantially all of the companies' assets. The companies were required to comply with certain milestones, including entry of a final order approving the DIP loan within 45 days of the petition date. As adequate protection, the City of Chicago, a secured creditor, will receive replacement liens and superpriority claims, among other things. The City of Chicago possesses judgment liens on hundreds of properties of the companies based on their non-payment of tickets issued by the city for failure to remove weeds and maintain the companies' properties at various locations. As of the petition date, the outstanding amount owed to the city based on the recording of judgment liens and unpaid tickets issued, plus interest, is approximately $8.7 million. The next hearing is scheduled for Dec. 3. About B.A.S.S. & M. Inc. B.A.S.S. & M. Inc. is primarily engaged in renting and leasing real estate properties in Glenview, Ill. B.A.S.S. & M. and its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ill. Lead Case No. 24-15381) on Oct. 16, 2024. At the time of the filing, B.A.S.S. & M. reported $1 million to $10 million in both assets and liabilities. The Debtors tapped Arentfox Schiff, LLP as general bankruptcy counsel; Rock Creek Advisors, LLC as financial advisor; and Stretto, Inc. as claims agent. BACKYARD ENVIRONMENTS: Behrooz Vida Named Subchapter V Trustee -------------------------------------------------------------- The U.S. Trustee for Region 6 appointed Behrooz Vida, Esq., at the Vida Law Firm, PLLC as Subchapter V trustee for Backyard Environments, LLC. Mr. Vida 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. Vida declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Behrooz P. Vida, Esq. The Vida Law Firm, PLLC 3000 Central Drive Bedford, TX 76021 Telephone: (817) 358-9977 Facsimile: (817) 358-9988 Email: behrooz@vidalawfirm.com About Backyard Environments Backyard Environments LLC sought relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. N.D. Texas Case No. 24-43689) on Oct. 10, 2024, with $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Billy Sullivan, managing member, signed the petition. The Debtor is represented by Robert T DeMarco, Esq., at DeMarco Mitchell, PLLC. BACKYARD ENVIRONMENTS: Has Court Permission to Use Cash Collateral ------------------------------------------------------------------ Backyard Environments, LLC received interim approval from the U.S. Bankruptcy Court for the Northern District of Texas to use cash collateral. The interim order authorized the company to use cash collateral in accordance with its budget, which shows total projected expenses of $321,976. The company may exceed any line item in the budget by up to 10%. The secured lenders were granted replacement liens on all of the company's equipment, inventory and accounts whether acquired before or after the petition date as adequate protection for the use of their cash collateral. The replacement liens are exclusive of any avoidance actions available to the company's bankruptcy estate and are equal to the aggregate diminution in value of the respective collateral, if any, that occurs from and after the petition date. About Backyard Environments Backyard Environments, LLC, a company in Roanoke, Texas, sought relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. N.D. Texas Case No. 24-43689) on Oct. 10, 2024, with $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Billy Sullivan, managing member, signed the petition. The Debtor is represented by Robert T DeMarco, Esq., at DeMarco Mitchell, PLLC. BBCK ONE HOLDING: Asset & Litigation Proceeds to Fund Plan ---------------------------------------------------------- BBCK One Holding Corp., filed with the U.S. Bankruptcy Court for the District of New Jersey a Small Business Combined Plan of Liquidation and Disclosure Statement dated September 17, 2024. The Debtor is a corporation of the State of New Jersey with a principal place of business at 2 New Main Street, East Orange, New Jersey. The Debtor was formed in February 2017 for the purpose of creating a business entity that would become a member in West Coast II. In March, 2017, the Debtor paid West Coast Management II, LLC $3,200,000 for its capital contribution and twenty percent stockholder interest in West Coast II (the "Estate Assets"). After allegations that Howard Helfant, individually and as the Managing Member of Tri-Star Premier Holdings, LLC grossly mismanaged and stole monies from West Coast II, the Debtor was informed by Louis Campisano, that West Cost II stopped operations and in or about 2018, $550,000 was returned to the Debtor. What the Debtor came to learn was that Campisano, individually, through S&F Holdings, LLC, an entity owned by Campisano and his wife, Jeannette Frankenberg, Esq. ("Frankenberg"), as well as her law firm, Stern, Lavinthal & Frankenberg, LLC ("SLF"), received significantly more monies from Helfant and/or West Coast II which were to be paid to the Debtor, but instead were used for Campisano's and Frankenberg's own personal gain and benefit, individually and through successor entities owned and/or controlled by them. Years of litigation ensued in various forums (collectively, the "Lawsuits"). On May 28, 2024, the Debtor filed an Adversary Complaint against West Coast Management, LLC, West Coast Management I, LLC, West Coast II, West Coast Management II (Revival), LLC, West Coast Management III, LLC, West Coast Management IV, LLC, West Coast Management V, LLC, Tri-Star, Charles L. Jaffe, Esq., Charles L. Jaffe, P.A., Frankenberg, SLF, Campisano, S&F, Mitchell Abdallah, Kure I Farms, South Sun Farms, LLC, South Sun Ranch, LLC, Pratt Mountain Farms, LLC and Grocanna (collectively, "Defendants") at Adv. Pro. No. 24- 1437 (JKS), seeking to recover the Estate Assets and for related relief (the "Adversary Proceeding"). The Debtor does not have any secured creditors. The only creditor holding a general unsecured priority claim pursuant to Section 507(a)(8) is the State of New Jersey, Division of Taxation, and totals $500.00. The priority claim will be paid in full upon confirmation of the Plan. Class 2 consists of General Unsecured Claims. This Class shall be paid pro rata share of any amounts awarded and recovered by the Debtor in the Adversary Proceeding and/or Lawsuits on the Effective Date. Total amount of claims shall be approximately $412,909.70 (this amount is still being determined since certain claims are subject to objection). This Class is impaired. The Plan provides for all the Debtor's assets to revest in the Debtor and the Shareholders shall retain their interests. The Plan will be funded by the Debtor's recovery of the Estate Assets, whenever the issues are fully adjudicated in the Adversary Proceeding and/or Lawsuits and damages are recovered by the Debtor. There shall be no prepayment penalty for any priority, administrative or Class of claims. The Debtor believes its litigation in the Adversary Proceeding and/or Lawsuits will be successful and that it will have enough cash on hand on the Effective Date of the Plan to pay all the Claims and expenses that are entitled to be paid on that date. The Debtor anticipates paying administrative and priority claims in full upon confirmation of the Plan and make a pro rata or full distribution to unsecured creditors upon adjudication and recovery of damages in the Adversary Proceeding and/or Lawsuits. A full-text copy of the Combined Liquidating Plan and Disclosure Statement dated September 17, 2024 is available at https://urlcurt.com/u?l=kFh9ew from PacerMonitor.com at no charge. Counsel to the Debtor: McMANIMON, SCOTLAND & BAUMANN, LLC 75 Livingston Avenue, Suite 201 Roseland, NJ 07068 (973) 622-1800 Anthony Sodono, III, Esq. Michele M. Dudas, Esq. Sari B. Placona, Esq. Email: (asodono@msbnj.com) (mdudas@msbnj.com) (splacona@msbnj.com) About BBCK One Holding Corp. BBCK One Holding Corp. was formed in February 2017 for the purpose of creating a business entity that would become a member in West Coast II. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.N.J. Case No. 24-13913) on April 17, 2024. In the petition signed by John Cancelliere, president, the Debtor disclosed up to $10 million in assets and up to $500,000 in liabilities. The Debtor tapped McManimon, Scotland & Baumann, LLC as counsel and Vestcorp, LLC as accountant. BEECHAM GROUP: Case Summary & 17 Unsecured Creditors ---------------------------------------------------- Debtor: The Beecham Group LLC Dash of Glitter 750 Perry Ln Thorndale, TX 76577-5229 Business Description: The Debtor manufactures clothing and accessories for young girls. Chapter 11 Petition Date: November 1, 2024 Court: United States Bankruptcy Court Western District of Texas Case No.: 24-11385 Judge: Hon. Shad Robinson Debtor's Counsel: Robert C. Lane, Esq. THE LANE LAW FIRM 6200 Savoy Dr Ste 1150 Houston TX 77036-3369 Tel: (713) 595-8200 Fax: (713) 595-8201 Email: notification@lanelaw.com Total Assets: $54,222 Total Liabilities: $1,215,210 The petition was signed by Brittany Beecham as owner. A full-text copy of the petition containing, among other items, a list of the Debtor's 17 unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/QYGPQJI/The_Beecham_Group_LLC__txwbke-24-11385__0001.0.pdf?mcid=tGE4TAMA BIG RIVER: Seeks to Hire Lane Law Firm PLLC as Counsel ------------------------------------------------------ Big River Contractors LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Texas to employ Lane Law Firm, PLLC as counsel. The firm will provide these services: a. assist, advise and represent the Debtor relative to the administration of the chapter 11 case; b. assist, advise and represent the Debtor in analyzing the Debtor's assets and liabilities, investigating the extent and validity of lien and claims, and participating in and reviewing any proposed asset sales or dispositions; c. attend meetings and negotiate with the representatives of the secured creditors; d. assist the Debtor in the preparation, analysis and negotiation of any plan of reorganization and disclosure statement accompanying any plan of reorganization; e. appear, as appropriate, before this Court, the Appellate Courts, and other Courts in which matters may be heard and to protect the interests of Debtor before said Courts and the United States Trustee; and f. perform all other necessary legal services in these cases. The firm will be paid at these rates: Robert C. Lane, Partner $595 per hour Joshua Gordon, $550 per hour Associate Attorneys $425 to $500 per hour Bankruptcy paralegals/ Legal Assistants $150 to $250 per hour Lane Law Firm received payment for its retainer in the amount of $25,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Robert C. Lane, Esq. a partner at Lane Law Firm, 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: 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 Big River Contractors LLC Big River Contractors LLC offers oil field maintenance and repair services. Big River Contractors LLC sought relief under Subchapter V of Chapter 11 of the U.S. (Bankr. W.D. Tex. Case No. 24-52028) on October 10, 2024. In the petition filed by Jeffery Green, as president, the Debtor reports total assets of $940,619 and total debts of $1,838,548. Bankruptcy Judge Craig A. Gargotta handles the case. The Debtor is represented by: Robert C. Lane, Esq. THE LANE LAW FIRM 6200 Savoy Dr Ste 1150 Houston TX 77036-3369 Tel: (713) 595-8200 E-mail: notifications@lanelaw.com BLACK WOLF HOLDINGS: Gets Interim OK to Use Cash Collateral ----------------------------------------------------------- Black Wolf Holdings, LLC received interim approval from the U.S. Bankruptcy Court for the Middle District of Florida to use its secured creditors' cash collateral. The interim order authorized the company to use cash collateral to pay the expenses set forth in its budget, which total $125,164, plus an amount not to exceed 10% for each line item. Secured creditors were granted a perfected post-petition lien against cash collateral to the same extent and with the same validity and priority as their pre-bankruptcy lien. Black Wolf was ordered to take actions to protect the interests of Triad Financial Services, Inc., including paying monthly interest, fees and insurance charges; repairing damaged units; and providing updates on the status of closings on units that Triad financed. About Black Wolf Holdings Black Wolf Holdings, LLC sells modular, and manufactured homes and home sites to customers in South Florida and owns various lots and home sites across Southwest part of the state as well as in Mississippi. The Debtor filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-01313) on August 30, 2024, with $1 million to $10 million in both assets and liabilities. Amy Denton Mayer of Stichter Riedel Blain & Postler, P.A. serves as Subchapter V trustee. Judge Caryl E. Delano presides over the case. Justin M. Luna, Esq., at Latham Luna Eden & Beaudine, LLP represents the Debtor as legal counsel. BLACKRIDGE OPERATING: Unsecureds Will Get 2% to 4% over 60 Months ----------------------------------------------------------------- Blackridge Operating LLC filed with the U.S. Bankruptcy Court for the Eastern District of Texas a Subchapter V Plan of Reorganization dated September 17, 2024. The Debtor is a freight transportation company based in Rockwall, Texas. The company provides regional, long-haul, and coast-to coast transportation for general goods. Debtor is 100% owned by Austin Taylor Langton. In December 2017, Mr. Langton began to operate Debtor. As of the date hereof, Debtor presently maintains a fleet of 60 trucks and trailers and contracts with additional third parties to support its customer base. There were various factors and circumstances that led to Debtor’s decision to file a Chapter 11 bankruptcy proceeding. Most significantly, Debtor needed to reduce its debt load and contractual obligations to pay such debt. Despite best efforts to reach out of court resolutions, Debtor was unable to come to terms with all of its creditors. Given mounting creditor pressure, and lawsuits, Debtor filed the Bankruptcy Case. The Debtor intends to continue to operate as a going concern. Debtor will fund the Plan through the continuation of its operations through its downsized Company Fleet and its recovery on Avoidance Claims, including those Avoidance Claims that it has resolved through this Plan. Debtor seeks to restructure its debts, receive favorable concessions from certain Secured Claims, and address its General Unsecured Claims through this Plan in order to improve its cash flow and streamline its ability to make payments under this Plan. The operation of Debtor's business can (i) support its payments to the Holders of Allowed Priority Tax Claims and Allowed Administrative Expense Claims; (ii) meet the operating expenses of the business; (iii) pay Allowed Secured Claims over time; and (iv) pay Allowed General Unsecured Claims pursuant the terms of this Plan. Debtor submits that it will generate enough cash over the life of the Plan to make the required Plan payments and operate Debtor's business. Class 10 consists of General Unsecured Claims. Class 10 is Impaired under the Plan. Following the Effective Date, Holders of Allowed General Unsecured Claims shall receive a Pro Rata share of Debtor's Disposable Income. Holders of Allowed General Unsecured Claims will receive a Pro-Rata share of sixty consecutive monthly payments of $6,000.00 for total payments of $360,000.00. Such payments shall commence thirty days after the Effective Date. Holders of Allowed General Unsecured Claims will receive a Pro Rata share of 5% of the net cash balance, if any, held by Reorganized Debtor on the Effective Date. Such payment will be paid on the last Business Day of the month in which the Effective Date occurs. There is no guaranty there will be a net cash balance that will result in such payment. The Debtor projects that Holders of Allowed General Unsecured Claims will yield a recovery of 2% to 4% on their Allowed Claims pursuant the projected Disposable Income. Payments shall be distributed by Reorganized Debtor directly to the Holders of Allowed General Unsecured Claims. Class 11 consists of Equity Security Interests. Austin Taylor Langton owns 100% of the Interests of Debtor. On the Effective Date, the Holder of the Equity Security Interests in Debtor shall retain such Interests following the Effective Date. Following the Effective Date, Reorganized Debtor will continue and operate the business with its downsized Company Fleet and with the operational and financial improvements implemented. Through Reorganized Debtor's continued operations, Reorganized Debtor will meet its obligations to creditors under this Plan. A full-text copy of the Subchapter V Plan dated September 17, 2024 is available at https://urlcurt.com/u?l=QTDI21 from PacerMonitor.com at no charge. Attorney for the Debtor: C. Daniel Herrin, Esq. Herrin Law, PLLC 12001 N. Central Expy., Suite 920 Dallas, TX 75243 Telephone: (469) 607-8551 Facsimile: (214) 722-0271 Email: ecf@herrinlaw.com About Blackridge Operating LLC Blackridge Operating LLC is a freight transportation company based in Rockwall, Texas. The Debtor filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Tex. Case No. 24-41419) on June 17, 2024, listing $500,001 to $1 million in both assets and liabilities. Judge Brenda T Rhoades presides over the case. Daniel Herrin, Esq. at Herrin Law, PLLC represents the Debtor as counsel. BLUE DOG IN BOCA: Court Approves Use of Cash Collateral ------------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Florida, West Palm Beach Division granted The Blue Dog in Boca, Inc. authorization to use cash collateral on an interim basis. The interim order authorized the company to use its cash collateral in the regular course of its business affairs, subject to a 10% variance limit on any particular line-item expense, unless otherwise agreed upon by the parties or ordered by the court. The company is not authorized to pay wages, compensation or other remuneration to any insider or officer without a separate court order. Creditors, including Square Financial Services, Inc., KYF Global Partners, LLC, AAA Alpha Advisors Alliance, LLC, and Sysco Southeast Florida, LLC, were granted replacement liens to the same extent as any pre-bankruptcy lien. The next hearing is scheduled for Nov. 5. About The Blue Dog in Boca The Blue Dog in Boca, Inc. is a business located in Boca Raton, Fla., that operates in the hospitality sector. Known for its vibrant atmosphere, the establishment likely serves food and beverages, catering to both locals and tourists in the area. It positions itself as a community-oriented venue, providing entertainment and a social gathering space. Blue Dog in Boca sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 24-20655) with $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities. Judge Mindy A. Mora oversees the case. The Debtor is represented by Rachamin Cohen, Esq. BLUE DOG IN BOCA: Tarek Kiem Named Subchapter V Trustee ------------------------------------------------------- The U.S. Trustee for Region 21 appointed Tarek Kiem, Esq., at Kiem Law, PLLC as Subchapter V trustee for The Blue Dog In Boca Inc. Mr. Kiem will be paid an hourly fee of $300 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Kiem declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Tarek Kiem, Esq. Kiem Law, PLLC 8461 Lake Worth Road, Suite 114 Lake Worth, FL 33467 Tel: (561) 600-0406 Email: tarek@kiemlaw.com About The Blue Dog in Boca The Blue Dog in Boca, Inc. is a business located in Boca Raton, Fla., that operates in the hospitality sector. Known for its vibrant atmosphere, the establishment likely serves food and beverages, catering to both locals and tourists in the area. It positions itself as a community-oriented venue, providing entertainment and a social gathering space. Blue Dog in Boca sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 24-20655) with $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities. Judge Mindy A. Mora oversees the case. BROWN GENERAL: Hires Baker Firm PLLC as Counsel ----------------------------------------------- Brown General Contractors, LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Kentucky to employ Baker Firm, PLLC as counsel. The firm will provide these services: a. general legal advice and representation throughout this proceeding; b. representation at the 341(a) Meeting of Creditors; c. advice and representation regarding all interactions with the United States Trustee, or any appointed Subchapter V Trustee; d. advice and representation regarding the sale, recovery, or surrender of any assets of DIP, if any; e. work related to the proposal, confirmation and substantial consummation of a Chapter 11 plan, or other final disposition of the case; f. work incidental to any of the above; and g. adversary proceedings related deemed necessary by the Debtor, DIP, and Counsel for its reorganization. The firm will be paid at these rates: Michael B. Baker $350 per hour Non-Attorney Staff $100 per hour. Baker Firm, PLLC received a retainer in the amount of $16,738. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Michael B. Baker, a partner at Baker Firm, 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: Michael B. Baker, Esq. The Baker Firm, PLLC 301 W. Pike Street Covington, KY 41011 Tel: (859) 647-7777 Fax: (859) 647-7799 Email: mbaker@bakerlawky.com About Brown General Contractors Brown General Contractors LLC is the owner of real property located at 255 Coleman Ln, Gerogetown Ky valued at $959,000. Brown General Contractors LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Ky. Case No. 24-51313) on October 15, 2024. In the petition filed by Ryan Brown, as member, the Debtor reports total assets of $1,879,668 and total liabilities of $2,628,660. The Debtor is represented by: Michael B. Baker, Esq. THE BAKER FIRM, PLLC 301 W. Pike St. Covington, KY 41011 Tel: (859) 647-7777 Fax: (859) 657-7124 Email: mbaker@bakerlawky.com BWB CONTROLS: BWB Holdings Unsecured Claims Will Get 2.40% ---------------------------------------------------------- BWB Controls, Inc., and BWB Houma Holdings, LLC filed with the U.S. Bankruptcy Court for the Eastern District of Louisiana a Joint Plan of Reorganization for Small Business. Established in 1971, BWB Controls, Inc. is a privately owned and operated manufacturing facility, servicing the oil and gas industry. BWB Controls specializes in the design and manufacturing of high quality, pneumatically, hydraulically, and electrically operated surface safety components. BWB Houma Holdings, LLC owns the property located at 2193 Denley Road, Houma, Louisiana 70363, which is the operating location of BWB Controls. At the Petition Date, BWB Controls' agreement is such that BWB Controls pays the secured indebtedness of MMB Investments IV, LLC against the operating location. This Plan is proposed incorporating the terms of the attached plan sponsor agreement. The Plan Sponsor shall provide an affirmative equity funding commitment for a 100% for the purchase of the equity of the BWB Controls in an amount of $750,000 (the "Plan Funding Amount") on the Effective Date. This Plan proposes to pay unsecured creditors of BWB Holdings its projected disposable income of $39,160.00 commencing six months after the Effective Date to be paid over three years, which is greater than the liquidation value. This Plan proposes to pay unsecured creditors of BWB Controls its projected disposable income of $386,540.24 commencing six months after the Effective Date to be paid over three years, which is greater than the liquidation value. The financial projections indicate that BWB Controls, after payments for expenditures necessary for the continuation, preservation and operations, unclassified claims and secured claims, will have projected disposable income for three years in the total amount of $386,540.24 for the payment term as indicated in Section 1191(c)(2) of the Bankruptcy Code in the amounts indicated therein. The financial projections indicate that BWB Holdings, after payments for expenditures necessary for the continuation, preservation and operations, unclassified claims and secured claims, will have projected disposable income for three years in the total amount of $39,160.00 for the payment term as indicated in Section 1191(c)(2) of the Bankruptcy Code in the amounts indicated therein. The anticipated Effective Date is October 31, 2024. Payments will commence pursuant to the terms of this Plan. The Plan proposes that BWB Controls and BWB Holdings will pay holders of Allowed Claims their Projected Disposable Income which includes sums from future services, future contracts, and factoring its receivables. Class 3 consists of Allowed General Unsecured Claims against BWB Holdings. Twelve Quarterly payments commencing at the end of the first full quarter, that is six full months following the Effective Date for a total of three years of payments. Estimate distribution is 2.40% for Class 3. The holders of Class 3 are Impaired. Class 4 consists of Allowed General Unsecured Claims allowed under Section 502 of the Bankruptcy Code in an amount equal to or less than $2,500.00 or those holders of Allowed General Unsecured Claims that agreed to reduce their claim amount to $2,500.00. Pro rata payments out of a fund of $15,000.00 to be paid in six equal payments commencing on the first full quarter following the Effective Date. Estimated pro rata distribution is 56% for Class 4 exclusive of claim holders that elect treatment under Class 4. The rate of distribution may be altered based on the holders of allowed claims that elect Class 4 treatment. Holders of Class 4 Allowed General Unsecured Claims or those who elected Class 5 treatment are impaired and are entitled to vote to accept or reject the Plan. Class 5 consists of Allowed General Unsecured Claims – BWB Holdings. Twelve Quarterly payments commencing at the end of the first full quarter that is six full months following the Effective Date for a total of three years of payments. Estimate distribution 23.9% to 21.5% for Class 5. The rate of distribution may be altered based on the results of any objections filed that are sustained, and any holders of Allowed General Unsecured Claims that elect treatment as Class 4. The holders of Class 5 are Impaired. Class 6 equity security holders, subject to the Plan Sponsor Agreement, will receive no distribution under the Plan. The continued management of BWB Holdings and BWB Controls includes a board of directors with members from the Plan Sponsor and Mr. Edward LaBorde. Mr. LaBorde will continue as the Manager of BWB Holdings and the President and a Director of BWB Controls subject to an employment agreement to be negotiated with the Plan Sponsor, for an annual salary of $150,000.00 from BWB Controls, with such amount already taken into consideration in BWB Controls' Plan projections. For the term of the Plan, the Plan Sponsor will provide the funds to compensate the Board of Directors and the President. It is anticipated that BWB Holdings will fund its plan payments from disposable income earned from the rental of its real property to BWB Controls. The payments include sums for property taxes, any insurance necessary for BWB Holdings to acquire, accounting fees, and for any maintenance or capital improvements satisfied by BWB Controls and is taken into consideration in BWB Controls' Plan projections. It is anticipated that BWB Controls will fund its plan payments from disposable income earned from its operations. It is anticipated that the funds received from the Plan Sponsor will be used to provide management, liquidity and support. A full-text copy of the Joint Plan dated September 18, 2024 is available at https://urlcurt.com/u?l=e08GJz from PacerMonitor.com at no charge. About BWB Controls BWB Controls Inc. specializes in the design and manufacturing of pneumatically, hydraulically, and electrically operated surface safety components. BWB Controls offers machining, milling, assembly and testing services to the upstream, midstream and downstream oil and gas industries. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. La. Case No. 24-10029) on January 9, 2024, with $1 million to $10 million in assets and liabilities. Edward A. LaBorde, president/CEO, signed the petition. Judge Meredith S. Grabill presides over the case. Douglas S. Draper, Esq., at HELLER, DRAPER & HORN, LLC, is the Debtor's legal counsel. CAMBRIDGE RIVERVIEW: Court OKs Limited Use of Cash Collateral ------------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Pennsylvania granted the motion filed by Wilmington Savings Fund Society, FSB to restrict the use of its cash collateral by Cambridge Riverview, LLC and its affiliates. Wilmington has a first priority security interest in substantially all of the companies' assets, including proceeds, profits and rents received by the companies, which constitute its cash collateral. The order, signed by Judge Mark Conway, authorized the companies to use the funds solely for the purpose of preserving the assets, which constitute Wilmington's collateral, and to relocate the remaining residents of the Corry facility. The companies must comply with the budget, which shows total projected expenses of $47,612.41. The budget prioritizes the payment of fees to the Office of the U.S. Trustee, expenses related to relocating residents, and reimbursement to PLC Cambridge Management, LLC for wages and salaries of employees working at the Corry facility. The companies were ordered to provide adequate protection to Wilmington in the form of first priority replacement liens in all real and personal property of the companies and a superpriority administrative expense claim. About Cambridge Riverview Cambridge Riverview, LLC filed voluntary Chapter 11 petition (Bankr. M.D. Pa. Case No. 24-02216) on September 6, 2024, with up to $50,000 in both assets and liabilities. Judge Mark J. Conway presides over the case. Ronald V. Santora, Esq., at Bresset and Santora represents the Debtor as legal counsel. CANDE HOFFMAN: Janice Seyedin Named Subchapter V Trustee -------------------------------------------------------- The U.S. Trustee for Region 11 appointed Janice Seyedin as Subchapter V trustee for CandE Hoffman Holdings, Inc. Ms. Seyedin will be paid an hourly fee of $295 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. Seyedin declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Janice Seyedin, MBA, SPHR Ken Novak & Associates, Inc. 3356 Lake Knoll Dr. Northbrook, IL 60062 Phone: 847-414-6430 Email: jseyedin@kennovakinc.com About CandE Hoffman Holdings CandE Hoffman Holdings Inc. -- https://www.candehoffman.org/ -- is a franchise owner of hair salons. CandE Hoffman Holdings filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. E.D. Wis. Case No. 24-25415) on October 11, 2024. Eric J. Hoffman, president, signed the petition. The Debtor reported total assets of $710,919 and total liabilities of $1,090,460 as of August 21, 2024. Judge Beth E. Hanan handles the case. The Debtor is represented by Jerome R. Kerkman, Esq., at Kerkman & Dunn. CAPITAL COMMERCIAL: Case Summary & Four Unsecured Creditors ----------------------------------------------------------- Debtor: Capital Commercial Holdings LLC 10287 E. Diamond Dr. Scottsdale, AZ 85255 Business Description: The Debtor is the fee simple owner of a vacant land located in San Juan Capistrano, having a current value of $1.6 million. Chapter 11 Petition Date: October 30, 2024 Court: United States Bankruptcy Court District of Arizona Case No.: 24-09234 Judge: Hon. Eddward P Ballinger Jr. Debtor's Counsel: Joseph G. Urtuzuastegui III, Esq. REI LAW FIRM 4535 E McKellips Rd STE 1093 Mesa, AZ 85213 Tel: 480-505-7044 Email: joe@winsorlaw.com Total Assets: $1,600,000 Total Liabilities: $773,885 The petition was signed by John Wright as manager. A full-text copy of the petition containing, among other items, a list of the Debtor's four unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/OPT7FPA/CAPITAL_COMMERCIAL_HOLDINGS_LLC__azbke-24-09234__0001.0.pdf?mcid=tGE4TAMA CARVANA CO: Posts $148 Million Net Income in Third Quarter ---------------------------------------------------------- Carvana Co. filed with the Securities and Exchange Commission its Quarterly Report on Form 10-Q disclosing net income of $148 million on $3.65 billion of net sales and operating revenues for the three months ended Sept. 30, 2024, compared to net income of $741 million on $2.77 billion of net sales and operating revenues for the three months ended Sept. 30, 2023. For the nine months ended Sept. 30, 2024, the Company reported net income of $245 million on $10.13 billion of net sales and operating revenues, compared to net income of $350 million on $8.35 billion of net sales and operating revenues for the same period in 2023. As of Sept. 30, 2024, the Company had $7.37 billion in total assets, $7.08 billion in total liabilities, and $286 million in total stockholders' equity. Carvana said, "The Company has incurred losses in prior periods and may incur additional losses in the future as it continues to focus on driving profitability through operating efficiency. Historically, the Company's capital and liquidity needs have been primarily satisfied through its debt and equity financings, operating cash flows, and short-term revolving facilities. During the three months ended September 30, 2024, the Company repurchased and cancelled an additional $100 million of principal amount of 2028 Senior Secured Notes ... and extended one of its short-term revolving credit facilities through August 2025. Management believes that current working capital, cash flows from operations, and expected continued or new financing arrangements will be sufficient to fund operations for at least one year from the financial statement issuance date." Management Comments "Carvana's exceptional results underscore our position as the fastest-growing and most profitable automotive retailer," said Ernie Garcia, Carvana founder and CEO. "Our progress in Q3 further highlights the strength of our vertically integrated business model and also begins to demonstrate the power of our unique infrastructure, including the ADESA network. As we integrate our operations and tap our national footprint, we are not only driving efficient growth, but also improving customer experiences, reducing costs, and strengthening our wholesale platform. With just 1% share in an enormous market, significant capacity to support growth, and a business that generates positive feedback as it scales, we are just getting started." A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/0001690820/000169082024000345/cvna-20240930.htm About Carvana (NYSE: CVNA) Carvana's mission is to change the way people buy and sell cars. Over the past decade, Carvana has revolutionized automotive retail and delighted millions of customers with an offering that is fun, fast, and fair. With Carvana, customers can choose from tens of thousands of vehicles, get financing, trade-in, and complete a purchase entirely online with the convenience of home delivery or local pick up in over 300 U.S. markets. * * * As reported by the TCR on Sept. 17, 2024, Moody's Ratings upgraded Carvana Co.'s corporate family rating to Caa1 from Caa3 and probability of default rating to Caa1-PD from Caa3-PD. Moody's said the upgrade and positive outlook reflects Carvana's better operating performance which has resulted in a material improvement in leverage. CENTERPOINT ENERGY: Fitch Gives 'BB+' Rating on Jr. Sub. Notes -------------------------------------------------------------- Fitch Ratings has assigned a 'BB+' instrument rating to CenterPoint Energy, Inc.'s (CNP) fixed-to-fixed rate reset junior subordinated notes (JSN) due 2055. The notes are CNP's unsecured obligations and will rank junior and subordinate in right of payment to the prior payment in full of CNP's existing and future senior indebtedness. Proceeds from the debt offering will be used for general corporate purposes, including repayment of outstanding commercial paper. The JSNs qualify under Fitch criteria for 50% equity credit. Key Rating Drivers Credit Metrics Pressured: CNP subsidiary CenterPoint Energy Houston Electric, LLC (CEHE; BBB+/Negative) was significantly impacted by 2024 storm activity in Texas, with costs totaling about $1.6 billion. Fitch expects storm costs will be fully recovered but CNP's credit metrics will be pressured with 2024 FFO leverage expected to exceed its 6.0x downgrade threshold. CNP's ratings could be downgraded if adverse outcomes cause leverage to exceed Fitch's downgrade sensitivity of 6.0x on a sustained basis. Political Pressure Looms Large: The Negative Rating Outlook for CNP considers political and regulatory challenges in the wake of CEHE's storm response to Hurricane Beryl and its potential implications for the utility's regulatory compact in the state. Several investigations are underway into the company's preparation and response to Hurricane Beryl. Adverse outcomes in these proceedings could lead to credit rating downgrades. Credit Supportive Financing Expected: CNP management is committed to its current creditworthiness and plans to fund storm costs with a balanced mix of debt and equity designed to support its current ratings. Management intends to support its large projected investment plan with efficient equity issuance as appropriate. The instant hybrid issuance will be CNP's second round this of hybrid financing year. CNP also issued $500 million of common equity earlier in 2024. Diverse Utility Operating Base: CNP's utility focused strategy is comprised of investment in a diverse portfolio of natural gas local distribution utilities in several midwestern states and Texas, as well as its Houston-based electric transmission and distribution (T&D) and integrated Indiana electric utility operations. The company's relatively low risk business model is a key credit positive, offset by a noticeable rise in catastrophic storm activity at CNP subsidiary CEHE in recent years. Credit Supportive Regulatory Mechanisms: Texas has authorized tariff bonds and other regulatory mechanisms to facilitate timely storm cost recovery, a significant credit positive. Prospective recovery of 2024 storm costs and the impact of CNP's Hurricane Beryl response on the regulatory compact in Texas will be key determinants in resolving the Negative Outlook. Rate Case Withdrawal Request: CEHE has filed a request with the administrative law judge to withdraw its base rate increase application with the Public Utility Commission of Texas (PUCT) in order to focus on improving system resilience and storm response following Hurricane Beryl. A PUCT decision regarding CNP's motion to withdraw is expected in November. CNP plans to refile its base rate case in June 2025. TX Electric Rate Case: CEHE filed its Texas electric base rate case with PUCT in March 2024 seeking a $60 million increase based on a 10.4% ROE, an equity ratio of 44.9% and a 2023 test year. In its filing, CEHE requests an equity ratio increase to 44.9% from its current 42.5% authorized equity ratio, which is significantly lower than peer utilities operating in other states. CEHE's current authorized ROE is a below industry average 9.4%. Texas Resiliency Efforts Update: CNP's resiliency efforts continue. On Aug. 28, 2024, CNP announced the completion of core resiliency actions in Phase I of its Greater Houston Resiliency Initiative (GHRI), which focused on vegetation management and pole replacement. A second phase of GHRI will include an additional series of grid strengthening measures and efforts to improve communication and cooperation with communities and customers. CNP's Phase II investment is estimated at $550 million. System Resilience Plan: CNP plans to file its revised system resilience plan (SRP) before the end of January 2025. The revised plan's 2026-2028 investment is expected to be $5 billion, around double the amount included in its withdrawn RSP filing. CNP's initial SRP was filed in April 2024 and contemplated $2.2 billion to $2.7 billion of electric system hardening. Indiana Settlement Reached: In May 2024, CNP filed a non-unanimous settlement agreement with the Indiana Utility Regulatory Commission (IURC). If approved by the IURC, the settlement agreement would increase electric rates $80 million in two phases effective around March 2025 and March 2026. The rate increase is based on a 9.8% authorized ROE. Fitch believes the proposed settlement, if approved by the IURC, would be a constructive development from a credit perspective. A commission decision is expected early next year. Minnesota Rate Case Pending: On Nov. 1, 2023, CERC filed a base rate case with the Minnesota Public Utilities Commission seeking an $84.6 million rate increase in 2024 and a $51.8 million rate increase in 2025. The Minnesota rate increase request is based on a 10.3% ROE and forward looking 2024 and 2025 test years. The Minnesota Public Utilities Commission authorized an interim rate increase of approximately $69 million effective Jan. 1, 2024. Parent-Subsidiary Rating Linkage: Fitch has determined there is parent subsidiary rating linkage between CNP and its rated utility subsidiaries, CEHE and CERC. Fitch determines CNP's standalone credit profile (SCP) based on consolidated metrics. In Fitch's analysis, CEHE and CERC have stronger SCPs than their corporate parent and Fitch has utilized the strong subsidiary path under Fitch's "Parent-Subsidiary Rating Linkage Criteria." Emphasis is placed on the subsidiaries' status as regulated utilities. Legal ring fencing is considered porous, given the general protections afforded by rate regulation. Access and control are porous. CNP manages the treasury function for its subsidiary utilities and is the sole source of equity; however, CEHE and CERC issue their own short- and long-term debt. Due to these considerations, Fitch limits the separation between CNP and its subsidiaries' IDRs to two notches. Derivation Summary CNP is well-positioned compared to peers NiSource Inc. (NiSource; BBB/Stable) and Sempra (BBB+/Stable). CNP and NiSource's utility assets are more diversified in comparison with Sempra. CNP is smaller than Sempra and larger than NiSource as measured by EBITDA. CNP's, NiSource's and Sempra's 2023 EBITDA totaled $3 billion, $2.2 billion and $5.8 billion, respectively. Both CNP and NI are multi-state utilities with gas and electric utility operations across parts of six states. Sempra operates gas distribution and electric utilities in California, owns electric transmission and distribution utilities in Texas and owns significant nonutility, energy sector investments. More than 95% of CNP's EBITDA is derived from regulated utilities. Regulated utilities provide virtually all of NiSource's consolidated EBITDA and around 80% of Sempra's EBITDA is from regulated operations. CNP's utilities are more geographically diverse and, in Fitch's opinion, less exposed to aggressive clean energy policies compared with Sempra. Fitch believes wildfire risk is more pronounced for Sempra than CNP. Both Sempra's and CNP's Texas-based utilities are exposed to hurricane and other extreme weather events. CNP's Texas service territory enjoys more robust customer growth compared to NiSource's Indiana-based electric operations. CNP and NiSource's gas distribution assets are similarly diversified across mid-western states with generally supportive rate regulation and manageable environmental policy goals. CNP's FFO leverage is estimated by Fitch at 6.0x and 5.8x in 2025 and 2026, respectively, weaker than NI's and Sempra's 2024-2026 average of 5.6x and 4.5x. Key Assumptions - Annual customer growth of approximately 1% for CERC and 2% for CEHE; - Full recovery of 2024 storm costs in rates via securitization and other rate recovery mechanisms; - Continued supportive rate regulation. RATING SENSITIVITIES Factors That Could, Individually or Collectively, Lead To A Stable Outlook - Timely recovery of Texas storm costs, credit supportive rate regulation in Texas and balanced issuance of debt and equity. Factors That Could, Individually or Collectively, Lead To Positive Rating Action/Upgrade - FFO leverage below 5x on a sustained basis and continued supportive rate regulation. Factors That Could, Individually or Collectively, Lead To Negative Rating Action/Downgrade - FFO leverage above 6x on a sustained basis; - Significant, unexpected deterioration in CNP's regulatory environment. Liquidity and Debt Structure Adequate Liquidity: On a consolidated basis, CNP and its subsidiaries have access to up to $4 billion of credit facilities, including a $2.4 billion facility at the parent. CNP subsidiaries CenterPoint Energy Resources Corp. (CERC), CenterPoint Energy Houston Electric (CEHE) and SIGECO, through separate credit facilities, have the ability to borrow up to approximately $1.1 billion, $300 million and $250 million, respectively. The credit facilities terminate Dec. 6, 2027. As of Sept. 30, 2024, CNP had cash and cash equivalents (excluding restricted cash) of $112 million on a consolidated basis. Available borrowing capacity under CNP's and its subsidiaries' credit facilities as of Sept. 30, 2024 was approximately $3.0 billion, primarily reflecting approximately $803 million of CP issued by CNP and $197 million at CERC. CERC and CEHE participate in CNP's money pool, borrowing and investing on a short-term basis. In June 2024, CEHE entered into a delayed draw term loan agreement. Under the agreement, CEHE can borrow up to $300 million and is able to request an incremental $200 million of borrowings pending satisfaction of certain customary, precedent conditions. CNP estimates exposure related to the 2024 storms at $1.6 billion. Fitch believes CEHE liquidity, provided by available credit and term loan facilities and support from CNP, is solid. There are no long-term debt maturities scheduled in 2024 or 2025. CEHE's next long-term debt maturity is $300 million in 2026 and its term loan matures in 2025. Issuer Profile CNP is a large, multi-state utility holding company strategically focused on its core utility operations, having exited investment in midstream and other unregulated businesses in recent years. Summary of Financial Adjustments Fitch adjusts CNP's financials to remove securitization-related revenue, interest and amortization expense and debt and applies 50% equity credit to CNP's outstanding fixed-to-fixed rate junior subordinated securities. Date of Relevant Committee 05 August 2024 MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Macro and Sector Forecasts data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. ESG Considerations The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating ----------- ------ CenterPoint Energy, Inc. junior subordinated LT BB+ New Rating CHARLES-N-ANGEL'S: Gets Interim OK to Use Cash Collateral --------------------------------------------------------- Charles-N-Angels, LLC received interim approval from the U.S. Bankruptcy Court for the Middle District of Florida to use cash collateral. The interim order authorized the company to use cash collateral to pay its expenses set forth in the budget, which shows total expenses of $5,466.86 to $7,764.01 per week, plus an amount not to exceed 10% for each line item. Byline Bank and any creditors holding inferior interest will have a perfected post-petition lien against cash collateral to the same extent and with the same validity and priority as their respective pre-bankruptcy liens. About Charles-N-Angel's LLC Charles-N-Angel's, LLC filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-00809) on June 3, 2024, with up to $100,000 in assets and up to $500,000 in liabilities. Angel Areizaga, managing member, signed the petition. Judge Caryl E. Delano oversees the case. Daniel A. Velasquez, Esq., at Latham Luna Eden & Beaudine, LLP represents the Debtor as legal counsel. CHESSWOOD GROUP: Chapter 15 Case Summary ---------------------------------------- Thirteen affiliates that concurrently filed voluntary petitions for relief under Chapter 15 of the Bankruptcy Code: Debtor Case No. ------ -------- Chesswood Group Limited (Lead Case) 24-12454 41 Scarsdale Road, Suite 5 Toronto, ON, M3B 2R2 Chesswood U.S. Acquisitionco Ltd. 24-12453 251 Little Falls Drive, Wilmington, DE 19808 United States Chesswood Holdings Ltd. 24-12455 Lease-Win Limited 24-12456 Case Funding Inc. 24-12457 1000390232 Ontario Inc. 24-12458 Chesswood Capital Management Inc. 24-12459 Chesswood Capital Management USA Inc. 24-12460 Pawnee Leasing Corporation 24-12461 Tandem Finance Inc. 24-12462 Windset Capital Corporation 24-12463 Rifco Inc. 24-12464 Rifco National Auto Finance Corporation 24-12465 Business Description: Chesswood Group offers specialty financial services and alternative investment management. The Company provides flexible funding solutions to small businesses and consumers across North America. As an asset manager, it specializes in alternative investments with a focus on generating income and capital. Chapter 15 Petition Date: October 30, 2024 Court: United States Bankruptcy Court District of Delaware Judge: Hon. Craig T Goldblatt Foreign Proceeding: In The Matter of the Companies' Creditors Arrangement Act, R.S.C. 1985, C. C-36, as Amended and in the Matter of a Plan of Compromise or Arrangement of Chesswood Group Limited, Case Funding Inc., Chesswood Holdings Ltd., Pawnee Leasing Corporation, Chesswood US Acquisitionco Ltd., Lease-Win Limited, Windset Capital Corporation, Tandem Finance, Inc., Chesswood Capital Management Inc., Chesswood Capital Management USA Inc., Rifco National Auto Finance Corporation, Rifco Inc., Waypoint Investment Partners Inc. and 1000390232 Ontario Inc. Foreign Representative: FTI Consulting Canada Inc. Toronto-Dominion Centre, TD South Tower, 79 Wellington St W Suite 2010, Toronto, ON M5K 1G8 Foreign Representative's Counsel: Kenneth J. Enos, Esq. YOUNG CONAWAY STARGATT & TAYLOR, LLP 1000 N. King Street Wilmington, DE 19801 Tel: 302-571-6600 Fax: 302-571-1253 Email: kenos@ycst.com Estimated Assets: Unknown Estimated Debt: Unknown A full-text copy of Chesswood U.S. Acquisitionco's Debtor's Chapter 15 petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/67YJ6PY/FTI_Consulting_Canada_Inc_and__debke-24-12453__0001.0.pdf?mcid=tGE4TAMA CHIC COUTURE: Gets Interim OK to Use Cash Collateral Until Nov. 21 ------------------------------------------------------------------ Chic Couture Online, LLC received interim approval from the U.S. Bankruptcy Court for the Southern District of Florida, West Palm Beach Division, to use cash collateral until Nov. 21. The company requires the use of cash collateral of Delta Bridge Funding, a secured creditor, to maintain its business operations. Delta has a lien on all of Chic Couture's assets including accounts, receivables, fixtures and equipment, and has the priority over all other creditors. The secured creditor is owed as much as $600,000. As protection, Delta was granted a replacement lien on Chic Couture's post-petition assets. In case there is diminution in the value of its cash collateral in an amount in excess of the value of the replacement liens, Delta will be granted an administrative claim, with priority over all other administrative expense claims. In addition, Delta will receive a monthly payment of $3,000, starting on Nov. 15. This number is based on the value of the current assets spread over 60 monthly payments. The amount Delta required prior to Chic Couture's bankruptcy filing was $400 per day or $12,000 per month. About Chic Couture Online Chic Couture Online, LLC, a company in Lauderdale Lakes, Fla., owns and operates an online retail shop specializing in women's clothing and accessories. Chic Couture Online sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 24-20940) on October 22, 2024, with $100,001 to $500,000 in assets and $1 million to $10 million in liabilities. Johane Porsenna, president of Chic Couture Online, signed the petition. Judge Peter D. Russin oversees the case. Brian K. McMahon, Esq., at Brian K. McMahon, PA, represents the Debtor as legal counsel. CLOUD BERN: Michael Coury Named Subchapter V Trustee ---------------------------------------------------- The Acting U.S. Trustee for Region 8 appointed Michael Coury of Glankler Brown, PLLC as Subchapter V trustee for Cloud Bern, LLC. Mr. Coury 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. Coury declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Michael P. Coury Glankler Brown, PLLC 6000 Poplar Ave., Suite 499 Memphis, TN 38119 Phone: (901) 525-1322 Fax: (901) 525-2386 Email; mcoury@glankler.com About Cloud Bern Cloud Bern LLC, doing business as Furniture Central, is a locally owned furniture and bedding store in Memphis, Tenne. Cloud Bern sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tenn. Case No. 24-25010) on Oct. 10, 2024, with $1 million to $10 million in both assets and liabilities. Reed Herrmann, managing member, signed the petition. The Debtor is represented by Toni Campbell Parker, Esq., at the Law Firm of Toni Campbell Parker. CMM OFFROAD: Unsecured Creditors to Split $376K over 5 Years ------------------------------------------------------------ CMM Offroad, LLC, filed with the U.S. Bankruptcy Court for the Middle District of Tennessee a Plan of Reorganization under Subchapter V dated September 17, 2024. The Debtor is a limited liability corporation formed in 2019. Currently, there are four 1099 employees consisting of a machinist, a painter, Jill Williams who is the 100% owner, and Brian Williams who is the director of prototypes and engineer design. For the last 12 months, Jill Williams average income has been approximately $94,000 per year from the Debtor, and Brian William's income has been approximately $89,000 per year. The primary offering of the Debtor is custom fabrication, precision machining, and high-performance upgrades to enhance off-road vehicles. The typical customer is the end user who owns the off road vehicle. As of the Petition Date, the Debtor's current financial position didn't allow for the Debtor to service its debts, and sought relief under the Bankruptcy Code to reorganize the financial affairs of the Debtor in an effort to bring the expenses in line with the income. The precipitating factor in filing was that CMM Offroad incurred debt with plans to add new products in a different industry. Unfortunately, with the turn in the market on the existing product line, you couldn't service your existing debt and allow enough time to realize the return on the new product line. This Plan of Reorganization proposes to pay the creditors of the Debtor from future income of the Debtor. Non-priority unsecured creditors holding allowed claims, if any, will receive pro rata distributions from the ongoing cash flow of the debtor. Class 5 consists of All Allowed Unsecured Claims. The Debtor shall pay allowed unsecured claims a pro-rata distribution for a period of no more than 60 months from entry of the confirmation order in 5 annual payments in the amount of $75,205.42 annually for a total amount of $376,027.10. Said payments shall commence on the Effective Date, and shall be paid annually thereafter. The allowed unsecured claims total $376,027.10. This Class is impaired. The Debtor will retain all ownership rights in property of the estate. The Debtor anticipates the funds to meet the plan payments shall come from the daily operations of the Debtor's business. A full-text copy of the Plan of Reorganization dated September 17, 2024 is available at https://urlcurt.com/u?l=6kdUxE from PacerMonitor.com at no charge. Attorney for the Debtor: Jay R. Lefkovitz, Esq. LEFKOVITZ & LEFKOVITZ, PLLC 908 Harpeth Valley Place Nashville, TN 37221 Tel: (615) 256-8300 Fax: (615) 255-4516 Email: jlefkovitz@lefkovitz.com About CMM Offroad CMM Offroad, LLC is a limited liability corporation formed in 2019. The Debtor filed a Chapter 11 bankruptcy petition (Bankr. M.D. Tenn. Case No. 24-03493) on Sept. 11, 2024, with $500,001 to $1 million in both assets and liabilities. Judge Randal S. Mashburn oversees the case. The Debtor is represented by Lefkovitz & Lefkovitz. COMMERCIAL FLOORING: To Sell Hays Farm Inventory to W.R. Newman --------------------------------------------------------------- Commercial Flooring Solutions LLC seeks permission from the U.S. Bankruptcy Court for the Northern District of Georgia, Atlanta Division, to sell the Hays Farm Inventory, free and clear of liens, claims, or interests. The Debtor operates as a full-service flooring company providing services to industrial, commercial, and residential marketplaces. The Debtor operates from leased space located at t 4703 Fulton Industrial Boulevard SW, Atlanta, GA 30336 and its equipment and inventory are stored at the premise. The Debtor seeks to sell the Hays Farm Inventory to W.R. Newman & Associates, Inc. The sale proceeds will be paid to Mobilization Funding II, LLC at closing in complete satisfaction and payment of Mobilization's claims. Selig Enterprises Inc, the landlord, is planning to file a motion for relief from the automatic stay regarding the leased premises as the Debtor has not paid post-petition lease payments. The lienholders of the Property include United Community Bank, the U.S. Small Business Administration, Billd Exchange LLC, Mobilization Funding II, LLC, Corporation Service Company, CapitalPlus Supply LLC, and Gpac LLC. The Debtor, W.R. Newman, and Mobilization have agreed to the sale of the Hays Farm Inventory for a purchase price of $236,024 less the cost of pick-up and transport from the Debtor's leased premises to the job site. About Commercial Flooring Solutions LLC Commercial Flooring Solutions, LLC provides flooring solutions to any given project serving Atlanta, Ga., and beyond. Its products include carpet, carpet tile, hardwood, laminate, luxury, vinyl, waterproof flooring, natural stone, glass tile, metal tile, and solid surface. Commercial Flooring Solutions filed Chapter 11 petition (Bankr. N.D. Ga. Case No. 24-59431) on September 6, 2024, with total assets of $253,125 and total liabilities of $4,298,034. Brett R. Pavel, manager, signed the petition. Judge Sage M. Sigler oversees the case. The Debtor is represented by Leslie Pineyro, Esq., at Jones & Walden, LLC, as counsel. COMTECH TELECOMMUNICATIONS: Widens Net Loss to $100M in FY 2024 --------------------------------------------------------------- Comtech Telecommunications Corp. filed with the Securities and Exchange Commission its Annual Report on Form 10-K reporting a net loss of $99.99 million on $540.40 million of net sales for the year ended July 31, 2024, compared to a net loss of $26.90 million on $549.99 million of net sales for the year ended July 31, 2023. As of July 31, 2024, the Company had $912.43 million in total assets, $426.11 million in total liabilities, $180.08 million in convertible preferred stock, and $306.25 million in total stockholders' equity. Jericho, New York-based Deloitte & Touche LLP, the Company's auditor since 2015, issued a "going concern" qualification in its report dated Oct. 30, 2024, citing that the Company has suffered recurring losses and negative cash outflows from operations, and may be unable to maintain compliance with financial covenants required by its credit agreement that 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/0000023197/000002319724000104/cmtl-20240731.htm About Comtech Telecommunications Corp. Headquartered in Chandler, Arizona, Comtech Telecommunications Corp. -- www.comtech.com -- is a global provider of next-generation 911 emergency systems and secure wireless and satellite communications technologies. This includes the critical communications infrastructure that people, businesses, and governments rely on when durable, trusted connectivity is required, no matter where they are - on land, at sea, or in the air - and no matter what the circumstances – from armed conflict to a natural disaster. The Company's solutions are designed to fulfill its customers' needs for secure wireless communications in the most demanding environments, including those where traditional communications are unavailable or cost-prohibitive, and in mission-critical and other scenarios where performance is crucial. COST LESS: Hires Simen Figura & Parker CPA PC as Counsel -------------------------------------------------------- Cost Less Distributing LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Michigan to employ Simen Figura & Parker, CPA, PC as counsel to handle its Chapter 11 case. The firm will be paid at $265 per hour. imen Figura & Parker was paid a retainer in the amount of $10,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Peter T. Mooney, Esq., a partner at Simen, Figura & Parker, 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: Peter T. Mooney, Esq. 5206 Gateway Centre Ste. 200 Flint, MI 48507 Tel: (810) 235-9000 Email: pmooney@sfplaw.com About Cost Less Distributing LLC Cost Less Distributing Inc. is a family owned company in the pet treat and pet food industry. In addition to its pet treat program, the Company now offers cell phone charger cable, Cooper Street cookies for humans, and will soon introduce its own small batch, gourmet popcorn. Cost Less Distributing Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Mich. Case No. 24-31912) on October 7, 2024. In the petition filed by Matthew Ovadek, as vice president, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $1 million and $10 million. The Honorable Bankruptcy Judge Joel D. Applebaum oversees the case. The Debtor is represented by: Peter T. Mooney, Esq. SIMEN, FIGURA & PARKER, PLC 5206 Gateway Centre #200 Flint, MI 48507 Tel: (810) 235-9000 Email: pmooney@sfplaw.com COVENANT COMMUNITIES: S&P Affirms 'BB+' Rating on 2018B Rev. Bonds ------------------------------------------------------------------ S&P Global Ratings revised its outlook to positive from stable and affirmed its 'BBB (sf)' rating on the Wisconsin Health & Educational Facilities Authority's first-tier series 2018A-1 and A-2 senior living bonds, issued for Covenant Communities Inc. At the same time, S&P affirmed its 'BB+(sf)' rating on the authority's second-tier series 2018B senior living revenue bonds, also issued for Covenant. The outlook on the 2018B second-tier bonds is stable. "The outlook revision reflects a recent trend of improving debt service coverage (DSC) as a result of stronger profitability given high occupancy rates and oversight on properties that, if continued into fiscal 2024, could lead to a higher rating," said S&P Global Ratings credit analyst Caroline West. The bonds are secured by a pledge and assignment of the trust estate, including revenue from the project and funds deposited under the indenture, including payments made by the borrower pursuant to the loan agreement dated July 1, 2018. The project consists of 14 age-restricted properties in southern Wisconsin. The third-tier series 2018C bonds are unrated. "The positive outlook on the series A bonds reflects our view that a continuation of the recent trend of strengthening DSC could lead to an overall improvement in credit quality over the one-year outlook horizon," added Ms. West. The outlook also reflects our view that property management will remain diligent in operating and maintaining the project. The stable outlook on the series B bonds is due to S&P's view that while coverage has been improving for this subordinate lien, the improvement has not yet been sufficient to offset the structural features necessary to warrant a higher rating. CTF CHICAGO: Gets Interim OK to Use Cash Collateral Until Nov. 30 ----------------------------------------------------------------- CTF Chicago, Inc. received interim approval from the U.S. Bankruptcy Court for the Northern District of Illinois to use the cash collateral of Wintrust Bank to pay its operating expenses. The interim order approved the use of the lender's cash collateral for the period from Nov. 1 to 30 in accordance with CTF Chicago's budget. The bankruptcy court previously allowed the company to use the cash collateral to pay its expenses from Oct. 18 to 31. Wintrust Bank was granted a replacement lien on the company's assets, including cash collateral equivalents, to the same extent and with the same validity as its pre-bankruptcy lien. The next hearing is scheduled for Nov. 26. About CTF Chicago CTF Chicago, Inc. operates within a framework that requires substantial capital and resources. The company is structured to provide specific services or products, likely in a competitive market, given its presence in Chicago. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 24-15580) with up to $50,000 in assets and up to $10 million in liabilities. Charles Graff, managing member, signed the petition. Judge Janet S. Baer oversees the case. The Debtor is represented by Richard G. Larsen, Esq., at Springer Larsen, LLC. CUSTOM HOLDINGS: Hires Roop Law Office L.C. as Attorney ------------------------------------------------------- Custom Holdings, Inc. seeks approval from the U.S. Bankruptcy Court for the Southern District of West Virginia to employ Roop Law Office, L.C, as attorney. The firm will provide these services: a. give the debtor legal advice with respect to its powers and duties as debtor-in-possession and in the management of its properties; b. prepare on behalf of your applicant as debtor-in-possession, all necessary motions, applications, answers, orders, reports and other legal papers; and c. perform all other legal services for the debtor-in-possession which may be necessary herein. The firm will be paid at these rates: Paul W. Roop, II $375 per hour Paralegal $100 per hour The firm was paid a retainer in the amount of $10,000. Roop Law Office will also be reimbursed for reasonable out-of-pocket expenses incurred. Paul W. Roop, II, Esq., a partner at Roop Law Office LC, 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 W. Roop, II, Esq. Roop Law Office LC PO Box 1145 Beckley, WV 25802-1145 Telephone: (304) 255-7667 Facsimile: (304) 256-2295 Email bankruptcy@rooplawoffice.com About Custom Holdings, Inc. Custom Holdings Inc. is primarily engaged in renting and leasing real estate properties. Custom Holdings Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Va. Case No. 24-50077) on October 17, 2024. In the petition filed by Brent Moye, as president, the Debtor reports total assets of $1,449,570 and total liabilities of $1,310,524. The Honorable Bankruptcy Judge B Mckay Mignault handles the case. The Debtor is represented by: Paul W. Roop, II, Esq. ROOP LAW OFFICE, LC P.O. Box 1145 Beckley, WV 25802-1145 Tel: (304) 255-7667 E-mail: bankruptcy@rooplawoffice.com DANIEL SMART: Claims to be Paid From Income & Avoidance Proceeds ---------------------------------------------------------------- Daniel Smart Manufacturing, Inc., filed with the U.S. Bankruptcy Court for the District of Maryland a Chapter 11 Plan of Reorganization dated September 17, 2024. The Debtor is a Maryland "S" Corporation which does business as "Daniel Smart Leather," and which operates a motorcycle gear wholesale company located at 6252 Frankford Avenue, Baltimore City, MD 21206. After a spike in revenue during COVID, the Debtor's revenue has decreased in recent years. The Debtor earned historical revenues of approximately $2.87 million in 2022; $2.57 million in 2023 and $1.06 million through July 5, 2024. This has led to a glut of outdated inventory. Additionally, in recent years, the Debtor has accepted certain junior lien high interest financing which has drained any profits. The Debtor's projections show that the Debtor will have projected disposable income of approximately $12,000 per quarter. The final Plan payment to unsecured creditors is expected to be paid on the date that is three years after the Effective Date of the Plan. Class 4 consists of all General Unsecured Claims. Provided that an Allowed Class 4 Claim has not been paid prior to the Effective Date, and except to the extent that a holder of a Class 4 Claim agrees to a different and lesser treatment, each holder of an Allowed Class 4 Claim shall receive from the Debtor, in full and complete settlement, satisfaction and discharge of its Allowed Class 4 Claim, a pro rata portion of the Quarterly Payments and the Avoidance Action Proceeds (each such pro rata share to be paid after Allowed Administrative Claims are satisfied, and payment of the commission incurred by the Trustee, if any). To the extent any Class 4 Claim is deemed to be a Non-Dischargeable Claim, it will be paid in full, with interest at the federal judgment rate in effect on the Confirmation Date, in equal quarterly payments, over a period not to exceed ten years, beginning on the first day of the quarter immediately after the last Quarterly Payment is made. Any creditor asserting a Non Dischargeable Claim will be required to file an adversary proceeding by not later than the Effective Date, or have forever waived their right to do so. If the Court determines that Fulton Bank's Class 2 secured claim is higher than $700,000, the monthly payment to Fulton Bank shall increase, and the Quarterly Payments paid to Class 4 Claimants shall decrease by the additional amount that is required to be paid to Fulton Bank per quarter. Class 4 is impaired under this Plan. Class 5 consists of the equity interests in the Debtor. Holders of equity interests in the Debtor shall retain their equity interests in the same manner as prior to the confirmation of the Plan. Holders of equity interests in the Debtor are unimpaired and not entitled to vote on the Plan. All property of the Estate shall revest in the Debtor on the Effective Date, free and clear of all other liens, claims, interests and encumbrances, except for the liens specifically preserved or created by this Plan. Beginning on the first business day that is in the first full quarter after the Effective Date, and continuing on the first business day of each quarter thereafter for a total of 12 quarters, the Debtor, or, if this Plan is confirmed pursuant to Section 1191(b) of the Bankruptcy Code, the Trustee (from payments made to the Trustee by the Debtor), shall pay Quarterly Payments of $12,000.00 (the "Quarterly Payments"). The final quarterly payment shall be made three years after the Effective Date of the Plan. Said Quarterly Payments shall first be distributed to holders of Allowed Administrative Claims until such claims are satisfied, and then shall be distributed to holders of General Unsecured Claims, pro rata. The Quarterly Payments shall also include a pro rata portion of the proceeds of any Avoidance Action, net of any attorneys' or other fees and expenses incurred in connection with the pursuit, settlement or collection of such proceeds. To the extent that the Court determines that a greater amount is necessary to satisfy the Debtor's obligation to satisfy Section 1129(a)(7) or 1191(c)(2)(B) of the Bankruptcy Code, the Debtor shall make additional Quarterly Payments up to a five-year term. A full-text copy of the Plan of Reorganization dated September 17, 2024 is available at https://urlcurt.com/u?l=PyuM8r from PacerMonitor.com at no charge. Counsel to the Debtor: Janet M. Nesse, Esq. McNamee Hosea, P.A. 6404 Ivy Lane, Suite 820 Greenbelt, MD 20770 Tel: (301) 441-2420 Email: jnesse@mhlawyers.com About Daniel Smart Manufacturing Daniel Smart Manufacturing, Inc. is a manufacturer and distributor of motorcycle gear, accessories and fashion leather apparel in Baltimore City, Md. It conducts business under the name Daniel Smart Leather. Daniel Smart Manufacturing filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Md. Case No. 24-15658) on July 5, 2024, with $1 million to $10 million in both assets and liabilities. Hassan Tariq, president and owner, signed the petition. Judge Michelle M. Harner presides over the case. The Debtor tapped Janet M. Nesse, Esq., at McNamee Hosea, PA as legal counsel and Waypoint Resources, LLC as financial advisor. DENALI COMMUNITY: Case Summary & Three Unsecured Creditors ---------------------------------------------------------- Debtor: Denali Community Services, LLC 7446 Covington Highway Lithonia, GA 30058 Case No.: 24-61512 Business Description: The Debtor has a warrant deed of a commercial building located at 7466 Covington Hwy, Covington, Ga, valued at $1.8 million. Chapter 11 Petition Date: October 30, 2024 Court: United States Bankruptcy Court Northern District of Georgia Judge: Hon. Lisa Ritchey Craig Debtor's Counsel: Kenneth Mithell, Esq. GIDDENS MITCHELL & ASSOCIATES, P.C. 3951 Snapfinger Pkwy Ste. 555 Decatur, GA Tel: 770-987-7007 Fax: 404-289-7654 Email: gmapclaw@gmail.com Total Assets: $1,850,600 Total Liabilities: $1,219,500 The petition was signed by Pamela Alimanzi as managing member. 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/UIM23JQ/Denali_Community_Services_LLC__ganbke-24-61512__0001.0.pdf?mcid=tGE4TAMA DIAMOND SCAFFOLD: Unsecureds to Get Share of GUC Cash Flow ---------------------------------------------------------- Diamond Scaffold Services, LLC, and the Official Committee of Creditors Holding Unsecured Claims filed with the U.S. Bankruptcy Court for the Southern District of Alabama a Disclosure Statement accompanying Joint Plan of Reorganization dated September 18, 2024. The Debtor is a limited liability company organized in the State of Louisiana. It was formed in 2002 and is registered to do business in Alabama. The Debtor currently leases office and warehouse facilities in Bogalusa and Athens, Tennessee. The Debtor provides scaffolding and related equipment to its customers on industrial jobsites and sometimes provides the labor necessary to install scaffolding on the jobsites. The jobsites are located across the United States. The Debtor has approximately 15 full-time and 30 part-time employees. Jewell Sumrall is its sole member and President. Stephanie Flood is its Vice President. The Debtor owns no real property. The majority of the Debtor's scaffolding equipment is not listed on Schedule B due to Sertant's and Mazuma's claims to own the scaffolding on the Petition Date. The Debtor disputes their claims of ownership, and such claims were the subject of pending adversary proceedings. Following the resolution of a number of claim objections filed by the Debtor or Committee and the settlement of the adversary proceedings filed against Mazuma and Sertant to determine the nature and value of their respective claims, the Debtor's estimated total amount of Priority Claims is $862,775.25; its estimated total amount of Secured Claims is $3,474,715.34, and its estimated total amount of Unsecured Claims is approximately $7,325,433.81. The Debtor estimates that Administrative Expense Claims will total between approximately $200,000.00 and $600,000.00 in aggregate as of the Confirmation Date. An auction was conducted by SC&H Group, Inc. on March 1, 2023. There were 5 bidders, including Mazuma, which credit bid $2 million. The majority of the bidders were interested in purchasing only a subset of the Debtor's assets. Accepting any or all such bids would only have benefitted secured creditors. For that reason, the Debtor determined that accepting any or all such bids would not be in the best interest of the estate, and used its discretion to reject all such bids as allowed by the Bid Procedures Order. The Committee's counsel was present at the auction and agreed to the Debtor's rejection of all bids for some but not substantially all of the Debtor's assets. The Debtor and Committee vigorously litigated the adversary proceedings against Sertant and Mazuma in an attempt to obtain a determination that the Debtor, not Sertant or Mazuma, owned the majority of the scaffolding in the Debtor's possession. The parties mediated with Court-appointed mediator, Cooper Shattuck, on at least three occasions. These mediations and continuing negotiations resulted in a Global Settlement Agreement, which was approved by the Bankruptcy Court on April 8, 2024 (the "Approval Order"). Under the terms of the Global Settlement Agreement, Mazuma is treated as having an Allowed Claim (Allowed Claim 27) of $2,000,000, secured by the Scaffolding Equipment and Receivables to the extent of the replacement liens established by the Bankruptcy Court's orders granting the motions filed by the Debtor in the Bankruptcy Case seeking authority to use cash collateral. Upon the Effective Date, Mazuma shall immediately apply the MCC Deposit (as defined in the Global Settlement Agreement) to the Allowed Claim 27, therefore reducing the amount of its Claim to $1,892,025.00. Allowed Claim 27 shall be paid over 60 months with interest at 9.25% under the Plan. The Debtor proposes to fund a 6-year plan of reorganization through continued operations. The Plan also contemplates the Bankruptcy Court's appointment of a Plan Administrator who will purse the Avoidance Actions for the benefit of Unsecured Creditors and who will oversee the Debtor's compliance with the Plan and make distributions to Unsecured Creditors. Class 14 consists of all Unsecured Claims not otherwise classified in the Plan. Each Holder off an Allowed Class 14 Claim shall receive, in full satisfaction of such creditor's Allowed Unsecured Claim, such creditor's pro rata share of the Unsecured Creditors’ Fund. The Reorganized Debtor shall pay an amount equal to 85% of its Quarterly Net Cash Flow, but in no instance less than $197,400.00 or more than $393,750.00 per quarter, attributable to the immediately preceding calendar quarter into the Unsecured Creditors' Fund (the "GUC Cash Flow Payments"), which shall be deposited into the Plan Administrator Account and maintained by the Plan Administrator, for 6 years as follows: (a) the Debtor shall make the first GUC Cash Flow Payment into the Unsecured Creditors' Fund, which shall be based on the Debtor's Quarterly Net Cash Flow for the first quarter of 2025, no later than April 30, 2025; and (b) the Reorganized Debtor shall make all subsequent GUC Cash Flow Payments into the Unsecured Creditors' Fund each quarter on the last day of the month following the close of the applicable quarter and shall have a 30 day grace period. In addition to the treatment set forth, (i) the Reorganized Debtor shall make an initial one-time payment to the Unsecured Creditors' Fund in the amount of $300,000.00 ("Initial GUC Contribution") within 30 days of the Effective Date; and (ii) on the Effective Date, the Sertant GUC Escrow Payment ($100,000.00) shall be transferred from the trust account of Committee Counsel to the Unsecured Creditors' Fund (collectively, the "Unsecured Creditors' Fund Initial Payments"). From those funds, totaling $400,000.00, the Plan Administrator shall first reserve $50,000.00 to fund the initial Plan Administrator Reserve Amount and make a one-time $350,000.00 Distribution to Holders of Allowed General Unsecured Claims on a pro rata basis (the "Initial GUC Distribution"). The Plan Administrator shall make the Initial GUC Distribution within 15 days of receiving the Unsecured Creditors' Fund Initial Payments. Class 14 is Impaired by the Plan. Class 15 comprises all Equity Interests in the Debtor. Under the Plan, Jewell Sumrall shall pay a New Value Contribution of $250,000 into the Unsecured Creditors' Fund in 5 equal annual installments of $50,000. As of the Effective Date, Jewell Sumrall will pay the first installment of the New Value Contribution and either (1) retain the Equity Interests in the Reorganized Debtor; or (2) at his option, the Equity Interests in the Debtor may be cancelled and new common stock issued to the New Equity Holder in the Reorganized Debtor. The sole source of funding for the New Value Contribution will be Mr. Sumrall's salary from the Debtor, which shall remain at $260,000 following confirmation of the Plan. As reflected on his personal financial statements, which may be obtained by contacting Debtor's counsel, Mr. Sumrall has no other significant assets to sell or leverage to obtain additional funds to increase the New Value Contribution. The Debtor believes that the New Value Contribution exceeds the value of Mr. Sumrall's Equity Interests in the Debtor. This was confirmed by the results of the auction. The highest bid for substantially all of the Debtor's assets at the auction was $8.5 million. The Debtor's Debts total approximately $10,600,000, creating negative equity. The Debtor proposes to fund its Plan by continuing to operate its scaffolding business and by allowing the Plan Administrator to pursue the Causes of Action, including Avoidance Actions. The Debtor's 6-year revenue and expense forecasts project annual gross income averaging approximately $10,428,000.00 and net income (after payment of business expenses and payments to administrative, priority, and secured creditors under this Plan) averaging approximately $2,159,214.80. These projections reflect that the Debtor will generate sufficient cash flow to pay in full the (a) Allowed Secured Claims, (b) the Allowed Administrative Expenses, (c) the Allowed Priority Claims, and (d) at least the required minimum of $4,737,600.00 into Unsecured Creditors' Fund to be distributed on a pro-rata basis among Allowed Unsecured Creditors. The projections reflect that Unsecured Creditors are likely to receive more than the required minimum of $4,737,600 and may have their Allowed Claims paid in full. The Debtor has built up a reserve of approximately $500,000 during this Bankruptcy Case, which will be applied toward payment of Administrative Expense and Priority Claims. A full-text copy of the Disclosure Statement dated September 18, 2024 is available at https://urlcurt.com/u?l=AJFvv3 from PacerMonitor.com at no charge. Counsel for the Debtor: Alexandra K. Garett, Esq. Matthew C. Butler, Esq. Silver Voit & Garrett, Attorneys at Law, P.C. 4317-A Midmost Dr. Mobile, AL 36609-5589 Tel: (251) 343-0800 Fax: (251) 251-343-0800 Email: agarrett@silvervoit.com mbutler@silvervoit.com Counsel to the Committee of Creditors Holding Unsecured Claims: Edward J. Peterson, III, Esq. Johnson Pope Bokor Ruppel & Burns, LLP 401 E. Jackson Street, Ste. 3100 Tampa, FL 33602 Telephone: (813) 225-2500 Email: epeterson@jpfirm.com -and- Edward J. Peterson, Esq. Jodi Daniel Dubose, Esq. Stichter Riedel Blain & Postler, P.A. 110 E. Madison Street, Suite 200 Tampa, FL 33602 Tel: (850) 637-1836 Email: epeterson@srbp.com jdubose@srbp.com About Diamond Scaffold Services Diamond Scaffold Services LLC -- https://www.diamondscaffold.com/ -- is an authorized distributor of Ring-lock, Cup-lock, Shoring, and Frame Scaffold. Diamond Scaffold Services, LLC, sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ala. Case No. 22-11208) on June 21, 2022. In the petition filed by Jewell Wayne Sumrall, as president, the Debtor estimated assets between $1 million and $10 million and liabilities between $10 million and $50 million. Judge Jerry Oldshue oversees the case. Alexandra K. Garrett, Esq., at Silver, Voit & Garrett, is the Debtor's counsel. Jason R. Watkins is serving as special counsel, representing the Debtor in various litigation. DIGITAL AUTO: Updates Unsecured Claims Pay Details -------------------------------------------------- Digital Auto, LLC and Zad Carz, LLC submitted a Second Amended Small Business Plan of Reorganization under Subchapter V dated September 17, 2024. The Debtor's financial projections show that the Debtor will have projected disposable income of $41,450.00. The final Plan payment is expected to be paid no later than September 1, 2027. The numerical projections for the financial status of the Debtor throughout the course of the Plan are conservative assumptions. This conservative assumption is based on the monthly reports filed by the Debtor in this matter, as well as the owner's knowledge of the used car industry. The Debtor will not be reopening the Zad Carz lot in Louisville, nor the lot in Southern Indiana. Thus, the reorganized company will simply be known as Digital Auto, LLC. This significantly reduces the Debtor's monthly cash obligations. Based on the fact that the Debtor does not intend to utilize Floorplan Lenders during the course of this case, the Debtor will not be carrying large amounts of inventory at any given time. This also has the effect of eliminating curtailment payments from the Debtor's monthly expenses. This Plan contemplates that the Debtor will continue to operate its business in Lexington, and will close the Zad Carz location in Louisville. The Debtor will combine all operations under Digital Auto LLC. The Debtor anticipates that the proceeds from operations will be sufficient to pay the required administrative, priority, secured, and general unsecured claims. Class 7 consists of Allowed Unsecured Claims. Allowed Unsecured Claims include any unknown, contingent, disputed or unliquidated Claims that are Allowed pursuant to the provisions of the Plan. Allowed Unsecured Claims include any deficiency claims from surrendered collateral, general unsecured portions of Priority Tax Claims, and any unsecured portions of impaired secured claims. Per the attached Budget Analysis, there are currently no funds projected to be available for unsecured creditors. The Class 7 claims are impaired. Republic Bank & Trust Company is included within Class 7. However, the Debtor notes that Republic appears to have a properly-perfected mortgage described within Proof of Claim No. 3. Republic is, therefore, unsecured as to the Debtors. Therefore, the Debtors are required to treat Republic as a general unsecured claim within this case. This treatment does not purport to impact any agreement that may be reached between Republic and the personal guarantor on the loan The Debtor will continue to operate as Digital Auto LLC in its Lexington location, subject to the continuing jurisdiction and supervision of this Court until such time as the case is completed. A full-text copy of the Second Amended Plan dated September 17, 2024 is available at https://urlcurt.com/u?l=xaKf6W from PacerMonitor.com at no charge. Counsel for the Debtor: Noah R. Friend, Esq. Noah R. Friend Law Firm, PLLC P.O. Box 341 Versailles, KY 40383 Tel: (606) 369-7030 Fax: (502) 716-6158 Email: noah@friendlawfirm.com About Digital Auto LLC Digital Auto, LLC, is a Kentucky limited liability corporation, with its principal place of business in Fayette County, Kentucky. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Ky. Case No. 24-50259) on March 11, 2024. In the petition signed by Iman Muhsen, member, the Debtor disclosed up to $500,000 in assets and up to $10 million in liabilities. Noah Friend, Esq., at Noah R Friend Law Firm, is the Debtor's legal counsel. DIOCESE OF OGDENSBURG: Exclusivity Period Extended to Jan. 17, 2025 ------------------------------------------------------------------- Judge Patrick G. Radel of the U.S. Bankruptcy Court for the Northern District of New York extended The Roman Catholic Diocese of Ogdensburg, New York's exclusive periods to file a plan of reorganization and obtain acceptance thereof to January 17, 2025 and March 17, 2025, respectively. As shared by Troubled Company Reporter, the Diocese's significant progress to date in the Chapter 11 Case also justifies the requested extension of the Diocese's exclusive periods. The Diocese has worked with its key constituencies on numerous issues and has made notable progress at this stage of the Chapter 11 Case toward resolving matters that are critical to the eventual formulation of a chapter 11 plan. To end the Diocese's exclusivity now before the Diocese has had the opportunity to fully mediate with its key insurance carriers and the Committee would be inconsistent with the relief granted in the Mediation Order. In addition, the Diocese has been paying its post-petition debts when due in the ordinary course of business. The fact that a debtor has sufficient liquidity to pay its post-petition debts as they come due supports the granting of an extension of the debtor's exclusive periods because it suggests that such an extension will not jeopardize the rights of post-petition creditors. Moreover, because the Chapter 11 Case is still in its early stages for a case of this size, the Diocese respectfully asserts that it must be given the opportunity to continue the work it has already commenced to formulate a confirmable chapter 11 plan. The Diocese seeks to continue to work with the Committee, its insurance carriers, and other parties in interest to resolve issues that must precede the development of any chapter 11 plan. Until further progress is made through mediation, the Diocese will be unable to finalize a chapter 11 plan or prepare a disclosure statement containing adequate information. Counsel for the Debtor: Charles J. Sullivan, Esq. BOND, SCHOENECK & KING, PLLC One Lincoln Center Syracuse, NY 13202-1355 Tel: (518) 533-3000 Email: csullivan@bsk.com About Roman Catholic Diocese of Ogdensburg The Diocese of Ogdensburg is a Latin Church ecclesiastical territory, or diocese, of the Catholic Church in the North Country region of New York State in the United States. It is a suffragan diocese in the ecclesiastical province of the Archdiocese of New York. Its cathedral is St. Mary's in Ogdensburg. The Diocese of Ogdensburg was founded on February 16, 1872. It comprises the entirety of Clinton, Essex, Franklin, Jefferson, Lewis and St. Lawrence counties and the northern portions of Hamilton and Herkimer counties. The current bishop is Terry Ronald LaValley. On July 17, 2023, the Roman Catholic Diocese of Ogdensburg sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D.N.Y. Case No. 23-60507), with $10 million and $50 million in both assets and liabilities. Mark Mashaw, diocesan fiscal officer, signed the petition. Judge Patrick G. Radel oversees the case. Bond, Schoeneck & King, PLLC is the Diocese's bankruptcy counsel. Stretto, Inc., is the claims agent and administrative advisor. DNC AND TCPA: Has Permission to Use Cash Collateral --------------------------------------------------- DNC and TCPA List Sanitizer, LLC received approval from the U.S. Bankruptcy Court for the District of Colorado to use cash collateral. The company was authorized to use cash collateral per an approved budget, with a 10% allowable variance for each budget line item. Payments to Cashyew Holding are deferred pending a settlement with Ringba, LLC and others. The court order required the company to make adequate protection payments to JP Morgan Chase Bank, N.A. in the amount of $5,000 per month, which will be applied to reduce the amount owed to the bank. In addition, the bank will receive a post-petition lien on accounts, contract rights and receivables, and a superpriority administrative claim for any diminution in the value of its collateral. Several conditions, including timely payments, maintenance of equipment and insurance, and reporting compliance, are mandated. Default in these areas could result in the immediate termination of cash collateral use. About DNC and TCPA Sanitizer DNC and TCPA List Sanitizer, LLC, is a Colorado limited liability company that is primarily an internet-based business. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Colo. Case No. 24-12624) on May 16, 2024, with $50,001 to $100,000 in assets and $500,001 to $1 million in liabilities. Judge Kimberley H. Tyson oversees the case. The Debtor tapped John Cimino, Esq., at Cimino Law Office, LLC as bankruptcy counsel and Vandana Koelsch, Esq., at Allen Vellone Wolf Helfrich & Factor PC as special litigation counsel. DORETHA WARD: Case Summary & Three Unsecured Creditors ------------------------------------------------------ Debtor: Doretha Ward Enterprises LLC 11417 South Watkins Ave Chicago, IL 60643 Case No.: 24-16345 Business Description: The Debtor has equitable interests in eight properties located in Illinois. Chapter 11 Petition Date: October 31, 2024 Court: United States Bankruptcy Court Northern District of Illinois Debtor's Counsel: Timothy R Tyler, Esq. TYLER LAW OFFICE, PC 120 W Madison Ste 204 Chicago, IL 60601 Tel: 312-920-1745 Fax: 312-920-1749 Email: ttyler@tylerlawchicago.com Total Assets: $1,878,390 Total Liabilities: $1,576,446 The petition was signed by Doretha Ward as president. 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/VOI7T3Q/DORETHA_WARD_ENTERPRISES_LLC__ilnbke-24-16345__0001.0.pdf?mcid=tGE4TAMA DOTLESS LLC: Seeks to Extend Plan Exclusivity to December 6 ----------------------------------------------------------- Dotless, LLC, is asking the U.S. Bankruptcy Court for the Southern District of Florida to extend its exclusivity period to file its Amended Chapter 11 Plan and Disclosure Statement to December 6, 2024. The Debtor explains that it has been working with the chief creditor in this matter, the Secretary of Housing and Urban Development, towards a potential consensual plan treatment and resolution of the Debtor's Objection to Claim. As per the previous requests to extend, the parties have agreed to conduct mediation to attempt to resolve this matter. The parties scheduled, and a mediation was held, on August 23, 2024. Due to additional information and documentation required, the mediation was continued to October 7, 2024 at 2:00 P.M. The Debtor claims that it is in the process of attempting to negotiate a consensual plan. The plan will propose funding of the plan by payment through the Debtor's principal providing new value. This will provide for the secured creditors' payments under the plan and provide a return for the general unsecured creditors which they would not receive upon liquidation. The Debtor asserts that it has consistently proceeded toward reorganization in good faith during the pendency of this matter. The Debtor is in the process of negotiating plan treatments with creditors. Additionally, the requested extension will not harm any party in interest to this matter, and the Debtor has good prospects to confirm a plan that will be best achieved without the burden and expense of having potentially competing plans being pursued by multiple parties. Therefore, the Debtor requests an extension of the Exclusivity Period through and including December 6, 2024, in order to continue the progress towards reorganization. Dotless, LLC is represented by: Nicholas G. Rossoletti, Esq. Bilu Law, PA 2760 W. Atlantic Blvd. Pompano Beach, FL 33069 Telephone: (954) 596-0669 Facsimile: (954) 427-1518 Email: nrossoletti@bilulaw.com About Dotless LLC Dotless, LLC was organized in the State of Utah in 2021 to serve as a holding company for the purchasing and sale of real property throughout the United States. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 23-19341) on Nov. 13, 2023. In the petition signed by Aaron Pace, manager, the Debtor disclosed under $1 million in both assets and liabilities. Judge Mindy A. Mora oversees the case. Nicholas G. Rossoletti, Esq., at Bilu Law, PA, serves as the Debtor's counsel. DS26 LLC: Seeks 60-Day Extension of Plan Filing Deadline -------------------------------------------------------- DS26, LLC, is asking the U.S. Bankruptcy Court for the District of Nevada to extend its exclusivity periods to file and obtain confirmation of a plan of reorganization for 60 days. The Debtor, a California limited liability company registered to do business in Nevada, owns real property located at 1435 E. 4th Street, Reno, Nevada 89512, which consists of a motel, apartments and retail space (the "Property"). There are two buildings on the Property, which include: (1) a 2,547 square foot two-story concrete motel building (the "Motel"); and (2) a 3,840 square foot two-story stucco building with open commercial space on the first floor and four residential studio units on the second floor (the "Commercial Building"). An analysis of the factors in this case shows cause exists to extend Debtor's exclusivity rights by 60-days: * While this is not a particularly large case, there are somewhat unique issues related to the pending lot line adjustment. That process has begun, but may take another 90-days to complete. In addition to the actual lot split, there are issues related to ensuring BOM maintains a first priority deed of trust against both parcels. These issues add a layer of complexity to this case. * From the Debtor's perspective, the core components of the negotiations between Debtor and BOM and Debtor's contemplated plan of reorganization include: (1) the lot line adjustment; (2) ensuring BOM maintains a first priority deed of trust against both parcels; and (3) the separate sale of the two parcels. Debtor is working with BOM to understand the lot line adjustment process and to agree upon a timeline for the sale of the parcels connected to the lot line adjustment. However, more time is needed to complete those negotiations and finalize the terms of Debtor's proposed plan. * Debtor has proceeded in good faith with a focus on maximizing the value of the Debtor's assets for the benefit of all of its creditors and equity holders. Debtor has developed the general structure to a plan and is in ongoing discussions with BOM regarding a plan. Debtor expects to have a plan filed without need for a further extension of exclusivity. * The Debtor's request to extend exclusivity is in no way an effort to pressure BOM to submit to the debtor's reorganization demands. Debtor is working with BOM and the general concepts of the Debtor's contemplated plan appear to be noncontroversial. Debtor will split the Property into two parcels and then sell the parcels separately to maximize the value and pay BOM in full. * The pending lot line adjustment could be considered an unresolved contingency related to Debtor's ability to effectively reorganize. Without the lot split, a sale of the Property may not pay BOM in full and would likely provide no return to unsecured creditors or equity holders. Debtor expects the lot line adjustment to unlock value in the Property and allow Debtor to pay all creditors in full, while also providing a return to equity. About DS26 LLC DS26 LLC is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). DS26 LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Nev. Case No. 24-50576) on June 10, 2024. In the petition signed by M. Marie Murphy, as Manager of M3 Manager, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Hilary L. Barnes handles the case. The Debtor is represented by: Kevin A. Darby, Esq. DARBY LAW PRACTICE 499 W. Plumb Lane, Suite 202 Reno, NV 89509 Tel: 775-322-1237 Fax: 775-996-7290 Email: kevin@darbylawpractice.com EARTH ALIVE: Secures Approval for Interim Financing, Sale Process ----------------------------------------------------------------- Earth Alive Clean Technologies Inc. provides an update to its previous press release issued on October 22, 2024 following its filing, on the same date, of a Notice of Intention to Make a Proposal pursuant to the provisions of the Bankruptcy and Insolvency Act (Canada). Raymond Chabot Inc. was appointed as proposal trustee to the NOI proceedings. On November 1, 2024, the Company has sought and obtained from the Superior Court of Quebec an order, inter alia: (i) approving the interim financing facility pursuant to which a group of interim lenders -- which includes management members, board members and shareholders -- will advance interim financing to the Company in the amount of up to C$1,720,000 to provide the necessary liquidity to fund working capital needs and expenses throughout the NOI proceedings; and (ii) authorizing the Company to pursue, under the supervision of the Court, with the assistance of the Trustee, a formal sale and investment solicitation process, in order to conclude a transaction with a view to maximizing the value of the Company's business and assets. In order to participate in the SISP and obtain access to a virtual data room, all interested parties must comply with the terms and conditions set forth in the November 1, 2024 Order and in the process letter, copy of which is available on the website of the Trustee at https://www.raymondchabot.com/en/companies/public-records/earth-alive-clean-technologies-inc/. Parties interested in participating in the SISP are reminded that (i) the due diligence period ends at 5:00 p.m. on December 20, 2024 and (ii) the deadline for submission of binding offers is 5:00 p.m. (Eastern Time) on December 20, 2024. Anyone interested in participating in the SISP can contact the Trustee (Ayman Chaaban - Chaaban.Ayman@rcgt.com) or the Company's legal counsel (Gabriel Lavery Lepage -- glaverylepage@dwpv.com). About Earth Alive Clean Technologies Inc. Earth Alive is a leader in the microbial technologies industry. Earth Alive's innovative products contribute to regenerative agriculture, natural dust suppression with minimal water use, and ecological, human-friendly industrial cleaning. For more information, please visit: https://earthalivect.com. EGZIT CORPORATION: Neema Varghese Named Subchapter V Trustee ------------------------------------------------------------ The U.S. Trustee for Region 11 appointed Neema Varghese of NV Consulting Services as Subchapter V trustee for Egzit Corporation. Ms. Varghese will be paid an hourly fee of $400 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. Varghese declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Neema T. Varghese NV Consulting Services 701 Potomac, Ste. 100 Naperville, IL 60565 Tel: (630) 697-4402 Email: nvarghese@nvconsultingservices.com About Egzit Corporation Egzit Corporation is a provider of general freight trucking services in Darien, Ill. Egzit Corporation filed Chapter 11 petition (Bankr. N.D. Ill. Case No. 24-13990) on Sept. 20, 2024, listing as much as $1 million to $10 million in both assets and liabilities. Ivan Stojanov, president, signed the petition. Judge Janet S Baer oversees the case. Peter C. Nabhani, Esq., serves as the Debtor's legal counsel. ELYSIUM AXIS: Unsecureds Will Get 10% of Claims over 5 Years ------------------------------------------------------------ Elysium Axis LLC filed with the U.S. Bankruptcy Court for the Central District of California a Plan of Reorganization for Small Business dated September 18, 2024. Since 2021, the Debtor has been in the business operating a rehabilitation facility in Garden Grove. The major event that precipitated the filing of the Debtor's Chapter11 bankruptcy case was the unlawful detainer proceeding filed by The Arnett Trust U.D.T., et al. against the Debtor, Cactus, The Florence A. Woodbright Trust, following a foreclosure sale of the property located at 13222 Chapman Avenue, Garden Grove, CA 92840. Non-priority unsecured creditors holding allowed claims will receive distributions, which the proponent of this Plan has valued at approximately 10 cents on the dollar. This Plan also provides for the payment of administrative and priority claims. Class 3 includes holders of general unsecured claims, except for Cactus Gardens Opportunity House, Inc. and The Florence A. Woodbright Trust. Holders of general unsecured creditors in Class 3 will receive a 10% pro-rata distribution on their allowed claims over 5 years, with the first payment due on the effective date, followed by 59 consecutive monthly payments, each due on the first day of each month. The monthly payments are $343.34. Class 3(a) consists of the claim of Cactus Gardens Opportunity House, Inc. Cactus is a party to a Transition Management Service Agreement with the Debtor. Since the claims of Cactus, The Florence Woodbright Trust and that of The Arnett Trust are intertwined, in order to determine plan treatment for Cactus, the Debtor requests that the Court order the parties to a Bankruptcy Mediation Panel. Class 3(b) consists of the claim of The Florence A. Woodbright Trust. Woodbright Trust filed two separate claims for pre-petition and post-petition delinquent rent obligation for the 13212 Chapman Avenue premises. Since the claims of Cactus, The Florence Woodbright Trust and that of The Arnett Trust are intertwined, in order to determine plan treatment for the Woodbright Trust, the Debtor requests that the Court order the parties to a Bankruptcy Mediation Panel. Distribution to creditors under this Plan will be funded primarily from cash on hand on the effective date, and business income of the Debtor. A full-text copy of the Plan of Reorganization dated September 18, 2024 is available at https://urlcurt.com/u?l=h6OZhP from PacerMonitor.com at no charge. Counsel to the Debtor: Michael Jay Berger, Esq. Sofya Davtyan, Esq. Law Offices of Michael Jay Berger 9454 Wilshire Boulevard, 6th Floor, Beverly Hills, CA 90212 Tel: (310) 271-6223 Fax: (310) 271-9805 Email: Michael.Berger@bankruptcypower.com Sofya.Davtyan@bankruptcypower.com About Elysium Axis LLC Elysium Axis, LLC owns and operates a health care business. In Garden Grove, Calif The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 24-11557) on June 20, 2024, with $500,000 to $1 million in assets and $1 million to $10 million in liabilities. John-Patrick Fritz serves as Subchapter V trustee. Judge Scott C. Clarkson presides over the case. Michael Jay Berger, Esq., at the Law Offices of Michael Jay Berger, represents the Debtor as bankruptcy counsel. Tamar Terzian has been appointed as patient care ombudsman in the Debtor's Chapter 11 case. ESE INDUSTRIES: Claims to be Paid From Auction Sale Proceeds ------------------------------------------------------------ ESE Industries, Inc. filed with the U.S. Bankruptcy Court for the Southern District of Florida a Plan of Reorganization for Small Business dated September 18, 2024. The Debtor is a corporation. Since 2014, the Debtor has been in the business of producing, marketing and selling carbon fiber products, mostly carbon fiber automobile rims. The Debtor is in the process of closing its production facility in Jasper, Georgia. The Plan Proponent's financial projections show that the Debtor will have projected disposable income of $10. The final Plan payment is expected to be paid at confirmation. The Plan will be funded based on the guaranteed auction. The auctioneer, RM Auctions, LLC d/b/a Revelation Machinery Auctions, has agreed to guarantee payment of $1,100,000 for the auctioned assets. In the event the assets sell for over this amount, the Debtor will be responsible for expenses of $30,000 plus the cost of the surety bond. The amount of $1,100,000 is being held in the attorney for the auctioneer's trust account. Upon approval of the guaranteed auction agreement, payment of $110,000 will be made to the Debtor. In the event the sale of the assets exceeds $1,230,000, the Debtor will be entitled to 9% of the buyer premium (which is 50% of the 18%) for the amount over $1,230,000. Upon consummation of the final sale, the administrative claims, Class 1 and Class 2 creditors shall be based on the treatment set forth in this Plan. Any remaining amounts will be paid to Class 3. Class 3 consists of Non-priority unsecured creditors. These creditors who have filed allowed proofs of claim will receive a distribution based upon the proceeds of the auction after payment of administrative claims, Class 1 claims and Class 2 claims. This Class is impaired. Class 4 consists of Equity security holders of the Debtor. The Equity Holders shall retain 100% of their equity interests in the Debtor. The Plan will be funded based on the guaranteed auction. The auctioneer, RM Auctions, LLC d/b/a Revelation Machinery Auctions, has agreed to guarantee payment of $1,100,000 for the auctioned assets. In the event the assets sell for over this amount, the Debtor will be responsible for expenses of $30,000 plus the cost of the surety bond. The amount of $1,100,000 is being held in the attorney for the auctioneer's trust account. Upon approval of the guaranteed auction agreement, payment of $110,000 will be made to the Debtor. In the event the sale of the assets exceeds $1,230,000, the Debtor will be entitled to 9% of the buyer premium (which is 50% of the 18%) for the amount over $1,230,000. Upon consummation of the final sale, the administrative claims, Class 1 and Class 2 creditors shall be based on the treatment set forth in this Plan. Any remaining amounts will be paid to Class 3. The Debtor will continue its operations on a limited basis by marketing is skills, intellectual property, molds and concepts in carbon fiber development. The Debtor's goal after funding the Plan upon confirmation will be to focus on sales and potential future collaborations within the industry. Carlos S. Hermida will remain the president. Jorge Cusco will remain as chairman of the board. The shareholders will retain their ownership interests. A full-text copy of the Plan of Reorganization dated September 18, 2024 is available at https://urlcurt.com/u?l=pVNehJ from PacerMonitor.com at no charge. Counsel to the Debtor: Richard R. Robles, Esq. Law Offices of Richard R. Robles, P.A. 905 Brickell Bay Drive, Suite 228 Miami, FL 33131 Telephone: (305) 755-9200 Email: rrobles@roblespa.com assistant@roblespa.com About ESE Industries ESE Industries, Inc. has been in the business of producing, marketing and selling carbon fiber products, mostly carbon fiber automobile rims. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 24-16126) on June 20, 2024, with $1 million to $10 million in both assets and liabilities. Carlos S. Hermida, president, signed the petition. Judge Robert A. Mark presides over the case. Richard R. Robles, Esq., at the Law Offices of Richard R. Robles, P.A. represents the Debtor as bankruptcy counsel. EXACTECH INC: Nov. 7 Deadline Set for Panel Questionnaires ---------------------------------------------------------- The United States Trustee is soliciting members for committee of unsecured creditors in the bankruptcy cases of Exactech Inc., et al. If a party wishes to be considered for membership on any official committee that is appointed, it must complete a questionnaire available at https://tinyurl.com/3wcuwxyx and return by e-mail it to Linda Casey, Esq. -- lindacasey@usdoj.gov -- at the office of the United States Trustee so that it is received no later than Thursday, November 7, 2024. If the U.S. Trustee receives sufficient creditor interest in the solicitation, it may schedule a meeting or telephone conference for the purpose of forming a committee. About Exactech Inc. Founded in 1985, Exactech Inc. and subsidiaries are a global medical device company that designs, manufactures, and markets joint replacement implants and related surgical instruments to help surgeons worldwide make patients more mobile. The Company's broad and innovative products include hip implants, knee implants, extremity implants, and ExactechGPS systems, among others. Exactech Inc. and four of its subsidiaries sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-12441) on October 29, 2024. The petitions were signed by Donna H. Edwards, general counsel and senior vice president. In its petition, the Debtors reported estimated consolidated assets and liabilities of $100 million to $500 million. Ropes & Gray LLP serves as general bankruptcy counsel to the Debtors, while Young Conaway Stargatt & Taylor LLP serves as co-bankruptcy counsel. Centerview Partners, LLC acts as investment banker to the Debtors and Riveron RTS, LLC acts as financial advisor. Kroll Restructuring Administration LLC is notice and claims agent to the Debtors. EXPERT AUTOMOTIVE: Jeanette McPherson Named Subchapter V Trustee ---------------------------------------------------------------- The U.S. Trustee for Region 17 appointed Jeanette McPherson, Esq., at Fox Rothschild, LLP, as Subchapter V trustee for Expert Automotive Equipment, LLC. Ms. McPherson will be paid an hourly fee of $625 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. McPherson declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Jeanette McPherson, Esq. Fox Rothschild, LLP 1980 Festival Plaza Drive, Suite 700 Las Vegas, NV 89135 Phone: (702) 699-5923 Email: TrusteeJMcPherson@FoxRothschild.com About Expert Automotive Equipment Expert Automotive Equipment LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Nev. Case No. 24-15307) on October 10, 2024, with $500,001 to $1 million in assets and $1 million to $10 million in liabilities. Michael J. Brock, Esq., represents the Debtor as legal counsel. FAIR OFFER: Hires BrickDriven Realty as Real Estate Agent --------------------------------------------------------- Fair Offer Cash Now, Inc. seeks approval from the U.S. Bankruptcy Court for the Middle District of Tennessee to employ BrickDriven Realty as real estate agent. The firm will market and sell the Debtor's real property located at 225 Duran Ball Road, Vina, Alabama 35593. The firm will be paid a commission of 6 percent of the gross proceeds of the sale. Mandy Ivy, a partner at BrickDriven Realty, 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 Ivy BrickDriven Realty 115 Helton Ct. Florence, AL 35630 Tel: (256) 766-000 About Fair Offer Cash Now, Inc. The Debtor owns 27 properties all located in Alabama, Kentucky, Missouri, Tennessee, Georgia and Mississippi having a total current value of $4.94 million. Fair Offer Cash Now, Inc. in Murfreesboro, TN, sought relief under Chapter 11 of the Bankruptcy Code filed its voluntary petition for Chapter 11 protection (Bankr. M.D. Tenn. Case No. 24-03495) on Sept. 11, 2024, listing $4,942,400 in assets and $4,783,400 in liabilities. Bradley Smotherman as president, signed the petition. Judge Charles M Walker oversees the case. LEFKOVITZ & LEFKOVITZ serve as the Debtor's legal counsel. FIG & FENNEL: Gets Court OK to Use Newtek's Cash Collateral ----------------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Florida, Fort Lauderdale Division granted the supplemental motion filed by Fig & Fennel at MIA, LLC and its affiliates to use the cash collateral of Newtek Small Business Finance, Inc. Newtek, a senior secured creditor, asserts a lien on the net proceeds from the sale of the companies' real property, which are currently held in trust. The sale proceeds totaling $374,750 constitute Newtek's cash collateral. The order, signed by Judge Scott Grossman, authorized the companies to pay $200,000 to Miami-Dade County, Florida, and $122,000 to Icebox OzFund, LLC from the net proceeds. Newtek will get the remainder of the proceeds. As protection, Newtek will continue to receive interest-only payments from the companies and will be granted a replacement lien on the $322,000 advanced from the net proceeds. About Fig & Fennel at MIA Fig & Fennel at MIA, LLC and affiliates are owners and operators of restaurants offering a broad selection of grab-and-go sandwiches, salads, bowls, snacks and desserts. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Lead Case No. 23-18515) on October 18, 2023. At the time of the filing, Fig & Fennel disclosed $2,956,271 in total assets and $523,057 in total liabilities. Judge Scott M. Grossman oversees the cases. Adam Leichtling, Esq., at Lapin & Leichtling, LLP, represents the Debtors as legal counsel. FINTHRIVE SOFTWARE: Moody's Cuts CFR to Ca, Outlook Stable ---------------------------------------------------------- Moody's Ratings downgraded FINThrive Software Intermediate Holdings, Inc.'s corporate family rating to Ca from Caa2 and probability of default rating to Ca-PD from Caa2-PD. Concurrently, Moody's also downgraded the senior secured first-lien bank credit facilities instruments ratings which includes a $150 million senior secured first lien multi-currency revolving credit facility and a $1,440 million senior secured first lien term loan to Caa3 from Caa1 ratings and the senior secured second-lien bank credit facility instrument rating which include a $460 million senior secured second lien term loan to C from Ca rating. The outlook changed to stable from negative. FinThrive is a US-based healthcare revenue cycle management provider. These ratings actions reflect FinThrive's very high debt leverage, which Moody's anticipates will remain above 15.0x (Moody's-adjusted, net of capitalized software expenses), as well as Moody's expectation for continued negative free cash flow in 2024 and the company's rapidly diminishing liquidity profile. While the company has not engaged in any further purchases of second-lien debt at discounts and has exhibited revenue growth for the quarter ended June 30, 2024, margin improvement is needed. The company is still unable to generate positive free cash flow and has continued to use its revolver to meet liquidity requirements. Availability under the revolving credit facility is wearing thin with only $30 million of availability. As a result, Moody's sees increased risk of default if the company is unable to improve margins and reverse its cash burn. Moody's expect cash flow to remain challenged over the next 12 months as a result of the very high interest expense burden, and for liquidity to remain weak absent any direct support from its financial sponsor. RATINGS RATIONALE The Ca CFR reflects Moody's anticipation for FinThrive's credit profile to remain constrained by steep interest rates in a highly levered capital structure, with debt/EBITDA above 15.0x as of June 30, 2024, and sustained negative free cash flow generation. Improvement in free cash flow and financial leverage remains uncertain in the face of FinThrive's elevated interest expense burden, especially if interest rates do not decline materially at a fast enough pace. Moody's anticipates that FinThrive will grow revenue in the low single-digit range but will still be unable to generate positive free cash flow. The company is still working through integration costs from previous acquisitions but anticipates more efficiencies will be realized in fiscal year 2025 and has undertaken measures to enhance cash flow, such as continuous reductions in employee costs as well as collections improvements. However, it is uncertain whether FinThrive can support its current interest expense burden without dependence on its revolver or external liquidity injections and remain a going concern within the current capital structure. The rating also considers a relatively short operating history for the company and high cost add-backs that limit visibility into the long-term growth, profitability and cash flow profile of the going concern. FinThrive benefits from a recurring revenue profile, supported by long term subscription contracts with volume floors, which reduces exposure to swings in elective procedure volumes. High profitability rates and an established market position also support the credit profile. Revenue Cycle Management (RCM) technology solutions are sticky and costly to replace, benefitting incumbent providers, as evidenced by good retention rates over 90% (per the company). Favorable long-term trends in the healthcare industry also support the rating as increasing regulatory complexity, shift to higher collections from patients, pressure to cut costs, and vendor consolidation will drive demand for RCM solutions. However, Moody's expect that FinThrive's core client base, mainly large hospital systems, will continue to face uncertain cost and resource constraints over the next 12 months, which will limit FinThrive's growth opportunities. The stable outlook reflects Moody's recovery expectations in the event of default, and Moody's view that the company's probability of default, including the potential for a debt restructuring, will remain at current levels as it executes its plan to address upcoming debt service obligations and manage its thin liquidity profile. The outlook also reflects Moody's expectation that FinThrive will continue to report free cash flow deficits over the next 12 months as some hospitals show willingness to expand their budgets for new implementations while others struggle or fail. Moody's expect slow revenue growth will keep debt/EBITDA leverage very high, above 15.0x. Leverage reduction and cash flow improvement will rely mostly on cost savings and optimization of working capital in conjunction with an improvement in revenues that the company has only just recently experienced. The company's ability to generate long-term positive free cash flow remains uncertain and will depend on the trajectory of interest rate benchmarks, as well as FinThrive's potential ability to boost revenue growth while improving profitability margins. Moody's views FinThrive's liquidity as weak, driven by Moody's expectation for sustained free cash flow deficits given the company's past track record. Access to a $150 million senior secured revolver ($120 million drawn as of September 30, 2024 reported by the company) provides limited support even though its upcoming expiration isn't until December 2026. There was only a modest amount of cash on the balance sheet of around $4 million as of the end of 2Q 2024. Annual amortization of the senior secured first-lien term loan is around $14 million and the company has fixed rate hedges in place for approximately 50% of its debt. The ratings for FinThrive's debt instruments reflect both the overall probability of default rating and the loss given default assessment of the individual debt instruments. The Caa3 ratings on the $1,440 million (at issuance) senior secured first-lien term loan maturing 2028 and the $150 million senior secured first-lien revolver due 2026, one notch above FinThrive's Ca CFR, reflect the facilities' priority position in the capital structure, ahead of the $460 million senior secured second-lien term loan due 2029, which is rated C. Past debt buybacks and amortization have reduced the size of the second-lien facility to $396 million. The first-lien debts has priority of payments, relative to the senior secured second-lien term loan, from the proceeds of any default- or bankruptcy-related liquidation. The revolver and term loan are secured by a first-lien pledge of substantially all the assets of FINThrive Software Intermediate Holdings, Inc. and its domestic subsidiaries. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if FinThrive can stabilize its debt capital structure and maintains revenue growth while improving EBITDA margins (absent add-backs), significantly reduces leverage and achieves some positive free cash flow. An improved liquidity profile that does not rely on revolver borrowings would also be needed for an upgrade. FinThrive's ratings could be downgraded if cash flow deficits continue, liquidity worsens, the company's operating performance is weaker than anticipated, refinancing risk rises, or Moody's perceive that the recovery prospects in the event of default could deteriorate further. The principal methodology used in these ratings was Software published in June 2022. Headquartered in Plano, Texas, and owned by private equity firm Clearlake, FINThrive Software Intermediate Holdings, Inc. provides healthcare revenue cycle management software-as-a-service (SaaS) solutions. The company's RCM offerings include patient access, patient registration and eligibility, insurance discovery, payment estimates, patient clearance, charge integrity, claims management, contract management, analytics, education, and other functions. For the twelve-month period ended June 30, 2024, the company generated over $400 million in revenue. FLEET SERVICES: Gets OK to Use Cash Collateral Until Dec. 10 ------------------------------------------------------------- Fleet Services Group, LLC received interim approval from the U.S. Bankruptcy Court for the Central District of California, Los Angeles Division, to use cash collateral until Dec. 10. The company requires the use of cash collateral of its secured creditors, National Funding, the California Department of Tax and Fee Administration, and the U.S. Small Business Administration, to pay its operating costs. Fleet Services Group owes SBA approximately $500,000; National Funding, $132,282; and CDTFA, $178,693. As adequate protection, SBA will be granted a replacement lien on the company's post-petition asset and will receive a monthly payment of $907, starting this month. Fleet Services Group is not offering any monthly payment to CDTFA and National Funding other than replacement liens (with the same priority and validity as their pre-bankruptcy liens) because their interests are fully undersecured and likely to be reduced to general unsecured claims through the company's reorganization plan. The final hearing is scheduled for Dec. 10. About Fleet Services Group Fleet Services Group, LLC is a diesel repair shop in Los Angeles that provides fleet maintenance and repair services for light, medium, and heavy-duty fleets. With services ranging from engine repair to custom welding and fabrication, Fleet Services Group has the means and expertise to successfully perform a wide array of repair and maintenance services. Fleet Services Group sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bank. C.D. Calif. Case No. 24-18551) on October 18, 2024, with $179,140 in assets and $1,098,325 in liabilities. Janelle Juarez, managing member, signed the petition. Michael Jay Berger, Esq., at the Law Offices of Michael Jay Berger, represents the Debtor as bankruptcy counsel. FORGE FLIGHTWORKS: Gets Final OK to Use Cash Collateral ------------------------------------------------------- Forge Flightworks, Inc. received final approval from the U.S. Bankruptcy Court for the Middle District of Tennessee to use cash collateral to pay its operating expenses. The final order approved the use of cash collateral for the period from Oct. 22, 2024 to Jan. 10, 2025, as outlined in the company's budget, with a 10% variance. To protect lienholders, including Newtek Bank, N.A. and GCM Capital LLC, the court ordered Forge Flightworks to maintain a positive balance in its debtor-in-possession (DIP) account. In addition, the company was ordered to make two payments of $7,500 each to be held in escrow pending final adjudication as to the identity of the lienholder with first position lien on the company's assets that constitute cash collateral. The court will hold a hearing on Jan. 7 next year to the extent Forge Flightworks requires an extension to use cash collateral. About Forge Flightworks Forge Flightworks Inc. -- https://www.forgeflightworks.com -- operates as an avionics service center. It installs, maintains, and repairs avionics systems, interiors, engines, and airframe systems for general aviation aircraft, business jets, twin turboprops, and single-engine piston airplanes. The company serves in the State of Tennessee. Forge Flightworks filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. M.D. Tenn. Case No. 24-03831) on October 4, 2024, with $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Van Mark Lee, chief executive officer, signed the petition. Judge Nancy B. King oversees the case. The Debtor is represented by Dunham Hildebrand Payne Waldron, PLLC. FREIRICH FOODS: Seeks to Extend Plan Exclusivity to Feb. 1, 2025 ---------------------------------------------------------------- Freirich Foods, Inc. asked the U.S. Bankruptcy Court for the Middle District of North Carolina to extend its exclusivity periods to file a plan and disclosure statement and obtain confirmation thereof to February 1, 2025 and April 1, 2025, respectively. The Debtor explains that it has continued operations, obtained authority to use cash collateral, filed all necessary reports, and generally complied with all requirements imposed by the Bankruptcy Rules, the Local Rules, and Orders of this Court. The Debtor has continued plan negotiations with First National Bank of Pennsylvania ("FNB"), the single largest creditor in this case and whose claim is secured by a properly perfected blanket lien on substantially all property of the estate. The Debtor claims that it has commenced an adversary proceeding against Americold Logistics, LLC (AP No. 24-06005, the "Americold Litigation"), in which the Debtor seeks to recover the damages suffered by the Debtor in an amount to be determined. This adversary proceeding is in the early stages, the matter has been referred to arbitration, and the arbitration hearing is presently scheduled to commence on September 8, 2025. In light of the expected delay in resolving the disputed claims in the arbitration process, the Debtor filed a motion seeking approval of a process to solicit bids for the purchase of the Debtor's business as a going concern, subject to bidding procedures and approval by the Court after notice and hearing. The Debtor cites that on August 23, 2024, the Court entered an order approving the sale process, and as part of the approved bidding procedures the Court established deadlines for designating a stalking horse bid (October 18, 2024), submissions of bids (November 20, 2024), an auction if needed (November 25, 2024), and a hearing to consider approval of any proposed sales (November 26, 2024). The Debtor asserts that the outcome of the sale process will directly and materially affect the proposed plan of reorganization and the information to be contained in the disclosure statement. If one or more asset sales are approved by the Court, closings would likely occur in December 2024 or January 2025. Freirich Foods, Inc. is represented by: John A. Northen, Esq. Northen Blue, LLP PO Box 2208 Chapel Hill, NC 27515 Tel: (919) 968-4441 E-mail: jan@nbfirm.com About Freirich Foods Freirich Foods, Inc. is a deli meat processor that produces dry open-oven roasted products. Freirich Foods has been supplying specialty meats to select grocers and delis since 1921. Although initially opened in New York, the business is headquartered in Salisbury, North Carolina today and has been managed by four generations of the Freirich family. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D.N.C. Case No. 24-50204) on March 20, 2024. In the petition signed by Paul Bardinas, president, the Debtor disclosed $13,015,005 in assets and $14,524,627 in liabilities. Judge Benjamin A. Kahn oversees the case. John A Northen, Esq., at NORTHEN BLUE LLP, is the Debtor's legal counsel. FUEL REYNOLDA: Seeks Court OK to Use Cash Collateral ---------------------------------------------------- Fuel Reynolda, LLC asked the U.S. Bankruptcy Court for the Eastern District of North Carolina, Raleigh Division, for authority to use the cash collateral of its secured creditors until Nov. 21. The company requires the use of cash collateral to pay its operating expenses set forth in its budget, with a 10% variance. Live Oak Banking Co. and CFC Merchant Solutions assert an interest in the company's cash collateral. The secured creditors, together, assert $735,000 in claims. Fuel Reynolda proposed adequate protection to the secured creditors in the form of replacement liens in after-acquired revenue to the same extent as they had prior to its bankruptcy. About Fuel Reynolda Fuel Reynolda, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. N.C. Case No. 24-03700) on October 22, 2024, with up to $500,000 in assets and up to $10 million in liabilities. Christopher Shawn Stewart, member-manager, signed the petition. Philip M. Sasser, Esq., at Sasser Law Firm, represents the Debtor as bankruptcy counsel. G-FORCE POWERSPORTS: Christine Brimm Named Subchapter V Trustee --------------------------------------------------------------- Gerard Vetter, Acting U.S. Trustee for Region 4, appointed Christine Brimm, Esq., as Subchapter V trustee for G-Force Powersports, Inc. Ms. Brimm, a practicing attorney in Myrtle Beach, S.C., will be paid an hourly fee of $350 for her services as Subchapter V trustee and an hourly fee of $150 for paralegal services. In addition, the Subchapter V trustee will receive reimbursement for work-related expenses incurred. Ms. Brimm declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Christine E. Brimm P.O. Box 14805 Myrtle Beach, SC 29587 Telephone: 803-256-6582 Email: cbrimm@bartonbrimm.com About G-Force Powersports G-Force Powersports Inc. is a merchant wholesaler of motor vehicle and motor vehicle parts and supplies. G-Force Powersports Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.S.C. Case No. 24-03718) on October 14, 2024. In the petition filed by Gary Fallon, as president, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $1 million and $10 million. The Debtor is represented by: Robert Pohl, Esq. Pohl Bankruptcy, LLC 8 West McBee Avenue Suite 215 Greenville, SC 29601 Tel: 864-361-4827 Fax: 864-558-5291 Email: Robert@PohlPA.com GALLERIA 2425: Hilco Closes $27M Bankruptcy Sale of Houston Office ------------------------------------------------------------------ Through a contentious bankruptcy process, Hilco Real Estate Sales (HRE) proudly announces the successful sale of an 11-story, 285,000+/- SF Class A office building for $27 million. HRE was engaged by Galleria 2425 Trustee, Jones Murray LLP, to manage the Chapter 11 Bankruptcy sale of this property located at 2425 West Loop South in Houston, Texas. The HRE team served as advisors, establishing a comprehensive marketing and sale process that effectively maximized interest in the asset. During a focused one-month marketing period, HRE targeted the Southwest region and the local Houston area, generating nearly 31,000 views across its listing platforms. After a competitive virtual auction, the sale resulted in two offers with the final price significantly exceeding the court approved minimum bid by $7.25 million. Ben Zaslav, director of business development at Hilco Real Estate Sales, stated, "Our team's deep understanding of the bankruptcy process and the nuances of real estate sales allow us to help clients achieve the best possible outcomes. By providing targeted, actionable solutions and driving speed-to-value, we consistently help our bankruptcy clients maximize the value of their commercial real estate assets. This is what sets HRE apart in a competitive market." Steve Madura, senior vice president at Hilco Real Estate Sales, added, "Executing a successful sale within a tight 30-day window required rapid and strategic marketing efforts, along with efficient management of inquiries, showings and negotiations. This urgency often necessitates compromises, but in this case, we were able to maximize the property's value while closing the deal quickly." The sale was completed within 30 days following the sale confirmation hearing, showcasing HRE's ability to deliver exceptional results under tight deadlines. For more information about this transaction or to inquire about other opportunities, please visit HilcoRealEstateSales.com or call (855) 755-2300. About Hilco Real Estate Sales Successfully positioning the real estate holdings within a company's portfolio is a material component of establishing and maintaining a strong financial foundation for long-term success. At Hilco Real Estate Sales (HRE), a Hilco Global company (HilcoGlobal.com), we advise and execute strategies to assist clients seeking to optimize their real estate assets, improve cash flow, maximize asset value and minimize liabilities and portfolio risk. We help clients traverse complex transactions and transitions, coordinating with internal and external networks and constituents to navigate ever-challenging market environments. The trusted, full-service HRE team has secured billions in value for hundreds of clients over 20+ years. We are deeply experienced in complex transactions including artful lease renegotiation, multi-faceted sales structures, strategic asset management and capital optimization. We understand the legal, financial, and real estate components of the process, all of which are vital to a successful outcome. HRE can help identify the most viable options and direction for a company and its real estate portfolio, delivering impressive results in every situation. About Galleria 2425 Owner, LLC Galleria 2425 Owner LLC is a Single Asset Real Estate as defined in 11 U.S.C. Section 101(51B). Galleria 2425 Owner LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 23-60036) on July 5, 2023. In the petition filed by Dward Darjean, as manager, the Debtor reports estimated assets between $10 million and $50 million and estimated liabilities between $50 million and $100 million. The Honorable Bankruptcy Judge Christopher M. Lopez oversees the case. The Debtor is represented by Melissa S Hayward, Esq., at Hayward & Associates PLLC. GARDA WORLD: Fitch Assigns 'B-' Rating on Sr. Unsecured Notes ------------------------------------------------------------- Fitch Ratings has assigned a 'B-' with a Recovery Rating of 'RR6' to Garda World Security Corporation's (GW) proposed issuance of new senior unsecured notes. Fitch currently rates GW's Long-Term Issuer Default Rating (IDR) 'B+', the existing senior secured debt 'BB'/'RR2' and senior unsecured notes 'B-'/'RR6'. The Rating Outlook is Stable. The new notes will be used to refinance existing senior notes and fund the acquisition of Stealth. The acquisition adds to Garda's remote monitoring capabilities and is its second large acquisition in FY 25. Fitch forecasts proforma EBITDA interest coverage of 1.9x and EBITDA leverage of 7.2x. Fitch's rating considers a level of debt-funded acquisition activity that weaken metrics followed by a return to 'B+' tolerances. The recent pace and size of deals are above historical levels heightening sensitivity to integration execution risks, but Fitch believes GW's acquisition track record help alleviate these concerns. Fitch forecasts FY26 EBITDA interest and EBITDA leverage subsequently improving to the low-2.0x and mid-6.0x, respectively. Fitch's ratings also consider GW's highly-recurring revenue model and flexible cost structure which helps maintain financial flexibility. Its track record of growth improving size, scale and diversification is also enhancing its ability to support strategic growth opportunities. Key Rating Drivers New Notes Rated 'B-'/'RR6': GW plans to issue new senior unsecured notes with a tenor of eight years. The proceeds will be used to refinance the 9.50% senior unsecured notes due 2027 and fund the Stealth acquisition, as well as for general corporate purposes. The 'B-'/'RR6' rating reflects the new notes relative priority of ranking in GW's capital structure, behind CAD4.4 billion of senior secured debt and its $402 million revolving credit facility. Forecasted 2x Coverage, Improving FCF: Pro forma for the acquisitions and debt issuance, EBITDA interest coverage is approximately 1.9x, up from 1.6x in FY 2024. Subsequently, Fitch expects coverage to improve to the low-2.0x, with SOFR rates trending toward the mid-3.0% over the medium term, EBITDA growth and a modest benefit from favorable repricing actions. PF FY 2025 FCF (Fitch reduces reported cash from operations by capex, cash interest, and Fitch's calculation of lease costs) is expected to be slightly positive and improving. This a notable improvement from FY 2024, which was negative CAD269 million mainly due to growth-linked working capital investment and one-time costs. Fitch calculated FCF in fiscal 1H25 was negative CAD327 million due to a large working capital investment in fiscal 2Q25. A large working capital unwind is expected in fiscal 2H25 as backed-up inventory deliveries are made and new large contract initiation is complete. Fitch forecasts around CAD1,030 million of EBITDA on a PF basis in FY 2025, up from CAD790 million in FY 2024. Going forward Fitch expects working capital investments to remain in the CAD 50 million - CAD 100 million range depending on the pace of growth. Post-Acquisition 7x Leverage, Improving to Mid-6x: Fitch forecasts EBITDA leverage of 7.2x on a pro forma FY 2025 basis before improving to mid-6.0x with a moderation in M&A activity and continued growth. Fitch believes Garda has an active M&A pipeline, which is likely to cause fluctuations in leverage over time. While Garda does not have a target leverage level (opting instead to manage to around 2.0x interest coverage), the larger scale EBITDA achieved over the last few years and expectation of positive FCF provide greater visibility to deleveraging capacity within the business. GW recently announced that BC Partners will sell a large stake in the business and Fitch assumes the transaction will be leverage neutral, consistent with company comments. Recurring Revenue Services: GW's ratings benefit from the stable, recurring nature of its security and cash management services, and like similarly rated peers that benefit from stable cash flows, this offsets concerns regarding credit metrics weaker than typical 'B+' levels. Security services, which make up the largest proportion of revenue, are fairly insulated against customer activity levels and more dependent on locations open. Contract lengths with customers can vary, though are typically on a multi-year basis for government and infrastructure-related customers. The cash management segment benefits from multi-year contracts with revenues tied to services stops and monthly fees instead of monetary value of cash-in-transit. The global balance of cash in circulation continues to rise, despite proliferation of non-cash payments methods, and in periods of economic weakness cash balances tend to grow more quickly. Improving Financial Flexibility: Success in strengthening FCF adds to Garda's financial flexibility, a priority for management, as it aims to build a FCF profile that can fund organic growth investments and measured M&A activity. Fitch also believes Garda retains cash flow flexibility with significantly reduced working capital investment and lower one-time, often transaction-linked, costs in a possible downturn scenario by moderating growth and M&A activity. Revenue and Operating Margin Growth: Organic revenue growth has been consistently positive over the last four years, with the exception of neutral growth in FY 2021, aligning with the pandemic. Adjusted EBITDA margins have also improved, rising to around 13% in FY 2024 form 11% in FY 2021. The results reflect a good demand environment for GW's services, including market share gains, new platform build out in the Sesami business, new business wins in cash management, moderating labor cost inflation and elevated overtime, and continued dedication to quality of revenue priorities within its contracts. Good Competitive and Market Position: GW's high customer retention rates, reported to be generally in the mid-90% or higher, indicate a good degree of market strength. GW typically holds a top three position in its geographic markets with particular strength in Canada. The security services market is fragmented and with low barriers to entry, though the ability to manage a large workforce that can service large, multi-location customers has supported GW's market position. Derivation Summary Fitch compares GW with cash management peer The Brink's Company (BCO; BB+/Stable) and other personnel-heavy transportation companies such as First Student BidCo, Inc's (BB-/Negative) and Waste Pro USA Inc. (WP; B+/Stable). Garda and the three peers are expected to benefit from relatively steady demand and earnings profiles due to the highly recurring and contracted nature of respective business models. BCO's rating reflects its stable and consistently positive FCF and expectation that leverage trends to the mid-to-high 3.0x in the medium term. Garda has relatively high EBITDA leverage compared with First Student's EBITDAR leverage in the low-to-mid 5.0x and WP's EBITDA leverage expected to be in the 4.5x-5.0x range over the long term. Key Assumptions - Revenue growth (before acquisitions) in the low double digits in FY 2025, driven by new contract wins including the large CATSA business; - PF FY25 EBITDA of approximately CAD1,030 million with consistent profitability thereafter; - Extraordinary costs moderate but remain around CAD100 million per year; - Working capital cash investment of about CAD100 million in FY 2025, down from around CAD200 million in FY 2024, before sustaining a moderate level of growth investment; - M&A is assumed over the next few years, though at a more moderate pace than FY 2025. Garda continues to primarily utilize debt financing. Recovery Analysis The recovery analysis assumes that GW would be reorganized as a going concern (GC) in bankruptcy rather than liquidated. Fitch has assumed a 10% administrative claim. Fitch estimates a GC EBITDA of CAD740 million, reflecting pro form adjustments for acquisitions. The GC EBITDA estimate reflects Fitch's view of a sustainable, post-reorganization EBITDA level, upon which Fitch bases the enterprise valuation. This estimate reflects a potential weakening in cash services market and an increased competitiveness in the security services market. It also reflects corrective measures taken in reorganization to offset the adverse conditions that triggered default such as cost-cutting, contract repricing and industry recovery. Fitch assumes a GC recovery multiple of 6.0x. The multiple reflects GW's valuation when BC Partners invested in fiscal 2020 at about 10x EBITDA, publicly traded peers around 10x and acquisition multiples ranging from under 5.0x to about 10x across the security services and cash management space. The analysis results in a 'RR2' Recovery Rating for the first-lien debt and 'RR6' for the CAD2.8 billion of senior unsecured notes. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - A change in financial and capital allocation policy that supports EBITDA leverage sustained below 5.5x; - Improved cash flow generation supports FCF margin sustained above the low single digits. Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Fitch-calculated EBITDA leverage sustained above the mid-6.0x; - Fitch-calculated EBITDA interest coverage sustained below 2.0x; - An inability to generate FCF that heightens liquidity and refinancing risks. Liquidity and Debt Structure Comfortable Liquidity: GW's liquidity as of July 31, 2024, consisted of CAD187 million of cash and CAD424 million of availability under its revolving credit facility. The note issuance is also expected to moderately add to GW's liquidity position. The term loan amortizes at 1% per year and the USD570 million senior secured notes mature first in February 2027. Preferred Shares Assigned 50% Equity Credit: Fitch has assigned 50% equity credit to GW's CAD300 million of preferred stock. Fitch views the preferred stock as a hybrid instrument as it is issued within the rated entity by GW, subordinated to the senior debt and has a cash-pay cumulative dividend. There are no event of default or cross-default provisions between the preferred stock and GW's debt. Issuer Profile Garda World Security Corporation is a privately held cash logistics and private security firm based in Canada. It has a global scale of operations that is supported by over 120,000 employees. Date of Relevant Committee 19 July 2024 MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Macro and Sector Forecasts data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. ESG Considerations The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Recovery ----------- ------ -------- Garda World Security Corporation senior unsecured LT B- New Rating RR6 GOOD NATURED: Obtains CCAA Court Approval of Sale ------------------------------------------------- good natured Products Inc., a North American leader in eco-friendly food packaging, bio-based plastic extrusion and plant-based products, announced on November 1, 2024, that the Supreme Court of British Columbia has approved, pursuant to an approval and reverse vesting order granted under the Companies' Creditors Arrangement Act, the previously announced transaction whereby HUK 149 Limited, a private United Kingdom limited company, an affiliate of UK based turnaround investor Hilco Capital, will acquire the Company and its subsidiaries (other than certain excluded assets and liabilities to be transferred directly or indirectly to a newly incorporated entity) pursuant to the terms of a subscription agreement entered into between the Company and Hilco. The Company will seek recognition of the Court approval in the Company's Chapter 15 proceedings in the United States Court on or about November 8, 2024. Subject to receipt of approval of the United States Court, among other closing conditions set out in the Agreement being satisfied or waived, the Transaction is anticipated to close on or about November 12, 2024. Upon the completion of the Transaction, the business and operations of the Company are expected to continue in ordinary course. Based on the terms of the Agreement and the consideration to be received by the Company, holders of the Company's existing common shares will not receive any payments for, or distributions on, their common shares in connection with the CCAA proceedings, nor will they hold any interest in the Company following the completion of the Transaction. Upon the closing of the Transaction, all current directors of the board of directors of the Company, other than Paul Antoniadis, will resign from their positions. Additionally, on or before the closing of the Transaction, the common shares of the Company are expected to be suspended from the NEX Board of the TSX Venture Exchange and delisted within 30 days. Trading in the common shares of the Company has been halted on the NEX Board of the TSX Venture Exchange and will remain halted as confirmed by the TSX Venture Exchange. Additional information regarding the CCAA proceedings and all of the Court materials filed in the CCAA proceedings, may be found at the Monitor's website: https://www.alvarezandmarsal.com/goodnatured About good natured Products Inc. good natured(R) is at the forefront of North America's shift toward sustainability, showcasing over 90 plant-based packaging designs and an extensive portfolio of more than 400 products and services. These offerings are purposefully designed to reduce environmental impact by using more renewable materials, less fossil fuel, and eliminating chemicals of concern. Manufactured locally in the US and Canada, good natured(R) engineers and distributes a diverse range of bio-based products across various sectors, including grocery, restaurant, electronics, automotive, and pharmaceutical via both wholesale and direct channels. The Company is dedicated to providing an industry-leading customer experience in order to encourage the transition to renewable alternatives. By making it easy and affordable for businesses to adopt bio-based products and packaging, good natured(R) aims to empower them to reach their sustainability objectives. HDC HOLDINGS II: Committee Hires Epiq as Administrative Advisor --------------------------------------------------------------- The official committee of unsecured creditors of HDC Holdings II, LLC and its affiliates seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Epiq Corporate Restructuring, LLC as administrative advisor. The firm will provide these services: a. assist with, among other things, solicitation, balloting and tabulation of votes, and prepare any related reports, as required in support of confirmation of a chapter 11 plan, and in connection with such services, process requests for documents from parties in interest, including, if applicable, brokerage firms, bank back-offices and institutional holders; b. prepare an official ballot certification and, if necessary, testify in support of the ballot tabulation results; c. assist with the preparation of the Debtors' schedules of assets and liabilities and statements of financial affairs and gather data in conjunction therewith; d. provide a confidential data room, if requested; e. manage and coordinate any distributions pursuant to a chapter 11 plan; and f. provide such other processing, solicitation, balloting and other administrative services described in the Engagement Agreement, but not included in the Section 156(c) Application, as may be requested from time to time by the Debtors, the Court or the Office of the Clerk of the Bankruptcy Court. The firm will be paid at these rates: IT/Programming $65 to $85 Case Managers $85 to $185 Project Managers/Consultants/ Directors $185 to $195.00 Solicitation Consultant $195.00 Executive Vice President, Solicitation $195.00 Executives No Charge The firm will be paid a retainer in the amount of $25,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Sophie Frodsham, a Consulting Director at Epiq Corporate Restructuring, 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: Sophie Frodsham Consulting Director Epiq Corporate Restructuring, LLC 777 Third Avenue, 12th Floor New York, NY 10017 Tel: (646) 282-2523 About HDC Holdings II, LLC HDC Holdings II, LLC, and its affiliates are providers of secondary merchandise which serves a loyal customer base of treasure hunters and value seekers in underserved secondary and tertiary retail markets. The Debtors' brands include Dirt Cheap, Treasure Hunt, and Dirt Cheap Building Supplies. Through these business lines, the Debtors sell a variety of merchandise, including apparel and footwear, building supplies, toys and electronics, furniture, seasonal items, and health and beauty products, among others. The Company focuses on addressing the retail needs of its consumer customers through wholesale brick and mortar retail locations located throughout the southern United States, primarily in Mississippi and Louisiana. In early September 2024, the Debtors retained Mosaic as turnaround advisors and Young Conaway Stargatt & Taylor, LLP as restructuring counsel. Shortly thereafter, Jeffrey Martin was appointed CRO. HDC Holdings II LLC and its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-12307) on Oct. 10, 2024. In the petition filed by Jeffrey Martin, as chief restructuring officer, HDC Holdings estimated assets and liabilities between $100 million and $500 million each. Young Conaway Stargatt & Taylor, LLP is the bankruptcy counsel. Epiq is the claims agent. HDC HOLDINGS II: Committee Hires Mosaic Growth Partners as CRO -------------------------------------------------------------- The official committee of unsecured creditors of HDC Holdings II, LLC and its affiliates seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Mosaic Growth Partners as chief restructuring officer. The firm's services include: a. directing the day-to-day management of the Debtors' store closing sales, liquidation, and wind-down related efforts (the "Wind-Down"), including any related financing and claims reconciliation or settlements related thereto and the negotiation and implementation of the foregoing; b. managing cash forecasting and liquidity management procedures in connection with the Wind-Down; c. marketing the Debtors' assets, as applicable; and d. taking any and all actions necessary to fulfill the responsibilities set forth above. The firm will be paid as follows: a. The firm will be paid the following flat monthly fees for its services: Period Rate Month 1 (Sept 2024) $175,000 USD Month 2 (Oct 2024) $150,000 USD Month 3 (Nov 2024) $125,000 USD Each month thereafter $100,000 USD b. Additionally, the firm will be paid an additional fee of $200,000, payable on January 1, 2025, upon successfully meeting the debt recovery target outlined in the Budget submitted to the Prepetition ABL Agent, plus 10 percent of any surplus debt recovery from that outlined in the Budget (collectively, the "Additional Fee"). c. The firm will be reimbursed for reasonable and documented out-of-pocket expenses incurred in connection with its engagement, such as travel, lodging, local transportation, reasonable working meals, duplication, messenger and other delivery fees. Jeffrey Martin, a partner at Mosaic Growth Partners, 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 Martin Mosaic Growth Partners Suite 603, 360 Pearl Street, Burlington, ON L7R 1E1 Tel: (905) 622-7507 About HDC Holdings II, LLC HDC Holdings II, LLC, and its affiliates are providers of secondary merchandise which serves a loyal customer base of treasure hunters and value seekers in underserved secondary and tertiary retail markets. The Debtors' brands include Dirt Cheap, Treasure Hunt, and Dirt Cheap Building Supplies. Through these business lines, the Debtors sell a variety of merchandise, including apparel and footwear, building supplies, toys and electronics, furniture, seasonal items, and health and beauty products, among others. The Company focuses on addressing the retail needs of its consumer customers through wholesale brick and mortar retail locations located throughout the southern United States, primarily in Mississippi and Louisiana. In early September 2024, the Debtors retained Mosaic as turnaround advisors and Young Conaway Stargatt & Taylor, LLP as restructuring counsel. Shortly thereafter, Jeffrey Martin was appointed CRO. HDC Holdings II LLC and its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-12307) on Oct. 10, 2024. In the petition filed by Jeffrey Martin, as chief restructuring officer, HDC Holdings estimated assets and liabilities between $100 million and $500 million each. Young Conaway Stargatt & Taylor, LLP is the bankruptcy counsel. Epiq is the claims agent. HEALTHCARE HOLDINGS: Voluntary Chapter 11 Case Summary ------------------------------------------------------ Fourteen affiliates that concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- Healthcare Holdings of Florida LLC (Lead Case) 24-21355 3313 West Commercial Boulevard Suite 130 Fort Lauderdale, FL 33309 Healthcare Holdings 9, LLC 24-21356 HHMA Holdings LLC 24-21357 HHMA LLC 24-21359 CWGL Holdings, LLC 24-21360 Able Palms Holdings, LLC 24-21361 Able Palms Home and Health Care Services, Inc. 24-21362 Home Care Resources Holdings, LLC 24-21364 Home Care Resources Home Health Agency, LLC 24-21365 Senior Nannies Holdings, LLC 24-21367 Senior Nannies Management Services, LLC 24-21368 SN Home Healthcare, LLC 24-21369 Senior Nannies Home Care Services, LLC 24-21370 Senior Advantages Assisted Living Placement Services, LLC 24-21371 Business Description: The Debtors constitute a business enterprise that collectively provide a full suite of home care services, including custodial care, skilled care, and senior placement services, particularly for senior patients in the State of Florida. The Debtors' business spans 14 office locations and provides services to 46 counties across the state, with a workforce of approximately 1,400 medical professionals and service providers. Chapter 11 Petition Date: October 30, 2024 Court: United States Bankruptcy Court Southern District of Florida Judge: Hon. Scott M Grossman Debtors' Bankruptcy Counsel: Joseph A. Pack, Esq. Kelsi A. Cronkhite, Esq. Jessey J. Krehl, Esq. PACK LAW 51 Northeast 24th Street, Suite 108 Miami, Florida 33137 Tel: (305) 916-4500 Email: joe@packlaw.com Email: kelsi@packlaw.com Email: jessey@packlaw.com Lead Debtor's Estimated Assets: $1 million to $10 million Lead Debtor's Estimated Liabilities: $1 million to $10 million The petitions were signed by Gary R. Loffredo as CEO and manager. The Debtors failed to include in the petitions lists of their 20 largest unsecured creditors. A full-text copy of the Lead Debtor's petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/W5G4XYQ/Healthcare_Holdings_of_Florida__flsbke-24-21355__0001.0.pdf?mcid=tGE4TAMA HIRSCH GLASS: Case Summary & 12 Unsecured Creditors --------------------------------------------------- Debtor: Hirsch Glass Corporation 115 Melrich Road, Suite 2 Cranbury, NJ 08512 Business Description: The Debtor is a stone supplier in New Jersey. Chapter 11 Petition Date: November 1, 2024 Court: United States Bankruptcy Court District of New Jersey Case No.: 24-20881 Debtor's Counsel: Marc C. Capone, Esq. GILLMAN CAPONE LLC 60 Highway 71 Unit 2 Spring Lake, NJ 07762 Tel: (732) 528-1166 Email: mcapone@gillmancapone.com Total Assets: $6,562,458 Total Liabilities: $2,554,600 The petition was signed by Helen Zhao as partner/EVP. A full-text copy of the petition containing, among other items, a list of the Debtor's 12 unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/UH2RLQY/Hirsch_Glass_Corporation__njbke-24-20881__0001.0.pdf?mcid=tGE4TAMA HYPERION EDUCATION: Case Summary & One Unsecured Creditor --------------------------------------------------------- Debtor: Hyperion Education Town Center, LLC d/b/a Childcare of Brandon 8665 Escondido Way E Boca Raton, FL 33433 Business Description: Childcare of Brandon provides childcare and educational programs for children ages 2 years to 12 years old. It offers a variety of programs including early preschool, preschool, and Voluntary prekindergarten (VPK). It also offers after school care and summer camps for elementary age children at varying locations. Chapter 11 Petition Date: November 1, 2024 Court: United States Bankruptcy Court Southern District of Florida Case No.: 24-21550 Judge: Hon. Erik P Kimball Debtor's Counsel: Robert C. Furr, Esq. FURR & COHEN 2255 Glades Road, Suite 419A Boca Raton, FL 33431 Email: rfurr@furrcohen.com Total Assets: $10,923 Total Liabilities: $2,160,241 The petition was signed by Jeffrey J. Renard as manager. The Debtor listed Bank of America located at 100 N Tyron St, Charlotte, NC 28202 as its sole unsecured creditor holding a claim of $20,000. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/S7U42EI/Hyperion_Education_Town_Center__flsbke-24-21550__0001.0.pdf?mcid=tGE4TAMA ILUMIVU INC: Court Approves Interim Use of Cash Collateral ---------------------------------------------------------- Ilumivu, Inc. received interim approval from the U.S. Bankruptcy Court for the Western District of North Carolina to use cash collateral. The interim order approved the use of cash collateral for the period from Oct. 17 to Nov. 20 to pay the expenses specified in the company's budget. The budget shows total projected expenses of $104,849. The company's lenders, Health Catalyst Capital Annex Fund I, L.P. and Pisgah Fund, LLC, were granted security interest in, and lien on, all property of Ilumivu but only to the extent of any diminution in the value of their collateral. Ilumivu was permitted to pay trailing expenses, which include allowed administrative fees, costs or expenses to the extent incurred post-petition and prior to the termination of its use of cash collateral but in the aggregate amount not to exceed 110% of the aggregate amounts on a cumulative basis as set forth in the budget. The final hearing is scheduled for Nov. 20. About Ilumivu Inc. Ilumivu Inc. is a digital therapeutics company founded in 2009 to help those struggling with mental and behavioral health issues. The ivu platform combined with mEMA is a robust, patient centered, software platform designed to capture rich, multimodal behavioral data streams through user engagement. Ilumivu sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D.N.C. Case No. 24-10169) on Sept. 16, 2024, with $1 million to $10 million in both assets and liabilities. Lauren Flickinger, chief executive officer, signed the petition. Judge George R. Hodges handles the case. The Debtor is represented by Richard S. Wright, Esq., at Moon Wright & Houston, PLLC. INFINITE PROPERTIES: Rental Income to Fund Plan Payments -------------------------------------------------------- Infinite Properties, LLC, filed with the U.S. Bankruptcy Court for the Northern District of Florida a Disclosure Statement describing Plan of Reorganization dated September 18, 2024. The Debtor was formed in 2012 as a real estate holding company. The Debtor's income is derived from rent received from commercial tenants at its properties located in Gainesville, Florida as well as Marietta, Georgia. For the last five years, the Debtor enjoyed a good working relationship with its primary lender, Southstate Bank, N.A. f/k/a Centerstate Bank. Through the Petition Date, the Debtor made every single payment to Southstate under the loan agreements and otherwise complied with all covenants and obligations under the loan facilities. However, the relationship soured in January 2024 when Southstate issued a purported default notice and demand for cure to the Debtor and the related guarantors. In response, the Debtor moved quickly to ensure all financial reporting information was timely produced. Additionally, the Debtor also demonstrated to Southstate that the asserted DSCR default was not true and provided financial information to prove in a variety of ways. The Debtor also offered to further improve its ratio by securing an additional tenant. When pressed for Southstate's calculations, the bank refused and requested that the loans be paid off. In late May 2024, Southstate filed an action to foreclose against the Debtor's property and seek a monetary judgment. To prevent Southstate from sweeping the Debtor's savings account where it keeps over $4,600,000.00 and to otherwise prevent the bank from foreclosing on its properties, the Debtor filed the instant case for the benefit of the entire bankruptcy estate. Class 3 consists of all Allowed General Unsecured Claims against the Debtor. In full satisfaction of the Allowed Class 3 General Unsecured Claims, Holders of Class 3 Claims shall receive payment in full of such Allowed Claim on the Effective Date. The maximum Distribution to Class 3 Claimholders shall be equal to the total amount of all Allowed 3 General Unsecured Claims. Class 3 is Unimpaired. Class 4 consists of all equity interests in the Debtor. The Class 4 Interest Holder(s) shall retain their respective Interest in the Debtor, in the same proportion such Interest were held as of the Petition Date. Class 4 is Unimpaired. The Plan contemplates that the Debtor will continue to manage its business in the ordinary course utilizing the rents derived from its commercial tenants to support the plan payments. A full-text copy of the Disclosure Statement dated September 18, 2024 is available at https://urlcurt.com/u?l=ufGVKq from PacerMonitor.com at no charge. Counsel for the Debtor: Justin M. Luna, Esq. Latham Luna Eden & Beaudine, LLP 201 S. Orange Ave., Suite 1400 Orlando, FL 32801 Tel: (407) 481-5800 Fax: (407) 481-5801 Email: jluna@lathamluna.com About Infinite Properties Infinite Properties, LLC, a company in Newberry, Fla., filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Fla. Case No. 24-10115) on May 21, 2024, with $10 million to $50 million in both assets and liabilities. Richard S. Blaser, managing member, signed the petition. Judge Karen K. Specie oversees the case. The Debtor tapped Justin M. Luna, Esq., at Latham, Luna, Eden & Beaudine, LLP as legal counsel and Mary Walsh, CPA, at James Moore and Co., PL as accountant. INNOVATIVE DESIGNS: Board Accepts Resignation of Director --------------------------------------------------------- Innovative Designs, Inc. disclosed in a Form 8-K filed with the Securities and Exchange Commission that on Oct. 3, 2024, the Board of Directors of the Company held a special meeting for the purpose of formally accepting a resignation of a then current member of the Board of Directors. On Oct. 3, 2024, the Board accepted the resignation of Dean Kolocouris, effective immediately. Mr. Kolocouris cited health issues and family duties as the reason for his resignation. About Innovative Designs Headquartered in Pittsburgh, Pennsylvania, Innovative Designs, Inc. operates in two separate business segments: a house wrap for the building construction industry and cold weather clothing. Both of the Company's segment lines use products made from Insultex, which is a low-density polyethylene semi-crystalline, closed cell foam in which the cells are totally evacuated, with buoyancy, scent block, and thermal resistant properties. Kennett Square, PA-based RW Group, LLC, the Company's auditor since 2021, issued a "going concern" qualification in its report dated Feb. 22, 2024, citing that the Company had net losses and negative cash flows from operations for the years ended Oct. 31, 2023 and 2022 and an accumulated deficit at Oct. 31, 2023 and 2022. These factors raise substantial doubt about the Company's ability to continue as a going concern for one year from the issuance date of these financial statements. IROQUOIS-HUEY LLC: Hires Brown Law Firm P.C. as Counsel ------------------------------------------------------- Iroquois-Huey, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Oklahoma to employ Brown Law Firm, P.C. as counsel. The firm will provide these services: a. negotiate allowed claims and treatment of creditors; b. render legal advice and preparation of legal documents and pleadings concerning claims of creditors, post-petition financing, executing contracts, sale of assets, insurance, etc; c. represent iroquois-huey, llc in hearings and other contested matters; d. formulate a disclosure statement and plan of reorganization; and e. provide all other matters needed for reorganization. The firm will be paid at these rates: Ron D. Brown, Esq. $350 per hour Associates $300 per hour Paralegals $75 per hour Brown Law Firm will be paid a retainer in the amount of $5,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Ron D. Brown, a partner at Brown Law Firm, 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: Ron D. Brown, Esq. Brown Law Firm, P.C. 1609 E. 4th Street Tulsa, OK 74120 Telephone: (918) 585-9500 Facsimile: (866) 552-4874 Email: ron@ronbrownlaw.com gavin@ronbrownlaw.com About Iroquois-Huey LLC Iroquois-Huey, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Okla. Case No. 24-10801) on June 24, 2024, with up to $50,000 in assets and up to $500,000 in liabilities. Judge Terrence L Michael presides over the case. Ron D. Brown, Esq., at Brown Law Firm, P.C. represents the Debtor as bankruptcy counsel. ISUN INC: Plan Exclusivity Period Extended to Nov. 30 ----------------------------------------------------- Judge Thomas M. Horan of the U.S. Bankruptcy Court for the District of Delaware extended iSun, Inc., and affiliates' exclusive periods to file a plan of reorganization and obtain acceptance thereof to November 30, 2024 and January 29, 2025, respectively. As shared by Troubled Company Reporter, the Debtors claim that the companies and their advisors continue to work collaboratively with the Creditors' Committee and prepetition secured lender ("Decathlon") to confirm and consummate the Plan. Although the Debtors expect that the Plan will be approved by the requisite creditors by the Proposed Voting Deadline and subsequently confirmed at the Proposed Confirmation Hearing, the additional time requested herein affords the Debtors time to make any revisions to the Plan this Court may require in connection with confirmation and to consummate confirmation of the Plan. The Debtors assert that they have paid undisputed administrative expenses as they come due and will work to continue to do so. The Debtors continue to monitor their liquidity position closely and are confident that sufficient cash will be available to satisfy their post-petition payment obligations during the requested extension of the Exclusive Periods. In sum, the Chapter 11 Cases are moving towards a successful conclusion as the Debtors diligently work to confirm and consummate the Plan. The requested extension of the Exclusive Periods will allow this process to continue in an efficient manner, preserve enterprise value, and provide the Debtors with a fair and reasonable opportunity to liquidate their business for the benefit of all stakeholders. Under these circumstances, the Debtors respectfully submit that ample cause exists to grant the reasonable extension of the Exclusive Periods requested herein. Counsel for the Debtors: Michael Busenkell, Esq. Amy D. Brown, Esq. Michael Van Gorder, Esq. Gellert Seitz Busenkell & Brown, LLC 1201 N. Orange Street Suite 300 Wilmington, DE 19801 Tel: (302) 425-5812 Fax: (302) 425-5814 Email: mbusenkell@gsbblaw.com abrown@gsbblaw.com mvangorder@gsbblaw.com About iSun, Inc. iSun, Inc. (d/b/a iSun) is a provider of solar energy services and infrastructure. The Debtor's services include solar, storage and electric vehicle infrastructure, design, development and professional services, engineering, procurement, installation, O&M and storage. iSun, Inc., and 11 of its affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-11144) on June 3, 2024. In the petition signed by Jeff Peck as president and CEO, iSun, Inc. disclosed $0 to $50,000 in assets and liabilities. Judge Thomas M. Horan oversees the cases. Gellert Seitz Busenkell & Brown LLC is the Debtors' general reorganization counsel. England & Debtor represents the Debtors as investment banker and advisor. EPIQ Corporate Restructuring LLC serves as the Debtors' claims and noticing agent. IVANTI SOFTWARE: S&P Alters Outlook to Negative, Affirms 'B-' ICR ----------------------------------------------------------------- S&P Global Ratings revised its outlook on Ivanti Software Inc. to negative from stable, reflecting the anticipated deterioration in its financial performance and liquidity. At the same time, S&P affirmed its existing 'B-' rating on Ivanti, as well as all our existing issue-level and recovery ratings, because S&P anticipates its financial performance will improve by the second half of 2025. S&P said, "The negative outlook reflects our view that we could lower our rating on Ivanti over the next 12 months if its operating performance lags our expectations as the company continues to face headwinds from license to software-as-a-service (SaaS)/subscription migration. Our outlook also reflects the company's low cash balance and heavy reliance on its revolver, expiring in December 2025. While we expect Ivanti's financial performance to improve by the second half of 2025, there is a risk that the uncertainty around the SaaS/subscription transition could delay this timeline. "We expect Ivanti's financial performance to be pressured until at least mid-2025. Ivanti's increased transition to SaaS and subscription from license sales has weighed on its financial performance in the current fiscal year. The company's revenue declined about 4.5% in the first half of fiscal 2024. We anticipate revenue headwinds will persist for a few more quarters but expect Ivanti will return to a growth trajectory by the second half of 2025. In all, we expect revenue will decline in the mid-single-digit percent area in fiscal year 2024 and anticipate a marginal decline in fiscal 2025. However, given the uncertainty around the SaaS/subscription transition, further delay in anticipated recovery remains a considerable risk. "Ivanti experienced cyber incidents in its VPN business during the current fiscal year, but we believe they did not materially impact the company's revenue or customer relationships. This is evidenced by its improved gross retention rate, which increased by 220 basis points (bps) year over year, and a net retention rate that rose 450 bps year over year. However, Ivanti's S&P Global Ratings-adjusted EBITDA margin declined about 600 bps in the first half of fiscal 2024, falling to 30% compared with the prior year, as the company incurred additional expenses to enhance security following the cyber incidents. We do not anticipate margin improvement over the next 12 months because we expect the company's continued investments in security enhancements will largely offset its cost-cutting measures. "The negative outlook reflects our view that we could lower our rating on Ivanti over the next 12 months if its operating performance lags our expectations as the company continues to face headwinds from license to SaaS/subscription migration. Our outlook also reflects the company's low cash balance and heavy reliance on its revolver, expiring in December 2025. While we expect Ivanti's financial performance to improve by the second half of 2025, there is a risk that the uncertainty around the SaaS/subscription transition could delay this timeline." S&P could lower the rating on Ivanti if: -- S&P doesn't see a path for positive revenue growth and cash generation after debt service in fiscal 2025; -- The company is unable to extend its revolver maturity on a timely basis; or -- S&P comes to view the company's capital structure as unsustainable. S&P could revise the outlook to stable over the next 12 months if we come to believe Ivanti can improve its financial performance such that it generates sustained revenue growth and positive cash generation after debt service. S&P said, "Governance factors are a moderately negative consideration in our credit rating analysis of Ivanti, as is the case for most rated entities owned by private-equity sponsors. We believe Ivanti's highly leveraged financial risk profile points to corporate decision-making that prioritizes the interests of the controlling owners. This also reflects the generally finite holding periods and a focus on maximizing shareholder returns." J-H EXPEDITING SERVICES: Gets Interim OK to Use Cash Collateral --------------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of Wisconsin granted J-H Expediting Services, LLC authorization to use cash collateral on an interim basis. The interim order authorized J-H to use cash collateral of multiple Merchant Cash Advance lenders (MCA Lenders) consistent with its budget, which shows total projected expenses of $90,188.77. The MCA lenders were granted replacement liens in the company's post-petition property. The company is also required to make adequate protection payments, amounting to $370.95 monthly, calculated at an interest rate of 9% per annum on an outstanding balance of $49,460.36. Payments will commence on Nov. 12. J-H was instructed to maintain normal business operations to ensure consistent cash flow and support future payments. This measure is critical for the continuation of operations and adherence to the approved budget. If J-H defaults on any of the conditions of adequate protection, the MCA lenders may provide written notice of the default, and if not cured within 14 days, may request a hearing to consider relief from the automatic stay. A final hearing will be held on Nov. 15. About J-H Expediting Services J-H Expediting Services, LLC is a logistics and transportation company. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Wis. Case No. 24-25439) with up to $50,000 in assets and up to $500,000 in liabilities. Judge Katherine M. Perhach oversees the case. The Debtor is represented by John W. Menn, Esq., at Swanson Sweet, LLP. JD WIDEMAN: Gets Final Approval to Use Cash Collateral ------------------------------------------------------ JD Wideman, DO., P.C. received final approval from the U.S. Bankruptcy Court for the District of Colorado to use the cash collateral of its secured creditors. JD Wideman can use the cash collateral pursuant to its court-approved budget, subject to fluctuation by no more than 15% for each expense line item per month. As adequate protection, secured creditors with perfected security interests in the cash collateral will receive replacement liens on post-petition accounts receivable. In addition, JD Wideman has agreed to maintain insurance coverage on its personal property. About JD Wideman JD Wideman, DO, P.C. is a professional corporation based in Colorado. It is owned and operated by Dr. JD Wideman, specializing in osteopathic medical services. As a healthcare provider, JD Wideman focuses on delivering patient-centered care, adhering to the principles of osteopathy, which emphasizes the body's ability to heal itself through proper alignment, holistic care, and preventive medicine. JD Wideman filed its voluntary petition for Chapter 11 protection (Bankr. D. Colo. Case No. 24-15758) on Sept. 30, 2024, with as much as $1 million in both assets and liabilities. Judge Kimberley H. Tyson oversees the case. Aaron A. Garber, Esq., at Wadsworth Garber Warner Conrardy, P.C. serves as the Debtor's legal counsel. JML ENGINEERING: Voluntary Chapter 11 Case Summary -------------------------------------------------- Debtor: JML Engineering & Construction, Inc. 2010 Crow Canyon Place, Suite 108 San Ramon, CA 94583 Chapter 11 Petition Date: October 30, 2024 Court: United States Bankruptcy Court Northern District of California Case No.: 24-41729 Judge: Hon. William J Lafferty Debtor's Counsel: C. Alex Naegele, Esq. C. ALEX NAEGLE, A PROFESSIONAL LAW CORPORATION 10080 North Wolfe Road, Suite SW32000 Cupertino, CA 95014 Tel: 408-883-8994 Email: alex@canlawcorp.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by John Michael Shearer as CEO and CFO. The Debtor failed to include in the petition a list of its 20 largest unsecured creditors. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/XM2UM7Q/JML_Engineering__Construction__canbke-24-41729__0001.0.pdf?mcid=tGE4TAMA JPC LAND: Hires Barron & Newburger PC as Counsel ------------------------------------------------ JPC Land Holdings, LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Texas to employ Barron & Newburger, PC as its bankruptcy counsel. The firm will render these services: (a) advise the Debtor of its rights, powers, and duties in the continued management of its assets; (b) review the nature and validity of claims asserted against the property of the Debtor and advise concerning the enforceability of such claims; (c) prepare on behalf of the Debtor all necessary legal documents and review all financial and other reports to be filed in the Chapter 11 case; (d) advise the Debtor concerning and prepare responses to, legal papers which may be filed in the Chapter 11 case; (e) counsel the Debtor in connection with the formulation, negotiation, and promulgation of a plan of reorganization and related documents; (f) perform all other legal services for and on behalf of the Debtor which may be necessary and appropriate in the administration of the Chapter 11 case and its business; and (g) work with professionals retained by other parties in interest in this case to attempt to obtain approval of a consensual plan of reorganization for the Debtor. The firm will be paid at these rates: Stephen Sather, Esq. $600 per hour David Stern, Esq. $425 per hour Other Attorneys $325 to $475 per hour Support Staffs $75 to $120 per hour The firm will also seek reimbursement for expenses incurred. The firm received a retainer in the amount of $5,000 from Raif Castello on Sept. 4, 2024. Stephen Sather, Esq., an attorney at Barron & Newburger, 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: Stephen W. Sather, Esq. Barron & Newburger PC 7320 N. MoPac Expy., Ste. 400 Austin, TX 78731 Tel: (512) 476-9103 Fax: (512) 279-0310 Email: ssather@bn-lawyers.com About JPC Land Holdings, LLC JPC Land Holdings is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). The Debtor owns a 369-acre property known as Terra Escondido Subdivision valued at $3.2 million. JPC Land Holdings sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tx. Case No. 24-11180) on September 24, 2024, with up to $3,200,000 total assets and up to $7,537,126 total liabilities. The petition was signed by Raif Castello as director and president. Judge Shad Robinson presides over the case. Stephen W Sather, Esq., at Barron Newburger, PC, serves as the Debtor's counsel. K&N PARENT: Moody's Cuts CFR to Caa3 & Alters Outlook to Negative ----------------------------------------------------------------- Moody's Ratings downgraded K&N Parent, Inc.'s corporate family rating to Caa3 from Caa1 and its probability of default rating to Caa3-PD from Caa1-PD. Moody's also downgraded the rating on the company's backed senior secured first lien priority term loan facility to B3 from B1 and the backed senior secured first lien term loan to Ca from Caa2. The outlook was changed to negative from stable. The ratings downgrade reflects Moody's view that the potential for a debt restructuring has increased materially. K&N's earnings have significantly declined over the last several quarters resulting in unsustainable debt/EBITDA and Moody's forecast it to remain high over the next 12-18 months. Liquidity also remains weak. RATINGS RATIONALE K&N's Caa3 CFR reflects the company's unsustainable financial leverage and weak liquidity. As of June 30, 2024, debt to LTM EBITDA was 11.6x and Moody's do not forecast it improving to a sustainable level. Despite increased liquidity with a new unrated $30 million ABL revolving credit facility with a calculated borrowing base, Moody's forecast liquidity to remain weak. Furthermore, Moody's are concerned that the company will not remain in compliance with its covenant requirements. The term loan agreement requires at least $5 million of cash on the last day of any calendar quarter. Further, Moody's expect negative free cash flow given the significant cash interest costs. K&N has not been able to generate positive free cash flow despite efforts to restructure the company and improve efficiencies. Moody's forecast that growth in the consumer segment will drive total revenue up 2% in 2024 and 2025. Revenue grew 2% in the first half of 2024 versus the first half of 2023. Recent revenue growth has been muted despite strength in the consumer segment and EBITDA margin has been squeezed to just over 9% for the twelve months ended June 30, 2024. K&N has had multi-year corporate initiatives to improve earnings and cash flow, however, these efforts have not been enough to materially improve operating results. The negative outlook reflects Moody's concern that weak liquidity and constrained earnings growth will result in debt/EBITDA remaining at unsustainable levels and increase the likelihood of a debt restructuring. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if K&N materially improves its liquidity and increases earnings. In addition, demonstrating a trajectory of reducing debt/EBITDA to a more sustainable levels could support an upgrade. The ratings could be downgraded if Moody's believe the likelihood of default, including a distressed exchange, increases or Moody's estimate of recovery rates declines. The principal methodology used in these ratings was Automotive Suppliers published in May 2021. Headquartered in California, K&N Parent, Inc. is a designer and manufacturer of performance automotive aftermarket products. The company's products include air filters, air intakes, oil filters, exhausts and accessories. Net revenue for the 12 months ended June 30, 2024 were $187 million. KANSAI INC: Case Summary & 18 Unsecured Creditors ------------------------------------------------- Debtor: Kansai, Inc. d/b/a American Woodworking Company 3200 Marshall Drive Amelia, OH 45102 Business Description: Kansai is an architectural millwork and metal fabrication company specializing in custom manufacturing for the hospitality industry including bars, restaurants, and retail. Chapter 11 Petition Date: November 1, 2024 Court: United States Bankruptcy Court Southern District of Ohio Case No.: 24-12574 Judge: Hon. Beth A Buchanan Debtor's Counsel: Eric W. Goering, Esq. GOERING & GOERING 220 West Third Street Cincinnati, OH 45202 Tel: (513) 621-0912 Email: eric@goering-law.com Total Assets: $167,577 Total Liabilities: $2,072,772 The petition was signed by Mark Barngrover as president. 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/DFEZA4Y/Kansai_Inc__ohsbke-24-12574__0001.0.pdf?mcid=tGE4TAMA KROWNED KRYSTALS: Hires Patrick J. Gros CPA APAC as Accountant -------------------------------------------------------------- Krowned Krystals LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Louisiana to employ Patrick J. Gros CPA APAC as accountant. The firm will assist the Debtor in preparing the Debtor's Monthly Operating Reports ("MORs"), and preparing the Debtor's Plan Feasibility Projections. The firm will be paid at these rates: Patrick Gros $250 per hour Manager $175 per hour Seniors $140 per hour Staff $95 per hour Patrick J. Gros CPA APAC will be paid a retainer in the amount of $3,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Patrick Gros, 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: Patrick J. Gros Patrick J. Gros CPA APAC 651 River Highlands Blvd. Covington, LA 70433 Telephone: (985) 898-3512 Email: info@PJGrosCPA.com About Krowned Krystals Krowned Krystals, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D. La. Case No. 24-11896) on Sept. 30, 2024, with as much as $1 million in both assets and liabilities. Judge Meredith S. Grabill oversees the case. Robin De Leo, Esq., at The De Leo Law Firm, LLC serves as the Debtor's bankruptcy counsel. KYLE CHANDANAIS: Has Deal on Cash Collateral Access --------------------------------------------------- Pinnacle Bank asked the U.S. Bankruptcy Court for the Middle District of Tennessee, Nashville Division to approve an agreed order authorizing Kyle Chandanais, Inc. to use the bank's cash collateral in accordance with their agreement. Pinnacle Bank, a secured creditor of Kyle Chandanais, has agreed to allow the company to use the cash collateral to pay its expenses in the ordinary course of business. As protection, Pinnacle Bank will be granted a first priority replacement lien on its collateral and will receive a monthly payment of $1,000 beginning this month until Kyle Chandanais' Chapter 11 plan of reorganization is confirmed, or the agreed order is modified or terminated. To the extent the replacement liens granted prove insufficient to secure any diminution in value of the bank's interest in its collateral, the bank will be granted an administrative priority claim. In 2017, Pinnacle Bank loaned $150,000 to the company, which is secured by liens on the company's assets. As of the petition date, the bank is owed $47,103 by the company. A court hearing is set for Nov. 19. About Kyle Chandanais Kyle Chandanais, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Tenn. Case No. 24-03914) on October 10, 2024, with up to $50,000 in assets and up to $1 million in liabilities. Timothy Stone of Newpoint Advisors Corporation serves as Subchapter V trustee. Denis Graham Waldron, Esq., at Dunham Hildebrand Payne Waldron, PLLC, is the Debtor's legal counsel. LASERSHIP INC: S&P Downgrades ICR to 'CCC-', Outlook Negative ------------------------------------------------------------- S&P Global Ratings lowered its issuer credit rating on parcel delivery provider LaserShip Inc.'s (d/b/a OnTrac) to 'CCC-' from 'CCC+', its issue-level rating on its first-lien debt to 'CCC-' from 'CCC+', and its issue-level rating on its second-lien debt to 'C' from 'CCC-'. S&P said, "The negative outlook indicates that we could lower our rating on the company if it pursues a distressed debt transaction that we deem to be tantamount to a default. We could also lower our rating on OnTrac if we expect it will default on its debt obligations in the next six months." OnTrac's expanded cost base and recent volume declines leave it with little room for incremental operational setbacks. Despite expanding rapidly and entering new geographies to become a national player, the company has lately faced challenges in filling its expanded capacities and retaining its volumes. Due to its lower-than-expected volumes, OnTrac has been unable to appropriately absorb the costs of operating an expanded network, which has negatively affected its profitability. Given its ongoing free cash flow deficits and weakening liquidity, S&P believes that the company has little operational headroom to withstand unforeseen events, including a protracted slowdown in parcel volume growth. S&P Global Ratings now estimates OnTrac's package delivery volumes and revenue will decline by 5%-6% in fiscal year 2024. S&P said, "We also estimate the company's S&P Global Ratings-adjusted EBITDA will weaken to $224 million and it will generate an S&P Global Ratings-adjusted free cash flow deficit of $15 million in 2024, which compares with our previous expectations of $238 million and a $4 million deficit, respectively. Additionally, we anticipate OnTrac's profitability and free cash flow will be weaker in fiscal year 2025 than we previously forecast, including about $30 million less adjusted EBITDA and a free cash flow to now be a deficit of $10 million. We lowered our forecasts to reflect our belief that the 2024 peak season volumes will not be as high as we previously estimated, as well as the greater-than-anticipated challenges OnTrac is facing as it works to retain the volumes it gained from new customers in 2022 and 2023." S&P said, "We believe that OnTrac's lower profitability and higher-than-expected cash burn will cause it to draw further on its revolving credit facility, which we forecast will be fully utilized in the first quarter of fiscal year 2025. Therefore, we believe a payment default or distressed exchange is increasingly likely over the next six months. "The negative outlook indicates that we could lower our rating on the company if it pursues a distressed debt transaction that we deem to be tantamount to a default. We could also lower our rating on OnTrac if we expect it will default on its debt obligations in the next six months. "We could lower our ratings on OnTrac if it announces a transaction that we view as a distressed exchange or we believe a default is a virtual certainty." S&P could take a positive action on OnTrac if: -- It increases its revenue and expands its EBITDA margins and S&P expects its business fundamentals will improve over the upcoming 12 months; -- Its cash flow deficit after debt service narrows; or -- Its owners add liquidity to its balance sheet such that we view the risk of a default or distressed transaction in the subsequent six months as significantly reduced. S&P said, "Governance factors have a moderately negative influence on our credit rating analysis of OnTrac. We view financial sponsor-owned companies with highly leveraged financial risk profiles as demonstrating corporate decision making that prioritizes the interests of their controlling owners, which typically have finite holding periods and focus on maximizing shareholder returns." LCM CORP: Seeks to Extend Plan Filing Deadline to December 16 ------------------------------------------------------------- LCM Corporation is asking the U.S. Bankruptcy Court for the Western District of Virginia to extend its period to file a chapter 11 plan of reorganization to December 16, 2024. On September 9, 2024, pursuant to the Debtor's Amended Motion to Sell Free and Clear of Liens, the Court approved the motion to sell, by public auction, essentially all of its assets. The Court has approved the auctioneer for the Debtor's real estate and personal property, the auctioneer has commenced marketing and preparing the property for auction, and the Debtor anticipates that the auction will take place on or around the middle of November, 2024. The Debtor explains that by the time the auction is complete, and with the claims bar date also having run, the Debtor should be in a better position to file a detailed, specific, accurate Plan as to disbursement of the auction proceeds. It will be able to file a Plan that is far less speculative than one filed prior to the auction. The Debtor has discussed extending the time to file its Plan with both the US Trustee and the Subchapter V Trustee. By information and belief, neither the US Trustee nor the Subchapter V Trustee has an objection to this extension. The Debtor and its counsel believe that a period of thirty days after the completion of the auction is an adequate and reasonable time for which the Debtor to file its chapter 11 Plan. LCM Corporation is represented by: Andrew S. Goldstein Magee Goldstein Lasky & Sayers, P.C. PO Box 404 Roanoke, VA 24003-0404 Tel: (540) 343-9800 Fax: (540) 343-9898 Email: agoldstein@mglspc.com About LCM Corporation LCM Corporation offers remediation and other waste management services. LCM Corporation sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Va. Case No. 24-70494) on July 11, 2024. In the petition filed by Lawrence C. Musgrove, III, as president, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by: Andrew S. Goldstein, Esq. MAGEE GOLDSTEIN LASKY & SAYERS, P.C. Post Office Box 404 Roanoke, VA 24003-0404 Tel: (540) 343-9800 Fax: (540) 343-9898 Email: agoldstein@mglspc.com Debtor's Auctioneer: WOLTZ & ASSOCIATES, INC. LEXXUS LLC: Kevin Neiman Named Subchapter V Trustee --------------------------------------------------- The U.S. Trustee for Region 19 appointed Kevin Neiman as Subchapter V trustee for Lexxus, LLC. Mr. Neiman will be paid an hourly fee of $350 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Neiman declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Kevin S. Neiman 999 18th Street, Suite 1230 S Denver, CO 80202 Tel: (303) 996-8637 Fax: (877) 611-6839 E-mail: trustee@ksnpc.com About Lexxus LLC Lexxus, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Colo. Case No. 24-16091) on October 15, 2024, with up to $1 million in assets and up to $50,000 in liabilities. Judge Michael E. Romero presides over the case. Wadsworth Garber Warner Conrardy, P.C. is the Debtor's legal counsel. LIGONIER TAVERN: Gets Court OK to Use Cash Collateral Until Nov. 30 ------------------------------------------------------------------- The U.S. Bankruptcy Court for the Western District of Pennsylvania approved a stipulation entered into by Ligonier Tavern & Table, Inc., 137 West Main Street, LLC and Somerset Trust Company. The court-approved stipulation allows the companies to use the bank's cash collateral through Nov. 30 to pay operating expenses set forth in their budget, which must not exceed 115% of the total budget without the bank's consent. To maintain cash collateral usage, actual revenue must meet at least 85% of budget projections. Pursuant to the stipulation, Somerset will receive monthly payments of $3,062.40 from 137 West Main Street and $300 from Ligonier as adequate protection. Somerset, a primary creditor of the companies, is owed $748,986.84 as of the petition date. About Ligonier Tavern & Table Ligonier Tavern & Table, Inc. and 137 West Main Street, LLC filed Chapter 11 petitions (Bankr. W.D. Pa. Lead Case No. 24-22181) on August 30, 2024. At the time of the filing, Ligonier reported $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities while 137 West Main Street reported $500,001 to $1 million in both assets and liabilities. Judge John C. Melaragno oversees the cases. Justin P. Schantz, Esq., at Law Care represents the Debtors as bankruptcy counsel. MALIA REALTY: Case Summary & Six Unsecured Creditors ---------------------------------------------------- Debtor: Malia Realty, LLC 2129 Martin Luther King Jr. Drive Atlanta GA 30310 Business Description: Malia Realty is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). Chapter 11 Petition Date: November 1, 2024 Court: United States Bankruptcy Court Northern District of Georgia Case No.: 24-61684 Debtor's Counsel: William Rountree, Esq. ROUNTREE, LEITMAN, KLEIN & GEER, LLC 2987 Clairmont Road Suite 350 Atlanta GA 30329 Tel: 404-584-1238 Email: wrountree@rlkglaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Chirhamolekwa Williams as trustee of the sole member. A full-text copy of the petition containing, among other items, a list of the Debtor's six unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/52UZL7Y/Malia_Realty_LLC__ganbke-24-61684__0001.0.pdf?mcid=tGE4TAMA MARIA INVESTMENTS: Property Sale & Litigation Proceeds to Fund Plan ------------------------------------------------------------------- Maria Investments, Inc., filed with the U.S. Bankruptcy Court for the Southern District of Florida a Disclosure Statement describing Plan of Reorganization dated September 18, 2024. The Debtor is a Single Asset Real Estate Company that is presently engaged in litigation against its former tenant. The Debtor owns real property located at 11905 S Dixie Hwy, Miami, Florida 33156, which is presently vacant. The Debtor's business operations are located at 10175 S Dixie Hwy, Miami, Florida 33156 which is owned by an affiliate of the Debtor. Azhar Said is President and 100% interest holder of the Debtor. The main cause of the filing of this chapter 11 case was a pending foreclosure by TMRKAC LLC. The Debtor filed this Chapter 11 case to provide it with temporary protection while it negotiates with TMRKAC and restructures the debt in order to maintain the property. The Debtor also seeks to restructure its SBA debt as well as its general unsecured claims. In addition, the Debtor seeks to utilize the protections of section 363 in order to effectuate an orderly sale of its property which will maximize the benefit to creditors. Prepetition, on April 12, 2024, the Debtor commenced a breach of contract and indebtedness lawsuit against Best Buy Stores, LP. The lawsuit styled Maria Investments, Inc. vs. Best Buy Stores, LP, Case No. 2024-006644-CA-01 was brought in the Miami-Dade County Circuit Court and was subsequently removed to District Court (the "Pending Litigation" or the "Best Buy Case"). The Debtor believes that there is minimal risk to creditors as to the completion of the Plan. All payments as provided for in the Plan will be funded from the proceeds from the sale of Debtor's real property and funds to be awarded from the Best Buy Case. Class 3 consists of the Allowed Claims of the general unsecured creditors. The Debtor estimates the aggregate amount of Class 3 General Unsecured Claims totals approximately $393,004.57. If Debtor's Plan is confirmed and the District Court's ruling in the Best Buy Case is in favor of the Debtor, then any proceeds recovered on account of such ruling (the "Recovery Proceeds") shall be shared pro rata among holders of Allowed general unsecured claims against the Debtor, up to each claimant's Allowed Claim, with such payment to be paid on the Initial Payment Date or 30 days after Debtor's receipt of the Recovery Proceeds, whichever is later. The Recovery Proceeds distribution to the Class 3 Claimholders shall be in full satisfaction, settlement, release, and extinguishment of their respective Allowed Claims. This Class is impaired, and holders of Allowed Claims in this Class are entitled to vote to accept or reject the Plan. Class 4 consists of the Allowed Equity Interests in the Debtor. Azhar Said is Debtor's manager, president, and 100% interest holder. Azhar Said will retain his 100% equity interest in the Debtor/Reorganized Debtor. This Class is Unimpaired. A full-text copy of the Disclosure Statement dated September 17, 2024 is available at https://urlcurt.com/u?l=oZxV6L from PacerMonitor.com at no charge. Attorneys for the Debtor: Aaron A. Wernick, Esq. Wernick Law, PLLC 2255 Glades Road, Suite 324A Boca Raton, FL 33431 Telephone: (561) 961-0922 Email: awernick@wernicklaw.com About Maria Investments Maria Investments, Inc. is the owner of real property located in Fla., having a current value of $9.51 million. Maria Investments filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 24-16136) on June 20, 2024, listing $9,526,998 in assets and $12,210,796 in liabilities. The petition was signed by Azhar Said as president. Judge Robert A Mark presides over the case. Aaron A. Wernick, Esq., at Wernick Law PLLC represents the Debtor as bankruptcy counsel. MARTINS INTERSTATE: Gets Interim OK to Use Cash Collateral ---------------------------------------------------------- Martins Interstate Properties, LLC received interim approval from the U.S. Bankruptcy Court for the Middle District of Florida to use the cash collateral of Fairwinds Credit Union. The interim order directed the company to pay only expenses necessary for the operation of its business and not any pre-bankruptcy expenses, officer salaries, professional fees, or insiders without further order of the court. Fairwinds Credit Union, the primary lender with a claim of $910,980.62, was granted a replacement lien to the same extent and with the same priority as its pre-bankruptcy lien on the company's assets, including cash accounts and receivables acquired post-petition. Martins was ordered to pay $5,987 per month to Fairwinds Credit Union as adequate protection. The next hearing is scheduled for Jan. 9, 2025. About Martins Interstate Properties Martins Interstate Properties owns two properties in Edgewater, Fla., and Matthews, S.C., with a total current value of $1.30 million. Martins Interstate Properties filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-02516) on May 20, 2024, listing $1,296,406 in assets and $910,980 in liabilities. Roberto Martins, Sr., manager, signed the petition. Judge Tiffany P. Geyer presides over the case. Bryan K. Mickler, Esq., at the Law Offices of Mickler & Mickler, LLP represents the Debtor as bankruptcy counsel. MASTIN LABS: Gets Interim OK to Use Cash Collateral --------------------------------------------------- Mastin Labs, Inc. received interim approval from the U.S. Bankruptcy Court for the Western District of Texas, Austin Division, to use the cash collateral of First Business Bank. Mastin Labs requires the use of cash collateral for expenses set forth on its budget and any other unforeseeable expenses. The interim order authorized the company to use the bank's cash collateral to pay up to 110% of each individual expense so long as the total of cash collateral spent during the month does not exceed 5% of the total budget. As protection, First Business Bank was granted replacement liens on the company's property. To the extent such liens do not adequately protect against the diminution in value of First Business Bank's collateral, the bank will have a post-petition superpriority administrative expense claim against the company. The next hearing is scheduled for Nov. 25. About Mastin Labs Mastin Labs, Inc., a company in Austin, Texas, creates lightroom presets, ACR presets, and styles for Capture One and LUTs presets for photographers. Mastin Labs sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Texas Case No. 24-11315) on October 23, 2024, with $50,001 to $100,000 in assets and $1 million to $10 million in liabilities. Timothy D. Delaforce, chief executive officer, signed the petition. Judge Shad Robinson oversees the case. Robert C. Lane, Esq., at The Lane Law Firm, represents the Debtor as bankruptcy counsel. MIKESELL TRADING: Gets OK to Use Cash Collateral Until Dec. 31 -------------------------------------------------------------- Mikesell Trading, LLC received interim approval from the U.S. Bankruptcy Court for the Western District of Kentucky, Louisville Division to use cash collateral through Dec. 31. The interim order, signed by Judge Joan Lloyd, authorized the company to use the cash collateral of its secured creditors including Amazon Capital Services, Inc. and the U.S. Small Business Administration to pay its operating expenses. Mikesell's continued authorization to use cash collateral include, without limitation, performance under any Business Solutions Agreement or similar agreement with Amazon.com Services, LLC, which governs Mikesell's ability to sell products on the Amazon Store. As adequate protection, secured creditors were granted replacement liens on Mikesell's post-petition collateral. In addition, the interim order authorized Amazon Capital to deduct $7,500 as an adequate protection payment from Mikesell's seller account maintained on the Amazon marketplace platform, and approved Mikesell's regular monthly payments of $500 to SBA to be included within the company's court-approved budget. As of the petition date, Amazon Capital or its affiliates that do business with Mikesell under the Business Solutions Agreement are holding approximately $45,000 of proceeds from the company's sales of inventory on the Amazon Store. Additionally, Mikesell's inventory currently in its possession or in custody of an Amazon-affiliated warehouse is worth approximately $400,000 to $500,000. About Mikesell Trading Mikesell Trading, LLC is an Amazon-first accelerated brand agency designed to help apparel products become an Amazon Bestseller. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Kent. Case No. 24-31363) on May 24, 2024, with $500,001 to $1 million in assets and $1 million to $10 million in liabilities. Evan Mikesell, director of operations, signed the petition. Judge Joan A. Lloyd oversees the case. Charity S. Bird, Esq., at Kaplan Johnson Abate & Bird, LLP, represents the Debtor as legal counsel. MIRACLE RESTAURANT: Asset Sale Proceeds, or Income, to Fund Plan ---------------------------------------------------------------- Miracle Restaurant Group, LLC filed with the U.S. Bankruptcy Court for the Eastern District of Louisiana a Subchapter V Plan of Reorganization dated September 18, 2024. The Debtor was formed in 2005 and has been operating Arby's restaurants for its entire existence. As of the Petition Date, the Debtor owned and operated 25 Arby's restaurants throughout Illinois, Indiana, Texas, Mississippi, and Louisiana ("Franchise Restaurants") pursuant to various franchise and related agreements (the "Franchise Documents") with Arby's Franchisor, LLC. After filing the bankruptcy, the Debtor made the business decision to close six of the stores it operated in Illinois, Texas, and Louisiana (the "Closed Stores"). On August 15, 2024, the Court entered an Order authorizing the Debtor to reject the unexpired leases and franchise agreements associated with the Closed Stores. This Plan is a "Toggle Plan," meaning that there are four different scenarios pursuant to which creditors will receive payments. Which scenario ultimately applies depends upon the success of the Debtor's sale of its markets in the various states in which it operates. The Scenarios are described in brief: * Scenario 1 is a sale of all of the Debtor's markets in Illinois/Indiana, Texas, Louisiana, and Mississippi. Any stores that do not sell will be closed. The sales proceeds projected under Scenario 1 are based upon a 4.5 x EBITDA over the past 12 months. All sales proceeds will be distributed in a waterfall fashion based upon the priority scheme of the Bankruptcy Code, meaning all senior secured creditors will be paid from proceeds attributable to their collateral (First Franchise holds a senior lien over all of the Debtor's collateral), with all remaining funds going to junior lien holders. However, the Debtor anticipates that the sales proceeds will be sufficient to pay all Secured Creditors in full with $838,287 available to pay Class 9 General Unsecured Creditors. This scenario carves out $300,000.00 for wind-down expenses of the Debtor following the closing of its stores. * Scenario 2 is a scenario wherein the Debtor keeps all of its currently operating stores with the exception of one store located in Pearl River, Louisiana (Restaurant # 9057) (the "Pearl River Store") that will be sold to its landlord, Sunny Time, LLC, in exchange for the landlord assuming all debt associated with the Pearl River Store, one store located in Des Plaines Illinois (Restaurant # 8879) (the "Des Plaines Store"), which will be closed, and one store located in Petal, Mississippi (Restaurant # 8875) (the "Petal Store" and together with the Des Plaines Store, the "Closing Stores"), which will be closed. The Equipment Lenders that are secured by equipment located in the Closing Stores will have their collateral surrendered back to them in full satisfaction of their secured claim. Any deficiency will be paid out from distributions to Class 9, General Unsecured Claims. Class 9 creditors will be paid out of the Debtor's projected disposable income as indicated in the pro forma. * Scenario 3 anticipates selling the Debtor's Illinois/Indiana (8 restaurants) along with the Pearl River Store and keeping the Texas and all other Louisiana and Mississippi markets except for the Petal Store, which will be closed (9 restaurants). Secured Creditors will be paid from the sale proceeds from their respective collateral according to their priority as of the Petition Date. The Debtor anticipates $3,700,000 in sale proceeds. Under Scenario 3, the sale proceeds are not anticipated to be sufficient to make distributions to Class 9 creditors. Class 9 General Unsecured Creditors will be paid out of the Debtor's projected disposable income as indicated in the pro forma. * Scenario 4 anticipates selling the Debtor's Texas market (5 restaurants) and keeping the Illinois/Indiana, Louisiana, and Mississippi markets, less the Pearl River, Des Plaines, and Petal Stores 12 restaurants). Upon the closing of the Sale, which may be the Effective Date, the Debtor anticipates have $936,627 available for distributions to the Class 9 creditors. To the extent that Class 9 is not paid in full upon the initial distribution after the Effective Date, any remaining Class 9 claims will be paid in subsequent years from the Debtor's projected disposable income as indicated in the pro forma. This Plan provides for the treatment of Claims and Interests as follows, and as more fully described herein: * Eight classes of Secured Claims (First Franchise, SBA, Woodvine, and the Equipment Lenders), which will be paid on either the Effective Date or as otherwise provided in the different scenarios. In the event that a store is closed, any equipment securing any of the Equipment Lenders will be surrendered to the applicable Equipment Lender or the SBA and the claim of that Equipment Lender or SBA will be reduced by the fair market value of the collateral abandoned. In the event that a store is kept open, the Equipment Lenders and the SBA will be paid up to the value of their collateral and any remaining balance due will be treated as a general unsecured claim; and * One class of Unsecured Claims that will be paid their pro rata share of the general unsecured creditor funds; Class 9 consists of General Unsecured Creditors. The Debtor estimates its general unsecured claims to total $852,488.00. The General Unsecured Creditors will be paid their pro rata shares from either the sale proceeds or the Debtor's projected disposable income. Class 9 is impaired under Scenario 1 and entitled to vote. The Debtor shall fund the plan from the proceeds from the sale of the Miracle Assets, ERTC funds, and/or projected disposable income depending on the scenario ultimately implemented. The Debtor shall serve as the disbursing agent under this Plan. A full-text copy of the Subchapter V Plan dated September 18, 2024 is available at https://urlcurt.com/u?l=jMAwCZ from PacerMonitor.com at no charge. Counsel for the Debtor: Douglas S. Draper, Esq. Leslie A. Collins, Esq. Greta M. Brouphy, Esq. Michael E. Landis, Esq. Heller, Draper, Patrick, Horn & Manthey, LLC 650 Poydras Street, Suite 2500 New Orleans, LA 70130 Phone: (504) 299-3300 Email: ddraper@hellerdraper.com lcollins@hellerdraper.com gbrouphy@hellerdraper.com mlandis@hellerdraper.com About Miracle Restaurant Group Miracle Restaurant Group, LLC owns and operates a fast food restaurant in Covington, La. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. La. Case No. 24-11158) on June 20, 2024, with $1 million to $10 million in both assets and liabilities. Dwayne Murray, Esq., at Murray & Murray, LLC, serves as Subchapter V trustee. Judge Meredith S. Grabill presides over the case. The Debtor tapped Douglas S. Draper, Esq., at Heller, Draper & Horn, LLC as legal counsel and Peak Franchise Capital, LLC as financial advisor. MORAN FOODS: S&P Affirms 'CCC+' Issuer Credit Rating, Outlook Neg. ------------------------------------------------------------------ S&P Global Ratings affirmed all its ratings on Missouri-based wholesale distributor Moran Foods LLC (doing business as Save-A-Lot), including its 'CCC+' issuer credit rating on Moran Foods LLC. S&P said, "The negative outlook reflects the risk that we will lower our rating if we view a specific default scenario, such as a selective default, as increasingly likely within the next 12 months. "We plan to withdraw all our ratings on Save-A-Lot upon the issuer's request." Save-A-Lot has recently upsized its super senior facility and addressed its second-lien term loan maturity, which contributed to improve short-term liquidity. In October 2024, the company addressed $5.6 million of its second-lien term loan facility largely held by one of its owners. At the same time, the company's owners provided new capital of $60 million in the form of incremental super-senior facility due in 2028 to fund its operation, turnaround initiatives, and store repurchases from its retail partners. S&P said, "While the new capital provides relief in short-term liquidity, we expect the FOCF deficit will continue and leverage credit metrics will deteriorate because of the accumulating nature of the pay-in-kind (PIK) instruments. We expect S&P Global Ratings-adjusted leverage of about 25x in 2024, worsening in 2025 with a large portion of the outstanding debt held by the company's equity owners." S&P said, "We view the company's capital structure as unsustainable as we expect FOCF deficit will continue. The company reported an FOCF deficit of $26 million in the first half of this year due to weak profitability partially offset by working capital inflow. We expect free operating cash flow will remain negative even after converting a large portion of the company's interest expenses to PIK instruments as the turnaround has been slower than anticipated with volume and sales drop. In our view, the company has faced difficulty competing in the highly competitive grocery market especially given its relatively modest scale and the shift in the market share to other nontraditional grocers. We forecast an FOCF deficit of about $15 million in 2025. "The negative outlook reflects the risk the company will maintain an FOCF deficit, constraining liquidity and leading us to believe a default is likely. "We could lower our rating on Save-A-Lot within the next 12 months if we envision a specific default scenario over the subsequent 12 months." This could occur if: -- S&P expects liquidity will tighten and the company cannot monetize its real estate assets in a timely manner; or -- The company cannot sustainably generate positive free cash flow S&P could raise its rating on Save-A-Lot if the company: -- Sustains improvement in operating performance, including material and sustainable positive FOCF generation, consistent operating margins, and increasing revenue; and -- Maintains S&P Global Ratings-adjusted leverage of less than 6x. MORAN FOODS: S&P Withdraws 'CCC+' Issuer Credit Rating ------------------------------------------------------ S&P Global Ratings withdrew all of its ratings on the wholesale distributor Moran Foods LLC (doing business as Save-A-Lot) at the issuer's request. At the time of the withdrawal, S&P rated the company 'CCC+' with a negative outlook. NATIONAL CAMPUS: S&P Affirms 'B' LT Rating on 2019 Revenue Bonds ---------------------------------------------------------------- S&P Global Ratings revised its outlook to positive and affirmed its 'B' long-term rating on the California Statewide Communities Development Authority's series 2019 college housing revenue bonds, issued on behalf of National Campus & Community Development Corp. (NCCD)-Hooper Street LLC, Texas (the borrower). "The positive outlook reflects expectations that the project will generate debt service coverage (DSC) in excess of 1.2x in fiscal 2025 and beyond," said S&P Global Ratings credit analyst Mary Ellen Wriedt. Total long-term debt currently outstanding is $88.0 million The bonds are nonrecourse obligations of NCCD-Hooper Street LLC secured by net project revenue. NCCD-Hooper Street LLC was established for the sole purpose of financing the construction of a 280-unit, 523-bed student housing facility on the campus of the California College of the Arts (CCA) in San Francisco. NCCD-Hooper Street LLC is a California-based, single-member limited liability company, and its sole member is National Campus and Community Development Corp. in Austin, Texas. CCA is party to the ground lease and housing services agreement with the borrower. A leasehold deed of trust and security agreement provide additional security for bondholders to supplement the pledge of the new housing revenue. CCA owns the land on which the project has been constructed and is leasing it to NCCD-Hooper Street LLC for a term not less than the final maturity of the series 2019 bonds. Project ownership will revert to CCA after the bonds are fully repaid. "The outlook, which indicates our expectation for the potential direction of the long-term credit rating over a one-year period, is positive and reflects our opinion that the occupancy in fall 2024 indicates continued strong demand expectations for the project," added Ms. Wriedt. S&P expects the project will generate revenue sufficient to fund operations and to make timely and full debt service payments. Further, it expects DSC will be at or above 1.2x in fiscal 2025 and will not require a contribution from CCA. NEWELL BRANDS: Fitch Assigns BB- Rating on $1.25BB Sr. Unsec Notes ------------------------------------------------------------------ Fitch Ratings has assigned a 'BB-' rating and 'RR3' Recovery Rating to Newell Brands Inc.'s new $750 million 6.375% senior unsecured notes due 2030 and $500 million 6.625% notes due 2032. The debt is pari passu to the company's existing senior unsecured debt. Net proceeds from this offering will be used toward the redemption of $500 million of notes maturing June 2025 and the partial redemption of close to $2 billion of notes due April 2026. Newell's 'B+' ratings reflect ongoing challenges that indicate significantly reduced medium-term earnings power and cash flow relative to 2018-2022 levels. Beyond the current slowdown in discretionary consumer spending, execution risk remains as Newell continues to realign and restructure its business segments and supply chain network and to reposition its brand portfolio. Fitch expects EBITDA to remain below $1 billion in the near term, with EBITDA leverage (gross debt/EBITDA) elevated in the mid-5x in 2024 and then trending toward the low-5x range. Key Rating Drivers Declines in Top Line and EBITDA: Newell's operations have faced challenges due to changing consumer behavior, a shift toward services after strong pandemic-induced demand, and a slowdown in consumer spending on discretionary products, given moderating consumer fundamentals. Declining customer orders as retailers reduce inventory levels across general merchandise categories and the company's brand execution issues have compounded these difficulties. Newell reported core sales (a Newell metric that eliminates the impact of M&A and other non-comparable factors such as category exits) declines of around 12% and Fitch-adjusted EBITDA margins of 10.4% in 2023. EBITDA declined to around $850 million in 2023 from about $1.2 billion in 2022. Fitch expects 2024 core sales to decline to around -3% to -4%, with declines of close to -2.5% in the second half versus -4.5% in the first half. Fitch projects EBITDA of approximately $900 million, but remain below $1 billion over the near term. Elevated Leverage: Gross leverage increased to 6.2x in 2023, versus 4.9x in 2022 and 3.7x in 2021, given the decline in EBITDA. Fitch expects EBITDA leverage to moderate to the mid-5x range in 2024 and trend towards the low 5x range thereafter. Adequate Liquidity: Liquidity is adequate in the near term, with $494 million of cash on hand as of Sept. 30, 2024 and approximately $800 million of availability under the company's $1 billion revolving credit facility due 2027, net of $170 million of borrowings and $29 million of letters of credit. Fitch expects FCF to range from low to mid-$100 million in 2024, down from approximately positive $600 million in 2023, due to anticipated restructuring charges partly related to Newell's new organizational realignment plan announced January 2024. Manageable Near-Term Maturities: The company has $200 million in debt maturities in 2024, which the company expects to pay down with cash on hand. Newell has $550 million of unsecured notes due 2025 and close to $2 billion due 2026. Newell's new issuance will partially address these upcoming maturities, and Fitch expects the remaining portion of the maturities to be largely refinanced. Focus on Major Brands: Newell expects to sustain low-single-digit organic sales growth over the medium term by strengthening brands through increased innovation, focusing on omnichannel initiatives (with ecommerce at over 20% of sales), and accelerating international growth (around 37% of 2023 sales). Newell has realigned its business segments several times in recent years to drive growth and improve profitability. Combined with material shifts in consumer spending patterns during and after the pandemic, this makes it challenging to assess underlying business trends. In mid-2023, Newell announced plans to focus on front-end or brand capability build out, focusing on larger and more profitable brands, top 10 countries, prioritizing the business in the U.S., and disproportionately investing in mid-and high-price point segments. Newell's top 25 brands comprised around 90% of its revenue and profits, and has been pruning less profitable brands, exiting 2024 with approximately 50 brands versus 80 brands in June 2023. Fitch expects revenue could stabilize in 2025 on improved industry prospects supported by investments in its core brands. Restructuring Initiatives: The company has announced a number of initiatives to drive sales and margins over the last few years. In September 2021, Newell discussed a multi-year supply chain initiative (Project OVID) to transform its go-to market strategy. In January 2023, Newell undertook a restructuring and savings initiative, Project Phoenix, with annualized 2024 pre-tax savings in the $220 million to $250 million range. In January 2024, the company announced an organizational realignment estimated to generate $65 million to $90 million of annualized pre-tax savings net of reinvestment. Return to 14% EBITDA Margin Challenging: Given Newell's top line challenges and investments required to support its brands, Fitch expects it could be challenging to return to the 14% EBITDA range seen in 2019-2021. However, Fitch expects margins to improve toward 12% in 2025-2026 from the 10%-11% range in 2023-2024 on stabilizing top line, better inventory alignment and moderating inflationary headwinds. Derivation Summary Newell's 'B+' ratings reflect reduced medium-term earnings power and cash flow relative to 2018-2022 levels. Fitch expects EBITDA to remain below $1 billion in the near term, with EBITDA leverage (gross debt/EBITDA) elevated in the mid-5x in 2024 and towards the low-5x thereafter. Other consumer product companies within Fitch's rated portfolio include Spectrum Brands, Inc., ACCO Brands Corporation, Central Garden & Pet Company, and Knowlton Development Corporation, Inc. (KDC). Spectrum's 'BB'/Stable rating reflects the company's low leverage across the rating horizon, its relatively diversified portfolio, as well as uncertainty around the company's business mix over the next several years. ACCO's 'BB'/Stable ratings reflect historically consistent FCF, which it has used to reduce debt and maintain reasonable EBITDA leverage. Fitch expects ACCO's leverage will trend below 4x across the rating horizon. The ratings are constrained by secular challenges in the office products industry and channel shifts within the company's customer mix. Central's 'BB'/Stable ratings reflect its strong market positions in the pet, lawn & garden segments and ample liquidity supported by strong cash on balance sheet and robust FCF. Fitch expects EBITDA leverage to be in the mid-3x range in FY 2024 (ending September) and FY 2025. These strengths are moderated by its limited scale with projected EBITDA in the mid-$300 million range, and customer concentration risk. KDC's 'B-'/Stable ratings reflects its position as a global leader in custom formulation, packaging and manufacturing solutions for beauty, personal care and home care brands, supported by a diverse product portfolio and customer base. These range from blue-chip names to "indie" brands, with whom the company typically maintains long-term relationships. The ratings also consider KDC's leverage at around low-6x, weak interest coverage metrics and lack of consistent FCF generation. Key Assumptions - Revenue declines in the high-single digits to $7.6 billion in 2024 from $8.1 billion in 2023, reflecting core sales decline of around -3 to -4% and low to mid-single digit currency and brand exit headwinds. Sales are expected to grow modestly in the low single digits in 2025 and thereafter; - Operating EBITDA is expected to be modestly higher approaching $900 million in 2024, versus close to $850 million in 2023 and $1.2 billion in 2022, and is expected to grow towards the low to mid $900 million range in 2025 and beyond. EBITDA margin is expected to be in the high-11% range in 2024 (versus 10.4% in 2023) and increase to the 12% range thereafter, with the improvement reflecting stabilizing top line and some benefit from cost reduction initiatives; - Capex of around $250 million and dividends at close to $120 million in 2024, compared with dividends of $184 million in 2023 and $385 million in 2022. In May 2023, Newell reduced its quarterly dividend to $0.07 per share compared with the prior pay-out of $0.23 per share; - FCF (after dividends) is expected to be in the low to mid $100 million range in 2024, with working capital improvement offset by cash restructuring costs. This compares with FCF inflow of around $600 million in 2023 (after Fitch's adjustment for change in factored receivables) and significant FCF outflow of almost $1 billion in 2022, mainly driven by working capital. FCF is expected to be remain modestly positive in 2025-2026 given Fitch's projected EBITDA levels in the $900 million range and assuming neutral working capital; - Fitch expects leverage to be 5.6x in 2024, versus 6.2x in 2023 and 4.9x in 2022 before trending toward the low-5x range thereafter, assuming some top line stabilization and EBITDA margin recovery. The projected net EBITDA leverage of 5.3x in 2024 (5x excluding off-balance sheet factored receivables) is significantly higher than Newell's long-term net leverage (net debt/EBITDA) target of 2.5x; - Newell's committed facilities have a floating interest rate structure and Fitch assumes around 3.5% to 5% SOFR base rates over the forecast horizon. Newell's notes have a fixed interest rate structure. Recovery Analysis Fitch's recovery assumes Newell's value is maximized as a going concern in a post default scenario, given a going-concern valuation of approximately $4.5 billion. Fitch's going concern value is derived from a projected EBITDA of around $750 million. The scenario assumes a lower revenue base of $6 billion, around 20% below forecasted 2024 revenue of $7.6 billion, assuming market share losses or discontinuation of some of its existing brand portfolio. EBITDA margins could trend around 12%-13% in a recovery scenario, below the 14% margins achieved in 2019-2021. A going-concern multiple of 6x was selected, within the 4x-8x range observed for North American corporates, reflecting Fitch's assessment of Newell's industry dynamics and company-specific factors. After deducting 10% administrative claims from the going concern valuation and adjusting for senior ranking receivables claims, the amended secured credit facility would have outstanding recovery prospects and the unsecured claims would have good recovery prospects. Fitch assumes the entire $1.0 billion revolver commitment is drawn for the purposes of the recovery analysis. Therefore, the senior secured credit facility is rated 'BB+'/'RR1'/100% and the unsecured notes of approximately $4.8 billion are rated 'BB-'/'RR3'/52%. RATING SENSITIVITIES Factors That Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - A positive rating action could result from a demonstrated ability to grow core sales in the low single digits, improve EBITDA to over $1 billion and deploy FCF towards debt reduction, such EBITDA leverage is sustained under 5x. Factors That Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - A negative rating action could result from worse than expected operating performance leading to reduced visibility around Newell's ability to stabilize its business and/or lower than expected debt reduction such that EBITDA leverage is sustained above 6x. Liquidity and Debt Structure Adequate Liquidity: As of Sept. 30, 2024, Newell had $494 million of cash on hand and approximately $800 million of availability under its $1 billion revolving credit facility due 2027, net of $170 million of borrowings and $29 million of letters of credit. The revolver has a first lien security interest on all unencumbered accounts receivable, inventory and other specific domestic and international assets, and a guarantee from certain domestic and foreign subsidiaries. Availability is subject to an asset coverage ratio of 1.05x and there are financial covenants testing the company's collateral coverage ratio and total net leverage ratio. The maximum total net leverage ratio is set at 7.5x for quarters ending March 31, 2024 through and including Sept. 30, 2024; 7.25x for quarters ending Dec. 31, 2024 through and including June 30, 2025; 6.5x for the quarters ending Sept. 30, 2025 through and including June 30, 2026; and 5.25x for the quarters ending Sept. 30, 2026 and thereafter through maturity. The collateral coverage test requires Newell to maintain a pledged collateral value to total revolving credit exposure at a minimum ratio of 1.05x Newell also maintains an accounts receivable securitization facility due October 2026, providing liquidity of up to $225 million between February and April of each year, and up to $275 million at all other times. Newell's total outstanding debt was approximately $5.2 billion at Dec. 31, 2023, versus $5.8 billion at the end of 2022 and $5.4 billion at the end of 2021 including off-balance sheet factored receivables in the $300 million to $400 million range as part of Fitch-adjusted debt. The company has $200 million in debt maturities in 2024, which the company could pay down with cash on hand. Newell has $550 million of unsecured notes due 2025 and close to $2 billion due 2026. Newell's new issuance will partially address these upcoming maturities, and Fitch expects the remaining portion of the maturities to be largely refinanced. Issuer Profile Newell is a global marketer of consumer and commercial products, marketed under Paper Mate, Sharpie, Dymo, EXPO, Parker, Elmer's, Coleman, Marmot, Oster, Sunbeam, FoodSaver, Mr. Coffee, Rubbermaid Commercial Products, Graco, Baby Jogger, NUK, Calphalon, Rubbermaid, Contigo, Mapa, Spontex, Quickie and Yankee Candle. Summary of Financial Adjustments - Historical EBITDA has been adjusted for stock-based compensation, restructuring and restructuring related costs, acquisition amortization & impairment, transaction and related costs, other items. Date of Relevant Committee 09 February 2024 ESG Considerations Newell has an Environmental, Social and Governance (ESG) Relevance Score of '4' for Financial Transparency. Operating comparability over the last few years has been challenging given a number of reclassifications of continuing versus discontinued operations as well as business segments in 2018-2023. This has a negative impact on the credit profile and is relevant to the ratings in conjunction with the other factors. The items above are in the context of Newell having previously seen material weaknesses in internal controls over financial reporting related to the company's tax accounting in 2019 and 2020, which have since been remedied and an SEC subpoena in January 2020 related to the impairment of goodwill and other intangibles in 2018, which got resolved with a settlement in September 2023. In June 2021, the company received a subpoena related to disclosures around the potential impact of revised U.S. Treasury regulations. The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Recovery ----------- ------ -------- Newell Brands Inc. senior unsecured LT BB- New Rating RR3 NORTHWEST RENEWABLE: Unsecureds to Get Nothing in Plan ------------------------------------------------------ Northwest Renewable Energy Group LLC, d/b/a Arsiero Logging filed with the U.S. Bankruptcy Court for the Western District of Washington a Chapter 11 Plan of Reorganization dated September 16, 2024. The Debtor is a timber harvesting company, founded in 2009, operating in the State of Washington. Mr. B. Michael Malgarini is the manager and 100% owner of the Company. Initially, the Company purchased timber rights from the United States Forest Service and subcontracted out harvesting. Over time, the Company grew and started harvesting directly through its own employees. Over the years, the Company's acquisitions of timber rights included a large and growing basket of timber that was designated by the Forest Service to be harvested by air. The acquisition of the helicopter, however, did not yield the expected results. In addition to significant operational expenses, including debt service, pilot staffing, fuel, and maintenance, the helicopter required significant repairs and experienced major mechanical failures, severely impacting the Company's revenues. Eventually in fall of 2023, the Company surrendered the helicopter to the bank, which resulted in a deficiency owing of over $3 million after the helicopter was liquidated. Unable to pay that amount as well as other mounting financial obligations, on June 18, 2024, the Company filed a voluntary petition for relief under chapter 11 of the Bankruptcy Code, thereby commencing this Chapter 11 Case. The Schedules reflect general Unsecured Claims as of the Petition Date totaling approximately $153,391.38. This Plan provides for twelve Classes of Claims and one Class of Equity Interests. The Plan provides for payment of Allowed Claims from Net Income of the business in compliance with the Bankruptcy Code, as well as surrender of certain collateral to its respective secured lenders. The Plan also provides for the payment of Administrative Claims and Priority Claims. Such payments and other relief, in the Debtor's opinion, provide greater recovery to Creditors than which is likely upon dismissal or conversion of this case. The Debtor's financial projections for 2025 through 2029 show that the Debtor will have no projected disposable income to maintain sufficient funds for operations. Notwithstanding, the Debtor proposes to pay allowed Administrative Claims, Priority Wage Claims, and Priority Tax Claims in full. The final Plan payment is expected to be paid in or around December 2029. Under the Plan, the Debtor has proposed to pay secured Creditors in full up to the value of their respective collateral. Specifically, Holders of Secured Claims will receive a total of $2,266,633.40 under the Plan. The Plan will also pay all Priority Claims and Administrative Claims in full. Class 11 consists of all Holders of Unsecured Claims. Holders of non-priority Class 11 Claims shall not receive any payment or Distribution pursuant to this Plan. Holders of allowed Administrative Claims, Professional Fee Claims, Priority Wage Claims, and Priority Tax Claims shall be paid pursuant to and in accordance with the terms set forth in Section 5.1. Class 11 is Impaired. Class 12 consists of Equity Interests. The Holder of the Equity Interests shall retain such Equity Interests that existed on the Petition Date. The Holder of Class 12 Claims shall not receive any Distribution except as authorized pursuant to this Plan. Pursuant to Bankruptcy Code sections 1123(a)(5) and 1123(b)(6), as well as Bankruptcy Rule 9019, the Plan effectuates a resolution of the Claims and all other financial obligations of the Debtor. In accordance with the provisions of this Plan, all Holders of Allowed Claims shall be paid in full on the terms set forth herein. Except as otherwise set forth in this Plan, the Reorganized Debtor shall continue to own, maintain, operate and manage the Business without further notice or order of the Bankruptcy Court. A full-text copy of the Plan of Reorganization dated September 16, 2024 is available at https://urlcurt.com/u?l=iVDSj6 from PacerMonitor.com at no charge. Counsel to the Debtor: Richard B. Keeton, Esq. Bush Kornfeld Llp 601 Union Street, Suite 5000 Seattle, WA 98101 Tel: (206) 292-2110 Email: rkeeton@bskd.com About Northwest Renewable Energy Group LLC Northwest Renewable Energy Group LLC, doing Arsiero Logging, is primarily engaged in cutting timber, producing rough, round, hewn, or riven primary wood, and producing wood chips in the forest. Northwest Renewable Energy Group LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Wash. Case No. 24-11520) on June 18, 2024. In the petition signed by B. Michael Malgarini, as managing member, the Debtor reports total assets amounting to $3,392,164 and total liabilities of $5,541,377. Honorable Bankruptcy Judge Timothy W. Dore handles the case. The Debtor is represented by Thomas A. Buford, Esq. at BUSH KORNFELD LLP. ONEMAIN FINANCE: S&P Rates New $500MM Senior Unsecured Notes 'BB' ----------------------------------------------------------------- S&P Global Ratings assigned its 'BB' rating to OneMain Finance Corp.'s (OMFC) proposed $500 million senior unsecured notes due 2029. OMFC is a direct, wholly-owned subsidiary of OneMain Holdings Inc. (OneMain). The notes will be guaranteed on an unsecured basis by OneMain. The company intends to use the net proceeds for general corporate purposes, which may include debt repurchases or debt repayments. Pro forma for this issuance and additional draw on the company's conduit facilities ($376 million outstanding), S&P expects leverage to be 6.3x-6.4x, slightly higher than 6.0x-6.2x at quarter-end September 2024. Growing equity and potential debt paydowns could offset the increase in leverage during the fourth quarter. However, the company has very little cushion to our 6.5x rating downside threshold. For the third quarter ended Sept. 30, 2024, OneMain's unencumbered assets to unsecured debt ratio was about 1.09x. Pro forma for the transaction, S&P expects this ratio to remain at 1.0x-1.1x, albeit at the lower end of the range. If the company's unsecured debt becomes greater than its unencumbered assets, we would lower the issue rating by one notch to 'BB-'. For the nine months ended Sept. 30, 2024, the company's consumer loans net charge-off ratio increased to 8.06% from 7.32% for the same period a year ago. In addition, the ratio of 30 days or more delinquent loans was 3.14%. For credit cards, the ratio of 30-plus days delinquent loans was around 12.4%. As of Sept. 30, 2024, OMF's back book (loan originations made prior to credit tightening in August 2022) had declined to 19% from 35% of receivables at the beginning of the year. The back book contributed 37% to 30-plus days delinquency, down from 49% in the first quarter. As a result, S&P expects that net charge-offs will likely decline by the end of 2024 as the delinquency contribution from the back-book rolls off. Despite ongoing strain on its asset quality, OMF affirmed its expectation for 2024 net charge-offs at 7.7%-8.3%, albeit at the higher end of the range, and maintained its credit loss provision ratio at 11.5% of receivables. S&P said, "The stable outlook on OneMain indicates our expectation that in the next 12 months it will keep its competitive position in nonprime consumer lending and operate with leverage of 4.5x-6.0x, although our base-case assumption is between 5.5x and 6.0x. We expect the company to maintain adequate liquidity, manageable net charge-offs of about 8%, and its existing funding mix. "We could lower our ratings in the next 12 months if debt to adjusted total equity rises above 6.5x or if net charge-offs substantially rise above our base-case expectation and erode earnings. We could also lower the ratings if regulatory actions impede OneMain's business, if the company takes on large debt-funded initiatives, or if competition increases in the nonprime consumer lending industry, such that risk-adjusted yields decline and weaken earnings." An upgrade is unlikely in the next 12 months. ONONTIO LANDSCAPING: Paul Levine Named Subchapter V Trustee ----------------------------------------------------------- The U.S. Trustee for Region 2 appointed Paul Levine, Esq., at Emery Greisler, LLC as Subchapter V trustee for Onontio Landscaping, Inc. Mr. Levine 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. Levine declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Paul A. Levine, Esq. Emery Greisler, LLC 677 Broadway, 8th Floor Albany, New York 12207 Tel: (518) 433-8800 x313 | Email: plevine@lemerygreisler.com About Onontio Landscaping Onontio Landscaping Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D.N.Y. Case No. 24-60824) on October 14, 2024, with $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities. Peter Alan Orville, Esq., at Orville & Mcdonald Law, PC represents the Debtor as bankruptcy counsel. ORYX OILFIELD: Committee Hires McCathern PLLC as Co-Counsel ----------------------------------------------------------- The official committee of unsecured creditors of ORYX Oilfield Services, LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Texas to employ McCathern, PLLC as co-counsel. The firm will provide these services: a. render legal advice with respect to the Committee's investigatory and litigation strategy for maximizing the assets available to compensate creditors; b. assist the Committee in its investigation of the acts, conduct, assets, liabilities and financial condition of the Debtors, the operations of the Debtors' business and any other matter relevant to the Bankruptcy Cases, as and to the extent such matters may affect the Debtors' creditors; c. prepare necessary applications, motions, answers, orders, reports, and papers on behalf of the Committee at Court hearings as necessary and appropriate in connection with litigation matters in the Bankruptcy Cases; d. render legal advice and perform legal services in connection with the foregoing; e. perform all other necessary legal services in connection with the Bankruptcy Cases, as may be requested by the Committee; and f. render legal advice with respect to all Texas substantive and procedural matters, including, but not limited to the Local Rules. The firm will be paid at these rates: Jesse D. Hoffman $795 per hour Associates $495 per hour Paralegals $385 per hour The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Jesse D. Hoffman, Esq., a partner at McCathern, 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: Jesse D. Hoffman, Esq. McCathern, PLLC 3710 Rawlins Street, Ste. 1600 Dallas, TX 75219 Tel: (214) 741-2662 Fax: (214) 741-4717 Email: jhoffman@mccathernlaw.com About Oryx Oilfield Services Oryx Oilfield Services, LLC is an oil and gas construction company working in shale plays throughout Texas. It fabricates pressure vessels, inter-connecting piping for modular builds, launchers and receivers, spools, supports, industrial grade platforms and ladders. Oryx sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Texas Lead Case No. 24-41618) on July 12, 2024, with total assets of $1 million to $10 million and total liabilities of $50 million to $100 million. Judge Brenda T. Rhoades oversees the cases. The Debtor is represented by the Law Offices of Frank J. Wright, PLLC. OSTERIA DEL TEATRO: Gets Interim OK to Use Cash Collateral ---------------------------------------------------------- Osteria Del Teatro, LLC received interim approval from the U.S. Bankruptcy Court for the Southern District of Florida, Miami Division to use the cash collateral of its secured creditors until Nov. 7. The company requires the use of cash collateral to fund its operating expenses as set forth in its budget, with a 10% variance. ASSN Company, Transportation Alliance Bank, Inc., the U.S. Small Business Administration, and Kalamata Capital Group, LLC assert interests in the company's cash collateral. The adequate protection provided to these secured creditors includes the company's positive cash flow position and replacement liens on the company's personal property, with the same priority as their pre-bankruptcy liens. The next hearing is scheduled for Nov. 7. About Osteria Del Teatro Osteria Del Teatro, LLC operates the Italian restaurant Osteria Del Teatro in North Bay Village, Fla. Osteria Del Teatro sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 24-20959) on October 22, 2024, with up to $50,000 in assets and up to $1 million in liabilities. Gilberto Gonzalez, president of Osteria Del Teatro, signed the petition. Judge Robert A. Mark oversees the case. Bradley S. Shraiberg, Esq., at Shraiberg Page PA, represents the Debtor as legal counsel. PAPER IMPEX: Selling Trailers to Sereja Chalumyan for $65,000 ------------------------------------------------------------- Paper Impex USA Inc. seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York, at hearing on December 4, 2024, to sell trailers to Sereja Chalumyan, free and clear of all liens. The Trailers for sale include a 2019 Cottrell VIN#1 5E0AU174XKG124701 and 2019 Cottrell VIN#1 5E0AU1740KG286501. BMO Harris Bank NA is a secured creditor and the holder of a duly perfected security interest in the 2019 Cottrell VIN#1 5E0AU174XKG124701 and AMUR Equipment Finance is the secured creditor and the holder of a duly perfected security interest in the 2019 Cottrell VIN#1 5E0AU1740KG286501. The Debtor and Sereja Chalumyan, owner of Rubens Luck Inc, executed a purchase agreement to purchase the trailers for $65,000. The Debtor has determined that the proposed purchase price constitutes fair market value based on the condition of the equipment and the closing date shall take place at a time and place mutually agreeable to the Debtor and the purchaser. About Paper Impex USA Inc. Paper Impex USA Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-41618) on April 16, 2024, listing $2,724 in assets and $2,715,113 in liabilities. The petition was signed by Zafar Israilov as president. Judge Nancy Hershey Lord presides over the case. Alla Kachan, Esq., at the LAW OFFICES OF ALLA KACHAN, P.C., serves as counsel of the Debtor. PERFECTIONS INC: Carol Fox Named Subchapter V Trustee ----------------------------------------------------- The U.S. Trustee for Region 21 appointed Carol Fox of GlassRatner as Subchapter V trustee for Perfections, Inc. of Boca. Ms. Fox 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. Fox declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Carol Fox GlassRatner 200 East Broward Blvd., Suite 1010 Fort Lauderdale, FL 33301 Tel: 954.859.5075 Email: cfox@brileyfin.com About Perfections Inc. of Boca Perfections, Inc. of Boca sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 24-20614) on October 14, 2024, with $100,001 to $500,000 in both assets and liabilities. Judge Scott M. Grossman presides over the case. Nicholas G. Rossoletti, Esq., represents the Debtor as legal counsel. PIGEON FREIGHT: Court Extends Use of Cash Collateral Until Nov. 22 ------------------------------------------------------------------ The U.S. Bankruptcy Court for the Northern District of Illinois issued an order extending the use of Pigeon Freight Services, Inc.'s cash collateral to Nov. 22 in accordance with its budget. The budget shows total projected expenses of $1,963,000 for a 30-day period. The bankruptcy court's order issued on June 11 remains in effect. The next hearing is scheduled for Nov. 19. About Pigeon Freight Services Pigeon Freight Services, Inc., a trucking company in Lansing, Ill., filed voluntary Chapter 11 petition (Bankr. N.D. Ill. Case No. 24-08322) on June 5, 2024, listing $1 million to $10 million in assets and $10 million to $50 million in liabilities. Sergiu Tintiuc, president of Pigeon Freight Services, signed the petition. Judge Donald R. Cassling oversees the case. Saulius Modestas, Esq., at Modestas Law Offices, P.C. represents the Debtor as bankruptcy counsel. PL DEVELOPMENTS: Represented by Latham & Watkins in Exchange Offer ------------------------------------------------------------------ PL Developments (PLD), a leader in the development, manufacturing, packaging, and distribution of consumer healthcare products, has announced the successful completion of its offer to exchange US$350,000,000 aggregate principal amount of its outstanding 7.750% Senior Secured Notes due 2025 for new PIK Toggle Senior Secured Notes due 2029 in an aggregate principal amount of US$368,550,000. This strategic move was made possible through improved financial performance and a collaborative effort with key stakeholders. The completion of the exchange offer enhances the company's financial flexibility and positions it for continued growth and strategic investments. PLD has also obtained commitments from certain holders of its 7.750% Senior Secured Notes due 2025 in connection with which PLD expects to issue additional PIK Toggle Senior Secured Notes due 2029 in an aggregate principal amount of US$131 450,000, subject to customary closing conditions. PLD intends to use the proceeds from this issuance of additional PIK Toggle Senior Secured Notes due 2029 to refinance in full outstanding 7.750% Senior Secured Notes due 2025. Further, in conjunction with the completion of the exchange offer, PLD and certain of its subsidiaries entered into an amendment to its asset-based lending credit agreement to, amongst other things, extend the maturity date thereunder to December 2027, subject to certain conditions. Latham & Watkins LLP represented P&L Development, LLC and PLD Finance Corp., the co-issuers of the new notes, in the exchange offer with a capital markets team led by partners Andrew Baker, Global Chair of Latham’s Liability Management practice, and partners Peter Sluka and David Hammerman, and counsel Gemma Mootoo Rajah, with associates Ian Lachow and Jie Lin Nai. Advice was provided on banking matters by partner Cindy Caillavet, with associates Will Martin and Andrew Angel; and on tax mattes by partners Bora Bozkurt and Aaron Bernstein, with associates Kathryn Harrington and Shiyi Parsons. POWER BLOCK: Unsecureds to Get Share of GUC Cash in Consensual Plan ------------------------------------------------------------------- Power Block Coin, L.L.C., d/b/a SmartFi filed with the U.S. Bankruptcy Court for the District of Utah a Combined Plan of Reorganization and Disclosure Statement dated September 18, 2024. SmartFi is a Utah limited liability company providing crypto-based financial services, which historically have included cryptocurrency exchange, savings, crypto-based lending, crypto information, token creation and offering, alternative currencies, and crypto investment. The Debtor believes that reorganizing under this Plan under Subchapter V will result in the highest return to its Creditors. However, if the Court finds that the Debtor is ineligible to proceed under Subchapter V, the Debtor will nevertheless seek confirmation of this Plan under traditional Chapter 11, either as a reorganization or a liquidation depending on Creditors’ votes in favor of the Plan. In that case, it each class of impaired Creditors votes in favor of the Plan, the Debtor will reorganize, resulting in approximately $6.3 million in proceeds over five years for distribution to Creditors. If, however, each class of impaired creditors does not vote in favor of the Plan, the Debtor will liquidate its assets under this Plan in chapter 11, resulting in approximately $5.3 million in proceeds to its creditors. If the Debtor remains in Subchapter V or each Class of Creditors vote in favor of the Plan and the Plan is confirmed by the Bankruptcy Court (a "Reorganization"), the Debtor will do the following: * pay the Holders of Priority Claims in full in accordance with applicable law and the terms of this Plan, either payment in full on the Effective Date, or regular cash payments equal to the present value of the Allowed Amount of their Priority Claim, as applicable; * pay Holders of General Unsecured Claims regular cash payments of their Pro Rata share of the General Unsecured Claims Cash Distribution; * pay Holders of Convenience Claims the Allowed Amount of their Convenience Claim in regular cash payments over one year following the Effective Date; and * reinstate the existing Equity Interests of the Debtor. If the Debtor does not remain in Subchapter V and each Class of Creditors does not vote in favor of the Plan, the Debtor will liquidate its assets by doing the following: * pay the Holders of Priority Claims in full in accordance with applicable law and the terms of this Plan, either payment in full on the Effective Date, or regular cash payments equal to the present value of the Allowed Amount of their Priority Claim, as applicable; * contribute all assets of the Debtor to a Liquidating Trust to be administered by the Liquidating Trustee, who will liquidate and distribute the proceeds to pay Holders of General Unsecured Claims their Pro Rata share until such proceeds run out; and * cancel the existing Equity Interests of the Debtor. Class 2 consists of General Unsecured Claims. This Class is impaired. * In a Reorganization, Holders will receive increasing cash payments quarterly beginning on the later of the last day of the quarter that begins 90 days after the Effective Date or when Allowed equal to their Pro Rata share of the General Unsecured Claims Cash Distribution after payment in full of all Priority Claims. * In a Liquidation, Holders will receive their pro rata distributions from the Liquidating Trust when such proceeds become available, after all costs of administration of the Liquidating Trust are paid until no further proceeds are available. Class 3 consists of Convenience Claims. This Class is impaired. * In a Reorganization, Holders of Convenience Claims will receive payment in full equal to the Allowed Amount of their Convenience Claim on the later of the last day of the quarter that begins 90 days after the Effective Date or the date their Convenience Claim is Allowed. * In a Liquidation, Holders of Convenience Claims will be paid pro rata with Holders of General Unsecured Claims from the Liquidating Trust when such proceeds become available, after all costs of administration of the Liquidating Trust are paid until no further proceeds are available. In a Reorganization, on the Effective Date, all assets of the Debtor's estate, including all real and personal property, all Debtor Causes of Action, interests, claims, choses in action, and rights under any contracts (executory or otherwise, unless rejected under Article 7 of this Plan), against any Person will re-vest and be transferred to the Debtor after the Effective Date. The Debtor will remain in possession of all its other assets as disclosed in this Plan, including its business, operations, and "know-how," and will continue to run its business in the ordinary course subject to the terms of the Plan and the Confirmation Order. If the case is converted to a case under traditional chapter 11, and each impaired Class does not vote in favor of the Plan, the Debtor will liquidate its assets for the benefit of its Creditors through a Liquidating Trust. A full-text copy of the Combined Plan and Disclosure Statement dated September 18, 2024 is available at https://urlcurt.com/u?l=lf5ekQ from PacerMonitor.com at no charge. Counsel to the Debtor: Brian M. Rothschild, Esq. Darren Neilson, Esq. Simeon J. Brown, Esq. Alexander S. Chang, Esq. Parsons Behle & Latimer 201 South Main Street, Suite 1800 Salt Lake City, UT 84111 Tel: (801) 532-1234 Fax: (801) 536-6111 Email: BRothschild@parsonsbehle.com DNeilson@parsonsbehle.com SBrown@parsonsbehle.com AChang@parsonsbehle.com ecf@parsonsbehle.com About Power Block Coin Power Block Coin, LLC, a company in Orem, Utah, conducts business as SmartFi. SmartFi is a unique monetary system, which combines monetary policy with the freedoms of cryptocurrency to create a self-sustaining open-lending platform, providing the holders of SmartFi Token the opportunity to manage the system and become the beneficiaries of the wealth creation that would otherwise accrue to traditional banks. Power Block Coin filed its voluntary petition for Chapter 11 protection (Bankr. D. Utah Case No. 24-23041) on June 20, 2024, listing $10 million to $50 million in assets and $1 million to $10 million in liabilities. Aaron Tilton, officer, signed the petition. Judge Joel T Marker oversees the case. The Debtor tapped Parsons Behle & Latimer as legal counsel and CFO Solutions L.L.C., a Utah limited liability company, as accountant and financial advisor. PREMIER CAR WASH: Unsecureds Will Get 1.5% to 2% over 60 Months --------------------------------------------------------------- Premier Car Wash Easley, LLC filed with the U.S. Bankruptcy Court for the District of South Carolina a Plan of Reorganization under Subchapter V dated September 18, 2024. The Debtor owns and operates a car wash located at 600 Calhoun Memorial Hwy, Easley, SC 29640 (the "Premises"). The Debtor also operates a Valvoline oil changing station at the Premises. It leases the Premises from R&N Easley, LLC, which is an affiliated entity as it has the same owners, Ronald and Nadine Jennings ("Owners"). The Premises along with an existing car wash on site were purchased by R&N Easley and the Debtor on or about April 5, 2019. The purchase price was $1,400,000.00 for the real estate, and $900,000.00 for the existing personal property associated with the car wash. The purchase was financed with an SBA guaranteed loan with Countybank in the principal amount of $2,162,000.00. Both the Debtor and R&N Easley were listed as "Borrowers" on the closing statement, and both entities were designated as "Borrowers" in the loan documents. The Debtor was unable to sustain the increased interest payments, and struggled to make the payments in late 2023 and into 2024. Coupled with the slow season at the car wash in the winter months of early 2024, the Debtor went into default on the loan. In addition, other car washes were opened in the Easley area, creating competition for the Debtor that had not existed before. This impacted the Debtor's cash flow at a time that it was already struggling to keep up with the increased interest rate. The Plan Proponent's financial projections show that the Debtor will have projected disposable income of approximately $43,000 to $54,000 for payment to the non-priority unsecured creditors. The final Plan payment is expected to be paid on October 31, 2029. This Plan of Reorganization proposes to pay creditors of the Debtor from cash flow from operations. Non-priority unsecured creditors holding allowed claims will receive distributions, which the proponent of this Plan has valued at approximately 1.5 to 2 cents on the dollar. This Plan also provides for the payment of administrative and priority claims. Class 4 consists of all non-priority unsecured claims, other than the claims set forth in Class 5. The allowed unsecured claims total $2,865,602. This class is impaired. After the Subchapter V Trustee and the Debtor's Counsel have been paid in full pursuant to Article 3.02, the Debtor will make monthly payments toward the allowed Class 4 claims on a pro-rata basis in the aggregate amount of $1,800.00 per month, until the 60th month following the Effective Date of the Plan. The actual beginning date for these payments will depend on the actual amount of fees and expenses to be paid to the administrative claimants. For example, if payments to Class 4 creditors are made for period of 30 months, then the aggregate payment to Class 4 will be $54,000. If the payments to Class 4 creditors are made for a period of 24 months, then the aggregate payment to Class 4 will be $43,200. The amount to be paid for administrative expenses will depend on whether the Plan is contested (increasing fees), whether the Plan is confirmed as a consensual plan with all classes accepting the plan (which will result in lower fees), whether the plan is confirmed as a non-consensual plan (which will require the case to remain open and will increase the administrative expenses), as well as other factors that could result in an increase in the estimated administrative expenses. For convenience, if a Class 4 creditor is owed less than $50.00, the Debtor may elect to hold payment to that creditor until the amount due has accumulated to at least $50.00. By way of example, the Debtor may elect to hold payment to American Express until the 5th month that a payment comes due, and in the 5th month would make a single payment of $51.20 to American Express ($10.24 x 5 months). Class 4 claimants are expected to recover approximately 1.5% to 2% on their allowed general unsecured claims. Class 5 consists of the non-priority unsecured claim of R&N Easley, LLC (an insider) in the amount of $794,790: This class is impaired. No payment will be made to this insider on account of this pre petition claim. Class 6 consists of Equity interests of the Debtor, consisting of the equity interests of Ronald Jennings and Nadine Jennings. This class is unimpaired. The equity owners of the Debtor will retain their ownership interests in the Debtor. The Debtor will make plan payments from cash flow generated from operations. A full-text copy of the Plan of Reorganization dated September 18, 2024 is available at https://urlcurt.com/u?l=zbAukw from PacerMonitor.com at no charge. Attorney for the Debtor: Christine E. Brimm, Esq. Barton Brimm, PA P.O. Box 14805 Myrtle Beach, SC 29587 Telephone: (803) 256-6582 Facsimile: (803) 779-0267 Email: cbrimm@bartonbrimm.com About Premier Car Wash Easley Premier Car Wash Easley, LLC owns and operates a car wash business in Easley S.C. Premier Car Wash Easley filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. S.C. Case No. 24-02205) on June 20, 2024, with $100,000 to $500,000 in assets and $1 million to $10 million in liabilities. Joseph Kershaw Spong serves as Subchapter V trustee. Christine E. Brimm, Esq. at Barton Brimm, PA represents the Debtor as legal counsel. PREMIER HOSPITALITY: Court Approves Interim Use of Cash Collateral ------------------------------------------------------------------ Premier Hospitality International, Inc. received interim approval from the U.S. Bankruptcy Court for the Southern District of Florida to use cash collateral. The interim order authorized the company to use cash collateral to pay its expenses set forth in its budget, plus an amount not to exceed 10% for any line item per month and cumulatively per month of up to 10%. The company's secured creditor was granted a replacement lien on all property acquired or generated post-petition by the company to the same extent and priority as the secured creditor's pre-bankruptcy liens. About Premier Hospitality International Premier Hospitality International Inc. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 24-19763) on September 22, 2024, with $100,001 to $500,000 in both assets and liabilities. Judge Corali Lopez-Castro presides over the case. Rachamin Cohen, Esq., at Cohen Legal Services, P.A. represents the Debtor as legal counsel. PYLE TRANSPORTATION: Unsecureds Will Get 32% of Claims over 3 Years ------------------------------------------------------------------- Pyle Transportation, Inc. filed with the U.S. Bankruptcy Court for the Northern District of Iowa a Plan of Reorganization for Small Business dated September 18, 2024. The Debtor was founded in 2006. Pyle Transportation is a trucking company that hauls freight for customers in and around the lower 48 states. The Debtor is owned by Brian and Justin Pyle. As of the date of this Plan of Reorganization, Pyle Transportation has total assets of $227,000, the majority of which have been pledged to various secured lenders. As of the Petition Date, the secured lenders were owed $197,800. If Pyle Transportation was to liquidate, unsecured creditors and equity interests would receive no distribution, or 0%, on their unsecured claims. That amount is less than what Pyle Transportation proposes paying the unsecured creditors under this Plan of Reorganization, which will provide a payout of priority and nonpriority unsecured creditors in the total amount of $341,968.74 over a three-year period of time. Pyle Transportation projects that its disposable income for the three-year period will be $341,968.74. This Plan under chapter 11 of the Bankruptcy Code proposes to pay creditors of Pyle Transportation holding: (1) secured claims pursuant to the terms of the financing agreements or as otherwise set forth below; and (2) nonpriority unsecured claims the total amount of $320,962.74 paid in three equal annual installments of $106,987.58, with the first payment commencing one year after the Effective Date of the Plan, payable pro rata to unsecured creditors. Class 4 consists of Nonpriority unsecured creditors. Class 4 will receive the total amount of $320,962.74 payable pro rata over a three-year period of time commencing one year from the Effective Date of the Plan. Claimants in Class 4 would recover nothing in a liquidation, and accordingly claimants' recovery under the Plan is greater. The proposed recovery for claimants in Class 4 is currently estimated at 32%, this percentage is subject to change depending upon the ultimate recoveries of creditors in Classes 1 and 3 and the outcome of the lawsuit to be filed against Iowa Trust, Citizens Bank and Thomas Lange. This Class is impaired. Class 5 equity security holders will retain their equity interest. This Class is unimpaired. The Plan will be implemented through Pyle Transportation's projected disposable income and the proceeds of any recovery received from Pyle Transportation's lawsuit filed against Iowa Trust, Thomas Lange and Citizens Bank. A full-text copy of the Plan of Reorganization dated September 18, 2024 is available at https://urlcurt.com/u?l=cHpVHA from PacerMonitor.com at no charge. Counsel to the Debtor: Lauren R. Goodman, Esq. McGrath North Mullin & Kratz, P.C. LLO First National Tower, Suite 3700 1601 Dodge Street Omaha, NB 68102 Telephone: (402) 341-3070 Facsimile: (402) 341-0216 Email: lgoodman@mcgrathnorth.com About Pyle Transportation Pyle Transportation, Inc. is a trucking company that hauls freight for customers in and around the lower 48 states. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Iowa Case No. 24-00578) on June 20, 2024. In the petition signed by Brian A. Pyle, president, the Debtor disclosed up to $500,000 in assets and up to $10 million in liabilities. Lauren R. Goodman, Esq., at McGrath North Mullin & Kratz, P.C. LLO serves as the Debtor's counsel. RAIDER CONTRACTING: Hires Demarco·Mitchell PLLC as Counsel ----------------------------------------------------------- Raider Contracting, Inc. seeks approval from the U.S. Bankruptcy Court for the Eastern District of Texas to employ Demarco Mitchell PLLC as counsel. The firm will provide these services: a. take all necessary action to protect and preserve the Estate, including the prosecution of actions on its behalf, the defense of any actions commenced against it, negotiations concerning all litigation in which it is involved, and objecting to claims; b. prepare on behalf of the Debtor all necessary motions, applications, answers, orders, reports, and papers in connection with the administration of the estate herein; c. formulate, negotiate, and propose a plan of reorganization; and d. perform all other necessary legal services in connection with these proceedings. e. formulate, negotiate, and propose a plan of reorganization; and f. perform all other necessary legal services in connection with these proceedings. The firm will be paid at these rates: Robert T. DeMarco, Attorney $400 per hour Michael S. Mitchell, Attorney $300 per hour Barbara Drake, Paralegal $125 per hour The firm received from the Debtor a retainer in the amount of $10,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Robert T. DeMarco, Esq., a partner at Demarco·Mitchell 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: Robert T. DeMarco, Esq. Michael S. Mitchell, Esq. Demarco Mitchell PLLC 12770 Coit Road, Suite 850 Dallas, TX 75251 Tel: (972) 578-1400 Fax: (972) 346-6791 Email robert@demarcomitchell.com mike@demarcomitchell.com About Raider Contracting, Inc. Raider Contracting, Inc. specializes in construction and contracting services, likely encompassing residential, commercial, and industrial projects. The company is based in Allen, Texas. Raider Contracting, Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Texas Case No. 24-42354) with $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities. Judge Brenda T. Rhoades oversees the case. The Debtor is represented by: Robert T. DeMarco, Esq. Michael S. Mitchell, Esq. DeMarco Mitchell, PLLC 12770 Coit Road, Suite 850 Dallas, TX 75251 Tel: (972) 991-5591 Fax: (972) 346-6791 Email: robert@demarcomitchell.com mike@demarcomitchell.com RAYANI HOLDINGS: Hires Kidder Matthews as Realtor ------------------------------------------------- Rayani Holdings, LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of California to employ Kidder Matthews as realtor. The firm will market and sell the Debtor's real property located at Southeast corner of Sterling Parkway and Lincoln Road, in the City of Lincoln, County of Placer, an 8.85-acre parcel, APN 021-274-054-000). The firm will be paid a commission of 5 percent of the sales price. 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: Ken Reiff Kidder Matthews 701 University Avenue, Suite 220 Sacramento, CA 95825 Tel: (916) 751-3600 Fax: (916) 848-0205 About Rayani Holdings LLC Rayani Holdings LLC owns 8.4 acres located in Lincoln, CA being subdivided from two to six parcels zoned for commercial use. The property is valued at $7.5 million based on management's review. Rayani Holdings LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Cal. Case No. 24-24147) on September 17, 2024. In the petition filed by Hooshang Fazeli, as managing member, the Debtor reports total assets of $7,527,277 and total liabilities of $4,736,040. The Honorable Bankruptcy Judge Ronald H. Sargis handles the case. The Debtor is represented by Stephen Reynolds, Esq. at REYNOLDS LAW CORPORATION. REMARKABLE HEALTHCARE: Court Prohibits Use of Cash Collateral ------------------------------------------------------------- The U.S. Bankruptcy Court for the Eastern District of Texas issued an order granting Alleon Capital Partners, LLC's bid to prohibit an affiliate of Remarkable Healthcare, LLC from using its cash collateral. The court prohibited Remarkable Healthcare of Seguin, LP from using Alleon Capital's cash collateral and ordered the company to continue cooperating with Alleon Capital to reconcile receivables and remit all pre-bankruptcy accounts receivable to Alleon Capital. The automatic stay as to RH-Seguin is conditioned upon its compliance with the court's previous order partially granting the motion of KRS Seguin, LLC for relief from the automatic stay. If RH-Seguin fails to comply with the terms of the order, Alleon Capital will be granted automatic and immediate relief from the automatic stay without the need for notice or a hearing. About Remarkable Healthcare Remarkable Healthcare, LLC and Remarkable Healthcare of Seguin, LP are healthcare providers operating in Seguin, Texas. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Texas Lead Case No. 24-40611). At the time of the filing, the Debtors reported $1 million to $10 million in both assets and liabilities. Judge Brenda T. Rhoades oversees the cases. The Debtors are represented by Elizabeth Nicolle Boydston, Esq., at Gutnicki, LLP. SIYATA MOBILE: Inks Limited Purchase Agreement With Telecom Partner ------------------------------------------------------------------- Siyata Mobile, Inc. reported in a Form 8-K filed with the Securities and Exchange Commission that on Oct. 28, 2024, it entered into a limited purchase agreement with a multi-national telecommunications partner. Under the terms of this non-exclusive agreement, the products from the telecommunications partner will be integrated into the Company's next generation devices, enabling the Company to offer differentiated solutions to its first responder and enterprise customers. This partnership is expected to enable the Company to reach a broader customer base and establish a stronger presence in the U.S. and Canadian markets. Due to confidentiality obligations, specific terms of the agreement remain undisclosed. About Siyata Mobile British Columbia, Canada-based Siyata Mobile Inc. is a B2B global developer and vendor of next-generation Push-To-Talk over Cellular handsets and accessories. Its portfolio of rugged PTT handsets and accessories enables first responders and enterprise workers to instantly communicate over a nationwide cellular network of choice, to increase situational awareness and save lives. Police, fire, and ambulance organizations as well as schools, utilities, security companies, hospitals, waste management companies, resorts and many other organizations use Siyata PTT handsets and accessories. Jerusalem, Israel-based Barzily and Co., the Company's auditor since 2023, issued a "going concern" qualification in its report dated April 3, 2024, citing that the Company has suffered recurring losses from operations, high accumulated losses, outstanding bank loan and an outstanding balance in respect of the sale of future receipts, that raise substantial doubt about its ability to continue as a going concern. SK MOHAWK: Fitch Lowers LongTerm IDR to 'RD' on Debt Exchange ------------------------------------------------------------- Fitch Ratings has downgraded the Long-Term Issuer Default Ratings (IDRs) of SK Mohawk Holdings, SARL and Polar US Borrower, LLC (collectively, SI Group) to 'RD' (Restricted Default) from 'CCC-'/Rating Watch Negative and affirmed its existing senior secured ratings and senior unsecured ratings at 'C'/'RR6'. The Rating Watch Negative has been removed from the IDRs. These actions follow the company's execution of an exchange offering on Oct. 23, 2024, which meets the conditions for a Distressed Debt Exchange (DDE) per Fitch's corporates rating criteria. Subsequently, Fitch reassessed and upgraded SI Group's IDRs to 'CCC'. Additionally, Fitch has assigned new 'B'/'RR1'(Recovery Rating) ratings to the issuer's new $218 million first-lien first-out revolver and 'CCC'/'RR4' ratings to the new first-lien second-out term loan. The ratings reflect the elevated EBITDA leverage profile of above 10x exhibited by SI Group's revised capital structure, and Fitch's expectations for FCF to remain negative through the forecast horizon. Fitch considers SI Group's financial flexibility to be limited, as evidenced by a forecasted dwindling liquidity position and EBITDA interest coverage trending close to 1.0x. Fitch has withdrawn the ratings of the prior $272.5 million revolver, which has been replaced by the new $218 million first-lien first-out revolver, and the term loan maturing in 2025, as they are no longer considered relevant to the agency's coverage. Key Rating Drivers Execution of DDE: On Oct. 23, 2024, SI Group executed its public debt exchange, allowing participating holders of the existing revolver, term loan, and notes to exchange their holdings for a newly created first lien first out (FLFO) $218 million revolver (RCF) maturing in 2028 and/or a first lien second out (FLSO) term loan maturing in 2028. Additionally, SI Group's sponsor, SK Capital Partners, provided $100 million in new money first lien third out (FLTO) financing to fund a paydown of participating term loans. This followed a private exchange on the same terms with a majority of the issuer's creditors in September 2024. Fitch views the executed transaction as a DDE. Limited Financial Flexibility: SI Group's financial flexibility is limited, with forecasted dwindling liquidity and EBITDA interest coverage below 1.5x through the forecast horizon. Fitch believes pro forma liquidity of around $168 million will only postpone, not to avoid, a liquidity crisis, given expected continued negative FCF and upcoming cash requirements. These include $140 million in cash interest, $45 million maintenance capex, $33 million in senior unsecured note repayments, and other expenses. Fitch believes SI Group may need fresh third-party support within the next 24 months. Elevated Leverage: Pro forma for the transactions, Fitch expects EBITDA leverage to remain above 10.0x through the forecast horizon, largely driven by continued sluggish EBITDA generation and the debt load remaining elevated. Fitch forecasts revolver utilization steadily increasing over the next several years, as FCF remains consistently negative. Despite solid sponsor support through new sponsor-funded loans of $150 million made at the end of 2Q24, the beginning of 3Q24, and during the exchange process, these loans ultimately add to the issuer's debt load and will increase with high rates of paid-in-kind interest. Sustained Weak Performance: SI Group's performance further deteriorated in 2Q24, with YTD sales and Fitch-defined EBITDA each down 5% yoy. This decline results from recent weak end market demand, industry destocking throughout 2023, and increased competition due to new capacity in China. Given the oversupply and lack of meaningful demand improvements since 3Q22, Fitch expects sales volumes to remain low through the forecast horizon. Management has responded to the adverse environment with cost cutting measures and reducing capex spending to maintenance levels. Additionally, the company is ceasing production of Ibuprofen within its smallest Pharma segment. However, Fitch expects continued negative FCF through the forecast horizon, as the recovery in EBITDA remains slow and interest costs remain high. Product and End-Market Diversity: SI Group's rating is supported by a diverse product portfolio that is utilized by companies across a wide range of industries, providing ballast against volatility in any one sector. The company offers multiple applications including adhesives, lubricants, coatings and packaging applications, while serving a diverse set of end-markets across aerospace, automotive, building and construction, consumer goods and oil and gas. This diversity across application and industry helps smooth some of the cyclical exposure. Middling Core Additives Position: Backward integration into intermediate chemistry provides an advantaged cost structure for the company's additive products. SI Group also has the ability to switch capacity to other products within its portfolio in response to tightness or weakness across markets. However, its mix of volumes has shifted towards lower-margin products in recent periods. Fitch believes that the company's increasing centralization of its facilities will modestly raise utilization rates over the medium term. Derivation Summary Compared to most speculative-grade chemical peers, SI Group has very high EBITDA leverage exceeding 10x. ASP Unifrax (RD) operates with similar leverage and scale, but benefits from a somewhat more specialized product portfolio that generates higher EBITDA margins. SI Group operates with similar scale to Vantage Specialty Chemicals, Inc. (B/Negative), but with relatively higher EBITDA leverage. SI Group's scale compares favorably to Kymera International, LLC (B-/Stable). However, SI Group's profitability and leverage profiles are comparatively weaker. Advancion Holdings LLC's (B-/Stable) leverage profile trends around 8.0x and operates with smaller scale, but its position as the only global commercial producer of nitroalkanes allows the company to enjoy outsized EBITDA margins. Key Assumptions - Revenue growth is modest in 2024, with sales volumes remaining at below-average levels. Growth in volumes and prices remains slow thereafter, driven by gradually improving demand, combined with continued market oversupply; - Fitch-defined EBITDA margins modestly recover to around 10% by 2026 and remains around similar levels thereafter, as product mix shift towards lower-margin products is partially offset by slightly improved operating leverage and cost reduction measures; - Capex spending remains at around maintenance levels of $45 million annually through the forecast. Recovery Analysis Key Recovery Rating Assumptions The recovery analysis assumes that SI Group would be reorganized as a going-concern (GC) in bankruptcy rather than liquidated. Fitch has assumed a 10% administrative claim and that the company's $218 million revolver and $100 million A/R Securitization are both fully drawn. GC Approach Fitch projects SI Group's GC EBITDA of $150 million, which assumes a rebound from an assumed trough EBITDA of around $100 million, reflecting an improvement in the underlying economic conditions that would have likely precipitated the default, as well as corrective actions taken during restructuring (or actions that would be priced in by potential bidders). The GC EBITDA estimate reflects Fitch's view of a sustainable, post-reorganization EBITDA level upon which it bases the enterprise valuation. Specifically, the GC EBITDA depicts a sustained economic contraction in EMEA and North America, resulting in severe volume headwinds in both the Polymer Solutions and Industrial Solutions segments, which leads to a material decline in EBITDA and cash generation. Fitch assumes that upon default, SI Group would be unable to improve EBITDA as economic and industry headwinds would likely limit the benefits of cost reductions. However, Fitch also assumes that the underlying business fundamentals would improve over time as the cycle corrects, leading to the assumed GC EBITDA. An enterprise value multiple of 6x EBITDA is applied to the GC EBITDA to calculate a post-reorganization enterprise value. The choice of this multiple considered historical bankruptcy case study exit multiples for peer companies. Fitch used a multiple of 6x to estimate a value for SI Group because of its slightly lower margins relative to public comps. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - A sustained sufficient liquidity position, adequate to make interest payments and cover essential maintenance charges; - EBITDA interest coverage approaching 1.5x; - Progress towards positive FCF generation. Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - High revolver utilization, signaling highly constrained liquidity; -Expectations for EBITDA interest coverage durably below 1.0x. Liquidity and Debt Structure Constrained Liquidity: SI Group's liquidity position pro forma for the exchange transactions is estimated to be around $168 million, including a cash balance of around $33 million, around $100 million in availability under the new $218 million revolver, and $35 million in availability under the A/R securitization. Fitch believes this liquidity position is sufficient only to postpone, but not to avoid a liquidity crisis. This considers its expectation for continued negative FCF, and SI Group's upcoming cash requirements needed in the medium term. Fitch believes SI Group may need fresh third-party support in the next 24 months. Issuer Profile SI Group (SK Mohawk Holdings, SARL) provides polymers, fuel, lubricant and industrial additives and chemical intermediates for use in a number of end-markets, including plastics, fuels, tires, oilfield chemicals, food packaging and surfactants. MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Macro and Sector Forecasts data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. ESG Considerations The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Recovery Prior ----------- ------ -------- ----- Polar US Borrower, LLC LT IDR RD Downgrade CCC- LT IDR CCC Upgrade senior secured LT CCC New Rating RR4 senior secured LT B New Rating RR1 senior unsecured LT C Affirmed RR6 C senior secured LT C Affirmed RR6 C senior secured LT WD Withdrawn SK Mohawk Holdings, SARL LT IDR RD Downgrade CCC- LT IDR CCC Upgrade SONOMA CELLAR: Gets Final OK to Use Cash Collateral Until Dec. 31 ----------------------------------------------------------------- Sonoma Cellar, LLC received final approval from the U.S. Bankruptcy Court for the Eastern District of Virginia to use the cash collateral of WebBank, N.A. and the U.S. Small Business Administration. The final order, signed by Judge Klinette Kindred, authorized the company to use cash collateral, including certain pre-bankruptcy collateral, for ordinary course purposes until Dec. 31 in accordance with its budget. The use of cash collateral may be extended for two months if the company files a two-month budget and no party objects to the budget within five business days thereafter. Sonoma was ordered to provide adequate protection to WebBank and SBA, including monthly payments of $2,000 to WebBank, beginning one month after the petition date. In addition, the lenders were granted replacement liens in and to all post-petition assets of the company, to the same extent and with the same priority as their interest in the pre-bankruptcy collateral. About Sonoma Cellar Sonoma Cellar, LLC is a company that operates in the wine industry. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Va. Case No. 24-11780) with $10,000 to $50,000 in assets and $500,000 to $1 million in liabilities. Judge Klinette H. Kindred. Mark oversees the case. Justin Fasano at Mcnamee Hosea, P.A. represents the Debtor as legal counsel. SOVIRISH CORPORATION: Mark Sharf Named Subchapter V Trustee ----------------------------------------------------------- The U.S. Trustee for Region 17 appointed Mark Sharf, Esq., a practicing attorney in Los Angeles, as Subchapter V trustee for Sovirish Corporation. Mr. Sharf will charge $660 per hour for his services as Subchapter V trustee and will seek reimbursement for work-related expenses incurred. Mr. Sharf 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 Sharf, Esq. 6080 Center Drive, 6th Floor Los Angeles, CA 90045 Telephone: (323) 612-0202 Email: mark@sharflaw.com About Sovirish Corporation Sovirish Corporation sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Calif. Case No. 24-51532) on October 9, 2024, with as much as $50,000 in assets and liabilities. Ryan C. Wood, Esq., at the Law Offices of Ryan C. Wood, Inc. represents the Debtor as bankruptcy counsel. SP PF BUYER: Moody's Withdraws 'Caa2' CFR Following Debt Repayment ------------------------------------------------------------------ Moody's Ratings has withdrawn SP PF Buyer LLC's (Pure Fishing) ratings including the company's Caa2 Corporate Family Rating and the Caa2-PD Probability of Default Rating. Moody's have also withdrawn the Caa2 rating on the backed senior secured first lien bank credit facility, consisting of a first lien term loan due December 2025. The rating outlook was negative previously and has also been withdrawn. The ratings withdrawal follows Pure Fishing's full repayment of its previously rated senior secured debt. RATINGS RATIONALE Moody's have withdrawn the ratings because Pure Fishing's debt previously rated by us has been fully repaid. Headquartered in Columbia, South Carolina, Pure Fishing primarily designs, manufactures and sells fishing equipment, including rods, reels, lures, artificial bait, and related fishing tackle, across the globe. Since December 2018 the company is owned by private equity sponsor Sycamore Partners. Annual revenue is under $1.0 billion. SPI INVESTMENT: Chapter 15 Case Summary --------------------------------------- Three affiliates that concurrently filed voluntary petitions for relief under Chapter 15 of the Bankruptcy Code: Debtor Case No. ------ -------- SPI Investment Fund SPC (Lead Case) 24-21184 (In Official Liquidation) FTI Consulting Suite 3206 53 Market Set Camana Bay PO Box 30613 Grand Cayman KY1-1203 Cayman Islands International Portfolio Allocation Ltd. 24-21190 (In Official Liquidation) International Capital Allocation Ltd. 24-21187 (In Official Liquidation) Chapter 15 Petition Date: October 28, 2024 Court: United States Bankruptcy Court Southern District of Florida Judge: Hon. Peter D Russin Foreign Proceeding: Grand Court of the Cayman Islands, Cause No. FSD 393 (2023) Foreign Representatives: Andrew Morrison, David Griffin, and Iain Gow FTI Consulting Suite 3206 53 Market St Camana Bay, PO Box 30613 Grand Cayman KY1-1203 Cayman Islands Foreign Representatives' Counsel: Joaquin J. Alemany, Esq. Alex M. Englander, Esq. HOLLAND & KNIGHT LLP 701 Brickell Ave, Suite 3300 Miami, Florida 33131 Tel: (305) 789-7763 Email: joaquin.alemany@hklaw.com alex.englander@hklaw.com Estimated Assets: Unknown Estimated Debt: Unknown A full-text copy of the Lead Debtor's Chapter 15 petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/CXEOQ2Y/SPI_Investment_Fund_SPC_in_Official__flsbke-24-21184__0001.0.pdf?mcid=tGE4TAMA SPOT AT ANDERSON: Seeks to Extend Plan Exclusivity to Jan. 13, 2025 ------------------------------------------------------------------- Spot at Anderson, LLC is asking the U.S. Bankruptcy Court for the Southern District of Texas to extend its exclusivity periods to file a plan of reorganization and obtain acceptance thereof to January 13, 2025 and March 17, 2025, respectively. On June 24, 2024, the Debtor filed its Emergency Motion to Enforce the Automatic Stay (the "Stay Motion"), pursuant to which it sought to enforce the automatic stay against CIVE, Inc. ("CIVE"), the former general contractor for the Debtor's construction of a 155-unit multi-family property (the "Project") located at 3917 Anderson Road, Houston, TX 77053 in Harris County (the "Property"). Specifically, the Debtor sought to recover materials and other property improperly removed from the Project CIVE and prevent any further destruction to the Project. Following the filing of the Stay Motion and subsequent hearings with this Court thereon, the Debtor secured the return of the improperly removed materials from CIVE. However, the Debtor continues to evaluate potential causes of action with respect to the damage to the Project. The Debtor claims that once it obtains the necessary permits and completes the Project it intends to engage in a marketing process for the sale of the Project in connection with this Chapter 11 Case and has already begun the process of interviewing and considering potential brokers for marketing the Property. The Debtor explains that it has been focusing on the best path forward in connection with this Chapter 11 Case while being mindful of estate resources and potential recoveries to creditors. Specifically, the Debtor has endeavored to economically and efficiently overcome the multiple obstacles both that precipitated this Chapter 11 Case and also those that arose following the Petition Date. However, due to these unexpected challenges, the Debtor requires additional time to complete the Project and market the Project in connection with this Chapter 11 Case. Accordingly, the Debtor seeks a brief but reasonable extension of the Exclusivity Periods to allow the Debtor to address lingering issues with the Project, engage in a marketing process, and seek confirmation of a Plan. The Spot at Anderson LLC is represented by: Rebecca L. Matthews, Esq. Frost Brown Todd LLP 2101 Cedar Springs Rd. Dallas, TX 75201 Tel: (214) 580.5852 Fax: (214) 545.3472 Email: rmatthews@fbtlaw.com About The Spot at Anderson The Spot at Anderson LLC operates in the residential building construction industry. The Spot at Anderson LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 24-90411) on June 17, 2024. In the petition signed by Jeffrey Anapolsky, as chief restructuring officer, the Debtor reports estimated assets and liabilities between $10 million and $50 million each. Bankruptcy Judge Marvin Isgur oversees the case. The Debtor is represented by Rebecca L. Matthews, Esq. at FROST BROWN TODD LLP. STAR TRANSPORTATION: Voluntary Chapter 11 Case Summary ------------------------------------------------------ Debtor: Star Transportation PA Inc. 301 NW 171st Street Unit B Miami, FL 33169 Business Description: The Debtor offers specialized freight trucking services. Chapter 11 Petition Date: November 1, 2024 Court: United States Bankruptcy Court Southern District of Florida Case No.: 24-21557 Judge: Hon. Corali Lopez-Castro Debtor's Counsel: Joseph A. Pack, Esq. PACK LAW 51 NE 24th St., #108 Miami, FL 33137 Tel: (305) 916-4500 Email: joe@packlaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $10 million to $50 million The petition was signed by Victor Khramov as president. The Debtor failed to include in the petition a list of its 20 largest unsecured creditors. A full-text copy of the petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/5EJWLCA/Star_Transportation_PA_Inc__flsbke-24-21557__0001.0.pdf?mcid=tGE4TAMA STG DISTRIBUTION: Fitch Gives CCC+ IDR on Debt Exchange Completion ------------------------------------------------------------------ Fitch Ratings has downgraded Reception Mezzanine Holdings, LLC and Reception Purchaser, LLC's (collectively Reception) Issuer Default Rating (IDR) to 'RD' from 'C'. This action follows the completion of the company's exchange of senior secured debt, which Fitch views as a distressed debt exchange (DDE) under its criteria. Following the exchange, Fitch has upgraded Reception's IDRs to 'CCC+' and assigned the new borrower, STG Distribution, LLC an IDR of 'CCC+'. Fitch affirmed the remaining first lien debt at Reception at 'CC' with a Recovery Rating of 'RR3' and subsequently upgraded it to 'CCC'/'RR5'. In addition, Fitch has assigned the following new ratings to STG Distribution, LLC: first lien (FL) first out loan 'B+'/'RR1', FL second out loan 'CCC'/'RR5', FL third out loan 'CCC '/'RR5. The 'CCC+' IDRs reflect STG's improved liquidity position, which supports operational priorities and accommodates forecasted negative FCF in 2025. This positions the company to benefit from a potential recovery in the intermodal freight cycle. The exchange significantly reduces debt service costs for a three-year period, which eases the cash flow burn rate. STG Logistics' post-exchange gross leverage remains high and deleveraging relies on a cyclical upswing. Fitch believes this upswing will also be necessary to alleviate refinancing risk for debt maturing in 2029, subject to a December 2027 springing maturity. Key Rating Drivers DDE Exchange Terms: Fitch classifies the completed exchange as a DDE due to the material reduction in terms incurred by the lenders during a period of deteriorating credit quality and allows the issuer to avoid a payment default that may have occurred in the near term. The transaction moved certain STG assets into a new unrestricted subsidiary and used them to collateralize a new money first-lien first-out term loan. Existing lenders incurred contractual subordination and PIK interest if they exchanged their debt. Unexchanged debt lost significant collateral to the unrestricted subsidiary and now shares first-lien claims with the exchanged debt and an intercompany loan that further dilutes the unexchanged debt's claims. Multi-Year Liquidity Buffer: STG received approximately $187 million of liquidity in connection with the exchange through new money first-lien first out term debt and common equity contribution from the sponsors. Fitch believes the liquidity injection, along with significantly reduced debt service costs and good operating execution in a moderately improving operating environment, could support the business through 2027. The timeline affords three bid seasons ahead of its first maturity to realize a meaningful benefit from a recovery in intermodal freight rates that would drive high operating leverage and improve its cash flow profile. FCF Burn Eases Post-DDE: The new PIK interest structure is expected to result in about $50 million of cash savings per year. Fitch forecasts negative FCF in the low $100 million range in 2024, followed by notable improvement to the negative $50 million range in 2025. STG's cash flow profile is expected to be driven by the intermodal freight rate environment and greater visibility into a recovery is expected to take shape over the course of 2025. STG's intermodal contracts lock in annual rates in the first half of each year while other portions of the business such as drayage and warehouse logistics could benefit more quickly. Freight Downturn Challenges Performance: The intermodal freight environment has been weak through 2024, and declining rates over the last two years have contributed to the deterioration of STG's financial performance. Fitch continues to expect a recovery in the freight cycle as truckload capacity, a substitutive mode, continues to exit and as macroeconomic conditions remain stable. While the timing and degree are uncertain, Fitch believes a recovery will begin to take shape in 2025, setting the stage for an important bid season in 2026. Fitch believes STG's intermodal pricing remains below the pre-Covid historical trend. Longer-term fundamentals such as truck-to-rail conversions, improving rail service and potential for an increasingly sustainability focused-shipper base still indicate growing long-term demand. Coverage and Leverage Remain Weak: Fitch expects metrics in 2024 and 2025 to remain weak for the rating though this risk is moderated by the company's improved liquidity position. Coverage and leverage are also likely to track a market recovery, and solid execution will be needed to right-size these metrics prior to refinancing. The PIK interest period lasts for up to three years. Business Model Considerations: Fitch believes STG's business model aligns more with a 'B' or better category rating. The company occupies a top-four market position as an intermodal and drayage service provider with coverage at 8 of 10 major U.S. ports and numerous inland distribution locations. Its position is supported by its end-to-end solutions for shippers that span first- to last-mile solutions, a network of third-party transport and established relationships. The intermodal industry is highly cyclical due to its exposure to consumer and industrial markets and susceptibility to supply and demand imbalances within intermodal and truckload markets. Fitch believes the industry has limited pricing power due to its reliance on third party transporters and the availability of substitute trucking options Derivation Summary STG competes in the fragmented transportation and logistics market with a number of public large-scale peers such as J.B. Hunt, Hub Group, Forward Air (B/Stable) and CH Robinson. However, many of these peers offer a variety of services beyond intermodal shipments or rail brokerage. STG's credit profile is relatively weaker considering its negative FCF profile and weak coverage and leverage metrics. Key Assumptions - Intermodal freight market conditions improve during 2025; - Fitch calculated EBITDA of around $15 million in 2024 before trending toward $50 million in 2025; - Financial performance will remain weak in the near term, and cash flow will be negative. - STG maintains a good liquidity profile over the medium term; - SOFR follows the forward curve, trending toward 3.5% in 2025. Recovery Analysis The recovery analysis assumes STG would be reorganized as a going concern (GC) bankruptcy rather than liquidated. Fitch has assumed a 10% administrative claim on the consolidated business. Due to the separation of assets between STG Distribution (NewCo) and Reception (RemainCo) and the difference in claims by the securities that Fitch rates, its reorganization scenario considers the value of each group on a standalone basis. In this scenario, Fitch assumes the two groups would have equivalent enterprise values (EV). However, structural changes in the value of either group would impact its recovery estimates. On a combined basis, Fitch estimates STG's GC EBITDA at $100 million. The GC EBITDA estimate reflects Fitch's view of a sustainable, post-reorganization EBITDA level upon which Fitch bases the consolidated EV. This scenario reflects an extended downturn in the freight cycle and competitive pricing pressures leading to multi-year cash flow pressures. It also reflects corrective measures taken in the reorganization to offset adverse conditions such as cost cutting, contract repricing and a prospective industry recovery. Fitch assumes STG would receive a company average GC recovery multiple of 4.0x. The multiple is applied to its GC EBITDA estimate to calculate a post-reorganization EV. Ultimately STG's 4.0x multiple is driven by the company's size and scale and by comparable EVs among logistics providers. It also considers the valuation of the XPO intermodal acquisition completed in March 2022. The debt at NewCo benefits from structural seniority on the transferred assets, pari passu status with Reception stub debt on RemainCo assets, and a "double-dip" claim via a pari passu intercompany loan secured by RemainCo assets. Whereas the remaining stub debt at Reception benefits solely from the security on RemainCo's assets. Fitch's estimate of post-reorganization EV results in 'B+/'RR1' ratings with a recovery estimate of 100% for the first out term loan. It also results in 'CCC'/'RR5' ratings on the stub debt at Reception (20% recovery estimate), second-out term loan (23% recovery estimate) and third-out term loan (20% recovery estimate) with recoveries of these instruments primarily supported by equivalent claims on RemainCo EV. Relative to the third-out term loan and stub debt at Reception, the second-out term loan gets a recovery benefit from its second priority claim on the value captured by the intercompany loan. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Alleviation of refinance risks, including an ability to de-risk the springing maturity; - EBITDA interest coverage with interest calculated on a full cash-pay basis sustained above 1.5x; - A sustained improvement in STG's FCF that stabilizes its liquidity profile. Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Heightened refinancing risk including an increased likelihood of triggering the springing maturity provision; - An inability to manage cash flow profile, leading to a deterioration in liquidity, approaching $50 million; - EBITDA interest coverage with interest calculated on a full cash-pay basis sustained below 1.0x. Liquidity and Debt Structure Improved Liquidity: The transaction adds approximately $187 million of liquidity, and at June 30, 2024 STG's cash balance was $77 million. The company does not have access to a revolving credit facility. The remaining stub debt of about $59 million at Reception matures first in March 2028, however; the new facilities at STG Distribution, LLC have a springing maturity provision to December 2027. The scheduled maturity of the new facilities is October 2029. New Debt Structure: At close of the transaction, STG has $59 million of first-lien revolver and term loan borrowings at Reception Purchaser, LLC that were not exchanged. It also has $191 million of first-lien first out, $615 million of first-lien second out and $93 million of first-lien third out term loans at STG Distribution, LLC. The first-lien first out loans include $137 million of new money loans plus rollover revolver borrowings and capitalized fees. Lease Treatment: Fitch capitalizes operating lease costs at 8.0x, consistent with its treatment for real estate assets under lease. For finance leases, Fitch utilizes the reported liability since these leases are predominately for intermodal containers, which have discounted purchase options at the end of their 4-5 year lease terms. Issuer Profile STG is a provider of integrated, port-to-door containerized logistic services including drayage, transloading, warehousing, fulfilment, rail brokerage and final-mile solutions. It serves the continental U.S. including major ports. MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Macro and Sector Forecasts data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. ESG Considerations The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Recovery Prior ----------- ------ -------- ----- Reception Mezzanine Holdings, LLC LT IDR RD Downgrade C LT IDR CCC+ Upgrade Reception Purchaser, LLC LT IDR RD Downgrade C LT IDR CCC+ Upgrade senior secured LT CC Affirmed RR3 CC senior secured LT CCC Upgrade RR5 STG Distribution, LLC LT IDR CCC+ New Rating senior secured LT B+ New Rating RR1 senior secured LT CCC New Rating RR5 senior secured LT CCC New Rating RR5 STRUCTURE ONE: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------ Debtor: Structure One, Inc. 205 Lakeview Cir Lockhart, TX 78644-2091 Chapter 11 Petition Date: October 29, 2024 Court: United States Bankruptcy Court Western District of Texas Case No.: 24-11342 Judge: Hon. Shad Robinson Debtor's Counsel: Stephen W Sather, Esq. BARRON & NEWBURGER, P.C. 7320 N. MoPac Expressway 400 Austin TX 78731 Tel: (512) 649-3243 Email: ssather@bn-lawyers.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Jeffrey Brown as president. A full-text copy of the petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/MBHQL5I/Structure_One_Inc__txwbke-24-11342__0001.0.pdf?mcid=tGE4TAMA SUNSET LAKES: $1.5M Sale to 5M Venture to Fund Plan --------------------------------------------------- Sunset Lakes LLC filed with the U.S. Bankruptcy Court for the Southern District of Illinois a Plan of Liquidation dated September 18, 2024. The Debtor owns three non-contiguous parcels in Jerseyville, IL. The Debtor leases a shed and storage space on to Historic Timber & Plank, Inc. ("HTP") a debtor is a related case (24-30423-lkg) for use in its woodworking operations. HTP is a leader in custom woodworking and millwork. It has unique suppliers and provides specialized wood fixtures to individual and commercial customers. The Debtor's only asset is its real estate. The Debtor's financial issues stem from HTP's legacy tax liability from a failed joint venture and a delayed loan closing and the subsequent pandemic. The Debtor's secured creditor is First Bank of the Lake ("FBOL") which holds the first lien on the Debtor's real estate. The Debtor filed this chapter 11 proceeding to resolve the bank liability and effectuate a sale of assets to pay that liability. HTP and the Debtor extensively marketed their assets prior to the bankruptcy filing. In August 2024, the Debtor received an offer from 5M Venture II, LLC to purchase the HTP, Adkom and the Debtor's assets for a lump sum price of $1,500,000.00. Concurrently with this Plan, the Debtor is filing a Motion to Approve the Sale of Assets. Based on its lengthy marketing process, the Debtor believes the 5M Venture represents the highest and best sales price for the assets. Class 2 shall consist of all Allowed Unsecured Claims held by any Unsecured Creditor against the Debtor. Unsecured Claims are not secured by Estate Property and are not entitled to priority under Section 507(a) of the Bankruptcy Code. The holders of Allowed General Unsecured Claims will not receive any distribution on their claims. Class 3 consists of all Allowed Interests in the Debtor. Class 6 Allowed Interests will be retained on the Effective Date and therefore are unimpaired under the Plan and are deemed to have accepted the Plan. The Debtor will file a Motion to Approve Bid Procedures and Authorize Sale of Assets Free and Clear of Liens on or before September 30, 2024. The proposed purchaser will be 5M Venture II, LLC subject to higher and better offers. Upon entry of a Sale Order and closing of a sale, the Debtor will distribute payments pursuant to this Plan. A full-text copy of the Liquidating Plan dated September 18, 2024 is available at https://urlcurt.com/u?l=4x29Iy from PacerMonitor.com at no charge. Counsel to the Debtor: Spencer P. Desai, Esq. The Desai Law Firm, LLC 13321 North Outer Forty Road, Suite 300 St. Louis, Missouri 63017 Telephone: (314) 666-9781 Email: spd@desailawfirmllc.com About Sunset Lakes LLC Sunset Lakes LLC in Jerseyville, IL, filed its voluntary petition for Chapter 11 protection (Bankr. S.D. Ill. Case No. 24-30424) on June 20, 2024, listing $50,000 to $100,000 in assets and $1 million to $10 million in liabilities. Joseph Adams as manager, signed the petition. Judge Laura K. Grandy oversees the case. THE DESAI LAW FIRM serve as the Debtor's legal counsel. SUPERSTAR ELIZABETH: Gets OK to Use Cash Collateral Until Dec. 31 ----------------------------------------------------------------- Superstar Elizabeth, LLC received interim approval from the U.S. Bankruptcy Court for the District of Columbia to use the cash collateral of its secured lender, Sandy Spring Bank, through Dec. 31. The interim order authorized the company to use the lender's cash collateral to pay expenses related to its operations, including the maintenance of its property in Washington, DC; to make payments to the lender as adequate protection; to pay any U.S. Trustee fees; to make post-petition monthly deposits of $1,000 to the company's counsel to be held in escrow unless and until an application for compensation is filed and granted by court order; and pay the expense associated with obtaining a commercial appraisal for purposes of sale or refinance in an amount not to exceed $5,000. To safeguard Sandy Spring Bank's interests, the order granted the lender replacement liens on the company's post-petition assets, with the same priority and validity as its pre-bankruptcy liens. About Superstar Elizabeth Superstar Elizabeth LLC is a single asset real estate debtor (as defined in 11 U.S.C. Section 101(51B)). Superstar Elizabeth sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. D.C. Case No. 24-00253) on July 17, 2024, with $1 million to $10 million in both assets and liabilities. Daniel Lledo, managing member, signed the petition. Judge Elizabeth L. Gunn oversees the case. The Debtor is represented by Michael A. Ostroff, Esq., at Montero Law Group, LLC. TDA ENTERPRISES: Unsecureds to Split $11K over 55 Months -------------------------------------------------------- TDA Enterprises, Inc. d/b/a Technology Design Associates filed with the U.S. Bankruptcy Court for the District of Arizona a Chapter 11 Plan of Reorganization dated September 17, 2024. The Debtor opened for business in 2011 in Bend, Oregon. Since opening, TDA has strived to be the leader in its markets for meeting the design, installation, and service needs of its clients. Unfortunately, TDA expanded its operations in Oregon, Nevada and in Arizona at a time when the world was facing a global Pandemic. Like many business, the Pandemic impacted TDA's ability to generate sufficient revenues to meet its daily expenses. As a result of the Pandemic, TDA was forced to seek out high interest loans along with a very large loan from the US Small Business Administration. Realizing the magnitude of the problem, TDA's principal, Ron Wanless, began cost cutting measures. Unfortunately, these cost cutting measures were not enough. TDA was forced to file for bankruptcy relief on June 20, 2024. TDA currently operates out of offices in Oregon and Nevada. Through the Chapter 11, it has rejected its Arizona location along with one or two other locations as it continues to downsize in an effort to tighten its belt so that it can reorganize. Class 7 consists of General Unsecured Claims. The allowed unsecured claims total $3,900,258.39. The projected dividend of $11,000.00 is to be paid over a period of fifty-five months, commencing in month one of the Plan. This dividend shall be reduced by the Court approved administrative expense claims of the Debtor's counsel, Court appointed accounting professional (if any) and the Chapter 11 Subchapter V Trustee to the extent that said administrative expense claims exceed the amounts listed in this Plan. The Debtor may pre-pay any amounts due any creditor in this Class prior to the due dates in the Plan of Reorganization without penalty and without prior notice or Court approval unless otherwise provided for in the Plan of Reorganization. This Class is impaired. Class 8 consists of Equity Interest Holders/ Debtor's Interest. Equity Holder shall retain its shareholder/membership interest in the Debtor and the Debtor shall retain all legal and equitable interest in assets of this estate as all reconciliation issues have been met. Post Confirmation ownership and control shall remain with the Equity Security Holder, Ronald Wanless. This is a 55-month Plan with a total projected Plan yield of approximately $1,722,853.68. The total projected yield includes payment of Administrative Expenses, Priority, 401k Claims, and Priority Tax Claims. Debtor agrees that it will make payments of not less than $1,722,853.68 over the life of the Plan which represents the Debtor's projected disposable income for that time period as required under the Code. A full-text copy of the Plan of Reorganization dated September 17, 2024 is available at https://urlcurt.com/u?l=VhTUpX from PacerMonitor.com at no charge. Attorney for the Debtor: Allan D. NewDelman, Esq. Allan D. NewDelan, P.C. 80 East Colombus Avenue Phoenix, AZ 85012 Telephone: (602) 264-4550 Email: annewdelman@adnlaw.net About TDA Enterprises TDA Enterprises, Inc. provides high-end smart home installations, home theater setups, and outdoor audio video to residential and commercial clients across Oregon, Washington, Nevada, California and Arizona. TDA Enterprises sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ariz. Case No. 24-04930) on June 20, 2024. In the petition signed by Ron Wanless, president, the Debtor disclosed up to $500,000 in assets and up to $10 million in liabilities. Judge Brenda Moody Whinery oversees the case. Allan D. NewDelan, PC serves as the Debtor's counsel. TECTUM ROOFING: Hires Kutner Brinen Dickey Riley P.C. as Counsel ---------------------------------------------------------------- Tectum Roofing, LLC seeks approval from the U.S. Bankruptcy Court for the District of Colorado to employ Kutner Brinen Dickey Riley, P.C. as counsel. The firm will provide these services: a. provide the Debtor with legal advice 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 which may be required in the continued administration of the Debtor's property under Chapter 11; d. take necessary actions to enjoin and stay until final decree herein continuation of pending proceedings and to enjoin and stay until final decree herein commencement of lien foreclosure proceedings and all matters as may be provided under 11 U.S.C. Section 362; and e. perform all other legal services for the Debtor which may be necessary herein. The firm will be paid at these rates: Jeffrey S. Brinen $515 per hour Jonathan M. Dickey $375 per hour Keri L. Riley $375 per hour Jenny M. Fujii $410 per hour Kutner Brinen Dickey Riley received a pre-petition retainer in the amount of $30,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Jeffrey S. Brinen, Esq., a partner at Kutner Brinen Dickey Riley, 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 Debtor is represented by: Jeffrey S. Brinen, Esq. KUTNER BRINEN DICKEY RILEY PC 1660 Lincoln Street, Suite 1720 Denver, CO 80264 Tel: (303) 382-2400 Email: jsb@kutnerlaw.com About Tectum Roofing, LLC Tectum Roofing, LLC, filed a Chapter 11 bankruptcy petition (Bankr. D. Colo. Case No. 24-16169) on Oct. 17, 2024. The Debtor hires Kutner Brinen Dickey Riley, P.C. as counsel. TGI FRIDAY'S: Case Summary & 50 Largest Unsecured Creditors ----------------------------------------------------------- Lead Debtor: TGI Friday's Inc. 19111 North Dallas Parkway, Suite 200 Dallas, TX 75287 Business Description: Founded in 1965 in New York City, New York, the Debtors are the owners and franchisors of original casual dining bar and grill, TGI Fridays, offering classic American food and beverages, with 39 restaurant locations being owned and operated by the Debtors. The Debtors are known for bringing people together to socialize and celebrate the liberating spirit of "Friday." The Debtors boast a considerable international presence, and the vast majority of its restaurants are franchises. Chapter 11 Petition Date: November 2, 2024 Court: United States Bankruptcy Court Northern District of Texas Twenty-three affiliates that concurrently filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code: Debtor Case No. ------ -------- TGI Friday's Inc. (Lead Case) 24-80069 TGI Friday's Inc. 24-80069 TGI Friday's NY, LLC 24-80070 TGIF Holdings, LLC 24-80071 TGIF Midco, Inc. 24-80072 TGIF Parent, Inc. 24-80073 Burlington Towne Crossing, Inc. 24-80074 T G I Friday's of Greenbelt, Inc. 24-80075 T G I Friday's of Towson, Inc. 24-80076 T G I Friday's of Wisconsin, Inc. 24-80077 T.G.I. Friday's Marketing Advisory Council 24-80078 T.G.I. Friday's of Charles County, Inc. 24-80079 T.G.I. Friday's of Frederick County, Inc. 24-80080 T.G.I. Friday's of Harford County, Inc. 24-80081 T.G.I. Friday's of Washington County, Inc. 24-80082 TGI Friday's of Annapolis, Inc. 24-80083 TGI Friday's of Howard County, Inc. 24-80084 TGI Friday's of Rockville, Inc. 24-80085 TGI Friday's of Texas LLC 24-80086 TGI Friday's of the Rockies, Inc. 24-80087 TGIF/DFW Manager, LLC 24-80088 TGIF/DFW Partner, LLC 24-80089 TGIF/JDC Restaurant Development, LLC 24-80090 WEBCO Products Incorporated 24-80091 Judge: Hon. Stacey G Jernigan Debtors' General Bankruptcy Counsel: Chris L. Dickerson, Esq. Rahmon J. Brown, Esq. ROPES & GRAY LLP 191 North Wacker Drive, 32nd Floor Chicago, IL 60606 Tel: (312) 845-1200 Fax: (312) 845-5500 Email: chris.dickerson@ropesgray.com rahmon.brown@ropesgray.com Debtors' Co-Bankruptcy Counsel: Holland N. O'Neil, Esq. Mark C. Moore, Esq. Zachary C. Zahn, Esq. FOLEY & LARDNER LLP 2021 McKinney Avenue, Suite 1600 Dallas, TX 75201 Tel: (214) 999-3000 Fax: (214) 999-4667 Email: honeil@foley.com mmoore@foley.com zzahn@foley.com Debtors' Financial Advisor: BERKELEY RESEARCH GROUP, LLC Debtors' Notice, Claims, Solicitation & Balloting Agent: STRETTO, INC. Estimated Assets (on a consolidated basis): $100 million to $500 million Estimated Liabilities (on a consolidated basis): $100 million to $500 million The petitions were signed by Kyle Richter as chief restructuring officer. A full-text copy of the Lead Debtor's petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/PHLHO6A/TGI_Fridays_Inc__txnbke-24-80069__0001.0.pdf?mcid=tGE4TAMA Consolidated List of Debtors' 50 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount 1. Digitas Inc Marketing Digital $3,400,266 40 Water Street Boston, MA 02109 Linda Piggot Phone: 617-867-1000 Email: lindapiggot@digitas.com 2. Active Media Services Inc Marketing Media $1,972,404 One Blue Hill Plaza PO Box 1705 Pearl River, NY 10965-8705 Jeffrey Pappas Phone: 845-732-8547 Email: achievemore@activeinternational.com 3. MiQ Digital USA Inc Marketing Digital $1,254,640 5th Floor High Holborn House 52-54 High Holborn, UK 4. DoorDash Inc. Marketing Digital $854,500 303 Second Street Suite 800 San Francisco, CA 94107 Phone: 855-431-0459 Email: ir@doordash.com 5. Towson Tc LLC Rent $596,828 c/o General Growth Properties 350 N. Orleans Street Suite 300 Chicago, IL 60654-1607 Jeff Sneddon Phone: 410-992-6003 Emal: Jeffrey.Sneddon@bpretail.com 6. Brookwood Interchange Office Rent $540,633 I LLC 5001 LBJ Freeway Suite 120 Dallas, TX 75244 Phone: 972-893-3474 Email: sboze@bookwoodfinancial.com 7. Katz Media Group Inc Marketing Digital $530,766 125 W 55th Street New York, NY 10019 Kimberly Browne Phone: 212-424-6516 Email: Kim.browne@katz-media.com 8. WG Park LP Willow Grove Rent $517,132 Park Mall c/o PREIT Services LLC One Commerce Square 2005 Market Street Suite 1000 Philadelphia, PA 19103 Paula Charles Phone: 215-875-0712 Email: Paula.Charles@preit.com 9. Zaliv LLC Rent $410,017 5 Continental Ave Forest Hills, NY 11375 Phone: 347-538-7424 Email: commercialace@gmail.com 10. Southview Peak LLC Rent $408,057 3736 Fallon Road #501 Dublin, CA 94569 Liming Liu 11. Metropolitan Plaza WP LLC Rent $384,867 7-11 So. Broadway #206 White Plains, NY 10601 12. Creating Culinary Krispy Rice $376,972 Community LLC 10955 Granada Lane Overland Park, KS 66211 13. Urban Edge Properties Rent $376,738 210 Route 4 East Paramas, NJ 07652 Robert C. Milton III Phone: 201-571-3500 14. MP Promenade LLC Rent $368,244 c/o V3 Capital Group, LLC 200 Evans Road Melbourne, FL 32904 Katherine A Roche 15. Salesforce.com Inc. Vendor $348,865 415 Mission Street 3rd Floor San Francisco, CA 94105 Sabastian Niles Tel: 800-664-9073 16. Rancho Mall LLC Rent $310,203 c/o Brookfield Properties 350 N Orleans St. Suite 300 Chicago, IL 60654 Email: Shannon.Preciado@bpretail.com 17. Telgian Corporation Corrigo $307,062 2615 Industrial Park Avenue Tempe, AZ 85282 Dave Gomez Tel: 480-753-5444 18. CR Mount Pleasant LLC Rent $301,964 c/o Continental Realty Corporation 1427 Clarkview Road Suite 500 Baltimore, MD 21209 Stephani Shack Phone: 410-296-4800 Email: info@crcrealty.com 19. W/S Amherst Properties LLC Rent $285,139 33 Boylston Street Suite 3000 Chestnut Hill, MA 02467 Tel: 603-882-3610 20. USA Today Marketing Media $275,000 7950 Jones Branch Drive, McLean, VA 22108 Caren Bohan Phone: 703-854-3400 Email: cbohan@usatoday.com 21. Tru Touching Humans LLC Marketing Media $273,561 dba TRUth 5800 Democracy Dr Plano TX 75024 Yousef Kattan Phone: 972-848-8686 Email: ykattan@truad.com 22. REACTS LLC Corrigo $266,610 200 S State Road #B Marysville, PA 17053 Tel: 717-773-5865 23. Addison Quorum Partners Ltd Rent $264,554 15280 Addison Road Suite 301 Addison, TX 75002 24. Route 140 School Street LLC Rent $263,353 33 Boylston Street Suite 3000 Chestnut Hill, MA 02467 Phone: 617-646-3259 Email: Katrina.Meidanis@wsdevelopment.comt.com 25. Vinsue Corporation Rent $262,812 5 Genmare Mews Nyack, NY 10960 Phone: 646-895-9416 Email: robertlonzar_vinsuecorp@aol.com 26. Woodbury Centre Partners LLC Rent $261,888 c/o Blueshine Capital LLC 27 Robert Pitt Drive Monsey, NY 10952 Mel Firer 845-371-4040 845-806-6110 Email: mel@blueshinecapital.com 27. DLR Properties LLC Rent $260,431 560 Fifth Avenue New York NY 10036 Daniel S. Dornfeld Phone: (516) 248-1700 Email: ddornfeld@forchellilaw.com 28. Tyler Mall Limited Partnership Rent $260,282 c/o GGP, Inc. 1299 Galleria at Tyler Riverside, CA 92503 Emily Martin Phone: (312) 960-6364 Email: Emily.martin@brookfieldpropertiesretail.com 29. DFW International Airport Rent $260,038 Board 2400 Aviation Drive 3rd Floor DFW Airport, TX 75261 Sean Donohue Phone: 972-973-4829 Email: Jbaker2@dfwairport.com 30. Spark Branding House Inc Marketing Other $251,186 2309 W Platt Street Tampa, FL 33609 Jessie Hamlin Phone: 813-253-0300 Email: jessie@spark.us 31. Monmouth V Urban Rent $250,201 Renewal LLC c/o Brookfield Properties Retail 500 Fifth Avenue Suite 3100 New York, NY 10110 32. A O Smith Water Products Corp Corrigo $242,368 11270 West Park Place Suite 170 P.O Box 245008 Milwaukee, WI 53224 33. South Shore Mall Realty LLC Rent $242,154 South Shore Mall Realty LLC c/o Namdar Realty Group 150 Great Neck Road Suite 304 Great Neck, NY 11021 Igar Namdar Phone: 516-773-0010 Email: igar@namdarllc.com legal@namdarllc.com abstract@namdarllc.com renewals@namdarllc.com 34. Simon Property Group (TX) LP Rent $241,251 National City Center 225 West Washington Street Indianapolis, IN 46204 Tel: 317-636-1600 35. Northern Village Associates LP Rent $236,149 16130 Ventura Blvd Suite 250 Encino, CA 91436 Tel: 559-447-6235 559-447-6266 36. Allied Austin LLC Rent $234,912 118-35 Queens Blvd Forest Hills, NY 11375 Phone: 718-263-3800 Email: bbergman@muss.com 37. Mall At Solomon Pond LLC Rent $233,671 601 Donald Lynch Blvd Marlborough, MA 01752 Tel: 315-425-1000 38. Schick Construction Inc Rent $230,917 3876 Via Dolce Marina del Rey, CA 90292 Benjamin Schick 310-266-8367 310-821-6643 Email: Ben@schickconstruction.com 39. Valley Stream Green Acres Rent $222,679 LLC c/o The Macerich Company 401 Wilshire Blvd Suite 700 Santa Monica, CA 90401 Joseph Floccari Phone: 516-561-7360 Email: GreenAcresAR@macrich.com 40. Heidrick and Struggles Inc Professional $215,258 233 South Wacker Drive Services Willis Tower Suite 4900 Chicago, IL 60606-6303 Anne Rockey Phone: 312-496-1200 Email: arockey@heidrick.com 41. Yelp Inc - Advertising Vendor $204,165 140 New Montgomery St San Francisco, CA 94105 Tel: 877-767-9357 42. Windstream Corporation IT $202,339 4001 Rodney Parham Road Little Rock, AR 72212 Tel: 501-748-7000 43. EklecCo NewCo LLC Rent $201,267 c/o Pyramid Management Group, LLC 4 Clinton Square Syracuse, NY 13202 Phone: 518-491-4007 Email: Davidvinehout@pyramidmg.com 44. ARC CAFEUSA001 LLC Rent $201,047 c/o Vereit, INc. 2325 E. Camelback Road 9th Floor Phoenix, AZ 85016 Phone: 212-217-6395 Email: relegal@vereit.com 45. DK Crown Holdings Inc dba Marketing Other $200,000 DraftKings Inc 222 Berkeley St Boston, MA 02116 Jason Robins Phone: 301-980-2133 Email: jrobins@draftkings.com 46. Leviton Law Firm Ltd Legal $200,000 One Pierce Place Suite 725W Itasca, IL 60143 Don Leviton Tel: 844-843-5290 47. Brooks Shopping Rent $199,875 Centers LLC c/o Mars Realty 10 Grand Central 155 East 44th Street New York, NY 10017 Michael A. Pensabene Phone: (212) 867-6000 Email: Craig M. Deitelzweig Phone: 212-557-1400 48. Brass Mill Commons Realty Rent $193,029 Holding LLC c/o Brass Mill Center 495 Union Street Suite 139 Waterbury, Ct 06706 Phone: 216-831-0542 Email: jsaponaro@meyersroman.com 49. Loews West Long Branch Rent $190,583 Cinemas One AMC Way 11550 Ash Street Suite 200 Leawood, KS 66211 Luke Hilboldt Phone: (913) 213-2641 Email: lhilboldt@amctheatres.com 50. Stuyvesant Plaza Retail LLC Rent $179,650 c/o WS Asset Management, Inc. 33 Boylston Street Suite 3000 Chestnut Hill, MA 02467 Tel: 617-232-8900 TGI FRIDAY'S: Files Chapter 11 to Address Legacy Liabilities ------------------------------------------------------------ TGI Fridays Inc., the owner and operator of 39 domestic restaurants in the TGI Friday's casual dining chain, filed voluntary petitions under Chapter 11 of the U.S. Bankruptcy Code in the Northern District of Texas on Saturday. The Company expects to use the time and legal protections made available through the Chapter 11 restructuring process to allow the Company to explore strategic alternatives in order to ensure the long-term viability of the brand. Continuity in Franchise Operations The TGI Fridays brand and related intellectual property are owned by TGI Fridays Franchisor, LLC as a result of a securitization agreement with a separate investor group. These entities are not included in the Chapter 11 process. TGI Fridays Franchisor, LLC has franchised the brand to 56 franchisees in 41 countries. All of these franchise locations, both domestic and international, are independently owned and therefore not included in TGI Fridays Inc.'s Chapter 11 process. They are open and serving customers as usual. To ensure continuity of service to franchisees, TGI Fridays Franchisor, LLC has negotiated a Transition Services Agreement with -- and provided interim funding to -- TGI Fridays Inc. to maintain support services for franchisees while TGI Fridays Franchisor, LLC works to implement a new long-term support structure. Protection for Company-Owned Restaurants and Support Services In addition to supporting franchise restaurants, TGI Fridays Inc. maintains operations across its corporate-owned restaurants in the U.S. The Company has secured a commitment for debtor-in-possession financing to support operations while proceeding through the Chapter 11 process. It also filed motions with the Bankruptcy Court that, when approved, will allow the Company to, among other things, continue its customer programs in the normal course. These motions are typical of the Chapter 11 process and are expected to be heard and approved in the first days of the case. "The next steps announced today are difficult but necessary actions to protect the best interests of our stakeholders, including our domestic and international franchisees and our valued team members around the world," said Rohit Manocha, Executive Chairman of TGI Fridays Inc., on Saturday. "The primary driver of our financial challenges resulted from COVID-19 and our capital structure. This restructuring will allow our go-forward restaurants to proceed with an optimized corporate infrastructure that enables them to reach their full potential." Additional information, including claims information, can be found at https://cases.stretto.com/TGIFridays or by contacting Stretto, the Company's noticing and claims agent, at (833) 505-4418 (for toll-free U.S. and Canada calls), (714) 886-6213 (for tolled international calls), or by emailing TeamTGIFridays@stretto.com. About TGI Friday's As the world's first casual bar and grill, Dallas-based TGI Fridays -- https://www.Fridays.com/ -- is the birthplace of fun, freedom, and celebration, bringing people together to socialize and experience "That Fridays Feeling(TM)", a sense of celebrating the fun in everyday moments, big and small. For over 50 years, Fridays has been lifting spirits around the world, currently with more than 461 restaurants in 41 countries, serving high-quality, classic American food and iconic drinks backed by authentic and genuine service. TJJ TRANSPORT: Seeks to Extend Plan Exclusivity to April 29, 2025 ----------------------------------------------------------------- TJJ Transport Inc., asked the U.S. Bankruptcy Court for the Eastern District of New York to extend its exclusivity period to file a plan of reorganization and disclosure statement to April 29, 2025. This is the Debtor's first request for an extension of its time to file a plan or reorganization and disclosure statement. It is self-evident that the Debtor is not seeking these extensions to artificially delay the conclusion of this chapter 11 case or to hold creditors hostage to an unsatisfactory plan proposal. The Debtor claims that it simply needs time to reach an agreement with the Creditor's with respect to adequate protection payments and resolution of their claims filed in this case, and thereafter to file a plan of reorganization and disclosure statement, offering treatment to the main and other remaining creditors of the estate. The Debtor asserts that the requested extensions of the exclusivity period to file a plan and disclosure statement will not harm any economic stakeholder. Rather, the time will be used to resolve a claim filed in this case. Moreover, should any events occur or there be a significant change in circumstances, a party in interest may move to reduce the time to file a plan and disclosure statement. TJJ Transport Inc. is represented by: Alla Kachan, Esq. LAW OFFICES OF ALLA KACHAN, P.C. 2799 Coney Island Avenue., Suite 202 Brooklyn, NY 11235 Telephone: (718) 513-3145 Email: alla@kachanlaw.com About TJJ Transport Inc. TJJ Transport Inc. is a trucking company. TJJ Transport Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-42805) on July 3, 2024. In the petition filed by Bakhodir Ochilov, as president, the Debtor reports total assets of $2,430,050 and total liabilities of $7,372,315. Honorable Bankruptcy Judge Jil Mazer-Marino oversees the case. The Debtor is represented by Alla Kachan, Esq. at the LAW OFFICES OF ALLA KACHAN, P.C. TUBULAR SYNERGY: Seeks to Extend Plan Exclusivity to December 6 --------------------------------------------------------------- Tubular Synergy Group, LP, and OCTG Connections, LLC asked the U.S. Bankruptcy Court for the Northern District of Texas to extend their exclusivity periods to file a plan of reorganization and obtain acceptance thereof to December 6, 2024, and February 4, 2025, respectively. The Debtors explain that these Chapter 11 Cases are complex, as reflected by the Court's Order Granting Complex Chapter 11 Bankruptcy Case Treatment. Indeed, the Debtors have a significant number of creditors and various assets that make these Chapter 11 Cases large and complex. During the beginning of these Chapter 11 Cases, much of the Debtors' efforts were focused on preserving the going-concern value of the Debtors' businesses while at the same time working to explore and generate interest in the 363 Sale Process. Moreover, the terms of a chapter 11 plan will largely depend on the outcome of the 363 Sale Process in which the Debtors are currently engaged. Indeed, the assets to be distributed and the unexpired contracts to be assumed or rejected through a plan will depend on the outcome of the 363 Sale Process. Accordingly, the Debtors believe that extending the Exclusivity Periods until after the conclusion of the 363 Sale Process is the most efficient use of the Estates' resources so that the Debtors will have ample time to negotiate with the Committee and all other stakeholders in an effort to propose a consensual plan following the conclusion of the 363 Sale Process. The Debtors claim that they have paid their undisputed postpetition debts in the ordinary course of business or as otherwise provided by order of this Court. In so doing, the Debtors have displayed a willingness to accommodate and negotiate with their various stakeholders, and the Debtors' actions have shown that the Debtors have a reasonable prospect of generating a viable plan. As such, those factors also weigh in favor of granting the Debtors an extension of the Exclusivity Periods. The Debtors assert that a relatively small amount of time has passed since the commencement of these Chapter 11 Cases. However, in that short time period, the Debtors have made much progress. The Debtors and their professionals have worked to reaffirm relationships with the Debtors' customers and vendors, employ professionals to assist the Debtors in their reorganization efforts, establish notice procedures, file schedules, statements, and monthly operating reports, commence the 363 Sale Process, and engage in discussions with various stakeholders. In addition, the Debtors have spent a large amount of time coordinating the flow of information with the Committee, the Lender, and potential bidders, all of whom have requested extensive access to books, records, and personnel. All the while, the Debtors have also paid close attention to their liquidity and financial status to ensure a successful emergence from chapter 11. The Debtors' Counsel: Holland N. O'Neil, Esq. Stephen A. Jones, Esq. FOLEY & LARDNER LLP 2021 McKinney Avenue, Ste. 1600 Dallas TX 75201 Tel: 214-999-4961 Fax: 214-999-4667 Email: honeil@foley.com sajones@foley.com About Tubular Synergy Tubular Synergy Group, LP comprise a privately held sales, marketing, and supply chain services distributor of oilfield casing, tubing, and line pipe utilized in the oil and gas industry. Tubular Synergy and its affiliate, OCTG Connections, Inc., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Texas, Lead Case No. 24-80056) on July 9, 2024. In the petition signed by W. Byron Dunn, chief executive officer and founding partner, Tubular Synergy disclosed $50 million to $100 million in assets and liabilities. Foley & Lardner LLP represents the Debtors as legal counsel. Stretto, Inc. acts as claims and noticing agent to the Debtors. The U.S. Trustee for Region 6 appointed an official committee to represent unsecured creditors in the Debtor's Chapter 11 case. The committee tapped Haynes and Boone, LLP as legal counsel and Glassratner Advisory & Capital Group, LLC (doing business as B. Riley Advisory Services) as financial advisor. U.S. PRESS: Claims to be Paid From Business Income -------------------------------------------------- U.S. Press, LLC filed with the U.S. Bankruptcy Court for the Middle District of Georgia a Subchapter V Plan of Reorganization dated September 18, 2024. USP is a commercial printing company that was founded in 1981. USP is based in Valdosta, Georgia. USP offers a full suite of printing services to its customers including, custom calendars, store displays, direct mailing service, banners, post cards, signs, magazines, and booklets. The Debtor is owned and operated by Kent and Dawn Buescher. Mr. Buescher serves as the President of the Debtor and is responsible for its day-to-day operations and management. Mrs. Buescher is responsible for managing the administrative and accounting operations of the Debtor. This Plan provides for the repayment of Allowed Claims as described herein. Such repayment will occur, primarily, from the Debtor's business income and, if proposed herein, the sale or other disposition of the Debtor's assets. Class 5 consists of Allowed Unsecured Claims (including Deficiency Claims and Rejection Claims, if any). The Reorganized Debtor shall pay the Holders of Class 5 Allowed Unsecured Claims their Pro Rata Share of the Class 5 Total Distribution based on each such Holder's Class 5 Allowed Unsecured Claim compared to the total of all Class 5 Allowed Unsecured Claims. The Reorganized Debtor shall pay such Class 5 Total Distribution in three or less annual installments of varying amounts (or as otherwise ordered by the Court) commencing within sixty days after the first anniversary of the Effective Date, with each subsequent annual installment being made within sixty days after each subsequent anniversary of the Effective Date. The Reorganized Debtor's obligations under Class 5 to make the Class 5 Total Distribution can be satisfied at any time, with any payment of the Class 5 Total Distribution, at whatever time that is on or before the dates required under the Plan, not resulting in a penalty, including, without limitation, a prepayment penalty. Such Class 5 Total Distribution, when paid in full, shall be in full satisfaction of the Reorganized Debtor's obligations under and Allowed Unsecured Claims allowed in Class 5. Notwithstanding anything else in the Plan to the contrary, any Allowed Unsecured Claim in Class 5 shall be reduced by any payment received by the creditor holding such Claim from any third party or other obligor and the Reorganized Debtor's obligations hereunder shall be reduced accordingly. Class 5 consists of Equity Interest Holders of Debtor. Mr. Kent Buescher and Mrs. Dawn Buescher shall retain their Interests in the Reorganized Debtor and all associated rights, subject, however, to the provisions of the Plan. The Plan is a reorganizing Subchapter V Chapter 11 plan. The funds required for implementation of the Plan and the distributions hereunder shall be provided from the Debtor's business income. Additionally, the Debtor anticipates selling certain assets securing the Class 2 Secured Claim to fund the Plan, and reserves the right to engage in additional sales in its business judgment. A full-text copy of the Subchapter V Plan dated September 18, 2024 is available at https://urlcurt.com/u?l=bc5MXB from PacerMonitor.com at no charge. About U.S. Press LLC U.S. Press LLC provides small and medium sized businesses with professional print marketing tools. U.S. Press LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Ga. Case No. 24-70605) on June 20, 2024. In the petition signed by Kent A. Buescher, as CEO, the Debtor reports estimated assets between $500,000 and $1 million and estimated liabilities between $1 million and $10 million. The Debtor is represented by: G. Daniel Taylor, Esq. STONE & BAXTER, LLP 577 Third Street Macon, GA 31201 Tel: 478-750-9898 Fax: 478-750-9899 Email: dtaylor@stoneandbaxter.com ULTRA SAFE: Nov. 5 Deadline Set for Panel Questionnaires -------------------------------------------------------- The United States Trustee is soliciting members for committee of unsecured creditors in the bankruptcy cases of Ultra Safe Nuclear Corporation, et al. If a party wishes to be considered for membership on any official committee that is appointed, it must complete a questionnaire available at https://tinyurl.com/2unnp5n9 and return it to the office of the United States Trustee so that it is received no later than Tuesday, November 5, 2024, at 4:00 p.m. If the U.S. Trustee receives sufficient creditor interest in the solicitation, it may schedule a meeting or telephone conference for the purpose of forming a committee. About Ultra Safe Ultra Safe Nuclear Corporation engages in developing cutting edge technology and equipment for reliable and safe zero-carbon nuclear power energy used on Earth and in space. It holds 33 patents and is headquartered in Oak Ridge, Tennessee. The Company is developing front-line nuclear technology, including FCM Fuel and the Micro Modular Reactor, which has the potential to provide safe, clean, and cost-effective zero-carbon energy. The Company's technology has applications for terrestrial power, space exploration, and defense purposes, and could play a crucial role in addressing global energy needs and climate change concerns. Ultra Safe Nuclear Corporation and three of its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-12443) on October 29, 2024. In their petition, the Debtors reported estimated consolidated assets of $10 million to $50 million and estimated consolidated liabilities of $50 million to $100 million. Young Conaway Stargatt & Taylor LLP serves as bankruptcy counsel to the Debtors. Ankura Consulting Group, LLC acts as financial advisor to the Debtors and Intrepid Investments Bankers LLC acts as investment banker. Stretto Inc is the claims agent. UNDERGROUND SOLUTIONS: Agrees to Pay $1,050 Monthly to Lender ------------------------------------------------------------- Underground Solutions, LLC signed a stipulation with Caterpillar Financial Services Corporation requiring the company to make a monthly payment to the lender as protection for using the lender's cash collateral. The company is required to make a monthly payment of $1,050 in accordance with its budget, which was modified to permit such payment. The first payment must be made 20 days after court approval of the stipulation. The stipulation expires on the effective date of a confirmed Chapter 11 plan. Caterpillar, an assignee of the original lender, asserts a claim against the company for $33,039 and holds security interest in certain assets of the company, which constitute its collateral. The assets are valued at $54,800. A copy of the stipulation is available at https://urlcurt.com/u?l=LE0Jir from PacerMonitor.com. About Underground Solutions Underground Solutions, LLC, a company in Simi Valley, Calif., specializes in providing cutting-edge underground communication services. Underground Solutions sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 24-10578) on May 23, 2024, with $1 million to $10 million in assets and $500,001 to $1 million in liabilities. Javier Junior Esqueda, managing member, signed the petition. Judge Ronald A. Clifford, III oversees the case. Steven R. Fox, Esq., at the Fox Law Corporation, Inc., represents the Debtor as bankruptcy counsel. UNITED FIBER: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------- Debtor: United Fiber Comm., Inc. d/b/a United Fiber 501 Queensland Circle Corona, CA 92879 Business Description: Established in 2013, United Fiber is a telecommunications contractor in California, with offices in Goleta, Corona, and Vista. The Company provides clients with a wide range of services: Construction, both aerial and underground, Fiber Optics and Coaxial splicing, troubleshooting, and 24/7 Emergency repairs. It also provides turn key Engineering services. It specializes in excavation and TCP both typical and custom, as well as Make Ready engineering. Chapter 11 Petition Date: October 29, 2024 Court: United States Bankruptcy Court Central District of California Case No.: 24-16470 Judge: Hon. Scott H Yun Debtor's Counsel: Robert P. Goe, Esq. GOE FORSYTHE & HODGES LLP 17701 Cowan Lobby D, Suite 210 Irvine, CA 92614 Tel: (949) 798-2460 Fax: (949) 955-9437 Email: rgoe@goeforlaw.com Total Assets: $1,663,379 Total Liabilities: $8,172,909 The petition was signed by Raymond Martinez as chief executive officer. A full-text copy of the petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/4OB4YDQ/United_Fiber_Comm_Inc__cacbke-24-16470__0001.0.pdf?mcid=tGE4TAMA UNIVERSAL SEATING: Court Denies Access to Cash Collateral --------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida, Jacksonville Division, issued an order denying Universal Seating Company, Inc.'s emergency motion for authority to use cash collateral retroactive to the petition date. The court denied the motion as moot, saying that it is no longer relevant or necessary because the company's Chapter 11 plan of reorganization has already been confirmed by the court. About Universal Seating Company Universal Seating Company, Inc. filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-01019) on April 11, 2024, with as much as $500,000 in both assets and liabilities. Jerrett McConnell, Esq., at McConnell Law Group, P.A. as Subchapter V trustee. Judge Jacob A. Brown oversees the case. Rehan N. Khawaja, Esq., at Bankruptcy Law Offices of Rehan N. Khawaja, represents the Debtor as bankruptcy counsel. VEGA COLLEGIATE: Moody's Affirms Ba2 Rating on 2021A/B School Bonds ------------------------------------------------------------------- Moody's Ratings has affirmed the Ba2 rating on Vega Collegiate Academy, CO's Charter School Revenue Bonds, Series 2021A and Charter School Revenue Bonds Federally Taxable, Series 2021B (the "Bonds"). The bonds were issued by the Colorado Educational and Cultural Facilities Authority. Vega has $14 million in debt outstanding. The outlook is stable. RATINGS RATIONALE The affirmation of the Ba2 rating balances Vega's modest scale of operations and constrained student demand with stable enrollment, a good operating history and satisfactory liquidity of 96 days cash on hand. Vega is operating at full enrollment in the 2024-25 school year and has budgeted for an operating cash flow margin of 16%, resulting in a 1.3x annual debt service coverage. Student retention is low at about 75%, but reflects the unique student population that Vega serves. Vega has met academic growth expectations and achieved a "Performance" rating (Colorado's highest school rating) in each of the past two school years. Leverage from debt is expected to remain moderate for the rating category with spendable cash and investments covering 17% of debt. Other considerations include Vega's experienced and stable senior management team, which supports the academy's operational stability. In 2022, Vega's authorizer, Adams-Arapahoe JSD 28J, also known as Aurora Public Schools, unanimously approved a charter renewal for a 5-year term, the longest available, through June 30, 2027. Vega continues to remain in compliance with all terms of its current charter contract. RATING OUTLOOK The stable outlook reflects the likelihood of continued enrollment and management stability. It also reflects the academy's close budget management that will support operating performance and debt service coverage. FACTORS THAT COULD LEAD TO AN UPGRADE OF THE RATINGS -- Reduction in leverage evidenced by spendable cash and investments covering debt by at least 30% -- Sustained strengthening of relative liquidity with days cash on hand above 125 days FACTORS THAT COULD LEAD TO A DOWNGRADE OF THE RATINGS -- Weakening of competitive profile as demonstrated by declining enrollment -- Narrowing of operating performance resulting in days cash on hand below 75 days and/or annual debt service coverage below 1.1x -- Material increase in leverage without commensurate increase in revenue or reserves LEGAL SECURITY The bonds are secured by a gross revenue pledge, first mortgage pledge on school's facility and a cash funded debt service reserve fund equal to maximum annual debt service ($745,800). The bonds are also secured by credit enhancement provided by Colorado's Charter School Moral Obligation Program. PROFILE Vega Collegiate Academy is a K-8 single-site charter school located in Aurora, Colorado. The academy's mission is to serve refugee and immigrant students with a focus on college readiness. Approximately 97% of the academy's student population qualifies for free and reduced lunch, and 80% are classified as English Language Learners. In fiscal 2024, the academy reported $10.2 million in operating revenue and served 565 students. METHODOLOGY The principal methodology used in these ratings was US Charter Schools published in April 2024. VINE BEVERAGE: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------ Debtor: Vine Beverage and Catering, Inc. 5783 Heisley Rd. Mentor, OH 44060 Chapter 11 Petition Date: October 30, 2024 Court: United States Bankruptcy Court Northern District of Ohio Case No.: 24-14383 Judge: Hon. Suzana Krstevski Koch Debtor's Counsel: Glenn E. Forbes, Esq. FORBES LAW LLC 166 Main Street Painesville, OH 44077 Tel: 440-739-6211 E-mail: bankruptcy@geflaw.net Total Assets: $15,748 Total Liabilities: $15,522,233 The petition was signed by Martin Lamalfa as president. A full-text copy of the petition containing, among other items, a list of the Debtor's 20 largest unsecured creditors is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/KLWPKOQ/Vine_Beverage_and_Catering_Inc__ohnbke-24-14383__0001.0.pdf?mcid=tGE4TAMA WESTERN RISE: Unsecureds Will Get 10.3% of Claims over 4 Years -------------------------------------------------------------- Western Rise, Inc., filed with the U.S. Bankruptcy Court for the District of Colorado a Small Business Plan of Reorganization under Subchapter V dated September 17, 2024. The Debtor is a Delaware corporation with its principal place of business located in Telluride, Colorado. The Debtor is a performance travel apparel company. It designs and sells versatile clothing using performance fabrics that can transition across activities. The Debtor designs the clothing but does not manufacture them. Generally speaking, that means the Debtor needs to pay for items before receipt. This caused the Debtor to quickly diminish its cash position which it tried to supplement by taking out new and more loans – loans it could not service. This caused the Debtor to fall behind with its lenders and its manufacturer, leading to the Debtor seeking protection under Subchapter V of Chapter 11. Class 9 consists of those unsecured creditors of the Debtor who hold Allowed Claims. Class 9 is impaired by the Plan. Class 9 shall receive payments quarterly, upon the Debtor having sufficient cash flow and resources to make a distribution to general unsecured creditors, of 25% of its ending cash balance at the end of a calendar quarter. As described in the Debtor’s projections, the Debtor estimates that it will be able to make distributions to general unsecured creditors equal to 25% of its ending cash balance at the end of 4th quarter in 2027 and at the end of the 3rd quarter in 2028. The Debtor will also pay all of its ending cash balance above $200,000 in its bank accounts to general unsecured creditors at the end of the 4th quarter of the 4th and final year of the Plan. The Debtor's projections, reflect the basis for the payment structure. The Debtor has to purchase its inventory via a lump sum payment which it then sells over time. As a result, the Debtor's ending cash balance in a given month or quarter is not a proper illustration of "projected net disposable income" as that term appears in Section 1191(b) because of the significant lump sum costs the Debtor incurs to maintain its inventory. The Debtor estimates that Class 9 Creditors will receive 10.3% on account of their claims, which calculation does not account for any reduction on account of The S Group claim after it sells the inventory in its possession. Upon request by any party in interest, the Debtor shall provide financial statements, including amounts disbursed to creditors in accordance with the Plan. Class 10 includes the interests in Debtor held by the its pre confirmation shareholders. Class 10 is not impaired by this Plan. On the Effective Date of the Plan, Class 10 Interest Holders shall retain their interests in Debtor which they owned prior to the Petition Date. The Debtor's Plan is feasible, subject to receipt of Debtor-in Possession financing of $350,000.00 prior to confirmation of the Plan. The Debtor is currently negotiating said financing. The financing is necessary to allow the Debtor to purchase the inventory that it needs to continue its operations. As noted in the Debtor's projections, the Debtor estimates payments to unsecured creditors of 10.3% over the course of 4-years, subject to the explanation regarding The S Group's claim in Section 5.1(c). As evidenced by the projections, Debtor anticipates that its income will be positive each year of the Plan, and will generate sufficient revenue to meet its obligations under the Plan. A full-text copy of the Subchapter V Plan dated September 17, 2024 is available at https://urlcurt.com/u?l=SOjIFr from PacerMonitor.com at no charge. Attorneys for the Debtor: Jonathan M. Dickey, Esq. Kutner Brinen Dickey Riley, PC 1660 Lincoln Street, Suite 1720 Denver, CO 80264 Tel: (303) 832-2400 Email: jmb@kutnerlaw.com About Western Rise Western Rise, Inc., is a manufacturer of travel clothing and accessories in Telluride, Colo. Western Rise filed its voluntary petition for Chapter 11 protection (Bankr. D. Colo. Case No. 24-13394) on June 19, 2024, with $3,401,871 in assets and $5,266,556 in liabilities. Kelly Watters, president, signed the petition. Judge Joseph G. Rosania Jr. oversees the case. The Debtor tapped Kutner Brinen Dickey Riley, PC as bankruptcy counsel and Potomac Law Group, PLLC and Catalyst Law Group as special counsel. YOUNG TRANSPORTATION: Robert Alan Byrd Named Subchapter V Trustee ----------------------------------------------------------------- David Asbach, Acting U.S. Trustee for Region 5, appointed Robert Byrd, Esq., at Byrd & Wiser, as Subchapter V trustee for Young Transportation, Inc. Mr. Byrd will be paid an hourly fee of $275 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Byrd 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 A. Byrd, Esq. Byrd & Wiser P.O. Drawer 1939 Biloxi, MS 39533 Telephone: (228) 432-8123 Facsimile: (228) 432-7029 Email: rab@byrdwiser.com About Young Transportation Young Transportation Inc. operates in the general freight trucking industry. Young Transportation filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Miss. Case No. 24-13174) on October 11, 2024, with $500,000 to $1 million in assets and $1 million to $10 million in liabilities. Daniel L. Young, president, signed the petition. Judge Jason D. Woodard handles the case. The Debtor is represented by J. Walter Newman, IV, Esq., at Newman & Newman. ZOOZ POWER: Shareholders Ratify Appointment of Kesselman as Auditor ------------------------------------------------------------------- ZOOZ Power Ltd. disclosed in a Form 8-K filed with the Securities and Exchange Commission that on Oct. 30, 2024, it held an Annual General Meeting of Shareholders. The following proposal brought before the shareholders at the Meeting was approved by the requisite majority vote of the Company's shareholders: 1. The appointment of Kesselman & Kesselman, Certified Public Accountants (Isr.), a member firm of PricewaterhouseCoopers International Limited, as the independent registered public accounting firm of the Company for the fiscal year ending Dec. 31, 2024, and until the next annual general meeting of the Company's shareholders and to authorize the Company's Board of Directors, upon the recommendation of the Audit Committee, to set the remuneration of PwC, in accordance with the volume and nature of its services. About ZOOZ Power Ltd. ZOOZ Power Ltd is a provider of Flywheel-based Power Boosting solutions enabling widespread deployment of ultra-fast charging infrastructure for electric vehicles (EV), while overcoming existing grid limitations. ZOOZ Power pioneers its unique Flywheel-based power boosting technology, enabling efficient utilization and power management of a power-limited grid at an EV charging site. Its Flywheel-based technology allows high-performance, reliable, and cost-effective ultra-fast charging infrastructure. Jerusalem, Israel-based Kesselman & Kesselman, the Company's auditor since 2018, issued a "going concern" qualification in its report dated April 30, 2024, citing that the Company has net losses and has generated negative cash flows from operating activities for the years ended Dec. 31, 2023, 2022 and 2021. Such circumstances raise substantial doubt about the Company's ability to continue as a going concern. [*] 12 Greenberg Traurig Delaware Attorneys Named 2024 Top Lawyers ------------------------------------------------------------------ Twelve attorneys from global law firm Greenberg Traurig, LLP's Delaware office are recognized in the 2024 edition of Delaware Today's Top Lawyers list. The Greenberg Traurig attorneys on the list and their corresponding practice areas include: -- Anthony W. Clark, Bankruptcy/Business -- Brian L. Colborn, Business Law -- Renee Mosley Delcollo, Intellectual Property Law -- Nathan P. Emeritz, Corporate Law -- Diane N. Ibrahim, Corporate Law -- Justin E. Mann, Corporate Law -- Dennis A. Meloro, Bankruptcy/Business -- Samuel L. Moultrie, Banking Law -- Benjamin Schladweiler, Intellectual Property Law -- Olivia Snow, Business Law -- Glenn J. Thompson, Corporate Law -- Lisa M. Zwally, Appellate Delaware Today releases a new list of top lawyers every year. Attorneys included on the list are determined based on a survey of local attorneys. About Greenberg Traurig's Delaware Office: Greenberg Traurig opened its Delaware office in 1999 in response to the unique and increasing role Delaware plays in the needs of the firm's national and international clients. Greenberg Traurig Delaware offers clients a full complement of attorneys who address real-world business problems by advising clients on the legal aspects of complex corporate and commercial matters and litigating in all of Delaware's federal and state courts, including the Court of Chancery, the Complex Commercial Litigation Division of the Superior Court, the U.S. District Court for the District of Delaware, and the U.S. Bankruptcy Court for the District of Delaware. About Greenberg Traurig: Greenberg Traurig, LLP has more than 2750 attorneys in 48 locations in the United States, Europe and the Middle East, Latin America, and Asia. The firm is a 2022 BTI "Highly Recommended Law Firm" for superior client service and is consistently among the top firms on the Am Law Global 100 and NLJ 500. Greenberg Traurig is Mansfield Rule Certified Plus by The Diversity Lab. The firm is recognized for powering its U.S. offices with 100% renewable energy as certified by the Center for Resource Solutions Green-e(R) Energy program and is a member of the U.S. EPA's Green Power Partnership Program. The firm is known for its philanthropic giving, innovation, diversity, and pro bono. Web: http://www.gtlaw.com. [*] Four Cohn & Dussi Attorneys Named to 2023 Super Lawyers List ---------------------------------------------------------------- Cohn & Dussi, a full-service law firm with offices in Boston and Providence, RI, announces that four attorneys at the firm were recognized by Super Lawyers for 2024. Three attorneys from the firm were named to the 2024 Super Lawyers List: Lewis J. Cohn, Michael H. Theodore and Shawn M. Masterson. One attorney was named to the 2024 Rising Stars List: Andrew B. Glaab. Only 5 percent of lawyers are named to the Super Lawyers List each year. The selection process involves independent research, peer nominations, and peer evaluations by practice area. Cohn, the firm's managing partner, represents lenders in all phases of the commercial loan process, with a special expertise in the collection, workout, and liquidation of troubled debt. He serves as chair of Cohn & Dussi's Financial Services Group. Working closely with the firm's Commercial Litigation Group, Lewis handles a wide variety of commercial litigation cases. Theodore, a partner at the firm, leads the Creditors' Rights & Bankruptcy Department and is a member of the firm's Litigation Department. He represents lenders, financial institutions, and debt buyers, in creditors' rights, workouts, commercial and bankruptcy matters. He has extensive experience in commercial foreclosures and asset-based financing and has represented the interests of bankruptcy trustees. Masterson, a senior associate in the firm's Litigation Department, has more than 20 years of experience in creditors' rights, particularly in residential mortgage defaults. He has represented clients in appellate courts across New England, including the First Circuit Court of Appeals and the Bankruptcy Appellate Panel. Each year, no more than 2.5 percent of the lawyers in the state are selected by Super Lawyers to receive this honor. All attorneys named to the Rising Stars list must be either 40 years old or younger or in practice for 10 years or less. Glaab, who has been on the Rising Stars List since 2022, heads the firm's in-house collections group, was a fellow of the 2022-2023 class of the Massachusetts Bar Association (MBA) Leadership Academy. His practice focuses on civil business litigation, commercial law, and contract law. He represents secured and unsecured creditors, including international and national lenders, insurers and debt buyers. About Cohn & Dussi Boston law firm Cohn & Dussi -- http://www.cohnanddussi.com-- is full-service law firm that offers clients comprehensive, customized solutions to their complex business challenges. Attorneys in the firm offer extensive experience in collections and workouts, creditors' rights, commercial litigation, leasing, bankruptcy, corporate and finance law, construction law, and real estate transactions. Over the course of nearly 30 years, Cohn & Dussi has built long-term relationships with its clients, solving problems using a team approach and leveraging a national network of attorneys in all 50 states. [*] Luke Homen Honored for Excellence in Consumer Bankruptcy Law ---------------------------------------------------------------- Prominently featured in The Inner Circle, Luke Homen is acknowledged as a Pinnacle Professional Member Inner Circle of Excellence 2024-2025 for his contributions in Consumer Bankruptcy Law. Luke Homen, a prominent bankruptcy attorney and president of Convenient Bankruptcy by Luke Homen Law PLLC, is dedicated to helping individuals achieve financial freedom through personalized solutions. Based in Oklahoma City, Convenient Bankruptcy has become a trusted name, assisting over 400 individuals annually with debt relief. With a Bachelor of Arts in English literature from the University of California at Davis and a Doctor of Jurisprudence from the McGeorge School of Law at the University of the Pacific, Mr. Homen brings a wealth of knowledge and expertise to his practice. He is committed to providing exceptional legal services to his clients, specializing in consumer bankruptcy law. Mr. Homen is a member of prestigious organizations such as the National Association of Consumer Bankruptcy Attorneys, the National Association of Bankruptcy Trustees, and the Oklahoma State Bar Association. He also holds positions on various committees within the legal community, first with the Bench and Bar Committee of the Oklahoma State Bar Association and now with the Rules Committee of the Western District of Oklahoma Bankruptcy Court. Throughout his career, Mr. Homen has achieved numerous accolades and recognitions, including being appointed by the U.S. Trustee Program as a Chapter 7 panel trustee in 2023. He was voted Best Bankruptcy Attorney in Oklahoma with a Reader's Choice Award in the Oklahoman in 2020 and listed among the Top Bankruptcy Attorneys in 405 Magazine in 2023. His firm, Luke Homen Law PLLC, has received over 150 positive Google reviews over the past five years. Looking ahead, Mr. Homen is committed to continued growth and success, providing exceptional legal services to individuals seeking debt relief. [^] BOND PRICING: For the Week from Oct. 28 to Nov. 1, 2024 ----------------------------------------------------------- Company Ticker Coupon Bid Price Maturity ------- ------ ------ --------- -------- 2U Inc TWOU 2.250 40.397 5/1/2025 99 Cents Only Stores LLC NDN 7.500 6.280 1/15/2026 99 Cents Only Stores LLC NDN 7.500 7.495 1/15/2026 99 Cents Only Stores LLC NDN 7.500 7.495 1/15/2026 Allen Media LLC / Allen Media Co-Issuer Inc ALNMED 10.500 43.864 2/15/2028 Allen Media LLC / Allen Media Co-Issuer Inc ALNMED 10.500 44.255 2/15/2028 Allen Media LLC / Allen Media Co-Issuer Inc ALNMED 10.500 44.178 2/15/2028 Amyris Inc AMRS 1.500 0.965 11/15/2026 Anagram Holdings LLC/Anagram International Inc AIIAHL 10.000 0.750 8/15/2026 Anagram Holdings LLC/Anagram International Inc AIIAHL 10.000 0.750 8/15/2026 Anagram Holdings LLC/Anagram International Inc AIIAHL 10.000 0.750 8/15/2026 At Home Group Inc HOME 7.125 31.852 7/15/2029 At Home Group Inc HOME 7.125 31.852 7/15/2029 Audacy Capital LLC CBSR 6.750 2.555 3/31/2029 Audacy Capital LLC CBSR 6.500 2.650 5/1/2027 Audacy Capital LLC CBSR 6.750 2.555 3/31/2029 Azul Investments LLP AZUBBZ 7.250 52.297 6/15/2026 Azul Investments LLP AZUBBZ 7.250 52.297 6/15/2026 BPZ Resources Inc BPZR 6.500 3.017 3/1/2049 Bank of America Corp BAC 5.550 99.707 5/4/2026 Biora Therapeutics Inc BIOR 7.250 64.262 12/1/2025 BuzzFeed Inc BZFD 8.500 93.500 12/3/2026 Castle US Holding Corp CISN 9.500 46.339 2/15/2028 Castle US Holding Corp CISN 9.500 46.294 2/15/2028 CorEnergy Infrastructure Trust Inc CORR 5.875 70.250 8/15/2025 Cornerstone Chemical Co CRNRCH 10.250 50.750 9/1/2027 Curo Oldco LLC CURO 7.500 2.980 8/1/2028 Curo Oldco LLC CURO 7.500 16.530 8/1/2028 Curo Oldco LLC CURO 7.500 2.980 8/1/2028 Cutera Inc CUTR 2.250 15.658 6/1/2028 Cutera Inc CUTR 2.250 30.078 3/15/2026 Cutera Inc CUTR 4.000 17.014 6/1/2029 Danimer Scientific Inc DNMR 3.250 9.022 12/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 0.800 8/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 6.625 0.650 8/15/2027 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 0.671 8/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 0.750 8/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 6.625 0.629 8/15/2027 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 0.750 8/15/2026 Diamond Sports Group LLC / Diamond Sports Finance Co DSPORT 5.375 0.671 8/15/2026 Energy Conversion Devices Inc ENER 3.000 0.762 6/15/2013 Enviva Partners LP / Enviva Partners Finance Corp EVA 6.500 25.000 1/15/2026 Enviva Partners LP / Enviva Partners Finance Corp EVA 6.500 20.750 1/15/2026 Exela Intermediate LLC / Exela Finance Inc EXLINT 11.500 34.000 7/15/2026 Exela Intermediate LLC / Exela Finance Inc EXLINT 11.500 33.500 7/15/2026 Federal Farm Credit Banks Funding Corp FFCB 0.440 96.308 11/4/2024 Federal Home Loan Banks FHLB 1.100 99.047 11/15/2024 Federal Home Loan Banks FHLB 0.625 97.958 11/27/2024 Federal Home Loan Banks FHLB 0.750 99.075 11/8/2024 Federal Home Loan Banks FHLB 0.750 98.504 11/8/2024 Federal Home Loan Banks FHLB 0.400 96.547 11/4/2024 Federal Home Loan Banks FHLB 0.500 99.311 11/4/2024 Federal Home Loan Banks FHLB 5.280 99.402 11/4/2024 Federal Home Loan Banks FHLB 1.000 98.986 11/14/2024 Federal Home Loan Banks FHLB 0.430 96.651 11/4/2024 Federal Home Loan Banks FHLB 3.000 99.591 11/4/2024 Federal Home Loan Banks FHLB 0.500 99.546 11/4/2024 Federal Home Loan Banks FHLB 0.615 98.875 11/15/2024 Federal Home Loan Banks FHLB 0.625 98.938 11/15/2024 First Republic Bank/CA FRCB 4.625 3.918 2/13/2047 First Republic Bank/CA FRCB 4.375 3.000 8/1/2046 GoTo Group Inc LOGM 5.500 31.843 5/1/2028 GoTo Group Inc LOGM 5.500 32.191 5/1/2028 Goodman Networks Inc GOODNT 8.000 5.000 5/11/2022 Goodman Networks Inc GOODNT 8.000 1.000 5/31/2022 H-Food Holdings LLC / Hearthside Finance Co Inc HEFOSO 8.500 7.412 6/1/2026 H-Food Holdings LLC / Hearthside Finance Co Inc HEFOSO 8.500 7.412 6/1/2026 Hallmark Financial Services Inc HALL 6.250 20.272 8/15/2029 Homer City Generation LP HOMCTY 8.734 38.750 10/1/2026 Inotiv Inc NOTV 3.250 30.625 10/15/2027 Inseego Corp INSG 3.250 80.912 5/1/2025 Invacare Corp IVC 4.250 1.002 3/15/2026 JPMorgan Chase Bank NA JPM 2.000 89.317 9/10/2031 JPMorgan Chase Bank NA JPM 2.750 100.000 11/6/2024 Ligado Networks LLC NEWLSQ 15.500 18.500 11/1/2023 Ligado Networks LLC NEWLSQ 17.500 3.500 5/1/2024 Ligado Networks LLC NEWLSQ 15.500 18.500 11/1/2023 Lightning eMotors Inc ZEVY 7.500 1.000 5/15/2024 Luminar Technologies Inc LAZR 1.250 48.050 12/15/2026 MBIA Insurance Corp MBI 16.178 4.342 1/15/2033 MBIA Insurance Corp MBI 16.178 4.342 1/15/2033 Macy's Retail Holdings M 6.700 85.866 7/15/2034 Macy's Retail Holdings M 6.900 84.449 1/15/2032 Mashantucket Western Pequot Tribe MASHTU 7.350 50.119 7/1/2026 Morgan Stanley MS 1.800 77.826 8/27/2036 NRG Energy Inc NRG 6.625 28.046 1/15/2027 Office Properties Income Trust OPI 4.500 88.050 2/1/2025 Polar US Borrower LLC / Schenectady International Group Inc SIGRP 6.750 47.000 5/15/2026 Polar US Borrower LLC / Schenectady International Group Inc SIGRP 6.750 32.500 5/15/2026 Porch Group Inc PRCH 0.750 51.750 9/15/2026 Rackspace Technology Global Inc RAX 5.375 30.418 12/1/2028 Rackspace Technology Global Inc RAX 3.500 27.500 2/15/2028 Rackspace Technology Global Inc RAX 5.375 31.559 12/1/2028 Rackspace Technology Global Inc RAX 3.500 28.704 2/15/2028 Raptor Acquisition Corp / Raptor Co-Issuer LLC GCCN 4.875 99.833 11/1/2026 Raptor Acquisition Corp / Raptor Co-Issuer LLC GCCN 4.875 99.800 11/1/2026 Renco Metals Inc RENCO 11.500 24.875 7/1/2003 Rite Aid Corp RAD 7.700 5.000 2/15/2027 Rite Aid Corp RAD 6.875 3.167 12/15/2028 Rite Aid Corp RAD 6.875 3.167 12/15/2028 RumbleON Inc RMBL 6.750 86.523 1/1/2025 SVB Financial Group SIVB 3.500 34.000 1/29/2025 Sandy Spring Bancorp Inc SASR 4.250 94.875 11/15/2029 Shutterfly LLC SFLY 8.500 47.500 10/1/2026 Shutterfly LLC SFLY 8.500 88.500 10/1/2026 Spanish Broadcasting System Inc SBSAA 9.750 66.250 3/1/2026 Spanish Broadcasting System Inc SBSAA 9.750 66.080 3/1/2026 Spirit Airlines Inc SAVE 1.000 39.000 5/15/2026 Spirit Airlines Inc SAVE 4.750 64.734 5/15/2025 TerraVia Holdings Inc TVIA 5.000 4.644 10/1/2019 Tricida Inc TCDA 3.500 9.000 5/15/2027 Veritone Inc VERI 1.750 47.000 11/15/2026 Virgin Galactic Holdings Inc SPCE 2.500 37.250 2/1/2027 Vitamin Oldco Holdings Inc GNC 1.500 0.405 8/15/2020 Voyager Aviation Holdings LLC VAHLLC 8.500 13.682 5/9/2026 Voyager Aviation Holdings LLC VAHLLC 8.500 13.682 5/9/2026 Voyager Aviation Holdings LLC VAHLLC 8.500 13.682 5/9/2026 Vroom Inc VRM 0.750 52.872 7/1/2026 WW International Inc WW 4.500 25.445 4/15/2029 WW International Inc WW 4.500 24.948 4/15/2029 Webster Financial Corp WBS 4.000 94.757 12/30/2029 Wesco Aircraft Holdings WAIR 9.000 41.612 11/15/2026 Wesco Aircraft Holdings WAIR 13.125 1.895 11/15/2027 Wesco Aircraft Holdings WAIR 9.000 41.612 11/15/2026 Wesco Aircraft Holdings WAIR 13.125 1.895 11/15/2027 iHeartCommunications Inc IHRT 8.375 53.959 5/1/2027 ********* 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 ***