250717.mbx

250717.mbx T R O U B L E D C O M P A N Y R E P O R T E R Thursday, July 17, 2025, Vol. 29, No. 197 Headlines 3000 E. IMPERIAL: Section 341(a) Meeting of Creditors on August 12 31FO LLC: Unsecured Creditors Will Get 100% of Claims in Plan 4011-4090 NW 34TH: Amends Other Priority Unsecured Claims Pay 7530 LLC: Seeks Subchapter V Bankruptcy in New Jersey AMICI MONROE: Files Emergency Bid to Use Cash Collateral ANTOINE ESTATES: Has Deal on Cash Collateral Access APPLIED POWDERCOAT: OKs Deal on Cash Collateral Access ARMELLINO ITALIAN: Justin Williams Named Subchapter V Trustee ASHMARK CONSTRUCTION: R. Kilpatrick Named Subchapter V Trustee AZORRA AVIATION: Moody's Rates New Senior Unsecured Bonds 'B1' BELLEHAVEN ACADEMY: W. Harrison Penn Named Subchapter V Trustee BIG STORM: Court OKs De Minimis Asset Sale for $10K BMI SMART: Aaron Cohen Named Subchapter V Trustee BOWES IN-HOME: Seeks Cash Collateral Access CAREERBUILDER + MONSTER: Has Court OK to Move Forward With Sale CHARIOT BUYER: Fitch Affirms 'B-' LongTerm IDR, Outlook Stable CINEMEX HOLDINGS: Tarek Kiem Named Subchapter V Trustee CMC ADVERTISING: M. Colette Gibbons Named Subchapter V Trustee COGLIANO INTEGRATED: Gets Interim OK to Use Cash Collateral CONSENSUS CLOUD: Moody's Affirms 'B2' CFR, Outlook Stable DAS HUND: Gets Interim OK to Use Cash Collateral DAVIS PARK: Fitch Assigns 'BB+(EXP)sf' Rating on Class E-R Notes DEBORAH L. WILSON FUNERAL: Seeks Chapter 11 Bankruptcy in Pa. DESAI HOLDINGS: M. Douglas Flahaut Named Subchapter V Trustee DOUBLE H SERVICES: Seeks Chapter 11 Bankruptcy in Texas DP LOUISIANA: Dwayne Murray Named Subchapter V Trustee DUV HOLDING CORP: Seeks Chapter 11 Bankruptcy in Texas ELETSON HOLDINGS: Wants to Stop Owners from Viewing Communications EMG UTICA: $50MM Term Loan Add-on No Impact on Moody's 'B3' CFR EXELA TECHNOLOGIES: Bankrupt Units Break Recovery Deal Claim FUTURA ENTERPRISES: Seeks Chapter 11 Bankruptcy in Texas GANNETT CO: Moody's Affirms 'B3' CFR, Outlook Remains Stable GENERATIONS ON 1ST: Court Extends Cash Collateral Access to Aug. 14 GIANT WASH: Robert Gainer Named Subchapter V Trustee GIFTCRAFT LTD: To Sell Gift Stores to Giftcard 2025 for $2.6MM GILBERT LEGGETT: Seeks Chapter 11 Bankruptcy in North Carolina GREEN COPPERFIELD: Court Denies Bid to Use Cash Collateral HERITAGE COAL: Drops Chapter 11 Lawsuit Over Ex-Owner's Liens IN HOME PERSONAL: Court Extends Cash Collateral Access to Sept. 16 JILL'S OFFICE: Claims to be Paid from Continued Operations KIM ENGINEERING: Voluntary Chapter 11 Case Summary KLIMA CONTROL: Files Emergency Bid to Use Cash Collateral KND HOSPITALITY: Unsecureds Will Get 25% of Claims over 60 Months KNOWLTON DEVELOPMENT: Fitch Affirms 'B-' IDR, Outlook Stable L.D. LYTLE: Katharine Battaia Clark Named Subchapter V Trustee LAFORTUNE REAL: Files Emergency Bid to Use Cash Collateral LEVI STRAUSS: Moody's Rates New EUR Unsec. Notes Due 2030 'Ba2' LIFESCAN GLOBAL: Seeks to Sell All Assets at Auction LION RIBBON: Gets Interim OK to Obtain DIP Loan From HCS 107 MAIBACH ENERGY: Unsecureds to Get 100 Cents on Dollar in Plan MAIN LINE EXPO: Seeks Subchapter V Bankruptcy in Texas MAVERICK RESTAURANT: Case Summary & 20 Top Unsecured Creditors METADOOR RESTAURANT: Case Summary & 20 Top Unsecured Creditors MILLENNIUM LAB: Trustee Wins Summary Judgment in J.P. Morgan Case MOM CA: Seeks to Extend Plan Exclusivity to September 29 PARK VIEW: Unsecured Creditors to be Paid in Full in Plan PAULAZ ENTERPRISES: Case Summary & 11 Unsecured Creditors POWER CITY: Gets Interim OK to Use Cash Collateral Until Aug. 12 PROPERTY ADVOCATES: Updates Unsecured Claims Pay; Amends Plan RCKT MORTGAGE 2025-CES7: Fitch Gives B(EXP)sf Rating on 5 Tranches RED DOOR PIZZA: Case Summary & 20 Largest Unsecured Creditors RED DOOR SANDWICH: Case Summary & 20 Largest Unsecured Creditors RITE AID: To Close Nearly All Stores in Connecticut ROGUE SMOOTHIES: Seeks Cash Collateral Access Until Dec. 31 RUNITONETIME LLC: Ropes & Gray represents Lenders in Chapter 11 SD BACKYARD: David Wood Named Subchapter V Trustee SLM CORP: Moody's Affirms 'Ba1' Issuer & Unsecured Debt Ratings SMALL FORTUNE: Unsecureds Will Get 10% of Claims over 60 Months STATE OF FLUX: Gets Interim OK to Use Cash Collateral STONE BRIDGE: Case Summary & 15 Unsecured Creditors TRACK BARN: Gets Interim OK to Use Cash Collateral UNIVISION COMMUNICATIONS: Moody's Rates New 2032 Sec. Notes 'B2' VICTORY CAPITAL: Moody's Alters Outlook on 'Ba1' CFR to Positive WARD ENTERPRISES: Gary Murphey Named Subchapter V Trustee ********* 3000 E. IMPERIAL: Section 341(a) Meeting of Creditors on August 12 ------------------------------------------------------------------ On July 14, 2025, 3000 E. Imperial LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Central 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. A meeting of creditors under Section 341(a) to be held on August 12, 2025 at 02:00 PM at UST-SA1, TELEPHONIC MEETING. CONFERENCE LINE:1-888-330-1716, PARTICIPANT CODE:8695724. About 3000 E. Imperial LLC 3000 E. Imperial LLC is a real estate holding company that manages commercial property in Buena Park, California. 3000 E. Imperial LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-11912) on July 14, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Honorable Bankruptcy Judge Mark D. Houle handles the case. The Debtors are represented by Jeffrey I. Golden, Esq. at GOLDEN GOODRICH LLP. 31FO LLC: Unsecured Creditors Will Get 100% of Claims in Plan ------------------------------------------------------------- 31FO, LLC, filed with the U.S. Bankruptcy Court for the Eastern District of New York a Disclosure Statement describing Plan of Reorganization dated June 25, 2025. The Debtor is a New York limited liability company formed in 2018 by David D. Rosa to own and develop real property. Mr. DeRosa is the Manager and sole member of the Debtor. In 2018, the Debtor acquired real property located at 31 Fort Hill Drive, Lloyd Neck, New York 11743 (the "Property"). The Property consists of a 10-acre property, improved by a 37 room, 25,0000 square feet house, with an 18 car garage overlooking Cold Spring Harbor and the Long Island Sound. The Chapter 11 case was precipitated by a dispute between Mr. DeRosa and his former partner, Rakesh Bhargava and his company, MangoTree Real Estate Holdings L.P. In or about 2020, DeRosa and Bhargava began to unwind their mutual investment portfolio, leading to a series of disputes culminating in, inter alia, litigation in Supreme Court Nassau County. Due to the Debtor being unable to timely refinance the Property, MangoTree entered the confession of judgment against the Debtor on July 19, 2024 and proceeded to schedule a Sherriff's sale of, inter alia, the Property. The Debtor therefore filed, on October 10, 2024, for Chapter 11 protection prior to the scheduled sale in order to preserve the debtor's interests and equity in the Property. On June 18, 2025, the Debtor received an offer to purchase the Property for $17,200,00. The Debtor is also expecting another offer for possibly more than such amount. Upon closing of the Sale, the Debtor will have sufficient funds to pay all creditors in accordance with the terms of the Plan. Pending closing on the sale, the Debtor continues to explore refinance options to attempt to extract the most value for the Property as possible. The Plan will be funded with the net proceeds from the sale or refinance of the Property. The sale or refinance of the Property, as applicable, following Confirmation of the Plan, shall not be subject to any stamp or similar transfer or mortgage recording tax pursuant to section 1146(a) of the Code because the Property shall be refinanced or sold under the Plan and after the Effective Date. Class 4 consists of the Allowed General Unsecured Claim. The Allowed Class 4 General Unsecured Claim in the approximate amount of $144,359.99 shall be paid 100% of its Allowed Claim, without interest, in Cash, from the Distribution Fund upon or short after the Sale Closing Date. Class 4 is impaired and entitled to vote on the Plan. The holders of Class 5 interests shall continue to retain their interests in the Debtor after the Effective Date and shall receive any net proceeds after payment in full to all Allowed classified and unclassified Claims. Class 5 interests are unimpaired under the Plan and are deemed to accept the Plan. The Debtor shall continue through a licensed real estate broker, to market the Property in order to refinance or sell and liquidate the Property for the highest and best price. Upon Closing, the proceeds of refinance or sale shall be distributed to holders of Claims and Interests in the same manner as provided for in Article III herein. A full-text copy of the Disclosure Statement dated June 25, 2025 is available at https://urlcurt.com/u?l=dBUAnx from PacerMonitor.com at no charge. Proposed Substitute Attorneys for the Debtor: Robert L. Rattet, Esq. Davidoff Hutcher & Citron LLP 120 Bloomingdale Road, Suite 100 White Plains, NY 10605 Telephone: (914) 381-7400 About 31FO LLC 31FO LLC was organized in 2018 as a New York limited liability company to own and develop real property. The Debtor is the fee simple owner of real property located at 31 Fort hill, Lloyd Neck, NY 10073 having an appraised value of $23 million. 31FO LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 24-73893) on Oct. 10, 2024. In the petition filed by David D. DeRosa, managing member, the Debtor reports total assets of $23,000,000 and total liabilities of $12,841,948. The Honorable Bankruptcy Judge Robert E. Grossman handles the case. The Debtor is represented by Robert L. Rattet, Esq., at Davidoff Hutcher & Citron LLP. 4011-4090 NW 34TH: Amends Other Priority Unsecured Claims Pay ------------------------------------------------------------- 4011-4090 NW 34th Street LLC submitted a Second Amended Disclosure Statement in support of Second Amended Plan of Reorganization dated June 25, 2025. Pursuant to this Amended Plan, the Debtor's real properties will be sold and secured and unsecured creditors will receive a distribution of 100% of their allowed claim(s) except for one (1) class which would be providing a carveout to the bankruptcy estate from the sale proceeds. The Debtor believes that the Amended Plan is feasible and provides for a 100% distribution to all creditors, with interest, with a tiered carveout provided by IPG for which the amount of the carveout will be dependent on the sale price of the Property. The Debtor believes that the Property can be sold for an amount that would pay all allowed claimants in full subject to said IPG carveout. As such, pursuant to the Amended Plan, the Debtor will be selling the Property and moving in an expeditious fashion to accomplish same. To allow for a six-month period of time to complete a sale of the Real Properties (without prejudice to requesting further extensions from the Court for cause), the Debtor proposes that the Real Properties be sold by December 31, 2025. For clarity. The Debtor has until November 30, 2025 to close on an open market sale with a sale price of $2.5 million or greater. If the Debtor is unable to close on such a sale, the Debtor agrees to sell the Property to IPG for $105,000.00 in exchange for a deed in lieu of foreclosure. IPG shall close on this proposed transaction and pay the Broward County property taxes by December 31, 2025. Class 2, Other Priority Unsecured Claims, are unimpaired by the Amended Plan. Only one Priority Unsecured Claim has been filed, by the Internal Revenue Service, which is being treated in Class 1. No other Priority Claims have been filed; and no other undisputed, noncontingent and/or liquidated Priority Claims have been scheduled by the Debtor. However, in the event that it is determined by the Court that any other allowed Priority Claims do exist, then each holder of a Class 2 Priority Claim will be paid in full, plus statutory interest if applicable, in one (1) lump sum payment on the Effective Date. Like in the prior iteration of the Plan, Class 4, the General Unsecured Claim of the Internal Revenue Service, is unimpaired by this Plan. This claim relates to a penalty for unpaid Federal Insurance Contributions Act ("FICA") taxes in the amount of $602.01. The Internal Revenue Service will be paid in full (the full amount of its General Unsecured Claim) in one lump sum payment on the Effective Date. Class 6 consists of all allowed equity interests in the Debtor, which includes interest in any share of preferred stock, common stock or other instruments evidencing an ownership interest in the Debtor. All Equity Security Holders of the Debtor will retain their interest(s) in the Debtor as such interest(s) existed prior to the Petition Date, with Williamette Valley Capital Corp. retaining a 98% interest, Alcibia International Corp. retaining a 1% interest, and Tyre Conquest Corp. retaining a 1% stock interest. Additionally, Equity Security Holders of the Debtor will retain any and all net proceeds from the closing of the sale of the Property, after payment in full of allowed claims, including payment to the United States Trustee of its quarterly fees and payments to the Debtor's professionals. The means necessary for the implementation of the Amended Plan include the proceeds from the sale of the Property. The Debtor may sell the Property together or separately, using its business judgment, and upon Court approval. The Debtor will seek the approval of bid procedures, any sale, and other related matters through the appropriate motion(s) to be filed with the Court after the date of this Amended Plan. The sale will be free and clear of any and all liens, claims, encumbrances and other interests. To the extent that the Debtor wishes to prepay any amounts due under this Amended Plan, the Debtor reserves the right to do so without penalty. The Debtor, as reorganized, will retain and will be re-vested in all property of the estate, excepting property which is to be sold or otherwise disposed of as provided herein and executory contracts which are rejected pursuant to this Amended Plan. The retained property shall be used by the Debtor in the ordinary course of its business. A full-text copy of the Second Amended Disclosure Statement dated June 25, 2025 is available at https://urlcurt.com/u?l=50M5uo from PacerMonitor.com at no charge. 4011-4099 NW 34th Street, LLC is represented by: Christian Somodevilla, Esq. LSS LAW 2 South Biscayne Boulevard, Suite 2200 Miami, FL 33131 Telephone: (305) 894-6163 Facsimile: (305) 503-9447 Email: cs@lss.law About 4011- 4099 NW 34th Street 4011- 4099 NW 34th Street, LLC is the owner of real property located at 4011-4090 NW 34th Street, Lauderhill, Fla., valued at $2 million. 4011- 4099 NW 34th Street filed a Chapter 11 petition (Bankr. S.D. Fla. Case No. 23-19421) on Nov. 16, 2023. In the petition signed by Jose Gaspard Morell, an authorized officer, the Debtor disclosed $2,054,566 in total assets and $590,001 in total liabilities. Judge Corali Lopez-Castro oversees the case. The Debtor tapped Zach B. Shelomith, Esq., and Christian Somodevilla, Esq., at LSS Law as bankruptcy counsel and Hal Levenberg at Yip Associates as accountant. 7530 LLC: Seeks Subchapter V Bankruptcy in New Jersey ----------------------------------------------------- On July 14, 2025, 7530 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 $100,000 and $500,000 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About 7530 LLC 7530 LLC is a real estate company whose principal assets are located at 409 Main Street, Lots 001-003, in Beaverdam, Ohio. 7530 LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.N.J. Case No. 25-17354) on July 14, 2025. In its petition, the Debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $100,000 and $500,000. The Debtors are represented by John F. Thomas, Jr., Esq. at ALLEN b DUBROFF ESQ. & ASSOCIATES, LLC. AMICI MONROE: Files Emergency Bid to Use Cash Collateral -------------------------------------------------------- Amici Monroe, LLC asked the U.S. Bankruptcy Court for the Northern District of Georgia, Gainesville Division, for authority to use cash collateral. Although the Debtor's restaurant has remained operationally sound and maintained a loyal customer base, it recently faced significant financial challenges due to external legal issues involving its owner—issues unrelated to the business itself. In response, the franchisor attempted to assume control of the location, disrupting the Debtor's operations. These disruptions, along with Synovus Bank's decision to accelerate repayment on a Small Business Administration-backed loan used to fund the restaurant's buildout, led to severe cash flow issues and ultimately prompted the Debtor to file for bankruptcy on July 3. The Debtor reports approximately $600,000 in total liabilities, with Synovus Bank as the primary secured creditor, holding a claim of about $577,000. This debt is believed to be secured by nearly all of the Debtor's business assets, including cash. Other creditors include trade vendors, the franchisor, service providers, and the landlord. The Debtor has not obtained post-petition financing and is currently operating solely on revenue generated from continued restaurant operations, which it estimates to be approximately $40,000 per week with a profit margin between 10% and 20%. Because Synovus Bank and potentially others may have a secured interest in the Debtor's cash, the Debtor proposed to offer adequate protection in the form of replacement liens on post-petition collateral, excluding proceeds from avoidance actions. The Debtor argued that the use of cash collateral is essential to prevent immediate and irreparable harm, including potential business shutdown and job losses, and to preserve the going-concern value of the enterprise. The next hearing is scheduled for July 24. About Amici Monroe LLC Amici Monroe, LLC, operating as Amici Cafe in Georgia, operates a casual dining restaurant serving Italian-American cuisine, including pizza, pasta, sandwiches, and wings, as part of the regional Amici restaurant chain. Amici Monroe sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 25-20945) on July 3, 2025. In its petition, the Debtor reported estimated assets up to $50,000 and estimated liabilities between $500,000 and $1 million. The Debtor is represented by Benjamin R. Keck, Esq., at Keck Legal, LLC. ANTOINE ESTATES: Has Deal on Cash Collateral Access --------------------------------------------------- Antoine Estates, LLC asked the U.S. Bankruptcy Court for the Eastern District of New York for authority to use cash collateral and provide adequate protection in accordance with its agreement with CWCapital Asset Management LLC. CWCapital holds a first-priority lien on the Debtor’s assets, including a 40-unit apartment complex in Houston, TX. The Debtor needs to use cash collateral to pay essential operating expenses such as taxes, insurance, utilities, maintenance, and management fees, and to fund a court-supervised sale of its primary asset—an apartment complex located at 8923-9021 Antoine Drive in Houston, Texas. The property consists of a ten-building, forty-unit multifamily complex, and is encumbered by a loan originally issued by Greystone Servicing Company LLC in October 2023 in the amount of $2.75 million. That loan, secured by the property and memorialized through a loan agreement, multifamily note, and other documents, was subsequently transferred to U.S. Bank Trust Company, N.A., with CWCapital acting as servicer. The Debtor defaulted under the loan documents starting in October 2024 and has failed to make payments for several months, triggering an event of default. As of the date of the motion, the Secured Lender asserts it is owed no less than $3.6 million. In response to these defaults, the Secured Lender initiated foreclosure proceedings and receivership actions in Texas state court. On multiple occasions, the Debtor attempted to block foreclosure sales through last-minute legal actions, culminating in the Debtor filing for Chapter 11 bankruptcy protection on May 6, the morning of a scheduled foreclosure auction. Following the bankruptcy filing, the Secured Lender objected to the use of its collateral and filed a motion to dismiss the case or lift the automatic stay. To resolve the dispute, the parties negotiated a consensual agreement whereby the Debtor would be allowed to use cash collateral, subject to a lender-approved budget and strict conditions. The agreement includes provisions for adequate protection in favor of the Secured Lender, including monthly cash payments of $15,000 beginning within five business days of the Debtor gaining access to funds, ongoing financial reporting, full access to inspect the property (including every residential unit) by August 1, and the Debtor’s pursuit of any cash collateral held by the loan guarantor, Allon Avgi. The Debtor has also agreed to dismiss, with prejudice, its counterclaims against the Secured Lender in pending Texas litigation by August 1. Additionally, the Debtor and Lender have agreed to pursue a court-supervised sale of the property through a formal auction process, with procedures filed concurrently in a separate motion. The Debtor's authority to use cash collateral will terminate three days after any breach of sale milestones, violation of the agreed budget, dismissal or conversion of the case, or modification of the cash collateral order without the Lender's consent. A copy of the motion is available at https://urlcurt.com/u?l=ic7foM from PacerMonitor.com. About Antoine Estates LLC Antoine Estates LLC owns a residential apartment building at 9021 Antoine Drive in Houston, Texas. The property's current estimated value is $4 million. Antoine Estates LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-42188) on May 6, 2025. In its petition, the Debtor reported total assets of $4,000,101 and total liabilities of $3,009,000. Judge Nancy Hershey Lord handles the case. The Debtor is represented by Joseph Y. Balisok, Esq., at Balisok & Kaufman, PLLC. APPLIED POWDERCOAT: OKs Deal on Cash Collateral Access ------------------------------------------------------ Applied Powdercoat, LLC got the green light from the U.S. Bankruptcy Court for the Central District of California, Northern Division, to use cash collateral. At the hearing held on July 15, the court granted the Debtor's motion to use cash collateral in accordance with its agreement with First Bank of the Lake. FBOL holds a first-priority lien on the Debtor's accounts receivable and inventory. It has consented to the use of cash collateral under the condition that it receives post-petition replacement liens. These liens on all post-petition assets of the Debtor are automatically perfected upon entry of the court order. The stipulation grants FBOL superpriority administrative expense status under several sections of the Bankruptcy Code, ensuring that its claims are paid ahead of other administrative claims. Any proposed use of cash collateral in excess of the authorized $100,000 will require written consent from FBOL and may be approved without further court order, subject to the granting of additional replacement liens. The parties agree that the Debtor may use $100,000 in cash collateral to fund essential business operations, including payroll, inventory purchases, and other necessary expenses as outlined in a proposed budget. The Debtor argues that this use of funds is critical to maintaining business continuity and avoiding severe harm to the bankruptcy estate and its creditors. The Debtor filed for bankruptcy on June 6, 2025, due to its inability to meet financial obligations, particularly a $1.2 million loan from FBOL, which had initiated legal action prior to the filing. The Debtor also faces a default judgment in favor of Expert Staffing West for $277,411; however, Expert Staffing holds no valid security interest in the Debtor’s assets. In addition to FBOL, Applied Powdercoat, Inc. holds a secondary lien stemming from a 2022 asset purchase agreement, but its lien is limited to specific personal property and does not extend to accounts receivable or inventory. At the time of filing, the Debtor had $143,200 in accounts receivable and $9,385 in cash, which has increased post-petition to approximately $166,000 in receivables and $26,000 in cash. The Debtor anticipates generating about $170,000 in receivables per month during the bankruptcy, providing sufficient coverage for FBOL's replacement liens. The Debtor is also in active negotiations with its landlord, Hagan Capital LLC, regarding post-petition rent and long-term lease terms. If these negotiations fail, the Debtor may be forced to shift its strategy from reorganization to a potential sale of its business or assets. About Applied Powdercoat LLC Applied Powdercoat LLC is an Oxnard-based manufacturing firm specializing in powder coating, sandblasting, and silk screening services. Founded in 1989 and operating from a state-of-the-art 30,000 sq. ft. facility at 3101 Camino del Sol, the Company serves industrial, aerospace, defense, custom fabrication, automotive restoration, and commercial clients throughout Southern California. Applied Powdercoat sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No. 25-10762) on June 6, 2025. In its petition, the Debtor reported between $1 million and $10 million in assets and liabilities. Judge Ronald A. Clifford III handles the case. The Debtor is represented by Derrick Talerico, Esq., at Weintraub Zolkin Talerico & Selth LLP. ARMELLINO ITALIAN: Justin Williams Named Subchapter V Trustee ------------------------------------------------------------- J. Thomas Corbett, the U.S. Bankruptcy Administrator for the Northern District of Alabama, appointed Justin Williams as Subchapter V trustee for Armellino Italian Ices Corp. Mr. Williams declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Justin G. Williams Tanner & Guin, LLC 2711 University Boulevard, Suite 201 Tuscaloosa, Alabama 35401 Telephone: (205) 633-0218 Fax: (205) 633-0318 Email: justin@tannerguin.law About Armellino Italian Ices Corp. Armellino Italian Ices Corp. which operates Rita's Italian Ice and PJ's Coffee franchises in Tuscaloosa, Alabama, specializes in selling Italian ice, frozen custard, and specialty coffee products through its two branded retail locations on University Boulevard. Armellino Italian Ices Corp. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ala. Case No. 25-70864) on July 1, 2025. In its petition, the Debtor reported estimated assets between $100,000 and $500,000 and estimated liabilities between $500,000 and $1 million. The Debtor is represented by Anthony Brian Bush, Esq. at The Bush Law Firm. ASHMARK CONSTRUCTION: R. Kilpatrick Named Subchapter V Trustee -------------------------------------------------------------- The U.S. Trustee for Regions 3 and 9 appointed Richardo Kilpatrick, Esq., at Kilpatrick & Associates, P.C. as Subchapter V trustee for Ashmark Construction LLC. Mr. Kilpatrick will be paid an hourly fee of $375 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Kilpatrick declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Richardo I. Kilpatrick, Esq. Kilpatrick & Associates, P.C. 903 N. Opdyke Rd., Ste. C. Auburn Hills, MI 48326 Phone: (248) 377-0700 Fax: (248) 377-0800 Email: rkilpatrick@kaalaw.com About Ashmark Construction LLC Ashmark Construction LLC is a commercial contractor and developer based in West Bloomfield, Michigan. The Company specializes in commercial construction and motorsport garage projects, offering turnkey solutions with a focus on quality control, scheduling, and client service. Ashmark has completed over 50 projects within private luxury garage communities, delivering customized units designed for automotive enthusiasts. Ashmark Construction LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-46693) on June 30, 2025. In its petition, the Debtor reports total assets of $1,367,166 and total liabilities of $510,887. Honorable Bankruptcy Judge Paul R. Hage handles the case. The Debtors are represented by Kimberly Ross Clayson, Esq. at TAFT STETTINIUS & HOLLISTER LLP. AZORRA AVIATION: Moody's Rates New Senior Unsecured Bonds 'B1' -------------------------------------------------------------- Moody's Ratings has assigned a B1 backed senior unsecured rating to the newly issued notes of Azorra Aviation Holdings, LLC's (Azorra) wholly-owned subsidiary, Azorra Finance Limited. Azorra's Ba3 corporate family rating and Azorra SOAR TLB Finance Limited's Ba1 backed senior secured term loan B rating were unaffected by the action. The outlook for the three entities remains stable. RATINGS RATIONALE Azorra Finance Limited's backed senior unsecured rating of B1 reflects the increasing proportion of unsecured debt in the company's debt capital structure (approximately 45% of total debt pro-forma for new unsecured notes). Azorra's Ba3 CFR reflects the company's niche business model of investing in and leasing crossover and regional commercial aircraft, its currently moderate profitability, its recent debt transformation and its increasing leverage as it expands its fleet and increasingly relies on debt for financing. The majority of the company's existing fleet consists of Embraer E-jet family of aircraft, including the E-170, E175, E190 and E195 series aircraft, with the remaining fleet comprised of seven ATRs, 9 A330, 14 A220 aircraft, two 777 and twelve engines. Azorra has relatively high customer concentrations with its top five customers accounting for approximately 39% of its airline customers as of March 31, 2025. Furthermore, Moody's expects that the company's debt-to-equity leverage will rise as it expands its fleet investments, though the company's long-term objective is to maintain leverage comparable with well-established aircraft leasing peers. The stable outlook reflects Moody's expectations that Azorra will continue to place its expanding fleet at favorable lease rates, while achieving better operating leverage, such that its profitability continues to expand. The stable outlook also reflects Moody's expectations that Azorra's debt-to-equity leverage will rise as it issues debt to fund its fleet growth and that its leverage will rise to around 2.5x over time, comparable with peers. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING Moody's could upgrade Azorra's ratings if the company demonstrates effective management of existing fleet risks, mostly focused on regional aircraft; profitability is sustained, as measured by net income/average managed assets above 1.0% as the business model evolves and demonstrates consistent operating performance; and the company continues to reduce its reliance on secured debt, lowers its customer concentrations and maintains strong capitalization. Moody's could downgrade the ratings if Azorra suffers from a deterioration in profitability such that net income/average managed assets profitability declines to less than 0.5%; if the company loses a key customer relationship; or if the company's overall liquidity weakens. The ratings could also be downgraded if Azorra's fleet risks rise, raising risks to financial performance and stability. Azorra Aviation Holdings, LLC is an aircraft and engine leasing company based in Florida, USA. It is majority owned by certain funds managed by Oaktree Capital Management. As of March 31, 2025, the company had 143 aviation assets and total assets of $3.1 billion. The principal methodology used in this rating was Finance Companies published in July 2024. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. BELLEHAVEN ACADEMY: W. Harrison Penn Named Subchapter V Trustee --------------------------------------------------------------- The Acting U.S. Trustee for Region 4 appointed W. Harrison Penn as Subchapter V trustee for Bellehaven Academy, Inc. Mr. Penn will be paid an hourly fee of $350 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Penn declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: W. Harrison Penn PO Box 11332 Columbia, SC 29201-1332 Phone: (803) 771-8836 Email: hpenn@pennlawsc.com About Bellehaven Academy Inc. Bellehaven Academy Inc. is a tax-exempt educational institution operating in Anderson, South Carolina. Bellehaven Academy sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D.S.C. Case No. 25-02508) on July 1, 2025. In its petition, the Debtor reported estimated assets and liabilities between $100,000 and $500,000. The Debtor is represented by Jason Michael Ward, Esq., at Jason Ward Law, LLC. BIG STORM: Court OKs De Minimis Asset Sale for $10K --------------------------------------------------- The U.S. Bankruptcy Court for the Middle District of Florida, Tampa Division, has approved Big Storm Brewery, LLC and its affiliates, Big Storm Pinellas, LLC, and Big Storm Real Estate, LLC, to sell, transfer, or abandon of de minimis assets, free and clear of liens, claims, and encumbrances. The Debtors are Florida limited liability companies operating a brewery, taproom, and restaurant located at 12707 49th Street N., Suite 500, Clearwater, Florida 33762. Previously under the control of Leo J. Govoni, ownership of Big Storm Brewery has been transferred to the bankruptcy estate of The Center for Special Needs Trust Administration, Inc., following court orders in adversary proceeding No. 8:24-ap-00139-RCT. This transfer was part of a broader action where the court seized control of over 100 businesses associated with Mr. Govoni due to allegations of misappropriating funds from special needs trusts. The Debtors operate a craft brewery business and restaurant located at 12707 49th Street N., Suite 500, Clearwater, Florida 33762. Big Storm Brewery, LLC is the primary operating entity, and Big Storm Real Estate, LLC holds the real property where the Debtors operate. The cases were filed on an emergency basis to prevent utility shutoffs and to ward off a pending foreclosure by Briar Capital, one of the Debtors' secured creditors. As part of their reorganization efforts, the Debtors are seeking to streamline operations, reduce costs, and generate liquidity through the sale of non-core assets. The Debtors' assets have a relatively modest value individually, between $0.00 to $10,000, but collectively could provide significant cash flow to support the Debtors' operations during the reorganization process. A list of de minimis assets the Debtors seek to sell is attached as Exhibit A (De Minimis Assets) at: https://urlcurt.com/u?l=bppHTR The Debtors believe that the sale of De Minimis Assets will help supplement the Debtors' cash flow while the brand rebuilds and the business reorganizes. The Court has authorized the Debtors to sell or transfer De Minimis Assets with a value of $10,000 or less outside the ordinary course of business, without further order of the Court in accordance with the following De Minimis Asset Transaction Procedures: a. the Debtors are authorized to consummate such transactions if the Debtors determine, in the reasonable exercise of their business judgment and after consultation with the Chapter 11 Trustee of the Center, that such transactions are in the best interest of the estates, without further order of the Court and without further notice to any party; b. any such transaction shall be, without need for any action by any party, final and fully effective immediately upon closing and free and clear of all liens, claims, encumbrances and interests pursuant to 11 U.S.C. § 363(f), with such liens, claims, encumbrances and interests attaching to the proceeds of such transactions with the same validity, extent, and priority as they had attached immediately prior to the transaction; c. transactions consummated in accordance with the provisions of subparagraph (a) above may be private sale or public auction, as determined by the Debtors under the facts and circumstances applicable to each sale; d. all sales of De Minimis Assets shall be free and clear of all interests pursuant to Section 363(f) of the Bankruptcy Code, with such interests to attach to the proceeds of such sales with the same validity, priority, and extent as they had with respect to the De Minimis Assets; e. the proceeds from the sale of any of the De Minimis Assets shall be used by the Debtors in accordance with any applicable cash collateral orders entered in these chapter 11 cases; and f. on a monthly basis, the Debtors shall file with the Court and serve on the Notice Parties a report summarizing all De Minimis Asset transactions that closed during the preceding month in their respective monthly operating report filed with the Court. The Court also held that Good faith purchasers of assets pursuant to these De Minimis Asset Transaction Procedures shall be entitled to the protections of section 363(m) of the Bankruptcy Code. About Big Storm Brewery, LLC Big Storm Brewery, LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-04026) on June 16, 2025, listing up to $50,000 in assets and between $1 million and $10 million in liabilities. Judge Roberta A. Colton oversees the case. Jake C. Blanchard, Esq., at Blanchard Law, P.A. is the Debtor's bankruptcy counsel. BMI SMART: Aaron Cohen Named Subchapter V Trustee ------------------------------------------------- The U.S. Trustee for Region 21 appointed Aaron Cohen, Esq., a practicing attorney in Jacksonville, Fla., as Subchapter V trustee for BMI Smart Parking Lots, LLC. Mr. Cohen will be paid an hourly fee of $315 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Cohen declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Aaron R. Cohen, Esq. P.O. Box 4218 Jacksonville, FL 32201 Tel: (904) 389-7277 Email: aaron@arcohenlaw.com About BMI Smart Parking Lots BMI Smart Parking Lots LLC sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-04004) on June 27, 2025, with up to $50,000 in assets and liabilities. Judge Grace E. Robson presides over the case. Daniel A. Velasquez, Esq., at Latham, Luna, Eden & Beaudine, LLP represents the Debtor as legal counsel. BOWES IN-HOME: Seeks Cash Collateral Access ------------------------------------------- Bowes In-Home Care, Inc. asked the U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division, for authority to use cash collateral and provide adequate protection. The Debtor, which operates a medical in-home care service in Chicago and surrounding areas, provides therapy, nursing, and related services to seniors and disabled individuals. It employs or contracts with healthcare professionals to deliver care directly to patients' homes. It is currently operating as a debtor-in-possession and is working under the oversight of a Subchapter V trustee. To maintain its business, the Debtor needs to use cash collateral to cover essential operating expenses. These expenses are necessary to continue day-to-day operations and prevent irreparable harm to the business and the bankruptcy estate. The Debtor has an initial budget projecting that it will generate sufficient cash flow to cover these expenses and will submit additional budgets as the case progresses. The Debtor intends to use certain cash and cash equivalents that are subject to liens held by the U.S. Small Business Administration, which is the Debtor's only secured creditor. The SBA's lien stems from a $1.85 million Economic Injury Disaster Loan issued during the COVID-19 pandemic. As adequate protection for the SBA, the Debtor proposed to grant the SBA replacement liens on post-petition assets to the extent of any diminution in value of its pre-petition collateral. It will also allow reasonable inspection of its records, maintain asset insurance, and provide updates on collateral. About Bowes In-Home Care Inc. Bowes In-Home Care, Inc. operates a medical in-home care service in Chicago and surrounding areas. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 25-10234) on July 3, 2025. In the petition signed by Michael Collura, president, the Debtor disclosed up to $10 million in both assets and liabilities. Judge Janet S. Baer oversees the case. James A. Young, Esq., at James Young Law, represents the Debtor as legal counsel. CAREERBUILDER + MONSTER: Has Court OK to Move Forward With Sale --------------------------------------------------------------- Craig Johnson of Staffing Industry Analysts reports that on July 8, 2025 a Delaware bankruptcy judge approved the sale process for CareerBuilder + Monster as part of the company's ongoing Chapter 11 proceedings. According to the report, the company has secured three stalking horse bidders for its core business segments. JobGet has submitted a $7.0 million bid for the CareerBuilder + Monster job board business. Valnet has offered $22.5 million for the company's Monster Media assets, including websites such as www.military.com and www.fastweb.com. Meanwhile, Valsoft has proposed a $6.0 million bid for the Monster Government Services division. The court set a deadline of 5 p.m. ET on July 15, 2025 for any competing qualified bids. If additional bids are received, an auction is scheduled for 10 a.m. ET on July 17. A sale hearing to approve the transactions is set for 1 p.m. ET on July 24, 2025. Additional information is available through the case's official bankruptcy website, according to Staffing Industry Analysts. Randstad, which retains a minority stake in CareerBuilder + Monster, has filed an objection concerning fees for technology services it provides to the company. A Randstad attorney has been contacted for comment. CareerBuilder + Monster filed for Chapter 11 in June 2025. The company was formed through the September 2024 merger of the CareerBuilder and Monster job boards, with Apollo Global Management holding a controlling interest. Randstad, the former owner of Monster, continues to hold a minority stake. Stalking horse bidder JobGet, based in Boston, has been active in acquisitions throughout 2024, including purchases of Snagajob, Seasoned, and Canadian job board Wirkn. Valnet and Valsoft, both headquartered in Montreal, specialize in media and software acquisitions, according to report. About CareerBuilder + Monster Venture CareerBuilder + Monster is an online job searching company. CareerBuilder + Monster sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 25-11200) on June 24, 2025. In its petition, the Debtor reports between $50 million and $100 million in assets and owes between $100 million and $500 million. Honorable Bankruptcy Judge J Kate Stickles handles the case. The Debtor is represented by Daniel J. DeFranceschi, Esq. and Zachary I. Shapiro, Esq. at Richards, Layton & Finger, P.A. CHARIOT BUYER: Fitch Affirms 'B-' LongTerm IDR, Outlook Stable -------------------------------------------------------------- Fitch Ratings has affirmed Chariot Parent LLC and Chariot Buyer LLC's (dba Chamberlain Group) Long-Term Issuer Default Ratings (IDRs) at 'B-'. Fitch has also affirmed the company's first-lien secured revolver and term loan, including the proposed add-on to the term loan, at 'B-' with a Recovery Rating of 'RR4'. The Rating Outlook is Stable. Chamberlain is extending the maturity of the existing term loan to 2032. The incremental term loan will have the same maturity and amortization and will be pari passu with the revolver. Net proceeds from the incremental first lien term loan will be used to fund the Arrow Tru-Line (Arrow) acquisition. Chamberlain Group's 'B-' IDR and Stable Outlook reflect its high leverage, offset by its strong profitability and FCF margins, solid competitive position, and diversified end markets. The rating also reflects Chamberlain's extended maturity schedule, adequate liquidity, and exposure to tariff risks due to manufacturing concentration. Key Rating Drivers Arrow Acquisition: The Arrow acquisition strengthens Chamberlain's position as a leading provider of access solutions, broadens its suite of overhead door hardware components, and enhances its presence in the repair and remodel market. Arrow's vertically integrated manufacturing and engineering capabilities complement Chamberlain's existing operations. High Leverage Levels: Fitch estimates pro forma LTM EBITDA leverage at 7.3x as of March 31, 2025, down slightly from 7.5x at year-end 2024. Fitch projects pro forma leverage to rise to around 8.0x in 2025, reflecting lower EBITDA margins and higher debt levels from the acquisition, and expects leverage to remain between 7.5x and 8.0x in 2026 as profitability pressures persist. Fitch's rating case does not assume debt repayment beyond required term loan amortization; therefore, any additional debt reduction or margin improvement above expectations could result in lower leverage. Margin Pressure: Fitch expects gross margins to contract by 225 bps - 275 bps in 2025 due to inflationary tariffs and dilutive impact of acquisitions. Fitch projects EBITDA margins to decline 125 bps to 175 bps as lower gross margins are partially offset by lower SG&A as a percentage of sales. Fitch expects the company will raise prices and optimize its supply chain to offset the impact of tariffs. Modest Cash Flow Generation: Fitch expects FCF to turn slightly positive in 2025, supported by reduced distributions. The company reported a negative FCF margin in 2024 due to a large payout but has a consistent track record of positive FCF. Fitch's rating case assumes annual distributions of approximately $100 million. Solid Overall Competitive Position: Chamberlain holds a strong competitive position, supported by well-recognized brands and leadership in both residential and commercial garage door opener markets. Its diversified distribution network includes dealers, installers, OEMs, and major retailers like Home Depot and Lowe's. This reinforces its value chain presence and supports stable to growing margins. The Arrow acquisition further enhances Chamberlain's suite of product offerings, which could provide revenue synergies longer term. Exposure to Repair Segment Limits Cyclicality: Chamberlain's diverse end-market exposure is about 50% residential, 40% commercial, and 10% automotive and international, which limits cyclicality. Approximately 76% of residential revenue comes from the less cyclical retrofit market, primarily non-discretionary break-fix replacements. This supports stable revenues and cash flow through economic cycles. Manufacturing and Distribution Footprint: The majority of Chamberlain's products are manufactured at its Nogales, Mexico facility, with finished goods shipped to six North American distribution centers. This strategic footprint enables competitive costs, but also exposes the company to significant risks from facility disruptions or adverse tariff changes. The Arrow acquisition adds to the company's domestic production capacity and Fitch expects management to further evaluate alternatives to hedge against manufacturing concentration risk. Blackstone Ownership: Fitch expects the sponsor will maintain a relatively high leverage tolerance as evidenced by the high leverage multiple for the company's acquisition by Blackstone. Fitch expects the company will lower leverage through EBITDA growth, but will likely remain in the 7.0x-8.0x range during the rating horizon. Fitch expects continued distributions to the sponsor, limiting FCF generation that could be used for debt reduction beyond the required amortizations. Fitch also expects Chamberlain will benefit from Blackstone's ownership, including accelerating the company's growth in the commercial garage door opener and access solutions market. Parent Subsidiary Linkage: Fitch applied the strong subsidiary/weak parent approach under its "Parent and Subsidiary Linkage Criteria". Fitch views the linkage as strong between Chariot Parent LLC (issuer of financial statements) and Chariot Buyer LLC (borrower under the credit agreements) given the openness of access and control by the parent and relative ease of cash movement within the structure. Fitch views the rated entities on a consolidated basis. Peer Analysis Chamberlain has similar profitability and FCF metrics but meaningfully higher leverage than Fitch's publicly rated universe of building products manufacturers, which are concentrated in the low-investment-grade rating categories. These peers typically have EBITDA leverage of less than or equal to 3.0x and global operating profiles. Chamberlain's leverage is modestly lower than Park River Holdings, Inc. (B-/Stable), but higher than LBM Acquisition, LLC (B/Stable). While smaller in scale, Chamberlain is better positioned in the value chain, with significantly higher profitability and stronger FCF metrics compared with these building products distributors. Key Assumptions - Revenues grow 8%-9% in 2025 and 6.5%-7.5% in 2026; - EBITDA margin of 19.5%-20.5% in 2025 and 2026; - Flat to slightly positive FCF in 2025 and 1%-1.5% FCF margin in 2026; - $100 million of distributions annually; - EBITDA leverage of 8.0-8.5x at the end of 2025 and 7.5x-8.0x at the end of 2026; - EBITDA interest coverage of 1.5x-2.0x during 2025 and 2026; - (CFO-capex)/debt of 3%-4% in 2025 and 3.5%-4.5% in 2026. Recovery Analysis KEY RECOVERY ASSUMPTIONS The recovery analysis assumes that Chamberlain would be considered a going-concern (GC) in bankruptcy and that the company would be reorganized rather than liquidated. Fitch has assumed a 10% administrative claim. Chamberlain's GC EBITDA estimate of $300 million projects a post-restructuring sustainable cash flow, which is about 30% below the pro forma LTM EBITDA. Fitch previously used a $275 million GC EBITDA. The revision to $300 million reflects the acquisition of MFP-Nova and Arrow. Fitch assumes that a default would occur from a meaningful and continued decline in residential and commercial construction activity, combined with the loss of one of its top customers. Fitch estimates revenues that are 25% lower than the pro forma LTM revenue and EBITDA margin of about 19.5% (200 bps below the March 31, 2025, pro forma LTM EBITDA margin) would result in about $300 million GC EBITDA. This would capture the lower revenue base of the company after emerging from a downturn plus a sustainable margin profile after right sizing. An Enterprise Value (EV) multiple of 6.5x EBITDA is applied to the GC EBITDA to calculate a post-reorganization enterprise value. The 6.5x multiple is below the 14.7x purchase multiple for the Chamberlain Group. The EV multiple is higher than the 6.0x multiple Fitch uses for LBM Acquisition, LLC and Park River Holdings, respectively. Fitch believes Chariot has a stronger competitive position in the value chain as a manufacturer compared with LBM and Park River, both of which are distributors. The company also benefits from a dominant market share, which is reflected in the EBITDA margins in the 20% range. The revolver is assumed to be fully drawn at default. The analysis results in a recovery corresponding to an 'RR4' for the $250 million first lien revolver and the existing first lien secured term loan. The distributable value was reduced by the company's $125 million Accounts Receivables Securitization facility. RATING SENSITIVITIES Factors That Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - EBITDA interest coverage sustained below 1.5x; - Fitch's expectation that FCF generation will be sustained at neutral or negative levels, leading to liquidity issues or concerns; - (CFO-capex)/debt is consistently negative. Factors That Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Fitch's expectation that EBITDA leverage will be sustained below 6.5x; - EBITDA interest coverage sustained above 2.5x; - (CFO-capex)/debt sustained above 2.5%. Liquidity and Debt Structure Fitch expects Chariot's liquidity position to remain adequate to fund operations and service its debt. The company had $219 million of cash as of March 31, 2025, and no borrowings under its $250 million revolver that matures in 2028 and its $125 million accounts receivable securitization facility expiring in 2026. The company has no debt maturities until 2028, when its first-lien term loan B mature. Annual TL amortization is manageable at around $34 million on a pro forma basis. Issuer Profile Chariot Parent, LLC (dba The Chamberlain Group) is a leading North American provider of access control solutions. It holds the number-one positions in residential garage door openers, commercial garage door openers, commercial gate controls, and automotive garage access remotes. 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 ----------- ------ -------- ----- Chariot Buyer LLC LT IDR B- Affirmed B- senior secured LT B- Affirmed RR4 B- Chariot Parent LLC LT IDR B- Affirmed B- CINEMEX HOLDINGS: 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 Cinemex Holdings USA, 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 Cinemex Holdings USA Cinemex Holdings USA, Inc. is a holding company for cinema operations including CMX Cinema. Cinemex Holdings sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-17559) on June 30, 2025. In its petition, the Debtor reports estimated assets between $100,001 and $500,000, with liabilities under $50,000. Judge Corali Lopez-Castro handles the case. The Debtor is represented by Jeffrey P. Bast, Esq., at Bast Amron LLP. CMC ADVERTISING: M. Colette Gibbons Named Subchapter V Trustee -------------------------------------------------------------- The U.S. Trustee for Regions 3 and 9 appointed M. Colette Gibbons, Esq., a practicing attorney in Westlake, Ohio, as Subchapter V trustee for CMC Advertising, Ltd. Ms. Gibbons will be paid an hourly fee of $400 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. Gibbons declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: M. Colette Gibbons, Esq. Attorney at Law 28841 Weybridge Drive Westlake, OH 44145 Phone: (216) 798-6940 Email: colette@mcgibbonslaw.com About CMC Advertising Ltd. CMC Advertising, Ltd. operating as Mailworks II, is an Ohio-based advertising company. CMC Advertising sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ohio Case No. 25-31341) on June 27, 2025, listing up to $500,000 in assets and up to $10 million in liabilities. Claude R. Montgomery, Jr., managing member of CMC Advertising, signed the petition date. Judge John Gustafson oversees the case. Eric R. Neuman, Esq., at Diller and Rice, LLC, represents the Debtor as legal counsel. COGLIANO INTEGRATED: Gets Interim OK to Use Cash Collateral ----------------------------------------------------------- Cogliano Integrated Technologies, Inc. got the green light from the U.S. Bankruptcy Court for the District of Massachusetts to use its secured creditors' cash collateral. The court's order authorized the Debtor's interim use of assets, including any proceeds of pre-bankruptcy accounts receivables and cash on hand, in which its secured creditors claim a security interest. The Debtor is not allowed, on an interim basis, to make these payments in the budget: (i) payments to secured creditors Mechanics Cooperative Bank and the U.S. Small Business Administration as adequate protection; and (ii) any payments to key vendor, Accutech. As protection, secured creditors will have continuing replacement liens and security interests on property acquired by the Debtor after its Chapter 11 filing. In the event that the court later determines that the Debtor's pre-bankruptcy accounts receivable were purchased by a creditor and were not property of the estate or cash collateral, the amount of proceeds of any sold receivables used by the Debtor will be deemed a secured loan and such creditor will have a pro rata post-petition security interest in the Debtor's post-petition accounts receivable to secure those amounts. The next hearing is scheduled for July 31. Any objections must be filed by July 30. The Debtor identifies eight creditors which may assert security interests in its cash collateral: 1. SBA, which holds a first-position security interest from a $242,000 COVID-19 disaster relief loan, with a remaining balance of approximately $235,525. The loan is secured by all of CIT’s assets. 2. Mechanics Cooperative Bank, which holds a second-position security interest from a $250,000 line of credit issued in February 2024 and later converted to a term loan. The outstanding balance is approximately $243,416. Mechanics also holds two vehicle loans and an overdraft line, though these are believed to be unsecured. 3. Itria Ventures, LLC, which provided a merchant cash advance in July 2024 for which $134,761 remains due. A UCC-1 financing statement was filed on July 26, 2024. 4. Rocket Capital NY, LLC, which extended a merchant cash advance in August 2024 in the amount of $60,000. CIT believes Rocket Capital filed a UCC but has no confirmed record. 5. RDM Capital Funding, LLC, which issued a $40,000 advance in August 2024. UCC filing details are unknown. 6. Seamless Funding, LLC, which advanced $174,782.92 to CIT in December 2024. A UCC-1 was filed on January 7, 2025. 7. River Capital Partners, LLC, which provided an advance of $202,000 in December 2024. A UCC-1 was filed on November 1, 2024. 8. Rowan Advance, LLC, which issued an advance of $113,069 in March 2025. A UCC-1 was filed on March 27, 2025. The Debtor disputes the validity and enforceability of the MCA creditors' security interests and believes that many, if not all, are wholly unsecured due to the limited value of its assets. As of the petition date, the Debtor reported assets consisting of less than $2,000 in cash, approximately $543,000 in accounts receivable, $240,000 worth of tools, supplies, and inventory (at cost), as well as several fully encumbered vehicles and $8,000 in office furniture. Its total liabilities are estimated at approximately $2.5 million, including secured and unsecured claims. The Debtor specializes in the design and installation of low-voltage integrated systems such as security, tele-data, fiber optic, and smart building wiring. Headquartered in Carver, Mass., the Debtor employs 13 full-time workers and services commercial, municipal, and federal projects across the Commonwealth. Despite a significant increase in revenue between 2023 and 2024, the Debtor experienced financial distress due to delays and cost overruns on a large public project and the poor performance of a subcontractor. To address the resulting shortfall, the Debtor turned to a series of merchant cash advances, which severely damaged its cash flow and ultimately led to the bankruptcy filing. About Cogliano Integrated Technologies Inc. Cogliano Integrated Technologies Inc. provides low voltage installation and integration services, including cloud solutions, smart building systems, teledata, fiber infrastructure, security integration, and audiovisual setups. The Company manages all phases of low voltage integration projects, from design through commissioning, with a focus on reducing costs and streamlining project execution. Cogliano sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Mass. Case No. 25-11384) on July 3, 2025, listing up to $1 million in assets and up to $50 million in liabilities. Richard Cogliano, president of Cogliano, signed the petition. Kate E. Nicholson, Esq., at Nicholson Devine, LLC, represents the Debtor as legal counsel. CONSENSUS CLOUD: Moody's Affirms 'B2' CFR, Outlook Stable --------------------------------------------------------- Moody's Ratings affirmed the B2 corporate family rating of Consensus Cloud Solutions, Inc. (Consensus), a provider of cloud fax services, following the closing of its $225 million senior secured credit facility (not rated), consisting of a $75 million revolving credit facility expiring July 2028 and a $150 million delayed draw term loan due July 2028. Moody's also affirmed the company's B2-PD probability of default rating and downgraded the senior unsecured rating to B3 from B2. The speculative grade liquidity (SGL) rating remains unchanged at SGL-2. The outlook is stable. At or shortly after Consensus' unsecured notes due 2026 become callable at par on October 15, 2025, the company expects to fully draw down on the delayed draw term loan to repurchase a portion of the notes. Moody's also expects the company will use cash on hand and/or revolver drawings over time to repay the remaining balance of the unsecured notes due 2026. The downgrade of the senior unsecured instruments reflect the increased mix of senior secured debt to the capital structure and the expected reduction of loss absorption when the unsecured notes due 2026 are presumably repaid in the near future. The affirmation of the B2 CFR reflects Moody's expectations that, over the next 12 months, Consensus's revenue trends will improve despite continued declines in the small office home office (SoHo) segment though it is somewhat offset by continued revenue growth in the Corporate segment, and that Consensus will generate solid free cash flow. Consistent with its financial strategy, Moody's expects Consensus will maintain debt/EBITDA below 3.75x. RATINGS RATIONALE Consensus' B2 CFR is constrained by the company's moderately high debt/EBITDA of 3.4x as of LTM March 31, 2025, small scale relative to other healthcare software as a service (SaaS) companies, and the concentration around its cloud fax offering which bears obsolescence and technological risks. It also reflects concerns that Consensus' revenue growth strategy hinges heavily on the healthcare sector where large players that handle software, information flow and Electronic Health Record (EHR) management already exist. While the company has experienced consolidated revenue declines somewhat driven by targeted reduced marketing spend in its SoHo segment, Consensus' sales from its advanced products have contributed to growth in the Corporate segment. The B2 CFR is supported by the company's good liquidity, including consistent annual free cash flow generation, Moody's expectations of continued growth in its Corporate segment, and a prudent financial policy supported by the company's $300 million bond repurchase program, of which $223 million of debt has been repaid under this program as of May 07, 2025, that has contributed to debt/EBITDA declining over the past 12 months. All financial metrics cited reflect Moody's standard adjustments unless otherwise noted. The instrument ratings reflect the probability of default of the company, as reflected in the B2-PD probability of default rating, an average expected family recovery rate of 50% at default, and the particular instruments' ranking in the capital structure. The B3 ratings on the senior unsecured notes due October 2026 and October 2028 issued by Consensus Cloud Solutions, Inc. are one notch below the CFR reflecting the notes' senior ranking behind the senior secured credit facility (not rated) consisting of a $75 million revolver expiring July 2028 and a $150 million delayed draw term loan due July 2028. The SGL-2 speculative grade liquidity rating reflects Consensus' good liquidity profile, supported by Moody's expectations of continued free cash flow generation over the next 12 months, $53 million cash on hand, and full availability under its new $75 million revolver expiring July 2028. Moody's expects the company will use cash to repurchase notes when opportunities arise and to repurchase common stock while prudently maintaining cash balances. While the company currently has full access to its revolver, Moody's believes the company will partially draw on the revolver to repurchase portions of its unsecured notes due 2026 when the notes becomes callable at par on October 15, 2025. The revolver includes two financial covenants tested quarterly, a total net leverage ratio that cannot exceed 4.25x (and steps down to 4x at March 31, 2026) and a minimum fixed charge coverage ratio that cannot decline below 1.2x. Moody's expects the company will maintain ample cushion for both covenants. The stable outlook reflects Moody's expectations that Consensus' revenue trends will improve over the next 12 months, debt/EBITDA will remain below 3.75x, and that the company will generate modest free cash flow relative to debt. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS An upgrade to Consensus' ratings would require the company to sustain revenue and EBITDA growth and maintaining debt/EBITDA below 2.75x. The ratings could be downgraded if the company's revenue declines worsen such that Moody's expects debt/EBITDA will be sustained above 3.75x or liquidity weakens. The principal methodology used in these ratings was Business and Consumer Services published in November 2021. Consensus' B2 rating is two notches below the scorecard-indicated outcome of Ba3 reflecting the company's small scale, declining SoHo segment revenue trends, modestly high debt/EBITDA, and uncertainty around rapid technology shifts and obsolescence risks. Headquartered in Los Angeles, California, Consensus (NASDAQ: CCSI) is a provider of cloud fax services. The company operates in two main segments, Corporate and small office home office (SoHo). Consensus serves approximately 790,000 customers across 45 countries within industries including healthcare, government, financial services, law, and education. In the last twelve months ended March 31, 2025 the company reported revenue of $349 million. DAS HUND: Gets Interim OK to Use Cash Collateral ------------------------------------------------ Das Hund Haus, Inc. got the green light from the U.S. Bankruptcy Court for the Middle District of Florida, Tampa Division, to use cash collateral. At the hearing held on July 14, the court granted the Debtor's bid to use cash collateral on an interim basis and set a further hearing for August 19. The Debtor, which operates a dog training and boarding business, intends to use its cash collateral, which consists of cash, inventory and equipment, to pay operational expenses. The largest secured creditor is the U.S. Small Business Administration with a $461,498 claim but the Debtor's total personal property is valued at only $73,960, making the SBA significantly undersecured. The Debtor offered adequate protection to the SBA in the form of replacement liens, asset inspection rights, and regular financial reporting. About Das Hund Haus Inc. Das Hund Haus Inc. is a dog-related business based in Lakeland, Florida. Das Hund Haus sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-03437) on May 25, 2025. In its petition, the Debtor reported estimated assets between $50,000 and $100,000 and estimated liabilities between $100,000 and $500,000. Judge Catherine Peek Mcewen handles the case. The Debtor is represented by Matthew J. Kovschak, Esq., at Debra J. Sutton, P.A. DAVIS PARK: Fitch Assigns 'BB+(EXP)sf' Rating on Class E-R Notes ---------------------------------------------------------------- Fitch Ratings has assigned expected ratings and Rating Outlooks to the Davis Park CLO, Ltd. reset transaction. The transaction originally closed in June 2022. Entity/Debt Rating ----------- ------ Davis Park CLO, Ltd. A-1-R LT NR(EXP)sf Expected Rating A-2-R LT AAA(EXP)sf Expected Rating B-R LT AA+(EXP)sf Expected Rating C-R LT A+(EXP)sf Expected Rating D-1-R LT BBB-(EXP)sf Expected Rating D-2-R LT BBB-(EXP)sf Expected Rating E-R LT BB+(EXP)sf Expected Rating F-R LT NR(EXP)sf Expected Rating Transaction Summary Davis Park CLO, Ltd. (the issuer) is an arbitrage cash flow collateralized loan obligation (CLO) that will be managed by Blackstone CLO Management LLC. The CLO originally closed in 2022. The secured notes will be refinanced on July 17, 2025. Net proceeds from the issuance of the secured and subordinated notes will provide financing on a portfolio of approximately $500 million of primarily first-lien senior secured leveraged loans. KEY RATING DRIVERS Asset Credit Quality: The average credit quality of the indicative portfolio is 'B', which is in line with that of recent CLOs. Issuers rated in the 'B' rating category denote a highly speculative credit quality; however, the notes benefit from appropriate credit enhancement and standard CLO structural features. Asset Security: The indicative portfolio consists of 95.67% first-lien senior secured loans and has a weighted average recovery assumption of 74.51%. Fitch stressed the indicative portfolio by assuming a higher portfolio concentration of assets with lower recovery prospects and further reduced recovery assumptions for higher rating stresses. Portfolio Composition: The largest three industries may comprise up to 40% of the portfolio balance in aggregate while the top five obligors can represent up to 12.5% of the portfolio balance in aggregate. The level of diversity required by industry, obligor and geographic concentrations is in line with other recent CLOs. Portfolio Management: The transaction has a five-year reinvestment period and reinvestment criteria similar to other CLOs. Fitch's analysis was based on a stressed portfolio created by adjusting to the indicative portfolio to reflect permissible concentration limits and collateral quality test levels. Cash Flow Analysis: Fitch used a customized proprietary cash flow model to replicate the principal and interest waterfalls and assess the effectiveness of various structural features of the transaction. In Fitch's stress scenarios, the rated notes can withstand default and recovery assumptions consistent with their assigned ratings. The WAL used for the transaction stress portfolio is 12 months less than the WAL covenant to account for structural and reinvestment conditions after the reinvestment period. In Fitch's opinion, these conditions would reduce the effective risk horizon of the portfolio during stress periods. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade Variability in key model assumptions, such as decreases in recovery rates and increases in default rates, could result in a downgrade. Fitch evaluated the notes' sensitivity to potential changes in such a metric. The results under these sensitivity scenarios are as severe as between 'BBB+sf' and 'AA+sf' for class A-2-R, between 'BB+sf' and 'A+sf' for class B-R, between 'B+sf' and 'BBB+sf' for class C-R, between less than 'B-sf' and 'BB+sf' for class D-1-R, and between less than 'B-sf' and 'BB+sf' for class D-2-R and between less than 'B-sf' and 'B+sf' for class E-R. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade Upgrade scenarios are not applicable to the class A-2-R notes as these notes are in the highest rating category of 'AAAsf'. Variability in key model assumptions, such as increases in recovery rates and decreases in default rates, could result in an upgrade. Fitch evaluated the notes' sensitivity to potential changes in such metrics; the minimum rating results under these sensitivity scenarios are 'AAAsf' for class B-R, 'AA+sf' for class C-R, 'A+sf' for class D-1-R, and 'A-sf' for class D-2-R and 'BBB+sf' for class E-R. USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10 Form ABS Due Diligence-15E was not provided to, or reviewed by, Fitch in relation to this rating action. DATA ADEQUACY The majority of the underlying assets or risk-presenting entities have ratings or credit opinions from Fitch and/or other nationally recognized statistical rating organizations and/or European Securities and Markets Authority registered rating agencies. Fitch has relied on the practices of the relevant groups within Fitch and/or other rating agencies to assess the asset portfolio information. Overall, Fitch's assessment of the asset pool information relied upon for its rating analysis according to its applicable rating methodologies indicates that it is adequately reliable. ESG Considerations Fitch does not provide ESG relevance scores for Davis Park CLO, Ltd. In cases where Fitch does not provide ESG relevance scores in connection with the credit rating of a transaction, program, instrument or issuer, Fitch will disclose in the key rating drivers any ESG factor which has a significant impact on the rating on an individual basis. DEBORAH L. WILSON FUNERAL: Seeks Chapter 11 Bankruptcy in Pa. ------------------------------------------------------------- On July 15, 2025, Deborah L. Wilson Funeral Inc. Chapter 11 protection in the U.S. Bankruptcy Court for the Eastern District of Pennsylvania. According to court filing, the Debtor reports up to $50,000 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Deborah L. Wilson Funeral Inc. Deborah L. Wilson Funeral Inc. is a funeral service provider located in Philadelphia, PA. It offers funeral services including preparation of the deceased, memorial services, and related products. Deborah L. Wilson Funeral Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Pa. Case No. 25-12823) on July 1, 2025. In its petition, the Debtor reports estimated assets and liabilities up to $50,000 each. The Debtors are represented by Center City Law Offices, LLC. DESAI HOLDINGS: M. Douglas Flahaut Named Subchapter V Trustee ------------------------------------------------------------- The U.S. Trustee for Region 16 appointed M. Douglas Flahaut as Subchapter V trustee for Desai Holdings, USA LLC. Mr. Flahaut will be paid an hourly fee of $680 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Flahaut declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: M. Douglas Flahaut ArentFox Schiff LLP | Attorneys at Law Gas Company Tower 555 West Fifth Street, 48th Floor Los Angeles, California 90013 Telephone: (213) 443-7559 Facsimile: (213) 629-7401 Email: douglas.flahaut@afslaw.com About Desai Holdings, USA LLC Desai Holdings, USA LLC, doing business as R-Bar, operates a bar and restaurant in downtown Long Beach, Calif. The establishment offers craft beers, cocktails, and a food menu that includes items such as chicken wings, beef bulgogi tacos, and chicken curry with rice. Desai Holdings, USA sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-15524) on June 30, 2025. In its petition, the Debtor reported total assets of $175,000 and total liabilities of $2,171,294. Judge Barry Russell handles the case. The Debtor is represented by Stella Havkin, Esq., at Stella Havkin. DOUBLE H SERVICES: Seeks Chapter 11 Bankruptcy in Texas ------------------------------------------------------- On July 14, 2025, Double H Services LLC filed Chapter 11 protection in the U.S. Bankruptcy Court for the Southern District of Texas. According to court filing, the Debtor reports $6,098,306 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Double H Services LLC Double H Services LLC provides oilfield logistics and transportation services, including laydown machines, pipe hauling, forklift operations, and general trucking. The Company operates primarily in Oklahoma and serves clients in the energy and agricultural sectors. Double H Services LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-33978 on July 14, 2025. In its petition, the Debtor reports total assets of $1,053,870 and total liabilities of $6,098,306. The Debtors are represented by Richard L Fuqua, II, Esq. at FUQUA & ASSOCIATES, P.C. DP LOUISIANA: Dwayne Murray Named Subchapter V Trustee ------------------------------------------------------ The Acting U.S. Trustee for Region 5 appointed Dwayne Murray, Esq., at Murray & Murray, LLC, as Subchapter V trustee for DP Louisiana, LLC. Mr. Murray will be paid an hourly fee of $500 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Murray declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Dwayne Murray, Esq. Murray & Murray, LLC 4970 Bluebonnet Blvd., Suite B Baton Rouge, LA 70809 Tel: (225) 925-1110 Fax: (225) 925-1116 Email: dmm@murraylaw.net About DP Louisiana LLC DP Louisiana LLC is engaged in oil and gas extraction operations. The Company is based in Louisiana and uses EAG Services in Houston, Texas, for administrative support. DP Louisiana LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. La. Case No. 25-11366) on June 30, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Judge Meredith S. Grabill handles the case. The Debtor is represented by Douglas S. Draper, Esq., at Heller, Draper & Horn, L.L.C. DUV HOLDING CORP: Seeks Chapter 11 Bankruptcy in Texas ------------------------------------------------------ On July 15, 2025, DUV Holding Corporation filed Chapter 11 protection in the U.S. Bankruptcy Court for the Southern District of Texas. According to court filing, the Debtor reports between $1 billion and $10 billion in debt owed to 10,000 and 25,000 creditors. The petition states funds will be available to unsecured creditors. About DUV Holding Corporation DUV Holding Corporation is a global leader in blood glucose monitoring systems and diabetes management solutions, developing and manufacturing products such as glucose meters and test strips for diabetes patients worldwide. DUV Holding Corporation sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-9026) on July 15, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 billion and $10 billion . Honorable Bankruptcy Judge Alfredo R. Perez handles the case. The Debtor is represented by John F Higgins, IV, Esq. at Porter Hedges LLP. ELETSON HOLDINGS: Wants to Stop Owners from Viewing Communications ------------------------------------------------------------------ Emily Sawicki of Law360 Bankruptcy Authority reports that Reed Smith has urged the Second Circuit to intervene once more to prevent the new owners of the reorganized Greece-based shipping company Eletson from accessing communications between the firm and the company's former owners, arguing that some files were improperly obtained despite an existing stay. About Eletson Holdings Eletson Holdings Inc. is a family-owned international shipping company, which touts itself as having a global presence with headquarters in Piraeus, Greece as well as offices in Stamford, Connecticut, and London. At one time, Eletson claimed to own and operate one of the world's largest fleets of medium and long-range product tankers and boasted a fleet consisting of 17 double hull tankers with a combined capacity of 1,366,497 dwt, 5 LPG/NH3 carriers with a combined capacity of 174,730 cbm and 9 LEG carriers with capacity of 108,000 cbm. Eletson Holdings, a Liberian company, is Eletson's ultimate parent company and is the direct parent and owner of 100% of the equity interests in the two other debtors, Eletson Finance (US) LLC, and Agathonissos Finance LLC. Eletson and its two affiliates were subject to involuntary Chapter 7 bankruptcy petitions (Bankr. S.D.N.Y. Case No. 23-10322) filed on March 7, 2023 by creditors Pach Shemen LLC, VR Global Partners,L.P. and Alpine Partners (BVI), L.P. The petitioning creditors are represented by Kyle J. Ortiz, Esq., at Togut, Segal & Segal, LLP. On Sept. 25, 2023, the Chapter 7 cases were converted to Chapter 11 cases. The Honorable John P. Mastando, III is the case judge. Lawyers at Reed Smith represent the Debtors as bankruptcy counsel. Riveron RTS served as the Debtors' Domestic Financial Advisor; Harold Furchtgott-Roth as Economic Expert; and Kurtzman Carson as Voting Agent. The U.S. Trustee for Region 2 appointed an official committee of unsecured creditors. The committee tapped Dechert, LLP as its legal counsel and FTI Consulting as the Committee's financial advisors. EMG UTICA: $50MM Term Loan Add-on No Impact on Moody's 'B3' CFR --------------------------------------------------------------- Moody's Ratings commented that EMG Utica Midstream Holdings LLC's (Holdings, B3 stable) proposed offering of a $50 million add-on to its backed senior secured term loan B does not affect its ratings, including the B3 Corporate Family Rating and the B3 rating on the senior secured term loan B due 2030. The outlook remains stable. The proceeds from the add-on term loan will be used to repay borrowings under Holdings' revolving credit facility (unrated) and to fund the second payment for the acquisition of a 33% stake in Summit Midstream Utica (SMU). Holdings drew down on its $465 million senior secured term loan due 2030 in March 2025 and used the net proceeds to extend its investment in certain Utica Basin midstream assets. The add-on transaction will increase the principal amount of the senior secured term loan due 2030 to $515 million. The $50 million add-on senior secured term loan will be fungible with the existing senior secured term loan and will be treated as a single class of debt with identical terms. The company's leverage will not be materially impacted by the debt funded acquisition, if leverage is calculated using proportionally consolidated EBITDA for the entities in which Holdings has equity stakes. One half of the asset purchase price was paid at the March 31, 2025, closing of the transaction, using revolver borrowings and the second payment, which is due six months following the acquisition closing, will be funded with a portion of the proceeds from the add-on term loan. The add-on term loan transaction will increase the amount of debt by ~$29 million. The acquired SMU stake added modestly to the company's asset base, scale and earnings. The assets are near Holdings' other Utica Basin assets and have a similar risk profile. MPLX LP is the operator of the SMU assets. Moody's expects the company will continue to have good liquidity supported by its revolving credit facility, positive cash flow from operations and cash balances. Following the issuance of the add-on term loan, the $50 million revolving credit facility due 2030 will be undrawn and the cash balance will increase ~$29 million (before fees), improving the company's liquidity. Both the revolver and the term loan mature in 2030. The company will continue to generate positive free cash flow that can be used to reduce the term loan balance. Moody's expects the company will receive growing distributions and its leverage will decline as volumes gathered and processed by the joint ventures increase over the next two years. EMG Utica Midstream Holdings LLC (Holdings) is a holding company established in connection with the extension of The Energy & Minerals Group's (EMG) investment in midstream energy infrastructure in the Utica Shale Play in the State of Ohio. Holdings owns a 40% economic stake in EMG Utica, LLC and a 33% economic stake in EMG MWE Dry Gas Holdings, LLC, which indirectly owns Summit Midstream Utica. MPLX LP is the joint venture partner and operator of the gathering and processing assets. EXELA TECHNOLOGIES: Bankrupt Units Break Recovery Deal Claim ------------------------------------------------------------ Alex Wolf of Bloomberg Law reports that creditors say that Exela Technologies' bankrupt units should be barred from undermining a bankruptcy plan deal by adding millions in newly rejected claims to a fixed recovery pool. In an objection filed Tuesday, July 15, 2025, the unsecured creditors committee urged the U.S. Bankruptcy Court for the Southern District of Texas to stop DocuData Solutions LLC from rejecting multiple lease agreements, according to the report. The committee said the move would dilute creditor recoveries under Exela's recently approved Chapter 11 plan. DocuData moved to reject nine property leases just before the court approved a reorganization plan that cuts $1.1 billion in secured debt, Bloomberg Law reports. About Exela Technologies Headquartered in Irving, Texas, Exela Technologies, Inc. -- http://www.exelatech.com/-- is a business process automation (BPA) company, leveraging a global footprint and proprietary technology to provide digital transformation solutions enhancing quality, productivity, and end-user experience. Exela Technologies Inc. and several other units sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-90024) on March 3, 2025. In its petition, the Debtor reports estimated assets between $500 million and $1 billion and liabilities between $1 billion and $10 billion. Honorable Bankruptcy Judge Christopher M. Lopez handles the case. The Debtor is represented by Timothy Alvin Davidson, II, Esq. at Andrews Kurth LLP. FUTURA ENTERPRISES: Seeks Chapter 11 Bankruptcy in Texas -------------------------------------------------------- On July 14, 2025, Futura Enterprises Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District of Texas. According to court filing, the Debtor reports $2,583,194 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Futura Enterprises Inc. Futura Enterprises Inc., doing business as Futura Building Systems, provides residential and commercial construction services in Texas. The Company offers roofing, remodeling, gutters, siding, and renovation work, operating from its office in Dallas. Futura Enterprises Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-42551) on July 14, 2025. In its petition, the Debtor reports total assets of $313,607 and total liabilities of $2,583,194. Honorable Bankruptcy Judge Mark X. Mullin handles the case. The Debtors are represented by Robert T DeMarco, Esq. at DEMARCO MITCHEL, PLLC. GANNETT CO: Moody's Affirms 'B3' CFR, Outlook Remains Stable ------------------------------------------------------------ Moody's Ratings affirmed Gannett Co., Inc's (Gannett) B3 corporate family rating and its B3-PD probability of default rating. Gannett's speculative grade liquidity rating (SGL) remains unchanged at SGL-3, reflecting adequate liquidity. The outlook remains stable. Moody's also assigned a B2 rating to Gannett Holdings, LLC's backed senior secured bank credit facilities (term loan and delayed draw term loan) due October 2029, with a stable outlook. RATINGS RATIONALE Gannett's B3 CFR continues to reflect the company's high leverage, significant interest burden and revenue pressure because of the secular decline in its print advertising and print focused activities. Gannett is transforming its business model by diversifying revenue sources and focusing on growth from digital properties to offset the secular decline in traditional print advertising and circulation. Gannett garners credit strength from its position as the largest owner of daily newspapers in the US and community newspapers in the UK and management's focus on repaying debt. Moody's expects that Gannett's growing digital business will make up about 50% of total revenue by the end of this year and will become a predominant source of consolidated revenue and EBITDA in 2026. Gannett's strong pace of digital revenue growth, at around 7%-10% annually on a same store basis, will outpace the secular declines in its legacy print business and has the potential to significantly improve the company's declining revenue trajectory from a 5% decline on a same store basis in FY2024 to low single digit percent growth on a reported basis and same store basis in 2026. Gannett's Debt/EBITDA (Moody's adjusted EBITDA reduced by integration, reorganization and stock based compensation costs) is high at 5.4x as of LTM Q1 2025 despite substantial debt repayments since the January 2021 recap. Excluding integration and reorganization costs from Moody's adjusted EBITDA, leverage is roughly a turn lower, at 4.3x as of LTM March 2025. Since the majority of integration and reorganization initiatives have already been executed, Moody's expects earnings quality to improve considerably in 2025, with integration and reorganization costs having a minimal impact on EBITDA over the next 18 months. Moody's projects Moody's adjusted leverage of close to 4x by the end of this year with further delevering to high-3x by the end of 2027. The rating also reflects Moody's expectations that the company will continue to generate significant free cash flow and will apply it to debt repayment. Gannett expects to repay at least $125 million of debt in 2025 ($75 million of this amount was repaid in Q1 2025), from non-strategic asset sales and free cash flow generation in addition to mandatory loan amortization. The SGL-3 reflects Moody's expectations for adequate liquidity over the next twelve months, supported by improving free cash flow over the coming year and constrained by the lack of a revolving credit facility. Moody's expects that Gannett will generate free cash flow of around $80 million this year. Moody's expects this growth to continue into 2026 at a comparable rate as reorganization costs decrease. The company has an additional pipeline of real estate and other assets with targeted sales proceeds of around $10-$20 million remaining in 2025, which will further boost liquidity and enable debt repayment. Gannett reported $86 million of cash on hand as of March 31, 2025. Cash balances in excess of $100 million at the end of each fiscal year will be required to be applied to debt repayment. The company's term loan's amortization is roughly $17.3 million per quarter based on the $850 million aggregate amount outstanding at the end of Q1 2025 and the additional $15 million drawn on the remaining delayed draw term loan (DDTL) in April. Gannett's next material debt maturities are in December 2027 when the $24 million unexchanged stub of the convertible notes comes due, followed by October 2029 maturity of the senior secured term loan facility ($791 million outstanding as of Q1 2025 proforma for the April DDTL draw). The credit agreement requires that the company maintain at least $30 million of qualified cash, as of the last day of each fiscal quarter. The B2 ratings on the senior secured bank credit facilities reflects the B3-PD probability of default rating, an average expected family recovery rate of 50% at default and the instruments' ranking in the capital structure ahead of the convertible notes due 2027 and 2031 (both unrated) in Moody's priority of claim waterfall. The senior secured convertible notes due 2027 and 2031 are secured by a second priority lien on the same collateral package that secures the term loans. The stable outlook reflects Moody's expectations that Gannett's revenue growth will turn slightly positive as the share of digital business grows over the next 12-18 months, liquidity will remain adequate and the company will continue to prioritize free cash flow for debt repayment. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be downgraded if Moody's adjusted leverage remains materially above 4.5x, or revenue and EBITDA continue to decline such that cash flow generation or liquidity deteriorates. The ratings could be upgraded if growth in digital revenue more than offsets print revenue declines leading to overall organic revenue and EBITDA growth, liquidity improves, the company sustains positive free cash flow and maintains Moody's adjusted leverage under 3x with a clearly articulated financial policy supporting operating with low leverage. The principal methodology used in these ratings was Media published in June 2021. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. Headquartered in New York, NY, Gannett Co., Inc is the largest owner of daily newspapers in the US and community newspapers in the UK. Gannett is also the owner of national USA publication. Gannett generated LTM March 2025 revenue of approximately $2.45 billion. GENERATIONS ON 1ST: Court Extends Cash Collateral Access to Aug. 14 ------------------------------------------------------------------- Generations on 1st, LLC and Parkside Place, LLC received another extension from the U.S. Bankruptcy Court for the District of North Dakota to use the cash collateral of its secured creditor. The court order approved the Debtors' third stipulation with Red River State Bank, allowing the Debtors to use the secured creditor's cash collateral for the period from July 15 to August 14 consistent with their budget. Red River State Bank's cash collateral includes rents from the Debtors' mixed-use apartment buildings in South Dakota. The rents are currently being held by a court-appointed receiver. As of the petition date, the receiver is holding pre-bankruptcy rents in the sum of $110,948.58 for Parkside and $211,201.59 for Generations. About Generations on 1st and Parkside Place Generations on 1st, LLC, a company in Fargo, N.D., and its affiliate Parkside Place, LLC filed Chapter 11 petitions (Bankr. D. N.D. Lead Case No. 25-30002) on January 6, 2025. In their petitions, Generations on 1st reported total assets of $13,567,037 and total liabilities of $12,137,102 while Parkside Place reported $7,221,882 in assets and $5,599,522 in liabilities. Judge Shon Hastings handles the cases. The Debtors are represented by Maurice VerStandig, Esq. at The Dakota Bankruptcy Firm. Red River State Bank, as lender, is represented by: Drew J. Hushka, Esq. Vogel Law Firm 218 NP Avenue PO Box 1389 Fargo, ND 58107-1389 Tel. 701.237.6983 Email: dhushka@vogellaw.com GIANT WASH: Robert Gainer Named Subchapter V Trustee ---------------------------------------------------- The Acting U.S. Trustee for Region 12 appointed Robert Gainer as Subchapter V trustee for Giant Wash, LLC. Mr. Gainer will be paid an hourly fee of $325 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Gainer declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: CUTLER LAW FIRM, P.C. Robert C. Gainer 1307 50th Street West Des Moines, Iowa 50266 Telephone: 515-223-6600 Facsimile: 515-223-6787 rgainer@cutlerfirm.com About Giant Wash LLC Giant Wash, LLC is an Iowa-based laundromat operator with multiple locations across Dubuque and Cascade, Iowa provides self-service laundry facilities. Giant Wash sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Iowa Case No. 25-01133) on June 30, 2025. In its petition, the Debtor reported estimated assets and liabilities between $1 million and $10 million each. Judge Lee M. Jackwig handles the case. The Debtor tapped Jeffrey Douglas Goetz, Esq., at Dickinson Bradshaw Fowler & Hagen, PC as legal counsel and Franklin Capital Advisors, LLC as financial advisor. GIFTCRAFT LTD: To Sell Gift Stores to Giftcard 2025 for $2.6MM -------------------------------------------------------------- KPMG Inc. in its capacity as the court-appointed receiver of Giftcraft Ltd. and in its capacity as the authorized foreign representative, seek approval from the U.S. Bankruptcy Court for the Southern District of New York, to sell Assets, free and clear of liens, claims and encumbrances. KPMG seeks to sell substantially all of the assets of the Debtors including Giftcraft Canada, Giftcraft US, and Yosox, and the assumption and assignment of the Assumed Contracts. On May 14, 2025, the Canadian Court entered an order appointing KPMG as the Receiver, without security, over all the present and future assets, undertakings, and properties of each of the Debtors acquired for, or used in relation to, a business carried on by each Debtor, including all proceeds. The Appointment Order also vests the Receiver with broad power and control over the Debtors' assets and business. The Receiver immediately began working in good faith and with due diligence to fulfill its duties and responsibilities under the Appointment Order and contacted a total of 18 potentially interest parties. The Receiver has determined that the proposal submitted by CTG Brands Inc. was the highest or otherwise best offer for the Purchased Assets and entered into an agreement with the Purchaser, Giftcard 2025 Inc., an entity formed by CTG, providing for the sale of substantially all of the Selling Debtor's Assets on the terms and conditions set forth. The total consideration to be paid by Purchaser for the Purchased Assets is: (a) $2,666,000 cash; plus (b) the Value of Inventory; plus (c) the Value of Accounts Receivable; plus (d) the Value of Pre-Closing Deposits; plus (e) the Value of the Charlie Page In-Transit Inventory Payments; plus (f) the assumption of the Assumed Liabilities. The Assets to be sold are substantially all of the assets of the Selling Debtors used in relation to the Business, including: (a) Accounts Receivable; (b) Inventory; (c) Information Technology; (d) Intellectual Property; (e) Licenses, registrations and qualifications of the Selling Debtors required by any governmental or regulatory authority, to the extent transferable; (f) All warranties and warranty rights (express or implied) against manufacturers and Vendors which apply to any of the Purchased Assets and all maintenance contracts on machinery, equipment, and the other Purchased Assets; (g) All showroom and office furniture, fixtures, displays and props; (h) All of the Selling Debtors' rights to contracts and agreements (written or oral) relating directly or indirectly to the Selling Debtors' Business, including distribution contracts, e-commerce accounts and agreements; (i) All of the Selling Debtors' rights to future dated sales orders, customer data, customer information and purchase history, including the Key Accounts Receivable; and (j) All of the Selling Debtors' rights to supplier contracts, including any supplier data, supplier information, past purchase history and any deposits paid to suppliers with respect to those supplier contracts. The Purchaser has provided a good faith deposit of $900,000 which is equal to approximately 10% of the proposed purchase price. The Foreign Representative respectfully requests to sell the Assets free and clear of all liens, claims, interests, and encumbrances. About Giftcard Ltd Giftcraft Ltd., based in Canada, and Giftcraft Inc., its U.S. counterpart, operate as distributors of gift items such as home decor, jewelry, and novelties to retailers across North America . The group also includes RipSkirt Hawaii, LLC, which manufactures and distributes women's quick-drying apparel targeted at the vacation and leisure market through both e-commerce and retail channels. Giftcraft sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. N.Y. Case No.: 25-11030 (MG)) on May 20, 2025. Seven affiliates that concurrently filed voluntary petitions for relief under Chapter 15 of the Bankruptcy Code: Debtor Case No. ------ -------- Giftcraft Ltd. (Lead Case) 25-11030 Giftcraft Holdings, Inc. 25-11031 Giftcraft Holdings USA Inc. 25-11032 Giftcraft Inc. 25-11033 Giftcraft Midco, Inc. 25-11034 Ripskirt Hawaii, LLC 25-11035 Yosox USA Inc. 25-11036 Judge Martin Glenn presides over the case. Foreign Representative: KPMG Inc. Bay Adelaide Centre, West Tower 333 Bay Street, Suite 4600 Toronto, ON M5H 2S5 Canada Signatory: Pritesh Patel Foreign Representative's Counsel: Daniel G. Egan, Esq. CHIPMAN BROWN CICERO & COLE, LLP 501 5th Ave. 15th Floor New York, New York 10017 Tel: (646) 741-5529 Email: egan@chipmanbrown.com - and - Mark L. Desgrosseilliers, Esq. CHIPMAN BROWN CICERO & COLE, LLP Hercules Plaza 1313 North Market Street, Suite 5400 Wilmington, Delaware 19801 Tel: (302) 295-0192 Email: desgross@chipmanbrown.com GILBERT LEGGETT: Seeks Chapter 11 Bankruptcy in North Carolina -------------------------------------------------------------- On July 14, 2025, Gilbert Leggett Farms Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Eastern District of North Carolina. According to court filing, the Debtor reports $2,340,328 in debt owed to 1 and 49 creditors. The petition states funds will be available to unsecured creditors. About Gilbert Leggett Farms Inc. Gilbert Leggett Farms Inc. grows and sells sweet potato seed plants, including the Covington variety, and is also involved in cultivating crops such as peanuts, sweet corn, and cotton. Gilbert Leggett Farms Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.C. Case No. 25-02668) on July 14, 2025. In its petition, the Debtor reports total assets of $2,329,639 and total liabilities of $2,340,328. Honorable Bankruptcy Judge Pamela W. Mcafee handles the case. The Debtors are represented by David J. Haidt, Esq. at AYERS & HAIDT, PA. GREEN COPPERFIELD: Court Denies Bid to Use Cash Collateral ---------------------------------------------------------- Green Copperfield, LLC failed to win a U.S. bankruptcy court's approval to use cash collateral to fund its operations. The U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, denied the Debtor's motion to use cash collateral, without prejudice, saying the Debtor's testimony and post-hearing documents filed at the court's request "raise many unanswered issues." The Debtor on July 8 asked for approval to use funds generated from its operations in which creditors assert interests and proposed to make payments to Newtek Small Business Finance, LLC as protection. Newtek, the primary secured lender, issued two loans to the Debtor: a $400,000 loan dated January 12, 2023, and a $600,000 loan dated February 11, 2022. Both loans were guaranteed by the U.S. Small Business Administration. As of the petition date, the Debtor had not made a payment on either loan since March 1, with arrearages of approximately $17,516 and $26,545, respectively. The Debtor believes that Newtek is significantly undersecured. About Green Copperfield LLC Green Copperfield, LLC, doing business as Trailer King Builders, designs, manufactures, and modifies custom food trucks and concession trailers. Green Copperfield sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-33860) on July 1, 2025. In its petition, the Debtor reported total assets of $135,933 and total liabilities of $3,764,017. Judge Jeffrey P. Norman handles the case. The Debtor is represented by Bennett G. Fisher, Esq., at Lewis Brisbois. HERITAGE COAL: Drops Chapter 11 Lawsuit Over Ex-Owner's Liens ------------------------------------------------------------- Yun Park of Law360 Bankruptcy Authority reports that Heritage Coal, along with its former owner and general manager, has agreed to drop a Delaware bankruptcy court lawsuit that aimed to void liens the former executives placed on the company's assets. About Heritage Coal & Natural Resources LLC Heritage Coal & Natural Resources LLC is a coal mining company based in Meyersdale, Pennsylvania that specializes in coal extraction and processing operations in Somerset County. The company operates from its principal location at 1117 Shaw Mine Road and maintains multiple coal leases with regional landowners including Allegany Coal and Land Company, Beechwood Coal LLC, and Shaw Big Vein Coal Company for its mining operations. Heritage Coal & Natural Resources LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 25-10602) on March 30, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100 million and $500 million. Honorable Bankruptcy Judge Mary F. Walrath handles the case. The Debtor is represented by Jeffrey R. Waxman at Morris James LLP. IN HOME PERSONAL: Court Extends Cash Collateral Access to Sept. 16 ------------------------------------------------------------------ In Home Personal Services, Inc. received sixth interim approval from the U.S. Bankruptcy Court for the Northern District of Illinois, Eastern Division to use cash collateral until September 16. The interim order approved the use of cash collateral of the U.S. Small Business Administration solely in accordance with the Debtor's projected budget, which reflects its projected expenses of $168,500 for July and $168,500 for August. The Debtor is prohibited from making any payments or distributions other than those projected in the budget without prior written consent from the U.S. Small Business Administration. SBA will be granted a replacement lien on the assets, including accounts receivable, inventory, equipment, and the proceeds thereof, to the extent there is diminution in the value of its collateral. The agency has a blanket lien on the healthcare provider's assets, with claims exceeding $2,182,378.09. The next hearing is scheduled for September 16. About In Home Personal Services In Home Personal Services Inc. operates a health care business in Carpentersville, Ill. In Home Personal Services sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 24-08842) on June 15, 2024, with total assets of $744,226 and total liabilities of $3,509,818. Michael Collura, president of In Home Personal Services, signed the petition. Judge Jacqueline P. Cox oversees the case. The Debtor tapped James A. Young, Esq., at James Young Law as bankruptcy counsel and Lois West, CPA, at KRD Accountants Ltd. as accountant. JILL'S OFFICE: Claims to be Paid from Continued Operations ---------------------------------------------------------- Jill's Office, LLC, filed with the U.S. Bankruptcy Court for the District of Utah a Subchapter V Plan dated June 25, 2025. The Debtor is a limited liability company. Since 2015, the Debtor has conducted business providing third-party receptionist and back-office services. The Debtor's members are Brant Thurgood, Autumn Thurgood (collectively, the "Thurgoods" who collectively own 75% of the pre-petition membership interests), and Rob Phelps ("Phelps," owing 25% of the prepetition membership interests). The Debtor currently employs approximately 75 people. During the bankruptcy case, the Debtor has relocated its physical office to less expensive space leased from third party Kier Property Management Co. The Debtor has rejected its prior real property lease with BDO 961, L.C., and vacated that leased space on or about June 1, 2025. The Plan generally contemplates bifurcation and repayment of secured debt at a modified interest rate and over an extended repayment horizon, along with creation of a $720,000 or more General Distribution Pool comprised of the Debtor’s projected disposable income over the 48 months following confirmation of the plan, which shall be used to satisfy claims not otherwise provided for under the Plan. The Debtor is also proposing to segregate insider debt, and repay that debt only after the funds committed to the General Distribution Pool are contributed. The Debtor believes that $720,000.00 constitutes its projected disposable income over the 48-month period following the Effective Date. In sum, the Debtor expects to repay in excess of $2,000,000.001 of its prepetition debt and bankruptcy administrative expenses (beyond general operating expenses paid during the active chapter 11 phase of the case). Class U1 shall consist of the unsecured claim deeded allowed of Zions First National Bank, in the amount of $415,000.00. This claim is classified separately due to the additional non estate collateral held by Zions. This claim shall be paid by the Debtor making monthly payments in the amount of $3,500.00 to fully repay the claim with interest at the rate of 5.0% over 180 months. Class U2 shall consist of all Allowed Unsecured Claims not otherwise classified. The Allowed Claims in this class shall share pro rata in the General Distribution Pool. Class U3 shall consist of the general unsecured claim of critical vendor Twilio Inc., which is in the amount of $14,170.84. As a matter of convenience, and to ensure the availability of ongoing services essential to the Debtor’s ongoing operations, the Debtor shall pay the claims of this class in full on the Effective Date. Class U4 shall consist of a convenience class of claims. Any creditor holding an Allowed Claim in Class S1, S2, S3, S4, or U2 may, by delivering a written request within 30 days following the Effective Date, request entry into Class U2. If accepted, upon acceptance, the Reorganized Debtor shall pay the lesser of $3,000.00 or 50% of the allowed amount of the claim in full satisfaction of both the claim and the underlying debt, and the claim shall be removed from its original class and deemed fully satisfied. Class M1 shall contain only the prepetition membership interests in the Debtor. The prepetition membership interests in the Debtor shall be cancelled on the Effective Date, and new membership interests in the Reorganized Debtor shall be issued 37.5% to Brant Thurgood, 37.5% to Autumn Thurgood, and 25% to Rob Phelps, in consideration of their ongoing efforts to effectuate the reorganization contemplated under the Plan. The Reorganized Debtor shall continue its prepetition/pre confirmation business operations. The Debtor has prepared an anticipated budget for the forty-eight month period beginning September 2025, using assumptions that business will be slow in the first few months exiting bankruptcy (as the Debtor has not devoted significant resources to marketing during the case), but that as general confidence in the Reorganized Debtor grows in the coming months and years, the expected performance will improve. By the Debtor's projections, it will have sufficient cash to make all payments required under the plan, and support the assumption that $180,000/year of average projected disposable income to devote to repayment of general unsecured pre-petition debt is within the range of a reasonable assumption for this business at this time. From the Reorganized Debtor's post-petition operating income, or from contributed capital, over the 48 months following the Effective Date, the Reorganized Debtor shall fund $720,000.00 into the General Distribution Pool, by payments of $60,000.00 or more per payment made in by October 15, April 15, and July 15 of each year beginning at the first such date after the Effective Date and continuing until a total of $720,000.00 has been contributed. Distributions to Class U2 creditors from the General Distribution Pool shall be made at least three times annually, by October 25, April 25, and July 25 of each year (beginning with the first such date falling after the Effective Date), and on such dates thereafter, until all funds in the General Distribution Pool have been distributed. A full-text copy of the Subchapter V Plan dated June 25, 2025 is available at https://urlcurt.com/u?l=rm6yUC from PacerMonitor.com at no charge. Counsel to the Debtor: T. Edward Cundick, Esq. Workman Nydegger 60 East South Temple, Suite 1000 Salt Lake City, UT 84111 Tel: (801) 533-9800 Fax: (801) 328-1707 About Jill's Office LLC Jill's Office LLC provides professional, US-based 24/7 virtual receptionist and scheduling services designed to support businesses across various industries. The Company 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 specializes in delivering tailored, seamless communication solutions that enhance customer engagement while eliminating the need for businesses to hire in-house staff. The Company serves industries such as home services, real estate, health and wellness, finance, legal, and small businesses. Its mission is to ensure that businesses never miss calls or opportunities, offering reliable customer service around the clock. Jill's Office LLC 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 estimated assets between $100,000 and $500,000 and estimated liabilities between $1 million and $10 million. Bankruptcy Judge Peggy Hunt handles the case. The Debtor is represented by T. Edward Cundick, Esq. at WORKMAN NYDEGGER. KIM ENGINEERING: Voluntary Chapter 11 Case Summary -------------------------------------------------- Debtor: Kim Engineering, Inc. 6100 Chevy Chase Drive, Ste 105 Laurel, MD 20707 Business Description: Kim Engineering, Inc. is a multi- disciplinary engineering firm based in Laurel, Maryland, with a branch office in Baltimore. Founded in 1993, the Company provides geotechnical and civil engineering, surveying, materials testing, subsurface utility engineering, and fire protection services. Serving both public and private sectors, the firm also operates in-house drilling equipment and a certified laboratory. It is certified as a Minority Business Enterprise. Chapter 11 Petition Date: July 15, 2025 Court: United States Bankruptcy Court District of Maryland Case No.: 25-16453 Debtor's Counsel: Weon G. Kim, Esq. WEON G. KIM LAW OFFICE 8200 Greensboro Dr. Suite 900 Mc Lean, VA 22102 Tel: (571) 278-3728 Fax: (703) 288-4003 Email: jkkchadol99@gmail.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $10 million to $50 million The petition was signed by Myunsun Sunny Kim as president. The Debtor failed to include a list of its 20 largest unsecured creditors in the petition. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/ZN2HYCI/KIM_ENGINEERING_INC__mdbke-25-16453__0001.0.pdf?mcid=tGE4TAMA KLIMA CONTROL: Files Emergency Bid to Use Cash Collateral --------------------------------------------------------- Klima Control Air Conditioning & Heating, LLC asked the U.S. Bankruptcy Court for the Southern District of Florida, Fort Lauderdale Division, for authority to use cash collateral. The cash collateral is subject to a lien held by Gemaire Distributors, LLC, a creditor that previously extended credit to the Debtor and secured its interest via a UCC-1 financing statement recorded in 2020. After a prior default by the Debtor, the parties settled a related lawsuit, with the Debtor owing Gemaire approximately $472,958 as of the bankruptcy filing date. The settlement included 18 monthly payments of $27,042, of which only one had been made before the bankruptcy. The Debtor now seeks interim authority to use Gemaire's cash collateral for ordinary operating expenses, including payroll and inventory-related costs, necessary to keep the business running. In exchange, Gemaire would receive: 1. Replacement liens on post-petition cash and equivalents with the same priority and validity as its pre-petition liens. 2. Monthly adequate protection payments of $8,000 during the bankruptcy process. Gemaire is represented by: Scott S. Sheffler, Esq. Worman & Sheffler, P.A. 2600 Lake Lucien Drive, Suite 405 Maitland, FL 32751 Phone: (407) 843-5353 Fax: (407) 841-9516 ssheffler@wormanlaw.com About Klima Control Air Conditioning & Heating Klima Control Air Conditioning & Heating, LLC is an air conditioning and heating services provider operating as Super Cool in Florida. It specializes in HVAC installation, maintenance, and repair services with locations in Pompano Beach and West Palm Beach. Klima Control Air Conditioning & Heating relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-17717) on July 7, 2025. In its petition, the Debtor reported between $1 million and $10 million in assets and liabilities. Judge Scott M. Grossman handles the case. The Debtor is represented by Shirley Palumbo, Esq. KND HOSPITALITY: Unsecureds Will Get 25% of Claims over 60 Months ----------------------------------------------------------------- KND Hospitality Company, Inc., filed with the U.S. Bankruptcy Court for the Northern District of Texas a Disclosure Statement describing Chapter 11 Plan dated June 25, 2025. The Debtor is a corporation. Ms. Krista Nabors Dick (the owner of the Debtor) developed a passion for organizing events at a young age. At its core, KND is a catering company, but it provides much more value than a typical catering company. Despite its success for many years, Debtor encountered financial problems resulting from COVID that required Debtor to take on additional debt. The Debtor reduced its expenses across the board, but was still unable to manage its debt level. The Debtor shown positive results during some occasional ongoing challenges. The combined Plan payments are projected to be approximately $4,400.00 per month. Based on the numbers above the Debtor believes that the Plan is feasible. Money to fund the Plan will come from the Debtor's continued business operations. The Plan contemplates the continued management and operation of the Debtor's business by the Debtor’s principal, Ms. Krista Nabors Dick. The projected amount of unsecured debt is approximately $105,000.00, and the Plan proposes to pay 25%, or $26,250.00. The Debtor also has a secured debt owed to the Texas Comptroller of Public Accounts in the amount of approximately $180,000.00 owed to taxing authorities. The projected amount available to unsecured creditors in a liquidation is therefore $0.00. Class 5 consists of the Allowed General Unsecured Claims. The Class 5 Claims will be paid once Allowed at 25% over 60 months. The payments shall be made in equal monthly payments on the first day of the month following the Effective Date and shall continue on the first day of each month thereafter until paid pursuant to this Plan. The Class 5 Claims shall be paid 25% of their Allowed Claim amounts. The estimated amount of the claims in this class is $102,000.00. The monthly payments are estimated to be $427.17. The Class 5 Claims are Impaired. Class 6 consists of Equity Interest Holders of the Debtor. On the Confirmation Date, all equity interests shall be cancelled. The new equity interests in the Debtor shall be issued to Krista Nabors Dick, an existing equity interest holder, who is paying $2,500 for the equity interests in the Debtor which shall be reissued as 1,000 shares at a par value of $2.50 per share. Such funds shall be deposited into the Debtor's operating account prior to the Confirmation Date. The Debtor's equity interest holders have valued the equity in the Debtor at zero based on the current debt owed by the Debtor and the current assets owned by the Debtor. In the event that the unsecured creditors do not vote for the Plan, the equity interest in the Debtor shall be sold at auction sale as set forth herein. Krista Nabors Dick's opening bid at an auction sale is $2,500. The Debtor believes that the Plan will not violate the absolute priority rule and will be consensual as to the unsecured creditors. If the classes of the unsecured creditors do not vote for the Plan, then the Debtor's Equity Interest Holders Interests will be cancelled on Confirmation and new interests in the Reorganized Debtor shall be issued to the successful bidder for the interests in the Debtor. The Equity Interests shall be sold to the highest bidder at an auction sale held at the Confirmation hearing in this case. Any party desiring to acquire such interests shall attend the Confirmation hearing and shall bid on such interests. Such auction sale shall be conducted by the Debtor's counsel. Bidding shall be in $100.00 increments and shall start at the $2,500 being offered by Krista Nabors Dick. The successful bidder shall be announced at the Confirmation hearing. The successful bidder shall be required to pay for such interests within 24 hours of the announcement of the winning bid. Such payment shall be made in certified funds to Debtor's counsel. If such winning bidder fails to close on such purchase as set forth herein then Krista Nabors Dick may pay $2,500.00, and she will be the successful bidder. A full-text copy of the Disclosure Statement dated June 25, 2025 is available at https://urlcurt.com/u?l=Zrb2b2 from PacerMonitor.com at no charge. KND Hospitality Company is represented by: Gregory W. Mitchell, Esq. Freeman Law, PLLC 1412 Main Street, Suite 500 Dallas TX 75202 Tel: (972) 463-8417 Email: gmitchell@freemanlaw.com About KND Hospitality Company KND Hospitality Company, Inc., operates primarily in the hospitality sector, focusing on providing catering and consulting services. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 24-33108) on Oct. 1, 2024, with $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities. Judge Michelle V. Larson oversees the case. The Debtor is represented by Gregory Wayne Mitchell, Esq., at Freeman Law, PLLC. KNOWLTON DEVELOPMENT: Fitch Affirms 'B-' IDR, Outlook Stable ------------------------------------------------------------ Fitch Ratings has affirmed the ratings for Knowlton Development Corporation, Inc. (KDC), including the Issuer Default Ratings (IDRs) for KDC, KDC US Holdings, Inc. and kdc/one Development Corporation, Inc. at 'B-'. The Rating Outlook is Stable. KDC's 'B-' IDR reflects its position as a global leader in custom formulation, packaging and manufacturing solutions for beauty, personal care and home care brands. Its diverse product portfolio and customer base include blue-chip companies and indie brands, many with long-term relationships. During fiscal 2025, KDC demonstrated strong operating momentum across its segments. Fitch expects KDC's medium-term EBITDA leverage to remain around the mid-to-upper 5x range. For Fitch to consider a positive rating action, KDC would need to organically grow revenue and EBITDA to support interest coverage metrics sustained above 2x. The company would also need to generate positive FCF without relying on working capital and maintain disciplined capital allocation policies. Key Rating Drivers Defensible Competitive Advantage: KDC is one of the largest players in the market for outsourced custom formulation, packaging, and manufacturing solutions for beauty, personal care, and home care brands, with 29 manufacturing facilities worldwide. In the Beauty & Personal Care (BPC) segment, the company's customers range from indie brands to major consumer-packaged goods companies, providing a natural hedge to rapidly changing industry dynamics. Customer concentration is moderate, with the company serving approximately 800 customers worldwide across over 1,000 brands. KDC's business model of partnering with its customers to create innovative products and quickly bringing them to market fosters entrenched, long-term customer relationships with low churn and high switching costs. New business wins across Home Care and BPC supports good operating momentum. Significant investments in R&D and technology and broad product expertise enables KDC to provide global turnkey solutions that solidify its competitive advantage, supporting share gains. KDC's business model also enables raw material cost pass-through, reducing exposure to input volatility, as roughly half of its revenue comes from pass-through costs. Relatively Stable End Markets: KDC benefits from end markets where demand is relatively stable, even during recessionary conditions, as personal care sales are supported by low price points and daily use of health and beauty products. After the pandemic, KDC experienced order variability, as customers reduced purchases to align inventory with demand, and global supply chain disruptions weighed on revenue growth. These factors have since normalized and volumes have recovered. Its flexible manufacturing base enables it to leverage its footprint and shift capacity as needed. Its business model also enables tariff pass-throughs, either directly or through pass-through mechanisms. Fitch projects KDC's organic revenue growth at high single digits in fiscal 2025 (ended April 30), reflecting increased volumes from new business wins and a favorable mix. Fitch expects the U.S. consumer and retail sectors to face near-term challenges from inflation-weary consumers, weakened consumer sentiment, potential business disruptions, and rising costs related to evolving U.S. tariff policies. KDC's global operations are well positioned in terms of capabilities and across a wide range of price points to navigate these pressures. Organic revenue growth is expected to moderate to low-to-mid single digits in fiscal 2026, with growth supported by increased volumes. EBITDA Margin Recovery: Fitch expects KDC's EBITDA margins to trend modestly higher in fiscal 2025 due to operating leverage and continuing efficiencies/initiatives that supports strong EBITDA growth across Home Care and BPC segments. Fitch-calculated EBITDA margins recovered in fiscal 2024 to slightly above pre-pandemic levels due to removal of structural costs, operating leverage benefits, efficiencies/improvement initiatives, and benefits from pass-through mechanisms. Ongoing consumer-related pressures and inflation fatigue may reduce discretionary consumer spending and negatively affect volumes in fiscal 2026. Acquisitive Strategy: KDC's acquisition strategy supports organic growth by adding capabilities in adjacent markets, enabling the company to capitalize on cross-selling opportunities within its customer base. KDC has acquired 12 companies since 2019, increasing its global presence and expanding scale in Europe and Asia. When combined with organic growth, fiscal 2025 revenue will approach $3 billion, up from $1 billion in fiscal 2020. Acquisitions completed during fiscal 2025 were modest in size. Fitch's forecast assumes KDC will pursue bolt-on acquisitions, with potential for larger transactions that could enhance the company's capabilities, operational efficiencies or long-term growth. Leverage/FCF Expectations: Fitch projects EBITDA leverage to be in the mid-to-upper 5x range for fiscal 2025, a decline from 6.3x in fiscal 2024, driven by EBITDA growth and partially offset by higher debt. Fitch expects EBITDA leverage to remain in a similar range in fiscal 2026, reflecting modestly higher EBITDA and debt. KDC's acquisitive strategy and debt-financed shareholder distribution has resulted in periods of elevated leverage, with partial offsets from sponsor equity contributions. FCF in fiscal 2025 could be around breakeven, assuming slightly higher working capital usage. FCF could be slightly positive in fiscal 2026 depending on the level of growth-related capital spending. Equalization of IDR's: Fitch equalizes the ratings across the corporate structure, resulting in the same rating between the parent, Knowlton Development Corporation, Inc. and its subsidiaries. Peer Analysis KDC's credit profile can be compared against other rated consumer product companies such as Central Garden & Pet Company (BB/Stable) and ACCO Brands Corporation (BB-/Negative). KDC has higher financial leverage and a smaller operating scale than Central. ACCO's BB-' rating reflects its leverage sustained above 3.5x over the next several years, and its significant decline in scale over the past several years from secular challenges, balanced by consistent FCF generation and good profitability. The Negative Outlook is driven by concerns that the company may not be able to stabilize its operations over the next 12-24 months while maintaining leverage below 4.0x. Central's ratings reflect its strong market positions in the pet, lawn, and garden segments, stable margins supported by its focus on costs, and ample liquidity supported by strong cash on balance sheet and robust annual FCF. Fitch expects EBITDA leverage to remain in the mid-3x range in FY25 (ending September) and FY26, absent any acquisitions. These strengths are moderated by Fitch's expectation that CENT's revenues could decline in the low single-digit range in FY25, its limited scale with EBITDA expected to be in the mid-$300 million range, and modest customer concentration risk. Key Assumptions - Fitch projects organic revenue growth in fiscal 2025 could be in the high-single digits as volumes further recover coupled with new business wins. Growth in the home care segment is expected to outpace growth in BPC. Revenue growth in fiscal 2026 could be in the low-to-mid single digits, supported by growth within the home care and BPC categories with KDC expected to gain share; - Fitch calculated EBITDA margins could trend modestly higher in fiscal 2025 due to operating leverage, continuing efficiencies/initiatives, and improved mix. Fitch's forecast in fiscal 2026 consider EBITDA margins at a similar level; - KDC has exposure to variable interest rates through its revolver and term loans. Fitch assumes 3.5% to 4.5% annualized base rates for SOFR; - Capex declining modestly in fiscal 2025 as growth related capex moderates. Capex could increase in fiscal 2026 to support new growth opportunities related to new business wins; - FCF in fiscal 2025 could be around breakeven, assuming slightly higher working capital usage. In fiscal 2026, FCF could be slightly positive depending on the level of growth-related capital spending; - EBITDA leverage to be in the mid-to-upper 5x range in fiscal 2025, driven by EBITDA growth partially offset by higher debt levels. Fitch expects EBITDA leverage to remain in a similar range in fiscal 2026, reflecting modestly higher EBITDA and debt levels. - Interest coverage metrics around 2x in fiscal 2025 and fiscal 2026. Recovery Analysis For issuers with IDRs of 'B+' and below, Fitch performs a recovery analysis for each class of obligations of the issuer. The issue ratings are derived from the IDR, the relevant Recovery Rating and prescribed notching. The recovery analysis assumes that KDC would be reorganized as a going-concern in bankruptcy rather than liquidated. Fitch assumes a material loss in revenue from existing customers or some customer attrition resulting in a loss of revenue around 15% from projected fiscal 2025 levels with EBITDA margins in the 9% area. The GC EBITDA estimate of $230 million reflects Fitch's view of a sustainable, post-reorganization EBITDA level upon which Fitch bases the enterprise valuation. Fitch applies a 6.0x enterprise value/EBITDA multiple, modestly below the 6.3x median multiple for Food, Beverage and Consumer bankruptcy reorganizations analyzed by Fitch. The multiple reflects the company's leading position in its formulation, packaging and manufacturing businesses, its diverse and sticky customer relationships, modestly offset by its lack of consumer brand recognition. After deducting 10% for administrative claims, KDC's first lien secured debt is expected to have good recovery prospects (51%-70%), which corresponds to 'B'/'RR3' ratings. The secured debt is secured by a first priority interest in substantially all assets of the borrowers (kdc/one Development Corporation, Inc and KDC US Holdings, Inc.) and the guarantors (material direct and indirect wholly-owned U.S. subsidiaries) RATING SENSITIVITIES Factors That Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - A negative rating action could occur if a pullback in discretionary consumer spending leads to top-line weakness or EBITDA declines, persistent negative FCF, or if an acceleration of the company's acquisition strategy or any debt-financed transaction such as special shareholder distributions results in sustained EBITDA leverage over 8x and interest coverage approaching 1.0x, leading to concerns around the viability of the company's capital structure. Factors That Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - A positive rating action could occur if KDC's operating trajectory, business investments along with acquisitions meets Fitch's expectations for continued revenue and EBITDA growth, sustained positive FCF and a commitment or demonstrated record that increases confidence in KDC sustaining EBITDA leverage under 7x and interest coverage above 2.0x. Liquidity and Debt Structure KDC's liquidity as of Jan. 30, 2025, pro forma for the repricing and upsizing of its U.S. dollar term loan by USD75 million in December 2024, exceeded $400 million. Liquidity consists of around $133 million in cash and $354.4 million in availability under its $360 million RCF that expires in May 2028. Issuer Profile KDC is a global leader in custom formulation and manufacturing solutions for beauty, personal care and home care brands. It provides services from product ideation and formulation to design, packaging and manufacturing. KDC serves approximately 800 customers globally across 1,000+ brands. Summary of Financial Adjustments Fitch adjusted historical EBITDA for stock-based compensation, acquisition related costs, litigation and other legal fees, severance related costs, business transformation costs and reorganizational and restructuring costs associated with the closure of Lynchburg facility. 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 ----------- ------ -------- ----- Zobele Mexico, S.A. de C.V. senior secured LT B Affirmed RR3 B KDC US Holdings, Inc. LT IDR B- Affirmed B- senior secured LT B Affirmed RR3 B kdc/one Development Corporation, Inc. LT IDR B- Affirmed B- senior secured LT B Affirmed RR3 B Knowlton Development Corporation, Inc. LT IDR B- Affirmed B- L.D. LYTLE: Katharine Battaia Clark Named Subchapter V Trustee -------------------------------------------------------------- The U.S. Trustee for Region 6 appointed Katharine Battaia Clark of Thompson Coburn, LLP as Subchapter V trustee for L.D. Lytle Inc. Ms. Clark will be paid an hourly fee of $525 for her services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Ms. Clark declared that she is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Katharine Battaia Clark Thompson Coburn, LLP 2100 Ross Avenue, Ste. 3200 Dallas, TX 75201 Office: 972-629-7100 Mobile: 214-557-9180 Fax: 972-629-7171 Email: kclark@thompsoncoburn.com About L.D. Lytle Inc. L.D. Lytle Inc., doing business as Sunshine Kids Academy, operates early childhood education and daycare centers in Texas. It provides childcare services at locations in Ennis, Ferris, and Red Oak. L.D. Lytle sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-32454) on June 30, 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 million and $10 million each. Judge Michelle V. Larson handles the case. The Debtor is represented by Joyce Lindauer, Esq., at Joyce W. Lindauer Attorney, PLLC. LAFORTUNE REAL: Files Emergency Bid to Use Cash Collateral ----------------------------------------------------------- LaFortune Real Estate Development, LLC asked the U.S. Bankruptcy Court for the District of Columbia for authority to use cash collateral and provide adequate protection. The Debtor is managed solely by Simona LaFortune, who inherited the rental property at 5001 Hanna Pl. SE, Washington, DC, after her father's death. The property contains five one-bedroom rental units, but most tenants are on a rent strike due to the expiration of the certificate of occupancy, which prevents lawful eviction. Only one tenant pays partial rent via CashApp. The Debtor anticipates regaining full occupancy compliance and intends to pursue back rent and re-let units. The Debtor also requested authority to manage, modify, and access the DIP account and pay associated fees. About LaFortune Real Estate Development LLC LaFortune Real Estate Development LLC, filed a Chapter 11 bankruptcy petition (Bankr. D.D.C. Case No. 24-00420) on December 10, 2024, disclosing under $1 million in both assets and liabilities. Judge Elizabeth L. Gunn oversees the case. The Debtor is represented by the Law Office of E. Christopher Amos, P.C. LEVI STRAUSS: Moody's Rates New EUR Unsec. Notes Due 2030 'Ba2' --------------------------------------------------------------- Moody's Ratings assigned a Ba2 rating to Levi Strauss & Co.'s (Levi's) proposed EUR senior unsecured notes due 2030. The company's Ba1 corporate family rating, Ba1-PD probability of default rating and Ba2 rating on the senior unsecured notes due 2031 remain unchanged. The outlook remains unchanged at stable. Proceeds from the proposed notes will be used to redeem the company's existing EUR475 million senior unsecured notes due March 2027 and pay for transaction fees. The transaction is expected to be roughly leverage-neutral and will be credit positive as it will extend the company's debt maturities. RATINGS RATIONALE Levi Strauss & Co.'s Ba1 CFR reflects the iconic nature, significant scale and global reach of the Levi's brand. The rating also benefits from the company's very good liquidity and solid credit metrics, with Moody's-adjusted debt/EBITDA of 2.2x and EBITA/interest expense of 6.2x as of March 02, 2025. Governance factors also support the credit, including the company's balanced financial strategy. Constraining factors include the company's limited, although improving, product diversification, with denim bottoms accounting for the majority of sales. As an apparel company, Levi's faces high fashion risk and intense competition. In addition, while credit metrics have remained solid over the past several years (excluding the 2020 pandemic disruption), the company has not made a commitment to a leverage target and maintains a secured revolving credit facility. The stable rating outlook reflects Moody's expectations for continued solid credit metrics and very good liquidity. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING The rating could be upgraded if the company demonstrates a commitment to maintaining an investment grade profile and capital structure, including credit metrics that are stronger than the quantitative upgrade triggers. An upgrade would require sustained constant-currency revenue growth, which would demonstrate that the company is at least maintaining market share, and continued expansion into other product areas, such as tops, outerwear and accessories. Quantitatively, the rating could be upgraded if Moody's-adjusted debt/EBITDA is sustained below 2.75 times and EBITA/interest expense is sustained above 4.25 times, while the company maintains very good liquidity. The rating could be downgraded if the company were to experience sustained negative revenue trends or margin erosion, liquidity weakens, or if financial policies were to become more aggressive such as utilizing debt to fund shareholder returns or large acquisitions. Credit metrics include Moody's-adjusted debt/EBITDA sustained above 3.25 times or EBITA/interest expense sustained below 3.25 times. Headquartered in San Francisco, Levi Strauss & Co. designs and markets jeans and other apparel and accessories under the Levi's, Signature by Levi Strauss & Co. and Beyond Yoga brands. The company sells product in more than 110 countries through third-party retailers, direct-to-consumer digital operations and franchised and company-operated stores. Revenue for the last twelve months ended March 2, 2025 was about $6.4 billion. The principal methodology used in this rating was Retail and Apparel published in November 2023. LIFESCAN GLOBAL: Seeks to Sell All Assets at Auction ---------------------------------------------------- LifeScan Global Corporation and its affiliates seek permission from the U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, to sell Assets in auction, free and clear of liens, claims, and encumbrances. The Debtors entered the chapter 11 cases with a restructuring support agreement (RSA) with holders of 97% of the Debtors' secured creditors and the Debtors' equity sponsor, an affiliate of Platinum Equity, that contemplates the elimination of approximately $1.4 billion of liabilities and the equitization of secured debt claims pursuant to a chapter 11 plan. As part of the RSA, the Debtors negotiated for the flexibility to pursue a post petition marketing process for the sale of all or substantially all of the Assets to determine if the Plan truly represents the best outcome for the Debtors and their stakeholders, and the Consenting First Lien Term Loan Lenders and Consenting Second Lien Term Loan Lenders have agreed to provide a credit bid in the Sale Process, in a credit bid amount up to the full amount of their claims. The Debtors hire independent investment bank PJT Partners LP pursuant to the proposed Bidding Procedures. The Debtors are confident that the Sale Process and Bidding Procedures will ensure uninterrupted business operations, facilitate the sale of the Assets in the highest or otherwise best transaction to the extent an asset sale represents a superior transaction to the Plan, and maximize recoveries for all stakeholders. LifeScan is one of the world's leading providers of blood glucose monitoring services through its OneTouch product line which enables millions of customers throughout the globe to manage their blood sugar levels. It sells and distributes in more than 50 countries throughout North America, Europe, and Asia, and employs with a workforce of over 1,300 employees across the enterprise. LifeScan's net revenue for the period ending December 31, 2024 was approximately $786 million. As of the date (Petition Date), the Debtors have approximately $1.7 billion in liabilities. The Bidding Procedures contemplate that the Debtors will solicit the highest or otherwise best offers for all or substantially all of the Assets on the following proposed schedule, subject to Court approval and availability: -- Five business days after entry of the Bidding Procedures Order: Service and Publication of Sale Notice -- August 27, 2025, at 5:00 p.m. (prevailing Central Time): Stalking Horse Bid Deadline -- September 12, 2025, at 5:00 p.m. (prevailing Central Time): Bid Deadline -- September 18, 2025, at 10:00 a.m. (prevailing Central Time): Auction (if necessary) -- One business day after the conclusion of the Auction or, if the Auction is not held, September 19, 2025 (prevailing Central Time): Deadline to File Notice of Successful Bidder -- One business day after the conclusion of the Auction or, if the Auction is not held, September 19, 2025 (prevailing Central Time): Deadline to File Assumption Notice -- September 26, 2025, at 5:00 p.m. (prevailing Central Time): Sale Objection Deadline -- September 26, 2025, at 5:00 p.m. (prevailing Central Time): Assumption Objection Deadline -- September 29, 2025 (prevailing Central Time), or as soon thereafter as the Court's calendar permits: Sale Hearing The Debtors request authority to enter into an asset purchase agreement with a Stalking Horse Bidder (Stalking Horse Agreement). Upon the designation of a Stalking Horse Bidder, the Debtors shall file with the Court, serve on the Sale Notice Parties, and cause to be published on the website maintained by Epiq Corporate Restructuring, LLC, the Debtors' claims and noticing agent in the chapter 11 cases, located at https://dm.epiq11.com/LifeScan, a notice setting forth the identity of the Stalking Horse Bidder and the material terms of such Stalking Horse Agreement(Notice of Stalking Horse Bidder). To provide the Counterparties with information concerning any Successful Bidder and any Backup Bidder who may take assignment of their contracts or leases and enable them to object to such assignment on adequate assurance grounds (to the extent such Successful Bidder is not the Stalking Horse Bidder), the Debtors shall file with the Court and serve on all Counterparties the Notice of Successful Bidder no later than one business day after the Auction. About LifeScan Global Corporation LifeScan is a leader in delivering personalized health, wellness, and digital solutions to individuals living with diabetes. Since 1981, LifeScan has advanced glucose care and diabetes management with pioneering technologies and new products, and is actively engaged in designing, developing, manufacturing, and marketing devices, software, and applications. Its comprehensive portfolio of diabetes-related products and services includes blood glucose monitoring devices, blood glucose test strips, lancing devices, and digital applications. LifeScan Global sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.Tx. Case No. 25-90259 (ARP)) on July 15, 2025. As of the Petition Date, the Debtors have approximately $786 million assets and approximately $1.7 billion in liabilities. Judge Alfredo R Perez presides over the case. Megan Young-John and John F Higgins, IV at Porter Hedges LLP, represent the Debtor as legal counsel. LION RIBBON: Gets Interim OK to Obtain DIP Loan From HCS 107 ------------------------------------------------------------ Lion Ribbon Texas Corp and affiliates received interim approval from the U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, to obtain debtor-in-possession financing to get through bankruptcy. The interim order, signed by Judge Christopher Lopez, authorized the Debtors to obtain an initial $25 million from HCS 107, LLC, which has committed to provide up to $53 million in DIP financing. This financing is a senior secured superpriority DIP credit facility, which consists of $38 million in new money term loans and a $15 million "roll-up" of existing pre-bankruptcy loan obligations. The DIP facility is due and payable 190 days after the Debtors' Chapter 11 filing on July 3. Aside from DIP financing, the interim order also authorized the Debtors to use HCS 107's cash collateral, which consists of cash and proceeds from any sale of the collateral securing the Debtors' $25 million pre-bankruptcy term loan from the lender. The Debtors said they conducted a comprehensive pre-bankruptcy analysis of funding options and concluded that no alternative financing on better terms was available. The Debtors are required to comply with several milestones including: (i) The petition date must have occurred no later than July 3; (ii) No later than 72 hours after the petition date, the Debtors must have filed a motion to (a) approve on an interim and final basis the commencement of the liquidation as contemplated by the Liquidation Services Agreement, (b) approve on an interim basis the Debtor and Hilco Merchant Resources, LLC's performance of the Liquidation Services Agreement, and (c) approve on a final basis the assumption of the Liquidation Services Agreement, in form and substance reasonably acceptable to Hilco Merchant Resources, LLC and the Lender; (iii) No later than 72 hours after the petition date, the Debtors must have filed a motion or motions to approve (a) the DIP facility on an interim and final basis, and (b) rejection of unexpired real property leases, each in form and substance reasonably acceptable to the lender; and (iv) No later than three business days after the petition date, the bankruptcy court must have entered an order in form and substance acceptable to the lender and Hilco Merchant Resources approving on an interim basis the Liquidation Services Agreement motion, including the Debtors and Hilco Merchant Resources' performance of the Liquidation Services Agreement and the commencement of the liquidation. Adequate Protection In consideration for the DIP financing, the Debtors agreed to grant HCS 107 liens on substantially all of their assets, subject and subordinate to the carveout. These DIP liens include (i) a fully perfected, senior priming lien on, and security interest in, the collateral securing the pre-bankruptcy term loan; (ii) fully perfected, first priority lien on, and security interest in unencumbered property; and (iii) a fully perfected lien on, and security interest in, certain receivables, which rank junior to any properly perfected and valid pre-bankruptcy lien of JPMorgan Chase Bank, N.A., as agent under that certain Master Receivables Purchase Acceptance Letter. Moreover, HCS 107 will be granted superpriority administrative expense claims, senior to all other administrative expenses or claims but subject and subordinate to the carveout. HCS 107 supports the priming of its collateral in exchange for the "adequate protection" package. Upon entry of the final DIP order, the Debtors further request a waiver of their right to surcharge collateral under 11 U.S.C. section 506(c), the “equities of the case” exception under section 552(b), and the equitable doctrine of marshaling. The Debtors explain that they are entering Chapter 11 with only $8.2 million in cash on hand, which is insufficient to cover operational expenses and restructuring costs. As a result, the DIP facility is critical to maintaining stability, pursuing asset sales, and implementing an orderly wind-down of non-core business segments. Subject to entry of a final DIP order, HCS 107 is entitled to all of the rights and benefits of Section 552(b) of the Bankruptcy Code, and to a waiver of any "equities of the case" claims under Section 552(b) such that the "equities of the case" exception do not apply to HCS 107 with respect to proceeds, products, offspring or profits of any collateral securing the DIP loan and pre-bankruptcy loan. A copy of the interim DIP order is available at: http://bankrupt.com/misc/LionRibbonTexasCorp_InterimDIPOrder.pdf The bankruptcy court will hold a final hearing on July 31. The deadline for filing objections is on July 24. The Debtors' pre-bankruptcy capital structure consists of approximately $121.5 million in total liabilities. This includes a $25 million secured term loan provided under a prepetition loan agreement dated June 23, 2025, between the Debtors and HCS 107, of which approximately $15 million was outstanding as of the petition date. These obligations are secured by perfected liens on substantially all of the Debtors' assets. The Debtors also have a receivables financing arrangement with JPMorgan Chase Bank, established under a Master Receivables Purchase Agreement dated July 13, 2020, whereby eligible receivables from Walmart Inc. were sold to the receivables agent. As of the petition date, approximately $819,000 was outstanding under this facility. In addition, the Debtors estimate that approximately $105.7 million in unsecured debt remains outstanding. Facing declining liquidity due to tariffs and operational challenges, the Debtors entered Chapter 11 with only $8.2 million in cash on hand—insufficient to support business operations and restructuring efforts. The DIP facility and access to cash collateral are therefore critical to enabling the Debtors to stabilize operations, fund a sale and wind-down process, and protect stakeholder value during these proceedings. After a detailed review of financing alternatives, the Debtors concluded that no better terms were available from other lenders. About Lion Ribbon Texas Corp. Lion Ribbon Texas Corp. and affiliates design, manufacture, and distribute consumer crafting, gifting, and stationery products for celebrations, hobbies and creative play. They operate globally, with facilities across North America and supporting operations in India, Hong Kong, China, the United Kingdom, and Australia. They supply both branded and private-label products to consumers and major corporate clients. The Debtors sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 25-90164) on July 3, 2025. In their petitions, the Debtors reported $100 million to $500 million in assets and liabilities on a consolidated basis. Judge Christopher M. Lopez handles the cases. The Debtors are represented by Caroline A. Reckler, Esq., Ray C. Schrock, Esq., Adam S. Ravin, Esq., Randall Carl Weber-Levine, Esq., and Meghana Vunnamadala, Esq., at Latham & Watkins, LLP. The Debtors tapped Huron Consulting Services, LLC as investment banker and financial advisor; Deloitte Tax, LLP as tax services provider; Liskow & Lewis, APLC as conflicts counsel; C Street Advisory Group, LLC as communications advisor; and Kroll Restructuring Administration, LLC as claims, noticing and solicitation agent. MAIBACH ENERGY: Unsecureds to Get 100 Cents on Dollar in Plan ------------------------------------------------------------- Maibach Energy, LLC, filed with the U.S. Bankruptcy Court for the Eastern District of Pennsylvania a Plan of Reorganization for Small Business dated June 24, 2025. The Debtor is a corporation that was founded in April 2020 to buy out assets when a bitter divorce brought a family company to an untimely end. In late 2020, the assets of Lancaster Propane Gas Inc. were purchased. The Plan Proponent's financial projections will eventually show that the Debtor will have projected disposable income for the period described in Section 1191(c)(2) of the Bankruptcy Code. The final Plan payment is expected to be paid by 36 months from the date of confirmation. Non-priority unsecured creditors other than family members, holding allowed claims will receive distributions, which the proponent of this Plan has valued at approximately on hundred cents on the dollar. This Plan also provides for the payment of non-priority unsecured creditors who are family members holding allowed claims. The proponent of this Plan has valued those at approximately ten cents on the dollar. This Plan also provides for payment of administrative and priority claims. Class 6 consists of certain non-priority unsecured claims of non family members, who are owed less than $25,000 each. They will be paid 100 cents on the dollar as allowed over thirty-six months. Class 7 consists of the non-priority unsecured claims of Todd Bartos, who will be paid fifty cents on the dollar, to the extent allowed as an unsecured claim under the Code over a period of thirty-six months. Class 8 consists of certain non-priority unsecured claims of family members, who will be paid ten cents on the dollar, to the extent allowed as an unsecured claim under the Code over a period of thirty-six months. William Wheaton is the sole shareholder of this entity and will retain his interest in the Debtor. The Plan will be implemented based upon the profitability of the ongoing operation of Maibach Energy, LLC. A full-text copy of the Plan of Reorganization dated June 24, 2025 is available at https://urlcurt.com/u?l=qwrLEv from PacerMonitor.com at no charge. Counsel to the Debtor: Lawrence V. Young, Esq. CGA Law Firm, P.C. 135 North George Street York, PA 17401 Tel: (717) 848-4900 Fax: (717) 843-9039 Email: lyoung@cgalaw.com About Maibach Energy Maibach Energy, LLC, is the parent company for Lancaster Propane Gas brand. The Lancaster, Pa.-based company offers tank sales and leases, propane delivery, and tank installation and services. Maibach Energy filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. E.D. Pa. Case No. 24-13122) on September 4, 2024, listing $1,743,971 in assets and $202,498 in liabilities. William Wheaton, member, signed the petition. Judge Patricia M Mayer oversees the case. CGA Law Firm serves as the Debtor's bankruptcy counsel. MAIN LINE EXPO: Seeks Subchapter V Bankruptcy in Texas ------------------------------------------------------ On July 15, 2025, Main Line Expo Inc. filed Chapter 11 protection in the U.S. Bankruptcy Court for the Eastern District of Pennsylvania. 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 Main Line Expo Inc. Main Line Expo Inc., doing business as Futura Building Systems, provides residential and commercial construction services in Texas. The Company offers roofing, remodeling, gutters, siding, and renovation work, operating from its office in Dallas. Main Line Expo Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Pa. Case No. 25-12825) on July 15, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100,000 and $500,000 each. MAVERICK RESTAURANT: Case Summary & 20 Top Unsecured Creditors -------------------------------------------------------------- Debtor: Maverick Restaurant Group, LLC 233 North Main Street, Suite 7 Greenville, SC 29601 Business Description: Maverick Restaurant Group LLC operates a portfolio of restaurant brands including Red Door Pizza and Red Door Sandwich, with its base of operations in Greenville, South Carolina. The Company is affiliated with Red Door Brands, which manages multiple fast-casual and quick-service dining concepts across the Southeastern United States. Chapter 11 Petition Date: July 15, 2025 Court: United States Bankruptcy Court District of South Carolina Case No.: 25-02699 Debtor's Counsel: Christine E. Brimm, Esq. BARTON BRIMM, PA P.O. Box 14805 Myrtle Beach SC 29587 Tel: 803-256-6582 E-mail: cbrimm@bartonbrimm.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Argus Wiley as manager. 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/MNHO32I/Maverick_Restaurant_Group_LLC__scbke-25-02699__0001.0.pdf?mcid=tGE4TAMA METADOOR RESTAURANT: Case Summary & 20 Top Unsecured Creditors -------------------------------------------------------------- Debtor: Matadoor Restaurant Group, LLC d/b/a Del Taco 233 North Main Street Suite 7 Greenville SC 29601 Business Description: Matadoor Restaurant Group, LLC operates and manages franchised and proprietary restaurant concepts in the United States. The Company serves as a franchisee of Del Taco and operates The Matador, a full- service Mexican restaurant in Greenville, South Carolina. It functions under Red Door Brands, LLC, which oversees a portfolio of foodservice operations including additional national quick-service brands. Chapter 11 Petition Date: July 15, 2025 Court: United States Bankruptcy Court District of South Carolina Case No.: 25-02698 Debtor's Counsel: Christine E. Brimm, Esq. BARTON BRIMM, PA P.O. Box 14805 Myrtle Beach SC 29587 Tel: 803-256-6582 E=mail: cbrimm@bartonbrimm.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Argus Wiley as manager. 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/OTYXB5A/Matadoor_Restaurant_Group_LLC__scbke-25-02698__0001.0.pdf?mcid=tGE4TAMA MILLENNIUM LAB: Trustee Wins Summary Judgment in J.P. Morgan Case ----------------------------------------------------------------- Judge Laurie Selber Silverstein of the United States Bankruptcy Court for the District of Delaware granted the Trustee's motion for summary judgment in the adversary proceeding captioned as MARC S. KIRSCHNER solely in his capacity as TRUSTEE OF THE MILLENNIUM CORPORATE CLAIM TRUST, Plaintiff, V. J.P. MORGAN CHASE BANK, N.A., CITIBANK N.A., BMO HARRIS BANK, N.A., and SUNTRUST BANK, Defendants, Adv. No. 17-51840-LSS (Bankr. D. Del.). Trustee's two Daubert motions are denied. The Trustee seeks to avoid and recover a $35.3 million arrangement fee paid by Debtor Millennium Lab Holdings II, LLC to Defendants in connection with a Dividend Recapitalization Transaction as either an actual or constructive fraudulent conveyance. Collectively, Defendants assert 24 defenses, all of which are the subject of Plaintiff's summary judgment motion. Nonetheless, all parties agreed that Judge Silverstein needs rule on only two: the "reasonable good faith" and "publicly available information" defenses. Citi, BMOC and SunTrust each assert as a defense that they acted reasonably and in good faith at all times based on all relevant facts and circumstances known by it at the time it so acted. The Trustee argues that a defendant's "reasonable good faith" is an incomplete element of a Sec. 548(c) defense. Citi, BMOC and SunTrust respond that the Trustee has failed to meet his burden of establishing their lack of entitlement to the good faith defense as a matter of law because he cites no authority for such a proposition. The Trustee replies that Citi, BMOC and SunTrust ask him to prove a negative, which he cannot do because the purported defense is not recognized as a defense to the cause of action. According to the Court, as the Trustee contends, good faith is just one part of the enumerated statutory defense/remedy embodied in Sec. 548(c). Section 548 does not suggest other defenses exist to defeat a claim for fraudulent transfer and Citi, BMOC and SunTrust do not point to any other provision of the Bankruptcy Code or to decisional law providing for their asserted "reasonable good faith" defense. Citi, BMOC and SunTrust also argue that this defense "defeats" the Trustee's allegations regarding evidence of the Debtor's state of mind in entering into the Dividend Recapitalization Transaction. In essence, this "defense" is a denial of the Trustee's allegations that the Dividend Recapitalization Transaction constitutes an actual fraudulent conveyance. In the absence of any cited decisional authority or even any analogous case law, Judge Silverstein concludes, "I am not inclined to create a new defense specific to a Code-created cause of action. Moreover, Citi, BMOC and SunTrust essentially concede this 'defense' is more properly categorized as a denial. Therefore, partial summary judgment is granted in favor of Trustee on the purported 'reasonable good faith' defense." Citi and BMOC also assert as a defense that the Trustee is not entitled to any recovery because the substance of the allegedly omitted or misstated information was disclosed and publicly available. The Trustee counters that "publicly available information" is not an affirmative defense, noting that he has been unable to identify any federal court decision recognizing it as such. He further contends that the public availability of any information 1s just one of many factors that could combine to negate an actual fraudulent transfer claim, but it is not sufficient to defeat such a claim alone. The Court finds because the "publicly available information" defense is actually a general denial of the Trustee's claims, summary judgment is granted in favor of the Trustee on the purported "publicly available information" defense. Daubert Motions The Trustee filed separate Daubert motions seeking to exclude the testimony of Branka Matevich and Amy Hutton. Defendants retained Branka Matevich to respond to Austin Smith's expert report. Matevich evaluates Austin Smith's modifications to the management's projections. She focuses on Austin Smith's adjustments relating to the specimen volume growth rate, commercial payor custom profiles, medically unlikely edits and the local coverage determination. Matevich brings her experience to bear on her analysis to opine that Austin Smith's assumptions (and, therefore, adjustments) are unsupported by the facts and derived from misunderstandings and mischaracterizations of the laboratory services industry. In moving to exclude Matevich's testimony, the Trustee contends Matevich's experience does not make her an expert in the areas on which she opines and her opinions exceed her expertise. He also argues that Matevich's opinions are based on unreliable methodologies and insufficient facts specific to Millennium's business operations. Defendants counter that the Trustee's arguments go to weight not admissibility and assert Matevich is qualified to opine that Austin Smith did not appropriately consider the relevant facts in the industry when making her adjustments to Millennium's projections. Judge Silverstein holds, "I will not exclude Matevich's testimony. Rather, I conclude that Defendants are correct -- the question is how much weight Matevich's testimony should be given. Matevich's experience in the industry supplies her with the credentials to qualify her as an expert in the clinical laboratory industry, generally." Defendants also retained Amy Hutton to respond to Austin Smith's report. Hutton opines that Austin Smith's analysis of Millennium's solvency and her conclusions rely on unsupported assumptions, suffer from hindsight bias, and reflect flawed applications of widely accepted valuation principles. Hutton contends Austin Smith improperly included a company specific risk premium and a small company risk premium in her discount rate. Hutton believes Austin Smith's adjustments to Millennium's projected revenue and operating expenses are unsupported and unreliable. Hutton says Austin Smith's adoption of a beta derived from five "comparable" companies is inconsistent with her opinion that the companies were not sufficiently comparable to Millennium to provide a reliable estimate of value. For these reasons and others included in her report, Hutton opined that Austin Smith's assertion that Millennium was clearly rendered balance sheet insolvent as of the 2014 Transaction is based on flawed and unreliable analyses. The Trustee contends Hutton's opinion should be excluded because it is not based on sufficient facts and is not the product of the reliable application of the facts to accepted methodologies. Defendants respond that Hutton is a rebuttal expert whose opinion is limited to identifying flaws in Austin Smith's analyses, the Trustee's arguments go to weight not admissibility and Trustee otherwise fails to show that any of Hutton's opinions are unreliable. The Trustee replies that, although Hutton is called as a rebuttal expert, her report includes calculations and conclusions unsupported by the facts which render her opinions therein unreliable and inadmissible. According to Judge Silverstein, "Though criticized as an 'academic,' Hutton is qualified to rebut Austin Smith's valuation. Trustee's arguments primarily go to weight. This is classic trial fodder." A copy of the Court's Opinion dated June 27, 2025, is available at https://urlcurt.com/u?l=4T58gi from PacerMonitor.com. About Millennium Lab Millennium Lab Holdings II, LLC, Millennium Health, LLC and Rxante, LLC, providers of laboratory-based diagnostic testing focused on drugs of abuse and clinical medication monitoring, filed Chapter 11 bankruptcy petitions (Bankr. D. Del. Case Nos. 15-12284, 15-12285 and 15-12286, respectively) on Nov. 10, 2015. The Debtors estimated assets in the range of $100 million to $500 million and liabilities of more than $1 billion. Judge Laurie Selber Silverstein has been assigned the cases. The Debtors have engaged Skadden, Arps, Slate, Meagher & Flom LLP as counsel; Young Conaway Stargatt & Taylor, LLP as conflicts counsel; Lazard Freres & Co., LLC, as investment banker; Alvarez & Marsal as financial advisor; and Prime Clerk LLC as claims and noticing agent. Millennium Lab Holdings II, LLC, et al., announced that on Dec. 18, 2015, the effective date of their Amended Prepackaged Joint Plan of Reorganization occurred. MOM CA: Seeks to Extend Plan Exclusivity to September 29 -------------------------------------------------------- MOM CA Investco, LLC 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 September 29 and November 25, 2025, respectively. This Motion is the Debtors' first request to extend the Exclusive Periods. In the nearly four months since the Petition Date, the Debtors have addressed critical issues to maximize the value of the Debtors' estates and sell substantially all their assets. The complexity of the various issues addressed, and the time, effort, and planning required to obtain the progress made thus far warrant the requested extension of the Exclusive Periods. Since the Petition Date, the Debtors and their professionals have focused substantially all their time, energy, and resources on smoothly transitioning into chapter 11, addressing critical case management issues, and marketing the Debtors' assets in connection with various sale processes, all in an effort to maximize the value of the Debtors' estates. The Debtors believe that, in light of the progress that the Debtors have made in these chapter 11 cases over the past four months, and the Debtors' efforts to work cooperatively with their stakeholders, it is reasonable and appropriate that the Debtors be granted an extension of the Exclusive Periods. Accordingly, the Debtors submit that this factor weighs in favor of extending the Exclusive Periods. The Debtors explain that they continue to pay undisputed postpetition obligations on a timely basis. Therefore, the requested extension of the Exclusive Periods will afford the Debtors a meaningful opportunity to solicit votes on a plan and negotiate with key parties to confirm a plan without prejudice to the parties in interest in these chapter 11 cases. The Debtors claim that they are not seeking the extension of the Exclusive Periods to delay administration of these chapter 11 cases or to exert pressure on their creditors, but rather to facilitate the continued negotiation and formulation of a chapter 11 plan. Thus, this factor also weighs in favor of the requested extension of the Exclusive Periods. The Debtors assert that termination of the Exclusive Periods would adversely impact the Debtors' efforts to preserve and maximize the value of the estates and the progress in these chapter 11 cases. Terminating the Exclusive Periods would only create a chaotic environment and cause opportunistic parties to engage in counterproductive behavior in pursuit of alternatives that are neither value-maximizing nor feasible under the circumstances of these chapter 11 cases. Counsel to the Debtors: Christopher M. Samis, Esq. Aaron H. Stulman, Esq. R. Stephen McNeill, Esq. Gregory J. Flasser, Esq. Ethan H. Sulik, Esq. POTTER ANDERSON & CORROON LLP 1313 N. Market Street, 6th Floor Wilmington, Delaware 19801 Telephone: (302) 984-6000 Facsimile: (302) 658-1192 Email: csamis@potteranderson.com astulman@potteranderson.com rmcneill@potteranderson.com gflasser@potteranderson.com esulik@potteranderson.com About MOM CA Investco LLC MOM CA Investco LLC and affiliates constitute a real estate joint venture comprised of a portfolio of commercial properties owned by the Debtors. The properties that make up the portfolio include hotels, an apartment complex, office buildings, other commercial real estate, and individual homes used as luxury vacation rentals. The Debtors have requested joint administration of their Chapter 11 cases under lead Case No. 25-10321 (Bankr. D. Del. in MOM CA Investco LLC). In the petition signed by Mark Shinderman, chief restructuring officer, the Debtor disclosed up to $500 million in both assets and liabilities. Judge Brendan Linehan Shannon oversees the case. The Debtors tapped Buchalter, A Professional Corporation as lead bankruptcy counsel; Potter Anderson & Corroon, LLP as bankruptcy co-counsel; and FTI Consulting, Inc., as restructuring advisor. PARK VIEW: Unsecured Creditors to be Paid in Full in Plan --------------------------------------------------------- Park View Apt, LLC, filed with the U.S. Bankruptcy Court for the District of Delaware a Disclosure Statement regarding Amended Plan of Reorganization dated June 25, 2025. The Debtor was created in August 2018 for the purpose of acquiring and then redeveloping certain real property, which Park View is now attempting to redevelop into affordable housing. More specifically, the Debtor acquired two separate but adjacent commercial properties separated by an alleyway—i.e., the Properties, which are directly across the street from well-known MacArthur Park and MacArthur Park Lake. Specifically, the two parcels of real estate are located at 715/719 South Park View Street4 and 2400 West 7th Street, Los Angeles, CA. The Plan contemplates the reorganization of Debtor's financial affairs and the repayment of all creditors' Allowed Claims. In sum, the Plan has the following structure: * The Plan is a reorganizing plan which provides that all Allowed Claims against Debtor will be paid in full, including all Allowed Secured Claims, Allowed Priority Unsecured Claims, and Allowed General Unsecured Claims. * Creditors holding Secured Claims against Debtor are classified in Classes 1 through 4. The Secured Creditors in Classes 1, 2, 3, and 4 shall not have their debt obligations modified with respect to repayment terms and interest rates as provided in the Plan, and therefore are not entitled to vote on the Plan. * Creditors holding General Unsecured Claims against Debtor are classified in Class 6. General Unsecured Creditors in Class 6 are unimpaired, and therefore are not entitled to vote on the Plan. * The sources of payments to Creditors under the Plan include Refinancing in the form of a bridge loan in the approximate amount of [$21.5] million, utilization of Debtor's Cash, and, to the extent necessary, a capital infusion from the Debtor's sole shareholder and manager, Houshang Neyssani. * The Debtor shall retain its ownership interests in assets of the Estate, subject to the obligations and liens created by or preserved under the Plan. Class 6 consists of General Unsecured Claims. Each Allowed General Unsecured Claim in Class 6 shall be paid in full in cash on the Effective Date, or as soon thereafter as reasonably practicable. The allowed unsecured claims total $232,541. On the Effective Date, title to all assets, claims, causes of action, properties, and business operations of Debtor and of the Estate shall revest in Reorganized Debtor, and thereafter, the Reorganized Debtor shall own and retain such assets free and clear of all liens and Claims, except as expressly provided in the Plan. From and after the Effective Date, except as otherwise described in the Plan, the Reorganized Debtor shall own and operate such assets without further supervision by or jurisdiction of the Court, except as otherwise provided herein. The Debtor's primary source of funding under the Plan will be a refinance of one or both of the 2400 Property and the Park View Property. Additional information regarding the refinancing and/or financing will be provided in the Plan Supplement. In addition, the Debtor may use its Cash that does not constitute cash collateral, as well as capital contributions from its sole shareholder and member, Houshang Neyssani. These funding sources will be used for the payment of creditor claims, most notably, AFNB's claim. A full-text copy of the Disclosure Statement dated June 25, 2025 is available at https://urlcurt.com/u?l=HJ59ky from PacerMonitor.com at no charge. Counsel for the Debtor: James E. Till, Esq. Till Law Group 120 Newport Center Drive Newport Beach, CA 92660 Telephone: (949) 524-4999 Email: james.till@till-lawgroup.com Ericka F. Johnson, Esq. Bayard P.A. 600 N. King St. Suite 400 Wilmington, DE 19801 Tel: (302) 429-4275 Fax: (302) 658-6395 Email: ejohnson@bayardlaw.com About Park View APT, LLC Park View Apt LLC is a Single Asset Real Estate debtor (as defined in 11 U.S.C. Section 101(51B)). Park View Apt LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 24-11663) on August 6, 2024. In the petition filed by Houshang Neyssani, as sole member and manager, the Debtor estimated assets and liabilities between $10 million and $50 million. Bankruptcy Judge Laurie Selber Silverstein handles the case. The Debtor is represented by BAYARD, P.A., led by Ericka F. Johnson, and Stven D. Adlder. PAULAZ ENTERPRISES: Case Summary & 11 Unsecured Creditors --------------------------------------------------------- Debtor: Paulaz Enterprises Inc. d/b/a Image360 Hollywood FL 3286 N. 29th Ct Hollywood, FL 33020 Business Description: Paulaz Enterprises Inc., dba Image360 Hollywood FL, provides custom signage, graphics, and display solutions for businesses and organizations in Hollywood, Miami, Fort Lauderdale, and surrounding areas. The Company offers interior signs, business signage, vehicle wraps, and event displays, coordinating projects from design to installation. It operates as part of a national network, ensuring consistent quality and branding across various applications. Chapter 11 Petition Date: July 15, 2025 Court: United States Bankruptcy Court Southern District of Florida Case No.: 25-18061 Judge: Hon. Peter D. Russin Debtor's Counsel: Chad Van Horn, Esq. VAN HORN LAW GROUP, PA 500 NE 4th Street, Suite 200 Fort Lauderdale, FL 33301 Tel: (954) 765-3166 E-mail: chad@cvhlawgroup.com Total Assets: $303,282 Total Liabilities: $1,733,834 The petition was signed by Shrenik Nanavati as president. A full-text copy of the petition, which includes a list of the Debtor's 11 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/AAR2QEI/Paulaz_Enterprises_Inc__flsbke-25-18061__0001.0.pdf?mcid=tGE4TAMA POWER CITY: Gets Interim OK to Use Cash Collateral Until Aug. 12 ----------------------------------------------------------------- Power City Technologies, LLC got the green light from the U.S. Bankruptcy Court for the Southern District of Texas, Galveston Division, to use cash collateral until August 12. The court's order authorized the Debtor's interim use of cash collateral to pay the expenses set forth in its 30-day budget, which shows total expenses of $41,780. The Debtor's cash collateral consists of revenues generated by its business operations and reflected by its accounts receivable, subject to the security interest of its secured creditors. The creditors include Fundthrough USA, Inc., Capybara Capital, LLC, Five Lakes Financial, Leaf Capital Funding, CT Corporation Systems and Maddox Industrial Transformer, LLC. The creditors, together, assert $316,791.42 in pre-bankruptcy claims. As protection, secured creditors will have replacement liens on cash collateral generated after the bankruptcy filing, plus all proceeds. In addition, Fundthrough USA, which holds a $44,234.52 claim, will receive a monthly payment of $4,750. The Debtor must maintain accounts receivable, cash and other assets that are cash collateral in an amount not less than $44,000 (less adequate protection payments actually made) during the pendency of the bankruptcy case as further protection for secured creditors. Events of default include, but not limited to, the Debtor's failure to make the monthly payment, which may result in dismissal or conversion of the case. The Debtor has 10 days from receipt of notice to cure the default. The final hearing is set for August 12. About Power City Technologies Power City Technologies, LLC is an industrial machinery manufacturing company based in La Marque, Texas. Power City Technologies sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Case No. 25-80281) on June 25, 2025. In its petition, the Debtor reported between $500,000 and $1 million in assets and liabilities. Judge Alfredo R. Perez oversees the case. The Debtor is represented by Gabe Perez, Esq., at Zendeh Del & Associates, PLLC. PROPERTY ADVOCATES: Updates Unsecured Claims Pay; Amends Plan ------------------------------------------------------------- The Property Advocates, P.A., submitted a Fifth Amended Disclosure Statement in connection with the Fifth Amended Plan of Reorganization dated June 25, 2025. Soon after filing for relief under Chapter 11, the Debtor moved to reject two real property leases and two parking arrangements. As part of the Debtor's restructuring, it has closed those two offices in Tampa and Orlando. This resulted in significant long-term savings for the Debtor on lease expenses, which would be otherwise unavailable outside of chapter 11. After filing for relief under Chapter 11, the Debtor has continued its operations in the ordinary course of business. From operations, Debtor has increased its cash reserves to $5,047,428.44. Debtor anticipates continued revenues from its existing case load and accounts receivable. The Debtor is operating under a final cash collateral order. The Plan provides for the liquidation of the Debtor and the orderly payment of Allowed Claims. This Plan proposes an orderly liquidation of the Debtor. Post-confirmation, the Debtor will continue to operate, working through while withdrawing from its current case load until the Effective Date. The Plan provides for treatment of all Allowed Claims. Importantly, the Plan provides for the appointment of a Litigation Agent, who will be responsible for litigating all remaining issues including those related to Strems and the Debtor’s insiders. These recoveries, if any, will be for the benefit of the Estate. Class IX consists of Allowed Unsecured Claims. All holders of other Allowed Unsecured Claims shall be paid either in full or its Pro Rata Share of the Unsecureds Distribution Pool on the 1st day of the quarter beginning subsequent to the later of the entry of a final order determining all Disputed Claims or the final determination of the amount available for the Unsecureds Distribution Pool. This Class is unimpaired. This Plan proposes an orderly liquidation of the Debtor. Post Confirmation but prior to the Effective Date, the Debtor will cease to operate, except as necessary to meet its ethical obligations to maintain its current cases as such cases are assigned to other law firms or the firm and its attorneys have legally withdrawn. The Debtor anticipates this will take no more than ninety days during which time the Debtor will pay only those expenses necessary to fulfill its ethical obligations, including without limitation the salaries and compensations structures for the personnel already in place at the time of Confirmation. As this period is temporary, no pay raises or any changes to compensation structures will be made post-Confirmation and the Debtor will accept no new cases. The Effective Date of the Plan will be deferred until all such cases are transferred or all attorneys have effectively withdrawn from representation of all clients, but no later than ninety days after Confirmation, unless the Court, after notice and a hearing, extends the timeframe for good cause shown. A full-text copy of the Fifth Amended Disclosure Statement dated June 25, 2025 is available at https://urlcurt.com/u?l=v4gJmE from PacerMonitor.com at no charge. Attorneys for the Debtor: Michael A. Nardella, Esq. Frank Wolff, Esq. Paul N. Mascia, Esq. NARDELLA & NARDELLA, PLLC 135 W. Central Blvd., Suite 300 Orlando, FL 32801 Tel: (407) 966-2680 E-mail: mnardella@nardellalaw.com fwolff@nardellalaw.com pmascia@nardellalaw.com klynch@nardellalaw.com About The Property Advocates The Property Advocates, P.A., is a law firm specializing in Florida first-party property insurance issues. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 23-16797-RAM) on Aug. 25, 2023. In the petition signed by Hunter Patterson, president, the Debtor disclosed up to $10 million in assets and up to $50 million in liabilities. Judge Robert A. Mark oversees the case. Paul N. Mascia, Esq., at Nardella & Nardella, PLLC, is the Debtor's legal counsel. RCKT MORTGAGE 2025-CES7: Fitch Gives B(EXP)sf Rating on 5 Tranches ------------------------------------------------------------------ Fitch Ratings expects to rate the residential mortgage-backed notes issued by RCKT Mortgage Trust 2025-CES7 (RCKT 2025-CES7). Entity/Debt Rating ----------- ------ RCKT 2025-CES7 A-1A LT AAA(EXP)sf Expected Rating A-1B LT AAA(EXP)sf Expected Rating A-2 LT AA(EXP)sf Expected Rating A-3 LT A(EXP)sf Expected Rating M-1 LT BBB(EXP)sf Expected Rating B-1 LT BB(EXP)sf Expected Rating B-2 LT B(EXP)sf Expected Rating B-3 LT NR(EXP)sf Expected Rating A-1 LT AAA(EXP)sf Expected Rating A-4 LT AA(EXP)sf Expected Rating A-5 LT A(EXP)sf Expected Rating A-6 LT BBB(EXP)sf Expected Rating B-1A LT BB(EXP)sf Expected Rating B-X-1A LT BB(EXP)sf Expected Rating B-1B LT BB(EXP)sf Expected Rating B-X-1B LT BB(EXP)sf Expected Rating B-2A LT B(EXP)sf Expected Rating B-X-2A LT B(EXP)sf Expected Rating B-2B LT B(EXP)sf Expected Rating B-X-2B LT B(EXP)sf Expected Rating XS LT NR(EXP)sf Expected Rating A-1L LT AAA(EXP)sf Expected Rating Transaction Summary The notes are supported by 5,735 closed-end second lien (CES) loans, with a total balance of approximately $498 million as of the cutoff date. The pool consists of CES mortgages acquired by Woodward Capital Management LLC from Rocket Mortgage, LLC. Distributions of principal and interest (P&I) and loss allocations are based on a traditional senior-subordinate, sequential structure, in which excess cash flow can be used to repay losses or net weighted average coupon (WAC) shortfalls. KEY RATING DRIVERS Updated Sustainable Home Prices (Negative): As a result of its updated view on sustainable home prices, Fitch views the home price values of this pool as 11.35% above a long-term sustainable level (versus 11% on a national level as of 4Q24). Affordability is the worst it has been in decades, driven by high interest rates and elevated home prices. Home prices had increased 2.9% YoY nationally as of February 2025 despite modest regional declines, but are still being supported by limited inventory. Prime Credit Quality (Positive): The collateral consists of 5,735 loans, totaling approximately $498 million and seasoned at about three months in aggregate, as calculated by Fitch (one month, per the transaction documents) — measured from the origination date to the cutoff date. The borrowers have a strong credit profile, including a WA Fitch model FICO score of 742, a debt-to-income ratio (DTI) of 39.1%, and moderate leverage, with a sustainable loan-to-value ratio (sLTV) of 76.9%. Of the pool, 99.4% of the loans are of a primary residence and 0.6% represent second homes, and 93.3% of loans were originated through a retail channel. Additionally, 55.3% of loans are designated as safe-harbor qualified mortgages (SHQMs) and 19.4% are higher-priced qualified mortgages (HPQMs). Given the 100% loss severity (LS) assumption, no additional penalties were applied for the HPQM loan status. Second-Lien Collateral (Negative): The entire collateral pool comprises CES loans originated by Rocket Mortgage, LLC. Fitch assumed no recovery and a 100% LS based on the historical behavior of second lien loans in economic stress scenarios. Fitch assumes second lien loans default at a rate comparable to first lien loans. After controlling for credit attributes, no additional penalty was applied to Fitch's probability of default (PD) assumption. Sequential Structure (Positive): The transaction has a typical sequential payment structure. Principal is used to pay down the bonds sequentially and losses are allocated reverse sequentially. Monthly excess cash flow is derived from remaining amounts after allocation of the interest and principal priority of payments. These amounts will be applied as principal, first to repay any current and previously allocated cumulative applied realized loss amounts and then to repay any potential net WAC shortfalls. The senior classes incorporate a step-up coupon of 1.00%, effective after the 48th payment date, for any outstanding balances. 180-Day Chargeoff Feature (Positive): The class XS majority noteholder has the ability, but not the obligation, to instruct the servicer to write off the balance of a loan at 180 days delinquent (DQ), based on the Mortgage Bankers Association (MBA) delinquency method. To the extent the servicer expects meaningful recovery in any liquidation scenario, the class XS majority noteholder may direct the servicer to continue to monitor the loan and not charge it off. While the 180-day chargeoff feature will result in losses being incurred sooner, there is a larger amount of excess interest to protect against them. This compares favorably with a delayed liquidation scenario, where losses occur later in the life of a transaction and less excess is available to cover them. If a loan is not charged off due to a presumed recovery, this will provide added benefit to the transaction, above Fitch's expectations. Additionally, recoveries realized after the writedown at 180 days DQ (excluding forbearance mortgage or loss mitigation loans) will be passed on to bondholders as principal. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade Fitch incorporates a sensitivity analysis to demonstrate how the ratings would react to steeper market value declines (MVDs) than assumed at the metropolitan statistical area level. Sensitivity analysis was conducted at the state and national level to assess the effect of higher MVDs for the subject pool as well as lower MVDs, illustrated by a gain in home prices. The defined negative rating sensitivity analysis demonstrates how the ratings would react to steeper MVDs at the national level. The analysis assumes MVDs of 10.0%, 20.0% and 30.0% in addition to the model projected 42.5% at 'AAA'. The analysis indicates that there is some potential rating migration with higher MVDs for all rated classes, compared with the model projection. Specifically, a 10% additional decline in home prices would lower all rated classes by one full category Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade The defined positive rating sensitivity analysis demonstrates how the ratings would react to positive home price growth of 10% with no assumed overvaluation. Excluding the senior class, already rated 'AAAsf', the analysis indicates there is potential positive rating migration for all of the rated classes. Specifically, a 10% gain in home prices would result in a full category upgrade for the rated class excluding those assigned ratings of 'AAAsf'. This section provides insight into the model-implied sensitivities the transaction faces when one assumption is modified, while holding others equal. The modeling process uses the modification of these variables to reflect asset performance in up and down environments. The results should only be considered as one potential outcome, as the transaction is exposed to multiple dynamic risk factors. It should not be used as an indicator of possible future performance. USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10 Fitch was provided with Form ABS Due Diligence-15E (Form 15E) as prepared by AMC Diligence, LLC. The third-party due diligence described in Form 15E focused on credit, regulatory compliance and property valuation. Fitch considered this information in its analysis and, as a result, Fitch made the following adjustment to its analysis: a 5% PD credit to the 25.2% of the pool by loan count in which diligence was conducted. This adjustment resulted in a 20bps reduction to the 'AAAsf' expected loss. ESG Considerations RCKT 2025-CES7 has an ESG Relevance Score of '4' for Transaction Parties & Operational Risk due to lower operational risk considering the R&W, transaction due diligence results, as well as originator and servicer quality, which has a positive impact on the credit profile, and is relevant to the ratings 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. RED DOOR PIZZA: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------- Debtor: Red Door Pizza, LLC 233 North Main Street, Suite 7 Greenville SC 29601 Business Description: Red Door Pizza, LLC operates in the restaurant industry, specializing in pizzas made with fresh ingredients and cooked in wood-fired ovens. It is 100% owned by Red Door Brands, LLC, a company that manages multiple fast-casual and quick-service dining concepts across the Southeastern United States. Chapter 11 Petition Date: July 15, 2025 Court: United States Bankruptcy Court District of South Carolina Case No.: 25-02701 Debtor's Counsel: Christine E. Brimm, Esq. BARTON BRIMM, PA P.O. Box 14805 Myrtle Beach SC 29587 Tel: 803-256-6582 E-mail: cbrimm@bartonbrimm.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Argus Wiley as manager. 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/TWXSFQQ/Red_Door_Pizza_LLC__scbke-25-02701__0001.0.pdf?mcid=tGE4TAMA RED DOOR SANDWICH: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------------- Debtor: Red Door Sandwich, LLC 233 North Main Street Suite 7 Greenville SC 29601 Business Description: Red Door Sandwich, LLC operates restaurant franchises and is a subsidiary of Red Door Brands, a company based in Greenville, South Carolina. It manages multiple food service concepts across the Southeastern United States. Chapter 11 Petition Date: July 15, 2025 Court: United States Bankruptcy Court District of South Carolina Case No.: 25-02700 Debtor's Counsel: Christine E. Brimm, Esq. BARTON BRIMM, PA P.O. Box 14805 Myrtle Beach SC 29587 Tel: 803-256-6582 E-mail: cbrimm@bartonbrimm.com Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Argus Wiley as manager. 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/N3VORFY/Red_Door_Sandwich_LLC__scbke-25-02700__0001.0.pdf?mcid=tGE4TAMA RITE AID: To Close Nearly All Stores in Connecticut --------------------------------------------------- Luther Turmelle of ctpost reports that most of Rite Aid's remaining stores in Connecticut are set to shut down by Labor Day, according to court documents and store employee confirmations obtained by CT Insider. According to the report, the only location without a confirmed closing date is the Stratford store at 3680 Main St., where an employee said staff have not yet been informed of a closure timeline. She requested anonymity due to concerns about potential retaliation from the company. Rite Aid did not respond to a request for comment regarding the status of its Connecticut locations. The closures follow Rite Aid's May 5, 2025, announcement that it would wind down operations as part of its ongoing Chapter 11 bankruptcy proceedings. As part of its staggered exit strategy, Rite Aid has been closing pharmacy operations first, followed by retail shutdowns roughly a month later. According to ctpost, several stores—such as those in Cheshire, Naugatuck, and one of Danbury's two locations—closed before Memorial Day. The remaining Danbury store, at 30 Germantown Road, is scheduled to close its pharmacy on July 27, with full closure set for August 24, an employee confirmed. Other Connecticut stores scheduled for closure include locations in Brookfield, Ridgefield, Wallingford, Wolcott, Norwalk, East Haven, Milford, Fairfield, and both Monroe sites. The Wallingford pharmacy will close July 20, with Wolcott’s full store closing also set for August 24. Pharmacy closures are also scheduled as follows: Ridgefield: July 17 Brookfield: July 22 Fairfield: July 24 Monroe Turnpike: July 27 East Haven: July 21 Main Street Monroe: Closed July 2 As Rite Aid's wind-down continues, it has been selling prescription customer lists to competing pharmacies, according to listings on the company's website, the report states. About Rite Aid Rite Aid is a full-service pharmacy committed to improving health outcomes. Rite Aid is defining the modern pharmacy by meeting customer needs with a wide range of solutions that offer convenience, including retail and delivery pharmacy, as well as services offered through the Company's wholly owned subsidiary Bartell Drugs. On the Web: http://www.riteaid.com/ Rite Aid and certain of its subsidiaries previously filed for Chapter 11 bankruptcy in October 2023 and emerged from bankruptcy in August 2024. On May 5, 2025, New Rite Aid, LLC and its subsidiaries, including Rite Aid Corporation, commenced voluntary Chapter 11 proceedings (Bankr. D.N.J. Lead Case No. 25-14861). As of the 2025 bankruptcy filing date, Rite Aid operates 1,277 stores and 3 distribution centers in 15 states and employs approximately 24,500 people. Rite Aid is using the Chapter 11 process to pursue a sale of its prescriptions, pharmacy and front-end inventory, and other assets. The cases are being administered by the Honorable Michael B. Kaplan. Paul, Weiss, Rifkind, Wharton & Garrison LLP is serving as legal advisor, Guggenheim Securities, LLC is serving as investment banker, and Alvarez & Marsal is serving as financial advisor to the Debtors. Joele Frank, Wilkinson Brimmer Katcher is serving as strategic communications advisor to the Debtors. Kroll is the claims agent and maintains the page https://restructuring.ra.kroll.com/RiteAid2025 Bank of America, N.A., as DIP Agent, is represented by lawyers at Greenberg Traurig, LLP; and Choate Hall & Stewart LLP. ROGUE SMOOTHIES: Seeks Cash Collateral Access Until Dec. 31 ------------------------------------------------------------ Rogue Smoothies, Inc. asked the U.S. Bankruptcy Court for the District of Oregon for authority to use cash collateral. To continue operations and preserve the business as a going concern, the Debtor proposed to use $439,632 in cash collateral ($209,924 for its North store and $229,708 for its South store) through December 31. Of that amount, $79,066 is urgently needed over the next few weeks to cover critical operating expenses, including payroll, utilities, insurance, marketing, inventory, and repairs. The Debtor has submitted a detailed operating budget. The proposed use of funds includes a variance allowance of up to 15% for line items under $2,000 and up to 12.5% for all other categories. As of the petition date, the Debtor held approximately $11,031 in cash derived from sales, all of which constitutes cash collateral. The only known secured creditor asserting an interest in the Debtor's personal property is United Community Bank, which holds a blanket lien pursuant to a UCC-1 financing statement filed in May 2022. As adequate protection for the secured creditor, the Debtor offers replacement liens on post-petition assets of the same nature, priority, and extent as the pre-bankruptcy liens held by United Community Bank. These replacement liens will not extend to any Chapter 5 avoidance actions and will be subject to any valid liens existing as of the petition date. The Debtor also commits to protecting collateral from value diminution, avoiding new senior liens, and keeping all taxes and secured obligations current. A hearing on the matter is set for July 29. United Community Bank, as secured creditor, is represented by: Eleanor A. DuBay, Esq. Tomasi Bragar Dubay 121 SW Morrison St, Suite 1850 Portland, OR 97204 Phone: (503) 894-9900 edubay@tomasilegal.com About Rogue Smoothies Inc. Rogue Smoothies Inc., doing business as Auntie Anne's and Jamba Juice, operates franchise locations of Jamba and Auntie Anne's in Medford, Oregon. It provides smoothies, juices, fruit bowls, and baked pretzel products through its retail outlets. Rogue Smoothies sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Or. Case No. 25-61778) on June 25, 2025. In its petition, the Debtor reported estimated assets between $1 million and $10 million and estimated liabilities between $500,000 and $1 million. Judge Thomas M. Renn handles the case. The Debtor is represented by Keith Y. Boyd, Esq., at Keith Y. Boyd, PC. RUNITONETIME LLC: Ropes & Gray represents Lenders in Chapter 11 --------------------------------------------------------------- Ropes & Gray is advising an ad hoc group of secured and DIP lenders in connection with the Chapter 11 cases of Maverick Gaming, which filed for bankruptcy on July 14, 2025. According to the report, Maverick Gaming, a regional gaming and entertainment company with operations spanning cardrooms and casinos in several states, is undertaking a sale and restructuring process through Chapter 11. The ad hoc group holds more than 80% of the company's outstanding term loans, and certain members have contributed $7.5 million in DIP financing to support the company during the bankruptcy proceedings. The Ropes & Gray team is led by business restructuring partners Ryan Preston Dahl and Daniel Gwen, alongside finance partners Leonard Klingbaum and Milap Patel, corporate partner Patrick Dorime, and associates Nell Ethridge and Margaret Alden. About RunItOneTime LLC RunItOneTime LLC, also known as Gaming LLC, headquartered in Kirkland, Washington, is a regional casino and cardroom operator across Washington State, Nevada, and Colorado. The company operates a portfolio of 31 properties, with 1,800 slot machines, 350 table games, 1,020 hotel rooms, and 30 restaurants. Maverick was founded in 2017 by Eric Persson and Justin Beltram, who hold over 70% ownership in the company. RunItOneTime LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-90191) on July 14, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100 million and $500 million each. The Debtor is represented by Latham & Watkins LLP. Bankruptcy Co-Counsel is Timothy A. Davidson II, Esq. at Hunton Andrews Kurth LLP. Investment Bankers are GLC Advisors & Co., LLC and GLC Securities, LLC. Financial Advisor is Triple P TRS, LLC and its Tax Advisor is KPMG LLP. SD BACKYARD: David Wood Named Subchapter V Trustee -------------------------------------------------- The Acting U.S. Trustee for Region 15 appointed David Wood of Marshack Hays Wood as Subchapter V trustee for SD Backyard, LLC. Mr. Wood will be paid an hourly fee of $610 for his services as Subchapter V trustee and will be reimbursed for work-related expenses incurred. Mr. Wood declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: David Wood Marshack Hays Wood 870 Roosevelt Irvine, CA 92620 Phone: (949) 333-7777 Email: DWood@marshackhays.com About SD Backyard LLC SD Backyard, LLC is a San Diego-based restaurant group that operates multiple Asian cuisine restaurants including Steamy Piggy, Formoosa, Yun, Viet Nom, and Oi Shiba. SD Backyard sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Calif. Case No. 25-02776) on July 1, 2025. In its petition, the Debtor reported estimated assets between $50,000 and $100,000 and estimated liabilities between $500,000 and $1 million. The Debtor is represented by Gary B. Rudolph, Esq., at Fennemore, LLP. SLM CORP: Moody's Affirms 'Ba1' Issuer & Unsecured Debt Ratings --------------------------------------------------------------- Moody's Ratings has affirmed all of the ratings and assessments of SLM Corporation (SLM) and its bank subsidiary, Sallie Mae Bank. SLM's ratings include long-term issuer and senior unsecured debt ratings of Ba1, a senior unsecured shelf rating of (P)Ba1, a preferred stock non-cumulative rating of Ba3 (hyb) and a preferred shelf non-cumulative rating of (P)Ba3. Sallie Mae Bank's ratings include a Baseline Credit Assessment (BCA) and adjusted BCA of baa3, a long-term issuer rating of Ba1, long- and short-term bank deposit ratings of Baa1/Prime-2, long- and short-term Counterparty Risk Ratings of Baa3/Prime-3, and long- and short-term Counterparty Risk Assessments of Baa2(cr)/Prime-2(cr). The outlooks on SLM's long-term issuer and senior unsecured debt ratings remain negative. The outlooks on Sallie Mae Bank's long-term issuer and long-term bank deposit ratings remain stable. RATINGS RATIONALE The affirmation of SLM's and Sallie Mae Bank's ratings, including Sallie Mae Bank's baa3 BCA, reflects the company's strong franchise as the leading originator and servicer of private student loans in the US with a dominant market share of more than 60%, high profitability levels relative to other rated banks, and solid capital and liquidity positions at Sallie Mae Bank. SLM's return on tangible assets was 4.2% (annualized) in Q1 2025 and 2.0% for all of 2024, considerably above US regional banks that average around 1%. Supporting its strong profitability has been SLM's demonstrated ability to execute loan sales under varying market conditions over the past several years, which has led to more moderate asset growth despite strong loan origination growth, reducing its capital and deposit funding needs. The BCA also reflects the risks to creditors stemming from SLM's student loan concentration, less consistent loan credit performance, a funding structure that is highly reliant on brokered deposits and securitization, and high regulatory and legislative risks for student loans. The bank's loan credit performance has stabilized over the past couple of years after underperforming expectations in 2022. Moody's estimates net charge-offs as a percentage of average loans in full principal and interest repayment of 3.4% (annualized) in Q1 2025, down from 3.8% in Q1 2024, although meaningfully above its reported charge-off rate on loans in repayment of around 1.9% which includes borrowers making interest only or fixed $25 payments while still in school. However, 30+ day delinquencies as a percentage of loans in full principal and interest repayment were higher in Q1 2025 at 6.5% versus 6.1% a year ago, and the percentage of loans in forbearance programs also increased from Q1 2024. Additionally, downside risks for private student loans' asset quality has risen because of several factors, including the uncertainty of the longer term performance of the new loan modification programs initiated by SLM in late 2023, the potential spillover effects of the resumption of federal student loan repayments after a temporary pandemic-induced pause, and a more challenged job market for new graduates. Sallie Mae Bank's BCA is positioned two notches below the current baa1 median BCA of rated US regional banks, and incorporates a negative one notch adjustment for business concentration within Moody's scorecard. The negative outlook on SLM's long-term issuer and senior unsecured debt ratings reflects high, albeit declining double leverage at the parent company that Moody's estimates was 145% at December 31, 2024. Although double leverage has been reduced over the past year and Moody's expects it to decline further over the outlook horizon, Moody's believes the high double leverage, together with relatively short-term debt maturing next year, potentially exposes SLM's creditors to greater risk of default than creditors at Sallie Mae Bank given the parent company's reliance on common dividends from its bank subsidiary to service its own obligations. As a result of this reliance, in Moody's views, if the bank encountered difficulty, regulatory restrictions on its common dividends could prevent the holding company from servicing its obligations before the bank faced a similar challenge. While Moody's expects double leverage to decline over the medium term, the timing and the extent of this decline is less certain given management's focus on returning capital to shareholders. This uncertainty remains a key driver of the negative outlook. The stable outlook on Sallie Mae Bank's long-term issuer and long-term bank deposit ratings reflects Moody's expectations of continued strong profitability relative to other US banks and net charge-offs as a percentage of loans in repayment remaining around the 2.0% level. The stable outlook also reflects Moody's expectations that Sallie Mae Bank will maintain robust liquidity and regulatory capital ratios that are near current levels. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The outlook for SLM's long-term issuer and senior unsecured debt ratings could return to stable if SLM demonstrates meaningful progress in reducing its double leverage to below 125% or increases liquidity at the parent company to a level that exceeds its near-term debt maturities. SLM's ratings could be upgraded if Sallie Mae Bank's BCA is upgraded barring any meaningful changes to its funding structure. Sallie Mae Bank's BCA could be upgraded if it maintains profitability well above regional bank peers, strengthens asset quality performance such that its problem loan ratio is sustained below 5% of total loans for an extended period, or if it improves its funding profile by reducing its dependence on brokered deposits and increasing liquidity available at the parent while maintaining Moody's tangible common equity to risk-weighted assets ratio above 11%. A higher BCA would likely lead to an upgrade of Sallie Mae Bank's ratings absent any meaningful changes to its funding structure. SLM's long-term issuer and senior unsecured debt ratings could be downgraded if it does not further reduce double leverage at the parent company. SLM's ratings could be downgraded if Sallie Mae Bank's BCA is downgraded barring any meaningful changes to its funding structure. Sallie Mae Bank's BCA could be downgraded if capitalization weakens, such that the bank's tangible common equity to risk-weighted assets ratio declines below 10% for multiple quarters. In addition, the BCA could be downgraded if asset quality performance is weaker than Moody's currently expect or if liquid resources decline materially, making the bank more vulnerable to market shocks. A lower BCA would likely lead to a downgrade of Sallie Mae Bank's ratings absent any meaningful changes to its funding structure. The principal methodology used in these ratings was Banks published in November 2024. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. SMALL FORTUNE: Unsecureds Will Get 10% of Claims over 60 Months --------------------------------------------------------------- Small Fortune Hunter, LLC, filed with the U.S. Bankruptcy Court for the Eastern District of North Carolina a Disclosure Statement describing Chapter 11 Plan dated June 25, 2025. The Debtor is a North Carolina company that operates Homegrown Pizza, a restaurant located in Holly Springs, North Carolina. The Debtor's Plan of Reorganization is based upon the Debtor's belief that the interests of its creditors will be best served if it is allowed to reorganize. Payments to creditors shall be made from the proceeds of the Debtor's continued operations. Class 3 consists of General Unsecured Claims. This Class shall receive a monthly payment of $576 for 60 months from the effective date (estimated September 2030). This Class will receive a distribution of 100% of their allowed claims. This Class is impaired. Equity interest holder Michael Seightman shall retain his ownership interest in the Debtor. Payments and distributions under the Plan will be funded by revenue from the ordinary operations of the business. The Plan Proponent's financial projections show that the Debtor will have an aggregate annual average cash flow, after paying operating expenses and post-confirmation taxes of $43,000. A full-text copy of the Disclosure Statement dated June 25, 2025 is available at https://urlcurt.com/u?l=pZDqFr from PacerMonitor.com at no charge. Counsel to the Debtor: Phillip Sasser, Esq. Sasser Law Firm 2000 regency Parkway, Suite 230 Carey, NC 27518 Telephone: (919) 319-7400 Facsimile: (919) 657-7400 Email: philip@sasserbankruptcy.com About Small Fortune Hunter Small Fortune Hunter, LLC, sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.C. Case No. 25-01203) on April 1, 2025, listing up to $50,000 in assets and up to $500,000 in liabilities. Michael Seighman, member-manager of Small Fortune Hunter, signed the petition. Judge David M. Warren oversees the case. Philip Sasser, Esq., at Sasser Law Firm is the Debtor's bankruptcy counsel. BayFirst National Bank, as secured creditor, is represented by: Phillip M. Fajgenbaum, Esq. Parker Poe Adams & Bernstein, LLP 620 South Tryon Street, Suite 800 Charlotte, NC 28202 Telephone: (704) 372-9000 phillipfajgenbaum@parkerpoe.com STATE OF FLUX: Gets Interim OK to Use Cash Collateral ----------------------------------------------------- State of Flux, Inc. got the green light from the U.S. Bankruptcy Court for the Northern District of California, San Francisco Division, to use cash collateral. At the hearing held on July 11, the court granted the Debtor's bid to use cash collateral on an interim basis and set a further hearing for August 22. The Debtor's cash collateral includes its current balance of $190 and future revenue. Creditors with interests in this collateral include the U.S. Small Business Administration and MainStreet Launch, both holding UCC-1 filings from 2022, securing loans totaling approximately $183,929. The Debtor offered protection for these creditors in the form of a replacement lien on post-petition cash and assets, with the same priority and extent as their pre-bankruptcy liens. It also offered a monthly cash payment of $950 to SBA. The Debtor, located in the Mission District, cites pandemic-related economic disruption, reduced foot traffic, construction-related access issues, and local business turnover as contributing factors to its financial distress. On July 7, the Debtor filed for Chapter 11 relief to continue operating and restructure its debt. About State of Flux Inc. State of Flux Inc., formerly doing business as Haze Apparel, is a San Francisco-based retail business likely operating in the apparel industry. State of Flux sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Cal. Case No. 25-30541) on July 7, 2025. In its petition, the Debtor reported estimated assets up to $50,000 and estimated liabilities between $100,000 and $500,000. The Debtor is represented by Ryan C. Wood, Esq., at Law Offices of Ryan C. Wood, Inc. STONE BRIDGE: Case Summary & 15 Unsecured Creditors --------------------------------------------------- Debtor: Stone Bridge Brewing Company d/b/a The Craft Kitchen d/b/a The Wine Loft on Franklin d/b/a Stonebridge Brewing Company 104 Franklin Street Johnstown, PA 15901 Business Description: Stone Bridge Brewing Company operates a microbrewery, taproom, and restaurant in Johnstown, Pennsylvania. It offers house -brewed beers, a full-service kitchen under the name The Craft Kitchen, and a wine bar known as The Wine Loft on Franklin. Chapter 11 Petition Date: July 15, 2025 Court: United States Bankruptcy Court Western District of Pennsylvania Case No.: 25-70290 Debtor's Counsel: Christopher M. Frye, Esq. STEIDL & STEINBERG, P.C. 436 Seventh Avenue Suite 322 Pittsburgh, PA 15219 Tel: 412-391-8000 Fax: 412-391-0221 E-mail: chris.frye@steidl-steinberg.com Estimated Assets: $100,000 to $500,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Jeremy J. Shearer as member. A full-text copy of the petition, which includes a list of the Debtor's 15 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/3JVNAWQ/Stone_Bridge_Brewing_Company__pawbke-25-70290__0001.0.pdf?mcid=tGE4TAMA TRACK BARN: Gets Interim OK to Use Cash Collateral -------------------------------------------------- Track Barn, LLC got the green light from the U.S. Bankruptcy Court for the Northern District of Texas, Fort Worth Division, to use cash collateral. The Debtor intends to use cash generated from assets secured by certain lenders to fund ongoing operations in accordance with a budget. The court's order authorized the Debtor's interim use of cash collateral from July 14 until the entry of a subsequent interim cash collateral order or a final order. As protection for any diminution in the value of their collateral, secured lenders including the U.S. Small Business Administration, Mulligan Funding, LLC and Shopify/WebBank will be granted replacement liens on the Debtor's equipment, inventory and accounts whether such property was acquired before or after its bankruptcy filing. The replacement liens do not apply to any avoidance actions and are subject and subordinate to the carveout for professional fees and those payable to the U.S. trustee. The final hearing is set for July 30. Objections are due by July 28. About Track Barn LLC Track Barn, LLC is a company likely specializing in track and field equipment retail. Track Barn sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Texas Case No. 25-42441) on July 2, 2025. In its petition, the Debtor reported estimated assets between $50,000 and $100,000 and estimated liabilities between $100,000 and $500,000. Judge Mark X Mullin handles the case. The Debtor is represented by Robert Thomas DeMarco, Esq., at DeMarco Mitchell, PLLC. UNIVISION COMMUNICATIONS: Moody's Rates New 2032 Sec. Notes 'B2' ---------------------------------------------------------------- Moody's Ratings assigned a B2 rating to Univision Communications Inc.'s (d/b/a "TelevisaUnivision," "TU" or the "company") proposed offering of senior secured notes due 2032. TU's B2 corporate family rating and negative outlook remain unchanged. Net proceeds from the new senior secured notes will be used to help repay the existing $1.5 billion outstanding 6.625% senior secured notes due 2027 (the "2027 Notes"). The new notes will rank pari passu with the company's existing senior secured bank credit facilities and senior secured notes. Upon transaction closing, and to the extent the 2027 Notes are fully repaid, Moody's will withdraw the 2027 Notes' B2 rating. The assigned rating is subject to review of final documentation and no material change in the size, terms and conditions of the transaction as advised to us. RATINGS RATIONALE The transaction is credit neutral given that pro forma financial leverage will remain unchanged at 6.7x (leverage metrics are Moody's adjusted on a two-year average EBITDA basis at LTM March 31, 2025). However, leverage is currently above the downgrade threshold, which means TelevisaUnivision's financial flexibility within the B2 CFR will be constrained until EBITDA expands and/or debt is repaid. Moody's expects the company will focus on reducing leverage primarily via EBITDA expansion. However, given Moody's expectations in 2025 for slowing economic growth in the US and 0.3% forecast for Mexico's GDP growth, Moody's expects leverage will remain near the 6.5x range over the rating horizon. Moody's forecasts considers TU's planned cost savings as well as economic uncertainty around US trade policy, which could prompt budget reductions from advertisers, especially in verticals that are more consumer sensitive. TelevisaUnivision's B2 CFR reflects the company's material scale, strong audience shares and position as the leading Spanish-language content and diversified media company. TU's diversification across multiple media platforms (i.e., broadcast, cable, digital, streaming and audio), each with dissimilar demand drivers, offers a unique value proposition compared to its broadcast and media peers, enabling TU to capitalize on its reach throughout Spanish-speaking populations in both Mexico and the US, and align its programming to its audience and advertisers. TU's streaming platform, ViX, launched in 2022, offers free ad-supported video-on-demand (AVOD), limited AVOD and subscription video-on-demand (SVOD) tiers. While ViX continues to grow at above market rates with high sell-throughs, premium pricing and produces positive EBITDA, the contribution to overall EBITDA is still not material. The negative outlook reflects the structural and secular pressures in TU's business and Moody's views that the company's credit metrics are weakly positioned within the B2 CFR. Cost cutting measures will help to minimize future EBITDA pressures and Moody's expects leverage will stay in the mid 6x area (leverage metrics are Moody's adjusted on a two-year average EBITDA basis) over the rating horizon despite the absence of political revenue this year and Moody's forecasts for continuing declines in core advertising and retransmission revenue. Given continuing pressures in the TV broadcast industry against a backdrop of economic uncertainty, lower-than-expected EBITDA could lead to downside risk to Moody's leverage forecast, which is also factored in the negative outlook. Over the next 12-18 months, Moody's expects TU will maintain good liquidity. At LTM March 31, 2025, cash and cash equivalents were $345 million, FCF (defined by us as cash flow from operations less capex less dividends) totaled $270 million, and the $522 million revolving credit facility (RCF) maturing June 2027 was undrawn. Moody's expects that TU will generate positive FCF of around $200 million in 2025 driven by cost savings, ViX profitability and continued capex normalization. The RCF is subject to a first-lien net leverage maintenance financial covenant set at 7.1x (as defined in the credit agreement), stepping down to 6.75x at December 31, 2025. Moody's expects sufficient headroom relative to the covenant over the coming year. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING The rating outlook could be stabilized if TU reduced leverage to the 6x area and Moody's expects leverage to decline further (leverage metrics are Moody's adjusted on a two-year average EBITDA basis). Though unlikely near-term, ratings could be upgraded if TU sustained leverage below 5x and FCF to debt above 4% (Moody's adjusted on a two-year average FCF basis). TU would also need to: (i) exhibit organic revenue growth and stable-to-improving EBITDA margins on a two-year average basis; (ii) adhere to conservative financial policies; and (iii) maintain at least good liquidity to be considered for an upgrade. Ratings could be downgraded if Moody's expects that leverage will be sustained above 6x as a result of weak operating performance, more aggressive financial policies or inability to reduce debt levels. A downgrade could also arise if FCF to debt was sustained below 1% (Moody's adjusted on a two-year average FCF basis) or TU experienced deterioration in liquidity or covenant compliance weakness. Headquartered in N.Y., New York, Univision Communications Inc., is a leading Spanish-language multimedia conglomerate with operations in the US (around 65% of total revenue at LTM March 31, 2025) and Mexico (35%) serving a global audience offering original in-house content production, the largest owned Spanish-language content library, entertainment, news and sports. TU is privately owned with major investors including Grupo Televisa, ForgeLight, Searchlight Capital, Liberty Global and SoftBank. Revenue totaled around $4.9 billion for the twelve months ended March 31, 2025. The principal methodology used in this rating was Media published in June 2021. VICTORY CAPITAL: Moody's Alters Outlook on 'Ba1' CFR to Positive ---------------------------------------------------------------- Moody's Ratings has affirmed the Ba1 corporate family rating, Ba1 senior secured first lien bank credit facility rating and Ba1-PD probability of default rating for Victory Capital Holdings, Inc. (Victory). The outlook was changed to positive from stable. RATINGS RATIONALE The rating's affirmation reflects Victory's solid operating results over the past several quarters. The company has maintained strong profitability, expanded its product portfolio through organic and inorganic investments which together with periodic debt paydowns, have contributed to balance sheet deleveraging. The change in outlook to positive from stable reflects the accretive benefits of the Amundi SA transaction and Moody's expectations of improved credit metrics over the next 12 to 18 months as the new business is integrated into the company's operating results. Together with the reciprocal distribution agreement with Amundi, the new business could drive organic growth, enhance earnings, and support further deleveraging. For the twelve months ending 31 March, Victory's debt-to-EBITDA ratio was 2.3x. Considering cost synergies and estimated earnings from the acquisition of Amundi's US asset management business (which closed on 1 April), financial leverage is expected to decrease to below 2.0x. The partnership with Amundi is projected to yield about $110 million in net cost savings, an increase from the $100 million initially projected. Given Victory's strong track record of successfully integrating new businesses and realizing underwritten cost synergies for large transactions, Moody's considers the execution risks of this transaction to be modest. Victory's Ba1 CFR reflects its modest financial leverage, strong profitability, and solid cash flow generation. However, the rating is constrained by ongoing asset redemptions, earnings sensitivity to broad financial markets, and the company's concentrated exposure to retail distribution channels. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Victory's ratings could be upgraded if net asset inflows result in meaningful organic growth that improves the company's asset resiliency scores; or financial leverage, based on Moody's standard adjustments, is sustained below 2.0 times debt-to-EBITDA; or there is a significant improvement to the company's geographic diversification. Conversely, factors that could result in the return of the outlook back to stable or a ratings downgrade include net client redemptions in excess of 2% of managed assets; or financial leverage, based on Moody's standard adjustments, is sustained above 3.0 times debt-to-EBITDA; or a deterioration in profitability such that GAAP pretax income margins fall below 25%. The principal methodology used in these ratings was Asset Managers published in May 2024. Victory's "Standalone Credit Profile" adjusted score of Ba1 is set three notches below the "Standalone Credit Profile Before Qualitative Notching Factors" of Baa1. This adjustment reflects its weak asset resiliency over the years along with its acquisitive strategy. If the recently closed reciprocal distribution agreement with Amundi works as intended, the notching could narrow. WARD ENTERPRISES: Gary Murphey Named Subchapter V Trustee --------------------------------------------------------- The U.S. Trustee for Region 21 appointed Gary Murphey of Resurgence Financial Services, LLC as Subchapter V trustee for Ward Enterprises Group, Inc. Mr. Murphey 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. Murphey declared that he is a disinterested person according to Section 101(14) of the Bankruptcy Code. The Subchapter V trustee can be reached at: Gary Murphey Resurgence Financial Services, LLC 3330 Cumberland Blvd., Suite 500 Atlanta, GA 30330 Tel: (770) 933-6855 Email: Murphey@RFSLimited.com About Ward Enterprises Group Ward Enterprises Group, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 25-57373) on July 1, 2025. ********* Monday's edition of the TCR delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Monday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR editor holds some position in the issuers public debt and equity securities about which we report. Each Tuesday edition of the TCR contains a list of companies with insolvent balance sheets whose shares trade higher than $3 per share in public markets. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. On Thursdays, the TCR delivers a list of recently filed Chapter 11 cases involving less than $1,000,000 in assets and liabilities delivered to nation's bankruptcy courts. The list includes links to freely downloadable images of these small-dollar petitions in Acrobat PDF format. Each Friday's edition of the TCR includes a review about a book of interest to troubled company professionals. All titles are available at your local bookstore or through Amazon.com. Go to http://www.bankrupt.com/books/to order any title today. Monthly Operating Reports are summarized in every Saturday edition of the TCR. The Sunday TCR delivers securitization rating news from the week then-ending. TCR subscribers have free access to our on-line news archive. Point your Web browser to http://TCRresources.bankrupt.com/and use the e-mail address to which your TCR is delivered to login. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter is a daily newsletter co-published by Bankruptcy Creditors Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Philadelphia, Pa., USA. Randy Antoni, Jhonas Dampog, Marites Claro, Joy Agravante, Rousel Elaine Tumanda, Joel Anthony G. Lopez, Psyche A. Castillon, Ivy B. Magdadaro, Carlo Fernandez, Christopher G. Patalinghug, and Peter A. Chapman, Editors. Copyright 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 ***