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250506.mbx T R O U B L E D C O M P A N Y R E P O R T E R Tuesday, May 6, 2025, Vol. 29, No. 125 Headlines 105 A HULL: Salvatore LaMonica Named Subchapter V Trustee 215 PAPER MILL RD: Case Summary & 20 Largest Unsecured Creditors 344 ROEBLING: Section 341(a) Meeting of Creditors on June 2 620 ARKELL DRIVE: Seeks Chapter 11 Bankruptcy in California 9707 WOODSCAPE: Voluntary Chapter 11 Case Summary AB INTERNATIONAL: Swings to $214,931 Net Income in Fiscal Q2 ACUTE HVACR: Case Summary & 16 Unsecured Creditors AEGIS TOXICOLOGY: Moody's Cuts CFR to Caa3, Outlook Stable ALLEGHENY WOOD: Receivership Has July 24 Claims Deadline AMERICAN PEST: Tarek Kiem Named Subchapter V Trustee ARCH THERAPEUTICS: Hires Riemer & Braunstein as Bankruptcy Counsel AZZUR GROUP: Committee Taps Huron Consulting as Financial Advisor AZZUR GROUP: Committee Taps Pachulski Stang Ziehl as Counsel BECKER-PRESSENTE LLC: Seeks Subchapter V Bankruptcy in Michigan BEELINE HOLDINGS: Extends Senior Secured Notes Maturity to May 14 BERRY GLOBAL: Moody's Upgrades Rating on First Lien Notes from Ba1 BIOMERICA INC: Reports Net Loss of $1.2 Million for Fiscal Q3 BIOREGENX INC: Two Directors Resign BLUM HOLDINGS: Seeks OK for Settlement With People's California BROOKDALE SENIOR: Announces CEO Transition, Board Refreshment BURKE MOUNTAIN: Federal Judge Greenlights $11.5MM Resort Sale CB 60 LLC: Voluntary Chapter 11 Case Summary CHEEMA BROTHERS: Walter Dahl of Dahl Law Named Subchapter V Trustee CHS/COMMUNITY HEALTH: Fitch Lowers Rating on 1st Lien Notes to 'B' CHS/COMMUNITY HEALTH: Moody's Rates New $700MM Secured Notes 'Caa1' CLEAN ENERGY: Reports Net Loss of $4.4 Million for FY 2024 CMN GROUP: Voluntary Chapter 11 Case Summary COMMUNITY HEALTH SYSTEMS: S&P Ups ICR to 'CCC+', Outlook Negative CONCORDIA ANESTHESIOLOGY: Seeks to Extend Plan Exclusivity CORTEX NORTH: Final Hearing to Use Cash Collateral Set for May 9 CORTEX NORTH: Seeks to Hire Michael D. O'Brien as Legal Counsel COSTELLO SR.-ALLEN: Case Summary & 20 Largest Unsecured Creditors CREATIVEMASS HOLDINGS: May 15 Plan Confirmation Hearing Set CREATIVEMASS HOLDINGS: Taps Claudia Springer of Novo Advisor as CRO CREATIVEMASS HOLDINGS: Taps Pashman Stein as Bankruptcy Counsel CREATIVEMASS HOLDINGS: Taps Stretto as Administrative Advisor CUCINA ANTICA: Seeks to Extend Plan Exclusivity to June 11 CXOSYNC LLC: Court Extends Cash Collateral Access to May 16 DAJMO TRUCKING: Seeks to Extend Plan Filing Deadline to June 2 DARKPULSE INC: Reports Net Loss of $3.9 Million for FY 2024 DATAVAULT AI: Inks Lock-Up Deal With NYIAX Following Share Exchange DAV SUB: Seeks to Hire Vartabedian Hester & Haynes as Attorney DAYTON DEVELOPMENT: Seeks to Hire Goering & Goering as Attorney DEALER SALES: Court OKs Final Use of Cash Collateral DERMTECH INC: Plan Exclusivity Period Extended to May 16 DEVILS RIVER HOLDINGS: Case Summary & 20 Top Unsecured Creditors DEVILS RIVER: Case Summary & 20 Largest Unsecured Creditors DEVILS RIVER: Seeks Subchapter V Bankruptcy DIAMOND COMIC: Bankruptcy Court OKs Sale to Ad Populum, Universal DIGITAL ALLY: Adjourns Special Meeting to Allow Additional Votes DIGITAL ALLY: Cuts Loss to $21.7M as 2024 Revenue Falls to $19.7M DOUBLE HELIX: Seeks to Hire Tideline Partners LLC as Broker DT BUILDERS: Seeks to Hire McCoy Valuation as Appraiser DT&T LOGISTICS: Court Extends Cash Collateral Access to May 23 DUAL ARCH: Walter Dahl of Dahl Law Named Subchapter V Trustee EAGLEVIEW TECHNOLOGY: Moody's Ups CFR to 'Caa1', Outlook Stable EL CONUCO: Jolene Wee of JW Infinity Named Subchapter V Trustee ELEGANT TENTS: Gets Final OK to Use Cash Collateral EMMAUS LIFE: Reports Net Loss of $6.5 Million in FY 2024 ENSEMBLE HEALTH: Moody's Affirms 'B2' CFR, Outlook Stable ENVERIC BIOSCIENCES: CBIZ CPAs Replaces Marcum as Auditor EVOFEM BIOSCIENCES: Closes $2.3M Offering, Waives Aditxt Default EXACTECH INC: Plan Exclusivity Period Extended to May 30 EYM PIZZA: Plan Exclusivity Period Extended to May 5 FIG & FENNEL: Gets Final Approval to Use Cash Collateral FIRST WAY: L. Todd Budgen Named Subchapter V Trustee FULCRUM BIOENERGY: Seeks to Extend Plan Exclusivity to June 5 GLOBAL JOINT: Voluntary Chapter 11 Case Summary HEALTHIER CHOICES: Narrows Net Loss to $11.9 Million in FY 2024 HIGHRISE ELECTRICAL: Court Denies Vehicle Sale HUDSON'S BAY: To Liquidate Final Stores by June 15 Amid CCAA I-ON DIGITAL: Carlos Montoya Holds 59.3% Equity Stake I-ON DIGITAL: Uplists to OTCQB Venture Market IVF ORLANDO: Gets Interim OK to Use Cash Collateral Until June 5 JILL'S OFFICE: Jonathan Dickey Named Subchapter V Trustee JJ PFISTER: Seeks Subchapter V Bankruptcy in California JMKA LLC: Court Extends Cash Collateral Access to May 23 JOONKO DIVERSITY: Plan Exclusivity Period Extended to June 8 LEFEVER MATTSON: Plan Exclusivity Period Extended to May 30 LEROUX CREEK: Seeks to Extend Plan Exclusivity to June 2 LEXARIA BIOSCIENCE: Widens Net Loss to $2.7 Million in Q2 FY25 LOOK CINEMAS: Court Extends Cash Collateral Access to July 23 LUCKY AND BLESSED: Seeks to Hire Freeman Law as Bankruptcy Counsel LUXURY TIME: Jill Durkin of Durkin Law Named Subchapter V Trustee MADISON 33 OWNER: Court Extends Cash Collateral Access to May 29 MAGLEV ENERGY: Hearing Today on Bid to Use Cash Collateral MARION REALTY: Amy Denton Mayer Named Subchapter V Trustee MARSH TOWN: Seeks Chapter 11 Bankruptcy in Georgia MARTINES PALMEIRO: Seeks to Tap Allen Vellone as Bankruptcy Counsel MERCURITY FINTECH: Cuts Net Loss to $4.53 Million in 2024 MIDWEST CHRISTIAN: Seeks to Extend Plan Exclusivity to June 16 MISSION POINT: Gets Interim OK to Use Cash Collateral MOLECULAR TEMPLATES: Hires Verita as Claims and Noticing Agent N'JOY ENTERTAINMENT: Seeks to Tap Estelle Miller as Accountant N'JOY ENTERTAINMENT: Taps Law Offices of Alla Kachan as Counsel NAOTA HASHIMOTO: Seeks to Hire David J. Winterton as Legal Counsel NAOUI LLC: Seeks to Hire the Law Offices of Ali K as Legal Counsel NLC PRODUCTS: Seeks to Hire Keech Law Firm as Bankruptcy Counsel OFP FORT: Secured Party Sets Auction for June 3, 2025 OMRAADHI LLC: Eric Terry Named Subchapter V Trustee OPTINOSE INC: Kingdon Capital Holds 5.1% Equity Stake OTB HOLDING: May 29, 2025 Claims Filing Deadline Set PACIFIC PRAIRIE: Seeks to Hire Swanson Sweet as Bankruptcy Counsel PEOPLE FIRST: Taps Financial Relief Law Center as Counsel POET TECHNOLOGIES: Targeting Strong Revenue Growth in 2026 POWER STOP: Moody's Lowers CFR to Caa1, Outlook Stable PRO-FIT BASKETBALL: Gets Interim OK to Use Cash Collateral PROJECT PIZZA: Mark Sharf Named Subchapter V Trustee PROVIDENT GROUP-SH II: S&P Rates 2025A Revenue Bonds 'BB+' R2 MARKETING: Hires DiMarco Warshaw as General Bankruptcy Counsel R2 MARKETING: Seeks to Hire Penny M. Fox CPA as Accountant RADIX HAWK: Gets OK to Tap Michael Moecker as Restructuring Advisor REKOR SYSTEMS: Investigates 14% Stock Accumulation via DTC RENOVARO INC: William Wittekind Holds 10.4% Stake as of Apr. 10 RICHMOND TELEMATICS: Gets OK to Tap Income Tax & More as Accountant ROBERT PAUL: Hires Chad Curvin Auction Solutions as Auctioneer RODFER LLC: Unsecured Creditors Will Get 3% of Claims in Plan ROONEY AND BORDEN: Unsecureds Will Get 2% of Claims in Plan SAIPRASAD LLC: Eric Terry Named Subchapter V Trustee SANUWAVE HEALTH: CBIZ CPAs Replaces Marcum as Auditor SCANROCK OIL: Committee Hires Riveron RTS as Financial Advisor SCANROCK OIL: Committee Taps Porter Hedges as Bankruptcy Counsel SEBA ABODE: Seeks to Hire Fuchs Law Office as Bankruptcy Counsel SHADYLANE HOLDINGS: Hires Michael G. Spector as Bankruptcy Counsel SHAHINAZ SOLIMAN: Arturo Cisneros Named Subchapter V Trustee SHIFT4 PAYMENTS: Fitch Rates Sr. Euro-Denominated Notes 'BB' SHIFT4 PAYMENTS: Moody's Ups CFR to Ba3 & Alters Outlook to Stable SKY RADIOLOGY: Seeks Chapter 11 Bankruptcy in New York SPENCER & ASSOCIATES: Melissa Haselden Named Subchapter V Trustee SSH HOLDINGS: S&P Places 'BB-' ICR on Watch Neg. on Tariff Risk TAKARA GROUP: Jennifer McLemore Named Subchapter V Trustee TALKING ROCK: Gets OK to Hire Engelman Berger as Legal Counsel TEKNATOOL USA: Hearing Today on Bid to Use Cash Collateral TONA DEVELOPMENT: Section 341(a) Meeting of Creditors on June 5 TRINITY AUTOMOTIVE: Seeks Subchapter V Bankruptcy in Ohio TRINITY ENTERPRISES: Gets Interim OK to Use Cash Collateral TUPPERWARE BRANDS: Seeks to Extend Plan Exclusivity to July 14 VALPARAISO UNIVERSITY: Moody's Cuts Issuer to Ba1, Outlook Negative VENUS CONCEPT: EW Healthcare, 3 Others Report Equity Stake VENUS CONCEPT: Orca Capital Ceases Ownership of Shares VIRIDOS INC: Hires Womble Bond Dickinson as Bankruptcy Counsel VIRIDOS INC: Seeks to Hire Ordinary Course Professionals VIRIDOS INC: Taps Rock Creek as Financial Advisor and Sales Agent VIVA LIBRE: Case Summary & 16 Unsecured Creditors WALKER AREA: Seeks Chapter 11 Bankruptcy in Minnesota WASKOM BROWN: Taps Gold Weems Bruser Sues & Rundell as Counsel WELLPATH HOLDINGS: Plan Exclusivity Period Extended to July 9 WHITESTAR DISTRIBUTORS: Seeks Chapter 11 Bankruptcy in Texas WINDSTREAM SERVICES: Fitch Keeps 'B' IDR on Watch Evolving WOODMAN INVESTMENT: Seeks Chapter 11 Bankruptcy in California ZAHRCO ENTERPRISES: Carol Fox Named Subchapter V Trustee [] Chapter 11 Bankruptcy Filings Declined 20% in April 2025 ********* 105 A HULL: Salvatore LaMonica Named Subchapter V Trustee --------------------------------------------------------- The U.S. Trustee for Region 2 appointed Salvatore LaMonica, Esq., at LaMonica Herbst & Maniscalco, LLP, as Subchapter V trustee for 105 A Hull, LLC. Mr. LaMonica will be paid an hourly fee of $725 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. LaMonica declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Salvatore LaMonica, Esq. LaMonica Herbst & Maniscalco, LLP 3305 Jerusalem Avenue, Suite 201 Wantagh, NY 11793 Phone: (516) 826-6500 Email: sl@lhmlawfirm.com About 105 A Hull 105 A Hull, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-41646) on April 3, 2025, with $50,001 to $100,000 in assets and $1,000,001 to $10 million in liabilities. Judge Elizabeth S. Stong presides over the case. 215 PAPER MILL RD: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------------- Debtor: 215 Paper Mill Rd PCPRE, LLC d/b/a The Carolina 215 Paper Mill Rd Lawrenceville, GA 30046 Business Description: 215 Paper Mill Rd PCPRE, LLC, doing business as The Carolina, owns and operates a multifamily residential property in Lawrenceville, Georgia. The complex offers two-bedroom units with standard amenities and is managed by Premier Living US. Chapter 11 Petition Date: May 5, 2025 Court: United States Bankruptcy Court Northern District of Georgia Case No.: 25-54943 Judge: Hon. Lisa Ritchey Craig Debtor's Counsel: Ashley Reynolds Ray, Esq. SCROGGINS, WILLIAMSON & RAY, P.C. 4401 Northside Parkway Suite 230 Atlanta, GA 30327 Tel: 404-893-3880 E-mail: aray@swlawfirm.com Estimated Assets: $10 million to $50 million Estimated Liabilities: $1 million to $10 million The petition was signed by Randy Lawrence as authorized officer. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/YAJGG7Q/215_Paper_Mill_Rd_PCPRE_LLC_dba__ganbke-25-54943__0001.0.pdf?mcid=tGE4TAMA List of Debtor's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount 1. Clean 2 Go Services LLC Services Rendered $21,610 2065 Waycross Lane Dacula, GA 30019 Billy Arrieta Email: clean2go2021@gmail.com Phone: (470) 408-8454 2. Drew Eckl Farnham Services Rendered $17,040 303 Peachtree St, NE Ste 3500 Atlanta, GA 30308 Matt Nanninga Email: Nanningam@deflaw.com Phone: (404) 885-6221 3. M&B General Services Rendered $10,465 Contractors LLC 780 Riverview Lane Winder, GA 30680-3147 Miguel Soto Email: MBcontracting21@gmail.com Phone: (724) 757-9885 4. Chadwell Supply, Inc. Services Rendered $7,333 PO Box 105172 Atlanta, GA 30348-5172 Jody Carder Email: Jody.Carder@ChadwellSupply.com Phone: (678) 293-8454 5. Elsner's Superior Services Rendered $6,677 Flooring Inc 1800 Wilson Way SE #3 Smyrna, GA 30082 Larry Elsner Jr. Email: Superiorflooring@bellsouth.net Phone: (770) 319-8885 6. Duenas Drywall & Services Rendered $6,645 Remodeling LLC 1841 Shady Creek Ln Lawrenceville, GA 30043 Agustin Duenas Martinez Email: projects@duenasdrywallremodeling.com Phone: (678) 377-4730 7. 44 Appliance & Services Rendered $6,330 Supply Co. Inc. 8105 Cobb Center Dr C Kennesaw, GA 30152 Sabrina Foster Email: SabrinaFoster@appliancesupply.com Phone: (770) 426-514 8. B&B Home Maintenance Services Rendered $6,305 PO Box 426 Rex, GA 30273-0426 Jean Bosue Email: info@bandbhome.com Phone: (770) 474-5783 9. Dispo Depot LLC Services Rendered $5,711 dba Renters Reference 2323 Perimeter Park Dr Suite 120 Atlanta, GA 30341 Brian Burkhalter Email: info@dispo-depot.com Phone: (770) 458-0729 10. Initech Plumbing LLC Services Rendered $5,137 dba 1-Tom-Plumber 332 Swanson Dr Suite A Lawrenceville, GA 30043 Becky Flower Email: Lawrenceville@1tomplumber.com Phone: (678) 782-8891 11. City of Lawrenceville Services Rendered $4,151 P.O. Box 2200 Lawrenceville, GA 30046-2200 Kim Jones Customer.Service Email: @lawrencevillega.org Phone: (678) 407-6675 12. Bush Bros LLC Services Rendered $3,650 3138 Fern Valley Dr SW Marietta, GA 30008 Levi Bush Email: chrisb.bbr@gmail.com Phone: (470) 483-6441 13. Reynolds Restoration Group Services Rendered $2,805 PO Box 870295 Stone Mountain, GA 30087 Maurice Reynolds Email: info@reynolcsrestorationgroup.com Phone: (678) 508-6276 14. GMC Blue Service, Inc Services Rendered $2,630 6062 Buford Hwy NE # 207 Norcross, GA 30071 Gieun Kim Email: contact@gmcblueservice.com Phone: (770) 837-0470 15. Rent Group Inc. Services Rendered $2,584 PO Box 740925 Atlanta, GA 30374-0925 David Johnson Email: billing@rent.com Phone: (678) 421-3000 16. J & A Remodeling, LLC Services Rendered $2,400 506 Jordan Drive Tucker, GA 30084 Alma Delia Cruz Nieves Email: JAConstruction214@gmail.com Phone: (678) 531-6586 17. Junk Gigolo LLC Services Rendered $2,150 5422 Amherst Way Flowery Branch, GA 30542-5153 Sean Burton Email: Contact@junkgigolo.com Phone: (770) 605-8251 18. Hartman Simons & Wood LLP Services Rendered $2,142 400 Interstate North Pkwy SE Suite 600 Atlanta, GA 30339 Pam Cleland Email: info@hartmansimonswood.com Phone: (770) 955-3555 19. Ken's Gutters LLC Services Rendered $1,980 1231 Kapp Dr Clearwater, FL 33765-2116 Robin Jones Email: inquiry@kensgutters.com Phone: (727) 396-3155 20. Harb and Company Services Rendered $1,680 50 Rockbridge Rd SW Lilburn, GA 30047 Majid Bakhtiari Email: info@harbco.com Phone: (770) 925-4418 344 ROEBLING: Section 341(a) Meeting of Creditors on June 2 ----------------------------------------------------------- On April 30, 2025, 344 Roebling 123 LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Eastern District of New York. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. A meeting of creditors under Section 341(a) filed by Office of the United States Trustee to be held on June 2, 2025 at 03:00 PM at Telephonic Meeting: Phone 1 (877) 953-2748, Participant Code 3415538#. About 344 Roebling 123 LLC 344 Roebling 123 LLC is a single asset real estate entity based in Brooklyn, New York. 344 Roebling 123 LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-42114) on April 30, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Elizabeth S. Stong handles the case. The Debtor is represented byJoshua R. Bronstein, Esq. at The Law Offices Of Joshua R. Bronstein & Associates, PLLC. 620 ARKELL DRIVE: Seeks Chapter 11 Bankruptcy in California ----------------------------------------------------------- On May 2, 2025, 620 Arkell Drive House LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central District of California. According to court filing, the Debtor reports $27,894,361 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About 620 Arkell Drive House LLC 620 Arkell Drive House LLC is a newly built 18,400-square-foot Class A contemporary estate located in Beverly Hills, California. The property, situated at 620 Arkell Drive, is currently on the market for $100 million, with Christie's Real Estate SoCal, The Beverly Hills Estates, and Nest Seekers International handling the listing. 620 Arkell Drive House LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal.Case No.: 25-10774) on May 2, 2025. In its petition, the Debtor reports total assets of $100,019,301 and total liabilities of $27,894,361. Honorable Bankruptcy Judge Martin R. Barash handles the case. The Debtor is represented by Michael Jay Berger, Esq. at LAW OFFICES OF MICHAEL JAY BERGER. 9707 WOODSCAPE: Voluntary Chapter 11 Case Summary ------------------------------------------------- Debtor: 9707 Woodscape 2020 LLC d/b/a Woodscape Apartments 8600 Woodway Drive Houston TX 77063 Business Description: 9707 Woodscape 2020 LLC operates Woodscape Apartments, a multifamily residential complex located at 9707 S Gessner Rd in Houston, Texas. The property features various unit types and amenities, including gated access, a fitness center, and a community pool. Chapter 11 Petition Date: May 2, 2025 Court: United States Bankruptcy Court Southern District of Texas Case No.: 25-32463 Judge: Hon. Jeffrey P Norman Debtor's Counsel: William Haddock, Esq. PENDERGRAFT & SIMON LLP 2777 Allen Parkway Suite 800 Houston TX 77019 Tel: 713-528-8555 E-mail: whaddock@pendergraftsimon.com Estimated Assets: $10 million to $50 million Estimated Liabilities: $10 million to $50 million The petition was signed by Fercan E. Kalkan as managing member. A list of the Debtor's 20 largest unsecured creditors was not provided alongside the petition. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/YXWYLTI/9707_Woodscape_2020_LLC__txsbke-25-32463__0001.0.pdf?mcid=tGE4TAMA AB INTERNATIONAL: Swings to $214,931 Net Income in Fiscal Q2 ------------------------------------------------------------ AB International Group Corp. filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting net income of $214,931 on total revenue of $1.1 million for the three months ended Feb. 28, 2025, compared to a net loss of $494,919 on total revenue of $385,253 for the three months ended Feb. 29, 2024. For the six months ended Feb. 28, 2025, it reported net income of $164,895 on total revenue of $1.7 million, compared to a net loss of $451,319 on total revenue of $1.2 million for the six months ended Feb. 29, 2024. As of Feb. 28, 2025, the Company had $2.9 million in total assets, $990,151 in total liabilities, and total stockholders' equity of $1.9 million. As of the same date, the Company had an accumulated deficit of approximately $11.7 million and a working capital deficit of approximately $0.6 million. For the six months ended Feb. 28, 2025, the Company had negative cash flow of $345,972 from its operations. These factors, among others, raise substantial doubt regarding the Company's ability to continue as a going concern. The Company's future operations depend on its ability to realize forecasted revenues, achieve profitable operations, and depend on whether or not the Company could obtain the continued financial support from its stockholders or external financing. Management believes the existing stockholders will continue to provide the additional cash to meet the Company's obligations as they become due. The Company also intends to fund operations through cash flow generated from the operations, including the expected ticket sales from Mt. Kisco movie theatre, equity financing, debt borrowings, and additional equity financing from outside investors, to ensure sufficient working capital. However, no assurance can be given that additional financing, if required, would be available on favorable terms or at all. If the Company is not able to secure additional funding, the implementation of it business plan will be impaired. Management believes that the actions currently being taken to obtain additional funding and implement its strategic plan provide the opportunity for the Company to continue as a going concern. A full-text copy of the Company's Form 10-Q is available at: https://tinyurl.com/2tw756j4 About AB International Headquartered in Mt. Kisco, N.Y., AB International Group Corp. is an intellectual property (IP) and movie investment and licensing firm, focused on the acquisition and development of various intellectual property, including the acquisition and distribution of movies. Hackensack, N.J.-based Prager Metis CPAs, LLC, the Company's auditor since 2022, issued a "going concern" qualification in its report dated November 26, 2024, citing that the Company had limited cash, an accumulated deficit of approximately $11.8 million and a limited working capital deficit of approximately $0.2 million. The continuation of the Company as a going concern is dependent upon the continued financial support from its stockholders or external financing and achieving operating profits. These factors, among others, raise substantial doubt about the Company's ability to continue as a going concern. ACUTE HVACR: Case Summary & 16 Unsecured Creditors -------------------------------------------------- Debtor: Acute HVACR, LLC 1235 Boone Hill Rd, Ste 1 Summerville, SC 29483 Business Description: Acute HVACR, LLC is a family-owned and operated HVAC company based in Summerville, South Carolina, that provides heating, ventilation, and air conditioning services to residential and commercial customers in the Charleston area. The Company offers installation, repair, and maintenance of HVAC systems, along with energy efficiency audits and indoor air quality solutions. Chapter 11 Petition Date: May 1, 2025 Court: United States Bankruptcy Court District of South Carolina Case No.: 25-01661 Judge: Hon. Elisabetta Gm Gasparini Debtor's Counsel: Michael Conrady, Esq. CAMPBELL LAW FIRM, PA PO Box 684 Mt. Pleasant, SC 29465 Tel: (843) 884-6874 Fax: (843) 884-0997 Total Assets: $47,894 Total Liabilities: $1,768,729 The petition was signed by Octavia Edwards as member, manager. A full-text copy of the petition, which includes a list of the Debtor's 16 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/G5JVSCQ/Acute_HVACR_LLC__scbke-25-01661__0001.0.pdf?mcid=tGE4TAMA AEGIS TOXICOLOGY: Moody's Cuts CFR to Caa3, Outlook Stable ---------------------------------------------------------- Moody's Ratings downgraded Aegis Toxicology Sciences Corporation's ("Aegis") Corporate Family Rating to Caa3 from Caa1, Probability of Default Rating to Caa3-PD from Caa1-PD, and senior secured first lien bank credit facility rating to Caa3 from Caa1. The outlook remains stable. The ratings downgrade reflects very high refinancing risk with regard to the company's term loan that is due on May 9, 2025. Aegis has approximately $166 million of its initial $300 million term loan remaining outstanding as of September 30, 2024. Moody's expects that, absent an imminent transaction to refinance the remaining outstanding balance on the term loan, Aegis will default on this obligation. RATINGS RATIONALE Aegis' Caa3 CFR is constrained by very high refinancing risk, high financial leverage, small scale relative to much larger competitors, and its revenue concentration on niche toxicology testing. Moody's believes the toxicology industry continues to face longer term pricing pressure and the potential for meaningful reimbursement rate cuts in the coming years. Partially mitigating some of these constraints, the company's ratings are supported by its ability to generate slightly positive free cash flow, limited capital expenditure requirements, and stable demand for the company's services with revenues that remain somewhat higher relative to pre-COVID pandemic levels. Aegis' liquidity will remain weak until it refinances its term loan. For routine operations, the company's liquidity is supported by approximately $16 million of cash as of September 30, 2024. Moody's expects that the company will generate minimal free cash flow in the next 12 months. The company's revolving credit facility expired in 2023, so there is no external source of funding available to Aegis. The stable outlook reflects Moody's views that there is a heightened risk of default absent an imminent refinancing transaction. Aegis' senior secured first lien term loan is rated Caa3, equivalent to the company's Caa3 Corporate Family Rating. This reflects the fact that senior secured obligations represent the preponderance of the company's debt. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be downgraded if Aegis defaults on its term loan obligation or if the prospects for recovery further decline. Although unlikely in the near term, the ratings could be upgraded if the company successfully refinances its maturing debt and demonstrates sustained improvements in operating performance and liquidity. Aegis Toxicology Sciences Corporation (Aegis), headquartered in Nashville, TN, is a specialty toxicology laboratory providing services to the healthcare, sports, workplace and biopharma industries. The company is privately-owned by affiliates of financial sponsor ABRY Partners II, LLC (ABRY) and it generated revenue of roughly $132 million in the twelve months ended September 30, 2024. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. ALLEGHENY WOOD: Receivership Has July 24 Claims Deadline -------------------------------------------------------- Pursuant to Western Virginia Code Section 55-21-20, any and all creditors of Allegheny Wood Products Inc., Allegheny Wood Products International Inc. and Allegheny Wood Timber Products LLC hat have yet filed a claim and desire to receive any distribution from the receivership estate must submit a claim to receive a distribution from the receivership estate. The deadline for submitting claims is July 24, 2025. If you have submitted a claim, please email Christopher Deweese, the court-appointed receiver of the Companies, at AWP.receiver@suttlecpas.com to request a claim form. There is no guaranty that there will be any distribution from the receivership estate to unsecured creditors. About Allegheny Wood Products Allegheny Wood Products, Inc., is a West Virginia-based and international hardwood producer. AMERICAN PEST: 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 American Pest Solutions, 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 American Pest Solutions American Pest Solutions, Inc., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-13635) on April 2, 2025, listing up to $50,000 in assets and between $100,001 and $500,000 in liabilities. Judge Scott M. Grossman presides over the case. Christina Vilaboa-Abel, Esq., represents the Debtor as legal counsel. ARCH THERAPEUTICS: Hires Riemer & Braunstein as Bankruptcy Counsel ------------------------------------------------------------------ Arch Therapeutics Inc. seeks approval from the U.S. Bankruptcy Court for the District of Massachusetts to hire Riemer & Braunstein LLP as general bankruptcy counsel. The firm's services include: (a) advising the Debtors with respect to the Debtors' powers and duties as debtors-in-possession and the continued management and operation of their businesses and assets; (b) advising the Debtors with respect to their critical financial needs including access to funding as requested in the DIP Financing Motion. (c) advising and assisting the Debtors in connection with the optimizing the potential disposition of their assets; (d) attending meetings and negotiating with representatives of creditors and other parties-in-interest and responding to creditor inquiries; (e) advising the Debtors regarding their ability to initiate actions to collect and recover property for the benefit of their estates; (f) assisting the Debtors in reviewing, estimating and resolving claims asserted against the Debtors' estates; (g) negotiating and preparing on behalf of the Debtors a sale and/or feasible chapter 11 plan and all related documents; (h) preparing necessary motions, applications, responses, orders, reports, and documents necessary for the administration of the estates; and (i) performing all other bankruptcy-related legal services for and providing all other legal advice to the Debtors that may be necessary and proper in these proceedings. 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 $2,500. 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 Arch Therapeutics Inc. Arch Therapeutics Inc. is a medical technology company operating in the diagnostic laboratory sector (NAICS code 6215). Arch Therapeutics Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Mass. Case No. 25-40409) on April 18, 2025. In its petition, the Debtor reports estimated assets between $10 million and $50 million and estimated liabilities between $1 million and $10 million. The Debtor is represented by Alan L. Braunstein, Esq. at Riemer & Braunstein, LLC. AZZUR GROUP: Committee Taps Huron Consulting as Financial Advisor ----------------------------------------------------------------- The official committee of unsecured creditors of Azzur Group Holdings, LLC and its affiliates seek approval from the U.S. Bankruptcy Court for the District of Delaware to employ Huron Consulting Services LLC as its financial advisor. The firm will render these services: a. review and analyze financial information prepared by the Debtors, including, but not limited to, analyses of cash receipts and disbursements, and financial reporting, including budgets and forecasts; b. review and analyze proposed transactions for which the Debtors seek Court approval; c. assist in the review of reports or filings as required by the Court or the U.S. Trustee, including, but not limited to, schedules of assets and liabilities, statements of financial affairs and monthly operating reports; d. evaluate proposed employee incentive, retention, severance and separation plans; e. assist with identifying and implementing potential budgetary cost containment opportunities; f. analyze assumption and rejection matters with respect to executory contracts and leases; g. review and analyze any restructuring, liquidation or chapter 11 plan proposed by the Debtors or any other party, and assist the Committee with evaluating and negotiating terms and conditions of any restructuring, liquidation or chapter 11 plan; h. review and analyze: (a) proposed business plans and assumptions related thereto and (b) financial condition, results from operations and cash flow from operations; i. assist in the evaluation of the Debtors' proposed sales of operations and assets in connection with their proposed Bankruptcy Code section 363 sale(s); j. prepare enterprise, asset and liquidation valuations; k. assist in preparing documents necessary for plan confirmation; l. provide advice and assistance to the Committee in negotiations and meetings with the Debtors and stakeholders; m. attend meetings and teleconferences with, and on behalf of, the Committee; n. assist with the claims resolution procedures, including, but not limited to, analyses of creditors' claims by type and entity and associated recoveries; o. analyze the Debtors' prepetition property, liabilities and financial condition (including analyzing potentially unencumbered assets), and the transfers with and among Debtors' affiliates; p. investigate causes of action and other items as directed by the Committee and provide litigation consulting services and expert witness testimony regarding confirmation issues, avoidance actions or other matters; q. such other functions as requested by the Committee or its counsel to assist the Committee in these Chapter 11 Cases. The firm will be paid at these hourly rates: Managing Director $1,075 to $1,400 Senior Director $975 to $985 Director $825 to $825 Manager $675 to $675 Associate $550 to $550 Analyst $475 to $475 The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. In addition, the firm will seek reimbursement for its out-of-pocket expenses. Ryan Bouley, a partner at Huron Consulting Services 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: Ryan Bouley Huron Consulting Services LLC 350 West Cedar Street, Suite 200 Pensacola, FL 32502 Tel: (850) 439-5839 Fax: (850) 439-5768 About Azzur Group Holdings Azzur Group Holdings, a Pennsylvania-based professional services company operates across multiple locations including Boston, Chicago, San Diego, and San Francisco, providing specialized life sciences services including consulting, laboratory testing, cleanrooms-on-demand, and technical training services. Azzur Group Holdings and more than 30 of its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 25-10342) on March 2, 2025. In their petitions, the Debtors reported estimated assets and liabilities between $100 million and $500 million. Honorable Bankruptcy Judge Karen B. Owens handles the cases. DLA Piper LLP represents the Debtors as general bankruptcy counsel. Ankura Consulting Group LLC serves as restructuring advisor to the Debtors, Brown Gibbons Lang & Co. Securities Inc. acts as investment banker, and Stretto Inc. acts as claims and noticing agent. AZZUR GROUP: Committee Taps Pachulski Stang Ziehl as Counsel ------------------------------------------------------------ The official committee of unsecured creditors of Azzur Group Holdings, LLC and its affiliates seeks approval from the U.S. Bankruptcy Court for the District of Delaware to employ Pachulski Stang Ziehl & Jones LLP as its counsel. The firm's services include: a. assisting, advising, and representing the Committee in its consultations with the Debtors regarding the administration of the Chapter 11 Cases; b. assisting, advising, and representing the Committee with respect to the Debtors' retention of professionals and advisors; c. assisting, advising, and representing the Committee in analyzing the Debtors' assets and liabilities, investigating the extent and validity of liens, and participating in and reviewing any proposed asset sales, asset dispositions, financing arrangements, and cash collateral stipulations or proceedings; d. assisting, advising, and representing the Committee in any manner relevant to reviewing and determining the Debtors' rights and obligations under leases and other executory contracts; e. assisting, advising, and representing the Committee in investigating the acts, conduct, assets, liabilities, and financial condition of the Debtors, the Debtors' operations, and the desirability of the continuance of any portion of those operations, and any other matters relevant to the Chapter 11 Cases or to the formulation of a plan; f. assisting, advising, and representing the Committee in connection with any sale of the Debtors' assets; g. assisting, advising, and representing the Committee in its participation in the negotiation, formulation, or objection to any plan of liquidation or reorganization; h. assisting, advising, and representing the Committee in understanding its powers and duties under the Bankruptcy Code and the Bankruptcy Rules and in performing other services as are in the interests of those represented by the Committee; i. assisting, advising, and representing the Committee in the evaluation of claims and on any litigation matters, including avoidance actions; and j. providing such other services to the Committee as may be necessary in the Chapter 11 Cases. The firm will be paid at these rates: Partners $1,150 to $2,350 Of Counsel $1,050 to $1,850 Associates $725 to $1,225 Paraprofessionals $495 to $650 In addition, the firm will seek reimbursement for expenses incurred. Laura Davis Jones, Esq., a partner at Pachulski Stang Ziehl & Jones, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Laura Davis Jones, Esq. Pachulski Stang Ziehl & Jones LLP 919 North Market Street, 17th Floor P.O. Box 8705 Wilmington, DE 19899 Telephone: (302) 652-4100 Facsimile: (302) 652-4400 Email: ljones@pszjlaw.com About Azzur Group Holdings Azzur Group Holdings Pennsylvania-based professional services company operates across multiple locations including Boston, Chicago, San Diego, and San Francisco, providing specialized life sciences services including consulting, laboratory testing, cleanrooms-on-demand, and technical training services. Azzur Group Holdings and more than 30 of its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 25-10342) on March 2, 2025. In their petitions, the Debtors reported estimated assets and liabilities between $100 million and $500 million. Honorable Bankruptcy Judge Karen B. Owens handles the cases. DLA Piper LLP represents the Debtors as general bankruptcy counsel. Ankura Consulting Group LLC serves as restructuring advisor to the Debtors, Brown Gibbons Lang & Co. Securities Inc. acts as investment banker, and Stretto Inc. acts as claims and noticing agent. BECKER-PRESSENTE LLC: Seeks Subchapter V Bankruptcy in Michigan --------------------------------------------------------------- On April 30, 2025, Becker-Pressente LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Eastern District of Michigan. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Becker-Pressente LLC Becker-Pressente LLC a single asset real estate company based in Saginaw, Michigan. Becker-Pressente LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Mich. Case No. 25-20546) on April 30, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Daniel S. Oppermanbaycity handles the case. BEELINE HOLDINGS: Extends Senior Secured Notes Maturity to May 14 ----------------------------------------------------------------- As previously disclosed, on November 14, 2024, Beeline Holdings, Inc. sold $1,938,000 of principal amount of senior secured notes and pre-funded warrants to purchase 363,602 shares of common stock for gross proceeds of $1,615,000. In connection with the closing, on November 14, 2024, two Note holders each executed a side letter agreement with the Company, each providing that a number of shares of Series D Convertible Preferred Stock equal to $333,333.33 of the stated value of the Series D shall be eligible for conversion into shares of the Company's common stock beginning on April 7, 2025, at a conversion price equal to the lower of: (i) $5.00 per share; or (ii) the five-day volume weighted average price ending on April 7, 2025, subject to a floor price of $2.50 per share. By virtue of this agreement, each holder's 33,333 shares of Series D is now convertible at an adjusted conversion price of $2.50 per share. In March 2025, the Company and the two Holders extended the maturity date of their Notes from March 14, 2025 to April 14, 2025 in exchange for an increase to the principal of the Notes by 10%. On April 14, 2025, the Company and each of the two Holders entered into an agreement for a second extension of the maturity dates of the Notes held by the Holders, having total combined principal of $880,000 (giving effect to the 10% increase in principal from the prior extension), to May 14, 2025, which extension was subject to the condition that as of 4:00 p.m., Eastern Time on April 14, 2025, the Company issue to each of the Holders the 133,333 shares of common stock underlying the Holder's Series D, comprised of the original 18,518 shares plus the additional 114,815 shares by virtue of the side letter without any restrictive legends. The new maturity dates are May 14, 2025. The terms of the recent extension are as follows: (i) if the Notes are paid off on or before April 29, 2025, then there will be no additional principal payment required; and (ii) if the principal of the applicable Notes are not paid off on or before April 29, 2025 but are paid on or before May 13, 2025, then an additional payment in an amount equal to 5% of the outstanding principal of the applicable Notes ($22,000 per applicable Note) will be due. The terms of the recent extension also provided that if by the Deadline the Shares are not issued to the Holders without any restrictive legends, the maturity dates shall be accelerated to April 18, 2025 and an additional principal sum of 10% of the outstanding principal of the applicable Note ($44,000 per applicable Note) shall be due. About Beeline Holdings Beeline Holdings f/k/a Eastside Distilling, Inc. is a forward-thinking mortgage lender leveraging cutting-edge technology to simplify and streamline the home financing process. The company is committed to providing a seamless, customer-centric experience while expanding its presence in the mortgage industry. Boca Raton, Florida-based Salberg & Company, P.A., the Company's auditor since 2024, issued a "going concern" qualification in its report dated April 15, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company has incurred recurring losses and negative cash flows from operations since its inception, has a significant working capital deficit, and is dependent on debt and equity financing. These matters raise substantial doubt about the Company's ability to continue as a going concern. BERRY GLOBAL: Moody's Upgrades Rating on First Lien Notes from Ba1 ------------------------------------------------------------------ Moody's Ratings has upgraded to Baa2 from Ba1 Berry Global, Inc.'s backed senior unsecured (previously senior secured) first lien notes maturing in 2027 and beyond and to Baa2 from Ba1 the company's backed first lien senior secured notes due January and July 2026, reflecting the parent guarantee from Amcor Plc (Amcor, Baa2 stable) upon closure of the acquisition by Amcor on April 30, 2025. The outlook is stable. Debt previously issued by Berry Global Group Inc. and Berry Global, Inc. benefits now from an unconditional guarantee from Amcor plc and joins the guarantor group that includes certain Amcor subsidiaries, including Amcor Finance (USA), Inc., Amcor Flexibles North America, Inc., Amcor Group Finance plc, and Amcor UK Finance PLC. Moody's have withdrawn Berry Global Group Inc.'s Ba1 corporate family rating and the Ba1-PD probability of default rating. Previously, the ratings were on review for upgrade. The SGL-1 Speculative Grade Liquidity Rating (SGL) assigned to Berry Global Group Inc. was also withdrawn. At the same time, the Ba1 ratings on Berry Global, Inc.'s senior secured term loans and the Ba2 ratings on the company's senior secured second lien notes were withdrawn because these were repaid upon closing of the acquisition by Amcor. These actions conclude the rating review initiated on November 20, 2024. A List of Affected Credit Ratings is available at https://urlcurt.com/u?l=3xAwO0 RATINGS RATIONALE The Baa2 ratings reflect the parent guarantee from Amcor plc. Most of the notes, with exception to the 2026 notes, will benefit from the same guarantor group as Amcor's existing senior unsecured notes. Berry Global, Inc. notes maturing in January and July 2026 will not have cross guarantees from Amcor's subsidiaries, only a parent guarantee from Amcor Plc, and will remain secured with an equity pledge from Berry Global, Inc. However, around 93% of Amcor's subsidiaries, as a percent of revenue, are non-guarantor subsidiaries. Given the substantial amount of revenue derived from non-guarantor Amcor subsidiaries, Moody's views the difference in ranking between the Berry Global, Inc 2026 notes and the other Berry Global, Inc notes to be immaterial. Upon the maturity of the 2026 notes, Berry Global Group Inc. will be removed as a guarantor, leaving Berry Global, Inc, Amcor Plc, and the other guarantor subsidiaries as guarantors of all notes. The Baa2 ratings also reflect Amcor's large scale ($24 billion of revenue) following the merger with Berry Global, making the company the largest plastic packaging company in the industry. The merger will strengthen Amcor's product offering in relatively stable food & beverage, home care, personal care and healthcare end markets. Cost synergies and benefits of scale should improve Amcor's EBITDA margin and cash flow generation. Moody's expects proceeds from future portfolio rationalization in the form of divestitures, as well as free cash flow, to provide an opportunity for Amcor to reduce absolute debt. While the pro forma leverage remains high at closing of close to 4.0x adjusted debt-to-EBITDA, Moody's expects gradual improvements in leverage as a result of earnings growth and proceeds from targeted divestures. Leverage should decline to 3.6x and 3.2x debt to EBITDA at fiscal years end June 2026 and 2027. Amcor's credit profile is constrained by integration risks associated with the merger, elevated debt and a shareholder friendly financial policy that includes a high dividend payout ratio and opportunistic share repurchases. Free cash flow to debt will likely remain modest for its credit profile at around 5%, reflecting sizable dividend payouts. Amcor's liquidity is sufficient with $445 million of cash as of December 31, 2024 and access to a $3.75 billion dollar revolving credit facility expiring in 2030, which can be increased to $4.75 billion at the option of Amcor. The company has a $2.0 billion and EUR1.5 billion commercial paper program which is fully backstopped by the revolving credit facility. As of December 31, 2024 commercial paper outstanding was around $1.7 billion. The stable outlook reflects Moody's expectations that Amcor will manage integration risks, execute cost synergy initiatives, manage potential input cost inflation, and improve credit metrics and cash flow. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded with evidence of sustained improvement in credit metrics including adjusted debt-to-EBITDA near 2.75x, and EBITDA margin above 20%. The ratings could be downgraded if there is a deterioration in liquidity or lack of synergy realization that weakens credit metrics. Specifically, if adjusted debt-to-EBITDA is sustained near 3.5x, EBITDA-to-interest expense is sustained below 6.0x, and if the company adopts a more aggressive shareholder friendly financial policy. Based in Evansville, Indiana, Berry Global Group Inc., owned by Amcor Plc, is a manufacturer of both rigid and flexible plastic packaging products. The company recorded about $12.3 billion of sales for the 12 months that ended in December 2024. Amcor plc is a global leader in developing and producing packaging for food. Following the merger with Berry, the company's scale will almost double to around $24 billion in revenue. The principal methodology used in these ratings was Packaging Manufacturers: Metal, Glass and Plastic Containers published in April 2025. BIOMERICA INC: Reports Net Loss of $1.2 Million for Fiscal Q3 ------------------------------------------------------------- Biomerica, Inc. filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting net loss of $1.2 million on net sales of $1.1 million for the three months ended Feb. 28, 2025, compared to a net loss of $1.9 million on net sales of $1 million for the three months ended Feb. 29, 2024. For the nine months ended Feb. 28, 2025, it reported net loss of $3.4 million on net sales of $4.6 million, compared to a net loss of $4.6 million on net sales of $4.3 million for the nine months ended Feb. 29, 2024. As of Feb. 28, 2025, the Company had $7.4 million in total assets, $1.8 million in total liabilities, and total stockholders' equity of $5.5 million. The Company has incurred net losses and negative cash flows from operations and has an accumulated deficit of approximately $52 million as of Feb. 28, 2025. As of Feb. 28, 2025, the Company had cash and cash equivalents of approximately $3.1 million and working capital of approximately $4.6 million. On July 21, 2020, the Company filed with the Securities and Exchange Commission a Form S-3 shelf registration statement and base prospectus which was declared effective by the SEC on Sept. 30, 2020. The 2020 Shelf Registration Statement registered common shares that could be issued by the Company in a maximum aggregate amount of up to $90 million. On Jan. 22, 2021, the Company filed a prospectus supplement to the base prospectus included in a registration statement filed with the SEC on Jul. 21, 2020, and declared effective by the SEC on Sept. 30, 2020, for purposes of selling up to $15 million in "at-the-market" offerings, as defined in Rule 415 promulgated under the Securities Act. During the year ended May 31, 2023, the Company sold 573,889 shares of its common stock at prices ranging from $3.15 to $4.26 pursuant to the 2021 ATM Offering, which resulted in gross proceeds of approximately $2.01 million and net proceeds to the Company of $1.96 million, after deducting commissions for each sale and legal, accounting, and other fees related to offering in the amount of $53,000. On March 7, 2023, the Company sold 3,333,333 shares of common stock in a firm commitment public offering at a gross sales price of $2.40 per share, with net total proceeds, after deducting issuance fees and expenses of $700,000, of approximately $7.3 million. As a result of this public offering, the Company terminated the 2021 ATM Offering. Biomerica said, "As part of our financing plan, on Sept. 28, 2023, we filed a new "shelf" registration statement on Form S-3 with the SEC, to replace the expiring S-3 that was filed in Jul. 2020, which was declared effective on Sept. 29, 2023, allowing the Company to issue up to $20 million in common shares. Under this registration statement, shares of our common stock may be sold from time to time for up to three years from the filing date. On May 10, 2024, the Company filed a prospectus supplement with the SEC to facilitate the sale of up to $5.5 million in common stock through ATM offerings, as defined in Rule 415 under the Securities Act. As part of this transaction, the Company incurred $81,000 in deferred offering costs. The amount of capital that we can raise under the ATM offering is highly dependent upon the trading volume and the trading price of our stock. The average trading volume of our stock over the last three full calendar months is 7,798,345 shares per day and the high and low trading price of our stock during the same period of time was $1.03 and $0.27, respectively. If our stock continues to trade at low volumes and price, the amount of capital that we can raise under the ATM offering will be constrained." The Company intends to use the net proceeds from any funds raised through the ATM offering for general corporate purposes, including, but not limited to, sales and marketing activities, clinical studies and product development, acquisitions of assets, businesses, companies, or securities, capital expenditures, and working capital needs. During the nine months ended Feb. 28, 2025, the Company sold 3,525,359 shares of its common stock at prices ranging from $0.36 to $1.04 pursuant to the May 2024 ATM Offering, which resulted in gross proceeds of approximately $2,143,000 and net proceeds to the Company of $2,015,000 after deducting commissions for each sale and legal, accounting, and other fees related to offering in the amount of $128,000. Management assesses whether the Company has sufficient liquidity to fund its costs for the next 12 months from each financial statement issuance date to determine if there is a substantial doubt about the Company's ability to continue as a going concern. The Company's ability to continue as a going concern over the next 12 months is influenced by several factors, including: * Its need and ability to generate additional revenue from international opportunities and sales within the US of existing products, and from its new product launches; * Its need to access the capital and debt markets to meet current obligations and fund operations; * Its capacity to manage operating expenses and maintain or increase gross margins as we grow; * Its ability to retain key employees and maintain critical operations with a substantially reduced workforce; and * Certain SEC regulations that limit the amount of capital the Company can raise through issuance of its equity. Management has analyzed the Company's cash flow requirements through May 2026 and beyond. Based on this analysis, Biomerica believes its current cash and cash equivalents are insufficient to meet its operating cash requirements and strategic growth objectives for the next 12 months. Biomerica said, "To address our capital needs and sustain operations beyond the next year, we are actively pursuing strategies to increase sales, reduce expenses, sell non-core assets, seek additional financing through debt or equity, and seek other strategic alternatives. While we are committed to these plans, there is no assurance that these efforts will be successful or sufficient to meet our capital requirements." "As part of our efforts to reduce costs, we are executing significant cost-cutting measures to extend our cash runway and work towards increasing revenues to cover overhead costs. These measures included a workforce reduction of nearly 15% in Jul. 2024 and a substantial reduction in other operating expenses. Additionally, we have successfully raised $2,015,000 in net proceeds from the May 2024 ATM offering, providing additional liquidity to support our operations." "These factors raise substantial doubt about the Company's ability to continue as a going concern. Our future viability depends on the successful execution of our strategic plans, securing additional financing, and achieving profitable operations." A full-text copy of the Company's Form 10-Q is available at: https://tinyurl.com/2f62j86b About Biomerica Headquartered in Irvine, Calif., Biomerica, Inc. is a global biomedical technology Company that develops, patents, manufactures and markets advanced diagnostic and therapeutic products. The Company's diagnostic test kits are utilized in the analysis of blood, urine, nasal, or fecal samples for the diagnosis of various diseases, food intolerances, and other medical conditions. These kits also measure levels of specific hormones, antibodies, antigens, and other substances, which may exist in the human body at extremely low concentrations. The Company's products are designed to enhance health and well-being while reducing overall healthcare costs. BIOREGENX INC: Two Directors Resign ----------------------------------- BioRegenx, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that Gary Hennerberg resigned from his position as director, effective immediately. Additionally, Gary Kiss resigned from his position as director of BioRegenx, Inc., also effective immediately. About BioRegenx Chattanooga, Tenn.-based BioRegenx, Inc. develops and manufactures medical test equipment and high quality, science-based nutritional products. The Company distributes wellness devices. The products are sold nationally through a direct selling channel, to health professionals and research organizations. Los Angeles, Calif.-based Weinberg & Company, P.A., the Company's auditor since 2024, issued a "going concern" qualification in its report dated April 15, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company has experienced recurring operating losses and negative operating cash flows since inception, and had a stockholders' deficit at December 31, 2024. In addition, the Company is in default of certain of its debt obligations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of September 30, 2024, BioRegenx had $17,361,364 in total assets, $3,800,594 in total liabilities, and $13,560,770 in total stockholders' equity. BLUM HOLDINGS: Seeks OK for Settlement With People's California --------------------------------------------------------------- Blum Holdings, Inc., a California-based publicly traded holding company and cannabis operator, provided an update regarding its global settlement with People's California, LLC and affiliated parties, previously announced on February 24, 2025. The parties have executed definitive documentation memorializing the terms of the settlement reached during the previously reported judicially supervised settlement conference. The comprehensive resolution, which remains subject to court approval, would resolve all outstanding litigation, adversary proceedings, and contested matters between the People's Parties, the Company, and the Company's wholly owned subsidiaries (and now debtors-in-possession in Chapter 11 bankruptcy proceedings), Unrivaled Brands, Inc. and Halladay Holding, LLC. The Company believes that, if approved and made effective, the settlement will represent a significant milestone in its restructuring efforts and could provide greater clarity and stability for all stakeholders. The parties have filed a "Motion to Approve Compromise of Controversy Between Debtors and People's California LLC and Related Parties" with the United States Bankruptcy Court for the Central District of California, requesting court approval of the settlement. The settlement will not become effective unless and until the Bankruptcy Court enters a final, non-appealable order approving its terms. There can be no assurance that the Bankruptcy Court will grant such approval or that the settlement will become effective. About Blum Holdings Headquartered in Downey, California, Blum Holdings, Inc. -- www.blumholdings.com -- is a publicly listed parent company with operations across California, dedicated to delivering top-tier medical and recreational cannabis products and associated services. The Company is home to Korova, a brand of high potency products across multiple product categories, currently available in California. The Company formerly operated Blum Santa Ana, a premier cannabis dispensary in Orange County, California, which was sold in June 2024. The Company previously owned dispensaries in California which operated as Blum in Oakland and Blum in San Leandro, which were sold in November 2024. In May 2024, the Company began operating the retail store, Cookies Sacramento, and providing consulting services for two additional dispensaries located in Northern California. The Company is organized into two reportable segments: (i) Cannabis Retail - Includes cannabis-focused retail, both physical stores and non-store front delivery; and (ii) Cannabis Distribution â€" Includes cannabis distribution operations. Costa Mesa, California-based GuzmanGray, the Company's auditor since 2024, issued a "going concern" qualification in its report dated Mar. 13, 2025, attached to the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2024, citing that the Company has a significant working capital deficiency and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of Dec. 31, 2024, Blum Holdings had $24.82 million in total assets, $29.56 million in total liabilities, $2.01 million in mezzanine equity, and a total stockholders' deficit of $6.75 million. As of Dec. 31, 2024, the Company had $1.04 million of cash and cash equivalents. BROOKDALE SENIOR: Announces CEO Transition, Board Refreshment ------------------------------------------------------------- Brookdale Senior Living Inc. announced that the Board of Directors effected a Chief Executive Officer transition plan and appointed a new independent director; announced that a tenured director will not stand for reelection; and disclosed the Board's review of potential enhancements to corporate governance policies. Brookdale's Board initiated a search for the Company's next Chief Executive Officer, who will be focused on driving operational and financial improvements, capitalizing on the intrinsic value of Brookdale's owned real estate portfolio and enhancing shareholder value by acting on Brookdale's compelling industry dynamics and cash flow generation potential. To effect this change, the Company entered into a separation agreement with Lucinda ("Cindy") M. Baier under which Ms. Baier stepped down as President and Chief Executive Officer, effective April 13, 2025. Ms. Baier also resigned from the Company's Board of Directors. The Board formed a CEO Search Committee made up of Denise W. Warren, Chairman of the Board, and three independent directors to conduct the CEO search, with the support of Spencer Stuart, a leading executive search firm. To oversee the Company's day-to-day operations and ensure business continuity until a permanent CEO is named, the Board appointed Ms. Warren as Interim CEO and established an Office of the CEO, composed of Ms. Warren, Dawn L. Kussow, Executive Vice President and Chief Financial Officer, and Chad C. White, Executive Vice President, General Counsel and Secretary. Ms. Warren said, "Having executed on our strategy to simplify and streamline the business, rationalize our lease portfolio and address our debt maturities, we believe Brookdale is now poised to deliver sustained and compelling returns to our shareholders. With the completion of these actions, the Board determined that now is the right time to identify the Company's next leader. We are appreciative of the care and services our teams provide for our residents and their families. We are grateful for Cindy's leadership over the past seven years, and for the role she played leading the Company through the many challenges posed by COVID. On behalf of the Board, I want to thank Cindy for her dedication to and leadership of Brookdale." "It has been an honor and a privilege to lead Brookdale and to work alongside the Company's incredible team," said Ms. Baier. "I take pride in what we have accomplished through the resourcefulness and hardwork of Brookdale's associates. I know that Brookdale will continue to be a leader in the industry and a place that senior residents feel at home." Ms. Warren continued, "The Board is now conducting a thorough search process to identify the right CEO to capitalize on Brookdale's strong foundation and to deliver value for our shareholders. I look forward to working with Dawn, Chad and the entire leadership team to continue to grow profitable occupancy and RevPAR, deliver meaningful Adjusted EBITDA growth and materially enhance Adjusted Free Cash Flow generation. While there remains work to be done, the Board believes that Brookdale has taken the right steps to set the stage for future growth and is confident in the Company's ability to benefit from the robust demographic tailwinds represented by the aging baby boomer generation." The Company also announced that Mark Fioravanti, President and CEO of Ryman Hospitality Properties, has been appointed to the Board. Frank M. Bumstead will not stand for reelection at the 2025 Annual Meeting of Stockholders and will step down from the Board at the conclusion of the Annual Meeting. With Ms. Baier's resignation, Mr. Fioravanti's appointment and following the Annual Meeting, Brookdale's Board will have an average tenure of approximately four years, demonstrating the Company's commitment to Board refreshment. Ms. Warren said, "We are pleased to welcome Mark to the Brookdale Board. With deep expertise in hospitality and real estate, his skillset complements and enhances the composition of our Board. We look forward to benefitting from his fresh perspective as we continue to advance our strategy." Ms. Warren said, "On behalf of the Board, I extend my sincere gratitude to Frank for his many contributions over the course of his tenure. He has been instrumental in establishing Brookdale as an industry leader, and we wish him all the best." Additionally, based on feedback from shareholders, the Board is reviewing potential governance enhancements related to director tenure and is evaluating revisions to the Company's performance-based long-term incentive awards program for executives. About Brookdale Senior Living Headquartered in Brentwood, Tenn., Brookdale Senior Living Inc. operates senior living facilities in the United States. As of December 31, 2024, Brookdale Senior Living had $6.34 billion in total assets, $6.12 billion in total liabilities, and total stockholders' deficit of $213.91 million. * * * Egan-Jones Ratings Company on January 14, 2025, maintained its 'CC' foreign currency and local currency senior unsecured ratings on debt issued by Brookdale Senior Living Inc. BURKE MOUNTAIN: Federal Judge Greenlights $11.5MM Resort Sale ------------------------------------------------------------- Habib Sabet of Vtdigger reports that a federal judge has approved the $11.5 million sale of Burke Mountain Resort, officially ending nearly a decade of federal receivership for the Vermont ski destination. U.S. District Court Judge Darrin P. Gayles signed the order Thursday, April 24, 2025, in Miami, approving the sale to Bear Den Partners LLC—a group that includes Burke Mountain Academy and members of the Graham family, former resort owners. The new owners plan to invest approximately $30 million into improving lift systems and upgrading the base-area hotel. In his order, Gayles stated that the sale was "the only viable option" for preserving the resort's value for the receivership estate. Melissa Gullotti, spokesperson for Bear Den Partners, said the group expects to close the deal in early May, pending final administrative steps. The ruling follows a request from court-appointed receiver Michael Goldberg, who has overseen the resort since 2016. He described the deal as being in the best interest of investors, employees, and the broader Burke ski community. The receivership was part of a larger fraud case initiated by the U.S. Securities and Exchange Commission against former owners Ariel Quiros and Bill Stenger, who were accused of misusing millions in EB-5 visa funds. The case became the largest investment fraud in Vermont's history, the report states. Goldberg previously oversaw the 2022 sale of Jay Peak Resort—also tied to the case—to Pacific Group Resorts Inc. for $76 million. That sale recovered roughly $60 million for investors, covering only about 22% of their total losses, according to report. About Burke Mountain Ski Resort Burke Mountain Ski Resort is a medium-size ski resort in northeast Vermont that is open to snowboarding and skiing. CB 60 LLC: Voluntary Chapter 11 Case Summary -------------------------------------------- Debtor: CB 60 LLC 409 E 96th Street Brooklyn, NY 11212 Business Description: CB 60 LLC is a single asset real estate debtor, as defined in 11 U.S.C. Section 101(51B). Chapter 11 Petition Date: April 30, 2025 Court: United States Bankruptcy Court Eastern District of New York Case No.: 25-42104 Debtor's Counsel: Joshua R. Bronstein, Esq. JOSHUA R. BRONSTEIN & ASSOCIATES, PLLC 114 Soundview Drive Port Washington, NY 11050 Tel: 516-698-0202 E-mail: jbrons5@yahoo.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Ivylin Larman as managing member. The Debtor did not submit the required list of its 20 largest unsecured creditors when filing the petition. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/NJYSFVQ/CB_60_LLC__nyebke-25-42104__0001.0.pdf?mcid=tGE4TAMA CHEEMA BROTHERS: Walter Dahl of Dahl Law Named Subchapter V Trustee ------------------------------------------------------------------- The U.S. Trustee for Region 17 appointed Walter Dahl, Esq., a partner at Dahl Law, as Subchapter V trustee for Cheema Brothers Logistics, Inc. Mr. Dahl will be compensated at $485 per hour for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. In court filings, Mr. Dahl declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Walter R. Dahl Dahl Law 2304 "N" Street Sacramento, CA 95816-5716 Telephone: (916) 446-8800 Telecopier: (916) 741-3346 Email: wdahl@dahllaw.net About Cheema Brothers Logistics Cheema Brothers Logistics, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Calif. Case No. 25-11088) on April 2, 2025, listing between $100,001 and $500,000 in both assets and liabilities. Judge Rene Lastreto II presides over the case. Beilal M. Chatila, Esq., at the Law Office of Beilal Chatila represents the Debtor as bankruptcy counsel. CHS/COMMUNITY HEALTH: Fitch Lowers Rating on 1st Lien Notes to 'B' ------------------------------------------------------------------ Fitch Ratings has affirmed Community Health Systems' (CYH) and subsidiary CHS/Community Health Systems' (CHS) Issuer Default Ratings (IDRs) at 'CCC+'. Fitch also downgraded the first lien notes to 'B' with a Recovery Rating of 'RR2'. Additionally, Fitch affirmed the 2028 unsecured notes at 'CC'/ 'RR6' and the second lien notes due 2029-2030 at 'CCC-'/ 'RR6'. Fitch also assigned a 'B'/ 'RR2' rating to the new 10.750% first lien notes due 2033. The IDRs reflect CHS' moderating negative FCF but EBITDA leverage exceeding 8.0x. The downgrade of the first lien notes was driven by Fitch's lower recovery expectations amid CHS using $0.5 billion in cash from the sale of first lien notes collateral to tender for its 2028 unsecured notes. CHS's refinancing of its 8.000% first lien notes due 2027 improves its prospects for refinancing $1.8 billion of 5.625% first lien notes due 2027, which is now its only maturity before 2029. However, CHS may need to address $2.5 billion of second lien notes due in 2029-2030 concurrently. While Fitch forecasts EBITDA leverage will decline to nearly 7.5x by YE 2025, below the 8.0x positive rating sensitivity, sustained deleveraging and positive FCF would make the strongest case for positive rating action. Fitch still believes CHS may not be growing into its capital structure quickly enough to avoid distressed debt exchanges (DDEs) or high-rate debt refinancings that strain FCF. Fitch does not view CHS's discounted tender for its unsecured notes as a DDE as the tender lacks the requisite "effect of allowing the issuer to avoid an eventual probable default". Key Rating Drivers Leverage High but Improving: Fitch expects CHS's EBITDA leverage to decrease to 7.0x-7.5x in 2025-2026, below the 8.0x positive rating sensitivity. Deleveraging progress during this period will be crucial for addressing the maturities of $1.8 billion of first lien notes due 2027 and $2.5 billion of second lien notes due 2029-2030. Despite industry conditions improving materially over the past two years, CHS has maintained EBITDA leverage over 8.0x with negative FCF, consistent with its 'CCC+' IDR. Fitch sees near-term deleveraging driven by debt reduction from divestiture proceeds and modest same-facility EBITDA growth, in line with modest top-line growth. Anticipated growth reflects modest increases in volume and reimbursement rates, with slight improvement in margins. However, elevated leverage risks remain, including DDEs or high-rate refinancings that could pressure FCF, especially if capital market conditions deteriorate. Fitch's leverage projections for 2026 could also be adversely affected if Congress enacts significant Medicaid cuts, or fails to extend or reduces the enhanced subsidies for buyers of Affordable Care Act exchange health plans beyond YE 2025. FCF Weak but Improving: Fitch expects CHS to return to modest positive FCF in 2025-2026, totaling 0%-1% of revenue. Even with capex at only 3% of revenue, Fitch sees [CFO-Capex]/Debt at only 0%-1% in 2025-2026, consistent with the 'CCC+' IDRs. Divestitures should support the extent to which FCF could drive debt reduction, likely helping to maintain access to debt capital markets. The sustainability of positive FCF with growth, rather than moderate deleveraging alone, will be crucial for CHS to generate positive rating momentum. For context, its cash flow projections above compare with CHS generating negative FCF in 2024, despite significant moderation in labor costs and rising volumes. In comparison, CHS's closest peers have recently generated appreciable FCF, even with significantly higher capex levels. CHS's lower capex levels may also limit its ability to grow into its highly leveraged capital structure. Profitability in Flux: Fitch expects EBITDA margins to improve slightly within the range of 12.0%-12.5% over the rating horizon, up from labor-inflation lows of 10.4% in 2022 and 12.1% in 2024. Its forecast assumes modest pricing increases, excluding potential near-term Medicaid supplemental reimbursement increases, partially offset by rising other operating costs due to higher medical specialist expense. While EBITDA margin expansion in 2024 was positive, it lagged peers amid rebounding volumes and normalizing temporary staffing costs. If CHS's margins exceed its estimates, further deleveraging would be likely. Divestitures Driving Debt Reduction: Proceeds received from divestitures completed in 1Q25 exceeded $0.5 billion, (includes ShorePoint Health hospitals in Florida and Lake Norman hospital in North Carolina), resulting in CHS achieving over half of the $1.0+ billion targeted for 2025. This amount is fully earmarked to reduce debt. CHS also agreed in April to sell its 80% equity interest in Cedar Park Regional hospital in Texas for $460 million (closing by 3Q25), meeting the $1.0+ billion target. Lastly, CHS reports being in "advanced discussions" for another divestiture, after which asset sales may be a lower strategic priority relative to core market growth. Liquidity Easily Ample for Ordinary Course Needs: After receiving divestiture proceeds and reducing ABL revolver debt by $141 million to $200 million, liquidity was $1.1 billion at March 31, 2025, up $0.5 billion from YE 2024, with cash of $431 million and ABL revolver availability of $651 million (net of $67 million of LCs). Moreover, Fitch expects CHS to return into positive FCF territory in 2025. Therefore, any calls on liquidity are likely to be limited near term. Proactive Balance Sheet Management: CHS has continued to actively manage its balance sheet, announcing in April 2025: (1) a par redemption of all $700 million of its 8.000% first lien notes due 2027, funded by issuing $700 million of 10.750% first lien notes due 2033, and (2) a tender for all $626 million of its 6.875% senior unsecured notes due 2028, funded largely from cash on hand, and with success assured by a holder of 82% of the bonds irrevocably tendering. By essentially eliminating senior unsecured debt from the capital structure, CHS has taken a key step in addressing all debt maturing before 2029, leaving $1.8 billion of 5.625% first lien notes due 2027 remaining. Peer Analysis CHS's 'CCC+' IDR reflects leverage well above that of its closest peers: Tenet Healthcare Corporation (THC; BB-/Stable); Universal Health Services, Inc. (UHS; BB+/Stable); and HCA Healthcare, Inc. (HCA). With EBITDA leverage over 8.0x at YE 2024 and forecasted YE 2025 EBITDA leverage still just above 7.5x, CHS debt entails higher risk of DDEs, with a refinancing of $1.8 billion of first lien notes due 2027 still somewhat dependent on favorable markets. CHS has a weaker operating profile than its closest peers, with assets located in smaller urban, suburban or non-urban markets, with growth prospects Fitch believes are less robust. Its margins should improve slightly in the near term with further volume growth and aggregate reimbursement rates increasing nearly in line with cost inflation. Fitch sees CHS focusing on reducing debt via divestitures and focusing on optimizing operating costs in 2025, then slowing its pace of divestitures and focusing instead on core market growth and cost efficiencies in 2026. The 'CCC+' IDR also reflects financial flexibility that is more constrained than that of its higher-rated peers. This includes lower interest coverage, reflecting the burden of its highly-leveraged capital structure, and shortfalls in generating FCF, especially relative to the considerable FCF generated by its closest peers, despite volumes rising and labor costs moderating in 2023-2024. The IDRs of borrower CHS and parent CYH are identical due to their strong legal and operational ties. Under its Parent and Rating Subsidiary Linkage Criteria, Fitch applies the weak parent/strong subsidiary approach, as the only asset of CYH is its 100% ownership of CHS, which indirectly owns all operating subsidiaries. Fitch believes legal ring-fencing, access and control are open and, therefore, assesses these entities on a consolidated basis. Key Assumptions - Revenue growth of 3% in 2025 (-2% including the effects of divestitures), 4% thereafter, driven by an even split of volume growth and mix-adjusted pricing upside; - EBITDA margin (before non-controlling interest [NCI] distributions) improving by 25 bps over the forecast, excluding upside from potential new Medicaid supplemental payment program approvals to reflect the adverse political climate with potential for material cuts to Medicaid, and further reflecting labor cost increases in line with top-line growth and modest supplies improvement, offset by modest increases in other operating expense driven by continuing increases in outsourced medical specialist expense; - FCF turning modestly positive in the range of 0.0%-0.5% of revenue over the forecast, with capex at $375 million in 2025, then averaging $400 million over the rest of the forecast; - EBITDA leverage (after NCI distributions) declining from 8.3x at YE 2024 to 7.6x by YE 2025, 7.3x by YE 2026, 7.0x by YE 2027 and potentially 6.7x by YE 2028; - Debt repayment of just over $1.1 billion in 2025 using proceeds of divestitures (includes tender for $626 million of 2028 unsecured notes and its assumption that the ABL revolver balance of $241 million is fully repaid and about $250 million of 2027 first lien notes are eliminated via open market purchases), with far less debt repayment thereafter ($100 million repaid on the ABL revolver in 2028); - Secured overnight financing rate (SOFR) at 4.25% in 2025, 4.00% in 2026, and 3.75% thereafter. Refinancing of 2027 first lien senior secured debt assumed in 2026 with a coupon of 10.500%. Recovery Analysis Fitch estimates an enterprise value (EV) for CHS on a post-reorganization going-concern (GC) basis of $7.9 billion (down from $8.2 billion last), which is based on the product of GC EBITDA (deducts distributions to NCI) of $1.25 billion (down from $1.30 billion to reflect divestitures of EBITDA-positive hospitals since the last review) and a 7.0x EV/EBITDA multiple (unchanged from last estimate), less 10% for administrative claims. The multiple reflects a history of acquisition multiples for large hospital operators with business profiles similar to CHS of 7.0x-10.0x since 2006 and the average public trading multiple (EV/EBITDA) of its peer group (HCA, UHS and THC), which has ranged from 6.5x-9.5x since 2011. Fitch's GC EBITDA estimate reflects its view that EBITDA approaching and persisting at GC EBITDA levels (potentially due to adverse operating fundamentals) could portend a restructuring and the assumption that any restructuring would focus on the liabilities rather than material operational improvements. Therefore the $1.25 billion GC EBITDA assumption is unchanged from the levels at which CHS may need to restructure and compares to Fitch's $1.35 billion forecast of EBITDA net of NCI distributions for 2025. No further reduction to GC EBITDA or debt claims was assumed despite Fitch's expectation that at least one pending divestiture may be completed in the near term with proceeds used to reduce debt, as sensitivity testing revealed that notching would remain unchanged. Fitch's recovery analysis assumes about $750 million would be drawn on the $1.0 billion ABL revolver prior to a restructuring, which reflects its understanding that about $150 million of the revolver is unavailable, due to borrowing base limitations, and its assumption that the last $95 million of revolver availability is likely to be inaccessible before a restructuring, due to CHS's likely inability to comply with the facility's fixed-charge covenant. Fitch allocates the distributable EV first to the ABL revolver claim then to the first lien bonds ($7.9 billion), a 1% concession payment to the second lien notes ($2.5 billion) and nothing to the unsecured debt ($0.6 billion). These recovery assumptions cumulatively result in recovery rates for the company's super-priority ABL revolver within the 'RR1' range of 91%-100%, generating a three-notch uplift from the IDR to its debt instrument rating of 'B+'/'RR1', while the resulting recovery rates for the company's first lien senior secured notes fall within the 'RR2' range of 71%-90%, generating a two-notch uplift from the IDR to their debt instrument ratings of 'B'/'RR2'. The company's second lien senior secured notes, per Fitch's assumptions, recover in the 'RR6' range of 0%-10%, and are thus notched down two levels to 'CCC-'/'RR6'. In contrast, the senior unsecured notes, which also recover in the 'RR6' range of 0%-10%, are notched down three levels to 'CC'/'RR6' to further reflect their structural subordination relative to the higher-ranking second lien senior secured notes. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - An expectation for a near-term distressed debt exchange (as defined by Fitch) or that a default, bankruptcy or restructuring is increasingly likely as CHS's nearest-term debt maturity approaches; - Accelerating negative CFO-capex/debt. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - An expectation for Fitch-defined EBITDA leverage sustained at 8.0x or below; - CFO-capex/debt turning positive, sustained at levels above 1.5%. Liquidity and Debt Structure After receiving divestiture proceeds and cutting its ABL revolver debt by $141 million in 1Q25, liquidity stood at $1.1 billion at March 31, 2025, with cash of $431 million and availability of $651 million under its ABL revolver due June 2029. Fitch notes the last $95 million of availability may be inaccessible in a period preceding restructuring absent unlikely fixed-charge coverage covenant compliance. Beyond the divestiture closings that improved liquidity by $0.5 billion in 1Q25, CHS agreed in April to sell its 80% equity interest in 126-bed Cedar Park Regional hospital in Texas for $460 million (closing by 3Q25), taking anticipated 2025 proceeds to the $1.0+ billion targeted. CHS is reportedly also in "advanced discussions" on another divestiture, which could also benefit liquidity or fund further debt reduction. Fitch views this level of liquidity satisfactory to withstand foreseeable stresses through 2026. However, addressing its next debt maturity, $1.8 billion of first lien senior secured notes due 2027, could still depend on favorable capital markets conditions for a refinancing. The ABL revolver has no financial maintenance covenants save for a fixed-charge coverage covenant applicable only if availability falls below $95 million. Issuer Profile CHS is one of the largest for-profit operators of U.S. acute care hospitals by revenue, with over 1,000 sites of care in 37 markets in 15 states, including 73 affiliated hospitals with over 10,000 beds as of March 31, 2025. 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 Community Health Systems, Inc. has an ESG Relevance Score of '4' for Exposure to Social Impacts due to {DESCRIPTION OF ISSUE/RATIONALE}, which has a negative impact on the credit profile, and is relevant to the rating[s] in conjunction with other factors. The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Recovery Prior ----------- ------ -------- ----- CHS/Community Health Systems, Inc. LT IDR CCC+ Affirmed CCC+ senior secured LT B New Rating RR2 senior unsecured LT CC Affirmed RR6 CC senior secured LT B Downgrade RR2 B+ super senior LT B+ Affirmed RR1 B+ Senior Secured 2nd Lien LT CCC- Affirmed RR6 CCC- Community Health Systems, Inc. LT IDR CCC+ Affirmed CCC+ CHS/COMMUNITY HEALTH: Moody's Rates New $700MM Secured Notes 'Caa1' ------------------------------------------------------------------- Moody's Ratings assigned a Caa1 rating to CHS/Community Health Systems, Inc.'s ("CHS") proposed $700 million 10.75% senior secured notes due 2033. CHS intends to use the proceeds from this new issuance to redeem all of its outstanding 8.0% Senior Secured Notes due 2027. Moody's views this refinancing transaction as leverage neutral. There is no change to the Caa2 Corporate Family Rating, Caa2-PD Probability of Default Rating, Caa1 rating for the existing senior secured notes, Caa3 rating for the backed senior secured junior-priority notes, Ca rating for senior unsecured notes, and the outlook remains stable. RATINGS RATIONALE CHS' Caa2 Corporate Family Rating reflects Moody's expectations that the company will operate with very high financial leverage above 8.0 times over the next 12-18 months. Moody's expects that the company will struggle to generate positive free cash flow, and it will need to rely on asset sales to meet its financial obligations and to reduce debt. For the last 12 months ended March 31, 2025, the company's debt/EBITDA was approximately 8.7 times. CHS' credit profile is supported by its large scale, presence in several states and the progress it has made with its divestiture program in the last several years. CHS maintains good capital market access, which has enabled the company in recent years to refinance significant proportion of its near-term debt and to extend the debt maturity profile. The stable outlook reflects Moody's views that CHS will operate with very high financial leverage and weak liquidity in the next 12-18 months. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING Moody's could downgrade the ratings if liquidity erodes or if Community Health's earnings weaken further. The ratings could also be downgraded if the probability of default increases or if the company pursues a transaction that Moody's deems as a distressed exchange. Moody's could upgrade the ratings if operational initiatives result in improved volume growth and margin expansion. Community Health would also need to improve its free cash flow and liquidity and reduce financial leverage. CHS/Community Health Systems, Inc., headquartered in Franklin, Tennessee, is an operator of general acute care hospitals in non-urban and mid-sized markets in 37 distinct markets across 15 states. Revenues in the last twelve months ended March 31, 2025, were approximately $12.7 billion. The principal methodology used in this rating was Business and Consumer Services published in November 2021. CLEAN ENERGY: Reports Net Loss of $4.4 Million for FY 2024 ---------------------------------------------------------- Clean Energy Technologies, Inc. filed its Annual Report on Form 10-K with the U.S. Securities and Exchange Commission reporting a net loss of $4,416,319 for the fiscal year ended December 31, 2024, compared to a net loss of $5,531,762 for the same period in 2023. The Company had total stockholders' equity of $2,938,502, a deficit working capital of $3,240,008, and an accumulated deficit of $27,443,231 as of December 31, 2024. Diamond Bar, California-based TAAD, LLP, the Company's auditor since 2023, issued a "going concern" qualification in its report dated April 14, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company has an accumulated deficit and negative cash flows from operations. These factors, among others, raise substantial doubt about the Company's ability to continue as a going concern. Clean Energy said, "We expect to continue to incur significant expenses and operating losses for the foreseeable future. These prior losses and expected future losses have had, and will continue to have, an adverse effect on our financial condition. In addition, continued operations and our ability to continue as a going concern may be dependent on our ability to obtain additional financing in the near future and thereafter, and there are no assurances that such financing will be available to us at all or will be available in sufficient amounts or on reasonable terms. Our financial statements do not include any adjustments that may result from the outcome of this uncertainty. If we are unable to generate additional funds in the future through sales of our products, financings or from other sources or transactions, we will exhaust our resources and will be unable to continue operations. If we cannot continue as a going concern, our shareholders would likely lose most or all of their investment in us." A full-text copy of the Company's Form 10-K is available at: https://tinyurl.com/46c4yr9p About Clean Energy Headquartered in Irvine, California, Clean Energy Technologies, Inc. -- http://www.cetyinc.com-- develops renewable energy products and solutions and establishes partnerships in renewable energy that make environmental and economic sense. The Company's mission is to be a segment leader in the Zero Emission Revolution by offering eco-friendly energy solutions, clean energy fuels, and alternative electric power for small and mid-sized projects in North America, Europe, and Asia. The Company targets sustainable energy solutions that are profitable for it, profitable for its customers, and represent the future of global energy production. As of December 31, 2024, the Company had $9,505,480 in total assets, $6,566,978 in total liabilities, and total stockholders' equity of $2,938,502. CMN GROUP: Voluntary Chapter 11 Case Summary -------------------------------------------- Debtor: CMN Group LLC 8609 Westwood Center Dr., Suite 110 Tysons Corner VA 22182 Business Description: CMN Group, founded in 2013, specializes in comprehensive design/build and renovation solutions for large construction programs, focusing on civil, capital, and vertical construction projects for federal agencies. The Company provides a range of services, including HVAC and plumbing installation, facility infrastructure, and excavation. It also offers expertise in electronic security systems, such as video surveillance, access control, and intrusion detection. Chapter 11 Petition Date: May 2, 2025 Court: United States Bankruptcy Court Eastern District of Virginia Case No.: 25-10908 Debtor's Counsel: John P. Forest, II, Esq. LAW OFFICE OF JOHN P. FOREST, II 11350 Random Hills Rd., Suite 700 Fairfax VA 22030 Tel: (703) 691-4940 E-mail: j.forest@stahlzelloe.com Estimated Assets: $500,000 to $1 million Estimated Liabilities: $1 million to $10 million The petition was signed by Renato Salgado as manager. A list of the Debtor's 20 largest unsecured creditors was not provided alongside the petition A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/GV2USUY/CMN_Group_LLC__vaebke-25-10908__0001.0.pdf?mcid=tGE4TAMA COMMUNITY HEALTH SYSTEMS: S&P Ups ICR to 'CCC+', Outlook Negative ----------------------------------------------------------------- S&P Global Ratings raised its rating on Community Health Systems Inc. to 'CCC+' from 'SD' (selective default). S&P also raised its ratings on the senior unsecured notes to 'CCC-' from 'D'. S&P said, "At the same time, we assigned our 'B-' (one notch above the issuer credit rating) issue-level rating to the company's proposed $700 million senior secured notes due 2033, issued by subsidiary CHS/Community Health Systems Inc. The recovery rating is '2', indicating our expectation for substantial (70%-90%, rounded estimate: 70%) recovery to debtholders in the event of payment default." The new debt would refinance existing secured debt due in 2027, which carried the same rating. The outlook is negative, reflecting the risk of further distressed exchanges in the intermediate future despite credit metrics potentially improving in 2025. Community Health's operating performance continues to modestly improve. Same-store adjusted admissions increased 2.6%, and revenue per admission was up 0.5%. However, the company continues to face higher specialist fees (up 9% year over year in the first quarter of 2025), weak acuity mix, and elevated patient denials. These factors continue to pressure adjusted EBITDA margins. S&P said, "Still, we expect the company to continue to make progress in reducing the use of expensive contract labor (down $8 million year over year) and improved supply cost management. The current uncertainties with tariffs on medical supplies is a potential headwind, but the company noted that 70% of its supplies are purchased through group purchasing organizations (GPOs) under three-year purchasing contracts, and half of its GPO purchases are through domestic sources not subject to tariffs. We expect moderate improvement in EBITDA margins and free cash flows in 2025." S&P said, "We expect Community Health's adjusted leverage to decline but remain high. The company's S&P Global Ratings-adjusted leverage remains high, at 8.1x. Community Health recently announced it entered into a definitive agreement to sell its 80% ownership in Cedar Park Regional Medical Center in Cedar Park, Texas, to minority partner Ascension Health for $460 million. We expect this to close in the second quarter or early in the third quarter of 2025, bringing divestiture proceeds for 2025 to over $1 billion." The company has indicated that it is in advanced discussions for another potential sizable divestiture before the end of the year. Management plans to use the bulk of the proceeds to deleverage. Free cash flow generation remains mixed. The company also has yet to establish a track record of sustained positive free cash flows. Inflationary pressures, especially on labor, and high specialist fees have contributed to the company's inability to improve adjusted EBITDA margins over the past several years. The delay in Community receiving state supplemental program payments has also led to near-term weakness in cash flow. For certain state programs it is not clear when this cash will be received, but the revenue has already been recognized. Ratings are limited by the potential for further distressed exchanges over the near term. The company has completed several below-par debt repurchases that we have considered distressed. S&P said, "Hence, we continue to believe there is a heightened risk that Community Health may complete more below-par debt repurchases over the next 12 months that we deem distressed, limiting the rating to 'CCC+'. Although we project operating performance and discretionary cash flow generation will improve, Community Health remains highly leveraged, and management may continue to use cash flows and proceeds from planned divestitures to repurchase debt at a discount." S&P said, "The negative outlook reflects the possibility that Community Health may pursue further debt repurchases at below par that we deem a distressed exchange, leading to a downgrade. The company's adjusted leverage remains high at 8.1x, and it has not sustainably generated free cash flow in the past couple of years. "We could lower the ratings on Community Health if the company conducted further debt repurchases that we deemed distressed. "We could revise the outlook to stable if Community Health demonstrated it could sustainably generate positive discretionary cash flow and we believed there were less potential for a distressed exchange." CONCORDIA ANESTHESIOLOGY: Seeks to Extend Plan Exclusivity ---------------------------------------------------------- Concordia Anesthesiology, Inc., asked the U.S. Bankruptcy Court for the Northern District of Georgia to extend its exclusivity periods to file a plan of reorganization and obtain acceptance thereof to September 5 and November 5, 2025, respectively. The Debtor explains that the facts and circumstances of this Chapter 11 case warrant the requested extension of the Exclusivity Periods. The Debtor is presently working to negotiate a plan of reorganization with its creditors, but the Debtor requires additional time to allow its operations to stabilize and reflect the results of the contract renegotiations, while also responding to the Committee's requests for information. The Debtor claims that it seeks an extension to the Exclusivity Periods to preclude the costly disruption and instability that would occur if competing plans were proposed. The Debtor asserts that the request for an extension will not unfairly prejudice or pressure the creditor constituencies or grant the company any unfair bargaining leverage. The Debtor needs creditor support to confirm any plan, so the Debtor is in no position to impose or pressure its creditors to accept unwelcome plan terms. The Debtor seeks an extension of the Exclusivity Periods to advance the case and continue good faith negotiations with its stakeholders. The Debtor further asserts that premature termination of the Exclusivity Periods may engender duplicative expense and litigation associated with multiple competing plans. Any litigation with respect to competing plans and resulting administrative expenses will only decrease recoveries to the Debtor's creditors and significantly delay, if not undermine entirely, the possibility of prompt confirmation of a plan of reorganization. The Debtor notes that given the consequences for its estate if the relief requested herein is not granted and the progress made to date, the requested extension of the Exclusivity Periods will not prejudice the legitimate interests of any party in interest in this case. Rather, the extension will further the Debtor's efforts to preserve value and avoid unnecessary and wasteful litigation. Concordia Anesthesiology, Inc., is represented by: Will B. Geer, Esq. Caitlyn Powers, Esq. Rountree, Leitman, Klein & Geer, LLC Century I Plaza 2987 Clairmont Road, Suite 350 Atlanta, GA 30329 Telephone: (404) 584-1238 Email: wgeer@rlkglaw.com cpowers@rlkglaw.com About Concordia Anesthesiology Gainesville-based Concordia Anesthesiology, Inc., filed its voluntary Chapter 11 petition (Bankr. N.D. Ga. Case No. 24-21106) on Sept. 10, 2024, with $100,000 to $500,000 in assets and $1 million to $10 million in liabilities. The petition was signed by Jarrod D. Huey, M.D. as chief executive officer and president. Judge James R. Sacca oversees the case. Angelyn M. Wright, Esq., at The Wright Law Alliance, P.C., is the Debtor's bankruptcy counsel. CORTEX NORTH: Final Hearing to Use Cash Collateral Set for May 9 ---------------------------------------------------------------- The U.S. Bankruptcy Court for the District of Oregon is set to hold a hearing on May 9 to consider final approval of Cortex North America Corporation's motion to use cash collateral. Cortex previously received a 14-day extension from the court to use the cash collateral of Radius Bank and the U.S. Small Business Administration in accordance with its budget, which projects $140,115.09 in total expenses. The court order issued on April 25 granted Radius Bank and SBA replacement liens on post-petition collateral and approved the monthly payments of $1,500 to both creditors. About Cortex North America Corporation Cortex North America Corporation is a U.S.-based company that specializes in high-performance chipping systems for the forest products industry. Founded in 2016 and headquartered in Milwaukie, Oregon, it provides durable and cost-effective cutting solutions to sawmills and wood manufacturers globally. The Company offers a range of products, including reversible knife systems, bridge knives, and chipping components designed to enhance operational efficiency and reduce costs. Cortex North America Corporation sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Or. Case No. 25-31290) on April 18, 2025. In its petition, the Debtor reports total assets of $611,562 and total liabilities of $2,489,933 Judge Peter C. McKittrick handles the case. The Debtor is represented by Theodore J. Piteo, Esq., at Michael D. O'Brien & Associates, P.C. CORTEX NORTH: Seeks to Hire Michael D. O'Brien as Legal Counsel --------------------------------------------------------------- Cortex North America Corporation seeks approval from the U.S. Bankruptcy Court for the District of Oregon to hire Michael D. O'Brien & Associates P.C. as its counsel. The firm's services include negotiating financing orders; obtaining authorization for use of cash collateral; reviewing and evaluating the status and validity of secured claims, litigation implementing their avoidance powers; and formulating a plan of reorganization. The firm will be paid at these hourly rates: Michael D. O'Brien, MDO, Partner $490 Theodore J. Piteo, TJP, Partner $420 Hugo Zollman, HZ, Senior Paralegal $185 Lauren Gary, LNG, Paralegal $125 Law Clerks $160 Paralegals $125 to $175 Support Staff $60 to $100 On November 2, 2023, the firm was retained by Cortex regarding investigation into creditor collections and received $10,000 from Cortex's Member Gavin Carpenter, of which $8,367.50 was refunded in December 2023. On August 12, 2024, the firm received an additional $10,000 from Cortex's Member Trent Carpenter to restart investigations into bankruptcy. Firm received an additional $20,000 from Trent Carpenter on March 14, 2025. In addition, the firm will seek reimbursement for its out-of-pocket expenses. Theodore J. Piteo, Esq., a partner at Michael D. O'Brien & Associates, 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: Theodore J. Piteo, Esq. Michael D. O'Brien & Associates, P.C. 12909 SW 68th Pkwy, Suite 160 Portland, OR 97223 Tel: (503) 786-3800 About Cortex North America Corporation Cortex North America Corporation is a U.S.-based company that specializes in high-performance chipping systems for the forest products industry. Founded in 2016 and headquartered in Milwaukie, Oregon, it provides durable and cost-effective cutting solutions to sawmills and wood manufacturers globally. The Company offers a range of products, including reversible knife systems, bridge knives, and chipping components designed to enhance operational efficiency and reduce costs. Cortex North America Corporation sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Or. Case No. 25-31290) on April 18, 2025. In its petition, the Debtor reports total assets of $611,562 and total liabilities of $2,489,933. Honorable Bankruptcy Judge Peter C. McKittrick handles the case. The Debtor is represented by Theodore J. Piteo, Esq. at MICHAEL D. O'BRIEN & ASSOCIATES PC. COSTELLO SR.-ALLEN: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------------- Debtor: Costello Sr.-Allen Optometrists PLLC d/b/a Allen Eye Associates 131 Main Street, Ste. 202 Oneida, NY 13421 Business Description: Costello Sr.-Allen Optometrists PLLC dba Allen Eye Associates is an optometry practice based in Oneida, New York. The clinic provides comprehensive eye care services including routine eye exams, contact lens fittings, dry eye therapy, and disease management. Chapter 11 Petition Date: May 1, 2025 Court: United States Bankruptcy Court Northern District of New York Case No.: 25-60379 Debtor's Counsel: Peter A. Orville, Esq. ORVILLE & MCDONALD LAW, P.C. 30 Riverside Drive Binghamton, NY 13905 Tel: 607-770-1007 Fax: 607-770-1110 Total Assets: $583,120 Total Liabilities: $2,622,871 The petition was signed by Matthew C Allen as sole member. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/PCOBFDQ/Costello_Sr-Allen_Optometrists__nynbke-25-60379__0001.0.pdf?mcid=tGE4TAMA CREATIVEMASS HOLDINGS: May 15 Plan Confirmation Hearing Set ----------------------------------------------------------- The U.S. Bankruptcy Court for the District of Delaware will hold a hearing on May 29, 2025, at 9:00 a.m. ET in 824 North Market Street, Wilmington Delaware to confirm the joint prepackaged Subchapter V plan of liquidation of Creativemass Holdings Inc. and its debtor-affiliates. Objections to the confirmation of the Debtor's liquidation plan is May 15, 2025, at 4:00 p.m. Each of Debtors jointly propose this prepackaged subchapter V plan of liquidation for the resolution of outstanding Claims against and Equity Interests in the Debtors pursuant sections 1121(a) and 1189(a) of the Bankruptcy Code. Unless otherwise provided under the Plan, subject to payment of all Administrative Expense Claims and Professional Fees, Creditors will receive full payment of their Allowed Claims and Holders of Equity Interests will receive their pro rata share of the Plan Administrator Assets remaining after Creditors are paid in full. Additionally, a Plan Administrator will be appointed pursuant to the terms of this Plan. The Plan Administrator will primarily be responsible for: 1) distributing the Plan Administrator Assets pursuant to this Plan; 2) investigating and, if the Plan Administrator deems it to be in the best interest of the Estates, prosecuting all Causes of Action, including Causes of Action against Insiders, if any, and 3) resolving Disputed Claims and Disputed Equity Interests, if they arise. The Debtors said holders of Claims and Equity Interests are not required to file a Proof of Claim or Proof of Equity Interest, respectively, in order to receive a Distribution under the Plan. The Debtors noted they will make Distributions based on the Claims and Equity Interests denoted in their books and records and as set forth in this Plan and the Plan Supplement. As of the Solicitation Date, the Debtors' only current Asset is approximately $2,183,298.44 in cash (as such amount increases or decreases over the course of these Chapter 11 Cases, the held with Veritex Community Bank. These funds are the proceeds of an interim dividend Creativemass received from the Australian Liquidators in the Australian Administration. As of the Solicitation Date, the Debtors have approximately $1,537,721.96 in unsecured debt from outstanding Convertible Notes. Under the plan, Allowed Professional Fee Claims of approximately $150,000 that are due and owing as of the Confirmation Date will be paid 100% in Cash, from the Professional Fee Escrow Account. The Subchapter V trustee, owing approximately $10,000, will also be paid 100% in cash fro the professional fee escrow account. In addition, unsecured noteholders claim and general unsecured claims will be paid in full, in Cash, from the Plan Administrator Assets in the third quarter of 2025 or as soon as practicable after the Debtors receive the Material Australian Dividend. Equity Interests shall be forever cancelled, and Holders of Equity Interests will receive, after accounting for the Plan Administrator Expenses and fully resolving any and all Disputed Equity Interests. Treatment of Claims Estimated Class Claim Amount Recovery ----- ----- ------------- -------- 1.A Unsecured $1,537,721.96 100% Noteholder 1.B General $565,276.93 100% Unsecured 2 Equity N/A 45% Interests Upon the Effective Date, the powers of the Plan Administrator will include any and all powers and authority to administer and distribute the Plan Administrator Assets and prosecute Causes of Action, if any and deemed actionable by the Plan Administrator, including: (1) receiving, holding, investing, supervising, and protecting the Assets of the Debtors; (2) taking all steps to execute all instruments and documents necessary to effectuate the Distributions to be made under the Plan from the Plan Administrator Assets; (3) making Distributions of the Plan Administrator Assets; (4) investigating, prosecuting and resolving Causes of Action, if any were deemed actionable by the Plan Administrator, including Causes of Action against Insiders, objecting to Filed Claims, and resolving Disputed Claims and/or Disputed Equity Interests; (5) subject to the terms set forth herein, employing, retaining, terminating, or replacing professionals to represent it with respect to its responsibilities or otherwise effectuating the Plan to the extent necessary; (6) paying all reasonable fees, expenses, debts, charges, and liabilities of the Debtors and the Estates; (7) setting aside the Japanese Bankruptcy Funds to enable the wind down of Wealthconnect (Japan) as set forth in Section 1.8 of the Plan; and (8) exercising such other powers as may be vested in him or her pursuant to an order of the Bankruptcy Court or pursuant to the Plan, or as it reasonably deems to be necessary and proper to carry out his or her responsibilities under the Plan. A full-text copy of the chapter 11 plan is available for free at https://tinyurl.com/2s34yjub About Creativemass Holdings Creativemass Holdings Inc. founded in June 2020 as a Delaware holding company, managed five subsidiaries across Australia, Japan, the UK, and the US. The group's operations were primarily driven by Creativemass Enterprises Pty Ltd., an Australian firm incorporated in 2017 and led by Michael Rouse, who also headed the parent company. Its core offering was WealthConnect, a subscription-based wealth management platform developed between 2017 and 2019, which anchored the group's broader push to deliver fintech solutions to the financial services sector. Creativemass Holdings Inc. and an affiliate sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 25-10695) on April 14, 2025. In its petition, Creativemass Holdings estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Mary F. Walrath handles the cases. The Debtors tapped PASHMAN STEIN WALDER HAYDEN, P.C., as counsel. NOVO ADVISORS, LLC is the Debtors' financial advisor. STRETTO is the claims and noticing agent. CREATIVEMASS HOLDINGS: Taps Claudia Springer of Novo Advisor as CRO ------------------------------------------------------------------- Creativemass Holdings, Inc. and Creativemass Enterprises US LLC seek approval from the U.S. Bankruptcy Court for the District of Delaware to employ Novo Advisors, LLC and designate Claudia Z. Springer as chief restructuring officer. The firm's services include: a. preparing documents, together with Debtors' counsel, necessary to effectuate the Debtors' goals in these Chapter 11 Cases; b. advising the Debtors on tactics and strategies for managing discussions and communications with various stakeholders and parties in interest in the Chapter 11 Cases; c. evaluating and implementing contingency planning as needed related to the Debtors' Chapter 11 Cases; d. interfacing with Debtors' creditors and professionals to provide regular updates on the disposition of a fund of cash proceeds resulting from a liquidation of the Debtors' assets; e. communicating with and responding to requests for information from the U.S. Trustee and/or the Subchapter V Trustee during the pendency of the Chapter 11 Cases; f. retaining and directing a claims agent in these Chapter 11 Cases to send notices to creditors and shareholders, track ballots, and provide other customary and bespoke services; g. examining claims, together with Debtors' counsel, of unsecured creditors to determine accuracy and possible objections; h. providing testimony, as necessary, in and with respect to the Chapter 11 Cases; and i. providing the Debtors with assistance on such other matters as may be requested that are within the CRO's expertise and otherwise mutually agreeable to Novo and the Debtors. Novo's standard hourly rates range between $425 to $1,095. The firm received a retainer in the amount of $50,000. Novo is a "disinterested person" as that term is defined by section 101(14) of the Bankruptcy Code, according to court filings. The firm can be reached through: Claudia Z. Springer Novo Advisors, LLC 200 W. Madison St., Suite 1000 Chicago, IL 60606 Tel: (215) 896-3775 Email: CSpringer@novo-advisors.com About Creativemass Holdings On April 14, 2025, Creativemass Holdings, Inc. and Creativemass Enterprises US LLC each filed a voluntary petition for relief under Chapter 11, Subchapter V of the United States Bankruptcy Code. The Debtors' cases are pending joint administration before the United States Bankruptcy Court for the District of Delaware before the Honorable Mary F. Walrath. Prior to the Petition Date, the Company commenced solicitation of votes on its proposed Chapter 11 Plan in accordance with Sections 1125(g) and 1126(b) of the Bankruptcy Code. The Debtors tapped Pashman Stein Walder Hayden, P.C., as bankruptcy counsel, and Novo Advisors, LLC, as financial advisor. Stretto is the claims agent. CREATIVEMASS HOLDINGS: Taps Pashman Stein as Bankruptcy Counsel --------------------------------------------------------------- Creativemass Holdings, Inc. and Creativemass Enterprises US LLC seek approval from the U.S. Bankruptcy Court for the District of Delaware to employ Pashman Stein Walder Hayden, P.C. as bankruptcy counsel. The firm will render these services: (a) perform all necessary services as the Debtor's bankruptcy counsel; (b) take all necessary actions to protect and preserve the Debtor's estate during this Chapter 11 case; (c) prepare or coordinate preparation on behalf of the Debtor, any necessary legal papers in connection with the administration of this Chapter 11 case; (d) counsel the Debtor with regard to its rights and obligations; (e) coordinate with the Debtor's other professionals in representing the Debtor in connection with this Chapter 11 case; and (f) perform all other necessary or requested legal services. The hourly rates of the firm's counsel and staff are: Partners $695 to $975 Counsel $460 to $690 Associates $465 to $485 Paraprofessionals $430 In addition, the firm will seek reimbursement for expenses incurred. Pashman received payments of $40,610, $49,988.08, $48,667.13, $49,861, $48,850, $37,524.50 on Feb. 4, 2025, Feb. 25, 2025, March 11, 2025, March 26, 2025, April 8, 2025 and April 14, 2025, respectfully Joseph Barsalona, II, Esq. a partner at Pashman Stein Walder Hayden, disclosed in court filings that their firms are "disinterested persons" as the term is defined in Section 101(14) of the Bankruptcy Code. The firms can be reached through: Joseph Barsalona II, Esq. Michael Custer, Esq. Alexis R. Gambale, Esq. Pashman Stein Walder Hayden P.C. 824 North Market Street, Suite 800 Wilmington, DE 19801 Telephone: (302) 592-6496 Email: jbarsalona@pashmanstein.com mcuster@pashmanstein.com agambale@pashmanstein.com About Creativemass Holdings On April 14, 2025, Creativemass Holdings, Inc. and Creativemass Enterprises US LLC each filed a voluntary petition for relief under Chapter 11, Subchapter V of the United States Bankruptcy Code. The Debtors' cases are pending joint administration before the United States Bankruptcy Court for the District of Delaware before the Honorable Mary F. Walrath. Prior to the Petition Date, the Company commenced solicitation of votes on its proposed Chapter 11 Plan in accordance with Sections 1125(g) and 1126(b) of the Bankruptcy Code. The Debtors tapped Pashman Stein Walder Hayden, P.C., as bankruptcy counsel, and Novo Advisors, LLC, as financial advisor. Stretto is the claims agent. CREATIVEMASS HOLDINGS: Taps Stretto as Administrative Advisor ------------------------------------------------------------- Creativemass Holdings, Inc. and Creativemass Enterprises US LLC seek approval from the U.S. Bankruptcy Court for the District of Delaware to employ Stretto, Inc. as administrative advisor. The firm will provide these services: a. assist with, among other things, solicitation, balloting, and tabulation of votes; prepare any related reports, as required in support of confirmation of a chapter 11 plan; 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. assist with the preparation of the Debtors' monthly operating reports and gather data in conjunction therewith; e. provide a confidential data room; f. manage and coordinate any distributions pursuant to a chapter 11 plan if designated as distribution agent under such plan; and g. provide claims analysis and reconciliation, case research, depository management, treasury services, confidential online workspaces or data rooms, and any related services otherwise required by applicable law, governmental regulations, or court rules or orders in connection with these Chapter 11 Cases. Prior to the Petition Date, the Debtors paid Stretto with an advance retainer in the amount of $25,000. The firm will also be reimbursed for reasonable out-of-pocket expenses incurred. Sheryl Betance, a partner at Stretto, Inc., disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Sheryl Betance Stretto, Inc. 410 Exchange, Ste. 100 Irvine, CA 92602 Telephone: (714) 716-1872 Email: sheryl.betance@stretto.com About Creativemass Holdings On April 14, 2025, Creativemass Holdings, Inc. and Creativemass Enterprises US LLC each filed a voluntary petition for relief under Chapter 11, Subchapter V of the United States Bankruptcy Code. The Debtors' cases are pending joint administration before the United States Bankruptcy Court for the District of Delaware before the Honorable Mary F. Walrath. Prior to the Petition Date, the Company commenced solicitation of votes on its proposed Chapter 11 Plan in accordance with Sections 1125(g) and 1126(b) of the Bankruptcy Code. The Debtors tapped Pashman Stein Walder Hayden, P.C., as bankruptcy counsel, and Novo Advisors, LLC, as financial advisor. Stretto is the claims agent. CUCINA ANTICA: Seeks to Extend Plan Exclusivity to June 11 ---------------------------------------------------------- Cucina Antica Foods, Corp., asked the U.S. Bankruptcy Court for the Northern District of Texas to extend its exclusivity periods to file a plan of reorganization and obtain acceptance thereof to June 11 and July 14, 2025, respectively. The Debtor explains that cause exists for the Court to grant the Debtor a short extension of the Exclusivity Period and Confirmation Deadline. The Debtor has made substantial progress towards confirmation of a plan having just recently closed on the sale of substantially all its assets which has generated significant proceeds to be paid to creditors. However, the Debtor has no staff, and its principal has had to focus her attention on ensuring an orderly transition and performing transition services as required by the Transition Services Agreement. As the sale terms include a Royalty to be paid to the Debtor's estate, a smooth transition ultimately benefits creditors. The Debtor claims that it has proceeded in good faith to make significant progress in the few months since the case commenced. An extension of the Exclusivity Period and Confirmation Deadline by sixty days will not harm the interests of creditors. In fact, it will benefit the estate by potentially avoiding a conversion to chapter 7 and allow the Debtor a meaningful opportunity to maximize creditor recovery within the shortest reasonable time. Cucina Antica Foods Corp. is represented by: Frances A. Smith, Esq. Jonathan Gitlin, Esq. Ross Smith & Binford, PC 700 North Pearl Street, Suite 1610 Dallas, TX 75201 Tel: (214) 377-7879 Fax: (214) 377-9409 Email: frances.smith@ross-and-smith.com Email: jonathan.gitlin@ross-and-smith.com About Cucina Antica Foods Cucina Antica Foods Corp. is a manufacturer of pasta sauces and ketchup. Cucina Antica Foods sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 24-34058) on Dec. 13, 2024. In the petition filed by Suzanne Fusco, as authorized representative, the Debtor estimated assets between $100,000 and $500,000 and estimated liabilities between $1 million and $10 million. The Debtor is represented by Frances A. Smith, Es., at Ross, Smith & Binford, PC. CXOSYNC LLC: Court Extends Cash Collateral Access to May 16 ----------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Illinois extended CXOsync, LLC's authority to use cash collateral from April 25 to May 16. The interim order authorized the company to use the cash collateral of the Internal Revenue Service and the U.S. Small Business Administration to pay expenses in accordance with its budget. The budget projects total operational expenses of $104,763 for the period from April 25 to May 23. As protection for the use of their cash collateral, both secured creditors will receive replacement liens on all of CXOsync's property. These replacement liens will hold the same priority and validity as the secured creditors' pre-bankruptcy liens. A status hearing is scheduled for May 14. About CXOsync LLC CXOsync, LLC is a corporate event planner which presents events and workshops geared toward CIOs, CISOs, CMOs, and CFOs of businesses. It hosts live and virtual events to gather CXOs from the world's largest corporations and brands. CXOsync sought protection under Chapter 11 of the U.S. Bankruptcy Code (Banker. N.D. Ill. Case No. 24-08351) on June 5, 2024, with $128,315 in assets and $6,030,532 in liabilities. Rupen Patel, managing member, signed the petition. Judge Janet S. Baer presides over the case. The Debtor is represented by: Ben L Schneider, Esq. Schneider & Stone Tel: 847-933-0300 Email: ben@windycitylawgroup.com DAJMO TRUCKING: Seeks to Extend Plan Filing Deadline to June 2 -------------------------------------------------------------- Dajmo Trucking, LLC, asked the U.S. Bankruptcy Court for the Western District of Pennsylvania to extend its period to file a Plan of Reorganization and Disclosure statement for additional 60 days through and including June 2, 2025. Since the filing of the case, the principal of the Debtor largely turned over management of its cash and finances to a bookkeeper who he brought on as an independent contractor. The bookkeeper and the principal of the Debtor recently have had a falling out, the Debtor principal has recovered from his surgery, and the Debtor principal has now reasserted himself as both a driver for the Debtor and is controlling the finances. Meanwhile, while the Debtor has been able to pay bills as they become due, business has not been good enough to fund a plan. The Debtor has surrendered two trucks in an effort to "trim the fat" and become profitable. The Debtor claims that it is not currently in a position to propose a Chapter 11 Plan, but believes that it will be after one additional extension of time. The Debtor believes that an extension of sixty days to file a Chapter 11 Plan will allow the Debtor to show profitability and for counsel to prepare and file a Chapter 11 Plan and Disclosure Statement. The Debtor believes that no parties will be harmed or prejudiced by the extension of the exclusivity period to file a Chapter 11 Plan. There are no pending motions for relief, dismissal requests, or any other litigation happening in the case at this time. Dajmo Trucking LLC is represented by: Christopher M. Frye, Esq. Steidl & Steinberg 2830 Gulf Tower 707 Grant Street Pittsburgh, PA 15219 Tel: (412) 391-8000 Email: chris.frye@steidl-steinberg.com About Dajmo Trucking LLC Dajmo Trucking LLC, filed a Chapter 11 bankruptcy petition (Bankr. W.D. Pa. Case No. 24-21923-GLT) on Aug. 6, 2024. The Debtor hired Steidl and Steinberg, P.C., as counsel. DARKPULSE INC: Reports Net Loss of $3.9 Million for FY 2024 ----------------------------------------------------------- DarkPulse, Inc. filed its Annual Report on Form 10-K with the U.S. Securities and Exchange Commission, reporting net losses of $3,893,859 and $21,723,043 during the years ended December 31, 2024 and 2023, respectively, and net cash used in operating activities of $(1,514,351) and $(5,653,215), respectively. As of December 31, 2024, the Company's current liabilities exceeded its current assets by $17,160,706 and has an accumulated deficit of $71,259,677. As of December 31, 2024, the Company had $86,531 of cash. Lagos, Nigeria-based Boladale Lawal & Co., the Company's auditor since 2024, issued a "going concern" qualification in its report dated April 14, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company suffered an accumulated deficit of $(71,259,677), net loss of $(3,893,859) and a negative working capital of $(17,160,706). The Company is dependent on obtaining additional working capital funding from the sale of equity and/or debt securities to execute its plans and continue operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. DarkPulse said, "We will require additional funding to finance the growth of our operations and achieve our strategic objectives. These factors, as relative to capital raising activities, create substantial doubt as to our ability to continue as a going concern. We are seeking to raise additional capital and are targeting strategic partners in an effort to accelerate the sales and marketing of our products and begin generating revenues. Our ability to continue as a going concern is dependent upon the success of future capital offerings or alternative financing arrangements, expansion of our operations and generating sales. The accompanying financial statements do not include any adjustments that might be necessary should we be unable to continue as a going concern. Management is actively pursuing additional sources of financing sufficient to generate enough cash flow to fund its operations; however, management cannot make any assurances that such financing will be secured." A full-text copy of the Company's Form 10-K is available at: https://tinyurl.com/23ukadtv About DarkPulse Inc. Houston, Texas-based DarkPulse, Inc. is a technology-security company incorporated in 1989 as Klever Marketing, Inc. Its wholly-owned subsidiary, DarkPulse Technologies Inc., originally started as a technology spinout from the University of New Brunswick, Fredericton, Canada. The Company's security and monitoring systems will initially be delivered in applications for border security, pipelines, the oil and gas industry, and mine safety. Current uses of fiber optic distributed sensor technology have been limited to quasi-static, long-term structural health monitoring due to the time required to obtain the data and its poor precision. The Company's patented BOTDA dark-pulse sensor technology allows for the monitoring of highly dynamic environments due to its greater resolution and accuracy. As of December 31, 2024, the Company had $2,788,299 in total assets, $19,785,133 in total liabilities, and total stockholders' deficit of $16,996,834. DATAVAULT AI: Inks Lock-Up Deal With NYIAX Following Share Exchange ------------------------------------------------------------------- Datavault AI Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company and NYIAX, Inc. entered into the Lock-Up Agreements. On March 16, 2025, the Company, entered into a share exchange agreement with NYIAX, pursuant to which NYIAX exchanged 900,000 shares of NYIAX's common stock, par value $0.0001 per share, which resulting number of shares of NYIAX Common Stock equaled to 12% of the aggregate issued and outstanding NYIAX Common Stock at the time of the closing, including the Shares, for aggregate consideration of up to 5,000,000 shares of common stock of the Company, par value $0.0001 per share. In connection with the Exchange, the Company agreed to enter into a lock-up agreement in respect of the Shares, pursuant to which the Shares shall be subject to lock-up restrictions for four years from the issuance. Concurrently, NYIAX agreed to enter into: (i) a lock-up agreement in respect of the additional shares to be issued by the Company to NYIAX pursuant to the Exchange Agreement, pursuant to which the Additional Shares shall be subject to lock-up restrictions for two 2 years from the issuance, (ii) a lock-up agreement in respect of the consideration shares to be issued by the Company to NYIAX pursuant to that certain White Label, Co-Marketing and Intellectual Property Cross-License Agreement, by and between the Company and NYIAX, dated as of March 16, 2025, pursuant to which the Consideration Shares shall be subject to lock-up restrictions for one year from the issuance, and (iii) a lock-up agreement in respect of the closing shares to be issued by the Company to NYIAX pursuant to the Exchange Agreement, pursuant to which the Closing Shares shall be subject to lock-up restrictions for one year from the issuance. About Datavault AI Datavault AI Inc. (f/k/a WiSA Technologies, Inc.) -- www.wisatechnologies.com -- develops and markets spatial audio wireless technology for smart devices and home entertainment systems. The Company's WiSA Association collaborates with consumer electronics companies, technology providers, retailers, and industry partners to promote high-quality spatial audio experiences. WiSA E is the Company's proprietary technology for seamless integration across platforms and devices. San Jose, California-based BPM LLP, the Company's auditor since 2016, issued a "going concern" qualification in its report dated April 1, 2024, citing that the Company's recurring losses from operations, a net capital deficiency, available cash, and cash used in operations as factors raising substantial doubt about its ability to continue as a going concern. As of Sept. 30, 2024, Datavault AI had $8.02 million in total assets, $3.72 million in total liabilities, and $4.30 million in total stockholders' equity. DAV SUB: Seeks to Hire Vartabedian Hester & Haynes as Attorney -------------------------------------------------------------- DAV SUB, Inc., d/b/a Continuum Health Technologies, Corp., seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to hire Vartabedian Hester & Haynes LLP as attorneys. The firm's services include: (a) advising the Debtor of its rights, powers and duties as debtor and debtor-in-possession continuing to operate and manage its business and assets; (b) advising the Debtor concerning, and assisting in the negotiation and documentation of, agreements, debt restructurings, and related transactions; (c) reviewing the nature and validity of liens asserted against the property of the Debtor and advising the Debtor concerning the enforceability of such liens; (d) advising the Debtor concerning the actions that they might take to collect and to recover property for the benefit of the Debtor's estate; (e) preparing on behalf of the Debtor all necessary and appropriate applications, motions, pleadings, proposed orders, notices, and other documents, and reviewing all financial and other reports to be filed in this chapter 11 case; (f) advising the Debtor concerning, and preparing responses to, applications, motions, pleadings, notices and other papers that may be filed and served in this chapter 11 case; (g) counseling the Debtor in connection with the formulation, negotiation and promulgation of plan of reorganization and related documents; (h) performing all other legal services for and on behalf of the Debtor that may be necessary or appropriate in the administration of this chapter 11 case or in the conduct of this bankruptcy case and the Debtor's business, including advising and assisting the Debtor with respect to debt restructurings, asset dispositions, and general business, tax, finance, real estate and litigation matters; and (i) all such other legal services as may be necessary or appropriate in connection with this bankruptcy case. The firm will be paid at these hourly rates: Jeff P. Prostok $890 Emily S. Chou $635 Other Firm Attorneys $495 to $825 Paralegal/Legal Assistant $225 to $275 The firm received a retainer in the amount of $50,000. As disclosed in the court filings, Vartabedian Hester is a "disinterested person" as defined in section 101(14) of the Bankruptcy Code. The firm can be reached through: Jeff P. Prostok, Esq. Emily Chou, Esq. VARTABEDIAN HESTER & HAYNES LLP 301 Commerce Street, Suite 3635 Fort Worth, TX 76102 Tel: (817) 214-4990 Fax: (817) 214-4988 Email: jeff.prostok@vhh.law Email: emily.chou@vhh.law About DAV SUB, Inc., d/b/a Continuum Health Technologies, Corp. DAV SUB, Inc., d/b/a Continuum Health Technologies, Corp. filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-40968) on March 20, 2025, listing $1,000,001 to $10 million in both assets and liabilities. Judge Edward L Morris presides over the case. Jeff P. Prostok, Esq. at Vartabedian Hester & Haynes LLP represents the Debtor as counsel. DAYTON DEVELOPMENT: Seeks to Hire Goering & Goering as Attorney --------------------------------------------------------------- Dayton Development Partners LLC seeks approval from the U.S. Bankruptcy Court for the Southern District of Ohio to hire Goering & Goering, LLC as attorneys. The firm will render these services: (a) take all necessary actions to protect and preserve the property of the bankruptcy estate, including the prosecution of actions on the Debtor's behalf, the defense of any actions commenced against the Debtor or the Estate, negotiations concerning all litigation in which the Debtor may currently be involve, and objections to claims filed against the Estate; (b) prepare on behalf of the Debtor all necessary motions, applications, answers, orders, reports, and papers in connection with the administration of the Estate; (c) negotiate and prepare on behalf of the Debtor and the Estate a plan of reorganization and all related documents; and (d) perform all other necessary legal services in connection with this Chapter 11 case. The firm will be paid at these rates: Eric W. Goering $600/hr Alexis Mize $400/hr Paralegal $175/hr The firm has received for pre-petition work $12,035, $1,738 for the filing fee and a $36,227 retainer in contemplation of its services on this case. Eric Goering, partner with the law firm of Goering & Goering, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Eric W. Goering, Esq. Alexis Mize, Esq. GOERING & GOERING, LLC 220 West Third Street Cincinnati, OH 45202 Phone: (513) 621-0912 About Dayton Development Partners LLC Dayton Development Partners LLC is a single-asset real estate debtor, as defined in 11 U.S.C. Section 101(51B). It owns the property located at 2210 Arbor Boulevard, Dayton, Ohio 45439, which is currently valued at $8.5 million. Dayton Development Partners LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ohio Case No. 25-30699) on April 2, 2025. In its petition, the Debtor reports total assets of $8,600,000 and total liabilities of $7,997,257. Honorable Bankruptcy Judge Guy R. Humphrey handles the case. The Debtor is represented by Eric W. Goering, Esq. at GOERING & GOERING. DEALER SALES: Court OKs Final Use of Cash Collateral ---------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida, Orlando Division, granted Dealer Sales Solutions, LLC final approval to use cash collateral. All prior interim orders authorizing such use are now deemed final. About Dealer Sales Solutions Dealer Sales Solutions LLC is primarily engaged in the sale of motor vehicle supplies, accessories, tools, equipment, and new motor vehicle parts. Dealer Sales Solutions sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-06734) on December 11, 2024, with total assets of $457,160 and total liabilities of $2,890,604. Daniel A. Rowland, chief executive officer, signed the petition. Judge Grace E. Robson oversees the case. Jeffrey S. Ainsworth, Esq., at BransonLaw, PLLC is the Debtor's legal counsel. Secured creditor SellersFunding Corp. is represented by: Alan C. Hochheiser, Esq. Maurice Wutscher, LLP 23611 Chagrin Blvd., Suite 207 Beachwood, OH 44122 Phone: (216) 220-1129 Fax: (216) 472-8510 ahochheiser@mauricewutscher.com DERMTECH INC: Plan Exclusivity Period Extended to May 16 -------------------------------------------------------- Judge Mary F. Walrath of the U.S. Bankruptcy Court for the District of Delaware extended DTech Liquidating, Inc. (f/k/a DermTech, Inc.) and DTech Op Liquidating, Inc.'s (f/k/a DermTech Operations, Inc.) exclusive periods to file a plan of reorganization and obtain acceptance thereof to May 16 and June 13, 2025, respectively. The Debtors explain that this is their third request for an extension of the Exclusive Periods. The Debtors submit that cause exists to further extend the Exclusive Periods and that the following factors, among others, weigh in favor of such extension: * These chapter 11 cases are large and complex. Among other things, the Debtors spent the first three months of these chapter 11 cases transitioning into chapter 11, conducting the post-petition sale process, ultimately obtaining entry of the Sale Order, closing the Sale and transitioning operations to the Buyer. The sale process and subsequent closing and transition to the Buyer required significant effort on behalf of the Debtors' management, employees and advisors and involved complex negotiations with the Buyer, the Committee, the U.S. Trustee, and other interested parties. * The Debtors are not seeking a further extension of the Exclusive Periods to pressure or prejudice any of their stakeholders. The Debtors have been working diligently in good faith with various parties in an effort to resolve or narrow issues related to confirmation of the Plan, and these efforts will require the continued attention of the Debtors and their professionals. Thus, the Debtors' request for an extension of the Exclusivity Periods is not being made for the impermissible purpose of pressuring creditors to agree to a plan of reorganization. * The requested extension of the Exclusive Periods is also appropriate because these chapter 11 cases have only been pending for approximately nine months and the Debtors continue to timely pay their undisputed post-petition obligations. The requested extension of the Exclusive Periods will afford the Debtors a meaningful opportunity to continue negotiations with key parties in order to confirm the Plan without prejudice to the parties in interest in these chapter 11 cases. Counsel to the Debtors: Erin R. Fay, Esq. Shane M. Reil, Esq. Catherine C. Lyons, Esq. Heather P. Smillie, Esq. WILSON SONSINI GOODRICH & ROSATI, P.C. 222 Delaware Avenue, Suite 800 Wilmington, Delaware 19801 Telephone: (302) 304-7600 E-mails: efay@wsgr.com sreil@wsgr.com clyons@wsgr.com hsmillie@wsgr.com About Dermtech Inc. San Diego, Calif.-based DermTech, Inc., is a molecular diagnostic company developing and marketing novel non-invasive genomics tests to aid in the diagnosis and management of melanoma. DermTech, Inc. and DermTech Operations filed Chapter 11 petitions (Bankr. D. Del. Lead Case No. 24-11378) on June 18, 2024. At the time of the filing, both Debtors reported $50 million to $100 million in both assets and liabilities. Judge John T. Dorsey oversees the cases. The Debtors tapped Wilson Sonsini Goodrich & Rosati, P.C. as bankruptcy counsel; AlixPartners, LLC as financial advisor; and TD Cowen as investment banker. Stretto, Inc. serves as the Debtors' claims and noticing agent and administrative advisor. The official committee to represent unsecured creditors retained Hogan Lovells US LLP as counsel, Potter Anderson & Corroon LLP as Delaware counsel, and Berkeley Research Group, LLC, as financial advisor. DEVILS RIVER HOLDINGS: Case Summary & 20 Top Unsecured Creditors ---------------------------------------------------------------- Debtor: Devils River Holdings, LLC 2700 N. Interstate 35 San Antonio TX 78208 Business Description: Devils River Holdings, LLC produces premium small-batch whiskeys under the Devils River Whiskey brand. Based in San Antonio, Texas, the Company sources limestone-filtered water from the Devils River to craft its Bourbon, Rye, and flavored whiskey offerings. Chapter 11 Petition Date: May 1, 2025 Court: United States Bankruptcy Court Western District of Texas Case No.: 25-50959 Debtor's Counsel: Michael G. Colvard, Esq. MARTIN & DROUGHT, P.C. Weston Centre 112 East Pecan Street San Antonio TX 78205 Tel: (210) 227-7591 E-mail: mcolvard@mdtlaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Michael P. Cameron as CEO and president. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/74V6NVI/Devils_River_Holdings_LLC__txwbke-25-50959__0001.0.pdf?mcid=tGE4TAMA DEVILS RIVER: Case Summary & 20 Largest Unsecured Creditors ----------------------------------------------------------- Debtor: Devils River Distillery, LLC 2700 N. Interstate 35 San Antonio TX 78208 Business Description: Devils River Distillery, LLC produces and markets whiskey using spring water from the Devils River in Texas. The Company operates a distillery and tasting room in San Antonio, where it offers spirits, live music, and events. Its products include bourbon and rye whiskey crafted through a proprietary filtration process. Chapter 11 Petition Date: May 1, 2025 Court: United States Bankruptcy Court Western District of Texas Case No.: 25-50960 Debtor's Counsel: Michael G. Colvard, Esq. MARTIN & DROUGHT, P.C. Weston Centre 112 East Pecan Street San Antonio TX 78205 Tel: (210) 227-7591 E-mail: mcolvard@mdtlaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $50,000 to $100,000 The petition was signed by Michael P. Cameron as CEO and president. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/73VSFOA/Devils_River_Distillery_LLC__txwbke-25-50960__0001.0.pdf?mcid=tGE4TAMA DEVILS RIVER: Seeks Subchapter V Bankruptcy ------------------------------------------- Kirk O'Neil of The Street reports that San Antonio-based Devils River Distillery LLC and an affiliated company have filed for Chapter 11 bankruptcy protection to reorganize their finances and continue business operations. Established in 2017, the distillery produces Devil's River Whiskey, offering a variety of bourbons and a rye whiskey. The brand has expanded its reach to 36 states, five international markets, and cruise lines, focusing on premium and craft bourbon products. According to a Subchapter V petition filed on May 1, 2025 in the U.S. Bankruptcy Court for the Western District of Texas, the company reported assets and liabilities between $1 million and $10 million. Major unsecured creditors include McDermott, Will & Emery (over $317,000), Sazerac (over $258,000), AREA Real Estate (over $132,000), and Romph & Pou Agency (over $83,000). The company expects to have sufficient funds to make distributions to unsecured creditors. Devils River Whiskey's product line includes Bourbon Whiskey, Barrel Strength Bourbon, Coffee Bourbon, Agave Bourbon, Cinnamon Bourbon, Single Barrel Straight Bourbon, and Rye Whiskey -- available at hundreds of restaurants and retailers across 36 states. About Devils River Distillery LLC Devils River Distillery LLC is a well-known whiskey brand based in San Antonio, Texas that offers a variety of bourbons and a rye whiskey. Devils River Distillery and affiliate sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Tex. Case No. 25-50960) on May 1, 2025. In its petition, the Debtor reports assets and liabilities between $1 million and $10 million. The Debtor is represented by Michael G. Colvard, Esq. at Martin & Drought, PC. DIAMOND COMIC: Bankruptcy Court OKs Sale to Ad Populum, Universal ----------------------------------------------------------------- Diamond Comic Distributors, announced on April 30, 2025, that the United States Bankruptcy Court for the District of Maryland has approved a combined bid by Universal Distribution LLC and Ad Populum to acquire the assets of Diamond Comic Distributors. Under the agreement, Universal will acquire the assets of Alliance Game Distributors, and Ad Populum will acquire the assets of Diamond Comic Distributors, Diamond Book Distributors, Diamond Select Toys & Collectibles, Collectible Grading Authority, and other related assets. Diamond UK remains separate from this sale process. The transaction is subject to final closing. "We are pleased that the court has approved Universal and Ad Populum's combined bid. Our priority during this process has been to minimize disruption to publishers, retailers, our employees, and comic and games fans everywhere," said Diamond Chief Restructuring Officer Robert Gorin. "We are confident that this will provide the best outcome for everyone involved." "This expansion into the U.S. market through our acquisition of Alliance Game Distributors marks a pivotal moment for Universal Distribution," said Angelo Exarhakos, President and CEO of Universal Distribution. "We're committed to building strong, transparent partnerships and ensuring that Alliance continues to serve as a reliable and resilient link in the supply chain." "Ever since I was young, I'll never forget walking through the front door of my neighborhood shop and spotting those iconic Diamond Comic boxes, each one opening to reveal my dreams and ambitions," said Joel Weinshanker, Managing Director of Ad Populum. "We're incredibly excited to build on Diamond's remarkable legacy by bringing Ad Populum's best-in-class sales, marketing, and distribution to the next chapter." About Universal Distribution Universal has been distributing to hobby stores in Canada for over 30 years, servicing the needs of retailers in comics, collectible toys & figurines, sports and non-sports cards, collectible card games, and role-playing games. About Ad Populum Ad Populum aligns corporate strategy and fosters growth across its unique roster of consumer products and entertainment brands by leveraging its strong global retail distribution, product development, and manufacturing capabilities. Across its roster of brands, including NECA, Kidrobot, Wizkids, Chia Pet, Rubies, Smiffys, Enesco, Graceland, and more, Ad Populum is the largest producer of pop culture goods and experiences, targeting everyone from Boomers to Gen Z. About Diamond Comic Distributors, Inc. Founded in 1982, Diamond Comic Distributors Inc. offers a multi-channel platform of publishing, marketing and fulfillment services, coupled with an unparalleled global distribution Network for its retailers, publishers and vendors. Diamond Comic Distributors and its affiliates filed Chapter 11 petitions (Bankr. D. Md. Case No. 25-10308) on January 14, 2025. At the time of the filing, Diamond Comic Distributors reported between $50 million and $100 million in both assets and liabilities. Judge David E. Rice handles the case. The Debtors tapped Saul Ewing, LLP as legal counsel; Getzler Henrich & Associates, LLC as financial advisor; Raymond James & Associates, Inc. as investment banker; and Stephenson Harwood, LLP as U.K. counsel. Omni Agent Solutions is the Debtors' claims and noticing agent and administrative agent. DIGITAL ALLY: Adjourns Special Meeting to Allow Additional Votes ---------------------------------------------------------------- Digital Ally, Inc. convened a special meeting of stockholders on April 29, 2025, and immediately adjourned the Special Meeting in order to allow the Company to solicit additional votes on its proposal to approve an amendment to its articles of incorporation, as amended, to increase the number of authorized shares of its capital stock that it may issue from 210,000,000 shares to 5,010,000,000 shares, of which 5,000,000,000 shares shall be classified as common stock, par value $0.001 per share. The chairman of Digital Ally's Special Meeting adjourned the session, with plans to reconvene on May 5, 2025, at 4:00 p.m. Eastern Time. The meeting will take place at the Company's offices located at 6366 College Blvd., Overland Park, KS 66211. At the Reconvened Special Meeting, stockholders will be deemed to be present in person and vote at such adjourned meeting in the same manner as disclosed in the Definitive Proxy Statement on Schedule 14A for the Special Meeting, filed by the Company with the U.S. Securities and Exchange Commission on March 4, 2025. Valid proxies submitted prior to the Special Meeting will continue to be valid for the Reconvened Special Meeting, unless properly changed or revoked prior to votes being taken at the Reconvened Special Meeting. About Digital Ally Digital Ally Inc. operates across three segments: Video Solutions, Revenue Cycle Management, and Entertainment. The Video Solutions unit provides video recording systems, cloud services, and safety products for law enforcement and commercial clients. The Revenue Cycle Management segment offers financial and administrative support services to healthcare providers, helping manage billing and back-office operations. Its Entertainment division manages ticket resale through TicketSmarter and produces live events, including music festivals. In an auditor's report dated May 2, 2025, RBSM LLP, issued a "going concern" qualification, noting that the Company has incurred substantial operating losses and will need additional capital to continue as a going concern. This raises substantial doubt about the Company's ability to continue as a going concern. Digital Ally reported a net loss of $21.72 million for the year ending Dec. 31, 2024, compared to a net loss of $25.46 million for the year ending Dec. 31, 2023. As of Dec. 31, 2025, the Company had $27.74 million in total assets, $36.75 million in total liabilities, and a total deficit of $9.01 million. DIGITAL ALLY: Cuts Loss to $21.7M as 2024 Revenue Falls to $19.7M ----------------------------------------------------------------- Digital Ally Inc. reported a net loss of $21.72 million for the year ending Dec. 31, 2024, with total revenue of $19.65 million, according to the Company's annual report on Form 10-K filed with the Securities and Exchange Commission. This marks an improvement of $3.75 million (15%) from the previous year when the Company posted a larger net loss of $25.46 million on revenue of $28.25 million. Digital Ally has experienced net losses and cash outflows from operating activities since inception. The Company anticipates needing to restore positive operating cash flows or raise additional capital in the short term to fund operations and meet payment obligations. Although it is in ongoing discussions to secure additional capital through various equity and debt instruments, there is no guarantee that these efforts will succeed. As of Dec. 31, 2025, the Company had $27.74 million in total assets, $36.75 million in total liabilities, and a total deficit of $9.01 million. The Company had $454,314 of cash and cash equivalents and net negative working capital of $19,377,507 as of Dec. 31, 2024. The Company has increased its contract liabilities to nearly $10.5 million as of Dec. 31, 2024, which results in recurring revenue during the period of 2025 to 2027. The Company believes that its quality control and cost-cutting initiatives, expansion to non-law enforcement sales channels and new product introduction will eventually restore positive operating cash flows and profitability, although it can offer no assurances in this regard. In an auditor's report dated May 2, 2025, RBSM LLP, issued a "going concern" qualification, noting that the Company has incurred substantial operating losses and will need additional capital to continue as a going concern. This raises substantial doubt about the Company's ability to continue as a going concern. The complete text of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/1342958/000164117225008420/form10-k.htm About Digital Ally Digital Ally Inc. operates across three segments: Video Solutions, Revenue Cycle Management, and Entertainment. The Video Solutions unit provides video recording systems, cloud services, and safety products for law enforcement and commercial clients. The Revenue Cycle Management segment offers financial and administrative support services to healthcare providers, helping manage billing and back-office operations. Its Entertainment division manages ticket resale through TicketSmarter and produces live events, including music festivals. DOUBLE HELIX: Seeks to Hire Tideline Partners LLC as Broker ----------------------------------------------------------- Double Helix Corporation, d/b/a KDHX Community Media, seeks approval from the U.S. Bankruptcy Court for the Eastern District of Missouri to employ Tideline Partners, LLC as broker. The firm will assist with the sale of assets of the Debtor, which are used directly in connection with Station operation, including but not limited to ownership interests in that portion of real property on which station equipment is installed and other real or personal property. The firm will receive a commission equal to 5 percent of the total consideration paid for the station. Tideline Partners does not represent or hold any interest adverse to the estate and is a "disinterested person" as the phrase is defined in section 101(14) of the Bankruptcy Code, as modified by section 1107(b) of the Bankruptcy Code, according to court filings. The firm can be reached through: Gregory J. Guy Tideline Partners, LLC 32 Office Park Rd, Suite 212 Hilton Head Island, SC 29928 Office: (443) 415-5455 Email: greg@tidelinellc.com About Double Helix Corporation d/b/a KDHX Community Media Double Helix Corporation, doing business as KDHX Community Media, is a nonprofit organization based in St. Louis, Missouri, that operates an independent, non-commercial radio station at 88.1 FM. The station offers a wide variety of programming, including music, as well as public affairs shows and educational content. In addition to its radio broadcasts, KDHX engages with the local community through events, educational programs, and support for independent artists. Double Helix Corporation sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Miss. Case No. 25-40745) on March 10, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Bonnie L. Clair handles the case. The Debtor is represented by Robert Eggmann, Esq., at CARMODY MACDONALD P.C., in Saint Louis, Missouri. DT BUILDERS: Seeks to Hire McCoy Valuation as Appraiser ------------------------------------------------------- DT Builders LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Virginia to hire McCoy Valuation, Inc. as appraiser. The firm will appraise the value of the Debtor's property located at 1300 East Indian Road fka 1025 Wilson Road, Norfolk, Virginia. The firm will receive a flat fee of $1,000 for any updated appraisal services with respect to the Property, and $350 per hour in connection with providing other valuation services to the Debtor. As disclosed in the court filings, McCoy Valuation is a disinterested person under Code Sec. 101(14). The firm can be reached through: Thomas O. McCoy, MAI McCoy Valuation, Inc. 440 Monticello Avenue, Suite 1842 Norfolk, VA 23510 Tel: (757) 955-8558 Fax: (757) 581-5596 About DT Builders LLC DT Builders LLC is a limited liability company. DT Builders LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Va. Case No. 24-72517) on November 25, 2024. In the petition filed by Laushaun Robinson, as co-managing member, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by Jonathan A. Grasso, Esq. at YVS LAW, LLC. DT&T LOGISTICS: Court Extends Cash Collateral Access to May 23 -------------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division extended DT&T Logistics Inc.'s authority to use cash collateral from April 26 to May 23. The bankruptcy court approved the use of cash collateral to pay the company's expenses in accordance with its budget and the terms of the court's previous order entered on Aug. 6 last year. The budget shows total projected expenses of $262,000 for the interim period. A status hearing is set for May 21. About DT&T Logistics DT&T Logistics Inc. is an Arlington Heights, Illinois-based company operating in the trucking industry. DT&T Logistics filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 24-08667) on June 12, 2024, listing between $500,000 and $1 million in assets and between $1 million and $10 million in liabilities. Robert Handler of Commercial Recovery Associates, LLC serves as Subchapter V trustee. Judge Deborah L. Thorne handles the case. The Debtor is represented by: Saulius Modestas, Esq. Modestas Law Offices, P.C. Tel: 312-251-4460 Email: smodestas@modestaslaw.com DUAL ARCH: Walter Dahl of Dahl Law Named Subchapter V Trustee ------------------------------------------------------------- The U.S. Trustee for Region 17 appointed Walter Dahl, Esq., a partner at Dahl Law, as Subchapter V trustee for Dual Arch International, a California corporation. Mr. Dahl will be compensated at $485 per hour for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. In court filings, Mr. Dahl declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Walter R. Dahl Dahl Law 2304 "N" Street Sacramento, CA 95816-5716 Telephone: (916) 446-8800 Telecopier: (916) 741-3346 Email: wdahl@dahllaw.net About Dual Arch International Dual Arch International, a California corporation, sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Calif. Case No. 25-90259) on April 2, 2025, listing between $100,001 and $500,000 in both assets and liabilities. Judge Ronald H. Sargis presides over the case. David C. Johnston, Esq. represents the Debtor as legal counsel. EAGLEVIEW TECHNOLOGY: Moody's Ups CFR to 'Caa1', Outlook Stable --------------------------------------------------------------- Moody's Ratings has upgraded EagleView Technology, LLC's (EagleView) Corporate Family Rating to Caa1 from Caa2 following an amend and extend to the credit agreement. Concurrently, Moody's upgraded the Probability of Default Rating to Caa1-PD from Caa2-PD and appended a limited default (LD) designation, changing it to Caa1-PD/LD. Also, Moody's assigned a B2 rating on the senior secured first lien superpriority revolving credit facility and a B3 rating on the senior secured first lien term loan both due August 2028. The Caa1 ratings on the existing senior secured first lien revolving credit facility and term loan due 2025, and the Ca rating on the senior secured second lien term loan due 2026 were withdrawn as a result of the maturity extension. The outlook was changed to stable from negative. The "/LD" designation reflects Moody's views that the amend and extend was a distressed exchange, which is a default under Moody's definitions, given Moody's views that the capital structure was untenable and the occurrence of default avoidance. The "/LD" designation will be removed in approximately three business days. On March 27, 2025, EagleView completed an amendment to the credit agreement in which all prior debt except for the equipment financing loan was impacted. The existing senior secured first lien revolving credit facility was extended by approximately 3 years to August 2028 as a superpriority facility, with commitments reduced to $42.5 million from $85 million. Of the $85 million outstanding as of Q4 2024, $37.5 million was exchanged for the extended first lien term loan, $40 million was fully repaid with new money raised from existing lenders, and $7.5 million remained outstanding at the close of the transaction. The existing senior secured first lien term loan of $591 million was extended by 3 years to August 2028, with $59 million repaid with new money raised. The $30 million incremental fungible first lien term loan executed in Q1 2024 was converted to junior first lien debt issued at Phoenix Finance, Inc. (TopCo), an indirect parent company of EagleView, with payment-in-kind (PIK) interest and maturity of August 2028. Additionally, $140 million of new money was raised from existing lenders in connection with the issuance of junior first lien debt at TopCo level with PIK interest and a maturity of August 2028. The $172 million outstanding senior secured second lien term loan due 2026 was exchanged into junior second lien debt (issued at TopCo) that matures in August 2028 and will accrue PIK interest. The preferred equity of $452 million remains at the TopCo level and was amended to have a maturity of March 2029. The preferred equity will accrue PIK dividends with a step-up of 100 basis points annually for the next three years. Moody's treats the preferred stock as equity because it has no creditor rights in bankruptcy and missed coupon payments do not trigger an event of default. However, given the high PIK accrual dividend with step ups, Moody's views it as a potential source of refinancing pressure. The upgrade of the CFR and change in outlook reflect EagleView's debt maturity extension and the conversion of a portion of debt to PIK interest, providing the company additional room to improve its operating performance and enhance near-term liquidity. However, the total debt, including TopCo debt, has increased, and the compounding nature of PIK interest will incrementally raise leverage over time, potentially pressuring long-term refinancing and repayment risk. RATINGS RATIONALE The Caa1 CFR reflects EagleView's small revenue base and high financial leverage. Moody's expects pro forma Moody's adjusted debt to EBITDA (excluding addbacks for non-recurring expenses) to be 8.1x in 2024, including TopCo level debt. While the debt maturity profile improves, total debt increased by approximately $55 million, and $342 million of debt, inclusive of the new money, was exchanged into new junior debt instruments at the TopCo with high PIK interest. The extended maturities and PIK interest enhance the liquidity profile, providing the company with a more manageable timeframe to invest in the business and grow its operations. By converting 35% of its debt to instruments with PIK interest, EagleView effectively frees up cash flow that can be redirected towards operational needs and investment opportunities. However, the accrued PIK interest will increase the company's quantum of debt, potentially impacting its long-term financial health and operational flexibility. Despite the rising balance sheet debt, Moody's expects Moody's adjusted financial leverage to decline to high 7x in 2025, mainly driven by steady EBITDA growth and margin expansion. However, free cash flow less PIK interest will remain highly negative due to a significant portion of debt accruing PIK interest. Excluding TopCo level debt, Moody's expects Moody's adjusted debt to EBITDA to decline to 4.9x in 2025 from a pro forma 5.2x in 2024, with free cash flow less PIK interest remaining negative. In 2025, Moody's projects mid-single digit percentage revenue growth, driven by the commercial verticals and continued adoption of products such as Walls, Roofs, and Assess. Adjusted EBITDA margin is projected to modestly improve through the impact of cost cutting efforts including headcount reduction implemented in 2024. Potential downside risk arises from broader macroeconomic uncertainties, including tariffs and federal government budget cuts, which could weigh on demand. This risk is partially mitigated by the stability of its government vertical, which benefits from multi-year contracts and is primarily exposed to state and local governments. Additionally, the company's solar business, which could potentially be negatively impacted by tariffs on imported solar panels, comprises less than 5% of total revenue. The transition of existing government customers to a subscription-based model will continue to affect the timing of revenue recognition until 2028, by which time the company expects to complete the full transition. The transition does not affect the govenment's cash flows. EagleView's credit profile is balanced by the company's position as a leading provider of high-resolution aerial imagery and 3D measurement software solutions to various verticals, an extensive historical image library that creates visible revenue streams and long-standing customer relationships characterized by high retention rates. Moody's expects EagleView to maintain adequate liquidity over the next 12 to 18 months, supported by $20-$30 million of cash on hand at the close of the transaction and $35 million available on the $42.5 million revolving credit facility. In 2025, out of Moody's estimates of total interest expense of $101 million, $37 million will be PIK, allowing the company to generate positive free cash flow. The PIK interest will grow by over 40% in 2026, primarily due to an additional quarter as well as the compounding effect. Moody's anticipates the company will generate annual free cash flow of around $15-$20 million over the next 12 to 18 months. The company's cash uses include annual cash interest expense of approximately $60 million, capital expenditures of approximately 20% of revenue, and working capital needs depending on seasonality. The revolver contains a springing maximum first lien net leverage ratio threshold of 2.0x that applies when the facility is more than 40% drawn and a springing maturity date of 91 days prior to the extended term loan maturity date if there is an outstanding amount. The first lien leverage ratio used for the covenant only includes outstanding principal on the revolver and any other indebtedness with the same payment priority as the revolver (does not include the $591 million first lien term loan). The individual debt instruments ratings in the capital structure incorporate EagleView's probability of default rating and an average expected family recovery rate of 50% at default. The B2 rating on the senior secured superpriority first lien revolver is two notches above the CFR given the instrument's small size, senior most ranking in the capital structure, and first loss support provided by the senior secured first lien term loan, the TopCo's junior first lien and second lien debts, and unsecured claims. The B3 rating on the extended 2028 senior secured first lien term loan, which is one notch above the CFR, reflects the senior ranking behind the superpriority revolver within the capital structure. The senior secured credit facilities are secured by substantially all tangible assets, with the exception of certain aircraft and camera equipment related to the equipment financing loan, and also include intangible assets. Collateral includes a pledge of equity interests of the borrower and its restricted subsidiaries directly owned by the borrower and guarantors. Marketing terms for the new credit facilities include the following: Incremental pari passu debt capacity up to $30 million, plus unlimited amounts subject to 3.75x first lien net leverage ratio. There is no inside maturity sublimit. The credit agreement prohibits the designation of unrestricted subsidiaries, preventing collateral "leakage" to such subsidiaries. No credit party may make any disposition of material property (including intellectual property) to any non-credit party, with certain exceptions. Non-credit parties cannot own or hold any exclusive license in any material intellectual property, with certain exceptions. Any intercompany debt owed to non-credit parties must be subordinated in right of payment. The credit agreement provides some limitations on up-tiering transactions, requiring 100% lender consent for amendments that subordinate or have the effect of subordinating the debt or liens unless all lenders can ratably participate in such priming debt (exclusive of any bona fide backstop fee up to 7% of the aggregate original principal amount of the applicable backstopped debt, reimbursement of counsel fees and other expenses). A similar anti-priming provision extends to the revolver, as well. EagleView's ESG Credit Impact Score is CIS-5 mainly driven by governance risks related to its aggressive financial policies, which tolerate elevated leverage and periods of weak liquidity. The stable outlook reflects Moody's expectations that EagleView's operating performance will improve based on stable demand and adoption of its digital aerial imagery and measurement products from clients in various verticals. Although leverage will remain high, Moody's expects the company to delever to low-7x on a Moody's adjusted basis by the end of 2026 barring future re-leveraging events, while improving its liquidity profile. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if EagleView's revenue growth and EBITDA margin expansion lead to consistent and increasing positive free cash flow generation less PIK interest or sustained reduction in Moody's adjusted total debt to EBITDA leverage below 6.5x. An upgrade would also be supported by an improving liquidity position and conservative financial policies. The ratings could be downgraded if EagleView's strong revenue and earnings growth fails to materialize such that the liquidity position deteriorates further or Moody's assessments of the probability of default were to increase. EagleView Technology, LLC is a leading provider of aerial images and 3D aerial measurement services to the government, insurance, construction utilities and solar markets. EagleView is owned by Vista Equity Partners and Clearlake Capital Group, L.P. Revenue totaled approximately $280-$300 million as of last twelve months ended 2024. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. EL CONUCO: Jolene Wee of JW Infinity Named Subchapter V Trustee --------------------------------------------------------------- The U.S. Trustee for Region 2 appointed Jolene Wee of JW Infinity Consulting, LLC as Subchapter V trustee for El Conuco Corp. Ms. Wee will be compensated at $640 per hour for work performed in 2025. In addition, the Subchapter V trustee will receive reimbursement for work-related expenses incurred. Ms. Wee declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Jolene E. Wee JW Infinity Consulting, LLC 447 Broadway 2nd Fl #502 New York, NY 10013 Telephone: (929) 502-7715 Facsimile: (646) 810-3989 Email: jwee@jw-infinity.com About El Conuco Corp. El Conuco Corp., sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-41619) on April 2, 2025, with up to $50,000 in assets and $100,001 to $500,000 in liabilities. ELEGANT TENTS: Gets Final OK to Use Cash Collateral --------------------------------------------------- Elegant Tents and Catering, Inc. received final approval from the U.S. Bankruptcy Court for the Western District of Pennsylvania to use cash collateral. The final order authorized the company to use cash collateral to pay ongoing business expenses, subject to a replacement lien on all additional revenues, income, or other assets obtained by the company. The company acknowledges that some of its creditors have liens on its assets, including Lifetime Funding, InFirst Bank and various tax agencies such as the Internal Revenue Service, the Commonwealth of Pennsylvania Department of Revenue and the Commonwealth of Pennsylvania Department of Labor and Industry. As protection to these creditors, the company was ordered to pay: (i) $1,000 per month to Lifetime Funding; (ii) $1,775 per month to InFirst Bank; (iii) $667 in March, $1,334 in April, $2,001 in May, and $1,334 for each month thereafter, to the Commonwealth of Pennsylvania Department of Revenue; (iv) $111 in March, $222 in April, $333 in May, and $222 for each month thereafter, to the IRS; and (v) $222 in March, $444 in April, $666 in May, and $444 for each month thereafter, to the Commonwealth of Pennsylvania Department of Labor and Industry. About Elegant Tents and Catering Inc. Elegant Tents and Catering Inc. is a family-owned business based in Youngwood, PA, offering event rental services and catering for various occasions, including weddings, birthdays, and corporate events. The Company provides tent rentals, linens, furniture, and other event equipment, along with a variety of catering menus, made from family recipes and tailored to meet dietary needs. The Company serves the Tri-State area and prides itself on delivering personalized service. Elegant Tents and Catering Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Pa. Case No. 25-20594) on March 7, 2025. In its petition, the Debtor reports estimated assets between $500,000 and $1 million and estimated liabilities between $1 million and $10 million. Judge John C. Melaragno handles the case. The Debtor is represented by Justin P. Schantz, Esq., at David A. Colecchia and Associates. EMMAUS LIFE: Reports Net Loss of $6.5 Million in FY 2024 -------------------------------------------------------- Emmaus Life Sciences, Inc. filed its Annual Report on Form 10-K with the U.S. Securities and Exchange Commission for the fiscal year ended December 31, 2024. The Company incurred a net loss of $6.5 million for the year ended December 31, 2024, compared to a net loss $3.7 million in 2023, and had a working capital deficit of $56.8 million and accumulated deficit was $262.6 million as of December 31, 2024. Net revenues for the year were $16.7 million, compared to $29.6 million in 2023. The decreased net revenues were attributable to the inventory shortages that existed throughout much of 2024. No similar widespread shortages were experienced in 2023. Management expects that the Company's current liabilities, operating losses and expected capital needs, including debt service on its existing indebtedness and the expected costs relating to the commercialization of Endari in the Middle East North Africa region and elsewhere will exceed its existing cash balances and cash expected to be generated from operations for the foreseeable future. To meet the Company's current liabilities and future obligations, the Company will need to restructure or refinance its existing indebtedness and raise additional funds through related-party loans, third-party loans, equity and debt financings or licensing or other strategic agreements. Except the debt arrangement, the Company has no understanding or arrangement for any additional financing, and there can be no assurance that the Company will be able to restructure or refinance its existing indebtedness or obtain additional related-party or third-party loans or complete any additional equity or debt financings on favorable terms, or at all, or enter into licensing or other strategic arrangements. Due to the uncertainty of the Company's ability to meet its current liabilities and operating expenses, there is substantial doubt about the Company's ability to continue as a going concern for the next 12 months. Costa Mesa, California-based Marcum LLP, the Company's auditor since 2024, issued a "going concern" qualification in its report dated April 14, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company has a significant working capital deficiency, has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. Recent Highlights: "We experienced a decline of nearly 44% in net revenues in 2024 as compared to 2023 due to a lack of available inventory that began early in 2024 and extended into the third quarter. Although sales rebounded once the shortage was resolved, they could not make up for the lost sales earlier in the year," remarked Willis Lee, Chairman of the Board and Chief Executive Officer of Emmaus. "The decline in net revenues was partially offset by a nearly 30% reduction in net operating expenses, resulting in a loss from operations of approximately $1.9 million as compared to income from operations of approximately $3.5 million in 2023. The second half of 2024 showed slightly positive income from operations. Net loss per share increased somewhat to $0.10 from $0.07 in 2023," he added. "We believe we have sufficient inventory on hand for the balance of 2025 and currently expect net revenues for the year to reach or exceed 2024 levels absent unexpected developments," noted Mr. Lee. A full-text copy of the Company's Form 10-K is available at: https://tinyurl.com/3r494tyu About Emmaus Life Sciences Emmaus Life Sciences, Inc. is a commercial-stage biopharmaceutical company engaged in the marketing and sales of the Company's lead product Endari (prescription grade L-glutamine oral powder), which is approved by the U.S. Food and Drug Administration, or FDA, to reduce the acute complications of sickle cell disease in adult and pediatric patients five years of age and older. Endari has received Orphan Drug designation from the FDA, which designation generally affords marketing exclusivity for Endari in the U.S. for a seven-year period ending in July 2024. As of December 31, 2024, the Company had $23.6 million in total assets, $80.1 million in total liabilities, and total stockholders' deficit of $56.5 million. ENSEMBLE HEALTH: Moody's Affirms 'B2' CFR, Outlook Stable --------------------------------------------------------- Moody's Ratings affirmed Ensemble Health Partners Holdings, LLC's (Ensemble) B2 corporate family rating and B2-PD probability of default rating. Additionally, Moody's affirmed Ensemble RCM, LLC's senior secured first lien bank credit facilities consisting of nearly $3.3 billion term loan due 2029 ($2,514 million term loan and a proposed $800 million add-on term loan) and a $200 million revolving credit facility expiring 2028, at B2. The outlook for both entities is stable. Ensemble is a provider of technology-enhanced revenue cycle management services in the US healthcare service industry. Proceeds from the proposed term loan, along with cash, will be used to issue an $800 million shareholder distribution and pay related transaction fees and expenses. The ratings affirmations reflect Moody's expectations that Ensemble will continue its solid performance in 2025, including organic revenue growth in the mid-20% range and high profitability rates during the next 12 to 18 months, which will drive deleveraging. Nonetheless, Moody's views Ensemble's debt funded distribution as emblematic of aggressive financial strategies and a negative credit development, given the size and associated increase in debt that weakens the company's credit metrics so soon after a similarly sized distribution in 2024. RATINGS RATIONALE The B2 CFR reflects Ensemble's high debt/EBITDA leverage that Moody's anticipates will increase to above 7.0x pro forma for the incremental debt issuance from around 5.5x as of December 31, 2024 but fall to 6.0x over the next 12 to 18 months. Moody's estimates that interest coverage, as measured by EBITA to interest, will be 1.9x in 2025, which is well positioned for the B2 CFR. Moody's expects the company will reduce debt leverage rapidly by maintaining high revenue growth in the mid-20% range and strong profitability rates over the next 12 to 18 months. Ensemble has good revenue stability and predictability given the contracted nature of the business, several large contracts wins in 2024 and 2025, and a low mix of less predictable incentive fees ( ENVERIC BIOSCIENCES: CBIZ CPAs Replaces Marcum as Auditor --------------------------------------------------------- Enveric Biosciences, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that based on information provided by Marcum LLP, the independent registered public accounting firm of the Company, CBIZ CPAs P.C. acquired the attest business of Marcum, effective November 1, 2024. Marcum continued to serve as the Company's independent registered public accounting firm through April 14, 2025. On April 14, 2025, the Company dismissed Marcum as the Company's independent registered public accounting firm, and CBIZ CPAs was engaged to serve as the independent registered public accounting firm of the Company for the year ending December 31, 2025, effective immediately. The engagement of CBIZ CPAs was approved by the Audit Committee of the Company's Board of Directors. The services provided by Marcum will now be provided by CBIZ CPAs. During the fiscal years ended December 31, 2024 and 2023 and through April 14, 2025, neither the Company nor anyone on its behalf consulted with CBIZ CPAs regarding: (i) the application of accounting principles to any specified transaction, either completed or proposed; or the type of audit opinion that might be rendered on the Company's consolidated financial statements, and neither a written report nor oral advice was provided to the Company that CBIZ CPAs concluded was an important factor considered by the Company in reaching a decision as to any accounting, auditing, or financial reporting issue, or (ii) any matter that was either the subject of a "disagreement," as defined in Item 304(a)(1)(iv) of Regulation S-K, or a "reportable event," as defined in Item 304(a)(1)(v) of Regulation S-K. The reports of Marcum regarding the Company's consolidated financial statements for the fiscal years ended December 31, 2024 and 2023, included in the Company's Annual Report on Form 10-K for the year ended December 31, 2024, did not contain any adverse opinion or disclaimer of opinion and were not qualified or modified as to uncertainty, audit scope, or accounting principles, except that the report for the fiscal year ended December 31, 2024 included an explanatory paragraph relating to substantial doubt about the Company's ability to continue as a going concern. During the Company's two most recent fiscal years ended December 31, 2024 and December 31, 2023, and the subsequent interim period from January 1, 2025 through April 14, 2025, there were: (i) no disagreements within the meaning of Item 304(a)(1)(iv) of Regulation S-K between Enveric and Marcum on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which disagreements, if not resolved to Marcum's satisfaction, would have caused Marcum to make reference to the subject matter of the disagreements in connection with its reports on Enveric's consolidated financial statements for such years and (ii) no "reportable events" within the meaning of Item 304(a)(1)(v) of Regulation S-K, except as disclosed below. Our management concluded that there existed material weakness in our internal controls over financial reporting for the fiscal years ended December 31, 2023 and December 31, 2024. The material weakness attributed to insufficient segregation of duties, oversight of work performed and lack of compensating controls in our finance and accounting functions, including, without limitation, the processing, review and authorization of all routine and non-routine transactions, due to limited personnel and resources; failure to document, maintain and test effective controls over risk assessment, information technology and monitoring components; and inability to document, formalize, implement and revise where necessary controls, policies and procedure documentation to evidence a system of controls, inclusive of IT controls, including testing of such controls that is consistent with our current personnel and available resources. About Enveric Biosciences Enveric Biosciences (NASDAQ: ENVB) -- http://www.enveric.com/-- is a biotechnology company dedicated to the development of novel neuroplastogenic small-molecule therapeutics for the treatment of depression, anxiety, and addiction disorders. Leveraging its unique discovery and development platform, The Psybrary, the Company has created a robust intellectual property portfolio of new chemical entities for specific mental health indications. The Company's lead program, the EVM201 Series, comprises next generation synthetic prodrugs of the active metabolite, psilocin. The Company is developing the first product from the EVM201 Series – EB-002 – for the treatment of psychiatric disorders. The Company is also advancing its second program, the EVM301 Series – EB 003 – expected to offer a first-in-class, new approach to the treatment of difficult-to-address mental health disorders, mediated by the promotion of neuroplasticity without also inducing hallucinations in the patient. Morristown, New Jersey-based Marcum LLP, the Company's auditor since 2021, issued a "going concern" qualification in its report dated Mar. 28, 2025, attached to the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2024, citing that the Company has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. Enveric Biosciences had total assets amounting to $3.08 million, total current liabilities of $1.49 million, and total shareholders' equity of $1.59 million as of Dec. 31, 2024. EVOFEM BIOSCIENCES: Closes $2.3M Offering, Waives Aditxt Default ---------------------------------------------------------------- As previously disclosed in that Current Report on Form 8-K dated March 26, 2025, on March 22, 2025, Evofem Biosciences, Inc., a Delaware corporation, Aditxt, Inc., a Delaware Corporation, and Adifem, Inc., a Delaware corporation and wholly-owned subsidiary of Aditxt, entered into the Fifth Amendment to the Amended and Restated Merger Agreement. Pursuant to the Fifth Amendment, Aditxt shall provide the Company with a Fifth Parent Investment in the amount of $1,500,000 through either the issuance of additional shares of F-1 Preferred Stock, or senior subordinated notes, on or before April 7, 2025; if this investment is not made by the required date, the Company may terminate the Merger. On April 8, 2025, the Company entered into a securities purchase agreement with Aditxt providing for the sale and issuance of senior subordinated convertible notes due in the aggregate original principal amount of $2,307,692 and warrants to purchase an aggregate of 149,850,150 shares of common stock the Company, par value $0.0001. The Offering partially closed on April 8, 2025 and, as a result, the Company issued Notes in an aggregate principal amount of $1,153,846 and Warrants to purchase 74,925,075 shares of Common Stock. Aditxt paid approximately $650 for each $1,000 of the principal amount of Notes and Warrants. The net proceeds after the offering costs to the Company from the Offering were approximately $750,000. The Company waived Aditxt's default due to the full Fifth Parent Investment not being made by the deadline set forth in the Fifth Amendment. As part of the waiver, the second half of the total anticipated aggregate original principal balance and Warrants must close no later than April 16, 2025 or Aditxt will be in default and the Company will have the ability to terminate the Merger. The Company may not effect the conversion or the exercise of the Notes and/or Warrants, and the applicable holder will not be entitled to convert or exercise any portion of any such Notes and/or Warrants, which, upon giving effect to such conversion or exercise, would cause the aggregate number of shares of Common Stock beneficially owned by the holder of such Notes and/or Warrants (together with its affiliates) to exceed 9.99% of the total Common Stock issued and outstanding immediately after giving effect to the conversion or exercise, as such percentage ownership is determined in accordance with the terms of such Notes and/or Warrants. Warrants: The Warrants are exercisable into shares of Common Stock at an exercise price of $0.0154 per share and allow for cashless exercise. If on any of the 30th, 60th, 90th, 120th, and/or 180th, as applicable, calendar day after the Closing Date, the Exercise Price then in effect is greater than the Market Price (as defined by the SPA) then in effect, on the Adjustment Date the Exercise Price shall automatically lower to the Adjustment Price. The Warrants are immediately exercisable and expire on the 5th anniversary date from the Issuance Date. Notes: The Notes will be the senior subordinate obligations of the Company and not the financial obligations of our subsidiaries. The principal amount of the Notes accrue interest at a rate of 8% per annum, which will adjust to 12% upon an Event of Default. The Notes are convertible at a conversion price of $0.0154 per share, subject to adjustment as described therein. Unless earlier converted or redeemed, the Notes will mature on April 8, 2028, subject to the right of the investor to extend the date: (i) if an event of default under the Notes has occurred and is continuing (or any event shall have occurred and be continuing that with the passage of time and the failure to cure would result in an event of default under the Notes) and (ii) for a period of 20 business days after the consummation of a fundamental transaction if certain events occur. The Company is required to pay a late charge of 12% per annum on any amount of principal or other amounts that are not paid when due. The Company is required to pay, on the Maturity Date, all outstanding principal, accrued and unpaid interest, and accrued and unpaid Late Charges on such principal and interest, if any. Beneficial Ownership Limitation on Conversion: The Notes may not be converted and shares of Common Stock may not be issued under Notes if, after giving effect to the conversion or issuance, the applicable holder of Notes (together with its affiliates, if any) would beneficially own in excess of 9.99% of our outstanding shares of Common Stock, which we refer to herein as the "Note Blocker". Fundamental Transactions: The Notes prohibit the Company from entering specified fundamental transactions (including, without limitation, mergers, business combinations and similar transactions) unless we are (or our successor is) a public company that assumes in writing all of our obligations under the Notes. Change of Control Redemption Right: In connection with a change of control of the Company, each holder may require us to redeem in cash all, or any portion, of the Notes at the greater of the product of the 25% redemption premium multiplied by: (i) the conversion amount to be redeemed, (ii) the product of the conversion amount to be redeemed multiplied by the equity value of our Common Stock underlying the Notes and (iii) the product of the conversion amount to be redeemed multiplied by the equity value of the change of control consideration payable to the holder of our Common Stock underlying the Notes. The equity value of our Common Stock underlying the Notes is calculated using the greatest closing sale price of our Common Stock during the period immediately preceding the consummation or the public announcement of the change of control and ending the date the holder gives notice of such redemption. The equity value of the change of control consideration payable to the holder of our Common Stock underlying the Notes is calculated using the aggregate cash consideration per share of our Common Stock to be paid to the holders of our Common Stock upon the change of control. Covenants: The Notes contain a variety of obligations on our part not to engage in specified activities, which are typical for transactions of this type, as well as the following covenants: * All payments under the Notes shall be made pari passu with all other Notes and shall be senior to all other Indebtedness other than Permitted Senior Indebtedness and Permitted Indebtedness secured by Permitted Liens. * we and our subsidiaries will not initially (directly or indirectly) incur any other indebtedness except for permitted indebtedness; * we and our subsidiaries will not initially (directly or indirectly) will not incur any liens, except for permitted liens; * we and our subsidiaries will not, directly or indirectly, redeem or repay all or any portion of any indebtedness (except for certain permitted indebtedness) if at the time the payment is due or is made or, after giving effect to the payment, an event constituting, or that with the passage of time and without being cured would constitute, an event of default has occurred and is continuing; * we and our subsidiaries will not redeem, repurchase, or pay any dividend or distribution on our respective capital stock; * we and our subsidiaries will not initially, directly or indirectly, permit any indebtedness to mature or accelerate prior to the Maturity Date of the Notes; and * we will maintain engagement with an independent auditor to audit our financial statements that is registered with the Public Company Accounting Oversight Board. Events of Default: The Notes contain standard and customary events of default including but not limited: (i) the suspension of our Common Stock from trading on the Eligible Market; (ii) the failure to cure a Conversion Failure; (iii) failure to make payments when due under the Notes; (iv) bankruptcy or insolvency of the Company; and/or (v) the occurrence of default under redemption or acceleration prior to Maturity of an aggregate $100,000 of Indebtedness. If an event of default occurs, each holder may require us to redeem all or any portion of the Notes (including all accrued and unpaid interest and Late Charges thereon), in cash, at the greater of a 125% redemption premium multiplied by the conversion amount to be redeemed, and solely with respect to certain events of the default, the equity value of our Common Stock underlying the Notes. The equity value of our Common Stock underlying the Notes is calculated using the greatest closing sale price of our Common Stock on any trading day immediately preceding such event of default and the date we make the entire payment required. Subsequent Placement Optional Redemption Rights: At any time from and after the earlier of (x) the date the Holder becomes aware of the occurrence of a Subsequent Placement (as defined in the Securities Purchase Agreement) and (y) the time of consummation of a Subsequent Placement (in each case, other than with respect to Excluded Securities (as defined in the SPA)), so long as No Permitted Senior Indebtedness remains outstanding or undefeased (unless the Company has obtained the prior written consent of such holders of Permitted Senior Indebtedness), the Holder shall have the right, in its sole discretion, to require that the Company redeem all, or any portion, of the Conversion Amount under this Note not in excess of (together with any Subsequent Placement Optional Redemption Amount (as defined in the applicable other Note of the Holder) of any other Notes of the Holder) the Holder's Holder Pro Rata Amount of 25% of the gross proceeds of such Eligible Subsequent Placement. Asset Sale Optional Redemption: At any time from and after the earlier of (x) the date the Holder becomes aware of the occurrence of an Asset Sale (including any insurance and condemnation proceeds thereof) and (y) the time of consummation of an Asset Sale (other than sales of inventory and product in the ordinary course of business and amounts reinvested in assets to be used in the Company's business within 12 months of the date of consummation of such Asset Sale, subject to the satisfaction of the Senior Debt Condition, the Holder shall have the right, in its sole discretion, to require that the Company redeem all, or any portion, of the Conversion Amount under this Note not in excess of (together with any Asset Sale Optional Redemption Amount (as defined in the applicable other Note of the Holder) of any other Notes of the Holder) the Holder's Holder Pro Rata Amount of 100% of the net proceeds (including any insurance and condemnation proceeds with respect thereto, but excluding legal and investment banking reasonable fees and expenses) of such Eligible Asset Sale by delivering written notice thereof to the Company. The Notes will be governed by, and construed in accordance with, the laws of the State of New York without regard to its conflicts of law principles. Call Option Agreement: On April 10, 2025, Aditxt, the Company and Adjuvant Global Health Technology Fund, L.P. and Adjuvant Global Fund DE, L.P. entered into a Call Option Agreement wherein Adjuvant granted to Aditxt, a call option to purchase, at the sole discretion of Aditxt, all of the Convertible Promissory Notes and Right to receive Common Stock agreements issued to Adjuvant for an aggregate purchase price of $13,000,000. The call option can be exercised at any time after the satisfaction in full of the repayment obligations under the Company's secured senior creditor, and until June 30, 2025. Further, in the event that Aditxt has not provided the funding under the Fifth Parent Investment by April 30, 2025 or if the obligations under the Company's senior secured creditor are not satisfied by May 31, 2025, Adjuvant is free to transfer the Securities and the call option agreement shall be extinguished and terminate. About Evofem Evofem Biosciences, Inc. is a San Diego-based biopharmaceutical company focused on sexual and reproductive health innovations. Its first commercial product, PHEXXI, is a hormone-free prescription contraceptive gel that was FDA-approved in 2020. In November 2024, they re-launched SOLOSEC, an oral antimicrobial agent for treating two common sexual health infections, following its acquisition of global rights. The Company aims to expand its global presence through partnerships and licensing agreements, such as the recent licensing of PHEXXI commercial rights in the Middle East to Pharma 1 Drug Store, LLC. In its report dated March 23, 2025, the Company's auditor, BPM, LLP, issued a "going concern" qualification attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, noting that the Company has experienced recurring operational losses, negative cash flows from operations since its inception, and a net capital deficiency, all of which raise substantial doubt about its ability to continue as a going concern. EXACTECH INC: Plan Exclusivity Period Extended to May 30 -------------------------------------------------------- Judge Laurie Selber Silverstein of the U.S. Bankruptcy Court for the District of Delaware extended Exactech, Inc. and its affiliated debtors' exclusive periods to file a plan of reorganization and obtain acceptance thereof to May 30 and July 30, 2025, respectively. As shared by Troubled Company Reporter, the Debtors explain that the size and complexity of these chapter 11 cases weighs heavily in favor of extending the Exclusive Periods. As discussed in further detail in the First Day Declaration, the Debtors entered bankruptcy with approximately $352 million of funded prepetition debt and as defendants to nearly 2,600 product liability lawsuits. While the Debtors are continuing to review proofs of claim filed by the February 7, 2025 bar date, the Debtors have received over 23,000 filed claims. Further, the Debtors, together with their thirteen non-debtor subsidiaries, operate a complex and global business with substantial foreign operations in ten countries and are subject to multiple regulatory regimes across the globe, each requiring a variety of licenses and/or permits. Contending with competing plans, of any nature, would only multiply the already substantial financial, operational, regulatory, and adversarial complexity of these cases. The Debtors assert that the Mediation itself is an opportunity for the Debtors, as the sole fiduciary for all of the stakeholders in these chapter 11 cases, to gain insight into the perspective of the Committee (as representative of the unsecured creditors) on these chapter 11 cases, to candidly discuss the Committee's perspective under the facilitation of the Mediator, and to take that perspective into account as the Debtors balance the interests of the many different stakeholders in moving forward with the Plan process. Importantly, the Debtors are not seeking an extension to delay administration of these chapter 11 cases or to exert pressure on their creditors, but rather to attempt to resolve issues related to the filed Plan, including allowing time for the Mediation to occur, facilitate the review of the over 23,000 claims filed, and continue the orderly, efficient, and cost-effective chapter 11 process. Accordingly, the Debtors believe that the requested extension is warranted and appropriate under the circumstances. Co-Counsels for the Debtors: Ryan Preston Dahl, Esq. Benjamin M. Rhode, Esq. Luke Smith, Esq. ROPES & GRAY LLP 191 N. Wacker Drive, 32 nd Floor Chicago, Illinois 60606 Tel: (312) 845-1200 Fax: (312) 845-5500 E-mail: ryan.dahl@ropesgray.com benjamin.rhode@ropesgray.com luke.smith@ropesgray.com -and- Ryan M. Bartley, Esq. Andrew A. Mark, Esq. Elizabeth S. Justison, Esq. Andrew A. Mark, Esq. YOUNG CONAWAY STARGATT & TAYLOR, LLP 1000 North King Street Rodney Square Wilmington, Delaware 19801 Tel.: (302) 571-6600 Fax: (302) 571-1253 Email: rbartley@ycst.com ejustison@ycst.com amark@ycst.com About Exactech, Inc. Exactech Inc. -- https://www.exac.com/ -- is a joint-replacement implant manufacturer owned by TPG Capital. Exactech Inc. and its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 24-12441) on Oct. 29, 2024. In the petition filed by Donna H. Edwards, as general counsel and senior vice president, Exactech estimated assets and liabilities between $100 million and $500 million each. Young Conaway Stargatt & Taylor, LLP serves as as co-counsel to the Debtors. Riveron Management Services, LLC is the Debtors' chief restructuring officer. Centerview Partners LLC is the investment banker. Kroll Restructuring Administration LLC is the claims agent and administrative advisor. EYM PIZZA: Plan Exclusivity Period Extended to May 5 ---------------------------------------------------- Judge Brenda T. Rhoades of the U.S. Bankruptcy Court for the Eastern District of Texas extended EYM Pizza L.P. and affiliated companies' exclusive periods to file a plan of reorganization and obtain acceptance thereof to May 5 and July 7, 2025, respectively. As shared by Troubled Company Reporter, the Debtors have engaged a business broker to sell substantially all of their assets pursuant to Section 363 of the Bankruptcy Code. The sale process occurred during January 2025 and the sale hearings occurred in February 2025. Sales are scheduled to close in March 2025. The Debtors submit that cause exists because they have stabilized their business, have efficiently and successfully managed their estates and are well underway in marketing their assets. They have filed schedules of assets and liabilities and statements of financial affairs, as well as every monthly operating report; kept their lease obligations largely current in their operating entities; obtained the Court's approval for use of cash collateral; and obtained orders assuming and rejecting all of their outstanding leases. The Debtors claim that having made substantial progress to date, additional, significant work is required before the Debtors can prepare a meaningful disclosure statement, propose a chapter 11 plan of reorganization and emerge from chapter 11. Importantly, the sales of the Debtors' assets must close in order for the Debtors to provide adequate information regarding expected distributions to creditors in the disclosure statement to be filed by the Debtors. Counsel to the Debtors: Howard Marc Spector, Esq. Sarah M. Cox, Esq. SPECTOR & COX, PLLC 12770 Coit Road, Suite 850 Dallas, TX 75251 Telephone: (214) 365-5377 Facsimile: (214) 237-3380 Email: hspector@spectorcox.com sarah@spectorcox.com About EYM Pizza LP EYM Pizza LP is a Pizza Hut franchisee. EYM Pizza LP and its affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Tex. Case No. 24-41669) on president of EYM Group Inc., the Debtor reports estimated assets under $2.25 million and estimated liabilities more than $21 million. Howard Marc Spector, Esq. at Spector & Cox, PLLC, is the Debtors' counsel. National Franchise Sales is the Debtors' financial advisor for the sale of the assets or businesses of the Debtors. FIG & FENNEL: Gets Final Approval to Use Cash Collateral -------------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Florida, Fort Lauderdale Division, issued a final order allowing Fig & Fennel at MIA, LLC and its affiliates to use cash collateral. The final order authorized the companies to use cash collateral to pay the expenses set forth in the budget, with a 10% variance allowance. To protect creditors including Newtek Small Business Finance, Inc. and the U.S. Small Business Administration, the court granted these creditors replacement liens. In addition, the court ordered the companies to make interest-only payments to Newtek. In case of non-payment, Newtek must notify the companies of any default. If the companies fail to rectify the default within 10 days, Newtek may seek further relief regarding its cash collateral rights. A copy of the court's order and the Debtor's budget is available at https://shorturl.at/xxf9y from PacerMonitor.com. About Fig & Fennel at Mia Fig & Fennel at MIA, LLC and affiliates own and operate restaurants offering a broad selection of grab-and-go sandwiches, salads, bowls, snacks and desserts. The Debtors filed Chapter 11 petitions (Bankr. S.D. Fla. Lead Case No. 23-18515) on October 18, 2023. Robert Siegmann, manager, signed the petitions. At the time of the filing, Fig & Fennel at MIA reported $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, is the Debtors' legal counsel. FIRST WAY: L. Todd Budgen Named Subchapter V Trustee ---------------------------------------------------- The U.S. Trustee for Region 21 appointed L. Todd Budgen, Esq., a practicing attorney in Longwood, Fla., as Subchapter V trustee for First Way, Inc. Mr. Budgen 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. Budgen declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: L. Todd Budgen, Esq. P.O. Box 520546 Longwood, FL 32752 Tel: (407) 232-9118 Email: Todd@C11Trustee.com About First Way Inc. First Way, Inc. is a transportation and logistics company specializing in flatbed, step-deck, reefer conestoga, and dry van services. Founded in 2014, the company provides reliable freight solutions using skilled drivers and late-model equipment. First Way sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-01963) on April 4, 2025. In its petition, the Debtor reported up to $50,000 in assets and between $1 million and $10 million in liabilities. Judge Lori V. Vaughan handles the case. The Debtor is represented by Daniel A. Velasquez, Esq., at Latham, Luna, Eden & Beaudine, LLP. FULCRUM BIOENERGY: Seeks to Extend Plan Exclusivity to June 5 ------------------------------------------------------------- Fulcrum Bioenergy Inc. and affiliates asked the U.S. Bankruptcy Court for the District of Delaware to extend their exclusivity periods to file a plan of reorganization and obtain acceptance thereof to June 5 and September 4, 2025, respectively. The Debtors claim that they spent a significant portion of these chapter 11 cases crafting a chapter 11 plan that is best for the Debtors' estates and creditors, which included rigorous negotiations with the Official Committee of Unsecured Creditors and other parties-in-interest. The Debtors explain that allowing the Exclusive Filing Period to lapse on April 7, 2025 would defeat the purpose of section 1121 and deprive the Debtors of the benefit of a meaningful and reasonable opportunity to confirm the Plan. If a competing plan were filed at this stage of these chapter 11 cases, it would have a disruptive and detrimental effect on these cases that could result in the potential delay of the Debtors' exit from chapter 11 or a conversion of the chapter 11 cases to chapter 7. Consequently, the requested extension is reasonable and is consistent with the efficient prosecution of these chapter 11 cases as it will provide the Debtors the time necessary to obtain confirmation of their Plan and maximize the value of their estates for the benefit of their stakeholders. Counsel to the Debtors: MORRIS, NICHOLS, ARSHT & TUNNELL LLP Robert J. Dehney, Sr., Esq. Curtis S. Miller, Esq. Clint M. Carlisle, Esq. Avery Jue Meng, Esq. 1201 N. Market Street, 16th Floor Wilmington, Delaware 19801 Telephone: (302) 658-9200 Email: rdehney@morrisnichols.com cmiller@morrisnichols.com ccarlisle@morrisnichols.com ameng@morrisnichols.com About Fulcrum Bioenergy Fulcrum Bioenergy Inc. operates as a clean energy company described as a pioneer in sustainable aviation fuel (SAF) production. Fulcrum Bioenergy Inc. and its affiliates sought relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Lead Case No. 24-12008) on Sept. 9, 2024. In the petition filed by Mark J. Smith, as chief restructuring officer, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $100 million and $500 million. The Honorable Bankruptcy Judge Thomas M. Horan handles the case. The Debtors tapped MORRIS, NICHOLS, ARSHT & TUNNELL LLP as counsel; and DEVELOPMENT SPECIALISTS, INC., as investment banker. KURTZMAN CARSON CONSULTANTS, LLC, d/b/a VERITA GLOBAL, is the claims agent. GLOBAL JOINT: Voluntary Chapter 11 Case Summary ----------------------------------------------- Debtor: Global Joint Venture Inc. 67-48 Harrow Street Forest Hills, NY 11375 Business Description: The Debtor owns a mixed-use commercial condominium situated at 139-141 Bowery in New York, NY. Chapter 11 Petition Date: May 1, 2025 Court: United States Bankruptcy Court Eastern District of New York Case No.: 25-42139 Judge: Hon. Nancy Hershey Lord Debtor's Counsel: Kevin Nash, Esq. GOLDBERG WEPRIN FINKEL GOLDSTEIN LLP 125 Park Ave New York, NY 10017-5690 E-mail: knash@gwfglaw.com Estimated Assets: $10 million to $50 million Estimated Liabilities: $10 million to $50 million The petition was signed by Hung Kwong Leung as president. A list of the Debtor's 20 largest unsecured creditors was not provided alongside the petition. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/WUUUELA/Global_Joint_Venture_Inc__nyebke-25-42139__0001.0.pdf?mcid=tGE4TAMA HEALTHIER CHOICES: Narrows Net Loss to $11.9 Million in FY 2024 --------------------------------------------------------------- Healthier Choices Management Corp. filed its Annual Report on Form 10-K with the U.S. Securities and Exchange Commission for the fiscal year ended December 31, 2024, reporting a net loss of $11.9 million compared to a net loss of $18.5 million for the year 2023. As of December 31, 2024, the Company had cash of approximately $1.2 million and negative working capital of $0.7 million. Management has made plans to reduce certain costs and raise needed capital, however there can be no assurance the Company can successfully implement these plans. The Company anticipates its current cash and cash generated from operations will not be sufficient to meet projected operating expenses for the foreseeable future through at least the next 12 months. The Company has incurred recurring net losses and operations have not provided cash flows. In view of these matters, there is substantial doubt about its ability to continue as a going concern. Diamond Bar, Calif.-based TAAD LLP, the Company's auditor since 2025, issued a "going concern" qualification in its report dated April 14, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company has incurred recurring net losses and operations have not provided cash flows. These factors, among others, raise substantial doubt about the Company's ability to continue as a going concern. In order to improve the Company's liquidity position, management's plans include significantly reducing the use of outside consultants, which would result in a reduction of over $1,000,000 in general and administrative expenses savings based on the actual spend for the year ended December 31, 2024. On November 7, 2024, the Company entered into a commitment letter with an investor that will allow the Company to draw up to $5 million from a revolving credit facility through August 31, 2025. Any advances will be used for working capital purposes. Any amounts borrowed pursuant to the Facility will be repayable in full on April 30, 2026 and the interest rate on the amounts borrowed is 12% per annum. The Company believes its cash on hand and its ability to draw on its $5 million line of credit will enable the Company to meet its obligations and capital requirements for at least the twelve months from the date these financial statements are issued. Accordingly, no adjustment has been made to the financial statements to account for this uncertainty. The Company is formulating plans to raise capital from outside investors, as it has done in the past, to fund operating losses and also provide capital for further business acquisitions. The result of the capital raise is to improve the Company's operating and financial performance. The success of these plans is dependent upon various factors, foremost being the ability to reduce outside consulting expenses and the ability to secure additional capital from outside investors. There can be no assurance that such plans will be successful. A full-text copy of the Company's Form 10-K is available at: https://tinyurl.com/ye23n3ds About Healthier Choices Management Hollywood, Fla.-based Healthier Choices Management Corp. is a holding company focused on providing consumers with healthier daily choices with respect to nutrition and other lifestyle alternatives. Through its wholly owned subsidiary HCMC Intellectual Property Holdings, LLC, the Company manages its intellectual property portfolio. The Company reported total assets of $2.2 million, total liabilities of $2.7 million, convertible preferred stock with an aggregate liquidation preference of $1.1 million, and total stockholders' deficit of $1.6 million as of December 31, 2024. HIGHRISE ELECTRICAL: Court Denies Vehicle Sale ---------------------------------------------- The U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, has denied Highrise Electrical Technologies Inc. to sell 14 unused vehicles on an expedited basis. The Debtor is an electrical contractor firm that offers design build, budgeting, re-model, computerized estimating, and turn-key installation. In or about 1993, Debtor was founded by Paul Blount (now deceased) and Ron Eitze. Ron Eitze is now its sole owner and president. For many years Debtor has been one of the leading electrical contractors in the greater Houston area. Debtor is a proud member of the Independent Electrical Contractors Association. The Court held that under its Polices and Procedures, expedited motions must be self-calendared on normal notice and must request expedited consideration separately from the substantive motion. The Motion was not self-calendared on normal notice and improperly combined the substantive motion with the request for expedited consideration. Thus, the Motion does not comply with the Court's Policies and Procedures. The Court denied the Debtor's expedited motion to sell vehicles without prejudice. About Highrise Electrical Technologies, Inc. Highrise Electrical Technologies Inc., operating under the trade name Highrise Electric, is a full-service electrical contracting company. The Company specializes in design assistance, consulting, estimating, scheduling, procurement, installation, troubleshooting, energy management, and preventive maintenance services. Serving both residential and commercial sectors, the Company brings expertise to large-scale projects, including high-rise buildings. Highrise Electrical Technologies Inc. sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-31634) on March 1, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by Annie Catmull, Esq. at O'CONNORWECHSLER PLLC. HUDSON'S BAY: To Liquidate Final Stores by June 15 Amid CCAA ------------------------------------------------------------ Hudson's Bay Company ULC, the Canadian entity comprising the retailer Hudson's Bay and TheBay.com, liquidated its remaining six Hudson's Bay stores and one Saks Fifth Avenue location. The Company believes that a viable bid for the current six-store model is unlikely, and therefore began liquidation sales in these stores on April 25. The remaining locations will join the 73 other Hudson's Bay, 13 Saks OFF 5TH and two Saks Fifth Avenue locations already undergoing liquidation sales following the company's filing under the Companies' Creditors Arrangement Act (CCAA). Should a bid be received in accordance with the Sale or Investor Solicitation Process, the Applicants retain the ability to withdraw these stores (or other stores) from the liquidation sale pursuant to, among others, the Amended and Restated SISP Order. The current SISP process is still underway and remains unchanged. Reflect Advisors continues to solicit interest in, and opportunities for one or more sales of all or certain portions of the property, assets, and undertakings of the Company and/or an investment in or refinancing of all or a portion of the business of the Company. The deadline for these submissions was on April 30. The Hudson's Bay and Saks Fifth Avenue stores in Canada are expected to operate no later than June 15, 2025, however, some may close earlier. Additionally, nine Saks OFF 5TH stores closed Sunday, April 27. Hudson's Bay extends its sincerest gratitude to its dedicated associates and loyal customers for their overwhelming support over the years and throughout this chapter. Liquidation Sale Details New inventory arrives daily from warehouse clear-outs at discounted prices. -- Hudson's Bay: 40-70% off storewide -- 40% off Men's & Kids' Apparel and Footwear -- Up to 50% off Women's Apparel and Intimates -- Up to 70% off Jewellery -- 60% off Patio Furniture -- 70% off Indoor Furniture and Mattresses -- Saks Fifth Avenue: -- Up to 30% off storewide -- Saks OFF 5TH: -- 40%--60% off the lowest ticketed prices Select luxury brands and the HBC Stripes Collection will not be discounted. All items available while supplies last and will not be restocked once sold. All sales are final. In addition, select store fixtures, furnishings, and equipment will soon be available for purchase at participating locations. To locate a participating store, please visit thebay.com. About Hudson's Bay Company ULC Hudson's Bay Company -- https://www.hbc.com/ -- is a Canadian holding company of department stores, and the oldest corporation in North America. Court filings as well as other information related to Hudson's Bay Company's CCAA proceedings will be available on the Monitor's website at www.alvarezandmarsal.com/HudsonsBay. Information regarding the CCAA process may also be obtained by calling the Monitor's hotline at (416) 847-5157 (toll free), or by email at hudsonsbay@alvarezandmarsal.com. Hudson's Bay will continue to provide updates regarding the CCAA proceedings as developments or circumstances may warrant. I-ON DIGITAL: Carlos Montoya Holds 59.3% Equity Stake ----------------------------------------------------- Carlos X. Montoya, disclosed in a Schedule 13D filed with the U.S. Securities and Exchange Commission that as of January 17, 2023, he beneficially owned 59,319,000 shares of I-ON Digital Corp.'s common stock, representing 59.30% of the class of common stock, based on 31,106,234 shares of common stock outstanding as reported in the Company's Annual Report on Form 10-K filed with the SEC on April 10, 2025. Carlos X. Montoya may be reached through Croke Fairchild Duarte & Beres LLC 180 N. LaSalle Street, Suite 3400 Chicago, IL, 60601 1.414.588.2948 A full-text copy of Mr. Montoya's SEC report is available at: https://tinyurl.com/ynbkmzz8 About I-On Digital Corp. Headquartered in Chicago, IL, I-ON develops and provides advanced asset-digitization and securitization solutions designed to deliver a secure, fast, and transparent digital asset ecosystem. The Company converts documentary evidence of ownership into secure, asset-backed digital certificates, enhancing liquidity and value across a range of asset classes. Its hybrid blockchain architecture integrates smart contracts and workflow automation, augmented by artificial intelligence technologies. This system enables the digitization of ownership records for recoverable gold, precious metals, and mineral reserves, supporting value transfer through innovative financial instruments. In its report dated Apr. 10, 2025, the Company's auditor, Mac Accounting Group & CPAs, LLP, issued a "going concern" qualification attached to the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2024, citing that the Company has limited revenues and has suffered recurring losses from operations that raise substantial doubt about its ability to continue as a going concern. As of Dec. 31, 2024, I-ON Digital reported total assets of $18.42 million, total liabilities of $2.64 million, and total stockholders' equity of $15.78 million. At the end of the year, the Company held $270,095 in cash. I-ON DIGITAL: Uplists to OTCQB Venture Market --------------------------------------------- I-ON Digital Corp. announced its successful uplisting from the OTC Pink Market to the OTCQB Venture Market, a milestone that reflects the company's commitment to transparency, innovation, and long-term value creation. The uplisting marks a pivotal moment for I-ON Digital as it expands its leadership position in the rapidly developing space of digital gold, gold-backed stable coins, and in situ asset (in the ground) gold digitization. I-ON's technology transforms verified gold reserves into secure, blockchain-based digital assets, which is resulting in increased levels of efficiency, transparency, and liquidity in the commodities marketplace. "This uplisting to the OTCQB is more than a capital markets upgrade--it's a signal to our investors, partners, and the broader fintech community that I-ON Digital is built for scale," said Carlos X. Montoya, CEO of I-ON Digital Corp. "We're harnessing the momentum around real-world asset tokenization and applying a laser focus to gold, one of the oldest and most trusted stores of value in history," continued Montoya. The company's focus on in situ gold claim digitization--digitally representing verified, undeveloped gold reserves--offers an attractive alternative to traditional gold ETFs or physically backed tokens. By using I-ON's proprietary validation and onboarding protocols and digital banking infrastructure, gold assets can now be integrated directly into the blockchain economy without ever being extracted, significantly reducing environmental impact and cost. The uplisting comes at a time of surging global interest in real-world asset tokenization and blockchain-based financial infrastructures, as investors seek more stable, asset-backed alternatives to volatile crypto and equity markets. Investors and stakeholders can learn more by visiting https://iondigitalcorp.com. About I-On Digital Corp. Headquartered in Chicago, IL, I-ON develops and provides advanced asset-digitization and securitization solutions designed to deliver a secure, fast, and transparent digital asset ecosystem. The Company converts documentary evidence of ownership into secure, asset-backed digital certificates, enhancing liquidity and value across a range of asset classes. Its hybrid blockchain architecture integrates smart contracts and workflow automation, augmented by artificial intelligence technologies. This system enables the digitization of ownership records for recoverable gold, precious metals, and mineral reserves, supporting value transfer through innovative financial instruments. In its report dated Apr. 10, 2025, the Company's auditor, Mac Accounting Group & CPAs, LLP, issued a "going concern" qualification attached to the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2024, citing that the Company has limited revenues and has suffered recurring losses from operations that raise substantial doubt about its ability to continue as a going concern. As of Dec. 31, 2024, I-ON Digital reported total assets of $18.42 million, total liabilities of $2.64 million, and total stockholders' equity of $15.78 million. At the end of the year, the Company held $270,095 in cash. IVF ORLANDO: Gets Interim OK to Use Cash Collateral Until June 5 ---------------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida, Orlando Division, issued a fifth interim order authorizing IVF Orlando, Inc. to use cash collateral until June 5. IVF Orlando was authorized to use cash collateral to pay the expenses set forth in the budget, including payments to the Subchapter V trustee and payroll obligations incurred post-petition, plus an amount not to exceed 10% for each line item. Secured creditors were granted a replacement lien on the company's post-petition property to the same extent and with the same validity and priority as their pre-bankruptcy lien. As additional protection to secured creditors, IVF Orlando was ordered to keep its property insured in accordance with the obligations under its loan agreements with the secured creditors. The next hearing is scheduled for June 5. A copy of the court's order and the Debtor's budget is available at https://shorturl.at/mzYOA from PacerMonitor.com. About IVF Orlando IVF Orlando Inc. -- https://theivfcenter.com/ -- is one of the longest established IVF programs in the Winter Park, Orlando, Florida area. IVF Orlando sought relief under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-05475) on October 8, 2024, with $100,000 to $500,000 in assets and $1 million to $10 million in liabilities. L. Todd Budgen, Esq., a practicing attorney in Longwood, Fla., serves as Subchapter V trustee. Judge Tiffany P. Geyer handles the case. The Debtor is represented by Daniel A. Velasquez, Esq., at Latham Luna Eden & Beaudine, LLP. JILL'S OFFICE: Jonathan Dickey Named Subchapter V Trustee --------------------------------------------------------- The Acting U.S. Trustee for Region 19 appointed Jonathan Dickey as Subchapter V trustee for Jill's Office, LLC. Mr. Dickey 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. Dickey declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Jonathan M. Dickey, Esq. 1660 Lincoln Street, Suite 1720 Denver, CO 80264 303-832-2400 Email: jmd@kutnerlaw.com About Jill's Office Jill's Office, LLC provides professional, U.S.-based 24/7 virtual receptionist and scheduling services designed to support businesses across various industries. It offers a range of services, including inbound call answering, appointment scheduling, live chat support for websites, and automated lead follow-ups Lead Zap). Jill's Office serves industries such as home services, real estate, health and wellness, finance, legal, and small businesses. Jill's Office sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Utah Case No. 25-21625) on March 27, 2025. In its petition, the Debtor reported estimated assets between $100,000 and $500,000 and estimated liabilities between $1 million and $10 million. Judge Peggy Hunt handles the case. The Debtor is represented by T. Edward Cundick, Esq., at Workman Nydegger. JJ PFISTER: Seeks Subchapter V Bankruptcy in California ------------------------------------------------------- On May 2, 2025, JJ Pfister Distilling Company LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Eastern District of California. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About JJ Pfister Distilling Company LLC JJ Pfister Distilling Company LLC was a Sacramento-based craft distillery known for producing organic spirits including vodka, gin, rum, whiskey, and brandy. The Company operated from a facility on Business Park Drive but ceased on-site operations in 2024. Its products remain available through select retailers and online distribution. JJ Pfister Distilling Company LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Cal. Case No. 25-22194) on May 2, 2025. In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $1 million and $10 million. Honorable Bankruptcy Judge Fredrick E. Clement handles the case. The Debtor is represented by Stephen Reynolds, Esq. at REYNOLDS LAW CORPORATION. JMKA LLC: Court Extends Cash Collateral Access to May 23 -------------------------------------------------------- JMKA, LLC received fifth interim approval from the U.S. Bankruptcy Court for the Northern District of Illinois to use the cash collateral of its secured lenders until May 23. The lenders include the U.S. Small Business Administration, BayFirst National Bank, Newity Bank, Funding Circle, and Transportation Alliance Bank, Transportation Alliance Bank, and Ameris Bank (doing business as Balboa Capital). They assert security interests in all assets of the company, including cash, bank deposits and accounts receivable, which constitute their cash collateral. The fifth interim order, signed by Judge David Cleary, authorized the use of cash collateral to pay the expenses set forth in the company's budget, with a 5% variance allowed. JMKA was ordered to provide the secured lenders with protection in the form of replacement liens on its assets to the same extent and with the same priority and validity as their pre-bankruptcy liens. Cashfloit, LLC will be treated as a secured creditor and will receive $3,000 as protection. The next hearing is set for May 21. About JMKA LLC JMKA, LLC is a boutique childcare center in downtown Elmhurst, Ill. It operates as Elmhurst Premier Childcare. JMKA filed Chapter 11 petition (Bankr. N.D. Ill. Case No. 25-00036) on January 3, 2025, with up to $50,000 in assets and up to $10 million in liabilities. Judge David D. Cleary oversees the case. Ben L. Schneider, Esq., at The Law Offices of Schneider & Stone is the Debtor's bankruptcy counsel. Ameris Bank is represented by: Jillian S. Cole, Esq. Taft Stettinius & Hollister, LLP 111 E. Wacker Drive, Suite 2600 Chicago, IL 60601 (312) 836-4019 jcole@taftlaw.com JOONKO DIVERSITY: Plan Exclusivity Period Extended to June 8 ------------------------------------------------------------ Judge Mary F. Walrath of the U.S. Bankruptcy Court for the District of Delaware extended Joonko Diversity Inc.'s exclusive periods to file a plan of reorganization and obtain acceptance thereof to June 8 and August 7, 2025, respectively. As shared by Troubled Company Reporter, the Debtor explains that the only impediment to confirmation of its Plan is the claim being asserted by Raz. As the Debtor has stated before, Raz's entitlement to advancement and indemnification is a gating issue with respect to confirmation of the Plan. If Raz is entitled to advancement, as she asserts in her Opposition, the Plan as solicited is not confirmable. The Plan is premised on the assumption that Raz will receive no recovery in the Chapter 11 Case and, as a result, recoveries will be available to holders of the Debtor's preferred shares. As detailed in its Claim Objection, the Debtor asserts that Raz is not entitled to advancement for a number of reasons, including because she is not entitled to indemnification. The Debtor also seeks, in the alternative to claim disallowance, the estimation of the Raz Claim at $0. The Debtor is on track to complete its production of documents to Raz by March 28, 2025, and plans to take Raz's deposition in April 2025. The Debtor submits that its significant progress made to date in the Chapter 11 Case strongly weighs in favor of extending the Exclusive Periods. The Debtor claims that it has made and will continue to make timely payments on its undisputed post-petition obligations in the ordinary course, meaning that the requested extension of the Exclusive Periods will not prejudice the legitimate interests of post-petition creditors. As such, this factor weighs in favor of extending the Exclusive Periods. Joonko Diversity Inc. is represented by: David R. Hurst, Esq. McDermott Will & Emery LLP The Brandywine Building 1000 N West Street, Suite 1400 Wilmington, DE 19801 Phone: (302) 485-3930 Email: dhurst@mwe.com Catherine Lee, Esq. 444 West Lake Street, Suite 4000 Chicago, Illinois 60606 Telephone: (312) 372-2000 Facsimile: (312) 984-7700 Email: clee@mwe.com About Joonko Diversity Inc. Joonko Diversity Inc. is an AI-powered employee recruitment venture. Joonko Diversity sought relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Del. Case No. 24-11007) on May 14, 2024. In the petition filed by Ilan Band, as chief executive officer, the Debtor estimated assets between $1 million and $10 million and estimated liabilities up to $50,000. McDermott Will & Emery LLP, led by David R. Hurst, is the Debtor's counsel. LEFEVER MATTSON: Plan Exclusivity Period Extended to May 30 ----------------------------------------------------------- Judge Charles Novack of the U.S. Bankruptcy Court for the Northern District of California extended Live Oak Investments, LP's, debtor affiliate of Lefever Mattson, exclusive periods to file a plan of reorganization and obtain acceptance thereof to May 30 and July 31, 2025, respectively. As shared by Troubled Company Reporter, the Debtor claims that the application of the identified standards to the facts of the company demonstrates that cause exists to grant Live Oak's requested extension of its Exclusive Periods. The extension is necessary and appropriate for Live Oak and the other Debtors to have the opportunity contemplated by the Bankruptcy Code to propose a chapter 11 plan and solicit acceptances of such plan. The Debtor explains that they have made material progress on multiple strategic fronts in these Chapter 11 Cases in the five months since 58 of the 61 Debtors filed their petitions. However, given the recency of the Bar Date, the ongoing investigations by the Debtors and the Committee, and the continuing efforts to evaluate and monetize the Debtors' real property assets, the Debtors require additional time to assess the claims against Live Oak, develop a chapter 11 plan, and prepare the adequate information necessary for parties to vote on such a plan. The Debtor asserts that the presence of potentially large unliquidated claims (filed by Messrs. LeFever and Mattson) and apparently off-book interests (filed by KSMP and the Long Trust), considered alongside the preliminary results of the Debtors' forensic accounting, make it premature and, indeed, imprudent, for Live Oak to attempt to develop a separate plan before its Exclusive Filing Period currently expires. Attorneys for the Debtors: Tobias S. Keller, Esq. David A. Taylor, Esq. Thomas B. Rupp, Esq. Keller Benvenutti Kim LLP 425 Market Street, 26th Floor San Francisco, California 94105 Telephone: (415) 496-6723 Facsimile: (650) 636-9251 Email: tkeller@kbkllp.com dtaylor@kbkllp.com About LeFever Mattson LeFever Mattson, a California corporation, manages a large real estate portfolio. Timothy LeFever and Kenneth W. Mattson each owns 50% of the equity in the company. Based in Citrus Heights, Calif., LeFever Mattson manages a portfolio of more than 200 properties, comprised of commercial, residential, office, and mixed-use real estate, as well as vacant land, located throughout Northern California, primarily in Sonoma, Sacramento, and Solano Counties. It generates income from the properties through rents and use the proceeds to fund its operations. LeFever Mattson and its affiliates filed voluntary Chapter 11 petitions (Bankr. N.D. Cal. Lead Case No. 24-10545) on September 12, 2024. At the time of the filing, LeFever Mattson listed $100 million to $500 million in assets and $10 million to $50 million in liabilities. Judge Charles Novack oversees the cases. Thomas B. Rupp, Esq., at Keller Benvenutti Kim LLP, is the Debtor's counsel. Kurtzman Carson Consultants, LLC, is the Debtors' claims and noticing agent. LEROUX CREEK: Seeks to Extend Plan Exclusivity to June 2 -------------------------------------------------------- Leroux Creek Food Corporation and Edward Stuart Tuft asked the U.S. Bankruptcy Court for the District of Colorado to extend its exclusivity periods to file a plan to June 2, 2025. The Debtors commenced their Chapter 11 bankruptcy proceeding due to environmental issues that impacted Leroux's profitability and litigation with its largest secured creditor American AGCredit, FLCA and American AGCredit, PCA ("AGCredit"), which caused financial and cash flow problems. Since the Petition Date, as anticipated, orchard growth and production has begun to increase and Debtors have been in discussions with AGCredit to reach a resolution. The Debtors have made substantial progress in these negotiation since the filing of their prior motion to extend. At this time, such negotiations are still ongoing. The Debtors claim that it requires additional time to continue to meet and discuss with AgCredit and negotiate Plan of Reorganization. The Debtors anticipate that the Leroux and Tuft plans will be closely related due to the relationship between the Debtors. Therefore, the Debtors respectfully requests an extension of the exclusive period for an additional 60 days from the date the current exclusive period, through and including June 2, 2025, as well as an extension of the 180-day period to solicit acceptances of their initial Plans of Reorganization for an additional 60 days. Leroux Creek Food Corp., LLC is represented by: Jeffrey A. Weinman, Esq. Katharine S. Sender, Esq. Bailey C. Pompea, Esq. Allen Vellone Wolf Helfrich & Factor P.C. 1600 Stout Street, Suite 1900 Denver, CO 80202 Phone: (303) 534-4499 Email: JWeinman@allen-vellone.com KSender@allen-vellone.com BPompea@allen-vellone.com Edward Stuart Tuft is represented by: Jonathan M. Dickey, Esq. KUTNER BRINEN DICKEY RILEY, P.C. 1660 Lincoln Street, Suite 1720 Denver, CO 80264 Phone: (303) 832-2400 Email: jmd@kutnerlaw.com About Leroux Creek Food Corporation Leroux Creek Food Corporation, LLC, filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Colo. Case No. 24-15015) on August 27, 2024, listing $1 million to $10 million in both assets and liabilities. The petition was signed by Edward Tuft as president. Judge Michael E Romero presides over the case. Jeffrey A. Weinman, Esq. at ALLEN VELLONE WOLF HELFRICH & FACTOR, P.C., is the Debtor's counsel. LEXARIA BIOSCIENCE: Widens Net Loss to $2.7 Million in Q2 FY25 -------------------------------------------------------------- Lexaria Bioscience Corp. filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission for the period ended Feb. 28, 2025, reporting a net loss of $2.7 million, compared to a net loss of $0.7 million for the three months ended Feb. 29, 2024. For the six months ended Feb. 28, 2025, the Company reported a net loss of $5.4 million, compared to a net loss of $1.8 million for the six months ended Feb. 29, 2024. Going Concern Since inception, the Company has incurred significant operating and net losses. Net losses attributable to shareholders were $5.4 million and $1.8 million for the six months ended February 28, 2025, and February 29, 2024, respectively. Lexaria said, "As of February 28, 2025, we had an accumulated deficit of $57.0 million. We expect to continue to incur significant operational expenses and net losses in the upcoming 12 months. Our net losses may fluctuate significantly from quarter to quarter and year to year, depending on the stage and complexity of our research and development (R&D) studies and corporate expenditures, additional revenues received from the licensing of our technology, if any, and the receipt of payments under any current or future collaborations into which we may enter. The recurring losses and negative net cash flows raise substantial doubt as to the Company's ability to continue as a going concern. "During the six months ended February 28, 2025, we raised $4.4 million in net proceeds from the sale of securities pursuant to our Registered Direct Offering which closed in October, 2024 as well as At the Market (ATM) offerings. "We may offer securities in response to market conditions or other circumstances if we believe such a plan of financing is required to advance the Company's business plans. There is no certainty that future equity or debt financing will be available or that it will be at acceptable terms and the outcome of these matters is unpredictable. A lack of adequate funding may force us to reduce spending, curtail or suspend planned programs or possibly liquidate assets. Any of these actions could adversely and materially affect our business, cash flow, financial condition, results of operations, and potential prospects. The sale of additional equity may result in additional dilution to our stockholders. Entering into additional licensing agreements, collaborations, partnerships, alliances marketing, distribution, or licensing arrangements with third parties to increase our capital resources is also possible. If we do so, we may have to relinquish valuable rights to our technologies, future revenue streams, research programs or product candidates or grant licenses on terms that may not be favorable to us. "Given our current development plans and cash management efforts, we anticipate that our cash resources will be sufficient to fund operations through the fourth quarter of calendar year 2025. Our ability to continue operations after our current cash resources are exhausted is dependent on our ability to obtain additional debt or equity financing or a strategic partnership, which cannot be guaranteed. Cash requirements may vary materially from those now planned because of changes in our focus and direction of our research and development programs, competitive and technical advances, patent developments, regulatory changes or other developments. If adequate additional funds are not available when required, management may need to curtail its development efforts and planned operations to conserve cash. "As of February 28, 2025, the Company had cash and cash equivalents of approximately $6.5 million to settle $1.8 million in current liabilities. We have performed a review of our cash flow forecast and have concluded that our existing cash, combined with inflows expected from executed license agreements, will not be sufficient to meet the Company's financial obligations for the twelve-month period following the issuance of these consolidated financial statements. Accordingly, there is substantial doubt as to our ability to continue as a going concern within one year from the date of issuance of these financial statements," the Company concluded. A full-text copy of the Company's Form 10-Q is available at: https://tinyurl.com/427b3sm4 About Lexaria Headquartered in Kelowna, BC, Canada, Lexaria Bioscience Corp. -- http://www.lexariabioscience.com/-- is a biotechnology company developing the enhancement of the bioavailability of a broad range of fat-soluble active molecules and active pharmaceutical ingredients using its patented DehydraTECH drug delivery technology. DehydraTECH combines lipophilic molecules or APIs with specific long-chain fatty acids and carrier compounds that improve the way they enter the bloodstream, increasing their effectiveness and allowing for lower overall dosing while promoting healthier oral ingestion methods. As of Feb. 28, 2025, the Company had $8.7 million in total assets, $1.9 million in total liabilities, and total stockholders' equity of $6.8 million. LOOK CINEMAS: Court Extends Cash Collateral Access to July 23 ------------------------------------------------------------- The U.S. Bankruptcy Court for the Northern District of Texas, Dallas Division, issued a fifth interim order extending Look Cinemas II, LLC's authority to use cash collateral. The order signed by Judge Michelle Larson authorized the company to use cash collateral for the period from April 22 to July 23, pursuant to its budget, with a 10% variance allowed. As protection, lenders were granted replacement liens and security interests in all property currently owned or to be acquired by the company that are similar to their pre-bankruptcy collateral. Look Cinemas II was ordered to pay its landlord, Spirit Master Funding X, LLC, at least $191,229.65 in order to continue to occupy the premises from May 1 to 30. The company's right to use cash collateral terminates upon conversion of its Chapter 11 case to one under Chapter 7; appointment of a Chapter 11 trustee or receiver; and failure to make rent payment. A final hearing is set for July 23. About LOOK Cinemas II LOOK Cinemas II, LLC operates in the motion picture and video industries. LOOK Cinemas II sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Texas Case No. 24-33696) on November 14, 2024, with $1 million to $10 million in both assets and liabilities. Brian E. Schultz, chief executive officer of LOOK Cinemas II, signed the petition. Judge Michelle V. Larson handles the case. The Debtor is represented by: Frank Wright, Esq. Law Offices of Frank J. Wright, PLLC 1800 Valley View Lane 250 Farmers Branch TX 75234 Tel: 214-238-4153 Email: frank@fjwright.law LUCKY AND BLESSED: Seeks to Hire Freeman Law as Bankruptcy Counsel ------------------------------------------------------------------ Lucky and Blessed, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Freeman Law, PLLC to handle its Chapter 11 case. The hourly rates of the firm's counsel and staff are: Jason Freeman, Attorney $735 Gregory Mitchell, Attorney $585 Associates $365 Paralegal $250 Paraprofessionals $225 Legal Assistants $175 In addition, the firm will seek reimbursement for expenses incurred. Mr. Mitchell disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Gregory W. Mitchell, Esq. Freeman Law, PLLC 7011 Main Street Frisco, TX 75034 Telephone: (972) 463-8417 Facsimile: (972) 432-7540 Email: gmitchell@freemanlaw.com About Lucky and Blessed Lucky and Blessed, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-31286) on April 8, 2025, listing under $1 million in both assets and liabilities. Gregory W. Mitchell, Esq., at Freeman Law, PLLC serves as the Debtor's counsel. LUXURY TIME: Jill Durkin of Durkin Law Named Subchapter V Trustee ----------------------------------------------------------------- The U.S. Trustee for Regions 3 and 9 appointed Jill Durkin, Esq., at Durkin Law, LLC as Subchapter V trustee for Luxury Time Global, LLC. Ms. Durkin will be paid an hourly fee of $350 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. Durkin declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Jill E. Durkin, Esq. Durkin Law, LLC 401 Marshbrook Road Factoryville, PA 18419 Phone number: (570) 881-4158 Email: jilldurkinesq@gmail.com About Luxury Time Global Luxury Time Global, LLC, doing business as Luxury Time Global, is a retailer specializing in luxury watches, offering both new and pre-owned timepieces from world-renowned brands like Rolex, Omega, and Patek Philippe. With established offices in Florida and Pennsylvania as well as an online store, Luxury Time Global serves watch enthusiasts, celebrities, and athletes. Luxury Time Global sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Pa. Case No. 25-00912) on April 2, 2025. In its petition, the Debtor reported up to $50,000 in assets and between $1 million and $10 million in liabilities. Judge Mark J. Conway handles the case. The Debtor is represented by C. Stephen Gurdin, Jr., Esq. MADISON 33 OWNER: Court Extends Cash Collateral Access to May 29 ---------------------------------------------------------------- The U.S. Bankruptcy Court for the Southern District of New York issued a sixth interim order extending Madison 33 Owner, LLC's authority to use cash collateral from April 23 to May 29. The order authorized the company to use cash collateral in accordance with its budget, which shows total operating expenses of $87,310.58 for the period from the week ending May 4 through the week ending May 25. The lender, Palm Avenue Hialeah Trust, will be granted replacement liens on the company's post-petition assets, including cash, rents and rent receivables, to the extent of any decrease in the value of its interest in the cash collateral. Madison's authority to use cash collateral will terminate immediately upon the occurrence of certain events, including the dismissal or conversion of its Chapter 11 case, failure to perform obligations under the sixth interim order, or cessation of its operations. A final hearing is scheduled for May 29. About Madison 33 Owner Madison 33 Owner, LLC is the fee simple owner of real property located at 172 Madison Avenue, New York, N.Y., having an appraised value of $100.6 million. Madison 33 Owner sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No. 24-11463) on August 26, 2024, with total assets of $100,600,000 and total liabilities of $39,466,304. David Goldwasser, chief restructuring officer, signed the petition. Judge Philip Bentley oversees the case. Jonathan S. Pasternak, Esq., at Davidoff Hutcher & Citron, LLP is the Debtor's legal counsel. Palm Avenue Hialeah Trust, as lender, is represented by: Jason A. Nagi, Esq. Offit Kurman, P.A. 590 Madison Avenue 6th Fl. New York, NY 10002 Direct: (646) 251-3259 jason.nagi@offitkurman.com MAGLEV ENERGY: Hearing Today on Bid to Use Cash Collateral ---------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida, Tampa Division is set to hold a hearing today to consider another extension of Maglev Energy, Inc.'s authority to use cash collateral. The bankruptcy court's previous order authorized the company's interim use of cash collateral to fund its operating expenses and other payments, including the U.S. trustee's quarterly fees. The interim order issued on April 25 granted the U.S. Small Business Administration and other secured creditors post-petition liens on the cash collateral to the same extent and with the same validity and priority as their pre-bankruptcy liens. About Maglev Energy Maglev Energy, Inc., a company in Seminole, Fla., engineers motor and generator technology including permanent magnet alternator, vertical wind turbine, and auxiliary power unit. filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 24-06552) on Nov. 5, 2024, with $241,312 in assets and $2,384,522 in liabilities. Jon Harms, executive vice president, signed the petition. Judge Catherine Peek Mcewen oversees the case. The Debtor is represented by: Jake C Blanchard, Esq. Blanchard Law, P.A. Tel: 727-531-7068 Email: jake@jakeblanchardlaw.com MARION REALTY: Amy Denton Mayer Named Subchapter V Trustee ---------------------------------------------------------- The U.S. Trustee for Region 21 appointed Amy Denton Mayer of Stichter Riedel Blain & Postler, P.A. as Subchapter V trustee for Marion Realty Group, LLC. Ms. Mayer will be paid an hourly fee of $350 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. Mayer declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Amy Denton Mayer Stichter Riedel Blain & Postler P.A. 110 East Madison Street, Suite 200 Tampa, FL 33602 Phone: (813)229-0144 Email: amayer@subvtrustee.com About Marion Realty Group Marion Realty Group, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-02117) on April 4, 2025, listing between $500,001 and $1 million in both assets and liabilities. Judge Roberta A. Colton presides over the case. Samantha L Dammer, Esq., at Bleakley Bavol Denman & Grace represents the Debtor as legal counsel. MARSH TOWN: Seeks Chapter 11 Bankruptcy in Georgia -------------------------------------------------- On May 2, 2025, Marsh Town Properties LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Southern District of Georgia. According to court filing, the Debtor reports $1,168,748 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Marsh Town Properties LLC Marsh Town Properties LLC is a real estate company based in Richmond Hill, GA. It owns a residential property located at 365 Warnell Drive, valued at $1.1 million. Marsh Town Properties LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ga. Case No. 25-40379) on May 2, 2025. In its petition, the Debtor reports total assets of $1,133,406 and total liabilities of $1,168,748 Honorable Bankruptcy Judge Edward J. Coleman III handles the case. The Debtor is represented by Jon Levis, Esq. at LEVIS LAW FIRM, LLC. MARTINES PALMEIRO: Seeks to Tap Allen Vellone as Bankruptcy Counsel ------------------------------------------------------------------- Martines Palmeiro Construction, LLC seeks approval from the U.S. Bankruptcy Court for the District of Colorado to employ Allen Vellone Wolf Helfrich & Factor, PC as counsel. The firm will render these services: (a) provide legal advice and representation in connection with the general administration of the estate; (b) confirm any proposed plan of reorganization, all other contested and adversary matters that arise in this case; (c) investigate and litigate any avoidance or other action the estate may have; and (d) perform other legal services for the Debtor related to or arising out of contested matters in this bankruptcy case. The firm will be paid at these hourly rates: Patrick Vellone, Attorney $725 Matthew Wolf, Attorney $500 Jeffrey Weinman, Attorney $650 Katharine Sender, Attorney $425 Paralegals $120 - $225 The firm received a pre-petition retainer of $50,000 from the Debtor. Mr. Weinman disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Jeffrey A. Weinman, Esq. Allen Vellone Wolf Helfrich & Factor PC 1600 Stout Street, Suite 1900 Denver, CO 80202 Telephone: (303) 534-4499 Email: JWeinman@allen-vellone.com About Martines Palmeiro Construction Martines Palmeiro Construction LLC is a Denver-based general contractor specializing in high-density residential, senior living, and retail commercial projects across Colorado and Texas. Founded in 2011, the firm offers services including general contracting, construction management, and design-build solutions. Martines Palmeiro Construction LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Colo. Case No. 25-12313) on April 21, 2025. In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $10 million and $50 million. The Debtor is represented by Jeffrey A. Weinman, Esq. at Allen Vellone Wolf Helfrich & Factor, PC. MERCURITY FINTECH: Cuts Net Loss to $4.53 Million in 2024 --------------------------------------------------------- Mercurity Fintech Holding Inc. reported a narrower net loss of $4.53 million on revenue of $1.01 million for the year ended Dec. 31, 2024, compared with a $9.36 million loss on $445,928 in revenue a year earlier, according to its Form 20-F filed with the U.S. Securities and Exchange Commission. Despite the less-than-ideal financial performance, management expressed optimism about the Company's outlook, anticipating a period of improvement ahead. The Company bolstered its liquidity with a series of private placements and convertible debt following a board and management overhaul in the second half of 2022. It raised $3.15 million, $5 million, and $5 million through PIPE financings in late 2022 and early 2023, followed by $9 million via an unsecured convertible promissory note in February 2023. Additional capital infusions of $6 million, $10 million, and $8 million were obtained in December 2023, December 2024, and January 2025, respectively. As of Dec. 31, 2024, the Company had $35.69 million in total assets, $11.60 million in total liabilities, and $24.09 million in total shareholders' equity. In an audit report dated April 30, 2025, the Company's auditor, Onestop Assurance PAC, issued a "going concern" qualification, citing that at Dec. 31, 2024, the Company has incurred recurring net losses of $4.5 million and negative cash flows from operating activities of $3.6 million and has an accumulated deficit of $680 million, which raise substantial doubt about its ability to continue as a going concern. Management is planning to broaden its range of services, including business and financial consultation, financial advisory, brokerage, and distributed storage and computing services. Furthermore, the Company mentioned it could explore options like issuing additional equity or debt, or seeking loans from lenders if business conditions shift or new opportunities arise, including potential investments. "Financing may be unavailable in the amounts we need or on terms acceptable to us, if at all," the Company noted. "The sale of additional equity securities, including convertible debt securities, would dilute our earnings per share. The incurrence of debt would divert cash for working capital and capital expenditures to service debt obligations and could result in operating and financial covenants that restrict our operations and our ability to pay dividends to our shareholders. If we are unable to obtain additional equity or debt financing as required, our business operations and prospects may suffer." The full text of the Form 20-F is available for free at: https://www.sec.gov/Archives/edgar/data/1527762/000164117225007755/form20-f.htm About Mercurity Fintech Holding Inc. Mercurity Fintech Holding Inc. is a digital fintech company with subsidiaries engaged in distributed computing and financial brokerage. Beyond its core fintech operations, the Company contributes to the advancement of AI hardware technology by delivering secure and innovative solutions in intelligent manufacturing and advanced liquid cooling systems. Its focus on compliance, innovation, and operational efficiency supports its position as a trusted player in both the evolving digital finance space and the AI technology sector. For more information, please visit the Company's website at https://mercurityfintech.com. MIDWEST CHRISTIAN: Seeks to Extend Plan Exclusivity to June 16 -------------------------------------------------------------- Midwest Christian Villages, Inc., and its affiliates asked the U.S. Bankruptcy Court for the Eastern District of Missouri to extend their exclusivity periods to file a plan of reorganization and obtain acceptance thereof to June 16 and August 15, 2025, respectively. The Debtors explain that they have selected certain Successful Bidders for their Assets. Sales for 9 of the facilities have now closed. Sales for 3 of the other facilities are pending (with some expected to close in April or May 2025, and possibly early June 2025). As demonstrated further, granting an extension of the Exclusive Periods will help progress these cases and allow the Debtors to focus on completing the sale process and closing the sales of their facilities. The Debtors claim that they also continue to respond to formal or informal information requests from various parties and their advisors, including, without limitation, the Committee, the U.S. Trustee, the Bond Trustee, and various other creditors. The Exclusive Periods established by Congress were incorporated into the Bankruptcy Code to afford a full and fair opportunity for a debtor to propose a chapter 11 plan and solicit acceptances of such plan without the deterioration and disruption of a debtor's business that might be caused by the filing of multiple competing plans. The Debtors are seeking an early extension of the Exclusive Periods in order to ensure that their focus remains on maximizing the value of their estates through the marketing and sale process. The Debtors assert that the facts in these cases are more than sufficient to support a finding of "cause" to extend the Exclusive Periods. Therefore, the Debtors request that the Court extend the Exclusive Periods for a brief period to allow the Debtors to be given a full and fair opportunity to continue their good faith efforts to market and sell their business as a going concern, without the risk of distraction of any competing plan proposals, and the relief requested herein should be granted. Additionally, the Debtors understand that the Bond Trustee and the Committee support the extension of the Exclusive Periods. Co-Counsel to the Debtors: Stephen O'Brien, Esq. DENTONS US LLP 211 N Broadway Ste 3000 St. Louis, MO 63102 Telephone: (314) 241-1800 Email: stephen.obrien@dentons.com Robert E. Richards, Esq. Samantha Ruben, Esq. DENTONS US LLP 233 S. Wacker Drive, Suite 5900 Chicago, Illinois 60606-6404 Telephone: (312) 876-8000 Email: robert.richards@dentons.com samantha.ruben@dentons.com - and - David A. Sosne, Esq. SUMMERS COMPTON WELLS LLC 903 South Lindbergh Blvd., Suite 200 St. Louis, Missouri 63131 Telephone: (314) 991-4999 Email: dsosne@scw.law About Midwest Christian Villages Midwest Christian Villages Inc. operates a mix of independent, assisted and skilled nursing campuses in 10 locations across the Midwest, serving over 1,000 residents. Midwest Christian Villages and its affiliates filed their voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Mo. Lead Case No. 24-42473) on July 16, 2024, listing $1 million to $10 million in assets and $10 million to $50 million in liabilities. The petitions were signed by Kate Bertram, chief operating officer. Judge Kathy Surratt-States oversees the cases. The Debtors tapped Stephen O'Brien, Esq., at Dentons US, LLP and Summers Compton Wells, LLC as bankruptcy counsels; B.C. Ziegler and Company as investment banker; and Plante Moran as auditor and tax consultant. Kurtzman Carson Consultants, LLC, doing business as Verita Global, is the claims and noticing agent. The U.S. Trustee for Region 13 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. The committee tapped Cullen and Dykman, LLP as general counsel; Sandberg Phoenix & von Gontard P.C. and Schmidt Basch, LLC as local counsel; and Province, LLC as financial advisor. MISSION POINT: Gets Interim OK to Use Cash Collateral ----------------------------------------------------- Mission Point of Detroit, LLC got the green light from the U.S. Bankruptcy Court for the Eastern District of Michigan to use its secured creditor's cash collateral until May 15. The interim order penned by Judge Maria Oxholm authorized the company to use up to $670,000 in cash collateral to pay its business expenses during the interim order. As protection, Huntington National Bank was granted replacement liens on the company's post-petition assets, excluding avoidance actions, to the same extent and priority as its pre-bankruptcy liens. As additional protection, Mission Point of Detroit was ordered to keep its property insured. A final hearing is set for May 15. About Mission Point of Detroit Mission Point of Detroit, LLC is a skilled nursing and rehabilitation facility located in Detroit, Mich. It operates under the Mission Point Healthcare Services network, which manages post-acute care centers across the state. The facility provides short-term rehabilitation, long-term care, and specialized nursing services. Mission Point of Detroit sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Mich. Case No. 25-43883) on April 16, 2025. In its petition, the Debtor reported between $1 million and $10 million in both assets and liabilities. Judge Maria L. Oxholm handles the case. The Debtor is represented by Ryan Heilman, Esq., at Heilman Law, PLLC. MOLECULAR TEMPLATES: Hires Verita as Claims and Noticing Agent -------------------------------------------------------------- Molecular Templates, Inc. and its affiliates seek approval from the U.S. Bankruptcy Court for the District of Delaware to employ Kurtzman Carson Consultants, LLC, doing business as Verita Global, as claims and noticing agent. Verita Global will oversee the distribution of notices and will assist in the maintenance, processing, and docketing of proofs of claim filed in the Chapter 11 cases of the Debtors. The firm received a retainer of $30,000 on behalf of the Debtors. Evan Gershbein, executive vice president at Verita Global, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Evan Gershbein Verita Global 222 N. Pacific Coast Highway El Segundo, CA 90245 Telephone: (310) 823-9000 About Molecular Templates Molecular Templates Inc. is a clinical-stage biopharmaceutical company established in 2001, focusing on the discovery and development of innovative, targeted biologic therapeutics. In particular, Molecular Templates specializes in developing proprietary "engineered toxin bodies" ("ETBs"), a next-generation biologic platform designed to treat cancer and other diseases. The ETBs that Molecular Templates has developed can target cancer in unique ways with the potential to overcome tumor resistance mechanisms. Molecular Templates Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 25-10739) on April 20, 2025. In its petition, the Debtor reports total assets as of April 18, 2025 of $2,492,278 and total debts as of April 18, 2025 of $29,416,746. Honorable Bankruptcy Judge Brendan Linehan Shannon handles the case. The Debtor is represented by Eric D. Schwartz, Esq., Andrew R. Remming, Esq., Austin T. Park, Esq., and Jake A. Rauchberg, Esq. at Morris, Nichols, Arsht & Tunnell LLP. Kurtzman Carson Consultants, LLC is the Debtors' claims & noticing agent. N'JOY ENTERTAINMENT: Seeks to Tap Estelle Miller as Accountant -------------------------------------------------------------- N'Joy Entertainment Center, Inc., doing business as N'Joy Family Café, seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York to employ Estelle Miller, an accountant practicing in Brooklyn, New York. The accountant will provide these services: (a) gather and verify all pertinent information required to compile and prepare monthly operating reports; and (b) prepare monthly operating reports for the Debtor. The accountant will be billed $300 per report. The accountant received an initial retainer fee of $3,000 from the Debtor. Ms. Miller disclosed in a court filing that she is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The accountant can be reached at: Estelle Miller, CPA Brooklyn, NY 11201 Telephone: (347) 570-7002 Email: estellemillercpa@gmail.com About N'Joy Entertainment Center N'Joy Entertainment Center, Inc., doing business as N'Joy Family Cafe, filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-41246) on Mar. 14, 2025, listing under $1 million in both assets and liabilities. The Debtor tapped the Law Offices of Alla Kachan, PC as counsel and Estelle Miller as accountant. N'JOY ENTERTAINMENT: Taps Law Offices of Alla Kachan as Counsel --------------------------------------------------------------- N'Joy Entertainment Center, Inc., doing business as N'Joy Family Cafe, seeks approval from the U.S. Bankruptcy Court for the Eastern District of New York to employ the Law Offices of Alla Kachan, PC as counsel. The firm's services include: (a) assist the Debtor in administering this case; (b) make such motions or take such actions as may be appropriate or necessary under the Bankruptcy Code; (c) represent the Debtor in prosecuting adversary proceedings to collect assets of the estate and such other actions as it deem appropriate; (d) take such steps as may be necessary for the Debtor to marshal and protect the estate's assets; (e) negotiate with the Debtor's creditors in formulating a plan of reorganization in this case; (f) draft and prosecute the confirmation of the Debtor's plan of reorganization in this case; and (g) render such additional services as the Debtor may require in this case. The hourly rates of the firm's counsel and staff are as follows: Attorneys $475 Clerks and Paraprofessionals $250 In addition, the firm will seek reimbursement for expenses incurred. The firm received an initial retainer of $18,000 from the Debtor. Allan Kachan, Esq., an attorney at the firm, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Allan Kachan, Esq. Law Offices of Alla Kachan, P.C. 2799 Coney Island Avenue, Suite 202 Brooklyn, NY 11235 Telephone: (718) 513-3145 About N'Joy Entertainment Center N'Joy Entertainment Center, Inc., doing business as N'Joy Family Cafe, filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-41246) on Mar. 14, 2025, listing under $1 million in both assets and liabilities. The Debtor tapped the Law Offices of Alla Kachan, PC as counsel and Estelle Miller as accountant. NAOTA HASHIMOTO: Seeks to Hire David J. Winterton as Legal Counsel ------------------------------------------------------------------ Naota Hashimoto, LLC seeks approval from the U.S. Bankruptcy Court for the District of Nevada to employ David J. Winterton & Assoc., Ltd. to handle its Chapter 11 case. The firm will be paid at these hourly rates: Attorneys $250 - $400 Paralegals $150 David Winterton, Esq., an attorney at the firm, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: David J. Winterton, Esq. David J. Winterton & Assoc., Ltd. 7881 W. Charleston Blvd., Suite 220 Las Vegas, NV 89117 Telephone: (702) 363-0317 Facsimile: (702) 363-1630 Email: david@davidwinterton.com About Naota Hashimoto Naota Hashimoto LLC is a single-asset real estate debtor, as defined in 11 U.S.C. Section 101(51B). It holds an equitable interest in the property at 395 E. Wigwam Ave., valued at $1.54 million. Naota Hashimoto LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Nev. Case No. 25-11511) on March 1, 2025. In its petition, the Debtor reports total assets of $1,535,000 and total liabilities of $1,212,533. David J. Winterton & Assoc., Ltd. serves as the Debtor's counsel. NAOUI LLC: Seeks to Hire the Law Offices of Ali K as Legal Counsel ------------------------------------------------------------------ Naoui, LLC seeks approval from the U.S. Bankruptcy Court for the District of Maryland to employ the Law Offices of Ali K, LLC as counsel. The firm will render these services: (a) give the Debtor legal advice with respect to its powers and duties; (b) prepare, as necessary, legal papers filed by the Debtor; (c) prepare a disclosure statement and plan of reorganization; and (d) perform all other legal servces for the Debtor which may be necessary herein. The firm's attorney will be compensated at an hourly rate of $425. The firm received a retainer of $5,000 from the Debtor. Duane Demers, Esq., an attorney at the Law Offices of Ali K, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Duane R. Demers, Esq. Law Offices of Ali K, LLC 6328 Baltimore National Pike, Suite 200 Catonsville, MD 21228 Telephone: (443) 274-1002 Facsimile; (443) 274-1002 Email: demers@7474law.com About Naoui LLC Naoui LLC is engaged in the leasing and management of residential, commercial, and industrial real estate properties. Naoui LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Md. Case No. 25-12871) on April 2, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. The Debtor is represented by Duane R. Demers, Esq. at the Law Offices of Ali K, LLC. NLC PRODUCTS: Seeks to Hire Keech Law Firm as Bankruptcy Counsel ---------------------------------------------------------------- NLC Products Inc. seeks approval from the U.S. Bankruptcy Court for the Eastern District of Arkansas to hire Keech Law Firm, PA as attorneys. The firm will render these services: (a) represent the Debtor with regard to the filing of Chapter 11 petitions, schedules, and in the prosecution of its Chapter 11 case with respect to Debtor's powers and duties; and (b) perform all legal services for the Debtor which may be necessary in connection with its Chapter 11 case. The firm will be paid at these hourly rates: Kevin Keech, Attorney $400 Paralegals $150 Legal Assistants $125 The firm received a retainer of $12,000 from the Debtor. Mr. Keech disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Kevin P. Keech, Esq. Keech Law Firm, P.A. Amity, AR 71921 Telephone: (501) 221-3200 Facsimile: (501) 221-3201 About NLC Products Inc. NLC Products Inc. is a privately held company specializing in niche catalog and e-commerce retail. Based in Arkansas, it operates a range of brands across various lifestyle segments, including gifts, apparel, and specialty merchandise. One of its notable subsidiaries is SGT GRIT, a brand dedicated to United States Marine Corps-themed apparel and accessories, which NLC acquired to expand its patriotic and military-focused offerings. NLC Products Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Ark. Case No. 25-11264) on April 14, 2025. In its petition, the Debtor reports total assets of $4,144,606 and total liabilities of $3,997,628. Honorable Bankruptcy Judge Phyllis M.Jones handles the case. The Debtor is represented by Kevin P. Keech, Esq. at KEECH LAW FIRM, PA. OFP FORT: Secured Party Sets Auction for June 3, 2025 ----------------------------------------------------- VMC Finance 2021-FL4 LLC will offer for sale all right, title and interest of OFP Fort Lauderdale Sub-Holdings LLC in and to 100% of the limited liability company interests, together with all economic rights and governance rights associated therewith in and to OFP Fort Lauderdale. The sale will occur on June 3, 2025, at 3:00 p.m. ET in the front of the Broward Country Central Courthouse located at 201 S.E. 6th Street, Forth Lauderdale, Florida 33301 with an option to participate virtually via the following meeting link: https://bit.ly/OneFinancialUCC, meeting ID: 868-7658-3153, Password: 253677, Call-in number: 1-646-931-3860 (US). Parties interested in bidding on the collateral must contact Secured Party's advisory Brock Cannon at Newmark Loan Sale Advisory Group via email at Brock.Cannon@nmrk.com. The successful bider will be responsible for the payment of all transfer taxes, stamp duties and similar taxes incurred in connection with the purchase of the collateral. OFO Fort Lauderdale owns a real property and improvement commonly known as One Financial Plaza and located at 100 SE 3rd Avenue, Fort Lauderdale, Florida 33304. OMRAADHI LLC: Eric Terry Named Subchapter V Trustee --------------------------------------------------- The U.S. Trustee for Region 7 appointed Eric Terry as Subchapter V trustee for Omraadhi LLC. Mr. Terry will charge $450 per hour for his services as Subchapter V trustee and $50 per hour for his support staff working under his direct supervision. The Subchapter V trustee will seek reimbursement for work-related expenses incurred. Mr. Terry declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Eric Terry 3511 Broadway San Antonio, TX 78209 Phone: (210)468-8274 Email: eric@ericterrylaw.com About Omraadhi LLC Omraadhi, LLC owns and operates the Econo Lodge Inn & Suites in San Antonio, Texas, offering affordable lodging accommodations and rental services for travelers visiting the city. Omraadhi sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Texas Case No. 25-50704) on March 1, 2025. In its petition, the Debtor reported between $1 million and $10 million in both assets and liabilities. Judge Craig A. Gargotta handles the case. The Debtor is represented by Joyce W. Lindauer, Esq., at Joyce W. Lindauer Attorney, PLLC. OPTINOSE INC: Kingdon Capital Holds 5.1% Equity Stake ----------------------------------------------------- Kingdon Capital Management, L.L.C. and Mark Kingdon, disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of April 9, 2025, they beneficially owned 520,485 shares of OptiNose, Inc.'s Common Stock, representing 5.1% of the outstanding shares. Kingdon Capital may be reached through: Richard Weinstein, Chief Operating Officer & General Counsel 152 West 57th Street, 50th Floor New York, New York 10019 Tel: 212-333-0100 A full-text copy of Kingdon Capital's SEC report is available at: https://tinyurl.com/2xuxphnn About OptiNose, Inc. OptiNose, Inc. -- www.optinose.com -- is a specialty pharmaceutical company based in Yardley, Pennsylvania, focused on developing and commercializing products for patients treated by ear, nose and throat (ENT) and allergy specialists. The Company's first product, XHANCE (fluticasone propionate) nasal spray, utilizes its proprietary Exhalation Delivery System (EDS) to treat chronic rhinosinusitis, including cases with and without nasal polyps. XHANCE delivers medication to deeper, hard-to-reach areas of the nasal passages, offering a potential improvement over conventional intranasal steroids. Optinose also aims for XHANCE to become a standard maintenance therapy following sinus surgery to enhance patient outcomes. Philadelphia. Pa.-based Ernst & Young LLP, the Company's auditor since 2016, issued a "going concern" qualification in its report dated Mar. 26, 2025, attached in the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2024, citing that the Company has suffered recurring losses from operations, has a working capital deficiency and expects to not be in compliance with certain debt covenants, and has stated that substantial doubt exists about the Company's ability to continue as a going concern. As of Dec. 31, 2024, the Company had $128.8 million in total assets, $169.1 million in total liabilities, and a total stockholders' deficit of $40.4 million. OTB HOLDING: May 29, 2025 Claims Filing Deadline Set ---------------------------------------------------- The U.S. Bankruptcy Court for the Norther District of Georgia set May 29, 2025, at 5:00 p.m., prevailing Eastern Time as the last date and time for person or entities to file proofs of claim against OTB Holding LLC and its debtor-affiliates. The Court also set Oct. 21, 2025, at 5:00 p.m. Prevailing Eastern Time, as the deadline for all governmental units to file proofs of claim against the Debtors. Each Proof of Claim (including supporting documentation) must be filed so as to be received, on or before the applicable Bar Date by (i) electronically using the interface available on the Notice and Claims Agent's website at https://epoc.veritaglobal.net/ontheborder; or (ii) first-class U.S. Mail, overnight mail, or other hand-delivery system, which Proof of Claim must include an original signature, at the following address: OTB Holding LLC Claims Processing Center c/o KCC dba Verita 222 N. Pacific Coast Hwy, Suite 300 El Segundo, CA 90245 Tel: (888) 647-1744 Proofs of claim submitted by facsimile or electronic mail will not be accepted and will not be deemed timely Filed. About OTB Holding OTB Holding LLC and its affiliates are the operators of the well-known restaurant brand "On The Border Mexican Grill & Cantina," which focuses on the development, operation, and franchising of casual dining establishments in the U.S. and South Korea. Founded in 1982 mesquite-grilled fajitas, award-winning margaritas, house-made salsa, and endless chips and salsa. As of March 2025, OTB operated 60 restaurant locations across 18 states, all of which are leased. In addition, the Company had franchise agreements with third parties who run 20 additional locations in the U.S. and South Korea. OTB Holding and six affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Lead Case No. 25-52415) on March 4, 2025. In the petitions signed by Jonathan Tibus as chief restructuring officer, OTB estimated assets of $10 million to $50 million and liabilities of $10 million to $50 million. Judge Sage M. Sigler presides over the cases. Jeffrey R. Dutson, Esq., Brooke L. Bean, Esq., and Kyung Won Song, Esq., at King & Spalding LLP, serve as the Debtors' legal counsel. Alvarez & Marsal North America, LLC, is providing the Chief Restructuring Officer. Hilco Corporate Finance, LLC, is the Debtors' lead investment banker. Kurtzman Carson Consultants, LLC, is the claims and noticing agent. PACIFIC PRAIRIE: Seeks to Hire Swanson Sweet as Bankruptcy Counsel ------------------------------------------------------------------ Pacific Prairie Holdings LLC seeks approval from the U.S. Bankruptcy Court for the Eastern District of Wisconsin to hire Swanson Sweet LLP as its general bankruptcy counsel. The firm's services include: a. advising the Debtor with respect to its powers and duties as Debtor in possession and the continued management and operation of its business and property; b. assisting the Debtor with the commencement of DIP operations, including the initial debtor interview, section 341 meeting of creditors and monthly reporting requirements; and c. advising the Debtor and taking all necessary action to protect and preserve the Debtor's estate, including prosecuting actions on behalf of the Debtor, defending any action commenced against the Debtor, and representing the Debtor's interests in negotiations concerning litigation in which the Debtor is involved; d. preparing bankruptcy schedules, statements of financial affairs, and all related documents; e. assisting with the preparation of a plan of reorganization and the related negotiations and hearings; f. preparing pleadings in connection with the Chapter 11 case, including motions, applications, answers, orders, reports, and papers necessary or otherwise beneficial to the administration of the Debtor's estate; g. analyzing executory contracts and unexpired leases, and the potential assumptions, assignments, or rejections of such contracts and leases; h. advising the Debtor in connection with any potential sale of assets; i. appearing at and being involved in various proceedings before this Court; and j. analyzing claims and prosecuting any meritorious claim objections. The firm will be paid at these hourly rates: Craig E. Stevenson, Partner $525 Michael C. Jurkash, Associate $310 Mindy Pieper, Paralegal $195 Michael Doerr, Paralegal $195 Sydney Haase, Legal Assistant $175 Mr. Stevenson does not hold or represent any interest adverse to the Debtor or its Chapter 11 estate, its creditors, or any other party in interest and is a "disinterested person" as that term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Craig E. Stevenson, Esq. Swanson Sweet LLP 8020 Excelsior Drive, Ste 401 Madison, WI 53717 Phone: (920) 633-3397 About Pacific Prairie Holdings LLC Pacific Prairie Holdings LLC is a single asset real estate company based in Genesee Depot, Wisconsin. Pacific Prairie Holdings LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Wis. Case No. 25-22125) on April 18, 2025. In its petition, the Debtor reports estimated assets between $500,000 and $1 million and estimated liabilities between $100,000 and $500,000. Honorable Bankruptcy Judge G Michael Halfenger handles the case. The Debtor is represented by Michael Jurkash, Esq. and Craig E. Stevenson, Esq. at Swanson Sweet LLP PEOPLE FIRST: Taps Financial Relief Law Center as Counsel --------------------------------------------------------- People First Pizza, Inc. seeks approval from the U.S. Bankruptcy Court for the Central District of California to hire Financial Relief Law Center, APC as general bankruptcy counsel. The firm will render these services: 1. represent Debtor as a Debtor in Possession; 2. advise Debtor regarding the requirements of the Bankruptcy Code, the Bankruptcy Rules, the Local Bankruptcy Rules, and the requirements of the Office of the United States Trustee pertaining to the administration of the Estate and the use thereof; 3. prepare, among other things, motions, applications, answers, orders, memoranda, reports, and papers in connection with the administration of the Estate; 4. analyze and prepare necessary objections to proofs of claim filed against the Estate; 5. represent the Debtor in any proceeding or hearing in the Court; 6. negotiate, formulate, and draft any plan(s) of reorganization and disclosure statement(s); 7. advise and represent Debtor in connection with their investigation of potential causes of action against persons or entities, including, but not limited to, avoidance actions, and the litigation thereof, if warranted; and 8. render such other advice and services as Debtor may require in connection with the Case; and 9. assist Debtor with monthly operating reports and compliance with guidelines of the Office of the United States Trustee. The firm received a retainer in the amount of $33,000. As disclosed in the court filings, Financial Relief Law Center, APC is a "disinterested person" within the meaning of section 101(14) of the Bankruptcy Code and the Firm does not hold any interest adverse to the Estate. The firm's current hourly rates are: Andy C. Warshaw, Partner $400 Amanda Billyard, Partner $400 Rich Sturdevant, Associate $385 Associate or Of Counsel $305 Paralegal $250 Victor Ugarte, Legal Assistant $195 Richard Sturdevant, Esq., a partner at Financial Relief Law Center, attests that he and his firm are "disinterested persons" within the meaning of Section 101 (14) of the Bankruptcy Code. The firm can be reached at: Richard Sturdevant, Esq. Financial Relief Law Center, APC 1200 Main Street, Suite G Irvine, CA 92614 Telephone: (714) 442-3319 Facsimile: (714) 361-5380 Email: rich@bwlawcenter.com About People First Pizza Inc. People First Pizza, Inc. owns Domino's Pizza franchises in multiple locations and filed for bankruptcy due to MCA loans, a PAGA lawsuit from a former employee, and other liabilities. People First Pizza sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 25-10764) on March 26, 2025, listing up to $500,000 in assets and up to $1 million in liabilities. Cindy Gagliardi, president of People First Pizza, signed the petition. Judge Theodor Albert oversees the case. Richard Sturdevant, Esq., at Financial Relief Law Center, APC, represents the Debtor as bankruptcy counsel. POET TECHNOLOGIES: Targeting Strong Revenue Growth in 2026 ---------------------------------------------------------- POET Technologies Inc. announced significant new customer engagement in response to live demonstrations of the POET Teralight line of 1.6T transmit and receive optical engines that broke performance expectations at the 2025 Optical Fiber Communications (OFC) Conference at the Moscone Center in San Francisco, California. POET also debuted POET Blazar, a groundbreaking external light source (ELS) that promises to shrink costs by an order of magnitude with the potential to disrupt the AI connectivity ecosystem at a time when the industry is in need of viable new solutions. "Blazar represents a new class of laser and is designed to drive AI connectivity to the next level. It can transform the economics of AI connectivity with an architecture that reduces costs and increases scale and manufacturing efficiency," said Dr. Suresh Venkatesan, the Company's Chairman & CEO. "With the massive amount of compute power that AI demands, we believe that Blazar offers an economically superior solution for co-packaged optics (CPO) applications and, more importantly, for chip-to-chip, light-based connectivity in AI clusters." "The period immediately following OFC is a crucial one for POET and we are seeing robust engagement with existing and new customers alike," commented Raju Kankipati, POET's Chief Revenue Officer. "We are laser focused on driving revenue this year and preparing for substantial revenue growth in 2026." About POET Technologies Inc. POET Technologies Inc. -- www.poet-technologies.com -- is a design and development company offering high-speed optical modules, optical engines, and light source products to the artificial intelligence systems market and hyperscale data centers. POET's photonic integration solutions are based on the POET Optical Interposer, a novel, patented platform that allows the seamless integration of electronic and photonic devices into a single chip using advanced wafer-level semiconductor manufacturing techniques. POET's Optical Interposer-based products are lower cost, consume less power than comparable products, are smaller in size, and are readily scalable to high production volumes. In addition to providing high-speed (800G, 1.6T, and above) optical engines and optical modules for AI clusters and hyperscale data centers, POET has designed and produced novel light source products for chip-to-chip data communication within and between AI servers, the next frontier for solving bandwidth and latency problems in AI systems. POET's Optical Interposer platform also solves device integration challenges in 5G networks, machine-to-machine communication, self-contained "Edge" computing applications, and sensing applications, such as LIDAR systems for autonomous vehicles. POET is headquartered in Toronto, Canada, with operations in Allentown, PA, Shenzhen, China, and Singapore. Hartford, Conn.-based Marcum LLP, the Company's auditor since 2009, issued a "going concern" qualification in its report dated March 15, 2024, citing that the Company has incurred significant losses over the past few years and needs to raise additional funds to meet its future obligations and sustain its operations. As of Dec. 31, 2024, the Company had $69,652,449 in total assets, $48,963,562 in total liabilities, and a total stockholders' equity of $20,688,887. POWER STOP: Moody's Lowers CFR to Caa1, Outlook Stable ------------------------------------------------------ Moody's Ratings downgraded the ratings of Power Stop, LLC (Power Stop), including its corporate family rating to Caa1 from B3, probability of default rating to Caa1-PD from B3-PD and senior secured bank credit facility to Caa1 from B3. The stable outlook was maintained. The downgrade reflects Moody's expectations that declines in EBITDA will result in higher leverage, lower liquidity and negative free cash flow. Moody's expects revenue and EBITDA to decrease and result in debt-to-EBITDA over 7.0x by the end of 2025. With lower EBITDA, high interest expense and tax distributions paid to the sponsor, Moody's forecasts negative free cash flow in 2025 and 2026. Governance was a key consideration for this rating action due to aggressive financial strategies and risk management practices, including a significant debt load that resulted in limited financial flexibility to address lower volumes, an adverse shift in sales mix and increasing costs. The credit impact score was revised to CIS-5 from CIS-4 to reflect these risks and a track record that has failed to adequately address the declining operating results. The CIS-5 indicates that the rating is lower than it would have been if ESG risk exposures did not exist and that the negative impact is more pronounced than for issuers scored CIS-4. RATINGS RATIONALE Power Stop's Caa1 CFR reflects Moody's expectations that the company's operating results will decline and credit metrics will weaken. Moody's expects revenue to decrease in the mid to upper-single digits in 2025 driven by lower volumes and an unfavorable product mix as consumers continue to shift away from premium priced brake kits toward economy brake kits and components. Moody's assumes that gross margin will compress with the ongoing unfavorable product mix and rising costs given that the company's components are sourced from overseas and tariffs will meaningfully increase expenses. The company's ability to pass along higher costs may prove to be challenging in the near term, although the company has historically implemented price hikes. Further, Power Stop's efforts to source from other countries will take time to implement. The rating also reflects Power Stop's limited size and lack of diversification given its sole focus on aftermarket brakes. In addition, the company has significant customer concentration in its two largest customers. However, the rating also reflects company's strong EBITA margin that has averaged over 20% and its strong brand recognition among automotive enthusiasts in the do-it-yourself (DIY) and do-it-for-me (DIFM) categories. The stable outlook reflects Moody's views that Power Stop's pricing actions will moderate the revenue decline and benefit margin in the latter part of 2025 and result in modest revenue growth in 2026. Moody's expects Power Stop's liquidity to be adequate despite negative free cash flow forecast in 2025 and 2026. Moody's expects Power Stop to rely on its $40 million revolver to fund the shortfall. The revolver is subject to a springing first lien net leverage covenant if over 40% is drawn. Moody's expects Power Stop will remain in compliance with this covenant during the next 12-18 months. There are no near term debt maturities until the revolver expires in 2027. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be downgraded if EBITDA/interest expense is below 1.5x, or liquidity weakens, including if negative free cash flow is expected to be sustained and availability on the revolver becomes limited. The rating could also be downgraded if efforts to offset higher costs associated with tariffs are not successful and the expected increase in leverage cannot be reversed. The ratings could also be downgraded if Moody's believes the likelihood of default or debt restructuring increases or Moody's estimates of recovery rates declines. The ratings could be upgraded if the company demonstrates organic revenue growth driven by higher volumes, a more favorable product mix and effective pricing actions. The rating could also be upgraded if tariffs costs are mitigated or otherwise offset and profitability improves. More specifically, the rating could be upgraded if debt-to-EBITDA is expected to remain below 7.0x and free cash flow is positive. The principal methodology used in these ratings was Automotive Suppliers published in December 2024. Power Stop, LLC sells brake kits, components and related accessories through major online retailers and traditional warehouse distributors. Revenue was approximately $275 million for the twelve months ended March 31, 2025. The company is majority owned by private equity firm TSG Consumer Partners. PRO-FIT BASKETBALL: Gets Interim OK to Use Cash Collateral ---------------------------------------------------------- Pro-Fit Basketball Training, LLC got the green light from the U.S. Bankruptcy Court for the District of Maryland to use the cash collateral of its secured lenders. The order penned by Judge Lori Simpson authorized the company's interim use of cash collateral in accordance with its budget, which projects total operational expenses of $47,149.03 for May. The secured lenders that assert interest in the cash collateral, which includes cash, receivables and future receivables, are the U.S. Small Business Administration, Ascendus Inc., Amalgamated Bank, TD Bank National Association, Velocity Capital Group, E Advance Services, Paraffin Inc., Funding Futures LLC, Merk Funding Inc., App Funding Beta LLC, KOA Sports League Inc. and an unknown lienholder serviced by C T Corporation System. In exchange for the use of their cash collateral, the secured lenders were granted a replacement security interest in all of the company's pre-bankruptcy collateral and post-petition assets. The next hearing is scheduled for May 21. About Pro-Fit Basketball Training Pro-Fit Basketball Training LLC offers high-level basketball training programs for athletes of all skill levels. The Company provides private, small group, and specialized training, focusing on skills development, footwork, and basketball IQ. Programs are designed for everyone, from beginners to professional players, including camps, private lessons, and group training like their "Rising Stars" and "Next Level" classes. Trainers at Pro-Fit are former professional and NCAA D1 players with experience at the NBA and international levels, offering tailored programs that aim to maximize athletic performance. Additionally, the Company has a state-of-the-art weight room to develop strength and agility. Pro-Fit Basketball Training sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Md. Case No. 25-12912) on April 2, 2025. In its petition, the Debtor reported up to $50,000 in assets and between $1 million and $10 million in liabilities. Judge Lori S. Simpson oversees the case. The Debtor is represented by David Cahn, Esq., at the Law Office of David Cahn, LLC. PROJECT PIZZA: 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 Project Pizza Sunset, LLC. 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 Project Pizza Sunset Project Pizza Sunset, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Calif. Case No. 25-30258) on April 1, 2025, listing up to $500,000 in assets and up to $1 million in liabilities. Boris Nemchenok, manager, signed the petition. Robert G. Harris, Esq., at Binder Malter Harris Rome-Banks, LLP, represents the Debtor as legal counsel. PROVIDENT GROUP-SH II: S&P Rates 2025A Revenue Bonds 'BB+' ---------------------------------------------------------- S&P Global Ratings assigned its 'BB+' long-term rating to Washington State Housing Finance Commission's $450.1 million (estimated) nonprofit revenue bonds, series 2025A, issued for Provident Group-SH II Properties LLC, the sole member of which is Provident Resources Group Inc. The outlook is stable. S&P said, "We analyzed the project's environmental, social, and governance factors related to its market position and financial performance. The region has exposure to environmental risk from rising sea levels and earthquakes, but we feel the project locations and university building standards mitigate this risk. We view social and governance factors as neutral in our credit rating analysis. "The stable outlook reflects our expectation that during the outlook period, construction will progress on time and within budget. "We could consider a negative rating action during the outlook period if there are cost overruns or construction delays that inhibit the project's ability to open on time. Beyond the outlook period, we could consider a negative rating action if occupancy is materially weaker than projected, pressuring the project's ability to meet covenanted coverage. "We do not expect to raise the rating or revise the outlook to positive during the outlook period as the project will be under construction. Beyond the outlook period, an established trend of strong occupancy and DSC over 1.2x on all debt obligations could lead to a positive rating action." R2 MARKETING: Hires DiMarco Warshaw as General Bankruptcy Counsel ----------------------------------------------------------------- R2 Marketing and Consulting, LLC seeks approval from the U.S. Bankruptcy Court for the Central District of California to hire DiMarco Warshaw, APLC as general bankruptcy counsel. The firm will render these services: 1. represent Debtor as a Debtor in Possession; 2. advise Debtor regarding the requirements of the Bankruptcy Code, the Bankruptcy Rules, the Local Bankruptcy Rules, and the requirements of the Office of the United States Trustee pertaining to the administration of the Estate and the use thereof; 3. advise and represent the Debtor concerning its rights and remedies regarding the assets of the Estate; 4. prepare, among other things, motions, applications, answers, orders, memoranda, reports, and papers in connection with the administration of the Estate, including assisting with monthly operating reports; 5. protect and preserve the Estate by prosecuting and defending actions commenced by or against the Debtor; 6. analyze and prepare necessary objections to proofs of claim filed against the Estate; 7. represent Debtor in proceedings or hearings in this Court; 8. negotiate, formulate, and draft any plan(s) of reorganization and disclosure statement(s); 9. advise and represent Debtor in connection with its investigation of potential causes of action against persons or entities, including, but not limited to, avoidance actions, and the litigation thereof, if warranted; and 10. render such other advice and services as Debtor may require in connection with the Case. The firm's hourly rates are as follows: Darren J. DiMarco, Partner $500 Andy C. Warshaw, Partner $460 Martha A. Warriner, Of Counsel $425 Other Of Counsel Attorney $425 Firm Associates $350 Paralegals/Paraprofessionals $225 Law Clerks $195 In addition, the firm will seek reimbursement for expenses incurred. The firm received an initial retainer in the amount of $10,000 plus the court filing fee of $1,738 from the Debtor. Mr. Warshaw 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: 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 R2 Marketing & Consulting R2 Marketing & Consulting, LLC is a full-service non-emergency medical transportation company operating throughout Orange County and surrounding areas, providing safe and reliable transport for patients to various medical appointments. The Company's services include transportation for doctor's visits, physical therapy, hospice care, assisted living, and more. R2 Marketing & Consulting sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-10631) on March 12, 2025. In its petition, the Debtor reported total assets of $5,354 and total liabilities of $2,285,519. Judge Scott C. Clarkson oversees the case. Michael R. Totaro, Esq., at Totaro and Shanahan, LLP, represents the Debtor as legal counsel. R2 MARKETING: Seeks to Hire Penny M. Fox CPA as Accountant ---------------------------------------------------------- R2 Marketing and Consulting, LLC seeks approval from the U.S. Bankruptcy Court for the Central District of California to hire Penny M. Fox, CPA, A Professional Accountancy Corporation. The firm's services include: a. preparation and submission of State and Federal Tax preparation including prior years returns; b. advise as needed for Tax Planning; c. representation before the IRS for any tax matter; and d. production of all reports required by the United States Trustee for the individual Debtor and his businesses. The firm's hourly rate for this matter is $350. The retainer fee is $5,000. Penny M. Fox demonstrates she is a "disinterested person" as defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Penny M. Fox, CPA Penny M. Fox CPA 15615 Alton Pkwy #450 Irvine, CA 92618 Phone: (949) 271-6547 About R2 Marketing & Consulting R2 Marketing & Consulting, LLC is a full-service non-emergency medical transportation company operating throughout Orange County and surrounding areas, providing safe and reliable transport for patients to various medical appointments. The Company's services include transportation for doctor's visits, physical therapy, hospice care, assisted living, and more. R2 Marketing & Consulting sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-10631) on March 12, 2025. In its petition, the Debtor reported total assets of $5,354 and total liabilities of $2,285,519. Judge Scott C. Clarkson oversees the case. Michael R. Totaro, Esq., at Totaro and Shanahan, LLP, represents the Debtor as legal counsel. RADIX HAWK: Gets OK to Tap Michael Moecker as Restructuring Advisor ------------------------------------------------------------------- Radix Hawk Holdings, LLC received approval from the U.S. Bankruptcy Court for the Northern District of Florida to employ Michael Moecker & Associates, LLC as restructuring advisor. The firm will provide Philip von Kahle as chief restructuring officer and certain additional personnel to the Debtor. The CRO and additional personnel will render these services: (a) assume financial and operational control of the Debtor; (b) Philip Von Kahle, Jr., CPA will be appointed as the Debtor's CRO; (c) Philip Von Kahle will be provided with unfettered access to all of the Debtor's books, records and financial information for him to assess the solvency of it, to be fully briefed by outside counsel for it concerning their investigation and other matters associated with the defaulted loan; (d) work closely with the Debtor and counsel for the Debtor to implement its chapter 11 bankruptcy filing, with Philip Von Kahle serving as the primary point of contact for the Debtor, the court, and other interested parties to the extent a corporate representative is necessary; (e) assume other responsibilities in connection with the foregoing, with wide latitude with respect to what needs to be done for the Debtor from a financial standpoint in fulfillment of his role and title as CRO; (f) assist the Debtor with investigating and reconstructing financial information to be used in connection with the its chapter 11 bankruptcy case; (g) work with the Debtor's accounting staff to assist with the preparation of the initial chapter 11 filing documents required by bankruptcy counsel; (h) review all cash receipts and disbursement transactions for potential fraudulent transfer transactions as the term is defined under the bankruptcy code, and actual fraud; (i) work with the Debtor's staff to assist with the proper set up of pre and post filing accounts payable and other unsecured and secured creditor balance at the date of filing; (j) assist with the preparation of Monthly Operating Reports to the court while in bankruptcy for subsequent filing by bankruptcy counsel; (k) work with the Debtor and bankruptcy counsel in the development of either a plan of reorganization or a plan of sale for the Debtor; and (l) provide other services as may be requested by the Debtor or its counsel. The firm will be paid at these hourly rates: Chief Restructuring Officer $450 Case Administrator/Associate $220 Clerical $100 In addition, the firm will seek reimbursement for expenses incurred. The firm received an initital retainer of $40,000 from the Debtor. Mr. Von Kahle disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Philip Von Kahle Michael Moecker & Associates Inc. 1885 Marina Mile Blvd., Suite 103 Fort Lauderdale, FL 33315 Telephone: (954) 252-1560 Facsimile: (954) 252-2791 About Radix Hawk Holdings Radix Hawk Holdings LLC is a real estate holding company primarily owning hotel and motel complexes located at 5859 American Way, Orlando, FL 32819. Radix Hawk Holdings LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-01631) on March 24, 2025. In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $10 million and $50 million. Honorable Bankruptcy Judge Lori V. Vaughan handles the case. The Debtor is represented by Craig I. Kelley, Esq., at Kelley Kaplan & Eller, PLLC. Michael Moecker & Associates, LLC is the Debtor's restructuring advisor. REKOR SYSTEMS: Investigates 14% Stock Accumulation via DTC ---------------------------------------------------------- Rekor Systems, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that it has become aware of significant accumulation of its common stock held through a single participant of the Depository Trust Company. Based on information available to the Company, this accumulation represents approximately 14% of the Company's outstanding common stock as of March 28, 2025. Based on the Company's investigation, the accumulation appears to have started in late December 2024 and has continued to date. The Company is unable to determine currently whether the accumulated shares are held by a single beneficial owner, a group of beneficial owners acting in concert, or multiple unrelated holders through the DTC participant. To date, to the Company's knowledge, no beneficial ownership reports on Schedules 13D or 13G, no quarterly portfolio holdings reports on Form 13F, nor any Section 16 filings on Forms 3, 4, or 5 have been filed with the Securities and Exchange Commission in connection with the aforementioned accumulation. Under SEC regulations, a person or group acquiring beneficial ownership of more than 5% of a voting class of the Company's equity securities is generally required to file a Schedule 13D or 13G within specified timeframes, certain institutional investment managers holding voting power or investment discretion over such securities are required to file a Form 13F quarterly, and certain insiders are required to file Section 16 reports for transactions involving the Company's securities. The Company has notified the SEC and the Financial Industry Regulatory Authority to request their assistance in reviewing this matter to determine whether any required disclosures have not been made. The Company is cooperating fully with any inquiries and will continue to monitor the situation closely. The Company believes this information may be material to its stockholders as it could indicate significant ownership interest or potential changes in control, although no definitive conclusions can be drawn at this time. The Company is committed to transparency if and when additional material information becomes available. About Rekor Systems Rekor Systems, Inc., headquartered in Columbia, Md., is working to revolutionize public safety, urban mobility, and transportation management using AI-powered solutions designed to meet the distinct demands of each market it serves. The Company works hand-in-hand with its customers to deliver mission-critical traffic and engineering services that assist them in achieving their goals. The Company's vision is to improve the lives of citizens and the world around them by enabling safer, smarter, and greener roadways and communities. The Company works towards this by collecting, connecting, and organizing mobility data, and making it accessible and useful to its customers for real-time insights and decisioning for situational awareness, rapid response, risk mitigation, and predictive analytics for resource and infrastructure planning and reporting. East Hanover, N.J.-based Marcum LLP, the Company's auditor since 2019, issued a "going concern" qualification in its report dated March 25, 2024, citing that the Company has incurred significant losses and may need to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. RENOVARO INC: William Wittekind Holds 10.4% Stake as of Apr. 10 --------------------------------------------------------------- William Anderson Wittekind disclosed in a Schedule 13D (Amendment No. 20) filed with the U.S. Securities and Exchange Commission that as of April 10, 2025, he beneficially owned 18,133,196 shares of Renovaro Inc.'s common stock, representing 10.4% of the 158,717,509 shares outstanding as of February 12, 2025. William Wittekind may be reached through: Patrick T. McCloskey McCloskey Law PLLC, 260 Madison Avenue, 15th Floor New York, NY, 10016 Tel: (646) 970-0611 A full-text copy of Mr. Wittekind's SEC report is available at: https://tinyurl.com/akr9rdub About Renovaro Inc. Headquartered in Los Angeles, Calif., Renovaro Inc. -- http://www.renovarobio.com-- formerly Renovaro BioSciences Inc., is a biotechnology company intending, if the necessary funding is obtained, to develop advanced allogeneic cell and gene therapies to promote stronger immune system responses potentially for long-term or life-long cancer remission in some of the deadliest cancers, and potentially to treat or cure serious infectious diseases such as Human Immunodeficiency Virus (HIV) infections. As a result of the Company's acquisition of GEDi Cube Intl on Feb. 13, 2024, the Company has shifted the Company's primary focus and resources to the development of the GEDi Cube Intl technologies. Draper, Utah-based Sadler, Gibb & Associates, LLC, the Company's auditor since 2018, issued a "going concern" qualification in its report dated Oct. 10, 2024, citing that the Company has incurred substantial recurring losses from operations, has used cash in the Company's continuing operations, and is dependent on additional financing to fund operations which raises substantial doubt about its ability to continue as a going concern. As of December 31, 2024, Renovaro had $111,340,272 in total assets, $29,280,954 in total liabilities, and total stockholders' equity of $82,059,318. RICHMOND TELEMATICS: Gets OK to Tap Income Tax & More as Accountant ------------------------------------------------------------------- Richmond Telematics, Inc. received approval from the U.S. Bankruptcy Court for the Middle District of Florida to employ Danielle Business Service, Inc., doing business as Income Tax and More, as accountant. The firm will provide monthly operating reports, monthly bookkeeping, payroll services, and sales tax return filings and corporate returns. Linda Hubert, the primary accountant in this representation, will be billed $450 per month for payroll administration, general ledger maintenance, sales tax filing, and preparation of Chapter 11 monthly operating reports. In addition, an annual fee of $425 is charged in the preparation and filing of federal and state annual tax returns plus out-of-pocket expenses. Ms. Hubert disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Linda S. Hubert Income Tax and More 2800 Aurora Rd. Ste. C Melbourne, FL 32935 About Richmond Telematics Richmond Telematics, Inc. is an automotive repair shop specializing in transmission services. It offers a wide range of services including automatic, manual, and continuously variable transmissions, as well as differential, axle, driveshaft, and suspension repairs. Richmond Telematics filed Chapter 11 petition (Bankr. M.D. Fla. Case No. 25-00907) on February 18, 2025, listing $1,216,440 in assets and $1,614,121 in liabilities. Christine Fernandez, president, signed the petition. Judge Lori V. Vaughan oversees the case. The Debtor tapped Jeffrey S. Ainsworth, Esq., at Branson Law, PLLC as bankruptcy counsel and Danielle Business Service, Inc., doing business as Income Tax and More, as accountant. ROBERT PAUL: Hires Chad Curvin Auction Solutions as Auctioneer -------------------------------------------------------------- Robert Paul Johnson Investments, LLC seeks approval from the U.S. Bankruptcy Court for the Northern District of Alabama to employ Chad Curvin Auction Solutions, LLC as auctioneer. The Debtor needs an auctioneer to conduct a public auction to sell its property located at 4003 Hwy. 79 South, Guntersville, Alabama. The firm will receive a commission of 10 percent of the property's net sales price, 10 percent buyer's premium to be paid by the buyer. If consulting services are necessary, such services will be billed at $90 per hour plus reasonable expenses. Chad Churvin, a member of the firm, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Chad Churvin Chad Curvin Auction Solutions, LLC P.O. Box 598 Alexandria, AL 36250 Telephone: (256) 453-0635 About Robert Paul Johnson Investments Robert Paul Johnson Investments, LLC filed Chapter 11 petition (Bankr. N.D. Ala. Case No. 25-40503) on April 15, 2025, listing under $1 million in both assets and liabilities. Tameria S. Driskill, Esq., serves as the Debtor's counsel. RODFER LLC: Unsecured Creditors Will Get 3% of Claims in Plan ------------------------------------------------------------- Rodfer, LLC filed with the U.S. Bankruptcy Court for the District of Puerto Rico a Disclosure Statement describing Plan of Reorganization dated March 31, 2025. The Debtor is a privately owned corporation incorporated under the Laws of the Commonwealth of Puerto Rico on October 21, 2016. It is located at 100 Avenida Hernan Cortes, Trujillo Alto, Puerto Rico. The Debtor is dedicated to the management of Pharmacy which also has a convenience store. Debtor's shareholders are Mrs. Chavelly Vellon and Mr. Wilfredo Rodriguez. It currently has eleven employees. It operates in a leased facility and has scheduled assets with an estimated value of $152,000, as of the filing date. Prior to Bankruptcy, Debtor's principal medicines supplier, Drogueria Betances, filed a case for collection of money in case styled TJ2024CV00210, which attempted against Debtor's operation. Thus, in an effort to protect its businesses, protect its assets, and obtain a breathing spell and the benefits of 11 U.S.C. 362 (a), which stays all collection actions and judicial proceedings, on July 3, 2024, Debtor filed its Chapter 11 petition. Class 4 consists of General Unsecured Claims. The Holders of Allowed General Unsecured Claims, including Betances's deficiency claim, will be paid in full satisfaction of their claims 3% thereof on the Effective Date of the Plan. The allowed unsecured claims total $142,776.11. On or before October 31, 2025, Debtor will receive $250,000 from a Post-petition DIP Financing, specifically from an entity with various exclusive Advantage Contracts and medical offices, among other related business, in exchange for 60% of the common stock of the Debtor. By the alliance between Debtor and new referrals it will obtain, it is expected that Debtor's sales (meds) exceed $110,000 per month. Also, the capital contribution set forth above, will provide the necessary funds to make part of the payments set forth in the Plan. The aforementioned contribution is totally conditioned to the confirmation of Debtor's Plan. Class 5 consists of Interest in Debtor. Members of Class 5 will not receive any distribution under the Plan but will retain its shares in Debtor unaltered until the sale of 60% of the common stock shares. Except as otherwise provided in the Plan, Debtor will effect payment of Administrative Expense Claims, Priority Tax Claims, Allowed Secured and General Unsecured Claims in accordance with the payment plans set forth in the Cash Flows Projections. As part of its reorganization strategy, Debtor is negotiating a substantial Post-petition DIP Financing arrangement scheduled to close shortly after a proper motion and authorization from this Honorable Court. This financing will provide $250,000 in capital from a strategic healthcare partner that operates exclusive Advantage Contracts and medical offices. In exchange, this entity will receive 60% of Debtor's common stock, creating a beneficial alliance for both parties. This strategic partnership is expected to generate significant new business through patient referrals, with projections indicating monthly medication sales will exceed $110,000. The capital infusion will provide essential funding for plan payments while the increased revenue stream will support Debtor's ongoing operations and obligations under the Plan. A full-text copy of the Disclosure Statement dated March 31, 2025 is available at https://urlcurt.com/u?l=sSkebd from PacerMonitor.com at no charge. Counsel to the Debtor: Javier Villarino, Esq. Villarino & Associates LLC P.O. Box 9022515 San Juan, PR 00902 Telephone: (787)565-9894 Email: jvillarino@vilarinolaw.com About Rodfer LLC Rodfer, LLC, is a privately owned corporation incorporated under the Laws of the Commonwealth of Puerto Rico on October 21, 2016. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.P.R. Case No. 24-02811) on July 3, 2024. Chavely Vellon, president, signed the petition. Judge Mildred Caban Flores oversees the case. The Debtor tapped Javier Villarino, Esq., at Villarino & Associates LLC as counsel and CPA Luis R. Carrasquillo & Co., PSC, as financial advisor. ROONEY AND BORDEN: Unsecureds Will Get 2% of Claims in Plan ----------------------------------------------------------- Rooney and Borden Jewellers, Inc., filed with the U.S. Bankruptcy Court for the Central District of California a Plan of Reorganization for Small Business dated March 31, 2025. The Debtor is a corporation. Since 1976, the Debtor has been in the business of retain jewelry sale. The Plan Proponent's financial projections show that the Debtor will have projected disposable income of $7,875.00. The final Plan payment is expected to be paid on June 30, 2030. Non-priority unsecured creditors holding allowed claims will receive distributions, which the proponent of this Plan has valued at approximately 2 cents on the dollar. This Plan also provides for the payment of administrative and priority claims. Class 3 consists of General Unsecured Claims: * General unsecured of Funding Metrics, LLC in the amount of $126,292.78 to receive 2% of allowed claim. The claim of Readycap Lending, LLC exhausts the value of the security for this obligation. Basis for this claim is the security agreement, loan agreement and UCC-1 Financing Statement filed October 22, 2024. * General unsecured claim of the American Express National Bank, AENB in the amount of $22,764.65. To receive payment of 2% of allowed claim. * General unsecured claim of the American Express National Bank, AENB in the amount of $6,330.00. To receive payment of 2% of allowed claim. * General unsecured claim of the U.S. Bank, NA, d/b/a Elan Financial Services in the amount of $8,732.47. To receive payment 2% of allowed claim. * General unsecured claim of JP Morgan Chase Bank s/b/m/t Chase Bank, USA, N.A. in the amount of $162,504.29. To receive payment 2% of allowed claim. * General unsecured claim of Intuit Financing in the amount of $111,652.85. To receive payment 2% of allowed claim. * General unsecured claim of Capital One, NA in the amount of $19,704.57. To receive payment of 2% of allowed claim. * General unsecured claim of Square Financial Services in the amount of $124,634.82. To receive payment of 2% of allowed claim. * General unsecured claim of ODK Capital LLC in the amount of $190,942.67. To receive payment of 2% of allowed claim. * General unsecured claim of Velocity Capital Group LLC in the amount of $90,428.12. To receive payment of 2% of allowed claim. Class 4 consists of Equity security holders of the Debtor. Minh Chau is 100% shareholder in the Debtor. Minh Chau will retain his ownership interest in the Debtor. Minh Chau, sole shareholder and CEO of the Debtor, will continue to serve in those capacities as well as a director. The Debtor will establish a cash reserve by setting aside $500.00 each month, above the Plan payments, to deal with any unforeseen issues. The Plan will be funded from current and future monthly income of the Debtor. A full-text copy of the Plan of Reorganization dated March 31, 2025 is available at https://urlcurt.com/u?l=vZ1a5q from PacerMonitor.com at no charge. Counsel to the Debtor: Julie Villalobos, Esq. Larry Fieselman, Esq. Oak Tree Law 3355 Cerritos Ave Los Alamitos, CA 90720 Telephone: (562) 321-9101 Facsimile: (800) 976-4187 Email: Julie@oaktreelaw.com larry@oaktreelaw.com About Rooney and Borden Jewellers Rooney and Borden Jewellers, Inc., owns and operates a jewelry store in Southern California offering fine jewelry and watches. Rooney and Borden Jewellers, Inc. d/b/a McCarty's Jewelry in Long Beach, CA, sought relief under Chapter 11 of the Bankruptcy Code filed its voluntary petition for Chapter 11 protection (Bankr. C.D. Cal. Case No. 24-20640) on December 31, 2024, listing $321,428 in assets and $1,445,343 in liabilities. Minh Chau as owner, signed the petition. Judge Julia W Brand oversees the case. OAKTREE LAW serve as the Debtor's legal counsel. SAIPRASAD LLC: Eric Terry Named Subchapter V Trustee ---------------------------------------------------- The U.S. Trustee for Region 7 appointed Eric Terry as Subchapter V trustee for Saiprasad LLC. Mr. Terry will charge $450 per hour for his services as Subchapter V trustee and $50 per hour for his support staff working under his direct supervision. The Subchapter V trustee will seek reimbursement for work-related expenses incurred. Mr. Terry declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Eric Terry 3511 Broadway San Antonio, TX 78209 Phone: (210)468-8274 Email: eric@ericterrylaw.com About Saiprasad LLC Saiprasad, LLC is a hospitality company that owns and operates the Lotus Inn (Fireside Inn), a budget-friendly motel located in San Antonio, Texas. Saiprasad LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Texas Case No. 25-50705) on March 31, 2025. In its petition, the Debtor reported between $1 million and $10 million in both assets and liabilities. Judge Craig A. Gargotta handles the case. The Debtor is represented by Joyce W. Lindauer, Esq., at Joyce W. Lindauer Attorney, PLLC. SANUWAVE HEALTH: CBIZ CPAs Replaces Marcum as Auditor ----------------------------------------------------- SANUWAVE Health, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that based on information provided by Marcum LLP, the former independent registered public accounting firm of the Company, CBIZ CPAs P.C. acquired the attest business of Marcum, effective November 1, 2024. Marcum continued to serve as the Company's independent registered public accounting firm through April 10, 2025. On April 10, 2025, Marcum resigned as the Company's independent registered public accounting firm, and on April 11, 2025, CBIZ CPAs was engaged to serve as the independent registered public accounting firm of the Company for the year ending December 31, 2025, effective beginning with the review of the Company's condensed consolidated financial statements for the quarter ended March 31, 2025. The engagement of CBIZ CPAs was approved by the Audit Committee of the Company's Board of Directors. The services previously provided by Marcum will now be provided by CBIZ CPAs. The reports of Marcum regarding the Company's consolidated financial statements for the years ended December 31, 2024 and 2023 did not contain any adverse opinion or disclaimer of opinion and were not qualified or modified as to uncertainty, audit scope, or accounting principles, except that in its reports on the consolidated financial statements for the years ended December 31, 2024 and 2023, Marcum included a paragraph regarding the existence of substantial doubt about the Company's ability to continue as a going concern. During the years ended December 31, 2024 and 2023, and through April 10, 2025, the date of Marcum's resignation, there were: (a) no disagreements (as defined in Item 304(a)(1)(iv) of Regulation S-K and the related instructions) between the Company and Marcum on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedures, which disagreements, if not resolved to the satisfaction of Marcum, would have caused Marcum to make reference to the subject matter of the disagreements in connection with Marcum's reports on the Company's financial statements, and (b) no "reportable events" (as defined in Item 304(a)(1)(v) of Regulation S-K and the related instructions), except for the material weaknesses in the Company's internal control over financial reporting previously disclosed under Part II, Item 9A of the Company's Annual Reports on Form 10-K for the years ended December 31, 2024 and 2023. Prior to engaging CBIZ CPAs, neither the Company nor anyone acting on its behalf consulted CBIZ CPAs regarding: (i) the application of accounting principles to a specified transaction, either completed or proposed, or the type of audit opinion that might be rendered on the Company's financial statements, and no written report was provided to the Company or oral advice was provided that CBIZ CPAs concluded was an important factor considered by the Company in reaching a decision as to the accounting, auditing or financial reporting issue, or (ii) any matter that was either the subject of a disagreement (as described in Item 304(a)(1)(iv) of Regulation S-K and the related instructions) or a reportable event (as described in Item 304(a)(1)(v) of Regulation S-K and the related instructions). About SANUWAVE Headquartered in Suwanee, Georgia, SANUWAVE Health, Inc. (OTCQB:SNWV) -- http://www.SANUWAVE.com-- is an ultrasound and shock wave technology Company using patented systems of noninvasive, high-energy, acoustic shock waves or low intensity and non-contact ultrasound for regenerative medicine and other applications. The Company's focus is regenerative medicine utilizing noninvasive, acoustic shock waves or ultrasound to produce a biological response resulting in the body healing itself through the repair and regeneration of tissue, musculoskeletal, and vascular structures. The Company's two primary systems are UltraMIST and PACE. UltraMIST and PACE are the only two Food and Drug Administration (FDA) approved directed energy systems for wound healing. New York, NY-based Marcum LLP, the Company's auditor since 2018, issued a "going concern" qualification in its report dated March 20, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company has incurred recurring losses, has negative working capital, and needs to refinance its debt to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. SCANROCK OIL: Committee Hires Riveron RTS as Financial Advisor -------------------------------------------------------------- The official committee of unsecured creditors appointed in the Chapter 11 cases of Scanrock Oil & Gas, Inc. and its affiliates seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Riveron RTS LLC as financial advisor. The firm will render these services: (a) assist in the analysis, review and monitoring of the restructuring; (b) assist in the assessment and monitoring of any sales process conducted on behalf of the Debtors and analysis of proposed consideration; (c) assist in the review of financial information prepared by the Debtors; (d) assist in the review of any potential debtor in possession facility; (e) assist with the review of any tax issues associated with, but not limited to, preservation of net operating losses, refunds due to the Debtors, plans of reorganization, and asset sales; (f) assist with the review of the Debtors' analysis of real property, oil and gas assets, and other business assets, the potential disposition or liquidation of the same, and assistance regarding the review and assessment of any sales process relating to same; (g) assist with the review and validation of asserted liens, mortgages or security interests against the Debtors or the its assets and related analysis of unencumbered assets; (h) attend at meetings and assistance in discussions with the Debtors, potential investors, potential buyers, any Ad Hoc Committees, the committee and any other official committees organized in this Chapter 11 proceeding, the U.S. Trustee, other parties in interest and professionals hired by the same, as requested; (i) assist in the review of financial related disclosures required by the court; (j) assist with the review of the affirmation or rejection of various executory contracts; (k) assist in the evaluation, analysis and forensic investigation of avoidance actions; (l) assist in the prosecution of committee responses/objections to the Debtors' motions; (m) render such other general business consulting or such other assistance as the committee or its counsel may deem necessary that are consistent with the role of a financial advisor and not duplicative of services provided by other Committee professionals in this proceeding; and (n) assist and support in the evaluation of restructuring, sale and liquidation alternatives. The firm will be paid at these hourly rates: Managing Director to Senior Managing Director $895 - $1,160 Director to Senior Director $695 - $885 Manager to Associate Director $595 - $685 Associate to Senior Associate $465 - $585 Paraprofessional to Analyst $275 - $390 In addition, the firm will seek reimbursement for expenses incurred. Paul Jansen, a senior managing director at Riveron RTS, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Paul Jansen Riveron RTS LLC 2515 McKinney Ave. Dallas, TX 75201 Telephone: (469) 300-5733 About Scanrock Oil & Gas Scanrock Oil & Gas Inc. operates an integrated oil and gas exploration and production platform. Scanrock Oil & Gas Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-90001) on February 3, 2025. In its petition, the Debtor reports estimated assets between $10 million and $50 million and estimated liabilities between $50 million and $100 million. Honorable Bankruptcy Judge Mark X. Mullin handles the case. The Debtor is represented by Thomas Daniel Berghman, Esq. at Munsch Hardt Kopf & Harr PC. On March 18, 2025, the U.S. Trustee appointed an official committee of unsecured creditors in these Chapter 11 cases. The committee tapped Porter Hedges LLP as counsel and Riveron RTS LLC as financial advisor. SCANROCK OIL: Committee Taps Porter Hedges as Bankruptcy Counsel ---------------------------------------------------------------- The official committee of unsecured creditors appointed in the Chapter 11 cases of Scanrock Oil & Gas, Inc. and its affiliates seeks approval from the U.S. Bankruptcy Court for the Northern District of Texas to employ Porter Hedges LLP as counsel. The firm will render these services: (a) administer the bankruptcy cases and exercise oversight with respect to the Debtors' affairs; (b) assist, advise, and represent the committee in its communications and negotiations with the Debtors and other stakeholders regarding the administration of this case; (c) assist, advise, and represent the committee in investigating the acts, conduct, assets, liabilities, and financial condition of the Debtors, the operation of their business, and any other matters relevant to these cases or the formulation of a plan; (d) assist, advise, and represent the committee in analyzing the Debtors' assets and liabilities, investigating the extent and validity of liens, and related contested matters; (e) assist, advise, and represent the committee with respect to the Debtors' cash collateral issues and potential postpetition financing transactions; (f) analyze the Debtors' proposed employee-compensation and critical vendor payments, and evaluate the propriety of those programs; (g) assist, advise, and represent the committee in participating in the negotiation and formulation of a disclosure statement and plan of reorganization and to advise those represented by the committee of its determinations as to any plan; (h) if necessary, to request the appointment of a trustee or examiner as provided; (i) communications with the committee's constituents in furtherance of its responsibilities; (j) assist, advise, and represent the committee in any manner relevant to preserving and protecting the Debtors' estates and the rights of creditors; (k) assist, advise, and represent the committee regarding the evaluation of claims, preferences, fraudulent transfers, and other actions; (l) prepare on behalf of the committee all necessary legal papers; (m) appear in court and protect the interests of the committee before the court; and (n) perform all other legal services for the committee which may be necessary and proper in these cases and related proceedings. The firm will be paid at these hourly rates: Partners $650 - $1,250 Counsel $450 - $1,195 Associates $450 - $875 Paraprofessionals $340 - $535 In addition, the firm will seek reimbursement for expenses incurred. Eric English, Esq., a partner at Porter Hedges, also provided the following in response to the request for additional information set forth in Section D of the Revised U.S. Trustee Guidelines: Question: Did you agree to any variations from, or alternatives to, your standard or customary billing arrangements for this engagement? Response: No. Question: Do any of the professionals included in this engagement vary their rate based on the geographic location of the bankruptcy case? Response: No. Question: If you represented the client in the twelve (12) months prepetition, disclose your billing rates and material financial terms for the prepetition engagement, including any adjustments during the 12 months prepetition. If your billing rates and material financial terms have changed postpetition, explain the difference and the reasons for the difference. Response: The firm did not represent the committee before being selected as its counsel on March 20, 2025. Its billing rates have not changed since the Petition Date. Mr. English disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Eric M. English, Esq. Porter Hedges LLP 1000 Main St. 36th Floor Houston, TX 77002 Telephone: (713) 226-6000 Facsimile: (713) 226-6248 Email: eenglish@porterhedges.com About Scanrock Oil & Gas Scanrock Oil & Gas Inc. operates an integrated oil and gas exploration and production platform. Scanrock Oil & Gas Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-90001) on February 3, 2025. In its petition, the Debtor reports estimated assets between $10 million and $50 million and estimated liabilities between $50 million and $100 million. Honorable Bankruptcy Judge Mark X. Mullin handles the case. The Debtor is represented by Thomas Daniel Berghman, Esq. at Munsch Hardt Kopf & Harr PC. On March 18, 2025, the U.S. Trustee appointed an official committee of unsecured creditors in these Chapter 11 cases. The committee tapped Porter Hedges LLP as counsel and Riveron RTS LLC as financial advisor. SEBA ABODE: Seeks to Hire Fuchs Law Office as Bankruptcy Counsel ---------------------------------------------------------------- Seba Abode, Inc. seeks approval from the U.S. Bankruptcy Court for the Western District of Pennyslvania to employ Fuchs Law Office LLC to handle its Chapter 11 case. The firm's attorneys will be paid at these hourly rates: David Fuchs $325 Teresa Fuchs $250 Mr. Fuchs disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: David L. Fuchs Fuchs Law Office LLC 554 Washington Avenue Carnegie, PA 15106 Telephone: (412) 223-5404 Facsimile: (412) 223-5406 Email: dfuchs@fuchslawoffice.com About Seba Abode Seba Abode Inc. operating as BrightStar Care, a home health care services provider in Pittsburgh, Pennsylvania. Seba Abode Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Pa. Case No. 25-21000) on April 18, 2025. In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $100,000 and $500,000. The Debtor is represented by David L. Fuchs, Esq. at Fuchs Law Office, LLC. SHADYLANE HOLDINGS: Hires Michael G. Spector as Bankruptcy Counsel ------------------------------------------------------------------ Shadylane Holdings 1006 LLC seeks approval from the U.S. Bankruptcy Court for the Central District of California to employ the Law Offices of Michael G. Spector as its bankruptcy counsel. The firm will render these legal services: (a) prepare pleadings, applications and conduct examinations incidental to administration; (b) advise the Debtor with respect to its rights, duties and powers in the administration of its Chapter 11 case; (c) advise and assist the Debtor with respect to compliance with the requirements of the Office of the U.S. Trustee; (d) advise the Debtor regarding matters of bankruptcy law; (e) advise and represent the Debtor in connection with all applications, motions or complaints for adequate protection, sequestration, relief from stays, appointment of a trustee or examiner and all other similar matters; (f) develop the relationship of the status of the Debtor to the claims of creditors in these proceedings; (g) advise and assist the Debtor in the formulation and presentation of a reorganization plan; (h) represent the Debtor in any necessary adversary proceedings; and (i) perform other legal services. The hourly rates of the firm's attorneys and staff are as follows: Michael G. Spector, Attorney $490 per hour Vicki L. Schennum, Of Counsel $460 per hour Law Clerk $110 per hour Brittany Porter, Paralegal $100 per hour Michael Spector, Esq., the proprietor of the Law Offices of Michael G. Spector, disclosed in a court filing that his firm is a "disinterested person" as defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Michael G. Spector, Esq. Law Offices of Michael G. Spector 2122 N. Broadway Santa Ana, CA 92706 Telephone: (714) 835-3130 Facsimile: (714) 558-7435 Email: mgspector@aol.com About Shadylane Holdings 1006 LLC Shadylane Holdings 1006 LLC qualifies as a debtor with a single real estate asset, as outlined in 11 U.S.C. Section 101(51B). The Company is the owner of the property located at 28832 Shady Lane, Laguna Beach, CA 92651, which a broker has appraised at an estimated value of $2.44 million. Shadylane Holdings 1006 LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-10622) on March 12, 2025. In its petition, the Debtor reports total assets of $2,435,200 and total liabilities of $1,549,275. Honorable Bankruptcy Judge Scott C. Clarkson handles the case. The Debtor is represented by: James Mortensen, Esq. SOCAL LAW GROUP, PC 2855 Michelle Drive 120 Irvine CA 92606 Tel: (213) 387-7414 E-mail: pimmsno1@aol.com SHAHINAZ SOLIMAN: Arturo Cisneros Named Subchapter V Trustee ------------------------------------------------------------ The U.S. Trustee for Region 16 appointed Arturo Cisneros as Subchapter V trustee for Shahinaz Soliman Clinic Corp. Mr. Cisneros will be paid an hourly fee of $600 for his services as Subchapter V trustee while the trustee administrator will be compensated at $200 per hour. In addition, the Subchapter V trustee will receive reimbursement for work-related expenses incurred. Mr. Cisneros declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Arturo Cisneros 3403 Tenth Street, Suite 714 Riverside, CA 92501 Phone: (951) 682-9705/(951) 682-9707 Email: Arturo@mclaw.org About Shahinaz Soliman Clinic Corp. Shahinaz Soliman Clinic Corp., doing business as Soliman Care Family Practice Center Inc., is a family practice health center that offers comprehensive healthcare services for individuals of all ages, from pediatrics to geriatrics. The clinic specializes in both acute and chronic care, focusing on prevention, diagnosis, and holistic treatment. Led by Dr. Shahinaz Soliman, the center is committed to providing compassionate, culturally competent, and patient centered care to the community. Shahinaz Soliman Clinic sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 25-12747) on April 2, 2025. In its petition, the Debtor reported estimated assets between $100,000 and $500,000 and estimated liabilities between $1 million and $10 million. Judge Barry Russell handles the case. The Debtor is represented by Michael Jay Berger, Esq., at the Law Offices of Michael Jay Berger. SHIFT4 PAYMENTS: Fitch Rates Sr. Euro-Denominated Notes 'BB' ------------------------------------------------------------ Fitch Ratings has assigned Shift4 Payments, LLC's (BB/Stable) proposed senior unsecured Euro-denominated issuance, to be co-issued by Shift4 Payments Finance Sub, Inc., a 'BB' rating with a Recovery Rating of 'RR4'. Proceeds from the issuance, along with proceeds from the sale of mandatory convertible preferred stock, a term loan issuance and cash, will be used to fund the acquisition of Global Blue Group Holding AG. Shift4 LLC's parent Shift4 Payments, Inc.'s (Shift4; BB/Stable) Long-Term Issuer Default Rating (IDR) reflects Fitch's expectations of continued expansion in the U.S. and internationally through various market segments, which should lead to growing positive FCF generation and EBITDA leverage of around 3.5x or below. Offsetting attributes include smaller EBITDA scale and more limited diversification than higher-rated peers' and stiff competition. Key Rating Drivers Acquisition Increases Offerings, Diversification: The acquisition of Global Blue should expand Shift4's offerings and increase its geographic diversification. The acquisition will also increase the complexity of its operations, due to accelerated expansion into multiple jurisdictions. Global Blue holds approximately a 70% market share in the tax-free shopping segment per its most recent filing, offering services like VAT refund processing and dynamic currency conversion. This acquisition will add approximately $200 million to Shift4's EBITDA, with potential to scale through cross-selling revenue synergies. Fitch expects Shift4 to generate pro forma revenue of $4.5 billion, EBITDA of $1 billion and FCF of $450 million. The total enterprise value of the deal is approximately $2.5 billion. The transaction is anticipated to close by 3Q25, pending regulatory approvals and other customary closing conditions. As of April 17, 2025, 96.42% of Global Blue shares had been tendered. Leveraged but Manageable Acquisition: Fitch expects Shift4's pro forma EBITDA leverage to be 4.5x at the close of the acquisition and to decline to around 3.5x in 2026. This compares with leverage of 4.5x in 2024 and 3.9x in 2023. A large portion of the projected deleveraging is driven by the paydown of $690 million of convertible notes due December 2025. This will be funded with Shift4's cash balance of $1.2 billion as of 1Q25 and consolidated EBITDA growth. Fitch expects the company to deploy FCF toward organic and inorganic growth as well as shareholder returns over material additional deleveraging. Sound Growth Prospects: Fitch expects Shift4 to grow rapidly as it continues to add merchants to its integrated payment platform domestically and internationally, as well as through new business verticals and acquisitions, leading to rapid scaling up of its business. Gross revenue has increased fivefold over the last five years and Fitch forecasts standalone EBITDA to rise above $800 million in 2025, from roughly neutral levels in 2019. Exposure to Discretionary Spending: Shift4 provides integrated hardware-software payment processing solutions for midsized to large businesses in the restaurant, hospitality and entertainment industries, where it generates most of its revenue. The industries' sensitivities to discretionary spending could lead to cash flow volatility if the company's growth slows under recessionary conditions. Although Shift4 is expanding internationally, Fitch expects the company to continue to derive more than 80% of its revenue from the U.S. Competitive Industry: Shift4 operates in highly competitive end markets, characterized by technology disruption and pricing competition from legacy fintechs, large technology providers as well as emerging software-centric fintechs. Key competitors include JPMorgan Chase & Co. (AA-/Stable) (via its Chase Paymentech business), Fiserv, Adyen, Block, Inc. (BB+/Positive) and Toast, among others. Shift4 is well-positioned as an integrated payment platform, but will continue to face emerging competition. Positive FCF: Shift4's FCF should increase as the company continues to scale up. Fitch projects FCF to grow by around $500 million annually over the next three years. It generated about $250 million of FCF in 2023 and roughly $300 million in 2024. Fitch forecasts cash flow leverage, measured as cash flow from operations (CFO) less capex as a share of debt, at around 10%, which is solid for a 'BB' rating in the payments sector. Parent-Subsidiary Linkage: Fitch views the primary operating subsidiary and debt issuer, Shift4 LLC, as stronger than its parent, Shift4, under Fitch's "Parent and Subsidiary Linkage Rating Criteria". Fitch assesses both ringfencing and access and control as 'open' due to minimal limitations on intercompany flows as well as the common ownership by the group's founder. As such, Fitch rates the parent and Shift4 LLC at the consolidated level with no notching between the two entities. Peer Analysis Shift4 competes against certain Fitch-rated issuers, including Block and, to a lesser extent, NCR Voyix Corporation (BB-/Rating Watch Positive), as well as Global Payments, Inc. (GPN, BBB/Stable). GPN and Block are significantly larger and more diversified than Shift4, with GPN having much higher cash flow profitability. While Shift4 and Block have high growth profiles, Fitch expects Shift4 to continue to grow at a faster pace. The Positive Outlook on Block reflects Fitch's expectation that the company could operate with leverage below 3.0x and that it is developing material scale and presence in its end markets and has a net cash position. Shift4 is growing revenue and earnings more rapidly relative to NCR Voyix and will have more meaningful scale in the next four years. Compared with Boost Newco Borrower, LLC (dba Worldpay; BB/Rating Watch Positive), Shift4 is considerably smaller, but has a stronger growth profile, and Fitch expects it to operate with lower leverage. Worldpay's ratings are on Positive Watch as the company is being acquired by higher-rated GPN and Fitch believes that Worldpay's business and financial risk post-acquisition could more closely resemble that of the combined entity. Key Assumptions - The acquisition closes at the end of 3Q25; - Standalone gross revenue to grow around 20% in 2025 and in the low to mid-teens in 2026 and 2027; - EBITDA to increase to the low 20% of revenue in the next three years (or roughly to 50%+ of revenue less network fees) as the company scales up; - Capex at about 5%-6% of revenue; - Excess cash used to fund share buybacks and M&A; - Floating-rate debt assumes SOFR declines to the 3.5% range starting in 2026. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - EBITDA leverage consistently above 4.0x; - Significant fundamental shifts in the business that negatively affect revenue, EBITDA and/or FCF; - CFO less capex/debt expected to be below 4% on a sustained basis. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Greater scale leading to more stable cash flow; - CFO less capex/debt expected to be sustained at 8% or above; - EBITDA leverage sustained at below 3.5x. Liquidity and Debt Structure Its forecast suggests FCF will be in the $400 million to $500 million range. This, combined with an EBITDA leverage of around 3.5x, supports Shift4's liquidity. Cash and cash equivalents were about $1.2 billion as of 1Q25, of which $160 million was held outside the U.S. The company's next material maturity will be its $690 million of convertible notes due December 2025 and $450 million of senior unsecured bonds in November 2026. Shift4 has $450 million under a revolver facility, which is undrawn, with a September 2029 maturity. The company is looking to upsize this revolver to up to $550 million contingent upon and concurrent with the Global Blue acquisition. Shift4's consolidated debt as of 1Q25 consisted of $450 million of senior unsecured bonds issued by Shift4 LLC, $1.3 billion of convertible notes issued at Shift4, of which $690 million mature in December 2025 and $633 million mature in August 2027, and $1.1 billion of notes due 2032. Issuer Profile Shift4 provides software and payment processing solutions in the U.S. and internationally to businesses primarily in the restaurant, hospitality and entertainment industries. Date of Relevant Committee 25 April 2025 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 Shift4 has an ESG Relevance Score of '4' for Governance Structure, due to its significant control and ownership by CEO Jared Isaacman. Mr. Isaacman has been a key force behind the company's success historically, which presents key-person risk as well as risks of misaligned incentives between shareholder and debtholder interests. This factor was a consideration, in conjunction with other factors, used in Fitch's rating analysis that could have a negative impact over time on the IDR. Mr. Isaacman's control may be reduced following confirmation by the senate of his NASA administrator role. 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 ----------- ------ -------- Shift4 Payments Finance Sub, Inc. senior unsecured LT BB New Rating RR4 Shift4 Payments, LLC senior unsecured LT BB New Rating RR4 SHIFT4 PAYMENTS: Moody's Ups CFR to Ba3 & Alters Outlook to Stable ------------------------------------------------------------------ Moody's Ratings upgraded Shift4 Payments, Inc.'s (Shift4) corporate family rating by one notch to Ba3 from B1. Moody's also upgraded Shift4's probability of default rating by one notch to Ba3-PD from B1-PD and affirmed the senior unsecured notes rated Ba3, which are issued by Shift4's wholly owned subsidiary Shift4 Payments, LLC. Moody's also assigned a Ba1 rating to Shift4 Payments, LLC's proposed senior secured first lien bank credit facilities, which includes the new term loan B and proposed upsized revolving credit facility. Ratings are subject to final terms and conditions. Shift4's Speculative Grade Liquidity (SGL) Rating remains SGL-1. The ratings outlook of both Shift4 Payments, Inc. and Shift4 Payments, LLC were revised to stable from positive. Shift4 intends to use the net proceeds of the proposed TLB along with the announced mandatorily convertible preferred stock and anticipated additional unsecured debt to fund takeout financing for its acquisition of Global Blue Group Holdings AG (Global Blue, its subsidiary Global Blue Acquisition B.V., B1 positive), a technology and payments solution provider. The transaction is expected to close by third quarter of 2025, subject to regulatory approvals in certain jurisdictions and other customary closing conditions. The upgrade of the CFR to Ba3 from B1 reflects Moody's expectations for debt to EBITDA (Moody's adjusted) to decline to below 4x by the end of 2026 from around 5x at the end of 2025 following the closing of the Global Blue acquisition, which is expected to occur in Q3. The leverage reduction will be supported by the full year contribution of Global Blue's financial results as well as continued solid organic revenue growth and modest margin expansion of standalone Shift4 results. The upgrade also reflects Shift4's enhanced end market and geographic diversification as a result of its strategic expansion into key verticals and targeted acquisitions, inclusive of Global Blue. Recent tariff announcements have led to elevated global economic uncertainty, which will weigh on economic growth and consumer demand if the tariffs remain in place. However, Shift4's de-leveraging case can withstand a lower growth and margin scenario. RATINGS RATIONALE While Shift4 has not articulated an explicit financial leverage target, the company has steadily reduced debt to EBITDA (Moody's adjusted) to about 3.7x at December 31, 2024 pro forma for the repayment of the 2025 convertible note from about 14x as of December 31, 2021. Over this time Shift4 has continued to fund organic growth and acquisitions, increasing its scale and diversification. Moody's expects Shift4 to continue to make investments in its business, supported by the company's higher earnings and free cash flow generation both as a result of the Global Blue acquisition and underlying growth. This expectation is further supported by free cash flow rising from breakeven in 2021 to more than nearly $500 million in 2024. Increased cash generation has been supported by a more than doubling of revenue and gross revenue less network fees (GRLNF) and an around nine percentage point increase in EBITDA margin (Moody's adjusted). The senior unsecured notes are rated Ba3, in line with the CFR. The notes benefit from subsidiary guarantees that the company's senior unsecured convertible notes do not possess. The senior first lien secured term loan B and revolver are rated Ba1, two notches above the CFR, reflecting its preferential access to realization proceeds as well as loss absorption provided by junior ranking unsecured notes and subordinated convertible notes. The Ba1 rating reflects a one notch override because the security package is provided by domestic subsidiaries and there is material value in foreign subsidiaries that do not provide guarantees. The SGL-1 rating reflects Moody's assessments of Shift4's liquidity profile as very good, supported by Moody's expectations for continued strong free cash flow generation over the next 12 to 15 months and available cash balances of roughly $575 million at December 31, 2024, pro forma for the acquisition and repayment of the 2025 convertible notes. Liquidity is further supported by Shift4's undrawn proposed upsized $550 million senior first lien secured revolving credit facility expiring 2029. In addition, the company has a moderate degree of unencumbered foreign assets. The stable outlook reflects Moody's expectations of around low teens combined growth and a low 20% combined EBITDA margin resulting in debt to EBITDA (Moody's adjusted) of mid- to high 3x in the year following the transaction close. Additionally, Moody's expects Shift4 to generate around $600 million in annual free cash flow to debt of around a mid-teens percentage (or lower double digit on an adjusted basis in consideration of capitalized software development and acquisition of equipment to be leased). Moody's Ratings has corrected the display on its websites to reflect that (1) the issuer for the senior global notes due 2026 is Shift4 Payments LLC, and (2) the Corporate Family Rating, Probability of Default Rating and Speculative Grade Liquidity Rating, currently attributable to Shift4 Payments Inc., were attributable to Shift4 Payments LLC prior to August 12, 2024. ENVIORNMENTAL, SOCIAL AND GOVERNANCE CONSIDERATIONS Shift4's credit impact score was changed to CIS-3 from CIS-4. This primarily reflects reduced governance risk as a result of Shift4's track record of de-leveraging following acquisitions and the explicit commitment to de-lever following the completion of the Global Blue acquisition. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if Shift4 maintains a more conservative financial policy, possibly including articulation of an explicit leverage target. The ratings could also be upgraded if the company's scale increases materially. Ratings could also be upgraded if Shift4's leverage approaches 3x. The ratings could be downgraded if debt to EBITDA is expected to be sustained above 4x on more than a temporary basis. The ratings could also be downgraded if Shift4's revenue growth were to decelerate or if its adjusted EBITDA margin were to contract from current levels. Ratings could also be downgraded if liquidity degrades. Marketing terms for the new credit facility (final terms may differ materially) include the following: Incremental pari passu secured debt capacity up to $924 million or 100% of consolidated adjusted EBITDA, plus unlimited amounts subject to a Secured Net Leverage Ratio test of 2.5x. Incremental unsecured debt capacity in unlimited amounts subject to either a Total Net Leverage Ratio test of 5.40x or 2.0x fixed charge coverage ratio. No incremental facility may have a final maturity date earlier than the latest revolving credit maturity date. The credit agreement is expected to include "J. Crew" and "Chewy" protections. There are no protective provisions restricting an up-tiering transaction. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. Shift4 (NYSE:FOUR), based in Allentown, PA and controlled by its founder, Jared Isaacman, is an integrated payment processing and technology solutions provider serving over 200,000 customers, primarily in the United States, although the company continues to expand internationally. The company provides vertical-specific integrated solutions and proprietary point-of-sale (POS) software to restaurants, hotels, sports & entertainment, and other merchants. Customers are generally small and medium-sized enterprises (SME), but also include large enterprises. Full year 2024 revenue was about $3.3 billion. SKY RADIOLOGY: Seeks Chapter 11 Bankruptcy in New York ------------------------------------------------------ On May 2, 2025, Sky Radiology P.C. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Eastern District of New York. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Sky Radiology P.C. Sky Radiology P.C. operates a diagnostic imaging center specializing in magnetic resonance imaging (MRI) services. Based in Bayside, New York, the clinic serves patients in the surrounding area. Sky Radiology P.C. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-42147) on May 2, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Elizabeth S. Stong handles the case. The Debtor is represented by James Mermigis, Esq. at THE MERMIGIS LAW GROUP, P.C. SPENCER & ASSOCIATES: Melissa Haselden Named Subchapter V Trustee ----------------------------------------------------------------- The U.S. Trustee for Region 7 appointed Melissa Haselden, Esq., at Haselden Farrow, PLLC as Subchapter V trustee for Spencer & Associates Therapeutic Alliance, PLLC. Ms. Haselden will be paid an hourly fee of $595 for her services as Subchapter V trustee and will be reimbursed for work-related incurred. Ms. Haselden declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Melissa A. Haselden, Esq. Haselden Farrow, PLLC 700 Milam, Suite 1300 Pennzoil Place Houston, TX 77002 Telephone: (832) 819-1149 Facsimile: (866) 405-6038 Email: mhaselden@haseldenfarrow.com About Spencer & Associates Therapeutic Alliance Spencer & Associates Therapeutic Alliance, PLLC operates an outpatient mental health clinic. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-31668) on March 28, 2025, listing up to $500,000 in assets and up to $10 million in liabilities. Regina Spencer, owner, signed the petition. Judge Eduardo V. Rodriguez oversees the case. Robert C Lane, Esq., the Lane Law Firm, represents the Debtor as bankruptcy counsel. SSH HOLDINGS: S&P Places 'BB-' ICR on Watch Neg. on Tariff Risk --------------------------------------------------------------- S&P Global Ratings placed all its ratings, including the 'BB-' issuer credit rating, on U.S.-based novelty gift and Halloween retailer SSH Holdings Inc. (Spencer Spirit) on CreditWatch with negative implications. S&P said, "We could lower our ratings if high tariffs on China remain in place, resulting in profitability deterioration, heightened leverage, and constrained liquidity. We could affirm the ratings depending upon our view of Spencer Spirit's ability to mitigate the effects of the tariffs on profits, cash flow, and ability to maintain credit measures in line with the current rating with adequate liquidity. "The CreditWatch negative placement reflects our view that tariffs on Chinese imports could materially pressure Spencer Spirit's profitability and cash flow in fiscal 2025. The company has significant exposure to China across both its Spencer's and Spirit Halloween businesses, where tariffs have escalated to 145%. While Spencer has taken actions to mitigate the impact, including vendor cost concessions, onboarding vendors to use first sale valuations, sourcing changes, and price increases, we believe it will be difficult to offset higher costs this year. Additionally, Spencer Spirit's annual operating performance is highly dependent on the Halloween season, which for it, begins in August. With the Halloween season approaching in about three months, we believe the company's options to meaningfully diversify its supply chain this year are limited. In our view, the risk of weakening demand for Spencer Spirit's products amid a weakening economic environment is elevated due to their highly discretionary nature. We believe tariffs, if fully implemented, could cause the company's S&P Global Ratings-adjusted EBITDA margin to compress significantly this year and negatively affect cash flow. Although we expect the company to explore diversifying its supply chain in 2026, how tariffs will affect its operating performance over the longer term remains unclear given the uncertainty around tariff rates, their duration, and the company's ability to execute mitigating actions." Demand for Spencer Spirit's highly discretionary products could diminish given the pressure of higher tariffs and weakening economic conditions. Total revenue grew 1.4% in fiscal 2024 and the company operated 1,535 seasonal Spirit Halloween stores during the season. Spencer's comparable sales declined 6.6% in 2024, but average sales per store remained approximately 40% above pre-pandemic levels. Spirit Halloween sales grew 7.9% driven by a 5.8% increase in average store sales and 29 additional stores operated in the season. The company's wide-selection of Halloween-themed merchandise and in-store experience is a differentiating feature from its competitors. Additionally, the liquidation of Party City, which operated pop-up Halloween City stores, provides the company with an opportunity to grow its market share. S&P said, "However, we expect tariff mitigation will be the company's primary strategic focus in 2025. We believe that a more stressed consumer environment could pressure spending on the holiday and consumers could pull back on purchases in the face of higher prices." Spencer Spirit's current adequate liquidity position could deteriorate depending on the size and duration of tariffs and its ability to mitigate the impact. The company generated $188 million in free operating cash flow (FOCF) in fiscal 2024 driven by good sell through of Spirit's Halloween merchandise, ending the year with $346 million in cash and full availability on its ABL facility due June 2028. A material portion of Spirit's merchandise for the 2025 Halloween season is carry-over inventory from last year that is stored domestically. However, S&P expects tariffs to affect inventory purchasing this Halloween season and substantially increase the working capital investment required to fund its product purchases. The company typically begins drawing on its ABL facility during its second fiscal quarter to build its inventory position in the months leading up to Halloween and pays the balance down during the quarter in which it realizes the majority of Halloween sales. The borrowing capacity expands to $350 million from $100 million during the months of June through October to support its peak seasonal working capital needs. That said, the company's cash balance provides some support, and S&P believes it could scale back on a portion of its planned capital spending this year as well as reduce dividends to preserve liquidity if needed. The company's conservative financial profile, with S&P Global Ratings-adjusted leverage of below 1.5x at fiscal year-end 2024, also provides cushion. Spencer Spirit has no near-term maturities, with its $350 million term loan B due June 2031. The CreditWatch placement with negative implications reflects the possibility of an affirmation or downgrade over the next several months, depending on effective tariff rates and their duration. S&P said, "We could lower our ratings if high tariffs on China remain in place, resulting in deteriorating operating performance, weaking cash generation, and eroding credit metrics. We could affirm the ratings depending upon our view of Spencer Spirit's ability to mitigate the effects of the tariffs on profits, cash flow, and ability to maintain credit measures and liquidity in line with current ratings." S&P intends to resolve the CreditWatch as it determines a likely scenario stemming from tariff policies and the impact on Spencer Spirit's operating performance. TAKARA GROUP: Jennifer McLemore Named Subchapter V Trustee ---------------------------------------------------------- The Acting U.S. Trustee for Region 4 appointed Jennifer McLemore, Esq., at Williams Mullen as Subchapter V trustee for Takara Group, LLC. Ms. McLemore will be paid an hourly fee of $530 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. McLemore declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Jennifer M. McLemore, Esq. Williams Mullen 200 South 10th Street, Suite 1600 Richmond, VA 23219 (804) 420-6330 Email: jmclemore@williamsmullen.com About Takara Group LLC Takara Group, LLC is a full-service restaurant specializing in serving ramen noodle dishes. The Debtor filed Chapter 11 petition (Bankr. E.D. Va. Case No. 25-31283) on April 1, 2025, listing up to $100,000 in assets and up to $1 million in liabilities. Christopher M. Winslow, Esq., at Winslow, McCurry & MacCormac, PLLC, represents the Debtor as legal counsel. TALKING ROCK: Gets OK to Hire Engelman Berger as Legal Counsel -------------------------------------------------------------- Talking Rock Land LLC received approval from the U.S. Bankruptcy Court for the District of Arizona to hire Engelman Berger, P.C. as its legal counsel. The firm's services include: a. advising the Debtor with respect to its powers and duties as debtor-in-possession in the continued management and operation of its business and property; b. representing the Debtor at the First Meeting of Creditors, initial debtor interview and all Court hearings, adversary proceedings or contested matters that have been or may be filed; c. attending meetings and negotiating with representatives of creditors and other parties-in-interest and advising and consulting on the conduct of the Case, including all of the legal and administrative requirements of operating in chapter 11; d. assisting the Debtor with the preparation of its Schedules of Assets and Liabilities and Statement of Financial Affairs; e. advising the Debtor with respect to any contemplated sales of assets and/or business combinations, formulating and implementing appropriate closing procedures for such transactions, and preparing and prosecuting all motions and/or pleadings necessary to obtain the Court's authorization for such transactions; f. advising the Debtor with respect to any post-petition financing and cash collateral arrangements; negotiating, drafting and prosecuting all documents, motions and pleadings relating thereto; g. advising the Debtor on all matters relating to the assumption, rejection or assignment of unexpired leases and executory contracts; h. advising the Debtor with respect to legal issues arising in or relating to the Debtor's ordinary course of business, including attending meetings of management, financial and turnaround advisors, accounting firms, special counsel, and other professionals employed by the Debtor; i. taking all necessary action to protect and preserve the Debtor's estate, including the prosecution of actions on the Debtor's behalf, the defense of any actions commenced against the Debtor, objecting to claims filed against the Debtor's estate, and negotiating and effecting settlements of the same; j. preparing, negotiating and taking all actions necessary to obtain approval and/or confirmation of a disclosure statement, plan of reorganization and related agreements and documents; and k. performing all other legal services relating to the administration and conduct of the Debtor's estate in its efforts to reorganize. The firm will be paid at these rates: Shareholders $500 to $840/hr. Associates $300 to $450/hr. Paralegals $225 to $280/hr. In addition, the firm will seek reimbursement for expenses incurred. The firm received a retainer in the amount of $100,000. Scott B. Cohen, Esq., an attorney at Engelman 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 through: Scott B. Cohen, Esq. Patrick A. Clisham, Esq. Andrew R. O'keefe, Esq. ENGELMAN BERGER, P.C. 2800 North Central Avenue, Suite 1200 Phoenix, AZ 85004 Phone: (602) 271-9090 Fax: (602) 222-4999 Email: sbc@eblawyers.com pac@eblawyers.com aro@eblawyers.com About Talking Rock Land LLC Talking Rock Land LLC develops and manages Talking Rock, a private residential community in Prescott, Arizona. The development includes luxury homes, a golf course, and club amenities. Talking Rock Land LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Ariz. Case No. 25-03438) on April 18, 2025. In its petition, the Debtor reports estimated assets between $10 million and $50 million and estimated liabilities between $1 million and $10 million. Honorable Bankruptcy Judge Daniel P. Collins handles the case. The Debtor is represented by Scott B. Cohen, Esq. at ENGELMAN BERGER PC. TEKNATOOL USA: Hearing Today on Bid to Use Cash Collateral ---------------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida, Tampa Division is set to hold a hearing today to consider another extension of Teknatool USA, Inc.'s authority to use cash collateral. Teknatool previously received interim approval to use the cash collateral of Pathward, National Association, a secured creditor, to pay its expenses until further order of the bankruptcy court. The interim order issued on April 24 granted the secured creditor a post-petition lien on its collateral to the same extent and with the same validity and priority as its pre-bankruptcy lien. About Teknatool USA Inc. Teknatool USA Inc., a company in Seminole, Fla., offers a wide array of woodturning tools and accessories, including lathes and chucks, catering to both hobbyists and professionals in the woodworking community. Teknatool USA filed Chapter 11 petition (Bankr. M.D. Fla. Case No. 25-01248) on March 1, 2025. In its petition, the Debtor reported between $1 million and $10 million in both assets and liabilities. Judge Catherine Peek McEwen handles the case. Joel Aresty, Esq., at Joel M. Aresty, PA is the Debtor's legal counsel. Pathward, N.A., as secured creditor, is represented by: James J. Webb, Esq. Mitrani, Rynor, Adamsky & Toland, P.A. 301 Arthur Godfrey Road, PH Miami Beach, FL 33140 Tel.: (305) 358-0500 Fax: (305) 358-0550 jwebb@mitrani.com TONA DEVELOPMENT: Section 341(a) Meeting of Creditors on June 5 --------------------------------------------------------------- On May 2, 2025, Tona Development Group LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the District of New Jersey. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. A meeting of creditors under Section 341(a) to be held on June 5, 2025 at 01:00 PM at Telephonic. About Tona Development Group LLC Tona Development Group LLC is a family-owned small business based in Freehold, New Jersey, specializing in construction management services primarily in New Jersey and New York. Tona Development Group LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.N.J. Case No. 25-14662) on May 2, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Mark Edward Hall handles the case. The Debtor is represented by Albert A. Ciardi, III, Esq. at CIARDI CIARDI & ASTIN. TRINITY AUTOMOTIVE: Seeks Subchapter V Bankruptcy in Ohio --------------------------------------------------------- On April 29, 2025, Trinity Automotive Service Center LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Southern District of Ohio. According to court filing, the Debtor reports between $100,000 and $500,000 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Trinity Automotive Service Center LLC Trinity Automotive Service Center LLC operates as an AAMCO franchise in Cincinnati, Ohio, specializing in transmission repairs and comprehensive automotive services. Located at 370 Northland Blvd. Trinity Automotive Service Center LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ohio Case No. 25-11009) on April 29, 2025. In its petition, the Debtor reports estimated assets up to $50,000 and estimated liabilities between $100,000 and $500,000. Honorable Bankruptcy Judge Beth A. Buchanan handles the case. The Debtor is represented by Ira H Thomsen, Esq. TRINITY ENTERPRISES: Gets Interim OK to Use Cash Collateral ----------------------------------------------------------- Trinity Enterprises Corporation 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 through May 31 to fund its operations as per its operating budget, with a 10% variance allowed. Secured creditors TD Bank N.A. and the U.S. Small Business Administration will receive monthly payments of $2,000 and $1,540, respectively. As additional protection, both secured creditors will receive a replacement lien on all of the company's assets, except avoidance actions. A final hearing is scheduled for May 28. About Trinity Enterprises Corporation Trinity Enterprises Corporation is a family-owned painting and wall covering company based in Davie, Florida. It offers interior and exterior painting, wallpaper installation, and specialized metallic painting services, primarily serving commercial clients in the Miami area. Trinity Enterprises Corporation sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No.: 25-14339) on April 21, 2025. In its petition, the Debtor reported total assets of $318,252 and total liabilities of $1,078,470. Judge Scott M. Grossman handles the case. The Debtor is represented by Thomas L. Abrams, Esq., at Thomas L. Abrams, PA. TUPPERWARE BRANDS: Seeks to Extend Plan Exclusivity to July 14 -------------------------------------------------------------- Tupperware Brands Corporation and affiliates asked the U.S. Bankruptcy Court for the District of Delaware to extend their exclusivity periods to file a plan of reorganization and obtain acceptance thereof to July 14 and September 15, 2025, respectively. The Debtors explain that these chapter 11 cases involve nine affiliated entities. The Debtors also have dozens of non-debtor foreign operating subsidiaries in countries all over the world. As of the Petition Date, Tupperware had approximately $811.8 million in funded debt obligations. Accordingly, the size and complexity of these chapter 11 cases weigh in favor of extending the Exclusivity Periods. The Debtors claim that they have engaged in good faith with the Ad Hoc Group, the Committee and other interested parties regarding cash collateral, the sale of the Debtors' assets and the proposed path forward, among other things over the last few months. Accordingly, the Debtors' substantial progress in administering these chapter 11 cases and good faith in resolving outstanding issues with the Ad Hoc Group, the Committee, and other parties in interest weigh in favor of extending the Exclusivity Periods. The Debtors assert that they are not seeking an extension of the Exclusivity Periods to pressure or prejudice any of their stakeholders. The Debtors have been diligently moving these chapter 11 cases forward, and the Court has already confirmed a sale of substantially all of the Debtors' assets, which sale included assumption of material liabilities, and a hearing to consider confirmation of the Plan is already scheduled. Thus, the Debtors' request for an extension of the Exclusivity Periods is not requested for the impermissible purpose of pressuring creditors to agree to a plan. Conversely, an extension of the Exclusivity Periods is in the best interests of the Debtors, their estates and all stakeholders as it will allow the Debtors to procure the best recovery for their creditors and help to ensure a successful conclusion to these chapter 11 cases. Co-Counsel for the Debtors: Anup Sathy, P.C. Spencer A. Winters, P.C. Jeffrey T. Michalik, Esq. Gabriela Z. Hensley, Esq. KIRKLAND & ELLIS LLP KIRKLAND & ELLIS INTERNATIONAL LLP 333 West Wolf Point Plaza Chicago, Illinois 60654 Tel: (312) 862-2000 Fax: (312) 862-2200 E-mail: anup.sathy@kirkland.com spencer.winters@kirkland.com jeff.michalik@kirkland.com gabriela.hensley@kirkland.com -and- Patrick J. Reilley, Esq. Stacy L. Newman, Esq. Michael E. Fitzpatrick, Esq. Jack M. Dougherty, Esq. COLE SCHOTZ P.C. 500 Delaware Avenue, Suite 1410 Wilmington, Delaware 19801 Tel: (302) 652-3131 Fax: (302) 652-3117 E-mail: preilley@coleschotz.com snewman@coleschotz.com mfitzpatrick@coleschotz.com jdougherty@coleschotz.com About Tupperware Brands Tupperware Brands Corporation (NYSE: TUP) --https://www.tupperwarebrands.com/ -- is a global consumer products company that designs innovative, functional, and environmentally responsible products. Founded in 1946, Tupperware's signature container created the modern food storage category that revolutionized the way the world stores, serves, and prepares food. Today, this iconic brand has more than 8,500 functional design and utility patents for solution-oriented kitchen and home products. The company distributes its products into nearly 70 countries, primarily through independent representatives around the world. Tupperware Brands sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 24-12166) on Sept. 17, 2024. In the bankruptcy petition, Tupperware reported more than $1.2 billion in total debts and $679.5 million in total assets. Kirkland & Ellis LLP is serving as legal advisor to Tupperware, Moelis & Company LLC is serving as the Company's investment banker, and Alvarez & Marsal is serving as the Company's financial and restructuring advisor. Epiq is the claims agent and has put up the page https://dm.epiq11.com/Tupperware. VALPARAISO UNIVERSITY: Moody's Cuts Issuer to Ba1, Outlook Negative ------------------------------------------------------------------- Moody's Ratings has downgraded Valparaiso University, IN's issuer rating and revenue bonds to Ba1 from Baa2 and assigned Ba1 ratings to the proposed $23.3 million Revenue Bonds, Series 2025A (Valparaiso University Project) and $25.5 million Taxable Revenue Bonds, Series 2025B (Valparaiso University Project). The outlook remains negative. The downgrade reflects a significant revision in budgeted projections resulting in a prolonged timeline to achieve breakeven performance. Additionally, increases in debt place further pressure on the rating. RATINGS RATIONALE The Ba1 issuer rating reflects ongoing enrollment challenges, driven by competitive pressures and unfavorable demographic trends-a social factor within Moody's ESG framework-will continue to impact operating results. Furthermore, the highly competitive student market poses ongoing difficulties for enrollment management. Inability to boost net tuition revenue will further limit financial reserves and the university's capacity to address operating deficits in the short term. Positive aspects include the university's substantial wealth, totaling nearly $350 million in cash and investments, strong donor support, and a well-regarded regional reputation. Moreover, management's efforts to restructure operations to cut costs and increase revenue are favorable for long-term prospects. The Ba1 revenue bond rating on current and proposed bonds is based on the issuer rating and the general obligation and nature of the pledge. RATING OUTLOOK The negative outlook reflects the potential for continued enrollment challenges resulting in pressure to balance operations. While a structural deficit is expected over the next several years, the university has outlined plans to improve performance over the longer term. Failure to show lasting progress toward a balanced budget with a 5% endowment spending rate and meet the 2026 fiscal targets could lead to continued credit deterioration in credit quality. FACTORS THAT COULD LEAD TO AN UPGRADE OF THE RATINGS -- Significant and sustained improvement in operating performance resulting in low double digit EBIDA margins -- Notable strengthening of brand and strategic position, reflected in multi-year positive enrollment trends -- Material growth in total wealth and financial reserves FACTORS THAT COULD LEAD TO A DOWNGRADE OF THE RATINGS -- Revisions in forecasted deficits beyond current expectations -- Prolonged use of lines of credits or additional increases in debt outside of proposed plan of finance -- Failure to make progress towards stabilizing enrollment PROFILE Valparaiso University is a moderately sized private university in northwest Indiana with a Lutheran heritage. The majority of its students are in the full-time undergraduate program, though the university also offers part-time undergraduate programs and graduate programs. The university traces its beginnings to 1859, but was rechartered and renamed to its current name in 1907. In fiscal 2024, the university produced $104 million in operating revenue and had 2,477 full-time equivalent (FTE) students in Fall 2024. METHODOLOGY The principal methodology used in these ratings were Higher Education published in July 2024. VENUS CONCEPT: EW Healthcare, 3 Others Report Equity Stake ---------------------------------------------------------- EW Healthcare Partners, L.P., EW Healthcare Partners-A, L.P., Essex Woodlands Fund IX-GP, L.P., and Essex Woodlands IX, LLC disclosed in a Schedule 13D (Amendment No. 14) filed with the U.S. Securities and Exchange Commission that as of April 11, 2025, they beneficially owned shares of Venus Concept, Inc.'s Common Stock. Due to the Company's registered offerings, as described in the Company's Prospectus Supplements filed pursuant to Rule 424(b)(5) with the Securities and Exchange Commission on April 10, 2025 and April 14, 2025, the number of shares of the Company's Common Stock outstanding on April 14, 2025 was 1,424,403 shares. As of the date of filing of this Amendment No. 14, the Reporting Persons are the beneficial owners of: (i) 99,021 shares of the Company's Common Stock (95,190 shares held by EWHP and 3,831 shares held by EWHP-A), (ii) 90,913 shares of the Company's Common Stock (87,397 shares held by EWHP and 3,516 shares held by EWHP-A), issuable upon conversion of 1,500,000 shares of Voting Convertible Preferred Stock, par value $0.0001 per share, of the Company (1,441,983 sharesheld by EWHP and 58,017 shares held by EWHP-A), acquired in November 2022, (iii) 99,127 shares of the Company's Common Stock (95,292 shares held by EWHP and 3,835 shares held by EWHP-A), issuable upon conversion of the Senior Convertible Preferred Stock, par value $0.0001 per share, of the Company, which are convertible within 60 days of the date hereof (for the avoidance of doubt, these shares are subject to limitations on convertibility imposed by the rules and regulations of the Nasdaq Capital Market as noted below), (iv) 949 shares of the Company's Common Stock issuable upon the exercise of Warrants held by EWHP-A, which were exercisable beginning on May 7, 2020 (v) 23,596 shares of the Company's Common Stock issuable upon the exercise of Warrants held by EWHP, which were exercisable beginning September 16, 2020, (vi) stock options issued to R. Scott Barry as a director of the Company for the benefit of the Reporting Persons to purchase 749 shares of the Company's Common Stock (720 shares held for the benefit of EWHP and 29 shares held for the benefit of EWHP-A), which will be exercisable within 60 days of the date hereof, and (vii) 171,334 shares of Common Stock issuable upon conversion of secured subordinated convertible notes (164,708 shares held by EWHP and 6,626 shares held by EWHP-A), which are convertible within 60 days of the date hereof, and which amount is inclusive of 25,995 shares of Common Stock issuable to pay accrued interest on the Notes (calculated through March 31, 2025) and payable as of the date of filing of this Amendment No. 14 (24,990 shares held by EWHP and 1,005 shares held by EWHP-A). The shares of the Company's Common Stock shown to be beneficially owned before the date of this filing exclude: (a) 271,954 shares of the Company's Common Stock issuable upon conversion of 1,121,789 shares of Senior Preferred Stock held by EWHP and (b) 10,941 shares of the Company's Common Stock issuable upon conversion of 45,127 shares of Senior Preferred Stock held by EWHP-A, as such conversions cannot occur within 60 days after the date hereof due to limitations on convertibility imposed by the rules and regulations of the Nasdaq Capital Market. EW Healthcare Partners may be reached through: R. Scott Barry 21 Waterway Avenue, Suite 225, The Woodlands, TX, 77380. A full-text copy of EW Healthcare's SEC report is available at: https://tinyurl.com/2wd3sfcc About Venus Concept Toronto, Ontario-based Venus Concept Inc. is an innovative global medical technology company that develops, commercializes, and delivers minimally invasive and non-invasive medical aesthetic and hair restoration technologies and related services. The Company's systems have been designed on cost-effective, proprietary, and flexible platforms that enable the Company to expand beyond the aesthetic industry's traditional markets of dermatology and plastic surgery, and into non-traditional markets, including family medicine and general practitioners and aesthetic medical spas. Mississauga, Canada-based MNP LLP, the Company's auditor since 2019, issued a "going concern" qualification in its report dated March 31, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company has reported recurring net losses and negative cash flows from operations, which raises substantial doubt about its ability to continue as a going concern. As of September 30, 2024, Venus Concept had $72.28 million in total assets, $61.65 million in total liabilities, $520,000 in non-controlling interests, and $10.11 million in total stockholders' equity. VENUS CONCEPT: Orca Capital Ceases Ownership of Shares ------------------------------------------------------ Orca Capital AG, disclosed in a Schedule 13G (Amendment No. 1) filed with the U.S. Securities and Exchange Commission that as of April 11, 2025, it no longer owns shares of Venus Concept Inc.'s Common Stock. Orca Capital AG may be reached through: Thomas Konig, Director Sperlring 2, 85276 Hettenshausen, Germany 498441 78644 14 A full-text copy of Orca Capital's SEC report is available at: https://tinyurl.com/3wpj8duv About Venus Concept Toronto, Ontario-based Venus Concept Inc. is an innovative global medical technology company that develops, commercializes, and delivers minimally invasive and non-invasive medical aesthetic and hair restoration technologies and related services. The Company's systems have been designed on cost-effective, proprietary, and flexible platforms that enable the Company to expand beyond the aesthetic industry's traditional markets of dermatology and plastic surgery, and into non-traditional markets, including family medicine and general practitioners and aesthetic medical spas. Mississauga, Canada-based MNP LLP, the Company's auditor since 2019, issued a "going concern" qualification in its report dated March 31, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company has reported recurring net losses and negative cash flows from operations, which raises substantial doubt about its ability to continue as a going concern. As of September 30, 2024, Venus Concept had $72.28 million in total assets, $61.65 million in total liabilities, $520,000 in non-controlling interests, and $10.11 million in total stockholders' equity. VIRIDOS INC: Hires Womble Bond Dickinson as Bankruptcy Counsel -------------------------------------------------------------- Viridos Inc. seeks approval from the U.S. Bankruptcy Court for the District of Delaware to hire Womble Bond Dickinson (US) LLP (WBD) as counsel. The firm's services include: a. advising the Debtor with respect to its powers and duties as a debtor-in-possession in the continued management and operation of its business and properties; b. attending meetings and negotiating with representatives of creditors, interest holders, and other parties in interest; c. analyzing proofs of claim filed against the Debtor and potential objections to such claims; d. taking necessary action on behalf of the Debtor to negotiate, obtain approval of and consummate the sale(s) of the Debtor's assets; e. analyzing executory contracts and unexpired leases and potential assumptions, assignments, or rejections of such contracts and leases; f. taking all necessary action to protect and preserve the Debtor's estate, including prosecuting actions on the Debtor's behalf, defending any action commenced against the Debtor, and representing the Debtor's interests in negotiations concerning litigation in which the Debtor is involved, including objections to claims filed against the estate; g. preparing motions, applications, answers, orders, reports, and papers necessary to the administration of the Debtor's estate; h. taking necessary action on behalf of the Debtor to negotiate, prepare, and obtain confirmation of a plan of reorganization; i. advising the Debtor in connection with any potential sale of assets or stock and taking necessary action to guide the Debtor through such potential sale; j. appearing before this Court or any Appellate Courts and protecting the interests of the Debtor's estate before those Courts and the United States Trustee for the District of Delaware; k. advising on corporate, litigation, environmental, finance, tax, employee benefits, and other legal matters; and l. performing all other necessary legal services for the Debtor in connection with the Chapter 11 Case. The firm will be paid at these rates: Partner $405 to $1,550 per hour Of Counsel $485 to $1,045 per hour Associate $340 to $775 per hour Senior Counsel $125 to $1,015 per hour Counsel $130 to $860 per hour Paralegal $110 to $600 per hour In addition, the firm will receive reimbursement for its out-of-pocket expenses. The firm received advance payments in the amount of $100,000. Morgan Patterson, Esq., a partner at Womble Bond Dickinson (US), disclosed in a court filing that his firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached at: Morgan L. Patterson, Esq. WOMBLE BOND DICKINSON (US) LLP 1313 North Market Street, Suite 1200 Wilmington, DE 19801 Tel: (302) 252-4320 Fax: (302) 252-4330 Email: morgan.patterson@wbd-us.com About Viridos Inc. Viridos Inc. (formerly known as Synthetic Genomics, Inc.) develops a scalable microalgae platform to produce low-carbon intensity biofuels for heavy transportation sectors such as aviation and commercial trucking. Backed initially by ExxonMobil and holding over 100 patents, it remains pre-revenue but projects oil yields up to 20 times those of existing crops and an associated 73-88 percent reduction in carbon emissions. Viridos Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 25-10697) on April 14, 2025. In its petition, the Debtor reported estimated assets between $10 million and $50 million and estimated liabilities between $1 million and $10 million. The Honorable Bankruptcy Judge Craig T. Goldblatt handles the case. The Debtor is represented by Womble Bond Dickerson (US) LLP. Rock Creek Advisors, LLC is the Debtor's financial consultant. Stretto is the Debtor's claims and noticing agent. VIRIDOS INC: Seeks to Hire Ordinary Course Professionals -------------------------------------------------------- Viridos Inc. seeks approval from the U.S. Bankruptcy Court for the District of Delaware to retain non-bankruptcy professionals in the ordinary course of business. The Debtors need ordinary course professionals to perform services for matters unrelated to this Chapter 11 case. The Debtors seek to pay OCPs 100 percent of the fees and expenses incurred. The Debtors do not believe that any of the OCPs have an interest materially adverse to them, their estates, creditors, or other parties in interest in connection with the matter upon which they are to be engaged. The OCPs include: Gunderson Dettmer, LLP 1200 Seaport Blvd Redwood City, CA 94063 --Corporate Counsel DLA Piper US LLP 6225 Smith Ave Baltimore, MD 21209 --Intellectual Property Counsel Sheppard Mullin Richter & Hampton LLP 333 South Hope Street, 43rd Fl. Los Angeles, CA 90071 --Litigation Counsel Tonkon Torp LLP 888 SW 5th Ave #1600 Portland, OR 97204 --Employee Immigration Counsel Deloitte Tax, LLP 655 W. Broadway, Suite 700 San Diego, CA 92101 --Tax Preparation and Filing Wilson Turner Kosmo LLP 550 West C Street, Suite 1050 San Diego, CA 92101 --Employment Law Counsel Lavine, Lofgren, Morris & Engelberg, LLP 4180 La Jolla Village Drive, Suite 300 La Jolla, CA 92037 --401K Audit About Viridos Inc. Viridos Inc. (formerly known as Synthetic Genomics, Inc.) develops a scalable microalgae platform to produce low-carbon intensity biofuels for heavy transportation sectors such as aviation and commercial trucking. Backed initially by ExxonMobil and holding over 100 patents, it remains pre-revenue but projects oil yields up to 20 times those of existing crops and an associated 73-88 percent reduction in carbon emissions. Viridos Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 25-10697) on April 14, 2025. In its petition, the Debtor reported estimated assets between $10 million and $50 million and estimated liabilities between $1 million and $10 million. The Honorable Bankruptcy Judge Craig T. Goldblatt handles the case. The Debtor is represented by Womble Bond Dickerson (US) LLP. Rock Creek Advisors, LLC is the Debtor's financial consultant. Stretto is the Debtor's claims and noticing agent. VIRIDOS INC: Taps Rock Creek as Financial Advisor and Sales Agent ----------------------------------------------------------------- Viridos Inc. seeks approval from the U.S. Bankruptcy Court for the District of Delaware to hire Rock Creek Advisors, LLC as financial advisor and sales agent. The firm will render these services: As Financial Advisor: (a) assist the Debtor in evaluating strategic restructuring alternatives; (b) assist the Debtor with preparation of a 13-week cash forecast including professional fees related to potential restructuring alternatives; (c) assist the Debtor in obtaining and negotiating debtor-in-possession financing; (d) assist the Debtor and its counsel in negotiations with various parties-in-interest; (e) provide guidance to the Debtor in completing the necessary schedules to accompany restructuring alternatives; (f) assist the Debtor with the preparation of data in order to prepare the petition, schedules, pleadings and fiduciary filings required in a bankruptcy proceeding; (g) assist the Debtor and counsel to provide the Debtor and/or the court any information necessary to confirm and consummate a plan in a bankruptcy proceeding; and (h) support the Debtor in such matters as the board of directors of the Debtor shall request or require from time to time. As sales agent: (a) develop a list of available assets for sale, including fixed assets, contracts, inventory, IP, accounts receivable, licenses, tax assets (NOLs and ERTC), and intangibles; (b) prepare a sale memo providing notice of the sale to help market the Debtor's assets; (c) develop a select target list of potential buyers, with input from the Debtor; (d) organize due diligence materials in a confidential virtual data room; (e) collect and assist in execution of NDAs as interested parties seek access to confidential information; (f) assist the Debtor to determine if an auction or date certain term sheets deadline will maximize value; (g) manage the sale process and due diligence inquiries of interested parties to help facilitate bids/term sheets; (h) set up bidding and auction/term sheet procedures and share with interested parties; (i) assist in qualifying bidders for the process (Qualified Bidders); (j) communicate rules of the auction/term sheets to Qualified Bidders and their agents; (k) assist the Debtor and its legal counsel with preparation and/or negotiation of the bid term sheets for Qualified Bidders to participate in the sale process; (l) collect and hold the deposits for Qualified Bidders; (m) assist the Debtor and its legal counsel with preparation and/or negotiation of one or more asset purchase agreements (APA) and related transaction documents; (n) if an APA is provided by the Debtor in advance of the auction/term sheet deadline, work with the Debtor and Qualified Bidders to accept major terms of the APA as a required part of their respective bids; (o) run the auction on the proposed auction date, if appropriate; (p) return deposits to non-winning parties once the transaction has closed in accordance with bid procedures; and (q) facilitate the closing of the transaction(s) with the winning bidder(s). Rock Creek's customary hourly billing rates for financial advisory services are: Brian Ayers, Managing Director $495 Chris Peirce, Vice President $395 Managing Directors $450 to $610 Managers and Senior Managers $325 to $450 Associates and Staff $200 to $325 Additionally, with respect to Rock Creek services as the Debtor's sales agent, the firm will be paid as follows: (i) a monthly fee in the amount of $50,000; and (ii) a success fee, consisting of 6 percent on total consideration paid by a buyer; provided, that if the Debtor is purchased by its lender through a credit bid, the Success Fee will be reduced to 2 percent of the amount of such credit bid. Brian Ayers, managing director at Rock Creek Advisors, assured the court that his firm is a "disinterested person" within the meaning of 11 U.S.C. 101(14). The firm can be reached through: Brian Ayers Rock Creek Advisors, LLC 1738 Belmar Blvd. Belmar, NJ 07719 Phone: (201) 315-2521 Email: bayers@rockcreekfa.com About Viridos Inc. Viridos Inc. (formerly known as Synthetic Genomics, Inc.) develops a scalable microalgae platform to produce low-carbon intensity biofuels for heavy transportation sectors such as aviation and commercial trucking. Backed initially by ExxonMobil and holding over 100 patents, it remains pre-revenue but projects oil yields up to 20 times those of existing crops and an associated 73-88 percent reduction in carbon emissions. Viridos Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 25-10697) on April 14, 2025. In its petition, the Debtor reported estimated assets between $10 million and $50 million and estimated liabilities between $1 million and $10 million. The Honorable Bankruptcy Judge Craig T. Goldblatt handles the case. The Debtor is represented by Womble Bond Dickerson (US) LLP. Rock Creek Advisors, LLC is the Debtor's financial consultant. Stretto is the Debtor's claims and noticing agent. VIVA LIBRE: Case Summary & 16 Unsecured Creditors ------------------------------------------------- Debtor: Viva Libre Restaurant Concepts Inc. Blue Agave Southwest Grill 18601 Yorba Linda Blvd. Yorba Linda, CA 92886 Business Description: Viva Libre Restaurant Concepts Inc. operates Blue Agave Southwest Grill, a Mexican and Southwestern fusion restaurant based in Yorba Linda, California. The restaurant offers dishes like Mahi Mahi, Mazatlan Mango Wrap and Montego Bay Coconut Shrimp. Chapter 11 Petition Date: May 1, 2025 Court: United States Bankruptcy Court Central District of California Case No.: 25-11186 Judge: Hon. Theodor Albert Debtor's Counsel: Christopher James Langley, Esq. SHIODA LANGLEY & CHANG LLP 1063 E. Las Tunas Dr. San Gabriel CA 91776 E-mail: chris@slclawoffice.com Estimated Assets: $500,000 to $1 million Estimated Liabilities: $1 million to $10 million The petition was signed by George Gallardo as president and CEO. A full-text copy of the petition, which includes a list of the Debtor's 16 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/4QQ6HII/Viva_Libre_Restaurant_Concepts__cacbke-25-11186__0001.0.pdf?mcid=tGE4TAMA WALKER AREA: Seeks Chapter 11 Bankruptcy in Minnesota ----------------------------------------------------- On May 2, 2025, Walker Area Community Center Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the District of Minnesota. According to court filing, the Debtor reports $1,956,152 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Walker Area Community Center Inc. Walker Area Community Center Inc. operates a community facility in Walker, Minnesota, located at 105 Tower Ave E. The light industrial property includes a gym, exercise space, seasonal ice arena, locker rooms, meeting rooms, and offices. It supports activities for the Boys & Girls Club, Rotary meetings, hockey and curling leagues, as well as year-round basketball, pickleball, and fitness programs. As of Nov. 18, 2024, the property was appraised at $1.25 million based on comparable sales. Walker Area Community Center Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Minn. Case No. 25-50310) on May 2, 2025. In its petition, the Debtor reports total assets of $1,409,049 and total liabilities of $1,956,152. Honorable Bankruptcy Judge William J. Fisher handles the case. The Debtor is represented by Steven R. Kinsella, Esq. at FREDRICKSON & BYRON, P.A. WASKOM BROWN: Taps Gold Weems Bruser Sues & Rundell as Counsel -------------------------------------------------------------- Waskom, Brown & Associates, LLC seeks approval from the U.S. Bankruptcy Court for the Western District of Louisiana to employ Gold, Weems, Bruser, Sues & Rundell, APLC as counsel. The firm's services include: (a) give the Debtor legal advice with respect to its powers and duties in the continued operation of its business and management of its property; and (b) perform all legal services for the Debtor which may be necessary herein. The firm will be paid at these hourly rates: Shareholders $300 - $435 Associates $265 - $310 Paralegals $90 The firm received a retainer of $12,000 from the Debtor. Bradley Drell, Esq., an attorney at Gold, Weems, Bruser, Sues & Rundell, disclosed in a court filing that the firm is a "disinterested person" as the term is defined in Section 101(14) of the Bankruptcy Code. The firm can be reached through: Bradley L. Drell, Esq. Gold, Weems, Bruser, Sues & Rundell, APLC P.O. Box 6118 Alexandria, LA 71307 Telephone: (318) 445-6471 Facsimile: (318) 445-6476 About Waskom Brown & Associates Waskom Brown & Associates LLC is a full-service accounting and financial advisory firm based in Natchitoches, Louisiana. The firm provides tax planning, bookkeeping, estate planning, and business consulting services, with additional offices in Pineville, Many, and Winnfield. Waskom Brown & Associates LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. La. Case No. 25-80219) on April 15, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Stephen D. Wheelis handles the case. The Debtor is represented by Bradley L. Drell, Esq. at Gold, Weems, Bruser, Sues & Rundell, APLC. WELLPATH HOLDINGS: Plan Exclusivity Period Extended to July 9 ------------------------------------------------------------- Judge Alfredo R. Perez of the U.S. Bankruptcy Court for the Southern District of Texas extended Wellpath Holdings, Inc., and certain of its Debtor Affiliates' exclusive periods to file a plan of reorganization and obtain acceptance thereof to July 9 and September 8, 2025, respectively. As shared by Troubled Company Reporter, the Debtors explain that the size and complexity of these chapter 11 cases warrant extension of the Exclusive Periods. As of the Petition Date, these chapter 11 cases involved 39 Debtors that, collectively, provided medical and mental health services in correctional facilities, inpatient and residential treatment facilities, forensic treatment facilities, and civil commitment centers. Overall, the Debtors operated approximately 420 facilities across 39 states, employed more than 13,000 people, and serviced nearly 200,000 patients daily. The Debtors claim that they devoted substantial time and effort to pursuing a marketing process (the "Marketing Process") for the sale of all or substantially all of the Debtors' assets. The applicable Debtors and the Recovery Solutions Purchaser consummated the Recovery Solutions Sale and, pursuant to the Recovery Solutions Sale Order, the chapter 11 cases of certain Debtors were dismissed. The Debtors, however, did not receive a Qualified Bid for the Corrections Business. As a result, the Debtors cancelled the Marketing Process relating to the Corrections Business and pivoted to a restructuring pursuant to the Plan. The Debtors note that their restructuring process is intended to confirm a chapter 11 plan that maximizes the value of the Debtors' estates for the benefit of the Debtors' key economic stakeholders. The Debtors request an extension of the Exclusive Periods, not to pressure creditors, but to provide a sufficient window in which the Debtors can solicit votes on, obtain confirmation of, the Plan and implement the various transactions contemplated thereby without the distraction and disruption created by competing plan proposals. The Debtors cite that they seek to maintain exclusivity so that parties with competing interests do not hinder the Debtors' efforts to finalize a value-maximizing restructuring. Extending the Exclusive Periods would permit the Debtors to continue prosecuting their value-maximizing Plan process and enable the Debtors' stakeholders to realize the benefits of months of hard fought negotiations. Moreover, an extension of the Exclusive Periods would not prejudice creditors because the requested relief would avoid the unnecessary drain on Debtors' estates due to the potential proposal of competing chapter 11 plans. All stakeholders benefit from continued stability and predictability, which comes only with the Debtors being the sole potential plan proponents. Finally, even if the Court approves an extension of the Exclusive Periods, nothing prevents parties in interest from later arguing to the Court that cause exists to terminate the Exclusive Periods. Counsel to the Debtors: MCDERMOTT WILL & EMERY LLP Felicia Gerber Perlman, Esq. Bradley Thomas Giordano, Esq. Jake Jumbeck, Esq. Carole Wurzelbacher, Esq. Carmen Dingman, Esq. 444 West Lake Street, Suite 4000 Chicago, Illinois 60606-0029 Telephone: (312) 372-2000 Facsimile: (312) 984-7700 Email: fperlman@mwe.com bgiordano@mwe.com jjumbeck@mwe.com cwurzelbacher@mwe.com cdingman@mwe.com - and - MCDERMOTT WILL & EMERY LLP Steven Z. Szanzer, Esq. One Vanderbilt Avenue New York, New York 10017 Telephone: (212) 547-5400 Facsimile: (212) 547-5444 Email: sszanzer@mwe.com MCDERMOTT WILL & EMERY LLP Marcus A. Helt, Esq. 2501 N. Harwood Street, Suite 1900 Dallas, Texas 75201-1664 Telephone: (214) 295-8000 Facsimile: (972) 232-3098 Email: mhelt@mwe.com About Wellpath Holdings Wellpath Holdings, Inc., formerly known as CCS-CMGC Holdings, Inc., is a provider of medical and mental healthcare in jails, prisons, and inpatient and residential treatment facilities. Wellpath Holdings and its affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 24-90533) on Nov. 11, 2024. Timothy Dragelin, chief restructuring officer and chief financial officer, signed the petitions. At the time of the filing, the Debtors reported $1 billion to $10 billion in assets and liabilities. Judge Alfredo R. Perez oversees the cases. The Debtors tapped Marcus A. Helt, Esq. at McDermott Will & Emery, LLP as bankruptcy counsel; FTI Consulting, Inc., as financial advisor; and Lazard Freres & Co., LLC and MTS Partners, LP as investment banker. WHITESTAR DISTRIBUTORS: Seeks Chapter 11 Bankruptcy in Texas ------------------------------------------------------------ On May 2, 2025, Whitestar Distributors Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District of Texas. According to court filing, the Debtor reports between $1 million and $10 million in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Whitestar Distributors Inc. Whitestar Distributors Inc. is a Texas-based distribution company headquartered in Garland. Whitestar Distributors Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-41573) on May 2, 2025. In its petition, the Debtor reports estimated assets between $50,000 and $100,000 and estimated liabilities between $1 million and $10 million. Honorable Bankruptcy Judge Edward L. Morris handles the case. The Debtor is represented by Joyce W. Lindauer, Esq. at JOYCE W. LINDAUER ATTORNEY, PLLC. WINDSTREAM SERVICES: Fitch Keeps 'B' IDR on Watch Evolving ---------------------------------------------------------- Fitch Ratings has maintained the Long-Term Issuer Default Ratings (IDRs) of 'B' on Rating Watch Evolving (RWE) for Windstream Services LLC (Windstream) and Windstream Holdings II, LLC (WIN). Fitch has also maintained the RWE for Windstream's super senior secured revolver rating of 'BB' with a Rating Recovery of 'RR1' and Windstream's 'BB-'/'RR2' ratings of senior secured term loan and notes. The RWE ratings follow Uniti Group's May 2024 announcement that it plans to acquire WIN. This reflects Fitch's expectation that the combined company will likely be rated 'B+' or lower. On a standalone basis, Windstream's ratings reflect Fitch's expectation of continued revenue pressures due to secular declines in WIN's legacy products and elevated leverage, offset by stabilizing EBITDA due to continued cost take-outs and fiber investments resulting in Kinetic consumer market share gains. Fitch expects to resolve the Rating Watch once the transaction is complete under the announced terms. Key Rating Drivers Uniti Acquisition: On May 3, 2024, Uniti announced that it has entered into a definitive agreement to merge with Windstream. The merger is expected to close in the 2H25, subject to the satisfaction of customary closing conditions and approvals. Post-merger, Uniti shareholders will hold approximately 62% of the outstanding common equity of the combined company. Windstream shareholders will receive $425 million of cash, $575 million of preferred equity in the new combined company, and common shares representing approximately 38%. Windstream shareholders will additionally receive non-voting warrants to acquire up to 6.9% of common shares of the combined company. Uniti expects to fund the $425 million of cash consideration to shareholders of Windstream from operations, revolver borrowings and/or future capital markets transactions. The merger will position the combined company focused on Tier II and Tier III markets and result in significant synergies and elimination of inefficiencies. The company has guided to up to $100 million in opex and $20 million-30 million in capex synergies. Elevated Leverage: Fitch expects the PF net leverage of the combined company as of YE25 in the high 5x range. Fitch expects the EBITDA leverage to be high due to revenue and EBITDA pressures from Windstream's legacy revenue as well as continued high capex as the combined company will accelerate fiber to the home (FTTH) deployments to an additional one million households. Windstream pulled forward the fiber investment and now expects to reach two million subscribers by the end of 2025 (from the earlier guidance of ~1.9M by 2027). The company passes through 37% of its footprint and plans to pass through 43% by YE25. On a standalone basis, Fitch evaluates the company's leverage on a lease-adjusted basis since a significant portion of WIN's assets are leased from Uniti. Based on updated lease criteria, Fitch has applied a 4.8x multiple to the master and other lease payments, based on the average of reported lease expense and liabilities of the last three years). Fitch projects adjusted leverage will remain near 4x-5x range over the forecast. Revenue Pressures Continue: Windstream continues to experience pressure particularly in Enterprise segment due to declining legacy-products-related revenue and effects of competition. However, the strategic Enterprise revenue, continues to grow in double digits and offset some of these underlying pressures. High Standalone Strategic Execution Risk: Fitch believes there is a meaningful execution risk to the company's strategy to contain revenue declines and grow EBITDA over the next few years. While there are relatively low risk opportunities such as interconnection costs take-out that will support EBITDA, WIN's ability to gain residential market share through increased network investments will be a key driver for future revenue growth. In Fitch's view, Windstream has limited capacity to mitigate execution risks while still deleveraging. GCI-Led Increased Spending: As part of the settlement agreement, Uniti will reimburse WIN $1.75 billion in growth capital investments (GCI) through 2030 and pay Windstream about $400 million over five years, at an annual interest rate of 9%. GCI reimbursements will be critical to support WIN's FTTH investment strategy that aims to drive 1GB speed to approximately half of its incumbent local exchange carrier (ILEC) footprint, roughly two million homes by 2025. Cost Savings Support Standalone Margins: Windstream continues to optimize costs including realization of cost savings from interconnection expenses (i/c expenses) as it transitions away from legacy products. WIN launched a three-year TDM exit plan in 2020 to migrate almost all its CLEC customers off of the TDM network to newer technologies. Fitch believes i/c cost savings along with additional identified cost saving opportunities will continue to support EBITDA margins over the rating horizon. Parent Subsidiary Linkage: Under the announced transaction terms, Fitch will likely equalize the ratings of Uniti and Windstream subsidiaries with the newly created combined parent company. This is based on its assessment of high strategic and operational incentives under stronger subsidiary path. Strategic incentives are high due to the subsidiaries' substantial financial contribution from both Windstream and Uniti to the parent, as well the critical advantage of combining an Opco and Propco. Operational incentives are high due to common ownership and elimination of inefficiencies once the merger is complete. Peer Analysis Windstream is a hybrid company with characteristics of an incumbent operator through its Kinetic business unit (ILEC business), which primarily operates in rural areas of 18 states. It also provides business services through its Enterprise and Wholesale units (CLEC), which compete nationally. In comparison to Frontier Communications Parent, Inc. (B+/ Rating Watch Positive [RWP]), standalone Windstream has less exposure to the residential market. The residential market held up relatively well during the coronavirus pandemic but continues to face secular challenges. WIN derives approximately 25% of revenues from consumers vs. 50% for Frontier. Frontier has a slightly larger scale than Windstream and has similar leverage compared with WIN's lease-adjusted leverage. Both Frontier and WIN have similar EBITDA(/R) margins on a like-to-like basis. Fitch recently placed Frontier's ratings on RWP following Verizon Communications Inc.'s (A-/Stable) announcement that it will acquire Frontier. In the enterprise service market, Windstream has a weaker competitive position based on scale and size of its operations in the enterprise market. Larger companies, including AT&T Inc. (BBB+/Stable), Verizon Communications Inc. (A-/Stable) and Lumen Technologies, Inc. (CCC+), have an advantage with national or multinational companies given their extensive footprints in the U.S. and abroad. These companies also operate at lower leverage and have better financial flexibility and FCF profiles. Key Assumptions Windstream Standalone - Fitch expects revenue declines in mid-to-high single digit in 2025 and 2026; - EBITDA margins in mid-20%; - No dividends are assumed over the forecast; - Fitch expects adjusted leverage (total adjusted debt/EBITDAR) to remain in or near 4x-5x range. Recovery Analysis KEY RECOVERY RATING ASSUMPTIONS - The recovery analysis assumes that Windstream would be reorganized as a going-concern (GC) in bankruptcy rather than liquidated. The recovery analysis reflects WIN's standalone credit silo waterfall. - Fitch assumes a 10% administrative claim; - The revolving facility is assumed to be fully drawn; - WIN's GC EBITDA is based on 2024 EBITDA. The GC EBITDA is assumed roughly 30% lower than the LTM EBITDA in a bankruptcy scenario due to company's inability to grow consumer and/or strategic business revenue that is sufficient to offset declines in legacy revenue. These pressures could stem from competitive pressures, an unsuccessful fiber deployment strategy or protracted pressures on enterprise revenue. EBITDA declines faster than anticipated, eroding benefits from cost cutting measures; - The GC EBITDA estimate reflects Fitch's view of a sustainable, post-reorganization EBITDA level upon which Fitch bases the enterprise valuation (EV); - An EV multiple of 4.5x EBITDA is applied to the GC EBITDA to calculate a post-reorganization enterprise value. The choice of this multiple considered the following factors; - The historical bankruptcy case study exit multiples for most telecom companies ranged from 3x-7x, with a median of 5.4x; - Windstream emerged from bankruptcy in 2020 with a reorganization multiple of roughly 3.5x. Frontier Communications emerged in early 2021 at near 5x. FairPoint's reorganization multiple was 4.6x following its emergence from bankruptcy in 2011; - Fitch uses a 4.5x multiple to reflect WIN's improved capital structure (reduced debt levels) following the restructuring and the strategic focus on fiber spending to increase market share. RATING SENSITIVITIES Factors That Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - The RWE could be resolved, and Windstream's IDR could be downgraded to 'B-' if the Uniti merger does not close and Windstream is outside its standalone negative sensitivities. On a standalone basis: - Deterioration in operating profile, including inability to stabilize revenue or offset EBITDA pressure through cost reductions; - Aggressive shareholder policies such as dividend recaps resulting in negative FCFs (adjusted for Uniti GCI reimbursements) on a sustained basis; - Adjusted leverage sustained above 5.0x; or adjusted (CFO-capex)/total debt below -7%. Factors That Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - The RWE could be resolved, and Windstream's IDR affirmed at 'B' if the merger does not close, and Windstream is within its standalone rating sensitivities. Fitch could also take these actions if the Uniti merger closes and Uniti's IDR is then downgraded to 'B', based on the combined parent company's 'B' rating; - The RWE could be resolved, and Windstream's IDR could be upgraded to 'B+' if the Uniti merger closes and Uniti's IDR is then affirmed at 'B+', based on the combined parent company's 'B+' rating. On a standalone basis: - Revenue stabilization achieved through a) continued growth in broadband subscribers because of increased GCI spending and b) expansion in strategic enterprise revenue; - Successful execution on cost reduction plans, resulting in EBITDA margins sustained in low-to-mid 20s range and consistently positive FCFs; - EBITDAR leverage, defined as total adjusted debt/ operating EBITDAR, sustained below 4.0x or a positive adjusted (CFO-capex)/ Debt where capex is adjusted for GCI reimbursements. Liquidity and Debt Structure Fitch believes Windstream has sufficient liquidity supported by cash balances and approximately $291 million availability under its $475 million revolver at YE2024. There are no significant maturities in the near term. Windstream's capital structure consists of: (a) a $475 million super senior secured revolving facility (b) $500 million senior secured term loan maturing October 2031, (c) a combined $2,200 million of senior secured notes due October 2031. The financial covenants include a maximum leverage ratio of 3.25x and a maximum first lien secured leverage ratio of 2.25x under the Amended Credit Agreement. For 2031 Notes, the financial covenants include a maximum leverage ratio of 3.5x and a maximum first lien secured leverage ratio of 2.25x. Windstream's settlement agreement with Uniti has a 3.0x total leverage incurrence covenant with respect to Uniti's GCI commitment obligations. Under the settlement agreement Uniti will not be required to comply with its GCI funding commitment if Windstream's total leverage ratio exceeds 3.5x (the maintenance leverage covenant) and if Windstream breaches certain conditions on debt incurrence, dividends and acquisitions amongst other provisions. The maintenance and incurrence covenant do not apply at certain rating levels, as defined in the agreement. Issuer Profile Windstream offers bundled broadband, voice, digital television and security solutions to consumers primarily in rural areas in 18 states. On May 3, 2024, Uniti announced a re-merger with Windstream. 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 ----------- ------ -------- ----- Windstream Services, LLC LT IDR B Rating Watch Maintained B super senior LT BB Rating Watch Maintained RR1 BB senior secured LT BB- Rating Watch Maintained RR2 BB- Windstream Holdings II, LLC LT IDR B Rating Watch Maintained B WOODMAN INVESTMENT: Seeks Chapter 11 Bankruptcy in California ------------------------------------------------------------- On May 2, 2025, Woodman Investment Group LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central District of California. According to court filing, the Debtor reports $27,605,068 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Woodman Investment Group LLC Woodman Investment Group LLC owns the retail shopping center at 6801-6817 Woodman Avenue in Van Nuys, California. The property is valued at $12 million, based on comparable sales in the area. Woodman Investment Group LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No.: 25-10775) on May 2, 2025. In its petition, the Debtor reports total assets of $12,338,987 and total liabilities of $27,605,068. Honorable Bankruptcy Judge Martin R. Barash handles the case. The Debtor is represented by Michael Jay Berger, Esq. at LAW OFFICES OF MICHAEL JAY BERGER. ZAHRCO ENTERPRISES: Carol Fox Named Subchapter V Trustee -------------------------------------------------------- The U.S. Trustee for Region 21 appointed Carol Fox of GlassRatner as Subchapter V trustee for Zahrco Enterprises Inc. 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 Zahrco Enterprises Inc. Zahrco Enterprises Inc. operates two restaurants located in Coral Gables, Fla., on leased properties. Zahrco Enterprises sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-13628) on April 2, 2025. In its petition, the Debtor reported total assets of $72,679 and total liabilities of $2,591,821. Judge Corali Lopez-Castro handles the case. The Debtor is represented by Kris Aungst, Esq., at Paragon Law, LLC. [] Chapter 11 Bankruptcy Filings Declined 20% in April 2025 ----------------------------------------------------------- Epiq AACER reports that individual Chapter 7 bankruptcy filings rose 16% in April 2025 compared to the same month last 2024, signaling increased financial pressure on U.S. households, according to May 2 data from Epiq AACER. The number of Chapter 7 cases reached 30,961 -- up from 26,781 in April 2024. Overall individual bankruptcy filings climbed 10% year-over-year to 47,323, while Chapter 13 filings remained relatively unchanged at 16,246, slightly up from 16,175. "The 9 percent rise in total bankruptcy filings in April 2025 -- driven by a 16 percent spike in Chapter 7 filings -- reflects growing household financial strain, elevated prices, and high borrowing costs," said Michael Hunter, vice president at Epiq AACER. Total bankruptcies across all categories hit 49,588 last month, a 9% increase from the previous year. However, commercial filings dropped 12% to 2,265. Commercial Chapter 11 filings fell 20%, while Subchapter V cases for small businesses rose 4% to 218, Epiq AACER reports. "Although filings remain below pre-pandemic levels, ongoing inflation, rising debt costs, and global uncertainties continue to pressure families and businesses," said Amy Quackenboss, executive director of the American Bankruptcy Institute (ABI). Epiq AACER and ABI provide monthly bankruptcy statistics used by researchers, analysts, and policymakers, available via Epiq's Bankruptcy Analytics platform. ********* 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. 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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 2025. 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 single-user TCR subscription rate is $1,400 for six months or $2,350 for twelve 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 per half-year or $50 annually. For subscription information, contact Peter A. Chapman at 215-945-7000. *** End of Transmission ***