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T R O U B L E D C O M P A N Y R E P O R T E R
Wednesday, March 25, 2026, Vol. 30, No. 84
Headlines
1918 CONSTANCE: Amends Lender Secured Claims Pay Details
4 BY 4 BREWING: Gets Final OK to Use Cash Collateral
407 SMILEY: Court Extends Plan Exclusivity to April 30
609 5TH: Seeks Chapter 11 Bankruptcy in New York
63 MILL RIVER: Seeks Chapter 11 Bankruptcy in New York
911 RESTORATION: Gets Interim OK to Use Cash Collateral
ABSOLUTE TRUCK: Gets Interim OK to Use Cash Collateral
ACCORD LEASE: Unsecureds Will Get 10% of Claims over 5 Years
AIR INDUSTRIES: CEO Lou Melluzzo Resigns From All Positions
ALLIED TELECOM: Taps Dundon Advisers as Financial, Sale Advisor
ALLURE IMAGE: Taps Nielsen Valuation Group LLC as Valuation Expert
AMC ENTERTAINMENT: Registers 17.7MM Shares for Selling Stockholders
AXIP ENERGY: Seeks to Retain Ordinary Course Professionals
BARBEQUE EXCHANGE: Gets Interim OK to Use Cash Collateral
BEAZER HOMES: S&P Alters Outlook to Negative, Affirms 'B' ICR
BEYOND MEAT: Delays 2025 10-K Filing Due to Inventory Review
BIA HOSPITALITY: Gets OK to Use Cash Collateral
BIO GYMNASTICS: Court Extends Cash Collateral Access
BIRDSBORO POWER: S&P Rates $325MM Senior Secured Term Loan B
BLINK CHARGING: Delays 10-K Due to Financial Close Process Timing
BLUE BIOFUELS: Reports $2.87 Million Net Loss in 2025
BUSTER SJE: Case Summary & Eight Unsecured Creditors
CALLAWAY ARTS: Case Summary & 20 Largest Unsecured Creditors
CINEMAWORLD OF FLORIDA: Plan Exclusivity Extended to March 31
CINEPLEX INC: Fitch Alters Outlook on 'B' Long-Term IDR to Stable
CITY MASSAGE: Unsecureds Will Get 25% of Claims over 3 Years
CLINTWOOD JOD: Case Summary & 20 Largest Unsecured Creditors
CN HOLDINGS: Case Summary & 20 Largest Unsecured Creditors
CONTEMPORARY MEDICAL: Gets Extension to Access Cash Collateral
DBJ US: Gets Interim OK to Use Cash Collateral
DEL MONTE: Plan Confirmation Hearing Scheduled for May 7
DONNA DISHER: Gets Interim OK to Use Cash Collateral
EDDIE BAUER: Hires RCS Real Estate Advisors as Real Estate Advisor
EDDIE BAUER: Plan Confirmation Hearing Scheduled for April 16
ELECTROCORE INC: Widens Net Loss to $13.97M in 2025
FABRICATION DESIGNS: Case Summary & 20 Top Unsecured Creditors
FAITH ELECTRIC: Trustee Files Restructuring Plan
FELT & FAT: Court Extends Cash Collateral Access to April 10
FERRELLGAS PARTNERS: Converts Class B Units to 6.5MM Class A Units
FIEE INC: Swings to $1.07 Million Net Income in 2025
FINCH THERAPEUTICS: Case Summary & Six Unsecured Creditors
FREIGHT TECHNOLOGIES: Nets $975,000 From Private Placement
FUTURE FINTECH: Narrows Net Loss to $2.75 Million in 2025
GATEKEEPER SECURITY: Taps Fisher Law Offices as Bankruptcy Counsel
GENESIS HEALTHCARE: Disputes Insider-Linked Claims in Bankruptcy
GENTLE DENTAL: Gets Interim OK to Use Cash Collateral
GRIT PRODUCTIONS: Seeks to Extend Plan Exclusivity to July 10
HANSEN-MUELLER CO: Seeks to Extend Plan Exclusivity to July 15
HARVARD APPARATUS: 2025 Net Loss Narrows to $6.87 Million
HEADWAY WORKFORCE: Court Confirms Amended Plan of Reorganization
HECLA MINING: S&P Upgrades ICR to 'BB-' on Improving Cash Flow
HUNTLEY AVENUE: Seeks Cash Collateral Access Thru June 30
INDITEX VENTURES: Seeks to Hire Pendergraft & Simon as Counsel
IVY T. NGO: Azar Loses Bid to Challenge Homestead Exemption
J&B CONSTRUCTION: Gets Final OK to Use Cash Collateral
JW CONSULTING: Gets Interim OK to Use Cash Collateral
K&M JACKSON: Gets Interim OK to Use Cash Collateral
LIVECONNECTIONS.ORG: Gets Interim OK to Use Cash Collateral
LOS ANGELES: Trustee to Appoint Susan Seflin as Chapter 11 Trustee
LUGANO DIAMONDS: Seeks to Extend Plan Exclusivity to July 14
MARE ISLAND: Court Stays Oceanwide Repair Breach of Contract Suit
MARINER 21: Commences Chapter 11 Bankruptcy in New York
MISTER CAR: S&P Affirms 'B' Issuer Credit Rating, Outlook Stable
MONEYGRAM INTERNATIONAL: Moody's Cuts CFR to 'B3', Outlook Stable
MPH RESTAURANTS: Case Summary & Four Unsecured Creditors
MULTI-COLOR CORP: Retains Ernst & Young as Tax Services Provider
MULTI-COLOR CORP: Retains M3 Advisory as Financial Advisor
MULTI-COLOR CORP: Retains Quinn Emanuel Urquhart as Special Counsel
MULTI-COLOR CORP: Seeks to Hire Kurtzman Carson as Advisor
MULTI-COLOR CORP: Taps Cole Schotz as Co-Counsel
MULTI-COLOR CORP: To Retain AlixPartners LLP as Financial Advisor
MULTI-COLOR CORP: To Retain Evercore as Investment Banker
NATIONAL TRANSPORTATION: Case Summary & 20 Top Unsecured Creditors
NETCAPITAL INC: Posts $7.58 Million Nine-Month Net Loss
OAK-EAGLE ACQUIRECO: S&P Assigns (P)'BB' Rating on Sr Sec. Notes
OFFICE PROPERTIES: Enters Committee Settlement; Files Amended Plan
ORANGE COURIER: Court OKs Deal on Cash Collateral Access
PHILLIPS ACRES: Court Extends Cash Collateral Access to March 31
PINE GATE: Plan Exclusivity Period Extended to June 4
PINNACLE GROUP: NYC Joins Tenant Push for Apartment Fixes in Ch. 11
PREMIER DENTAL: Moody's Withdraws 'Caa3' Corporate Family Rating
PRESTIGE HEALTHCARE: Gets Interim OK to Use Cash Collateral
RAPID TEST: Gets Interim OK to Use Cash Collateral
RBS HOME: Seeks Chapter 11 Bankruptcy in Arizona
REALTY-BUY-DESIGN: Gets Interim OK to Use Cash Collateral
RELIZ LTD: Court Stays Dominion Capital Lawsuit Due to Bankruptcy
SANDERS & ASSOCIATES: Gets Interim OK to Use Cash Collateral
SECTION 119: Gets Interim OK to Use Cash Collateral
SERVICE LOGIC: Moody's Withdraws 'B3' Corporate Family Rating
SHOWTIME ACQUISITION: S&P Affirms 'B-' ICR, Alters Outlook to Pos.
SIERRA COMPOUNDING: Section 341(a) Meeting of Creditors on April 16
SOUTH BROADWAY: Court Okays Chapter 11 Trustee's Fee Request
SOUTHWEST FIRE: Court Extends Cash Collateral Access to May 31
SPARHAWK TRUCKING: Wisconsin-based Carrier Seeks Ch.11 Bankruptcy
SUPERIOR METAL: Case Summary & 20 Largest Unsecured Creditors
SWAHILI VILLAGE: Gets Final OK to Use Cash Collateral
SYNIVERSE HOLDINGS: Moody's Cuts CFR to Caa1, Alters Outlook to Neg
TENET HEALTHCARE: Fitch Hikes LongTerm IDR to 'BB', Outlook Stable
TOWER CAPITAL: Seeks Chapter 11 Bankruptcy in Texas
TRI-STATE ENVIRONMENTAL: Case Summary & Three Unsecured Creditors
TRINSEO PLC: Inks SuperPriority Revolver and Debt Facility Waivers
TRY TROUT: Plan Confirmation Hearing Scheduled for June 30
UKG INC: Fitch Affirms 'B+' IDR, Outlook Stable
UNCLE NEAREST: Receiver Wants Chapter 11 Case Tossed
US MAGNESIUM: Junior Creditors Reach Asset Deal with Wells Fargo
USA STAFFING: Affiliate Gets Final OK to Use Cash Collateral
VANKIRK ELECTRIC: Can Assume Rio Point Subcontract Agreement
VERIFONE SYSTEMS: Moody's Alters Outlook on 'B3' CFR to Negative
VOSTOCHNY BAZAAR: Initiates Chapter 11 Bankruptcy in New York
WALKER & DUNLOP: Moody's Affirms 'Ba1' CFR, Outlook Stable
WATCHTOWER FIREARMS: Court Okays Husch Blackwell's Fee Application
WAYNE P. JUSTICE: Case Summary & Nine Unsecured Creditors
WENTHOLD EXCAVATING: Gets Final OK to Use Cash Collateral
WHITEHALL TRUST: Lehigh Wins Bid to Dismiss Bankruptcy Case
WINTER DESERT: Commences Chapter 11 Bankruptcy in Arizona
ZHL SERVICES: Gets Extension to Access Cash Collateral
ZION OIL: Net Loss Rises to $7.63M in 2025, No Revenue
*********
1918 CONSTANCE: Amends Lender Secured Claims Pay Details
--------------------------------------------------------
1918 Constance Street, LLC submitted an Amended Plan of Liquidation
dated March 12, 2026.
The Debtor is a Louisiana limited liability company that was formed
on October 16, 2018. It does not have any employees. Its sole asset
is a residential property located at 1918 Constance Street, New
Orleans, Louisiana.
The property has been completely remodeled and renovated, and
repairs are approximately 95% completed. Property insurance has
been placed by the mortgage lender, 1900 Capital Trust II, by U.S.
Bank Trust National Association, not in Its Individual Capacity but
Solely as Certificate Trustee ("Lender"). The bankruptcy filing was
the result of a foreclosure due to health issues of Michael Baker,
an owner of the Debtor.
The Debtor is liquidating its sole asset and the proceeds from the
sale will pay the Lender in full. The Debtor has no other
creditors.
The Class 1 claim consists of the Secured Claim of Lender and is
fully secured and allowed in the approximate amount of $880,129.96.
The Class 1 Claim shall continue to accrue interest at the
contractual rate of 9.75% until paid in full from the sale of its
collateral. The Class 1 claim is secured by a first mortgage on the
Debtor's property located at 1918 Constance Street, New Orleans,
Louisiana. The Debtor reserves the right to prepay all or any
portion of this claim at any time without penalty.
Lender will retain its lien under Section 1129(b)(2)(A) of the
Bankruptcy Code until the Class 1 Claim is paid in full. The Debtor
will have 210 days after the Effective Date to enter into a valid
agreement for the sale of the Property. The 210-day sale period may
be extended by written consent of Lender.
If the Reorganized Debtor fails to sell the property within 210
days of the Effective Date or a date agreed on by the Parties, the
Class 1 claimant may pursue collection of any unpaid amounts
through the collection provisions of the Lender's Loan Documents.
Holders of Equity Interests shall retain their interest in the
Reorganized Debtor. The holders of Allowed Equity Interests shall
not be entitled to receive any Distribution under the Plan until
all Administrative and Class 1 claims are paid in full.
This Plan will be funded by the sale of the property located at
1918 Constance Street, New Orleans, Louisiana. The Debtor intends
to retain the current owners as management after the Effective
Date. Management will not receive compensation until the property
has been sold and all Administrative and Class 1 Claims are paid in
full. The Debtor does not anticipate any other payments to insiders
in the foreseeable future.
Upon completion of repairs to the property, the Debtor will retain
Ann de Montluzin Farmer of de Montluzin Investments Realtors, LLC,
to serve as broker for the sale of 1918 Constance Street.
A full-text copy of the Amended Liquidating Plan dated March 12,
2026 is available at https://urlcurt.com/u?l=Aprr8K from
PacerMonitor.com at no charge.
Counsel to the Debtor:
Patrick S. Garrity, Esq.
Eric J. Derbes, Esq.
Derbes Law Firm, L.L.C.
3027 Ridgelake Drive
Metairie, LA 70002
Telephone: (504) 207-0913
Facsimile: (504) 832-0327
Email: pgarrity@derbeslaw.com
About 1918 Constance Street
1918 Constance Street is a New Orleans-based construction entity
likely involved in residential building construction (NAICS 2361).
1918 Constance Street sought relief under Subchapter V of Chapter
11 of the U.S. Bankruptcy Code (Bankr. E.D. La. Case No. 25-11438)
on July 9, 2025. In its petition, the Debtor reports estimated
assets and liabilities between $500,000 and $1 million.
Bankruptcy Judge Meredith S. Grabill handles the case.
The Debtors are represented by Patrick S. Garrity, Esq. at The
Derbes Law Firm, LLC.
4 BY 4 BREWING: Gets Final OK to Use Cash Collateral
----------------------------------------------------
The U.S. Bankruptcy Court for the Western District of Missouri,
Springfield Division, entered a final order allowing 4 By 4 Brewing
Company, LLC to use cash collateral.
The court approved the Debtor's use of cash collateral subject to a
strict budget (with up to 10% variance) and ongoing reporting
requirements.
The Debtor owes significant pre-petition debt to Arvest Bank
(multiple loans totaling hundreds of thousands of dollars secured
by equipment, inventory, and other business assets) and the U.S.
Small Business Administration (SBA) (approximately $983,000 secured
by similar assets). These lenders hold valid, perfected liens on
the Debtor's assets, which constitute the "cash collateral." The
Debtor requires use of this collateral to continue operations, and
both lenders consented to the order.
As adequate protection, the Debtor must make monthly payments of
$12,500 to Arvest and $2,000 to SBA, maintain insurance, preserve
assets, and provide financial disclosures. In addition, lenders
receive replacement liens on post-petition collateral and other
protections, while a limited "carve-out" is reserved for
administrative and professional expenses.
The order is effective from February 10 through at least June 15,
unless extended or terminated earlier. It includes detailed default
provisions, under which the Debtor's right to use cash collateral
ends if it violates the terms, fails to make payments, or does not
confirm a plan or complete a sale within 180 days.
About 4 By 4 Brewing Company LLC
4 By 4 Brewing Company, LLC is a craft brewing company based in
Springfield, Missouri, that produces and sells beer through brewery
taprooms in Fremont Hills and Galloway. It operates local brewing
facilities and two on-site taprooms, each with 22 taps, serving
retail customers with house-brewed beers.
4 by 4 Brewing Company sought protection under Chapter 11 of the
Bankruptcy Code (Bankr. W.D. Mo. Case No. 26-60027) on January 15,
2026, listing assets of between $500,001 and $1 million and
liabilities of between $1 million and $10 million.
Judge Brian T. Fenimore oversees the case.
The Desai Law Firm, LLC is proposed as the Debtor's legal counsel.
407 SMILEY: Court Extends Plan Exclusivity to April 30
------------------------------------------------------
The U.S. Bankruptcy Court for the District of Massachusetts granted
in part 407 Smiley Crossing LLC's motion to extend its exclusivity
periods to file a plan of reorganization.
The exclusive period under Section 1121(b) in which only the Debtor
may file a plan of reorganization is extended to April 30, 2026.
The exclusive period under Section 1121(c)(3) in which the Debtor
may obtain acceptances of a plan is extended to June 29, 2026.
As reported by the Troubled Company Reporter on Feb. 19, 2026, the
Debtor asked the Bankruptcy Court to extend its exclusivity periods
to file a plan of reorganization and obtain acceptance thereof to
July 17 and September 17, 2026, respectively.
About 407 Smiley Crossing LLC
407 Smiley Crossing LLC is a single asset real estate company.
407 Smiley Crossing LLC sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Mass. Case No. 25-12486) on Nov. 17,
2025. In its petition, the Debtor reports estimated assets and
liabilities between $10 million and $50 million each.
Bankruptcy Judge Janet E. Bostwick handles the case.
The Debtor is represented by Stephen F. Gordon, Esq. of The Gordon
Law Firm LLP.
609 5TH: Seeks Chapter 11 Bankruptcy in New York
------------------------------------------------
On March 18, 2026, 609 5th Junior Mezz LLC filed for Chapter 11
protection in the U.S. Bankruptcy Court for the Southern District
of New York. According to court filings, the Debtor reports between
$10 million and $50 million in debt owed to 1–49 creditors.
About 609 5th Junior Mezz LLC
609 5th Junior Mezz LLC is a real estate finance entity that likely
holds mezzanine debt or investment interests tied to commercial
property assets, typically structured within layered capital
stacks.
609 5th Junior Mezz LLC sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. Case No. 26-10579) on March 18, 2026. In
its petition, the Debtor reports estimated assets between $50
million and $100 million and estimated liabilities ranging from $10
million to $50 million.
Honorable Bankruptcy Judge Not Yet Disclosed handles the case.
The Debtor is represented by Aaron Slavutin, Esq. of Jacobs P.C.
63 MILL RIVER: Seeks Chapter 11 Bankruptcy in New York
------------------------------------------------------
On March 18, 2026, 63 Mill River Road LLC filed for Chapter 11
protection in the U.S. Bankruptcy Court for the Eastern District of
New York. According to the court filing, the debtor reports between
$1 million and $10 million in debt owed to 1–49 creditors.
About 63 Mill River Road
63 Mill River Road, LLC filed a petition under Chapter 11,
Subchapter V of the Bankruptcy Code (Bankr. E.D.N.Y. Case No.
25-73371) on September 3, 2025, with $1,000,001 to $10 million in
assets and liabilities.
Judge Alan S. Trust presides over the case.
911 RESTORATION: Gets Interim OK to Use Cash Collateral
-------------------------------------------------------
911 Restoration Services of Minneapolis, LLC received interim
approval from the U.S. Bankruptcy Court for the District of
Minnesota to use cash collateral to fund operations.
Under the interim order, the Debtor is authorized to use up to
$52,514.91 in cash collateral, including funds subject to liens
held by the U.S. Small Business Administration, the primary secured
creditor. This interim use is permitted through April 8 in
accordance with financial projections submitted to the court.
The SBA holds a first-priority lien on substantially all of the
Debtor's assets stemming from an $850,600 disaster loan. As of the
filing date, the Debtor owes the SBA approximately $884,700.
As adequate protection, the SBA and other secured creditors will be
granted replacement liens on the Debtor's post-petition assets,
maintaining the same priority as their pre-petition liens.
Additionally, the Debtor must make monthly payments of $4,430 to
the SBA, maintain insurance on collateral, and provide reporting
and inspection access to secured creditors.
The Debtor projects that its total collateral value (cash,
equipment and receivables) will actually increase from roughly
$594,110 at the start of the bankruptcy case to over $720,882 by
June.
The order is available at https://is.gd/HAb40m from
PacerMonitor.com.
A final hearing is scheduled for April 8.
About 911 Restoration Services of Minneapolis
911 Restoration Services of Minneapolis LLC is a restoration
contractor specializing in fire, water, and mold remediation.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Minn. Case No. 26-40768) on March 9,
2026. In the petition signed by Jared Reese, authorized
representative, the Debtor disclosed up to $1 million in both
assets and liabilities.
Cameron Lallier, Esq., at Bassford Remele, A Professional
Association, represents the Debtor as legal counsel.
ABSOLUTE TRUCK: Gets Interim OK to Use Cash Collateral
------------------------------------------------------
The U.S. Bankruptcy Court for the Middle District of Florida,
Jacksonville Division, entered a second interim order granting
Absolute Truck Repair, LLC approval to use cash collateral.
Under the order, the Debtor may use cash collateral to pay
authorized expenses, including U.S. Trustee quarterly fees and
necessary operating expenses listed in the approved budget, with
flexibility of up to 10% variance per budget line item.
The Debtor may also use additional funds if expressly approved in
writing by secured creditor Kalamata Capital Group. Any use of cash
collateral outside these approved purposes is prohibited unless
further authorized by the court.
The six-month budget projects total operational expenses of
$273,131.87.
To protect secured creditors, the court granted replacement liens
on post-petition cash collateral with the same validity and
priority as prepetition liens. The Debtor must comply with all
debtor-in-possession duties, maintain required insurance coverage,
and provide the secured creditor reasonable access to business
records and premises for inspection, provided such access does not
disrupt operations.
A continued hearing is scheduled for May 19.
About Absolute Truck Repair LLC
Absolute Truck Repair, LLC is a Florida-based company specializing
in commercial truck repair and maintenance services.
Absolute Truck Repair filed a petition under Chapter 11, Subchapter
V of the Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-04758) on
December 23, 2025. In its petition, the Debtor listed $100,001 to
$1 million in assets and liabilities.
Honorable Bankruptcy Judge Jacob A. Brown handles the case.
The Debtor tapped Bryan K. Mickler, Esq., at Mickler & Mickler as
counsel and First Coast Tax and Accounting as accountant.
ACCORD LEASE: Unsecureds Will Get 10% of Claims over 5 Years
------------------------------------------------------------
Accord Lease, Inc., submitted a Second Amended Disclosure Statement
in support of Amended Plan dated March 13, 2026.
The Debtor's Plan is a "10%" Plan, which means that all Unsecured
Creditors will be paid 10% of their Allowed Claims within five
years of the Effective Date in bi-annual payments and Secured
Creditors will be paid the allowed amount of their secured claims
over the course of 5 years.
Class 15 consists of the Unsecured Claim Continental Bank in the
amount of $330,310.92. On the initial Distribution Date, this Class
shall receive, in full satisfaction, settlement and release and
discharge of its unsecured claim pro rata receive, in full
satisfaction, settlement and release and discharge of its unsecured
claim will be paid 10 percent of the allowed unsecured claim
payable in bi-annual payments over 5 years. This Class is
impaired.
Class 16 consists of the Unsecured Claim of Daimler Truck Financial
Services in the amount of $910,465.99. On the initial Distribution
Date, this Class shall receive, in full satisfaction, settlement
and release and discharge of its unsecured claim pro rata receive,
in full satisfaction, settlement and release and discharge of its
unsecured claim will be paid 10 percent of the allowed unsecured
claim payable in bi-annual payments over 5 years.
Class 17 consists of the Unsecured Claims of Merchants Bank in the
amount of $98,038.53. On the initial Distribution Date, this Class
shall receive, in full satisfaction, settlement and release and
discharge of its unsecured claim pro rata receive, in full
satisfaction, settlement and release and discharge of its unsecured
claim will be paid 10 percent of the allowed unsecured claim
payable in bi-annual payments over 5 years.
Class 18 consists of the Unsecured Claims of BMO Bank N.A. in the
amount of $386,260.18. On the initial Distribution Date, this Class
shall receive, in full satisfaction, settlement and release and
discharge of its unsecured claim pro rata receive, in full
satisfaction, settlement and release and discharge of its unsecured
claim will be paid 10 percent of the allowed unsecured claim
payable in bi-annual payments over 5 years. This Class is
impaired.
Class 19 consists of the Unsecured Claims of De Lage Landen
Financial Services, Inc. in the amount of $193,527.10. On the
initial Distribution Date, this Class shall receive, in full
satisfaction, settlement and release and discharge of its unsecured
claim pro rata receive, in full satisfaction, settlement and
release and discharge of its unsecured claim will be paid 10
percent of the allowed unsecured claim payable in bi-annual
payments over 5 years. This Class is impaired.
Class 20 consists of the Unsecured Claims of Financial Pacific
Leasing, Inc. in the amount of $33,459.91. On the initial
Distribution Date, this Class shall receive, in full satisfaction,
settlement and release and discharge of its unsecured claim pro
rata receive, in full satisfaction, settlement and release and
discharge of its unsecured claim will be paid 10 percent of the
allowed unsecured claim payable in bi-annual payments over 5 years.
This Class is impaired.
Class 21 consists of the Unsecured Claims of Flagstar Financial &
Leasing in the amount of $34,751.52. On the initial Distribution
Date, this Class shall receive, in full satisfaction, settlement
and release and discharge of its unsecured claim pro rata receive,
in full satisfaction, settlement and release and discharge of its
unsecured claim will be paid 10 percent of the allowed unsecured
claim payable in bi-annual payments over 5 years. This Class is
impaired.
Class 22 consists of the Unsecured Claims of Wells Fargo in the
amount of $50,766.81. On the initial Distribution Date, this Class
shall receive, in full satisfaction, settlement and release and
discharge of its unsecured claim pro rata receive, in full
satisfaction, settlement and release and discharge of its unsecured
claim will be paid 10 percent of the allowed unsecured claim
payable in bi-annual payments over 5 years. This Class is
impaired.
Class 23 consists of the Unsecured Claims of Sumitomo Mitsui
Finance & Leasing in the amount of $93,281.77. On the initial
Distribution Date, this Class shall receive, in full satisfaction,
settlement and release and discharge of its unsecured claim pro
rata receive, in full satisfaction, settlement and release and
discharge of its unsecured claim will be paid 10 percent of the
allowed unsecured claim payable in bi-annual payments over 5 years.
This Class is impaired.
Class 24 consists of the Unsecured Claim of Translease in the
amount of $190,000. On the initial Distribution Date, this Class
shall receive, in full satisfaction, settlement and release and
discharge of its unsecured claim pro rata receive, in full
satisfaction, settlement and release and discharge of its unsecured
claim will be paid 10 percent of the allowed unsecured claim
payable in bi-annual payments over 5 years. This Class is
impaired.
Class 25 consists of the Unsecured Claim of U.S. Bank Equipment
Finance Inc in the amount of $11,722.47. On the initial
Distribution Date, this Class shall receive, in full satisfaction,
settlement and release and discharge of its unsecured claim pro
rata receive, in full satisfaction, settlement and release and
discharge of its unsecured claim will be paid 10 percent of the
allowed unsecured claim payable in bi-annual payments over 5 years.
This Class is impaired.
Class 26 consists of the Unsecured Claim of Commercial Credit Group
Inc. in the amount of $47,750.59. On the initial Distribution Date,
this Class shall receive, in full satisfaction, settlement and
release and discharge of its unsecured claim pro rata receive, in
full satisfaction, settlement and release and discharge of its
unsecured claim will be paid 10 percent of the allowed unsecured
claim payable in bi-annual payments over 5 years. This Class is
impaired.
Class 27 consists of the General Unsecured Claims of Accord Lease,
Inc. in the amount of $308,572.03. On the initial Distribution
Date, this Class shall receive, in full satisfaction, settlement
and release and discharge of its unsecured claim pro rata receive,
in full satisfaction, settlement and release and discharge of its
unsecured claim will be paid 10 percent of the allowed unsecured
claim payable in bi-annual payments over 5 years. This Class is
impaired.
As described, (a) Administrative Claims will be paid from the
Debtor's cash on hand and future operations; (b) secured Classes
will be paid from the Debtor's cash on hand and future earnings;
(c) priority Classes will be paid from the funds on hand and in
some cases from future earnings; and (d) unsecured Classes from the
Debtor's future operations. In addition, the New Value Contribution
may be used to fund Plan payments.
A full-text copy of the Second Amended Disclosure Statement dated
March 13, 2026 is available at https://urlcurt.com/u?l=28LeV7 from
PacerMonitor.com at no charge.
Counsel to the Debtor:
O. Allan Fridman, Esq.
555 Skokie Blvd., Suite 500
Northbrook, IL 60062
Tel: (847) 412-0788
Email: allan@fridlg.com
About Accord Lease Inc.
Accord Lease Inc. operates an automotive leasing and renting
business in Elgin, Ill.
Accord Lease filed Chapter 11 petition (Bankr. N.D. Ill. Case No.
24-16518) on November 1, 2024, listing total assets of $3,773,857
and total liabilities of $5,800,404. Igor Tsapar, president of
Accord Lease, signed the petition.
Judge David D. Cleary handles the case.
O. Allan Fridman, Esq., at the Law Office of O. Allan Fridman, is
the Debtor's legal counsel.
BMO Bank N.A., as lender, is represented by:
James P. Sullivan, Esq.
Chapman and Cutler, LLP
320 South Canal Street
Chicago, IL 60606
Tel: 312.845.3000
jsullivan@chapman.com
AIR INDUSTRIES: CEO Lou Melluzzo Resigns From All Positions
-----------------------------------------------------------
Air Industries Group disclosed in a regulatory filing that Mr. Lou
Melluzzo resigned from his positions as Chief Executive Officer and
President, and from all other positions he held within the Company
and its subsidiaries.
Mr. Melluzzo's resignation was not due to any disagreement with the
Company relating to any matter relating to the Company's
operations, policies or practices, financial or otherwise.
A full text copy of the Separation and Release Agreement dated
March 13, 2026, between Air Industries Group and Mr. Lou Melluzzo
is available at https://tinyurl.com/bds5p9wr
About Air Industries
Air Industries Group, headquartered in Bay Shore, New York,
manufactures precision components and assemblies for the aerospace
and defense industry, supplying parts such as landing gear, flight
controls, and engine mounts for military and commercial aircraft as
well as ground turbines. Its products are used in programs
including the F-18 Hornet, E-2 Hawkeye, UH-60 Black Hawk, F-35
Lightning II, F-15 Eagle, and Airbus A220, with customers spanning
U.S. and international governments and global airlines. The
Company operates two manufacturing centers in the U.S.
In its audit report dated April 15, 2025, Marcum LLP included a
"going concern" qualification noting that the Current Credit
Facility expires on Dec. 30, 2025. In addition, the Company is
required to maintain a collection account with its lender into
which substantially all the Company's cash receipts are remitted.
If the Company's lender were to cease lending and keep the funds
remitted to the collection account, the Company would lack the
funds to continue its operations. The Current Credit Facility
expiration date and the rights granted to the lender, combined with
the reasonable possibility that the Company might fail to meet
covenants in the future, raise substantial doubt about its ability
to continue as a going concern.
As of September 30, 2025, debt under the Current Credit Facility
and Related Party Subordinated Notes approximates $26,827,000. The
Current Credit Facility is scheduled to expire on December 30,
2025, and the Related Party Subordinated Notes mature on June 30,
2026. These obligations are classified as current liabilities on
the condensed consolidated balance sheet as of September 30, 2025.
As a result of the aforementioned and rights that the Company's
Current Credit Facility lender could exercise, there is substantial
doubt about the Company's ability to continue as a going concern
for the next 12 months.
The Company is actively engaged in constructive discussions with
all lenders regarding potential refinancing or extension of these
obligations. While these discussions have been professional and
remain ongoing, there can be no assurance that agreements will be
reached with existing lenders or through alternative financing
sources.
As of September 30, 2025, the Company had $57,951,000 in total
assets, $39,108,000 in total liabilities, and $18,843,000 in total
stockholders' equity.
ALLIED TELECOM: Taps Dundon Advisers as Financial, Sale Advisor
---------------------------------------------------------------
Allied Telecom Group, LLC seeks approval from the U.S. Bankruptcy
Court for the District of Columbia to hire Dundon Advisers LLC to
serve as its financial, marketing, and sale advisor.
The firm will provide these services:
(a) manage a marketing and sale of the Debtor's assets (which is
expected to be the primary focus of the engagement);
(b) prepare valuation analysis, prepare relevant presentation
materials, identify prospective purchasers of the Debtor's assets,
evaluate potential transactions, and negotiate the financial
aspects of any transaction involving the Debtor's assets;
(c) Customary responsibilities of a financial advisor to a debtor
under Chapter 11 of the Bankruptcy Code as specifically directed by
the Debtor, including preparation of monthly operating reports,
cash flow forecasts, and other required financial reporting;
(d) perform such other services as requested by the Debtor and
agreed to by Dundon;
(e) provide testimony and affidavits as required relating to the
foregoing; and
(f) do each of the foregoing in cooperation with, and without
duplication of, the services provided by the Debtor's other
professionals.
Dundon Advisers LLC will be compensated based on a hybrid fee
structure, including a non-refundable initial retainer fee of
$50,000, hourly rates ranging from $350 to $495, and certain
transaction-based fees, including a $250,000 363 transaction fee, a
$250,000 restructuring fee, a DIP financing fee of 5% of gross
proceeds, and 33% of any breakup fee, subject to court approval.
The Debtor will also reimburse reasonable and documented
out-of-pocket expenses.
Dundon Advisers LLC is a "disinterested person" within the meaning
of Section 101(14) of the Bankruptcy Code, according to court
filings.
The firm can be reached at:
Joshua Nahas
Dundon Advisers LLC
Suite 100
10 Bank Street
White Plains, NY 10606
Telephone: (917) 650-2968
About Allied Telecom Group
LLC
Allied Telecom Group, LLC provides Internet access and data
transport services to business, nonprofit, educational, and
government customers, focusing on last-mile connectivity, wide-area
network transport, and cloud and data center interconnection. The
Washington, D.C.-based company operates as a local exchange carrier
serving the District of Columbia, Maryland, and Virginia, and also
offers managed IT and network security services such as firewall
protection, intrusion detection, network monitoring, and disaster
recovery planning. Allied Telecom Group serves a customer base of
about 1,200 organizations across the public and private sectors,
including federal, state, and local government agencies and
educational institutions.
Allied Telecom Group sought relief under Chapter 11 of the
Bankruptcy Code filed its voluntary petition for Chapter 11
protection (Bankr. D. Colo. Case No. 25-00599) on Dec. 23, 2025,
listing $1 million to $10 million in assets and $10 million to $50
million in liabilities. Ken Williams, as designated officer,
signed
the petition.
Judge Elizabeth L. Gunn oversees the case.
Hunton Andrews Kurth, LLP serves as the Debtor's legal counsel.
ALLURE IMAGE: Taps Nielsen Valuation Group LLC as Valuation Expert
------------------------------------------------------------------
Allure Image Enhancement, a Medical Corporation seeks approval from
the U.S. Bankruptcy Court to hire Christoffer C. Nielsen of Nielsen
Valuation Group LLC to serve as business valuation expert for the
estate.
Mr. Nielsen will prepare a valuation report of the fair market
value of the Debtor’s business and all assets;
The firm will receive a flat fee of $7,500 for the preparation of
the valuation report.
Nielsen Valuation Group LLC is a "disinterested person" within the
meaning of Section 101(14) of the Bankruptcy Code, according to
court filings.
The firm can be reached at:
Christoffer C. Nielsen
NIELSEN VALUATION GROUP LLC
7201 Ranch Road 2222
Austin, TX 78730
About Allure Image Enhancement
Allure Image Enhancement, A Medical Corporation operates as a
medical spa in Upland, California, offering services in body
sculpting, health and wellness, injectables, intimate procedures,
laser treatments, regenerative medicine, skin resurfacing, skin
tightening, and spa treatments. The Company provides aesthetic and
therapeutic treatments at its facility on 188 N. Euclid Avenue,
Suite 100, serving clients seeking cosmetic and wellness services
in the region.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. C.D. Calif. Case No. 25-18667) on December
1, 2025, with $621,870 in assets and $1,930,887 in liabilities.
Mina Joy Grasso, chief executive officer, signed the petition.
Judge Scott H. Yun presides over the case.
Matthew D. Resnik, Esq., at RHM Law, LLP represents the Debtor as
bankruptcy counsel.
AMC ENTERTAINMENT: Registers 17.7MM Shares for Selling Stockholders
-------------------------------------------------------------------
AMC Entertainment Holdings, Inc. disclosed in a regulatory filing
that it filed a Prospectus Supplement to its existing effective
shelf registration statement on Form S-3 (File No. 333-293291)
registering the resale by the selling stockholders of up to
17,739,549 shares of the Company's Class A common stock, $0.01 par
value per share, under the Securities Act of 1933, as amended.
The Selling Stockholders are Carronade Capital Master, LP,
Crown/Carronade Segregated Portfolio, Carronade Capital Master
Concentrated Fund I, LP, FFI Fund Ltd., FYI Ltd., Olifant Fund,
Ltd., Deutsche Bank Securities Inc., Mycor L/S Credit Master Fund,
LP, and Mycor Liquid Credit Master Fund, LP.
The Company will not receive any proceeds from the sale of the
Shares by the selling stockholders.
A full text copy of the Prospectus Supplement is available at
https://tinyurl.com/bddkubbj, and a copy of Weil, Gotshal & Manges
LLP.'s opinion regarding the validity of the Shares is available at
https://tinyurl.com/yn67vaac
About AMC Entertainment
AMC Entertainment Holdings, Inc., is engaged in the theatrical
exhibition business. It operates through theatrical exhibition
operations segment. It licenses first-run motion pictures from
distributors owned by film production companies and from
independent distributors. The Company also offers a range of food
and beverage items, which include popcorn; soft drinks; candy;
hotdogs; specialty drinks, including beers, wine and mixed drinks,
and made to order hot foods, including menu choices, such as curly
fries, chicken tenders and mozzarella sticks.
As of December 31, 2025, the Company had $8,017.8 million in total
assets, $9,912.6 in total liabilities, and $1,894.8 in total
stockholders' deficit.
* * *
In October 2025, Moody's Ratings assigned Caa2 ratings to AMC
Entertainment Holdings, Inc.'s new Senior Secured First-Lien Notes
due 2029 (1.5 Notes). Moody's downgraded Muvico, LLC's (Muvico)
Backed Senior Secured Second-lien Notes (Existing Exchangeable
Notes) rating to Caa3 from Caa2. Moody's affirmed AMC's Caa2
Corporate Family Rating and Caa2-PD Probability of Default Rating,
and all other instrument ratings including the B3 on the Senior
Secured First-Lien Term Loan at AMC (AMC TL) which is co-borrower
with Muvico, the B3 on the Backed Senior Secured First-Lien Notes
rating at Odeon Finco PLC (Odeon) (Odeon Notes), the Caa3 rating on
the Senior Secured First-Lien Notes (7.5% Notes) at AMC, and the Ca
rating on the Senior Subordinated Notes (Sub Notes) of AMC. AMC's
Speculative Grade Liquidity Rating (SGL) remains unchanged at
SGL-4. The outlook for all Companys remains stable.
In July, the Company announced [1] that it entered into a
Transaction Support Agreement with key creditor groups, including
certain holders of its 7.5% Notes, certain holders of Muvico
Existing Exchangeable Notes, and certain lenders representing AMC's
TL outstanding under its existing credit agreement. In connection
with the agreement, (1) Muvico issued new $194 million (now with
$154 million outstanding) 6.00%/8.00% Senior Secured Second-Lien
Exchangeable Notes due 2030 (New Exchangeable Notes, unrated) which
have a 1.25 lien claim on Muvico assets, effectively a second lien,
and (2) AMC issued the 1.5 Notes comprised of approximately $267.0
million of incremental new money financing and an exchange of
$590.0 million of 7.5% Notes for a total of approximately $857
million. These lenders have a 1.5 lien on Muvico assets,
effectively third claim priority behind the New Exchangeable Notes
at Muvico.
As a result of the transaction, the 7.5% Notes (with a pro forma
debt principal amount totaling approximately $360 million), which
did not participate in the exchange for the 1.5 Notes, retained
existing terms and conditions (e.g. notably, no lien on Muvico
assets) and therefore have lower recovery prospects relative to the
New Exchangeable Notes (which have a 1.25 lien on Muvico). In
addition, Moody's rank the Existing Exchangeable Notes (with
approximately $108 million outstanding) that did not participate in
the exchange behind the New Exchangeable Notes and the 1.5 Notes
due to a change in the definition of permitted liens to allow
superior liens. Moody's expects the New Exchangeable Notes to be
fully extinguished in the near term (in a stock exchange) when
certain conditions are met (e.g. company stock price reaches a
pre-determined level and noteholders elect to exchange).
AXIP ENERGY: Seeks to Retain Ordinary Course Professionals
----------------------------------------------------------
Axip Energy Services, LP seeks approval from the U.S. Bankruptcy
Court for the Southern District of Texas to retain various Ordinary
Course Professionals (OCPs).
The OCPs include:
Tier 1:
BDO USA, P.C.
330 North Wabash Avenue, Suite 3200, Chicago, IL 60611
-- Tax and Financial Advisory
Tier 2:
KE Andrews
2424 Ridge Road, Rockwall, TX 75087
-- Tax Advisory
Foley & Lardner LLP
777 East Wisconsin Avenue
Milwaukee, WI 53202
-- Legal Services
Ryan LLC
8101 Windrose Avenue, Suite 2000, Plano, TX 75024
-- Tax Advisory
Fong Ilagan, LLP
6588 Corporate Drive, Suite 300, Houston, TX 77036
-- Legal Services
Porter Hedges LLP
1000 Main Street, Floor 36, Houston, TX 77002
-- Legal Services
Prime Capital
6201 College Boulevard, Suite 150, Overland Park, KS 66211
-- Investment Advisory
Scheef & Stone LLP
500 North Akard Street, Suite 2700, Dallas, TX 75201
-- Legal Services
Weaver & Tidwell LLP
4400 Post Oak Parkway, Suite 1100, Houston, TX 77027
-- Tax Advisory
The OCPs' fees are subject to monthly caps: Tier 1 OCPs may not
exceed $150,000 per month on average over a rolling three-month
period, and Tier 2 OCPs may not exceed $50,000 per month on average
over a rolling three-month period (excluding costs and reimbursable
expenses).
The OCPs are required to file a Declaration of Disinterestedness,
stating they do not have any material interest adverse to the
Debtors or their estates.
About Axip Energy Services LP
Axip Energy Services, LP is a provider of natural gas contract
compression services.
Axip Energy Services sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. S.D. Tex. Case No. 26-90338) on February
22, 2026. In the petition signed by Ben Chesters, chief
restructuring officer, the Debtor disclosed up to $500 million in
both assets and liabilities.
Judge Christopher M. Lopez oversees the case.
Paul E. Heath, Esq., at Vinson & Elkins LLP represents the Debtor
as counsel. Epiq Corporate Restructuring, LLC is the Debtors'
claims, noticing, and solicitation agent.
BARBEQUE EXCHANGE: Gets Interim OK to Use Cash Collateral
---------------------------------------------------------
The Barbeque Exchange, L.L.C. received interim approval from the
U.S. Bankruptcy Court for the Western District of Virginia to use
cash collateral to fund operations.
The court authorized the Debtor to use cash and cash equivalents in
accordance with its budget through the conclusion of the final
hearing.
The final hearing will take place on April 8.
The U.S. Small Business Administration and 10 other lenders will be
granted protection through replacement liens on or interests in all
post-petition deposit accounts, accounts receivable and inventory
of the Debtor, with the same validity and priority as their
pre-bankruptcy liens.
A central and contentious part of the Debtor's bid to use cash
collateral involves recharacterization of its agreements with
merchant cash advance providers, including Fox Funding Group, Kash
Advance, LLC, QFS Capital, LLC, Seamless Funding, LLC, and Windgate
Cap, LLC. While these MCA providers claim to have "purchased"
future receipts, the Debtor claims that these transactions are
disguised loans.
Using a multifactor legal test, the Debtor asserts that these
agreements require "guaranteed repayment" through personal
guaranties, confessions of judgment, and blanket security
interests—hallmarks of debt rather than a true sale of assets.
The Debtor wants these MCA providers treated as secured lenders
rather than owners of its accounts receivable, allowing it to use
that money to fund its daily operations.
About The Barbeque Exchange
The Barbeque Exchange, L.L.C. is a barbecue restaurant in
Gordonsville, Virginia, that also offers catering. It serves
hickory-smoked and slow-roasted meats like pork shoulders,
spareribs, chicken, brisket, and pork belly, along with sides such
as Brunswick stew, baked beans, collard greens, and freshly baked
breads, plus sandwiches, salads, and desserts. The restaurant has a
rustic, family-friendly atmosphere and welcomes both locals and
visitors.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. W.D. Va. Case No. 26-60291) on March 10,
2026. In the petition signed by Craig A. Hartman, Sr., member, the
Debtor disclosed up to $500,000 in assets and up to $10 million in
liabilities.
Judge Rebecca B. Connelly oversees the case.
David Cox, Esq., at Cox Law Group, represents the Debtor as
bankruptcy counsel.
BEAZER HOMES: S&P Alters Outlook to Negative, Affirms 'B' ICR
-------------------------------------------------------------
S&P Global Ratings affirmed all the ratings on Atlanta-based Beazer
Homes USA Inc. (BZH), including the 'B' issuer credit rating, and
revised the outlook to negative from stable. At the same time, S&P
affirmed the issue-level rating on its senior unsecured notes of
'B'. The recovery rating remains '3'.
The negative outlook reflects rolling-12-months leverage above
S&P's 7x debt-to-EBITDA downgrade threshold after first-quarter
earnings. S&P does not forecast deleveraging below that threshold
over the next six months.
BZH deleveraging remains contingent on improved operating
performance in the second half of fiscal 2026 amid home-buying
consumer hesitancy, with leverage pushed well above our forecast of
5x-6x.
S&P said, "We now expect leverage of approximately 7x, which leaves
no cushion in our downside scenario of a leverage above 7x on a
sustained basis.
"We now expect S&P Global Ratings-adjusted leverage of about 7x at
fiscal year-end 2026. This is contingent on improved operating
performance in the second half and provides little to no cushion at
the rating. The negative outlook reflects this amid
longer-than-anticipated macroeconomic headwinds. We forecast BZH's
fiscal 2026 EBITDA will be at or above $155 million, down from our
previous expectations of $200 million, and debt to EBITDA of
roughly 7x by Sept. 30, 2026. If the company cannot deleverage
through improved earnings in its fiscal third and fourth quarters,
we believe leverage and interest coverage ratios would be elevated
for a 'B' rating.
"We believe BZH will maintain a prudent financial policy, utilizing
internally generated cash to fund organic growth, acquisitions, and
shareholder distributions. It has the ability to manage seasonal
working capital and discretionary cash flows to reduce the
outstanding balances on its $525 million revolving credit facility
by fiscal year-end. Our base-case scenario incorporates share
repurchases of $72 million over the next nine months and no
additional material acquisitions." Albeit, as BZH has limited
headroom against the difficult macroenvironment for the
homebuilding sector, and if margins remain compressed, there is no
cushion for further deterioration in profitability metrics at the
current rating.
Operating performance will show signs of improvement in the second
half. Although gross and EBITDA margins have recently been
pressured, community openings with heavier weighting toward
built-to-order homes and higher average selling prices can offset
profitability metric pressure amid the affordability challenges and
weaker demand. Additionally, S&P believes BZH will end the year
with EBITDA margins of approximately 6%, relatively flat year over
year despite homebuilding revenue being up 5%-10% and land sale
revenue up exponentially.
Increased homebuilding revenue is a result of flat year-over-year
deliveries per community per month, an increase in annual average
community count of 2%-3% to approximately 170, and a 5% increase in
average selling price. S&P said, "With the expected timing and
growth of community count openings over the next six months, we
believe BZH's fiscal second quarter will be muted. Performance
improvement will be weighed toward its third and fourth quarters,
which is typical for Beazer's earning cycle and most homebuilders.
We also believe sales concessions can help limit order
cancellations and spur much slower overall home demand. Ultimately,
our forecast for EBITDA is well below our prior forecasts."
BZH's capital structure and liquidity position allow a focus on
operational execution. S&P said, "We forecast liquidity sources to
cover uses by well over 1.2x and interest coverage ratios to
improve toward 2x over the next 12 months. As such, we will
continue to assess the company's liquidity position as adequate and
do not foresee covenant breaches. BZH has a material debt maturity
of $357 million in October 2027, and we assume it can refinance the
senior unsecured notes before that. Because BZH has financial
flexibility and no near-term need to refinance, we believe it will
refinance when the opportunity is available."
The negative outlook on BZH reflects S&P's expectation that over
the next 12 months S&P Global Ratings-adjusted debt to EBITDA will
be about 7x and EBITDA to interest coverage of about 2x.
S&P could lower the rating over the next 12 months if:
-- It sustains S&P Global Ratings-adjusted leverage above 7x. This
could occur from operating performance below our expectations such
that EBITDA declines to below $150 million; or
-- S&P believes the company's liquidity position or interest
coverage ratio becomes more constrained or weakens below 2x on a
sustained basis.
S&P could revise the outlook to stable over the next 12 months if:
-- Home closings and operating performance outpace S&P's forecast;
and
-- EBITDA growth leads to leverage comfortably below 7x and EBITDA
interest coverage of 2x.
BEYOND MEAT: Delays 2025 10-K Filing Due to Inventory Review
------------------------------------------------------------
Beyond Meat, Inc. disclosed in a regulatory filing that it is
unable to file its Annual Report on Form 10-K for its fiscal year
ended December 31, 2025, within the time period prescribed for such
report without unreasonable effort or expense.
As previously disclosed in its press release dated March 16, 2026,
the Company requires additional time to complete a review and
analysis related to its inventory balances, including amounts
recorded for the provision of excess and obsolete inventory. The
Company continues to work diligently to complete its fourth quarter
and full year financial close procedures and has not yet made a
determination regarding the potential impact on its financial
statements. The Company currently expects to finalize its review of
this matter and file its Annual Report on Form 10–K no later than
March 31, 2026; however, the timing of the filing may be subject to
further delay, and the Company cannot provide assurance regarding
the definitive filing date while this work remains in progress.
In addition, the Company expects to report that a material weakness
in the Company's internal control over financial reporting existed
as of December 31, 2025, related to controls associated with the
accounting for its inventory provision. As a result of the expected
and previously identified material weaknesses, the Company believes
that its internal control over financial reporting was not
effective, and its disclosure controls and procedures were not
effective, as of December 31, 2025. The Company is reviewing its
internal control procedures and is in the process of developing a
remediation plan.
A full text copy of the Company's press release is available at
https://tinyurl.com/trek74p2
About Beyond Meat
Beyond Meat, Inc. (NASDAQ: BYND) is a leading plant-based meat
company offering a portfolio of revolutionary plant-based meats
made from simple ingredients without GMOs, no added hormones or
antibiotics, and 0mg of cholesterol per serving. Founded in 2009,
Beyond Meat products are designed to have the same taste and
texture as animal-based meat while being better for people and the
planet. Beyond Meat's brand promise, Eat What You Love(R),
represents a strong belief that there is a better way to feed our
future and that the positive choices we all make, no matter how
small, can have a great impact on our personal health and the
health of our planet. By shifting from animal-based meat to
plant-based protein, we can positively impact four growing global
issues: human health, climate change, constraints on natural
resources and animal welfare.
As of September 27, 2025, the Company had $599.7 million in total
assets, $1.4 billion in total liabilities, and $784.1 million in
total stockholders' deficit.
BIA HOSPITALITY: Gets OK to Use Cash Collateral
-----------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York,
Poughkeepsie Division issued an order authorizing Bia Hospitality,
LLC to use cash collateral.
The Debtor is permitted to use cash collateral in accordance with a
court-approved budget.
At the time of the bankruptcy filing, the Debtor owed about
$63,449.16 to Bank of Greene County under two secured notes and
about $105,620 to the U.S. Small Business Administration under
another secured note, all backed by substantially all of the
Debtor's assets, including equipment, accounts, and inventory.
The Debtor believes that the existence of the automatic stay under
Section 362 of the Bankruptcy Code and the Debtor's use of cash
collateral are not decreasing the value of the liens held by the
BOGC and the SBA. The Debtor is no longer operating and is seeking
approval of the sale of substantially all of its assets. In the
meantime, the Debtor will maintain insurance on its assets.
Since the Debtor has ceased operations, a monthly adequate
protection payment is not feasible.
About Bia Hospitality LLC
Bia Hospitality, LLC operates a fine dining restaurant.
Bia Hospitality sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. S.D. N.Y. Case No. 26-35165) on February
17, 2026, with up to $50,000 in assets and $100,001 to $500,000 in
liabilities.
Judge Kyu Young Paek oversees the case.
Michelle L Trier at Genova, Malin & Trier, LLP represents the
Debtor as legal counsel.
BIO GYMNASTICS: Court Extends Cash Collateral Access
----------------------------------------------------
The U.S. Bankruptcy Court for the Northern District of Georgia,
Gainesville Division, issued a seventh interim order authorizing
BIO Gymnastics and Athletics Unlimited, LLC to continue using cash
collateral.
The seventh interim order authorized the Debtor to use cash
collateral based on the budget filed with the court to fund
operations from March 10 through May 5.
The interim order granted Tandem Bank and merchant cash advance
lenders valid and properly perfected liens on all property acquired
by the Debtor after the petition date similar to their
pre-bankruptcy collateral. These liens do not apply to any Chapter
5 avoidance actions.
As additional protection, the Debtor was ordered to pay $6,500 to
Tandem Bank this month and by April 18; and $3,894 to SBA by March
25 and April 25.
The next hearing is scheduled for May 5.
Tandem Bank asserts a first priority lien and interest in the
Debtor's assets based on the loan it provided to the Debtor in the
principal amount of $730,000. Meanwhile, the Debtor owed $410,960
to the MCA lenders as of the petition date.
Tandem Bank is represented by:
Leslie M. Pineyro, Esq.
Jones & Walden, LLC
699 Piedmont Avenue, NE
Atlanta, GA 30308
(404) 564-9300
lpineyro@joneswalden.com
About BIO Gymnastics and Athletics Unlimited
BIO Gymnastics and Athletics Unlimited, LLC sought protection under
Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No.
25-20676) on May 14, 2025.
Judge James R. Sacca presides over the case.
Antoinette C. Martin, Esq., at ACM Law Group, P.C., represents the
Debtor as legal counsel.
BIRDSBORO POWER: S&P Rates $325MM Senior Secured Term Loan B
------------------------------------------------------------
S&P Global Ratings assigned its 'BB-' rating to Birdsboro Power
LLC's (Birdsboro) $325 million senior secured term loan B (TLB).
The recovery rating is '2'.
The company used the proceeds to repay its existing $210 million of
debt outstanding and pay approximately $110 million in
distributions to owners, along with transaction fees.
S&P said, "Based on our view of industry factors such as power
demand and the pace and magnitude of the retirement of uneconomic
units, as well as commodity and capacity pricing, we forecast
Birdsboro will achieve a debt service coverage ratio (DSCR) of
about 2x or higher during the TLB period. Our minimum DSCR of 1.47x
occurs in the refinancing period, when we assume a fully amortizing
structure where the debt is repaid by the end of the project's
assumed asset life (2046) at higher interest costs.
"The '2' recovery rating indicates our expectation for meaningful
(80% rounded estimate) recovery in a hypothetical default
scenario.
"The stable outlook on Birdsboro's senior debt reflects our
expectation for robust cash flow over the next 12-24 months because
of our assumption of higher forward power prices, higher cleared
Pennsylvania-New Jersey-Maryland Interconnection (PJM) capacity
prices, and our assumptions of capacity factors of 80%-85% in the
near term. Based on these assumptions, we project a total TLB
balance of $160 million-$165 million at maturity in 2032."
Birdsboro is a 485-megawatt (MW) natural gas-fired 1x1
combined-cycle plant located in Birdsboro Borough, Penn., in the
METED (Mid-Atlantic) subregion of PJM. Birdsboro achieved
commercial operations on May 30, 2019. The project is equally owned
among funds advised by Strategic Value Partners (SVP; 33.3%; not
rated), Tokyo Gas (33.3%; A+/Stable), and Sojitz (33.3%;
BBB/Stable), where SVP is the managing partner.
S&P said, "The final terms of the issuance are commensurate with
our 'BB-' issue-level rating. The TLB size of $325 million and
pricing at SOFR + 325 basis points (bps) is in line with our
expectations under the preliminary rating. Additionally, the
parameters of the leveraged-based sweep also remain unchanged."
As contemplated, the terms still allow for tax distributions,
capped at $5 million annually, that precede the cash flow sweep.
Birdsboro can also opt to hold back an additional $1 million from
the sweep formulation over the life of the TLB, but this amount
cannot be distributed and, given that it is minimal, S&P does not
view this as material.
Although the project is allowed to raise incremental debt, this
debt is subject to a rating reaffirmation and, as such, is not
included in our base case. Overall, the final credit and
organizational documents generally provide for a typical
project-finance structure, and unanimous consent from the multiple
owners is required for many key decisions, including the
commencement of bankruptcy proceedings at the project.
S&P said, "The minimum DSCR marginally improved due to increased
cleared and assumed capacity prices. Since the preliminary rating,
we received capacity results for the 2027/2028 auction year, which
once again cleared at the cap set by the PJM due to the tight
supply and demand balance in the region, primarily stemming from
data center expansion and unit retirements.
"The cleared price of about $333 per megawatt-day (/MW-day) was
higher than our $275/MW-day assumption. Therefore, we raised our
capacity price assumptions for the remainder of the TLB period in
response. Our price assumptions are held at the cap through
2029/2030, then $275/MW-day in 2030/2031, $225/MW-day in 2031/2032,
and $175/MW-day in 2032/2033, then escalate thereafter along with
inflation.
"The increase in capacity revenues results in higher cash flow
sweeps over the life of the TLB, reducing debt at maturity and
improving the minimum DSCR during the refinancing phase, where we
assume a sculpted, fully amortizing debt repayment profile. We note
the nature of the sweep mechanism, where the percentage of excess
cash flow swept steps down based on predefined leverage levels,
drives the relatively marginal improvement in the minimum DSCR
despite the material increase in excess cash flow available to be
swept.
"Although we have not received an update on the plant's operations
over the remainder of 2025, we have received the project's
unaudited third-quarter financials, with earnings demonstrating
favorability over the prior year period primarily due to higher
capacity revenues and energy margin. Additionally, the project has
layered on incremental hedges for 2026 ranging from 50-275 MW at an
average spark spread of about $23/MWh. To the extent the plant
maintains stable operations, we believe these hedges increase cash
flow visibility and bolster gross margin."
S&P said, "The recovery rating of '2' reflects capacity price
improvement. Driving the improvement in the recovery score is the
increase in capacity prices, which benefits both our base case and
downside forecast. This increase translates to increased excess
cash flow swept against the TLB in our downside case, which results
in a lower debt balance at the project's hypothetical date of
default. Note our assumed distressed valuation remains unchanged.
"The stable outlook on Birdsboro's debt reflects our expectation
for robust cash flow over the next 12-24 months because we
anticipate higher forward power prices, higher cleared PJM capacity
prices, and capacity factors of 80%-85% in the near term. We expect
the project will achieve DSCRs at or above 2x during the TLB
period.
"In the post-TLB period, we expect the portfolio's cash flow will
gradually decline because we assume Birdsboro will become less
competitive with the entry of more efficient technology and
renewable generation, reducing production and cash flow. Our
minimum DSCR of 1.47x occurs after the TLB period, when we assume a
fully amortizing structure at a relatively higher interest
margin."
S&P could lower its rating on Birdsboro's debt if the minimum DSCR
declines to less than 1.40x on a sustained basis due to:
-- Higher-than-expected operating outages, reduced utilization,
and performance penalties;
-- Lower-than-expected realized energy margins or weaker demand
because of a less favorable market outlook; or
-- Higher-than-expected operating costs and major maintenance
expenses leading to reduced cash flows.
It is unlikely that S&P raises the debt rating in the near term due
to the single-asset nature of the project and limited operating
redundancy. S&P could raise the rating if:
-- S&P expects the project will maintain a minimum base-case DSCR
greater than 1.80x in all years, including the post-refinancing
period; and
-- S&P has a qualitative view that the project can be rated in the
'BB' category given its single-asset nature and exposure to
inherent power price volatility, operational risk, and refinancing
risk.
S&P would expect such outcomes to occur if the project's financial
performance and debt repayment well exceed its forecast on a
sustained basis. This could be due to factors such as improved
energy margins, higher dispatch, and substantially improved
capacity pricing, leading to lower-than-expected debt outstanding
at the time of the TLB's maturity, as well as a track record of
decreasing debt per kilowatt.
BLINK CHARGING: Delays 10-K Due to Financial Close Process Timing
-----------------------------------------------------------------
Blink Charging Co. disclosed in a regulatory filing that it has
determined that it was not able to file its Annual Report on Form
10-K for its fiscal year ended December 31, 2025 by March 16, 2026,
the original due date for such filing, without unreasonable effort
or expense, due to delays in reporting matters included in the Form
10-K resulting primarily from additional time required for the
Company to complete the documentation in the financial statement
close process.
The Company expects to file the Form 10-K within the extension
period of 15 calendar days, as provided under Rule 12b-25 under the
Securities Exchange Act of 1934.
About Blink Charging
Blink Charging Co., through its wholly-owned subsidiaries, is an
owner, operator and provider of electric vehicle charging equipment
and networked EV charging services in the rapidly growing U.S. and
international markets for EVs. Blink offers residential and
commercial EV charging equipment and services, enabling EV drivers
to recharge at various location types.
As of September 30, 2025, the Company had cash and cash equivalents
of $23.110 million compared to $41.774 million in cash and cash
equivalents and $13.630 million in marketable securities as of
December 31, 2024, representing a decrease of $32.294 million in
available liquidity due to ongoing operating losses, working
capital requirements, and limited cash inflows from operations.
Absent a near-term capital infusion or significant improvement in
cash flow from operations, the Company expects that its current
cash resources will be insufficient to fund operations for the next
12 months. As such, management has concluded that substantial doubt
exists about the Company's ability to continue as a going concern
within the next 12 months.
As of September 30, 2025, the Company had $171.3 million in total
assets, $80.5 million in total liabilities, and $90.8 million in
total stockholders' equity.
BLUE BIOFUELS: Reports $2.87 Million Net Loss in 2025
-----------------------------------------------------
Blue Biofuels, Inc., filed a Form 10-K with the Securities and
Exchange Commission, reporting a net loss of $2.87 million for the
year ended Dec. 31, 2025, compared with a net loss of $1.42 million
a year earlier. The company said its business has not generated
material revenue.
The company had $1.41 million in total assets and $5.11 million in
total liabilities as of Dec. 31, 2025, resulting in a stockholders'
deficit of $3.71 million.
Cash on hand rose to $65,200 at Dec. 31, 2025, from $48,797 at Dec.
31, 2024.
At Dec. 31, 2025, total current liabilities increased to $2.98
million from $2.21 million at Dec. 31, 2024, largely driven by
deferred compensation, while long-term liabilities increased to
$2.13 million from $2.02 million in 2024 due to additional
related-party notes.
Auditor Assure CPA, LLC, in a March 19, 2026 report, raised
substantial doubt about the company's ability to continue as a
going concern, citing accumulated losses since inception and
negative working capital.
Blue Biofuels reported a working capital deficit of about $2.91
million at Dec. 31, 2025, and accumulated losses of $60.13 million
since inception.
The Company expects to incur significant additional losses in
connection with its start-up and commercialization activities.
Cash used in investing activities totaled $137,345 in 2025,
compared with $115,791 in 2024, primarily for land, equipment and
patents.
During 2025, cash provided by financing activities totaled
$998,750, down from $1.13 million a year earlier.
The company stated it will need around $90 million to fund its
share of the VertiBlue Fuels joint venture and advance toward
commercial production of sustainable aviation fuel, with revenue
potentially beginning 18 to 24 months after financing. The company
provides no assurance it will secure the required funding and warns
that a failure to raise additional capital could materially affect
its ability to execute its business plan and continue operations.
A full-text copy of the Form 10-K is available for free at:
https://www.sec.gov/Archives/edgar/data/1549145/000149315226011555/form10-k.htm
About Blue Biofuels
Blue Biofuels, Inc., headquartered in Palm Beach Gardens, Florida,
develops renewable energy technologies centered on its
cellulose-to-sugar (CTS) processing platform that converts
cellulosic materials into biofuel feedstocks. Founded in 2012 and
originally incorporated as Alliance Media Group Holdings, the
company focuses on advancing and commercializing its proprietary
CTS process to support sustainable aviation fuel production. Its
operations are supported by a portfolio of issued and pending
patents across multiple jurisdictions, supporting its efforts to
scale through joint venture initiatives.
BUSTER SJE: Case Summary & Eight Unsecured Creditors
----------------------------------------------------
Debtor: Buster SJE, Inc.
Eric Evans
8333 Oak Country Lane
Mansfield, TX 76063
Business Description: Buster SJE, Inc. provides property
inspection, maintenance and pest control services, and operates an
industrial coatings business, including powder coating, in
Mansfield, Texas. The company uses a fleet of service vehicles and
heavy equipment to carry out field operations and surface treatment
work for residential and commercial clients.
Chapter 11 Petition Date: March 23, 2026
Court: United States Bankruptcy Court
Northern District of Texas
Case No.: 26-41259
Judge: Hon. Edward L Morris
Debtor's Counsel: Robert T. DeMarco, Esq.
DEMARCO MITCHELL, PLLC
12770 Coit Road, Suite 850
Dallas TX 75251
Tel: (972) 991-5591
Email: robert@demarcomitchell.com
Total Assets: $715,619
Total Liabilities: $3,773,229
The petition was signed by Eric Evans as owner.
A full-text copy of the petition, which includes a list of the
Debtor's eight unsecured creditors, is available for free on
PacerMonitor at:
https://www.pacermonitor.com/view/JMV552Q/Buster_SJE_Inc__txnbke-26-41259__0001.0.pdf?mcid=tGE4TAMA
CALLAWAY ARTS: Case Summary & 20 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Callaway Arts & Entertainment, Inc.
325 West 4th Street, Apt. 3F
New York, NY 10014
Business Description: Callaway Arts & Entertainment, Inc.,
headquartered in New York City, is a content-driven intellectual
property creation and production company that works with artists to
create stories across media platforms. Its work spans fine book
publishing, family entertainment, lifestyle products, award-winning
apps and immersive experiences.
Chapter 11 Petition Date: March 23, 2026
Court: United States Bankruptcy Court
Southern District of New York
Case No.: 26-10624
Debtor's Counsel: Dawn Kirby, Esq.
KIRBY AISNER & CURLEY LLP
700 Post Road
Suite 237
Scarsdale, NY 10583
Tel: (914) 401-9500
Email: dkirby@kacllp.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Nicholas Callaway as CEO.
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/VJDIEBY/Callaway_Arts__Entertainment__nysbke-26-10624__0001.0.pdf?mcid=tGE4TAMA
CINEMAWORLD OF FLORIDA: Plan Exclusivity Extended to March 31
-------------------------------------------------------------
Judge Mindy A. Mora of the U.S. Bankruptcy Court for the Southern
District of Florida extended Cinemaworld of Florida, Inc.'s
exclusive periods to file a plan of reorganization and obtain
acceptance thereof to March 31 and May 31, 2026, respectively.
As shared by Troubled Company Reporter, the Debtor engaged in a
Judicial Settlement Conference ("JSC") with Lincoln Commons Owner,
LLC and Clinton Savings Bank on Feb. 23 as directed by the Court.
As reflected in the Report of Settlement Judge filed on February
23, the leases with Lincoln Commons will be rejected. At the
hearing scheduled for February 27, the Debtor intends to announce
rejection of the leases with Lincoln Commons as of February 28.
The Debtor explains that it is still in negotiations with Arsenal
Yards Core Holding LLC, the landlord for its Watertown location
("Arsenal Yards"); it is contemplated that the negotiated terms
will be included in the Debtor's Chapter 11 plan of reorganization.
In addition, given the outcome of the JSC, the Debtor is working
with GlassRatner as to the landlord negotiations and overall plan
formulation. These efforts are on-going and dependent upon
discussions taking place with creditors.
As the Debtor, with the assistance of GlassRatner, is still
actively engaged in negotiations which will necessarily be central
to the Debtor's plan, the Debtor requests the Court grant this
Motion and extend the plan and disclosure statement filing deadline
as well as the exclusive periods within which only the Debtor may
file and solicit acceptances of a plan.
Cinemaworld of Florida, Inc. is represented by:
Elena Paras Ketchum.
STICHTER, RIEDEL, BLAIN & POSTLER, P.A.
110 E. Madison St., Suite 200
Tampa, FL 33602
Tel: (813) 229-0144
Email: eketchum@srbp.com
About Cinemaworld of Florida
Cinemaworld of Florida, Inc., doing business as The Majestic 11 and
CW Lanes & Games, operates movie theaters and family entertainment
centers.
Cinemaworld of Florida, Inc. filed its voluntary petition for
relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D. Fla.
Case No. 25-17693) on July 3, 2025, listing $10 million to $50
million in both assets and liabilities. The petition was signed by
Richard N. Starr, Sr. as president.
Judge Mindy A Mora presides over the case.
Harley E. Riedel, at STICHTER, RIEDEL, BLAIN & POSTLER, P.A., is
the Debtor's counsel.
CINEPLEX INC: Fitch Alters Outlook on 'B' Long-Term IDR to Stable
-----------------------------------------------------------------
Fitch Ratings has affirmed Cineplex Inc.'s Long-Term Issuer Default
Rating (IDR) at 'B.' Fitch also upgraded the company's senior
revolving credit facility (RCF) to 'BB' with a Recovery Rating of
'RR1' from 'BB-'/'RR2' and affirmed the senior secured notes at
'BB-/RR2'. The Rating Outlook has been revised to Stable from
Negative.
The RCF upgrade reflects the correction of an analytical error, as
it was inaccurately treated as pari passu with the senior secured
notes. The RCF benefits from a priority lien on collateral and
ranks effectively senior to the senior secured notes, increasing
its recovery under Fitch's recovery waterfall to 'BB'/'RR1' from
'BB-'/'RR2'.
The Stable Outlook reflects Fitch's expectation of continued box
office recovery and Cineplex's ability to monetize attendance
through pricing, concessions and alternative programming,
supporting revenue growth and margin expansion. Fitch's base case
also assumes Cineplex uses proceeds from the sale of Cineplex
Digital Media (CDM) for debt repayment to support deleveraging.
Materially lower debt reduction than assumed, or weaker operating
performance that delays deleveraging, could pressure the rating.
Key Rating Drivers
High Operating Leverage, Small Scale: Cineplex's small scale and
high operating leverage constrain the rating. Fitch-calculated
EBITDA and EBITDAR leverage have remained high over the past three
years due to uneven film performance and high fixed costs, which
have driven earnings volatility and weaker EBITDA generation.
Fitch forecasts EBITDA growth and margin expansion in fiscal 2026
on expectations of a stronger box office. Drivers include higher
attendance, higher ticket and concession pricing, and growth in
Media and Amusement revenue (adjusted for the CDM sale). Fitch
forecasts about $40 million of debt repayment in fiscal 2026 from
CDM proceeds. EBITDA leverage is forecast to fall below 6x by
fiscal 2029.
Diversified Mix; Geographic Concentration: Cineplex's diversified
business mix extends beyond movie exhibition by combining
location-based entertainment (LBE) and media services, which
differentiates it from peers. The strategy targets accessible
entertainment for Canadians and supports revenue diversification
across exhibition formats, a broader film slate, and higher
contribution from foreign titles to reduce reliance on Hollywood
releases.
The business remains concentrated in Canada, making performance
sensitive to domestic macro conditions and discretionary spending.
This contributed to weaker LBE results in fiscal 2025, and pressure
could persist in fiscal 2026 if cost of living pressures weighs on
consumer income.
Modest Liquidity Position: Cineplex's flexibility is supported by
$134 million in cash and its undrawn $100 million RCF as of
December 2025. Fitch expects small but positive FCF generation over
the rating horizon due to revenue and EBITDA growth that allow for
modest shareholder returns.
Highly Dependent on Studios Production: Cineplex's performance is
highly reliant on the quality, quantity, and timing of film
releases, factors outside of management's control that are a key
constraint on ratings. Fitch believes the theatrical window remains
integral to studios' business models, particularly for franchise
and high-budget titles, supporting exhibitors' role in the content
value chain.
Consistent Capital Allocation Policy: Cineplex targets net leverage
of 2.5x-3.0x (excluding its $216 million unsecured convertibles).
Fitch's base case assumes capital allocation remains broadly
consistent with management's priorities to delever, invest in
theatre enhancements and return capital to shareholders. Fitch
assumes $40 million debt repayment in fiscal 2026 from CDM sale
proceeds.
Premium Mix and Programming: Cineplex's monetization is
increasingly supported by a higher premium-format mix and growth in
alternative programming, which attracts higher-value audiences and
lift per-patron revenue. Fitch believes these levers improve
revenue resilience and support results across film cycles, but do
not eliminate dependence on studio film supply and release timing.
Leading Market Share; Film Distribution: Cineplex's market position
is solid, with approximately 74% share of the Canadian box office
market, enabling operating efficiencies and cost advantages. This
translates into theater-level cost-savings, maximized revenue per
patron, multiple movie formats, granularity of market demographics
and distribution leverage with film studios.
Normalization of Film Output: Fitch expects revenue to grow in the
mid-single digits over the rating horizon as film output
stabilizes, with 120-130 wide releases anticipated in fiscal 2026,
approaching pre-pandemic levels. Fitch expects increased film
output from major studios and streamers adopting hybrid release
strategies that should sustain box office recovery and support
margin expansion.
Video-Streaming Platform Competition: The theatrical film industry
continues to experience competition from at-home distribution
channels, including DTC streaming services owned by film studios
and other out-of-home entertainment formats, with low switching
costs. As part of their initial strategy to increase subscribers,
these studios funneled certain films to their platforms, often
bypassing theatrical exhibition. Over the past three years, studios
have worked to normalize theatrical release schedules,
acknowledging the economic importance of the theatrical window.
Framework for Generative AI: Generative AI introduces both
opportunities and risks for the film industry. However, its growing
use raises concerns about job displacement and creative integrity,
particularly among unions representing writers, actors, and
technical staff. The risk of strained labor relations could lead to
renewed strikes or work stoppages, disrupting production schedules
and delaying theatrical release slates. Such disruptions would have
second-order effects on exhibitors like Cineplex, whose revenue
depends on a steady flow of new content.
Peer Analysis
Cineplex's closest publicly rated peer is Cinemark Holdings, Inc.
(BB-/Stable). Cineplex is smaller and geographically concentrated
in Canada, while Cinemark benefits from broader diversification
across the U.S. and Latin America and stronger liquidity. However,
Cineplex has a stronger market position in its home market,
supported by leading share in Canadian exhibition and a broader
product offering that includes media and LBE.
Cineplex has a higher leverage, lower coverage and FCF margins
compared to Cinemark, which maintains a more conservative balance
sheet and greater liquidity than its peers. While Cineplex benefits
from adjacent businesses such as media and location-based
entertainment venues, Cinemark's larger scale and operational
efficiency provide greater stability and flexibility to navigate
industry volatility.
Fitch’s Key Rating-Case Assumptions
- Attendance expected to increase by 4%, reaching approximately 44
million, due to anticipated tentpole and franchise releases during
the year. Thereafter, attendance is forecasted to grow in the low
single digits.
- Fitch estimates box-office per patron increasing about 1.5% YoY,
supported by larger movie formats that offer better margins and
monetization.
- Concession per patron growing around 2% per year throughout the
projection, supported by increasing preference for premium food and
liquor offerings across locations.
- Cinema Media revenues assumed to increase in the low to
mid-single digit, as Cineplex continues to expand its advertising
solutions across its key markets.
- Amusement revenues assumed to increase in the mid-single digits
in fiscal 2026 supported by a new LBE location and growth in events
sales. Thereafter, growth is maintained in the mid-single digits.
- Capex intensity maintained at 3.5%.
- $40 million of CDM proceeds allocated to debt repayment in fiscal
2026.
- Floating rate debt is modeled on secured overnight financing
rate.
Corporate Rating Tool Inputs and Scores
Fitch scored the issuer as follows, using its Corporate Rating Tool
(CRT) to produce the Standalone Credit Profile (SCP):
- Business and financial profile factors (assessment, relative
importance): Management (bb+, Moderate), Sector Characteristics
(bb, Higher), Market and Competitive Positioning (bb+, Moderate),
Diversification and Asset Quality (bb, Moderate), Company
Operational Characteristics (bb, Moderate), Profitability (bb,
Lower), Financial Structure (ccc+, Higher), and Financial
Flexibility (b-, Moderate).
- The quantitative financial subfactors are based on standard CRT
financial period parameters: 20% weight for the latest historical
year 2025, 40% for the forecast year 2026 and 40% for the forecast
year 2027.
- B+ to CC considerations apply in its analysis and result in no
adjustment.
- The Governance assessment of 'Good' results in no adjustment.
- The Operating Environment assessment of 'aa-' results in no
adjustment.
- The SCP is 'b'.
Recovery Analysis
The recovery analysis assumes Cineplex 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.
Fitch assumes a GC EBITDA of $120 million by assuming an
accelerated fall in attendance, with slightly higher ticket prices
and concessions per patron levels. This is exacerbated by declines
in the company's Media and Amusement segments. Revenue declines
would be driven by lower discretionary consumer spending as a
result of higher costs of living and macro headwinds. These factors
compress margins due to high operating costs, resulting in low
single-digit EBITDA margins.
Fitch employs a 5.5x enterprise value (EV)multiple to calculate
post-reorganization valuation, roughly in-line with the median
technology, media, and telecommunications (TMT) emergence
enterprise value to EBITDA multiple, incorporating the following
into its analysis:
- Fitch believes that theater exhibitors have a limited tangible
asset value and that the business model bears the risk of being
disrupted over the longer term by alternative distribution models;
- Cineplex's leading market position in Canada with a wide array of
movie theater formats and experiences, attractive content offerings
(Hollywood and International film studios), and revenue
diversification from media and LBE;
The adjusted GC EV is $594 million, after admin claims.
Fitch assumes a fully drawn revolver in its recovery analysis since
credit revolvers are tapped when companies are under distress.
Applying the Fitch-estimated GC EV, Fitch arrived at a rating of
'BB' on the senior secured RCF with a Recovery Rating of 'RR1'. The
senior secured notes, which rank effectively junior to the RCF for
collateral priority, is rated 'BB-/RR2'.Fitch does not provide
issue rating to the unsecured convertible notes.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
- Significant deterioration in Cineplex's liquidity position;
- Increasing secular pressure, as illustrated in sustained declines
in attendance and/or concession spending per patron;
- Failed expansion strategy of its media and amusement segments,
evidenced by lower-than-expected margins and sluggish revenue
growth.
- EBITDA leverage sustained above 6.5x and EBITDAR leverage
sustained above 7x.
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade
- Higher revenue and EBITDA contribution from its Media and
Amusement segments, driving a higher free cash flow generation and
notably increasing the scale of the company;
- EBITDA leverage sustained below 5.5x and EBITDAR leverage
sustained below 6x;
- FCF margins sustained in the low-to-mid-single digits.
Liquidity and Debt Structure
As of Dec. 31, 2025, Cineplex had $134 million in cash and $92
million availability under its $100 million RCF.
Cineplex's capital structure comprises the undrawn $100 million
revolving credit facility maturing in 2027, $575 million senior
secured notes maturing in 2029 and $216 million unsecured
debentures maturing in 2030. Fitch does not rate the unsecured
debentures.
Issuer Profile
Cineplex Inc. is one of Canada's largest entertainment
organizations, with 1,606 screens in 154 locations and 16
location-based entertainment venues across Canada.
Summary of Financial Adjustments
Balance sheet lease liabilities are used as lease-equivalent debt
starting in fiscal 2024, in accordance with Fitch's Corporate
Rating Criteria dated Dec. 6, 2024. Prior years used an 8x multiple
applied to lease expense for lease-equivalent debt.
MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS
Fitch's latest quarterly Global Corporates Sector Forecasts Monitor
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.
Climate Vulnerability Signals
The results of its Climate.VS screener did not indicate an elevated
risk for Cineplex Inc..
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
----------- ------ -------- -----
Cineplex Inc.
LT IDR B Affirmed B
senior secured LT BB Upgrade RR1 BB-
senior secured LT BB- Affirmed RR2 BB-
CITY MASSAGE: Unsecureds Will Get 25% of Claims over 3 Years
------------------------------------------------------------
City Massage, LLC, submitted a Second Amended Plan of
Reorganization dated March 12, 2026.
The Plan Proponent's financial projections show that the Debtor
will have projected disposable income of approximately $283,415.001
over the three-year period of the Plan, which will be available to
be distributed to pay approved administrative claims, allowed
priority tax claims, the Class 1 allowed secured claim, and allowed
Class 2 unsecured claims on a pro rata basis.
The final Plan payment is expected to be paid by or before April
2029.
The Debtor's projections are based on revenues and expenses from
2024 and 2025 to date, with five spas currently open (one of which
is temporarily closed for construction was expected to reopen in
January 2026, but to date has not reopened and a new completion
date has not been provided). Historical revenues and expenses in
preceding years prior to 2024 were not used because the Debtor had
additional spa locations operating in other hotels which have since
closed.
This Plan of Reorganization proposes to pay creditors of the Debtor
from cash flow from operations.
The sole secured creditor is TD Bank, N.A., whose total claim of
$151,857 is partially secured by the value of Debtor's collateral
pursuant to a perfected UCC-1 financing statement, the value of
which is estimated to be approximately $30,509. The remainder of TD
Bank's claim, approximately $121,349, is unsecured. Because TD
Bank's lien is in first position, there is no collateral to secure
the claims of other creditors purporting to hold secured claims.
There is one class of non-priority unsecured creditors which
currently contains 11 creditors, including the unsecured claim of
TD Bank. Several of these claims are subject to objection by the
Debtor, and two of those claim objections have been resolved.
Current unsecured claims reflected either in Debtor's schedules or
in filed proofs of claim total approximately $926,000, including
claims with yet unresolved objections pending. Non-priority
unsecured creditors holding allowed claims will receive
distributions under this Plan.
Based on the current total of unsecured claims, the proponent of
this Plan estimates that after payment of approved administrative
claims, allowed priority tax claims, and the Class 1 allowed
secured claim, Class 2 unsecured claims would receive approximately
25 cents on the dollar on a pro rata basis, with the ultimate
amount paid being dependent on the Debtor's actual disposable
income over that time. However, in this Second Amended Plan, the
Debtor proposes to pay the fixed amount of twenty-five percent of
all allowed claims to unsecured creditors by or before the end of
the three-year plan term, upon which the Plan will conclude should
such total payments be achieved prior to the end of three years.
The Plan also provides first for the payment of administrative
expense claims, which include Court-approved fees and costs to
Debtor's counsel and the Subchapter V Trustee, and a priority tax
claim for payroll taxes owed to the IRS. The equity interests in
the Reorganized Debtor will continue to be owned by its sole owner
and principal, Marizza Contreras.
Class 2 consists of Non-priority unsecured creditors. After payment
in full to Class 1, Class 2 creditors holding allowed non-priority
unsecured claims will be paid in cash on a pro rata basis with
other creditors in this class in quarterly payments from Debtor's
disposable income, with such payments to commence upon the later
of: (i) the completion of payments of administrative expense
claims, priority tax claims and the Class 1 secured claim; or (ii)
the date on which such claims are allowed by final non-appealable
orders.
Subject to objection, current unsecured claims reflected either in
Debtor's schedules or in filed proofs of claim total approximately
$926,000. Based on the Debtor's current projections, it is
anticipated that distributions to Class 2 will commence no later
than the fourth quarterly payment.
The Debtor will apply its disposable income to make payments under
the Plan on a quarterly basis for a three-year period, which will
begin on the date the first payment is due under the Plan. The
first payment under the Plan shall be due three months after the
Effective Date, and shall be comprised of the Debtor's disposable
income over the preceding three full months.
A full-text copy of the Second Amended Plan dated March 12, 2026 is
available at https://urlcurt.com/u?l=9TdOry from PacerMonitor.com
at no charge.
Counsel to the Debtor:
Tamara D. McKeown, Esq.
AARONSON SCHANTZ BEILEY P.A.
One Biscayne Tower, Suite 3450
2 South Biscayne Boulevard
Miami, FL 33131
Telephone: (786) 594-3000
Facsimile: (305) 579-9073
E-mail: tmckeown@aspalaw.com
About City Massage
The Debtor filed a petition under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. S.D. Fla. Case No. 25-20791) on Sept. 16,
2025, listing up to $50,000 in assets and between $500,001 and $1
million in liabilities.
Judge Corali Lopez-Castro presides over the case.
Tamara D. McKeown, is the Debtor's legal counsel.
CLINTWOOD JOD: Case Summary & 20 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Clintwood JOD, LLC
15888 Ferrells Creek Road
Belcher, KY 41513
Business Description: Clintwood JOD, LLC is a coal mining
company based in Belcher, Kentucky, operating surface and
underground mining activities focused on producing bituminous coal
for industrial and metallurgical use. Founded in 2019, the company
works across eastern Kentucky and nearby regions, supplying coal to
domestic energy and steel-related markets. Its operations center on
extracting, processing, and transporting coal, supporting demand
from industrial clients in the region.
Chapter 11 Petition Date: March 22, 2026
Court: United States Bankruptcy Court
Eastern District of Kentucky
Case No.: 26-60438
Judge: Hon. Gregory R. Schaaf
Debtor's Counsel: Dean A. Langdon, Esq.
GARTLAND THACKER DELCOTTO PLLC
200 North Upper St.
Lexington, KY 40507
Tel: (859) 231-5800
Fax: (859) 281-1179
E-mail: dlangdon@gtdfirm.com
Estimated Assets: $100 million to $500 million
Estimated Liabilities: $50 millioin to $100 million
The petition was signed by J. Christopher Adkins as authorized
signatory.
A full-text copy of the petition is available for free on
PacerMonitor at:
https://www.pacermonitor.com/view/ZP7GLRA/Clintwood_JOD_LLC__kyebke-26-60438__0001.0.pdf?mcid=tGE4TAMA
List of Debtor's 20 Largest Unsecured Creditors:
Entity Nature of Claim Claim Amount
1. Richmond Hill Investments LLC $26,550,000
7 Columbia
Turnpike Suite 201
Florham Park, NJ 07932
2. Maynard's Capital/ Equipment $8,923,384
Align Finance
5310 E High Street,
Suite 310
Phoenix, AZ 85054
3. Community Trust Bank, Inc. Equipment $8,641,813
346 North Mayo Trail
Pikeville, KY 41501
4. Kentucky State Treasurer $3,354,603
Severance Tax Division
Revenue of Cabinet
Frankfort, KY 40619
5. Caterpillar Financial Services Equipment $1,950,460
2121 West End Ave
P.O. Box 340001
Nashville, TN 37203
6. Whayne Supply Company Equipment $1,499,610
DBA Boyd Company
Department 8326
Carol Stream, IL
60122-8326
7. Pathward Insurance $1,491,361
(Insurance Premium Finance) Premium
P.O. Box 224528 Finance
Dallas, TX
75222-4528
8. Nelson Brothers LLC $1,428,478
820 Shades
Creek Pkwy Ste 2000
Birmingham, AL 35209
9. Anthem Blue Cross Blue Shield Insurance $1,109,070
P.O. Box 4445
Atlanta, GA 30302
10. American Electric Power $1,093,233
Kentucky Power Company
PO Box 371420
Pittsburgh, PA
15250-7420
11. Sheriff of Pike County $639,786
Property Tax Division
PO BOX 839
Pikeville, KY 41502
12. Buchanan County Treasurer Taxes $604,646
PO BOX 1056
Grundy, VA 24614
13. Jones Oil Company, Inc. $594,750
PO Box 3427
Pike ville, KY 41502
14. Carpenters Repair Inc. $510,735
PO Box 415
Lake, WV
25121-0415
15. Rockwood Casualty Workers' Comp $427,205
Insurance Company Insurance
654 Main Street
Rockwood, PA 15557
16. AFS/IBEX Financial Services $412,839
PO BOX 650786
Dallas, TX
75265-0786
17. Brandeis Machinery & Supply Co $324,673
Department 8013
Caron Stream, IL
60122-8013
18. Continental Heritage Insurance $215,393
200 Park Ave
Suite 400
Orange Village,
OH 44122
19. Synterra Corporation $201,651
336 Town Mountain Road
Suite 4
Pikeville, KY 41501
20. Whites Armature Works Inc. $198,535
1150 Huff CR Hwy
P O Box 330
Mallory, WV 25634
CN HOLDINGS: Case Summary & 20 Largest Unsecured Creditors
----------------------------------------------------------
Debtor: CN Holdings, LLC
d/b/a Firehouse Subs of SE Idaho and Utah
4240 Silverado Dr.
Idaho Falls, ID 83404
Business Description: CN Holdings, LLC, doing business as
Firehouse Subs of SE Idaho and Utah, operates Firehouse Subs
restaurants as a franchisee, a fast-casual chain specializing in
submarine sandwiches that serves hot subs prepared with meats and
cheeses across North America. The company was formed through the
merger of 2C Inferno LLC, 4C&N, LLC, and Ignacious Endeavors, LLC
on Jan. 23, 2026.
Chapter 11 Petition Date: March 23, 2026
Court: United States Bankruptcy Court
District of Utah
Case No.: 26-21555
Judge: Hon. Michael F Thomson
Debtor's Counsel: Brian M. Rothschild, Esq.
PARSONS BEHLE & LATIMER
201 S. Main St., Suite 1800
Salt Lake City UT 84111
Tel: 801-532-1234
E-mail: brothschild@parsonsbehle.com
Estimated Assets: $0 to $50,000
Estimated Liabilities: $1 million to $10 million
The petition was signed by Christopher Morris as manager.
A copy of the Debtor's list of 20 largest unsecured creditors is
available for free on PacerMonitor at:
https://www.pacermonitor.com/view/YIUA24A/CN_Holdings_LLC_dba_Firehouse__utbke-26-21555__0005.0.pdf?mcid=tGE4TAMA
A full-text copy of the petition is available for free on
PacerMonitor at:
https://www.pacermonitor.com/view/UZFJMFY/CN_Holdings_LLC_dba_Firehouse__utbke-26-21555__0001.0.pdf?mcid=tGE4TAMA
CONTEMPORARY MEDICAL: Gets Extension to Access Cash Collateral
--------------------------------------------------------------
Contemporary Medical Services, PC received another extension from
the U.S. Bankruptcy Court for the Eastern District of New York to
use the cash collateral of secured lenders to fund operations.
The court issued a fifth interim order authorizing the Debtor to
use the cash collateral of TD Bank, N.A. and the U.S. Small
Business Administration through April 30 in accordance with its
budget. The Debtor cannot use cash collateral beyond 110% of any
budget line item without written consent.
A copy of the Debtor's budget is available at
https://shorturl.at/Ul62X from PacerMonitor.com.
As adequate protection for any diminution in the value of their
collateral, lenders will be granted replacement liens on all of the
Debtor's assets. These liens are automatically perfected and
maintain the same priority as the lenders' pre-bankruptcy liens.
The interim order established a carveout of up to $10,000 for
professional fees and $5,000 for fees and expenses of a Chapter 7
trustee in case one is appointed. It bars use of surcharges under
Section 506(c) of the Bankruptcy Code without lender consent.
Events of default include failure to comply with the order;
unauthorized expenditures; conversion or dismissal of the Debtor's
bankruptcy case; or granting of post-petition liens. The order
remains effective and enforceable despite any future plan
confirmation or case conversion.
The final hearing is scheduled for April 28, with objections due by
April 20.
The order is available at https://shorturl.at/Q9zef from
PacerMonitor.com.
TD Bank is represented by:
Clifford A. Katz, Esq.
Teresa Sadutto-Carley, Esq.
Goetz Platzer LLP
1 Penn Plaza, 31st Floor
New York, NY 10119
Telephone: 212-593-3000
Facsimile: 212-593-0353
ckatz@goetzplatzer.com
tsadutto@goetzplatzer.com
About Contemporary Medical Services PC
Contemporary Medical Services, PC filed a petition under Chapter
11, Subchapter V of the Bankruptcy Code (Bankr. E.D.N.Y. Case No.
25-73888) on October 8, 2025, listing between $500,001 and $1
million in assets and between $1 million and $10 million in
liabilities.
Judge Sheryl P. Giugliano presides over the case.
Joseph S. Maniscalco, Esq., at Lamonica Herbst Maniscalco
represents the Debtor as legal counsel.
DBJ US: Gets Interim OK to Use Cash Collateral
----------------------------------------------
The U.S. Bankruptcy Court for the Southern District of Florida,
Miami Division issued a second interim order authorizing DBJ US
Corp. to continue using cash collateral on an interim basis to
support ongoing business operations.
The debtor is authorized to use cash collateral in accordance with
an amended budget, covering ordinary and necessary expenses, with
flexibility to exceed individual line items by up to 10% per month.
Any additional use requires either written consent from the secured
creditor, Lake Michigan Credit Union, or further court approval.
The Court confirmed that proper notice was given and that such use
is in the best interest of the estate.
As adequate protection, the secured creditor is granted replacement
liens on post-petition assets, maintaining the same priority and
nature as pre-petition liens. However, these liens do not attach to
avoidance actions or their proceeds. Additionally, the creditor's
claims remain subordinate to certain administrative expenses,
including court costs, U.S. Trustee fees, and approved professional
fees.
The court scheduled a final hearing for April 30 and set deadlines
for objections and submission of a proposed final budget. The
interim budget remains in effect until a final order is entered.
Lake Michigan Credit Union, as secured creditor, is represented
by:
Andrew W. Lennox, Esq.
Casey Reeder Lennox, Esq.
LENNOX LAW, P.A.
P.O. Box 20505
Tampa, FL 33622
Tel: 813-831-3800
Fax: 813-749-9456
alennox@lennoxlaw.com
clennox@lennoxlaw.com
About DBJ US Corp.
DB USA Corporation operates as a bank holding company. The company,
through its subsidiaries, offers commercial banking services
including checking accounts, commercial loans, equipment financing,
investment services, foreign exchange services, and other financial
services to customers in the United States.
DBJ US Corp. sought relief under Chapter 11 of the U.S. Bankruptcy
Code (Bankr. S.D. Fla. Case No. 26-11015) on January 27, 2026. In
its petition, the Debtor reported estimated assets of up to
$100,000 and estimated liabilities of $1 million to $10 million.
The case is being handled by Honorable Bankruptcy Judge Robert A.
Mark.
The Debtor is represented by James B. Miller, Esq.
DEL MONTE: Plan Confirmation Hearing Scheduled for May 7
--------------------------------------------------------
The Hon. Michael B Kaplan of the U.S. Bankruptcy Court for the
District of New Jersey approved the Disclosure Statement for the
Joint Chapter 11 Plan of Del Monte Foods Corporation II Inc. and
its debtor affiliates.
The Debtors have all the necessary authority to propose and
prosecute the Plan and the Disclosure Statement.
The Disclosure Statement is approved on an interim basis under
section 1125 of the Bankruptcy Code and Bankruptcy Rule 3017. Any
objections to the adequacy of the information contained in the
Disclosure Statement are expressly reserved for consideration at
the Combined Hearing. All other objections to the relief sought in
the Motion that have not been withdrawn, waived, settled, or
specifically addressed in this Order are hereby overruled without
prejudice to any such parties' rights to raise such objections at
the Combined Hearing.
The Confirmation Schedule is approved in its entirety as follows
(subject to modifications as necessary):
Voting Record Date - March 11, 2026
Solicitation Deadline - Four (4) business days following entry of
the Disclosure Statement Order (but in no event later than March
26, 2026)
Plan Supplement Deadline - April 23, 2026, at 4:00 p.m.
(prevailing Eastern Time)
Final Witness and Exhibit Lists Deadline - April 23, 2026, at
4:00 p.m. (prevailing Eastern Time)
Confirmation & Final Disclosure Statement
Objection Deadline - April 28, 2026, at 5:00 p.m. (prevailing
Eastern Time)
Witness Declarations Deadline - April 28, 2026, at 5:00 p.m.
(prevailing Eastern Time)
Witness and Exhibit List Objections - April 30, 2026,
at 4:00 p.m. (prevailing Eastern Time)
Deadline to File Certification of Balloting - May 4, 2026,
at 4:00 p.m. (prevailing Eastern Time)
Confirmation Brief and Reply Deadline - May 5, 2026, at 1:00 p.m.
(prevailing Eastern Time)
Combined Hearing on Plan Confirmation and Final Disclosure
Statement Approval - May 7, 2026, at 11:30 a.m.
(prevailing Eastern Time)
As shared by the Troubled Company Reporter, Del Monte Foods
Corporation II Inc., and its Debtor Affiliates filed with the U.S.
Bankruptcy Court for the District of New Jersey a Disclosure
Statement describing Joint Chapter 11 Plan dated February 25,
2026.
Del Monte is one of the country's leading producers, distributors,
and marketers of premium quality, primarily branded, plant-based
packaged food products.
Del Monte has been a cornerstone of American grocery stores for
over 130 years. Founded in 1886 and headquartered in Walnut Creek,
California, as of the Petition Date, Del Monte employed
approximately 2,780 people and operated four plants, two in the
United States and two in Mexico. Del Monte has produced and sold
its products through both its own brands (including Del Monte(R),
Contadina(R), and Joyba(R), among others), as well as through
retailers under private labels.
Del Monte entered Chapter 11 with the support of its secured
lenders. The Prepetition ABL Lenders, who held 100% of the
aggregate outstanding principal amount under the Prepetition ABL
Facility as of the Petition Date, agreed to provide a
debtor-in-possession asset-backed loan facility.
Separately, the Ad Hoc Group, whose members collectively hold 73.2%
of the aggregate outstanding principal amount of Super Senior First
Out Loans (defined herein) and 61% of the aggregate outstanding
principal amount of Super-Senior Second Out Loans, entered into a
restructuring support agreement (the "RSA") with the Debtors,
pursuant to which the Ad Hoc Group agreed to provide a DIP term
loan facility (the "DIP Term Loan Facility" and together with the
DIP ABL Facility, the "DIP Facilities") and, subject to reaching
agreement on certain bidding procedures (the "Bidding Procedures"),
serve as a stalking horse bidder for a sale of all or substantially
all of the Debtors' assets as a going-concern business.
At the outset of the Chapter 11 Cases, the Debtors negotiated a
prepetition restructuring support agreement with the Ad Hoc Group,
pursuant to which the Ad Hoc Group agreed to act as a stalking
horse bidder (the "Stalking Horse Bidder") for a going-concern sale
of the Debtors' assets. In connection therewith, the Debtors filed
a proposed form of stalking horse purchase agreement on August 12,
2025.
On January 28-29, 2026, the Debtors sought approval of the proposed
SOTP Transactions at a hearing before the Bankruptcy Court. The
Bankruptcy Court approved the SOTP Transactions on the record at a
further hearing held on February 6, 2026. On February 20, 2026, the
Bankruptcy Court entered each of the Sale Orders -- Multi-Business
Sale Order; Fruit Sale Order; and Broth & Stock Sale Order --
approving the SOTP Transactions.
Class 4 consists of General Unsecured Claims. Each Holder of an
Allowed General Unsecured Claim, unless such Holder agrees to less
favorable treatment, receives its Pro Rata share of (i) the GUC
Cash Recovery, which shall be funded from the GUC Recovery Reserve,
and (ii) the Distributable Proceeds pursuant to the Waterfall
Recovery, if any.
Class 5 consists of Other General Unsecured Claims. Each Holder of
an Other General Unsecured Claim, except to the extent that such
Holder agrees to less favorable treatment, shall be entitled to
their Pro Rata share of the Distributable Proceeds pursuant to the
Waterfall Recovery, if any.
Each Holder of an Allowed Intercompany Interest may be Reinstated,
set off, settled, distributed, contributed, cancelled, or released,
or receive other treatment as reasonably determined by the Debtors,
in consultation with the Ad Hoc Group.
The Wind-Down Debtors shall fund distributions under the Plan, as
applicable, with (i) Cash on hand as of the Effective Date using
Distributable Proceeds from the SOTP Transactions, (ii) Cash equal
to the GUC Recovery Amount from the GUC Recovery Reserve with
respect to Allowed General Unsecured Claims, and (iii) the proceeds
from other assets sold as part of the Wind-Down, including
Distributable Proceeds from the SOTP Transactions, and (iv) other
assets sold as part of the Wind-Down, including Other Excluded
Assets.
Prior to the Effective Date, the Debtors shall establish the Plan
Administrator Reserve and fund it with Cash using the proceeds of
the SOTP Transactions in the amount set forth in the Wind-Down
Budget (inclusive of the Professional Fee Escrow Amount to fund
certain Professional Fee Claims and the GUC Recovery
Contribution).
Prior to the Effective Date, the Debtors shall establish the Plan
Administrator Reserve with Cash, in the amount set forth in the
Wind-Down Budget, from the proceeds of the SOTP Transactions.
Before or on the Effective Date, the Debtors, the Wind-Down Debtors
or the Plan Administrator, as applicable, shall use the funds in
the Plan Administrator Reserve to establish segregated accounts for
(i) the Professional Fee Escrow Account in the amount of the
Professional Fee Escrow Amount, and (ii) the GUC Recovery Reserve
in the amount of $8,000,000.00, which will be funded using the GUC
Recovery Contribution for the benefit of Holders of General
Unsecured Claims from amounts that would otherwise be distributed
to the DIP Term Loan Lenders on account of the sale of their
collateral in the SOTP Transactions.
A full-text copy of the Disclosure Statement dated Feb. 25, 2026 is
available at https://urlcurt.com/u?l=9eThRu from Stretto, claims
agent.
A copy of the Court's Order dated March 19, 2026, is available at
http://urlcurt.com/u?l=lXG450from PacerMonitor.com.
About Del Monte Foods Corporation II Inc.
Founded in 1886 and headquartered in Walnut Creek, California, the
Del Monte business has been a cornerstone of American grocery
stores for more than 130 years. Del Monte Foods has been driven by
its mission to nourish families with earth's goodness. As the
original plant-based food company, Del Monte is always innovating
to make nutritious and delicious foods more accessible to consumers
across its portfolio of beloved brands, including Del Monte,
Contadina, College Inn, Kitchen Basics, JOYBA, Take Root Organics
and S&W. On the Web: http://www.delmontefoods.com/or
http://www.joyba.com/
On July 1, 2025, Del Monte Foods Corporation II, Inc. and 17
affiliated debtors filed voluntary petitions for relief under
Chapter 11 of the United States Bankruptcy Code (Bankr. D.N.J. Lead
Case No. 25-16984) to address $1.235 billion in funded debt
obligations. At the time of the filing, the Debtors listed $1
billion to $10 billion in both assets and liabilities.
Judge Michael B. Kaplan presides over the case.
The Debtors tapped Herbert Smith Freehills Kramer (US), LLP and
Cole Schotz P.C. as legal counsel; Jonathan Goulding, managing
director at Alvarez & Marsal North America, LLC, as chief
restructuring officer; and Stretto, Inc. as claims and noticing
agent.
The U.S. Trustee for Regions 3 and 9 appointed an official
committee to represent unsecured creditors. The committee hired
Morrison & Foerster LLP as counsel; Province, LLC as financial
advisor; Kelley Drye & Warren LLP as co-counsel; and Stifel,
Nicolaus & Co., Inc. as investment banker.
DONNA DISHER: Gets Interim OK to Use Cash Collateral
----------------------------------------------------
Donna Disher Corporation got the green light from the U.S.
Bankruptcy Court for the Western District of Pennsylvania to use
cash collateral.
At the recently held hearing, the court authorized the Debtor's
interim use of cash collateral and set a final hearing for April
15.
The Debtor said that without access to cash collateral, it cannot
operate its business or reorganize successfully. It intends to
operate under an interim budget, remaining within 10 percent of
projected expenses until further court order.
Donna Disher is an S-Corporation that operates a salon business in
Beaver County, Pennsylvania. As part of its bankruptcy review, the
Debtor discovered that two active UCC financing statements have
been filed with the Commonwealth of Pennsylvania that may claim an
interest in the Debtor's assets and resulting cash collateral. The
first financing statement was filed on September 10, 2024, by
Corporation Service Company acting as a representative. However,
the filing does not identify the actual creditor represented,
making it impossible for the Debtor to determine which creditor
holds that lien or its priority. The second financing statement was
filed on December 3, 2025, by the U.S. Small Business
Administration and claims a security interest in all lienable
assets of the Debtor.
Because of the uncertainty surrounding the identity and priority of
these secured interests, the Debtor said it cannot determine which
creditor holds the first-priority interest in its cash collateral.
As a result, the Debtor has listed several creditors that may have
an interest in the collateral, including the SBA, National Funding,
Square, and West Aircom Federal Credit Union. The Debtor reported
that the total scheduled value of its assets is $25,768.
About Donna Disher Corporation
Donna Disher Corporation operates a salon business in Beaver
County, Pennsylvania.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. W.D. Pa. Case No. 26-20648) on March 9,
2026. In the petition signed by Donna R. Disher,
president/shareholder, the Debtor disclosed up to $50,000 in assets
and up to $500,000 in liabilities.
Christopher M. Frye, Esq., at Steidl & Steinberg, P.C, represents
the Debtor as legal counsel.
EDDIE BAUER: Hires RCS Real Estate Advisors as Real Estate Advisor
------------------------------------------------------------------
Eddie Bauer LLC seeks approval from the U.S. Bankruptcy Court for
the District of New Jersey to hire Retail Consulting Services, Inc.
d/b/a RCS Real Estate Advisors to serve as real estate advisor.
RCS will provide these services:
(a) providing real estate restructuring services to the Debtors;
and
(b) providing real estate disposition services with respect to the
Disposition Properties.
RCS will receive compensation pursuant to this structure:
(a) a non-refundable retainer of $100,000;
(b) $140,000 for analysis and opinion of existing lease portfolio
rents;
(c) 4% of the Occupancy Cost Savings per lease during the lease
term and 2% during the option term for Monetary Lease
Modifications;
(d) $3,000 per lease for Non-Monetary Lease Modifications;
(e) $2,000 per lease for Early Termination Rights; and
(f) 4% of the Gross Proceeds for Lease Sales.
RCS Real Estate Advisors is a "disinterested person" within the
meaning of Section 101(14) of the Bankruptcy Code, according to
court filings.
The firm can be reached at:
RCS Real Estate Advisors
470 Seventh Avenue, 8th Floor
New York, NY 10018
Telephone: (212) 239-1100
E-mail: info@rcsrealestate.com
About Eddie Bauer LLC
Eddie Bauer is an outdoor apparel brand was founded in Seattle in
1920 and has built a reputation around clothing and gear for
hiking, travel, and outdoor recreation. It sells outdoor apparel,
footwear, and equipment designed for travel and adventure. The
company currently reports operating over 250 locations throughout
North America.
Eddie Bauer LLC sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D.N.J. Case No. 26-11422) on February 9,
2026. In its petition, the Debtor reports
Honorable Bankruptcy Judge Stacey L. Meisel handles the case.
The Debtor is represented by Michael D. Sirota, Esq. of Cole Schotz
P.C.
EDDIE BAUER: Plan Confirmation Hearing Scheduled for April 16
-------------------------------------------------------------
The Hon. Stacey L. Meisel of the U.S. Bankruptcy Court for the
District of New Jersey conditionally approved the disclosure
statement relating to the First Amended Joint Plan of
Reorganization of Eddie Bauer LLC and its debtor-affiliates
pursuant to Chapter 11 of the Bankruptcy Code.
The Disclosure Statement is approved on a conditional basis as
providing Holders of Claims entitled to vote on the Plan with
adequate information to make an informed judgment as to whether to
vote to accept or reject the Plan in accordance with section
1125(a)(1) of the Bankruptcy Code. This approval is without
prejudice to the right of any party in interest to argue at the
Combined Hearing that the Disclosure Statement does not contain
adequate information within the meaning of section 1125(a)(1) of
the Bankruptcy Code, and this Order shall be without preclusive
effect as to any determination by this Court at the Combined
Hearing solely regarding the adequacy of the information contained
in the Disclosure Statement within the meaning of section
1125(a)(1) of the Bankruptcy Code.
The Debtors are authorized to solicit, receive, and tabulate votes
to accept the Plan in accordance with the Solicitation and Voting
Procedures, which are approved in their entirety. The Solicitation
and Voting Procedures comply with the requirements of the
Bankruptcy Code, the Bankruptcy Rules, and the Bankruptcy Local
Rules.
Any objections to the entry of this Order, to the extent not
withdrawn or settled, are overruled.
The following dates and deadlines are established or reaffirmed, as
applicable (subject to modification as necessary by the Debtors),
with respect to the solicitation of votes to accept the Plan,
voting on the Plan, and confirming the Plan:
Voting Record Date - March 16, 2026
Combined Hearing Notice and Publication Deadline - March 17,
2026, or, with respect to the Publication Notice, as soon as
practicable thereafter.
Solicitation Package Mailing Deadline - April 1, 2026
Voting Deadline - April 14, 2026, at 4:00 p.m., prevailing
Eastern Time
Combined Objection Deadline - April 14, 2026, at 4:00 p.m.,
prevailing Eastern Time
Voting Report Deadline - April 15, 2026, at 2:00 p.m.,
prevailing Eastern Time
Confirmation Brief Deadline - April 15, 2026
Combined Hearing Date - April 16, 2026
Opt-Out Deadline - May 7, 2026, at 4:00 p.m., prevailing
Eastern Time
As shared by the Troubled Company Reporter, Eddie Bauer LLC and its
Debtor Affiliates filed with the U.S. Bankruptcy Court for the
District of New Jersey a Disclosure Statement relating to Joint
Plan of Reorganization dated February 23, 2026. The Company is the
exclusive licensee of the Eddie Bauer brand with respect to
brick-and-mortar retail sales of Eddie Bauer casual garments and
home goods, including men's and women's shirts, pants, footwear,
accessories, bags, and camping gear, in addition to its famous
outerwear. As of the Petition Date, the Company has 175 retail
locations across forty states and the United States and six
provinces in Canada, employing approximately 2,200 people. The
Debtors do not own the Eddie Bauer brand, and the brand, along with
wholesale and e-commerce sales thereunder, is not part of these
Chapter 11 Cases.
In response to macroeconomic headwinds, the Company began exploring
and evaluating potential transactions and other measures to meet
the Company's goal of maximizing value for all stakeholders. The
Debtors' financial challenges continued to mount in the fourth
quarter of 2025. At the time, the Debtors faced approximately $220
million in future fees due over the remaining six years of the
License Agreement. With declining sales and break-even or negative
margins in the e-commerce and wholesale businesses, the Debtors
could no longer support payment of fixed licensing fees.
Notwithstanding the Company's efforts to pursue all available
alternatives, in January 2026 it became clear to the Company, its
management, and the Debtors' boards of directors that a
comprehensive restructuring would be necessary to address the
Debtors' balance sheet and operational challenges. Accordingly, the
Company, with the assistance of Kirkland and BRG, commenced
negotiations with their Prepetition Lenders regarding a consensual
and value-maximizing wind-down of any assets not sold in the Sale
Process (the "Wind-Down"). The Company also retained Hilco Merchant
Resources, LLC and SB360 Capital Partners, LLC (collectively, the
"Liquidator") to assist with the winddown and RCS Real Estate
Advisors to analyze the Company's lease portfolio.
The Company's good-faith, arm's-length negotiations with the
Prepetition Lenders culminated in the execution of the
restructuring support agreement. The RSA contemplates, among other
things:
* Transactions and Implementation. The Debtors may pursue (a)
a Sale Transaction for the Debtors' assets and/or equity to the
highest or otherwise best bidder(s) following a sale and marketing
process to be conducted pursuant to Bankruptcy Court-approved
bidding procedures (the "Bidding Procedures"); and (b)
notwithstanding the Sale Process, the Debtors will continue the
Store Closing Sales with respect to any portion of the Debtors'
business and store locations that are not otherwise sold.
* Distributions to Creditors Pursuant to Chapter 11 Plan. The
Plan will (a) pay all allowed administrative and priority claims in
full; (b) provide that, subject to the class of general unsecured
creditors voting to accept the Plan, 100% of Net Proceeds, whether
from a going concern sale or Store Closing Sales, less the GUC
Contingent Recovery Pool, will be distributed to the ABL Lenders,
with general unsecured creditors receiving their pro rata share of
the greater of (i) $250,000 or (ii) 10% of Net Proceeds in excess
of the ABL Threshold Recovery Amount (such recovery, the "GUC
Contingent Recovery Pool"); and (c) provide that Term Loan Claims,
Subordinated Loan Claims, and existing equity interests will be
extinguished with no recovery from the Debtors' estates, and
holders of such claims will forego a distribution from the Debtors
that they would have otherwise had a right to in the event the
class of general unsecured claims votes to accept the Plan.
Notwithstanding the foregoing, all ABL Claims, Term Loan Claims,
and Subordinated Loan Claims shall be reserved and preserved as
against all Persons or Entities other than the Debtors.
* Wind Down. Following the conclusion of all Store Closing
Sales and, if applicable, a Sale Transaction, the Debtors will be
wound down in an orderly and court-approved process.
The Debtors entered the Chapter 11 Cases with the intent to
continue the Sale Process while monetizing existing inventory
through the Store Closing Sales. Prior to the Petition Date, SOLIC
contacted 126 potential acquirers, including sixty-eight financial
and fifty-eight strategic counterparties with investments and/or
operational experience in the consumer retail space, and executed
nondisclosure agreements with thirty-four parties who were provided
access to the Data Room. The two IOI Parties submitted IOIs prior
to the Petition Date.
SOLIC continued the Sale Process postpetition and continued to
engage with the IOI Parties to pursue the bids contemplated in the
IOIs. SOLIC conducted outreach to additional potentially interested
parties as part of the postpetition marketing process, resulting in
execution of one additional nondisclosure agreement as of the
filing of this Disclosure Statement.
Class 6 consists of General Unsecured Claims. The allowed unsecured
claims total $105 million. On the Effective Date, except to the
extent that a Holder of an Allowed General Unsecured Claim agrees
to less favorable treatment, each Holder of an Allowed General
Unsecured Claim shall receive:
* if Class 6 (General Unsecured Claims) votes to accept the
Plan, its pro rata share of the GUC Contingent Recovery Pool; or
* if Class 6 (General Unsecured Claims) votes to reject the
Plan, all Allowed General Unsecured Claims shall be canceled,
released, and extinguished and will be of no further force or
effect, and Holders of Allowed General Unsecured Claims shall not
receive any distribution, property, or other value under the Plan
on account of such Allowed General Unsecured Claims.
On the Effective Date, all Existing Equity Interests will be
canceled, released, and extinguished and will be of no further
force and effect. No Holders of Existing Equity Interests will
receive a distribution under the Plan on account of such Existing
Equity Interests.
On or after the Effective Date, the Debtors, the Wind-Down Debtors,
or the Plan Administrator, as applicable, shall fund or make
distributions under the Plan, as applicable, with: (i) the Debtors'
Cash on hand; (ii) the proceeds from the Debtors' ordinary course
operations and Store Closing Sales; and (iii) the Sale Proceeds, if
applicable. Each distribution and issuance referred to in Article
VI of the Plan shall be governed by the terms and conditions set
forth in the Plan applicable to such distribution or issuance and
by the terms and conditions of the instruments or other documents
evidencing or relating to such distribution or issuance, which
terms and conditions shall bind each Entity receiving such
distribution or issuance.
A full-text copy of the Disclosure Statement dated February 23,
2026 is available at https://urlcurt.com/u?l=tqpNuX from Stretto,
claims agent.
A copy of the Court's Order dated March 16, 2026, is available at
http://urlcurt.com/u?l=TxG0j1from PacerMonitor.com.
About Eddie Bauer LLC
Eddie Bauer is an outdoor apparel brand was founded in Seattle in
1920 and has built a reputation around clothing and gear for
hiking, travel, and outdoor recreation. It sells outdoor apparel,
footwear, and equipment designed for travel and adventure. The
company currently reports operating over 250 locations throughout
North America.
Eddie Bauer LLC and several affiliates sought relief under Chapter
11 of the U.S. Bankruptcy Code (Bankr. D.N.J. Lead Case No.
26-11422) on Feb. 9, 2026. In the petition, the Debtors reported
$100 million to $500 million in estimated assets and estimated
liabilities of $1 billion to $10 billion.
The Hon. Bankruptcy Judge Stacey L. Meisel handles the jointly
administered cases.
The Debtors are represented by lawyers at KIRKLAND & ELLIS LLP and
COLE SCHOTZ P.C. The Debtors hired GBH SOLIC HOLDCO, LLC as
investment banker and BERKELEY RESEARCH GROUP, LLC as restructuring
advisor. STRETTO, INC. serves as their claims and noticing agent.
RETAIL CONSULTING SERVICES, INC., D/B/A REAL ESTATE ADVISORS, is
their real estate consultant. The Company retained Hilco Merchant
Resources, LLC and SB360 Capital Partners, LLC to assist with the
winddown.
An official committee to represent unsecured creditors in the
Chapter 11 cases has been appointed.
ELECTROCORE INC: Widens Net Loss to $13.97M in 2025
---------------------------------------------------
Electrocore, Inc., filed a Form 10-K with the Securities and
Exchange Commission, reporting a net loss of $13.97 million on
$32.03 million in net sales for the year ended Dec. 31, 2025,
compared with a net loss of $11.89 million on $25.18 million in net
sales a year earlier.
The company reported total assets of $18.67 million and total
liabilities of $20.38 million as of Dec. 31, 2025, resulting in a
stockholders' deficit of $1.71 million, according to the filing.
In its audit report dated March 19, 2026, CBIZ CPAs P.C. issued a
going-concern qualification, citing the company's significant
losses and need to raise additional capital, raising substantial
doubt about its ability to continue operations.
Electrocore reported cash, cash equivalents, and marketable
securities of $11.6 million at Dec. 31, 2025, down from $12.2
million a year earlier.
Net cash used in operating activities totaled $8.2 million in 2025,
compared with $6.9 million in 2024, according to the filing. The
increase reflected a higher net loss, partially offset by changes
in working capital, including accounts payable.
Net cash provided by investing activities was $3.9 million in 2025,
compared with $8.5 million in 2024. The company said 2025 activity
was driven mainly by proceeds from selling marketable securities,
while the prior year reflected purchases of such securities.
Net cash provided by financing activities totaled $7.6 million in
2025, driven primarily by proceeds from convertible term debt
financing with Avenue, according to the filing. This compared with
$8.4 million in 2024, when financing activity was driven by a
registered direct offering, concurrent private placements, and
warrant exercises.
The company noted it has never been profitable and has consistently
used cash in operations since inception, contributing to its
liquidity challenges.
Electrocore said it has historically funded operations through
equity and debt financings and continues to rely on external
funding to support its activities.
The company also disclosed that it expects to continue incurring
net losses in the near term as it works to expand market adoption
of its products.
The company stated that its expected cash requirements are
dependent on the commercial success of its products and that
current forecasted cash is insufficient to fund planned operations
for at least the next 12 months.
It added that these conditions raise substantial doubt about its
ability to continue as a going concern and noted there can be no
assurance it will generate sufficient cash flow or secure
additional financing to sustain operations.
A full-text copy of the Form 10-K is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1560258/000149315226011636/form10-k.htm#an_001
About Electrocore
Electrocore, headquartered in Rockaway, New Jersey, develops
bioelectronic technologies, including gammaCore, a non-invasive
vagus nerve stimulation device, and Quell, a product for
fibromyalgia and chronic pain management. The company also markets
Truvaga and TAC-STIM, handheld wellness devices, and generates
revenue from both prescription medical devices and consumer
wellness products in domestic and select international markets.
FABRICATION DESIGNS: Case Summary & 20 Top Unsecured Creditors
--------------------------------------------------------------
Debtor: Fabrication Designs, Inc.
7463 New Ridge Rd., Suite A
Hanover, MD 21076-3105
Business Description: Fabrication Designs, Inc. is a
Hanover, Maryland-based manufacturer specializing in forced-entry
and bullet-resistant (FEBR) security systems. Founded in 1988, the
company produces made-to-order products including doors, windows,
louvers, and guard booths. It provides integrated services spanning
in-house manufacturing, engineering, and installation, serving
customers in the security and defense sectors.
Chapter 11 Petition Date: March 23, 2026
Court: United States Bankruptcy Court
District of Maryland
Case No.: 26-13061
Debtor's Counsel: Joseph Selba, Esq.
TYDINGS ROSENBERG LLP
One East Pratt Street, #901
Baltimore, MD 21202
Tel: (410) 752-9753
Email: jselba@tydings.com
Estimated Assets: $500,000 to $1 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Kenneth Best as president.
A full-text copy of the petition, which includes a list of the
Debtor's 20 largest unsecured creditors, is available for free on
PacerMonitor at:
https://www.pacermonitor.com/view/44G4MXI/Fabrication_Designs_Inc__mdbke-26-13061__0001.0.pdf?mcid=tGE4TAMA
FAITH ELECTRIC: Trustee Files Restructuring Plan
------------------------------------------------
Sam D. Heigle, in his capacity as chapter 11 trustee over the
estate of Faith Electric, Inc. and affiliates, submitted a First
Amended Disclosure Statement describing Plan of Reorganization
dated March 13, 2026.
Faith Electric and its Debtor affiliates comprise a multi-state
electrical company specializing in the sale, installation and
repair of generators.
Faith Electric and its Debtor affiliates sell and service
generators pursuant to a franchise agreement between non-debtor,
Partida Holdings, LLC and Generator Supercenter Franchising, LLC.
As of the Petition Date, Faith Electric had 24 employees.
The Trustee was appointed on August 11, 2025. The Trustee was
appointed on an emergency basis on the heels of the Debtors' former
principal, Austin Partida's removal of $160,000.00 from the
Debtors' debtor-in-possession bank accounts for unauthorized
purposes.
The Trustee is seeking to confirm a plan under chapter 11 of the
Bankruptcy Code. Specifically, the Trustee is seeking to move
forward with a Plan to recapitalize its balance sheet and to retire
existing postpetition indebtedness having recourse to all
collateral of the Debtors by virtue of superpriority, priming liens
in exchange for the grant of new equity interests in the Debtors
(the "Restructuring Transaction"). The Plan is supported by the
Debtors' largest creditor, F&M Bank.
The Plan encompasses a comprehensive restructuring of the Debtors'
existing debt obligations in these Chapter 11 Cases (the
"Restructuring"). The Restructuring proposed by the Trustee will
provide substantial benefits to the Debtors and their stakeholders,
including, without limitation, the following:
* Except as otherwise provided in the Plan, all assets of the
Debtors will be transferred to Faith Electric prior to and as a
condition to the Effective Date. The Restructuring will transfer
the equity interests in Faith Electric in satisfaction of the
Postpetition Loan Claims and the Class 1 (F&M – Wells
Subrogation) Claim. After the Effective Date, F&M Bank, as the
Holder of the Allowed Postpetition Loan Claims and the Class 1 (F&M
– Wells Subrogation) Claim will own 100% of the equity interests
in Reorganized Faith Electric.
* The continuation of Reorganized Faith Electric's business
will provide benefit by (i) maintaining contractual relationships
with (a) vendors and (b) customers, and (ii) continued employment
of Faith Electric's employees.
* Reorganized Partida Tulsa, Reorganized Partida Little Rock,
Reorganized Partida Lawton, and Reorganized Partida Fayetteville
shall continue in existence after the Effective Date. Unless
otherwise determined by F&M Bank, in its sole discretion, New
Equity Interests in each of Partida Tulsa, Partida Little Rock,
Partida Lawton, and Partida Fayetteville shall be issued to
Reorganized Faith Electric.
* The Restructuring will provide the basis for moving forward
for Reorganized Faith Electric to continue to do business with many
current vendors and suppliers, thereby providing economic
contribution to the vendor and supplier community.
* The Restructuring will provide recovery to certain Classes
of Claims that could expect a lesser recovery, or no recovery, if
the Debtors were liquidated under chapter 7 of the Bankruptcy Code
or if the Holder of the Postpetition Loan Claim were to exercise
foreclosure rights.
Class 3 consists of Allowed General Unsecured Claims against each
Debtor, but excludes, to the extent applicable, Other Secured
Claims and Intercompany Claims. The Allowed General Unsecured
Claims are fully impaired under the Plan. Consequently, Holders of
Allowed General Unsecured Claims will receive no distributions or
property in satisfaction of such Claims.
Class 5 consists of Equity Interests in each Debtor. On the
Effective Date, all Equity Interests in the Debtors shall be deemed
cancelled, and the Holders of such Equity Interests shall not
receive any Plan Distribution or retain any property or interest in
property on account of their respective Equity Interests in the
Debtors, or any of them.
The Reorganized Debtors shall fund any Cash Plan Distributions with
Cash on hand, including Cash from operations and borrowing under
the Exit Facility.
Pursuant to section 1123 of the Bankruptcy Code and Bankruptcy Rule
9019, and in consideration for the classification, distributions,
releases, and other benefits provided under the Plan, upon the
Effective Date, the provisions of the Plan shall constitute a good
faith compromise and settlement of all Claims and Equity Interests
and controversies resolved pursuant to the Plan. To the extent the
Plan is not confirmed, the Debtors and F&M Bank reserve all rights
with respect to the Plan and the treatment, classification,
distributions, releases, and other benefits provided thereunder.
On the Effective Date, and pursuant to the Plan or the applicable
Plan Supplement documents, the Trustee or Reorganized Debtors, as
applicable, shall enter into the Restructuring Transactions
contemplated in the Plan, and shall take any actions as may be
reasonably necessary or appropriate to implement the Plan,
including one or more mergers, consolidations, conversions,
dissolutions, transfers or liquidations as may be determined by the
Trustee or the Reorganized Debtors, as applicable, to be necessary
or appropriate that are consistent with the terms of the Plan.
A full-text copy of the First Amended Disclosure Statement dated
March 13, 2026 is available at https://urlcurt.com/u?l=6juX1u from
PacerMonitor.com at no charge.
Attorneys for Sam D. Heigle, in his Capacity as Chapter 11
Trustee:
William H. Hoch, Esq.
Craig M. Regens, Esq.
Kaleigh M. Ewing, Esq.
Crowe & Dunlevy
324 N. Robinson Ave., Suite 100
Oklahoma City, OK 73102
Telephone: (405) 235-7700
Email: will.hoch@crowedunlevy.com
About Faith Electric Inc.
Faith Electric, Inc. is an Oklahoma City-based company, which
specializes in electrical contracting services. It offers design,
installation, and repair for residential, commercial, and
industrial clients. In 2019, the company rebranded as Generator
Supercenter of Oklahoma, focusing primarily on Generac generator
sales, installation, and maintenance.
Faith Electric filed Chapter 11 petition (Bankr. W.D. Okla. Case
No. 25-10921) on March 31, 2025, listing up to $10 million in both
assets and liabilities. Austin Partida, chief executive officer of
Faith Electric, signed the petition.
Judge Sarah A. Hall oversees the case.
Amanda R. Blackwood, Esq., at Blackwood Law Firm, PLLC, is the
Debtor's bankruptcy counsel.
Wells Fargo Commercial Distribution Finance, as secured creditor,
is represented by:
Ross A. Plourde, Esq.
McAfee & Taft, A Professional Corporation
8th Floor, Two Leadership Square
211 North Robinson
Oklahoma City, OK 73102-7103
Telephone: (405) 235-9621
Facsimile: (405) 235-0439
Email: ross.plourde@mcafeetaft.com
F&M Bank, as DIP lender, is represented by:
Kevin Blaney, Esq
McAfee & Taft
8th Floor, Two Leadership Square
211 N Robinson Ave
Oklahoma City, OK 73102
Telephone:(405) 235-8445
Facsimile:(405) 236-3410
Email: kevin.blaney@mcafeetaft.com
FELT & FAT: Court Extends Cash Collateral Access to April 10
------------------------------------------------------------
Felt and Fat, LLC received fifth interim approval from the U.S.
Bankruptcy Court for the Eastern District of Pennsylvania to use
cash collateral.
The court authorized the Debtor to use cash collateral strictly in
accordance with the budget for the period from the petition date
through April 10.
As adequate protection, secured lenders were granted replacement
liens on post-petition assets of the Debtor, with the same
validity, priority and extent as their pre-bankruptcy liens.
In case such protection proves insufficient, the lenders will be
granted superpriority administrative expense claims under Section
507(b).
The lenders include the U.S. Small Business Administration, PIDC
Community Capital, United Bank of Philadelphia, PNC Bank, and
Citizens Bank, N.A. The Debtor also owes non-traditional lenders --
Shopify Capital (owed $106,366) and Wayflyer (owed $258,000) -- on
account of loans that may be secured by liens on its assets.
The order preserves creditors' rights to conduct inspections and
audits of the Debtor's books, records, and collateral upon notice,
and allows lenders and other parties in interest to seek
modifications for cause.
A copy of the court's order and the Debtor's budget is available at
https://shorturl.at/oBIHq from PacerMonitor.com.
The next hearing is scheduled for April 8. Objections must be filed
by April 1.
PIDC Community Capital is represented by:
Louis I. Lipsky, Esq.
Lipsky and Brandt
1101 Market Street, Suite 2820
Philadelphia, PA 19107
Phone: 215-922-664
Fax: 215-440-7185
United Bank of Philadelphia is represented by:
Matthew Lipman, Esq.
McElroy, Deutsch, Mulvaney & Carpenter, LLP
1 Penn Center, Suburban Station
1617 JFK Blvd., Ste. 1500
Philadelphia, PA 19103
Phone: (215) 557-2900
Fax: (215) 557-2990
mlipman@mdmc-law.com
About Felt and Fat LLC
Felt and Fat, LLC is an innovative and collaborative ceramic design
and manufacturing hub that provides manufacturing jobs to its local
community in Kensington, Philadelphia, Pennsylvania.
Felt and Fat sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. E.D. Pa. Case No. 25-14162) on October 14,
2025, listing between $100,001 and $500,000 in assets and between
$1 million and $10 million in liabilities.
Judge Patricia M. Mayer presides over the case.
Albert Anthony Ciardi, III, Esq., at Ciardi Ciardi & Astin,
represents the Debtor as legal counsel.
FERRELLGAS PARTNERS: Converts Class B Units to 6.5MM Class A Units
------------------------------------------------------------------
Ferrellgas Partners, L.P. disclosed in a regulatory filing that the
Partnership made the previously disclosed cash distribution to
holders of its Class B Units and achieved the "Class B Conversion
Threshold", as defined in the Sixth Amended and Restated Agreement
of Limited Partnership of Ferrellgas Partners, L.P. dated as of
March 30, 2021.
On March 16, 2026, the Partnership delivered written notice to the
holders of the Class B Units of the Partnership's election,
pursuant to the terms of the Partnership Agreement, to convert each
Class B Unit into Class A Units of the Partnership at the "Class B
Conversion Factor", as defined in the Partnership Agreement, in
effect at the time of such election, which was 5.00.
Accordingly, effective as of the delivery of such notice on March
16, 2026, each outstanding Class B Unit was converted into five
Class A Units, with the aggregate number of Class A Units issued
upon conversion of all Class B Units being 6,500,000. The
Partnership has engaged Computershare Inc. and its affiliate
Computershare Trust Company, N.A. to serve as conversion agent for
such conversion.
Pursuant to the terms of the Partnership Agreement, the
Partnership's public accounting firm has determined that the Class
A Units issued upon conversion of the Class B Units are fully
fungible with all other Class A Units. Accordingly, the Partially
Converted Class A Units are "Fully Converted Class A Units", as
defined in the Partnership Agreement, and tradable pari passu with
the previously outstanding Class A Units.
A copy of the notice to holders of Class B Units is available at
https://tinyurl.com/sf5tdykc
About Ferrellgas
Ferrellgas Partners, L.P., through its operating partnership,
Ferrellgas, L.P., and subsidiaries, serves propane customers in all
50 states, the District of Columbia, and Puerto Rico.
As of January 31, 2026, the Company had total assets of $1.5
billion, total liabilities of $1.9 billion (calculated as current
liabilities of $350.78 million + long-term debt of $1.5 billion +
operating lease liabilities of $21.7 million + other liabilities of
$55.9 million), mezzanine equity (Senior preferred units) of $651.3
million, and total Ferrellgas Partners, L.P. deficit of $982.3
million.
* * *
In October 2025, S&P Global Ratings raised its Company credit
rating on Ferrellgas Partners L.P. to 'B' from 'CCC'. . . "The
stable outlook reflects our expectation that Ferrellgas will
maintain S&P Global Ratings-adjusted leverage in the 6.0x-6.5x
range over our forecast period."
FIEE INC: Swings to $1.07 Million Net Income in 2025
----------------------------------------------------
FiEE, Inc., filed a Form 10-K with the Securities and Exchange
Commission, reporting net income of $1.07 million on $6.19 million
in revenue for the year ended Dec. 31, 2025, compared with a net
loss of $4.22 million on $639,893 in revenue a year earlier.
The company said it began generating operating profit in the fourth
quarter of 2025.
It also reported $3.1 million in cash at Dec. 31, 2025, up from
$30,000 a year earlier, with no borrowings outstanding and working
capital of $2.4 million.
UHY LLP issued a going concern qualification in its March 20, 2026
report, citing the company's history of losses and negative cash
flows as factors raising substantial doubt about its ability to
continue as a going concern.
As of Dec. 31, 2025, FiEE had $10.77 million in total assets, $4.18
million in total liabilities and $6.59 million in stockholders'
equity.
The company said it has relied on preferred and common stock sales
to fund operations and may need additional equity or debt financing
going forward.
Cash provided by operating activities was $3.6 million in 2025,
compared with cash used in operating activities of $3.7 million in
2024. The improvement largely came from a shift to net income,
along with non-cash adjustments and stronger working capital
movements.
FiEE used $4.9 million in investing activities in 2025, mainly for
acquisitions and purchases of property, equipment and software.
That compared with $12,000 in cash generated from investing
activities in 2024.
According to the company, it is transitioning into a digital
services provider focused on artificial intelligence and data
analytics for content creation, digital authentication and brand
management. It also offers software development and maintenance
services, including custom solutions from system design through
post-launch support.
A full-text copy of the Form 10-K is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1467761/000182912626002591/fieeinc_10k.htm
About FiEE Inc.
FiEE, Inc., based in Tsuen Wan, Hong Kong, was founded in 1977 as a
networking company and formerly operated as Minim, Inc. Its legacy
products included cable modems, routers and mesh networking devices
sold through retailers and e-commerce channels in the United
States. Today, the company focuses on digital content and MCN
services, software development, and digital authentication
services.
FINCH THERAPEUTICS: Case Summary & Six Unsecured Creditors
----------------------------------------------------------
Lead Debtor: Finch Therapeutics Group, Inc.
75 State Street, Suite 100
Boston, MA 02109
Business Description: Finch Therapeutics Group Inc. is
a microbiome therapeutics company founded in 2014 that focused on
technologies designed to restore the human microbiome and address
diseases linked to microbial imbalances. The company built an
intellectual property portfolio of more than 160 U.S. and
international patents and applications covering donor-derived and
donor-independent therapies for conditions such as ulcerative
colitis, Crohn's disease and autism spectrum disorder. After
discontinuing its Phase III CP101 trial for recurrent
Clostridioides difficile infection in January 2023, Finch ceased
development activities and shifted its focus to monetizing its
intellectual property through licensing and enforcement, and as of
March 22, 2026, is non-operating with no consistent revenue or
positive cash flow, with its primary assets consisting of its
intellectual property and related research portfolio.
Chapter 11 Petition Date: March 22, 2026
Court: United States Bankruptcy Court
District of Delaware
Four affiliates that concurrently filed voluntary petitions for
relief under Chapter 11 of the Bankruptcy Code:
Debtor Case No.
------ --------
Finch Therapeutics Group, Inc. (Lead Case) 26-10409
Finch Therapeutics, Inc. 26-10410
Finch Therapeutics Holdings, LLC 26-10411
Finch Research and Development LLC 26-10412
Judge: Hon. Laurie Selber Silverstein
Debtors'
Bankruptcy
Counsel: Robert A. Weber, Esq.
Aaron J. Bach, Esq.
Alison R. Maser, Esq.
CHIPMAN BROWN CICERO & COLE, LLP
Hercules Plaza
1313 North Market Street, Suite 5400
Wilmington, Delaware 19801
Phone: (302) 295-0191
E-mail: weber@chipmanbrown.com
bach@chipmanbrown.com
maser@chipmanbrown.com
- and -
Daniel G. Egan, Esq.
CHIPMAN BROWN CICERO & COLE, LLP
420 Lexington Avenue, Suite 442
New York, New York 10170
Phone: (646) 741-5529
E-mail: egan@chipmanbrown.com
- and -
Gregg M. Galardi, Esq.
Cristine Pirro Schwarzman, Esq.
Daniel C. Villalba, Esq.
Cameron J. Cavalier, Esq.
ROPES & GRAY LLP
1211 Avenue of the Americas
New York, New York 10036
Tel: (212) 596-9000
Fax: (212) 596-9090
E-mail: gregg.galardi@ropesgray.com
cristine.schwarzman@ropesgray.com
dan.villalba@ropesgray.com
cameron.cavalier@ropesgray.com
Debtors'
Investment
Banker and
Financial
Advisor: ROCK CREEK ADVISORS
Debtors'
Noticing,
Claims,
Plan Solicitation,
Balloting,
Disbursement, and
Claims Management
Agent: OMNI AGENT SOLUTIONS, INC.
Finch Therapeutics Group's
Estimated Assets: $1 million to $10 million
Finch Therapeutics Group's
Estimated Liabilities: $0 to $50,000
The petitions were signed by Matthew P. Blischak as chief executive
officer.
A full-text copy of the Lead Debtor's petition is available for
free on PacerMonitor at:
https://www.pacermonitor.com/view/SB42RLQ/Finch_Therapeutics_Group_Inc__debke-26-10409__0001.0.pdf?mcid=tGE4TAMA
List of Finch Therapeutics Group's Six Unsecured Creditors:
Entity Nature of Claim Claim Amount
1. Hood Park LLC Landlord $2,757,541
6 Kimball Lane
Lynnfield, MA 01940
Maria Fabbo
Email: mfabbo@catamountmanagement.com
Phone: 617-6607407
2. Morgan Lewis & Bockius LLP Professional $850
2222 Market Street Services
Philadelphia, PA
19103-3007
Sara Egan
Email: sara.egan@morganlewis.com
Phone: 215-963-5331
3. Anderson & Kreiger, LLP Professional $755
50 Milk Street, 21st Floor Services
Boston, MA 02109
Renita Norris
Email: norris@andersonkreiger.com
Phone: 617-621-6500
4. Blu Planet Supply LLC Trade Creditor $76
29 Sawyer Rd
Waltham, MA
02453-3427
Vince Wong
Email: sperdomo@bluplanetsupply.com
Phone: 781-647-5672
5. Blue Mantis Inc. Trade Creditor $68
2 International Drive
Ste. 260
Portsmouth, NH
03801-6810
James Ranne
Email: billing@bluemantis.com
Phone: 207-475-1656
6. Iron Mountain Trade Creditor $39
1101 Enterprise Drive
Royersford, PA 19468
Taiyaba Begum
Email: Taiyaba.Begum@ironmountain.com
Phone: 215-392-0891
FREIGHT TECHNOLOGIES: Nets $975,000 From Private Placement
----------------------------------------------------------
Freight Technologies, Inc. disclosed in a regulatory filing that it
entered into a Securities Purchase Agreement with the Freight
Opportunities LLC, (the "Buyer"), pursuant to which the Company
agreed to sell to the Buyer 1,000,000 Series C preferred shares,
par value $0.0001 per share of the Company, which have the rights,
preferences and privileges set forth in the Amended and Restated
Memorandum and Articles of Association, filed with the Registrar of
Corporate Affairs of the British Virgin Islands on March 12, 2026
for an aggregate purchase price of $1,000,000 in a private
placement.
The Offering raised net cash proceeds of approximately $975,000
(after deducting the transfer agent and legal fees and expenses of
the Offering). The Company intends to use the net cash proceeds
from the Offering for working capital and corporate purposes.
Pursuant to the A&R M&A, each Series C Preferred Share is
immediately convertible on the date of issuance, at the option of
the Buyer, at any time and from time to time, and without the
payment of additional consideration by the Buyer, into such number
of fully paid and non-assessable ordinary shares, with no par value
per share, of the Company.
Securities Purchase Agreement
The Securities Purchase Agreement contains customary
representations and warranties. Pursuant to the Securities Purchase
Agreement, the Buyer may request that the Conversion Shares are
registered on a registration statement that the Company determines
to prepare and file with the U.S. Securities and Exchange
Commission relating to an offering of its equity securities under
the Securities Act of 1933, as amended. These "piggy-back" rights
do not apply to registration statements filed on Form S-4 or Form
S-8 (or their then equivalents) relating to equity securities to be
issued solely in connection with any acquisition of any entity or
business, or equity securities issuable in connection with the
Company's stock option or other employee benefit plans subject to
the conditions set forth in the Securities Purchase Agreement.
In addition, the Company has agreed, pursuant to the Securities
Purchase Agreement, that, until such time as the Buyer no longer
hold any Series C Preferred Shares, the Company will not issue,
grant or sell, or enter into an agreement to issue, grant or sell,
any Ordinary Shares at a price per share less than the conversion
price of the Series C Preferred Shares in effect immediately prior
to such granting, issuance or sale.
Series C Preferred Shares
Additionally, in connection with the Securities Purchase Agreement,
on March 11, 2026, the Company's board of directors approved the
form of and the filing of A&R M&A, which the Company filed on March
12, 2026. The A&R M&A amends several provisions with respect to the
Series C Preferred Shares. The amended material terms of the Series
C Preferred Shares are as follows:
Conversion: Each Series C Preferred Share is immediately
convertible on the date of issuance, by dividing the Series C
stated value, $1.00 per share, by the applicable conversion price
at the option of the shareholder thereof, at any time and from time
to time, and without the payment of additional consideration by the
shareholder thereof, into such number of fully paid and
non-assessable Ordinary Shares. Pursuant to the A&R M&A, the
Conversion Price will be the quotient of: the lower of
(A) $3.012 with respect to the Series C Preferred Shares
issued to DIP SPV I, L.P. in December 2025 and, with respect to any
other issuance, 120% of the closing price per Ordinary Share on the
trading date immediately preceding the date of a definitive
agreement to issue any Series C Preferred Shares and
(B) the lowest daily Volume-Weighted Average Price of the
Ordinary Shares in the seven consecutive trading day period
immediately preceding the date of the conversion of the applicable
Series C Preferred Shares; in each case subject to the terms and
conditions set forth in the Amended and Restated M&A.
Waiver: Any rights, powers, preferences and other terms of the
Series C Preferred Shares in the Schedule of the A&R M&A, may be
waived on behalf of all holders of Series C Preferred Shares by the
written consent or affirmative vote of the Series C Requisite
Holders. The "Series C Requisite Holder(s)" means the written
consent or affirmative vote of the holders of at least a majority
of the outstanding Series C Preferred Shares voting together as a
single class, which majority must include the consent or
affirmative vote of DIP SPV I, L.P. and Freight Opportunities LLC.
Right of Redemption: The Company may redeem all or any portion of
the issued and outstanding Series C Preferred Shares at the Series
C Preferred Redemption Price by providing written notice to the
holders of not less than a majority of the then-outstanding Series
C Preferred Shares 20 trading days prior to the requested date of
redemption.
On the Series C Redemption Date, the Company shall deliver to each
holder its applicable amount in cash. "Series C Preferred
Redemption Price" means the greater of:
(i) the Series C Stated Value of the Series C Preferred Shares
being redeemed and
(ii) an amount equal to the product of:
(A) the number of Conversion Shares underlying the Series
C Preferred Shares being redeemed multiplied by
(B) the greater of:
(1) the VWAP on date of the Series C Redemption
Notice and
(2) the VWAP on the trading day immediately prior to
the Series C Redemption Date.
The holders of the Series C Preferred Shares may convert Series C
Preferred Shares subject to a Series C Redemption Notice on or
after the date of a Series C Redemption Notice received by such
holder, through the trading day immediately prior to the Series C
Redemption Date, which shall reduce the number of Series C
Preferred Shares redeemed pursuant to such Series C Redemption
Notice on the Series C Redemption Date.
Full texts of the Securities Purchase Agreement and A&R M&A are
available at https://tinyurl.com/ycunbt3d and
https://tinyurl.com/metfev2f, respectively.
Unregistered Sales of Securities
The issuance and sale of the Series C Preferred Shares and the
issuance of any Conversion Shares will be exempt from the
registration requirements of the Securities Act pursuant to the
exemption for transactions by an issuer not involving any public
offering under Section 4(a)(2) of the Securities Act and Rule
506(b) of Regulation D of the Securities Act and in reliance on
similar exemptions under applicable state laws. Each of the Buyers
represented that it is an accredited investor within the meaning of
Rule 501(a) of Regulation D and was acquiring the securities for
investment only and not with a view towards, or for resale in
connection with, the public sale or distribution thereof. The
securities were offered without any general solicitation by the
Company or its representatives.
Freight Opportunities LLC may be reached through:
David E. Danovitch, Esq.
Sullivan & Worcester LLP
1251 Avenue of the Americas
New York, New York 10020
Telephone: (212) 660-3060
E-mail: ddanovitch@sullivanlaw.com
About Freight Technologies, Inc.
Freight Technologies (Nasdaq: FRGT) is a logistics management
innovation company, offering a diverse portfolio of
technology-driven solutions that address distinct challenges within
the supply chain ecosystem.
Diamond Bar, California-based TAAD, LLP, the Company's auditor
since 2025, issued a "going concern" qualification in its report
dated April 11, 2025, attached to the Company's Annual Report on
Form 10-K for the year ended December 31, 2024, citing that the
Company has suffered recurring losses from operations that raises
substantial doubt about its ability to continue as a going
concern.
As of September 30, 2025, the Company had $12,201,412 million in
total assets, $5,917,313 in total liabilities, and $6,284,099 in
total stockholders' equity.
FUTURE FINTECH: Narrows Net Loss to $2.75 Million in 2025
---------------------------------------------------------
Future FinTech Group Inc. filed a Form 10-K with the Securities and
Exchange Commission, reporting a net loss of $2.75 million on $3.83
million in revenue for the year ended Dec. 31, 2025, compared with
a net loss of $33.18 million on $2.11 million in revenue a year
earlier.
As of Dec. 31, 2025, the company had $53.29 million in total assets
and $9.33 million in total liabilities, with stockholders' equity
of $43.96 million.
Auditor Fortune CPA, Inc., in a report dated March 18, 2026, issued
a "going concern" qualification, stating that the company has
suffered operating losses, which raises substantial doubt about its
ability to continue as a going concern.
The company said it has incurred operating losses and negative
operating cash flows, and may continue to do so as it executes its
business strategy. It added that its ability to continue as a
going concern depends on its ability to implement its strategy and
achieve profitable operations.
Future FinTech disclosed it currently finances operations primarily
through convertible notes and equity issuance. Cash and cash
equivalents, including restricted cash, totaled $5.08 million as of
Dec. 31, 2025, up from $4.77 million a year earlier.
Working capital increased to $42.55 million as of Dec. 31, 2025,
from $7.60 million as of Dec. 31, 2024, driven mainly by higher
investment funds and lower accrued expenses and other payables.
Net cash used in operating activities from continuing operations
amounted to $31.77 million in 2025, compared with $20.43 million in
2024.
The 2025 figure reflected a net loss from continuing operations of
$30.95 million, adjusted for non-cash items including $28.14
million in credit loss allowances, a $2.98 million gain on debt
restructuring and $1.09 million in share-based payments, along with
changes in working capital. These included a $27.24 million
increase in other receivables and a $2.35 million decrease in
accrued expenses and payables, partially offset by increases in
accounts payable and other liabilities and a decline in accounts
receivable.
In 2024, the company's operating cash use reflected a $33.74
million net loss from continuing operations adjusted for non-cash
items, alongside working capital changes that included increases in
receivables and advances to suppliers, partially offset by lower
accounts receivable.
Net cash used in investing activities totaled $28.96 million in
2025, compared with $1.72 million in 2024. The 2025 outflow was
primarily driven by a $29.93 million prepayment for a business
acquisition, partially offset by $0.84 million in repayments from a
debt investment.
Net cash provided by financing activities was $31.77 million in
2025, up from $2.48 million in 2024. The increase was mainly due to
$30.00 million in net proceeds from common stock issuance and $1.80
million from convertible notes.
A full-text copy of the Form 10-K is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1066923/000121390026030833/ea0277943-10k_future.htm
About Future FinTech
Future FinTech Group Inc., headquartered in Causeway Bay, Hong Kong
and incorporated in Florida, is a holding company that provides
financial technology-related services, including supply-chain
financing and trading in China. Originally engaged in fruit juice
production and distribution in China, the company has shifted its
business model toward fintech, while previously operating in asset
management, cross-border payments, brokerage and cryptocurrency
mining. It has divested several subsidiaries and discontinued
certain operations in recent years as it refocused on its core
supply-chain financing and trading activities.
GATEKEEPER SECURITY: Taps Fisher Law Offices as Bankruptcy Counsel
------------------------------------------------------------------
Gatekeeper Security Solutions, LLC seeks approval from the U.S.
Bankruptcy Court for the District of New Hampshire to hire Fisher
Law Offices, PLLC to serve as bankruptcy counsel.
The firm will provide these services:
(a) preparing the bankruptcy petition, schedules, and statement of
financial affairs, and other documents required for filing the
Debtor's case pursuant to the Bankruptcy Code, the Federal Rules of
Bankruptcy Procedure, and this Court's local bankruptcy rules;
(b) representing the Debtor at the meeting of creditors and various
hearings in this case;
(c) negotiating with the Debtor's secured creditors regarding use
of cash collateral;
(d) negotiating with the Debtor's contractual counterparties
regarding the assumption or rejection of executory contracts and
leases;
(e) negotiating with the Debtor's creditors and other
parties-in-interest regarding a plan of reorganization;
(f) negotiating with possible buyers of all or substantially all
the Debtor's real property;
(g) advising the Debtor regarding issues arising in this chapter 11
proceeding, including the Debtor's responsibilities as
debtor-in-possession, representing the Debtor in any adversary
proceedings or stay relief litigation which may be commenced by or
against the Debtor or its assets;
(h) reviewing and analyzing claims against the Debtor and the
proper treatment of such claims, including the filing of objections
or stipulations regarding such claims; and
(i) performing all other necessary legal services in connection
with the Debtor's chapter 11 case including, but not limited to,
filing a Chapter 11 plan and taking all steps necessary to obtain
confirmation and consummation of such plan.
Fisher Law Offices, PLLC will receive an hourly rate of $300, and
an hourly rate of $100 is for paralegal services.
Fisher Law Offices, PLLC is a "disinterested person" within the
meaning of Section 101(14) of the Bankruptcy Code, according to
court filings.
The firm can be reached at:
Michael B. Fisher, Esq.
FISHER LAW OFFICES, PLLC
45 Lyme Road, Suite 205
Hanover, NH 03755
Telephone: (603) 643-1313
E-mail: fisher@mbfisherlaw.com
About Gatekeeper Security
Solutions, LLC
Gatekeeper Security Solutions, LLC sought protection under Chapter
11 of the Bankruptcy Code (Bankr. D. N.H. Case No. 26-10125) on
March 11, 2026.
At the time of the filing, Debtor had estimated assets of between
$0 to $50,000 and liabilities of between $100,001 to $500,000.
Fisher Law Offices, PLLC is Debtor's legal counsel.
GENESIS HEALTHCARE: Disputes Insider-Linked Claims in Bankruptcy
----------------------------------------------------------------
Angelica Serrano-Roman of Bloomberg Law reports that Genesis
Healthcare, now in Chapter 11, along with its unsecured creditors'
committee, is seeking to block claims filed by two Landau-linked
companies, contending the obligations are invalid. The challenge
was outlined in a complaint filed Tuesday in the U.S. Bankruptcy
Court for the Northern District of Texas.
The filing alleges that WAX Dynasty Partners LLC and MAO 22322 LLC
obtained their claims through fraudulent or sham transactions
executed while Genesis was insolvent. According to the debtors, the
transactions were designed to shift value to insiders and
disadvantage other creditors, the report states.
WAX is controlled by Joel Landau, co-founder of Pinta Capital
Partners, which previously invested in Genesis. The complaint
claims Landau leveraged his insider status to structure the
disputed transactions and secure a favorable position for
affiliated entities in the bankruptcy case, according to
Bloomberg.
Genesis and the committee are asking the court to disallow the
claims or, alternatively, subordinate them to the claims of other
creditors. A ruling on the matter will play a key role in
determining how recoveries are allocated in the Chapter 11 case,
the report states.
About Genesis Healthcare Inc.
Based in Culver City, Calif., Genesis Healthcare Inc. is a medical
group that provides physician services in Southern California.
Genesis Healthcare has operated under the names Daehan Prospect
Medical Group and Prospect Genesis Healthcare.
Genesis Healthcare Inc. and several affiliated debtors sought
relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D.
Tex. Lead Case 25-80185) on July 9, 2025. In its petition, Genesis
Healthcare Inc. listed between $1 billion and $10 billion in
estimated assets and liabilities.
The Hon. Bankruptcy Judge Stacey G. Jernigan handles the jointly
administered cases.
The Debtors employed McDermott Will & Schulte LLP as counsel;
Jefferies LLC as investment banker; and Ankura Consulting Group,
LLC, as restructuring advisors, and designated Louis E. Robichaux
IV and Russell A. Perry as co-chief restructuring officers. Katten
Muchin Rosenman LLP serves as special counsel at the sole direction
of Jonathan Foster and Elizabeth LaPuma in their capacity as
independent directors and members of the special investigation
committee.
The U.S. Trustee appointed an official committee of unsecured
creditors in the Chapter 11 cases of Genesis Healthcare Inc. and
affiliates. The committee retained Proskauer Rose LLP and Stinson
LLP as its co-counsel; FTI Consulting, Inc., as its financial
advisors; and Houlihan Lokey Capital, Inc. as its investment
banker.
GENTLE DENTAL: Gets Interim OK to Use Cash Collateral
-----------------------------------------------------
The U.S. Bankruptcy Court for the Northern District of Illinois,
Eastern Division, issued a 3rd interim order authorizing Gentle
Dental of Island Lake Ltd. to use cash collateral and continues
operating as a debtor-in-possession, with Trustee Neema Varghese
appointed in the case.
The Court authorized the Debtor to use cash collateral through May
18, as outlined in an approved budget covering March through May.
The Debtor demonstrated an immediate need to use the funds to
maintain business operations and confirmed it could not obtain
alternative financing. The secured lender, Cadence Bank, holds a
valid lien on the Debtor's assets, with at least $120,231 owed.
As adequate protection, Cadence Bank is granted replacement liens
on both existing and post-petition assets, maintaining the same
priority and validity as its pre-petition liens. The Debtor must
strictly follow the approved budget and cannot make payments
outside it without lender consent or further court approval. The
lender is also granted oversight rights, including access to
financial records, collateral inspection, and proof of asset
maintenance and insurance.
The order imposes ongoing compliance requirements, including
maintaining insurance, preserving collateral, and budgeting for
trustee fees.
The order remains effective on an interim basis, with further
hearings scheduled in May, including a status hearing on May 18.
A copy of the court's order and the Debtor's budget is available at
https://shorturl.at/ZTE95 from PacerMonitor.com.
About Gentle Dental of Island Lake Ltd.
Gentle Dental of Island Lake Ltd. provides general dental care for
the community of Island Lake, Illinois and the surrounding area.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. N.D. Ill. Case No. 25-16544) on October
28,
2025, with $0 to $50,000 in assets and $500,001 to $1 million in
liabilities.
Judge Michael B. Slade presides over the case.
James Young, Esq. at James Young Law represents the Debtor as legal
counsel.
GRIT PRODUCTIONS: Seeks to Extend Plan Exclusivity to July 10
-------------------------------------------------------------
Grit Productions, LLC, and affiliates asked the U.S. Bankruptcy
Court for the Northern District of Texas to extend their
exclusivity periods to file a plan of reorganization and obtain
acceptance thereof to July 10 and Sept. 9, 2026, respectively.
The Debtors explain that this is their first request for an
extension of the Exclusivity Periods. Because of the complexity of
these Chapter 11 Cases, an extension of the Exclusivity Periods
will give the Debtors sufficient and much needed time to negotiate
terms of a Chapter 11 plan of reorganization with their
stakeholders and memorialize the terms of both a plan and
disclosure statement.
Further, the Debtors' purpose in seeking extension of the
Exclusivity Periods is a good-faith effort to continue the
reorganization efforts they have initiated without the distraction
and costs of a competing plan process, which would be a distraction
and waste of the Debtors' limited time and resources. The relief
requested in the Motion is not intended for the purpose of coercing
or strong-arming any creditor, but rather to benefit all of the
Estates' stakeholders as a whole.
Moreover, an extension of the Exclusivity Periods will not result
in prejudice to any creditor or party in interest, and instead,
will enable the Debtors to continue focusing on preserving and
enhancing their going-concern value and proposing a viable, fair,
and comprehensive plan that is (ideally) supported by all major
constituents. Such a result is clearly in the best interest of the
Estates.
Counsel to the Debtors:
Bryan C. Assink, Esq.
Bryan N. Prentice, Esq.
Bonds Ellis Eppich Schafer Jones LLP
420 Throckmorton Street, Suite 1000
Fort Worth, TX 76102
Telephone: (817) 405-6900
Facsimile: (817) 405-6902
Email: bryan.assink@bondsellis.com
Email: brayn.prentice@bondellis.com
About Grit Productions
Grit Productions, LLC, Grit Expositions, LLC, Grit Transportation
Services, LLC, and Grit Holding Company, LLC operate as an
integrated group providing event-industry services that include
general services contracting, event production, video production,
content development, studio services, logistics support, and event
freight transportation. The companies offer single-source solutions
for live events, meetings, and expositions across their production,
planning, and transportation segments. They also engage in
community-focused initiatives related to industry development,
sustainability, and local outreach.
Grit Productions and its affiliates sought protection under Chapter
11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Lead Case No.
25-44447) on Nov. 13, 2025. At the time of the filig, Grit
Productions listed between $1 million and $10 million in assets and
between $10 million and $50 million in liabilities.
Judge Mark X. Mullin oversees the case.
Bryan C. Assink, at Bonds Ellis Eppich Schafer Jones, LLP, is the
Debtor's legal counsel.
HANSEN-MUELLER CO: Seeks to Extend Plan Exclusivity to July 15
--------------------------------------------------------------
Hansen-Mueller Co. asked the U.S. Bankruptcy Court for the District
of Nebraska to extend its exclusivity periods to file a plan of
reorganization and obtain acceptance thereof to July 15 and Sept.
13, 2026, respectively.
The Debtor explains that the most compelling basis for extending
the Exclusivity Periods is the existence of a significant
unresolved contingency-the pending adjudication of the 557 Claims.
Until the Court resolves these issues, the Debtor cannot
meaningfully assess: (a) the total amount of allowed claims against
the estate; (b) the priority of claims (i.e., whether claimants
hold secured, priority, or general unsecured claims); (c) the
distribution waterfall under a chapter 11 plan; and (d) the
feasibility of any proposed plan.
The Debtor claims that this chapter 11 case involves substantial
complexity arising from the Debtor's nationwide grain merchandising
and processing operations. The complexity of the 557 Claims alone
demonstrates the size and complexity of this case. The Court has
established expedited procedures under Section 557, and the Debtor
has filed an Omnibus Objection raising multiple categories of
objections to the 557 Claims, including objections based on
insufficient documentation, claims based on sold grain rather than
stored grain, unperfected security interests, untimely reclamation
demands, late-filed claims, claims improperly applying non-Nebraska
law, claims that do not constitute "grain" under Section 557(b)(1),
and claims asserting improper priority status under Section
507(a)(6).
The Debtor states that it has paid its postpetition debts in the
ordinary course of business or as otherwise provided by Court order
and intends to continue to do so. The Debtor has continued to
operate under interim cash collateral orders, meeting its
obligations to employees and critical vendors for goods and
services provided after the Petition Date.
The Debtor asserts that it has no ulterior motive in seeking an
extension of the Exclusivity Periods. The Debtor has worked
diligently and in good faith with all stakeholders, including the
Committee, the prepetition secured lenders, the Texas Producers,
and the sureties. The Debtor has engaged in extensive negotiations
and has sought to resolve disputes consensually where possible.
The Debtor further asserts that it seeks to maintain exclusivity to
focus its efforts on the resolution of the 557 Claims and the
formulation of a chapter 11 plan that maximizes value for all
creditors. Extending the Exclusivity Periods will benefit creditors
by avoiding the drain on estate assets attendant to the potential
proposal of competing chapter 11 plans and disputes relating
thereto.
Hansen-Mueller Co. is represented by:
Brian J. Koenig, Esq.
Donald L. Swanson, Esq.
Trevor J. Lee, Esq.
Koley Jessen, PC, LLO
1125 S. 103rd St.
Omaha, NE 68124
Telephone: (402) 390-9500
Facsimile: (402) 390-9005
Email: Brian.Koenig@koleyjessen.com
About Hansen-Mueller Co.
Hansen-Mueller Co. is a nationwide agribusiness company
headquartered in Omaha, Nebraska, engaged in grain merchandising
and processing with a diversified platform spanning the central
United States, including nine grain elevators, four port terminals,
and an oats processing facility producing pet food and animal feeds
in Toledo, Ohio. The Company operates four complementary business
units -- Oat Trading, Wheat Merchandising, Cross-Country Trading,
and a Houston Joint Venture -- and maintains grain trading offices
in multiple states, supported by a private railcar fleet and
multi-modal transportation network for domestic and international
flows. Founded in 1979, Hansen-Mueller employs approximately 120
people across its operations in the U.S. and conducts business in
44 states and 24 countries, focusing on niche crops, international
trade, and vertically integrated processing.
Hansen-Mueller Co. sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Neb. Case No. 25-81226) on November 17,
2025. In its petition, the Debtor reported between $100 million and
$500 million in assets and liabilities.
Honorable Bankruptcy Judge Thomas L. Saladino handles the case.
The Debtor tapped Brian J. Koenig, Esq., Donald L. Swanson, Esq.,
and Trevor J. Lee, Esq., at Koley Jessen PC, LLO as bankruptcy
counsel; Silverman Consulting as restructuring advisor; Michael G.
Compton as chief restructuring officer and financial advisor; and
Ascendant Consulting Partners, LLC as investment banker. The
Debtor's notice, claims and solicitation agent is Epiq Bankruptcy
Solutions, LLC.
HARVARD APPARATUS: 2025 Net Loss Narrows to $6.87 Million
---------------------------------------------------------
Harvard Apparatus Regenerative Technology, Inc., filed a Form 10-K
with the Securities and Exchange Commission, reporting a net loss
of $6.87 million on $704,000 in product revenue for the year ended
Dec. 31, 2025, compared with a net loss of $7.73 million on
$430,000 in product revenue a year earlier.
Total assets were $2.68 million as of Dec. 31, 2025, while
liabilities totaled $1.62 million, resulting in stockholders'
equity of $1.06 million, according to the filing.
CBIZ CPAs P.C., in an audit report dated March 19, 2026, issued a
going-concern qualification, citing recurring operating losses, an
accumulated deficit and negative cash flows from operations. The
auditor said these factors raise substantial doubt about the
company's ability to continue as a going concern.
The company reported an accumulated deficit of approximately $106.6
million as of Dec. 31, 2025, while continuing to invest in the
development and commercialization of its regenerative medicine
programs.
Net cash used in operating activities of approximately $3.8 million
for the year ended Dec. 31, 2025 reflected a net loss of about $6.9
million, partially offset by $2.1 million in non-cash adjustments
and an additional $0.9 million benefit from changes in working
capital, driven by the timing of payments for receivables,
inventory, prepaid expenses, and payables.
Net cash used in operating activities of about $4.9 million in 2024
was similarly driven by a net loss of $7.7 million, offset by $2.6
million in non-cash adjustments and about $0.3 million in working
capital changes.
Net cash generated from financing activities totaled approximately
$2.7 million in 2025, primarily from private placement transactions
that resulted in the issuance of 1,250,000 shares of common stock.
A year earlier, financing activities provided about $6.9 million,
including $6.5 million from private placements, $0.5 million from
debt financing and $0.4 million from warrant exercises, according
to the filing.
The company said it expects its cash on hand of about $1.4 million
as of Dec. 31, 2025 to fund operations into the second quarter of
2026, while noting it will continue to incur operating losses and
negative cash flows.
A full-text copy of the Form 10-K is available for free at
https://www.sec.gov/ix?doc=/Archives/edgar/data/1563665/000143774926009079/hrgn20251231_10k.htm
About Harvard Apparatus
Harvard Apparatus Regenerative Technology, Inc., headquartered in
Holliston, Massachusetts, is a clinical-stage biotechnology company
focused on regenerative medicine for diseases and injuries
affecting the gastrointestinal tract and airways. The company is
developing cell-therapy technologies based on a proprietary
platform using a patient's own stem cells. It also operates a
consumer health products business targeting e-commerce markets in
Asia.
HEADWAY WORKFORCE: Court Confirms Amended Plan of Reorganization
----------------------------------------------------------------
Judge Joseph N. Callaway of the U.S. Bankruptcy Court for the
Eastern District of North Carolina confirmed the First Amended Plan
of Reorganization of Headway Workforce Solutions, Inc. and its
debtor affiliates.
The Plan complies with the provisions of the Bankruptcy Code,
including, but not limited to, the confirmation requirements of
section 1129(a) of the Bankruptcy Code, except for section
1129(a)(8), as every impaired class has not accepted the Plan.
The Plan does not discriminate unfairly, and is fair and equitable,
with respect to each of the impaired classes that has not accepted
the Plan. The requirements of section 1129(b) of the Bankruptcy
Code are, therefore, satisfied.
The First Amended Disclosure Statement filed by the Debtors on
January 14, 2026, is approved.
The Plan is confirmed under the "cramdown" provisions of section
1129(b) of the Bankruptcy Code.
All objections to Claims and Administrative Claims must be filed by
the Claims Objection Deadline and Administrative Claims Objection
Deadline, respectively, each of which deadline is the date that is
the later of (a) 90 days after the Effective Date, (b) 30 days
after the Claim or Administrative Claim, as the case may be, is
filed with the Bankruptcy Court, or (c) such other date that is
extended by the Bankruptcy Court pursuant to the terms of the Plan.
As shared by the Troubled Company Reporter, Headway Workforce
Solutions, Inc., and its affiliates submitted a First Amended
Disclosure Statement in support of Plan of Reorganization dated
January 14, 2026.
Pursuant to the Plan, the Debtors propose two alternative
approaches to address Creditors' Allowed Claims: The first approach
is the issuance of Equity Interests in connection with the
reorganization of all of the Debtors. If the first approach is not
successful, the Debtors will file a notice to that effect with the
Bankruptcy Court and resort to the second approach -- a liquidation
of all of the Debtors.
For purposes of both approaches, on the Plan's Effective Date the
Debtors will establish a Litigation Trust that will be administered
by the Litigation Trustee. On the Effective Date, the Litigation
Trust Assets will pass and be transferred to the Litigation Trust
for the benefit of Creditors.
Under the first approach, the Debtors will implement the terms of a
settlement, as modified by the Plan, with Jackson Investment that
would be approved by the Bankruptcy Court prior to the Confirmation
Date providing for a reorganization and the issuance of new equity
interests of "Reorganized Staffing 360 Solutions, Inc." -- the
direct or indirect parent company of the other Debtors and certain
non-Debtor affiliates. If the Jackson Investment settlement is
approved by the Bankruptcy Court, then the existing equity
interests in Staffing 360 Solutions Inc. will be cancelled and
extinguished and new equity interests in Reorganized Staffing 360
Solutions, Inc. will be issued to Jackson Investment in exchange
for old debt in accordance with the terms of the Plan.
The cash component of the settlement will be included among the
Litigation Trust Assets that pass and are transferred to the
Litigation Trust. Thereafter, the Litigation Trustee will be
responsible for conducting litigation, liquidating any unsold
property in the Litigation Trust Assets, and making distributions
to Creditors in accordance with the provisions in the Plan.
If, on the other hand, the Debtors are unable to consummate the
issuance of new equity interests under the Plan with Jackson
Investment, then the Debtors will file a Liquidation Notice to
inform the Bankruptcy Court and parties in interest of record of
this. The Debtors will forego the issuance of equity interests and
proceed, instead, with an orderly liquidation of their assets and
estates. In that event, the Litigation Trustee will be responsible
for conducting litigation, liquidating any unsold property in the
Litigation Trust Assets, and making distributions to Allowed Claims
and Allowed Unclassified Claims in accordance with the distributive
hierarchy and priorities of the Bankruptcy Code, other applicable
law, and the Plan. This second approach is referred to in the Plan
as the Orderly Liquidation Alternative.
Like in the prior iteration of the Plan, each Holder of an Allowed
General Unsecured Claim in Class 7 shall receive that Holder's Pro
Rata share of the distributable Litigation Trust Assets (after
payment therefrom in full of all Allowed Administrative Claims and
all Allowed Priority Claims) until such Holder in Class 7 receives
100% of such Holder's Allowed General Unsecured Claim, which
distribution to each Holder of an Allowed General Unsecured Claim
shall commence on the latest of (I) the Initial Distribution Date,
(II) the Periodic Distribution Date that is at least twenty-one
calendar days after the date upon which such Holder's General
Unsecured Claim becomes Allowed, or (III) as promptly after the
later of (I) or (II) as is reasonably practicable under the
circumstances, and shall continue on one or more Periodic
Distribution Dates, until the Final Distribution Date.
The Litigation Trust Assets will be the sources of Cash (or
property that will be reduced to Cash) with which to pay Allowed
Claims and Unclassified Claims. If the Jackson Investment 9019
Settlement is approved by Final Order of the Bankruptcy Court, and
in the absence of the Orderly Liquidation Alternative, the
Litigation Trust Assets shall include the $400,000 Jackson
Investment Settlement Proceeds. The Debtors or Reorganized Debtors,
as applicable, are authorized to execute and deliver any documents
necessary or appropriate to obtain from Jackson Investment the
Jackson Investment Settlement Proceeds.
Notwithstanding anything to the contrary in the Plan, Jackson
Investment's obligation to provide the Settlement Proceeds is
excluded from any release, Exculpation or injunction provisions of
the Plan, including, but not limited to, Sections IX.C, IX.D and
IX.E of the Plan. The Litigation Trust shall hold any and all
Claims or Causes of Action against Jackson Investment for any
violation of its obligation to pay the Settlement Proceeds pursuant
to the Settlement.
A full-text copy of the First Amended Disclosure Statement dated
January 14, 2026 is available at https://urlcurt.com/u?l=iyB0aa
from PacerMonitor.com at no charge.
A copy of the Court's Order dated March 19, 2026, is available at
http://urlcurt.com/u?l=tyGIt7from PacerMonitor.com.
About Headway Workforce Solutions
Headway Workforce Solutions, Inc., sought protection under Chapter
11 of the U.S. Bankruptcy Code (Bankr. E.D.N.C. Case No.
25-01682-5-JNC) on May 5, 2025. In the petition signed by Brendan
Flood, chief executive officer, the Debtor disclosed up to $50
million in both assets and liabilities.
Judge Joseph N. Callaway oversees the case.
Rebecca Redwine Grow, Esq., at Hendren, Redwine & Malone, PLLC, is
the Debtor's legal counsel.
Noor Staffing Group, LLC, as DIP lender, is represented by:
Pamela P. Keenan, Esq.
Kirschbaum, Nanney, Keenan & Griffin, P.A.
PO Box 19766
Raleigh, NC 27619-9766
Telephone: (919) 848-0420
Facsimile: (919) 848-8755
Email: pkeenan@kirschlaw.com
HECLA MINING: S&P Upgrades ICR to 'BB-' on Improving Cash Flow
--------------------------------------------------------------
S&P Global Ratings raised its issuer credit rating on Idaho-based
gold and silver producer Hecla Mining Inc. to 'BB-' from 'B+'.
At the same time, we affirmed our 'BB-' issue-level rating on the
company's senior unsecured notes and revised the recovery rating to
'3' from '2'. The '3' recovery rating indicates our expectation for
meaningful (50%-70%; rounded estimate: capped at 65%) recovery in
the event of a payment default.
The stable outlook reflects our expectation that Hecla will likely
maintain leverage of less than 1.5x while generating robust FOCF to
fund its pipeline of internal projects.
Hecla Mining significantly reduced its debt over the past 24
months, providing it with an ample credit cushion to absorb
potential earnings volatility.
At the same time, S&P expects the company will generate record
earnings and free operating cash flow (FOCF) over the next 12
months, supported by favorable gold and silver prices.
Significant deleveraging and robust FOCF over the past two years
have substantially strengthened its financial profile. The company
reduced its leverage to 0.6x as of Dec. 31, 2025, which marks a
considerable improvement from 2.0x the previous year. Hecla partly
achieved this deleveraging by repaying approximately $270 million
of reported debt using its FOCF and the proceeds from equity sales.
Cumulatively the company has reduced its reported debt by close to
60% since 2023. S&P said, "We believe Hecla's reduced leverage
provides it with a substantial cushion to absorb potential earnings
volatility. For example, we estimate the company could withstand a
40%-50% decline in gold and silver prices while maintaining
leverage comfortably below our 1.5x downside threshold. Favorable
commodity pricing has also supported Hecla's strong performance,
enabling it to increase its S&P Global Ratings-adjusted EBITDA to
about $700 million in 2025--more than double its 2024
results--further improving its financial profile and liquidity
position. The company has publicly declared its intention to
further reduce its debt using the proceeds from the sale of its
Casa Berardi operations, which we believe could amplify its credit
cushion at the current rating."
Heightened geopolitical tensions and macroeconomic uncertainties to
support favorable prices over the next 24 months. Ongoing trade
friction and regional conflicts have increased the demand for
precious metals as safe-haven assets. Central banks and investors
have also increased their allocations to precious metals to hedge
against potential market risks, which is driving prices higher.
These factors led us to raise our gold price assumptions to $4,500
per ounce (/oz) for 2026, $3,700/oz in 2027, and $3,000/oz in 2028,
with our silver price assumptions broadly tracking gold's
movements. As of March 6, 2026, gold spot prices exceeded
$5,000/oz--10% above our current forecast--and silver prices
remained above $80/oz. S&P Global Energy estimates average silver
prices will exceed $70/oz (well above the three-year average of
$34/oz) over the next 24 months due to supply deficits stemming
from strong investment demand and rising consumption in the AI and
data center sectors. S&P said, "Although we anticipate gold and
silver prices will moderate from their record highs, we project
they will remain above historical averages through 2028, supporting
robust earnings and cash flow for producers like Hecla. These
favorable prices will more than offset the 6%-8% decline in the
company's silver production, due to lower-grade ore, in 2026. Based
on this, we expect Hecla's cash flow and credit metrics will remain
consistent with leverage of less than 1.0x over the next two years
and estimate it will generate approximately $1.4 billion of FOCF
through 2028, which will position it to further strengthen its
balance sheet."
Hecla's strategic refocusing on its silver portfolio will improve
its overall cost structure despite some concentration risk. On Jan.
26, 2026, the company announced the sale of its Canadian Casa
Berardi subsidiary to Orezone Gold Corp. for up to $590 million,
including $160 million in cash upon closing and $320 million in
deferred and contingent considerations. Casa Berardi delivered
approximately 90,000 oz of annual gold production over the past
three years and represented about 60% of Hecla's gold production
through 2025. S&P said, "While this divestiture will increase the
company's exposure to silver to approximately 70% of its revenue,
we view it as a positive shift because Casa Berardi's historically
higher-quartile cost position and declining ore grades have weighed
on its profitability. Hecla plans to use the proceeds from this
sale to pay down its existing debt, as mandated by the credit
agreement. Therefore, we estimate the company could strengthen its
S&P Global Ratings-adjusted margin to the 65%-70% range in fiscal
year 2026 from 50% in fiscal year 2025."
Following the divestiture of Casa Berardi, Hecla Mining's
operations will be concentrated to three assets. Furthermore, the
company's Greens Creek operations will account for approximately
50% of its silver production and all of its gold, making it a key
source of its cash flow. Hecla continues to ramp up Keno Hill after
encountering some operational challenges, including permitting
delays, which continue to impact its profitability. S&P views the
company's asset concentration and reliance on Greens Creek as a
constraint on its operating breadth. However, management's planned
investments in the Nevada asset could provide it with a fourth
operating mine in the next 4 years, which could enhance its scale
and product and asset diversity.
Hecla's balance sheet strength is supported by its conservative
financial policy. The company's capital allocation currently
prioritizes investments in organic projects and liquidity
preservation over shareholder returns. Hecla plans to spend about
$55 million on exploration increase its reserves, and about $60
million-$65 million on growth projects at Keno Hill. The company
reverted to a fixed dividend policy early last year, which helped
it preserve cash amid its record financial performance. S&P
believes the company's continuation of its conservative financial
policy will be a key determinant for a higher rating because it
currently lacks a track record of operating with such low debt
leverage. Therefore, S&P accounts for this lack of operating
history by applying a negative one-notch comparable rating analysis
adjustment.
S&P said, "The stable outlook reflects our expectation Hecla will
generate record EBITDA and cash flow over the next 12 months. We
anticipate the company's further debt repayment will also increase
its credit cushion and improve its balance sheet flexibility.
Furthermore, we anticipate Hecla's balanced financial policy will
enable it to preserve its liquidity and maintain leverage well
below 1x.
"We could lower our rating on Hecla if its leverage exceeds 1.5x.
This could occur if the company's EBITDA and cash flows deteriorate
significantly, due to operational challenge at any of its mines, or
it sharply increases its debt.
"We could raise our ratings on Hecla if it establishes a track
record of sustaining leverage of below 1.5x. Before raising the
rating, we would also expect the company to maintain stable
production at its matured mines, make progress towards full ramp up
at Keno Hill, and employ conservative financial policies that
support continued low leverage."
HUNTLEY AVENUE: Seeks Cash Collateral Access Thru June 30
---------------------------------------------------------
Huntley Avenue, LLC asks the U.S. Bankruptcy Court for the Central
District of California, Los Angeles Division, for authority to use
cash collateral and provide adequate protection.
The Debtor acquired two parcels from Caltrans in December 2019 with
financing from LA Legend LLC, originally intended for construction
of two single-family residences with underground parking. However,
the City of Culver City required approximately half of each parcel
for a cul-de-sac, forcing the Debtor to combine the parcels into a
single lot at 4342 Huntley Avenue, Culver City, California.
Construction, which began in early 2021, faced delays due to
COVID-19, labor shortages, contractor misconduct, and defective
work, requiring extensive corrective work funded by Mr. Farzan. The
Debtor obtained construction financing from Arixa Capital and later
long-term replacement financing from Axos Bank (later transferred
to CLI Fund 2, LLC, serviced by A2 Capital), but experienced
default due to cumulative financial strain, water damage to the
property, and ongoing misapplication of loan payments. The Property
was rented to third-party tenants in November 2024 for $13,900 per
month, but the Debtor faced foreclosure threats from CLI Fund/A2
Capital due to accelerated loan demands. The Debtor estimates the
Property’s market value at approximately $2,395,000 and believes
it is encumbered by two deeds of trust: a first deed of trust held
by CLI Fund 2, LLC (approx. $1,978,369) and a second by LA Legends,
LLC (approx. $1,900,000).
The Debtor seeks court authorization to use cash collateral derived
from the Property's rental income during the interim period from
April 1, 2026 through June 30, 2026, to pay ordinary and necessary
operating expenses as outlined in the Budget, including insurance,
property taxes, maintenance, and repairs.
The Debtor proposes to provide adequate protection to CLI Fund via
monthly payments of $10,333 and replacement liens for any cash
collateral used, while asserting that the continued operation and
maintenance of the Property will preserve its value and support the
overall goal of reorganization. The Debtor requests authority to
adjust the Budget by up to 10% for unforeseen expenses and
emphasizes that without access to cash collateral, the Property
could decline in value, threatening both the Debtor's
reorganization efforts and the secured creditors' interests.
A hearing on the matter is set for April 14, 2026 at 10 a.m.
A copy of the motion is available
at https://urlcurt.com/u?l=n6Mzy3 from PacerMonitor.com.
About Huntley Avenue LLC
Huntley Avenue, LLC is a privately held limited liability company
primarily engaged in real estate ownership or investment
activities.
Huntley Avenue, LLC sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. Case No. 25-21645) on Dec. 29, 2025. In its
petition, the Debtor reports estimated assets between $1 million
and $10 million and estimated liabilities in the same range.
The case is assigned to Honorable Bankruptcy Judge Barry Russell.
The Debtor is represented by Matthew D. Resnik, Esq., of RHM Law
LLP.
INDITEX VENTURES: Seeks to Hire Pendergraft & Simon as Counsel
--------------------------------------------------------------
IndiTex Ventures LLC seeks approval from the U.S. Bankruptcy Court
for the Southern District of Texas to hire Pendergraft & Simon, LLP
to serve as counsel.
The firm will provide these services:
(a) analyzing the financial situation, and rendering advice and
assistance to the Debtor in determining whether to file petitions
under Title 11, United States Code;
(b) advising Debtor with respect to their powers and duties as a
Debtor-in-Possession;
(c) conducting appropriate examinations of witnesses, claimants
and other persons;
(d) preparing and filing of all appropriate petitions, schedules
of assets and liabilities, statements of affairs, answers, motions
and other legal papers; and to consult with and advise the
Debtor-in-Possession in connection with the operation of or the
termination of the operation of the Debtor's business;
(e) representing the Debtor at the meeting of creditors and such
other services as may be required during the course of the
bankruptcy proceedings;
(f) representing Debtor-in-Possession in all proceedings before
the Court and in any other judicial or administrative proceeding
where the rights of the Debtor may be litigated or otherwise
affected;
(g) preparing, filing, negotiating and prosecuting of a Disclosure
Statement and Plan of Reorganization;
(h) advising and consulting with the Debtor-in-Possession
concerning questions arising in the conduct of the administration
of the estate and concerning Debtor's rights and remedies with
regard to the Estate's assets and the claims of secured, priority
and unsecured creditors;
(i) investigating pre-petition transactions and prosecution, if
appropriate, preference and other avoidance actions arising under
the Debtor-in-Possession's avoidance powers or any other causes of
action held by the Estates;
(j) defending, if necessary, any motions for relief from the
automatic stay, contested matters and/or adversary proceedings, and
analyze and prosecute any objections to claims;
(k) appearing on behalf of the Debtor-in-Possession before this
Court;
(l) advising and assisting the Debtor-in-Possession with real
estate and business organizations issues related to this case; and
(m) assisting the Debtor in any matters relating to or arising out
of the case.
Leonard H. Simon will serve as lead counsel, with William P.
Haddock as counsel, representing the Debtor-in-Possession in all
aspects of this bankruptcy case.
Leonard H. Simon, Esq., who will serve as lead counsel, and William
P. Haddock, Esq. will bill at $600 per hour, senior
paralegals/senior law clerks at $250 per hour, and junior
paralegals/junior law clerks at $125 per hour. A retainer of
$25,000 was paid, and the firm advanced filing fees of $1,738,
subject to reimbursement upon Court approval.
Pendergraft & Simon, LLP is a "disinterested" person within the
meaning of Section 101(14) of the Bankruptcy Code, according to
court filings.
The firm can be reached at:
Leonard H. Simon, Esq.
William P. Haddock, Esq.
PENDERGRAFT & SIMON, LLP
2777 Allen Parkway, Suite 800
Houston, TX 77019
Telephone: (713) 528-8555
Facsimile: (713) 868-1267
About IndiTex Ventures LLC
IndiTex Ventures, LLC operates a Pet Supplies Plus franchise in
Houston, Texas, providing retail pet products and grooming
services.
The Debtor filed a petition under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. S.D. Texas Case No. 26-31376) on March 1,
2026. In the petition signed by Leticia Hess, manager, the Debtor
disclosed up to $50,000 in assets and up to $1 million in
liabilities.
Judge Jeffrey P. Norman oversees the case.
William Haddock, Esq., at Pendergraft & Simon LLP, represents the
Debtor as legal counsel.
IVY T. NGO: Azar Loses Bid to Challenge Homestead Exemption
-----------------------------------------------------------
Judge Michael E. Romero of the U.S. Bankruptcy Court for the
District of Colorado overruled the objection of Franklin D. Azar &
Associates, P.C. to Ivy Tran Pham Ngo's homestead exemption.
Sometime in 2018, the Debtor acquired property known as 1020 S.
Clarkson Street, Denver, Colorado 80209. On October 18, 2021, the
Debtor transferred the Property to her husband, Richard Rochelle,
by Special Warranty Deed. A year later, Azar initiated litigation
against the Debtor in the Denver County District Court. The State
Court entered a judgment in favor of Azar on December 14, 2022. In
an effort to satisfy the State Court Judgment, Azar initiated
another lawsuit in the State Court against the Debtor, her parents,
and Rochelle, seeking to avoid the Debtor's 2021 transfer of the
Property to Rochelle pursuant to the Colorado Uniform Fraudulent
Transfers Act.
In his Objection, Azar argues that 11 U.S.C. Sec. 522(g) prohibits
the Debtor from claiming a homestead exemption in the Property
since the State Court found the transfer of the Property to
Rochelle was fraudulent and avoided it for that reason. The Debtor
disagrees. The Debtor argues Secs. 522(g) applies only to property
recovered by the trustee and that the Property was transferred back
to the Debtor before she filed for bankruptcy. As such, Sec.
522(g) does not apply, and the Debtor is entitled to claim the
homestead exemption.
Judge Romero holds, "The trustee did not expend any estate
resources to recover the Property under any of the aforementioned
Bankruptcy Code sections. Rather, the Property was already part of
the Debtor's bankruptcy estate as of the petition date because it
was reconveyed to the Debtor several months before she filed for
bankruptcy. Therefore, Sec. 522(g) does not prevent the Debtor
from claiming a homestead exemption in the Property. Accordingly,
Azar's objection is overruled."
A copy of the Court's Order dated March 16, 2026, is available at
http://urlcurt.com/u?l=rWFW7Gfrom PacerMonitor.com.
Ivy Tran Pham Ngo filed for Chapter 11 bankruptcy protection
(Bankr. D. Colo. Case No. 25-14867) on August 1, 2025, listing
under $1 million in both assets and liabilities. The Debtor is
represented by David Wadsworth, Esq., at Wadsworth Garber Warner
Conrardy, P.C.
J&B CONSTRUCTION: Gets Final OK to Use Cash Collateral
------------------------------------------------------
J&B Construction Services USA Inc. received final approval from the
U.S. Bankruptcy Court for the Northern District of Georgia, Atlanta
Division, to use cash collateral.
Under the order, the Debtor may use cash collateral in accordance
with a court-approved budget, with flexibility to vary expenses by
up to 15% per line item and carry forward unused amounts. The
authorization remains in effect through plan confirmation,
dismissal, or conversion of the case. The Debtor is also required
to fund a monthly $1,000 escrow for Subchapter V trustee fees,
subject to court approval before disbursement.
The Debtor projects total operational expenses of $3,444,912.02 for
the period from March to August.
To protect potential secured creditors including Corporation
Service Company, CT Corporation System, First Corporate Solutions,
Fresh Funding Solutions Inc., Kalamata Capital Group, and Lifetime
Funding LLC, the court granted replacement liens on post-petition
assets. These liens maintain the same priority as prepetition
interests but exclude certain bankruptcy avoidance claims.
Importantly, the order preserves the rights of both the Debtor and
creditors to challenge the validity, extent, or priority of liens
and claims in the future. Creditors may also seek additional
relief, such as stay modification or dismissal. Overall, the ruling
enables the Debtor to maintain operations while ensuring creditor
protections and legal rights remain intact.
About J&B Construction Services USA Inc.
J&B Construction Services USA, Inc. sought protection under Chapter
11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 26-51575)
on February 4, 2026. In the petition signed by Sharna Barnes, chief
executive officer, the Debtor disclosed up to $10 million in both
assets and liabilities.
Adam E. Ekbom, Esq., at Jones & Walden LLC, represents the Debtor
as legal counsel.
JW CONSULTING: Gets Interim OK to Use Cash Collateral
-----------------------------------------------------
The U.S. Bankruptcy Court for the Eastern District of Pennsylvania
issued an interim order authorizing JW Consulting, LLC to use cash
collateral.
Under the order, the Debtor is permitted to use cash collateral to
fund its post-petition business operations in accordance with an
approved interim budget.
The Debtor is allowed flexibility to exceed budgeted disbursements
by up to 10% in total without seeking further court approval.
Additionally, the Debtor may continue making regular monthly
payments to secured creditors under its existing loan obligations.
To protect secured creditors, the court granted replacement liens
on post-petition assets acquired using the cash collateral. These
liens maintain the same priority and extent as pre-petition liens,
but only to the extent that the creditors' collateral value is
diminished due to the Debtor's use of funds or the automatic stay.
This ensures that creditors are adequately protected while allowing
the Debtor to continue operating.
The secured creditors holding liens on both the real estate and the
Debtor's rental income are Pacific Asset Holdings, Metropolitan
Tower Life Insurance Co., and Brighthouse Life Insurance Co., each
serviced by Fay Servicing.
The order is effective immediately and remains in place on an
interim basis.
A final hearing is scheduled for March 31.
A copy of the court's order and the Debtor's budget is available at
https://shorturl.at/867JH from PacerMonitor.com.
About JW Consulting LLC
JW Consulting, LLC owns and operates several residential rental
properties in Philadelphia, Pennsylvania.
JW Consulting filed a petition under Chapter 11, Subchapter V of
the Bankruptcy Code (Bankr. E.D. Pa. Case No. 26-10435) on February
3, 2026. In the petition signed by Jasmine S. Williams, managing
member, the Debtor disclosed up to $50,000 in both assets and
liabilities.
Demetrius Parrish, Esq., at the Law Offices of Demetrius J.
Parrish, represents the Debtor as bankruptcy counsel.
K&M JACKSON: Gets Interim OK to Use Cash Collateral
---------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of Texas
granted K&M Jackson Enterprises, LLC interim approval to use cash
collateral to continue operating its business.
Under the interim order, the Debtor is authorized to use cash
collateral in accordance with its budget, with a permitted variance
of up to 10% on a rolling basis. This authorization remains in
effect until the final hearing scheduled for March 30.
The Debtor submitted a 90-day budget, which projects monthly gross
receipts of approximately $152,500 and positive net cash flow,
emphasizing that immediate access to cash collateral is critical to
maintain operations.
The secured creditors that may have interest in the cash collateral
are Texas Dow Employees Credit Union, PHH Mortgage, TDECU, TD Auto
Finance, Texas Car Title, the U.S. Small Business Administration,
and PeopleFund.
As adequate protection, secured creditors will be granted
replacement liens on post-petition assets, including accounts
receivable and other property, with the same priority and extent as
their pre-petition liens. These liens do not attach to Chapter 5
avoidance actions and are subject to a carveout for administrative
expenses.
Additional protection includes staying current on tax payments,
maintaining insurance, and filing monthly operating reports.
A copy of the court's order and the Debtor's budget is available at
https://shorturl.at/MdDhz from PacerMonitor.com.
K&M operates Kids of Valor Academy, a multi-site early childhood
education and childcare provider in the Greater Houston/Galveston
area, offering programs for children aged six weeks to 12 years,
including daycare, preschool, before- and after-school programs,
summer camps, and transportation services. The business generates
revenue primarily from tuition, subsidies, and transportation fees,
employing over 30 staff across multiple locations and maintaining a
fleet for student transport.
The Debtor's need to use cash collateral arises from imminent
financial distress triggered by a non-judicial foreclosure on its
core operating property in Santa Fe, Texas, due to default on the
Texas Dow Employees Credit Union mortgage, combined with cash-flow
pressure from layered debt and operational restructuring.
About K&M Jackson Enterprises LLC
K&M Jackson Enterprises, LLC operates in the childcare services
industry and is associated with the Kids of Valor Academy brand,
providing early childhood education and preschool programs across
multiple Texas locations.
K&M sought protection under Chapter 11 of the U.S. Bankruptcy Code
(Bankr. S.D. Texas Case No. 26-80149) on March 2, 2026, listing up
to $10 million in both assets and liabilities. Mona Jackson, chief
executive officer of K&M, signed the petition.
Judge Alfredo R. Perez oversees the case.
Alex Olmedo Acosta, Esq., at Acosta Law P.C., represents the Debtor
as bankruptcy counsel.
LIVECONNECTIONS.ORG: Gets Interim OK to Use Cash Collateral
-----------------------------------------------------------
The U.S. Bankruptcy Court for the Eastern District of Pennsylvania
issued an interim order authorizing LiveConnections.org and Real
Entertainment-Philadelphia, LLC to use cash collateral.
Under the interim order, the Debtors are authorized to use cash
collateral through March 31, strictly in accordance with a
court-approved budget. Variances are limited to 5% per budget
category, and the Debtors must provide financial reporting,
including monthly comparisons of actual versus projected revenues
and expenses.
Payment of certain pre-petition employee wages and benefits is
permitted, subject to statutory caps.
The Debtor projects total operational expenses of $46,425 for
March.
As adequate protection, lenders and taxing authorities will be
granted replacement liens on post-petition assets and, if
necessary, superpriority administrative claims under Section 507(b)
of the Bankruptcy Code.
The order provides for a carveout for certain administrative
expenses such as U.S. Trustee fees and preserves creditors' rights
to inspect records and audit the Debtors' financial affairs.
A further hearing is scheduled for April 1, with objections due by
March 31.
The order is available at https://is.gd/jFyifU from
PacerMonitor.com.
The Debtors' filings indicate financial encumbrances including
liens held by PIDC Community Capital ($581,140 remaining on a $1.5
million loan), the Delaware Valley Regional Economic Development
Fund ($563,152 judgment), and unpaid taxes owed to the Pennsylvania
Department of Revenue ($205,496) and the City of Philadelphia
($268,754). Additional disputes exist with the University of
Pennsylvania over licensing fees and lease arrangements for the
Hajoca Building, culminating in ongoing litigation in both federal
and local courts.
LiveConnections.org (doing business as World Cafe Live) and Real
Entertainment-Philadelphia operate as Pennsylvania non-profits,
with World Cafe Live functioning as a prominent independent music
venue, educational hub, and community space in Philadelphia, and
Real Entertainment-Philadelphia serving as its operational
subsidiary. The Debtors, managed and funded by Joseph Callahan and
the Bean Foundation since March 2025, have received over $2.15
million in grants and $185,000 in loans to stabilize operations and
improve cash flow. As of the petition date, World Cafe Live
employed 86 staff with biweekly gross payroll of approximately
$45,000.
About LiveConnections.org
LiveConnections.org, doing business as World Cafe Live, operates as
Pennsylvania non-profits and functions as a prominent independent
music venue, educational hub, and community space in Philadelphia.
Real Entertainment-Philadelphia, LLC serves as the operational
subsidiary.
The Debtors sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. Lead Case No. 26-10973) on March 10, 2026.
At the time of the filing, LiveConnections.org disclosed up to $10
million in both assets and liabilities.
Judge Ashley M. Chan oversees the cases.
Albert A. Ciardi, Esq., at Ciardi Ciardi and Astin, represents the
Debtors as legal counsel.
LOS ANGELES: Trustee to Appoint Susan Seflin as Chapter 11 Trustee
------------------------------------------------------------------
The United States Trustee seeks approval from the United States
Bankruptcy Court for the Central District of California to appoint
Susan K. Seflin as Chapter 11 Trustee for the Los Angeles Central
Property, Inc.
Ms. Seflin will provide these services:
(a) serve as Chapter 11 Trustee for the bankruptcy estate; and
(b) oversee administration of the estate and related proceedings.
Susan K. Seflin will be added to the blanket bond on file with the
Court with coverage in the aggregate of $62 million, subject to
adjustment, that will be sufficient to cover the present estate
assets.
To the best of the United States Trustee's knowledge, the Chapter
11 Trustee's connections with the Debtor, creditors, any other
parties in interest, their respective attorneys and accountants,
the United States Trustee, and persons employed in the Office of
the United States Trustee are limited.
The Trustee can be reached at:
Susan K. Seflin
21650 Oxnard Street, Suite 500
Woodland Hills, CA 91367
Telephone: (818) 827-9000
Facsimile: (818) 827-9099
E-mail: sseflin@bg.law
About Los Angeles Central Property
Los Angeles Central Property, Inc. sought protection under Chapter
11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No.
22-15054) on Sept. 16, 2022, with up to $50,000 in assets and up to
$10 million in liabilities. Aman Kamboj, president of Los Angeles
Central Property, signed the petition.
Judge Vincent P. Zurzolo oversees the case.
Raymond H. Aver, Esq., at the Law Offices of Raymond H. Aver and
Stephen L. Burton, Esq., a practicing attorney in Encino, Calif.,
serve as the Debtor's bankruptcy counsels.
LUGANO DIAMONDS: Seeks to Extend Plan Exclusivity to July 14
------------------------------------------------------------
Lugano Diamonds & Jewelry Inc. and affiliates asked the U.S.
Bankruptcy Court for the District of Delaware to extend their
exclusivity periods to file a plan of reorganization and obtain
acceptance thereof to July 14 and Sept. 14, 2026, respectively.
The Debtors explain that these are complex chapter 11 cases. The
Debtors commenced the Chapter 11 Cases in the wake of an alleged
multi-million-dollar fraud perpetrated by their former chief
executive officer. The fraud permeates the Chapter 11 Cases and
sparked the prepetition (and ongoing) investigation by the Special
Committee as well as an investigation by the Committee, which
include potential actions against CODI and challenges to CODI's
liens.
In addition, the Debtors' sale-related efforts at the beginning of
the Chapter 11 Cases were made more complicated by the alleged
fraud. Working through these difficulties, the Debtors obtained
interim authority to operate under the Agency Agreement and
approval of bidding procedures under which the Agency Agreement
served as the stalking horse bid. Accordingly, the complexity of
the Chapter 11 Cases weighs in favor of extending the Exclusivity
Period.
The Debtors claim that they have made progress negotiating with
their stakeholders and administering the Chapter 11 Cases during
their time in chapter 11. However, the Debtors need additional time
for plan discussions with the Committee and CODI. Thus, the Debtors
seek an extension of the Exclusivity Periods so that they can
continue and complete these discussions, with the aim of filing a
consensual plan and thereafter soliciting votes to accept or reject
the Plan.
The Debtors assert that they are not seeking an extension of the
Exclusivity Period to pressure or prejudice any of their
stakeholders. The Debtors are engaged in good faith negotiations
towards a consensual chapter 11 plan and have worked diligently and
cooperatively with their key creditor constituencies, including
CODI and the Committee. The Debtors are seeking the extension to
enable them to continue with the productive, cooperative plan
negotiations.
The Debtors further assert that the extension of the Exclusivity
Period will benefit the Debtors' estates, their creditors, and
other key parties in interest by allowing the major parties to
focus on a consensual plan without being distracted by the threat
of a competing plan.
Counsel to the Debtors:
Edmon L. Morton, Esq.
Sean M. Beach, Esq.
Timothy R. Powell, Esq.
Benjamin C. Carver, Esq.
YOUNG CONAWAWY STARGATT & TAYLOR, LLP
Rodney Square
1000 North King Street
Wilmington, Delaware 19801
Tel: (302) 571-6600
Fax: (302) 571-1253
Email: emorton@ycst.com
sbeach@ycst.com
tpowell@ycst.com
bcarver@ycst.com
-and-
Tobias S. Keller, Esq.
Traci L. Shafroth, Esq.
Scott Friedman, Esq.
KELLER BENVENUTTI KIM LLP
101 Montgomery Street, Suite 1950
San Francisco, California 94104
Tel: (415) 496-6723
Fax: (650) 636-9251
Email: tkeller@kbkllp.com
tshafroth@kbkllp.com
sfriedman@kbkllp.com
About Lugano Diamonds & Jewelry Inc.
Lugano Diamonds & Jewelry, Inc. designs, manufactures, and retails
high-end jewelry, offering rings, necklaces, earrings, bracelets,
and brooches produced through an in-house workshop and a network of
specialized vendors. It operates boutiques in affluent and
destination markets such as Newport Beach, Aspen, Houston, Palm
Beach, Chicago, and Ocala, and also sells through equestrian events
and pop-up showrooms.
Lugano Diamonds & Jewelry and its affiliates sought relief under
Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case
No. 25-12055) on November 16, 2025. The affiliates that filed for
Chapter 11 separately are Lugano Buyer Inc. (Case No. 25-12052),
K.L.D. Jewelry LLC (Case No. 25-12053), Lugano Prive LLC (Case No.
25-12054), and Lugano Prive LLC (Case No. 25-12056).
In its petition, Lugano Diamonds & Jewelry reported assets of
between $100 million and $500 million and liabilities of between
$500 million and $1 billion. J. Michael Issa, chief restructuring
officer, signed the petition.
Judge Brendan Linehan Shannon presides over the cases.
The Debtors tapped Young Conaway Stargatt & Taylor, LLP and Keller
Benvenutti Kim, LLP as bankruptcy counsel; GlassRatner Advisory &
Capital Group, LLC as restructuring advisor; and Armory Securities,
LLC as investment banker. Omni Agent Solutions, Inc. is the
Debtors' claims, noticing and administrative agent.
The U.S. Trustee for Region 3 appointed an official committee to
represent unsecured creditors in the Debtors' Chapter 11 cases. The
committee tapped Pachulski Stang Ziehl & Jones, LLP as legal
counsel and Force Ten Partners, LLC as financial advisor.
MARE ISLAND: Court Stays Oceanwide Repair Breach of Contract Suit
-----------------------------------------------------------------
Magistrate Judge Jeremy D. Peterson of the U.S. District Court for
the Eastern District of California stayed the case captioned as
OCEANWIDE REPAIR, LLC, Plaintiff, v. MARE ISLAND DRY DOCK, LLC,
Defendants, Case No. 2:26-cv-0074-JDP (E.D. Cal.) pending
resolution of Mare Island Dry Dock, LLC's bankruptcy petition.
On February 18, 2026, defendant Mare Island Dry Dock, LLC filed a
notice indicating that it filed a voluntary Chapter 11 bankruptcy
petition on February 14, 2026.
Pursuant to 11 U.S.C. Sec. 362, the filing of the bankruptcy
petition operates as an automatic stay of this action against
defendant.
Mare Island and DOES 1-25, Master Ship Repair contractor, entered
into a contract with the Department of the Navy, property owner, to
perform work for repair and maintenance of systems on the USNS
Millinocket and USCG Polar Star.
On March 26, 2025, Mare Island and DOES 1-25 entered into a series
of written purchase orders with Plaintiff to perform certain repair
and maintenance work at the Projects. Under the terms of that
agreement, Plaintiff was required to provide labor, materials,
services, and equipment for repair and maintenance of ship systems
at the Projects. The agreement required Mare Island and DOES 1-25
to pay Plaintiff for such labor, materials, services, and equipment
in accordance with the established contract price.
According to the Complaint, Mare Island and DOES 1-25 have breached
the terms of the subcontract by failing to pay the amount due and
owing to Plaintiff for the value of labor, services, materials,
equipment, and supplies provided to the Projects at the direction
of Mare Island.
Although demand for payment of the sum of $361,723.00 has been made
upon Defendant(s), and each of them, Defendant(s) and each of them,
have failed and refused and continue to fail and refuse to pay all
of any par of said sum. The sum of $361,723.00 remains now due,
owing and unpaid from Defendants to Plaintiff, together with
interest at the rate of 10% per annum from on and after December
31, 2025.
A copy of the Complaint is available at
http://urlcurt.com/u?l=6QhTRwfrom PacerMonitor.com.
A copy of the Court's Order dated March 13, 2026, is available at
http://urlcurt.com/u?l=bFKo1n
Attorneys for Plaintiff Oceanwide Repair, LLC:
Kevin T. Cauley, Esq.
Mark E. Bale, Esq.
SCHWARTZ SEMERDJIAN CAULEY SCHENA & BUSH LLP
101 West Broadway, Suite 810
San Diego, CA 92101
Telephone No. (619) 236-8821
Facsimile No. (619) 236-8827
Email: kevin@sscelaw.com
mark@sscelaw.com
About Mare Island Dry Dock LLC
Mare Island Dry Dock, LLC operates as a maritime services company
providing ship repair, maintenance, and dry dock services. The
company supports commercial and industrial marine vessels through
repair, refurbishment, and related waterfront operations.
Mare Island Dry Dock, LLC sought relief under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. Case No. 26-20777) on February 14,
2026. In its petition, the Debtor disclosed up to $50 million in
both assets and liabilities.
The Honorable Bankruptcy Judge Christopher D. Jaime handles the
case.
Julie H. Rome-Banks, Esq., at Binder Malter Harris & Rome-Banks LLP
serves as the Debtor's counsel.
MARINER 21: Commences Chapter 11 Bankruptcy in New York
-------------------------------------------------------
On March 18, 2026, Mariner 21 LLC filed for Chapter 11 protection
in the U.S. Bankruptcy Court for the Eastern District of New York.
According to court filings, the Debtor reports between $100,001 and
$1,000,000 in debt owed to 1–49 creditors.
About Mariner 21 LLC
Mariner 21 LLC is a limited liability company that involves in real
estate, investment, or related commercial activities.
Mariner 21 LLC sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. Case No. 26-41291) on March 18, 2026. In
its petition, the Debtor reports estimated assets between $100,001
and $1,000,000 and estimated liabilities within the same range.
Honorable Bankruptcy Judge Jil Mazer-Marino handles the case.
MISTER CAR: S&P Affirms 'B' Issuer Credit Rating, Outlook Stable
----------------------------------------------------------------
S&P Global Ratings affirmed its 'B' issuer credit rating on
U.S.-based conveyor car wash operator Mister Car Wash Holdings Inc.
(MCW) and its 'B' issue-level rating on the company's senior
secured debt and removed all the ratings from CreditWatch, where
S&P placed them with negative implications on Feb. 19, 2026. The
'3' recovery rating on the senior secured debt is unchanged,
indicating its expectation for meaningful (50%-70%; rounded
estimate: 50%) recovery to creditors in the event of a payment
default.
The stable outlook reflects S&P's expectation that MCW will
continue to expand its operating scale and EBITDA generation and
sustain leverage of below 6x following the close of the
transaction.
MCW is issuing an incremental $900 million senior secured
first-lien term loan, which it will use the proceeds from to fund a
take-private transaction by its financial sponsor, Leonard Green,
that values the company at $3.1 billion. MCW will also upsize its
revolver to $375 million and extend the maturity to 2031.
S&P forecasts MCW's S&P Global Ratings-adjusted leverage will
increase to about 5.9x as of the close of the transaction before
declining to about 5.5x by the end of 2026 as it increases its
EBITDA.
S&P Global Ratings-adjusted leverage will peak at about 5.9x pro
forma for the transaction. MCW has announced a definitive agreement
to be taken private by its financial sponsor, Leonard Green,
through a leveraged buyout (LBO). To finance the transaction, the
company will issue $900 million of incremental senior secured
first-lien term loan debt, which it will use fund the purchase of
its remaining common shares for $7 per share, as well as to pay
fees and expenses related to the transaction. Concurrently, MCW is
upsizing its revolver to $375 million and extending the facility's
maturity to 2031. The increased debt will cause the company's
leverage to rise to about 5.9x following the transaction. Based on
our expectation for increased leverage, as well as S&P's belief MCW
will be wholly owned by its financial-sponsor Leonard Green
following the LBO, S&P revised its financial policy modifier to
FS-6 and our financial risk profile assessment to highly
leveraged.
S&P said, "We forecast MCW will continue to expand its operating
scale and EBITDA generation, reducing its leverage over the long
term. We expect the company will increase its store fleet by 20-25
stores annually, which is down from our previous expectation for 30
new stores per year. We expect MCW will expand its store fleet
through a mix of greenfield investments and opportunistic
acquisitions, which it will fund using a combination of operating
cash flow and the proceeds from sale-leaseback transactions. We
expect similar levels of cash outlay, net of sale-leaseback
proceeds, for the company's acquired stores and greenfields. That
said, we do not believe MCW will issue additional debt to fund
acquisitions. In our view, the company has developed a track record
of consistently increasing its EBITDA base while expanding its
store fleet, including adding about 152 net stores since 2021.
Therefore, we revised our comparable ratings analysis modifier to
neutral from negative.
"Our base-case forecast assumes MCW maintains stable S&P Global
Ratings-adjusted EBITDA margins of about 42%. In our view, the
company still has sufficient runway to expand membership at its
existing stores. The expansion of MCW's membership will be somewhat
offset by pressure on its non-membership revenue, which is more
susceptible to pullbacks in consumer spending. The company's
efforts to optimize its cost structure have helped to offset the
inflation in its operating costs. That said, we expect the
improvement in MCW's profitability will be somewhat offset by its
spending on targeted promotions to grow its membership base. Based
on these assumptions, we forecast the company will generate EBITDA
of about $482 million in 2026 and $509 million in 2027, leading to
leverage of 5.6x as of the end of 2026 and 5.4x as of the end of
2027.
"We expect moderating growth capital expenditure (capex) will
support positive free operating cash flow (FOCF) generation. MCW's
high growth capex, stemming from the expansion of its store fleet,
has historically caused it to generate negative FOCF. However,
growth capex moderated in 2025 leading to about $30 million of
FOCF. We forecast MCW's total capex spending will be in the $250
million-$255 million range annually over the next two years, with
about $30 million for maintenance needs. In our base case, was
assume the company's FOCF generation moderates to about $9 million
this year, due--in part--to higher interest expense, before
expanding modestly in 2027. In our view, the company has adequate
liquidity, including about $32 million of cash and about $375
million of revolver availability.
"The stable outlook reflects our expectation that MCW will reduce
its S&P Global Ratings-adjusted leverage while executing its growth
strategy. We expect the company will improve its leverage to the
mid-5x area by the end of 2026 (from 5.9x following the
transaction) as it expands its operating footprint and increases
its EBITDA and FOCF generation."
S&P could lower its rating on MCW if:
-- Its FOCF generation weakens relative to our base case;
-- Its S&P Global Ratings-adjusted leverage approaches 6.5x; or
-- S&P believes the company's competitive position has weakened,
likely due to a decline in its same-store sales and a sustained
contraction in its S&P Global Ratings-adjusted EBITDA margin
relative to its base case.
Although unlikely over the next 12 months, S&P could raise its
rating on MCW if it significantly reduces its leverage while
pursuing its growth strategy. This would likely involve it:
-- Sustaining S&P Global Ratings-adjusted leverage of below 5x,
which would reflect a less-aggressive financial policy;
-- Improving its FOCF generation relative to S&P's base case; and
-- Expanding its operating scale and comparable sales while
maintaining its current profitability levels, which would indicate
a better competitive position.
MONEYGRAM INTERNATIONAL: Moody's Cuts CFR to 'B3', Outlook Stable
-----------------------------------------------------------------
Moody's Ratings downgraded MoneyGram International, Inc.'s
(MoneyGram) corporate family rating to B3 from B2, probability of
default rating to B3-PD from B2-PD, existing senior secured bank
credit facility ratings to B3 from B2, and existing senior secured
notes rating to B3 from B2. The rating outlook is stable.
The rating downgrades reflect the company's elevated Moody's
adjusted leverage, including subordinated holding company (HoldCo)
notes, and Moody's expectations that Moody's adjusted leverage will
remain weaker than anticipated for the previous rating category.
Moody's adjusted leverage increased to 7.2x at year-end 2025 as the
company faced weaker performance in the retail and digital partners
channels while undertaking cost reduction initiatives. Retail
volumes were pressured by the macro headwinds in the US and closure
of certain agent relationships in Europe. Growth in the digital
partners channel has also been challenged by lower take rates due
to heightened competition and the anticipated volume pullback from
Iraq.
Despite these challenges, MoneyGram continues to demonstrate
momentum in its branded digital business, supported by enhancements
to the MGO platform and a more performance-based market strategy,
which delivered solid sequential growth since September. Moody's
projects Moody's adjusted leverage to improve to around 6x over the
next 12-18 months, driven by continued growth in MGO and the
benefits of actioned cost-reduction initiatives. However, continued
headwinds in retail and digital partners channels are likely to
moderate the pace of improvement. While management's strategic
shift toward a more digitally oriented operating model positions
the company for a return to sustainable growth, Moody's expects the
turnaround to be more gradual than Moody's previously anticipated
and will likely extend beyond Moody's current forecast horizon.
RATINGS RATIONALE
MoneyGram's B3 CFR reflects its elevated leverage, the ongoing
shift toward digital that weighs on retail business, and the highly
competitive cross-border money transfer market in which it
operates. These challenges are balanced by MoneyGram's global
scale, extensive retail agent network, and growing branded digital
business. In 2025, the company experienced softer volumes across
retail and digital partners channels, and margins were pressured as
management implemented cost restructuring initiatives to support
its omni-channel strategy. Moody's-adjusted total leverage was 6.4x
at year-end 2025, or 7.2x including HoldCo notes.
Moody's expects leverage to decline towards mid-5x, or 6x including
HoldCo notes, over the next 12-18 months, supported by growth in
the MGO channel and margin benefits from cost actions taken in
2025. However, improvement will be tempered by ongoing softness in
retail and digital partners as well as lower investment income in a
declining rate environment. With the company's focus on operational
efficiency, Moody's expects FCF/debt in the low single digit
percentage range.
MoneyGram's good liquidity is supported by about $174 million of
cash and cash equivalents at December 31, 2025, as well as an
undrawn $150 million revolving credit facility expiring in June
2028. MoneyGram is expected to generate positive free cash flow
over the next 12-18 months. While the term loan does not include
financial maintenance covenants, the revolving credit facility is
subject to a springing maximum first lien net leverage covenant of
5.90x, applicable when revolver utilization exceeds 40%. Moody's do
not expect the covenant to be triggered, and if tested, Moody's
expects the company to remain in compliance. MoneyGram does not
face any near-term maturities until December 2028, when the HoldCo
Notes come due.
The stable outlook reflects Moody's expectations that Moody's
adjusted leverage (including unrated HoldCo notes) will decline to
around 6x over the next 12-18 months. This is supported by margin
improvement, adoption of MGO, and continued progress in execution
of the company's growth strategy. The outlook is also supported by
Moody's expectations of positive free cash flow and maintaining
good liquidity.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be upgraded if MoneyGram demonstrates consistent
revenue and EBITDA growth, leverage, including HoldCo notes,
sustained below 5x and free cash flow to debt improves to the
mid-single digit percentage range.
The ratings could be downgraded if MoneyGram sustains EBITDA
decline or leverage, including HoldCo notes, is sustained above
7.5x. A downgrade could also occur if liquidity weakens and/or free
cash flow is negative on other than a temporary basis.
PROFILE
MoneyGram is a leading global provider of consumer money transfer
services. The company generated revenues of around $1.3 billion for
the year ended December 31, 2025. The company's global network
includes more than 480,000 agent locations in over 200 countries
and territories, operated primarily by third-party agents with a
limited number of MoneyGram-operated locations. Digital money
transfer services are available in over 140 countries and include
services provided directly to consumers through MoneyGram Online
(MGO), digital partnerships, wallets, account deposit services and
card solutions. The company also provides bill payment, money order
and official check services. MoneyGram is majority owned and
controlled by Madison Dearborn Partners since 2023.
The principal methodology used in these ratings was Business and
Consumer Services published in February 2026.
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.
MPH RESTAURANTS: Case Summary & Four Unsecured Creditors
--------------------------------------------------------
Debtor: MPH Restaurants, LLC
d/b/a City Social
d/b/a Randolph Tavern
d/b/a Madison Tavern
120 N. LaSalle
Chicago, IL 60602
Business Description: MPH Restaurants, LLC is a
Chicago-based hospitality company that operates multiple restaurant
and bar concepts under separate DBAs, including City Social,
Randolph Tavern, and Madison Tavern. Operating as a multi-brand
restaurant group, the company manages full-service dining
establishments offering food, beverages, and event-oriented
services, primarily serving local customers and visitors in
downtown Chicago, Illinois.
Chapter 11 Petition Date: March 23, 2026
Court: United States Bankruptcy Court
Northern District of Illinois
Case No.: 26-05071
Judge: Hon. Jacqueline P Cox
Debtor's Counsel: Penelope Bach, Esq.
BACH LAW OFFICES
P.O. Box 1285
Northbrook, IL 60065
Tel: (847) 564-0808x216
Fax: (847) 564-0985
E-mail: pnbach@bachoffices.com
Estimated Assets: $50,000 to $100,000
Estimated Liabilities: $1 million to $10 million
The petition was signed by Marc Hochmuth as managing member.
A full-text copy of the petition, which includes a list of the
Debtor's four unsecured creditors, is available for free on
PacerMonitor at:
https://www.pacermonitor.com/view/ORBTCMA/MPH_Restaurants_LLC__ilnbke-26-05071__0001.0.pdf?mcid=tGE4TAMA
MULTI-COLOR CORP: Retains Ernst & Young as Tax Services Provider
----------------------------------------------------------------
Multi-Color Corporation and its affiliates seek approval from the
U.S. Bankruptcy Court for the District of New Jersey to hire Ernst
& Young LLP to serve as audit and tax services provider.
The firm will provide these services:
(a) audit and report on the consolidated financial statements of
LABL, Inc. and its subsidiaries as of and for the year ended
December 31, 2025;
(b) provide Routine on Call Advisory (ROCA) tax services,
including assistance with tax issues, drafting memoranda, assisting
with general transactional issues, and assisting in dealings with
tax authorities;
(c) provide non-U.S. tax compliance services, including tax return
preparation, tax planning, gathering data, preparation and analysis
of book-to-tax adjustments, and related reporting; and
(d) provide global mobility tax services, including preparation of
individual income tax returns, tax equalization calculations, tax
planning, and related compliance services.
Ernst & Young LLP's fees for the 2025 Audit Services will range
from $2,075,000-$2,300,000. Fees for ROCA tax services will be
billed hourly at the following rates:
Partner/Principal $745
Managing Director $680
Senior Manager $600
Manager $468
Senior/Staff $330
Additional hourly rates for non-fixed services include:
Partner/Principal $775
Managing Director $725
Senior Manager $650
Manager $550
Senior $450
Staff $275
Certain services are billed on a fixed fee basis per jurisdiction.
The Debtors will also reimburse reasonable and customary
out-of-pocket expenses.
Ernst & Young LLP is a "disinterested person" within the meaning of
section 101(14) of the Bankruptcy Code, according to court
filings.
The firm can be reached at:
Ernst & Young LLP
221 East 4th Street Suite 2900
Cincinnati, OH 45202
Telephone: (513) 612-1400
About Multi-Color Corp.
Multi-Color Corporation (MCC) provides prime label solutions to
some of the world's most recognizable brands across a broad range
of consumer-oriented end categories. Founded in 1916 and now
headquartered in Atlanta, Georgia, the Company operates more than
90 facilities across over 25 countries, including 39 in North
America, and employs approximately 12,800 people worldwide.
Multi-Color Corp. and its affiliates sought relief under Chapter 11
of the U.S. Bankruptcy Code (Bankr. D.N.J. Lead Case No. 26-10910)
on January 29, 2026. In its petition, MCC listed assets between $1
billion and $10 billion and liabilities of $5.9 billion.
The Honorable Bankruptcy Judge Michael B. Kaplan handles the case.
Kirkland & Ellis LLP and Cole Schotz P.C. are serving as legal
counsel, Evercore is serving as investment banker, AlixPartners is
serving as financial advisor, Quinn Emanuel Urquhart & Sullivan,
LLP is serving as special counsel to the Special Committee of LABL,
Inc.'s Board of Directors, and FGS Global is serving as strategic
communications advisor to the Company. Kurtzman Carson Consultants,
LLC, doing business as Verita Global, is the claims agent.
Debevoise & Plimpton LLP and Latham & Watkins LLP are serving as
legal counsel to CD&R and Moelis & Company LLC is serving as
financial advisor. Milbank LLP and PJT Partners serve as legal
counsel and financial advisor, respectively, to the ad hoc group of
secured creditors.
MULTI-COLOR CORP: Retains M3 Advisory as Financial Advisor
----------------------------------------------------------
Multi-Color Corporation and its affiliates seek approval from the
U.S. Bankruptcy Court for the District of New Jersey to retain M3
Advisory Partners, LP to serve as their independent financial
advisor.
The firm will provide these services:
(a) review and analyze certain transactions, distributions, and
agreements between LABL and certain of Debtor's affiliates, on the
one hand, and any Related Parties or other entities, on the other
hand, in connection with any Conflict Matters;
(b) to the extent requested by the Disinterested Directors, advise
the Disinterested Directors on issues arising from the Transactions
and any other issues relating to the business or LABL or that the
Disinterested Directors consider pertinent to their investigation
into certain transactions;
(c) to the extent requested by the Disinterested Directors, assist
the Disinterested Directors in evaluating, structuring, and
negotiating the terms and conditions of any existing or proposed
debtor-in-possession financing, out of court reorganization, plan
of reorganization, restructuring support agreement, or any
alternative financing, plan, transaction, RSA, or other strategic
alternative pursued by LABL;
(d) assist the Disinterested Directors and other advisors to the
Special Committee on any investigations and analysis of potential
claims against the Client or any stakeholders; and
(e) such other services as M3 and the Special Committee shall
otherwise agree in writing.
M3 will be compensated on an hourly basis, with rates ranging from
$500 for Analysts to $1,500 for Managing Partner/Senior Managing
Director, plus reimbursement of actual and necessary expenses
incurred in connection with its services.
M3 is a "disinterested person" within the meaning of Section
101(14) of the Bankruptcy Code, according to court filings.
The firm can be reached at:
M3 Advisory Partners, LP
1700 Broadway, 19th Floor
New York, NY 10019
Telephone: (212) 202-2200
Facsimile: (212) 531-4532
Website: www.m3-partners.com
About Multi-Color Corp.
Multi-Color Corporation (MCC) provides prime label solutions to
some of the world's most recognizable brands across a broad range
of consumer-oriented end categories. Founded in 1916 and now
headquartered in Atlanta, Georgia, the Company operates more than
90 facilities across over 25 countries, including 39 in North
America, and employs approximately 12,800 people worldwide.
Multi-Color Corp. and its affiliates sought relief under Chapter 11
of the U.S. Bankruptcy Code (Bankr. D.N.J. Lead Case No. 26-10910)
on January 29, 2026. In its petition, MCC listed assets between $1
billion and $10 billion and liabilities of $5.9 billion.
The Honorable Bankruptcy Judge Michael B. Kaplan handles the case.
Kirkland & Ellis LLP and Cole Schotz P.C. are serving as legal
counsel, Evercore is serving as investment banker, AlixPartners is
serving as financial advisor, Quinn Emanuel Urquhart & Sullivan,
LLP is serving as special counsel to the Special Committee of LABL,
Inc.'s Board of Directors, and FGS Global is serving as strategic
communications advisor to the Company. Kurtzman Carson
Consultants, LLC, doing business as Verita Global, is the claims
agent.
Debevoise & Plimpton LLP and Latham & Watkins LLP are serving as
legal counsel to CD&R and Moelis & Company LLC is serving as
financial advisor. Milbank LLP and PJT Partners serve as legal
counsel and financial advisor, respectively, to the ad hoc group of
secured creditors.
MULTI-COLOR CORP: Retains Quinn Emanuel Urquhart as Special Counsel
-------------------------------------------------------------------
LABL, Inc. seeks approval from the U.S. Bankruptcy Court for the
District of New Jersey to hire Quinn Emanuel Urquhart & Sullivan,
LLP to serve as special counsel.
The firm will provide these services:
(a) reviewing, analyzing, negotiating, and, if advisable, approving
and binding LABL with respect to any Transaction;
(b) investigating and analyzing any Conflict Matter;
(c) taking any action with respect to any Conflict Matter,
including any release or settlement of potential claims or causes
of action of LABL or its subsidiaries against Related Parties;
(d) providing independent legal services requested by the Special
Committee in fulfilling its mandate;
(e) evaluating the terms of proposed Transactions;
(f) commencing and conducting an independent investigation of
historical transactions and potential claims held by LABL against
Related Parties;
(g) ongoing work in connection with any Conflict Matters and
reviewing Transactions during these chapter 11 cases.
Quinn Emanuel will be compensated at its standard hourly rates,
which range from $710 for law clerks to $3,000 for partners,
subject to Court approval.
Quinn Emanuel is a "disinterested person" within the meaning of
Section 101(14) of the Bankruptcy Code, according to court
filings.
Pursuant to paragraph D, section 1 of the Revised U.S. Trustee
Guidelines, Quinn Emanuel responds to the questions set forth
therein as follows:
Question: Did you agree to any variations from, or alternatives to,
your standard or customary billing arrangements for this
engagement?
Answer: No.
Question: Do any of the professionals included in this engagement
vary their rate based on the geographic location of the bankruptcy
case?
Answer: No.
Question: If you represented the client in the 12 months
prepetition, disclose your billing rates and material financial
terms for the prepetition engagement, including any adjustments
during the 12 months prepetition. If your billing rates and
material financial terms have changed post-petition, explain the
difference and the reasons for the difference.
Answer: The rates Quinn Emanuel charged LABL pre-petition are the
same as the regular, annually adjusted rates Quinn Emanuel will
charge LABL post-petition.
Question: Has your client approved your prospective budget and
staffing plan, and, if so, for what budget period?
Answer: Quinn Emanuel will abide by any orders entered in these
chapter 11 cases governing the compensation and reimbursement of
professionals and will furnish reports as required.
The firm can be reached at:
James C. Tecce, Esq.
Kate Scherling, Esq.
Jordan Nakdimon, Esq.
QUINN EMANUEL URQUHART & SULLIVAN, LLP
295 Fifth Ave.
New York, NY 10016
Telephone: (212) 849-7000
E-mail: jamestecce@quinnemanuel.com
katescherling@quinnemanuel.com
jordannakdimon@quinnemanuel.com
About Multi-Color Corp.
Multi-Color Corporation (MCC) provides prime label solutions to
some of the world's most recognizable brands across a broad range
of consumer-oriented end categories. Founded in 1916 and now
headquartered in Atlanta, Georgia, the Company operates more than
90 facilities across over 25 countries, including 39 in North
America, and employs approximately 12,800 people worldwide.
Multi-Color Corp. and its affiliates sought relief under Chapter 11
of the U.S. Bankruptcy Code (Bankr. D.N.J. Lead Case No. 26-10910)
on January 29, 2026. In its petition, MCC listed assets between $1
billion and $10 billion and liabilities of $5.9 billion.
The Honorable Bankruptcy Judge Michael B. Kaplan handles the case.
Kirkland & Ellis LLP and Cole Schotz P.C. are serving as legal
counsel, Evercore is serving as investment banker, AlixPartners is
serving as financial advisor, Quinn Emanuel Urquhart & Sullivan,
LLP is serving as special counsel to the Special Committee of LABL,
Inc.'s Board of Directors, and FGS Global is serving as strategic
communications advisor to the Company. Kurtzman Carson Consultants,
LLC, doing business as Verita Global, is the claims agent.
Debevoise & Plimpton LLP and Latham & Watkins LLP are serving as
legal counsel to CD&R and Moelis & Company LLC is serving as
financial advisor. Milbank LLP and PJT Partners serve as legal
counsel and financial advisor, respectively, to the ad hoc group of
secured creditors.
MULTI-COLOR CORP: Seeks to Hire Kurtzman Carson as Advisor
----------------------------------------------------------
Multi-Color Corporation seeks approval from the U.S. Bankruptcy
Court for the District of New Jersey to hire Kurtzman Carson
Consultants, LLC dba Verita Global to serve as Administrative
Advisor.
The firm will provide these services:
(a) assist with, among other things, solicitation, balloting, and
tabulation of votes, and prepare any related reports, as required
in support of confirmation of a Chapter 11 plan, and in connection
with such services, process requests for documents from
parties-in-interest, including, if applicable, brokerage firms,
bank back-offices, and institutional holders;
(b) prepare an official ballot certification and, if necessary,
testify in support of the ballot tabulation results;
(c) assist with the preparation of the Debtor's schedules of
assets and liabilities and statements of financial affairs if
necessary and gather data in conjunction therewith;
(d) provide a confidential data room, if requested;
(e) manage and coordinate any distributions pursuant to a Chapter
11 plan; and
(f) provide such other processing, solicitation, balloting, and
administrative services described in the Services Agreement, but
not included in the Section 156(c) Application, as may be requested
from time to time by the Debtor, this Court, or the Clerk of this
Court.
Verita will charge fees and seek reimbursement for reasonable and
documented expenses pursuant to the Services Agreement.
Prior to applying any increases in its rates, Verita will provide
at least 30 days' notice. Verita is a "disinterested person" within
the meaning of Section 101(14) of the Bankruptcy Code, according to
court filings.
The firm can be reached at:
Kurtzman Carson Consultants, LLC
222 N. Pacific Coast Highway, 3rd Floor
El Segundo, CA 90245
Telephone: (310) 823-9000
Facsimile: (310) 823-9133
E-mail: dfoster@veritaglobal.com
About Multi-Color
Corp.
Multi-Color Corporation (MCC) provides prime label solutions to
some of the world's most recognizable brands across a broad range
of consumer-oriented end categories. Founded in 1916 and now
headquartered in Atlanta, Georgia, the Company operates more than
90 facilities across over 25 countries, including 39 in North
America, and employs approximately 12,800 people worldwide.
Multi-Color Corp. and its affiliates sought relief under Chapter 11
of the U.S. Bankruptcy Code (Bankr. D.N.J. Lead Case No. 26-10910)
on January 29, 2026. In its petition, MCC listed assets between $1
billion and $10 billion and liabilities of $5.9 billion.
The Honorable Bankruptcy Judge Michael B. Kaplan handles the case.
Kirkland & Ellis LLP and Cole Schotz P.C. are serving as legal
counsel, Evercore is serving as investment banker, AlixPartners is
serving as financial advisor, Quinn Emanuel Urquhart & Sullivan,
LLP is serving as special counsel to the Special Committee of LABL,
Inc.'s Board of Directors, and FGS Global is serving as strategic
communications advisor to the Company. Kurtzman Carson
Consultants, LLC, doing business as Verita Global, is the claims
agent.
Debevoise & Plimpton LLP and Latham & Watkins LLP are serving as
legal counsel to CD&R and Moelis & Company LLC is serving as
financial advisor. Milbank LLP and PJT Partners serve as legal
counsel and financial advisor, respectively, to the ad hoc group of
secured creditors.
MULTI-COLOR CORP: Taps Cole Schotz as Co-Counsel
------------------------------------------------
Multi-Color Corporation and its affiliates seek approval from the
U.S. Bankruptcy Court for the District of New Jersey to hire Cole
Schotz P.C. to serve as their bankruptcy co-counsel.
The firm will provide these services:
(a) provide the Debtors with advice, based on its extensive
experience practicing in the District of New Jersey, regarding the
Debtors' rights, powers, and duties as debtors in possession in
continuing to operate and manage their assets and business;
(b) provide legal advice and services regarding local rules,
practices and procedures including Third Circuit law;
(c) provide certain services in connection with the administration
of the Chapter 11 Cases including, without limitation, preparing
agendas, hearing notices, and hearing binders of documents and
pleadings;
(d) advise the Debtors with respect to their reporting obligations
and duties as debtors in possession, including reporting
obligations to the Court and the United States Trustee (e.g.,
preparing monthly operating reports, schedules and statement of
financial affairs, U.S. Trustee deliverables);
(e) prepare pleadings, motions, and applications related to
bankruptcy administrative matters and any other matter that the
Debtors determine can be more efficiently performed by Cole
Schotz;
(f) review and comment on proposed drafts of other pleadings to be
filed with the Court;
(g) appear in Court and at any meeting with the United States
Trustee and any meeting of creditors;
(h) provide legal advice and services on any matter on which
Kirkland & Ellis may have a conflict or as needed based on
specialization; and
(i) respond to creditor and party-in-interest inquiries directed to
Cole Schotz.
Cole Schotz P.C. will be compensated on an hourly basis according
to its standard rates in effect at the time services are rendered:
Members: $670 to $1,800
Special Counsel: $700 to $950
Associates: $400 to $765
Paralegals: $330 to $485
No professional varies rates based on geographic location.
Cole Schotz P.C. is a "disinterested person" within the meaning of
Section 101(14) of the Bankruptcy Code, according to court
filings.
Pursuant to paragraph D, section 1 of the Revised U.S. Trustee
Guidelines, Cole Schotz responds as follows:
Question: Did you agree to any variations from, or alternatives to,
your standard or customary billing arrangements for this
engagement?
Answer: No.
Question: Do any of the professionals included in this engagement
vary their rate based on the geographic location of the bankruptcy
case?
Answer: No.
Question: If you represented the client in the 12 months
prepetition, disclose your billing rates and material financial
terms for the prepetition engagement, including any adjustments
during the 12 months prepetition. If your billing rates and
material financial terms have changed post-petition, explain the
difference and the reasons for the difference.
Answer: Cole Schotz began providing restructuring services to the
Debtors approximately one month prior to the Petition Date. During
that time, Cole Schotz did not raise its billing rates. The
material financial terms for the pre-petition engagement remain the
same as those disclosed in the Application.
Question: Has your client approved your prospective budget and
staffing plan, and, if so, for what budget period?
Answer: Yes. Pursuant to the Interim DIP Order, the Debtors must
furnish regular budget and variance reports, which include detail
regarding the fees and expenses incurred by the proposed
professionals of the Debtors in these Chapter 11 Cases.
The firm can be reached at:
Michael D. Sirota, Esq.
Warren A. Usatine, Esq.
Felice R. Yudkin, Esq.
COLE SCHOTZ P.C.
Court Plaza North, 25 Main Street
Hackensack, NJ 07601
Telephone: (201) 489-3000
E-mail: msirota@coleschotz.com
wusatine@coleschotz.com
fyudkin@coleschotz.com
About Multi-Color Corp.
Multi-Color Corporation (MCC) provides prime label solutions to
some of the world's most recognizable brands across a broad range
of consumer-oriented end categories. Founded in 1916 and now
headquartered in Atlanta, Georgia, the Company operates more than
90 facilities across over 25 countries, including 39 in North
America, and employs approximately 12,800 people worldwide.
Multi-Color Corp. and its affiliates sought relief under Chapter 11
of the U.S. Bankruptcy Code (Bankr. D.N.J. Lead Case No. 26-10910)
on January 29, 2026. In its petition, MCC listed assets between $1
billion and $10 billion and liabilities of $5.9 billion.
The Honorable Bankruptcy Judge Michael B. Kaplan handles the case.
Kirkland & Ellis LLP and Cole Schotz P.C. are serving as legal
counsel, Evercore is serving as investment banker, AlixPartners is
serving as financial advisor, Quinn Emanuel Urquhart & Sullivan,
LLP is serving as special counsel to the Special Committee of LABL,
Inc.'s Board of Directors, and FGS Global is serving as strategic
communications advisor to the Company. Kurtzman Carson Consultants,
LLC, doing business as Verita Global, is the claims agent.
Debevoise & Plimpton LLP and Latham & Watkins LLP are serving as
legal counsel to CD&R and Moelis & Company LLC is serving as
financial advisor. Milbank LLP and PJT Partners serve as legal
counsel and financial advisor, respectively, to the ad hoc group of
secured creditors.
MULTI-COLOR CORP: To Retain AlixPartners LLP as Financial Advisor
-----------------------------------------------------------------
Multi-Color Corporation and its affiliates seek approval from the
U.S. Bankruptcy Court for the District of New Jersey to employ
AlixPartners, LLP as financial advisor for the Debtors, effective
as of the Petition Date.
The firm will provide these services:
(a) work with management to obtain covenant relief from their bank
lenders and other creditors;
(b) assist the Debtors in the design of a restructuring strategy
to maximize enterprise value;
(c) work with management to evaluate, negotiate, and implement
restructuring initiatives and strategic alternatives;
(d) assist the Debtors with communications and negotiations with
outside parties including stakeholders, banks, potential acquirers,
and their advisors, in coordination with the Debtors' other
advisors;
(e) assist the Debtors with sizing potential funding needs,
including debtor-in-possession and exit financing facilities;
(f) assist the Debtors' management and professionals in sourcing,
developing, negotiating, and implementing financing in conjunction
with a plan of reorganization and overall restructuring;
(g) assist in preparing and filing bankruptcy petitions,
coordinating and providing administrative support for proceedings,
and developing the Debtors' disclosure statement and plan of
reorganization;
(h) advise the Debtors on financial reporting requirements
attendant to a bankruptcy filing;
(i) support eDiscovery obligations, including forensic data
acquisition, analysis, data processing, monthly secure data
hosting, review, analysis, and production;
(j) assist management in preparing and testing accounting systems
for appropriate accounting cut-off if bankruptcy filing is
required;
(k) assist with preparation of documents such as a liquidation
analysis, statement of financial affairs, schedules of assets and
liabilities, potential preferences analysis, claims analysis,
monthly operating reports, and other reports required by the
Court;
(l) manage claims and claims reconciliation processes, if
required;
(m) provide testimony and litigation support regarding matters to
which AlixPartners is providing services;
(n) meet with lenders, unsecured creditors' committee, and other
committees, if any, to provide process updates and requested
information;
(o) provide post-confirmation services to support the Chapter 11
plan and emergence;
(p) assist the Debtors with implementing performance improvement
and cash enhancement opportunities;
(q) assist with such other matters within AlixPartners' expertise
and mutually agreeable.
AlixPartners' standard hourly rates are:
Partner/Partner & Managing Director: $1,265 - $1,590
Senior Vice President/Director: $900 - $1,175
Vice President: $700 - $860
Analyst/Consultant: $265 - $660
AlixPartners received a retainer of $3,000,000 and prepetition
payments of $9,311,068.61. Compensation and reimbursement of
expenses will be subject to Court approval and in compliance with
U.S. Trustee Guidelines.
AlixPartners is a "disinterested person" within the meaning of
Section 101(14) of the Bankruptcy Code, according to court
filings.
The firm can be reached at:
Eric S. Koza, Partner and Managing Director
AlixPartners, LLP
909 Third Avenue, 30th Floor
New York, NY 10022
Telephone: 212.490.2500
Website: alixpartners.com
About Multi-Color Corp.
Multi-Color Corporation (MCC) provides prime label solutions to
some of the world's most recognizable brands across a broad range
of consumer-oriented end categories. Founded in 1916 and now
headquartered in Atlanta, Georgia, the Company operates more than
90 facilities across over 25 countries, including 39 in North
America, and employs approximately 12,800 people worldwide.
Multi-Color Corp. and its affiliates sought relief under Chapter 11
of the U.S. Bankruptcy Code (Bankr. D.N.J. Lead Case No. 26-10910)
on January 29, 2026. In its petition, MCC listed assets between $1
billion and $10 billion and liabilities of $5.9 billion.
The Honorable Bankruptcy Judge Michael B. Kaplan handles the case.
Kirkland & Ellis LLP and Cole Schotz P.C. are serving as legal
counsel, Evercore is serving as investment banker, AlixPartners is
serving as financial advisor, Quinn Emanuel Urquhart & Sullivan,
LLP is serving as special counsel to the Special Committee of LABL,
Inc.'s Board of Directors, and FGS Global is serving as strategic
communications advisor to the Company. Kurtzman Carson Consultants,
LLC, doing business as Verita Global, is the claims agent.
Debevoise & Plimpton LLP and Latham & Watkins LLP are serving as
legal counsel to CD&R and Moelis & Company LLC is serving as
financial advisor. Milbank LLP and PJT Partners serve as legal
counsel and financial advisor, respectively, to the ad hoc group of
secured creditors.
MULTI-COLOR CORP: To Retain Evercore as Investment Banker
---------------------------------------------------------
Multi-Color Corporation and its affiliates seek approval from the
U.S. Bankruptcy Court for the District of New Jersey to retain
Evercore Group L.L.C. to serve as investment banker.
Evercore will provide these services:
(a) reviewing and analyzing the Company's business, operations,
and financial projections;
(b) advising and assisting the Company in a restructuring,
financing, and/or liability management transaction;
(c) providing financial advice in developing and implementing a
restructuring transaction, including evaluating transaction
alternatives, analyzing restructuring scenarios, assisting in
developing a plan of reorganization, advising on negotiations,
participating in negotiations, and providing testimony as
necessary;
(d) assisting the Company in structuring and effecting a
financing, identifying potential investors, and negotiating with
such investors; and
(e) providing financial advice in developing and implementing a
liability management transaction, including evaluating
alternatives, structuring transactions, advising on negotiation
strategies, and participating in negotiations.
Evercore will receive compensation under this structure: a monthly
fee of $200,000; a progress fee of $6,000,000; a restructuring fee
of $22,500,000; financing fees based on a percentage of gross
proceeds; and reimbursement of reasonable and documented expenses.
Evercore is a "disinterested person" within the meaning of Section
101(14) of the Bankruptcy Code and does not hold or represent an
interest adverse to the Debtors’ estates, according to court
filings.
The firm can be reached at:
EVERCORE GROUP L.L.C.
20 Independence Blvd, Floor 4
Warren, NJ 07059
Telephone: (212) 857-3100
About Multi-Color Corp.
Multi-Color Corporation (MCC) provides prime label solutions to
some of the world's most recognizable brands across a broad range
of consumer-oriented end categories. Founded in 1916 and now
headquartered in Atlanta, Georgia, the Company operates more than
90 facilities across over 25 countries, including 39 in North
America, and employs approximately 12,800 people worldwide.
Multi-Color Corp. and its affiliates sought relief under Chapter 11
of the U.S. Bankruptcy Code (Bankr. D.N.J. Lead Case No. 26-10910)
on January 29, 2026. In its petition, MCC listed assets between $1
billion and $10 billion and liabilities of $5.9 billion.
The Honorable Bankruptcy Judge Michael B. Kaplan handles the case.
Kirkland & Ellis LLP and Cole Schotz P.C. are serving as legal
counsel, Evercore is serving as investment banker, AlixPartners is
serving as financial advisor, Quinn Emanuel Urquhart & Sullivan,
LLP is serving as special counsel to the Special Committee of LABL,
Inc.'s Board of Directors, and FGS Global is serving as strategic
communications advisor to the Company. Kurtzman Carson Consultants,
LLC, doing business as Verita Global, is the claims agent.
Debevoise & Plimpton LLP and Latham & Watkins LLP are serving as
legal counsel to CD&R and Moelis & Company LLC is serving as
financial advisor. Milbank LLP and PJT Partners serve as legal
counsel and financial advisor, respectively, to the ad hoc group of
secured creditors.
NATIONAL TRANSPORTATION: Case Summary & 20 Top Unsecured Creditors
------------------------------------------------------------------
Debtor: National Transportation Group LLC
d/b/a Pinnacle Transportation Group
59 Oxbo Rd
Roswell, GA 30075
Business Description: National Transportation Group LLC,
doing business as Pinnacle Transportation Group, based in the metro
Atlanta area, provides passenger shuttle and transportation
services to educational institutions and corporate clients. The
company operates a distributed fleet model with vehicles staged at
client locations, including schools and campuses, to support daily
route operations. Its services are built around contracted
transportation programs that rely on assigned drivers and scheduled
routes, enabling consistent and localized mobility solutions.
Chapter 11 Petition Date: March 23, 2026
Court: United States Bankruptcy Court
Northern District of Georgia
Case No.: 26-53853
Debtor's Counsel: Ian Falcone, Esq.
THE FALCONE LAW FIRM, PC
363 Lawrence St NE
Marietta, GA 30060-2056
Tel: (770) 426-9359
E-mail: imf@falconefirm.com
Estimated Assets: $100,000 to $500,000
Estimated Liabilities: $1 million to $10 million
The petition was signed by Ben Epstein 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/ZPQVY2Q/National_Transportation_Group__ganbke-26-53853__0001.0.pdf?mcid=tGE4TAMA
NETCAPITAL INC: Posts $7.58 Million Nine-Month Net Loss
-------------------------------------------------------
Netcapital Inc. filed a Form 10-Q with the Securities and Exchange
Commission, reporting a net loss of $1.81 million on $94,347 in
revenue for the three months ended Jan. 31, 2026, compared with a
net loss of $3.01 million on $152,682 in revenue a year earlier.
For the nine months ended Jan. 31, 2026, the company reported a net
loss of $7.58 million on $335,481 in revenue, compared with a net
loss of $7.75 million on $465,437 in revenue in the same period
last year.
Total assets stood at $26.06 million as of Jan. 31, 2026, while
liabilities were $4.46 million, resulting in stockholders' equity
of $21.60 million.
As of Jan. 31, 2026, cash and cash equivalents were $715,443, with
negative working capital of $2.92 million, compared with $289,428
in cash and negative working capital of $5.10 million as of April
30, 2025, according to the filing.
The company said it has raised capital through common stock
offerings to support operations but may require additional
financing to meet working capital needs.
Management determined that its current plans are unlikely to fully
address liquidity challenges, raising substantial doubt about the
company's ability to continue as a going concern, the filing
states.
Net cash used in operating activities totaled $7.66 million for the
nine months ended Jan. 31, 2026, compared with $4.61 million for
the same period a year earlier. The principal sources of cash used
were a decrease in accounts payable and accrued expenses of $1.28
million and an increase in prepaid expenses of $282,041.
Non-cash items, including $1.02 million in stock-based compensation
and $356,413 in accretion of short-term notes, were offset by a net
loss of $7.58 million, according to the filing.
Net cash used in investing activities was $100,000 for the nine
months ended Jan. 31, 2026, tied to a cash payment for assets
associated with the Rivetz Network. The total purchase price was
$1.04 million, including $940,000 in common stock issued as a
non-cash component.
Financing activities provided $8.19 million in cash for the nine
months ended Jan. 31, 2026, driven primarily by $8.51 million in
proceeds from stock sales and $300,000 from short-term notes,
partly offset by $619,850 in repayments. A year earlier, for the
nine months ended Jan. 31, 2025, financing activities generated
$4.37 million.
The company reported no capital expenditures during the period and
said it does not anticipate any capital spending in fiscal 2026.
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1414767/000149315226011686/form10-q.htm#fact-identifier-592
About Netcapital
Netcapital Inc., headquartered in Boston, Massachusetts, operates
an online investment platform that connects private companies with
accredited and non-accredited investors through its funding portal
and broker-dealer subsidiaries. The company generates revenue from
listing fees, success fees and related services tied to capital
raises. It is also exploring expansion into blockchain-based
digital assets and tokenized securities.
In its report dated Aug. 12, 2025, Fruci & Associates II, PLLC,
issued a "going concern" qualification, citing the company’s
negative working capital, operating losses and negative cash flows
from operations. The auditors said these factors, among others,
raise substantial doubt about the company's ability to continue as
a going concern.
OAK-EAGLE ACQUIRECO: S&P Assigns (P)'BB' Rating on Sr Sec. Notes
----------------------------------------------------------------
S&P Global Ratings assigned its 'BB' preliminary issue-level rating
and '2' recovery rating to Oak-Eagle AcquireCo Inc.'s proposed
$3.75 billion senior secured notes and $1.75 billion
euro-denominated senior notes. The '2' recovery rating reflects its
expectation for substantial (70%-90%; rounded estimate: 85%)
recovery for lenders in the event of a payment default.
S&P said, "We also assigned a 'B' preliminary issue-level rating
and '6' recovery rating to its proposed $2.5 billion unsecured
notes. The '6' recovery rating indicates our expectation for
negligible (0%-10%; rounded estimate: 0%) recovery."
The new debt with $10 billion term loan debt and about $36 billion
of equity will fund the take-private acquisition of operating
subsidiary Electronic Arts Inc. by a consortium of investors
including the Public Investment Fund (the sovereign wealth fund of
the kingdom of Saudi Arabia), Silver Lake, and Affinity Partners.
Issue Ratings--Recovery Analysis
Key analytical factors
-- S&P's simulated scenario considers a default in 2030, likely
due to reduced consumer spending and increased competition, causing
several of Electronic Arts' popular games and franchises to
significantly decline.
-- Electronic Arts' debt capitalization consists of a $500 million
revolving credit facility due in 2032, $2.2 billion term loan A-1
due in 2029, $1.1 billion term loan A-2 due in 2031, $5 billion
term loan B due in 2033, $1.75 billion term loan B due in 2033
(euro-denominated), $3.75 billion senior secured notes due in 2033,
$1.75 billion senior secured notes due in 2033 (euro-denominated),
and $2.5 billion unsecured notes due in 2034.
-- Oak-Eagle AcquireCo Inc. is the borrower of all the debt.
-- S&P assumes lenders would seek to maximize their recovery and
restructure the company in a default, and that Electronic Arts
would continue as a going concern.
-- S&P values the company on a going-concern basis and apply a
7.5x multiple to our estimate of its emergence EBITDA. The 7.5x
multiple reflects its view favorable view of Electronic Arts' brand
and intellectual property compared to most other media/content
companies.
Simulated default assumptions
-- Simulated year of default: 2030
-- EBITDA at emergence: About $1.85 billion
-- EBITDA multiple: 7.5x
-- Jurisdiction: U.S.
Simplified waterfall
-- Net enterprise value (after 5% administrative costs): About
$13.2 billion
-- Secured debt claims at default: About $15.5 billion
--Recovery expectations: 70%-90% (rounded estimate: 85%)
-- Unsecured debt claims at default: About $2.6 billion
--Recovery expectations: 0%-10% (rounded estimate: 0%)
OFFICE PROPERTIES: Enters Committee Settlement; Files Amended Plan
------------------------------------------------------------------
Office Properties Income Trust and its affiliates submitted a
Disclosure Statement for the Second Amended Joint Plan of
Reorganization dated March 13, 2026.
Following the commencement of the Chapter 11 Cases, the Debtors and
the Ad Hoc Groups re-engaged in negotiations pursuant to a
Bankruptcy Court-ordered mediation (the "First Mediation"),
presided over by the Honorable Marvin Isgur, as mediator, to reach
a comprehensive global restructuring settlement.
Despite the termination of the First Mediation, the Debtors, the
September 2029 Ad Hoc Group, the Unsecured Notes Ad Hoc Group, and
the the Official Committee of Unsecured Creditors (the "Committee")
agreed that a further, separate mediation (the "Second Mediation")
would be beneficial to aid discussions on remaining issues among
them and facilitate consensus with respect to the Debtors' proposed
Restructuring.
The Second Mediation commenced on January 5, 2026, and the
Honorable Marvin Isgur again agreed to serve as mediator. As a
result of the Second Mediation, on February 23, 2026, the Debtors,
the September 2029 Ad Hoc Group, the Unsecured Notes Ad Hoc Group,
and the Committee entered into a settlement (the "Committee
Settlement") that resolves the Committee's issues with respect to
the Disclosure Statement and the Plan.
As of February 18, 2026, the Debtors, the 2027 Ad Hoc Group, and
the September 2029 Ad Hoc Group agreed to restart their mediation
with Judge Isgur to resolve the disputes among the parties with
respect to the Plan (the "Third Mediation"). On March 2, 2026,
following extensive, arm's-length, good faith discussions, the
parties agreed to the principal terms of a proposed settlement (the
"2027 Senior Secured Notes Claims Settlement") with respect to the
Plan. The Committee Settlement and the 2027 Senior Secured Notes
Claims Settlement are key components of the Plan, paving the way
for the value-maximizing transactions contemplated thereby and a
consensual confirmation hearing.
The Debtors are reorganizing pursuant to chapter 11 of the
Bankruptcy Code, which is the principal business reorganization
chapter of the Bankruptcy Code. As a result, the confirmation of
the Plan means that the Reorganized Debtors will continue to
operate their businesses going forward and does not mean that the
Debtors will be liquidated or cease operating their business. The
proposed Restructuring will leave the Debtors' business intact and
significantly deleverage the Debtors' capital structure, as its
total funded indebtedness will be reduced from approximately $2.4
billion to approximately $1.7 billion.
The Plan is the result of several months of mediation and
negotiations amongst the Committee, the September 2029 Ad Hoc
Group, and the 2027 Ad Hoc Group. Pursuant to these negotiations,
the Debtors, the Committee, and the September 2029 Ad Hoc Group
reached the Committee Settlement, which is favorable to, and
represents a fair outcome for, unsecured creditors. Subsequently,
the Debtors, the September 2029 Ad Hoc group, and the 2027 Ad Hoc
Group reached the 2027 Senior Secured Notes Claims Settlement,
resolving the disputes among those parties with respect to the
Plan. The Plan incorporates both the Committee Settlement and the
2027 Senior Secured Notes Claims Settlement.
Class 12 consists of Other General Unsecured Claims. This Class
will receive a distribution of 16.7% to 100% of their allowed
claims. On or as soon as reasonably practicable after the Effective
Date, except to the extent that a Holder of an Allowed Other
General Unsecured Claim agrees to less favorable treatment of its
Allowed Other General Unsecured Claim, in full and final
satisfaction, settlement, release, and discharge and in exchange
for each Allowed Other General Unsecured Claim:
* each Holder of an Allowed Other General Unsecured Claim that
is Allowed in an amount less than or equal to $25,000 shall receive
Cash in an amount equal to 100% of the Allowed amount of such
Claim; and
* each Holder of an Allowed Other General Unsecured Claim that
is Allowed in an amount greater than $25,000 shall receive $25,000
in Cash;
provided that an Other General Unsecured Claim may not be
subdivided into multiple Other General Unsecured Claims less than
or equal to $25,000 for purposes of receiving treatment as set
forth in Article 4.12(b)(i) of the Plan; provided further that to
the extent that a Holder of an Other General Unsecured Claim
against a Debtor holds any joint and several liability claims,
guaranty claims, or other similar claims against any other Debtors
arising from or relating to the same obligations or liability as
such Other General Unsecured Claim, such Holder shall only be
entitled to a distribution on one Other General Unsecured Claim
against the Debtors in full and final satisfaction of all such
Claims.
A full-text copy of the Second Amended Disclosure Statement dated
March 13, 2026 is available at https://urlcurt.com/u?l=RrwKne from
PacerMonitor.com at no charge.
Counsel for the Debtors:
HUNTON ANDREWS KURTH LLP
Timothy A. Davidson II, Esq.
Ashley L. Harper, Esq.
Philip M. Guffy, Esq.
600 Travis Street, Suite 4200
Houston, TX 77002
Telephone: (713) 220-4200
Email: taddavidson@hunton.com
ashleyharper@hunton.com
pguffy@hunton.com
LATHAM & WATKINS LLP
Ray C. Schrock, Esq.
Andrew M. Parlen, Esq.
Anupama Yerramalli, Esq.
Ashley Gherlone Pezzi, Esq.
Anthony R. Joseph, Esq.
1271 Avenue of the Americas
New York, New York 10020
Telephone: (212) 906-1200
Email: ray.schrock@lw.com
andrew.parlen@lw.com
anu.yerramalli@lw.com
ashley.pezzi@lw.com
anthony.joseph@lw.com
About Office Properties Income (OPI) Trust
Office Properties Income (OPI) Trust is a national REIT focused on
owning and leasing office properties to high-credit-quality tenants
in markets throughout the United States. OPI's property portfolio
consists of 124 wholly owned properties located in 29 states and
the District of Columbia, containing approximately 17.2 million
rentable square feet. As of June 30, 2025, approximately 59% of
OPI's revenues were from investment-grade-rated tenants. In 2024,
OPI was named an Energy Star(R) Partner of the Year for the seventh
consecutive year. OPI is managed by The RMR Group (Nasdaq: RMR), a
leading U.S. alternative asset management company with
approximately $39 billion in assets under management as of
September 30, 2025, and more than 35 years of institutional
experience in buying, selling, financing, and operating commercial
real estate. OPI is headquartered in Newton, Massachusetts.
Office Properties Income Trust and 72 affiliates filed separate
petitions for Chapter 11 bankruptcy protection (Bankr. S.D. Texas
Lead Case No. 25-90530) on October 30, 2025, before the Hon.
Christopher M Lopez. As of Sept. 30, 2025, Office Properties Income
Trust has 3,501,385,950 in total assets and$2,501,583,119 in total
liabilities. The petitions were signed by John R. Castellano, their
chief restructuring officer.
Lawyers at Latham & Watkins LLP and Hunton Andrews Kurth LLP serve
as the Debtors' counsel. Moelis & Company serves as the Debtors'
investment banker and AlixPartners LLP as their restructuring
advisors. Kroll Restructuring Administration LLC serves as the
Debtors' claims, noticing & solicitation agent.
White & Case LLP represents an ad hoc group of noteholders holding
90% senior secured notes due in September 2029 with an aggregate
outstanding principal amount of $567,429,000.
Milbank LLP and Porter Hedges LLP represent an ad hoc group of
secured noteholders holding 3.25% senior secured notes due in
2027.
Paul, Weiss, Rifkind, Wharton & Garrison LLP and Munsch Hardt Kopf
& Harr, P.C. represent an ad hoc group of secured noteholders
holding (a) 90% senior secured notes due in March 2029; (b) 90%
senior secured notes due 2029; (c) 3.25% senior secured notes due
2027 and (d) a short position in OPI's common equity interests.
Acquiom Agency Services, LLC, is the DIP agent and is represented
by White & Case LLP.
ORANGE COURIER: Court OKs Deal on Cash Collateral Access
--------------------------------------------------------
The U.S. Bankruptcy Court for the Central District of California,
Los Angeles Division, approved an agreement between Orange Courier,
Inc. and the U.S. Small Business Administration regarding the use
of cash collateral.
Under the court order, the Debtor is authorized to use cash
collateral on an interim basis until March 27, allowing the Debtor
to pay post-petition business expenses.
Prior to filing for bankruptcy, on June 25, 2020, the Debtor
obtained a COVID Economic Injury Disaster Loan from the SBA in the
principal amount of $150,000. Under the terms of the loan
agreement, the Debtor was required to repay the loan through
monthly payments of $731, beginning 24 months after the loan date,
over a 30-year repayment period with an annual interest rate of
3.75 percent. As of the bankruptcy petition date, the total
outstanding balance owed on the SBA loan had increased to
$171,169.
The SBA loan was secured by a security agreement and UCC-1
financing statement filed on July 4, 2020, which granted the SBA a
broad lien on nearly all of the Debtor's tangible and intangible
personal property. This collateral includes inventory, equipment,
accounts receivable, deposit accounts, documents, instruments,
chattel paper, commercial tort claims, general intangibles,
software, and other related assets, along with any proceeds,
replacements, or products derived from those assets. Because this
collateral includes the Debtor's revenue and cash proceeds, the SBA
claims an interest in the Debtors cash collateral under the
Bankruptcy Code.
Under the stipulation, the Debtor agrees to provide the SBA with
protection in the form of a superpriority administrative claim; a
replacement lien on the Debtor's post-petition revenues that
maintains the same priority and validity as the SBA's pre-petition
security interest; and monthly payments of $731, beginning April
1.
The stipulation also requires the Debtor to maintain insurance on
the collateral; provide regular financial reports; and avoid making
payments to insiders unless bankruptcy rules are satisfied. The
Debtor must also work diligently toward confirming a Chapter 11
plan of reorganization, although the SBA retains the right to
object to any proposed plan.
A copy of the stipulation is available at
https://urlcurt.com/u?l=OhOcZn from PacerMonitor.com.
About Orange Courier Inc.
Orange Courier, Inc. provides same-day delivery, trucking,
warehousing, and logistics services from its base in La Mirada,
California. It operates as a for-hire interstate motor carrier
handling property freight under federal transportation authority.
It serves commercial customers across Southern California and
surrounding regions through courier, distribution, and freight
transport operations.
Orange Courier sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. C.D. Cal. Case No. 25-20443) on November
21, 2025, listing up to $10 million in both assets and liabilities.
Evell Tara Stanley, president of Orange Courier, signed the
petition.
Judge Deborah J. Saltzman oversees the case.
Eric Bensamochan, Esq., at The Bensamochan Law Firm, Inc.,
represents the Debtor as bankruptcy counsel.
PHILLIPS ACRES: Court Extends Cash Collateral Access to March 31
----------------------------------------------------------------
Phillips Acres, Inc. received another extension from the U.S.
Bankruptcy Court for the Eastern District of North Carolina,
Greenville Division, to use cash collateral to fund operations.
The court issued an interim order authorizing the Debtor to use
cash collateral in accordance with its budget until the earlier of
(i) March 31; (ii) the Debtor ceases operations; (iii) the Debtor
expends any funds or monies for any purpose or amount other than
what is set forth in the budget, (iv) any material or intentional
misrepresentation by the Debtor in the reporting to the court; (v)
non-compliance or default of the Debtor with any terms and
provisions of the interim order; or (vi) another order concerning
cash collateral is entered.
Secured creditors include the U.S. Small Business Administration,
First Bank and Trust Company, and Southern States Cooperative,
Incorporated each holding perfected liens on the Debtor's assets.
As adequate protection for any post-petition diminution in value of
their interests in their collateral, creditors will be granted
post-petition continuing replacement liens on the collateral. These
replacement liens will have the same validity, priority and extent
as the secured creditors' pre-bankruptcy liens.
As additional protection, First Bank retains $40,555.71 from
Butterball, LLC's payment under an assignment agreement, subject to
later review, and $8,058.00 in Treasury payments as adequate
protection.
A copy of the Debtor's budget is available at
https://shorturl.at/4YCCX from PacerMonitor.com.
First Bank and Trust Company, as secured creditor, is represented
by:
Jameson A. E. Doub, Esq.
Ward and Smith, P.A.
P.O. Box 8088
Greenville, NC 27835-8088
Telephone: 252.215.4000
Facsimile: 252.215.4077
jadoub@wardandsmith.com
Southern States Cooperative, as secured creditor, is represented
by:
Joseph Z. Frost, Esq.
Yorlibeth Martinez, Esq.
Buckmiller & Frost, PLLC
4700 Six Forks Road, Suite 150
Raleigh, NC 27609
Tel: 919-296-5040
Fax: 919-977-7101
jfrost@bbflawfirm.com
ymartinez@bbflawfirm.co
About Phillips Acres Inc.
Phillips Acres, Inc operates a flock production facility for
turkeys located on a 108.1-acre property in Greene County, North
Carolina.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. E.D. N.C. Case No. 25-03601-5-PWM) on
September 16,2025. In the petition signed by David N. Phillips,
president, the Debtor disclosed up to $1million in assets and up to
$10 million in liabilities.
Judge Pamela W. McAfee oversees the case.
C. Scott Kirk, Esq. represents the Debtor as legal counsel.
PINE GATE: Plan Exclusivity Period Extended to June 4
-----------------------------------------------------
Judge Christopher Lopez of the U.S. Bankruptcy Court for the
Southern District of Texas extended Pine Gate Renewables LLC and
its affiliates' exclusive periods to file a plan of reorganization
and obtain acceptance thereof to June 4 and August 3, 2026,
respectively.
As shared by Troubled Company Reporter, the Debtor explains that
courts may consider a variety of factors in determining whether
"cause" exists to extend a debtor's exclusive period for filing a
plan.
The Debtor asserts that the application of these factors to the
facts and circumstances of the Chapter 11 Cases demonstrates that
the requested extension of the Exclusive Periods is both
appropriate and necessary.
First, the size and complexity of the issues attendant to these
cases warrants approval of the requested relief. As of the Petition
Date, the Debtors comprised 119 affiliated entities operating in
multiple jurisdictions (five of those entities have since been
dismissed from these Chapter 11 Cases), with significant funded
indebtedness and a complex capital structure. The complexity of
these Chapter 11 Cases is further evidenced by ongoing asset sales
and pending regulatory approvals to close the remaining sales.
Second, termination of the Exclusive Periods at this juncture would
adversely impact the Debtors' efforts to preserve and maximize the
value of their estates and advance these Chapter 11 Cases. If
exclusivity were terminated, the Debtors could face the prospect of
competing plans, which would introduce uncertainty and potentially
delay or derail the progress made toward a value maximizing
resolution. Granting the requested extensions will allow the
Debtors to focus on finalizing their restructuring strategy and
moving toward plan confirmation without the distraction, cost, and
delay associated with a competing plan process.
Third, the Debtors have obtained critical first day relief, secured
postpetition financing, retained necessary professionals, completed
their schedules and statements, and implemented procedures for
claims and professional compensation. The Debtors have also gained
approval for the sales of substantially all their assets, gained
approval of the Disclosure Statement, and completed solicitation of
the Plan, demonstrating meaningful progress in these cases.
Counsel for the Debtors:
LATHAM & WATKINS LLP
Ray C. Schrock, Esq.
Andrew M. Parlen, Esq.
Alexander W. Welch, Esq.
1271 Avenue of the Americas
New York, NY 10020
Telephone: (212) 906-1200
Email: ray.schrock@lw.com
andrew.parlen@lw.com
alex.welch@lw.com
Jason B. Gott, Esq.
Jonathan C. Gordon, Esq.
330 N. Wabash Avenue
Suite No. 2800
Chicago, IL 60611
Telephone: (312) 876-7700
Email: jason.gott@lw.com
jonathan.gordon@lw.com
HUNTON ANDREWS KURTH LLP
Timothy A. Davidson II, Esq.
Philip M. Guffy, Esq.
Brandon Bell, Esq.
600 Travis Street, Suite 4200
Houston, TX 77002
Telephone: (713) 220-4200
Email: taddavidson@Hunton.com
pguffy@Hunton.com
bbell@Hunton.com
About Pine Gate Renewables
Pine Gate Renewables, LLC, develops, finances, constructs, and
operates renewable energy projects across the United States.
Founded in 2016, the Company manages an operational portfolio of
more than two gigawatts of solar and storage assets and maintains a
development pipeline exceeding 30 gigawatts. It has arranged and
secured roughly $10 billion in project financing and capital
investment and, through its wholly owned subsidiary ACT Power
Services, provides operations and maintenance support for over
seven gigawatts of third-party solar and storage facilities.
Pine Gate Renewables and 118 affiliates sought relief under Chapter
11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Lead Case No.
25-90669) on Nov. 6, 2025. In the petition signed by Ray Shem as
president and chief financial officer, Pine Gate estimated assets
on a consolidated basis of $1 billion to $10 billion and
liabilities on a consolidated basis of $1 billion to $10 billion.
The Hon. Christopher M. Lopez is the case judge.
The Debtors tapped HUNTON ANDREWS KURTH LLP and LATHAM & WATKINS
LLP as counsel. ALVAREZ & MARSAL NORTH AMERICA, LLC, is the
Debtors' financial advisor, and LAZARD FRERES & CO. LLC is the
investment banker. OMNI AGENT SOLUTIONS, INC., is the claims agent.
PINNACLE GROUP: NYC Joins Tenant Push for Apartment Fixes in Ch. 11
-------------------------------------------------------------------
Alex Wolf of Bloomberg Law reports that New York City's
administration under Mayor Zohran Mamdani has formally supported
a bankruptcy court petition brought by tenants of a Manhattan
apartment building controlled by Pinnacle Group LLC, highlighting
what city officials describe as the company's failure to fulfill
remedial maintenance obligations. In a filing with the U.S.
Bankruptcy Court for the Southern District of New York, the city's
Department of Housing Preservation and Development emphasized
long‑standing code violations at the property on 207th Street in
Inwood.
Housing officials argue that the sprawling record of unresolved
violations poses ongoing risks to residents and should be promptly
addressed either by the bankrupt Pinnacle entities or by Summit
Properties USA. Summit, which has agreed to pay $451 million
for Pinnacle's portfolio under Chapter 11, has not yet finalized
that purchase, the report states.
The city's intervention reflects deep frustration with the
decade‑plus of neglect that tenants and municipal inspectors say
led to deteriorating living conditions. The filing underscores the
belief that the current bankruptcy process should not absolve
property owners of responsibility for fixing hazardous conditions
such as structural damage, vermin issues, and other
long‑outstanding violations, Bloomberg reports.
By aligning with tenant advocates in court, Mayor Mamdani's
administration is asserting that regulatory obligations accompany
any transfer of ownership, even amid bankruptcy. The move also
signals a broader policy stance favoring stronger enforcement of
housing standards and protection for rent‑stabilized tenants
across the city, according to Bloomberg.
About Pinnacle Group
Based in Sunrise, Fla., Pinnacle Group and its subsidiaries are
wholesalers of motor vehicle parts and accessories.
Pinnacle Group and its subsidiaries sought Chapter 11 protection
(Bankr. S.D. Fla. Lead Case No. 19-13519) on March 19, 2019. In
its petition, Pinnacle Group estimated assets of $500,000 to $1
million and liabilities of $1 million to $10 million.
Judge John K. Olson oversees the case.
Jordan L. Rappaport, Esq., at Rappaport Osborne & Rappaport, PLLC,
is the Debtor's bankruptcy counsel.
PREMIER DENTAL: Moody's Withdraws 'Caa3' Corporate Family Rating
----------------------------------------------------------------
Moody's Ratings has withdrawn the ratings of Premier Dental
Services, Inc. (doing business as Sonrava Health, or Sonrava),
including the company's Caa3 corporate family rating and the
Caa3-PD probability of default rating.
Moody's also withdrew all Sonrava Health Holdings, LLC instrument
level ratings, including the B3 ratings on the senior secured first
out Tranche A1, Tranche A2, and Tranche B term loans, as well as
the Caa3 ratings on the senior secured second out Term Loan A, Term
Loan B, Term Loan C, Term Loan D, and the senior secured second out
revolving credit facility. Prior to the withdrawal, the outlooks
were stable.
RATINGS RATIONALE
Moody's have decided to withdraw the ratings because Moody's
believes Moody's have insufficient or otherwise inadequate
information to support the maintenance of the ratings.
Sonrava provides full service general, specialty and orthodontic
dentistry services and is among the largest providers of dentistry
services in the State of California. Sonrava has a combined
footprint of approximately 508 offices in 21 states with
significant presence in California, Texas, Colorado, Ohio, North
Carolina, Arizona and Illinois. Sonrava is owned by New Mountain
Capital; and generated revenues around $850 million for the LTM
period ending December 31, 2024.
PRESTIGE HEALTHCARE: Gets Interim OK to Use Cash Collateral
-----------------------------------------------------------
The U.S. Bankruptcy Court for the District of Maryland, Greenbelt
Division issued a second interim order allowing Prestige Healthcare
Resources Inc. to continue using cash collateral.
The court authorized the Debtor to use cash collateral through
April 3 in accordance with a detailed March budget covering
operations from March 2 to April 3. The Debtor is also allowed
flexibility to reallocate unused budget amounts and exceed budget
line items by up to 10%, provided it reports significant
deviations.
As adequate protection, M&T Bank and any junior lien creditors are
granted replacement liens on post-petition assets with the same
priority as their pre-petition liens, to the extent their
collateral value is diminished.
In addition, the Debtor must make $25,000 in adequate protection
payments to M&T Bank, with any excess over applicable interest
applied to principal. The order also clarifies that these liens do
not extend to certain avoidance actions and preserves all
parties’ rights to challenge lien validity or priority later.
The order includes additional protections and procedures, such as
requiring the Debtor to maintain records, provide financial
reporting, and serve notice to creditors.
The court scheduled a final hearing on April 1.
A copy of the court's order and the Debtor's budget is available at
https://shorturl.at/1jSSS from PacerMonitor.com.
About Prestige Healthcare Resources Inc.
Prestige Healthcare Resources Inc., incorporated in Maryland in
2009, operates as a behavioral health core service agency providing
mental health and related support services to individuals in
Washington, D.C., Prince George's County, and Baltimore City,
Maryland, and is recognized as a certified provider in the
behavioral health sector, offering therapy, mental health
rehabilitative services, substance use disorder programs, elderly
and persons with physical disabilities waiver case management,
non-medical respite, problem gambling assistance, and assertive
community treatment team services.
Prestige Healthcare Resources Inc. filed its voluntary petition for
relief under Chapter 11 of the Bankruptcy Code (Bankr. D. Md. Case
No. 26-10955) on January 29, 2026, listing $1 million to $10
million in both assets and liabilities. The petition was signed by
John S. Smith, Jr. as president.
Joseph Selba, Esq. at TYDINGS ROSENBERG LLP serves as the Debtor's
counsel.
RAPID TEST: Gets Interim OK to Use Cash Collateral
--------------------------------------------------
Rapid Test Laboratories, LLC received a one-month extension from
the U.S. Bankruptcy Court for the District of Arizona to use cash
collateral to fund operations.
The court entered an interim order allowing the Debtor to use cash
collateral for 30 days from March 13 in accordance with its budget
The Debtor's cash collateral includes cash, deposit accounts,
accounts receivable, and rental revenue in which First Fidelity
Bank, N.A., the Debtor's secured creditor, holds an interest.
First Fidelity Bank holds a claim of approximately $1.9 million
secured by both real property and personal property. It holds a
deed of trust on the Scottsdale testing facility and a security
interest in the Debtor's equipment, accounts, inventory, and other
business assets through a properly filed UCC-1 financing statement.
The bank will receive a post-petition replacement lien on all
pre-petition collateral and a monthly payment of $28,000 as
protection.
It is an event of default if the Debtor fails to pay $28,000 in
rent to Winter Desert Holdings, LLC for immediate transmission to
First Fidelity Bank. Upon default, the Debtor's authority to use
cash collateral ceases without further court order or written
consent from the bank.
The order is available at https://is.gd/Mn5sIF from
PacerMonitor.com.
Rapid Test continues to pay approximately $28,000 per month in rent
to Winter Desert Holdings, a related real estate holding entity,
which in turn uses those payments to service the loan owed to First
Fidelity Bank.
The real estate securing part of the First Fidelity Bank loan is
owned by Winter Desert Holdings and is valued at about $4.5
million, creating a substantial equity cushion that significantly
exceeds the bank's claim.
The Debtor currently has limited liquid assets, including about
$5,200 in cash and roughly $320,000 in collectible accounts
receivable.
The Debtor projects stable revenue of about $105,000 per month in
the near term, with expected growth once new laboratory equipment
and service contracts come online later in 2026.
First Fidelity Bank, as secured creditor, is represented by:
Sean P. O'Brien, Esq.
Gust Rosenfeld, P.L.C.
One East Washington Street, Suite 1600
Phoenix, AZ 85004-2553
Phone: 602-257-7460
spobrien@gustlaw.com
About Rapid Test Laboratories LLC
Rapid Test Laboratories, LLC is a multi-state clinical diagnostic
laboratory company established in 2020 that specializes in
rapid-turnaround and high-complexity laboratory testing services.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Ariz. Case No. 2:26-bk-02210-PS) on
March 10, 2026. In the petition signed by Wendy Bryant, manager,
the Debtor disclosed up to $1 million in assets and up to $10
million in liabilities.
Judge Paul Sala oversees the case.
Joseph Gregory Urtuzuastegui, III, Esq., at The Real Estate
Investors Law Firm, represents the Debtor as legal counsel.
RBS HOME: Seeks Chapter 11 Bankruptcy in Arizona
------------------------------------------------
On March 10, 2026, RBS Home Investing LLC filed for Chapter 11
protection in the U.S. Bankruptcy Court for the District of
Arizona. According to court filings, the Debtor reports between
$100,001 and $1,000,000 in debt owed to 1–49 creditors.
About RBS Home Investing LLC
RBS Home Investing LLC is a real estate investment company engaged
in acquiring, managing, and potentially developing residential
properties.
RBS Home Investing LLC sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. Case No. 26-02164) on March 10, 2026. In
its petition, the Debtor reports estimated assets between $100,001
and $1,000,000 and estimated liabilities within the same range.
Honorable Bankruptcy Judge Paul Sala handles the case.
REALTY-BUY-DESIGN: Gets Interim OK to Use Cash Collateral
---------------------------------------------------------
The U.S. Bankruptcy Court for the Middle District of Florida, Tampa
Division issued a second interim order authorizing Realty Buy
Design, Inc. and Hey Vacay, Inc. to use cash collateral.
Under the interim order, the Debtors are authorized to use cash
collateral to pay court-approved expenses, budgeted operating
costs, and certain additional amounts approved by lenders,
including the U.S. Small Business Administration and Household
Finance Mortgage Co. This authority remains in effect until further
order of the court, and any use outside these parameters is
prohibited.
The Debtor projects 4-weeks total operational expenses of $2,658.40
for week 1; $200 for week 2; $531 for week3; $450 for week 4.
As adequate protection, the Debtors must meet several obligations.
These include timely performance of all debtor-in-possession
duties, maintaining insurance on collateral, granting lenders
access to financial records and business premises, and granting
replacement liens on post-petition collateral with the same
priority as prepetition liens. The Debtors also agreed to pay
outstanding real estate tax obligations on specified Tampa
properties and escrow funds for future taxes.
The order preserves all parties' rights and is entered without
prejudice, meaning modifications or challenges may be raised later.
The Court retains jurisdiction to enforce the order, and
A continued preliminary hearing is scheduled for April 15.
About Realty-Buy-Design Inc.
Realty-Buy-Design Inc. sought protection under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. M.D. Flo. Case No. 26-01150) with
$1,000,001 to $10 million in both assets and laibilities.
Judge Hon. Caryl E Delano oversees the case.
The Debtor is represented by:
Edward J. Peterson, III
Berger Singerman LLP
Tel: 813-498-3400
Email: epeterson@bergersingerman.com
RELIZ LTD: Court Stays Dominion Capital Lawsuit Due to Bankruptcy
-----------------------------------------------------------------
Judge Mary Kay Vyskocil of the U.S. District Court for the Southern
District of New York stayed the case captioned as DOMINION CAPITAL
LLC, Plaintiff, -against- RELIZ LTD. d/b/a BLOCKFILLS.COM,
Defendant, Case No. 1:26-cv-01672-MKV (S.D.N.Y.).
On March 15, 2026, Defendant had filed a chapter 11 bankruptcy
petition in the United States Bankruptcy Court for the District of
Delaware, commencing In re: Reliz, Ltd., Case No. 26-10375-TMH
(Bankr. D. Del.).
This matter is automatically stayed in its entirety pursuant to
Section 362 of the Bankruptcy Code, 11 U.S.C. Sec. 362, by reason
of the filing of the bankruptcy case. All deadlines and hearings in
this case are adjourned sine die.
Defendant must file a report on the status of the bankruptcy case
on or before June 16, 2026, and every three months thereafter, or
within three days of the termination of the bankruptcy case or any
order lifting the automatic stay with respect to this case.
The action concerns Blockfills' ongoing misappropriation of
customer assets, its fraudulent concealment of that
misappropriation, and its unlawful retention and refusal to return
millions of dollars' worth of cryptocurrency assets that Dominion
had stored on the Blockfills platform.
Blockfills, a crypto brokerage and trading platform, accepted
Dominion as a customer in April 2021, including by approving
Dominion's account and assigning it an account number.
In February 2026, however, Blockfills suddenly announced that it
was suspending customer withdrawals. Dominion then learned, through
admissions by Blockfills itself, that Blockfills had been
misappropriating customer assets to cover its operational costs and
losses since at least 2025, and that the misappropriation is
ongoing. On February 11, 2026, Dominion formally requested the
return of its cryptocurrency assets located on the Blockfills
platform. Blockfills refused.
Not only has Blockfills refused to return the assets owned by
Dominion, but, upon information and belief (including based on
Blockfills' own admissions), it continues to unlawfully
use and deplete Dominion's assets for its own purposes. In light of
Blockfills' unlawful conduct, Dominion pleads claims for:
(a) fraudulent concealment (based on Blockfills' non-disclosure
of comingling and misuse of customer assets and related
withholding),
(b) conversion (based on Blockfills' unauthorized dominion over
Dominion's assets),
(c) breach of contract (including breach of the Application
Agreement and breach of the implied covenant of good faith and fair
dealing),
(d) breach of the implied covenant of good faith and fair
dealing to the extent independently cognizable,
(e) unjust enrichment, and
(f) violation of the Illinois Consumer Fraud Act (since
Blockfills has its principal place of business in Illinois).
Dominion seeks the release and return of its property interest
(Bitcoin assets), actual, compensatory, and punitive damages in an
amount to be proven at trial, prejudgment interest, costs, and such
equitable relief as the Court deems just and proper. In addition,
including by separate motion, Dominion is seeking a preliminary
injunction freezing Blockfills' assets so that it cannot further
deplete or transfer Dominion's property interest.
A copy of the Complaint is available at
http://urlcurt.com/u?l=UkgvXefrom PacerMonitor.com.
A copy of the Court's Order dated March 16, 2026, is available at
http://urlcurt.com/u?l=gJNrw7from PacerMonitor.com.
About Reliz Ltd.
Reliz Ltd. is a Chicago-based provider of institutional digital
asset trading and prime brokerage services operating under the name
BlockFills.
Reliz Ltd. sought relief under Chapter 11 of the U.S. Bankruptcy
Code (Bankr. D. Del. Case No. 26-10375) on March 15, 2026. In its
petition, the Debtor reports estimated assets between $50 million
and $100 million and estimated liabilities between $100 million and
$500 million.
The Hon. Bankruptcy Judge Thomas M. Horan hanles the case.
The Debtor is represented by David R. Hurst, Esq. of Mcdermott Will
& Schulte LLP.
SANDERS & ASSOCIATES: Gets Interim OK to Use Cash Collateral
------------------------------------------------------------
Sanders & Associates Tax & Accounting Solutions Corp. received
interim approval from the U.S. Bankruptcy Court for the Southern
District of Texas, Houston Division, to use cash collateral to fund
operations.
The court authorized the Debtor to use cash collateral in
accordance with its budget until the final hearing on April 7.
The Debtor needs immediate access to cash collateral to cover
business expenses as it lacks sufficient funds. It identifies CFG
Merchant Solutions, LLC as the creditor asserting a security
interest in its inventory, personal property, and accounts.
As protection, CFG will continue to have the same liens,
encumbrances and security interests in the cash collateral
generated or created after the Debtor's Chapter 11 filing, subject
and subordinate to the fee carveout.
The order is available at https://is.gd/R1Xhpo from
PacerMonitor.com.
About Sanders & Associates
Sanders & Associates Tax & Accounting Solutions Corp. sought
protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr.
S.D. Texas Case No. 26-31611) on March 10, 2026. In the petition
signed by Tracye Dobbs-Sanders, sole owner and director, the Debtor
disclosed up to $50,000 in assets and up to $500,000 in
liabilities.
Judge Eduardo V. Rodriguez oversees the case.
Reese Baker, Esq., at Baker & Associates, represents the Debtor as
legal counsel.
SECTION 119: Gets Interim OK to Use Cash Collateral
---------------------------------------------------
Section 119, LLC received interim approval from the U.S. Bankruptcy
Court for the Northern District of New York to use cash
collateral.
Under the interim order, the Debtor is authorized to use cash
collateral in accordance with its budget until the final hearing on
April 16.
The Debtor is also authorized to pay to the Subchapter V trustee
the sum of $1,000 while its bankruptcy case is pending. The
Subchapter V trustee must hold such funds in his firm's escrow
account to be applied to fees and costs incurred, subject to
application and order by the court.
Potential secured creditors will be granted adequate protection for
any diminution in the value of their cash collateral in the form of
replacement liens on the Debtor's pre-petition and post-petition
assets, with the same priority as their pre-petition liens.
According to a Uniform Commercial Code search, the Debtor
identified two alleged secured creditors, CFT Clear Finance
Technology Corp. and WebBank, and also discussed Wayflyer and
Shopify-related financing, although the Debtor disputes that these
entities hold valid, enforceable, or perfected liens.
The order is available at https://is.gd/hsx52c from
PacerMonitor.com.
Section 119 is a Delaware-based direct-to-consumer e-commerce
apparel company licensed to use Grateful Dead intellectual
property, with operations managed remotely by contractors and no
employees, serving approximately 175,000 customers. Financial
instability arose due to the collapse of its primary lender and
reliance on high-cost merchant cash advance financing, prompting
the Chapter 11 filing to stabilize operations, address creditor
claims, and potentially pursue a section 363 sale or plan-based
restructuring.
About Section 119 LLC
Section 119 LLC is a Delaware-based direct-to-consumer e-commerce
apparel company licensed to use Grateful Dead intellectual
property.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. N.D. N.Y. Case No. 26-10254-1-pgr) on March
11, 2026. In the petition signed by Gregg Carey, chief executive
officer, the Debtor disclosed up to $500,000 in assets and up to
$10 million in liabilities.
Judge Patrick G. Radel oversees the case.
Justin A. Heller, Esq., at Whiteman Osterman & Hanna LLP,
represents the Debtor as legal counsel.
SERVICE LOGIC: Moody's Withdraws 'B3' Corporate Family Rating
-------------------------------------------------------------
Moody's Ratings withdrew all of Service Logic Acquisition, Inc.'s
(Service Logic) ratings, including the B3 corporate family rating,
B3-PD probability of default rating, and B2 senior secured first
lien bank credit facility rating. Prior to the withdrawal, the
outlook was positive. This action follows Bain Capital's
acquisition of the company in December 2025, as well as the
completed refinancing, where all rated debt has been redeemed.
RATINGS RATIONALE
Moody's have withdrawn the ratings as a result of the refinancing
and repayment of the company's senior secured first lien bank
credit facility, including the first lien term loan B (due October
2027) and first lien revolving credit facility rating (due April
2027).
COMPANY PROFILE
Headquartered in Charlotte, North Carolina, Service Logic provides
aftermarket maintenance, repairs, and replacement services for
commercial HVAC equipment, chilled water systems, and building
automation and control systems. Prior to Bain Capital's $3.1
billion acquisition of the company in December 2025, Service Logic
was owned by Leonard Green Partners. The company recorded about
$2.6 billion of revenue during the 12 month period ended September
2025.
SHOWTIME ACQUISITION: S&P Affirms 'B-' ICR, Alters Outlook to Pos.
------------------------------------------------------------------
S&P Global Ratings revised the outlook to stable from positive and
affirmed all of its ratings on Pigeon Forge, Tenn.-based live
dinner attraction and family entertainment operator Showtime
Acquisition LLC, including the 'B-' issuer credit rating and 'B-'
issue-level rating on its debt. The '3' recovery rating is
unchanged and indicates its expectation of meaningful (50%-70%;
rounded estimate: 60%) recovery in the event of a default.
S&P said, "The stable outlook reflects our expectation that S&P
Global Ratings-adjusted leverage remains above 6x and FOCF to debt
below 5% through 2026.
"Showtime's performance was slightly below our previous forecast.
S&P Global Ratings-adjusted leverage was 6.5x at the end of 2025
and free operating cash flow (FOCF) to debt was about 2%, at the
lower end of our forecast.
"We expect higher attendance, per capita spending, and expansion of
its dinner concepts to support modest deleveraging in 2026.
However, leverage will remain above 6x and FOCF to debt below 5% in
the next 12 months.
"We expect credit metrics to remain outside our upgrade thresholds
for the next 12 months. The outlook revision to stable from
positive reflects that we now expect leverage will remain in the
low-6x area with FOCF to debt of 3%-4% in 2026. Showtime's
operating performance for 2025 was slightly below our previous
forecast. For the fiscal year ended Dec. 31, 2025, revenue
increased 8.8%, reflecting a 3% increase in attendance and per
capita spending. This compares to our previous forecast of 10%-12%.
We mainly attribute performance to the successful opening of
Pirates Voyage at Panama City Beach, Fla., in May 2025. Excluding
Pirates Voyage at Panama City Beach, revenue decreased 2%,
reflecting a 3% attendance decline and 1% growth in per capita
spending because of overall softness in key markets amid weak
macroeconomic trends, and a holiday timing shift in the fourth
quarter related to Christmas.
"Showtime's S&P Global Ratings-adjusted EBITDA increased roughly
22%, mainly due to the roll-off of large one-time costs related to
its 2024 refinancing. We expect the company to increase revenues
this year, supported by a full-year contribution from Panama City
Beach and benefits of strategic initiatives that include new acts
to increase attendance and repeat visitors at some of its Pirates
Voyage locations and new artifacts at its Titanic Museums. However,
we believe macroeconomic headwinds (including a weakening job
market, persistently high inflation, and increasing fuel prices)
could continue to weigh on consumer discretionary spending. The
potential for continued acquisitions and new location builds could
also keep leverage above 6x beyond 2026.
"Our assessment of debt to EBITDA includes the treatment of
preferred equity at Showtime's parent as debt held by a third-party
investor. Showtime partially paid down its outstanding balance in
August 2025 with an incremental term loan. The preferred stock
remains an increasing liability that it will need to eventually
address and now requires 50% cash interest payment of the total
coupon starting this year. FOCF was positive in 2025, and we expect
an increase in 2026, which we believe could be deployed for
acquisitions and business investments rather than debt principal
paydown."
Showtime's dinner concepts have good brand recognition and high
margins. With low break-even rates and high per capita spending,
Showtime's strategy is to operate live entertainment shows in
regional tourist destinations in the southeastern U.S. The company
operates over 3,800 shows annually across its 11 venues and four
geographic locations with an average occupancy of about 75% across
all venues. Its core markets attract a largely domestic tourist
population demographic, composed mostly of families driving from
neighboring states. Core concepts include Dolly Parton's Stampede,
Pirates Voyage, and Hatfield & McCoy, each featuring multicourse
meals coupled with live productions. In February 2024, the company
acquired Titanic Museum Attractions, which houses the world's
largest collection of RMS Titanic artifacts. In August 2025,
Showtime acquired PCB SkyWheel, a 200-foot observation wheel and
signature beachfront attraction, providing cross-selling
opportunities. S&P expects the company will continue to add new
locations and make small tuck-in acquisitions given its small scale
of operations.
A sizable portion of dinner show guests are repeat patrons,
including those who have seen another Showtime attraction, which
supports S&P's view of good brand recognition within its markets.
Showtime enjoys per capita spending of more than $65 at its largest
core attractions, which favorably compares to about $60 for
regional theme park operator Six Flags Entertainment Corp.
(B+/Stable). In addition, Showtime has a highly variable cost
structure and largely wholly owned asset base, which results in
above average EBITDA margins of 45%-50% and break-even occupancy of
22%, well below its 75% average.
Showtime benefits from owning its assets and minimal spending on
maintenance capital expenditures. Ownership of its venues and
intellectual property enables significant operating leverage as a
direct result of a comparatively lower fixed-cost base and
financial flexibility in a distressed scenario. The company has low
maintenance capital expenditure requirements of about $5 million
per year. However, S&P expects total spending to remain elevated at
about $25 million to $30 million in 2026 to pursue growth
opportunities given its small size.
The stable outlook on Showtime reflects S&P's expectation that S&P
Global Ratings-adjusted leverage remains above 6x and FOCF to debt
remains below 5% through 2026 due to low-mid-single-digit
percentage revenue growth and higher than previously expected
capital expenditure.
S&P could lower the rating if:
-- FOCF turns negative and the company begins to deplete its
liquidity resources; and
-- S&P believes the capital structure is unsustainable.
This could stem from persistently lower attendance in a prolonged
economic downturn, operating challenges, or debt-financed
shareholder returns.
S&P could raise the rating if the company:
-- Reduces and sustains S&P Global Ratings-adjusted debt to EBITDA
below 6x; and
-- Generates FOCF to debt above 5% despite potential volatility in
show attendance.
This could occur through higher-than-expected revenue and EBITDA
growth as well as successful execution of acquisitions.
SIERRA COMPOUNDING: Section 341(a) Meeting of Creditors on April 16
-------------------------------------------------------------------
On March 9, 2026, Sierra Compounding, LLC, filed for Chapter 11
bankruptcy protection in the District of Arizona. According to
court filings, the Debtor reports liabilities ranging from $1
million to $10 million owed to approximately 1–49 creditors.
A meeting of creditors under Section 341(a) to be held on April 16,
2026 at 10:30 AM via Chapter 11 Teleconference Call in number:
1-888-330-1716, Passcode: 4038524.
About Sierra Compounding, LLC
Sierra Compounding, LLC operates as a limited liability company in
the pharmaceutical sector, providing compounding and specialty
medication services tailored to individual patient needs.
Sierra Compounding, LLC sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. Case No. 26-02156) on March 9, 2026. The
filing reflects estimated assets between $100,001 and $1,000,000
and liabilities between $1 million and $10 million.
The case is assigned to Honorable Bankruptcy Judge Brenda Moody
Whinery.
The Debtor is represented by Patrick F. Keery, Esq. of Keery McCue,
PLLC.
SOUTH BROADWAY: Court Okays Chapter 11 Trustee's Fee Request
------------------------------------------------------------
Chief Judge Alan S. Trust of the U.S. Bankruptcy Court for the
Eastern District of New York approved the request of South Broadway
Realty Enterprise, Inc.'s chapter 11 trustee, Allan B. Mendelsohn,
for compensation. The United States Trustee's objection is
overruled.
On June 13, 2025, the Trustee filed a motion under 11 U.S.C. Sec.
363(f) for an expedited hearing to consider the sale of Debtor's
real property known as 640 South Broadway, Hicksville, NY, for
$2,900,000.
On June 20, 2025, the Trustee filed a Chapter 11 liquidation plan
which provided that, based on the sale price of $2,900,000, general
unsecured creditors would receive a 100% distribution.
On July 9, 2025, the Court held a hearing on the 363 Motion and
directed the Trustee to conduct an online auction sale to allow
interested buyers an opportunity to bid on the Property (the
"Auction").
On July 15, 2025, the Trustee held the Auction and obtained a
successful bid for the Property of $4,000,000.00.
On July 18, 2025, the Trustee filed a second amended plan of
liquidation (the "Plan") and a second amended disclosure statement
(the "Disclosure Statement") which provided for the sale of
Debtor's Property for $4,000,000.00. According to the Plan and
Disclosure Statement, the sale proceeds from the Auction resulted
in a surplus estate after a 100 percent distribution to all
creditors. The Plan defined several key terms which are discussed
infra.
On July 21, 2025, the Court entered orders conditionally approving
the Disclosure Statement, scheduling Debtor's confirmation hearing
for September 10, 2025, and granting the 363 Motion.
On September 10, 2025, the Court held the confirmation hearing.
On September 24, 2025, the Court entered an amended order approving
the 363 Motion which increased the purchase price of the Property
from $2,900,000.00 to $4,000,000.00. The Court also entered an
order approving the sale under 11 U.S.C. Sec. 363(f).
On October 1, the Court entered an order approving the Disclosure
Statement on a final basis and confirming the Plan.
After the sale closed, on November 7, the Trustee filed a final fee
application in which he requested a total commission of $141,034.71
based on disbursements of $4,126,156.66, and a reimbursement of
expenses of $368.00. According to the fee application, an
anticipated disbursement of over $800,000.00 would be made to
Debtor's equity security holders in accordance with the Plan and
Disclosure Statement.
On December 10, the Court held a hearing on the fee application. At
the hearing, the chapter 11 trustee highlighted a part of his fee
request which included commissions for the disbursement of the
surplus funds to Debtor's former equity security holders. The UST
also notified the Court that they intended to object to this
request on the basis that Sec. 326(a) does not permit a chapter 11
trustee to collect commissions for disbursements to former equity
owners.
On January 16, 2026, the UST filed an objection to the fee
application.
The Trustee's request is made under 11 U.S.C. Sec. 326(a) for
commissions arising from the sale of real property belonging to the
debtor, which resulted in a surplus estate. The issue before the
Court is one of first impression in the Second Circuit: whether
Sec. 326(a) permits a chapter 11 trustee to be compensated for
disbursements made to former equity security holders in accordance
with a confirmed plan.
The Second Circuit has not previously addressed the issue of
whether, under a confirmed plan, a chapter 11 trustee of a surplus
estate may seek commissions under Sec. 326(a) for distributions
made to equity security holders of a corporate debtor. In fact,
caselaw on this issue is sparse. For the following reasons, the
Court holds that Sec. 326(a)'s prohibition on commissions to a
chapter 11 trustee arising from distributions made to a debtor does
not include or extend to distributions made to "equity security
holders" of a chapter 11 debtor as defined under 11 U.S.C. Sec.
101(17).
The Court concludes that the Trustee is permitted to receive such
compensation, and thus, the objection is overruled.
The Trustee's fee application is approved in its entirety.
The Trustee is awarded total commissions of $141,034.71 based on
disbursements of $4,126,156.66, and reimbursement of expenses of
$368.00.
A copy of the Court's Memorandum Opinion and Order dated March 18,
2026, is available at http://urlcurt.com/u?l=7ngZUXfrom
PacerMonitor.com.
About South Broadway Realty Enterprise Inc.
South Broadway owns a commercial building located at 640 South
Broadway Hicksville, New York 11801 valued at $2.5 million.
South Broadway Realty Enterprise, Inc. in Hicksville, NY, filed its
voluntary petition for Chapter 11 protection (Bankr. E.D.N.Y. Case
No. 23-74237) on November 13, 2023, listing $2,500,013 in assets
and $2,080,067 in liabilities. Francesco Guerrieri as president,
signed the petition.
Judge Alan S. Trust oversees the case.
The LAW OFFICES OF AVRUM J. ROSEN, PLLC serves as the Debtor's
legal counsel.
The Court appointed Allan B. Mendelsohn as chapter 11 trustee.
In October 2025, the Court entered an order approving the
Disclosure Statement on a final basis and confirming the Plan of
Liquidation for the Debtor.
SOUTHWEST FIRE: Court Extends Cash Collateral Access to May 31
--------------------------------------------------------------
The U.S. Bankruptcy Court for the District of New Mexico entered a
stipulated order authorizing Southwest Fire Defense, LLC the
continued use of cash collateral through May 31 and granting
adequate protection to secured creditors.
Under the order, the Debtor is authorized to use cash collateral
from March 1 through May 31, in accordance with a court-approved
budget, with spending flexibility capped at 110% per line item. The
Debtor must also file monthly operating reports, maintain accurate
financial records, pay taxes on time, and ensure proper insurance
coverage on all assets.
To protect creditors—including Kapitus, First Citizens Bank &
Trust Company, SBA, and Cadence Bank—the court approved monthly
adequate protection payments of $2,070/month to Kapitus (reflecting
interest as an oversecured creditor), Multiple monthly payments to
First Citizens totaling several thousand dollars across different
claims.
Additionally, creditors will be granted replacement liens on
post-petition assets, maintaining the same priority as prepetition
liens. They will also retain rights to inspect the Debtor's
business and records, while preserving their ability to challenge
valuations or claims later.
The order includes strict safeguards, such as limits on insider
payments, requirements to maintain insurance, and conditions under
which cash collateral use can terminate (e.g., default, case
conversion, or dismissal). Overall, the ruling balances the
Debtor's need to continue operations with strong creditor
protections and oversight during the reorganization process.
A copy of the court's order and the Debtor's budget is available at
https://shorturl.at/DAtNM from PacerMonitor.com.
About Southwest Fire Defense LLC
Southwest Fire Defense, LLC provides emergency same-day hazard tree
removal, tree trimming, stump grinding, defensible space creation
and tree risk assessment services in the Santa Fe, New Mexico
area.
Founded in 2014 by former firefighter Daniel A. Martinez, the
company offers free estimates.
Southwest Fire Defense filed a petition under Chapter 11,
Subchapter V of the Bankruptcy Code (Bankr. D.N.M. Case No.
25-10924) on July 28, 2025. In its petition, the Debtor reported
total assets of $706,464 and total liabilities of $1,530,318.
Judge Robert H. Jacobvitz handles the case.
The Debtor is represented by:
Christopher M. Gatton, Esq.
Gatton & Associates, P.C.
Tel: 505-271-1053
Email: chris@gattonlaw.com
SPARHAWK TRUCKING: Wisconsin-based Carrier Seeks Ch.11 Bankruptcy
-----------------------------------------------------------------
John Kingston of FreightWaves reports that Sparhawk Trucking, a
family-run Wisconsin transportation company, has entered Chapter 11
bankruptcy alongside several affiliated entities. Federal data
indicates the carrier operates 178 power units, though company
materials suggest a larger fleet of more than 200 tractors and over
1,000 trailers supporting dry van and refrigerated services.
The bankruptcy filings, submitted in the Western District of
Wisconsin, include Sparhawk Trucking, Sparhawk Truck and Trailer,
Sparhawk Inc., and Sparhawk Properties. Each entity plays a
distinct role, with trucking operations, maintenance services,
asset holding, and real estate ownership split across the group.
Sparhawk Inc. had been intended as a central holding company,
though asset transfers were incomplete at the time of filing, the
report states.
Attorney Nick Kerkman said the trucking and servicing entities
carry identical debt obligations, underscoring their operational
integration. He added that court approval of first-day motions has
enabled the company to maintain normal operations, including paying
wages, contractors, and critical vendors, ensuring continuity
during restructuring.
Financial disclosures show Sparhawk Trucking with minimal reported
assets below $50,000 but liabilities between $10 million and $50
million, and up to 99 creditors. Paccar Parts Fleet Service and
Cintas lead its creditor list. Related entities reported similar
liability ranges, while Sparhawk Properties disclosed secured debts
to Wisconsin-based banks and Sparhawk LLC listed a major secured
obligation tied to trailer financing.
About Sparhawk Trucking
Sparhawk Trucking is a Wisconsin-based family-owned trucking
company.
Sparhawk Trucking sought relief under Chapter 11 of the U.S.
Bankruptcy Code Bankr. W.D. Wis. Case No. 26-10529) on March 13,
2026. In its petition, the Debtor reports estimated assets up to
$50,000 and estimated liabilities between $10 million and $50
million.
Honorable Bankruptcy Judge Catherine J. Furay handles the case.
SUPERIOR METAL: Case Summary & 20 Largest Unsecured Creditors
-------------------------------------------------------------
Debtor: Superior Metal Treating and Equipment, Inc.
2540 Indiana Avenue
Kansas City, MO 64127-4347
Business Description: Superior Metal Treating & Equipment
Inc., a commercial heat treating company with more than 65 years of
experience, provides full-service processing for metal parts. Its
offerings include hardening, carburizing, vacuum treatment, salt
bath, austempering, ferritic nitrocarburizing, annealing, stress
relieving, normalizing, tempering, deep freeze, induction
hardening, flame hardening and black oxide. The company's
50,000-square-foot facility supports customized projects and
testing.
Chapter 11 Petition Date: March 23, 2026
Court: United States Bankruptcy Court
Western District of Missouri
Case No.: 26-40489
Debtor's Counsel: Colin N. Gotham, Esq.
EVANS & MULLINIX, P.A.
7225 Renner Road, Suite 200
Shawnee, KS 66217
Tel: (913) 962-8700
Fax: (913) 962-8701
E-mail: cgotham@emlawkc.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Jeffrey Herman as president.
A full-text copy of the petition, which includes a list of the
Debtor's 20 largest unsecured creditors, is available for free on
PacerMonitor at:
https://www.pacermonitor.com/view/2IEH64Q/Superior_Metal_Treating_and_Equipment__mowbke-26-40489__0001.0.pdf?mcid=tGE4TAMA
SWAHILI VILLAGE: Gets Final OK to Use Cash Collateral
-----------------------------------------------------
The U.S. Bankruptcy Court for the District of Columbia issued a
sixth and final order authorizing Swahili Village M Street, LLC to
use cash collateral on a final basis.
Under the order, the debtor is authorized to use pre-petition
collateral, including cash collateral, from March 1 through the
confirmation of a reorganization plan, in accordance with an
approved budget. The court found that such use is essential for the
debtor to maintain ordinary business operations while proceeding
through the Chapter 11 process.
To protect creditors, including merchant cash advance lenders and
the District of Columbia Office of Tax and Revenue, the court
granted replacement liens on all post-petition assets to the extent
their collateral value is diminished. These liens are automatically
perfected and maintain the same priority as the lenders’
prepetition interests, ensuring continued protection without
additional filings.
The order also preserves the rights of all parties to challenge
lien validity or seek further modifications, while confirming that
the protections granted will remain in effect even if the case is
converted, dismissed, or a plan is confirmed. The debtor's
authority to use cash collateral will terminate upon the plan's
confirmation or earlier court order and notice of the order must be
provided to all relevant parties.
A copy of the court's order and the Debtor's budget is available at
https://shorturl.at/U0cXJ from PacerMonitor.com.
About Swahili Village M Street
Swahili Village M Street, LLC operates a restaurant in Washington
DC. The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D.C. Case No. 25-00437) on September
26,2025. In the petition signed by Kevin Onyona, member, the Debtor
disclosed up to $10 million in both assets and liabilities.
Judge Elizabeth L. Gunn oversees the case.
Craig M. Palik, Esq., at McNamee Hosea, P.A., represents the Debtor
as legal counsel.
SYNIVERSE HOLDINGS: Moody's Cuts CFR to Caa1, Alters Outlook to Neg
-------------------------------------------------------------------
Moody's Ratings downgraded Syniverse Holdings, LLC's (Syniverse)
corporate family rating to Caa1 from B3 and probability of default
rating to Caa1-PD from B3-PD. Moody's also downgraded the ratings
on Syniverse's senior secured bank credit facilities, comprised of
a $150 million multi-currency revolving credit facility due
February 2027 and a $1.025 billion term loan due May 2027, to Caa1
from B3. The rating outlook was changed to negative from stable.
The downgrades and change in outlook to negative reflect, in part,
Syniverse's governance weaknesses, mainlyits financial strategy and
risk management practices which tolerate elevated debt leverage
(Moody's adjusted) in concert with declining revenue and EBITDA and
negative free cash flow. With limited revolver availability and
sizable debt maturities over the next 11-14 months, Moody's
believes the possibility of a distressed debt exchange is a risk.
RATINGS RATIONALE
Syniverse's Caa1 CFR reflects its currently slow progress
decreasing debt leverage (Moody's adjusted), a sizable interest
burden and execution risks driving sustainable revenue and EBITDA
growth from its Mobility and Messaging segments, particularly
against continued unit pricing pressures from customers in its
legacy Mobility segment offset by roaming volume growth and value
added service bundles. The company also has customer concentration
exposure to US-based carriers in its Mobility segment, the largest
of its two business segments at around 74% of total revenue for the
year ended November 30, 2025. Syniverse's debt leverage (Moody's
adjusted) increased to 7.6x at year-end 2025 from 6.1x at year-end
2024, a reversal of a steady downward trend in 2024. Moody's
adjusted EBITDA for fiscal year-end 2025 of $144 million was $32
million lower than the comparable 2024 period. Moody's treatments
(or non-add-back) of certain one-time expense items contributed to
a majority of this $32 million difference, including the company's
appeal of a regulatory assessment and business exit expenses tied
to cessation of a small, legacy wireline operation, among others.
Lower non-recurring customer charges (or fee revenue from
Syniverse's customers for non-recurring contracts or projects) in
2025 compared to 2024 also contributed to these weaker results.
However, the direction of a company-defined performance indicator
-- Direct Profit (excluding the positive impact of non-recurring
customer charges) -- remained flat in 2025 when compared to 2024,
underscoring current growth traction difficulties. A meaningful
inflection in operating results had also been anticipated in the
fourth quarter ending November 30, 2025, but was not evidenced. The
ratings downgrade is a consequence of many factors, including debt
leverage (Moody's adjusted) at year-end 2025 sustained above 6.5x,
unaddressed forward debt maturities within an upcoming 12-month
period, tightening liquidity as a result of significant revolver
drawdowns tied to vendor payments, declining revenue, flat Direct
Profit growth and weak free cash flow trends.
Offsetting these factors, Syniverse's global reach, secure
communication network, well-established business serving mobile
network operators and enterprises globally and leading market
positions strengthen the company's comparative value proposition
among a limited set of competitors in its Mobility segment's end
markets. With effective execution, Moody's believes Syniverse's
business model has the potential for solid revenue and EBITDA
growth over the next several years from both legacy and newer end
markets. High global roaming volume growth and value added service
offerings in its Mobility segment are underpinned by the company's
competitively-positioned, carrier-neutral global IPX network.
Harnessing revenue growth from more competitive opportunities in
its Messaging segment's end markets will require very strong
execution. Moody's believes growth from interactive rich
communication services (RCS) offerings, where pricing power appears
stronger, will be critical for driving debt leverage (Moody's
adjusted) lower in the years ahead.
Moody's expects Syniverse to have weak liquidity over the next
11-14 months given weak free cash flow levels and significant
funded debt maturities in February 2027 and May 2027. Moody's
expects the company to generate nominal free cash flow of around $3
million for the fiscal year ending November 30, 2026. Absent its
looming and sizable debt maturities, Moody's expects Syniverse to
meet its basic cash obligations consisting of term loan
amortization, working capital needs tied to growth and maintenance
capital investing requirements. Moody's believes the business model
requires capital spending of no more than around 10% of revenue.
The company's most recent public disclosure regarding its $150
million multi-currency revolving credit facility due February 11,
2027 showed that $110.0 million was drawn for the period ended
November 30, 2025, and that $25.0 million of cash was on the
balance sheet.
Syniverse's multi-currency revolving credit facility is subject to
a springing first lien net leverage set at 7.25x, and tested if at
least 35% of the revolver is drawn. The company was in compliance
at November 30, 2025. The term loan, which matures May 13, 2027,
does not have financial covenants absent the revolver draw
stipulation. Should the covenant continue to be tested over the
next 12 months, Moody's expects that Syniverse will maintain an
adequate buffer over the requirement.
Preferred equity issued by Syniverse Corporation, Syniverse's
parent, totaled $514.3 million as of November 30, 2025 and has a
high dividend rate that can be settled in cash or through a PIK
payment. Moody's do not believe any cash coupon payments have been
paid since issuance in 2022. Any distributions from Syniverse to
Syniverse Corporation are subject to credit facility covenant
terms. Moody's currently do not expect distributions from Syniverse
to help fund cash dividends on this preferred equity held at the
parent.
Syniverse's Credit Impact Score of CIS-5 reflects the company's
exposure to governance risks stemming from its aggressive financial
policy and a complex organizational structure. The company's
governance risks specifically reflect its financial sponsors'
financial policy objectives which include operating for extended
periods of time with high debt leverage and breakeven to negative
free cash flow. The exclusion of the North American enterprise
messaging assets of Syniverse's parent, Syniverse Corporation, from
the credit facility's collateral package adds complexity to the
organizational structure. The company is exposed to social risks
due to declining demand in some legacy operations tied to changing
demographic and societal trends as well as advances in telecom
technology. The company is also exposed to potential cybersecurity
breaches.
The negative outlook reflects the anticipated pressure on the
company's liquidity due to approaching debt maturities and the
potential for a distressed debt exchange. Without stronger evidence
of sustained revenue and EBITDA growth from current business
evolution efforts over the next 12-18 months, Moody's believes
there are risks as to the sustainability of the company's current
capital structure.
The instrument ratings reflect both the probability of default of
Syniverse, as reflected in the Caa1-PD probability of default
rating, an average expected family recovery rate of 50% at default
and the loss given default assessment of the debt instruments in
the capital structure based on a priority of claims. The first lien
credit facility, comprised of a revolver and term loan, represents
the preponderance of the capital structure and is thus rated the
same as the Caa1 corporate family rating.
A complex mid-2022 organizational restructuring, which accompanied
a recapitalization and global refinancing, resulted in The Carlyle
Group and Twilio Inc. (Twilio, Ba1 stable) jointly owning over 94%
of Syniverse's parent, Syniverse Corporation. Moody's calculates
the company's credit metrics based only on the financials of
Syniverse as the obligor on a $1.175 billion credit facility and
not its parent, Syniverse Corporation. Syniverse Corporation,
through another subsidiary, Syniverse Messaging Holdings, LLC
(Syniverse Messaging) and its subsidiary Buccaneer Holdings II, LLC
(Buccaneer), now owns the North American enterprise messaging
assets formerly held by Syniverse; Buccaneer assets are excluded
from the collateral package of Syniverse's credit facility.
Syniverse's credit facility is guaranteed by Syniverse's immediate
parent, Buccaneer Holdings, LLC (Buccaneer Holdings), as well as by
all remaining current and future direct and indirect wholly-owned
domestic restricted subsidiaries of Syniverse. The collateral
package securing Syniverse's credit facility includes a first
priority security interest in substantially all tangible and
intangible assets of Syniverse and Buccaneer Holdings, and excludes
the tangible and intangible assets and associated cash flow of
Syniverse Corporation's separate subsidiary, Syniverse Messaging
and its subsidiary Buccaneer.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
Given the negative outlook, an upgrade is unlikely absent a
successful refinancing of all upcoming debt maturities, in addition
to other considerations. Syniverse's ratings could be upgraded if
sustained revenue growth were accompanied by steady and solid
margins, Direct Profit growth was positive, capital spending was
both consistent and predictable and free cash flow to debt was
sustained in the low single digits. In addition, debt leverage
(Moody's adjusted) would need to be sustained below 6x and adequate
liquidity would need to be maintained.
The ratings could be downgraded if liquidity deteriorates, the
likelihood of a covenant breach increases or if debt leverage
(Moody's adjusted) increases further as a result of flat to weaking
operating trends. Ratings could also be downgraded if the risk of a
distressed debt exchange rises or if recovery expectations in a
default scenario weaken.
Headquartered in Tampa, Florida, Syniverse Holdings, LLC is a
leading provider of mobile and wireless technology services to
mobile network operators and enterprises globally. Syniverse's
ultimate parent, Syniverse Corporation, is majority owned by
private equity investor The Carlyle Group and Twilio Inc. Revenue
for the last 12 months ended November 30, 2025 was $419 million.
The principal methodology used in these ratings was Business and
Consumer Services published in February 2026.
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.
TENET HEALTHCARE: Fitch Hikes LongTerm IDR to 'BB', Outlook Stable
------------------------------------------------------------------
Fitch Ratings has upgraded Tenet Healthcare Corporation's Long-Term
Issuer Default Rating (IDR) to 'BB' from 'BB-' and resolved the UCO
on its ratings. Fitch also upgraded Tenet's asset-based lending
(ABL) revolver to 'BBB-' with a Recovery Rating of 'RR1' from
'BB+'/'RR1', first lien senior secured notes to 'BB+'/'RR3' from
'BB'/'RR3', and senior unsecured notes to 'BB'/'RR4' from
'BB-'/'RR4'. The Rating Outlook is Stable.
These ratings reflect Tenet's improved competitive position,
including double-digit revenue growth in its high-margin ambulatory
segment and mid-teens EBITDA margins in its hospital segment.
Hospital divestitures in 1H24 funded $2.1 billion of debt reduction
and enhanced liquidity (cash totaled $2.9 billion at YE25), while
its latest refinancing in 2H25 bolstered its balance sheet.
Although 2025 U.S. tax law and YE25 expiration of ACA health plan
enhanced premium tax credits pose near-term headwinds, Fitch
expects growth and disciplined expense management to sustain
Fitch-defined EBITDA leverage below 3.5x, consistent with the 'BB'
IDR.
Entity/Debt Rating Recovery Prior
----------- ------ -------- -----
Tenet Healthcare
Corporation LT IDR BB Upgrade BB-
senior secured LT BBB- Upgrade RR1 BB+
senior unsecured LT BB Upgrade RR4 BB-
senior secured LT BB+ Upgrade RR3 BB
Key Rating Drivers
Likely Still Deleveraging: Fitch-defined EBITDA leverage declined
to 3.4x at YE25 from 3.9x at YE24 and from 5.0x-5.5x in the two
years prior, driven by robust EBITDA growth and $2.1 billion of
debt reduction funded from hospital divestitures in 1H24. While
reimbursement conditions have shifted and now pose headwinds near
term, Fitch still expects Tenet can deleverage within the 3.0x-3.5x
range over its forecast, consistent with a 'BB' IDR, driven by
modest revenue growth, stable margins and modest debt reduction
(despite $2.9 billion of cash permitting more).
Fitch assumes Tenet will allocate its capital prudently, balancing
its top objectives of expanding via M&A and de novo development and
returning capital to shareholders, with balance sheet management
limiting EBITDA leverage to 3.5x (the negative rating sensitivity
for Tenet's upgraded BB IDR). Tenet has yet to articulate a precise
target for leverage, but Fitch believes the risk of leverage
increasing significantly through major acquisitions is likely
limited.
Impressive Free Cash Flow (FCF): Tenet's $1.7 billion in FCF (net
of $0.9 billion of distributions to noncontrolling interests) in
2025, totaling 8% of revenue, marks considerable progress with cash
flow conversion. Fitch expects Tenet to sustain annual FCF at 7%-8%
of revenue over its forecast period, with potential growth to $2.0
billion. These FCF levels, and the cash flow from operations less
capex-to-debt ratio which Fitch forecasts at mid-teen levels,
further support Tenet's upgraded 'BB' IDR. After $2.1 billion of
debt reduction in 2024, Fitch expects FCF to fund stock repurchases
($1.4 billion in 2025 and $1.0 billion-$1.5 billion annually
thereafter per its forecast) and de novo investment and M&A in the
ambulatory segment (Fitch expects at least $250 million annually).
ASCs Propelling EBITDA Growth: Tenet is one of the largest
for-profit operators of acute care hospitals in the U.S. and the
largest operator of ambulatory surgery centers (ASCs) in the U.S.,
and Fitch sees secular tailwinds for and continuing investment in
ASCs driving at least mid-to-high-single-digit growth in ambulatory
segment EBITDA. Relative to its hospital segment, Tenet's
ambulatory segment has higher revenue growth (up 8%-9% annually for
three years on a system-wide, same-facility basis) and higher
margins (over 2x those in its hospital segment). ASCs are likely to
remain Tenet's key growth driver.
Notable EBITDA Margin Improvement: EBITDA margin expansion has
continued, and credit goes beyond the ASCs. Tenet's Hospital
segment benefitted in 2025 from improving acuity mix and volumes
(same-facility admissions +2% in 2025, following +5% in 2024),
expanded Medicaid funding, and enhanced credits for ACA health plan
premiums (expired YE 2025), boosting hospital segment (and
consolidated) EBITDA margin by over 200 bps yoy to nearly 16.0%
(21.4%, up over 400 bps in two years). The YE25 expiration of these
ACA subsidies and adverse policy trends unfolding for Medicaid now
pose headwinds within its forecast, but Fitch still expects
operating EBITDA margin to remain within 50 bps of its 2025 peak of
20%, supporting Tenet's upgraded ratings.
Collateral Constrains First Lien Senior Secured Notes Rating: Under
Fitch's criteria for 'BB' IDR issuers, first lien debt structurally
junior to an ABL revolver is generally assigned a Recovery Rating
of 'RR2', which is notched up two levels from the IDR, unless its
collateral value is weakened by subordination or otherwise. Tenet's
first lien notes have thus been upgraded to 'BB+'/'RR3', rather
than to 'BBB-'/'RR2', reflecting Fitch's view of their lower
relative call on enterprise value (EV) due to Tenet's significant
non-guarantor assets — most notably, its ASCs.
Peer Analysis
Tenet's Long-Term IDR of 'BB-' reflects moderately higher EBITDA
leverage relative to health system peer Universal Health Services,
Inc. (UHS; BB+/Stable) and modestly higher EBITDA leverage relative
to health system peer HCA Healthcare, Inc. (HCA), which commands
the most industry scale. Tenet's operating and FCF margins are now
in the same league as those of HCA, reflecting success in cutting
costs, divesting lower-margin hospitals, expanding its high-margin
ambulatory care business, and investing to emphasize higher-acuity
services across its hospital and ambulatory segments. Tenet's
operating margins and cash flow measures are now superior to those
of UHS.
Tenet has a much stronger operating profile than lower-rated health
system peer Community Health Systems, Inc. (CYH; CCC+) given the
latter's lower margins, lower FCF and much higher leverage. Unlike
CYH, but like HCA and UHS, Tenet's operations are primarily located
in urban or large suburban markets with superior growth prospects.
Fitch’s Key Rating-Case Assumptions
- Revenues +3% to $22.1 billion in 2026, driven by 10% growth in
the Ambulatory segment (reflecting 8% volume growth, including
acquisitions) and 1% growth in the Hospital segment (reflects
effect of anticipated ACA subsidy/coverage losses and prior-period
Medicaid benefits in 2025). Revenues of $22.6 billion in 2027 (+3%)
and $23.9 billion in 2028 (+6%), with the Ambulatory segment up
7%-9% (driven primarily by volume growth) and the Hospital segment
-1% in 2027 (reflects end of Conifer relationship with CommonSpirit
after 2026 and tightening of Medicaid eligibility rules) and +4% in
2028 (adjusted admissions +1% in both years);
- Fitch-defined operating EBITDA growth of 1%-2% in 2026-2027 (note
key drivers above) and 6% in 2028, including contributions from
$250 million of acquisitions annually, primarily adding interests
in ASCs. Fitch expects rangebound adjusted EBITDA margins in the
19.5%-20.0% area in 2026-2028, just below 20.3% for 2025, with the
higher-margin ASC business increasingly contributing to the EBITDA
mix;
- Capex in the range of 3.5%-4.0% of revenue, totaling $800 million
in 2026 and $900 million in 2027 and 2028, in addition to $250
million used for acquisitions annually. M&A and development
spending will focus on expanding the Ambulatory Care business and
offering higher-acuity services generally;
- Interest payments declining within the range of about $700
million-$750 million annually in 2026-2028. This includes Fitch's
assumption of debt repayment totaling $0.5 billion in 2027 and $350
million in 2028, with bonds due in 2027-2028 refinanced at an
average rate of about 6.0% and SOFR averaging about 3.5%;
- FCF (net of distributions to noncontrolling interests) totaling
$1.5 billion in 2026 and $1.7 billion in 2027 (6.5%-7.5% of
revenue), improving to $1.9 billion in 2028 (8.0% of revenue), and
funding share repurchases of $1.0 billion in 2026 and $1.25 billion
in each of 2027 and 2028, down from $1.4 billion in 2025.
Corporate Rating Tool Inputs and Scores
Using its Corporate Rating Tool (CRT), Fitch scored Tenet as
follows to produce the Standalone Credit Profile (SCP):
- Business and Financial Profile Factors (Assessment, Outlook,
Relative Importance): Management (bb+, Stable, Lower), Sector
Characteristics (bb, Stable, Moderate), Market and Competitive
Positioning (bb, Stable, Higher), Diversification and Asset Quality
(bb, Stable, Moderate), Company Operational Characteristics (bb,
Stable, Moderate), Profitability (bbb+, Stable, Moderate),
Financial Structure (bb, Stable, Higher), and Financial Flexibility
(a-, Stable, Lower).
- The quantitative financial subfactors are based on custom CRT
financial period parameters: weight of 20% for the historical year
2025, weight of 40% for the forecast year 2026, and weight of 40%
for the forecast year 2027.
- The Weakest Link considerations result in a one-notch negative
adjustment (-1) to the SCP to reflect the high importance but
uncertain pace of further deleveraging, including the timing and
extent of future debt reduction versus what Fitch assumes in its
forecast for Tenet.
- The Governance assessment of 'Good' results in no adjustment.
- The Operating Environment assessment of 'aa-' results in no
adjustment.
- The SCP is 'BB+'. Weakest Link considerations reduce the SCP by
-1, with the recommended IDR at 'BB'.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
- Fitch's expectation of EBITDA leverage sustained above 3.75x (net
of NCI distributions);
- Fitch's expectation of FCF sustained below 7.5% of revenue.
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade
- Fitch's expectation of EBITDA leverage sustained below 3.00x (net
of NCI distributions);
- Fitch's expectation of FCF sustained above 10.0% of revenue.
Liquidity and Debt Structure
As of YE25, Tenet's liquidity totaled $4.8 billion including full
availability under its undrawn $1.9 billion revolver due 2030 and
$2.9 billion of cash on hand. Liquidity also benefits from
fixed-rate bonds comprising all funded debt.
Tenet's next significant debt maturity is $1.5 billion of 5.125%
first lien senior secured notes due in 4Q27. Fitch expects Tenet to
refinance these notes by issuing new senior secured first lien
notes and that Tenet is likely to maintain access to such capital.
Fitch also forecasts Tenet's annual FCF (net of distributions to
noncontrolling interests) averaging $1.7 billion, including $1.5
billion in 2026, $1.7 billion in 2027 and $1.9 billion in 2029.
Tenet's only financial maintenance covenant is a 1.25x fixed-charge
coverage requirement that applies solely if revolver availability
declines below the greater of $150 million or 10% of the maximum
borrowing amount under the facility. Fitch's forecast assumes
interest accruing on new senior secured first lien notes at about
6.0%. SOFR is assumed to average about 3.5% over the forecast
period.
Issuer Profile
Tenet, a leading for-profit health system, operates 50 acute care
and specialty hospitals and 132 outpatient centers (urgent care,
imaging and emergency care) across eight states, 533 ASCs (401
consolidated) and 26 surgical hospitals (8 consolidated) across 37
states, and the Conifer Health Solutions RCM business.
MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS
Fitch's latest quarterly Global Corporates Sector Forecasts Monitor
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.
Climate Vulnerability Signals
The YE 2025 revenue-weighted Climate.VS for Tenet Healthcare for
2035 is 24 out of 100, suggesting low exposure to climate-related
risk in that year.
ESG Considerations
Tenet Healthcare Corporation has an ESG Relevance Score of '4' for
Exposure to Social Impacts, reflecting pressure to contain
healthcare spending growth, a highly sensitive political
environment and social pressure to contain costs or restrict
pricing, which has a negative 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.
TOWER CAPITAL: Seeks Chapter 11 Bankruptcy in Texas
---------------------------------------------------
On March 18, 2026, Tower Capital Group, LP, filed for Chapter 11
protection in the U.S. Bankruptcy Court for the Western District of
Texas. According to court filings, the Debtor reports between $1
million and $10 million in debt owed to 1–49 creditors.
A meeting of creditors under Section 341(a) to be held on April 16,
2026 at 10:00 AM via Via Phone: (888)330-1716; Code: 2226781
About Tower Capital Group, LP
Tower Capital Group, LP is an investment and financial services
entity that engages in capital management, lending, and structured
financing transactions.
Tower Capital Group, LP sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. Case No. 26-50689) on March 18, 2026. In
its petition, the Debtor reports estimated assets between $1
million and $10 million and estimated liabilities within the same
range.
Honorable Bankruptcy Judge Craig A. Gargotta handles the case.
The Debtor is represented by Dean William Greer, Esq.
TRI-STATE ENVIRONMENTAL: Case Summary & Three Unsecured Creditors
-----------------------------------------------------------------
Debtor: Tri-State Environmental Restoration, Inc.
110-15 Northern Blvd
Corona, NY 11368
Business Description: Tri-State Environmental Restoration,
Inc. provides water-damage, smoke-damage and mold-remediation
services, along with emergency water extraction, puff-back cleanup
and professional pack-out work. The company's technicians use
advanced equipment and industry methods to restore properties to
pre-damage condition.
Chapter 11 Petition Date: March 23, 2026
Court: United States Bankruptcy Court
Eastern District of New York
Case No.: 26-41343
Judge: Hon. Jil Mazer-Marino
Debtor's Counsel: Ronald D. Weiss, Esq.
RONALD D. WEISS, P.C.
445 Broadhollow Road
Suite CL-10
Melville, NY 11747
Tel: (631) 271-3737
Email: weiss@ny-bankruptcy.com
Total Assets: $449,003
Total Liabilities: $1,919,174
The petition was signed by James Rengifo as CEO.
A full-text copy of the petition, which includes a list of the
Debtor's three unsecured creditors, is available for free on
PacerMonitor at:
https://www.pacermonitor.com/view/4K3AQHA/Tri-State_Environmental_Restoration__nyebke-26-41343__0001.0.pdf?mcid=tGE4TAMA
TRINSEO PLC: Inks SuperPriority Revolver and Debt Facility Waivers
------------------------------------------------------------------
Trinseo PLC disclosed in a regulatory filing that on March 19,
2026, Trinseo Luxco S.a r.l., Trinseo Holding S.a r.l. and Trinseo
Materials Finance, Inc., direct and indirect wholly owned
subsidiaries of the Company, entered into an amendment to a
super-priority revolving credit facility dated January 17, 2025 by
and among Trinseo Luxco, the Borrowers, the guarantors party
thereto from time to time, the lenders party thereto from time to
time, and Deutsche Bank AG New York Branch, as administrative agent
and collateral agent, pursuant to which, among other things, the
lenders thereunder agreed to:
(i) remove the anti-cash hoarding provisions thereunder,
(ii) remove the minimum liquidity financial covenant
thereunder,
(iii) amend certain financial reporting and notice covenants
thereunder, and
(iv) amend certain other definitions, covenants and provisions
thereunder.
On March 19, 2026, the Company also entered into an amendment and
limited waiver to the SuperPriority Revolver, pursuant to which,
among other things, the lenders thereunder agreed to:
(i) temporarily waive certain acceleration and collateral
enforcement rights and remedies under such facility until April 30,
2026, as a result of the nonpayment of interest or principal beyond
the applicable grace period under the Senior Credit Agreement, the
Refinance Credit Agreement, and the indenture governing Trinseo
LuxCo Finance SPV S.a r.l.'s 7.625% second lien secured notes due
2029, and other related notice and cross-defaults, and
(ii) amend certain other provisions thereunder. In connection
with the Revolver Waiver, the Borrowers agreed to pay certain
lenders a consent fee in-kind equal to 1.00% of each such lender's
commitments under the SuperPriority Revolver.
Senior Credit Facility Waiver
On March 19, 2026, Trinseo Luxco, the Borrowers, and the lenders
party thereto entered into an amendment and limited waiver to the
Credit Agreement, dated as of September 6, 2017, by and among
Trinseo Luxco, the Borrowers, the guarantors party thereto from
time to time, the lenders party thereto from time to time, and
Deutsche Bank AG New York Branch, as administrative agent and
collateral agent, pursuant to which, among other things, the
requisite amount of lenders thereunder agreed to:
(i) temporarily waive certain acceleration and collateral
enforcement rights and remedies under such facility until April 30,
2026, as a result of the nonpayment of interest or principal beyond
the applicable grace period under the Senior Credit Agreement, the
Refinance Credit Agreement, and the 2L Notes Indenture, and other
related notice and cross-defaults,
(ii) amend certain financial reporting and notice covenants
thereunder, and
(iii) amend certain other definitions, covenants and provisions
thereunder.
Refinance Credit Facility Waiver
On March 19, 2026, Trinseo NA Finance LLC, Trinseo LuxCo Finance
SPV S.a r.l. and Trinseo NA Finance SPV LLC, direct and indirect
wholly owned subsidiaries of the Company, entered into an amendment
and limited waiver to the Credit Agreement, dated as of September
8, 2023, by and among NA Finance, LuxCo Finance SPV and NA Finance
SPV, the Company and Alter Domus (US) LLC, as administrative agent
and collateral agent, pursuant to which, among other things, the
requisite amount of lenders thereunder agreed to:
(i) temporarily waive certain acceleration and collateral
enforcement rights and remedies under such facility until April 30,
2026, as a result of the nonpayment of interest or principal beyond
the applicable grace period under the Refinance Credit Agreement,
the Senior Credit Agreement, and the 2L Notes Indenture, and other
related notice and cross-defaults,
(ii) amend certain financial reporting and notice covenants
thereunder, and
(iii) amend certain other definitions, covenants and provisions
thereunder. In connection with the Refinance Credit Facility
Waiver, the borrowers under the Refinance Credit Agreement agreed
to pay a consent fee in-kind to certain lenders thereunder equal to
1.00% of the aggregate outstanding principal amount of the loans of
each such lender under the Refinance Credit Agreement.
Securitization Waiver
On March 19, 2026, Trinseo Ireland Global IHB Limited, an indirect
wholly owned subsidiary of the Company, Trinseo Holding, and Styron
Receivables Funding Designated Activity Company, entered into an
amendment and limited waiver to the Credit and Security Agreement
dated July 18, 2024 governing the Company's accounts receivable
securitization facility by and among Trinseo Ireland Global IHB
Limited, Trinseo Holding, Styron Receivables Funding Designated
Activity Company, GLAS USA LLC, as administrative agent, GLAS
Americas LLC, as collateral agent, and the lenders party thereto,
pursuant to which, among other things, the requisite amount of
lenders thereunder agreed to:
(i) temporarily waive certain acceleration and collateral
enforcement rights and remedies under such facility until April 2,
2026, as a result of the nonpayment of interest or principal beyond
the applicable grace period under the Senior Credit Agreement,
Refinance Credit Agreement and SuperPriority Revolver, and other
related notice and cross-defaults, and
(ii) amend certain financial reporting and notice covenants
thereunder.
Full text copies of the Revolver Amendment, Revolver Waiver, Senior
Credit Facility Waiver, Refinance Credit Facility Waiver, and
Securitization Waiver, are available at
https://tinyurl.com/bdhpwc6x, https://tinyurl.com/yf7hnjpu,
https://tinyurl.com/z72y7ekn, https://tinyurl.com/mu28afkx and
https://tinyurl.com/yu7awf9f, respectively.
About Trinseo
Headquartered in Wayne, Pa., Trinseo (NYSE: TSE) -- www.trinseo.com
-- a specialty material solutions provider, partners with companies
to bring ideas to life in an imaginative, smart, and sustainably
focused manner by combining its premier expertise, forward-looking
innovations, and best-in-class materials to unlock value for
companies and consumers. From design to manufacturing, Trinseo taps
into decades of experience in diverse material solutions to address
customers' unique challenges in a wide range of industries,
including building and construction, consumer goods, medical, and
mobility.
PricewaterhouseCoopers LLP, the Company's independent registered
public accounting firm since 2017 and headquartered in EisnerAmper,
included an explanatory paragraph in its audit report dated
Philadelphia, Pennsylvania, expressing substantial doubt about the
Company's ability to continue as a going concern. The auditor cited
that the Company's accumulated deficit and negative cash flows from
operations raise substantial doubt about its ability to continue as
a going concern.
As of December 31, 2025, the Company had $2.3 billion in total
assets and $3.4 million in total liabilities, and total
stockholders' deficit of $1.1 billion.
* * *
In December 2025, S&P Global Ratings lowered its Company credit
rating on specialty materials solutions provider Trinseo PLC to
'CCC' from 'CCC+', its issue-level rating on its senior secured
super-priority revolving credit facility (RCF) and senior secured
term loan to 'B-' from 'B', its issue-level rating on its senior
secured term loan B to 'CCC' from 'CCC+', and its issue-level
rating on its senior secured second-lien notes to 'CC' from 'CCC-'.
S&P's recovery ratings on the company's debt are unchanged.
TRY TROUT: Plan Confirmation Hearing Scheduled for June 30
----------------------------------------------------------
The Hon. Christopher D. Jamie of the U.S. Bankruptcy Court for the
Eastern District of California approved the Disclosure Statement
for Try Trout and Industrial, LLC's Amended Plan of Reorganization,
saying the Disclosure Statement contains "adequate information"
within the meaning of Section 1125 of the Bankruptcy Code. Pursuant
to Section 1125 and Bankruptcy Rule 3017, the Disclosure Statement
is approved.
The Court set February 10, 2026, as the record date for purposes of
this Order and determining which Creditors and Equity Security
Holders are entitled to vote on the Plan.
All Ballots must be properly executed, completed, and original
thereof shall be delivered to Debtor's counsel so as to be actually
received no later than 5:00 p.m. (Pacific Time) 14 days prior to
the confirmation hearing, being June 16, 2026.
The Confirmation Hearing will be held on June 30, 2026, at 11:00
a.m. (Pacific Time); provided, however, that the Confirmation
Hearing may be adjourned from time to time by the Court or Debtor
without further notice to parties other than announcement in Court
at the Confirmation Hearing or any adjourned subsequent
Confirmation Hearing, and the Plan may be modified pursuant to the
Section 1127 prior to, during, or as a result of the Confirmation
Hearing, pursuant to the terms of the Plan.
Any objections to confirmation of the Plan, if any, must be in
writing; state the name and address of the objecting party and the
amount of nature of the claim or interest of such party; state with
particularity the basis and nature of any objection; and be filed,
together with proof of service, with the Court no later than June
16, 2026. All further replies to any objections to confirmation and
Debtor's points and authorities in support of confirmation of the
Plan and proposed modifications must be filed with the Court by no
later than June 23, 2026.
The Ballot Tabulation must be filed by the Debtor on or before
seven days prior to the Confirmation Hearing, being June 23, 2026.
As shared by the Troubled Company Reporter, Try Trout and
Industrial, LLC, submitted a Disclosure Statement to accompany
Amended Plan of Reorganization dated March 10, 2026.
The Debtor owns two properties, referred to as Heritage Village and
Creekside Village.
The Plan contemplates paying all Allowed Claims in full through
either a Sale Transaction (i.e., a sale of the Properties) or a
Restructuring Transaction (i.e., a refinancing of the Properties, a
recapitalization of the Debtor, a sale of the secured debt, or an
alternative transaction that produces sufficing value to allow
Debtor to repay its debt in full).
To effectuate the Sale or Refinancing Transaction, the Debtor has
engaged the real estate brokerage firms of Berkadia Real Estate
Advisors Inc. and Keen-Summit Capital Partners LLC, who have
extensive experience effectuating such transactions. The Brokers
were selected after consulting with the Debtor's secured lenders,
Builders Capital Finance, LLC and Truckee Development Associates,
LLC.
The Debtor and Builders Capital have entered into a Court-approved
stipulation that includes the following milestone dates pertinent
to effectuating a sale or restructuring transaction as contemplated
in the Plan, which dates may be extended by Bankruptcy Court
order:
* on or before April 6, 2026, Debtor shall have entered into
either (a) a binding asset purchase agreement for a Sale
Transaction, or (b) one or more binding agreements whereby Debtor
will complete a Restructuring Transaction; and
* on or before June 4, 2026, Debtor shall have closed a sale
or refinance of 100% of the Properties.
The Debtor believes that it will be able to effectuate either a
Sale Transaction or a Restructuring Transaction (collectively
referred to as an "Effectuating Transaction") within these
timeframes and that such transaction will enable Debtor to pay all
Allowed Claims against Debtor in full.
The Debtor is requesting a confirmation hearing and a Plan
balloting deadline after April 6, 2026, to ensure that all
Creditors have visibility into whether a binding asset purchase
agreement for a Sale Transaction or Restructuring Transaction has
been entered into prior to voting on the Plan.
Class 3 consists of Sortis Secured Claim, which is the Secured
portion of the Sortis Claim held by Sortis Income Fund Reit, Inc.,
as assignee of Sorfi, LLC. The Sortis Secured Claim is equal to the
value of The Landing Personal Property. In full and final
satisfaction of Debtor's obligation on account of the Allowed
Sortis Secured Claim, The Landing Personal Property shall be
transferred to Tahoe Railyard in accordance with Section 5.1.4 of
the Plan and Sortis' first position Lien in The Landing Personal
Property shall be preserved and unaltered upon such transfer.
Sortis shall retain only the Lien rights against The Landing and
The Landing Personal Property (and not against property in which
the Estate or Debtor has an interest) arising under the Sortis Loan
Documents after the transfer. For the avoidance of doubt, upon the
transfer provided in Section 5.1.4 of the Plan being completed,
Sortis shall not receive any payment from Debtor on account of the
Allowed Sortis Secured Claim. Class 3 is Impaired under the Plan
and the Holder of the Allowed Class 3 Claim is entitled to vote on
the Plan.
Class 7 is comprised of the Allowed Sortis Unsecured Claim, if any.
The Sortis Unsecured Claim is equal to the amount by which the
Sortis Claim exceeds the sum of the values of The Landing and The
Landing Personal Property, if any, calculated as of the date of the
Confirmation Hearing. Sortis contends that the outstanding balance
of the Sortis Claim as of the Petition Date is $14,173,941.30. As
of the Confirmation Hearing, Debtor expects that to the extent not
disallowed, any Allowed Sortis Unsecured Claim will be a small
fraction of the asserted Sortis Claim.
The Debtor will implement its Plan by completing an Effectuating
Transaction, which shall be either the closing of a Sale
Transaction or Restructuring Transaction.
On the Effective Date, Debtor shall be reorganized pursuant to the
terms of the Plan and shall continue to exist as a separate entity
in accordance with applicable law. The Reorganized Debtor shall be
managed by Lamb Partners, LLC, Debtor's current manager. Debtor's
existing articles of organization and operating agreement (as
amended, supplemented, or modified) will continue in effect for the
Reorganized Debtor following the Effective Date, except to the
extent that such documents are amended in conformance with the Plan
or by proper corporate action after the Effective Date.
On the Effective Date, except for the Assets15 that are transferred
in accordance with the terms of an Effectuating Transaction (which
shall exclude The Landing Personal Property), the Debtor's Assets
shall be transferred to, and vest in, the Reorganized Debtor free
and clear of all Liens, Claims, and Equity Securities.
A full-text copy of the Disclosure Statement dated March 10, 2026
is available at https://urlcurt.com/u?l=6FtFoQ from
PacerMonitor.com at no charge.
A copy of the Court's Order dated March 16, 2026, is available at
http://urlcurt.com/u?l=xch3xwfrom PacerMonitor.com.
Attorneys for Debtor in Possession Try Trout and Industrial, LLC:
William M. Noall, Esq.
Talitha Gray Kozlowski, Esq.
GARMAN TURNER GORDON LLP
7251 Amigo Street, Suite 210
Las Vegas, NV 89119
Tel: 725.777.3000
Fax: 725.777.3112
Email: wnoall@gtg.legal
tgray@gtg.legal
About Try Trout and Industrial
Try Trout and Industrial LLC develops and manages property in
Truckee, California, focusing on parcels located at 11157, 11158,
and 11189 Church Street. The Company's projects are part of the
Downtown and Railyard Master Plan zones, including the Trout Creek
and Industrial Heritage Districts. It operates within the real
estate and property development sector, holding ownership of
multiple parcels.
Try Trout and Industrial LLC sought relief under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. E.D. Cal. Case No. 25-24548) on August
27, 2025. In its petition, the Debtor reports estimated assets
between $50 million and $100 million and estimated liabilities
between $10 million and $50 million.
The Hon. Bankruptcy Judge Christopher D. Jaime handles the case.
The Debtor is represented by William M. Noall, Esq. at GARMAN
TURNER GORDON LLP.
To effectuate a Sale or Refinancing Transaction, the Debtor has
engaged the real estate brokerage firms of Berkadia Real Estate
Advisors Inc. and Keen-Summit Capital Partners LLC.
UKG INC: Fitch Affirms 'B+' IDR, Outlook Stable
-----------------------------------------------
Fitch Ratings has affirmed UKG Inc.'s Issuer Default Rating (IDR)
at 'B+'. The Rating Outlook is Stable. Fitch has also affirmed
UKG's $945 million first lien RCF, $6.27 billion first lien term
loan, and $2.5 billion secured notes at 'BB' with a Recovery Rating
of 'RR2'.
The ratings are supported by UKG Inc.'s highly recurring revenue
with strong revenue retention rates consistent with enterprise
software peers. Fitch forecasts UKG's EBITDA leverage will be near
5.5x in fiscal 2026 and CFO-capex/debt will be in the high-single
digits, consistent with 'B+' rated software peers.
Key Rating Drivers
Moderate Financial Leverage: Fitch estimates UKG's gross leverage
will be near 5.5x for fiscal 2026 and approach 5x for fiscal 2027,
driven by EBITDA growth and debt amortization. UKG is likely to
prioritize return on equity (ROE) due to its private equity
ownership. Therefore, Fitch does not anticipate accelerated debt
repayment. Fitch expects capital to be used for acquisitions to
accelerate growth or for dividends to equity owners, with financial
leverage remaining consistent with the 'B+' rating in the 4x-5.5x
range.
Broad Product Coverage Supports Cross-Selling: UKG's growth
strategy focuses on identified cross-selling, upselling and new
customer acquisition. After integrating Ultimate Software and
Kronos, the company has solid product coverage across human capital
management (HCM) and workforce management (WFM). Fitch believes
these complementary products provide UKG with substantial
cross-selling opportunities and will drive growth.
High Revenue Retention and Recurring Revenue: As is typical for
mission-critical enterprise software products, UKG has gross
retention in the low- to mid-90% range, consistent with enterprise
software peers. In recent years, as customers have transitioned to
software-as-a-service (SaaS), recurring revenue has increased to
the low-90% range of total revenue. Strong revenue retention and
high levels of recurring revenue provide significant visibility
into future results, enabling UKG to effectively manage its
profitability.
Operating Leverage to Benefit Margins: UKG largely integrated and
optimized its product platforms and operations after the merger of
Ultimate Software and Kronos at the end of fiscal 2023. In recent
quarters, the company's margins have expanded due to growth in
cloud subscriptions and operating leverage from greater scale. Its
operating leverage is consistent with enterprise software peers
that operating at scale efficiency.
Resilient Market Exposure: UKG's revenue is mostly derived from
midmarket, enterprise and large enterprise customers, which are
more resilient through economic cycles than small and medium-sized
businesses (SMB). The Services and Other segment made up less than
10% of UKG's fiscal 2025 total revenue. This revenue is more
variable because it includes implementation services and time clock
hardware sales. However, strong growth in higher recurring software
revenue should offset this variability. Fitch expects Services and
Other to contribute less revenue through the rating horizon.
Significant Customer Diversification: UKG has a highly diversified
customer base of over 80,000 customers, with no significant
concentration in any industry vertical. This diversity effectively
minimizes idiosyncratic risks associated with individual industry
verticals and should reduce UKG's revenue volatility.
Competitive Landscape: The HCM industry is highly competitive and
fragmented, with competitors of various sizes. The company offers
employers human resources software tools that automate processes,
including payroll and taxation processing, employee hiring and
engagement, compliance and more, encompassing all of employee
lifecycle management. Fitch expects continued growth in demand for
HCM software. More companies are migrating to cloud-based solutions
that automate administrative functions and reduce costs and time
spent, while focusing more on strategic investment decisions.
Actively Managing AI Risks and Opportunities: Fitch believes
near-term AI disruption risk to UKG's products is low as its
products encompass the entire employee lifecycle with multiple
individual functions. This integration increases switching costs
for UKG's products and makes AI replication more difficult. In
addition, UKG has introduced AI products to complement existing
products. In Fitch's view, this should further raise the barriers
to entry for potential competitors. Nevertheless, Fitch recognizes
the long-term AI disruption risks as agentic AI becomes more
sophisticated.
Peer Analysis
Within the HCM market, UKG competes with Automatic Data Processing
(ADP; AA-/Stable) and TriNet Group, Inc. (BB+/Stable). ADP is
substantially larger than UKG with approximate gross leverage of
0.5x. Similar to UKG, ADP also has significant enterprise exposure.
UKG is similar in revenue scale to TriNet. However, TriNet's EBITDA
margins are about half of UKG's, primarily due to their differing
revenue mixes. TriNet's gross leverage is at 2x. The three
companies have product overlaps in some areas, but UKG has a more
software-centric product and operating profile than ADP and
TriNet.
Fitch also compared UKG to other software peers in the 'B' to 'B+'
rating categories. UKG's revenue scale compares favorably with
peers. Fitch believes scaled software companies could achieve
EBITDA margins near 40%. This view suggests UKG has upside for
margin expansion from current levels. UKG's gross leverage and FCF
generation are consistent with peers in the 'B' to 'B+' rating
categories.
Fitch’s Key Rating-Case Assumptions
- Organic revenue growth in the mid to high-single digits through
the forecast period;
- Fitch-adjusted EBITDA margins in the mid- to high-30's;
- Aggregate capex (excluding capitalized software expense) of 1% of
revenue;
- First lien debt repayment limited to mandatory amortization;
- Non-discretionary equity program is paid out as scheduled;
- Aggregate acquisition of approximately $500 million through
fiscal 2029;
- Absent large acquisitions, Fitch assumes debt-financed dividend
paid in the next three years.
Corporate Rating Tool Inputs and Scores
- The SCP is 'b+'.
Recovery Analysis
Key Recovery Rating Assumptions
- The recovery analysis assumes UKG would be recognized as a going
concern in bankruptcy rather than liquidated;
- Fitch has assumed a 10% administrative claim.
Going Concern Approach
- Fitch assumed a distress scenario where a combination of
operational under performance and capital misallocation result in
an unsustainable capital structure. This could be a result of
elevated customer churn, the inability to maintain EBITDA margins,
and debt-financed dividends or M&As.
- In such an event Fitch expects UKG's revenue base to decline,
resulting in EBITDA margin contraction on a lower revenue scale.
Fitch assumes that due to competitive pressure, revenue will suffer
a 10% reduction along with margin contraction resulting in going
concern EBITDA of $1.35 billion, approximately 25% lower than
fiscal 2026 EBITDA.
- Fitch assumes that UKG will receive a going concern recovery
multiple of 7.0x. The estimate considers several factors, including
the strong recurring nature of the revenue, the high customer
retention, the secular growth drivers for the sector, the company's
strong FCF generation and the competitive dynamics.
The enterprise value multiple is supported by:
- The historical bankruptcy case study exit multiples for
technology peer companies of 2.6x to 10.8x.
- Of these companies, only three were in the software sector: Allen
Systems Group, Inc., Avaya Holdings Corp. (B-/Stable) and Aspect
Software Parent, Inc., which received recovery multiples of 8.4x,
8.1x and 5.5x, respectively.
- The recurring nature of UKG's revenue and mission critical nature
of the product support the high end of the range.
- Fitch arrived at an enterprise value of $9.45 billion and after
applying the 10% administrative claim an adjusted enterprise value
of $8.51b billion is available for claims by creditors resulting in
a Recovery Rating of 'RR2' for first lien debt.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
- Fitch's expectation of EBITDA leverage sustaining above 5.5x;
- CFO-capex/debt sustaining below 7%;
- Organic revenue growth sustaining at or below 5%.
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade
- Fitch's expectation of EBITDA leverage sustaining below 4.0x;
- CFO-capex/debt sustaining near 10%;
- Organic revenue growth sustaining above the high-single digits.
Liquidity and Debt Structure
The company's liquidity is projected to be ample, supported by FCF
generation, an undrawn $945 million RCF, and over $500 million cash
on balance sheet as of September 2025. Fitch forecasts UKG's
normalized FCF margins to be near 15%, supported by EBITDA margins
of over 35% through fiscal 2029.
UKG's debt consists of a $6.27 billion first lien term loan, $2.5
billion of secured notes, and an undrawn $945 million revolver. The
earliest maturity is the RCF due in fiscal 2029. Fitch forecasts
the company to generate sufficient FCF to service its debt
obligations.
Issuer Profile
UKG is a provider of mission-critical SaaS HCM solutions for
companies of all sizes. The company serves over 80,000 customers in
150 countries and diverse industry verticals.
MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS
Fitch's latest quarterly Global Corporates Sector Forecasts Monitor
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.
Climate Vulnerability Signals
The results of its Climate.VS screener did not indicate an elevated
risk for UKG Inc..
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
----------- ------ -------- -----
UKG Inc.
LT IDR B+ Affirmed B+
senior secured LT BB Affirmed RR2 BB
UNCLE NEAREST: Receiver Wants Chapter 11 Case Tossed
----------------------------------------------------
Randi Love of Bloomberg reports that the court-appointed receiver
overseeing Uncle Nearest Inc. has moved to throw out the whiskey
distiller's Chapter 11 filing, contending that the company's
founders did not have the legal authority to commence the
bankruptcy. In a Wednesday, March 18, 2026, filing, receiver
Phillip G. Young urged the U.S. Bankruptcy Court for the Eastern
District of Tennessee to reject the case.
Young relied on a Tennessee federal court order issued last summer
that granted him sweeping powers to control the company's assets
and operations. He said that order vested exclusive authority in
the receiver, leaving the founders without the ability to
unilaterally seek bankruptcy protection, the report relays.
The dismissal request was filed a day after founders Fawn and Keith
Weaver initiated the Chapter 11 case, creating a direct conflict
between the bankruptcy proceeding and the existing receivership.
Young maintained that the filing undermines the authority already
established by the district court, according to Bloomberg.
A hearing on the motion to dismiss is scheduled to be held soon,
with the bankruptcy judge set to decide whether the case should
proceed or be terminated in light of the receiver's control, the
report states.
About Uncle Nearest
Uncle Nearest is a whiskey producer.
Uncle Nearest sought relief under Chapter 11 of the U.S. Bankruptcy
Code (Bankr. E.D. Tenn. Case No. 26-30470) on March 17, 2026. In
its petition, the Debtor reports estimated assets between $500
million and $1 billion and estimated liabilities between $100
million and $500 million.
Honorable Bankruptcy Judge Suzanne H. Bauknight handles the case.
The Debtor is represented by Kelli Danielle Holmes, Esq. of Tarpy,
Cox, Fleishmann, & Leveille, PLLC.
US MAGNESIUM: Junior Creditors Reach Asset Deal with Wells Fargo
----------------------------------------------------------------
Randi Love of Bloomberg Law reports that Junior creditors of US
Magnesium LLC have struck a deal with Wells Fargo & Co. that paves
the way for a $21.6 million asset sale tied to the company's Utah
operations. The agreement covers raw materials, machinery, and
additional property not previously sold.
In a filing submitted Thursday, March 19, 2026, to the U.S.
Bankruptcy Court for the District of Delaware, the debtor said the
settlement and a companion agreement would grant access to the Utah
property so it can liquidate assets left out of an earlier
transaction. The deal is designed to resolve access disputes and
facilitate further asset recoveries.
A prior $30 million sale, approved in January 2026, transferred
select assets to the Utah Division of Forestry, Fire, and State
Lands. That transaction did not include all items at the site,
leaving a pool of remaining assets that are now the subject of the
new sale arrangement, the report staets.
If approved, the agreements will allow the company to move forward
with monetizing those remaining assets. The proceeds are expected
to benefit junior creditors while helping conclude outstanding
issues in the Chapter 11 case, according to Bloomberg.
About US Magnesium LLC
US Magnesium LLC is a magnesium producer based in Salt Lake City,
Utah.
US Magnesium LLC sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. D. Del. Case No. 25-11696) on September 10,
2025. In its petition, the Debtor reports estimated assets and
liabilities between $100 million and $500 million each.
Judge Brendan Linehan Shannon oversees the case.
The Debtor tapped Michael Busenkell, Esq., at Gellert Seitz
Busenkell & Brown, LLC as counsel; Carl Marks Advisory Group LLC as
restructuring advisor; and SSG Advisors, LLC as investment banker.
Stretto, Inc. is the Debtor's claims and noticing agent.
USA STAFFING: Affiliate Gets Final OK to Use Cash Collateral
------------------------------------------------------------
The U.S. Bankruptcy Court for the Middle District of Florida, Tampa
Division issued a final order authorizing Staffing Management
Group, LLC, an affiliate of USA Staffing Services, LLC, to continue
using cash collateral.
The final order signed by Judge Catherine Peek McEwen authorized
the Debtor to use cash collateral to pay the amounts expressly
authorized by the court, including payments to the U.S. trustee for
quarterly fees; the expenses set forth in the budget, plus an
amount not to exceed 10% for each line item; and additional amounts
subject to approval by senior creditor, Change Capital Holdings I,
LLC.
As adequate protection, Change Capital will be granted
first-priority perfected post-petition security interests in and
liens on all assets of the Debtor existing on or after the petition
date that are similar to its pre-bankruptcy collateral. These
replacement liens will have the same validity, extent and priority
as those that existed on the petition date.
In addition, Change Capital will receive a weekly payment of
$5,000.
As further protection, the Debtor was ordered to keep its property
insured in accordance with its loan agreement with the senior
creditor.
The order preserves the rights of all parties, including the
ability to challenge lien validity or seek further relief. It also
allows for creditor committee involvement and ensures continued
court oversight. The order is immediately effective, with
modifications allowed only by agreement between the debtor and the
senior creditor or further court approval.
About USA Staffing Services LLC
USA Staffing Services, LLC provides staffing solutions across the
United States through a network of locally owned partner offices.
It offers temporary staffing, direct hire, and customized workforce
solutions for businesses across various industries and locations.
USA Staffing Services and its affiliates, Staffing Management
Group, LLC and MK Ultra Investments, LLC filed Chapter 11 petitions
(Bankr. M.D. Fla. Lead Case No. 25-04358) on June 27, 2025. In its
petition, USA Staffing Services reported total assets of $6,315,418
and total liabilities of $3,239,607.
Judge Catherine Peek McEwen handles the cases.
The Debtors are represented by Daniel E. Etlinger, Esq., at
Underwood Murray, P.A.
Change Capital Holdings I, LLC, as senior creditor, is represented
by:
Steven J. Brotman, Esq.
Troutman Pepper Locke, LLP
777 South Flagler Drive
Suite 215 East Tower
West Palm Beach, FL 33401
Telephone: 561-833-7700
Facsimile: 561-655-8719
steven.brotman@troutman.com
-- and --
Sean A. Feener, Esq.
Troutman Pepper Locke, LLP
875 Third Avenue,
New York, NY 10022
Telephone: 212.912.2724
sean.feener@troutman.com
VANKIRK ELECTRIC: Can Assume Rio Point Subcontract Agreement
------------------------------------------------------------
Chief Judge Austin E. Carter of the U.S. Bankruptcy Court for the
Middle District of Georgia approved the motion of Debtor Vankirk
Electric, Inc. and AHP Construction, LLC, regarding the assumption
by the Debtor of Subcontract No. 22-126-105, dated July 11, 2024.
The Rio Point Subcontract Agreement is assumed by the Debtor.
The Debtor is authorized to execute and deliver all instruments and
documents and take other such actions as may be necessary or
appropriate to implement and effectuate this Order.
A copy of the Court's Order dated March 17, 2026, is available at
http://urlcurt.com/u?l=uChVNCfrom PacerMonitor.com.
Counsel for Debtor:
G. Daniel Taylor, Esq.
STONE & BAXTER, LLP
577 Third Street
Macon, GA 31201
Telephone:478-750-9898
Email: dtaylor@stoneandbaxter.com
About Vankirk Electric Inc.
Vankirk Electric, Inc. sought protection under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. M.D. Ga. Case No. 25-30511) on Sept.
19, 2025, listing up to $100 million in assets and liabilities.
Loren Wesley Vankirk, chief executive officer, signed the
petition.
Judge Austin E. Carter oversees the case.
David L. Bury, Jr., at Stone & Baxter, LLP, is the Debtor's legal
counsel.
Fifth Third Bank, N.A., as secured creditor, is represented by John
A. Thomson, Jr., at Adams & Reese, LLP, in Atlanta, Georgia.
VERIFONE SYSTEMS: Moody's Alters Outlook on 'B3' CFR to Negative
----------------------------------------------------------------
Moody's Ratings affirmed the ratings of Verifone Systems, Inc.
(Verifone), including its Corporate Family Rating at B3,
Probability of Default Rating at B3-PD, and Senior Secured First
Lien Bank Credit Facilities (Term Loan and Revolver Credit
Facility) at B3. The outlook changed to negative from stable.
The negative outlook reflects uncertainty around the company's
ability to generate sustained positive free cash flow, given
ongoing elevated cash costs and sizable misses relative to prior
cash flow expectations, and a liquidity position that could face
pressure in the event of underperformance relative to budget.
RATINGS RATIONALE
The B3 CFR with a negative outlook reflects the company's elevated
financial leverage, estimated at about 7x debt-to-EBITDA at January
31, 2026, a revenue base that includes a significant portion of
point-in-time hardware sales that can be cyclical in nature and be
affected by supply chain and inflationary disruptions (including
tariffs, memory costs, and energy price shocks), a competitive
landscape of point-of-sale (POS) terminal providers that include
lower-cost players, and a track record of negative free cash flow
generation that has pressured the liquidity position in recent
annual periods.
These factors are balanced by a large installed base of POS
terminals, especially with enterprise customers, a very robust
market share position in POS software and card readers at US gas
stations, and solid momentum in commercial activity among partners
(acquirers, distributors, Fintechs). The rebuild of the partner
channel continues to accelerate with new wins, supporting more
stable demand for hardware from the continuous flow of new merchant
sign ups from these partners. Additionally, the company has some
runway in its debt maturities, with the nearest maturities being
its $90 million accounts receivable securitization facility due
September 2027 and its $200 million revolver (with about $138
million drawn at January 2026) due May 2028. Revenue growth was
healthy in FY 2025 and is expected to remain solid, but revenue
itself is still well below pre-FY 2024 averages.
Governance considerations include the company's elevated leverage
and concentrated ownership structure which can result in aggressive
financial policies.
Moody's expects adequate liquidity over the next year. The company
has a $39 million cash balance and about $62 million in revolver
availability as of January 31, 2026. Moody's expects the company to
consume about $10 million of negative free cash flow in the current
fiscal year (ending October 31), driven by the final payments of a
non-recurring Israeli tax liability as well as new device design
and development and cloud migration investments. Total cash usage,
including term loan amortization and refinancing fees, is estimated
at around negative $40 million, resulting in a total liquidity
position of just above $100 million at fiscal year end, with free
cash flow expected to turn positive in the latter fiscal half and
assuming improved borrowing base on the securitization facility.
Tariffs, memory and energy cost disruptions, and associated weaker
macroeconomic conditions could lead to a lower liquidity position,
pressuring the company's minimum liquidity operating needs. The
credit agreement includes a maximum First Lien Net Leverage Ratio
of 8x when more than 35% of the revolver is drawn as well as a
minimum liquidity covenant of at least $40 million. Moody's expects
the company to maintain sufficient cushion under these tests.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be upgraded with consistent revenue and EBITDA
growth, financial leverage sustained below 5x, free cash flow to
debt in the mid-single-digit range and solid liquidity.
The ratings could be downgraded if revenue or profitability do not
continue to expand as expected, free cash flow is sustained at
break even or negative levels, the company is unable to address its
debt maturities on a timely basis, or liquidity deteriorates more
than expected.
STRUCTURAL CONSIDERATIONS
The B3 ratings for the senior secured credit facilities reflect a
B3-PD Probability of Default Rating (PDR) and a Loss Given Default
(LGD) assessment of LGD4. The facility ratings are consistent with
the CFR reflecting the preponderance of Verifone's capital
structure, with only a $90 million accounts receivable
securitization facility ranking above the secured facilities in the
debt waterfall. Borrowings under the credit facilities are secured
by a first priority security interest in substantially all tangible
and intangible assets and stock of the borrower, its domestic
subsidiaries and certain direct and indirect foreign subsidiaries
in the Republic of Ireland, the UK, Germany and Bermuda, as well as
65% of the capital stock of certain of the borrower's direct
foreign subsidiaries.
Verifone is a leading global provider of point-of-sale (POS)
systems and services to merchants and payment processors and
distributors, with revenues of approximately $1,281 million for the
LTM ended January 31, 2026, generated in over 150 countries.
Verifone is owned by an investor group led by Francisco Partners
and British Columbia Investment Management.
The principal methodology used in these ratings was Business and
Consumer Services published in February 2026.
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.
VOSTOCHNY BAZAAR: Initiates Chapter 11 Bankruptcy in New York
-------------------------------------------------------------
On March 18, 2026, Vostochny Bazaar Supermarket Inc. filed for
Chapter 11 protection in the U.S. Bankruptcy Court for the Eastern
District of New York. According to court filings, the Debtor
reports between $100,001 and $1,000,000 in debt owed to 1–49
creditors.
About Vostochny Bazaar Supermarket Inc.
Vostochny Bazaar Supermarket Inc. is a retail grocery business
operating as a supermarket, offering a variety of food products and
household goods to local consumers.
Vostochny Bazaar Supermarket Inc. sought relief under Chapter 11 of
the U.S. Bankruptcy Code (Bankr. Case No. 26-41284) on March 18,
2026. In its petition, the Debtor reports estimated assets between
$0 and $100,000 and estimated liabilities ranging from $100,001 to
$1,000,000.
Honorable Bankruptcy Judge Elizabeth S. Stong handles the case.
WALKER & DUNLOP: Moody's Affirms 'Ba1' CFR, Outlook Stable
----------------------------------------------------------
Moody's Ratings has affirmed Walker & Dunlop, Inc.'s (Walker &
Dunlop) Ba1 corporate family rating, Baa3 senior secured bank
credit facility rating and Ba2 senior unsecured rating. The outlook
is stable.
RATINGS RATIONALE
Walker & Dunlop's Ba1 CFR reflects the company's solid franchise
position in the agency- and government-backed multifamily loan
market particularly as a lender and servicer under the Federal
National Mortgage Association's (Fannie Mae, Aa1 Stable) Delegated
Underwriter and Servicing (DUS) program and the Federal Home Loan
Mortgage Corporation's (Freddie Mac, Aa1 Stable) Optigo program.
The company averaged a ratio of annual net income to average
managed assets (NI/AMA) from 2021-24 of approximately 3.8% despite
a steep decline in overall agency volumes during that period
(particularly in 2023 and 2024). These results compare favorably to
other commercial real estate lenders, and in part reflect the
benefits of the company's large servicing portfolio, which provides
more stable cash flows and revenue relative to more volatile,
volume-based loan origination revenues.
At the same time, the rating considers earnings volatility
experienced in 2025 as a result of a number of fraudulent loans
uncovered in Walker & Dunlop's Freddie Mac servicing portfolio. As
with other agency lenders, Walker & Dunlop has experienced fraud
losses in recent quarters with respect to loans originated during
the pandemic, when the company's ability to diligence properties
was more limited. The company is in discussions to either
repurchase or indemnify the agencies for $221.6 million of loans,
including $134.3 million as of the fourth quarter of 2025. This
resulted in $41 million of additional costs related to these
repurchases and indemnifications over the course of 2025. In the
company's Fannie Mae DUS portfolio, on which Walker & Dunlop can
incur up to 20% risk sharing with Fannie Mae, the proportion of
defaulted loans rose to 0.23% of the portfolio as of December 31,
2025 from just 0.07% one year earlier. As a result, return on
assets for 2025 was just 1.1%, though the company's capacity to
absorb significant losses and remain profitable is a testament to
its resilient business profile.
Moody's expects that most of the impact stemming from the fraud
issues uncovered in recent periods has passed, as Walker & Dunlop
has undertaken a comprehensive review of its servicing portfolio.
Therefore, earnings are likely to improve in 2026, particularly as
the agencies have raised their multifamily originations caps
significantly, aiding agency lenders. Moreover, Walker & Dunlop
reported tangible common equity to tangible managed assets
(TCE/TMA) of approximately 15.1% as of December 31, 2025, providing
a solid buffer against unexpected losses.
The stable outlook reflects Moody's expectations that Walker &
Dunlop will maintain solid earnings and capitalization, with
adequate liquidity to support business operations over the next
12-18 months.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be upgraded if Walker & Dunlop improves its
overall funding profile by increasing the amount of unsecured debt
in its capital structure and laddering debt maturities, while
maintaining strong profitability and solid capitalization, such as
NI/AMA sustainably above 4% and TCE/TMA above 20%.
The ratings could be downgraded if Moody's expects profitability as
measured by NI/AMA to remain below 2% for an extended period or if
Moody's expects TCE/TMA to remain below 15%. The ratings could also
be downgraded if the company has more than a modest increase in
asset risk or if its liquidity and funding profile deteriorate.
Downward ratings pressure could also develop if the company
undertakes a large debt-funded acquisition.
The principal methodology used in these ratings 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.
WATCHTOWER FIREARMS: Court Okays Husch Blackwell's Fee Application
------------------------------------------------------------------
Judge Mark X. Mullin of the U.S. Bankruptcy Court for the Northern
District of Texas granted the first and final application of Husch
Blackwell LLP, counsel to the Official Committee of Unsecured
Creditors of Watchtower Firearms LLC, for allowance of compensation
and reimbursement of expenses.
Husch Blackwell's fees in the amount of $162,196.50, including all
Holdback Fees owing, and reimbursable expenses in the amount of
$282.30 for the interim period from May 2, 2025, through and
including December 9, 2025, are allowed on a final basis. In
addition, Husch Blackwell is allowed, on an interim and final
basis, Trailing Fees equal to the lesser of (i) $17,500 and (ii)
the actual fees and expenses incurred from the period December 10,
2025, through and including January 31, 2026, as allowed
compensation. For the avoidance of doubt, Husch Blackwell may
issue more than one invoice to document its Trailing Fees.
Upon the entry of this Order, the Debtors are authorized and
directed to pay cash to Husch Blackwell in the amount of $40,023.90
in satisfaction of fees incurred and allowed on a final basis
through and including December 9, 2025, which does not include the
Trailing Fees. Husch Blackwell is authorized to apply the $9,775.80
overpayment in its IOLTA account to reduce the aggregate balance of
Holdback Fees owing to the firm. It is further authorized to apply
the $282.30 overpayment of reimbursable expenses to reduce the
aggregate balance of interim fees payable to the firm.
A copy of the Court's Order dated March 17, 2026, is available at
http://urlcurt.com/u?l=htHL51from PacerMonitor.com.
Counsel to the Official Committee of Unsecured Creditors of
Watchtower Firearms, LLC:
Buffey E. Klein, Esq.
Thomas J. Zavala, Esq.
HUSCH BLACKWELL LLP
1900 N. Pearl Street, Suite 1800
Dallas, TX 75201
Telephone: (214) 999-6100
Facsimile: (214) 999-6170 f
Email: buffey.klein@huschblackwell.com
tom.zavala@huschblackwell.com
- and -
Caleb T. Holzaepfel, Esq.
HUSCH BLACKWELL LLP
736 Georgia Avenue, Suite 300
Chattanooga, TN 37405
Telephone: (423) 755-2654
Facsimile: (423) 266-5499
Email: caleb.holzaepfel@huschblackwell.com
About Watchtower Firearms LLC
Watchtower Firearms LLC is a veteran-owned company offering a
diverse range of firearms, including custom rifles, special edition
rifles, and handguns. The Company serves military, law enforcement,
hunting, and personal use markets. In addition to firearms, it
provides suppressors, components, and specialized gear tailored to
meet the needs of its customers.
Watchtower Firearms LLC sought relief under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. N.D. Tex. Case No. 25-40684) on Feb. 27,
2025. In its petition, the Debtor reports estimated assets and
liabilities between $10 million and $50 million each.
Judge Mark X. Mullin oversees the case.
Joseph Acosta, Esq., at CONDON TOBIN, is the Debtor's counsel.
Husch Blackwell LLP represents the Official Committee of Unsecured
Creditors.
WAYNE P. JUSTICE: Case Summary & Nine Unsecured Creditors
---------------------------------------------------------
Debtor: Wayne P. Justice, M.D., P.A.
1003 W. College Blvd.
Suite 2
Niceville, FL 32578
Business Description: Wayne P. Justice, M.D., P.A. is a
Florida professional association that operates a family medicine
practice in Niceville, where it provides primary care services from
an office on West College Boulevard. The practice was filed in
Florida in 2001 and is associated with Dr. Wayne P. Justice, who
also holds staff privileges at Twin Cities Hospital.
Chapter 11 Petition Date: March 23, 2026
Court: United States Bankruptcy Court
Northern District of Florida
Case No.: 26-30292
Debtor's Counsel: Jeffrey S. Ainsworth, Esq.
BRANSON AINSWORTH PLLC
1501 E. Concord Street
Orlando, FL 32803
Tel: 407-894-6834
Fax: 407 894 8559
Email: jeff@bransonlaw.com
Total Assets: $827
Total Liabilities: $1,267,412
The petition was signed by Wayne P. Justice as president.
A full-text copy of the petition, which includes a list of the
Debtor's nine unsecured creditors, is available for free on
PacerMonitor at:
https://www.pacermonitor.com/view/JJFD5QY/Wayne_P_Justice_MD_PA__flnbke-26-30292__0001.0.pdf?mcid=tGE4TAMA
WENTHOLD EXCAVATING: Gets Final OK to Use Cash Collateral
---------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of Iowa issued
a final order authorizing Wenthold Excavating, LLC to use cash
collateral and provide protections to secured creditors.
The court approved the Debtor's use of cash collateral subject to
strict compliance with a court-approved budget, allowing only a 5%
variance without creditor consent. The Debtor must also file
monthly financial reports, operate within ordinary business limits,
and is restricted from using funds for insiders except approved
payroll and rent. The court emphasized transparency, requiring
detailed financial disclosures, records access, and ongoing
reporting to creditors.
To protect creditors including VisionBank and Kapitus, the court
ordered monthly adequate protection payments of $16,000 to Kapitus
and $8,900 to VisionBank, along with granting replacement liens on
post-petition assets. These liens maintain the same priority as
prepetition claims, with VisionBank holding first priority.
Additionally, creditors may receive super-priority claims if their
collateral value declines.
The Debtor must maintain full insurance coverage, deposit all
revenues into DIP accounts, and avoid unauthorized use or transfer
of collateral. Creditors are granted inspection rights and access
to financial data, and the Debtor must meet deadlines such as
filing a Chapter 11 plan within 120 days. Failure to comply with
these obligations, or other default events, can result in
termination of cash collateral use and creditor enforcement
actions.
Finally, the court preserves the rights of creditors and any future
creditors' committee to challenge lien validity or priority within
set deadlines. While allowing continued operations, the order
ensures strong creditor protections through liens, payment
obligations, reporting requirements, and enforcement mechanisms,
balancing business continuity with secured creditor interests.
About Wenthold Excavating LLC
Wenthold Excavating, LLC sought protection under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. S.D. Iowa Case No. 26-00188-lmj11) on
February 9, 2026. In the petition signed by Corey Lorenzen,
receiver, the Debtor disclosed up to $50 million in assets and up
to $10 million in liabilities.
Judge Lee M. Jackwig oversees the case.
Robert Gainer, Esq., at Cutler Law Firm PC, represents the Debtor
as legal counsel.
WHITEHALL TRUST: Lehigh Wins Bid to Dismiss Bankruptcy Case
-----------------------------------------------------------
The Hon. Patricia M. Mayer of the U.S. Bankruptcy Court for the
Eastern District of Pennsylvania will grant Lehigh Valley 1, LLC's
motion to dismiss the bankruptcy cases of Whitehall Trust and
Saucon Trust.
Before the Court is Secured Creditor Lehigh Valley 1, LLC's Motion
to Dismiss Trust Debtors' Bankruptcy Cases Because They Are
Ineligible to Be Debtors Under Section 109 of the Bankruptcy Code.
There are four putative debtors in this jointly administered
Chapter 11 case. Debtors Whitehall Manor and Saucon Valley Manor
operate Personal Care Homes for the elderly. Meanwhile, Debtors
Whitehall Trust and Saucon Trust each lease to their namesake
Manors the real estate on which they operate. These properties
comprise the Trusts' sole assets. Abraham Atiyeh settled the
Trusts. Although both trusts were formed under the laws of
Pennsylvania, Atiyeh does not recall the Trusts filing documents
with the Pennsylvania Department of State. Whitehall Fiduciary LLC
has always been Whitehall's trustee.
On October 1, 2007, Atiyeh conveyed to Saucon the Saucon Manor
property. Saucon initially entered into a mortgage with National
Penn Bank. As mortgagor, Saucon's trustee was co-liable with
Saucon Valley Manor on a $15,000,000.00 note secured by the Manor
property. Atiyeh testified that this loan served to satisfy an
existing mortgage and finance construction of additional Saucon
Manor units. On August 5, 2009, Saucon secured another
construction loan from National Penn Bank, whose $3,824,310.00 note
was also secured by the Manor property. For its part, on August
14, 2008, Whitehall Fiduciary entered into a mortgage with M&T. The
associated $15,788,700.00 note was secured by the Whitehall Manor
property. And on August 18, 2008, Atiyeh conveyed to Whitehall the
Whitehall Manor property.
In November 2022, after the Trusts stopped servicing their
mortgages, M&T Realty Capital Corporation assigned them to the
United States Department of Housing and Urban Development. HUD
later auctioned the mortgages to another entity, which in turn
assigned them to Lehigh. Then, on June 20, 2024, Lehigh filed
foreclosure actions against the Trusts in the United States
District Court for the Eastern District of Pennsylvania. On May 2,
2025, the District Court entered an order appointing a receiver, to
whom the Trusts were directed to turnover the Manor parcels and
related property and information, including a current list of the
Manor residents. Finally, on December 19, 2025, the District Court
entered an Order directing that, on or before December 29, 2025:
(1) the Trusts must pay sanctions to the receiver; (2) the Trusts
and/or Manors must supply the receiver with any rents they received
beginning on October 31, 2025; and (3) the Debtors' 2023 lease
amendments are void. Debtors then filed their bankruptcy cases in
this Court on December 26, 2025.
Lehigh now moves to dismiss the Trusts under 11 U.S.C. Secs. 101,
105, and 109. Essentially, Lehigh's position is that the Trusts
lack standing to be Chapter 11 debtors because they are not
"business trusts" under the Bankruptcy Code. Lehigh posits that
the Trusts are better understood as ordinary real estate trusts
focused more on preserving the Manor parcels than conducting
meaningful, independent business operations.
The Debtors disagree. They argue that a trust need only engage in
a moderate amount of commercial activity in order to be eligible
for bankruptcy protection. And the Debtors contend that the Trusts
engage in commercial activities.
The Court concludes the Trusts are not "business trusts" within the
meaning of the Bankruptcy Code. They neglected to register as
business trusts pursuant to the applicable Pennsylvania statute.
Beneficial interests in the Trusts are not transferable. The
Trusts are not meant to exist in perpetuity. They were not formed
by investors. Moreover, the Trusts were not created and maintained
for business purposes. For these reasons, the Motion will be
granted.
A copy of the Court's Memorandum Opinion dated March 19, 2026, is
available at http://urlcurt.com/u?l=5clWlSfrom PacerMonitor.com.
About Whitehall Trust
Whitehall Trust sought protection for relief under Chapter 11 of
the Bankruptcy Code (Bankr. E.D. Pa. Case No. 25-15241) on Dec. 26,
2025, listing up to $50,000 in assets and $100,001 to $500,000 in
liabilities.
Judge Patricia M Mayer presides over the case.
Michelle Lee, Esq., at Dilworth Paxson LLP serves as the Debtor's
counsel.
WINTER DESERT: Commences Chapter 11 Bankruptcy in Arizona
---------------------------------------------------------
On March 10, 2026, Winter Desert Holdings LLC filed for Chapter 11
protection in the U.S. Bankruptcy Court for the District of
Arizona. According to court filings, the Debtor reports between $1
million and $10 million in debt owed to 1–49 creditors.
A meeting of creditors under Section 341(a) to be held on April 14,
2026 at 12:00 PM via Chapter 11 Teleconference Call in number:
1-888-330-1716, Passcode: 4038524.
About Winter Desert Holdings LLC
Winter Desert Holdings LLC is a holding company that likely manages
investments in real estate, financial assets, or related business
interests.
Winter Desert Holdings LLC sought relief under Chapter 11 of the
U.S. Bankruptcy Code (Bankr. Case No. 26-02211) on March 10, 2026.
In its petition, the Debtor reports estimated assets between $1
million and $10 million and estimated liabilities within the same
range.
Honorable Bankruptcy Judge Daniel P. Collins handles the case.
ZHL SERVICES: Gets Extension to Access Cash Collateral
------------------------------------------------------
The U.S. Bankruptcy Court for the Middle District of Florida,
Jacksonville Division entered a third interim order extending ZHL
Services, LLC's authority to use cash collateral.
Under the third interim order, the Debtor is authorized to use cash
collateral for court-authorized payments, including U.S. Trustee
quarterly fees; and operating expenses set forth in its budget,
with up to a 10% variance per line item. Additional expenditures
require written approval from Celtic Bank/USA SBA, the secured
creditor. All other uses of cash collateral are prohibited.
As adequate protection, secured creditors will be granted perfected
post-petition replacement liens, with the same validity, priority
and extent as their pre-bankruptcy liens. In addition, ZHL must
comply with its debtor-in-possession obligations, maintain
insurance, and provide access to records upon notice.
The order preserves creditor and committee rights, retains court
enforcement jurisdiction, and requires the Debtor to file an
updated cash collateral budget within 30 days covering the period
through May 31.
The next hearing is scheduled for April 14.
A copy of the court's order and the Debtor's budget is available at
https://shorturl.at/OvyeP from PacerMonitor.com.
ZHL's cash collateral consists of post-petition accounts
receivable, chattel paper, contracts, cash, bank accounts, and
other property pledged to secured creditors, including Celtic
Bank/USA SBA, Kapitus LLC, and Arsenal Funding, under
pre-bankruptcy loan agreements.
The Debtor estimates the current value of cash and receivables at
approximately $42,000 and proposes to treat Celtic Bank/USA SBA as
holding the primary lien on cash collateral.
About ZHL Services LLC
ZHL Services, LLC provides land-clearing, demolition, excavation,
utility, and septic services for industrial, commercial, and
residential projects in North Florida. The Company operates as a
locally owned contractor that has expanded from grade-work origins
to a broader range of site-development services. It is recognized
as a Jacksonville Small and Emerging Business.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. M.D. Fla. Case No. 25-04182) on November
13, 2025. In the petition signed by Haley Lundy, manager, the
Debtor disclosed $2,264,846 in assets and $3,965,913 in
liabilities.
Judge Jacob A. Brown oversees the case.
Bryan K. Mickler, Esq., at the Law Offices of Mickler & Mickler,
LLP, represents the Debtor as bankruptcy counsel.
ZION OIL: Net Loss Rises to $7.63M in 2025, No Revenue
------------------------------------------------------
Zion Oil & Gas, Inc., filed a Form 10-K with the Securities and
Exchange Commission, reporting a net loss of $7.63 million for the
year ended Dec. 31, 2025, compared with a net loss of $7.34 million
a year earlier.
The company reported no revenue or operating income during the
period. It said future revenue generation depends on the
successful exploration and development of its petroleum rights, as
well as the acquisition of producing oil and gas properties.
Results would also depend on commodity prices and operating costs,
including taxes and royalties, according to the filing.
Total assets were $46.28 million and total liabilities were $3.85
million as of Dec. 31, 2025, resulting in stockholders' equity of
$42.43 million.
In its audit report dated March 19, 2026, RBSM LLP issued a
going-concern qualification, citing recurring operating losses and
an accumulated deficit that raises substantial doubt about the
company's ability to continue as a going concern.
The company said its ability to continue operations depends on
securing additional financing and successfully developing its oil
and gas interests. It added that a history of operating losses and
negative operating cash flows continues to weigh on its financial
position.
Cash and cash equivalents rose to $8.31 million at Dec. 31, 2025,
from $2.27 million a year earlier.
Working capital increased to $9.46 million from $1.70 million over
the same period.
The company said it has historically funded operations through the
issuance of common stock and proceeds from the exercise of warrants
and options.
Net cash used in operating activities totaled $8.01 million in
2025, compared with $6.29 million in 2024, according to the
filing.
Net cash used in investing activities was $6.64 million and $5.27
million, respectively, primarily related to drilling costs and
equipment purchases.
Net cash provided by financing activities rose to $21.18 million
from $13.26 million, driven mainly by proceeds from the Dividend
Reinvestment and Stock Purchase Plan, according to the filing.
The company cited geopolitical risks, including conflicts affecting
Israel, as factors that could adversely impact its ability to fund
operations, along with potential cost overruns and delays in
exploration activities.
A full-text copy of the Form 10-K is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1131312/000143774926009073/znog20251231_10k.htm
About Zion Oil
Zion Oil & Gas, Inc., headquartered in Dallas, Texas, is an oil and
gas exploration company focused on developing petroleum resources
in Israel, where it has conducted exploration activities for more
than 25 years. The company engages in drilling and related
operations through its subsidiaries, including Zion Drilling, Inc.
and Zion Drilling Services, Inc., which support equipment ownership
and drilling services. Zion funds its operations primarily through
equity issuances and has not generated revenue from production.
*********
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