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260525.mbx T R O U B L E D C O M P A N Y R E P O R T E R Monday, May 25, 2026, Vol. 30, No. 145 Headlines 40 FULLER AVE: Available Cash & Loan Modification to Fund Plan 43 MOTT REALTY: Voluntary Chapter 11 Case Summary 43 MOTT: Commences Chapter 11 Bankruptcy in New York 486 K EQUITIES: Commences Chapter 11 Bankruptcy in New York AI ERA CORP: Dr. Moradi Steps Down as CEO; No Severance Awarded ALGORHYTHM HOLDINGS: Ionic Ventures Cuts Stake Holding to 1.9% ALGORHYTHM HOLDINGS: SemiCab Grants Forbearance on Unpaid $1.5M Due AMERICAN SIGNATURE: Judge OKs Tariff Refund Sale in Ch. 11 Case ARCHITECTURAL GLAZING: Starts Chapter 11 Bankruptcy in Georgia ASCEND ELEMENTS: Creditors Seek Chapter 7 Conversion ASCENSION TOWING: Case Summary & 11 Unsecured Creditors ASHFORD HOSPITALITY: Dallas Embassy Suites Sold for $17MM in Cash ASPIRA OF DELAWARE: S&P Assigns 'BB' Rating on 2026A-B Rev. Bonds ASPIRE BAKERIES: Moody's Affirms 'B2' CFR, Outlook Stable ATARA BIOTHERAPEUTICS: Panacea Innovation Ltd Holds 16.1% Stake ATARA BIOTHERAPEUTICS: Posts $4.1M Loss in Q1, Warns of Cash Crunch ATM INVESTMENT: Commences Chapter 11 Bankruptcy in Florida AVALON GLOBOCARE: Loss Widens to $4.5MM in Q1, Warns of Cash Crunch BADGER INFRASTRUCTURE: DBRS Assigns 'BB(high)' Issuer Rating BARK RIVER KNIVES: Court Appoints Receiver to Handle Assets BARROW SHAVER: Court Narrows Claims in "Kasino" BEASLEY BROADCAST: Board Expands to Seven BET MIDRASH: Seeks 120-Day Extension of Plan Filing Deadline BLD REALTY: Latin Investment, et al., Win Partial Summary Judgment BLOCK INC: S&P Affirms 'BB+' ICR, Alters Outlook to Positive BLUELINX HOLDINGS: Moody's Cuts CFR to 'B2', Outlook Stable BOWERY SHED: Case Summary & Five Unsecured Creditors BRIGHT MOUNTAIN: Net Loss Cuts 60% in Q1 2026; Warns of Cash Crunch BROADBAND INFRASTRUCTURE: Seeks Cash Collateral Access CAMBER ENERGY: Q1 2026 Loss Narrows to $1.7MM; Doubt Warning Stands CARE FOR THE ELDERLY: Available Cash and Income to Fund Plan CIMG INC: Fiscal Q2 Loss Jumps to $15.4M; Liquidity Concerns Loom CLAROS MORTGAGE: Andrew Silberstein Retires CLEAR CHANNEL: Stockholders OK Mubadala-TWG Acquisition COAST CAPITAL: DBRS Confirms BB(high) on NVCC Subordinated Debt CORE SCIENTIFIC I: Fitch Assigns 'BB-' LongTerm IDR, Outlook Stable COREWEAVE INC: Fitch Affirms 'BB-' LongTerm IDR, Outlook Positive CORNERSTONE CHARTER: S&P Lowers Revenue Bond Rating to 'BB+' CRANE ENTERPRISES: Disallowance of Cranes' Proofs of Claim Affirmed CYCLERION THERAPEUTICS: Q1 2026 Net Loss Widens to $3.2 Million CYPRESS COVE: Fitch Alters Outlook on 'BB+' IDR to Negative DEPG DINGMANS: Involuntary Chapter 11 Case Summary DIOCESE OF BURLINGTON: Chapter 11 Case Legal Bill Hits $2MM DIOCESE OF OGDENSBURG: Reaches $45MM Settlement w/ Abuse Survivors DIXIE GROUP: Swings to $1.15M Profit in Q1, Going Concern Persists DK ARENA: Section 341(a) Meeting of Creditors on June 12 DYADIC INT'L: Liabilities Exceed Assets by $0.4M at March 31 E.Z. LOR REALTY: Seeks Chapter 11 Bankruptcy in New York ELITE PROJECT: Case Summary & Six Unsecured Creditors ENERGY FOCUS: Going Concern Persists Despite Q1 2026 Loss Reduction EPIPHANY REALTY: Case Summary & Five Unsecured Creditors FACILAI LLC: Case Summary & 10 Unsecured Creditors FINLO CORPORATION: Case Summary & 19 Unsecured Creditors FIREFLY NEUROSCIENCE: Inks $1M Private Placement With Unit Offering FIRST BRANDS: Revises Plan Disclosures to Address Objections FLORIDA PROPERTIES: Voluntary Chapter 11 Case Summary FREE SPEECH: Jones's Appeal in Bankruptcy Estate Dispute Nixed FULLER'S SERVICE: Trustee Gets Extension to Access Cash Collateral GALAXY GAMING: Liabilities Exceed Assets by $16.2M at March 31 GENESIS HEALTHCARE: Plan Exclusivity Period Extended to June 1 GREEN VILLA: Initiates Chapter 11 Bankruptcy in Texas GREENE AVENUE: Unsecureds to Recover 39% in Lender's Plan HAIN CELESTIAL: Q3 2026 Net Loss Narrows to $106.3M; Doubt Persists HANSEN-MUELLER CO: Court OKs $1MM Payout for Farmers in Ch. 11 Case HAYDEE'S CAFE: Seeks to Use Cash Collateral HEALING WITH CAARE: Seeks to Use Cash Collateral HERITAGE HOTELS: RMC Entitled to $131K Judgment HERTZ VEHICLE III: Moody's Assigns (P)Ba2 Rating to 2026-1 D Notes HRONIS INC: Committee Wins Bid to Employ Raines Feldman as Counsel HUNTERSTOWN GENERATION: Moody's Affirms Ba3 Rating on Secured Loans INOTIV INC: Going Concern Persists as Debt, Losses Mount in Q2 INSIGHT MOLECULAR: Debts Exceed Assets by $10.7M at March 31, 2026 INTEGRATED PROTEINS: Gets Interim OK to Use Cash Collateral JAIME H. RESNICK: Court Dismisses Bankruptcy Case JERRY'S PLACE: Not Eligible to Proceed Under Subchapter V JJ STUCKEY: Gets Court OK to Use Cash Collateral KARYOPHARM THERAPEUTICS: Goldman Sachs Discloses 5.1% Equity Stake KARYOPHARM THERAPEUTICS: Opaleye Management Holds 2.67% Stake KRUGER PACKAGING: DBRS Confirms BB(high) Issuer Rating KUSTOM ENTERTAINMENT: Yield Point NY Holds 7.3% Equity Stake LEISURE INVESTMENTS: Plan Exclusivity Period Extended to July 27 LIV GOLF: Prepares Possible Bankruptcy Filing in the U.S. LYCRA COMPANY: CEO Steps Down After Chapter 11 Exit LYNSKEY PERFORMANCE: Gets Interim OK to Use Cash Collateral M&M APPLIANCE: Seeks Cash Collateral Access MAKIIN LLC: Case Summary & 20 Largest Unsecured Creditors MERRICK WOODWORKING: Gets Interim OK to Use Cash Collateral MICHAEL C: Seeks Chapter 11 Bankruptcy in New Jersey MODIVCARE INC: Court Sets Contempt Bid Evidence Hearing NEUROONE MEDICAL: Q2 Loss Narrows to $2.1M; Warns of Cash Crunch NEW GRANT: Amends UC Grant & Lincoln Secured Claims Pay NEXT GENERATION: Final Cash Collateral Hearing Set for May 27 ODYSSEY MARINE: Old West Investment Holds 8.20% Equity Stake ODYSSEY MARINE: Swings to Profit in Q1 2026; Going Concern Remains OHIO LUXURY: Case Summary & 20 Largest Unsecured Creditors OMNICARE LLC: Plan Exclusivity Period Extended to July 20 ONYX BUSINESS: Unsecured Creditors to Split $10K over 5 Years PALMAIRE AVE: Commences Chapter 11 Bankruptcy in Arizona PARAMOUNT GOLD: Net Loss Widens to $4.9MM in Fiscal Q3 PAVMED INC: Ayrton Capital, 2 Others Hold 9.99% Equity Stake PEDIATRIC ASSOCIATES: Moody's Rates New First Lien Term Loan 'B2' PLANET GREEN: Issues Going Concern Alert Per NYSE American Rules PLATES RESTAURANT: Gets Interim OK to Use Cash Collateral PLATINUM EXPRESS: Gets Interim OK to Use Cash Collateral PPW REALTY: Available Cash & Loan Modification to Fund Plan PRIORITY TECHNOLOGY: Debts Exceed Assets by $81.8M at March 31 PUERTO RICO: Mujica Says PREPA Bankruptcy Unlikely to End in 2026 PURDUE PHARMA: Court Permits Late Claims Advance in Chapter 11 Case QVC GROUP: Contrarius Investment Holds 8.9% Equity Stake QVC GROUP: U.S. Trustee Says Ch. 11 Releases Violate Law R.R. DONNELLEY: Moody's Affirms B3 CFR, Rates New Unsec. Notes Caa2 RAIN ENHANCEMENT: Has $1.86M Q1 Loss, Says Liquidity Insufficient REDDEN-WOOD & ASSOCIATES: Must Face Immediate Capital Case REKOR SYSTEMS: Q1 Net Loss Narrows to $9.4MM, Cites Cash Shortfall RELIZ LTD: Says Chapter 11 Examiner Not Needed REUP GALAXY: Creditors to Get Proceeds From Liquidation RINGCENTRAL INC: Debts Exceed Assets by $609.3M at March 31 ROBERT M. KOFFLER: Creditors Win Bid to Dismiss Bankruptcy Case ROLLING GREENS: Case Summary & 20 Top Unsecured Creditors ROSE MECHANICAL: Gets Interim OK to Use Cash Collateral ROTARY AIRLOCK: Case Summary & 20 Largest Unsecured Creditors RUNITONETIME LLC: Plan Exclusivity Period Extended to Aug. 10 SACRAMENTO CITY UNIFIED SCHOOL: Fights State Receivership Push SAILORMEN INC: Secures Court OK for Staff Bonuses in Chapter 11 SAN FRANCISCO ARCHDIOCESE: Court Stays Swiss Re Unit Abuse Suit SAVERS VALUE: S&P Affirms 'B+' ICR on Resilient Sales Growth SCILEX HOLDING: Dream Bowl Meme Coin Dividend Set for May 26 SINO GREEN: Q3 2026 Loss Narrows to $306K; Liquidity Doubt Stays SOCIETY PASS: At Risk of Nasdaq Delisting After Chapter 11 Filing SPIRITS OF THE USA: Vodka Distillery Seeks Subchapter V Bankruptcy STAGG EQUITIES: Initiates Chapter 11 Bankruptcy Proceeding in N.Y. STUCKEY PREMIER: Gets Interim Ok to Use Cash Collateral TAI CHEUNG REALTY: Seeks Chapter 11 Bankruptcy in New York TALPHERA INC: Rosalind Advisors Disclose 9.9% Equity Stake TB ENTERPRISES: Seeks Chapter 11 Bankruptcy to Restructure Business TELA BIO: Liabilities Exceed Assets by $5.2M at March 31, 2026 THERAPEUTICS MD: Swings to $95,000 Net Income in Q1 2026 TONIX PHARMACEUTICALS: Q1 2026 Loss Widens, Cash Runway Falls Short TOWNSQUARE MEDIA: Debts Exceed Assets by $36.2M at March 31 TRAWS PHARMA: Swings to $7.11 Million Q1 Net Loss TRILLION ENERGY: BCSC Issues MCTO Over Delayed FY2025 Annual Filing TRILLION ENERGY: Fulfills $250K Cash Commitment on M47c,d Oil Block TRINITY EXCAVATORS: Court Affirms Dismissal of Bankruptcy Case TURK INDUSTRIES: Seeks Subchapter 11 Bankruptcy in Georgia TURNONGREEN INC: Debts Exceed Assets by $33.6M at March 31 UNITED PARKS: Liabilities Exceed Assets by $557.2M at March 31 US CABINETWORKS: Seeks Chapter 7 Bankruptcy in Georgia VERRICA PHARMACEUTICALS: Reports $9.68 Million Net Loss in Q1 2026 VIVAKOR INC: J.J. Astor, Cedarview Extend Forbearance Terms WAIKOLOA VILLATE: Seeks Chapter 11 Bankruptcy in Georgia YESCARE CORP: Staff No-Shows Prompt Creditors to Seek Contract End ZOE CENTER: Seeks Chapter 11 Bankruptcy in Georgia [] Chapter 15 Filings Spiked in U.S. in 1st Qtr. of 2026 [] DBRS Confirms 17 Ratings From Five Westlake Automobile Deals [] U.S. Farm Bankruptcy Filings Rise Sharply in April 2026 ********* 40 FULLER AVE: Available Cash & Loan Modification to Fund Plan -------------------------------------------------------------- 40 Fuller Ave LLC filed with the U.S. Bankruptcy Court for the District of New Jersey an Original Disclosure Statement describing Plan of Reorganization dated May 11, 2026. The Debtor was formed in October 2022. The Debtor is the owner of a one family house located a 40 Fuller Ave, Piscataway, NJ. The sole member of the Debtor is Tahira Rafaqat. This property had been utilized as a rental property since 2022. The rents are not sufficient to pay the mortgage but the spouse of the principal of the Debtor continuing contributed funds to the business. Unfortunately, his business has suffered and he has not been able to contribute all the necessary funds to pay the full amount of the mortgage. The Debtor also had to make some significant renovations to the property causing the Debtor to fall behind. This is a reorganizing plan. In other words, the Proponent seeks to accomplish payments under the Plan by refinancing the property. The Effective Date of the proposed Plan is July 2026. The Debtor is proposing to claims. Pay all creditors in full to the extent of the allowed claims and to allow the Debtor to retain the property. The total amount of monthly payments due under the Plan is $100.00. The Debtor believes that based upon its current financial statement that the principal of the Debtor who has funded the monthly payments to the secured creditor throughout the bankruptcy case, will be able to continue to make the monthly payment until the Debtor will be able to refinance the property. Class 3 consists of General Unsecured Claims. This Class shall be paid 100% of any unsecured claims. Class 4 consists of Equity Interest Holders. Tahira Rafaqat shall retain his interest in the company. The Debtor intends to fund the Plan as follows: * Cash on Hand * The Debtor will be seeking loan modification on the property within 6 months. * The Spouse of the Principal of the Debtor will assist the Debtor to fund the plan as necessary. * If the loan modification is denied the Debtor will make good faith payments of $4500.00 for 24 months. At the end of the 24 months the Debtor will either refinance the property or sell the property. A full-text copy of the Original Disclosure Statement dated May 11, 2026 is available at https://urlcurt.com/u?l=0Di5qa from PacerMonitor.com at no charge. Counsel to the Debtor: Robert C. Nisenson, Esq. ROBERT C. NISENSON, LLC 10 Auer Court East Brunswick, NJ 08816 (732) 238-8777 About 40 Fuller Ave LLC 40 Fuller Ave LLC is a real estate holding company that owns and manages property at 40 Fuller Avenue in New Jersey, focusing on commercial and residential real estate operations. 40 Fuller Ave LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-10112) on January 6, 2026. In its petition, the Debtor reports estimated assets of $100,001-$1,000,000 and estimated liabilities of $100,001-$1,000,000. Honorable Bankruptcy Judge Michael B. Kaplan handles the case. The Debtor is represented by Robert C. Nisenson, Esq., of Robert C. Nisenson, LLC. 43 MOTT REALTY: Voluntary Chapter 11 Case Summary ------------------------------------------------- Debtor: 43 Mott Realty Owner LLC 89 Prospect Place, Basement Brooklyn, NY 11217 Business Description: 43 Mott Realty Owner LLC is a single-asset real estate entity that owns and leases mixed-use buildings at 43-45 Mott Street in Manhattan's Chinatown neighborhood of New York, New York. Chapter 11 Petition Date: May 18, 2026 Court: United States Bankruptcy Court Eastern District of New York Case No.: 26-42413 Judge: Hon. Jil Mazer-Marino Debtor's Counsel: Adam P. Wofse, Esq. LAMONICA HERBST & MANISCALCO, LLP 3305 Jerusalem Avenue, Suite 201 Wantagh, NY 11793 Tel: 516-826-6500 E-mail: awofse@lhmlawfirm.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $10 million to $50 million The petition was signed by Kevin Ye as managing member. The Debtor did not submit a list of its 20 largest unsecured creditors along with the petition. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/WHQUHWI/43_Mott_Realty_Owner_LLC__nyebke-26-42413__0001.0.pdf?mcid=tGE4TAMA 43 MOTT: Commences Chapter 11 Bankruptcy in New York ---------------------------------------------------- On May 18, 2026, 43 Mott Realty Owner 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 $1 million and $10 million in debt owed to between 1 and 49 creditors. A meeting of creditors filed by the Office of the United States Trustee under 341(a) meeting to be held on June 22, 2026 at 11:00 AM at USA Toll-Free (888) 330-1716, USA Caller Paid/International Toll (713) 353-7024, Access Code 1165157. Deadline to file Chapter 11 plan set for September 15, 2026. Disclosure Statement filing deadline scheduled for September 15, 2026. About 43 Mott Realty Owner LLC 43 Mott Realty Owner LLC is a real estate holding and property management company involved in commercial real estate operations and investments. 43 Mott Realty Owner LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-42413) on May 18, 2026. In its petition, the Debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $1 million and $10 million. Honorable Bankruptcy Judge Jil Mazer-Marino handles the case. The Debtor is represented by Adam P. Wofse, Esq. of Lamonica Herbst & Maniscalco LLP. 486 K EQUITIES: Commences Chapter 11 Bankruptcy in New York ----------------------------------------------------------- 486 K Equities LLC filed for Chapter 11 bankruptcy protection on May 18, 2026, in the Eastern District of New York bankruptcy court. Court filings indicate the company has assets and liabilities each ranging from $1 million to $10 million, with a creditor base of 1 to 49 parties. A meeting of creditors filed by the Office of the United States Trustee under 341(a) to be held on June 15, 2026 at 02:00 PM at USA Toll-Free (888) 330-1716, USA Caller Paid/International Toll (713) 353-7024, Access Code 6982178. Chapter 11 Plan and Disclosure Statement both due by September 15, 2026. About 486 K Equities LLC 486 K Equities LLC is a real estate investment firm specializing in property ownership, acquisition, and management. The company maintains a portfolio of commercial and residential real estate assets. The debtor filed its Chapter 11 petition under Bankr. Case No. 26-42396, reporting matching ranges of assets and liabilities. The filing was submitted voluntarily in federal bankruptcy court. The case is being handled by Honorable Judge Elizabeth S. Stong. The debtor is represented by J. Ted Donovan, Esq. of Goldberg Weprin Finkel Goldstein LLP. AI ERA CORP: Dr. Moradi Steps Down as CEO; No Severance Awarded --------------------------------------------------------------- AI Era Corp. announced in a regulatory filing that Dr. Ahmad Moradi resigned as Chief Executive Officer. Dr. Moradi's resignation was not the result of any disagreement with the Company on any matter relating to the Company's operations, policies, or practices. In connection with his resignation, the Company and Dr. Moradi entered into a Separation and Release Agreement dated May 8, 2026. Pursuant to the Separation Agreement, Dr. Moradi will receive only his accrued but unpaid base salary, pro-rated remote-work stipend (subject to documentation), and any approved unreimbursed business expenses through the Termination Date, payable within seven days of the Termination Date. The Separation Agreement confirms that Dr. Moradi is not entitled to any severance payments, accelerated vesting of equity, consulting fees, benefits continuation, or any other termination benefits under his Employment Agreement dated March 1, 2026. The Separation Agreement also contains a mutual general release of claims (including a release of claims under the Age Discrimination in Employment Act, as amended by the Older Workers Benefit Protection Act) and Dr. Moradi's reaffirmation of his surviving post-termination obligations under the Employment Agreement (including confidentiality, non-competition, non-solicitation, and non-disparagement covenants). A full text copy of the Separation Agreement is available at https://tinyurl.com/a4wjcndd About AI Era Corp. AI Era Corp. (formerly AB International Group Corp.) is an intellectual property investment, acquisition, and licensing company focused primarily on the entertainment media sector. The Company acquires copyrights and broadcast rights for movies, television series, and short-form drama series, which it monetizes through licensing (broadcast and download), embedded marketing services, AI-enhanced consulting, and direct copyright sales. In addition, the Company operates the Mt. Kisco Theatre in Mount Kisco, New York, generating revenue from ticket admissions, concessions, and on-screen advertising. As of February 28, 2026, the Company had $9 million in total assets, $2.8 million in total liabilities, and $6.2 million in total stockholders' equity. As of February 28, 2026, the Company had limited cash, an accumulated deficit of approximately $7.8 million and a working capital deficit of approximately $1.6 million. The continuation of the Company as a going concern is dependent upon the continued financial support from its stockholders or external financing and achieving operating profits. These factors, among others, raise the substantial doubt regarding the Company's ability to continue as a going concern. ALGORHYTHM HOLDINGS: Ionic Ventures Cuts Stake Holding to 1.9% -------------------------------------------------------------- Ionic Ventures, LLC, Ionic Management, LLC, Brendan O'Neil, and Keith Coulston, disclosed in a Schedule 13G (Amendment No. 3) filed with the U.S. Securities and Exchange Commission that as of March 31, 2026, each beneficially owns 283,412 shares of Common Stock, par value $0.01 per share, consisting of shares of Common Stock issuable upon exercise of Series A common stock purchase warrants directly held by Ionic Ventures, LLC and indirectly held by Ionic Management, LLC, Brendan O'Neil, and Keith Coulston, of Algorhythm Holdings, Inc.'s Common Stock, par value $0.01 per share, representing 1.9% of the 14,651,665 shares of Common Stock outstanding as of March 27, 2026, as disclosed in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025, filed with the U.S. Securities and Exchange Commission on April 2, 2026. The Amendment No. 3 constitutes an exit filing for each of the Reporting Persons, as each has ceased to be the beneficial owner of more than five percent of the outstanding shares of Common Stock. Ionic Ventures, LLC may be reached through: Keith Coulston Ionic Management, LLC 3053 Fillmore St. Suite 256 San Francisco, CA 94123 Tel: 415-999-2132 About Algorhythm Holdings, Inc. Algorhythm Holdings, Inc. (NASDAQ: RIME) is an artificial intelligence technology company focused on the growth and development of SemiCab, an AI-enabled software logistics and distribution business that utilizes the Company's SemiCab technology platform to enable retailers, brands and transportation providers to address common supply chain problems globally. The Company operates the SemiCab business through its subsidiary, SemiCab Holdings, LLC. The Woodlands, TX-based M&K CPAS, PLLC, the Company's auditor since 2025, issued a "going concern" qualification in its report dated April 1, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company suffered a net loss from operations and has an accumulated deficit, which raises substantial doubt about its ability to continue as a going concern. As of December 31, 2025, the Company had $12,724,000 in total assets, $14,584,000 in total liabilities, and $1,860,000 in total shareholders' deficit. ALGORHYTHM HOLDINGS: SemiCab Grants Forbearance on Unpaid $1.5M Due ------------------------------------------------------------------- Algorhythm Holdings, Inc. announced in a regulatory filing that it issued a promissory note in the principal amount of $1,750,000 to SemiCab Inc., a Delaware corporation, pursuant to an equity purchase agreement among the Company and its subsidiary, SemiCab Holdings, LLC, a Nevada limited liability company, and the Seller. The Promissory Note provides that $1,500,000 is due and payable by the Company on the first anniversary of the date of issuance, or May 2, 2026, and the remaining $250,000 is due and payable by the Company on the 18-month anniversary of the date of issuance, or November 2, 2026. On May 9, 2026, the Company and the Seller entered into a Forbearance Agreement pursuant to which: (i) the Seller irrevocably waived any default or event of default that was or will be caused under the Promissory Note as a result of the Company's failure to pay the Initial Payment to the Seller on May 2, 2026, and (ii) the Seller will forbear from taking action with respect to any defaults or events of default arising after the Effective Date with respect to the Company's failure to make such payment that occur at any time on or prior to June 16, 2026. A full text copy of the Forbearance Agreement is available at https://tinyurl.com/yb3xu297 About Algorhythm Holdings, Inc. Algorhythm Holdings, Inc. (NASDAQ: RIME) is an artificial intelligence technology company focused on the growth and development of SemiCab, an AI-enabled software logistics and distribution business that utilizes the Company's SemiCab technology platform to enable retailers, brands and transportation providers to address common supply chain problems globally. The Company operates the SemiCab business through its subsidiary, SemiCab Holdings, LLC. As of December 31, 2025, the Company had $12,724,000 in total assets, $14,584,000 in total liabilities, and $1,860,000 in total shareholders' deficit. The Woodlands, TX-based M&K CPAS, PLLC, the Company's auditor since 2025, issued a "going concern" qualification in its report dated April 1, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company suffered a net loss from operations and has an accumulated deficit, which raises substantial doubt about its ability to continue as a going concern. AMERICAN SIGNATURE: Judge OKs Tariff Refund Sale in Ch. 11 Case --------------------------------------------------------------- Clara Geoghegan of Law360 reports that a Delaware bankruptcy judge has authorized American Signature Inc. to sell its federal tariff refund claims for $7.2 million during its ongoing Chapter 11 proceedings. The claims stem from tariffs the retailer previously paid that were later struck down by the U.S. Supreme Court. Court documents indicate the sale recovers about 77% of the total value of the disputed tariffs. The company said the agreement provides immediate financial value and avoids the uncertainty and delays associated with continuing to pursue refunds through litigation or administrative review. The judge approved the transaction after determining it represented a reasonable and beneficial deal for the bankruptcy estate. The proceeds are expected to strengthen the company’s liquidity position while helping support creditor recoveries and operational restructuring efforts, the report states. American Signature entered Chapter 11 to reorganize its finances amid broader challenges facing the retail and furniture sectors. The tariff claim sale is one of several steps the retailer has taken to maximize asset value and improve its financial position during bankruptcy proceedings, according to Law360. About American Signature Inc. American Signature Inc., together with its subsidiaries, is a residential furniture company operating across its Value City Furniture and American Signature Furniture brands and serving as a furniture destination consumers can rely on for style, quality, and value. Headquartered in Columbus, Ohio, the Company operates more than 120 stores across 17 states, with the largest concentrations in Ohio (20), Michigan (16), and Illinois (11). The Company employs approximately 3,000 team members. American Signature and eight of its affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 25-12105) on Nov. 22, 2025. In their petition, the Debtors estimated assets of $100 million to $500 million and estimated liabilities of $500 million to $1 billion. The petitions were signed by Rudy Morando as chief restructuring officer. Judge J. Kate Stickles presides over the cases. David M. Bertenthal, Maxim B. Litvak, and Laura Davis Jones at Pachulski Stang Ziehl & Jones LLP, represent the Debtors as legal counsel. Berkeley Research Group, LLC, serves as restructuringadvisor to the Debtors, SSG Capital Advisors LLC serves as investment banker, and Kurtzman Carson Consultants LLC d/b/a Verbita Global is claims and noticing agent to the Debtors. ARCHITECTURAL GLAZING: Starts Chapter 11 Bankruptcy in Georgia -------------------------------------------------------------- On May 18, 2026, Architectural Glazing Systems, Inc. filed for Chapter 11 bankruptcy protection in the Northern District of Georgia bankruptcy court. According to court filings, the debtor reports between $1 million and $10 million in assets and $1 million to $10 million in liabilities, with approximately 100 to 199 creditors. A meeting of creditors under Section 341(a) to be held on June 22, 2026 at 09:00 AM via Telephone conference. To attend, Dial 888-330-1716 and enter access code 3042940. The deadline for Chapter 11 Plan and Disclosure Statement set for September 15, 2026. About Architectural Glazing Systems, Inc. Architectural Glazing Systems, Inc. is a construction industry company specializing in architectural glass and glazing solutions for commercial and institutional projects. The company provides design, fabrication, and installation services for building envelope systems. Architectural Glazing Systems, Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-10813) on May 18, 2026. The filing was made voluntarily in federal bankruptcy court in Georgia. Honorable Bankruptcy Judge Paul Baisier is handling the case. The debtor is represented by Thomas T. McClendon, Esq. of Jones & Walden, LLC. ASCEND ELEMENTS: Creditors Seek Chapter 7 Conversion ---------------------------------------------------- Vince Sullivan of Law360 Bankruptcy Authority reports that a pair of creditors in the bankruptcy case of Ascend Elements Inc. have urged a Texas bankruptcy court to convert the company's Chapter 11 proceedings into a Chapter 7 liquidation. The creditors argued the debtor has failed to demonstrate a realistic restructuring strategy capable of preserving enterprise value. In filings submitted late Tuesday, May 19, 2026, the creditors claimed the company's financial condition continues to deteriorate and that ongoing Chapter 11 expenses are reducing recoveries available to stakeholders. They maintained that liquidation would provide a more orderly and efficient resolution of the bankruptcy case. The request places additional scrutiny on Ascend Elements' restructuring efforts as the court evaluates whether the company can remain in Chapter 11. If approved, the conversion would shift the case into liquidation proceedings overseen by a Chapter 7 trustee, the report states. About Ascend Elements Ascend Elements is an advanced manufacturing and recycling company dedicated to producing sustainable lithium-ion battery materials. Founded in 2015, the company operates from its headquarters in Westborough, Massachusetts, and serves the growing electric vehicle supply chain. Ascend Elements sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 26-90440) on April 9, 2026. In its petition, the Debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $500,000 and $1 million. Honorable Bankruptcy Judge Christopher M. Lopez handles the case. The Debtor is represented by Ryan E. Manns, Esq. of Norton Rose Fulbright Us LLP. ASCENSION TOWING: Case Summary & 11 Unsecured Creditors ------------------------------------------------------- Debtor: Ascension Towing and Recovery, LLC 14407 Highway 431 Saint Amant, LA 70774 Business Description: Ascension Towing and Recovery provides towing, vehicle recovery and roadside-support services in Saint Amant, Louisiana. The company offers light-, medium- and heavy- duty towing, flatbed towing, winch and recovery services, boat and RV towing, motorcycle towing, impound service and related heavy-duty breakdown assistance for motorists, vehicle owners and commercial operators in St. Amant and surrounding areas. Chapter 11 Petition Date: May 19, 2026 Court: United States Bankruptcy Court Middle District of Louisiana Case No.: 26-10439 Debtor's Counsel: Ryan J. Richmond, Esq. STERNBERG, NACCARI & WHITE, LLC 450 Laurel Street Suite 1450 Baton Rouge, LA 70801 Tel: (225) 412-3667 Fax: (225) 286-3046 Email: ryan@snw.law Total Assets: $610,500 Total Liabilities: $1,035,055 The petition was signed by Frank A. Credidio as manager. A copy of the Debtor's list of its 11 unsecured creditors is available for free on PacerMonitor at: https://www.pacermonitor.com/view/USMZ2KI/Ascension_Towing_and_Recovery__lambke-26-10439__0002.0.pdf?mcid=tGE4TAMA A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/UVJS6BI/Ascension_Towing_and_Recovery__lambke-26-10439__0001.0.pdf?mcid=tGE4TAMA ASHFORD HOSPITALITY: Dallas Embassy Suites Sold for $17MM in Cash ----------------------------------------------------------------- Ashford Hospitality Trust, Inc. announced in a regulatory filing that Ashford Dallas LP, an indirect subsidiary of the company, completed the sale of the 150-room Embassy Suites by Hilton Dallas Near the Galleria located in Dallas, Texas pursuant to an Agreement of Purchase and Sale, dated as of March 26, 2026, by and between Ashford Dallas LP, as seller, and DG Lodging, LLC, as purchaser, for $17 million in cash, subject to customary pro-rations and adjustments. About Ashford Hospitality Ashford Hospitality Trust is a real estate investment trust (REIT) focused on investing predominantly in upper upscale, full-service hotels. Dallas, Texas-based BDO USA, P.C., the Company's auditor since 2015, issued a "going concern" qualification in its report dated March 20, 2026, attached to the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025, citing that the Company has final debt maturities within one year from the date the financial statements are issued, which raise substantial doubt about its ability to continue as a going concern. As of December 31, 2025, the Company had $2.8 billion in total assets and $3.2 billion in total liabilities, and total stockholders' deficit of $610.8 million. ASPIRA OF DELAWARE: S&P Assigns 'BB' Rating on 2026A-B Rev. Bonds ----------------------------------------------------------------- S&P Global Ratings assigned its 'BB' long-term rating to the Delaware Economic Development Authority's approximately 17.1 million series 2026A and $445,000 series 2026B charter school revenue bonds, issued for ASPIRA of Delaware Charter Operations Inc. (dba Las Américas ASPIRA Academy, or LAAA). At the same time, S&P Global Ratings affirmed its 'BB' rating on LAAA's series 2016 and 2022 bonds. The outlook is stable. S&P said, "We have analyzed LAAA's environmental, social, and governance (ESG) factors and view them as neutral in our credit rating analysis. "The stable outlook reflects our expectation that during the one-year outlook period, LAAA will sustain enrollment and pro forma debt service coverage at levels that are least consistent with covenanted levels as well as liquidity metrics that are in line with the rating level and similarly-sized peers. "We could consider a negative rating action if LAAA's enrollment profile or academic results weaken materially or if a trend of weakened operating performance leads to a material deterioration of liquidity. Additionally, if the school is unable to execute its management transition plan, we would view this negatively. "While unlikely following the current debt issuance, we could consider a positive rating action if the school demonstrates a trend of healthy operating margins, such that debt service coverage and liquidity ratios improve to levels commensurate with those of its higher-rated peers." ASPIRE BAKERIES: Moody's Affirms 'B2' CFR, Outlook Stable --------------------------------------------------------- Moody's Ratings affirmed Aspire Bakeries Holdings, LLC's ("Aspire") B2 Corporate Family Rating and B2-PD Probability of Default Rating. Moody's concurrently affirmed the B2 rating on the company's first lien senior secured debt that includes a revolving credit facility and an upsized term loan. The rating actions follow the announced dividend recapitalization. The rating outlook is stable. Aspire is proposing a $160 million fungible add-on to its existing US dollar first lien term loan due 2030. Proceeds from the add-on, together with cash on hand, will be used to fund a $200 million dividend distribution to investors. The transaction is credit negative because it increases debt-to-EBITDA leverage by nearly one turn to the low 6x range (Moody's-adjusted) and raises annual interest expense by approximately $10 million. Moody's views the dividend as aggressive because it is increasing debt and leverage, and reducing cash at a time when Aspire is in the midst of a period of high capital spending to fund new capacity and capabilities that is limiting free cash flow, and cautious consumer spending on food. Nonetheless, Moody's affirmed the B2 CFR and maintained the stable outlook because Moody's expects leverage to decline below 5.5x over the next 12–18 months, supported by mid-single-digit EBITDA growth driven by new business wins and a shift toward higher value-added products. The capacity expansion is supported by new business wins including some with volume commitments from existing customers. The rating affirmation also reflects Aspire's good liquidity, including access to an undrawn $200 million revolving credit facility maturing in December 2028 and approximately $23 million of cash as of April 25, 2026, pro forma for the dividend distribution. Moody's expects the company to generate $25-$50 million of free cash flow over the next 12 months. Capital spending will remain elevated over this period to support capacity expansion tied to recent wins. Near-term operating performance may be pressured by volume softness amid cautious consumer spending and increasing consumer focus on health and wellness. In addition, geopolitical conflict in the Middle East may contribute to inflationary pressure on key inputs, including transportation, fuel, and packaging. While the company's pass-through pricing arrangements provide some mitigation against input cost volatility, downside risk remains due to potential customer pushback on pricing and timing lags in cost recovery. Despite these pressures, Aspire is well positioned in foodservice, with significant exposure to QSR customers that offer a strong value proposition relative to other food away-from-home options. Many of its large QSR customers are benefiting from traffic driving initiatives focused on value and innovation. The company also benefits from recent business wins, particularly in artisan bread, supported by the ongoing shift among large retailers and foodservice operators toward strategic suppliers as they streamline operations amid rising labor costs. RATINGS RATIONALE Aspire's B2 CFR reflects its modest scale, thin operating margin, and narrow product concentration within the food sector. The rating also reflects event risk associated with private equity ownership, highlighted by the high leverage following the 2024 recapitalization and proposed distribution to investors. Aspire's rating is supported by its leading market positions in breads, cookies, donuts and muffins within US foodservice channels, as well as long-standing relationships with key customers. Aspire is a strategic supplier to many large foodservice and retail customers, benefiting from the ongoing shift toward supplier consolidation as customers streamline operations amid rising labor costs. Operating profit growth over the next year may be restrained by volume softness amid cautious consumer spending and increasing consumer focus on health and wellness. In addition, geopolitical conflict in the Middle East may contribute to inflationary pressure on key inputs, including transportation, fuel, and packaging. While the company's pass-through pricing arrangements provide some mitigation against input cost volatility, downside risk remains due to potential customer pushback on pricing and timing lags in cost recovery. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The stable outlook reflects Moody's expectations that Aspire will maintain good liquidity, including positive free cash flow, and grow revenue and EBITDA through committed new business volume, leading to a reduction in debt-to-EBITDA leverage to below 5.5x over the next 12–18 months. A rating upgrade could occur if Aspire meaningfully increases scale, sustainably grows earnings supported by consistent revenue and EBITDA margin expansion, maintains good liquidity, and generates consistent solid free cash flow. Aspire would also need to maintain a financial policy consistent with sustaining debt-to-EBITDA below 4.0x to be upgraded. A rating downgrade could occur if operating earnings do not increase due to factors such as volume weakness, slow ramp up of new business, pricing pressure or cost increases, the financial policy becomes more aggressive, liquidity deteriorates, or free cash flow is not sustained at a comfortably positive level. A downgrade could also occur if debt-to-EBITDA is sustained above 5.5x. PRINCIPAL METHODOLOGY The principal methodology used in these ratings was Consumer Packaged Goods 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. COMPANY PROFILE Aspire Bakeries Holdings, LLC ("Aspire"), headquartered in Los Angeles, California, produces and sells primarily breads, cookies, donuts and muffins to foodservice and retail in-store bakery customers. The company sells private label and branded products under the La Brea Bakery, Otis Spunkmeyer and Oakrun Farm Bakery brands. Aspire was previously a standalone subsidiary of Aryzta AG. The business was acquired by private equity sponsor Lindsay Goldberg in May 2021. Sales were approximately $1.7 billion for the 12 months ended April 25, 2026. ATARA BIOTHERAPEUTICS: Panacea Innovation Ltd Holds 16.1% Stake --------------------------------------------------------------- Panacea Innovation Limited, Panacea Venture Healthcare Fund II, L.P., Panacea Venture Healthcare Fund II GP Company, Ltd., Panacea Opportunity Fund I, L.P., Panacea Opportunity Fund I GP Company, Ltd., and James Huang, disclosed in a Schedule 13D (Amendment No. 3) filed with the U.S. Securities and Exchange Commission that as of May 7, 2026, Panacea Innovation Limited and James Huang each beneficially own 1,318,894 shares of Common Stock, Panacea Venture Healthcare Fund II, L.P. and Panacea Venture Healthcare Fund II GP Company, Ltd. each beneficially own 1,011,000 shares of Common Stock, and Panacea Opportunity Fund I, L.P. and Panacea Opportunity Fund I GP Company, Ltd. each beneficially owns 307,899 shares of Common Stock of Atara Biotherapeutics, Inc.'s Common Stock, representing 16.1%, 12.4%, and 3.8%, respectively, of the 8,178,114 shares of Common Stock outstanding as of March 10, 2026, as disclosed in the Issuer's Definitive Proxy Statement filed with the Securities and Exchange Commission on April 24, 2026. Panacea Innovation Ltd, may be reached through: James Huang Panacea Capital, 79 Science Park Drive, #04-05 Singapore, U0, 118264 Tel: (86-21) 6176-1101 A full-text copy of Panacea Innovation Ltd's SEC report is available at: https://tinyurl.com/psz5rcct About Atara Biotherapeutics Atara Biotherapeutics, Inc. -- atarabio.com -- is a biotechnology Company focused on developing off-the-shelf cell therapies that harness the power of the immune system to treat difficult-to-treat cancers and autoimmune conditions. With cutting-edge science and differentiated approach, Atara is the first Company in the world to receive regulatory approval of an allogeneic T-cell immunotherapy. The Company's advanced and versatile T-cell platform does not require T-cell receptor or HLA gene editing and forms the basis of a diverse portfolio of investigational therapies that target EBV, the root cause of certain diseases, in addition to next-generation AlloCAR-Ts designed for best-in-class opportunities across a broad range of hematological malignancies and B-cell driven autoimmune diseases. Atara is headquartered in Southern California. San Francisco, Calif.-based Deloitte & Touche LLP, the Company's auditor since 2013, issued a "going concern" qualification in its report dated March 16, 2026, attached to the Company's Annual Report on Form 10-K for the year ended Decemeber 31, 2025, citing that Company's negative cash flow from operations and losses from operations raises substantial doubt about its ability to continue as a going concern. As of December 31, 2025, the Company had $20.2 million in total assets and $58.7 million in total liabilities, and total stockholders' deficit of $38.5 million. ATARA BIOTHERAPEUTICS: Posts $4.1M Loss in Q1, Warns of Cash Crunch ------------------------------------------------------------------- Atara Biotherapeutics, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $4.1 million for the three months ended March 31, 2026, compared to a net loss of $38 million for the same period in the prior year. Commercialization Revenue for the three months ended March 31, 2026 were $516 thousand, compared to $98.1 million in the prior-year period. As of March 31, 2026, the Company had total cash and cash equivalents of $8.4 million. The Company's existing cash, cash equivalents and short-term investments as of March 31, 2026 will not be sufficient to fund its planned operations for at least the next twelve months from the date of issuance of these financial statements. These conditions raise substantial doubt about the Company's ability to continue as a going concern for at least 12 months after the issuance of the accompanying condensed consolidated financial statements. To alleviate the conditions that raise substantial doubt about its ability to continue as a going concern, the Company plans to secure additional capital, potentially through a combination of public or private security offerings; use of its ATM facility; issuance of debt; and/or execution of strategic transactions. The Company may also need to raise additional funding as required based on the status of its development program and its projected cash flows. Although the Company has been successful in raising capital in the past, and expects to continue to raise capital as required, there is no assurance that it will be successful in obtaining sufficient funding on terms acceptable to it to fund continuing operations, if at all, or identify and enter into any strategic transactions that will provide the capital that it will require. The Company expects to expend substantial resources for the foreseeable future to continue its operations. Under the terms of its license agreements with each of its in-license partners, the Company is obligated to make payments upon the achievement of certain development, regulatory and commercial milestones. In addition, other unanticipated costs may arise. Because the design and outcome of the Company's ongoing, planned and anticipated clinical studies is highly uncertain, the Company cannot reasonably estimate the actual amounts necessary to successfully complete the development and commercialization of its product and product candidates. The Company's future capital requirements depend on many factors, including: the scope, progress, results and costs of researching and developing tab-cel, and conducting clinical studies; the timing of, and the costs involved in, obtaining regulatory approvals for tab-cel, including any costs from post-market requirements; the Company's ability to establish and maintain strategic licensing or other arrangements and the financial terms of such agreements; the costs involved in preparing, filing, prosecuting, maintaining, expanding, defending and enforcing patent claims, including litigation costs and the outcome of such litigation; the timing, receipt and amount of sales of, or royalties on tab-cel; and the emergence of competing technologies or other adverse market developments. The Company's operating plan may change as a result of many factors currently unknown to it, and the Company may need additional funds sooner than planned. The Company does not have any committed external source of funds other than milestone and royalty payments that it may receive under the A&R Commercialization Agreement, subject to the terms of the HCRx Agreement. The Company does not retain any meaningful milestone or royalty payments related to the Initial Territory from Pierre Fabre until the applicable royalty cap under the HCRx Agreement is met, if at all. In addition, as of the date of the filing of the Company's Annual Report on Form 10-K for the year ended December 31, 2025, its public float was less than $75 million. As a result, the Company is subject to the limitations of General Instruction I.B.6 to Form S-3 until such time as its public float exceeds $75 million, which means the Company only has the capacity to sell shares up to one-third of its public float under shelf registration statements in any twelve-month period. The Company will remain constrained by the limitations of General Instruction I.B.6 to Form S-3 until such time as its public float exceeds $75 million, at which time the number of securities it may sell under a Form S-3 registration statement will no longer be limited by limitations of General Instruction I.B.6 to Form S-3. If the Company is unable to obtain sufficient funding on acceptable terms, it could be forced to delay, limit, reduce or terminate ongoing activities of its product candidate, as well as its exploration of strategic alternatives, which could have a material adverse effect on its business, results of operations, and financial condition. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/4m9hhyds About Atara Biotherapeutics Atara Biotherapeutics, Inc. -- http://atarabio.com/-- is a biotechnology Company focused on developing off-the-shelf cell therapies that harness the power of the immune system to treat difficult-to-treat cancers and autoimmune conditions. With cutting-edge science and differentiated approach, Atara is the first Company in the world to receive regulatory approval of an allogeneic T-cell immunotherapy. The Company's advanced and versatile T-cell platform does not require T-cell receptor or HLA gene editing and forms the basis of a diverse portfolio of investigational therapies that target EBV, the root cause of certain diseases, in addition to next-generation AlloCAR-Ts designed for best-in-class opportunities across a broad range of hematological malignancies and B-cell driven autoimmune diseases. Atara is headquartered in Southern California. San Francisco, Calif.-based Deloitte & Touche LLP, the Company's auditor since 2013, issued a "going concern" qualification in its report dated March 16, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the company's negative cash flow from operations and losses from operations raises substantial doubt about its ability to continue as a going concern. As of March 31, 2026, the Company had $20 million in total assets, $57.3 million in total liabilities, and $37.3 million in total stockholders' deficit. ATM INVESTMENT: Commences Chapter 11 Bankruptcy in Florida ---------------------------------------------------------- On May 15, 2026, ATM Investment Property 1700 LLC filed for Chapter 11 protection in the Middle District of Florida bankruptcy court. According to court filings, the debtor reports between $10 million and $50 million in debt owed to approximately 1 to 49 creditors. Disclosure statement deadline set for September 14, 2026. About ATM Investment Property 1700 LLC ATM Investment Property 1700 LLC is a real estate investment entity engaged in the ownership and management of commercial property assets. The company’s operations are centered on investment holdings and property-related revenue streams within the real estate sector. ATM Investment Property 1700 LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-04148) on May 15, 2026. In its petition, the debtor reports estimated assets between $10 million and $50 million and estimated liabilities in the same range. Honorable Bankruptcy Judge Catherine Peek McEwen is handling the case. The debtor is represented by Daniel A. DeMarco, Esq. of Hahn Loeser & Parks LLP. AVALON GLOBOCARE: Loss Widens to $4.5MM in Q1, Warns of Cash Crunch ------------------------------------------------------------------- Avalon Globocare Corp. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $4,479,695 for the three months ended March 31, 2026, compared to a net loss of $2,482,111 for the same period in the prior year. Income From Equity Method Investment - Lab Services MSO for the three months ended March 31, 2026 were $NIL, compared to $392,677 in the prior-year period. The Company had a working capital deficit of approximately $2,774,000 at March 31, 2026 and had incurred recurring net losses from continuing operations and generated negative cash flow from operating activities of continuing operations of approximately $4,377,000 and $2,860,000 for the three months ended March 31, 2026, respectively. The Company has a limited operating history, and its continued growth is dependent upon the continuation of generating revenue for selling of Keto Air, generating revenue from advanced Agentic AI systems, including automated video generation and small business marketing automation, and obtaining additional financing to fund future obligations and pay liabilities arising from normal business operations. In addition, the current cash balance cannot be projected to cover the operating expenses for the next 12 months from May 11, 2026, the release date of the Company's quarterly report. These matters raise substantial doubt about the Company's ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company's ability to raise additional capital, implement its business plan, and generate significant revenue. There are no assurances that the Company will be successful in its efforts to generate significant revenue, maintain sufficient cash balance or report profitable operations or to continue as a going concern. The Company plans on raising capital through the sale of equity to implement its business plan. However, there is no assurance these plans will be realized and that any additional financings will be available to the Company on satisfactory terms and conditions, if any. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/ysbkks28 About Avalon Globocare Avalon Globocare Corp., based in Freehold, New Jersey, develops and markets precision diagnostic consumer products and cellular therapy intellectual property. The Company currently sells the KetoAir breathalyzer, a U.S. FDA-registered Class I medical device, and plans to expand its diagnostic applications. It also owns and manages commercial real estate at its headquarters. The Woodlands, TX-based M&K CPAS, PLLC, the Company's auditor since 2024, issued a "going concern" qualification in its report dated March 30, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company has yet to achieve profitable operations, has negative cash flows from operating activities, and is dependent upon future issuances of equity or other financings to fund ongoing operations all of which raises substantial doubt about its ability to continue as a going concern. As of March 31, 2026, the Company had $16,245,467 in total assets, $4,521,410 in total liabilities, and $11,724,057 in total stockholders' equity. BADGER INFRASTRUCTURE: DBRS Assigns 'BB(high)' Issuer Rating ------------------------------------------------------------ DBRS Limited (Morningstar DBRS) assigned an Issuer Rating of BB (high) to Badger Infrastructure Solutions Ltd. (Badger or the Company) and a provisional credit rating of (P) BB to the Company's proposed Senior Unsecured Notes (the Notes), both with Stable trends. The Recovery Rating on the proposed Notes is RR5. KEY CREDIT RATING CONSIDERATIONS Badger's credit ratings are supported by the Company's market position as the leader within the niche North American non-destructive excavation industry, strong customer diversification, expansive network across North America, and its strong financial profile. The credit ratings also consider the capital-intensive nature of Badger's operations, its exposure to cyclicality in some of its end markets, and the Company's concentration of service offerings. Badger is proposing to issue approximately CAD 250 million of senior unsecured notes (the Proposed Notes). The proceeds of the issuance, after deducting issuance fees and expenses, will be used to repay existing indebtedness. The Proposed Notes will be unsecured obligations ranking pari passu with all existing and future unsecured senior indebtedness of Badger, but will effectively be subordinated to any senior secured indebtedness of the Company, including indebtedness under the Senior Secured Credit Facility. The Proposed Notes will be guaranteed by the borrowers and guarantors under the Credit Agreement for the Senior Secured Credit Facilities, which are required to account for at least 80% of unconsolidated total tangible assets and 80% of unconsolidated total revenue. As part of the Proposed Notes issuance, the Company will also increase the capacity of its Secured Revolving Credit Facility (the Secured Revolver) to $400 million from $300 million, and will remove the $100 million term loan from its capital structure. CREDIT RATING DRIVERS Morningstar DBRS could take a positive credit rating action should the Company materially improve its business-risk profile, including increased size, and improvement in operating efficiency and service diversification, while maintaining strong credit metrics supportive of an investment grade credit rating (e.g., debt-to-EBITDA below 3.0 times (x)). Conversely, Morningstar DBRS could take a negative credit rating action if the Company's operating performance declines and/or the Company practices more aggressive capital management such that adjusted debt-to-EBITDA increases toward 3.5x on a sustained basis. EARNINGS OUTLOOK Looking ahead, Morningstar DBRS expects Badger's earnings profile will remain appropriate for the credit ratings, and anticipates solid earnings growth in 2026 and 2027, benefitting from strong service demand and efficiency improvement initiatives, further supported by investment in fleet growth and network expansion. Morningstar DBRS forecasts revenue to grow to over $900 million in 2026 and to over $1 billion in 2027, from $832 million in 2025. Morningstar DBRS expects revenue growth to be driven by favourable industry tailwinds that are supported by a significant pipeline of infrastructure projects across the Company's end markets, higher pricing for Badger's service offerings due to cost pass-through features for fuel, water, and disposal. Ancillary service offerings including trench shoring and industrial cleaning--which will present cross-selling opportunities as well as provide additional revenue streams--will likely further support revenue growth. Morningstar DBRS forecasts Badger's gross margins to improve in 2026 and 2027 compared with 2025, primarily driven by improved pricing, economies of scale, as well as Badger's Operational Excellence Initiative and the Badger Analytics Platforms which should drive cost efficiencies related to labour, truck routing, and fleet management. That said, Morningstar DBRS anticipates higher selling general and administrative expenses will more than offset gross margin benefits in 2026, primarily driven by higher compensation expenses related to share-based compensation. Morningstar DBRS expects gross margin growth and improving operating leverage will drive overall margin growth in 2027. As a result, Morningstar DBRS expects Badger's EBITDA margin to decline modestly to below 22% in 2026 before improving toward 23% in 2027, from 22.2% in 2025. Consequently, Morningstar DBRS forecasts adjusted EBITDA to grow to approximately $200 million in 2026 and into the $225 million to $250 million range in 2027, from $184 million in 2025. FINANCIAL OUTLOOK Morningstar DBRS anticipates Badger's financial profile will remain supportive of the credit ratings based on the Company's strong credit metrics and conservative capital management. Morningstar DBRS forecasts cash flow from operations to track in line with operating income, increasing to over $200 million through 2027, from $163 million in 2025. Morningstar DBRS anticipates capital expenditure (capex) will increase to over $200 million in 2026 before declining toward $175 million in 2027, primarily driven by growth initiatives including fleet and network expansion as well as the construction of a new truck manufacturing plant in the U.S. Dividends are forecast to grow modestly but remain in the $20 million range in 2026 and 2027. As such, Morningstar DBRS forecasts Badger's free cash flow (FCF) (before working capital and principal lease payments) to be a shortfall of approximately $50 million in 2026 and to grow toward $25 million in 2027, from $20 million in 2025. Morningstar DBRS expects Badger will fund the 2026 shortfall in FCF with incremental debt. As a result, Morningstar DBRS forecast Badger's adjusted debt-to-EBITDA will increase modestly toward 2.0x in 2026 before declining toward 1.5x in 2027. CREDIT RATING RATIONALE Comprehensive Business Risk Assessment (CBRA): bb Badger's CBRA of bb reflects the Company's market position as the leader within the niche North American non-destructive excavation industry, strong customer and geographic diversification, and expansive network with the ability to serve its large national customers across North America, resulting in a competitive advantage over smaller regional competitors. The CBRA also reflects the capital-intensive nature of Badger's operations, exposure to cyclicality in some of its end markets, and concentration of service offerings. Comprehensive Financial Risk Assessment (CFRA): a Badger's CFRA of a reflects Morningstar DBRS' expectation that the Company will practice relatively conservative financial management practices. Morningstar DBRS notes that Badger has material room for investment/ acquisitions within the current credit rating category, given the Company's currently strong credit metrics. Intrinsic Assessment (IA): bb (high) The IA of bb (high) is within the intrinsic assessment range, is based on Badger's CBRA and CFRA, and takes into consideration peer comparisons, among other factors. Additional Considerations: The credit ratings include no further negative or positive adjustments as a result of additional considerations. Recovery Rating: The Recovery Rating of RR5 on the Senior Unsecured Notes assumes a fully drawn secured revolver and reflects the secured revolver's first-lien position. Notes: All figures are in U.S. dollars unless otherwise noted. BARK RIVER KNIVES: Court Appoints Receiver to Handle Assets ----------------------------------------------------------- Sophie Vogelmann of Daily Press reports that Bark River Knives is now subject to a court-supervised receivership after a Delta County judge authorized the appointment of a receiver to control equipment and property left behind at the company’s former Escanaba facility. The action followed allegations that the company vacated the premises after falling behind on rent owed to landlord K Enterprises Rentals LLC. Scott Wolfson was appointed receiver by Judge John Economopoulos and will oversee the inventory and liquidation of machinery and other assets remaining at the property. Court statements estimated the abandoned equipment and personal property to have a value of roughly $250,000. The proceeds from any liquidation are expected to be distributed among creditors, including secured parties claiming interests in the assets, the report states. The receivership comes months after Bark River Knives announced it was shutting down operations. Company founder Mike Stewart previously stated that health issues and controversy over mislabeled imported steel used in certain knives contributed to the closure of the business, according to Daily Press. About Bark River Knives Bark River Knives operated as a specialty knife maker headquartered in Escanaba, Michigan, producing handcrafted outdoor and utility knives for domestic and international markets. Founded by knife designer Mike Stewart, the company focused on premium fixed-blade knives used for hunting, camping, bushcraft, and survival applications. A Delta County judge has appointed a receiver to oversee and liquidate assets left behind by Bark River Knives after the company was evicted from its Escanaba, Michigan facility for unpaid rent. Judge John Economopoulos of the 47th Circuit Court approved the receivership request filed on behalf of K Enterprises Rentals LLC, owned by Ken Gartland. The court appointed Scott Wolfson as receiver to inventory and sell manufacturing equipment and other personal property allegedly abandoned at the property located at 6911 County Road 426 M5 Road. According to statements made during court proceedings, the remaining assets were estimated to be worth approximately $250,000. Proceeds from any sale will be distributed among creditors asserting claims against Bark River Knives, also known as Stewart Knives LLC, with secured creditors potentially receiving priority payments. Bark River Knives ceased operations earlier this year after owner Michael "Mike" Stewart cited health concerns and controversy surrounding the use of mislabeled Chinese steel in several knife models. Stewart acknowledged distributors were unaware of the steel substitution issue, which affected multiple product lines sold throughout North America and Europe. BARROW SHAVER: Court Narrows Claims in "Kasino" ----------------------------------------------- Judge Alfredo R. Perez of the U.S. Bankruptcy Court for the Southern District of Texas granted in part and denied in part the motions for summary judgment filed by the parties in the adversary proceeding captioned as RAYMOND KASINO, et al., Plaintiffs, VS. BARROW SHAVER RESOURCES COMPANY, LLC, Defendant, ADVERSARY NO. 25-3440 (Bankr. S.D. Tex.). Barrow Shaver Resources Company, LLC (the "Debtor"), and Raymond Kasino and LaWanda Turner (the "Plaintiffs") both move for summary judgment on several issues relating to ownership over certain overriding royalty interests (also referred to as "ORRIs"). The Debtor is (or was) the lessee under certain oil and gas leases and operator under certain joint operating agreements pertaining to oil and gas prospects in the areas of Morris, Cass, Upshur, and Camp Counties, Texas (the "Hidden Rock Field"). The Debtor's approach to identifying oil and gas prospects involved first identifying a potential prospect for the exploration and development of hydrocarbon production, and once identified, initiating a leasing program to acquire acreage that covers the prospect. Prior to its eventual bankruptcy, the Debtor employed Raymond Kasino ("Mr. Kasino") and James Turner ("Mr. Turner," and together with Mr. Kasino, the "Consultants"), two geologists who were involved in drilling, reworking, testing, and similar operations with respect to the Debtor's business. On June 13, 2019, the Debtor entered into identical and respective consulting agreements (the "Consulting Agreement") with the Consultants whereby each geologist agreed to "identify, generate, and evaluate various prospects for the exploration and development of oil and gas prospects for the exploration and development of oil and gas reserves" (defined as "Prospects") for the Debtor. The Debtor's internal documents indicate each of the Consultants may have been orally conveyed a number of ORRIs and working interests throughout the course of their employment with the Debtor. Information taken from the Debtor's pay decks also indicate the Consultants and Plaintiffs were receiving production revenues on account of a number of those ORRIs and working interests during their employment and prior to the Involuntary Petition Date. On or around July, 2024, the Debtor stopped paying the Plaintiffs production revenues associated with their alleged mineral interests. On July 11, 2025, one year into the Debtor's bankruptcy, the Plaintiffs filed the instant adversary proceeding seeking declaratory judgment as to ownership of certain alleged ORRIs and working interests each Consultant purportedly earned during their involvement and employment with the Debtor, and pursuant to the Consulting Agreement. The Plaintiffs also sought a temporary restraining order against the Debtor, requesting that the certain suspended production revenues generated on account of the Plaintiffs' alleged ORRIs and working interests be escrowed into a segregated account by the Debtor. In its Counterclaim, the Debtor asserted claims for declaratory judgment as to ownership of the Plaintiffs' alleged ORRIs, unjust enrichment as to the value of certain pre-petition production revenues paid to the Plaintiffs on account of their alleged ORRIs, constructive fraudulent transfer as to the same, avoidance of any alleged transfer of the claimed ORRIs as a bona fide purchaser under the Bankruptcy Code and applicable Texas law, objection and disallowance of the Plaintiffs' proofs of claim in the Debtor's bankruptcy proceeding, recovery of avoided ORRIs, and attorney's fees. On October 3, 2025, the Debtor filed the instant Motion for Summary Judgment (the "Debtor's MSJ"), seeking summary judgment as to the issues of: (i) whether the alleged ORRIs were validly conveyed to the Plaintiffs under Texas law, (ii) whether the trustee has the status of a bona fide purchaser or hypothetical lien creditor without notice of the Plaintiffs' alleged ORRIs, and (iii) whether the Plaintiffs are initial or immediate transferees within the meaning of the trustee's recover power under Sec. 550(a)(2). On January 26, 2026, the Plaintiffs filed their own Motion for Summary Judgment ("Plaintiffs' MSJ"), seeking summary judgment as to the issues of: (i) whether the Plaintiffs are owners of the alleged ORRIs, (ii) whether the alleged ORRIs are property of the Debtor's estate under Secs. 541(b)(4) or 541(d), (iii) whether the trustee can avoid the Plaintiffs' alleged ORRIs as a bona fide purchaser or hypothetical lien creditor without notice, and (iv) whether the alleged conveyance of the ORRIs and subsequent production revenues were arms'-length transfers for reasonably equivalent value. The legal framework structuring the Parties' cross MSJs largely mirror one another and present three overarching issues: first, whether the Plaintiffs are owners of ORRIs; second, whether the Plaintiffs' interests in the alleged ORRIs are excluded from the Debtor's property of the estate under Sec. 541; third, whether the Debtor can avoid the Plaintiffs' alleged interests in the ORRIs under either Secs. 544 or 548 and recover those interests under Sec. 550. The Court finds: 1. The Consulting Agreements do not identify the Plaintiffs' alleged ORRIs with reasonable certainty as to satisfy the Texas statute of frauds. 2. The Court reserves judgment on the issue of whether the Plaintiffs are owners of the alleged ORRIs, as neither Party sufficiently addressed the issues of (i) whether certain of the alleged ORRIs are excepted from the statute of frauds, and (ii) whether the Parties' course of conduct prevents enforcement of certain contractual provisions within the Consulting Agreements. 3. The Consulting Agreements contain sufficient present intent to convey the alleged ORRIs as to satisfy the Texas statute of conveyances, both with respect to ORRIs allegedly conveyed pre and post execution of the contract. 4. To the extent any ORRIs may have been conveyed, those ORRIs are not excluded from the Debtor's property of the estate under Sec. 541(b)(4)(A) because the Consulting Agreement is not a farmout agreement within the meaning of Sec. 101(21A). 5. To the extent any ORRIs may have been conveyed, the Plaintiffs retain an equitable interest in those ORRIs excluded from the Debtor's property of the estate under Sec. 541(d). 6. To the extent any ORRIs may have been conveyed, the trustee as a hypothetical purchaser or lien creditor would be on inquiry notice of those ORRIs and therefore the Plaintiffs' interests are not avoidable under Secs. 544(a)(1) or (a)(3). 7. To the extent any ORRIs may have been conveyed, under the terms of the Consulting Agreement those ORRIs, and subsequent production revenues paid to the Plaintiffs within two years of the Involuntary Petition Date were transferred for reasonably equivalent value, and therefore those transfers are not avoidable under Sec. 548(b)(1)(a) nor TEX. BUS. & COM. CODE Sec. 24.005(a)(2). A copy of the Court's Memorandum Opinion dated May 18, 2026, is available at http://urlcurt.com/u?l=it6Q1qfrom PacerMonitor.com. About Barrow Shaver Resources Company LLC Barrow Shaver Resources Company, LLC is a privately held, independent oil and gas exploration and acquisition company based in Tyler, Texas. Barrow Shaver is engaged in prospect generation, producing properties acquisition, lease acquisition, assembly and marketing of prospects for the exploration and development of oil and natural gas in the prolific producing trends of the East Texas and West Texas Basins. Barrow Shaver Resources Company sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 24-33353) on Aug. 19, 2024. In the petition signed by James Katchadurian, chief restructuring officer, the Debtor disclosed up to $100 million in both assets and liabilities. Judge Alfredo R. Perez oversees the case. The Debtor tapped Jones Walker LLP as counsel, CR3 Partners, LLC as financial advisor, and Kroll Restructuring Administration, LLC as claims, noticing, and solicitation agent. BEASLEY BROADCAST: Board Expands to Seven ----------------------------------------- Beasley Broadcast Group, Inc. announced in a regulatory filing that the Board of Directors increased the size of the Board from six to seven directors and appointed Jeffrey D. Goldberg to fill the vacancy created by such increase, effective immediately. The Board also appointed Mr. Goldberg to serve on the Strategic Alternatives Committee of the Board. Mr. Goldberg will be compensated for his service as a director as follows: $85,000 in annual compensation in cash, consisting of: (i) a $65,000 annual retainer (ii) a $7,500 annual fee for service on the Strategic Alternatives Committee of the Board and (iii) $12,500 of other cash consideration for services. Mr. Goldberg has extensive experience as an executive and board member of companies principally in the health care services and technology sectors, having served on more than a dozen boards since 2011. His prior experience includes serving as president of IncuMed, a medical technology incubator, as Senior Vice President and General Counsel of Advanced Bionics, and as CFO of a specialty hospital. Mr. Goldberg has also served as counsel for Occidental Petroleum Corporation. There are no related party transactions between the Company and Mr. Goldberg reportable under Item 404(a) of Regulation S-K. Mr. Goldberg was elected to the Board of Directors pursuant to the terms of the Amended and Restated Transaction Support Agreement, dated as of April 27, 2026, by and among the Company and the supporting holders party thereto. About Beasley Beasley Broadcast Group -- http://www.bbgi.com-- is a multi-platform media company whose primary business is operating radio stations throughout the United States. The Company offers local and national advertisers integrated marketing solutions across audio, digital and event platforms. The Company owns and operates 49 AM and FM stations in the following large- and mid-size markets in the United States: Augusta, GA, Boston, MA, Charlotte, NC, Detroit, MI, Fayetteville, NC, Las Vegas, NV, Middlesex, NJ, Monmouth, NJ, Morristown, NJ, Philadelphia, PA, and Tampa-Saint Petersburg, FL. Los Angeles, California-based Crowe LLP, the Company's auditor since 2006, issued a "going concern" qualification in its report dated April 8, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company has a history of net losses and negative operating cash flows, expects to continue to incur additional losses in the near future and is currently in default on a portion of its debt that raise substantial doubt about its ability to continue as a going concern. As of December 31, 2025, the Company had $549.2 million in total assets, $402 million in total liabilities, and $147.2 million in total stockholders' equity. BET MIDRASH: Seeks 120-Day Extension of Plan Filing Deadline ------------------------------------------------------------ Bet Midrash Ohr Hachayim Hakadosh, Inc. asked the U.S. Bankruptcy Court for the Southern District of Florida to extend its exclusivity periods to file a plan of reorganization and obtain acceptance thereof for additional one-hundred twenty days. The Debtor explains that in considering whether the extend these deadlines, Courts have considered the size and complexity of the case. The debtor's diligence in attempting to reorganize and progress in negotiating with creditors weighs in favor of extension. This is the Debtor's first request for such an extension. The Debtor has been diligently working to achieve a plan that will benefit all valid creditors of the Debtor's estate. Namely, the Debtor is seeking to open its school in the City of Hollywood, something the City of Hollywood ("City") has refused to allow, but provided no roadmap or guidance on how or what is necessary for the school to open. The Debtor asserts that it has sued the City of Hollywood in Federal District Court. That case has been referred to this Court. The Debtor has provided the City with all documents requested by the City to consider allowing the school to open, however, the City has failed to respond in any way in the nearly four months since the documents were provided. The Debtor further asserts that it filed a Motion for Order to Show Cause for the City to explain why the school has not been allowed to reopen and the Debtor has filed a supplement to the Motion for Order to Show Cause contemporaneously with The Debtor filed a Motion for Order to Show Cause for the City to explain why the school has not been allowed to reopen and the Debtor has filed a supplement to the Motion for Order to Show Cause contemporaneously with Finally, as also stated in the supplement to the Motion for Order to Show Cause, Gov. Ron DeSantis signed legislation, specifically SB 182 (and related provisions in HB 1285), on April 20, 2026, which makes it easier for small private schools and microschools to operate in Florida. This new law becomes effective on July 1, 2026, and applies to private schools with 150 or fewer students. This new law should allow the Debtor to open the school, generate revenue, reengage with fundraising, and begin the payment process to valid creditors in the context of a Chapter 11 plan in the near term. The Debtor's Counsel: Kristopher Aungst, Esq. PARAGON LAW, LLC 2665 S. Bayshore Drive Suite 220-10 Miami FL 33133 Tel: (305) 812-5443 Email: ka@paragonlaw.miam About Bet Midrash Ohr Hachayim Hakadosh Bet Midrash Ohr Hachayim Hakadosh, Inc., based in Hollywood, Florida, is a Jewish religious organization and community center providing synagogue services, Torah study programs, and a mikveh. It offers adult learning through Kollel Boker, children's education programs, and maintains a schedule of Shabbat and holiday services. The nonprofit serves the local Jewish community by supporting religious, educational, and cultural activities in the region. Bet Midrash Ohr Hachayim Hakadosh, Inc. sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 26-10599) on January 19, 2026, with $0 to $500,000 in assets and $1 million to $10 million in liabilities. Rabbi Menachem Razla signed the petition. Kris Aungst, Esq., at Paragon Law, LLC represents the Debtor as counsel. BLD REALTY: Latin Investment, et al., Win Partial Summary Judgment ------------------------------------------------------------------ Judge Mildred Caban Flores of the U.S. Bankruptcy Court for the District of Puerto Rico granted the motion for partial summary judgment filed by Latin Investment Corp., Ramon Clas Vazquez and Productos La Perfecta Corp. in the adversary proceeding captioned as BLD REALTY INC, Plaintiff(s) v. MICHAEL A. PABON, et al., Defendant(s) ADVERSARY NUMBER: 22-00034-MCF (Bankr. D.P.R.). Codefendants, Latin Investment Corp., Ramon Clas Vazquez and Productos La Perfecta Corp. (collectively, the Codefendants"), move the court for a partial summary judgment as to them regarding the first and eighth causes of action in the complaint. The Plaintiff, BLD Realty Inc., opposes the motion for partial summary judgment. The Plaintiff, BLD Realty Inc., filed a ten-count complaint against various defendants. In a prior opinion and order, the court dismissed the second, third, fourth, fifth, sixth, and seventh counts of the complaint. Recently, the court dismissed the first and eighth counts as to codefendant Michael A. Pabon. Relying on the recent court order, the Codefendants request a partial summary judgment dismissing the first and eighth counts as to them as well. The first cause of action seeks a declaratory judgment that the monies owned by codefendants Perfecto Price, Inc. and Mr. Perfecto Rivera constitute property of the estate, pursuant to 11 U.S.C. Sec. 541. The eighth cause of action involves a turnover of property, pursuant to 11 U.S.C. Sec. 542. It is undisputed that the first count centers around a local court judgment entered against codefendants Perfect Price and Mr. Rivera regarding past due rents owed to BLD. Latin Investment, Clas Vazquez and Productos La Perfecta are not named as codefendants in the first cause of action. The eighth count seeks the turnover of rent monies by Perfect Price and Mr. Rivera and the turnover of two real properties by Latin Investment. The Court finds in relation to the first cause of action, Latin Investment, Clas Vazquez and Productos La Perfecta were never sued in the local court case nor was judgment entered against them. Nor are Latin Investment, Clas Vazquez and Productos La Perfecta named in the allegations of the first cause of action of the complaint. According to the Court, as to the eighth cause of action, Clas Vazquez and Productos La Perfecta were not named in the complaint; Latin Investment was indeed named but only to request the turnover of two real properties relying on the fifth, sixth and seventh counts which relate to the avoidance of transfer of properties to Latin Investment and that already have been dismissed as well. Accordingly, the Court concludes Latin Investment Corp., Ramon Clas Vazquez and Productos La Perfecta Corp., are entitled to a partial summary judgment in their favor for the first and eighth counts of the complaint. A copy of the Court's Opinion and Order dated May 21, 2026, is available at http://urlcurt.com/u?l=hUi3i7from PacerMonitor.com. About BLD Realty BLD Realty, Inc. is the fee simple owner of two real properties located at Barrio Espinosa in Vega Alta, P.R., having an aggregate value of $1.34 million. The company is based in Guaynabo, P.R. BLD Realty filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D.P.R. Case No. 22-00802) on March 24, 2022, listing $1,900,571 in assets and $3,834,736 in liabilities. Roberto Santos Ramos serves as Subchapter V trustee. Carmen D. Conde Torres, Esq., at C. Conde & Assoc. serves as the Debtor's legal counsel. BLOCK INC: S&P Affirms 'BB+' ICR, Alters Outlook to Positive ------------------------------------------------------------ S&P Global Ratings revised its outlook to positive from stable and affirmed the 'BB+' issuer credit and unsecured debt ratings. S&P also revised its recovery rating on the company's senior unsecured debt to '3' from '4', reflecting its expectation of a meaningful recovery (50%-70%, rounded estimate: 60%). The positive outlook on Block reflects S&P's expectation that over the next 12-18 months, the company will report strong operating performance as evidenced by growth in its gross profit and adjusted operating margin, while maintaining leverage of 1.5x-2.0x. For the rolling 12 months ending March 31, 2026, Block Inc. reported strong operating performance driven by growth in gross profit and adjusted operating income, leading it to increase its 2026 guidance, and we expect it to sustain rule of 40 (defined as the sum of increase in gross profit and adjusted operating margin). Over the same period, Block's leverage, measured by net debt to adjusted EBITDA, was 1.7x, with stock-based compensation expected to decline as a percentage of adjusted EBITDA from 43% of $2.9 billion. The positive outlook reflects Block's disciplined growth, improved operating performance, and its ability to sustain rule of 40. For the three months ended March 31, 2026, Block's gross profit increased 27% year over year to $2.9 billion. The company estimates it to be $12.3 billion in 2026, compared with $10.4 billion in 2025 and $8.9 billion in 2024. S&P Global Ratings positively views Block's improved profitability and prudent expansion of its ecosystems. For 2026, Block increased its guidance for gross profit growth to 19% (up from 18%), with adjusted operating margin of 27% (up from 26%), which equates to 46% and is well above the rule of 40. S&P expects the company will continue to grow its gross payment volume as it scales neighborhood strategy, which connects local sellers and consumers. In February 2026, Block announced a workforce reduction restructuring plan of more than 40%. These layoffs will shrink its workforce to less than 6,000 employees from nearly 10,000 as of year-end 2025. In the first quarter, Block incurred $495 million in restructuring charges and expects to incur immaterial charges in the second quarter of 2026. While restructuring introduces meaningful execution and compliance risks, S&P believes it is partially mitigated by Block's operating history and track record of increasing free cash flow. S&P said, "We expect Block will reasonably increase its credit exposure through customer loans. Through its Cash App segment, the company offers buy now, pay later (BNPL), Cash App Borrow, Afterpay Post-Purchase, and Square Loans. The company also launched Afterpay Pre Purchase, which allows eligible customers to pay-in-four using their Cash App Card, and expanded BNPL to cover peer to peer transactions and Cash App Pay. While it exposes the company to higher credit risk, we expect the company will maintain its strong underwriting standards and loss-mitigation strategies, such that credit performance remains stable." Cash App Consumer Lending origination volume growth accelerated to 82% year over year to $17.6 billion, driven by strength in Cash App Borrow. Consumer receivables (BNPL) were $2.5 billion, provision for credit losses was $236 million (9.4% of receivables), and the 60-day-plus delinquency ratio was about 5.45% (up from 4.5% at year-end 2025). S&P expects quarterly loss rates to remain manageable at 3%-4% of receivables (3.2% in the first quarter). Block also underwrites short-term working capital loans and extends them to a select group of sellers and merchants. As of March 31, gross loans increased to $6.4 billion ($2.5 billion BNPL, $3.3 billion consumer, and $456 million commercial). The company monitors credit risk with internal pass or classified ratings. Of the total $3.9 billion loans held for investment, the company had provision for credit losses of $435 million (13.2% of receivables) and about $467 million were classified, meaning they were past due 60 or more days and have a higher risk of default. While Block continues to record healthy consumer repayment behavior on these loans and immaterial losses on its Borrow receivables, credit quality could be strained as unemployment rises and sustained inflation squeezes affordability. S&P will continue to monitor for this risk by looking at the trends in loss reserves, delinquencies, and charge-offs. S&P said, "We expect Block to operate with leverage of 1.5x-2.0x . For the rolling 12 months ended March 31, 2026, Block's leverage, measured by net debt to adjusted EBITDA, was 1.7x and EBITDA coverage was 9.6x. As of March 31, our $8.5 billion measure of gross debt included $6.2 billion of unsecured notes, $1.15 billion of secured convertible notes, $542.5 million outstanding on the warehouse facility, $298 million of operating lease liabilities, and $353 million in customer deposits. "As of March 31, Block had unrestricted cash and cash equivalents of $6.9 billion. We net all but 50% of cash to arrive at our net debt calculation. We believe the company maintains 50% of its cash holdings for daily settlement needs and, to a much lesser extent, various regulatory minimums. We also net liquid investments in short-term and long-term debt securities of approximately $617 million against gross debt. "We treat stock compensation expense as an add-back to EBITDA, which is meaningful for Block. For the rolling 12 months ended March 31, our calculated adjusted EBITDA was $2.88 billion, of which $1.24 billion (about 43%) was an add-back from stock compensation. Our base-case expectation is that the stock-backed add-back will decline as Block continues to grow its core earnings. Nonetheless, we believe shareholders fully understand its proclivity to continue compensating employees with stock and are comfortable with the dilutive impact on ownership." Block maintains strong financial flexibility, but it has not stated leverage tolerance. S&P therefore takes a balanced view of its $9.0 billion of available liquidity as of March 31, weighing ample on-balance-sheet resources against uncertainty around capital-structure deployment. In November 2025, Block announced a $5 billion share repurchase program for its Class A shares. In the first quarter, Block actively repurchased $636 million and had $4.7 billion available under the repurchase program. While S&P expects repurchases to continue, backed by cash flow, it is unclear how Block will use excess cash for business investments, acquisitions, further shareholder-friendly behavior, or debt reduction. S&P continues to monitor the operating impact of ongoing litigation, including the SEC and Department of Justice (DOJ) matters related to Cash App's handling of customer complaints and disputes. The DOJ inquiry is ongoing, and the company accrued a $240 million loss estimate in the first quarter. In March 2026, the SEC concluded its investigation without recommending fines. While the company generates ample free cash flow, any material enforcement actions could still weigh on operating performance. Block's balance sheet exposure to bitcoin exposes it to market price volatility. The company continues to expand its investment in bitcoin, and in the first quarter, it purchased 149 bitcoins ($12.6 million) for a total of 9,032 bitcoins. These had a fair value of $617.3 million ($305.2 million cost), which reflects remeasurement losses of $172.8 million from year-end 2025. The company also facilitates the purchase and sale of bitcoin for Cash App customers and earns revenue by applying a small margin. Block is designated as a principal in bitcoin, unlike competitors such as PayPal that largely act as agents. Block controls the cryptocurrency in the process of delivery to Cash App customers and is exposed to price fluctuations before delivery. As of March 31, Block held about 267 bitcoins for operating purposes to facilitate transactions on behalf of Cash App customers. The positive outlook reflects S&P Global Ratings' expectation that over the next 12 months Block will continue to grow its market share in the digital payment sector, operate with leverage (net debt to adjusted EBITDA) of 1.5x-2.0x, and EBITDA to interest of about 10x. S&P also expects the company to maintain a strong liquidity position, avoid outsized regulatory fines or restrictions, keep credit losses contained, and consistently achieve the rule of 40. S&P could revise its outlook to stable if: -- The company pursues a large cash- or debt-financed acquisition; -- Operating performance deteriorates such that we expect net debt to EBITDA to rise above 2x; -- The company is unable to meet the rule of 40 on a sustained basis; or -- It faces regulatory enforcement actions, substantial monetary penalties, or curtailed business practices. S&P could raise the ratings over the next 12-18 months if: -- Block operates with leverage below 1.5x; -- S&P gains better visibility of uses of excess liquidity and there are no material regulatory findings; -- Core earnings continue to grow and stock-based compensation declines from existing levels; and -- The company continues to increase wallet share in the digital payment sector. BLUELINX HOLDINGS: Moody's Cuts CFR to 'B2', Outlook Stable ----------------------------------------------------------- Moody's Ratings downgraded BlueLinx Holdings Inc.'s (BlueLinx) corporate family rating to B2 from B1, probability of default rating to B2-PD from B1-PD, and the rating on its $300 million senior secured notes due November 2029 to B3 from B2. The SGL-1 Speculative Grade Liquidity rating is unchanged. The outlook is maintained at stable. The downgrade of the CFR to B2 reflects a weakening in BlueLinx' credit metrics that stem from soft end market conditions experienced over the last year. At April 04, 2026, the company's debt to EBITDA stood at 6.7x and EBITDA to interest coverage stood at 1.8x, mainly driven by low profitability with EBIT margins at 1.6%. Moody's do not anticipate end markets to recover meaningfully over the course of 2026, which will leave credit metrics at similar levels. The company's very good liquidity, including high cash balances and nearly full revolver availability, and a net cash position on a funded debt basis represent credit strengths and support the B2 rating. The stable outlook reflects BlueLinx' very good liquidity with solid cash balances, and a net cash position on a funded debt basis. Moody's expects the company to continue to exercise a disciplined approach to acquisitions and share repurchases. RATINGS RATIONALE BlueLinx' B2 CFR reflects: 1) the company's solid market position as a two-step distributor of building products with a national reach; 2) focus on specialty building products that typically represent about 70% of revenue and 80% of gross profit, and carry higher gross margins; 3) cash coverage of debt including property financing leases of 0.5x at April 04, 2026 and the company's financial policy with publicly stated target net debt leverage of around 2.0x; 4) a very good liquidity position with good cash balances, positive annual free cash flow and undrawn revolving credit facility; and 5) focus on efficient working capital management and prudent approach to capital expenditures. The rating is constrained by: 1) low EBIT margins inherent to the distribution nature of the business and current weakness from the soft end markets as well as the volatility of margins caused by the commodity-based variability in product pricing; 2) competitive landscape of the building products distribution business in a fragmented market with low barriers to entry; 3) high debt to EBITDA of 6.7x due to eroding profitability; 4) risk of shareholder-friendly returns given the company's share repurchase authorization and risks related to potential acquisitions, although Moody's expects a disciplined approach; and 5) cyclicality of the residential and commercial end markets and the associated volatility in demand. BlueLinx' Speculative Grade Liquidity rating of SGL-1 reflects Moody's expectations that the company will maintain very good liquidity over the next 12 to 15 months. Liquidity is supported by a good cash balance of $319 million at April 04, 2026, nearly full availability under its $350 million ABL revolving credit facility due August 2030, flexibility under the springing fixed charge coverage financial covenant, and Moody's expectations for modest positive free cash flow in 2026. ENVIRONMENTAL, SOCIAL, GOVERNANCE CONSIDERATIONS Governance consideration was a key driver of the rating action. Moody's changed the company's governance risk score to G-4 from G-3 due to elevated financial risk from high leverage and weak interest coverage in the face of weak end market conditions. Moody's also changed the company's credit impact score (CIS) to CIS-4 from CIS-3, indicating the rating is lower than it would have been if ESG risk exposures did not exist. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if the company demonstrates improvements in its credit metrics, namely generates EBIT margins sustainably above 4%, while operating with debt to EBITDA below 5.0x and EBITDA to interest coverage above 3.0x through industry cycles, and maintains good liquidity. The ratings could be downgraded if the company's liquidity weakens meaningfully or if cash coverage of debt declines, if debt to EBITDA is sustained above 6.0x and EBITDA to interest coverage is below 2.0x, or if the company's financial policies become more aggressive either in terms of large-scale debt funded acquisitions or shareholder returns. The principal methodology used in these ratings was Distribution and Supply Chain Services published in November 2025. 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. BlueLinx Holdings Inc., headquartered in Atlanta, Georgia, is a two-step wholesale distributor of building products for residential and commercial markets in the US. The company's product categories include lumber, panels, engineered wood, siding, millwork, and metal building products. Through approximately 60 locations, BlueLinx serves about 15,000 customers across 50 states. In the last 12 months ended April 04, 2026, the company generated $3.0 billion in revenue. BOWERY SHED: Case Summary & Five Unsecured Creditors ---------------------------------------------------- Debtor: Bowery Shed LLC 6 W. 14th Street, 2nd Flr. New York, NY 10011 Business Description: Bowery Shed LLC owns and manages a real estate unit at 354 Bowery, Unit 3, in New York, New York, with an estimated value of $1.4 million. Chapter 11 Petition Date: May 19, 2026 Court: United States Bankruptcy Court Southern District of New York Case No.: 26-11182 Judge: Hon. John P Mastando III 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 Total Assets: $2,098,600 Total Liabilities: $2,782,347 The petition was signed by Anthony M. Marano as manager. A full-text copy of the petition, which includes a list of the Debtor's five unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/XYT262Q/Bowery_Shed_LLC__nysbke-26-11182__0001.0.pdf?mcid=tGE4TAMA BRIGHT MOUNTAIN: Net Loss Cuts 60% in Q1 2026; Warns of Cash Crunch ------------------------------------------------------------------- Bright Mountain Media, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $1.3 million for the three months ended March 31, 2026, an improvement of 60% compared to a net loss of $3.2 million for the same period of 2025. Revenue was approximately $14.0 million, a slight decrease of $227,000, or 2%, compared to $14.2 million for the same period of 2025. Advertising technology revenue was approximately $6.6 million, digital publishing revenue was approximately $281,000, consumer insights revenue was approximately $5.0 million, creative services revenue was approximately $2.0 million, and media services revenue was approximately $12,000, during the first quarter of 2026. Cost of revenue was approximately $9.7 million, a decrease of $264,000, or 3%, compared to $9.9 million for the same period of 2025. Cost of revenue is inclusive of: direct salary and labor costs of approximately $371,000 for employees that work directly on customer projects; direct project costs of approximately $1.2 million for payments made to third-parties that are directly attributable to the completion of projects to allow for revenue recognition; non-direct project costs of approximately $2.4 million; publisher costs of approximately $4.9 million, and sales commissions of approximately $344,000. General and administrative expense was $2.6 million, a decrease of 43%, compared to $4.5 million for the same period of 2025. Gross margin remained consistent at $4.3 million for both the first quarter of 2026 and the first quarter of 2025. Going Concern and Liquidity Historically, the Company has incurred losses, which have resulted in an accumulated deficit of approximately $181.6 million as of March 31, 2026. Cash flows used in operating activities were $196,000 and $350,000 for the three months ended March 31, 2026 and 2025, respectively. As of March 31, 2026, the Company had a working capital deficit of approximately $96.2 million, inclusive of $594,000 in cash and cash equivalents and $1.9 million in restricted cash. The Company's ability to continue as a going concern is dependent upon its ability to meet its liquidity needs through a combination of factors. The Company is currently exploring several strategic alternatives, including restructuring or refinancing its debt, or seeking additional debt, including borrowing under the Centre Lane Senior Secured Credit Facility, or raising equity capital. The ability to access the capital markets depends, in part, upon the volume and market price of the Company's stock, which cannot be assured. Other measures include reducing or delaying certain business activities, and reducing general and administrative expenses, including a reduction in headcount. The ultimate success of these plans is not guaranteed. The Company's current cash and working capital, as of the filing of its Quarterly Report on Form 10-Q, is not expected to be sufficient to fund its anticipated level of operations over the next twelve months. As a result, such matters create a substantial doubt regarding the Company's ability to meet its financial obligations and continue as a going concern. Management Comments "Q1 2026 underscores the strength and resilience of Bright Mountain's operating model," said Matthew Drinkwater, CEO of Bright Mountain Media. "Our diversified portfolio enables us to efficiently allocate capital toward our highest-momentum advertising technology assets while continuing to invest in product innovation across our marketing technology platform. This intentional balance supports consistent performance, improves operating leverage, and positions the company to generate sustainable value as individual businesses scale and mature." "The 60% year-over-year improvement in net loss highlights our focus on operating discipline and margin progression, while reinforcing the strategic advantage of pairing complementary AdTech and MarTech capabilities within a single platform. We are building a foundation designed to perform across market cycles and support long-term shareholder value creation." "At the same time, we see a meaningful opportunity to differentiate ourselves through proprietary AI. After extensive evaluation of third‑party solutions in the market, we believe there is a clear gap in what today's AdTech and MarTech companies need. As a result, we have chosen to invest internally to develop our own AI-driven capabilities. We're encouraged by early progress and look forward to updating investors as these initiatives begin to contribute to growth and competitive positioning in the coming quarters." A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/4h8a2xhb About Bright Mountain Bright Mountain Media, Inc. (together with its wholly-owned subsidiaries) is an end-to-end marketing services company that helps brands with the right audiences, at the right time, with the right message, both effectively and efficiently by removing the middlemen in the marketing workflow. The Company's end-to-end offerings combine consumer insights with creative services, media services, and advertising technology to deliver solutions to improve audience fidelity for brands. The Company focuses on digital publishing, advertising technology, consumer insights, creative services, and media services. New York, New York-based WithumSmith+Brown, PC, the Company's auditor since 2021, issued a "going concern" qualification in its report dated March 24, 2026, attached to the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2025. The report cited that the Company has suffered recurring losses from operations and has a net capital deficiency that raise substantial doubt about its ability to continue as a going concern. As of March 31, 2026, the Company had $37.3 million in total assets, $115.2 million in total liabilities, and $77.29 million in total stockholders' deficit. BROADBAND INFRASTRUCTURE: Seeks Cash Collateral Access ------------------------------------------------------ Broadband Infrastructure, Inc. asks the U.S. Bankruptcy Court for the District of South Carolina for authority to use cash collateral and provide adequate protection. The Debtor could not obtain unsecured financing under Section 364 of the Bankruptcy Code and, therefore, seeks court approval to use cash collateral consisting of receivables, project proceeds, and other operating income subject to lenders' liens. The Debtor plans to use cash collateral only for ordinary business operations and restructuring expenses, while providing secured lenders with financial reports and records upon request. Broadband Infrastructure's secured debt structure involves multiple lenders that claim liens against substantially all of its assets. The first major secured creditor is the U.S. Small Business Administration, which issued a $500,000 Economic Injury Disaster Loan in May 2020 secured by a blanket lien on nearly all tangible and intangible assets, including inventory, equipment, accounts receivable, deposit accounts, software, and proceeds. Another significant lender is Coastal Carolina National Bank, which provided a $1 million revolving commercial loan in November 2023 secured by inventory and accounts receivable. The Debtor also borrowed $850,000 from Parsonex Special Solutions Fund, LLC, secured by accounts receivable, contract rights, equipment, and general intangibles. Additional financing came from Courtyard Holdings, LLC, which loaned the Debtor $1.5 million in February 2025 and obtained blanket liens against all assets, including trucks, trailers, trenchers, and other heavy equipment. The filing notes that Courtyard Holdings later filed another UCC financing statement in June 2025 reaffirming its secured interest. The Debtor also borrowed $250,000 from Doug2, Inc. secured by receivables, and $125,000 from Alpha Equity Fund, LLC secured by accounts receivable and related payment rights. In addition, a January 2025 UCC filing by Lien Solutions references an unidentified creditor claiming a blanket lien on essentially all assets of the Debtor. The Debtor's business provides services including structured cabling, underground telecom infrastructure, fiber infrastructure, audiovisual solutions, enterprise communications systems, security systems, and wireless infrastructure projects. It operates from a facility in Greer, South Carolina, but does not own real estate. Instead, its assets primarily consist of receivables, equipment, inventory, and other business-related property. The Debtor filed bankruptcy on April 27 to stop escalating creditor actions and to create an opportunity to negotiate a sale of its assets while preserving operations. A court hearing is scheduled for May 27. A copy of the motion is available at https://urlcurt.com/u?l=fUVjlA from PacerMonitor.com. About Broadband Infrastructure Inc. Broadband Infrastructure, Inc. provides turnkey telecommunications infrastructure solutions for inside and outside plant projects across the eastern United States, offering services including fiber optic splicing and terminations, structured cabling, security and access control, 5G, DAS and Small Cell, long-haul, and overbuild fiber construction. It serves industrial, commercial, education, government, and healthcare markets, working alongside general and electrical contractors to deliver integrated network solutions. Managed by industry veterans with over 100 years of combined experience, Broadband Infrastructure designs, builds, and activates networks that connect end users through service providers. Broadband Infrastructure sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. S.C. Case No. 26-01828) on April 27, 2026, with between $1 million and $10 million in both assets and liabilities. Braddock Cunningham, president of Broadband Infrastructure, signed the petition. Judge Helen E. Burris oversees the case. Robert Pohl, Esq., at Pohl Bankruptcy, LLC, represents the Debtor as legal counsel. CAMBER ENERGY: Q1 2026 Loss Narrows to $1.7MM; Doubt Warning Stands ------------------------------------------------------------------- Camber Energy, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $(1,717,372) for the three months ended March 31, 2026, as compared to a net loss of $(3,191,653) for the three months ended March 31, 2025. The loss for the three months ended March 31, 2026, was comprised of, among other things, certain non-cash items, including: (i) amortization of debt discount of ($793,381), and; (ii) a gain on change in fair value of investment of $107,234. The Company did not generate any revenue in the three months ended March 31, 2026. At March 31, 2026, the Company had stockholders' deficit of $45,086,094, long-term debt, net of current, of $152,715 and a working capital deficiency of $61,216,158. The largest components of current liabilities creating this working capital deficiency was current portion of long-term debt of $45,541,300, accrued interest of $8,474,849, amounts due to related parties of $1,338,330, and related party accounts payable of $2,032,000. These conditions raise substantial doubt regarding the Company's ability to continue as a going concern. The Company's ability to continue as a going concern is dependent upon its ability to utilize the resources in place to generate future profitable operations, to develop additional acquisition opportunities, and to obtain the necessary financing to meet its obligations and repay its liabilities arising from business operations when they come due. Management believes the Company may be able to continue to develop new opportunities and may be able to obtain additional funds through debt and / or equity financings to facilitate its business strategy; however, there is no assurance of additional funding being available. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/4885f57j About Camber Energy Camber Energy, Inc. is a growth-oriented diversified Company with interests in innovative, industry-changing or industry-leading technologies, as well as an interest in a Company that provides custom energy and power solutions to commercial and industrial clients in North America. Its existing portfolio of innovative technologies includes: (i) a majority interest in an entity with intellectual property rights to a fully developed, patented, proprietary medical and bio-hazard waste treatment system using ozone technology; and (ii) a majority interest in entities with the intellectual property rights to fully developed, patented and patent pending, proprietary electric transmission and distribution broken conductor protection systems, and a license to a patented clean energy and carbon-capture system with exclusivity in Canada and for multiple locations in the United States. Dallas, Texas-based Turner, Stone & Company, L.L.P., the Company's auditor since 2019, issued a "going concern" qualification in its report dated March 30, 2026, citing that the Company expects to continue incurring operating losses and generating negative cash flows from operations for the foreseeable future. Additionally, the Company has a significant working capital deficiency, accumulated deficit and net loss for the year. These conditions raise substantial doubt about its ability to continue as a going concern. As of March 31, 2026, the Company had $30,090,718 in total assets, $75,176,812 in total liabilities, and $45,086,094 in total stockholders' deficit. CARE FOR THE ELDERLY: Available Cash and Income to Fund Plan ------------------------------------------------------------ Care for the Elderly, Inc. filed with the U.S. Bankruptcy Court for the Central District of California a Plan of Reorganization under Subchapter V dated May 11, 2026. For the past 31 plus years, the Debtor has owned and operated a highly regulated, skilled nursing facility known as Grand Park Convalescent Hospital (the "Facility Business"), in a commercial building located at 2312 W 8th Street, Los Angeles, CA 90057 (the "Real Property") it has occupied under a lease dated November 15, 1994, as amended (the "Facility Lease"). This Plan is conditioned on the assumption that the Debtor will continue to be able to operate its 151-bed skilled nursing facility (the "Facility") either because the Debtor has prevailed in the unlawful detainer proceeding pending between the Debtor and its landlord, the Debtor settles with its landlord and the settlement provides for the Debtor to continue to operate the Facility, or the Bankruptcy Court authorizes the Debtor to continue to operate the Facility during the term of the Plan. Under that premise, the Plan provides an excellent result for the Holders of Allowed Claims because the Plan proposes to pay the Holders of Allowed Claims in full. To the extent the Debtor is unable to continue to operate the Facility as a result of a finding that the lease extension between the Debtor and its landlord is not valid, the Debtor may either: (1) amend the Plan to take into account such a result and recoveries to creditors under such an amended Plan could drastically change as a result; (2) seek dismissal of the bankruptcy case; or (3) convert its case to chapter 7. The Debtor believes it will prevail in the unlawful detainer trial and prove that it is still within its agreed upon lease term. The unlawful detainer trial is presently scheduled to commence in August 2026. To the extent the Debtor does not prevail, this Plan will need to be amended to take into account such a scenario and further developments will need to occur with respect to an adjudication of the Debtor's and its landlord's rights and remedies, before the Debtor will be able to propose Plan amendments that take into account that scenario. The Debtor projects that, to the extent this Plan proceeds to confirmation and is confirmed, the Effective Date of this Plan will occur during the fourth quarter of 2026, first quarter of 2027, at which point the Debtor projects it will have funds available to pay all Allowed Claims in full, provided that, to the extent the Debtor does not have sufficient funds on the Effective Date, all of the projected disposable income of the Debtor to be received in the up to three-year period after the Effective Date, commencing during the first full month after the Effective Date, will be applied to make payments under this Plan until Allowed Claims are paid in full. Class 4 consists of Allowed General Unsecured Claims. Allowed General Unsecured Claims will be paid in full on the Effective Date of the Plan, provided that to the extent the Debtor does not have sufficient funds on the Effective Date, all of the projected disposable income of the Debtor to be received in the up to three-year period after the Effective Date, commencing during the first full month after the Effective Date, will be applied to make payments under this Plan until Allowed Claims are paid in full. The allowed unsecured claims total $2,926,970.13 to $7,372,540.55. Class 4 is Unimpaired, provided that to the extent the Debtor does not have sufficient funds on the Effective Date to pay all Allowed General Unsecured Claims in full, Class 4 shall be deemed to be impaired. Class 5 consists of Barry Kohn, who owns 100% of the Equity Interests in the Debtor. On the Effective Date, Mr. Kohn will retain his 100% ownership of the Equity Interests in the Debtor. This Plan will be funded from the Debtor's cash on hand on the Effective Date and to the extent necessary and until the payment in full of Allowed Claims, all of the projected disposable income of the Debtor to be received during the three-year period commencing on the first month after the Effective Date. The Debtor projects that it will have sufficient cash on hand on the Effective Date to pay all Allowed Claims as provided in this Plan. A full-text copy of the Plan of Reorganization dated May 11, 2026 is available at https://urlcurt.com/u?l=HfUm7A from PacerMonitor.com at no charge. Counsel to the Debtor: Ron Bender, Esq. Beth Ann R. Young, Esq. Monica Y. Kim, Esq. Krikor J. Meshefejian, Esq. LEVENE, NEALE, BENDER, YOO & GOLUBCHIK L.L.P. 2818 La Cienega Avenue Los Angeles, CA 90034 Telephone: (310) 229-1234 Facsimile: (310) 229-1244 Email: rb@lnbyg.com; bry@lnbyg.com; myk@lnbyg.com; kjm@lnbyg.com About Care for the Elderly Inc. Care for the Elderly, Inc. specializes in services and programs for seniors, including the management of facilities and initiatives that promote health, safety, and quality of life. The company adheres to the regulations governing healthcare and elder care providers. Care for the Elderly, Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-10221) on January 11, 2026. In its petition, the Debtor reported estimated assets in the range of $10 million to $50 million and estimated liabilities between $1 million and $10 million. The Honorable Bankruptcy Judge Barry Russell handles the case. The Debtor is represented by Ron Bender, Esq., at Levene, Neale, Bender, Yoo & Golubchik L.L.P. Tamar Terzian is the patient care ombudsman appointed in the Debtor's case. CIMG INC: Fiscal Q2 Loss Jumps to $15.4M; Liquidity Concerns Loom ----------------------------------------------------------------- CIMG, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $15.4 million for the three months ended March 31, 2026, compared to a net loss of $385,556 for the same period in the prior year. For the six-month period ended March 31, 2026, the Company reported a net loss of $34.9 million, compared to a net loss of $1.9 million in the corresponding prior-year period. Revenues for the three months ended March 31, 2026 were $3.2 million, compared to no revenue in the prior-year period. Revenues for the six months ended March 31, 2026 increased to approximately $19 million from $22,853 in the same period of the prior year. Liquidity and Capital Resources Since the Company's inception in 2011, it has incurred significant losses, and as of March 31, 2026, had an accumulated deficit of approximately $122.10 million. The Company has not yet achieved profitability and anticipates that it will continue to incur significant sales and marketing expenses prior to recording sufficient revenue from its operations to offset these expenses. In the United States, the Company expects to incur additional losses because of the costs associated with operating as an exchange-listed public company. The Company is unable to predict the extent of any future losses or when it will become profitable, if at all. As of the date of this Report, the Company has funded its operations primarily through proceeds from registered public offerings and private placements of its Common Stock. The Company's principal uses of cash include funding operations, product commercialization and development activities, administrative support, and working capital requirements. As of March 31, 2026, the Company had a cash balance of $17,025 and has incurred recurring net losses. These conditions raise substantial doubt about the Company's ability to continue as a going concern for a period of at least 12 months from the date of this Report. Management has evaluated the Company's ability to continue as a going concern by considering its current cash resources, the value of its digital assets, and its expected operating expenses over the next 12 months. Management's plans to alleviate the conditions giving rise to substantial doubt include seeking additional funding through public or private equity financings, equity-linked instruments, or other capital-raising activities. The timing and availability of such funding are subject to market conditions and other factors, including the potential exercise of outstanding warrants by warrant holders. There can be no assurance that such financing will be available on acceptable terms, or at all. Accordingly, management has concluded that substantial doubt about the Company's ability to continue as a going concern has not been alleviated. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/28mvhxc8 About CIMG Inc. CIMG is a business group specializing in digital health and sales development, with a cryptocurrency-focused strategy. The Company leverages AI and cryptocurrencies (such as Bitcoin and stablecoins) to drive business growth, helping clients maximize user growth and enhance brand management value. The Company's current client portfolio includes brands such as Kangduoyuan, Maca-Noni, Qianmao, Huomao, and Coco-mango. Singapore-based Assentsure PAC, the Company's auditor since 2025, issued a "going concern" qualification in its report dated February 13, 2026, attached to the Company's Annual Report on Form 10-K for the fiscal year ended September 30, 2025, citing that the Company has experienced recurring losses from operations and negative working capital, which raises substantial doubt about its ability to continue as a going concern. As of March 31, 2026, the Company had $53.2 million in total assets, $12.1 million in total liabilities, and $41.1 million in total stockholders' equity. CLAROS MORTGAGE: Andrew Silberstein Retires ------------------------------------------- Claros Mortgage Trust, Inc. announced in a regulatory filing that Andrew Silberstein advised the Board of Directors of his resignation from the Board, effective May 11, 2026. Mr. Silberstein was originally appointed to the Board pursuant to Almanac Realty Investors' right to designate one director to the Board for so long as its affiliate owns 4.9% or more of the outstanding shares of common stock. Almanac Realty Investors is a business unit of NB Alternatives Advisers LLC. Mr. Silberstein's resignation from the Board is in connection with his retirement from Almanac. Mr. Silberstein's resignation is not the result of any disagreement with the Company on any matter relating to the Company's operations, policies, or practices. The Company thanks Mr. Silberstein for his dedicated service on the Board. On May 11, 2026, the Board appointed D. Pike Aloian to fill the vacancy created by Mr. Silberstein's resignation upon the request of Almanac pursuant to the Designation Right. Mr. Aloian was appointed to serve until the 2026 Annual Meeting of Stockholders to be held on June 3, 2026 and until his successor is duly elected and qualified. Pursuant to the Designation Right, the Board has nominated Mr. Aloian for reelection at the Annual Meeting and the Company intends to file a supplement to the definitive proxy statement it filed on April 22, 2026 to reflect Mr. Aloian as a substitute nominee for reelection at the Annual Meeting to replace Mr. Silberstein. Except for Mr. Aloian's appointment as the new Almanac designee pursuant to the Designation Right, there are no other arrangements or understandings between Mr. Aloian and any other person pursuant to which Mr. Aloian was selected as director. There are no transactions in which Mr. Aloian has an interest requiring disclosure under Item 404(a) of Regulation S-K. Mr. Aloian joined Almanac in 1988 as Managing Director and transitioned to a senior advisor role in 2025, responsible for representing Almanac on the boards of Merritt Properties, LLC since 1997, Sherman Associates Ventures since 2020, and Key Real Estate Company since 2021. He has also served on the board of EastGroup Properties (NYSE:EGP) since 1999. He previously served on the boards of Welcome Group, LLC from 2019 to 2025, Klein Enterprises from 2021 to 2025, Brandywine Realty Trust (NYSE:BDN) from 1999 to 2012, and CRT Properties, Inc. (NYSE:CRO) from 1993 to 2005. Prior to joining Almanac in 1988, he was a vice president at The Harlan Company, where he was responsible for property acquisition, development and financing. He has also previously served as an adjunct professor of the Columbia University Graduate School of Business. Mr. Aloian graduated from Harvard College in 1976 and received an MBA from Columbia University in 1980. The Company expects to enter into its standard form of indemnification agreement for officers and directors with Mr. Aloian. About Claros Mortgage Trust Inc. Claros Mortgage Trust Inc. -- https://www.clarosmortgage.com/ -- is a real estate investment trust that is focused primarily on originating senior and subordinate loans on transitional commercial real estate assets located in major markets across the U.S. CMTG is externally managed and advised by Claros REIT Management LP, an affiliate of Mack Real Estate Credit Strategies, L.P. As of December 31, 2025, the Company had $4.7 billion in total assets, $3.2 billion in total liabilities, and $1.5 billion in total stockholders' equity * * * On Feb. 4, 2026, S&P Global Ratings raised its issuer credit rating on Claros Mortgage Trust Inc. to 'CCC+' from 'CCC'. The outlook was stable. S&P subsequently withdrew its rating at the issuer's request. Claros' repayment of its term loan B due in August 2026 alleviates near-term refinancing risk. On Feb. 2, 2026, the company announced that it closed on a new $500 million, four-year secured term loan credit facility. The loan was provided by investment funds and accounts managed by HPS Investment Partners LLC. . . S&P said, "At the time of the rating withdrawal, the stable outlook reflected our expectation that despite alleviated near term refinancing risk, we believe asset quality remains weak, and Claros has a significant number of challenged investments to work through. Additionally, while modified covenants as part of the transaction provide near-term cushion, we continue to have concerns about the company's interest coverage covenant over the medium-term (it begins to be tested again starting Sept. 30, 2027)." CLEAR CHANNEL: Stockholders OK Mubadala-TWG Acquisition ------------------------------------------------------- Clear Channel Outdoor Holdings, Inc. held a special meeting of stockholders at which the stockholders voted to approve the Company's pending acquisition by an investor consortium comprised of affiliates and/or certain investment funds advised by Mubadala Capital, in partnership with TWG Global. As of the close of business on April 6, 2026, the record date for the Special Meeting, there were 506,416,345 shares of the Company's common stock, par value $0.01 per share, outstanding and entitled to vote at the Special Meeting, each of which was entitled to one vote per share with respect to each proposal voted on at the Special Meeting. A total of 411,434,631 shares of Company Common Stock were present or represented by proxy at the Special Meeting, representing approximately 81.24% of the outstanding shares of Company Common Stock entitled to vote, which constituted a quorum to conduct business at the Special Meeting. At the Special Meeting, the Company's stockholders voted on the proposals below, which are described in detail in the definitive proxy statement on Schedule 14A related to the Special Meeting that was filed by the Company with the Securities and Exchange Commission on April 13, 2026. There were no recorded broker non-votes. The final results for the votes cast regarding each proposal are: Proposal 1 - The Merger Proposal To adopt the Agreement and Plan of Merger, dated as of February 9, 2026 (as it may be amended, supplemented or otherwise modified from time to time, the "Merger Agreement"), by and among the Company, Madison Parent Inc., a Delaware corporation ("Parent"), and Madison Merger Sub Inc., a Delaware corporation and a wholly owned subsidiary of Parent ("Merger Sub"). Pursuant to the terms of the Merger Agreement, Merger Sub will be merged with and into the Company, with the Company continuing as the surviving corporation and as a wholly owned subsidiary of Parent (the "Merger"). The following votes were cast at the Special Meeting (in person or by proxy) and the proposal was approved: FOR: 410,785,278 AGAINST: 509,639 ABSTAIN: 139,714 Proposal 2 - The Advisory Compensation Proposal To approve, on an advisory, non-binding basis, the specified compensation that will or may be paid or may become payable to the Company's named executive officers in connection with the Merger. The following advisory votes were cast at the Special Meeting (in person or by proxy) and the non-binding proposal was approved: FOR: 376,601,662 AGAINST: 34,663,692 ABSTAIN: 169,277 The proposal to approve the adjournment of the Special Meeting to a later date or dates, if necessary or appropriate, to solicit additional proxies for the Merger Proposal if there are insufficient votes at the time of the Special Meeting to approve the Merger Proposal, was not voted upon at the Special Meeting as a quorum was present and there were sufficient votes cast to approve the Merger Proposal. No other business properly came before the Special Meeting. About Clear Channel Outdoor Holdings, Inc. Clear Channel Outdoor Holdings, Inc. (NYSE: CCO) is at the forefront of driving innovation in the out-of-home advertising industry. Clear Channel's dynamic advertising platform is broadening the pool of advertisers using its medium through the expansion of digital billboards and displays and the integration of data analytics and programmatic capabilities that deliver measurable campaigns that are simpler to buy. By leveraging the scale, reach and flexibility of Clear Channel's diverse portfolio of assets, it connects advertisers with millions of consumers every month. * * * In Feb. 2026, S&P Global Ratings placed all its ratings on Clear Channel Outdoor Holdings Inc. (CCOH), including the 'CCC+' Company credit rating, on CreditWatch with positive implications. S&P expects to resolve the CreditWatch at the close of the transaction. At that time, it will likely raise its rating by at least one notch based on its expectation of positive free operating cash flow (FOCF) going forward. CCOH's announced that it will be acquired by a group of investors through a take-private transaction. Moreover, Moody's Ratings has placed all of Clear Channel Outdoor Holdings, Inc.'s credit ratings on review for upgrade including the Caa1 corporate family rating, Caa1-PD probability of default rating, the B2 senior secured notes and senior secured bank credit facilities ratings (including the revolving credit facility (RCF) and Term Loan B (TLB)), and the Caa3 senior unsecured notes ratings. Previously, the outlook was stable. The company's SGL-2 Speculative Grade Liquidity Rating (SGL) remains unchanged. COAST CAPITAL: DBRS Confirms BB(high) on NVCC Subordinated Debt --------------------------------------------------------------- DBRS Limited (Morningstar DBRS) confirmed Coast Capital Savings Federal Credit Union's (Coast Capital or the Credit Union) credit ratings, including its Long-Term Issuer Rating of BBB (high) and Short-Term Issuer Rating of R-1 (low). The trend on all credit ratings is Stable. Coast Capital's Intrinsic Assessment (IA) was maintained at BBB (high) while its Support Assessment is SA3, which reflects no expectation of timely systemic support. As a result, the Credit Union's Long-Term Issuer Rating is equivalent to its IA. Ratings Debt Rated Rating Action ---------- ------ ------ Long-Term Issuer Rating BBB(high) Confirmed Short-Term Issuer Rating R-1(low) Confirmed Long-Term Senior Debt BBB(high) Confirmed Short-Term Instruments R-1(low) Confirmed NVCC Subordinated Debt BB(high) Confirmed Subordinated Debt BBB Confirmed KEY CREDIT RATING CONSIDERATIONS The credit rating confirmations and Stable trends reflect Coast Capital's strong franchise in its main footprint areas and increased scale as a result of the merger with Prospera Credit Union (Prospera) and Sunshine Coast Credit Union (Sunshine), which was completed on May 6, 2026. The combined Credit Union has nearly $41 billion in assets under administration, 2,500 employees, more than 730,000 members, and over 70 branches across British Columbia (B.C. or the Province; rated AA with a Stable trend). Morningstar DBRS notes that the completed merger will have a limited impact on Coast Capital's credit profile in the short term, but the merger is expected to create cost synergies and better position the Credit Union for a national expansion, with the merged entity maintaining a broadly similar risk and credit profile to that of Coast Capital. Additionally, the Credit Union's funding and liquidity position and capital levels are good, comparable with other credit union peers. The credit ratings also consider Coast Capital's weakened profitability and credit quality metrics amid a challenging operating environment. Although credit quality has modestly deteriorated over the past two years, delinquencies remain manageable. Further, Morningstar DBRS views Coast Capital's limited experience in merger transactions and post-merger integration as potentially posing challenges, particularly in terms of operational risk. Additionally, Morningstar DBRS remains concerned about heightened geopolitical tensions and lingering tariff-related macroeconomic uncertainty, including the pending review of the Canada-United States-Mexico Agreement. This, coupled with challenges in residential construction and a soft housing market, could affect industries critical to the Canadian economy, particularly in B.C., where Coast Capital has concentration risk given its relatively large exposure to commercial real estate and construction. Coast Capital's IA of BBB (high) has been assigned at the midpoint of the IA Range, as Morningstar DBRS views the Credit Union's credit fundamentals and performance as commensurate with those of similarly rated peers. CREDIT RATING DRIVERS Morningstar DBRS would upgrade the credit ratings if the Credit Union were to materially strengthen its franchise through increased scale and an increase in membership leading to a sustained improvement in earnings, while maintaining a similar risk profile. Conversely, Morningstar DBRS would downgrade Coast Capital's credit ratings if there were significant operational issues with the merger integration. In addition, Morningstar DBRS would downgrade the credit ratings if sustained weaker earnings metrics were to become more commensurate with those of lower-rated peers, or if there were a sustained deterioration in asset quality. CREDIT RATING RATIONALE Franchise Combined Building Block Assessment: Good/Moderate Following completion of the merger, Coast Capital is now the largest credit union in Canada by total assets, with over $31 billion combined on-balance sheet assets (using year-end 2025 figures), more than 730,000 members and 70 branches in the Lower Mainland, Vancouver Island, the South Sunshine Coast, and the Okanagan. The combined Credit Union offers a retail and small business commercial product suite and has both a digital platform and a national presence through its commercial leasing subsidiaries: Coast Capital Equipment Finance Ltd. and Coast Capital Auto & Equipment Finance Ltd. The combined Credit Union is expected to benefit from the increased scale and enhanced digital banking technology and tools, supporting members and businesses with any future expansion outside B.C. Earnings Combined Building Block Assessment: Moderate/Weak Coast Capital's standalone earnings have been under pressure in recent years as a result of liabilities repricing faster than assets. In 2025, net income improved slightly to $17 million from $15 million in the prior year, representing a return on average assets of 0.07%, unchanged from 2024, according to Morningstar DBRS' calculation. Earnings were driven by revenue growth, partially offset by higher expenses, which were up by 5% year over year (YOY) partly due to merger-related expenses ($6.1 million). Provision for credit losses was stable at $45 million and continued to be driven by delinquencies and write-offs with respect to the equipment finance portfolio amid a challenging environment within the sector. Additionally, revenue grew by 5.4% YOY in 2025, driven by the increases from both net interest income and noninterest income. The increase in net interest income was driven by considerably lower interest expense as a result of several interest rate cuts by the Bank of Canada (BoC). Noninterest income had a healthy 6.6% YOY growth in 2025, reflecting higher wealth management fees, and accounted for nearly 25% of total revenue. The efficiency ratio improved slightly to 85.8% in 2025 (as calculated by Morningstar DBRS) because of revenue growth, but remains at the high end of the peer average. Morningstar DBRS expects Prospera and Sunshine Coast to be positive earnings contributors, albeit still highly reliant on net interest income. We expect the combined Coast Capital's efficiency ratio to increase in the near term due to merger-related expenses and continued technology investment, but to potentially improve over the longer term due to operating efficiency and cost synergies. Risk Combined Building Block Assessment: Good/Moderate The asset quality of the Credit Union remained good with loan losses at manageable levels. In 2025, Coast Capital continued to grow its loan book by a moderate 1.8% YOY to $19.4 billion, driven by all business segments except for commercial lending, which was affected by the lower demand for large development project financing. The deterioration of the gross impaired loans ratio to 0.77% in 2025 from 0.66% in the prior year was largely driven by the retail and commercial portfolios, reflecting the continued pressures from the operating environment. The underlying assets of the equipment finance portfolio remained under pressure due to lower demand and rising operating expenses, particularly in the owner-operated trucking segment. Nonetheless, it accounted for only 5.3% of the total loan book as of December 31, 2025. Overall, Morningstar DBRS expects credit quality metrics to continue to deteriorate due to uncertainty in the macroeconomic environment from U.S. tariff threats and the trade war. The combined entity will have a broadly similar risk profile to that of Coast Capital standalone, with Prospera and Sunshine Coast having a higher exposure to retail loans, primarily comprising mortgages. Funding and Liquidity Combined Building Block Assessment: Strong/Good Coast Capital's funding remains resilient with prudent levels of liquidity, and unlike provincial credit unions, it has direct access to BoC contingency liquidity programs. The Credit Union is funded largely through member-sourced deposits, which Morningstar DBRS views as stable. Total deposits increased by 4.3% year over year to $19.3 billion in 2025, with the majority coming from retail and commercial members. Coast Capital has also been expanding the agency and institutional funding network to generate additional liquidity, accounting for nearly 25% of total deposits as of December 31, 2025, the majority of which are fixed-term, nonredeemable deposits. Morningstar DBRS views these deposits less favourably than member deposits. In addition, Coast Capital had around $1.6 billion in wholesale funding at the end of F2025, which included secured borrowing through the Canada Mortgage Bond program, deposit notes, short-term commercial paper, and subordinated debt. The Credit Union also has additional liquidity sources and contingency funding plans in place. According to Morningstar DBRS' calculation, the Credit Union's liquid assets stood at about 13.8% of total assets, while its liquidity coverage ratio stood at 204% as of year-end 2025, well above OSFI's 100% required minimum. Morningstar DBRS expects the combined entity to be primarily funded by member deposits, maintain good liquidity coverage ratios, and have access to various credit facilities. Capitalisation Combined Building Block Assessment: Good/Moderate Morningstar DBRS views the Credit Union's capital levels as good with a sufficient cushion over regulatory minimums. Coast Capital's Common Equity Tier 1 ratio stood at 12.8% as at December 31, 2025. At this level, it provides the Credit Union with a CET1 capital cushion of $646 million over the minimum regulatory requirement to absorb potential losses in the stressed environment. Morningstar DBRS expects the combined entity will continue to have an ample buffer above this higher minimum requirement. Additionally, the combined credit union, similar to peers, has limited flexibility to raise external capital because of their co-operative nature. ENVIRONMENTAL, SOCIAL, AND GOVERNANCE CONSIDERATIONS ESG Considerations had a relevant effect on the credit analysis. Social (S) Factors The following Social factor had a relevant effect on the credit analysis: Morningstar DBRS views the Social Impact of Products and Services ESG subfactor as credit positive for the credit ratings, but it does not affect the assigned credit ratings or trends. As a credit union, Coast Capital operates a membership-based community banking model where the social aspect of its activities strengthens its franchise. As a result, this factor is incorporated into the Credit Union's Franchise Strength grid grades. There were no Environmental/Governance factors that had a significant or relevant effect on the credit analysis. A description of how Morningstar DBRS considers ESG factors within the Morningstar DBRS analytical framework can be found in the Morningstar DBRS Criteria: Approach to Environmental, Social, and Governance Factors in Credit Ratings (May 16, 2025) https://dbrs.morningstar.com/research/454196 Notes: All figures are in Canadian dollars unless otherwise noted. CORE SCIENTIFIC I: Fitch Assigns 'BB-' LongTerm IDR, Outlook Stable ------------------------------------------------------------------- Fitch Ratings has assigned Core Scientific Finance I LLC's (Core Scientific I) proposed $3.3 billion senior secured notes a 'BB-' rating and the issuer a Long-Term Issuer Default Rating (IDR) of 'BB-'. The Rating Outlook is Stable. The ratings reflect a contracted, CoreWeave, Inc. (BB-/Positive) backed AI/high-performance computing data center platform with manageable completion risk. Cash flow during the initial lease term is sufficient to repay debt under Fitch's rating case assumptions, eliminating exposure to lease renewal risk. Licensing agreements cover five sites, with most having 12-year terms with two five-year extensions and 3.5% escalators; the Austin facility has a seven-year term and 3.0% escalator. The platform is fully pre-licensed to CoreWeave, supporting about 590 MW of critical IT load. The rating is constrained by CoreWeave's credit profile and the project's ability to raise more debt for an expansion or additional project, which is atypical for project finance structures. Conditions include a lease backed by a qualifying tenant or backstop, loan-to-cost below 85%, and for pari passu debt, maturity and weighted-average life limits. KEY RATING DRIVERS Completion Risk - Stronger Advanced Stage of Construction, Strong Contractual Protection Advanced construction and strong contractual protections support the completion risk assessment. Approximately 350 MW is energized, more than 185 MW is already billed and all long-lead items are secured. Core Scientific I has delivered on prior data center projects, providing a record of executing and delivering projects on time. The technical advisor has confirmed that the platform is largely operational (except the Dalton 4 facility), with procurement risk largely mitigated and most key equipment delivered. Delay risk is mitigated as the technical advisor indicates residual scope is limited across most sites and schedule changes partly reflect tenant-led specification revisions. The structure includes a parent completion guarantee, and a debt service reserve sized at about six months of post-construction debt service, which provides liquidity in case of completion delays. Although completion delays beyond 120 days can trigger termination, substantial construction progress mitigates this risk. Supply Risk - Midrange Diversified Grid Connectivity Sufficient The diversified supply base supports the 'Midrange' assessment, while interruptible arrangements and curtailment provisions at selected sites prevent a stronger assessment. The risk is mitigated by redundancies in transformer feeds to the facilities and the presence of back-up generators, although not fully sized to back up the entire IT load. The portfolio has 891 MW of secured grid capacity across five sites in Texas, Oklahoma, Georgia and North Carolina, supporting 590 MW of net critical IT capacity. Power is sourced from multiple providers across ERCOT, SPP and regional municipal utilities. Revenue Risk - Stronger Long-Term Contracted Cash Flow with Limited Renewal Risk The stronger revenue risk assessment is supported by five separate take-or-pay licensing agreements with CoreWeave — four 12-year agreements (Denton, Dalton, Muskogee, and Marble) with two five-year extension options and 3.5% annual escalators, and one seven-year agreement (Austin) with no extension options and a 3.0% escalator. CoreWeave is required to pay for contracted capacity regardless of utilization. Debt can fully amortize within the initial lease terms with no reliance on renewal under the Fitch rating case, supporting the 'Stronger' assessment. This is partially offset by single-tenant concentration risk and secondary market location. The tenant does not have termination rights for convenience. Operation Risk - Midrange Limited Operating Scope, Modified Gross Lease The assessment reflects material cost pass-throughs and limited operating scope, but the leases are modified gross with power costs passed on to CoreWeave. Core Scientific retains responsibility for certain licensor equipment and for security operations and maintenance in common areas and non-CoreWeave premises. Chronic service failures can trigger termination but redundant transformer feeds and some back-up generators mitigate this risk. Infrastructure Development & Obsolescence Risk - Neutral Modern Facilities with Low Medium-Term Maintenance Needs Exposure to technological obsolescence is limited, as debt can fully amortize within the lease term under Fitch's rating case. Fitch expects the useful life of the newly built facilities and the data centers' core mechanical and electrical systems to extend beyond the initial lease term, which reduces the likelihood of large capital needs. Debt Structure - 1 - Weaker Refinance Risk, Additional Debt Flexibility The $3.3 billion senior secured notes mature in 2031, creating refinancing risk, particularly given the sponsor's limited refinancing record. This is mitigated by amortization of the debt in the initial lease term under the Fitch rating case, a fully funded debt service reserve account (DSRA) sized to six months of debt service, and fully funded interest during construction. The notes are secured by first-priority liens on substantially all assets, contracts, grid connections and cash flows, with lease payments flowing through agent-controlled lockbox accounts. Debt provisions are weaker than typical for project finance structures. Permitted additional debt includes a 50% of NOI basket, ability to regear up to 100% loan to cost post-construction subject to a 1.1x debt service coverage ratio (DSCR) incurrence test, and ability to undertake additional projects. The lease, completion, and operating risk profiles of additional projects are unknown and could be substantially weaker than current projects. The issuer may undertake mergers or consolidations without rating affirmation or enter JVs. However, it cannot issue additional debt beyond permitted allowance. Peer Analysis The closest peers are Cipher Compute LLC (BB-/Stable), WULF Compute LLC (BB/Stable) and APLD ComputeCo LLC (BB-Stable). Unlike the ratings on Core Scientific I, those on WULF Compute and Cipher Compute are constrained by completion risk. Similar to the rating on Core Scientific I, APLD Compute's rating is constrained by debt raising flexibility and counterparty credit risk. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Construction delays that exceed allowable times as indicated in the lease terms, leading to potential tenant termination; - Degradation of the financial performance leading to sustained DSCR below 1.05x; - The rating could be downgraded if the expansion or additional project faces elevated completion risk from delays or cost overruns, or if the additional project has a tenant with weak credit quality; - Downgrade of CoreWeave's rating. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Positive rating action is unlikely due to the risk associated with the potential additional project of unknown lease term, completion and operating risk profile. Financial Profile The operating phase financial profile demonstrates strong performance post-completion for the current project. Under Fitch's rating case, which incorporates a 10% opex stress and assumes an 8% refinancing rate, the project life coverage ratio at refinancing in 2031 is 1.54x. The average DSCR through notes maturity is 1.13x. The rating remains constrained by the project's ability to raise additional debt, subject to a pro forma DSCR of at least 1.1x, and undertake additional projects. TRANSACTION SUMMARY Core Scientific Finance I LLC, an indirect wholly owned subsidiary of Core Scientific, Inc., is issuing $3.3 billion of senior secured notes maturing in 2031 at 7.75% per annum. Proceeds fund $2.9 billion of general corporate purposes, a DSRA funded with six months of debt service and net interest during construction, , and financing fees. While Fitch has received the executed financing and security documents, the mortgage has not yet been delivered. The indenture gives the issuer up to 180 days following closing to deliver the mortgage and related real estate deliverables. SECURITY First lien on all assets, contracts and cash flows of, and equity interests in the CoreWeave contracted sites. Date of Relevant Committee April 28, 2026 Climate Vulnerability Signals The results of its Climate.VS screener did not indicate elevated risk for Core Scientific Finance I LLC. 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 Prior ----------- ------ ----- Core Scientific Finance I LLC LT IDR BB- New Rating BB-(EXP) Core Scientific Finance I LLC/Senior Secured Debt/1 LT LT USD 3.3 bln 7.75% bond/note 15-May-2031 21874LAA0 LT BB- New Rating BB-(EXP) COREWEAVE INC: Fitch Affirms 'BB-' LongTerm IDR, Outlook Positive ----------------------------------------------------------------- Fitch Ratings has affirmed CoreWeave, Inc.'s Long-Term Issuer Default Rating (IDR) at 'BB-'. The Outlook is Positive. Fitch has also affirmed the 'BB-' rating and 'RR4' Recovery Rating on the company's unsecured notes and the 'BB+'/'RR2' rating on DDTL 5.0, a senior secured delayed-draw term loan borrowed by a subsidiary special-purpose vehicle. The affirmation and Positive Outlook reflect continued strong revenue growth, improving EBITDA and a path to deleveraging as capacity ramps under signed customer contracts, balanced against slower deleveraging and free cash flow (FCF) improvement than previously anticipated. The slower improvement reflects stronger-than-expected contract wins, which have required additional capacity investment, mostly funded with debt. The ratings remain constrained by high leverage, customer concentration and negative FCF during the current investment phase. Fitch has withdrawn the 'BB-'/'RR4' rating on the convertible notes for commercial reasons. Key Rating Drivers Credit Metrics to Improve: Fitch expects CoreWeave's credit profile to improve materially over the next two years, although leverage and FCF will remain weak in FY2026 during the current investment phase. Gross EBITDA leverage, excluding leases, increased to 7.0x in FY2025, and Fitch forecasts it will improve to about 5.2x in FY2026. Lease-adjusted gross leverage was 7.7x in FY2025, and Fitch forecasts it will improve to about 5.8x in FY2026. Over the medium term, EBITDA leverage excluding leases should improve to 2.0x-3.0x, while lease-adjusted leverage should improve to 3.0x-4.0x. The pace of deleveraging is linked to continued capacity investment following strong contract wins, with funding supported by debt and lease obligations. Fitch expects capital intensity to peak in 2026, with FCF and leverage improving thereafter. High Customer Concentration: Customer concentration remains high. CoreWeave generated about 65% of 1Q26 revenue from its top two customers, with no other customer representing 10% or more. OpenAI and Meta should become significant customers, while newer relationships with Anthropic and Jane Street support improving customer diversification. Revenue will likely remain concentrated in a small number of large counterparties. This exposes CoreWeave to non-renewal risk, customer insourcing, and potential counterparty risk. Robust Revenue Visibility: As of March 31, 2026, CoreWeave's revenue backlog was $99.4 billion, up sharply from year-end 2025. About 36% is scheduled to be recognized within 24 months and 75% within four years. Multi-year customer contracts with take-or-pay features support strong revenue visibility and cash flow generation, although visibility beyond the contracted period is weaker. CoreWeave generally invests in GPU-related capex after signing long-term customer contracts, aligning new GPU deployment with contracted demand. Longer-Term Visibility Less Clear: Visibility is weaker beyond the current contracted period over approximately the next five years, when CoreWeave will depend more on contract renewals, replacement contracts, and continued customer demand to sustain growth. Customer concentration remains a risk, including potential insourcing by hyperscalers. The company's short operating history and the rapid pace of change in AI hardware and workloads also add uncertainty to its longer-term business profile. Potential Lease Term Mismatch Risk: CoreWeave faces a potential risk due to the mismatch between the terms of its leases with data center suppliers and its contracts with customers. While its leases typically span up to 15 years, its customer contracts generally have shorter durations of three to five years. This disparity creates challenges in aligning long-term obligations with shorter-term revenue streams, exposing CoreWeave to the risk of having to meet lease commitments without guaranteed customer income. The company typically manages this risk by building enough of a buffer into its contract terms to mitigate the impact of contract length mismatches. Strategic Differentiation and Market Leadership: CoreWeave's first-mover advantage, partnership with Nvidia, and top-tier performance metrics bolster its competitive position against hyperscalers and smaller, AI-focused cloud providers. Its AI specialization also helps it compete specifically against hyperscalers. Managed software and application services integrated into its technology stack further differentiate its offerings. However, the competitive landscape poses a significant risk over time as companies rapidly invest in their own infrastructure, potentially challenging CoreWeave's market position and requiring continuous innovation to maintain its leadership. AI Demand Supports Growth: CoreWeave is positioned to benefit from the broader AI buildout, which Fitch views as a multi-year investment cycle supported by strong demand for AI services. Fitch estimates AI services revenue could reach about $800 billion to $1.4 trillion a year by 2030, with more than 95% tied to business applications. As enterprise and embedded AI adoption expands, demand should support continued investment in compute cloud capacity, data centers and related infrastructure. As an independent AI compute cloud provider, CoreWeave is positioned to benefit from sustained demand for scalable, GPU-based infrastructure. Peer Analysis CoreWeave operates in digital infrastructure but differs from most rated peers in its business model and risk profile. Equinix, Inc. (BBB+/Stable) and Digital Realty Trust, Inc. (BBB/Stable) benefit from diversified customer bases, low churn, large global platforms and conservative financial policies. Their ratings are supported by real estate-based business models, long operating records and more stable cash flow. CoreWeave provides GPU-based cloud services under multiyear contracts, but its shorter track record, higher customer concentration, shorter contract tenor and greater technology risk lead to higher earnings and cash flow volatility than those of Equinix and Digital Realty. CoreWeave also faces risk that customers develop internal capacity or shift demand to larger cloud providers. Iridium Communications Inc. (BB/Stable) and Viasat, Inc. (B/Stable) are closer rating peers because they operate in capital-intensive, technology-driven sectors with meaningful execution risk. CoreWeave's rating reflects its strong growth prospects, but also its limited diversification and greater exposure to changes in technology and customer demand. Fitch’s Key Rating-Case Assumptions - Total revenue growing to approximately $13 billion in fiscal 2026, approximately $24 billion in fiscal 2027 and $27 billion in fiscal 2028, with growth rates moderating thereafter, assuming recognition on existing RPOs along with incremental future contract wins; - EBITDA margins somewhat pressured in fiscal 2026 due to costs associated with new contract wins, expanding to the mid-to-high 60% range thereafter, driven by operating leverage; - Capex of around $33 billion in fiscal 2026 and $15 billion in fiscal 2027, with capital intensity normalizing to around 30% over the medium term, as capex is linked to specific future contracts; - Incremental future debt issuance to support capex associated with contract wins; - No debt repayment assumed beyond mandatory repayment schedules. 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 ('bbb', Lower), sector characteristics ('b+', Moderate), market and competitive positioning ('bb+', Moderate), diversification and asset quality ('b', Higher), company operational characteristics ('bbb-', Moderate), profitability ('bbb-', Moderate), financial structure ('bb-', Higher), and financial flexibility ('bb+', Moderate). The quantitative financial subfactors are based on custom CRT financial period parameters: 20% weight for the forecast year 2026, 40% for the forecast year 2027 and 40% for the forecast year 2028. The governance assessment of 'good' has no impact. The operating environment assessment of 'aa-' has no impact. The SCP is 'bb-'. To derive the Long-Term IDR: Fitch made no adjustments to the SCP, resulting in an IDR of 'BB-'. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - EBITDA leverage (excluding leases) sustained above 4.0x or lease-adjusted leverage sustained above 5.0x; - Failure to achieve positive FCF over the medium to long term due to operational weakness rather than stronger new contract growth; - Continued reliance on a limited number of revenue sources or major contracts, increasing vulnerability to adverse changes in customer relationships or industry conditions; - Inability to access additional debt capital on favorable terms to support its growth strategy. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - EBITDA leverage (excluding leases) sustained below 3.0x or lease-adjusted leverage sustained below 4.0x; - Expansion into new markets or services that diversify revenue streams and reduce dependence on a few large customers, improving business resilience; - Demonstrated ability to consistently renew or replace major customer contracts, ensuring stable revenue flow and minimizing disruption from contract expirations. Liquidity and Debt Structure Fitch expects CoreWeave to have sufficient liquidity. As of March 2026, the company had $2.2 billion in cash and equivalents and marketable securities, as well as $686 million capacity available under its $2.5 billion RCF. After the first quarter ended, CoreWeave repaid the outstanding balance on its RCF. Fitch expects that high capex in FY2026 and FY2027 will continue to pressure FCF, which will likely necessitate additional debt financing sources in 2026 and 2027 to support execution on the company's growth plans. As of March 2026, pro forma for recent transactions, CoreWeave's debt consists of a refundable deposit classified as debt with Magnetar of $281 million (NR), OEM financing arrangements of $5 billion (NR), unsecured high-yield notes of $6.5 billion (BB-/RR4), unsecured convertible notes of $6.5 billion (NR), and SPV-level DDTLs, including DDTL 4.0 ('A-sf') and DDTL 5.0 ('BB+'/RR2), along with various other DDTLs (DDTL 1.0, DDTL 2.0, DDTL 2.1, and DDTL 3.0) (NR). Issuer Profile CoreWeave provides GPU-based cloud infrastructure for AI/ML, rendering, and other compute-intensive workloads. Its cloud platform combines proprietary software with managed services. As of March 2026, CoreWeave's footprint spanned 49 active data centers, mainly accessed via long-term leases and hosting arrangements. 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 CoreWeave, Inc. ESG Considerations CoreWeave, Inc. has an ESG Relevance Score of '4' for Governance Structure due to concentrated shareholder voting power and an organizational structure that is somewhat more complex than average. This has a negative impact on the credit profile, and is relevant to the rating[s] in conjunction with other factors. The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Recovery Prior ----------- ------ -------- ----- CoreWeave, Inc. LT IDR BB- Affirmed BB- senior unsecured LT BB- Affirmed RR4 BB- senior unsecured LT WD Withdrawn BB- senior secured LT BB+ Affirmed RR2 BB+ CORNERSTONE CHARTER: S&P Lowers Revenue Bond Rating to 'BB+' ------------------------------------------------------------ S&P Global Ratings lowered its long-term rating to 'BB+' from 'BBB-' on the Public Finance Authority, Wisconsin's series 2024 education revenue bonds, Issued for Cornerstone Charter Academy (CCA), North Carolina. At the same time, S&P Global Ratings assigned its 'BB+' long-term rating to the Public Finance Authority's $24.22 million series 2026 education revenue bonds, issued for CCA. The outlook is stable. The lowered rating reflects S&P's view of CCA's anticipated use of reserves to fund its upcoming construction project, which is expected to weaken days' cash on hand (DCOH) to levels commensurate with the lower rating. S&P views environmental, social, and governance factors as neutral in the credit rating analysis. S&P said, "The stable outlook reflects our expectation that CCA will sustain healthy demand metrics, generate positive operating performance such that pro forma lease-adjusted MADS coverage is sufficient for the rating, and modestly increase its liquidity position following the anticipated drawdown for the project. "We could consider a negative rating action if demand metrics weaken substantially, if operating performance falls materially short of historical levels, or if the anticipated drawdown in liquidity is larger than planned. We would view any additional debt without a commensurate increase in revenue, though unexpected, as a negative credit factor. "While such a scenario is unlikely over the outlook period given the elevated debt metrics, we could consider a positive rating action if financial operating results improve such that lease-adjusted MADS coverage levels are in line with higher-rated peers, with growth in liquidity and moderation of debt metrics and maintenance of the demand profile." CRANE ENTERPRISES: Disallowance of Cranes' Proofs of Claim Affirmed ------------------------------------------------------------------- Judge Denise Cote of the U.S. District Court for the Southern District of New York denied the two appeals filed by Michael E. Crane and his son Daniel M. Crane in the bankruptcy case of Crane Enterprises, LLC. On March 4, 2025, Crane Enterprises, LLC (the "Debtor") filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code. The Debtor, Crane Enterprises LLC, is a New York limited liability company that holds a single asset: 99 shares in a two-bedroom cooperative apartment located in Long Beach, New York that has been valued at an amount less than $1 million (the "Apartment"), and a corresponding proprietary lease to possess the apartment. On March 5, 2025, the Debtor commenced an adversary proceeding in the Bankruptcy Court, seeking an order directing Michael and Daniel Crane to turn over possession of the Apartment to the Debtor under Sec. 542 of the Bankruptcy Code. On July 29, the Bankruptcy Court rejected the Cranes' arguments and granted the Debtor summary judgment on the turnover claim, and, on July 30, issued an order directing Michael and Daniel to turn over possession of the Apartment. On August 20, the Bankruptcy Court denied reconsideration and a stay of its turnover order and, on August 22, the Bankruptcy Court granted the Debtor's motion to evict the Defendants from the Apartment. The Debtor's Chapter 11 case continued while the turnover and eviction proceedings were being adjudicated. On August 29 and 31, 2025, Michael Crane and Daniel Crane filed the proofs of claim at issue in this appeal. The Cranes' claims sought damages on the theory that they were wrongfully evicted from the Apartment that they had a right to occupy based on the alleged "lifetime lease." The Debtor objected to these claims, explaining that the eviction was valid pursuant to the Bankruptcy Court's August 22 eviction order. On October 29, the Bankruptcy Court granted the Debtor's objection, rejected the Cranes' "wrongful eviction" arguments, and entered an order disallowing and expunging the Cranes' claims. In parallel, on September 22, the Cranes filed a motion to dismiss the Chapter 11 case. The Cranes urged the Bankruptcy Court to dismiss the case "for cause" pursuant to Sec. 112(b) of the Bankruptcy Code because they claimed that it was filed without the requisite authority and in bad faith. On November 17, the Bankruptcy Court denied the motion. The Bankruptcy Court concluded, after considering the totality of the circumstances, that the Debtor filed for bankruptcy in good faith and that no "cause" existed to justify dismissal. The Cranes appealed the Bankruptcy Court's October 29 denial of their proofs of claim on November 6. They then appealed the Bankruptcy Court's November 17 denial of their motion to dismiss the day it was issued. The Cranes' appeal from the denial of their motion to dismiss the Chapter 11 filing is dismissed on the ground that this Court lacks jurisdiction to review an interlocutory order. The Cranes' appeal from the disallowance of their proofs of claim is denied on the merits. The Cranes' claims asserted damages based solely on the theory that they were wrongfully evicted from the Apartment that they had a right to occupy pursuant to the alleged "lifetime lease." The Bankruptcy Court concluded that the Cranes' eviction from the Apartment was not wrongful because it was conducted pursuant to a valid eviction order, which has also been affirmed in this Court's April 6, 2026 Opinion. A copy of the Court's Opinion and Order dated May 19, 2026, is available at https://urlcurt.com/u?l=PlREN5 from PacerMonitor.com. About Crane Enterprises LLC Crane Enterprises LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. S.D.N.Y. Case No. 25-10405) on March 4, 2025, listing $500,001 to $1 million in assets and $100,001 to $500,000 in liabilities. Judge David S Jones handles the case. Brett Silverman, Esq., at Silverman Law PLLC represents the Debtor as counsel. CYCLERION THERAPEUTICS: Q1 2026 Net Loss Widens to $3.2 Million --------------------------------------------------------------- Cyclerion Therapeutics, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $3.2 million for the three months ended March 31, 2026, compared to a net loss of $1.4 million for the same period in the prior year. The Company had no revenues for the three months ended March 31, 2026, compared to $81 thousand in the prior-year period. The Merger Agreement On April 1, 2026, Cyclerion entered into a Plan of Merger and Reorganization with Korsana Biosciences, Inc., a privately held biotechnology company discovering and developing novel therapies to reduce the burden of neurodegenerative diseases, pursuant to which among other matters, and subject to the satisfaction or waiver of the conditions set forth in the Merger Agreement, Cariboos Merger Sub Corp., a Delaware corporation, will merge with and into Korsana, with Korsana continuing as a wholly owned subsidiary of Cyclerion and the surviving corporation of the merger, and Korsana will merge with and into Cariboos Merger Sub II, LLC, a Delaware limited liability company, with Second Merger Sub being the surviving entity of the merger. After the completion of the Merger, Second Merger Sub will change its corporate name to "Korsana Biosciences Operating Company, LLC" and Cyclerion will change its name to "Korsana Biosciences, Inc." Cyclerion following the Merger is referred to herein as the "Combined Company." Cyclerion anticipates that the Merger will close in the third quarter of 2026, subject to certain closing conditions, along with the concurrent Korsana Pre-Closing Financing. Following the Merger, the current business of Korsana will become the primary business of Cyclerion. Going Concern On March 31, 2026, the Company had approximately $2.8 million of unrestricted cash and cash equivalents. In addition, as of March 31, 2026, the Company had an accumulated deficit of $274.2 million. The Company expects that its cash and cash equivalents as of March 31, 2026, will be sufficient to fund operations into the third quarter of 2026, however the Company will need to obtain additional funding to sustain operations as it expects to continue to generate operating losses for the foreseeable future. The Company's expectation to generate negative operating cash flows in the future and the need for additional funding to support its planned operations, raise substantial doubt regarding the Company's ability to continue as a going concern. Management's plans to alleviate the conditions that raise substantial doubt include reduced spending, and the pursuit of additional capital. Management has concluded the likelihood that its plan to successfully obtain sufficient funding, or adequately reduce expenditures, while reasonably possible, is less than probable. Accordingly, the Company has concluded that substantial doubt exists about the Company's ability to continue as a going concern. The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and satisfaction of liabilities in the ordinary course of business. The financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might result from the outcome of the uncertainties. The Company's future operations are highly dependent on the success of the Merger and there can be no assurances that the Merger will be successfully consummated. If the Merger is not consummated, the Company believes that its cash and cash equivalents as of March 31, 2026 would be adequate to fund its operating expenses into the third quarter of 2026. However, in order to continue development of its programs, the Company would need to secure substantial additional funding in the future, from one or more equity or debt financings, collaborations, or other sources. Additional funding may not be available to the Company on acceptable terms, or at all. The Company's Board of Directors may also decide to pursue a dissolution and liquidation in lieu of continuing program development in the event the Merger is not consummated. Funding Requirements If the Company is unable to complete the Merger, it expects its expenses to fluctuate as it continues to maintain out-license opportunities and potentially seeks to broaden its portfolio through in-licensing of complementary assets. The Company expects that its cash and cash equivalents as of March 31, 2026, will be sufficient to fund operations through the anticipated closing date of the Merger. As a result, if the Company is unable to complete the Merger, it will need to obtain additional funding to sustain operations as it expects to continue to generate operating losses for the foreseeable future. Failure to obtain necessary capital when needed would likely delay development of any current or potential future product candidates, and would likely make it difficult for the Company to continue its operations. Because there is substantial doubt about the Company's ability to continue as a going concern for a reasonable period of time, an investment in its common stock is highly speculative; holders of its common stock could suffer a total loss of their investment. Because of the many risks and uncertainties associated with research, development and commercialization of product candidates, the Company is unable to estimate the exact amount of its working capital requirements if the Merger is not consummated. The Company's expenses will fluctuate, and its future funding requirements will depend on, and could increase or decrease significantly as a result of many factors, including the: * scope, progress, results and costs of researching and developing its current and any potential future product candidates, and any preclinical studies and clinical trials it may conduct; * costs, timing and outcome of regulatory review of any current and any potential future product candidates; * costs of future activities, including medical affairs, manufacturing and distribution, of any current or potential future product candidates for which it receives marketing approval; * cost and timing of necessary actions to support its strategic objectives; costs of preparing, filing and prosecuting patent applications, maintaining and enforcing its intellectual property rights and defending intellectual property-related claims; and * timing, receipt and amount of sales of, or milestone payments related to or royalties on, its current or potential future product candidates, if any. A change in any of these or other variables with respect to the development of any current or potential future product candidates could significantly change the costs and timing of the development of that product candidate. The Company's future capital requirements will depend primarily on its ability to complete the Merger. If the Company does not complete the Merger and until such time, if ever, as it can generate substantial product revenue, the Company expects to finance its cash needs through a combination of public or private equity offerings, debt financings, collaborations, strategic alliances or licensing arrangements with third parties, of which there can be no assurance. To the extent that the Company raises additional capital through the sale of equity or convertible debt securities, outstanding equity ownership may be materially diluted, and the terms of securities sold in such transactions could include liquidation and other preferences and rights that adversely affect the rights of holders of common stock. Debt financing and preferred equity financing, if available, may involve agreements that include restrictive covenants that limit the Company's ability to take specified actions, such as incurring additional debt, making capital expenditures or declaring dividends. In addition, debt financing would result in increased fixed payment obligations. If the Company raises funds through collaborations, strategic alliances or licensing arrangements with third parties, as to which raise there can be no assurance, it may have to relinquish rights to its technologies, future revenue streams, research programs or product candidates or grant licenses on terms that may not be favorable to it. If the Company does not complete the Merger and is unable to raise funds, it may need to cease operations. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/hpc87a2j About Cyclerion Therapeutics, Inc. Cyclerion Therapeutics, Inc. is a biopharmaceutical company focused on identifying, developing, and delivering promising therapies for central nervous system (CNS) diseases. Boston, Massachusetts-based Ernst & Young LLP, the Company's auditor since 2018, issued a "going concern" qualification in its report dated March 30, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company has suffered recurring losses from operations, has limited financial resources, and has stated that substantial doubt exists about the Company's ability to continue as a going concern. As of March 31, 2026, the Company had $8.5 million in total assets, $1.7 million in total liabilities (current), and $6.8 million in total stockholders' equity. CYPRESS COVE: Fitch Alters Outlook on 'BB+' IDR to Negative ----------------------------------------------------------- Fitch Ratings has assigned a 'BB+' rating to the following bonds to be issued by the Lee County Industrial Development Authority (FL) on behalf of Cypress Cove at HealthPark, Inc (Cypress Cove): - $86.1 million health care facilities refunding revenue bonds series 2026. Fitch has also affirmed Cypress Cove's Issuer Default Rating (IDR) at 'BB+' and revenue bonds issued on Cypress Cove's behalf at 'BB+'. The Rating Outlook has been revised to Negative from Stable. Entity/Debt Rating Prior ----------- ------ ----- Cypress Cove at Health Park (FL) LT IDR BB+ Affirmed BB+ Cypress Cove at Health Park (FL) /General Revenues/1 LT LT BB+ Affirmed BB+ The Outlook revision to Negative reflects the likelihood of a debt issuance in 2027 to finance Cypress Cove's Harbour Vue project. While Fitch believes the project will be accretive to the community and views Cypress Cove's solid demand and robust net entrance fees as credit strengths, the organization's track record of thin core operating performance and recent debt issuance gives very limited cushion with which to absorb the risks of a new project and remain at the 'BB+' rating. SECURITY The bonds are secured by a pledge of gross revenue, a leasehold mortgage on the community's land, and a debt service reserve fund (DSRF). KEY RATING DRIVERS Revenue Defensibility - bbb Single-Site LPC with Good Market Position The 'Midrange' revenue defensibility reflects Cypress Cove's position as a single-site life plan community (LPC) operating in a competitive primary market area (PMA), with competition from full continuum-of-care facilities and others that offer select continuum-of-care services, such as standalone assisted living (AL) facilities. Offsetting the competitive PMA are Cypress Cove's good demand profile, the steady flow of Medicare rehabilitation referrals provided by Lee Memorial Health System (LMHS), and a demographically solid PMA with good population growth. Cypress Cove boasts a strong waitlist of over 120 members. Entrance fees remain affordable, although Fitch is monitoring home price dynamics and potential variability in the local housing market. The weighted average entrance fee for the Harbour Vue offering is above the community's existing weighted average, though Fitch views the velocity of pre-sales for larger units favorably. IL occupancy is consistent with the 'Midrange' revenue defensibility assessment, with the five-year average IL occupancy at 89%. Skilled nursing occupancy was sound in fiscal 2025 at 88%. Cypress Cove's 64 private skilled nursing units are desirable and offer a point of differentiation for the LPC's value proposition. Cypress Cove has renovated skilled nursing units to maintain the high quality of care. Further underscoring the community's healthcare draw, assisted living and memory care occupancy were both robust in fiscal 2025 at 96% and 95%, respectively. Cypress Cove's size and scale support the 'Midrange' revenue defensibility assessment as does its relationship with Lee Healthcare Resources (LHR), which provides scale similar to a multi-state LPC. Operating Risk - bbb Thin Operating Flexibility; Minimal Maintenance Capex Needs The 'Midrange' operating risk assessment reflects weak cost management as operating ratios are well above 105% through the five-year historical period (average of 118%) and fiscal 2025 (115%). Management reports that contract labor was eliminated by FYE 2025. Weaker operating ratios are offset by Cypress Cove's net operating margin - adjusted (NOMA), which averaged 25.2% over the last five fiscal years and was strong at 29% in fiscal 2025. Fitch has visited Cypress Cove and found the campus well-maintained. Cypress Cove renovated select campus areas following Hurricane Ian, which occurred in 2022. Average age of plant is healthy at 6.8 years in fiscal 2025. Fitch expects minimal maintenance capex needs over the next few years. Capital-related metrics are currently sound. MADS as a percent of revenue and debt-to-net-available measured 12% and 8x in fiscal 2025, respectively. Proceeds of the Series 2026 Bonds, together with other available funds, will be used to finance a portion of routine capital expenditure for fiscal years 2026-2028, refund outstanding bank renewal risk indebtedness, fund a debt service reserve, and pay costs of issuance. The Harbour Vue project is expected to begin construction in early 2027. The pre-sale program began on April 13th, and ILUs are already 33% pre-sold (20 of 60 available units) with a 10% deposit. Financial Profile - bb Greater Leverage in Financial Profile Expected Given Cypress Cove's 'Midrange" revenue defensibility and operating risk assessments, and Fitch's forward-looking scenario analysis, Fitch expects key leverage metrics to remain consistent with the 'bb' financial profile. Days cash on hand (DCOH) remains above 200 days throughout the stress, which is neutral to the assessment. At FYE 2025, Cypress Cove had $43.4 million of unrestricted cash and investments, equal to 299 DCOH, as calculated by Fitch. Cash-to-adjusted debt (including the debt service reserve fund) was 26.6% as of the same period. Total long-term debt of $193.3 includes $52.2 million for Cypress Cove's land lease with its parent Lee Healthcare Resources (LHR). The fiscal 2024 operating long-term lease obligation has been restated to $51.7 million from $41.7 million following management's discovery of certain accounting errors. Ground lease payments are included in debt service only when paid. Payments will be suspended if Cypress Cove does not meet certain liquidity and debt service coverage tests. Payments accrue interest if deferred, but they are treated as subordinated affiliate indebtedness and excluded from coverage metrics, reducing pressure on bondholder cash flow in periods of stress. Payments for the Harbour Vue project are expected to be waived until stabilization is achieved in the proposed new IL tower. The contingent nature of the ground lease payments under the MTI has been considered in Fitch's stress case. Asymmetric Additional Risk Considerations None. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Weakening of the financial profile such that cash-to-adjusted debt stabilizes below 20%; - Weaker-than-expected debt service coverage such that MADS stabilizes below 1.5x. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Positive rating action is unlikely pending completion of the Harbour Vue project, although positive rating action is possible if cash-to-adjusted to debt stabilizes above 70% and MADS coverage is consistently above 2x. PROFILE Cypress Cove is a type-A LPC located in Fort Myers, FL. The community consists of 422 IL units, 44 AL unit (ALU) apartments, 44 memory care apartments, and 64 skilled nursing beds. In fiscal 2025, Cypress Cove had total operating revenue of $58.9 million. Sources of Information In addition to the sources of information identified in Fitch's applicable criteria specified below, this action was informed by information from DIVER by Solve. Climate Vulnerability Signals The results of its Climate.VS screener did not indicate an elevated risk for Cypress Cove at Health Park (FL). 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. DEPG DINGMANS: Involuntary Chapter 11 Case Summary -------------------------------------------------- Alleged Debtor: DEPG Dingmans Associates, LLC Route 739 and Log Cabin Road Dingmans Township PA 18328-0000 Involuntary Chapter 11 Petition Date: May 19, 2026 Court: United States Bankruptcy Court Middle District of Pennsylvania Case No.: 26-01423 Judge: Hon. Mark J Conway Petitioners' Counsel: Unknown A full-text copy of the Involuntary Petition is available for free at PacerMonitor.com at: https://www.pacermonitor.com/view/O4355PI/DEPG_Dingmans_Associates_LLC__pambke-26-01423__0001.0.pdf?mcid=tGE4TAMA Alleged creditors who signed the petition: Petitioner Nature of Claim Claim Amount Reuther + Bowen Engineering $113,000 326 Ward Street Services Scranton PA 18512-0000 Trans Associates Traffic Engineering $17,294 Engineering Consultants Services 4956 Steubenville Pike - Suite 400 Pittsburgh PA 15205-0000 Newman + Williams Legal Services $25,253 712 Monroe Street Stroudsburg PA 18360-0511 DIOCESE OF BURLINGTON: Chapter 11 Case Legal Bill Hits $2MM ----------------------------------------------------------- Kevin O'Connor of vtdigger reports that Judge Heather Cooper raised concerns that the Roman Catholic Diocese of Burlington has spent almost $2 million on legal expenses during its Chapter 11 bankruptcy without presenting a workable restructuring proposal. The judge warned that escalating professional fees risk leaving little compensation for survivors alleging sexual abuse by clergy members. The diocese entered bankruptcy protection in the fall of 2024 after prior settlements involving priest misconduct reduced its financial resources to about $35 million. Federal bankruptcy law requires payment for both debtor counsel and attorneys representing creditor committees, contributing to growing administrative costs during the prolonged proceedings. Judge Cooper criticized the slow pace of negotiations during a recent hearing, noting that abuse survivors likely expect meaningful progress after nearly two years in bankruptcy court. Lawyers later participated in a closed-door mediation session aimed at resolving disputes and preserving remaining diocesan assets for creditors. The bankruptcy case remains stalled over disagreements concerning church property ownership. The diocese has identified approximately $35 million in state-level assets, while abuse claimants seek information on parish properties worth an estimated $500 million that were transferred into trusts in 2006. Lawyers representing survivors contend the trust arrangements may have been intended to protect church assets from legal claims, the report relays. About Roman Catholic Diocese of Burlington Vermont The Roman Catholic Diocese of Burlington sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Vt. Case No. 24-10205) on Sept. 30, 2024. In the petition signed by Reverend John Joseph McDermott, bishop, the Debtor disclosed up to $50 million in assets and up to $10 million in liabilities. Judge Heather Z. Cooper oversees the case. The Debtor tapped James Baillie, Esq., at Fredrikson & Byron, PA as bankruptcy counsel and Obuchowski Law Office as local counsel. DIOCESE OF OGDENSBURG: Reaches $45MM Settlement w/ Abuse Survivors ------------------------------------------------------------------ 7 News reports that a $45 million settlement has been reached between Roman Catholic Diocese of Ogdensburg and individuals alleging childhood sexual abuse by clergy and church leaders. The deal covers 125 abuse claims and was announced as part of the diocese’s ongoing bankruptcy proceedings. Bishop Terry LaValley said he hopes the settlement process brings comfort, healing, and peace to survivors as well as parishioners impacted by the abuse scandal. He acknowledged the severe harm caused by church leadership failures and said the misconduct should never be repeated. The agreement stems from lawsuits filed under New York's Child Victims Act, which reopened the statute of limitations for abuse claims in 2019. The Diocese of Ogdensburg sought Chapter 11 protection in 2023 to address mounting litigation. The settlement now awaits bankruptcy court confirmation before compensation can be paid and the diocese exits bankruptcy, the report relays. About Roman Catholic Diocese of Ogdensburg The Diocese of Ogdensburg is a Latin Church ecclesiastical territory, or diocese, of the Catholic Church in the North Country region of New York State in the United States. It is a suffragan diocese in the ecclesiastical province of the Archdiocese of New York. Its cathedral is St. Mary's in Ogdensburg. The Diocese of Ogdensburg was founded on February 16, 1872. It comprises the entirety of Clinton, Essex, Franklin, Jefferson, Lewis and St. Lawrence counties and the northern portions of Hamilton and Herkimer counties. The current bishop is Terry Ronald LaValley. On July 17, 2023, the Roman Catholic Diocese of Ogdensburg sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D.N.Y. Case No. 23-60507), with $10 million and $50 million in both assets and liabilities. Mark Mashaw, diocesan fiscal officer, signed the petition. Judge Patrick G. Radel oversees the case. Bond, Schoeneck & King, PLLC is the Diocese's bankruptcy counsel. Stretto, Inc., is the claims agent and administrative advisor. DIXIE GROUP: Swings to $1.15M Profit in Q1, Going Concern Persists ------------------------------------------------------------------ The Dixie Group, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net income of $1,151,000 for the three months ended March 28, 2026, compared to a net loss of $1,697,000 million for the three months ended March 29, 2025. Revenues for the three months ended March 28, 2026 were $59,380,000, compared to $62,990,000 in the prior-year period. Going Concern The Company's consolidated condensed financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the ordinary course of business. Under U.S. GAAP, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern within one year after the date that the financial statements are issued. If substantial doubt is raised, management must also assess whether its plans to mitigate those conditions or events will alleviate that substantial doubt. In performing this assessment, the Company makes significant judgments about its expected liquidity, including projected cash flows from operations, capital expenditure requirements, availability and terms of external financing, compliance with financial covenants in its debt agreements, and other factors that could affect its ability to meet obligations as they become due. These estimates involve assumptions regarding, among other things, future sales volumes and pricing, gross margin performance, timing of collections from customers, payment terms with suppliers, cost‑reduction initiatives, and access to capital markets or other funding sources. As of March 28, 2026, the Company has $55,710,000 of outstanding indebtedness under its senior credit facility that is classified as a current liability, unrestricted cash and cash equivalents of $2,346,000 and unused availability under its senior credit facility of $10,343,000, subject to a $6,000,000 minimum excess availability requirement and continued compliance with applicable financial covenants. The Company is required to maintain certain financial ratios and other covenants, which, if not met, could result in an event of default and an acceleration of its outstanding indebtedness. The Company's going concern and liquidity assessment therefore requires significant judgment about its ability to meet these covenants over the next 12 months, including the effectiveness and timing of management's plans. The Company received waivers or amendments for certain financial covenant violations prior to quarter-end. Compliance with future financial covenants will be dependent on operating performance. At the time of issuance of the financial statements, conditions and events, including recent operating losses, reduced availability under its credit facility, covenant violations and macroeconomic pressures, raised substantial doubt about its ability to continue as a going concern within 12 months after the date the financial statements are issued. Management has developed plans that are intended to improve liquidity and address these conditions, including profit improvement initiatives and seeking additional debt financing. Management is also evaluating the planned sale of an existing building, subject to customary closing conditions and lender payoff requirements, which is expected to generate net cash proceeds that would improve liquidity; however, because the sale has not closed, management has not assumed the full benefit in concluding whether substantial doubt is alleviated. The Company's evaluation of these plans, and its assumptions regarding their execution and timing, requires significant judgment and is subject to inherent uncertainty, therefore management has concluded that these plans do not alleviate the substantial doubt about the Company's ability to continue as a going concern. Management Comments Commenting on the results, Daniel K. Frierson, Chairman and Chief Executive Officer, said, "Continued soft market conditions within the flooring industry, driven by historical low existing home sales, high home prices and interest rates, were compounded in the first quarter of 2026 by the uncertainty caused by the conflict in the Middle East. Our gross profit margin in the first quarter of 2026 was boosted by the recognition of a $3.3 million receivable for the anticipated refund of IEEPA tariffs. Adjusted for the impact of the IEEPA tariffs, year over year margins improved by 2% of net sales despite lower sales volume in 2026. The improved year over year gross profit margin is mainly the impact of our previously announced Profit Improvement Plan. Based on our first quarter activity, including the recognition of the IEEPA tariff refund and additional new initiatives, we estimate the impact of our Plan to be an improvement in year over year profit of $17.8 million. In the second quarter of 2026 we started seeing higher costs for our raw materials driven primarily by the higher price of oil. We have implemented a price increase in the second quarter, as have many others in the industry, to offset these rising material costs. Order entry in the second quarter of 2026 has been closely in line with the order entry for the same period in 2025. In the first quarter we participated in multiple trade shows, including the International Surfaces trade show in Las Vegas, where we showcased thirty-four new broadloom carpet styles across our nylon, polyester and decorative collections. Our focus continues to be on the creation of differentiated styles for the mid to high end consumer with an emphasis on color, pattern and textural visuals. We also showcased new visuals and innovations in our hard surface offerings. This included new colors and patterns in our Fabrica wood program and expanded WPC offerings, with new visuals and colors, in our TRUCOR brand.", Frierson concluded. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/yc388ku8 About Dixie Group The Dixie Group, Inc. manufactures, markets, and sells floorcovering products to residential customers in North America and internationally. The Company offers residential carpets, custom rugs, and engineered wood products under the Fabrica brand for interior decorators and designers, selected retailers and furniture stores, luxury home builders, and manufacturers of luxury motor coaches and yachts; and specialty carpets and rugs for the high-end residential marketplace, as well as luxury vinyl flooring products and broadloom carpet products under the Masland Residential brand name through the interior design community and specialty floorcovering retailers. It provides residential tufted broadloom carpets and rugs to selected retailers and home centers under the DH floors and private label brands, as well as luxury vinyl flooring products to the marketplace it serves. The Company was founded in 1920 and is based in Dalton, Georgia. Atlanta, Georgia-based Forvis Mazars, LLP, the Company's auditor since 2013, issued a "going concern" qualification in its report dated March 26, 2026, citing that the Company has suffered recurring losses from operations, reduced availability under its credit facility, covenant violations, and macroeconomic pressures. The raises substantial doubt about the Company's ability to continue as a going concern. As of March 28, 2026, the Company had $179,243,000 in total assets, $169,259,000 in total liabilities, and $9,984,000 in total stockholders' equity. DK ARENA: Section 341(a) Meeting of Creditors on June 12 -------------------------------------------------------- On May 15, 2026, DK Arena, Inc filed for Chapter 11 protection in the Southern District of Florida. According to court filings, the debtor reports between $50 million and $100 million in debt owed to approximately 1 to 49 creditors. A meeting of creditors under Section 341(a) to be held on 6/12/2026 at 10:00 AM by TELEPHONE. About DK Arena, Inc DK Arena, Inc is an arena and events venue operator engaged in large-scale entertainment, sports, and live performance operations. The company manages facility-related revenue streams including ticketing, concessions, and event hosting services. DK Arena, Inc sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-16307) on May 15, 2026. In its petition, the debtor reports estimated assets in the range of $10 million to $50 million and estimated liabilities between $50 million and $100 million. The debtor is represented by Robert C. Furr, Esq. DYADIC INT'L: Liabilities Exceed Assets by $0.4M at March 31 ------------------------------------------------------------ Dyadic International Inc.'s stockholder's deficit was US$0.4 million at March 31, 2026. The Company has no stockholder's deficit at Dec. 31, 2025. At March 31, 2026, the Company had total assets of US$7.8 million and total liabilities of US$8.2 million. At Dec. 31, 2025, the Company had total assets of US$9.9 million and total liabilities of US$8.7 million. The Company says it expects to incur losses and has negative net cash flows from operating activities as it continues developing its Dapibus(TM) and C1 microbial protein production platforms and related products, and as it expands its pipelines and engages in further research and development activities for internal products, as well as for its third-party collaborators and licensees. The success of the Company depends on its ability to develop its technologies and products to the point of regulatory approval, commercialization, and subsequent revenue generation or through the sublicensing of the Company's technologies and products, and its ability to raise capital to finance these developmental efforts. On March 8, 2024, the Company issued an aggregate principal amount of $6,000,000 of its 8.0% Senior Secured Convertible Promissory Notes (the "Convertible Notes") in a private placement. The purchasers of the Convertible Notes included immediate family members and family trusts related to Mark Emalfarb, the Company's President and Chief Executive Officer and a member of the Company's Board of Directors, including The Francisco Trust, an existing holder of more than 5% of the Company's outstanding common stock (collectively, the "Purchasers"). The net proceeds from the sale of Convertible Notes, after deducting offering expenses, were $5,824,326. The Company intends to use the net proceeds from the offering of the Convertible Notes for working capital and general corporate purposes. The Convertible Notes are senior, secured obligations of Dyadic and its affiliates, and interest is payable quarterly in cash on the principal amount equal to 8% per annum. The Convertible Notes, as amended, will mature on Dec. 31, 2027 (the "Maturity Date"), unless earlier converted, repurchased, or redeemed in accordance with the terms of the Convertible Notes. The Convertible Notes can be converted into shares of common stock, at the option of the holders of the Convertible Notes (the "Noteholders") at any time prior to the Maturity Date. During the year ended Dec. 31, 2024, $910,000 of Convertible Notes were converted into 556,623 shares of common stock. On May 1, 2025, the Company amended the Convertible Notes to extend the Redemption Date to Dec. 1, 2026. On Sept. 15, 2025, the Company amended the security agreement to reflect updates to the Secured Parties thereunder, including the addition of a trust for the benefit of the Company's Chief Executive Officer, Mark Emalfarb, as a result of his purchase and assignment to him of one of the Notes from an existing note holder in a principal amount of $1,000,000. On Dec. 23, 2025, the Company entered into an additional amendment to the Convertible Notes, pursuant to which (i) the Maturity Date was extended from March 8, 2027, to Dec. 31, 2027, (ii) the conversion price at which the Convertible Notes are convertible into shares of the Company's common stock was set at $1.05 per share of common stock, and (iii) except in the case of an Event of Default, the holders no longer have the right to elect to have the Company redeem all, or any part, of the principal amount then remaining under the Convertible Notes. The Convertible Notes contain customary covenants, and the Securities Purchase Agreement relating to the Convertible Notes also contains certain affirmative and negative covenants (including, without limitation, restrictions on the Company's ability to incur indebtedness, permit liens, make dividends or certain debt payments or consummate certain affiliate transactions). The Company was in compliance with its covenants with respect to the Convertible Notes as of March 31, 2026. On March 6, 2026, the Company entered into an At-The-Market Issuance Sales Agreement (the "Sales Agreement") with Craig-Hallum as sales agent (the "Sales Agent"), pursuant to which the Company may offer and sell from time to time, at its option, shares of the Company's common stock having an aggregate offering price of up to $4,238,000 from time to time through the Sales Agent, including block trades and sales made in ordinary brokers' transactions directly on Nasdaq or any other trading market for the Company's common stock at market prices prevailing at the time of sale, at prices related to prevailing market prices or at negotiated prices (the "At-The-Market Equity Offering Program"). The Company expects its existing cash, cash equivalents, restricted cash and its investment securities, including accrued interest, totaling approximately $6.6 million as of March 31, 2026, will be sufficient to meet its operational, business, and other liquidity requirements for at least the next twelve (12) months from the date of issuance of the financial statements contained in this Quarterly Report. However, the Company has based this estimate on assumptions that may prove to be wrong, and its operating plan may change as a result of many factors currently unknown to it. In the event the Company's financing needs are not able to be met by its existing cash, cash equivalents and investments, the Company says it would seek to raise additional capital through strategic financial opportunities that could include, but are not limited to, future public or private equity offerings, collaboration agreements, convertible notes or other debt instruments, and/or other means. Any amount raised may be used for the further development and commercialization of product candidates, for other working capital purposes or to facilitate the Company's continued listing on Nasdaq. The Company's says there is no guarantee that any of these strategic or financing opportunities will be executed or realized on favorable terms, if at all, and some could be dilutive to existing shareholders. A full-text copy of the Form 10-Q is available at https://tinyurl.com/49kmnr36 About Dyadic International Dyadic International, Inc. (NASDAQ: DYAI) d/b/a, Dyadic Applied BioSolutions, is a biotechnology company focused on developing and commercializing its proprietary protein expression platform. It primarily targets the biopharmaceutical industry, offering solutions for the production of biologics, including vaccines and therapeutic proteins. The Company aims to enhance the efficiency and cost-effectiveness of biomanufacturing processes. E.Z. LOR REALTY: Seeks Chapter 11 Bankruptcy in New York -------------------------------------------------------- On May 18, 2026, E.Z. Lor Realty LLC filed for Chapter 11 bankruptcy protection in the Southern District of New York bankruptcy court. According to court filings, the debtor reports between $1 million and $10 million in assets and $100,001 to $1 million in liabilities, with approximately 1 to 49 creditors. A meeting of creditors under Section 341(a) to be held on June 18, 2026 at 02:00 PM at Zoom.us - USTrustee 3: Meeting ID 161 7394 5261, Passcode 2389475610, Phone 1 (202) 798-1532. Small Business Chapter 11 Plan and Disclosure Statement are both due by November 16, 2026. About E.Z. Lor Realty LLC E.Z. Lor Realty LLC is a real estate company engaged in the ownership and management of commercial and residential property assets. The firm focuses on property investment, leasing, and real estate portfolio management activities. E.Z. Lor Realty LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-11173) on May 18, 2026. In its petition, the debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $100,001 and $1 million. Honorable Bankruptcy Judge in the Southern District of New York is handling the case. The debtor is represented by John C. Kim, Esq. of The Law Office of John C. Kim, P.C. ELITE PROJECT: Case Summary & Six Unsecured Creditors ----------------------------------------------------- Debtor: Elite Project Management LLC 2437 Otero Pass Fort Worth, TX 76131 Business Description: Elite Project Management LLC provides project management, planning and field execution support for industrial projects, including refinery turnaround, construction and maintenance work. Chapter 11 Petition Date: May 19, 2026 Court: United States Bankruptcy Court Northern District of Texas Case No.: 26-42193 Judge: Hon. Mark X. Mullin 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 Estimated Assets: $0 to $50,000 Estimated Liabilities: $1 million to $10 million The petition was signed by Bryan Young as managing member. A full-text copy of the petition, which includes a list of the Debtor's six unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/6CO7IMQ/Elite_Project_Management_LLC__txnbke-26-42193__0001.0.pdf?mcid=tGE4TAMA ENERGY FOCUS: Going Concern Persists Despite Q1 2026 Loss Reduction ------------------------------------------------------------------- Energy Focus, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $140 thousand for the three months ended March 31, 2026, compared to a net loss of $268 thousand for the same period in the prior year. Net sales for the three months ended March 31, 2026 were $949 thousand, compared to $616 thousand in the prior-year period. Going Concern and Nasdaq Continued Listing Requirements Compliance Due to the Company's financial performance as of March 31, 2026 and December 31, 2025, including net losses of $0.1 million for the three months ended March 31, 2026 and $1.0 million for the 12 months ended December 31, 2025, and cash provided by operating activities of $0.1 million for the three months ended March 31, 2026 and cash used in operating activities of $1.4 million for the twelve months ended December 31, 2025, the Company determined that substantial doubt about its ability to continue as a going concern continues to exist at March 31, 2026. As a result of restructuring actions and initiatives, the Company has tailored its operating expenses to be more in line with its expected sales volumes; however, the Company continues to incur losses and has a substantial accumulated deficit. In addition, on April 3, 2026, the Company entered into agreements related to a joint venture investment in Japan under which its total expected investment commitment for a 35% ownership interest is approximately $1.1 million. As of May 12, 2026, the Company has invested approximately $535 thousand toward this commitment, with the remaining balance of approximately $565 thousand expected to be funded during project development. This expected funding requirement may further heighten the Company's near-term liquidity needs and reinforces the importance of obtaining additional capital and executing its operating plans. Additionally, global supply chain and logistics constraints and the ongoing evolution of international trade policies are impacting the Company's inventory purchasing strategy, as the Company seeks to manage both shortages of available components and longer lead times in obtaining components while pursuing cost-effectiveness measures to enhance profitability. As a result, the Company will continue to review and pursue selected external funding sources to ensure adequate financial resources to execute across the timelines required to achieve these objectives including, but not limited to, the following: * obtaining financing from traditional or non-traditional investment capital organizations or individuals; * obtaining funding from the sale of its common stock or other equity or debt instruments; and *obtaining debt financing with lending terms that more closely match its business model and capital needs. There can be no assurance that the Company will obtain funding on acceptable terms, in a timely fashion, or at all. Obtaining additional funding contains risks, including: additional equity financing may not be available to the Company on satisfactory terms, particularly in light of the current price of its common stock, and any equity it is able to issue could lead to dilution for current stockholders and have rights, preferences and privileges senior to its common stock; loans or other debt instruments may have terms or conditions, such as interest rate, restrictive covenants, conversion features, refinancing demands, and control or revocation provisions, which are not acceptable to management or the Company's Board of Directors; and the current environment in capital markets and volatile interest rates, combined with the Company's capital constraints, may prevent it from being able to obtain adequate debt financing. Considering both quantitative and qualitative information, the Company continues to pursue plans to ensure adequate external funding, timely re-organizational actions, management of its current financial position and liquid resources, obligations due or anticipated within the next year, development and implementation of an excess inventory reduction plan, plans and initiatives in its research and development, product development and sales and marketing, and development of potential channel partnerships. However, because these plans depend on future events and circumstances that are not entirely within the Company's control, they cannot be considered probable of effectively mitigating the substantial doubt about the Company's ability to continue as a going concern. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/ye29fveb About Energy Focus Solon, Ohio-based Energy Focus -- http://www.energyfocus.com-- engages primarily in the design, development, manufacturing, marketing, and sale of energy-efficient lighting systems and controls. The Company develops, markets, and sells high-quality light-emitting diode ("LED") lighting and controls products in the commercial market and military maritime market. Columbus, Ohio-based GBQ Partners, LLC, the Company's auditor since 2019, issued a "going concern" qualification in its report dated March 25, 2025, attached in the Company's Annual Report on Form 10-K for the year ended Dec. 25, 2024, citing that the Company has suffered recurring losses from operations and negative cash flows from operations that raise substantial doubt about its ability to continue as a going concern. As of March 31, 2026, the Company had $6 million in total assets, $2 million in total liabilities, and $4 million in total stockholders' equity. EPIPHANY REALTY: Case Summary & Five Unsecured Creditors -------------------------------------------------------- Debtor: Epiphany Realty Group, LLC 1535 Progress Road Baton Rouge, LA 70807 Business Description: Epiphany Realty Group, LLC owns and leases real estate properties. Chapter 11 Petition Date: May 19, 2026 Court: United States Bankruptcy Court Middle District of Louisiana Case No.: 26-10438 Debtor's Counsel: Ryan J. Richmond, Esq. STERNBERG, NACCARI & WHITE, LLC 450 Laurel Street Suite 1450 Baton Rouge, LA 70801 Tel: (225) 412-3667 Fax: (225) 286-3046 Email: ryan@snw.law Total Assets: $1,391,475 Total Liabilities: $1,144,436 The petition was signed by Tiffany Quiett as manager. A copy of the Debtor's list of its five unsecured creditors is available for free on PacerMonitor at: https://www.pacermonitor.com/view/UHRFWHA/Epiphany_Realty_Group_LLC__lambke-26-10438__0002.0.pdf?mcid=tGE4TAMA A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/XYN2XZI/Epiphany_Realty_Group_LLC__lambke-26-10438__0001.0.pdf?mcid=tGE4TAMA FACILAI LLC: Case Summary & 10 Unsecured Creditors -------------------------------------------------- Debtor: Facilai, LLC 1335 Miller Ave San Jose, CA 95129 Business Description: Facilai, LLC is a real estate holding company whose listed assets include residential properties in San Jose, Folsom and Hayward, California. The company's portfolio includes single-family residences and residential properties, including a multi-unit property on West Sunset Boulevard in Hayward. Chapter 11 Petition Date: May 19, 2026 Court: United States Bankruptcy Court Northern District of California Case No.: 26-50808 Judge: Hon. Stephen L Johnson Debtor's Counsel: Chris Kuhner, Esq. KORNFELD, NYBERG, BENDES, KUHNER & LITTLE P.C. 1970 Broadway, Ste 600 Oakland, CA 94612 Tel: 510-763-1000 Fax: 510-273-8669 Total Assets: $5,021,476 Total Liabilities: $25,084,371 The petition was signed by Kuan Wei William Wu as managing member. A full-text copy of the petition, which includes a list of the Debtor's 10 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/RCB3ZSQ/Facilai_LLC__canbke-26-50808__0001.0.pdf?mcid=tGE4TAMA FINLO CORPORATION: Case Summary & 19 Unsecured Creditors -------------------------------------------------------- Debtor: FINLO Corporation DBA Larks Entertainment 1527 West 9th Street Kansas City, MO 64101 Business Description: FINLO Corporation, doing business as Larks Entertainment, operates an entertainment venue, cocktail bar, and chef-inspired restaurant in Kansas City, Missouri. The company provides entertainment offerings including shuffleboard play, arcade games, mini golf, sports simulators, and other attractions. It also serves food and beverages, including quesadillas, bar bites, cocktails, mocktails, and beer. Larks Entertainment provides franchise support, including site selection, build-out, grand opening support, and ongoing support. Chapter 11 Petition Date: May 19, 2026 Court: United States Bankruptcy Court Western District of Missouri Case No.: 26-40890 Judge: Hon. Cynthia A Norton 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 Total Assets: $52,400 Total Liabilities: $2,002,135 The petition was signed by Jimmie Finister, Jr. as managing director. A full-text copy of the petition, which includes a list of the Debtor's 19 unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/BRKBF7Q/FINLO_Corporation__mowbke-26-40890__0001.0.pdf?mcid=tGE4TAMA FIREFLY NEUROSCIENCE: Inks $1M Private Placement With Unit Offering ------------------------------------------------------------------- Firefly Neuroscience, Inc. announced in a regulatory filing that it entered into a Securities Purchase Agreement with an accredited investor pursuant to which the Company agreed to issue and sell to the Investor up to 666,667 units, at a purchase price of $1.50 per Unit, for aggregate gross proceeds of up to $1,000,000. Each Unit consists of: (i) one share of common stock, par value $0.0001 per share; (ii) one common stock purchase warrant to purchase one share of Common Stock over five years at an exercise price of $1.88 per share; and (iii) one common stock purchase warrant to purchase one share of Common Stock over five (5) years at an exercise price of $2.50 per share. Shares of Common Stock issuable upon exercise of the Warrants are collectively referred to as the "Warrant Shares." The Warrants include a beneficial ownership limitation, which provides that the Company shall not effect any exercise, and a holder shall not have the right to exercise any portion of the Warrants, to the extent that, after giving effect to such exercise, the holder (together with the holder's affiliates) would beneficially own more than 4.99% or 9.99%, as applicable to such Investor, of the outstanding shares of Common Stock immediately after the issuance of the Common Stock issuable upon such exercise. The Warrants are not exercisable until the Company has obtained approval from its stockholders for the issuance of the Common Stock issuable upon exercise of the Warrants. The Company is required to use commercially reasonable efforts to obtain Shareholder Approval within ninety (90) days following the date of the Purchase Agreement. In connection therewith, the Company will prepare and file a proxy statement or information statement with the Securities and Exchange Commission and hold a meeting of stockholders for the purpose of obtaining Shareholder Approval. The Company's board of directors will recommend that stockholders vote in favor of the proposal. If Shareholder Approval is not obtained at the initial stockholder meeting, the Company is required to continue to use commercially reasonable efforts to obtain Shareholder Approval, including by holding additional stockholder meetings as necessary. Pursuant to the Purchase Agreement, the Company has agreed to file a registration statement with the SEC on Form S-1 (or, if Form S-1 is not then available to the Company, on such other form as is then available) covering the resale of the Shares and the Warrant Shares issued pursuant to the Purchase Agreement, as soon as practicable. The Company will use its best efforts to cause the Registration Statement to become effective: (i) within 45 calendar days after filing if the SEC does not review the Registration Statement, or (ii) within 90 calendar days after filing if the SEC reviews the Registration Statement. The effectiveness of the Registration Statement is a condition to the closing of the offering under the Purchase Agreement. The Closing is subject to certain conditions, including, among others the Registration Statement being effective and Shareholder Approval having been obtained. The Closing will take place remotely via the exchange of documents and signatures within five days from the date of obtaining Shareholder Approval. The Purchase Agreement may be terminated by the Investor upon written notice to the Company if Shareholder Approval has not been obtained within 90 days following the date of the Purchase Agreement. In addition, the Investor may terminate the Purchase Agreement solely with respect to the Investor upon written notice to the Company if the closing price of the Common Stock on the Nasdaq Capital Market on the day Shareholder Approval is obtained is lower than $1.50 per share; provided, that the Investor must deliver such written notice of termination to the Company no later than two trading days following the later of: (i) receipt of notification that Shareholder Approval has been obtained and (ii) the Registration Statement having become (and remaining) effective, and the failure of the Investor to deliver such notice within such period shall constitute a waiver of such termination right. The offer and sale of securities described above pursuant to the Purchase Agreement is being conducted as a private placement pursuant to and in reliance on the exemption from registration provided by Section 4(a)(2) of the Securities Act of 1933, as amended and/or Rule 506 of Regulation D promulgated thereunder for transactions not involving a public offering. Full text copies of the Purchase Agreement and the Warrants are available at https://tinyurl.com/2wu3b8mr, https://tinyurl.com/mpkfnbhf and https://tinyurl.com/y3rwzfpa, respectively. About Firefly Firefly Neuroscience, Inc. (NASDAQ: AIFF) (formerly WaveDancer, Inc.) is an Artificial Intelligence company developing innovative solutions that improve rain health outcomes for patients with neurological and mental disorders. The FDA-510(k)-cleared Brain Network Analytics (BNA) software platform is designed to advance diagnostic and treatment approaches for individuals with mental illnesses and cognitive disorders, such as depression, dementia, anxiety, concussions, and attention-deficit/hyperactivity disorder (ADHD). Toronto, Ontario-based CBIZ Canada LLP, the Company's auditor since 2024, issued a "going concern" qualification in its report dated March 31, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company has incurred significant losses and accumulated deficit and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of December 31, 2025, the Company had $10,477,000 in total assets, $2,840,000 million in total liabilities, and $7,637,000 in total stockholders' equity. FIRST BRANDS: Revises Plan Disclosures to Address Objections ------------------------------------------------------------ Vince Sullivan of Law360 Bankruptcy Authority reports that First Brands Group will ask bankruptcy court to grant conditional approval of its amended disclosure statement after submitting major revisions ahead of a scheduled hearing. The filing was updated shortly before Wednesday's, May 20, 2026, proceedings. Court documents indicate the revisions were intended to address prior objections and enhance the adequacy of disclosures provided to creditors in connection with the company's Chapter 11 plan. The debtor is seeking authorization to move forward with solicitation. The judge will evaluate whether the revised disclosure statement meets legal standards for conditional approval, a necessary step before creditors can vote on the restructuring plan, the report cites. About First Brands Group First Brands Group, LLC, is a global supplier of aftermarket automotive parts, based in Rochester Hills, Michigan. On September 24, 2025, the Company's non-operational special purpose entities, Global Assets LLC, Global Lease Assets Holdings, LLC, Carnaby Capital Holdings, LLC, Broad Street Financial Holdings, LLC, Broad Street Financial, LLC, Carnaby Inventory II, LLC, Carnaby Inventory Holdings II, LLC, Carnaby Inventory III, LLC, Carnaby Inventory Holdings III, LLC, Patterson Inventory, LLC, Patterson Inventory Holdings, LLC, Starlight Inventory I, LLC and Starlight Inventory Holdings I, LLC each filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of Texas. Commencing on Sept. 28, 2025, First Brands Group, LLC and 98 affiliated debtors each filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of Texas. In its petition, First Brands Group listed $1 billion to $10 billion in estimated assets and $10 billion to $50 billion in estimated liabilities. The cases are pending before the Hon. Christopher M. Lopez, and are jointly administered under Case No. 25-90399, and consolidated for procedural purposes only. The Debtors tapped Weil, Gotshal and Manges, LLP as legal counsel; Lazard Freres & Co. as investment banker; Alvarez & Marsal North America, LLC as financial advisor; and C Street Advisory Group as strategic communications advisor. Kroll Restructuring Administration, LLC is the Debtors' claims, noticing and solicitation agent. Gibson, Dunn & Crutcher, LLP and Evercore serve as the Ad Hoc Group of Lenders' legal counsel and investment banker, respectively. The U.S. Trustee for Region 7 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. The Committee has hired M3 Advisory Partners, LP, as Financial Advisor; Cole Schotz P.C. as Efficiency and Local Counsel; and Brown Rudnick LLP as Co-Counsel. The U.S. Trustee has proposed Martin De Luca, Esq., at Boies Schiller Flexner LLP as Chapter 11 examiner. FLORIDA PROPERTIES: Voluntary Chapter 11 Case Summary ----------------------------------------------------- Debtor: Florida Properties AT, LLC 1418 E 26th St Brooklyn NY 11210 Business Description: Florida Properties AT, LLC holds ownership of and leases real estate situated at 2705 SE Ranch Acres Circle, Jupiter, Florida 33478-1915. Chapter 11 Petition Date: May 19, 2026 Court: United States Bankruptcy Court Eastern District of New York Case No.: 26-42419 Judge: Hon. Elizabeth S. Stong Debtor's Counsel: Charles Wertman, Esq. LAW OFFICES OF CHARLES WERTMAN P.C. 100 Merrick Road Suite 304W Rockville Centre NY 11570-4807 Tel: (516) 284-0900 Email: charles@cwertmanlaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $1 million to $10 million The petition was signed by Theodore Welz as manager. The Debtor did not include a list of its 20 largest unsecured creditors with the petition. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/7ILKHNY/Florida_Properties_AT_LLC__nyebke-26-42419__0001.0.pdf?mcid=tGE4TAMA FREE SPEECH: Jones's Appeal in Bankruptcy Estate Dispute Nixed -------------------------------------------------------------- Senior Judge Lee H. Rosenthal of the U.S. District Court for the Southern District of Texas dismissed the appeal styled ALEXANDER E. JONES, Appellants, v. NEIL HESLIN, et al., Appellees, Case No. 25-cv-05553 (S.D. Tex.). This appeal requires the court to decide whether Alexander E. Jones's bankruptcy estate includes the assets of Free Speech Systems, LLC, the entity that operates the Infowars media platform. Jones and Free Speech Systems separately filed for bankruptcy because the appellees had secured substantial money judgments based on Jones's and Free Speech Systems' statements denying the Sandy Hook Elementary School shooting that killed 20 young children and 6 adults. To effectuate the judgments, a trial court in Travis County, Texas, placed Free Speech Systems' assets into receivership. Jones argues that the Texas receivership should not include Free Speech Systems' assets and that the Bankruptcy Court must exercise its exclusive jurisdiction over them. The appellees raise two jurisdictional issues: (1) the timeliness of Jones's appeal; and (2) Jones's standing to appeal. The court finds Jones cannot establish standing specifically, because he has no property rights to Free Speech Systems' assets. Under Texas law, a member of a limited liability company or an assignee of a membership interest in a limited liability company does not have an interest in any specific property of the company. As a result, Free Speech Systems' assets are not Jones's and not part of his bankruptcy estate. According to the court, Jones lost control of Free Speech Systems' assets when he voluntarily turned his equity in the LLC over to his creditors by filing for bankruptcy. Jones has no direct stake in this appeal. The court concludes that Jones and Free Speech Systems lack standing to appeal the October 2025 order that the automatic stay imposed under Section 362(a) of the Bankruptcy Code in the Jones bankruptcy case does not apply to Free Speech Systems or any of its assets. The court lacks jurisdiction over this appeal. The court cannot review the order or alter the Bankruptcy Court's holding that Jones's bankruptcy case does not bar judgment enforcement against Free Speech Systems' assets. The appeal is dismissed. A copy of the Court's Memorandum Opinion dated May 15, 2026, is available at https://urlcurt.com/u?l=UWsZyA from PacerMonitor.com. About Free Speech Systems Free Speech Systems LLC is a broadcast media production and distribution company that provides broadcasting aural programs by radio to the public. Free Speech Systems is a family-run business founded by Alex Jones. FSS is presently engaged in the business of producing and syndicating Jones' radio and video talk shows and selling products targeted to Jones' loyal fan base via the Internet. Today, FSS produces Alex Jones' syndicated news/talk show (The Alex Jones Show) from Austin, Texas, which airs via the Genesis Communications Network on over 100 radio stations across the United States and via the internet through websites including Infowars.com. Due to the content of Alex Jones' shows, Jones and FSS have faced an all-out ban of Infowars from mainstream online spaces. Shunning from financial institutions and banning Jones and FSS from major tech companies began in 2018. Conspiracy theorist Alex Jones has been sued by victims' family members over Jones' lies that the 2012 Sandy Hook Elementary School shooting was a hoax. Jones' InfoW LLC and affiliates, IWHealth, LLC and Prison Planet TV, LLC, filed petitions under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 22-60020) on April 18, 2022. FULLER'S SERVICE: Trustee Gets Extension to Access Cash Collateral ------------------------------------------------------------------ N. Neville Reid, the Chapter 11 trustee for Fuller's Service Center Inc., received another extension from the U.S. Bankruptcy Court for the Northern District of Illinois to use cash collateral to fund operations. The court authorized the trustee to use the cash collateral of secured creditors from May 18 to August 2 to pay the Debtor's expenses set forth in its budget, subject to a 10% variance. It also authorized the trustee to utilize the Debtor's line of credit facility with Cornerstone National Bank & Trust Company. Additionally, the trustee may continue paying 80% of accrued professional fees each month, even if those payments exceed the budget cap. The secured creditors that assert an interest in the cash collateral are Cornerstone National Bank & Trust Company, the U.S. Small Business Administration, the SBA's assignee Seaver Business Acquisition, LLC, and Carroll's, LLC (doing business as National Tire Wholesale). As protection, the secured creditors will be granted security interests in the Debtor's post-petition assets and the proceeds thereof, with the same priority and extent as their pre-bankruptcy liens. In addition, Cornerstone will be granted a "superpriority" claim, with priority over all other liens and claims for unpaid post-petition funds advanced. It will receive repayment first before other creditors, including administrative claimants. The order is available at https://shorturl.at/EOxVd from PacerMonitor.com. A status hearing on continued cash collateral use is scheduled for July 24. Before bankruptcy, Fuller's Service Center granted liens to several secured creditors, including Heartland Bank and Trust Company, which had provided a line of credit, the SBA whose interest was later assigned to Seaver, and Carroll's LLC, doing business as National Tire Wholesale. Earlier court orders had already permitted the trustee to use cash collateral and the Heartland credit line temporarily while the business continued operating. The trustee's prior financial projections accurately anticipated that the Heartland line of credit would be exhausted by mid-February 2026. Subsequently, the trustee secured a new $250,000 line of credit from Cornerstone National Bank & Trust Company, approved by the court on March 4 to fund working capital and estate administration expenses. However, the agreement specifically excludes using those funds for litigation against company insiders or principals because an affiliated entity owning the business property serves as collateral for the credit line. The trustee said the funds are necessary to maintain ordinary business operations, including payroll, rent, utilities, insurance, vendor payments, and professional fees associated with administering the bankruptcy estate. Continued operations will preserve the Debtor's going-concern value and allow time to determine the best outcome for creditors, whether through reorganization, sale of assets, or another transaction, according to the trustee. About Fuller's Service Center Inc. Fuller's Service Center, Inc. operates a car wash and automotive repair business in Hinsdale, Illinois. Fuller's Service Center sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ill. Case No. 25-01345) on January 29, 2025, listing up to $1 million in assets and up to $10 million in liabilities. Douglas A. Fuller Jr., president of Fuller's Service Center, signed the petition. Judge Deborah L. Thorne oversees the case. N. Neville Reid, the Chapter 11 trustee appointed in the Debtor's case, tapped Fox, Swibel, Levin & Carroll, LLP as general bankruptcy counsel; Commercial Recovery Associates, LLC as financial advisor; and Ravinia Capital, LLC as investment banker. Heartland Bank & Trust Company, as secured creditor, is represented by: Michael A. O'Brien, Esq. O'Brien Law Offices, P.C. 124A S. County Farm Rd. Wheaton, IL 60187 Phone: 630-871-9400 mobrien@obrienlawoffices.com service@obrienlawoffices.com GALAXY GAMING: Liabilities Exceed Assets by $16.2M at March 31 -------------------------------------------------------------- Galaxy Gaming, Inc.'s stockholder's deficit was US$16.2 million at March 31, 2026. The stockholder's deficit was US$17.5 million at Dec. 31, 2025. At March 31, 2026, the Company had total assets of US$27.0 million and total liabilities of US$43.2 million. At Dec. 31, 2025, the Company had total assets of US$27.5 million and total liabilities of US$45.0 million. Galaxy Gaming, Inc., depicts a business that is currently funding itself predominantly through operating cash flow, while carrying a sizable secured term loan that was refinanced in early 2025. The Company said: "On January 6, 2025, we entered into a new credit agreement with BMO that provides for a $2,000,000 senior secured revolving credit facility and a $45,000,000 senior secured term loan," and confirmed that the term loan and revolver now mature on January 6, 2028. As of March 31, 2026, the Company had no borrowings on the revolver, but the $45 million term loan remains a central long-term obligation, subject to covenants and amortization. From a liquidity standpoint, Galaxy reported total current assets of $10,949,227 as of March 31, 2026 versus current liabilities of $7,320,803, indicating a positive working capital position. Operating activities generated $2,544,086 of cash in the first quarter of 2026, a significant increase over the prior-year period, which management attributes mainly to the swing from a net loss to net income and better working capital management. The Company stated: "Based on our current forecast of operations, we believe we will have sufficient liquidity to fund our operations and to meet the obligations under our financing arrangements as they come due over at least the next 12 months." Despite positive operating cash flow, the Company is deploying material cash into growth and development, which tightens its cash runway if operating results deteriorate. Investing activities used $1,030,320 in cash for the quarter, driven by "higher expenditures for assemblies in process and increased investment in internally developed software." Management also cautions that continuing to apply for new or enhanced gaming licenses "may result in significant future legal and regulatory expenses" and notes that a significant increase in such costs could force a postponement of growth initiatives or R&D investments. The refinancing from Fortress to BMO eliminated the prior facility but came with a meaningful cost and leaves the Company dependent on servicing a large, secured term loan through 2028. The Company acknowledged a prior-period "loss on extinguishment of debt of $2,969,585...related to the refinancing of our debt from Fortress to BMO," underscoring that debt restructuring has already consumed equity value and cash flexibility. Management further notes that while ongoing operations have historically funded obligations, "We may require additional capital to undertake acquisitions or to repay in full our indebtedness," and access to that capital will depend on market conditions and investor perceptions. The pending all-cash merger with Evolution Malta Holding Limited is an important contingent liquidity event, but it remains uncertain and subject to regulatory approvals. The Company explains that the outside date for completion has been repeatedly extended, most recently to July 17, 2026, and concedes that "no assurance can be given that the required regulatory approvals will be obtained and, even if all such approvals are obtained, no assurance can be given to the timing." If the merger does not close, Galaxy will remain a highly leveraged standalone entity whose ability to service the BMO term loan, absorb rising regulatory and licensing costs, and continue discretionary investments will be tested by any downturn in operating cash flow or restricted access to external capital. A full-text copy of the Form 10-Q is available at https://tinyurl.com/h24d6rme About Galaxy Gaming Galaxy Gaming Inc. (OTC: GLXZ) is a global gaming company based in Nevada that specializes in the design, development, acquisition, assembly, marketing, and licensing of proprietary casino table games, side bets, and associated technology for the casino and iGaming industries. It markets its products and services to both online and land-based casinos worldwide, with a presence in regions including North America, the Caribbean, Europe, and Africa. The Company aims to enhance gaming operations and profitability for casinos while providing innovative gaming entertainment to players. GENESIS HEALTHCARE: Plan Exclusivity Period Extended to June 1 -------------------------------------------------------------- Judge Stacey G. Jernigan of the U.S. Bankruptcy Court for the Northern District of Texas extended Genesis Healthcare, Inc., and its affiliates' exclusive periods to file a plan of reorganization and obtain acceptance thereof to June 1 and July 1, 2026, respectively. As shared by Troubled Company Reporter, the Debtors explain that as set forth in the First Exclusivity Extension Motion and Second Exclusivity Extension Motion, the Chapter 11 Cases, comprising 299 Debtors, are sufficiently large and complex to warrant the requested extension of the Exclusive Periods. Thus, the Debtors submit that the size and complexity of the Chapter 11 Cases weigh in favor of granting the requested extension of the Exclusive Periods. The Debtors claim that the companies and their professionals have focused much of their time, energy, and resources on administering the Chapter 11 Cases in the ordinary course of business, obtaining Court approval of additional necessary DIP financing, negotiating with vendors and other creditors, including the Committee, WSSH, and NewGen, participating in mediation discussions with their lenders and the Committee, and participating in plan negotiations with the Committee. While the Debtors have not yet filed a plan and disclosure statement, the Debtors intend to file their proposed chapter 11 plan and disclosure statement in the near term. The Debtors state that they have made and will continue to make timely payments on their undisputed post-petition obligations in the ordinary course, meaning that the requested extension of the Exclusive Periods will not prejudice the legitimate interests of post-petition creditors. As such, this factor also weighs in favor of extending the Exclusive Periods. The Debtors assert that they have no ulterior motive in seeking an extension of the Exclusive Periods, nor are they seeking an extension of the Exclusive Periods to pressure or prejudice any of their stakeholders. To the contrary, the Debtors are requesting a further extension of the Exclusive Periods to allow for additional time to ideally resolve any plan-related disputes with the Committee and other parties-in-interest prior to filing their proposed chapter 11 plan and disclosure statement, free from distraction or competing plan proposals. Counsel for the Debtors: Marcus A. Helt, Esq. Jack G. Haake, Esq. Grayson Williams, Esq. MCDERMOTT WILL & EMERY LLP 2801 N. Harwood Street, Suite 2600 Dallas, Texas 75201-1574 Tel: (214) 295-8000 Fax: (972) 232-3098 Email: mhelt@mwe.com jhaake@mwe.com gwilliams@mwe.com - and - Daniel M. Simon, Esq. Emily C. Keil, Esq. William A. Guerrieri, Esq. MCDERMOTT WILL & EMERY LLP 444 West Lake Street, Suite 4000 Chicago, Illinois 60606 Tel: (312) 372-2000 Fax: (312) 984-7700 Email: dsimon@mwe.com ekeil@mwe.com wguerrieri@mwe.com 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. GREEN VILLA: Initiates Chapter 11 Bankruptcy in Texas ----------------------------------------------------- On May 15, 2026, Green Villa Investments, L.L.C. commenced a voluntary Chapter 11 case in the Northern District of Texas bankruptcy court. Court documents indicate the company reports liabilities ranging from $1 million to $10 million and between 1 and 49 creditors. A meeting of creditors under Section 341(a) to be held on June 18, 2026 at 08:30 AM by TELEPHONE. The deadline for filing government proof of claim is on November 12, 2026. About Green Villa Investments, L.L.C. Green Villa Investments, L.L.C. operates as a commercial real estate and investment-focused business entity. The company filed for protection under Chapter 11 of the Bankruptcy Code on May 15, 2026, under Case No. 26-42136. Bankruptcy filings list estimated assets of $1 million to $10 million and estimated liabilities within the same range. Honorable Bankruptcy Judge Edward L. Morris presides over the proceeding. The Debtor is represented by Robert Thomas DeMarco, Esq. GREENE AVENUE: Unsecureds to Recover 39% in Lender's Plan --------------------------------------------------------- Toorak Capital Partners LLC ("Lender" or the "Plan Proponent") submitted a Disclosure Statement describing Plan of Reorganization for Greene Avenue Freedom LLC dated May 11, 2026. The Debtor is the owner of real property located at 1172 Greene Avenue, Brooklyn, New York 11221 (the "Property"). The Property is the Debtor's sole significant asset. The Property is a residential, 1-4 family house, in the Bushwick neighborhood of Brooklyn. The building is currently subject to a month-to-month tenancy. Sharon M. Brown is the sole member of the Debtor. Toorak, as assignee, is the holder of an Amended Restated and Consolidated Promissory Note dated March 1, 2022, in the principal amount of $670,000.00 (the "Note"), secured by that certain Agreement of Consolidation and Modification of Mortgage, Security Agreement, Assignment of Rents, and Fixture Filing (the "Mortgage," and together with the Note and all related documents, the "Loan Documents") encumbering the Property. The Debtor defaulted under the Loan Documents. As a result, Toorak commenced a foreclosure action in the Supreme Court of the State of New York, County of Kings (the "State Court"). On May 28, 2025, the State Court entered a Judgment of Foreclosure and Sale (the "Foreclosure Judgment"), awarding Toorak a judgment of foreclosure and sale in the sum of $923,917.15, together with interest, costs and attorney's fees and permitting the Property to be sold at public auction under the direction of the State Court referee. Toorak scheduled a sale of the Property for July 24, 2025. On the Petition Date, one day prior to the scheduled foreclosure sale, the Debtor filed a voluntary petition for relief under chapter 11 of the Bankruptcy Code, commencing the chapter 11 case. Toorak's Plan provides for an auction sale of the Property in accordance with the bidding procedures in Exhibit A to the Plan. In furtherance of the sale of the Property, Toorak may retain a real estate broker upon the following terms: the broker will be entitled to a broker commission of 5% paid by the successful bidder as a buyer's premium, provided that the broker's commission is 2% if Toorak is the successful bidder by credit bid. Broker's retention will be a post-confirmation retention by a non-debtor party, and the broker's commission will be paid by the buyer, not the Debtor. The Plan Proponent believes that confirmation of the Plan provides the best opportunity for maximizing recoveries for the Debtor's creditors. The Plan provides that creditors will be paid from Cash turned over by the Debtor to the Disbursing Agent and Sale Proceeds, and, if necessary, the GUC Contribution and other Cash contributed by Toorak, in the priority established under the Bankruptcy Code. Under the Plan, counsel for the Plan Proponent, as disbursing agent, will make distributions to creditors. Class 4 consists of General Unsecured Claims. In full satisfaction of Class 4 General Unsecured Claims, the holder of such Claims shall receive the following treatment: on the Effective Date, each holder of a Class 4 General Unsecured Claim shall receive from the Disbursing Agent, unless otherwise agreed in writing between the Plan Proponent and the holder of such Claim, its Pro Rata payment of the remaining Cash from the Sale Proceeds after payment of Allowed Administrative Expenses, Allowed Professional Fee Claims, Allowed Post-Petition Tax Claims, Class 1 Claims, Class 2 Claims, and Class 3 Claims; provided, however, if the amount of such remaining Cash from the Sale Proceeds available to pay Allowed Class 4 Claims is less than $5,000.00, Secured Creditor will fund the GUC Contribution from the Plan Proponent Contribution to ensure the Pro Rata distribution to Class 4 General Unsecured Claims. The holders of the Claims in Class 4 are impaired and are entitled to vote to accept or reject the Plan. The allowed unsecured claims total $12,771.43. This Class will receive a distribution of 39% of their allowed claims. Class 5 consists of Equity Interests. On the Effective Date, all Interests of Equity Holders shall be cancelled and extinguished. The Debtor, through its managing member, shall remain responsible for winding up its affairs in accordance with applicable New York law, without interfering with the Disbursing Agent's performance under the Plan. Class 5 Equity Interests are not receiving any distribution under the Plan, and thus Interest Holders are deemed to reject the Plan and are not entitled to vote to accept or reject the Plan. Payments under the Plan will be paid from either the Sale Proceeds, Cash turned over by the Debtor to the Disbursing Agent pursuant to Section 6.1 of the Plan, and/or the Plan Proponent Contribution. Prior to or on the Effective Date, the Property shall be sold to the Purchaser, pursuant to sections 363(f), 1123(a)(5)(D), and 1141(c) of the Bankruptcy Code free and clear of all Liens (except permitted encumbrances as determined by the Purchaser), with any such Liens, Claims and encumbrances to attach to the Sale Proceeds and disbursed in accordance with the provisions of the Plan. A full-text copy of the Disclosure Statement dated May 11, 2026 is available at https://urlcurt.com/u?l=dUqj9P from PacerMonitor.com at no charge. Attorneys for Toorak Capital Partners LLC: OFFIT KURMAN, P.A. Jason A. Nagi, Esq. Kenneth J. Flickinger, Esq. 590 Madison Avenue 6th Fl. New York, New York 10002 (212) 545-1900 Email: jason.nagi@offitkurman.com kenneth.flickinger@offitkurman.com About Greene Avenue Freedom LLC Greene Avenue Freedom LLC owns and manages a multi-family residential property located at 1172 Greene Avenue in Brooklyn, New York. Greene Avenue Freedom LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D.N.Y. Case No. 25-43472) on July 23, 2025. In its petition, the Debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $500,000 and $1 million. Honorable Bankruptcy Judge Jil Mazer-Marino handles the case. The Debtor is represented by Scott S. Markowitz, Esq. at TARTER KRINSKY & DROGIN LLP. HAIN CELESTIAL: Q3 2026 Net Loss Narrows to $106.3M; Doubt Persists ------------------------------------------------------------------- The Hain Celestial Group, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $106.3 million for the three months ended March 31, 2026, compared to a net loss of $134.6 million for the same period in the prior year. For the nine-month period ended March 31, 2026, the Company reported a net loss of $243 million, compared to a net loss of $258.2 million in the corresponding prior-year period. Revenues for the three months ended March 31, 2026 were $338.4 million, compared to $390.4 million in the prior-year period. Revenues for the nine months ended March 31, 2026 was $1.1 billion, compared to $1.2 billion in the same period of the prior year. Liquidity and Capital Resources The Company finances its operations and growth primarily with the cash flows it generates from its operations and from borrowings available under its Credit Agreement. The Company believes that its cash flows from operations and borrowing capacity under its Credit Agreement will be adequate to meet anticipated operating and other expenditures. As of March 31, 2026, the Company had approximately $549.8 million of debt obligations maturing on December 22, 2026, consisting of $401 million of loans outstanding under the Revolver and $148.8 million of Term Loans. As of March 31, 2026, the Company had cash of $44.3 million and available liquidity of $195.9 million, subject to compliance with financial covenants, and the Company was in compliance with all associated covenants under its Credit Agreement. On January 2, 2026, the Company received $25.9 million of proceeds from an insurance claim, which it used to repay loans outstanding under the Revolver, reducing the Company's outstanding debt obligations. The Company announced that its Board of Directors commenced a strategic review of the Company's business and capital structure, in part to evaluate options to improve liquidity and reduce leverage. As part of this review, on February 27, 2026, the Company completed the sale of its North American Snacks Business and received $111.2 million in cash. The net proceeds of $101.1 million were used to repay a portion of the Term Loans. The Company and the Board of Directors remain focused on executing the next phases of the strategic review and taking decisive actions to strengthen the Company's financial flexibility, improve performance and address the upcoming debt maturity under the Credit Agreement. These actions include the pursuit of further asset sales to refine the Company's operating model with a focus on categories and platforms in key markets. In addition, the Company is executing targeted inventory and other working capital optimization initiatives designed to improve the Company's cash conversion and enhance liquidity. The Company also continues to actively engage with its lenders while it evaluates potential strategic transactions. The Company believes that the successful execution of these plans will enable it to refinance and/or retire the existing debt prior to its maturity or extend the maturity date under the Credit Agreement. However, Accounting Standards Codification 205-40, "Presentation of Financial Statements - Going Concern" requires that management not conclude that such an outcome is "probable" if, among other factors, the outcome is not within the control of the Company. Accordingly, there is substantial doubt about the Company's ability to continue as a going concern for at least one year following the date of issuance of these financial statements due to the uncertainty regarding the Company's ability to refinance or repay its debt due on December 22, 2026 because no such refinancing, retirement or extension has occurred prior to the issuance of the financial statements. The Company's ability to continue as a going concern remains subject to successful execution of its strategic plan and securing additional financing, if needed. If the Company is unable to execute its plans to generate sufficient liquidity, it may not have adequate resources to repay or refinance its debt, which would have a material adverse effect on its financial position and results of operations. The consolidated financial statements have been prepared assuming that the Company will continue as a going concern, and no adjustments have been made to the financial statements to reflect the possibility of the Company's inability to meet its debt obligations or continue as a going concern. Amended and Restated Credit Agreement On December 22, 2021, the Company entered into a Fourth Amended and Restated Credit Agreement. The Credit Agreement originally provided for senior secured financing of $1,100 million in the aggregate, consisting of: (1) $300 million in aggregate principal amount of term loans and (2) an $800 million senior secured revolving credit facility (which includes borrowing capacity available for letters of credit, and was originally comprised of a $440 million U.S. revolving credit facility and $360 million global revolving credit facility). Both the Revolver and the Term Loans mature on December 22, 2026. The Company's obligations under the Credit Agreement are guaranteed by certain existing and future domestic subsidiaries of the Company and are secured by liens on assets of the Company and its material domestic subsidiaries, including the equity interest in each of their direct subsidiaries and intellectual property, subject to agreed-upon exceptions. The Credit Agreement includes financial covenants that require compliance with a consolidated secured leverage ratio, a consolidated leverage ratio and a consolidated interest coverage ratio. On August 22, 2023, the Company entered into a Second Amendment to the Credit Agreement. Pursuant to the Second Amendment, the Company's maximum consolidated secured leverage ratio was amended to be 5.00:1.00 until September 30, 2023, 5.25:1.00 until December 31, 2023, 5.00:1.00 until December 31, 2024, and 4.25:1.00 thereafter. Following the Fourth Amendment, the Company's maximum consolidated secured leverage ratio under the Credit Agreement was 5.00:1.00 until June 30, 2025 and is 5.50:1.00 for the quarter ending September 30, 2025 and thereafter. Pursuant to the Credit Agreement, the Company's maximum consolidated leverage ratio is 6.00:1.00 and, through June 30, 2025, its minimum interest coverage ratio was 2.50:1.00. As of March 31, 2026, the Company's consolidated secured leverage ratio, consolidated leverage ratio and consolidated interest coverage ratio were 4.31:1.00, 4.31:1.00 and 2.30:1.00, respectively, and the Company was in compliance with all associated covenants. The aforementioned financial covenants are being reported as calculated under the Credit Agreement and not pursuant to generally accepted accounting principles in the U.S. From the date of the Second Amendment until the date of the Third Amendment, loans under the Credit Agreement bore interest at: (a) the Secured Overnight Financing Rate plus a credit spread adjustment of 0.10% plus 2.5% per annum or (b) the Base Rate (as defined in the Credit Agreement) plus 1.5% per annum. On May 5, 2025, the Company entered into a Third Amendment to the Credit Agreement. Pursuant to the Third Amendment, the Company's maximum consolidated secured leverage ratio was amended to be 4.75:1.00 for the quarter ending June 30, 2025 through (and including) the quarter ending March 31, 2026, 4.50:1.00 for the quarter ending June 30, 2026, and 4.25:1.00 for the quarter ending September 30, 2026 and thereafter. Commencing on the date of the Third Amendment, loans under the Credit Agreement bore interest at: (a) Term SOFR plus 3.00% per annum or (b) the Base Rate plus 2.00% per annum. The Third Amendment also reduced the size of the Revolver from $800 million to $700 million in the aggregate, with the U.S. revolving credit facility reduced from $440 million to $385 million and the global revolving credit facility reduced from $360 million to $315 million. On September 11, 2025, the Company entered into a Fourth Amendment to the Credit Agreement. Pursuant to the Fourth Amendment: (x) the Company's maximum consolidated secured leverage ratio was amended to be 5.00:1.00 for the quarter ending June 30, 2025 and 5.50:1.00 for the quarter ending September 30, 2025 and thereafter, (y) the Company's minimum consolidated interest coverage ratio was amended to be 2.00:1.00 for the quarter ending September 30, 2025 and thereafter and (z) a covenant was added requiring the Company to maintain a minimum Consolidated EBITDA (as such term is defined in the Credit Agreement as amended by the Fourth Amendment) of: (i) $17 million for the quarter ending September 30, 2025 and (ii) $52 million for the cumulative two quarters ending September 30, 2025 and on December 31, 2025. The aforementioned financial covenants use financial measures that are defined under the Credit Agreement and not pursuant to GAAP. Commencing on the date of the Fourth Amendment, loans under the Credit Agreement bear interest at: (a) Term SOFR plus 4.00% per annum or (b) the Base Rate plus 3.00% per annum. The Fourth Amendment also reduced the size of the Revolver from $700 million to $600 million in the aggregate, with the U.S. revolving credit facility reduced from $385 million to $330 million and the global revolving credit facility reduced from $315 million to $270 million. Excluding the impact of hedges, the weighted average interest rate on outstanding borrowings under the Credit Agreement at March 31, 2026 was 7.74%. The Company uses interest rate swaps to hedge a portion of the interest rate risk related to its outstanding variable rate debt. As of March 31, 2025, the notional amount of the interest rate swaps was $400,000 with fixed rate payments of 7.12%. Including the impact of hedges, the weighted average interest rate on outstanding borrowings under the Credit Agreement at March 31, 2026 was 7.41%. Additionally, the Credit Agreement contains a commitment fee of 0.25% per annum on the amount unused under the Credit Agreement. Management Comments "Third quarter results reflect improving execution and financial discipline as we continued to strengthen our foundation and advance our turnaround strategy. Strong cash generation and debt reduction materially improved our financial position, while the completion of the North American snacks divestiture further enhances our margin and cash flow profile going forward. In North America, our core business remains resilient, and we are making progress in addressing stranded costs. Our near-term priorities remain the same: optimize cash, strengthen the balance sheet, improve profitability, and stabilize sales, while our five actions to win position Hain for sustainable, profitable growth," stated Alison Lewis, President and CEO. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/ch39vdnk About Hain Celestial Group The Hain Celestial Group, Inc., a Delaware corporation was founded in 1993. Hain Celestial is a global health and wellness company whose purpose is to inspire healthier living for people, communities and the planet through better-for-you brands. For more than 30 years, Hain Celestial has intentionally focused on delivering nutrition and well-being that positively impacts today and tomorrow. Headquartered in Hoboken, N.J., Hain Celestial's products across snacks, baby & kids, beverages, and meal preparation are marketed and sold in over 70 countries around the world. The Company operates under two reportable segments: North America and International. As of March 31, 2026, the Company had $1.2 billion in total assets, $947.2 million in total liabilities, and $215.5 million in total stockholders' equity. HANSEN-MUELLER CO: Court OKs $1MM Payout for Farmers in Ch. 11 Case ------------------------------------------------------------------- Kellan Heavican of Brownfield reports that Hansen Mueller Coop. will pay approximately $1 million to farmers after Nebraska regulators approved restitution claims stemming from unpaid grain contracts. The payments follow the company’s Chapter 11 bankruptcy proceedings earlier this year. The grain company lost its status as a licensed grain dealer after failing to pay producers for grain deliveries. The Nebraska Public Service Commission reviewed and approved verified claims submitted by 12 affected farmers, the report states. PSC Vice Chair Kevin Stocker said the outcome underscores the effectiveness of industry regulations designed to protect agricultural producers. The restitution proceeds will be distributed on a prorated basis of about 90 cents per dollar claimed. 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. HAYDEE'S CAFE: Seeks to Use Cash Collateral ------------------------------------------- Haydee's Cafe, LLC asks the U.S. Bankruptcy Court for the Northern District of Georgia, Gainesville Division, to use cash collateral and provide adequate protection. The Debtor seeks immediate access to cash collateral to continue operations, preserve jobs, and prevent irreparable harm, warning that without funding it would have to shut down and lose value and employment. The Debtor identifies two creditors with potential claims against its assets: Financial Pacific Leasing, Inc. and WebBank. Financial Pacific filed a UCC financing statement in November 2024, asserting a security interest in all equipment and personal property of the Debtor. The Debtor questions whether that lien extends to cash collateral. Meanwhile, WebBank filed multiple UCC financing statements asserting a security interest in accounts receivable and payment rights arising from sales of goods and services. However, the Debtor argues that because it operates as a retail restaurant where customers pay immediately at the point of sale, it does not actually maintain accounts receivable, casting doubt on whether WebBank's lien reaches the restaurant's operating cash. The Debtor reserves all rights to challenge the validity, priority, and enforceability of any asserted liens or secured claims, including potential avoidance actions under bankruptcy law. To provide adequate protection for any creditor ultimately determined to have a valid interest in cash collateral, the Debtor proposes granting replacement liens on post-petition collateral of the same type, extent, and priority as any pre-petition liens, excluding proceeds from avoidance actions under Chapter 5 of the Bankruptcy Code. Haydee's Cafe encountered financial difficulties after Sepulveda opened a second restaurant location, Haydee's Cafe & Cantina, in 2023 using SBA-backed financing. Although the second location ultimately failed and closed, the Debtor remained liable as a guarantor on the loan, leaving it responsible for significant debt despite not directly receiving the loan proceeds. A copy of the motion is available at https://urlcurt.com/u?l=vsIG1q from PacerMonitor.com. About Haydee's Cafe LLC Haydee's Cafe, LLC is a Gainesville, Georgia restaurant operating since 2016. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 26-20624) on April 24, 2026. In the petition signed by Luis Sepulveda, president, the Debtor disclosed up to $50,000 in assets and up to $1 million in liabilities. William Rountree, Esq., at Rountree, Leitman, Klein & Geer, LLC, represents the Debtor as legal counsel. HEALING WITH CAARE: Seeks to Use Cash Collateral ------------------------------------------------ Healing with Caare, Inc. asks the U.S. Bankruptcy Court for the Middle District of North Carolina for authority to use cash collateral and provide adequate protection. The Debtor needs to use cash collateral for operating expenses including payroll, insurance, maintenance, taxes, supplies, and other day-to-day business costs necessary to preserve the business and maintain services. The Debtor's principal assets consist primarily of accounts receivable generated from its services and certain real estate holdings. It estimates the value of its secured assets at around $600,000, indicating that there is likely sufficient equity in the collateral to protect lenders' interests. Secured lenders Wells Fargo Bank and Institute Capital hold security interests in the Debtor's assets while the Internal Revenue Service may also hold liens on all assets because of unpaid tax obligations. At the time of the Debtor's Chapter 11 filing, the combined debt owed to Wells Fargo and Institute Capital was estimated at approximately $465,000, excluding additional attorneys' fees, costs, and related charges. A court hearing is set for May 27. A copy of the motion is available at https://urlcurt.com/u?l=l7ZKJp from PacerMonitor.com. About Healing With Caare Inc. Healing With Caare Inc. operates a substance use treatment provider in Durham, North Carolina. The organization provides outpatient and residential treatment services, including outpatient counseling, opioid treatment, intensive and comprehensive outpatient programs, DWI services, counseling, clinical assessments, case management, peer support, and recovery support services. It serves adults with substance use disorders, and its residential program serves men in recovery. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. N.C. Case No. 26-80137) on May 6, 2026. In the petition signed by Carolyn Hinton, president and executive director, the Debtor disclosed up to $10 million in both assets and liabilities. Judge Lena M. James oversees the case. Florence A. Bowens, Esq., at Florence A. Bowens, Attorney at Law, represents the Debtor as bankruptcy counsel. HERITAGE HOTELS: RMC Entitled to $131K Judgment ----------------------------------------------- Judge Marvin Isgur of the U.S. Bankruptcy Court for the Southern District of Texas held that Restoration Management Company ("RMC") is entitled to $131,967.28 judgment in the adversary proceeding captioned as HERITAGE HOTELS ROCKPORT LLC, Plaintiff, VS. JON K TAKATA, Defendant, ADVERSARY NO. 24-2007 (Bankr. S.D. Tex.). RMC is the prevailing party in the dispute governed by the the Emergency Services Agreement. RMC is awarded $804,888.54 in actual damages (including interest and other charges) and $199,338.73 in attorney's fees and expenses, for total recovery of $1,004,227.27. Heritage was the prevailing party in the reconstruction dispute governed by the Time and Materials Agreement. Heritage is awarded $207,193.88 in actual damages (including prejudgment interest), and $665,066.11 in attorney's fees and costs for total recovery of $872,259.99. According to the Court, RMC may recover reasonable attorney's fees incurred in connection with the ESA dispute, but cannot recover fees incurred in connection with the reconstruction dispute governed by the Time & Materials Agreement. The sole issue in the ESA dispute was whether RMC properly billed third party labor. RMC prevailed on that issue. Heritage Hotels LLC did not allege that RMC's performance was untimely or unsatisfactory. Conversely, the T&M Agreement dispute was more complex. It involved a different set of facts and claims. While it involved a similar billing dispute under the ESA, a substantial portion of trial was devoted to whether construction delays were attributable to RMC or Heritage, whether RMC materially breached the T&M Agreement, justifying Heritage's termination for cause, and the reasonable cost to complete RMC's scope of work of the Lighthouse Inn Project. The Court finds that the work between the two contracts is not so intercorrelated as to render segregation impossible. Judgment will be issued in favor of RMC equal to the difference between the two damages award. The Court finds after offsetting RMC's recovery under the ESA ($1,004,227.27) against Heritage's recovery under the T&M Agreement ($872,259.99), RMC is entitled to $131,967.28 judgment. A copy of the Court's Memorandum Opinion dated May 15, 2026, is available at https://urlcurt.com/u?l=wBON8a from PacerMonitor.com. About Heritage Hotels Rockport Heritage Hotels is part of the traveler accommodation industry. Heritage Hotels Rockport LLC in Marble Falls, TX, filed its voluntary petition for Chapter 11 protection (Bankr. S.D. Tex. Case No. 24-20201) on July 24, 2024, listing as much as $10 million to $50 million in both assets and liabilities. James R. Reese, manager, signed the petition. The Debtor tapped the Law Office of Vincent Slusher as bankruptcy counsel and Weinstein Radcliff Pipkin LLC as special litigation counsel. HERTZ VEHICLE III: Moody's Assigns (P)Ba2 Rating to 2026-1 D Notes ------------------------------------------------------------------ Moody's Ratings has assigned provisional ratings to the series 2026-1 and series 2026-2 rental car asset-backed notes to be issued by Hertz Vehicle Financing III LLC (HVF III, or the issuer), which is Hertz's rental car ABS master trust facility. The series 2026-1 notes and the series 2026-2 notes will have an expected final payment date in three and five years, respectively. HVF III is a Delaware limited liability company, a bankruptcy-remote special purpose entity, and a direct subsidiary of The Hertz Corporation (Hertz, B2 negative). The collateral backing the notes consists of a fleet of vehicles and a single operating lease of the fleet to Hertz for use in its rental car business, as well as certain manufacturer and incentive rebate receivables owed to the issuer by the original equipment manufacturers (OEMs). The complete rating actions are as follows: Issuer: Hertz Vehicle Financing III LLC Series 2026-1 Rental Car Asset Backed Notes, Class A, Assigned (P)Aaa (sf) Series 2026-1 Rental Car Asset Backed Notes, Class B, Assigned (P)A1 (sf) Series 2026-1 Rental Car Asset Backed Notes, Class C, Assigned (P)Baa3 (sf) Series 2026-1 Rental Car Asset Backed Notes, Class D, Assigned (P)Ba2 (sf) Series 2026-1 Rental Car Asset Backed Notes, Class E, Assigned (P)Ba3 (sf) Series 2026-2 Rental Car Asset Backed Notes, Class A, Assigned (P)Aaa (sf) Series 2026-2 Rental Car Asset Backed Notes, Class B, Assigned (P)A1 (sf) Series 2026-2 Rental Car Asset Backed Notes, Class C, Assigned (P)Baa3 (sf) Series 2026-2 Rental Car Asset Backed Notes, Class D, Assigned (P)Ba2 (sf) Series 2026-2 Rental Car Asset Backed Notes, Class E, Assigned (P)Ba3 (sf) RATINGS RATIONALE The provisional ratings of the notes are based on (1) the credit quality of the collateral in the form of rental fleet vehicles, which The Hertz Corporation (Hertz) uses to operate its rental car business, (2) the credit quality of Hertz, which has a corporate family rating of B2 with a negative outlook, as the primary lessee and guarantor under the single operating lease, (3) the experience and expertise of Hertz as sponsor and administrator, (4) consideration of the rental car market conditions, (5) the available credit enhancement, which consists of over-collateralization, (6) the required minimum liquidity in the form of cash and/or a letter of credit, and (7) the transaction's legal structure, including standard bankruptcy remoteness and security interest provisions. In addition, the assumptions Moody's applied in the analysis of this transaction are the same as those applied in the analysis of the series 2025-5 and series 2025-6 transactions. Some of the key assumptions Moody's applied in Moody's quantitative analysis of these transactions are provided in the Hertz Vehicle Financing III LLC, Series 2026-1 and Series 2026-2 pre-sale report. Detailed application of the assumptions is provided in the methodology. The required credit enhancement for the series 2026-1 and series 2026-2 notes is a blended rate, which is a function of Moody's ratings on the vehicle manufacturers and defined asset categories. The actual required amount of credit enhancement fluctuates based on the mix of vehicles in the securitized fleet. Consistent with prior transactions, the series are subject to a credit enhancement floor of 9.00% in the form of over-collateralization, regardless of fleet composition. The series 2026-1 and series 2026-2 class A, B, C, and D notes also benefit from subordination of 34.6%, 25.0%, 12.2%, and 4.6% of the outstanding balance of each series, respectively. The minimum liquidity enhancement amount is around 3.75% of the outstanding note balance for the series 2026-1 notes and 4.00% for the series 2026-2 notes, sized to cover six months of interest plus 50 basis points. PRINCIPAL METHODOLOGY The principal methodology used in these ratings was "Rental Vehicle Securitizations" published in June 2024. Factors that would lead to an upgrade or downgrade of the ratings: Up Moody's could upgrade the ratings of the series 2026-1 and series 2026-2 notes if (1) the credit quality of the lessee improves, (2) assumptions of the credit quality of the pool of vehicles collateralizing the transaction were to improve, as reflected by a stronger mix of program and non-program vehicles and stronger credit quality of vehicle manufacturers, or (3) the residual values of the non-program vehicles collateralizing the transaction were to increase materially relative to Moody's expectations. Down Moody's could downgrade the ratings of the series 2026-1 and series 2026-2 notes if (1) the credit quality of the lessee deteriorates or a corporate liquidation of the lessee were to occur and introduce operational complexity in the liquidation of the fleet or other risks, (2) assumptions of the credit quality of the pool of vehicles collateralizing the transaction were to weaken, as reflected by a weaker mix of program and non-program vehicles and weaker credit quality of vehicle manufacturers, or (3) reduced demand for used vehicles results in lower sales volumes and sharp declines in used vehicle prices above Moody's assumed depreciation. HRONIS INC: Committee Wins Bid to Employ Raines Feldman as Counsel ------------------------------------------------------------------ The official committee of unsecured creditors of Hronis, Inc. and its affiliates received approval from the U.S. Bankruptcy Court for the Eastern District of California to employ Raines Feldman Littrell LLP as its counsel. The firm will render these services: a. provide legal advice with respect to the Committee's powers and duties in the context of these Cases; b. assist and advise the Committee in its consultation with the Debtors and others regarding the administration of these Cases; c. attend meetings and negotiate with the Debtors, the Debtors' lender, and other creditors and parties in interest; d. appear, as appropriate, before the Court, relevant appellate courts, and in other appropriate forums, and to represent the interests of the Committee before said Courts and in said forums; e. advise the Committee in connection with proposals and pleadings submitted by the Debtors or others to this Court; f. generally prepare on behalf of the Committee all necessary applications, motions, answers, orders, reports, and other legal papers in support of positions taken by the Committee; g. assist and advise the Committee with respect to the Debtors' post-petition financing and the Debtors' process to sell their assets; h. take all necessary action to protect and preserve the interests of unsecured creditors represented by the Committee, including: (i) assessing the validity, priority and scope of liens and claims; (ii) to investigate and prosecute actions on the Committee's behalf, and (iii) to conduct negotiations concerning all litigation in which the Debtor, the estate or the Committee is or maybe involved; i. assist the Committee in the review, analysis, negotiation, and preparation of any plan(s) and to assist the Committee in the review, analysis, negotiation, and preparation of the disclosure statement accompanying any plan(s); j. advise the Committee on the retention of other professionals and experts to assist in the engagement, as needed; k. retain expert professional assistance and witnesses, as necessary; and l. perform all other necessary legal services for the Committee in connection with these Cases. The firm's hourly rates are: Partners and Of Counsel $635 to $1,575 Associates $460 to $795 Paraprofessionals $250 to $495 The firm has agreed to a blended attorney rate of $600/hour. Raines Feldman Littrell 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 through: Robert S. Martice, Esq. Raines Feldman Littrell LLP 4675 MacArthur Court, Suite 1550 Newport Beach, CA 92660 Telephone: (310) 440-4100 Facsimile: (310) 691-1943 Email: rmarticello@raineslaw.com A copy of the Court's Order dated May 20, 2026, is available at http://urlcurt.com/u?l=UzKy9lfrom PacerMonitor.com. About Hronis Inc. Hronis, Inc. is an agricultural company based in Delano, California, that grows, harvests and markets table grapes in California's San Joaquin Valley, with operations dating to 1945. The business cultivates grapes on about 6,000 acres of owned and leased land in Kern and Tulare counties and produces more than 80 million pounds of table grapes annually, supplying major retailers, supermarket chains and other commercial customers through a vertically integrated operation that includes hand harvesting, packing, cold storage and distribution. The company also grows citrus and has begun planting pistachios, which are in early-stage development. The Debtors sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Cal. Lead Case 26-10978) on March 6, 2026, with between $50 million and $100 million in both assets and liabilities. Judge Rene Lastreto II oversees the cases. The Debtors tapped Zev M. Schectman, Esq., and Steven F. Werth, Esq., Mariam Khoudari, Esq., at Saul Ewing, LLP as bankruptcy counsel and Donlin, Recano and Co. as claims and noticing agent. HUNTERSTOWN GENERATION: Moody's Affirms Ba3 Rating on Secured Loans ------------------------------------------------------------------- Moody's Ratings has affirmed the Ba3 rating on the senior secured credit facilities of Hunterstown Generation, LLC ("Hunterstown" or the "Project"), including the proposed $50 million incremental Term Loan B (TLB). The outlook remains stable. Proceeds from the incremental TLB will be primarily used to fund a distribution to the Sponsor. The transaction will modestly increase leverage but maintains the existing capital structure and terms, including a November 2031 maturity and preserve the existing project finance structural protections. It is anticipated that the existing incremental TLB will also reprice at a lower SOFR margin. Additionally, Hunterstown is expected to increase the size of its letter of credit facility (LC Facility) by approximately $5 million up to $60 million from the current LC Facility size of $55 million. RATINGS RATIONALE The Ba3 rating affirmation reflects Hunterstown's continued strong operating performance and improved cash flow profile, supported by favorable PJM market capacity prices and the Project's rolling spark spread hedging strategy, partially offset by the proposed incremental leverage and continued exposure to merchant price volatility. Hunterstown's credit profile considers improving market fundamentals as evidenced by elevated PJM capacity prices at least through the 2027/2028 delivery period and strengthening spark spreads that support higher expected cash flows and credit metrics. Additionally, the Project's rolling spark spread hedging strategy covers a meaningful portion of its energy margins and provides near term downside cash flow protection. The Project's competitive cost position is reflective of its access to low-cost Marcellus and Utica gas supply and in combination with the plant's competitive heat rate that contributes to strong dispatch and margins. Moody's expects the Project's near term credit metrics inclusive of the incremental TLB to remain supportive of the Ba3 rating. Based on the cash flow scenarios considered by us, Moody's anticipates that the Project's expected three year average debt service coverage ratio (DSCR) to be at approximately 3.8x based on interest and the minimum required 1% per annum amortization of the TLB, and the Project's cash flow from operations (CFO) to debt ratio to be approximately 23%. The rating also consider several credit constraints including the Project's inherent exposure to merchant power market volatility as a single asset and uncertainty in longer-term PJM capacity prices. The incremental leverage for sponsor distributions results in higher near term leverage and an increase in refinancing risk relative to previous expectations. RATING OUTLOOK The stable outlook reflects Moody's expectations that Hunterstown will maintain its improved operating profile and generate financial results and credit metrics which will exceed levels achieved over the past years based on improved PJM capacity prices which are known at least through mid-2028 and strengthened energy spark spreads based on improved power market fundamentals within PJM. The stable outlook further considers the Sponsor's rolling hedging strategy which locks in a portion of the energy margins at the Project, and further acknowledges measures taken by the Sponsor to improve plant operations since owning the Project. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Upgrade drivers: -- Better than expected project cash flows such that the DSCR exceeds 3.5x -- Adjusted CFO/debt ratio is greater than 22% on a sustained basis -- Consistent financial policy including the sustained repayment of debt in accordance with Moody's Base Case expectations Downgrade drivers: -- Prolonged operating problems at the plant or merchant energy and capacity market conditions deteriorate considerably -- The Project's DSCR decreases below 1.8x and its adjusted CFO to debt ratio decreases below 10% on a sustained basis PROFILE Hunterstown Generation LLC owns a 865 MW natural gas-fired combined-cycle power plant in commercial operations since 2003 and is located in Straban Township near Gettysburg, Pennsylvania. The Project is owned by affiliate funds of LS Power Equity Partners V, LP ("LS Power" or the "Sponsor") since July 2024. LIST OF AFFECTED RATINGS Issuer: Hunterstown Generation, LLC Affirmations: Senior Secured Bank Credit Facility, Affirmed Ba3 Outlook Actions: Outlook, Remains Stable The principal methodology used in these ratings was Power Generation Projects published in May 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. INOTIV INC: Going Concern Persists as Debt, Losses Mount in Q2 -------------------------------------------------------------- Inotiv, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a consolidated net loss of $32,467,000 for the three months ended March 31, 2026, compared to a net loss of $14,866,000 for the same period in the prior year. For the six-month period ended March 31, 2026, the Company reported a consolidated net loss of $60,845,000, compared to a net loss of $42,496,000 in the corresponding prior-year period. Total revenues for the three months ended March 31, 2026 were $117,652,000, compared to $124,323,000 in the prior-year period. Revenues for the six months ended March 31, 2026 decreased to $238,531,000 from $244,199,000 in the same period of the prior year. Liquidity and Going Concern As of March 31, 2026, the Company had cash and cash equivalents of approximately $15,180,000 and access to up to $2,000,000 under its $15,000,000 revolving credit facility, which had a $13,000,000 balance outstanding that remains outstanding as of the date of this report. Further, for the six months ended March 31, 2026, the Company had negative operating cash flows, operating losses and consolidated net losses. The financial covenants under the Company's Credit Agreement, dated as of November 5, 2021 include, among others, the First Lien Leverage Ratio and the Fixed Charge Coverage Ratio. The Credit Agreement, as amended by the Eighth Amendment entered into on February 8, 2026, also includes a minimum liquidity covenant of $30,000,000, beginning with the March 6, 2026 liquidity test date and for each liquidity test date thereafter, which is the last business day of each week. As previously disclosed, the lenders under the Credit Agreement have granted the Company waivers of the minimum liquidity covenant for each liquidity test date from the March 6, 2026 test date through the May 8, 2026 test date. Subsequent to March 31, 2026 and within the period of time under the Credit Agreement, the lenders under the Credit Agreement granted the Company a waiver of the First Lien Leverage Ratio and the Fixed Charge Coverage Ratio financial covenants applicable to the period ended March 31, 2026. As a result of the waiver, the Company was in compliance with its financial covenants under the Credit Agreement for the period ended March 31, 2026. This waiver is limited and does not modify these or any other covenant requirements for future periods. On April 15, 2026, the Company was required to make an interest payment of approximately $2,139 under its Convertible Bond Indenture. As of the date of this Report, the Company has not made such interest payment, and the applicable grace period for such payment is scheduled to expire on May 15, 2026. If the Company does not make the interest payment prior to the expiration of the applicable grace period, an event of default will occur under the Convertible Bond Indenture. Upon the occurrence of such event of default, the holders of the convertible notes will have the right to declare all amounts outstanding under the Convertible Bond Indenture to be immediately due and payable, in accordance with the terms of the Convertible Bond Indenture. In addition, the failure to make a payment on indebtedness past the grace period under the Convertible Bond Indenture will constitute an event of default under the Company's Credit Agreement. Management's fiscal 2026 annual operating plan forecasts noncompliance with its financial covenants pursuant to the Credit Agreement for the remainder of fiscal 2026. If the Company's results of operations in the 12 months following the date of this report do not improve relative to the results of the first six months of fiscal 2026 and to the forecast in the 2026 annual operating plan, the Company will not be able to comply with its financial covenants under its Credit Agreement. Further, the Company's Term Loan Facility, Delayed Draw Term Loan, Incremental Term Loans, any outstanding balance on the revolving credit facility and the Second Lien Notes mature in the next 12 months. If at any time in the 12 months following the date of this report, the Company fails to comply with its financial covenants which remain unremedied for the period of time stipulated under the Credit Agreement, this would constitute an event of default under the Credit Agreement and the lenders may, among other remedies set out under the Credit Agreement, declare all or any portion of the outstanding principal amount of the borrowings plus accrued and unpaid interest to be immediately due and payable. Furthermore, if the lenders were to accelerate the loans under the Credit Agreement, such acceleration would constitute a default under the indentures governing the Company's Convertible Senior Notes (the "Notes") and the Company's 15.00% Senior Secured Second Lien PIK Notes due 2027 (the "Second Lien Notes") which, if not cured within 30 days following notice of such default from such trustees or holders of 25 percent of the Notes and from the trustee or holders of 30 percent of the Second Lien Notes, would permit the trustee or such holders to accelerate the Notes and the Second Lien Notes. If the loans under the Credit Agreement, the Notes and the Second Lien Notes are accelerated, the Company does not believe its existing cash and cash equivalents, together with cash generated from operations, would be sufficient to fund its operations, satisfy its obligations, including cash outflows for planned targeted capital expenditures, and repay the entirety of its outstanding senior term loans, outstanding revolving credit facility balance, outstanding Notes and outstanding Second Lien Notes in the next 12 months. Additionally, access to the revolving credit facility would be restricted and such funds would not be available to pay for any operating activities. The Company's evaluation of its ability to continue as a going concern in accordance with U.S. generally accepted accounting principles entailed analyzing prospective fully implemented operating budgets and forecasts for expectations of its cash needs and comparing those needs to the current cash and cash equivalent balances in order to satisfy its obligations, including cash outflows for planned targeted capital expenditures, and to comply with minimum liquidity and financial covenant requirements under its debt covenants related to borrowings pursuant to its Credit Agreement for at least the next 12 months. This evaluation initially does not take into consideration the potential mitigating effect of management's plans that have not been fully implemented and are outside of its control as of the date the condensed consolidated financial statements are issued. When substantial doubt exists under this methodology, the Company evaluates whether the mitigating effect of its plans sufficiently alleviates substantial doubt about its ability to continue as a going concern. The mitigating effect of management's plans, however, is only considered if both: (1) it is probable that the plans will be effectively implemented within one year after the date that the condensed consolidated financial statements are issued, and (2) it is probable that the plans, when implemented, will mitigate the relevant conditions or events that raise substantial doubt about the entity's ability to continue as a going concern within one year after the date that these condensed consolidated financial statements are issued. Management has developed the Company's fiscal 2026 annual operating plan in which the Company plans to continue its efforts to optimize its capital allocation and expense base. Additionally, the Company's plan is to continue its efforts to improve its operating results with a sustained focus on client service and margin discipline, increasing its volume of DTS and safety assessment contract awards and increasing its RMS product and service revenue. However, the Company believes its existing cash and cash equivalents, together with cash generated from operations, will not be sufficient to fund its operations and satisfy its obligations for the next 12 months, absent a transaction that positively impacts the Company's liquidity and reduces its debt obligations. Further, management's fiscal 2026 annual operating plan forecasts noncompliance with its financial covenants pursuant to the Credit Agreement. In the event that the Company fails to comply with the requirements of the financial covenants set forth in the Credit Agreement, the Company has approximately 55 days subsequent to any fiscal quarter, and approximately 100 days subsequent to fiscal year-end, to cure noncompliance. The Company also continues to discuss its current business conditions with its lenders. However, there is no assurance that the Company's lenders will agree to any amendment or extension to the Credit Agreement. Additionally, the Company is exploring potential recapitalization, reorganization, refinancing, or restructuring transactions, or other strategic alternatives. There is no assurance that the Company will be able to complete any such transaction or alternative on terms acceptable to the Company or at all. The Company's liquidity needs and compliance with covenants depend, among other things, on its ability to recapitalize, reorganize, refinance, restructure or complete any other strategic alternative, source and sell NHPs, fill its expanded DSA capacity, generate cash from other operating activities and manage its forecasted capital expenditures. There can be no assurances that management's efforts to complete any such transaction or alternative will be realized or achieve the intended results. As a result, substantial doubt about the Company's ability to continue as a going concern exists. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/3k7hwyc9 About Inotiv Inotiv, Inc. is a contract research organization dedicated to providing nonclinical and analytical drug discovery and development services primarily to the pharmaceutical and medical device industries and selling a range of research-quality animals and diets to the same industries as well as academia and government clients. The Company's products and services focus on bringing new drugs and medical devices through the discovery and preclinical phases of development and, in certain cases, the clinical phases of development, all while focusing on increasing efficiency, improving data, and reducing the cost of discovering and taking new drugs and medical devices to market. Indianapolis, Indiana-based Ernst & Young LLP, the Company's auditor since 2021, expressed substantial doubt regarding the Company's ability to continue as a going concern. In its "going concern" qualification dated December 5, 2025, included in the Company's Annual Report on Form 10-K for the year ended September 30, 2025, Ernst & Young reported that the Company has negative operating cash flows, operating losses and net losses, is forecasting non-compliance with certain covenants under its loan agreements, and has significant debt obligations due within the next 12 months.= As of March 31, 2026, the Company had $702,418,000 in total assets, $625,319,000 in total liabilities, and $77,099,000 in total equity. INSIGHT MOLECULAR: Debts Exceed Assets by $10.7M at March 31, 2026 ------------------------------------------------------------------ Insight Molecular Diagnostics Inc.'s stockholder's deficit was US$10.7 million at March 31, 2026. The stockholder's deficit was US$31.5 million at Dec. 31, 2025. At March 31, 2026, the Company had total assets of US$40.4 million and total liabilities of US$51.1 million. At Dec. 31, 2025, the Company had total assets of US$25.8 million and total liabilities of US$57.2 million. The Company said: "iMDx has incurred operating losses and negative operating cash flows since its inception and had an accumulated deficit of $405.1 million as of March 31, 2026. iMDx expects to continue to incur operating losses and negative operating cash flows for the foreseeable future. Since its formation, iMDx has financed its operations primarily through the sale of shares of its common stock, convertible preferred stock and warrants to acquire common stock. As of March 31, 2026, iMDx had $28.2 million of cash and cash equivalents and $1.2 million in remaining restricted cash that started to be released in the third quarter of 2025." On April 5, 2024, the Company entered into a global strategic partnership agreement with Bio-Rad Laboratories, Inc. ("Bio-Rad") to collaborate in the development and the commercialization of RUO and IVD kitted transplant products for clinical use. On Nov. 8, 2024, the Company and Bio-Rad entered into a memorandum of understanding with respect to such agreement to establish additional activities to be performed by each party pursuant to such agreement. On Feb. 10, 2025, the Company consummated a registered direct offering and concurrent private placement of its securities to certain accredited investors (the "February 2025 Offering"). The aggregate gross proceeds from the February 2025 Offering were approximately $29.1 million. After deducting offering expenses of $487,000, the resulting net proceeds were approximately $28.7 million. These net proceeds were inclusive of an investment from Bio-Rad, the Company's global strategic partner. The Company is using the net proceeds received for general corporate purposes and working capital. On Feb. 12, 2026, the Company consummated a registered direct offering of its securities to certain accredited investors (the "February 2026 Offering"). The gross proceeds from the February 2026 Offering were approximately $26.0 million. After deducting placement agent fees and offering expenses of $1.4 million, the resulting net proceeds were approximately $24.6 million. These net proceeds were inclusive of an investment from Bio-Rad. The Company is using the net proceeds primarily for general corporate purposes and working capital, including research and development in the transplantation category. A full-text copy of the Form 10-Q is available at https://tinyurl.com/bdemrb5e About Insight Molecular Diagnostics Insight Molecular Diagnostics Inc. (f/k/a Oncocyte Corporation) ("iMDx") is a biotechnology company that provides laboratory services and kitted products primarily for life sciences customers, focusing on biomarker discovery, assay design, and clinical trial support. Its offerings include the GraftAssureIQ kitted tests for transplant monitoring and licensing agreements for proprietary testing technology. The Company operates under various contractual arrangements, recognizing revenue based on the completion of performance obligations defined in these agreements. INTEGRATED PROTEINS: Gets Interim OK to Use Cash Collateral ----------------------------------------------------------- Integrated Proteins LLC and affiliates received interim approval from the U.S. Bankruptcy Court for the District of Kansas to use cash collateral. The court approved the Debtors' use of cash collateral through the June 11 final hearing and authorized intercompany payments needed to support ongoing operations, including use of facilities, equipment, factories, employees, and rolling stock. The Debtors estimate their cash collateral at roughly $33.3 million while secured debts owed to First Interstate Bank and Kompass Kapital Funding, LLC total more than $31.7 million. Because those senior liens consume nearly all collateral value, the debtors contend that junior lenders are effectively unsecured. As adequate protection, creditors claiming interests in cash collateral will be granted replacement liens or continuing liens on assets acquired by the Debtors after their Chapter 11 filing, maintaining the same priority as their pre-petition liens. In addition, First Interstate Bank and Kompass will receive weekly payments of $57,692 and $23,527, respectively. Both may seek superpriority claims under Sections 503(b) and 507(b) if the value of their collateral declines. Any default under the interim order, including missed payments or reporting failures, may result in termination of the Debtors' authority to use cash collateral after notice and an opportunity to cure. A copy of the court's order and the Debtor's budget is available at https://shorturl.at/lWT06 from PacerMonitor.com. The Debtors face severe liquidity problems despite strong revenues, largely due to approximately $40 million in trade debt and $18 million in merchant cash advance liabilities. They believe that Chapter 11 protection will improve cash flow by stopping those payment obligations. The Debtors run a large pet food manufacturing and transportation business in the Kansas City area, generating over $20 million monthly and employing around 250 workers through an affiliate staffing company. About Integrated Proteins LLC Integrated Proteins, LLC and affiliates sought protection under Chapter 11 of the Bankruptcy Code (Bankr. D. Kan. Lead Case No. 26-20713) on May 6, 2026. At the time of filing, Debtors had estimated assets of between $50,000,001-$100 million and liabilities of between $100,000,001-$500 million. Judge Dale L Somers oversees the case. Prelle Eron & Bailey, P.A. and Haupt Law PC serve as the Debtors' legal counsel. David R. Payne, executive managing director at Marshall & Stevens serves as the Debtor's chief restructuring officer. JAIME H. RESNICK: Court Dismisses Bankruptcy Case ------------------------------------------------- The Hon. John K. Sherwood of the United States Bankruptcy Court for the District of New Jersey dismissed the bankruptcy case of Jaime H. Resnick under 11 U.S.C. Sec. 1112(b)(1) with a one-year filing bar. The United States Trustee Trustee filed a motion to dismiss pursuant to 11 U.S.C Sec. 1112(b) with a one-year filing bar. The Trustee argues this is a bad faith Chapter 11 filing because there is no valid bankruptcy purpose. The Debtor is not trying to preserve a going concern or maximize the value of her estate. The Trustee contends that the Debtor is attempting to re-litigate certain claims related to her business partner, Daniel Risis. Mr. Risis filed two pro se individual bankruptcy cases before this Court. Both cases were dismissed for cause and the Court barred Mr. Risis from filing bankruptcy proceedings for fixed time periods. The Debtor contends her case should not be dismissed because she is seeking to stabilize her financial condition and reorganize. The Court finds that cause for dismissal exists under 11 U.S.C. Sec. 1112(b)(1) because this case does not serve a valid bankruptcy purpose. According to Judge Sherwood, "The Bankruptcy Court is not the place and unliquidated claims. The Debtor lists business and investment interests with Daniel Risis totaling $80,000,000 and claims against third parties totaling $40,000,000. To the extent the Debtor wishes to pursue these claims, she can do so in the State and Federal Courts." Moreover, the Debtor will be unable to confirm a plan. She has $22,854 in monthly expenses and $2,000 in monthly income. The Court says without the ability to confirm a plan, there is no valid reorganizational purpose in this Chapter 11 case. The Court finds a one-year filing bar is warranted under 11 U.S.C. Secs. 349(a) and 105(a). A copy of the Court's Order dated May 15, 2026, is available at http://urlcurt.com/u?l=bj8oTAfrom PacerMonitor.com. Jaime H Resnick filed for Chapter 11 bankruptcy protection (Bankr. D. N.J. Case No. 26-13790) on April 3, 2026, listing under $1 million in both assets and liabilities. JERRY'S PLACE: Not Eligible to Proceed Under Subchapter V --------------------------------------------------------- Judge Selene D. Maddox of the United States Bankruptcy Court for the Northern District of Mississippi sustained the United States Trustee's objection to the designation of Jerry's Place Cleveland, LLC as a Subchapter V Debtor. The Debtor is not eligible to proceed under Subchapter V of Chapter 11. The issue before the Court is whether the Debtor may proceed under Subchapter V of Chapter 11 or whether the Debtor is excluded from Subchapter V because its primary activity is the business of owning single asset real estate. The UST alleges that the Debtor's assets consist of contiguous commercial lots located at 3612 Highway 61 North in Cleveland, Mississippi, with one lot containing a commercial building and another lot consisting of a gravel parking area. It further alleges that Delta Ag, Inc. leases the property from the Debtor and that Lamar Companies pays the Debtor for a billboard located on the property. The Debtor contends that it owns at least two separate contiguous parcels. According to the Debtor, one parcel contains the commercial building leased to Delta Ag, and another parcel contains the billboard subject to a separate arrangement with Lamar. The Debtor also asserts that its income is derived from two separate sources: the Delta Ag lease and the Lamar billboard arrangement. The Court finds because the Debtor's business is limited to owning and monetizing contiguous commercial property on Highway 61 North through the Delta Ag lease, the Lamar billboard arrangement, and efforts to sell the property, the Debtor is a single asset real estate debtor within the meaning of 11 U.S.C. Sec. 101(51B). Therefore, the UST's Objection should be sustained. Judge Maddox explains, "The Debtor owns and monetizes a single commercial real estate project on Highway 61 North in Cleveland, Mississippi. Its income is generated by the Delta Ag lease and the Lamar billboard arrangement. The record fails to show that the Debtor operates Delta Ag's business, Lamar's advertising business, or any other business separate from owning, leasing, managing, marketing, and monetizing rights associated with the property. The Lamar billboard arrangement, including any potential sale or buyout option, may be an asset of value to the estate. But it remains a property-related right arising from the Debtor's ownership and operation of the real property. It does not constitute substantial business activity separate from the operation of the real property." A copy of the Court's Memorandum Opinion and Order dated May 19, 2026, is available at https://urlcurt.com/u?l=T2jLfw from PacerMonitor.com. About Jerry's Place Cleveland, LLC Jerry's Place Cleveland, LLC filed its voluntary petition for relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Miss. Case No. 25-14357) on December 23, 2025, listing $500,001 to $1 million in both assets and liabilities. Judge Selene D Maddox presides over the case. Craig M. Geno, Esq. at Law Offices Of Craig M. Geno, PLLC represents the Debtor as counsel. JJ STUCKEY: Gets Court OK to Use Cash Collateral ------------------------------------------------ JJ Stuckey & Partners, LLC got the green light from the U.S. Bankruptcy Court for the Eastern District of North Carolina to use cash collateral through June 7. Under the interim order, the Debtor is authorized to use cash collateral according to approved budgets covering the period from May 8 through June 7, subject to a 10% variance per line item. The Huntington National Bank (as successor to TCF Equipment Finance), First Internet Bank of Indiana (as successor to ApplePie Capital), and National Funding, Inc. may claim liens on the Debtor's cash, operating revenues, and receivables, including funds in pre-petition accounts based on UCC filings. The asserted liens may extend to equipment and other assets that could constitute cash collateral, though their validity and scope remain undetermined and are subject to challenge by the Debtor. As protection, the liens held by secured creditors on their collateral extend to the Debtor's post-petition assets. In addition, the order requires the Debtor to remain current on all post-petition tax obligations and prohibits dispositions of assets outside the ordinary course of business without lender consent and court approval. The order is available at http://bankrupt.com/misc/JJStuckey_ICCOrder.pdf The next hearing is scheduled for June 2. JJ Stuckey & Partners operates two Jimmy John's franchise restaurants in Jacksonville, North Carolina: one on Lejeune Boulevard and another on Western Boulevard. Its revenue is derived entirely from restaurant operations. About JJ Stuckey & Partners LLC JJ Stuckey & Partners, LLC operates two Jimmy John's franchise restaurants in Jacksonville, North Carolina. JJ Stuckey & Partners filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. E.D. N.C. Case No. 26-02110) on May 8, 2026, with up to $100,000 in assets and up to $10 million in liabilities. Kathleen O'Malley serves as Subchapter V trustee. Judge Joseph N. Callaway oversees the case. George Mason Oliver, Esq., at The Law Offices of George Oliver, PLLC, represents the Debtor as legal counsel. KARYOPHARM THERAPEUTICS: Goldman Sachs Discloses 5.1% Equity Stake ------------------------------------------------------------------ The Goldman Sachs Group, Inc. and Goldman Sachs & Co. LLC, disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of March 31, 2026, each beneficially owns 991,363.52 shares of Common Stock, $0.0001 par value of Karyopharm Therapeutics Inc.'s Common Stock, $0.0001 par value, representing 5.1% of the outstanding shares. The securities being reported on by The Goldman Sachs Group, Inc., as a parent holding company, are owned, or may be deemed to be beneficially owned, by Goldman Sachs & Co. LLC, a broker or dealer registered under Section 15 of the Act and an investment adviser registered under Section 203 of the Investment Advisers Act of 1940, which is a subsidiary of The Goldman Sachs Group, Inc. This filing reflects the securities beneficially owned by certain operating units (collectively, the "Goldman Sachs Reporting Units") of The Goldman Sachs Group, Inc. and its subsidiaries and affiliates in accordance with Securities and Exchange Commission Release No. 34-39538 (January 12, 1998), and does not reflect securities, if any, beneficially owned by any operating units of GSG whose ownership of securities is disaggregated from that of the Goldman Sachs Reporting Units in accordance with the Release. The Goldman Sachs Group, Inc. and Goldman Sachs & Co. LLC may be reached through: Abhilasha Bareja 200 West Street New York, NY 10282 Tel: 212-902-1000 A full-text copy of The Goldman Sachs Group, Inc.'s SEC report is available at: https://tinyurl.com/5n8bza9p About Karyopharm Therapeutics Karyopharm Therapeutics Inc. operates as an oncology-focused pharmaceutical company. The Company offers combination with dexamethasone as a treatment for patients with pretreated multiple myeloma, as well as provides single-agent and combination activity against a variety of human cancers. Karyopharm Therapeutics serves patients in the United States, Germany, and Israel. Boston, Massachusetts-based Ernst & Young LLP, the Company's auditor since 2014, issued a "going concern" qualification in its report dated February 12, 2026, citing that the Company has incurred significant operating losses since inception, expects to incur significant operating losses for the foreseeable future and has stated that substantial doubt exists about the Company's ability to continue as a going concern. As of December 31, 2025, the Company had $108.4 million in total assets and $401.3 million in total liabilities, and total stockholders' deficit of $292.9 million. KARYOPHARM THERAPEUTICS: Opaleye Management Holds 2.67% Stake ------------------------------------------------------------- Opaleye Management Inc., Opaleye, L.P., and James Silverman, disclosed in a Schedule 13G (Amendment No. 1) filed with the U.S. Securities and Exchange Commission that as of March 31, 2026, each beneficially owns 619,089 shares of Common Stock, $0.0001 par value per share, consisting of shares of common stock issuable upon exercise of warrants that are immediately exercisable, directly held by Opaleye, L.P., of Karyopharm Therapeutics Inc.'s Common Stock, $0.0001 par value per share, representing 2.67% of the 22,543,316 shares of common stock outstanding as of March 26, 2026, as reported by the Company in an 8-K filed with the Securities and Exchange Commission on March 27, 2026, plus the shares of common stock issuable upon exercise of the Warrants. Opaleye Management Inc. may be reached through: James Silverman One Boston Place, 26th Floor Boston, MA 02108 Tel: 617-904-9195 A full-text copy of Opaleye Management Inc.'s SEC report is available at: https://tinyurl.com/bdh5wbvz About Karyopharm Therapeutics Karyopharm Therapeutics Inc. operates as an oncology-focused pharmaceutical company. The Company offers combination with dexamethasone as a treatment for patients with pretreated multiple myeloma, as well as provides single-agent and combination activity against a variety of human cancers. Karyopharm Therapeutics serves patients in the United States, Germany, and Israel. Boston, Massachusetts-based Ernst & Young LLP, the Company's auditor since 2014, issued a "going concern" qualification in its report dated February 12, 2026, citing that the Company has incurred significant operating losses since inception, expects to incur significant operating losses for the foreseeable future and has stated that substantial doubt exists about the Company's ability to continue as a going concern. As of December 31, 2025, the Company had $108.4 million in total assets and $401.3 million in total liabilities, and total stockholders' deficit of $292.9 million. KRUGER PACKAGING: DBRS Confirms BB(high) Issuer Rating ------------------------------------------------------ DBRS Limited (Morningstar DBRS) confirmed the Issuer Rating and Senior Unsecured Notes credit rating of Kruger Packaging Holdings L.P. (KPH or the Company) at BB (high) with Stable trends. Morningstar DBRS also confirmed the recovery rating of RR3 on the Senior Unsecured Notes. KEY CREDIT RATING CONSIDERATIONS KPH's earnings and cash flows increased in 2025 compared with 2024 as a result of higher price realizations in conjunction with lower average old corrugated container (OCC) and variable costs resulting from a pullback in inflationary pressures in the industry, which lead to an improvement in profit margin spread. This resulted in stronger overall credit metrics of the Company in line with Morningstar DBRS' expectations. KPH generated 84% of revenue in 2025 from its Containerboard, Paperboard & Boxes segment, with the remainder from the Paper & Pulp Products segment. EBITDA from the Paper & Pulp Products segment deteriorated in 2025 because of lower price realizations combined with higher input costs. KPH has appropriately scaled down operations in this segment over the last several years given that North American demand for newsprint has been in secular decline. Morningstar DBRS expects KPH's 2026 EBITDA to improve year over year as a result of an anticipated increase in price realizations offset by an increase in OCC costs as it reverts to historical levels. KPH's greenfield box plant in Elizabethtown, Kentucky, became operational in 2022. The total capital cost for the project was USD 142 million, excluding start-up capital. The box plant will likely reach full capacity by 2027, and along with its two Canadian box plants and further downstream integration investments, KPH expects to increase the integration for its containerboard production to about 93% by 2028 from around 54% currently. The Stable trends reflect Morningstar DBRS' expectation that KPH's key credit metrics will continue to support the credit ratings. CREDIT RATING DRIVERS Morningstar DBRS may consider a positive credit rating action if there were a substantial improvement in the Company's business risk profile while it maintained its credit metrics. While unlikely, a negative credit rating action would be possible if there were a significant deterioration in the Company's financial risk profile. EARNINGS OUTLOOK After witnessing a sharp increase in average OCC prices in 2024 as a result of higher demand in North America and global inflationary pressures, OCC prices declined in 2025, though Morningstar DBRS expects them to gradually increase over the next few years. However, improved North American demand, in conjunction with strong capacity management by industry leaders, will lead to an improvement in the Company's overall profit spread and higher earnings from the Containerboard, Paperboard & Boxes segment. The Paper & Pulp Products segment's earnings are also likely to improve compared with 2025 as a result of improved newsprint selling prices. That said, this segment is positioned to generate a declining level of earnings due to the structural decline of the segment. The Company will also continue to benefit from the Hydro-Québec 20% electricity rebate, which will be in effect until 2032. FINANCIAL OUTLOOK Morningstar DBRS estimates the average adjusted debt-to-EBITDA ratio will decrease to below 2.0 times (x) during the next couple of years as the margins improve as a result of improved price realization and increased capacity utilization at the new Elizabethtown box plant. CREDIT RATING RATIONALE Comprehensive Business Risk Assessment (CBRA): BB The credit ratings are underpinned by KPH's exposure to the less volatile paper packaging industry, stable, nondiscretionary end-market customers, and low-cost, efficient operations. However, they are constrained by the Company's lack of size and market position in the North American containerboard segment, lack of diversification in the broader paper and forest products industry, exposure to volatile input costs, and relatively low (albeit increasing) forward integration into its corrugated box plants. The CBRA factors in a negative 1.0-notch adjustment related to the Company's lack of size and market position. Comprehensive Financial Risk Assessment (CFRA): BBBH The credit ratings are supported by a conservative financial policy and low leverage for the current credit rating category. Morningstar DBRS expects containerboard prices to further improve in 2026, thus resulting in average 2026 prices to be above average 2025 prices as a result of demand outstripping supply as overall industry operating rates remain below full capacity. As a result, Morningstar DBRS expects the adjusted debt-to-EBITDA ratio to decrease to about 1.9x in 2026 compared with 2.0x in 2025. All other credit metrics remain supportive of the current credit ratings. Intrinsic Assessment (IA): BBH The IA of BBH is within the IA Range and is based on the CBRA and CFRA, also taking into consideration the current credit rating trend and peer comparisons, among other factors. Additional Considerations: None KPH's credit ratings include no further negative or positive adjustments because of additional considerations. Notes: All figures are in Canadian dollars unless otherwise noted. KUSTOM ENTERTAINMENT: Yield Point NY Holds 7.3% Equity Stake ------------------------------------------------------------ Yield Point NY, LLC and Yisroel Ari Kluger, disclosed in a Schedule 13G (Amendment No. 1) filed with the U.S. Securities and Exchange Commission that as of March 31, 2026, each beneficially owns 41,581 shares of Common Stock, par value $0.001 per share, consisting of shares of Common Stock issuable upon exercise of certain common stock purchase warrants held directly by Yield Point NY LLC and indirectly by Yisroel Ari Kluger, with such numbers of shares of Common Stock reflecting the Company's 1-for-3 and 1-for-5 reverse stock splits of its outstanding shares of Common Stock effected on January 8, 2026 and on April 22, 2026, respectively, of Kustom Entertainment, Inc.'s Common Stock, par value $0.001 per share, representing 7.3% of the 526,613 shares of Common Stock outstanding as of March 31, 2026. Yield Point NY LLC may be reached through: Yisroel Ari Kluger, Director 477 Madison Avenue 24th Floor New York, NY 10022 Tel: 917-923-7072 A full-text copy of Yield Point NY LLC's SEC report is available at: https://tinyurl.com/mr397n4u About Kustom Entertainment, Inc. Kustom Entertainment, Inc. is a leader in live event production and ticketing technology, specializing in large-scale music festivals and end-to-end event management. Its flagship event, Country Stampede, is held annually during June at the Azura Amphitheater in Bonner Springs, Kansas. The Company also maintains a legacy segment engaged in video solution technology (in-car and body-worn cameras) for law enforcement and security, currently integrating artificial intelligence to enhance its specialized product lines. Houston, Texas-based Victor Mokuolu, CPA PLLC, the Company's auditor since 2025, issued a "going concern" qualification in its report dated April 10, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company incurred substantial operating losses in the years ended December 31, 2025. The Company incurred operating losses of approximately $10,882,421 for the year ended December 31, 2025, and had an accumulated deficit of $144,184,436 as of December 31, 2025. As of December 31, 2025, the Company had $19,328,527 in total assets, $16,958,571 million in total liabilities, and $2,369,956 in total stockholders' equity. LEISURE INVESTMENTS: Plan Exclusivity Period Extended to July 27 ---------------------------------------------------------------- Judge Laurie Selber Silverstein of the U.S. Bankruptcy Court for the District of Delaware extended Leisure Investments Holdings LLC, and certain of its affiliates' exclusive periods to file a plan of reorganization and obtain acceptance thereof to July 27 and Sept. 28, 2026, respectively. As shared by Troubled Company Reporter, the Debtors have continued to work with parties in interest, including the Debtors' prepetition and postpetition lenders, the Committee, the U.S. Trustee, and others to pursue the sale and restructuring process and maintain case momentum despite a variety of operational and other challenges. The Debtors and their professionals have devoted substantial time, energy, and resources to reach this point in the Chapter 11 Cases. Moreover, the sale and/or restructuring of the Debtors' Mexican assets involve complicated transactions and implicate tax, animal transfer, and other operational considerations under Mexican law that the Debtors and parties in interest have spent substantial amounts of time and resources to adequately address for purposes of facilitating a value-maximizing transaction. The complexity of the various issues addressed, and the time, effort, and planning required to obtain the progress made thus far warrant the requested extension of the Exclusive Periods. The Debtors explain that the requested extension of the Exclusive Periods is reasonable given the current status of the Chapter 11 Cases and the progress achieved to date. The Debtors have made significant progress in the Chapter 11 Cases. An extension of the Exclusive Periods as requested herein will allow the Debtors to finalize a chapter 11 plan that meets the requirements of the Bankruptcy Code and effectuates the Debtors' ultimate restructuring and asset disposition strategy. Accordingly, the Debtors' efforts to date and the tasks that remain to be completed justify the extension of the Exclusive Periods. The Debtors claim that the companies and their professionals have expended, and will continue to expend, substantial resources to maintain control over their books, records, and operations. Even so, the Debtors have diligently pursued their marketing and sale strategy, which is nearing consummation. The Debtors require additional time to submit a chapter 11 plan that effectuates the Debtors' sale transactions and ultimate wind down strategy. Accordingly, the Debtors submit that this factor weighs in favor of extending the Exclusive Periods. Counsel to the Debtors: Robert Brady, Esq. Sean T. Greecher, Esq. Allison S. Mielke, Esq. Jared W. Kochenash, Esq. Young Conaway Stargatt & Taylor LLP Rodney Square 100 North King Street Wilmington, DE 19801 Telephone: (302) 571-6600 Facsimile: (302) 571-1253 Email: rbrady@ycst.com sgreecher@ycst.com amielke@ycst.com jkochenash@ycst.com About Leisure Investments Holdings Leisure Investments Holdings LLC and affiliates are operating under the name "The Dolphin Company," manage over 30 attractions, including dolphin habitats, marinas, water parks, and adventure parks, located in eight countries across three continents. Their primary operations are based in Mexico, the United States, and the Caribbean, with locations in Jamaica, the Cayman Islands, the Dominican Republic, and St. Kitts. These attractions are home to approximately 2,400 animals from more than 80 species of marine life, including a variety of marine mammals such as dolphins, sea lions, manatees, and seals, as well as birds and reptiles. As of 2023, the marine mammal population at the Debtors' parks includes roughly 295 dolphins, 51 sea lions, 18 manatees, and 18 seals. Leisure Investments Holdings LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case 25-10606) on March 31, 2025. In its petition, the Debtor reports estimated assets and liabilities between $100 million and $500 million each. Honorable Bankruptcy Judge Laurie Selber Silverstein handles the case. The Debtors tapped Robert S. Brady, Esq., Sean T. Greecher, Esq., Allison S. Mielke, Esq., and Jared W. Kochenash, Esq. as counsels. The Debtors' restructuring advisor is RIVERON MANAGEMENT SERVICES, LLC. The Debtors' Claims & Noticing Agent is KURTZMAN CARSON CONSULTANTS, LLC d/b/a VERITA GLOBAL. LIV GOLF: Prepares Possible Bankruptcy Filing in the U.S. --------------------------------------------------------- Dinesh Nair, Giles Turner and Reshmi Basu of Bloomberg News report that LIV Golf has reportedly started preparing contingency plans for a potential US bankruptcy filing as it struggles to secure new financing, according to people familiar with the matter. The golf league is actively seeking investors after its primary financial supporter, the Public Investment Fund, withdrew funding support. Sources said LIV Golf’s management team and advisers are exploring alternatives to stabilize the business, including attracting outside capital and strategic investors. At the same time, executives are also preparing for the possibility that the league could cease operations following the conclusion of its season in late August if additional financing cannot be secured. Representatives for LIV Golf declined to comment on the reported restructuring preparations. Representatives connected to the Saudi Public Investment Fund also did not publicly address the funding withdrawal or the league’s financial outlook. The developments mark a significant shift for LIV Golf, which launched with substantial financial backing and aggressively competed with established golf organizations for players, sponsorships, and media attention. A potential bankruptcy filing would raise questions about the future of the league and the long-term viability of its business model, the report relays. About Liv Golf LIV Golf is a professional golf enterprise founded in 2022 with the goal of transforming the traditional golf tournament structure. The league introduced innovative competition formats, including team play and condensed tournaments, while offering substantial financial incentives to participating players. LYCRA COMPANY: CEO Steps Down After Chapter 11 Exit --------------------------------------------------- SGB Media reports that CEO Gary Smith exits after Lycra Company emerges from Chapter 11 Bankruptcy after successfully restructuring its balance sheet and reducing more than $1.2 billion in debt. The company also obtained more than $75 million in new equity funding as part of the court-supervised restructuring process. In connection with the emergence, Gary Smith departed as CEO and Chief Financial Officer Dean Williams was appointed interim chief executive. The company also named a new board of directors chaired by Bruce Rubin, an executive with decades of experience in the chemicals and energy industries. The company said a new group of global investment funds will assume ownership of the reorganized business. Lycra noted that the investors have long supported the company’s securities and intend to continue investing in operational improvements, innovation, and brand expansion following the restructuring. Williams said the restructuring marks a turning point that leaves Lycra in a stronger financial position with renewed growth potential. The company’s executive leadership team will remain largely intact as it works alongside new owners and directors to accelerate recovery and expand its market position in the textile industry. About Lycra Company The Lycra Company LLC is a textile company that produces elastic materials used in cycling and yoga apparel. The Lycra Company LLC and several affiliates, including Eagle Global Holding B.V., sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Lead Case No. 26-90399) on March 17, 2026, before the Hon. Christopher M. Lopez. The Debtors estimated $100 million to $500 million in estimated assets and liabilities. The Hon. Christopher M. Lopez presides over the jointly administered cases. The Debtors hired Linklaters LLP and Haynes and Boone, LLP as restructuring counsel; Houlihan Lokey as investment banker; FTI Consulting, Inc. as financial advisor; Kroll Inc. as claims and noticing agent. Grant Thornton UK Advisory & Tax LLP serves as its tax structuring advisor. Gibson, Dunn & Crutcher UK LLP serves as lead counsel and Porter Hedges LLP as local counsel to an ad hoc group of lenders. An ad hoc group of minority 1L Linx and USD noteholders to The Lycra Company LLC, et al. is represented by Gray Reed. LYNSKEY PERFORMANCE: Gets Interim OK to Use Cash Collateral ----------------------------------------------------------- Lynskey Performance Products, LLC got the green light from the U.S. Bankruptcy Court for the Eastern District of Tennessee, Southern Division, 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 June 11. The Debtor needs to use cash collateral to pay ordinary operating expenses such as insurance, maintenance, taxes, supplies, and management costs. FirstBank, a secured lender, holds a deed of trust on the Debtor's Chattanooga property with an estimated debt of about $1.8 million. The property is worth at least $2.3 million, making the lender oversecured as collateral value exceeds the debt owed. As adequate protection for the lender's interests, the Debtor offers monthly payments of $12,000 to FirstBank, beginning on June 1. The Debtor believes these payments, combined with the equity cushion in the property and existing insurance coverage, sufficiently protect the lender while the bankruptcy case proceeds. FirstBank, as secured lender, is represented by: Taylor C. Davis, Esq. Bradley Arant Boult Cummings LLP 1221 Broadway, Suite 2400 Nashville, TN 37203 Phone: (615) 252-4641 tdavis@bradley.com About Lynskey Performance Designs LLC Lynskey Performance Designs, LLC manufactures and sells handcrafted titanium bicycle frames and complete bicycles, including gravel, mountain and road models, as well as related bicycle parts and merchandise. The company, based in Chattanooga, Tennessee, serves cyclists seeking titanium bicycles and components for performance, durability and recreational riding. Lynskey Performance Designs LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. Tenn. Case No. 26-11156) on April 30, 2026. In its petition, the Debtor reports debts ranging from $1 million to $10 million while estimating assets at no more than $50,000. Honorable Bankruptcy Judge Nicholas W. Whittenburg handles the case. The Debtor is represented by W. Thomas Bible, Jr., Esq., at OM Bible Law. M&M APPLIANCE: Seeks Cash Collateral Access ------------------------------------------- M&M Appliance Service and Sales, Inc. asks the U.S. Bankruptcy Court for the District of Columbia for authority to use cash collateral to fund its operations through June 30. The Debtor's accounts constitute cash collateral, which may be used only with lender consent or court approval. The Debtor historically generated over $20 million in annual revenue. Its financial distress began after Fulton Bank accelerated a $1.86 million line of credit that it could neither repay nor refinance. Fulton Bank's line of credit is secured by the Debtor's personal property through a security agreement and UCC-1 financing statement and is additionally cross-collateralized by real property located at 6201 Blair Road NW in Washington, D.C., owned by affiliated debtor 6201 Blair Road, LLC. That affiliated entity also filed Chapter 11 bankruptcy to stop a foreclosure sale scheduled by Fulton Bank. The Debtor states that the Blair Road property was appraised between approximately $2.2 million and $2.5 million and is currently being marketed for sale, with anticipated sale proceeds intended to satisfy Fulton Bank's debt. In addition to Fulton Bank, the Debtor identifies two other secured creditors: the U.S. Small Business Administration, which claims roughly $1.93 million secured by a blanket lien on personal property, and the District of Columbia Office of Tax and Revenue, which claims several hundred thousand dollars in tax liens. Altogether, the secured obligations total approximately $4.46 million, while the Debtor values its personal property at approximately $5.61 million. To provide adequate protection to secured creditors, the Debtor proposes continuing monthly payments of $14,726 to Fulton Bank, $10,052 to the SBA, and $10,000 to DC OTR. The Debtor also requests that the secured creditors receive replacement liens on post-petition collateral to the same extent and priority as their pre-petition liens, thereby protecting them from any decline in collateral value during the bankruptcy case. Additionally, the Debtor agrees to provide monthly operating reports and any other reasonable financial information requested by the lenders or taxing authority. A copy of the motion is available at https://urlcurt.com/u?l=T1Uicm from PacerMonitor.com. About M&M Appliance Sales & Service Inc. M&M Appliance Sales & Service, Inc., based in Washington, D.C., sells, delivers, installs, and services major household appliances, including refrigerators, washers, dryers, dishwashers, and microwaves, for residential and small-business clients across the DC-Maryland-Virginia area, with a showroom and service center at 6201 Blair Road, NW, offering support for leading brands such as Electrolux, Bosch, Thermador, Liebherr, GE, Whirlpool, and KitchenAid since its founding in the late 1990s. M&M Appliance Sales & Service sought protection under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D.D.C. Case No. 26-00149) on March 30, 2026, with between $1 million and $10 million in both assets and liabilities. Judge Elizabeth L Gunn presides over the case. Craig M. Palik, Esq., at McNamee Hosea, P.A. is the Debtor's legal counsel. MAKIIN LLC: Case Summary & 20 Largest Unsecured Creditors --------------------------------------------------------- Debtor: MaKiin LLC 2651 Kipling St Houston, TX 77098-1243 Business Description: MaKiin LLC operates a Thai dining concept in Houston, Texas, at Hanover in River Oaks. The restaurant offers Thai plates with modern and inventive elements, along with Thai High Tea and gluten-free, vegetarian, and vegan menu options. Chapter 11 Petition Date: May 20, 2026 Court: United States Bankruptcy Court Southern District of Texas Case No.: 26-33560 Judge: Hon. Jeffrey P Norman Debtor's Counsel: Elias Yazbeck, Esq. THE LAW OFFICE OF ELIAS M. YAZBECK, PLLC 4119 Montrose Blvd Suite 470 Houston TX 77006 Tel: (281) 755-7320 E-mail: elias@yazbecklaw.com Total Assets: $68,421 Total Liabilities: $1,294,798 The petition was signed by Warattayar Srasrisuwan as director and sole owner. 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/UENELYA/MaKiin_LLC__txsbke-26-33560__0001.0.pdf?mcid=tGE4TAMA MERRICK WOODWORKING: Gets Interim OK to Use Cash Collateral ----------------------------------------------------------- Merrick Woodworking Corp. received interim approval from the U.S. Bankruptcy Court for the District of Colorado to use cash collateral. Under the interim order, the Debtor is authorized to use cash collateral through the June 15 final hearing. The Debtor must follow the approved budget, subject to monthly fluctuations by no more than 15% for each expense line item. Any spending outside those limits requires further approval. Any creditor holding security interest in the cash collateral will be granted replacement liens on all post-petition accounts receivable. The replacement liens serve to protect secured creditors against any diminution in value of their collateral resulting from the Debtor's post-petition use of funds. The order is available at http://bankrupt.com/misc/Merrick_ICCOrder.pdf As of the petition date, the Debtor reported approximately $105,000 in accounts receivable, $13,233 in cash, and inventory valued at roughly $93,553. Existing work orders total approximately $176,000, while average monthly collections are estimated at $35,000, though they may fluctuate significantly. The Debtor's bankruptcy filing is closely tied to two related cases involving Bigfoot Paradise, LLC, which owns the real estate where the Debtor operates, and Kevin Merrick, the owner of both entities. The financial distress arose after Bigfoot Paradise experienced a 110% increase in real estate taxes, raising the obligation to $130,000. Although $100,000 was paid, the taxing authority refused partial payment arrangements, prompting PNC Bank, which had covered the taxes, to declare a default and accelerate repayment of more than $1.36 million owed under loan agreements guaranteed by the Debtor and Mr. Merrick. PNC Financial Services Group may hold a perfected security interest in the Debtor's cash collateral through a UCC financing statement originally filed by BBVA USA in 2021 and later acquired by PNC. About Merrick Woodworking Corp. Merrick Woodworking Corp. provides woodworking services, including custom cabinetry, carpentry, millwork, trim, interior and exterior doors, and furniture. Merrick Woodworking filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. D. Colo. Case No. 26-13255) on May 8, 2026, with $264,683 in assets and $1,985,499 in liabilities. Kevin Merrick, president of Merrick Woodworking, signed the petition. Joli Lofstedt, Esq., serves as Subchapter V trustee for the Debtor. Aaron A. Garber, Esq. at Wadsworth Garber Warner Conrardy, P.C. represents the Debtor as legal counsel. MICHAEL C: Seeks Chapter 11 Bankruptcy in New Jersey ---------------------------------------------------- On May 15, 2026, Michael C 1327-9 North Ave LLC filed for Chapter 11 protection in the U.S. Bankruptcy Court for the District of New Jersey. According to court filings, the Debtor reports between $100,001 and $1 million in debt owed to between 1 and 49 creditors. A meeting of creditors under Section 341(a) to be held on June 24, 2026 at 09:00 AM at Telephonic. The deadline for filing government proof of claim due by November 12, 2026. About Michael C 1327-9 North Ave LLC Michael C 1327-9 North Ave LLC is a single asset real estate company. Michael C 1327-9 North Ave LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-15529) on May 15, 2026. In its petition, the Debtor reports estimated assets between $100,001 and $1 million and estimated liabilities between $100,001 and $1 million. The Debtor is represented by Michael C. Schonberger, Esq. of the Law Office of Michael C. Schonberger. MODIVCARE INC: Court Sets Contempt Bid Evidence Hearing ------------------------------------------------------- Emlyn Cameron of Law360 Bankruptcy Authority reports that a Texas bankruptcy court will conduct an evidentiary hearing in the dispute between White & Case LLP and Modivcare Inc. after a judge declined to immediately rule on a contempt motion tied to Chapter 11 fees. The judge said the record contains disputed factual issues that require further development. White & Case has accused Modivcare of violating obligations related to bankruptcy fee payments, while Modivcare has pushed back, arguing the contempt allegations are unsupported and legally flawed. The disagreement stems from ongoing litigation connected to the company's restructuring proceedings, the report states. The evidentiary hearing will allow the bankruptcy court to review testimony, documents, and other evidence before deciding whether Modivcare should face contempt findings or sanctions. The dispute remains one of the latest post-confirmation conflicts arising from the Chapter 11 case, Law360 relays. About Modivcare Inc. ModivCare Inc. is a technology-enabled healthcare services company that provides a suite of integrated supportive care solutions for public and private payors and their members. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-90309) on August 20, 2025. In the petition signed by Chad J. Shandler, chief transformation officer, the Debtor disclosed up to $10 billion in both assets and liabilities. Judge Alfredo R. Perez oversees the case. Timothy A. Davidson II, Esq., at Hunton Andrews Kurth LLP, represents the Debtor as legal counsel. NEUROONE MEDICAL: Q2 Loss Narrows to $2.1M; Warns of Cash Crunch ---------------------------------------------------------------- NeuroOne Medical Technologies Corporation has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $2.1 million for the three months ended March 31, 2026, compared to a net loss of $2.3 million for the same period in the prior year. For the six-month period ended March 31, 2026, the Company reported a net loss of $3.5 million, compared to a net loss of $485,285 in the corresponding prior-year period. Revenues for the three months ended March 31, 2026 were $2.4 million, compared to $1.4 million in the prior-year period. Revenues for the six months ended March 31, 2026 increased to $5.9 million from $4.7 million in the same period of the prior year. The Company has incurred losses since inception, negative cash flows from operations, and an accumulated deficit of $82.1 million as of March 31, 2026. To date, the Company's revenues have not been sufficient to cover its full operating costs, and as such, it has been dependent on funding operations through the issuance of debt and sale of equity securities which previously resulted in substantial doubt regarding the Company's ability to continue as a going concern. As of March 31, 2026, the Company had $2.8 million in cash and cash equivalents. The Company believes its current available cash and cash equivalents coupled with the anticipated increase in product revenues from minimum purchases and improved gross margins under the distribution agreement with Zimmer and forecasted operating expense reductions, will be sufficient to fund the Company's operations through September 2026. The raising of additional funds is not solely within the control of the Company. These factors raise substantial doubt about the Company's ability to continue as a going concern. The condensed financial statements do not include any adjustments that might result from the outcome of this condition. If the Company is unable to raise additional funds, or the Company's anticipated operating results are not achieved, management believes planned expenditures may need to be reduced in order to extend the time period that existing resources can fund the Company's operations. The Company intends to fund ongoing activities by utilizing its current cash and cash equivalents on hand, from product and collaborations revenue and by raising additional capital through equity or debt financing. If management is unable to obtain the necessary capital, it may have a material adverse effect on the operations of the Company and the development of its technology, or the Company may have to cease operations altogether. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/bdf7vr6j About NeuroOne Medical Technologies Headquartered in Eden Prairie, Minnesota, NeuroOne Medical Technologies Corporation -- https://nmtc1.com/ -- is a medical technology company focused on (i) diagnostic, ablation and deep brain stimulation technology for brain related conditions such as epilepsy and Parkinson's disease; (ii) ablation and stimulation for pain management throughout the body; and (iii) drug delivery including diagnostic and stimulation capabilities. The Company is developing and commercializing thin film electrode technology for continuous electroencephalogram ("cEEG") and stereoelectrocencephalography ("sEEG"), spinal cord stimulation, brain stimulation, drug delivery and ablation solutions for patients suffering from epilepsy, Parkinson's disease, dystonia, essential tremors, chronic pain due to failed back surgeries and other pain-related neurological disorders. The Company is also developing the capability to use its sEEG electrode technology to deliver drugs or gene therapy while being able to record brain activity before, during, and after delivery. Additionally, the Company is investigating the potential applications of its technology associated with artificial intelligence. Minneapolis, Minnesota-based Baker Tilly US, LLP, the Company's auditor since 2021, issued a "going concern" qualification in its report dated Dec. 17, 2025, attached to the Company's Annual Report on Form 10-K for the fiscal year ended September 30, 2025, citing that had recurring losses from operations and an accumulated deficit, expects to incur losses for the foreseeable future and requires additional working capital. These are the reasons that raise substantial doubt about the Company's ability to continue as a going concern. As of March 31, 2026, the Company had $7.9 million in total assets, $2.5 million in total liabilities, and $5.4 million in total stockholders' equity. NEW GRANT: Amends UC Grant & Lincoln Secured Claims Pay ------------------------------------------------------- New Grant Acquisitions, LLC submitted a Disclosure Statement to accompany Second Amended Plan of Reorganization dated May 11, 2026. The Debtor owns the historic W. D. Grant Building (the "Grant Building" or the "Real Estate"), located at 44 Broad Street in downtown Atlanta's Fairlie-Poplar Historic District. In connection with the Debtor's purchase of the Grant Building, the Debtor and UC Grant Building Holder, LLC (the "Lender" or "UC Grant") executed a loan agreement on or about December 21, 2022 (the "Loan Agreement"), whereby Lender agreed to loan the Debtor up to $36,500,000 (the "Loan"), in order to finance the continued rehabilitation and conversion of the Grant Building from office space into modern apartment rental units. The Debtor and Bush contend that during most of the period from July 2024, through July 2025, discussions regarding restructuring occurred primarily between the Lender and the Debtor. Bush provided support in the form of repricing and architecture input, but was not a party to these discussions otherwise. Bush meanwhile was in the process of settling the obligations to its subcontractors, caused by the project default. Following these failed efforts, Bush Construction and its affiliated development arm, Bush Real Estate Development, LLC attempted to work out a deal with the Debtor and UC Grant for Bush to take over the renovation project and see it to final completion. Lender's characterization of those discussions regarding a potential deal are as follows: On June 27, 2025, Lender and Bush Construction entered into a Letter of Intent outlining the terms of Bush Construction's purchase of the Loan and Lender's security interest for $15 Million. As became apparent after the fact, Bush had no intention of closing on its purchase of the Loan; it signed the LOI merely to delay Lender's foreclosure sale scheduled for July 1, 2025 and create time for Bush to negotiate to purchase Investor's interest in the Historic Tax Credits and gain control of Debtor. Bush's plan and goal was to leverage Investor's Forbearance Agreement with Lender to prevent Lender from foreclosing and then attempt to promote Bush's junior lien above lender's First Position Security Deed. The Debtor and Bush's characterization of those discussions are as follows: Bush's representative, Brent Crittenden, began discussing alternate options with the Lender in April of 2025. Over the course of several months there were discussions between Mr. Crittenden and/or other Bush representatives and the Lender's VP of Underwriting concerning a possible reset and a loan purchase. On April 30th, 2025, Mr. Crittenden made his first formal request for further project details from the Lender and explained that Bush would not be able to proceed further without items like the tax credit documentation and other structuring information and offered that Bush's counsel could discuss with Lender's counsel. After more than a year of on-again, off-again negotiations, on July 30, 2025, the Lender contends that Bush Development terminated the LOI with the Lender and instead acquired the sole member of Investor, which Bush asserts includes its rights to the valuable Historic Tax Credits generated by the rehabilitation project. Around the same time that Bush Development acquired Investor, and thus control of the Debtor, with plans to advance the project and, as contended by the Lender, the termination of the LOI with the Lender, the Lender sent a second Default Notice to the Debtor advising the Debtor that it was required to make an immediate payment of the outstanding Loan balance of $24,037,776.22, and that Lender would be foreclosing on its security interest in the Grant Building through a non-judicial foreclosure sale to be conducted on September 2, 2025. Class 4 consists of Allowed Secured Claims of UC Grant. All Allowed Secured Claims of UC Grant are placed in Class 4. The Debtor estimates that the current liquidation value of UC Grant's collateral, the Grant Building, is approximately $4,800,000. The UC Grant shall be treated under one of the following alternatives under the Plan: * In the event that UC Grant votes to accept the Plan and otherwise does not object to Confirmation of the Plan, then (i) UC Grant shall have an Allowed Secured Claim in the amount of $8,000,000, which shall be paid by Distribution from the Plan Sponsor Proceeds as soon as reasonably practicable following the Effective Date, and (ii) UC Grant shall have no other Allowed Claims; or * In the event that UC Grant votes to reject the Plan and/or objects to Confirmation of the Plan, then (i) UC Grant shall have an Allowed Secured Claim in the amount of $4,800,000, which shall be paid by Distribution from the Plan Sponsor Proceeds as soon as reasonably practicable following the Effective Date, (ii) the remaining portion of the UC Grant Claim shall be an Allowed Unsecured Claim and treated under Class 6, and (iii) the Debtor shall ask the Court to restrict UC Grant's ability to credit bid the UC Grant Claim for "cause" under Sections 363(k) and 1129(b)(ii) in the event the Plan Sponsor elects to consummate the Plan Sponsor Transaction as an asset purchase. Class 4 is impaired under the Plan and is entitled to vote. The Lender disputes that the Debtor can force it to accept this treatment of its claims, or that cause exists to deny its credit bid rights, and intends to vigorously object to and contest this proposed treatment and reserves all rights. Class 5 consists of Allowed Claims of Lincoln Savings Bank. Lincoln Savings Bank filed Proof of Claim No. 3 (the "Lincoln Claim") on January 8, 2026, asserting a Secured Claim in the amount of $911,268.41. The basis for the Lincoln Claim and the security interests asserted by Lincoln Savings Bank are described in the Addendum to Proof of Claim of Lincoln Savings Bank (the "Addendum") which is attached as an exhibit to the Lincoln Claim. The Lincoln Claim is subject to further review and possible objection by UC Grant. In full satisfaction of the Lincoln Claim and all security interests asserted under the Security Documents, Bush has agreed to assign to Lincoln Savings Bank $250,000 of any Plan Sponsor Tax Credit Payments which may be payable in the future to Bush. Lincoln Savings Bank shall have no other Allowed Claims. Class 5 is Impaired under the Plan and is entitled to vote. The Lender reserves all rights to object to the claim and this treatment. Class 6 consists of all Allowed Unsecured Claims which are not included in any other Class. Each Holder of a Class 6 Claim shall receive a pro rata share of Distributions to be made from any Plan Sponsor Proceeds remaining after payment in full of all Allowed Secured Claims, Allowed Administrative Expense Claims, Allowed Priority Tax Claims, and Allowed Priority Claims. Additionally, any net proceeds generated from pursuit of any Causes of Action by the Reorganized Debtor shall be used to fund pro rata Distributions to the Holders of Allowed Unsecured Claims. Each Holder of an Allowed Unsecured Claim in Class 6 is entitled to vote to accept or reject the Plan. The Lender reserves all rights to object to any claim and this treatment. The proposed Plan Sponsor Transaction described in the Plan Sponsor Agreement includes, without limitation, the following terms: (i) the Plan Sponsor shall acquire the equity interests in the Grant ATL Equity Investors; (ii) the cash portion of the purchase price to be paid to the Debtor at closing as the Plan Sponsor Proceeds, is $10,000,700.00; (iii) the Plan Sponsor Transaction would close no later than forty-five days following the Confirmation Date; (iv) following the closing, the Reorganized Debtor would be controlled by the Plan Sponsor, directly or indirectly and would hold the Grant Building free and clear of all liens, claims and interests, except as expressly set forth in the Plan; and (v) Bush (and its assigns and/or designees) would receive the Plan Sponsor Tax Credit Payments. All Payments to Holders of Allowed Claims shall be paid from the Plan Sponsor Transaction Proceeds. Additionally, any net proceeds generated from pursuit of any Causes of Action by the Reorganized Debtor shall be used to fund pro rata Distributions to the Holders of Allowed Unsecured Claims. Except as otherwise provided in the Plan, no Claims shall bear interest from and after the Petition Date. A full-text copy of the Disclosure Statement dated May 11, 2026 is available at https://urlcurt.com/u?l=BceYMA from PacerMonitor.com at no charge. Counsel to the Debtor: J. Robert Williamson, Esq. Matthew W. Levin, Esq. Scroggins, Williamson & Ray, PC 4401 Northside Parkway, Suite 230 Atlanta, GA 30327 Telephone: (404) 893-3880 Facsimile: (404) 893-3886 Email: rwilliamson@swlawfirm.com About New Grant Acquisitions New Grant Acquisitions, LLC is a real estate lessor with its principal assets located at 44 Broad Street NW in Atlanta, Georgia. New Grant Acquisitions, LLC in Davenport, IA, sought relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ga. Case No. 25-61599) on Oct. 6, 2025, listing as much as $10 million to $50 million in both assets and liabilities. Brent Crittenden, authorized agent, signed the petition. Scroggins, Williamson & Ray, PC serves as the Debtor's counsel. NEXT GENERATION: Final Cash Collateral Hearing Set for May 27 ------------------------------------------------------------- The U.S. Bankruptcy Court for the Western District of Oklahoma is set to hold a hearing on May 27 to consider final approval of Next Generation Roofing, LLC's authority to use cash collateral. The Debtor was initially allowed to access cash collateral under the court's May 13 interim order. The initial order approved the payment of expenses from cash collateral in accordance with the Debtor's budget and granted Farmers Bank a valid and perfected first-priority post-petition lien on the Debtor's cash and other collateral. The order did not require "adequate protection" payments to Farmers Bank during the interim period; however, the bank may seek additional protection or other relief at the May 27 final hearing. The order is available at http://bankrupt.com/misc/NextGeneration_ICCOrder.pdf Next Generation Roofing filed for bankruptcy after becoming unable to service its debt obligations, particularly merchant cash advance financing, which had placed severe pressure on its cash flow and contributed to operational instability. The Debtor lacks sufficient unencumbered cash to fund ongoing business expenses and, therefore, requires access to cash collateral to avoid shutdown. The Debtor identifies Farmers Bank and several merchant cash advance lenders as potential secured creditors with interests in cash collateral. It disputes the validity and priority of many MCA liens, arguing that Farmers Bank holds the senior position and that other claims may be junior or unsecured. About Next Generation Roofing LLC Next Generation Roofing, LLC provides roofing installation and inspection services in Oklahoma City, Oklahoma, serving property owners with roof assessments and related exterior-damage evaluations. The company, led by Robert E. Baker, offers roofing contractor services that include support for property inspections and insurance-claim-related assessments. Next Generation Roofing filed a petition under Chapter 11, Subchapter V of the Bankruptcy Code (Bankr. W.D. Oklahoma Case No. 26-11534) on May 6, 2026, with between $1 million and $10 million in both assets and liabilities. Stephen Moriarty, Esq., at Fellers, Snider, Blankenship, Bailey & Tippens, P.C., serves as Subchapter V trustee. Judge Janice D Loyd oversees the case. The Debtor tapped Gary D. Hammond, Esq., and Olivia G. Kilby, Esq., at Hammond Law Firm and Amanda R. Blackwood, Esq., at Blackwood Law Firm, PLLC as bankruptcy counsel. ODYSSEY MARINE: Old West Investment Holds 8.20% Equity Stake ------------------------------------------------------------ Old West Investment Management, LLC, disclosed in a Schedule 13G filed with the U.S. Securities and Exchange Commission that as of March 31, 2026, it beneficially owns 4,773,196 shares of Common Stock, $0.0001 par value of Odyssey Marine Exploration Inc's Common Stock, $0.0001 par value, representing 8.20% of the shares outstanding. Old West Investment Management, LLC may be reached through: Chad Cook, Chief Compliance Officer 601 South Figueroa Street Suite 1975 Los Angeles, CA 90017 Tel: (213) 943-1740 A full-text copy of Old West Investment Management, LLC's SEC report is available at: https://tinyurl.com/8z96ae95 About Odyssey Marine Odyssey Marine Exploration, Inc. and its subsidiaries are engaged in deep-ocean exploration. Their innovative techniques are currently applied to mineral exploration and other marine survey and contracted services. The corporate headquarters are in Tampa, Florida. Tampa, Florida-based Grant Thornton LLP, the Company's auditor since 2023, issued a "going concern" qualification in its report dated March 31, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company incurred a net loss of $48.5 million during the year ended December 31, 2025, and as of that date, the Company's current liabilities exceeded its current assets by $7.3 million, and its total liabilities exceeded its total assets by $75.5 million. These conditions, along with other matters, raise substantial doubt about the Company's ability to continue as a going concern. As of March 31, 2026, the Company had $13.4 million in total assets, $84.2 million in total liabilities, and $70.8 million in total stockholders' deficit. ODYSSEY MARINE: Swings to Profit in Q1 2026; Going Concern Remains ------------------------------------------------------------------ Odyssey Marine Exploration, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net income of $177,876 for the three months ended March 31, 2026, compared to a net loss of $415,654 for the same period in the prior year. Total revenue for the three months ended March 31, 2026 were $22,500, compared to $135,000 in the prior-year period. Merger Agreement with American Ocean Minerals On April 8, 2026, Odyssey, an Odyssey subsidiary, and American Ocean Minerals Corporation, entered into an Agreement and Plan of Merger pursuant to which Merger Sub will merge with and into AOM, with AOM surviving the proposed merger and becoming a direct, wholly owned subsidiary of Odyssey. The proposed merger is expected to be completed in the late second to early third quarter of 2026, subject to Odyssey stockholders' approval. The Merger values the combined company at approximately $1 billion and includes a private placement of over $150 million from prominent institutional and strategic investors, as well as a $75 million pre-public financing completed in February 2026 by AOM. Going Concern Consideration The Company has experienced several years of net losses and may continue to do so. The Company's ability to generate net income or positive cash flows for the next twelve months is dependent upon financings, its success in developing and monetizing its interests in mineral exploration entities, and generating income from contracted services and exploration charters. The Company's 2026-2027 business plan requires it to generate new cash inflows to effectively allow it to perform its planned projects. The Company continually plans to generate new cash inflows through the monetization of its equity stakes in seabed mineral companies, financings, syndications or other partnership opportunities. If cash inflow ever becomes insufficient to meet its projected business plan requirements, the Company would be required to follow a contingency business plan based on curtailed expenses and fewer cash requirements. The Company's consolidated non-restricted cash balance at March 31, 2026 was $2.1 million. The Company has a working capital deficit at March 31, 2026 of $10.6 million. The total consolidated book value of the Company's assets was approximately $13.4 million at March 31, 2026, which includes cash of $2.1 million. These factors raise doubt about the Company's ability to continue as a going concern. Although the Company expects that the Transaction is likely to alleviate its going concern qualification, because consummation of the Transaction is subject to stockholder approval, and is outside management's control, the substantial doubt about the Company's ability to continue as a going concern has not been alleviated. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/tafwkezc About Odyssey Marine Odyssey Marine Exploration, Inc. and its subsidiaries are engaged in deep-ocean exploration. Their innovative techniques are currently applied to mineral exploration and other marine survey and contracted services. The corporate headquarters are in Tampa, Florida. Tampa, Florida-based Grant Thornton LLP, the Company's auditor since 2023, issued a "going concern" qualification in its report dated March 31, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company incurred a net loss of $48.5 million during the year ended December 31, 2025, and as of that date, the Company's current liabilities exceeded its current assets by $7.3 million, and its total liabilities exceeded its total assets by $75.5 million. These conditions, along with other matters, raise substantial doubt about the Company's ability to continue as a going concern. As of March 31, 2026, the Company had $13.4 million in total assets, $84.2 million in total liabilities, and $70.8 million in total stockholders' deficit. OHIO LUXURY: Case Summary & 20 Largest Unsecured Creditors ---------------------------------------------------------- Debtor: Ohio Luxury Builders LLC 4958 Mahoning Ave. Youngstown, OH 44515 Business Description: Ohio Luxury Builders LLC is a Youngstown, Ohio-based nonresidential building construction company that owns real estate properties in northeastern Ohio. The company's listed assets include residential properties, vacant lots and a commercial office property. Chapter 11 Petition Date: May 20, 2026 Court: United States Bankruptcy Court Northern District of Ohio Case No.: 26-40663 Judge: Hon. Tiiara NA Patton Debtor's Counsel: Charles Tyler, Esq. CHARLES TYLER, SR., ATTORNEY AND COUNSELOR AT LAW 137 S. Main Street, Suite 206 Akron, OH 44308 Tel: (330) 665-0910 E-mail: charles.tyler@tylerlawoffice.com Total Assets: $2,620,820 Total Liabilities: $3,226,247 The petition was signed by Corey Kemp as single member and president. A full-text copy of the petition, which includes a list of the Debtor's 20 largest unsecured creditors, is available for free on PacerMonitor at: https://www.pacermonitor.com/view/4Z4MHAY/Ohio_Luxury_Builders_LLC__ohnbke-26-40663__0001.0.pdf?mcid=tGE4TAMA OMNICARE LLC: Plan Exclusivity Period Extended to July 20 --------------------------------------------------------- Judge Stacey G. Jernigan of the U.S. Bankruptcy Court for the Northern District of Texas extended Omnicare, LLC and affiliates' exclusive periods to file a plan of reorganization and obtain acceptance thereof to July 20 and Sept. 17, 2026, respectively. As shared by Troubled Company Reporter, the Debtors explain that the Chapter 11 Cases are sufficiently large and complex to warrant the requested exclusivity extension. There are 110 Debtors in the Chapter 11 Cases, and their footprint includes 101 pharmacies operating in 44 states and servicing long term care facilities in 46 states. Further, the Chapter 11 Cases meet the requirements for complex case treatment in the Northern District of Texas. This factor weighs in favor of extending the Exclusive Periods. The Debtors claim that even though they have achieved significant progress in these Chapter 11 Cases over the past seven months including the crucial step of identifying the Stalking Horse Bidder, they are not yet in a position to file or solicit votes on a chapter 11 plan. The extent of sale proceeds available for distribution to holders of claims filed against the Debtors' estates will remain unknown for a few more months and will depend in large part on the sale and the ongoing negotiations relative to the FCA Appeal. Further extending the Exclusive Periods will provide the Debtors with the opportunity to continue facilitating their sale efforts, negotiating a resolution of the FCA Appeal, and preparing a chapter 11 plan and disclosure statement without the distraction and additional costs associated with a competing plan. Counsel for the Debtors: Ian T. Peck, Esq. Charles A. Beckham, Jr., Esq. Martha Wyrick, Esq. HAYNES AND BOONE, LLP 2801 N. Harwood Street, Ste. 2300 Dallas, Texas 75201 Tel: (214) 651-5155 Fax: (214) 651-5940 E-mail: ian.peck@haynesboone.com charles.beckham@haynesboone.com martha.wyrick@haynesboone.com Vincent E. Lazar, Esq. Derek L. Wright, Esq. Angela M. Allen, Esq. JENNER & BLOCK LLP 353 N. Clark Street Chicago, Illinois 60654 Tel: (312) 923-2952 Fax: (312) 527-0484 E-mail: vlazar@jenner.com dwright@jenner.com aallen@jenner.com About Omnicare LLC Omnicare, LLC is a subsidiary of CVS Health that provides comprehensive pharmacy services. Omnicare and affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Tex. Lead Case No. 25-80486). In its petition, Omnicare reported estimated assets between $100 million and $500 million and estimated liabilities between $1 billion and $10 billion. Judge Stacey G. Jernigan oversees the cases. The Debtors tapped Jenner & Block, LLP and Haynes Boone as legal counsel; Houlihan Lokey as investment banker; Alvarez & Marsal as restructuring advisor; and Stretto, Inc. as claims agent. The U.S. Trustee has appointed an official committee of unsecured creditors. The committee tapped Herbert Smith Freehills Kramer (US) LLP as counsel. ONYX BUSINESS: Unsecured Creditors to Split $10K over 5 Years ------------------------------------------------------------- Onyx Business Solutions of Florida, Inc. filed with the U.S. Bankruptcy Court for the Middle District of Florida a Plan of Reorganization dated May 11, 2026. The Debtor is a corporation which leases printers to organizations in Florida. This Plan proposes to pay creditors of the Debtor from future earnings. This Plan provides for two classes of secured claims and one class of general unsecured claims. Unsecured creditors holding allowed claims will receive a pro rata distribution of the Debtor's projected net disposable income payable over five years. This Plan also provides for the payment of administrative and priority claims under the terms to the extent permitted by the Code or by agreement between the Debtor and the claimant. Class 3 consists of general allowable unsecured claims. This would include all allowed unsecured claims. This class will be paid pro rata through a plan pool in the amount of $10,000 over five years in monthly payments of $167. This Class is impaired. Class 4 consists of Equity Security Holders of the Debtor. The Debtor will retain its equity in the property of the bankruptcy estate postconfirmation. The Debtor shall fund the Plan through its continued business operations. The Debtor expects increased revenue through the implementation of new business procedures and cost-saving initiatives. A full-text copy of the Plan of Reorganization dated May 11, 2026 is available at https://urlcurt.com/u?l=9aOcJi from PacerMonitor.com at no charge. Counsel to the Debtor: Samantha L. Dammer, Esq. BLEAKLEY BAVOL DENMAN & GRACE 15316 N. Florida Avenue Tampa, FL 33613 Telephone: (813) 221-3759 Facsimile: (813) 221-3198 E-mail: sdammer@bbdglaw.com About Onyx Business Solutions of Florida Headquartered in Tampa, Onyx Business Solutions of Florida, Inc. provides printing and document management solutions across Florida, including Jacksonville, Orlando, Naples, Miami, and Fort Lauderdale. It offers high-speed inkjet and laser printers, duplicators, paper handling equipment, and document management software, supported by local sales, technical service, and supply management. Its operations focus on delivering cost-effective, high-volume printing solutions and related equipment to organizations printing between 500 and 5 million copies per month. Onyx sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 26-01104) on February 12, 2026, with $416,740 in assets and $1,631,766 in liabilities. Onyx President Stephen Craig signed the petition. Samantha L. Dammer, Esq., at Bleakley Bavol Denman & Grace represents the Debtor as legal counsel. Bank of Tampa, as creditor, is represented by: Steven F. Thompson, Esq. Tyler J. Caron, Esq. Thompson Commercial Law Group 615 W. De Leon Street Tampa, Florida 33606 Telephone: (813) 387-1821 Telecopier: (813) 387-1824 Email: sthompson@thompsonclg.com tcaron@thompsonclg.com PALMAIRE AVE: Commences Chapter 11 Bankruptcy in Arizona -------------------------------------------------------- On May 18, 2026, Palmaire Ave LLC filed for Chapter 11 protection in the District of Arizona bankruptcy court. According to court filings, the debtor reports between $100,001 and $1 million in debt owed to approximately 1 to 49 creditors. A meeting of creditors under Section 341(a) to be held on June 23, 2026 at 09:00 AM as a Chapter 11 Teleconference Call in number: 1-888-330-1716, Passcode: 4038524. About Palmaire Ave LLC Palmaire Ave LLC is a real estate holding and investment company engaged in property ownership and asset management activities. The company’s operations are centered on managing real estate-related investments and commercial property interests. Palmaire Ave LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-04920) on May 18, 2026. In its petition, the debtor reports estimated assets between $100,001 and $1 million and estimated liabilities within the same range. Honorable Bankruptcy Judge in the District of Arizona handles the case. The debtor is represented by Grant L. Cartwright, Esq. of May, Potenza, Baran & Gillespie, P.C. PARAMOUNT GOLD: Net Loss Widens to $4.9MM in Fiscal Q3 ------------------------------------------------------ Paramount Gold Nevada Corp. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $4,903,148 for the three months ended March 31, 2026, compared to a net loss of $2,618,307 for the same period in the prior year. For the nine-month period ended March 31, 2026, the Company reported a net loss of $13,654,423, compared to a net loss of $6,221,934 in the corresponding prior-year period. The Company has not generated any revenues or cash flows from operations to date. The Company is subject to all the risks associated with development stage companies. Since inception, the Company has incurred losses and negative cash flows from operating activities which have been funded from the issuance of common stock, prefunded warrants, convertible notes, note payable and the sale of royalties on its mineral properties. The Company does not expect to generate positive cash flows from operating activities in the near future, if at all, until such time it successfully initiates production at its Grassy Mountain Project, including obtaining construction financing, completing the construction of the proposed mine and anticipates incurring operating losses for the foreseeable future. Paramount expects to continue to incur losses as a result of costs and expenses related to maintaining its properties and general and administrative expenses. Since 2015, the Company has relied on equity financings, debt financings and sale of royalties to fund its operations and the Company expects to rely on these forms of financing to fund operations into the near future. Paramount's current business plan requires working capital to fund non-discretionary expenditures for its exploration and development activities on its mineral properties, mineral property holding costs and general and administrative expenses. Subsequent to May 12, 2026, the Company expects to fund operations as follows: existing cash on hand and working capital; the existing ATM with Cantor Fitzgerald & Co. and A.G.P./Alliance Global Partners; insurance proceeds to fund reclamation and environmental obligations at its Sleeper Gold Project; and equity financings and sale of royalties. At March 31, 2026, the Company's cash balance was $12,701,492. Historically, the Company has been successful in accessing capital through equity and debt financing arrangements or by the sale of royalties on its mineral properties, no assurance can be given that additional financing will be available to it in amounts sufficient to meet its needs, or on terms acceptable to the Company. In the event that the Company is unable to obtain additional capital or financing, its operations, exploration and development activities would be adversely affected and it may not be able to maintain its mining claims and its commitments to purchase other mining properties. The continuation of the Company as a going concern is dependent on having sufficient capital to maintain its operations. In considering its financing plans and its current working capital position the Company believes there is substantial doubt about its ability to continue as a going concern within the next 12 months. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/6rhsaed5 About Paramount Gold Nevada Corp. Paramount Gold Nevada Corp. is engaged in the business of acquiring, exploring and developing precious metals projects in the United States of America. Paramount owns both exploration and development stage projects in the states of Nevada and Oregon. Denver, Colorado -based Baker Tilly US, LLP, the Company's auditor since 2022, issued a "going concern" qualification in its report dated September 25, 2025, attached to the Company's Annual Report on Form 10-K for the year ended June 30, 2025, citing that the Company has suffered recurring losses from operations and has a net capital deficiency that raise substantial doubt about its ability to continue as a going concern. As of March 31, 2026, the Company had $62,932,239 in total assets, $27,619,171 in total liabilities, and $ 35,313,068 in total stockholders' equity. PAVMED INC: Ayrton Capital, 2 Others Hold 9.99% Equity Stake ------------------------------------------------------------ Ayrton Capital LLC, Alto Opportunity Master Fund, SPC - Segregated Master Portfolio B, and Waqas Khatri, disclosed in a Schedule 13G (Amendment No. 1) filed with the U.S. Securities and Exchange Commission that as of March 31, 2026, each beneficially owns 709,069 shares of Common Stock, $0.001 par value per share, representing: (i) 49 shares of Common Stock held by the Reporting Persons (ii) 500,000 shares of Restricted Common Stock held by the Reporting Persons; and (iii) 209,020 shares of Common Stock issuable on the exercise of certain warrants and conversion of certain convertible notes held by the Reporting Persons, with the issuable shares of Common Stock related to the exercise of the Warrants and conversion of the Notes both subject to a 9.99% beneficial ownership blocker, of PAVMED INC.'s Common Stock, $0.001 par value per share, representing 9.99% of the 6,383,089 shares of Common Stock outstanding as of March 27, 2026, as reported in the Issuer's 10-K filed on March 27, 2026, plus 500,000 shares of Restricted Common Stock held by the Reporting Persons and 209,020 shares of Common Stock issuable on the exercise of the Warrants and conversion of the Notes held by the Reporting Persons. Ayrton Capital LLC may be reached through: Waqas Khatri 55 Post Rd West, 2nd Floor Westport, CT 06880 Tel: 646-793-9056 A full-text copy of Ayrton Capital LLC's SEC report is available at: https://tinyurl.com/586dwbr7 About PAVmed PAVmed operates through multiple subsidiaries, including Lucid Diagnostics, which markets the EsoGuard test and EsoCheck device, and Veris Health, which focuses on digital tools for personalized cancer care. The company is also advancing its PortIO implantable vascular access device and developing endoscopic imaging technology licensed from Duke University. The New York-based life sciences company reported total assets of $38.81 million, total liabilities of $16.51 million and stockholders' equity of $22.30 million as of Dec. 31, 2025. CBIZ CPAs P.C., in its March 27, 2026 audit report, issued a going-concern qualification, citing a significant working capital deficit, recurring losses and the need to raise additional funds. These conditions, the report notes, raise substantial doubt about the company's ability to continue operating. PEDIATRIC ASSOCIATES: Moody's Rates New First Lien Term Loan 'B2' ----------------------------------------------------------------- Moody's Ratings assigned a B2 rating to the proposed senior secured first lien term loan of Pediatric Associates Holding Company, LLC's (Pediatric Associates). Moody's also affirmed the existing ratings of Pediatric Associates including the B2 Corporate Family Rating, B2-PD Probability of Default Rating, and B2 ratings on the first lien senior secured bank credit facilities. The outlook is stable. Pediatric Associates will use the net proceeds from $790 million senior secured first lien term loan due in December 2031, together with new sponsor equity proceeds, to repay existing senior secured term loans and to pay fees and expenses related to the transaction. RATINGS RATIONALE The B2 CFR reflects the company's moderately high financial leverage, with Moody's-adjusted debt/EBITDA of approximately 5.5x on a pro forma basis as of December 31, 2025. The rating is constrained by the company's significant exposure to Medicaid, as the vast majority of Pediatric Associates' value-based care (VBC) revenue is derived from managed Medicaid contracts, as well as its modest scale and high geographic concentration in Florida and Texas. Additionally, the company's VBC segment introduces execution risk, as Pediatric Associates must effectively manage this model to sustain stable profitability. Pediatric Associates' ratings benefit from its solid market position in the highly fragmented pediatric care sector, which offers favorable long-term growth prospects and good profitability. While the company's VBC model introduces certain risks, it also supports stronger profitability and earnings stability through capitated and shared risk revenue arrangements. In addition, pediatric value-based care is inherently more stable than adult VBC models, reflecting lower patient acuity, more predictable utilization, and reduced cost volatility. Moody's expects Pediatric Associates to maintain good liquidity over the next 12-18 months, with positive free cash flow and no near-term debt maturities. Liquidity is supported by the undrawn $100 million revolving credit facility and $32 million of cash pro forma the transaction. Moody's forecasts that Pediatric Associates will generate around $10 to $20 million of free cash flow annually. The $100 million revolving credit facility has a springing First Lien Net Leverage Covenant of 7.0x when 35% drawn. Moody's do not expect Pediatric Associates to rely on the revolving credit facility, but anticipates that it would maintain adequate cushions if used. Alternative sources of liquidity are limited as substantially all assets are pledged. There is no financial covenant on the term loans. The stable outlook reflects Moody's expectations that Pediatric Associates' earnings growth will support modest leverage reduction and that the company will maintain good liquidity. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if Pediatric Associates demonstrates a track record of positive free cash flow and effectively manages its growth with prudent financial policies. Increased scale and diversification would also support an upgrade. Further, the ratings could be upgraded if adjusted debt to EBITDA is sustained below 4.0 times. The ratings could be downgraded if Pediatric Associates' strategy fails to produce profitable revenue growth or leads to operating disruption. If the company engages in large debt financed acquisition or dividends, or if liquidity weakens, it could lead to a downgrade. Additionally, the ratings could be downgraded if Moody's expects debt/EBITDA to be sustained above 5.5 times. Pediatric Associates Holding Company, LLC ("Pediatrics Associates") is the largest pediatric practice management company in the highly fragmented US pediatric market. The company employs approximately 1,080 clinicians seeing over 4.6 million annual visits across seven states (307 locations). Pediatric Associates offers primary and specialty care, laboratory, diagnostic and care management services, as well as 24/7 telehealth access. Pediatric Associates had revenues of $799 million in 2025 or $852 million pro forma Tribeca, an unconsolidated subsidiary it owns 45% of. Pediatric Associates is owned by Summit Partners and TPG Capital. 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. PLANET GREEN: Issues Going Concern Alert Per NYSE American Rules ---------------------------------------------------------------- Planet Green Holdings Corp. announced that the audit report issued by the Company's independent registered public accounting firm in connection with the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025 contained a going concern qualification and an explanatory paragraph expressing substantial doubt about the Company's ability to continue as a going concern. The Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025 was filed with the U.S. Securities and Exchange Commission on March 31, 2026. This announcement is being made solely to comply with Sections 401(h) and 610(b) of the NYSE American Company Guide. It does not represent any change or amendment to the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025. Additional information may be found in the Company's filings with the U.S. Securities and Exchange Commission at www.sec.gov. About Planet Green Planet Green Holdings Corp., headquartered in Flushing, New York, functions as a Nevada-incorporated holding company rather than an operating entity in mainland China. Its business operations are conducted through subsidiaries based in the PRC, Hong Kong, and Canada. The Company engages in diverse sectors, including consumer goods, chemical products, and online advertising. Irvine, California -based YCM CPA INC, the Company's auditor since 2022, issued a "going concern" qualification in its report dated March 31, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company records an accumulated deficit as of December 31, 2025, and currently has a working capital deficit, continued net losses and negative cash flows from operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of December 31, 2025, the Company had $10,209,878 in total assets, $12,379,921 in total liabilities, and $2,170,043 in total stockholders' deficit. PLATES RESTAURANT: Gets Interim OK to Use Cash Collateral --------------------------------------------------------- The Plates Restaurant, LLC received interim approval from the U.S. Bankruptcy Court for the Northern District of Georgia, Atlanta Division, to use cash collateral to fund operations. Under the interim order, the Debtor is authorized to use cash collateral in accordance with its budget from May 11 until the June 10 final hearing, unless the court extends the period. The Debtor's cash collateral consists of revenue from business operations in which lenders may claim security interests including the U.S. Small Business Administration, Grasshopper Bank, and merchant cash advance lenders OnDeck Capital, LLC and Rewards Network Establishment, Inc. The SBA likely holds the senior lien position based on a UCC filing dating back to 2020, followed by Grasshopper Bank and then the MCA lenders. To protect lenders during the Debtor's use of cash collateral, they will receive perfected replacement liens on post-petition assets similar to their pre-petition collateral, excluding proceeds from Chapter 5 avoidance actions. The order is available at http://bankrupt.com/misc/PlatesRestaurant_ICCOrder.pdf Plates Restaurant originally operated an Italian restaurant called Piastra in Marietta, Georgia, for more than a decade before owners Greg Lipman and Betty Bahl decided to transition to a new upscale grocery, farm-to-table restaurant, and catering concept known as Asher & Rose Grocer. The business reopened in January 2026 after a costly renovation and buildout that significantly exceeded budget projections. Although the launch generated substantial publicity, including local magazine features and Fox News coverage, actual sales failed to meet expectations. To address mounting operational costs, the business relied heavily on merchant cash advance loans, whose aggressive repayment obligations worsened cash flow problems and left the Debtor unable to meet ordinary operating expenses. About The Plates Restaurant LLC The Plates Restaurant, LLC operates an upscale grocery, farm-to-table restaurant, and catering concept known as Asher & Rose Grocer. It conducts business under the name Asher & Rose Grocer. Plates Restaurant sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 26-56170) on May 7, 2026, with $100,001 to $500,000 in assets and $500,001 to $1 million in liabilities. Greg Lipman, chef, manager and authorized agent, signed the petition. William Rountree, Esq., at Rountree, Leitman, Klein & Geer, LLC, represents the Debtor as legal counsel. PLATINUM EXPRESS: Gets Interim OK to Use Cash Collateral -------------------------------------------------------- Platinum Express, Inc. received interim approval from the U.S. Bankruptcy Court for the Southern District of Ohio, Western Division, to use cash collateral. Under the interim order, the Debtor is authorized to use cash collateral pursuant to its latest budget covering a 12-week period from May 10 through Aug. 1. The Debtor may operate using cash collateral through the final hearing but weekly spending must not exceed projections by more than 15% without Apex Capital Corp.'s consent or court approval. Unused amounts may carry forward and any budget changes require lender or court approval. Apex is the Debtor's primary secured lender with a valid first-priority lien on the Debtor's cash collateral through a long-standing factoring agreement. As protection, Apex and other creditors such as merchant cash advance lenders claiming valid security interests will receive replacement liens on post-petition assets similar to their pre-petition collateral. As additional protection, the court ordered to limit the use of cash collateral to authorized budget expenditures and required that any payments made to creditors with interests in cash collateral remain subject to disgorgement if such creditors are later determined not to possess valid rights in the collateral. A copy of the court's order and the Debtor's budget is available at https://shorturl.at/5uv31 from PacerMonitor.com. A final hearing is scheduled for June 16, with objections due by June 9. About Platinum Express Inc. Platinum Express, Inc. is a Dayton, Ohio-based truckload carrier founded in 1999. The company provides freight transportation services, including reefer freight delivery and transportation of groceries, plumbing supplies, and home construction and improvement materials. Platinum Express, Inc. is family owned and operated and operates a fleet of more than 80 trucks with owner/operator and company-employed drivers. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Ohio Case No. 26-31005) on May 7, 2026. In the petition signed by Myna Burba, president, the Debtor disclosed up to $10 million in both assets and liabilities. Judge Tyson A. Crist oversees the case. Darlene E. Fierle, Esq., at Thomsen Law Group, LLC, represents the Debtor as bankruptcy counsel. PPW REALTY: Available Cash & Loan Modification to Fund Plan ----------------------------------------------------------- PPW Realty 1408-10 W 3rd St LLC filed with the U.S. Bankruptcy Court for the District of New Jersey an Original Disclosure Statement describing Plan of Reorganization dated May 11, 2026. The Debtor was formed in 2023. The Debtor is the owner of a one-unit property located a 1410 W 3rd Street, Plainfield, NJ. T The sole member of the Debtor is Wellington Pena. After Purchasing the property, the tenant refused to pay rent and ultimately moved out. The tenant did substantial damaged to the property, causing the Debtor to fall behind with the mortgage which caused the property to go into foreclosure. Prior to filing for bankruptcy, Wellington Pena was the sole member of the Debtor and has continued to serve as the sole member of the Debtor. This is a reorganizing plan. In other words, the Proponent seeks to accomplish payments under the Plan by either obtaining a loan modification, refinancing the property or selling the property. The Effective Date of the proposed Plan is July 2026. Class 3 consists of General Unsecured Claims. This Class shall receive 100% of any unsecured claim. Class 4 consists of Equity Interest Holders. Wellington Pena shall retain his interest in the company. The Debtor intends to fund the Plan as follows: * Cash on Hand from the principal of Debtor. * The Debtor is seeking is seeking a loan modification within the next 6 months. * The Debtor has begun renting the premises and will receive contributions from the principal of the Debtor to make the necessary contributions to pay all costs in connection with the property. * If Debtor is unable to obtain a loan modification, Debtor will either try to refinance or sell the property. A full-text copy of the Original Disclosure Statement dated May 11, 2026 is available at https://urlcurt.com/u?l=ovpCmu from PacerMonitor.com at no charge. Counsel to the Debtor: Robert C. Nisenson, Esq. ROBERT C. NISENSON, LLC 10 Auer Court East Brunswick, NJ 08816 (732) 238-8777 About PPW Realty 1408-10 W 3rd St LLC PPW Realty 1408-10 W 3rd St LLC is a single asset real estate company. The company sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-10131) on January 7, 2026. In its petition, the Debtor reports estimated assets of $0 to $100,000 and estimated liabilities of $0 to $100,000. Honorable Bankruptcy Judge Stacey L. Meisel handles the case. The Debtor is represented by Robert C. Nisenson, Esq., of Robert C. Nisenson, LLC. PRIORITY TECHNOLOGY: Debts Exceed Assets by $81.8M at March 31 -------------------------------------------------------------- Priority Technology Holdings, Inc.'s stockholder's deficit was US$81.8 million at March 31, 2026. The stockholder's deficit was US$92.4 million at Dec. 31, 2025. At March 31, 2026, the Company had total assets of US$2.5 billion and total liabilities of US$2.55 billion. At Dec. 31, 2025, the Company had total assets of US$2.4 billion and total liabilities of US$2.5 billion. Priority Technology Holdings, Inc. presents itself as having adequate near-term liquidity, stating: "We anticipate that cash on hand, funds generated from operations and available borrowings under our revolving credit facility are sufficient to meet our working capital requirements for at least the next 12 months." As of March 31, 2026, the Company reported cash of $92.2 million, working capital of $122.9 million, and additional liquidity via approximately $100.0 million of availability under its revolving credit facility. Operating cash flow was positive and rising, with net cash provided by operating activities increasing to $23.8 million from $10.0 million in the prior-year quarter. The Company disclosed total outstanding debt obligations of approximately $1.06 billion as of March 31, 2026, largely consisting of $1.02 billion under its 2024 Credit Agreement term facility and $0.04 billion under a Residual Finance Credit Facility, offset by $15.6 million of unamortized discounts and issuance costs. The Company noted that "minimum amortization of the 2024 Credit Agreement's term facility are equal quarterly installments in aggregate annual amounts equal to 1.0% of the original principal, with the balance paid upon maturity," implying a large bullet repayment exposure at the July 31, 2032 maturity, while the revolver matures July 31, 2030. The Company disclosed that interest expense of $21.0 million for the three months ended March 31, 2026, decreased by $2.2 million, or (9.3%), from $23.2 million for the three months ended March 31, 2025, due to decreased SOFR rates and beneficial changes in margin from the recent refinancing which was partially offset by increased outstanding balances of the 2024 Credit Agreement and the Residual Finance credit facility established during the quarter ended Sept. 30, 2025. Net cash provided by investing activities was $11.4 million for the three months ended March 31, 2026, compared to $9.7 million of cash used in investing activities for the three months ended March 31, 2025. For the three months ended March 31, 2026, investing activities included the $25.0 million redemption of short-term investments of MTL funds offset by $8.1 million related to net funding of new loans to ISOs and $5.5 million additions to property, equipment and software. For the three months ended March 31, 2025, net cash used in investing activities included additions to property, equipment and software of $5.1 million, $0.1 million related to net funding of new loans to ISOs and $4.5 million related to the acquisition of a business. Net cash provided by financing activities was $70.6 million and $47.3 million for the three months ended March 31, 2026 and 2025, respectively. The net cash provided by financing activities for the three months ended March 31, 2026, included borrowings under the Residual Finance credit facility of $6.8 million and changes in the net obligations for funds held on the behalf of customers of $65.0 million, offset by $0.2 million of cash used for the repayment of the Residual Finance credit facility, $0.9 million of cash used to purchase shares withheld for taxes, and $0.1 million for a deferred consideration payment. The net cash used in financing activities for the three months ended March 31, 2025, included changes in the net obligations for funds held on the behalf of customers of $59.1 million and proceeds from the exercise of stock options of $0.1 million offset by $10.0 million of cashed used for the unscheduled repayment of the term loan principal for the 2024 Credit Agreement, $1.5 million of cash used for shares withheld for taxes and $0.4 million of payments of contingent consideration. As of March 31, 2026, the Company says "we had outstanding debt obligations, including the current portion and unamortized debt discount of $1.06 billion, compared to $1.06 billion at December 31, 2025, resulting in an increase due to net borrowings from the Residual Finance credit facility. The debt balance at March 31, 2026 consisted of $1.02 billion outstanding under the 2024 Credit Agreement's (as amended) term facility and $0.04 billion under the Residual Finance Credit Facility's term facility offset by $15.6 million of unamortized debt discounts and issuance costs." A full-text copy of the Form 10-Q is available at https://tinyurl.com/n55a6rx6 About Priority Technology Holdings, Inc. Priority Technology Holdings, Inc. is a payments and banking fintech that provides a comprehensive suite of services designed to collect, store, lend, and send money. Its offerings include full-service merchant acquiring, automated payables tools, and treasury management solutions aimed at enhancing cash flow and optimizing working capital for its customers. The Company serves a diverse range of clients through its connected commerce engine, facilitating efficient financial transactions and management. PUERTO RICO: Mujica Says PREPA Bankruptcy Unlikely to End in 2026 ----------------------------------------------------------------- Robert Mujica said the bankruptcy case involving Puerto Rico Electric Power Authority is unlikely to conclude in 2026 as mediation efforts remain stalled by disputes with bondholders seeking full recovery on their investments. The official said both litigation and settlement discussions remain active, but legal proceedings could drag the case out further, reports The San Juan Star. According to Mujica, mediation offers the quickest route to resolving PREPA’s debt restructuring if creditors and the oversight board can agree on acceptable repayment terms. However, he warned that continued litigation introduces significant uncertainty and could extend the process for months beyond current expectations. The oversight board continues evaluating risks tied to potential court outcomes while balancing what PREPA can realistically afford. The comments came after Magistrate Judge Judith Gail Dein issued a partial ruling on renewed discovery requests from PREPA bondholders. The judge allowed some requests for documents and testimony while rejecting others tied to historical financial reports and bond disclosures from 2012 and 2013. She also approved a limited interrogatory concerning differences between PREPA revenue calculations and oversight board accounting methods. The court additionally directed the oversight board to turn over records concerning PREPA's federal funding requests and use of relief money before operations shifted to LUMA Energy and Genera PR. Discovery deadlines now extend into the fall, with summary judgment briefing scheduled through November and oral arguments expected at a later omnibus hearing, the report relays. About Puerto Rico Puerto Rico is a self-governing commonwealth in association with the United States. The chief of state is the President of the United States of America. The head of government is an elected Governor. There are two legislative chambers: the House of Representatives, 51 seats, and the Senate, 27 seats. The governor-elect is Ricardo Antonio Rossello Nevares, the son of former governor Pedro Rossello. In 2016, the U.S. Congress passed PROMESA, which, among other things, created the Financial Oversight and Management Board and imposed an automatic stay on creditor lawsuits against the government, which expired May 1, 2017. The members of the oversight board are: (i) Andrew G. Biggs, (ii) Jose B. Carrion III, (iii) Carlos M. Garcia, (iv) Arthur J. Gonzalez, (v) Jose R. Gonzalez, (vi) Ana. J. Matosantos, and (vii) David A. Skeel Jr. On May 3, 2017, the Commonwealth of Puerto Rico filed a petition for relief under Title III of the Puerto Rico Oversight, Management, and Economic Stability Act (PROMESA). The case is pending in the United States District Court for the District of Puerto Rico under case number 17-cv-01578. A copy of Puerto Rico PROMESA petition is available at http://bankrupt.com/misc/1701578-00001.pdf On May 5, 2017, the Puerto Rico Sales Tax Financing Corporation (COFINA) commenced a case under Title III of PROMESA (D.P.R. Case No. 17-01599). Joint administration has been sought for the Title III cases. On May 21, 2017, two more agencies; Employees Retirement System of the Government of the Commonwealth of Puerto Rico and Puerto Rico Highways and Transportation Authority (Case Nos. 17-01685 and 17-01686) commenced Title III cases. U.S. Chief Justice John Roberts named U.S. District Judge Laura Taylor Swain to preside over the Title III cases. The Oversight Board has hired as advisors, Proskauer Rose LLP and Neill & Borges LLC as legal counsel, McKinsey & Co. as strategic consultant, Citigroup Global Markets as municipal investment banker, and Ernst & Young, as financial advisor. Martin J. Bienenstock, Esq., Scott K. Rutsky, Esq., and Philip M. Abelson, Esq., of Proskauer Rose LLP; and Hermann D. Bauer, Esq., at O'Neill & Borges LLC are onboard as attorneys. Prime Clerk LLC is the claims and noticing agent. Prime Clerk maintains the case Web site https://cases.primeclerk.com/puertorico Jones Day is serving as counsel to certain ERS bondholders. Paul Weiss is counsel to the Ad Hoc Group of Puerto Rico General Obligation Bondholders. PURDUE PHARMA: Court Permits Late Claims Advance in Chapter 11 Case ------------------------------------------------------------------- Clara Geoghegan of Law360 Bankruptcy Authority reports that a New York bankruptcy court has permitted 13 late-filed claims in the Chapter 11 proceedings of Purdue Pharma, ruling that they may proceed even after the company’s restructuring plan took effect. The judge’s decision provides claimants another opportunity to seek recovery under the confirmed plan. According to the ruling, the court determined that the late claims could be considered without undermining the finality of the confirmed bankruptcy plan. The decision reflects the court’s effort to maintain fairness in claims resolution while preserving the integrity of the restructuring process. The case remains one of the most closely watched bankruptcy proceedings in the country, with ongoing disputes over claims administration and creditor treatment. The latest ruling ensures additional claims will be reviewed within the established post-confirmation framework, the report relays. About Purdue Pharma LP Purdue Pharma L.P. and its subsidiaries -- http://www.purduepharma.com/-- develop and provide prescription medicines and consumer products that meet the evolving needs of healthcare professionals, patients, consumers and caregivers. Purdue's subsidiaries include Adlon Therapeutics L.P., focused on treatment for Attention-Deficit/Hyperactivity Disorder (ADHD) and related disorders; Avrio Health L.P., a consumer health products company that champions an improved quality of life for people in the United States through the re-imagining of innovative product solutions; Imbrium Therapeutics L.P., established to further advance the emerging portfolio and develop the pipeline in the areas of CNS, non-opioid pain medicines, and select oncology through internal research, strategic collaborations and partnerships; and Greenfield Bioventures L.P., an investment vehicle focused on value-inflection in early stages of clinical development. Opioid makers in the U.S. are facing pressure from a crackdown on the addictive drug in the wake of the opioid crisis and as state attorneys general file lawsuits against manufacturers. More than 2,000 states, counties, municipalities and Native American governments have sued Purdue Pharma and other pharmaceutical companies for their role in the opioid crisis in the U.S., which has contributed to the more than 700,000 drug overdose deaths in the U.S. since 1999. OxyContin, Purdue Pharma's most prominent pain medication, has been the target of over 2,600 civil actions pending in various state and federal courts and other fora across the United States and its territories. On Sept. 15 and 16, 2019, Purdue Pharma L.P. and 23 affiliated debtors each filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 19 23649), after reaching terms of a preliminary agreement for settling the massive opioid litigation. The Debtors' consolidated balance sheet as of Aug. 31, 2019, showed $1.972 billion in assets and $562 million in liabilities. U.S. Bankruptcy Judge Robert Drain oversees the cases. The Debtors tapped Davis Polk & Wardwell, LLP and Dechert, LLP, as legal counsels; PJT Partners as investment banker; AlixPartners as financial advisor; and Grant Thornton, LLP as tax structuring consultant. Prime Clerk, LLC, is the claims agent. Akin Gump Strauss Hauer & Feld LLP and Bayard, P.A., represent the official committee of unsecured creditors appointed in the Debtors' bankruptcy cases. David M. Klauder, Esq., is the fee examiner appointed in the Debtors' cases. The fee examiner is represented by Bielli & Klauder, LLC. * * * U.S. Bankruptcy Judge Robert Drain in early September 2021 approved a plan to turn Purdue into a new company (Knoa Pharma LLC) no longer owned by members of the Sackler family, with its profits going to fight the opioid epidemic. The Sackler family agreed to pay $4.3 billion over nine years to the states and private plaintiffs and in exchange for a lifetime legal immunity. The deal resolves some 3,000 lawsuits filed by state and local governments, Native American tribes, unions, hospitals, and others who claimed the company's marketing of prescription opioids helped spark and continue an overdose epidemic. Separate appeals to approval of the Plan have already been filed by the U.S. Bankruptcy Trustee, California, Connecticut, the District of Columbia, Maryland, Rhode Island and Washington state, plus some Canadian local governments and other Canadian entities. In early March 2022, Purdue Pharma reached a nationwide settlement over its role in the opioid crisis, with the Sackler family members boosting their cash contribution to as much as $6 billion. The settlement was hammered out with attorneys general from the eight states -- California, Connecticut, Delaware, Maryland, Oregon, Rhode Island, Vermont and Washington -- and D.C. who had opposed the previous settlement. QVC GROUP: Contrarius Investment Holds 8.9% Equity Stake -------------------------------------------------------- Contrarius Investment Management Limited and Contrarius Investment Management (Bermuda) Limited, disclosed in a Schedule 13G (Amendment No. 7) filed with the U.S. Securities and Exchange Commission that as of March 31, 2026, each beneficially owns 702,768 shares of Series A Common Stock of QVC Group, Inc.'s Series A Common Stock, representing 8.9% of the shares outstanding. Contrarius Investment Management Ltd may be reached through: Thomas Daniel Perkins 2 Bond Street St Helier, Jersey JE2 3NP, Channel Islands. Tel: 44 1534 823 136 A full-text copy of Contrarius Investment Management's SEC report is available at: https://tinyurl.com/jx5euf4b About QVC Group Inc. QVC Group, Inc., formerly known as Qurate Retail, Inc. -- https://www.qvcgrp.com/ -- owns interests in subsidiaries and other companies that are primarily engaged in the video and online commerce industries. Through its subsidiaries and affiliates, the company operates in North America, Europe and Asia. Its principal businesses and assets include its consolidated subsidiaries QVC, Inc., Cornerstone Brands, Inc., and other cost method investments. QVC Group and several affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 26-90447) on April 16, 2026. In its petition, the Debtor reports more than $1 billion in assets and estimated liabilities of $6.6 billion. The Hon. Bankruptcy Judge Alfredo R. Perez handles the jointly administered cases. The Debtors employed Kirkland & Ellis LLP and Kirkland & Ellis International LLP as co-counsel; Gray Reed, as co-counsel; AlixPartners, LLP, as financial advisor; Evercore Group L.L.C., as investment banker; Kroll Restructuring Administration LLC, as claims and noticing agent; and PricewaterhouseCoopers LLP, as tax advisor. Joele Frank, Wilkinson Brimmer Katcher is serving as strategic communications advisor to QVC Group and QVC, Inc. Kobre & Kim LLP, serves as legal counsel to QVC Group, Inc. under the direction of the Special Committee; Seward & Kissel LLP, as legal counsel to QRI Cornerstone, Inc. under the direction of the Special Committee; Milbank LLP, as legal counsel to Liberty Interactive LLC, under the direction of the disinterested directors, and as legal counsel to Qurate Retail Group, Inc., under the direction of the Special Committee; and Katten Muchin Rosenman LLP, as legal counsel to QVC, Inc., under the direction of the disinterested directors. The Bank of New York Mellon Trust Company, N.A., as trustee under the LINTA Notes Indenture, is represented by Reed Smith LLP, as counsel. The LINTA Noteholder Group is represented by Akin Gump Strauss Hauer & Feld LLP. The QVC Noteholder Group is represented by Davis Polk & Wardwell LLP. The RCF Lender Group, led by JPMorgan Chase Bank, N.A., as administrative agent, is represented by Simpson Thacher & Bartlett LLP. QVC GROUP: U.S. Trustee Says Ch. 11 Releases Violate Law -------------------------------------------------------- Emlyn Cameron of Law360 Bankruptcy Authority reports that QVC is facing pushback from the U.S. Trustee's Office, which has asked a Texas bankruptcy judge to block approval of its Chapter 11 plan. The Trustee argued that the plan uses an improper mechanism to secure creditor approval for releases included in the restructuring. Court papers state that the Trustee believes QVC's plan conditions creditor acceptance on participation in third-party releases, a structure the office contends is inconsistent with bankruptcy requirements. The filing argues that this method undermines the fairness of the voting process. The objection adds uncertainty to QVC's efforts to confirm its reorganization plan, as the court must now determine whether the release provisions comply with bankruptcy law. The outcome could affect how creditor consent is evaluated in the case, the report states. About QVC Group QVC Group, Inc., formerly known as Qurate Retail, Inc. -- https://www.qvcgrp.com/ -- owns interests in subsidiaries and other companies which are primarily engaged in the video and online commerce industries. Through its subsidiaries and affiliates, the Company operates in North America, Europe and Asia. Its principal businesses and assets include its consolidated subsidiaries QVC, Inc., Cornerstone Brands, Inc., and other cost method investments. QVC Group sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 26-90447) on April 16, 2026. In its petition, the Debtor reports more than $1 billion in assets and estimated liabilities of $6.6 billion. Honorable Bankruptcy Judge Alfredo R. Perez handles the case. The Debtor is represented by Jason S. Brookner, Esq. and Lydia R. Webb of Gray Reed & McGraw LLP. R.R. DONNELLEY: Moody's Affirms B3 CFR, Rates New Unsec. Notes Caa2 ------------------------------------------------------------------- Moody's Ratings has affirmed R.R. Donnelley & Sons Company's (RRD) corporate family rating at B3 and probability of default rating at B3-PD. At the same time, Moody's assigned a Caa2 rating to its proposed US$750 million senior unsecured notes and downgraded its existing senior unsecured notes to Caa2 from Caa1, while affirming RRD's senior secured debt and junior lien senior secured debt at B1 and Caa1 respectively. The outlook remains stable. The company plans to issue a new 5-year US$750 million Senior Unsecured Notes, with the net proceeds used to fully redeem the existing RRD Intermediate Holdings PIK toggle notes, prepay a portion of the RRD term loan, partially redeem the RRD Parent PIK notes, and pay accumulated dividends on the parent perpetual preferred stock. Separately, the company also plans to exchange a portion of the RRD Parent PIK notes to the parent perpetual preferred stock. The transaction (inclusive of the PIK exchange) will reduce Moody's expectations of RRD's consolidated leverage to PF 6.1x from 6.5x as of LTM Q1/26, inclusive of the Holdco Payment-In-Kind (PIK) notes and the Intermediate Toggle PIK Notes. "The transaction improves RRD's all-inclusive financial leverage (PF debt/EBITDA on Moody's-adjusted basis) to 6.1x from 6.5x prior to the transaction. However, leverage at the RRD level (excluding PIK) will increase by almost a turn to 5.3x and remain above the 5.0x upgrade trigger in Moody's forward view." said Will Gu, a Moody's Ratings analyst. The stable outlook reflects Moody's expectations that RRD will maintain good liquidity with debt/EBITDA above 5x in the next 12-18 months. The outlook also reflects RRD's solid scale and ongoing transition toward higher-margin packaging, labels, supply chain, and digital service solutions through acquisitions, sustaining EBITDA level and supporting stable cash flows despite secular declines in commercial printing. RATINGS RATIONALE R.R. Donnelley & Sons Company's CFR benefits from: (1) good position in the commercial printing market with large scale and client diversity; (2) growth in digital marketing and packaging offsetting declining commercial print mitigating the pressure on EBITDA; and (3) good liquidity, including its ability to generate free cash flow despite demand pressures. However, the rating is constrained by: (1) aggressive financial policies by RRD's private owners, investment funds managed by Chatham Asset Management, LLC; (2) high adjusted Debt/EBITDA above 6.0x (inclusive of all PIK Debt); (3) exposure to the secular decline in commercial printing due to digital substitution pressuring its revenue and profitability; and (4) execution risks as it transforms itself from a commercial printer focused on manuals, publications, and brochures to innovative businesses such as packaging, labels, direct marketing and digital offerings. RRD has good liquidity. Pro forma for the transaction, sources total over $1 billion, consisting of cash balance around $300 million as of March 2026, Moody's expectations of approximately $60 million free cash flow through Jun 2027, and $650 million availability under RRD's revolving credit facility. Uses are limited to about $10 million in mandatory debt amortization. The revolver has a springing fixed charge covenant of 1.0x. The springing period is triggered when the remaining borrowing capacity under the revolver falls below the greater of 10% of the line cap, or $65 million. Currently, the company's FCCR hovers around 1.1x, leaving a very narrow headroom. RRD has four classes of debt: (1) the ABL facility expiring April 2030; (2) the senior secured notes due August 2029 and private term loan B; (3) the junior lien notes; and (4) the senior unsecured notes and debentures due 2029 through 2031. RRD's ABL facility benefits from a first priority lien on accounts receivable, inventory, and equipment and a second priority lien on principal properties. The senior secured notes are rated B1, two notches above the CFR, because they benefit from first priority liens on principal properties and second priority liens on accounts receivable, inventory, and equipment and are ahead of the junior lien notes. The junior lien secured notes are rated Caa1, and the unsecured notes and debentures are rated Caa2 to reflect their junior ranking to the ABL and secured notes. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS The ratings could be upgraded if the company generates sustainable positive organic growth in revenue and EBITDA, maintains debt to EBITDA below 5x (inclusive of all PIK notes), and (EBITDA - CAPEX) / Interest Expense is maintained above 1.5x (including PIK interest). The ratings could be downgraded if revenue and EBITDA declines that result in an untenable capital structure or higher refinancing risk, debt/EBITDA moves toward 7x (including PIK notes), (EBITDA-Capex)/Interest remains below 1x (including PIK interest), or weak liquidity, possibly from persistent negative free cash flow. The principal methodology used in these ratings was Media published in September 2025. The net effect of any adjustments applied to rating factor scores or scorecard outputs under the primary methodology(ies), if any, was not material to the ratings addressed in this announcement. Headquartered in Chicago, Illinois, R.R. Donnelley & Sons Company is the leader in the North American commercial printing industry. RRD is owned by investment funds managed by Chatham Asset Management, LLC (Chatham), a private investment firm. RAIN ENHANCEMENT: Has $1.86M Q1 Loss, Says Liquidity Insufficient ----------------------------------------------------------------- Rain Enhancement Technologies Holdco, Inc., reported a first-quarter net loss of $1.86 million for the three months ended March 31, 2026, widening from a loss of $1.48 million a year earlier, as the company recorded limited revenue and higher operating costs. The Austin, Texas-based company reported total revenue of $10,500 for the three months ended March 31, compared with no revenue a year earlier. Loss from operations widened to $1.93 million from $1.35 million. General and administrative expenses were $1.79 million, research and development expenses were $40,729, field operations costs were $92,878 and depreciation and amortization totaled $13,270. Rain Enhancement reported interest expense of $139,459 and a $205,000 gain from the change in fair value of warrant liabilities. Basic and diluted net loss per share was 24 cents for both Class A and Class B common stock. Net cash used in operating activities was $1.87 million, compared with $1.01 million a year earlier. As of March 31, the company reported cash and cash equivalents of $580,642, total assets of $2.63 million, total liabilities of $16.97 million and total stockholders' deficit of $14.35 million. The company had a working capital deficit of about $14.8 million as of March 31. Management said limited operating history and continuing operating losses raised substantial doubt about the company's ability to continue as a going concern, and that it did not have sufficient liquidity to meet obligations over the next year without related-party support, additional financing or commercial opportunities. A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/Archives/edgar/data/2028293/000121390026057838/ea0289871-10q_rain.htm About Rain Enhancement Rain Enhancement Technologies Holdco develops atmospheric enhancement by ionization technology intended to enhance rain and snowfall when atmospheric conditions are appropriate. Its Rain Enhancement Technologies subsidiary was incorporated in Delaware in 2022 and later converted into a Massachusetts corporation, and the company is building a Weather Enhancement Technology Array platform with software, meteorology, hardware, product design and operations. In an audit report dated April 15, 2026, WithumSmith+Brown, PC included a going concern emphasis-of-matter paragraph, stating that the company had an accumulated deficit as of Dec. 31, 2025, continuing net losses and negative cash flows from operations and expected to continue incurring operating losses and negative cash flows. The matters raised substantial doubt about the company's ability to continue as a going concern. REDDEN-WOOD & ASSOCIATES: Must Face Immediate Capital Case ---------------------------------------------------------- Judge David L. Bissett of the U.S. Bankruptcy Court for the Northern District of West Virginia denied Redden-Wood & Associates, Inc.'s motion to dismiss the adversary proceeding captioned as IMMEDIATE CAPITAL SOLUTIONS, LLC, Plaintiff, v. REDDEN-WOOD & ASSOCIATES, INC., Defendant, Adversary No. 26-ap-00013 (Bankr. N.D. W. Va.) On April 13, 2026, Redden-Wood & Associates, Inc., ("Defendant") filed a motion to dismiss seeking dismissal of Immediate Capital Solutions, LLC's, ("Plaintiff") Complaint for improperly initiating a separate adversary proceeding to determine dischargeability when the claim should have been brought as a compulsory counterclaim to Defendant's previously filed adversary proceeding. On May 4, 2026, Plaintiff filed an objection. The Court finds it appropriate to deny the Defendant's motion. On February 19, 2026, Redden-Wood & Associates, Inc., filed an adversary proceeding against Immediate Capital Solutions, LLC, at Case No. 2:26-ap-00006, (the "Redden-Wood Adversary Proceeding"), seeking declaration that the parties' agreement is a usurious loan, lien avoidance, preference recovery, and RICO damages. On April 3, 2026, the Plaintiff initiated its separate adversary proceeding against Defendant asking the Court to determine its debt nondischargeable. The Court finds that the Plaintiff's Complaint is not a compulsory counterclaim that should have been asserted in the Redden-Wood Adversary Proceeding. Judge Bissett explains, "Here, the exception to discharge for fraud under 523(a)(2) is a distinct bankruptcy action compared to the claims asserted in the Redden-Wood Adversary Proceeding. A determination of nondischargeability requires the Court to adjudicate separate federal bankruptcy issues, including the existence of fraudulent representations, knowledge of false representation, intent to deceive, justifiable reliance, and proximate cause of damages. Whereas, the issues of validity, priority, and extent of liens, avoidance actions, preference actions, declaratory judgment requests for recharacterization and void determinations, and RICO violations, are all entirely separate issues related to the context of the commercial transaction. The issues of law and fact are not largely the same nor would substantially the same evidence necessarily support resolution of both proceedings." Accordingly, the Court concludes that the present dischargeability action under 11 U.S.C. Sec. 523(a)(2) brought forth in the subject complaint is not a compulsory counterclaim required to be asserted in the Redden-Wood Adversary Proceeding. A copy of the Court's Order dated May 15, 2026, is available at http://urlcurt.com/u?l=84UraOfrom PacerMonitor.com. About Redden-Wood & Associates Redden-Wood & Associates, Inc., filed a Chapter 11 bankruptcy petition (Bankr. N.D. W. Va. Case No. 25-00754) on Dec. 30, 2025, listing up to $50,000 in both assets and liabilities. The Debtor tapped Johnson Legal Services, PLLC as counsel and David Gantzer, CPA, as accountant. REKOR SYSTEMS: Q1 Net Loss Narrows to $9.4MM, Cites Cash Shortfall ------------------------------------------------------------------ Rekor Systems, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $9,361,000 for the three months ended March 31, 2026, compared to a net loss of $10,874,000 for the same period in the prior year. Revenues for the three months ended March 31, 2026 were $10,263,000, compared to $9,198,000 in the prior-year period. Liquidity and Capital Resources Net cash used in operating activities for the three months ended March 31, 2026 decreased by $4,334,000 compared to the three months ended March 31, 2025. The decrease primarily attributable to a reduction in the Company's net loss of approximately $1,513,000, favorable working capital movements driven primarily by changes in accounts receivable and accounts payable, and lower operating cash outflows resulting from the wind-down of the Company's Tel Aviv, Israel operations, which ceased on February 24, 2026. Net cash used in investing activities for the three months ended March 31, 2026 increased by $26,000 compared to the three months ended March 31, 2025, primarily due to higher capital expenditures, partially offset by higher proceeds from notes receivable. Net cash (used in) provided by financing activities for the three months ended March 31, 2026 decreased by $7,552,000 compared to the three months ended March 31, 2025. During the three months ended March 31, 2025, the Company received net proceeds of approximately $7,659,000 from the 2025 Sales Agreement, which was terminated in August 2025. The Company received no proceeds from the 2025 Sales Agreement during the three months ended March 31, 2026. Cash outflows during the three months ended March 31, 2026 included scheduled payments related to financing leases. For the three months ended March 31, 2026 and 2025, the Company funded its operations primarily through cash from operating activities and the sale of equity. As of March 31, 2026, the Company had cash and cash equivalents and restricted cash of $12,599,000 and working capital deficit of $3,727,000, as compared to cash and cash equivalents and restricted cash of $16,863,000 and working capital of $1,640,000 as of December 31, 2025. Liquidity Management has assessed going concern uncertainty to determine whether there is sufficient cash on hand, together with expected capital raises and working capital, to assure operations for a period of at 12 months, which is referred to as the "look-forward period", as defined in U.S. GAAP. As part of this assessment, based on conditions that are known and reasonably knowable to management, management has considered various scenarios, forecasts, projections, and estimates and will make certain key assumptions. These assumptions include, among other factors, its ability to raise additional capital, the expected timing and nature of the Company's programs and projected cash expenditures and its ability to delay or curtail these programs or expenditures to the extent management has the proper authority to do so and considers it probable that those implementations can be achieved within the look-forward period. The Company has generated losses since its inception and has relied on cash on hand and external sources of financing to support cash flow from operations. The Company attributes losses to non-capital expenditures related to the scaling of existing products, development of new products and service offerings and marketing efforts associated with these products and services. As of and for the three months ended March 31, 2026, the Company had working capital deficit of $3,727,000 and a net loss of $9,361,000. The Company's cash, cash and cash equivalents and restricted cash decreased by $4,264,000 for the three months ended March 31, 2026 primarily due to the net loss of $9,361,000, this amount was partially offset by non-cash expenses which are highlighted in the Company's condensed consolidated statements of cash flows and favorable working capital movements. In February 2025, the Company entered into an At Market Issuance Sales Agreement with Northland Securities, Inc. for the offer and sale of shares of its common stock having an aggregate offering price of up to $25,000,000. The 2025 Sales Agreement was terminated on August 12, 2025. The Company did not receive any proceeds from the 2025 Sales Agreement during the three months ended March 31, 2026, and the agreement is no longer available as a financing source. In January 2026, the Company entered into an amendment to the lease for its corporate headquarters in Columbia, Maryland that revised the timing of monthly base rent payments through the remaining lease term. The amendment defers a portion of the base rent payments otherwise due during 2026 into 2027, reducing the Company's near-term cash payment obligations. Total contractual lease payments under the lease were not significantly changed by the amendment. During the three months ended March 31, 2026, the Company exercised its option to terminate its lease for office space in Plano, Texas, effective December 31, 2026. In connection with the termination, the Company expects to pay a termination fee of approximately $50,000 in 2026, in addition to monthly rent payments through the December 31, 2026 effective date. Based on the Company's current business plan assumptions and the expected cash burn rate, the Company believes that the existing cash is insufficient to fund its current level of operations. These factors raise substantial doubt regarding the Company's ability to continue as a going concern for the next 12 months following the issuance of these unaudited condensed consolidated financial statements. The unaudited condensed consolidated financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern. The Company's ability to generate positive operating results and execute its business strategy will depend on: (i) its ability to continue the growth of its customer base (ii) its ability to continue to improve its quarterly financial metrics such as net loss and cash used from operating activities (iii) the continued performance of its contractors, subcontractors and vendors (iv) its ability to maintain and build good relationships with investors, lenders and other financial intermediaries, (v) its ability to maintain timely collections from existing customers, and (vi) the ability to scale its business processes. To the extent that events outside of the Company's control have a significant negative impact on economic and/or market conditions, they could affect payments from customers, services and supplies from vendors, its ability to continue to secure and implement new business, raise capital, and otherwise, depending on the severity of such impact, materially adversely affect its operating results. As of March 31, 2026, the Company did not have any material commitments for capital expenditures. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/mr3f42s8 About Rekor Systems Rekor Systems, Inc., headquartered in Columbia, Md., is working to revolutionize public safety, urban mobility, and transportation management using AI-powered solutions designed to meet the distinct demands of each market it serves. The Company works hand-in-hand with its customers to deliver mission-critical traffic and engineering services that assist them in achieving their goals. The Company's vision is to improve the lives of citizens and the world around them by enabling safer, smarter, and greener roadways and communities. The Company works towards this by collecting, connecting, and organizing mobility data, and making it accessible and useful to its customers for real-time insights and decisioning for situational awareness, rapid response, risk mitigation, and predictive analytics for resource and infrastructure planning and reporting. Morristown, New Jersey-based CBIZ CPAs P.C., the Company's auditor since 2019 (such date takes into account the acquisition of the attest business of Marcum LLP by CBIZ CPAs P.C. effective November 1, 2024), issued a "going concern" qualification in its report dated March 31, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company has incurred significant losses and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of March 31, 2026, the Company had $78,501,000 in total assets, $44,033,000 in total liabilities, and $34,468,000 in total stockholders' equity. RELIZ LTD: Says Chapter 11 Examiner Not Needed ---------------------------------------------- Emily Lever of Law360 Bankruptcy Authority reports that BlockFills has asked a Delaware bankruptcy court to deny motions seeking the appointment of an examiner and Chapter 11 trustee, saying the private equity firm behind the request failed to justify such action. The company argued that its restructuring efforts are proceeding appropriately under existing leadership. In filings before the court, BlockFills stated that imposing a trustee or examiner would unnecessarily increase administrative expenses and potentially disrupt ongoing restructuring negotiations. The company further maintained that there has been no showing of misconduct serious enough to warrant removing current management. The disagreement highlights broader disputes between the debtor and certain investors over governance and oversight during the bankruptcy process. The court's decision could shape how much control management retains as the Chapter 11 case progresses, the report states. About Reliz Ltd. Reliz Ltd., operating under the name BlockFills, is a Chicago-based provider of institutional digital asset trading and prime brokerage services. 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. Honorable Bankruptcy Judge Thomas M. Horan hanles the case. The Debtor is represented by David R. Hurst, Esq. of Mcdermott Will & Schulte LLP. REUP GALAXY: Creditors to Get Proceeds From Liquidation ------------------------------------------------------- ReUp Galaxy Holdings LLC and its affiliates filed with the U.S. Bankruptcy Court for the Western District of Texas a Disclosure Statement describing Plan of Liquidation dated May 11, 2026. Debtor ReUp Technologies, Inc. was formed as a Delaware corporation to serve as a holding company for various entities, all of which are currently insolvent. The two subsidiaries of ReUp Technologies with remaining assets are Debtor ReUp Galaxy Holdings, LLC and Debtor ReUp Ops, LLC. ReUp Galaxy Holdings was formed to franchise the business and entered into various related franchise agreements, area representative agreements, and related agreements with third parties. ReUp Ops was formed to handle administrative matters for all of the ReUp Living companies. The Debtors' business operations have faced many challenges adversely affecting their profitability. The dramatic slowdown in the real estate market has caused homes improved using ReUp resources to take longer to sell (increasing borrowing costs) and to sell at lower prices (further reducing potential profitability). The Debtors intend to try to sell many of their assets, particularly certain option agreements, through an auction process. They estimate that sale of option agreements and/or negotiation of termination agreements with property owners might generate around proceeds of $150,000. The Debtors does not yet have sufficient information to assess the amount of net proceeds that might be generated from sales, prosecutions, or settlements of various potential causes of action against contract counterparties as a result of conduct that the Debtors estimate to have caused them damages in a total amount in excess of $2 million. The Debtors propose through their plan to task their CRO with liquidating their remaining assets for the benefit of creditors. Current and former insiders and employees of the Debtors have expressed a willingness to support the CRO's efforts to investigate the Debtors' contract rights and claims, commence litigation reasonably determined by the CRO as likely to be cost effective, to explore options for selling assets, to otherwise liquidate assets, to pursue potential challenges to the bases, amounts, and/or classifications of questionable creditor claims, and to distribute asset proceeds to holders of valid claims. Class 4 Allowed General Unsecured Claims Against ReUp Galaxy Holdings. Each holder of such a claim shall receive, on the applicable Distribution Date, pro rata share with other claims in this class, of the Distributable Cash remaining after ReUp Galaxy Holdings Classes 1, 2, and 3 have been paid in full in accordance with the treatment provided in the Plan to such Classes. Such class is impaired. Class 2 Allowed General Unsecured Claims Against ReUp Technologies. Each holder of such a claim shall receive, on the applicable Distribution Date, pro rata share with other claims in this class, of the Distributable Cash remaining after ReUp Technologies Class 1 has been paid in full in accordance with the treatment provided in the Plan to such Class. Such class is impaired. Class 2 Allowed General Unsecured Claims Against ReUp Ops. Each holder of such a claim shall receive, on the applicable Distribution Date, pro rata share with other claims in this class, of the Distributable Cash remaining after ReUp Ops Class 1 has been paid in full in accordance with the treatment provided in the Plan to such Class. Such class is impaired. In general, the plan assumes that the Debtors will continue to be treated as having separate bankruptcy estates and provides for available assets of each Debtor to be distributed in the following manner and order to holders of claims and interests with respect to such Debtor: (a) first, the holder of each valid claim against a Debtor that is secured by a lien against a particular asset of that Debtor will be entitled to receive such asset or its proceeds; (b) second, approved administrative expenses of the Debtor's bankruptcy estate will be paid; (c) third, the holder of a valid claims against the Debtor that are entitled to priority treatment under the Bankruptcy Code such as the holders of certain types of tax claims, will receive pro rata distributions until their claims are satisfied; (d) fourth, the holders of valid general unsecured claims will receive pro rata distributions until their claims are satisfied; and (e) any assets of a Debtor's bankruptcy estate remaining after all valid claims against that Debtor have been satisfied will be distributed to the owners of that Debtor. The feasibility of the Plan depends on the Debtors' ability to execute their plan to liquidate their assets and distribute proceeds to the holders of allowed claims. The Debtors believe that the proposed Chapter 11 liquidation of their assets will yield sufficient resources from which the Debtors can fund an orderly liquidation of assets that maximizes potential distributions to creditors. If the Debtors are not successful, they might seek to convert their cases to Chapter 7 liquidations. A full-text copy of the Disclosure Statement dated May 11, 2026 is available at https://urlcurt.com/u?l=jZf7D3 from PacerMonitor.com at no charge. Bankruptcy Counsel for the Debtors: David N. Stern, Esq. Barron & Newburger, P.C. 7320 N. MoPac Expwy., Suite 400 Tel: (512) 476-9103 Fax: (512) 476-9253 Email: dstern@bn-lawyers.com About ReUp Galaxy Holdings LLC ReUp Galaxy Holdings LLC, ReUp Technologies Inc., and ReUp Ops LLC are U.S.-based companies headquartered in Austin, Texas, operating under the ReUp Living brand in the home renovation and property enhancement sector, providing pre-listing residential renovation services designed to increase home sale value. The entities collectively manage, develop, and deliver ReUp Living services, including technology solutions, operational support, and franchise management across the U.S. market. ReUp Galaxy Holdings LLC, ReUp Technologies Inc., and ReUp Ops LLC filed their voluntary petitions for relief under Chapter 11 of the Bankruptcy Code (Bankr. W.D. Tex. Case Nos. 26-10037, 26-10038 and 26-10039, respectively.) At the time of filing, ReUp Galaxy Holdings LLC estimates $6,411,991 in liabilities. The petitions were signed by Ryan Sawchuk as president. David N Stern, Esq. at BARRON & NEWBURGER, P.C. represents the Debtors as counsel. RINGCENTRAL INC: Debts Exceed Assets by $609.3M at March 31 ----------------------------------------------------------- RingCentral, Inc.'s stockholder's deficit was US$609.3 million at March 31, 2026. The stockholder's deficit was US$588.1 million at Dec. 31, 2025. At March 31, 2026, the Company had total assets of US$1.42 billion and total liabilities of US$1.83 billion. At Dec. 31, 2025, the Company had total assets of US$1.48 billion and total liabilities of US$1.87 billion. As of March 31, 2026, the carrying amount of the Company's term loan (the "Term Loan") was $890.7 million. As there are no embedded features or other variable features, the fair value of the Term Loan approximated its carrying value. As of March 31, 2026, the fair value of the 8.50% senior notes due 2030 (the "2030 Senior Notes") was approximately $340.1 million. The fair value for the 2030 Senior Notes was determined based on the quoted price for such notes in an inactive market on the last trading day of the reporting period and is considered as Level 2 in the fair value hierarchy. The Company said: "We finance our operations primarily through sales to our customers, which could be billed either monthly or annually one year in advance. For customers with annual or multi-year contracts and those who opt for annual invoicing, we generally invoice only one annual period in advance and revenue is deferred for such advanced billings. As of March 31, 2026, and December 31, 2025, we had cash and cash equivalents of $116.6 million and $132.6 million, respectively. These amounts include restricted cash of $8.4 million and $8.4 million, respectively, held as a bank deposit for issuance of a foreign bank guarantee. As of March 31, 2026, we have access to additional liquidity of $50.0 million available under our delayed draw-down Term Loan and $305.0 million available under our Revolving Credit Facility." For the three months ended March 31, 2026, net cash provided by operating activities was $164.0 million. During the three months ended March 31, 2026, the Company generated $140.6 million of free cash flow, a non-GAAP financial measure defined as net cash provided by operating activities less capital expenditures (see below for a reconciliation to GAAP). The Company says its "capital allocation strategy includes reducing debt, returning capital to shareholders through share repurchases and dividend. For the three months ended March 31, 2026, we repurchased 2.6 million common shares for $81.3 million, repaid $45.6 million of long-term debt, used $7.9 million of cash for business combinations and used $6.4 million to pay first-ever quarterly cash dividend of $0.075 per share of our outstanding capital stock." The Company said: "During the three months ended March 31, 2026, we reduced our outstanding debt by $45.6 million by repaying in full the remaining $609.1 million outstanding principal of our 2026 Convertible Notes using $600.0 million of proceeds from borrowings under our Term Loan, and cash on hand equal to $9.1 million. Further, we made payments aggregating to $11.6 million as part of our regular scheduled quarterly principal repayment obligations under the Credit Agreement." "As a result, as of March 31, 2026, the total outstanding Term Loan balance was $890.7 million and the Revolving Credit Facility balance was zero. We also repurchased $25.0 million of principal of 2030 Senior Notes. As a result, as of March 31, 2026, the total outstanding principal of the 2030 Senior Notes was $325.0 million. Subsequent to March 31, 2026, we repurchased an additional $75.0 million of principal on our 2030 Senior Notes, using our cash on hand." "Under our share repurchase programs, share repurchases may be made at our discretion from time to time in open market transactions, privately negotiated transactions, or other means. The programs do not obligate us to repurchase any specific dollar amount or to acquire any specific number of shares of our Class A Common Stock. The timing and number of any shares repurchased under the programs will depend on a variety of factors, including stock price, trading volume, and general business and market conditions. During the three months ended March 31, 2026, we repurchased and settled approximately 2.6 million shares of our Class A Common Stock, by paying an aggregate amount of approximately $81.3 million under the plans previously authorized by our board of directors. The authorization under these programs do not expire. As of March 31, 2026, approximately $417.9 million remained authorized and available under our share repurchase programs for future share repurchases." From a going concern and solvency perspective, management projects at least 12 months of coverage, but candidly concedes longer-term refinancing and repayment risk. The Company said: "We may require additional capital or need to restructure our existing debt to pursue our business objectives and to respond to business opportunities, challenges or unforeseen circumstances. If capital is not available to us, our business, results of operations, and financial condition may be adversely affected." The Company further cautions that volatility in credit markets, restrictive covenants, and potential inability to refinance the Term Loan or 2030 Senior Notes on acceptable terms could impair its capacity to meet future obligations, underscoring that continued strong cash generation and access to capital markets are critical financial lifelines. A full-text copy of the Form 10-Q is available at https://tinyurl.com/5btzmdes About RingCentral RingCentral, Inc., is a global leader in AI-powered customer engagement, offering an integrated platform that includes business phone services, SMS, contact center solutions, workforce engagement management, video collaboration, and messaging. It serves a diverse range of businesses seeking to enhance their communication and collaboration capabilities. ROBERT M. KOFFLER: Creditors Win Bid to Dismiss Bankruptcy Case --------------------------------------------------------------- Judge Joseph G. Rosania, Jr. of the U.S. Bankruptcy Court for the District of Colorado granted the motion filed 530 Mashta, LLC and Tri-Cap Holdings, LLC (the "Judgment Creditors") to dismiss the bankruptcy case of Robert M. Koffler pursuant to 11 U.S.C. Sec. 1112(b)(1). The Debtor resides in a luxury home in Snowmass, Colorado located at 115 Blue Spruce Lane (the "BSL Property"). Title to the property is held by 115 Blue Spruce Lane, LLC. The Debtor claims an interest in 115 Blue Spruce Lane, LLC and, through it, an interest in the BSL Property. 115 Blue Spruce Lane, LLC, 530 Mashta, LLC and Dinamo Driftwood, LLC ("Dinamo"), dispute that the Debtor owns any interest in 115 Blue Spruce Lane, LLC and/or the BSL Property. Litigation concerning ownership and control of 115 Blue Spruce Lane, LLC and the BSL Property has been pending in the Pitkin County District Court (the "Pitkin County Litigation") since July 29, 2024, when 115 Blue Spruce Lane, LLC, Dinamo and 530 Mashta, LLC initiated an action to evict the Debtor from the BSL Property. They sued because the Debtor had been living in the BSL Property since 2024, without paying the mortgage or related expenses for the BSL Property, totaling over $32,000 per month. The largest scheduled claims arise from the Florida litigation, including claims of approximately $9.6 million held by 530 Mashta, LLC and approximately $7.5 million held by Tri-Cap Holdings, LLC. The Debtor proposes to fund his plan of reorganization, in part, by successfully pursuing certain litigation on behalf of BiscayneAmericas Advisors, LLC ("BAA") against BA Tech Partners GP, LLC ("BA Tech") (jointly "the BAA/BA Tech Litigation"). The BAA/BA Tech Litigation is a partnership dispute. The Debtor's interest in BAA is held through Maite, LLC, an entity owned and controlled by the Debtor. A default judgment was previously entered against BA Tech, which was later vacated, and the action is proceeding on the merits, scheduled for trial in 2027. The Debtor filed his initial Chapter 11 plan and disclosure statement on December 3, 2025, the last day of the exclusivity period. The plan identified three primary sources of funding: (i) income from the Debtor's consulting arrangement with Black Dove, Inc. ("Black Dove"), (ii) monetization of a judgment or settlement in the BAA/BA Tech Litigation pending in the Circuit Court of the Eleventh Circuit in and for Miami-Dade County, Florida, and (iii) monetization of approximately $6 million equity in the BSL Property from continued litigation, including potential appeals, and ultimately selling the BSL Property. The amended plan filed on March 10, 2026, makes corrections to the initial plan, reducing the amount of the net recovery from the BAA/BA Tech Litigation and revises the financial projections to include living expenses. It was difficult for the Court to determine the content of the revisions because the Debtor failed to file a red-line version highlighting the changes. The Court finds that, under both plans, the Debtor's plan to pay creditors is predominantly litigation-contingent rather than income-driven. The Court further finds that each of the three primary sources of funding proposed by the Debtor's plan is uncertain and contingent on future events, including the Debtor's ability to secure increased compensation, the success of Black Dove, the successful prosecution and collection of litigation claims, and the outcome of ongoing litigation concerning ownership and control of the BSL Property. The Court concludes that cause exists under 11 U.S.C. Sec. 1112(b) to dismiss this case, including the Debtor's bad faith and the absence of a reasonable likelihood of rehabilitation. The bad faith is shown by forum shopping, delay from the bankruptcy filing, speculative sources of plan funding, a minimal distribution of 3% to unsecured creditors and the Debtors' "gaming the system" through the ngena claim and eve of hearing litigation. The Court does not believe the Debtor can fulfill his promises in his reorganization plan. The bankruptcy filing is merely another step in the Debtor's litigation strategy to avoid paying the Judgment Creditors. The Court further concludes that the exception set forth in 11 U.S.C. Sec. 1112(b)(2) does not apply and that dismissal, rather than conversion, is in the best interests of creditors and the estate. A copy of the Court's Opinion and Order dated May 18, 2026, is available at https://urlcurt.com/u?l=047eOD from PacerMonitor.com. Robert M. Koffler filed for Chapter 11 bankruptcy protection (Bankr. D. Colo. Case No. 25-14914) on August 5, 2025, listing under $1 million in both assets and liabilities. The Debtor is represented by David Wadsworth, Esq. -- dwadsworth@wgwc-law.com -- at WADSWORTH GARBER WARNER Conrardy, P.C. ROLLING GREENS: Case Summary & 20 Top Unsecured Creditors --------------------------------------------------------- Debtor: Rolling Greens Nursery, Inc. Associated Group Cosette Wine Bar 5340 Harbor St. Commerce, CA 90040 Business Description: Rolling Greens Nursery is a Los Angeles, California-based lifestyle and plant retail company with locations in Culver City and Beverly Grove. The company sells plants and home and garden goods and provides design services including landscape design and installation, interior plantscaping, horticultural maintenance, holiday decor, and interior styling. Rolling Greens also operates an arrangement bar, workshops, and event venues, serving commercial, hospitality, and residential customers. Chapter 11 Petition Date: May 20, 2026 Court: United States Bankruptcy Court Central District of California Case No.: 26-14978 Judge: Hon. Neil W. Bason Debtor's Counsel: David B. Zoklin, Esq. WEINTRAUB, ZOLKIN TALERICO & SELTH LLP 11766 Wilshire Blvd Suite 730 Los Angeles CA 90025 Tel: (310) 207-1494 E-mail: dzolkin@wztslaw.com Estimated Assets: $1 million to $10 million Estimated Liabilities: $10 million to $50 million The petition was signed by Laurie Resnick as co-chief executive officer and director. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/WPKHFIY/Rolling_Greens_Nursery_Inc__cacbke-26-14978__0001.0.pdf?mcid=tGE4TAMA List of Debtor's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount 1. Empire at Lincoln LLC Lawsuit $1,200,000 9255 Sunset Blvd Ste 1100 West Hollywood, CA 90069 2. 1005 Mateo LLC $744,074 PO Box 15323 Los Angeles, CA 90015 3. CREF3 Harbor Commerce $593,773 Owner LLC Attn David Monson 4550 Travis St Dallas, TX 75205 4. Brothers Landscape Trade Debt $239,862 421 W Alton Ave Unit C Santa Ana, CA 92707 5. Coleman & Horowitt LLP Legal Services $208,307 499 W Shaw Ste 116 Fresno, CA 93704 Tel: (559) 248-4820 6. Midwood Investment & $147,102 Development 430 Park Ave Ste 201 Studio City, CA 10022 7. Gardner & Beverly LLC $118,062 Attn Darlene Horvat Manager 350 N Fuller Ave Los Angeles, CA 90036 Tel: (323) 807-7412 8. Nant Capital LLC $84,000 450 Duley Rd Ste 201 El Segundo, CA 90245 Tel: (310) 853-7246 9. GDR Group Trade Debt $73,329 3 Park Plaza Ste 1700 Irvine, CA 92614 Tel: (877) 603-8818 10. Moonstone Nursery Trade Debt $69,449 4231 Francisco Pl Oxnard, CA 93033 Tel: (805) 758-3889 11. United Rentals Trade Debt $46,312 PO Box 051122 Los Angeles, CA 90074 Tel: (562) 697-3700 12. Liberty Mutual Insurance Trade Debt $44,691 PO Box 91013 Chicago, IL 60680 Tel: (866) 290-2920 13. Bevy Commerce Inc Agreement $41,600 3093 Bathurst St #690 Toronto, ON, Canada M6A 0A3, 14. Nationwide Insurance $37,338 PO Box 645563 Cincinnati, OH 45264 15. Prestige Protection Services Services $29,650 4760 Satin Bell Dr Eastvale, CA 92880 Tel: (800) 956-5597 16. Olive Hill Greenhouses Trade Debt $25,146 3508 Olive Hill Rd Fallbrook, CA 9208 17. Acosta Plants Trade Debt $24,743 2469 N Twin Oaks Valley Rd San Marcos, CA 92069 Tel:( 760) 594-6235 18. The Good Earth Nursery Trade Debt $22,856 1855 S Alturas Rd Fallbrook, CA 92028 Tel: (760) 728-8066 19. Warrens Nursery Trade Debt $22,046 1601 Martingale Ave Los Osos, CA 93402 Tel: (805) 528-1087 20. Specimen House Trade Debt $21,637 PO Box 236155 Encinitas, CA 92023 Tel: (760) 944-1193 ROSE MECHANICAL: Gets Interim OK to Use Cash Collateral ------------------------------------------------------- Rose Mechanical Corp. received interim approval from the U.S. Bankruptcy Court for the Eastern District of New York to use cash collateral. Under the interim order, the Debtor is authorized to use up to $780,000 in cash collateral from May 20 through June 12, pursuant to an approved budget. The Debtor may vary spending by up to 10% per line item or 5% of the total budget, whichever is greater. The 13-week operating budget projects $1.69 million in receipts and approximately $1.43 million in expenses. The U.S. Small Business Administration and Ponce Bank hold liens on substantially all of the Debtor's personal property, including cash, accounts receivable, inventory, equipment, and intangible assets. The SBA loan originated in 2021 as a $500,000 COVID-19 Economic Injury Disaster Loan, while Ponce Bank issued a $1.65 million loan in 2024 secured by business assets and additional collateral from the company president's spouse. Secured lenders will be granted protection through replacement liens on all post-petition assets, with the same priority and extent as their pre-petition liens. The replacement liens are subject to a carveout for fees and recoveries under Chapter 5 of the Bankruptcy Code and remain effective even if the Debtor's Chapter 11 case is converted or dismissed or even if a trustee is appointed. Events such as case conversion of the case, unauthorized modifications to the interim order, material defaults, excessive budget overruns, or inaccurate financial reporting may terminate the Debtor's authority to use cash collateral. A final hearing is scheduled for June 11, with objections due by June 4. A copy of the Debtor's budget is available at https://shorturl.at/2h7Ds from PacerMonitor.com. About Rose Mechanical Corp. Rose Mechanical Corp. is a mechanical contracting company that provides heating, ventilation, air conditioning, plumbing, and related construction services. The company operates in the commercial and industrial building services sector, handling installation, maintenance, and repair projects. Rose Mechanical Corp. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-71752) on May 4, 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 Sheryl P. Giugliano handles the case. The Debtor is represented by Alex E. Tsionis, Esq. of Rosen, Tsionis & Pizzo, PLLC. ROTARY AIRLOCK: Case Summary & 20 Largest Unsecured Creditors ------------------------------------------------------------- Debtor: Rotary Airlock, LLC 1104 E. 17th St. Rock Falls, IL 61071 Business Description: Rotary Airlock, LLC manufactures, rebuilds, services, and customizes rotary airlock valves for industrial material-handling systems. Founded in 1995, the company is based in Rock Falls, Illinois, and also offers related valves, seals, bearings, installation, and NFPA-69-related services. Rotary Airlock serves manufacturers and processors that use airlocks to move or control bulk materials across production systems. Chapter 11 Petition Date: May 20, 2026 Court: United States Bankruptcy Court Northern District of Illinois Case No.: 26-80841 Debtor's Counsel: David K. Welch, Esq. BURKE, WARREN, MACKAY & SERRITELLA, P.C. 330 N. Wabash 21st Floor Chicago, IL 60611 Tel: 312-840-7122 E-mail: dwelch@burkelaw.com Estimated Assets: $10 million to $50 million Estimated Liabilities: $10 million to $50 million The petition was signed by Benjamin Hilty as president. A full-text copy of the petition is available for free on PacerMonitor at: https://www.pacermonitor.com/view/DLLHVIY/Rotary_Airlock_LLC__ilnbke-26-80841__0001.0.pdf?mcid=tGE4TAMA List of Debtor's 20 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount 1. 1 Beltway LLC $69,992 409 W. 11th Street Sterling, IL 61081 2. 301 W 3rd Street $16,292 Sterling Ind. LLC c/o Parkland Hall @ Old Parkland 3889 Maple Ave., Ste 500 Dallas, TX 75219 3. A1 AB LLC $35,934 301 W. 3rd Street Sterling, IL 61081 4. Airgas North Central $93,020 PO Box 734445 Chicago, IL 60673 5. Airo Steel Corporation $218,559 24876 Network Place Chicago, IL 60673 6. App Extremes LLC $27,367 dba Conga PO Box 7839 Broomfield, CO 80021 7. Bales Mold Service $16,737 2824 Hitchcock Ave. Downers Grove, IL 60515 8. Bearing Distributors $104,910 PO Box 74493 Cleveland, OH 44194 9. Blue Cross Blue Shield $83,223 PO Box 650615 Dallas, TX 75265-0615 10. Capital One Bank $65,232 PO Box 6492 Carol Stream, IL 60197 11. Encova Insurance $19,184 PO Box 11285 Charleston, WV 25339-1285 12. JIE Drives $39,631 279 Madsen Drive Suite 101 Bloomingdale, IL 60108 13. Loescher Heating & $87,740 Air Conditioning 1860 South Walnut Ave. Freeport, IL 61032 14. Malloy Electric $13,089 809 W. Russell Ave. Sioux Falls, SD 57104-1360 15. MasterCard $51,072 Card Service Center PO Box 569100 Dallas, TX 75356 16. MSC Industrial $124,025 Supply Co. PO Box 953635 Saint Louis, MO 63195-3635 17. Nord Gear Corporation $15,692 29287 Network Place Chicago, IL 60673 18. Reparex Fabricated $19,863 Systems Inc. 5058 Center Drive Latrobe, PA 15650 19. United Electric $82,343 1412 W. Route 30 Rock Falls, IL 61071 20. Universal Traffic Service $79,348 PO Box 888470 Grand Rapids, MI 49588-8470 RUNITONETIME LLC: Plan Exclusivity Period Extended to Aug. 10 ------------------------------------------------------------- Judge Alfredo R. Perez of the U.S. Bankruptcy Court for the Southern District of Texas extended RunItOneTime LLC and its affiliates' exclusive periods to file a plan of reorganization and obtain acceptance thereof to Aug. 10 and Oct. 7, 2026, respectively. As shared by Troubled Company Reporter, the Debtors explain that the application of 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. The Debtors comprise 68 affiliated entities operating in multiple jurisdictions, with significant funded indebtedness and a complex capital structure. The cases have involved numerous first day motions, employment of a broad slate of professionals, the administration of assets and claims across a substantial number of subsidiaries, and contested hearings and litigation on complex matters, including, as just one example, the contested hearings and litigation surrounding the approval of the Debtors' post petition financing on a final basis. 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 the Chapter 11 Cases. The Debtors are engaged in a robust sale process of substantially all of their assets, as approved by the Court and some of these asset sales have already closed. 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 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 advanced their sale and restructuring efforts, demonstrating significant progress toward a successful reorganization and satisfaction of the third and fourth factors. The Debtors' Co-Counsel: Timothy A. ("Tad") Davidson II, Esq. Ashley L. Harper, Esq. Philip M. Guffy, Esq. HUNTON ANDREWS KURTH LLP 600 Travis Street, Suite 4200 Houston, TX 77002 Tel: (713) 220-4200 Email: taddavidson@hunton.com ashleyharper@hunton.com pguffy@hunton.com - and - Jeffrey E. Bjork, Esq. Helena G. Tseregounis, Esq. Nicholas J. Messana, Esq. LATHAM & WATKINS LLP 355 South Grand Avenue, Suite 100 Los Angeles, California 90071-1560 Tel: (213) 485-1234 E-mail: jeff.bjork@lw.com helena.tseregounis@lw.com nicholas.messana@lw.com and Ray C. Schrock, Esq. Andrew Sorkin, Esq. 1271 Avenue of the Americas New York, NY 10020 Tel: (212) 906-1200 E-mail: ray.schrock@lw.com andrew.sorkin@lw.com About RunItOneTime LLC RunItOneTime LLC, formerly known as Maverick Gaming LLC, headquartered in Kirkland, Washington, is a regional casino and cardroom operator across Washington State, Nevada, and Colorado. The company operates a portfolio of 31 properties, with 1,800 slot machines, 350 table games, 1,020 hotel rooms, and 30 restaurants. Maverick was founded in 2017 by Eric Persson and Justin Beltram, who hold over 70% ownership in the company. RunItOneTime LLC and 67 affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Tex. Case No. 25-90191) on July 14, 2025. In its petition, RunItOneTime estimated assets and liabilities between $100 million and $500 million each. Judge Alfredo R. Perez oversees the cases. The Debtors tapped Latham & Watkins LLP as counsel; and Hunton Andrews Kurth LLP, as bankruptcy co-counsel. The Debtors also engaged GLC Advisors & Co., LLC and GLC Securities, LLC, as investment banker, and Triple P TRS, LLC as financial advisor. The Debtors' tax advisor is KPMG LLP. SACRAMENTO CITY UNIFIED SCHOOL: Fights State Receivership Push -------------------------------------------------------------- Peyton Headlee of KCRA3 reports that Sacramento City Unified works to avoid state takeover amid $170 million deficit. The financial condition of Sacramento City Unified School District has deteriorated to the point where the district may exhaust its cash reserves by July without borrowing additional money. Officials warned that even with short-term financing, payroll could potentially only be maintained until February or March of the following year, 2027. In response, the school board is attempting to implement spending cuts and review district operations, while advisers have urged leaders to move quickly if they plan to seek state financial support. Board president Tara Jeane said the district is not currently pursuing state receivership and instead wants time to analyze financial data and prioritize spending decisions locally. Jeane said district officials are focused on protecting essential educational priorities while reducing other expenses through a community-led process. She also acknowledged that the district's budget problems have roots in decisions made nearly a decade ago, including a labor agreement identified by auditors as financially unsustainable. Parents and advocates warned that prolonged financial instability could lead to staffing reductions and program cuts affecting students across the district, especially special education services. If the district later seeks state intervention, it would need approval before the legislative session concludes in August. Under state receivership, control of the district would shift to the county superintendent, and the district superintendent would lose authority, the report states. About Sacramento City Unified School District Sacramento City Unified School District operates as a major public school system in Northern California, serving a diverse student population across Sacramento. The district provides comprehensive educational programming from kindergarten through high school. SAILORMEN INC: Secures Court OK for Staff Bonuses in Chapter 11 --------------------------------------------------------------- David Minsky of Law360 Bankruptcy Authority reports that a federal bankruptcy judge in Florida has authorized performance-based bonuses for certain workers employed by a Popeyes Louisiana Kitchen franchise operator, concluding the program is important to maximizing the value of the debtor’s estate during Chapter 11 proceedings. The franchise operator told the court that retaining experienced employees is essential to maintaining restaurant operations and preserving customer relationships while the company restructures. The proposed bonuses are tied to specific operational and performance targets intended to support the company's financial recovery efforts. In approving the program, the judge determined that the incentives serve a legitimate business purpose and could ultimately benefit creditors by sustaining operational performance throughout the bankruptcy process. The decision clears the way for the company to implement the retention plan immediately, the report states. About Sailormen Inc. Sailormen Inc. is a leading franchisee of Popeyes Louisiana Kitchen restaurants. Sailormen Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Fla. Case No. 26-10451) on January 15, 2026. In its petition, the Debtor reports estimated assets between $100 million and $500 million and $342 million in liabilities. Honorable Bankruptcy Judge Robert A. Mark handles the case. The Debtor is represented by Bradley S. Shraiberg, Esq. SAN FRANCISCO ARCHDIOCESE: Court Stays Swiss Re Unit Abuse Suit --------------------------------------------------------------- Randi Love of Bloomberg Law reports that a California federal court has ordered an insurance unit tied to Swiss Re AG to pause litigation seeking to avoid coverage for more than 100 clergy sexual abuse claims involving the Archdiocese of San Francisco. The order requires Westport Insurance Corp. to suspend its declaratory judgment lawsuit while the archdiocese continues efforts to negotiate and resolve abuse claims in state court. The judge found that allowing the insurance action to proceed simultaneously could interfere with the underlying proceedings, the report states. The lawsuits against the archdiocese allege church leaders concealed and enabled sexual abuse by priests and other employees for years. Survivors contend that the institution ignored reports of misconduct and failed to protect children from abusive clergy members. The dispute underscores the increasingly complex legal battles surrounding clergy abuse settlements, particularly conflicts between dioceses and insurers over policy obligations. As abuse claims continue nationwide, insurance coverage litigation remains a critical issue in determining how settlements are funded, according to Bloomberg. About The Roman Catholic Archbishop of San Francisco The Roman Catholic Archbishop of San Francisco, Archdiocese of San Francisco, is a tax-exempt religious organization. The Archdiocese of San Francisco is a Latin Church ecclesiastical territory or diocese of the Catholic Church in the northern California region of the United States. The Archdiocese of San Francisco was erected on July 29, 1853, by Pope Pius IX, and its cathedral is the Cathedral of Saint Mary of the Assumption. The Archdiocese sought relief under Chapter 11 of the Bankruptcy Code (Bankr. N.D. Cal. Case No. 23-30564) on Aug. 21, 2023. In the petition filed by Fr. Patrick Summerhays as vicar general and moderator of the Curia, the Archdiocese reported $100 million to $500 million in assets and liabilities. The Hon. Dennis Montali oversees the case. The Debtor tapped Feldserstein Fitzgerald Willoughby as counsel. Counsel for Certain Personal Injury Creditors are Michael G. Finnegan, Esq., Jennifer E. Stein, Esq., and Parker P. Estenson, Esq. of JEFF ANDERSON & ASSOCIATES, P.A. SAVERS VALUE: S&P Affirms 'B+' ICR on Resilient Sales Growth ------------------------------------------------------------ S&P Global Ratings affirmed its 'B+' issuer credit rating on Thrift retailer Savers Value Village Inc. (Savers). The stable outlook reflects S&P's expectation that the company will maintain S&P Global Ratings-adjusted leverage in the mid-3x area and generate positive free operating cash flow (FOCF) over the next 12 months. Savers continues to demonstrate comparable-store sales growth and a stable operating performance despite weaker trends in Canada amid a backdrop of pressured consumer spending. S&P forecasts S&P Global Ratings-adjusted leverage in the mid-3x area and S&P Global Ratings-adjusted EBITDA margins of roughly 23% over the next 12 months. S&P said, "We forecast positive sales momentum supported by increased adoption of thrift shopping and new store growth. S&P Global Ratings forecasts that Savers will increase its revenue by 6.6% in 2026, primarily by comparable-store sales growth and incremental contributions from its maturing store base. Our forecast also reflects the continued benefits Savers is realizing from the accelerating adoption of thrift shopping, particularly among younger and more-affluent U.S. consumers. The company plans to open 25 new stores in 2026, which will further support its revenue growth by expanding its footprint in underpenetrated markets. In contrast, we forecast a more subdued contribution from Canada because the market is mature and macroeconomic conditions continue to pressure discretionary spending. We expect a strategic deceleration in Savers' new store openings in Canada, along with tighter production planning, will act as a near-term headwind to its revenue growth in the region. "We expect S&P Global Ratings-adjusted EBITDA margin will remain flat in 2026. While Savers' S&P Global Ratings-adjusted EBITDA margin contracted by 160 basis points to 23.2% for the trailing-12-months ended April 4,2026, due to its accelerated new store openings, wage inflation, and higher incentive compensation, we believe it has reached an earnings inflection point. We anticipate the company's ongoing initiatives, such as Automated Book Processing and strategic capital allocation focused on enhancing productivity and operating efficiency across its existing store base, will offset the incremental costs from its new store openings and higher wage rates. Therefore, we project Savers' S&P Global Ratings-adjusted EBITDA margin will remain flat in 2026 before improving to 24.0% in 2027 as a larger proportion of its store base matures. "We project S&P Global Ratings-adjusted leverage will remain in the mid-3x area in 2026, with $60 million of free operating cash flow (FOCF). The company's S&P Global Ratings-adjusted leverage remained at 3.6x for 12-months ended April 4, 2026, which was in line with 2025. We expect Savers' leverage will remain broadly stable in the mid-3x area in 2026 as the improvement in its adjusted EBITDA base offsets its incremental lease liabilities. We forecast the company's capital expenditure (capex) will remain elevated at about $135 million in 2026 as it prioritizes its U.S. expansion and operational investments. "We also expect Savers will maintain a moderately conservative financial policy as it targets a leverage ratio of under 2x (equivalent to about 3x on an S&P Global Ratings-adjusted basis), supported by the balanced deployment of its excess cash between share repurchases and debt repayment. However, our ratings are constrained by its financial sponsor ownership and our view that leverage is typically managed to more aggressive levels. "The stable outlook reflects our expectation that Savers will maintain S&P Global Ratings-adjusted leverage in the mid-3x area and generate positive FOCF over the next 12 months." S&P could lower the rating if it expects Savers' S&P Global Ratings-adjusted debt to EBITDA will decline below 4.5x. This could occur if: -- The company adopts financial policies that deviate from S&P's expectations, including through aggressive sponsor-led debt issuance; -- Its operating performance is weaker than expected, particularly if its same-store sales trends deteriorate materially or its margins continue to decline; and -- The company is unable to successfully execute its growth and operational initiatives, leading to lower-than-expected store profitability, reduced operating leverage, and weaker cash flow generation. S&P said, "We could raise the rating if we expect Savers will sustain S&P Global Ratings-adjusted debt to EBITDA of below 4.0x and we believe its financial sponsor will significantly reduce their ownership stake and relinquish control over the near-term." S&P believes this could occur if: -- The company demonstrates a consistent increase in its same-store sales, a recovery in its Canada business, and success with its rapid store growth strategy; -- It materially expands the scale and breadth of its operations such that it reduces the risk of profit volatility amid pressured macroeconomic and operating environments; and -- Financial policies remain conservative. SCILEX HOLDING: Dream Bowl Meme Coin Dividend Set for May 26 ------------------------------------------------------------ Scilex Holding Company previously announced that on April 20, 2026, the Company's board of directors declared a dividend of Dream Bowl Meme Coin I tokens to eligible record equity holders of common stock, par value $0.0001 per share, of the Company and other equity securities. Such eligible holders are the holders of the following Company securities, in each case as of the close of business on April 30, 2026 (such date, subject to the right of the board of directors of the Company to change to a later date): (i) Common Stock, (ii) certain warrants to purchase Common Stock that have not been exercised and settled prior to the Record Date (and which have the right to participate in the Dividend pursuant to the terms of their respective warrants, other than, for the avoidance of doubt, any of our publicly traded warrants to purchase Common Stock with an exercise price of $11.50 per share (or $402.50 on a post-reverse stock split basis)), (iii) certain Tranche B senior secured convertible notes of the Company that have not been converted and settled prior to the Record Date (and which have the right to participate in the Dividend pursuant to the terms of their respective notes), and (iv) the Company's Series A Preferred Stock, par value $0.0001 per share. The preceding Company securities held by the Record Holders as of the Record Date are collectively referred to herein as the "Securities". The Dividend will be: (i) made on the basis of five (5) Dream Bowl Tokens for each one (1) share of Common Stock held (or underlying the applicable Securities held) by such Record Holders on the Record Date and (ii) paid beginning on May 26, 2026 (or such other date as determined by the Board), subject to the satisfaction of the Payment Conditions by the applicable Record Holder. For the avoidance of doubt, and as set forth in the FAQ regarding the Dividend, the Dream Bowl Tokens referred to herein are Dream Bowl Meme Coin I tokens that were distributed by Datavault AI Inc. to its stockholders, including the Company, on or after December 24, 2025 and such tokens do not have any associated rights for warrants to purchase shares of common stock of Datavault. Payment Conditions Record Holders are entitled to participate in the Dividend and receive Dream Bowl Token(s) subject to satisfying the following conditions: (i) having (or setting up) a digital wallet with Datavault into which the Dream Bowl Tokens can be delivered on or after the Payment Date; and (ii) electing to receive the Dividend by completing, executing and submitting an Opt-In Agreement to the Company's Information Agent, Alliance Advisors via the Dividend Website. All Record Holders must initiate the process of electing to receive their respective portion of the Dividend by having (or setting up) a digital wallet with Datavault and completing the Opt-In Agreement by navigating to http://www.SCLXdreambowl1coin.comhosted by the Information Agent. How to Elect to Receive the Dividend Commencing on May 11, 2026, the Information Agent will mail to the Record Holders a letter describing the Dividend and informing such holders about the process of electing to receive their respective portion of the Dividend. However, if any Record Common Holder holds its shares of Common Stock in an account at a brokerage firm, bank, dealer or other similar organization, then such holder holds their shares in "street name" and the organization holding such account should receive the Information Letter from the Company and will be responsible for further distributing the Information Letter to such holders. The Information Letter instructs Record Holders that they must elect to receive their respective portion of the Dividend by accessing the Dividend Website at http://www.SCLXdreambowl1coin.com. On the Dividend Website, Record Holders will be able to access an FAQ regarding the Dividend, instructions for setting up a digital wallet with Datavault, and a form of opt-in agreement to be completed by each such holder. Record Holders who do not elect to participate in the Dividend and satisfy the Payment Conditions will not be eligible to receive any payment of the Dream Bowl Tokens until such time as the Payment Conditions have been satisfied, and in the case of any shares of Common Stock held in "street name" with a brokerage firm, bank, dealer or other similar organization, until such time as the Information Agent has also been able to verify such Record Holder's holdings with such brokerage firm, bank, dealer or other similar organization. Additional Information Full text copies of the (i) form of information letter distributed to Record Holders, (ii) form of Opt-In Agreement for Record Holders, (iii) sample instructions for setting up a digital wallet with Datavault, and (iv) frequently asked questions regarding the Dividend, are available at https://tinyurl.com/277tr26d, https://tinyurl.com/4hhjwee5, https://tinyurl.com/3942eu8y, and https://tinyurl.com/2s49e6sx, respectively. About Scilex Holding Company Palo Alto, Calif.-based Scilex Holding Company -- www.scilexholding.com -- is an innovative revenue-generating company focused on acquiring, developing and commercializing non-opioid pain management products for the treatment of acute and chronic pain and, following the formation of its proposed joint venture with IPMC Company, neurodegenerative and cardiometabolic disease. Scilex targets indications with high unmet needs and large market opportunities with non-opioid therapies for the treatment of patients with acute and chronic pain, and is dedicated to advancing and improving patient outcomes. Scilex's commercial products include: (i) ZTlido (lidocaine topical system) 1.8%, a prescription lidocaine topical product approved by the U.S. Food and Drug Administration for the relief of neuropathic pain associated with postherpetic neuralgia, which is a form of post-shingles nerve pain; (ii) ELYXYB, a potential first-line treatment and the only FDA-approved, ready-to-use oral solution for the acute treatment of migraine, with or without aura, in adults; and (iii) Gloperba, the first and only liquid oral version of the anti-gout medicine colchicine indicated for the prophylaxis of painful gout flares in adults. Walnut Creek, California-based BPM LLP, the Company's auditor since 2024, issued a "going concern" qualification in its report dated April 10, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company has suffered recurring losses from operations and has a net capital deficiency that raise substantial doubt about its ability to continue as a going concern. As of December 31, 2025, the Company had $364.98 million in total assets, $567.73 million in total liabilities, and $211.75 million in total stockholders' deficit. SINO GREEN: Q3 2026 Loss Narrows to $306K; Liquidity Doubt Stays ---------------------------------------------------------------- Sino Green Land Corporation has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $306,008 for the three months ended March 31, 2026, a decrease of $179,074 of 37%, as compared to the net loss of $485,082 for the three months ended March 31, 2025. The decrease was primarily due to the increase of sales, and decrease of cost. Net loss totaled $718,959 for the nine months ended March 31, 2026, a decrease of $458,098 of 39%, as compared to the net loss of $1,177,057 for the nine months ended March 31, 2025. The decrease was primarily due to the decrease of cost of revenue and increase of sales. Revenues and Cost of Revenues Net revenues were $334,766 for the three months ended March 31, 2026, reflecting an increase of $136,826, or 69%, from $197,940 for the three months ended March 31, 2025. The growth in net revenues was primarily driven by increased sales of third-party sourced plastic recycled products. Notably, this expansion was achieved alongside a consolidation of the customer base from 12 to 19 clients, reflecting a substantial rise in average purchase volume per custom. Net revenues were $1,060,984 for the nine months ended March 31, 2026, reflecting an increase of $289,538, or 38%, from $771,446 for the nine months ended March 31, 2025. The increase in net revenues was mainly due to an increase in sales of plastic recycle products from the third parties. This growth occurred despite an increase in the customer base from 32 to 41, indicating a significant increase in per-customer purchase volumes. Cost of revenues was $413,702 for the three months ended March 31, 2026, reflecting a decrease of $ 169,193, or 29%, from $582,895 for the three months ended March 31, 2025. This decline was primarily attributable to reduced impurities in purchased raw materials and, more significantly, the commissioning of a new production line. Cost of revenues was $1,264,282 for the nine months ended March 31, 2026, reflecting a decrease of $ 353,670, or 22%, from $1,617,952 for the nine months ended March 31, 2025. This decline was primarily driven by a reduction in impurities within the Company's purchased raw materials, and, more significantly, by the prior period inventory write-down of $119,886 being credited to the cost of sales in the current period. Gross Loss Gross loss was $78,936 for the three months ended March 31, 2026 and gross loss was $384,955, for the three months ended March 31, 2025, reflecting a significant decrease of $306,019 or 79%. The decrease in gross loss was mainly due to the increase in sales. Gross loss was $203,298 for the nine months ended March 31, 2025 and gross loss was $846,506 for the nine months ended March 31, 2025, reflecting a significant decrease of $643,208 or 76%. This improvement was primarily driven by a reduction in cost of revenues, also increase in the sales. Going concern. For the nine months ended March 31, 2026, Sino Green Land Corporation had an accumulated deficit of $5,419,512, incurred a net loss of $718,959 and the stockholder deficit of $2,873,004. These factors raise substantial doubt about the Sino Green Land Corporation's ability to continue as a going concern within one year after the date the financial statements are issued. In addition, Sino Green Land Corporation's independent registered public accounting firm, in their report on Sino Green Land Corporation's June 30, 2025, audited financial statements, raised substantial doubt about the Sino Green Land Corporation's ability to continue as a going concern. No assurance can be given that any future financing, if needed, will be available or, if available, that it will be on terms that are satisfactory to the Company. Even if the Company is able to obtain additional financing, if needed, it may contain undue restrictions on its operations, in the case of debt financing, or cause substantial dilution for its stockholders, in the case of equity financing. Management of the Company has evaluated the sufficiency of additional capital resources. Management's plan is to obtain such resources by seeking debt financing and/or third-party equity sufficient to meet its minimal operating expenses. Besides, management has taken immediate and significant mitigating actions to reduce costs and optimize the Company's cash flow and liquidity. Measures include reducing expenditure through deferring or canceling discretionary spend, freezing non-essential recruitment and securing new round of equity financing to replenish working capital. The Company has also acquired the financial support letter from Empower International Trading Sdn. Bhd., the holding company of the Company, who has expressed the willingness and intention to provide the necessary financial support to the Company. However, there is uncertainty as to whether these plans will be effectively implemented or yield sufficient results. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/k363dupa About Sino Green Land Corp. Sino Green Land Corp. is a US holding company incorporated in Nevada. It conducts business through its Malaysia subsidiary "Tian Li Eco Holdings Sdn. Bhd", which is an environmental protection technology, recycling and renewal of plastic waste bottles and packaging materials being recycled and sale of recovered and recycled products, a company incorporated and based in Malaysia. With the mission too rooted in advocating for waste recycling, aiming for a sustainable environmental future. With its strategic initiatives, the company's objective is to become a prominent environmental recycling entity in Asia over the coming five years. Singapore-based Audit Alliance LLP, the Company's auditor since 2024, issued a "going concern" qualification in its report dated October 14, 2025, attached to the Company's Annual Report on Form 10-K for the fiscal year ended June 30, 2025, citing that the Company incurred a net loss of $1,808,994 and used cash in operating activities of $845,971, result in an accumulated deficit of $4.7 million. The Company's current liabilities exceeded current assets $4.4 million, and the stockholder deficit of $2.4 million. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of March 31, 2026, the Company had $4,951,094 in total assets, $7,824,098 in total liabilities, and $2,873,004 in total stockholders' deficit. SOCIETY PASS: At Risk of Nasdaq Delisting After Chapter 11 Filing ----------------------------------------------------------------- Lukas Schmidt of stock invest.us reports that Society Pass Inc. saw its stock tumble nearly 19% in premarket trading after Nasdaq moved to delist the shares following the company's Chapter 11 bankruptcy filing. The exchange cited bankruptcy-related listing standards in determining the company was no longer suitable for continued trading on Nasdaq. The Singapore-focused e-commerce and digital lifestyle company, along with subsidiary SoPa Inc., filed for Chapter 11 protection in the Southern District of Texas on May 12, 2026. Nasdaq responded within days, informing the company that its securities would be suspended from trading beginning May 21, 2026. The exchange also plans to submit a Form 25-NSE to formally terminate the stock’s registration, the report relays. Society Pass has indicated it will challenge the delisting decision through an appeal process. Despite that effort, investors remain concerned about liquidity risks and the potential for the stock to shift to less active trading venues outside the Nasdaq market. The delisting notice highlights the difficult path facing companies attempting to restructure through bankruptcy while maintaining public-market access. Market participants reacted swiftly to the news, driving SOPA shares sharply lower amid uncertainty over the company's financial future and restructuring prospects, according to report. About Society Pass Incorporated Society Pass Incorporated is a Singapore-based company focused on acquiring and operating fintech, digital commerce, and consumer technology platforms across Southeast Asia and other markets. Society Pass Incorporated sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-90525) on May 12, 2026. In its petition, the Debtor reported estimated assets between $1 million and $10 million and estimated liabilities between $10 million and $50 million. The filing indicates that funds will be available for distribution to unsecured creditors. Honorable Bankruptcy Judge Alfredo R. Perez handles the case. The Debtor is represented by Gabrielle Alicia Hamm, Esq. of Schwartz Law. SPIRITS OF THE USA: Vodka Distillery Seeks Subchapter V Bankruptcy ------------------------------------------------------------------ Kirk O'Neil of The Street reports that award-winning distillery operator Spirits of the USA LLC has entered Chapter 11 bankruptcy as it seeks to restructure its operations and debt obligations. The company, which produces Legends-branded vodka, bourbon, gin, and tequila, filed a Subchapter V petition in Georgia bankruptcy court on May 15. According to court documents, the distiller reported between $500,000 and $1 million in assets against liabilities estimated at $1 million to $10 million. The filing identified several significant unsecured creditors, including landlords, suppliers, tax authorities, and financial institutions. The company launched its large-scale distillery and tasting room in Cumming, Georgia, in 2020, marketing its products through retail stores, online sales, and direct customer experiences. While Legends spirits remain available through some third-party retailers, the company's own website is no longer functioning, raising questions about ongoing operations, the report states. Spirits of the USA gained attention in the spirits industry after receiving multiple awards from the International Wine & Spirit Competition. Its Legends Vodka and Legends Single Barrel Bourbon both captured gold medals with 95-point ratings, helping establish the brand in the premium spirits market, according to report. About Spirits of the USA LLC Spirits of the USA LLC is an American distillery company that produces the Legends family of spirits, including bourbon, vodka, gin, and tequila products. The company operates from Cumming, Georgia, where it opened a large-scale distillery and tasting facility in 2020. Spirits of the USA LLC sought relief under Subchapter V of Chapter 11 of the U.S. Bankruptcy Code (Bankr. N.D. Ga. Case No. 26-20785) on May 15, 2026. In its petition, the Debtor reports between $500,000 and $1 million in assets against liabilities estimated at $1 million to $10 million. Honorable Bankruptcy Judge James R. Sacca handles the case. STAGG EQUITIES: Initiates Chapter 11 Bankruptcy Proceeding in N.Y. ------------------------------------------------------------------ On May 18, 2026, Stagg Equities LLC filed for Chapter 11 bankruptcy protection in the Eastern District of New York bankruptcy court. According to court filings, the debtor reports between $1 million and $10 million in assets and $1 million to $10 million in liabilities, with approximately 1 to 49 creditors. A meeting of creditors filed by the Office of the United States Trustee under Section 341(a) to be held on June 15, 2026 at 02:00 PM at USA Toll-Free (888) 330-1716, USA Caller Paid/International Toll (713) 353-7024, Access Code 6982178. Deadline for Chapter 11 Plan and Disclosure Statement set for September 15, 2026. About Stagg Equities LLC Stagg Equities LLC is a real estate investment firm engaged in the acquisition, ownership, and management of commercial and residential properties. The company focuses on property investment and asset management activities within its portfolio. Stagg Equities LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-42397) on May 18, 2026. In its petition, the debtor reports estimated assets and liabilities both in the range of $1 million to $10 million. Honorable Bankruptcy Judge Jil Mazer-Marino handles the case. The debtor is represented by J. Ted Donovan, Esq. of Goldberg Weprin Finkel Goldstein LLP. STUCKEY PREMIER: Gets Interim Ok to Use Cash Collateral ------------------------------------------------------- Stuckey Premier Enterprises, LLC received interim approval from the U.S. Bankruptcy Court for the Eastern District of North Carolina, New Bern Division, to use cash collateral through June 7. Under the interim order, the Debtor is authorized to use cash collateral pursuant to an approved budget covering the period from May 8 through June 7, subject to a 10% variance per line item. The budget shows projected receipts of $43,650 against expenses of $35,914, including payroll ($12,000), Sysco supplies ($10,000), rent ($4,100), taxes ($3,274), and other operating costs. This results in an estimated positive cash balance of $11,666, which supports the feasibility of continued operations. Creditors including The Huntington National Bank (as assignee of TCF Equipment Finance) and First Internet Bank of Indiana (as assignee of ApplePie Capital), may hold security interests in its operating revenues and deposit accounts based on UCC-1 filings, though the Debtor disputes or questions some of these obligations and includes them out of caution. As adequate protection, the liens held by secured creditors extend to post-petition assets notwithstanding Bankruptcy Code section 552. In addition, the interim order requires the Debtor to remain current on all post-petition taxes and prohibits asset transfers outside the ordinary course of business without creditor consent or court approval. The order is available at http://bankrupt.com/misc/Stuckey_ICCOrder.pdf The next hearing is scheduled for June 2. About Stuckey Premier Enterprises LLC Stuckey Premier Enterprises, LLC operates a single Jimmy John's restaurant in Goldsboro, North Carolina. The Debtor sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. E.D. N.C. Case No. 26-02108-5-JNC) on May 8, 2026. In the petition signed by Thomas Stuckey, member/manager, the Debtor disclosed up to $100,000 in assets and up to $50,000 in liabilities. Judge Joseph N. Callaway oversees the case. George Mason Oliver, Esq., at the Law Offices of George Oliver, PLLC, represents the Debtor as legal counsel. TAI CHEUNG REALTY: Seeks Chapter 11 Bankruptcy in New York ---------------------------------------------------------- On May 18, 2026, Tai Cheung Realty, Inc. filed for Chapter 11 bankruptcy protection in the Eastern District of New York bankruptcy court. According to court filings, the debtor reports between $1 million and $10 million in assets and $10 million to $50 million in liabilities, with approximately 1 to 49 creditors. A meeting of creditors filed by the Office of the United States Trustee under Section 341(a) to be held on June 22, 2026 at 11:00 AM at USA Toll-Free (888) 330-1716, USA Caller Paid/International Toll (713) 353-7024, Access Code 1165157. The deadline for Chapter 11 Plan and Disclosure Statement set for September 15, 2026. About Tai Cheung Realty, Inc. Tai Cheung Realty, Inc. is a real estate investment and property management company engaged in the ownership and operation of commercial and residential real estate assets. The company focuses on real estate development and long-term property holdings. Tai Cheung Realty, Inc. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-42409) on May 18, 2026. In its petition, the debtor reports estimated assets between $1 million and $10 million and estimated liabilities between $10 million and $50 million. Honorable Bankruptcy Judge Elizabeth S. Stong handles the case. The debtor is represented by Adam P. Wofse, Esq. of Lamonica Herbst & Maniscalco LLP. TALPHERA INC: Rosalind Advisors Disclose 9.9% Equity Stake ---------------------------------------------------------- Rosalind Advisors, Inc., Steven A.J. Salamon, Aharon Gil, and Rosalind Master Fund L.P. disclosed in a Schedule 13G (Amendment No. 3) filed with the U.S. Securities and Exchange Commission that as of March 31, 2025, each beneficially owns 12,925,597 shares of Common Shares, consisting of: (i) 3,353,916 shares of Common Stock; (ii) 2,941,180 shares of Common Stock issuable upon exercise of warrants; and (iii) 6,630,501 shares of Common Stock issuable upon exercise of pre-funded warrants, of Talphera, Inc.'s Common Shares, representing 9.9% of the 51,899,648 ordinary shares of the Company's common stock outstanding as of April 24, 2026, based on the DEF 14A Filing on June 29, 2026. The securities reported show the number of shares of Common Stock that would be issuable upon full conversion and exercise of such reported securities and do not give effect to such blockers; therefore, the actual number of shares of Common Stock beneficially owned by each Reporting Person, after giving effect to such blockers, is less than the number of securities reported, as the warrants and pre-funded warrants contain a blocker provision under which the holder does not have the right to exercise any of the warrants to the extent that such exercise would result in beneficial ownership by the holder in excess of 9.99% of the Common Stock. Rosalind Advisors, Inc. be reached through: Steven Salamon 15 Wellesley Street West Suite 326 Toronto, Ontario, M4Y 0G7, Canada Tel: 4167910300 A full-text copy of Rosalind Advisors, Inc.'s SEC report is available at: https://tinyurl.com/3d9nv8x7 About Talphera Headquartered in San Mateo, California, Talphera, Inc. -- www.talphera.com -- is a specialty pharmaceutical company focused on the development and commercialization of innovative therapies for use in medically supervised settings. Talphera's lead product candidate, Niyad, is a lyophilized formulation of nafamostat and is currently being studied under an investigational device exemption (IDE) as an anticoagulant for the extracorporeal circuit, and has received Breakthrough Device Designation status from the U.S. Food and Drug Administration (FDA). Walnut Creek, Calif.-based BPM LLP, the Company's auditor since 2023, issued a "going concern" qualification in its report dated March 23, 2026, citing that Company has suffered recurring operating losses and negative cash flows from operating activities since inception and expects to continue to incur operating losses and negative cash flows in the future. These matters raise substantial doubt about its ability to continue as a going concern. As of December 31, 2025, the Company had $29.7 million in total assets, $12.7 million in total liabilities, and $17 million in total stockholders' equity. TB ENTERPRISES: Seeks Chapter 11 Bankruptcy to Restructure Business ------------------------------------------------------------------- Kirk O'Neil of The Street reports that Wood-fired pizza chain Smoking Monkey Pizza has entered Chapter 11 bankruptcy in an effort to restructure its business and stabilize operations. Its parent company, TB Enterprises LLC, filed for protection in Seattle bankruptcy court on May 12, 2026 reporting up to $50,000 in assets and between $100,000 and $500,000 in liabilities. Court papers list several significant unsecured creditors, including the Washington Department of Revenue, food distributor Sysco, Chase Card Services, Gravity Payments, Greco, and Puget Sound Energy. The filing reflects mounting financial obligations tied to taxes, utilities, payment processing, and supply costs. The company recently reduced its footprint by closing its Spokane location on West Sprague Avenue. Smoking Monkey Pizza continues operating restaurants in Renton and Seattle, where it has served customers for more than a decade, the report relays. Known for its wood-fired pizzas and broad menu selection, the chain offers more than 30 pizza varieties along with pasta dishes, sandwiches, calzones, strombolis, salads, and desserts. In 2025, the company received a Best Pizza award in Renton from Quality Business Awards, according to The Street. About TB Enterprises LLC TB Enterprises LLC is the parent company behind the Smoking Monkey Pizza restaurant brand in Washington state. The company operated multiple pizza restaurants focused on wood-fired cooking and casual dining experiences. It specialized in casual dining and takeout operations, offering handcrafted pizzas, pasta dishes, sandwiches, calzones, strombolis, salads, and desserts. The business built a regional following over more than a decade of operations. TB Enterprises LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. W.D. Wash. Case No. 26-11579) on May 12, 2026. In its petition, the Debtor reports up to $50,000 in assets and between $100,000 and $500,000 in liabilities. Honorable Bankruptcy Judge Timothy W. Dore handles the case. The Debtor is represented by Jennifer L. Neeleman, Esq. of Neeleman Law Group, P.C. TELA BIO: Liabilities Exceed Assets by $5.2M at March 31, 2026 -------------------------------------------------------------- TELA Bio, Inc.'s stockholder's deficit was US$5.2 million at March 31, 2026. The Company has no stockholder's deficit at Dec. 31, 2025. At March 31, 2026, the Company had total assets of US$70.0 million and total liabilities of US$75.1 million. At Dec. 31, 2025, the Company had total assets of US$81.4 million and total liabilities of US$75.1 million. The Company said: "During the three months ended March 31, 2026, we used $11.2 million of cash in operating activities, resulting from our net loss of $12.3 million and changes in operating assets and liabilities of $1.2 million, partially offset by our non-cash items of $2.3 million. Our non-cash items were primarily comprised of stock-based compensation expense of $0.8 million, our excess and obsolete inventory charge of $0.9 million, depreciation and amortization expense of $0.3 million and noncash interest expense of $0.2 million. The change in our operating assets and liabilities was primarily related to an increase in inventory and a decrease in accrued expenses and other current liabilities offset by an increase in accounts payable. Consistent with historical trends, cash used in operations in each of the remaining quarters of the fiscal year ending December 31, 2026 is expected to be lower than the amount reported for the three months ended March 31, 2026." "During the three months ended March 31, 2025, we used $9.7 million of cash in operating activities, resulting from our net loss of $11.3 million, changes in operating assets and liabilities of $0.6 million partially offset by our non-cash items of $2.1 million. Our non-cash items were comprised of stock-based compensation expense of $1.0 million, our excess and obsolete inventory charge of $0.6 million, depreciation and amortization expense of $0.3 million and noncash interest expense of $0.2 million. The change in our operating assets and liabilities was primarily related to changes in inventory and accounts receivable and a decrease in accrued expenses and other current liabilities partially offset by increases in accounts payable." The Company discloses that during the three months ended March 31, 2026, cash provided by investing activities was $0.2 million consisting of proceeds received from the sale of NIVIS of $0.3 million offset by $0.1 million in purchases of property and equipment. During the three months ended March 31, 2025, cash provided by investing activities was $0.1 million consisting of proceeds received from the sale of NIVIS of $0.2 million offset by $32,000 in purchases of property and equipment. During the three months ended March 31, 2026, cash used in financing activities was $0.3 million, consisting primarily of payments of accrued offering costs and payments of withholding taxes related to stock-based compensation to employees partially offset by proceeds received from the issuance of common stock under the employee stock purchase plan. During the three months ended March 31, 2025, cash used in financing activities was $0.1 million, consisting primarily of payments of withholding taxes related to stock-based compensation to employees partially offset by proceeds received from the issuance of common stock under the employee stock purchase plan. A full-text copy of the Form 10-Q is available at https://tinyurl.com/yvb32z8m About Tela Bio Inc. Tela Bio, Inc. (NASDAQ: TELA) is a biotechnology company focused on developing and commercializing innovative surgical implants for soft tissue reconstruction. It primarily targets the surgical market, offering products designed to enhance patient outcomes in various surgical procedures. The Company aims to address unmet needs in the field of regenerative medicine. THERAPEUTICS MD: Swings to $95,000 Net Income in Q1 2026 -------------------------------------------------------- TherapeuticsMD, Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net income of $95 thousand for the three months ended March 31, 2026, compared to a net loss of $653 thousand for the same period in the prior year. The Company recorded $724 thousand in license revenue for the first quarter of 2026, an increase of $331 thousand, compared to $393 thousand in license revenue for the first quarter of 2025. The increase is attributable to changes in sales of licensed products. As of March 31, 2026, the Company's cash and cash equivalents totaled $8.4 million. Going Concern On December 30, 2022, the Company completed a transaction with Mayne Pharma LLC, a Delaware limited liability company and subsidiary of Mayne Pharma Group Limited, an Australian public company, in which the Company and its subsidiaries: (i) granted Mayne Pharma an exclusive license to commercialize its IMVEXXY, BIJUVA and prescription prenatal vitamin products sold under the BocaGreenMD and vitaMedMD brands in the United States and its possessions and territories, (ii) assigned to Mayne Pharma its exclusive license to commercialize ANNOVERA in the United States and its possessions and territories, and (iii) sold certain other assets to Mayne Pharma in connection therewith. Following the transaction with Mayne Pharma, the Company's primary source of revenue is from royalties on products licensed to pharmaceutical organizations that possess commercial capabilities in the relevant territories. The Company may need to raise additional capital to provide additional liquidity to fund its operations. To address its capital needs, the Company may pursue various equity and debt financing and other alternatives. The equity financing alternatives may include the private placement of equity, equity-linked, or other similar instruments or obligations with one or more investors, lenders, or other institutional counterparties or an underwritten public equity or equity-linked securities offering. The Company's ability to sell equity securities may be limited by market conditions, including the market price of its common stock, and its available authorized shares. To the extent that the Company raises additional capital through the sale of such securities, the ownership interests of its existing stockholders will be diluted, and the terms of these new securities may include liquidation or other preferences that adversely affect the rights of its existing stockholders. If the Company is not successful in obtaining additional financing, it could be forced to discontinue or curtail its business operations, sell assets at unfavorable prices, or merge, consolidate, or combine with a company with greater financial resources in a transaction that might be unfavorable to it. On May 1, 2023, the Company entered into a Subscription Agreement with Rubric Capital Management LP, pursuant to which the Company agreed to sell to Rubric, or one or more of its affiliates, up to an aggregate of 5,000,000 shares of its common stock, par value $0.001 per share, from time to time during the term of the Subscription Agreement in separate drawdowns at the Company's election. On June 29, 2023, the Company issued and sold 312,525 shares of Common Stock at a price per share equal to $3.6797 pursuant to the Subscription Agreement. The Company received gross proceeds of $1.15 million from the draw-down, before expenses. On November 15, 2023, Rubric drew an additional 877,192 shares of Common Stock at a price per share equal to $2.2761. The Company received gross proceeds of $2.0 million from the draw-down, before expenses. There were no drawdowns in the first three months of 2026 and 2025. In February 2024, the Company received Mayne Pharma's calculation of the net working capital allowances for payer rebates and wholesale distributor fees pursuant to the Transaction Agreement, which differed significantly from the Company's estimate of the allowances. The Company continues to believe its estimated allowances for payer rebates and wholesale distributor fees are reasonable. In August 2024 and in February 2025, the Company also received information from Mayne Pharma pertaining to the net working capital allowance for returns that differs significantly from the Company's estimate of the allowance. On April 8, 2025, the Company filed a lawsuit against Mayne Pharma in the United States District Court for the District of Delaware (the "Mayne Lawsuit") seeking damages for breach of contract, breach of the implied covenant of good faith and fair dealing, fraudulent inducement, and unjust enrichment related to Mayne Pharma's actions in relation to the License Agreement and the Transaction Agreement, primarily relating to the net working capital allowances and certain actions or inactions by Mayne Pharma relating thereto. On June 20, 2025, the Company filed an amended complaint against Mayne Pharma and on July 22, 2025, Mayne Pharma filed a motion to dismiss the Mayne Lawsuit. On March 23, 2026, a magistrate judge recommended that the court grant-in-part and deny-in-part Mayne Pharma's motion to dismiss. The magistrate judge recommended granting Mayne's motion to dismiss the Company's claims for breach of the covenant of good faith and fair dealing, certain of the Company's breach of contract claims and its claim for fraudulent inducement, but recommended the court grant the Company leave to amend the fraudulent inducement claim. The magistrate judge recommended denying Mayne's motion to dismiss the Company's other claims. The magistrate judge further recommended the court stay the Mayne Lawsuit while the parties submit the net working capital claims to a dispute resolution process. On April 6, 2026, the Company filed objections to certain of the magistrate judge's recommendations. On May 30, 2025, Mayne Pharma filed a lawsuit against the Company in the United States District Court for the District of Delaware (the "Mayne Countersuit" and, together with the Mayne Lawsuit, the "Mayne Lawsuits") seeking damages for breach of contract and fraudulent inducement related to the Transaction Agreement. As part of the Mayne Countersuit, Mayne Pharma also made certain indemnification demands under the Transaction Agreement, which the Company disputes. On July 28, 2025, the Company filed a motion to dismiss the fraudulent inducement claim in the Mayne Countersuit. On March 23, 2026, a magistrate judge recommended that the court grant the Company's motion to dismiss Mayne Pharma's claim for fraudulent inducement, but recommended the court deny the Company's motion to dismiss Mayne Pharma's other claims. As of March 31, 2026, the Company believed no additional accrual was required for such claims, as it could not reasonably estimate a range of loss. The outcome of this matter is uncertain at this point. As a result, the Company cannot reasonably estimate a range of loss, and accordingly, has not accrued any additional liability associated with Mayne Pharma's allowance calculation for payer rebates and wholesale distributor fees, particularly as the Company believes the outcome of this matter to be intertwined with the resolution of the net working capital allowance for returns. As of March 31, 2026, the Company also believed no additional accrual was required for amounts that may be owed for the allowance for returns under the Transaction Agreement. The Company has not recorded any contingent gains or receivables for any such allowances. Management continues to monitor the unresolved and pending net working capital items as changes to estimated amounts owed or amounts due from Mayne Pharma may be material. Mayne Pharma has also made certain indemnification demands under the Transaction Agreement, which the Company disputes. As of March 31, 2026, the Company believed no additional accrual was required for such claims, as it could not reasonably estimate a range of loss. If Mayne Pharma's sales of Licensed Products grow more slowly than expected or decline, including as a result of Mayne Pharma Group's potential sale to Cosette Pharmaceuticals, Inc., if the net working capital settlement with Mayne Pharma under the Transaction Agreement is greater than the Company's current estimates, if the outcome of the Mayne Lawsuits is worse than the Company anticipates, if the Company is unsuccessful with future financings or the supply chains related to the third-party contract manufacturers are worse than the Company anticipates, its existing cash reserves may be insufficient to satisfy its liquidity requirements. The potential impact of these factors in conjunction with the uncertainty of the capital markets raises substantial doubt about the Company's ability to continue as a going concern for the next 12 months. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/mujbjpnm About TherapeuticsMD Inc. TherapeuticsMD Inc. was previously a women's healthcare Company with a mission of creating and commercializing innovative products to support the lifespan of women from pregnancy prevention through menopause. In December 2022, the Company changed its business to become a pharmaceutical royalty Company, primarily collecting royalties from its licensees. The Company is no longer engaging in research and development or commercial operations. TherapeuticsMD's liquidity position raises substantial doubt about its ability to continue as a going concern, and Carr, Riggs & Ingram, L.L.C, the Company's independent registered public accounting firm for the fiscal year ended December 31, 2025, has included an explanatory paragraph in their opinion that accompanies the Company's audited consolidated financial statements as of and for the year ended December 31, 2025, indicating that the recent change in operations and negative cash flow position along with other conditions raise substantial doubt about the Company's ability to continue as a going concern. As of March 31, 2026, the Company had $37.6 million in total assets, $10.6 million in total liabilities, and $27 million in total stockholders' equity. TONIX PHARMACEUTICALS: Q1 2026 Loss Widens, Cash Runway Falls Short ------------------------------------------------------------------- Tonix Pharmaceuticals Holding Corp. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $40.2 million for the three months ended March 31, 2026, compared to a net loss of $16.8 million for the same period in the prior year. Product net revenue for the three months ended March 31, 2026 were $6.9 million, compared to $2.4 million in the prior-year period. Liquidity and Capital Resources As of March 31, 2026, the Company had working capital of $177.5 million, composed primarily of cash and cash equivalents of $185.5 million, accounts receivable, net of $8.8 million, inventory of $3.6 million, and prepaid expenses and other of $9.2 million, offset by $9.7 million of accounts payable, $19.8 million of accrued expenses and other current liabilities, and $0.2 million of lease liabilities, short term. A significant portion of the accounts payable and accrued expenses are due to work performed in relation to the Company's clinical programs, and accruals for gross to net deductions related to its commercial products. For the three months ended March 31, 2026, and 2025, the Company used approximately $42.3 million and $16.6 million in operating activities, respectively, which represents cash outlays for research and development and selling, general and administrative expenses in such periods. For the three months ended March 31, 2026, net cash provided by financing activities was $20.2 million, predominately from the proceeds from the sale of the Company's common stock. For the three months ended March 31, 2025, net cash provided by financing activities was $49.5 million, predominately from the proceeds from the sale of the Company's common stock of $62.2 million, offset by the repayment of the term loan of $9.7 million and repurchase of the Company's common stock of $3.0 million. Cash used by investing activities for the three months ended March 31, 2026, and 2025, was $1.7 million and $6,000 respectively, related to the purchase of property and equipment. The increase is predominately due to more laboratory equipment purchases. The Company believes that its cash resources at March 31, 2026, and the net proceeds of $22.6 million that it raised from equity offerings in the second quarter of 2026 will meet its planned operating and capital expenditure requirements into early second quarter of 2027, but will not extend to 12 months from the issuance of these financial statements. The Company continues to face significant challenges and uncertainties and, as a result, its available capital resources may be consumed more rapidly than currently expected due to changes it may make in its research and development spending plans. These factors raise substantial doubt about the Company's ability to continue as a going concern for the one-year period from the date of filing of this Form 10-Q. The Company must obtain additional funding through public or private financing or collaborative arrangements with strategic partners to increase the funds available to fund operations. Without additional funds, the Company may be forced to delay, scale back or eliminate some of its research and development activities, or other operations and potentially delay product development to provide sufficient funds to continue its operations. If any of these events occur, the Company's ability to achieve its development and commercialization goals would be adversely affected and it may be forced to cease operations. Future Liquidity Requirements The Company expects to incur losses from operations for the near future. The Company expects to incur increasing research and development expenses, including expenses related to additional clinical trials and the build out of its research and development operations and manufacturing. The Company will not have enough resources to meet its operating requirements for the one-year period from filing date of this report. The Company's future capital requirements will depend on a number of factors, including the availability of financing, the timing and outcome of regulatory approvals, the progress of its research and development of product candidates, the costs involved in preparing, filing, prosecuting, maintaining, defending and enforcing patent claims and other intellectual property rights, the status of competitive products, and its success in developing markets for its product candidates. The Company will need to obtain additional capital in order to fund future research and development activities. Future financing may include the issuance of equity or debt securities, obtaining credit facilities, or other financing mechanisms. Even if the Company is able to raise the funds required, it is possible that it could incur unexpected costs and expenses, fail to collect significant amounts owed to it, or experience unexpected cash requirements that would force it to seek alternative financing. Furthermore, if the Company issues additional equity or debt securities, shareholders may experience additional dilution or the new equity securities may have rights, preferences or privileges senior to those of existing holders of the Company's common stock. If additional financing is not available or is not available on acceptable terms, the Company may be required to delay, reduce the scope of or eliminate its research and development programs, reduce its commercialization efforts or obtain funds through arrangements with collaborative partners or others that may require it to relinquish rights to certain product candidates that it might otherwise seek to develop or commercialize independently. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/2e3knrhf About Tonix Pharmaceuticals Chatham, N.J.-based Tonix Pharmaceuticals Holding Corp., through its wholly owned subsidiary Tonix Pharmaceuticals, Inc., is a fully integrated biopharmaceutical company focused on developing and commercializing therapeutics to treat and prevent human disease and alleviate suffering. EisnerAmper LLP, the Company's former independent registered public accounting firm, included an explanatory paragraph in its audit report dated March 12, 2026, attached to the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025, expressing substantial doubt about the Company's ability to continue as a going concern. The auditor cited that the Company has continuing losses and negative cash flows from operating activities that raise substantial doubt about its ability to continue as a going concern. As of March 31, 2026, the Company had $257.9 million in total assets, $30.8 million in total liabilities, and $227.1 million in total stockholders' equity. TOWNSQUARE MEDIA: Debts Exceed Assets by $36.2M at March 31 ----------------------------------------------------------- Townsquare Media, Inc.'s stockholder's deficit was US$36.2 million at March 31, 2026. The stockholder's deficit was US$41.0 million at Dec. 31, 2025. At March 31, 2026, the Company had total assets of US$516.1 million and total liabilities of US$552.3 million. At Dec. 31, 2025, the Company had total assets of US$528.6 million and total liabilities of US$569.6 million. Townsquare Media, Inc. presents a tight liquidity profile with only $2.2 million of cash and cash equivalents as of March 31, 2026, against $434.2 million of outstanding indebtedness (net of discounts and costs). The Company states: "we believe that our cash on hand and cash flows from our operating, investing, and financing activities will enable us to meet our working capital, capital expenditures, debt service, and other funding requirements for at least one year from the date of this report." The Company said: "Net cash provided by operating activities was approximately $4.2 million for the three months ended March 31, 2026, as compared to net cash used in operating activities of $0.1 million for the same period in 2025. The increase was primarily related to lower cash interest payments in 2026 and net changes in working capital balances, particularly accrued expenses and accounts receivable." "As of March 31, 2026, we had $434.2 million of outstanding indebtedness, net of unamortized discount and deferred financing costs of $23.3 million." "Based on the terms of our Senior Secured Credit Facility, as of March 31, 2026, we expect our mandatory debt service requirements to be approximately $50.7 million over the next twelve months. See Note 6, Long-Term Debt, in our Notes to Consolidated Financial Statements for additional information related to our Senior Secured Credit Facility." "As of March 31, 2026 we had $2.2 million of cash and cash equivalents, and $49.1 million of receivables from customers, which historically have had an average collection cycle of approximately 50 days. As of March 31, 2026, the Company had $15.0 million available under its revolving credit facility. Amounts borrowed under the revolving credit facility above an aggregate $6.0 million as of the end of each fiscal quarter requires compliance with a net leverage ratio covenant, which could limit the Company's ability to access the full amount of the facility." On Oct. 29, 2025, the board of directors approved a quarterly cash dividend of $0.20 per share. The dividend of $3.3 million was paid to holders of record as of Jan. 26, 2026, on Feb. 2, 2026. On March 4, 2026, the board of directors approved a quarterly dividend of $0.20 per share. The dividend of $3.6 million was paid to holders of record as of April 27, 2026, on May 4, 2026. On May 1, 2026, the board of directors approved a quarterly cash dividend of $0.20 per share. The dividend will be payable on Aug. 3, 2026, to shareholders of record as of the close of business on July 27, 2026. The Company's anticipated uses of cash in the near term include working capital needs, interest payments, debt amortization payments, dividend payments, excess cashflow payments that may be required under the terms of the Credit Agreement, other obligations, and capital expenditures. The Company believes that the cash generated by its operations should be sufficient to meet its liquidity needs for at least the next 12 months. However, its ability to fund its working capital needs, interest payments, debt payments, dividend payments, other obligations, capital expenditures, and to comply with financial covenants under its debt agreements, depends on its future operating performance and cash flow, which are in turn subject to prevailing economic conditions, increases or decreases in advertising spending, changes in the highly competitive industry in which the Company operates, which may be rapid, and other factors, many of which are beyond its control. To the extent that current and anticipated future sources of liquidity are insufficient to fund its future business activities and requirements, the Company says it may be required to seek additional equity or debt financing. The sale of additional equity would result in additional dilution to its stockholders, while the incurrence of debt financing would result in debt service obligations. Such debt instruments could introduce covenants that might restrict operations. A full-text copy of the Form 10-Q is available at https://tinyurl.com/yekn38vh About Townsquare Media, Inc. Townsquare is a community-focused digital and broadcast media company that primarily operates outside the top 50 markets in the U.S. It offers digital marketing solutions through its divisions, including Townsquare Ignite, which provides data-driven advertising services, and Townsquare Interactive, which supports small and medium-sized businesses with digital presence management and subscription services. Additionally, it operates a portfolio of local radio stations, delivering effective advertising solutions and relevant local content to its audiences. TRAWS PHARMA: Swings to $7.11 Million Q1 Net Loss ------------------------------------------------- Traws Pharma, Inc., swung to a first-quarter net loss of $7.11 million for the three months ended March 31, 2026, from net income of $21.49 million for the three months ended March 31, 2025, as the prior-year period included a large gain from the change in fair value of warrant liability. The Newtown, Pennsylvania-based company reported no revenue for the three months ended March 31, compared with $57,000 a year earlier. Loss from operations widened to $6.95 million from $5.20 million. Research and development expenses rose to $4.91 million from $2.51 million, while general and administrative expenses fell to $2.03 million from $2.75 million. The company reported a $159,000 loss from the change in fair value of warrant liability, compared with a $26.51 million gain a year earlier. Net loss attributable to common stockholders was $5.69 million, or 53 cents per basic and diluted share, compared with net income attributable to common stockholders of $15.08 million, or $2.17 per basic share and $2.09 per diluted share, a year earlier. Net cash used in operating activities was $2.58 million, compared with $5.44 million a year earlier. As of March 31, the company reported cash and cash equivalents of $3.13 million, total assets of $8.16 million, total liabilities of $13.47 million and total stockholders' deficit of $5.31 million. Traws Pharma had an accumulated deficit of $647.09 million as of March 31. The company said existing cash and net proceeds from an April 2026 financing were not sufficient to fund obligations for at least 12 months, raising substantial doubt about its ability to continue as a going concern. A full-text copy of the Form 10-Q is available for free at: https://www.sec.gov/Archives/edgar/data/1130598/000110465926061779/traw-20260331x10q.htm About Traws Pharma Traws Pharma is a clinical-stage biopharmaceutical company developing therapies for respiratory viral diseases. The Newtown, Pennsylvania company's programs include tivoxavir marboxil, ratutrelvir, narazaciclib and rigosertib, and its business expanded after the 2024 merger with Trawsfynydd Therapeutics, Inc. In an audit report dated April 15, 2026, KPMG LLP included a going concern paragraph, stating that Traws Pharma had incurred recurring losses from operations since inception that raised substantial doubt about its ability to continue as a going concern. TRILLION ENERGY: BCSC Issues MCTO Over Delayed FY2025 Annual Filing ------------------------------------------------------------------- Trillion Energy International Inc. announced that the British Columbia Securities Commission has granted a management cease trade order under National Policy 12-203 in connection with the Company's annual financial filings for the year ended December 31, 2025. The MCTO restricts trading in the Company's securities by certain insiders, including the Chief Executive Officer and Chief Financial Officer, until the required filings have been completed. The MCTO does not affect the ability of other shareholders to trade in the Company's securities. The Company disclosed that it is in the final stages of completing its annual financial statements, management's discussion and analysis, and related CEO and CFO certifications, and expected to file the Annual Filings on or about May 8, 2026. As of the current, the Company has not filed its Annual Filings. The timing of the audit reflects a transition to a new independent qualified reserves evaluator and the additional time required to complete the associated reserves report in support of the year-end financial reporting process. The reserves report has now been completed and filed on SEDAR+ as of April 30, 2026, and the audit process is progressing toward completion. Trillion continues to work closely with its auditor, MNP LLP, and remains focused on completing the Annual Filings as soon as practicable. The Company intends to comply with the alternative information guidelines set out in National Policy 12-203 during the period prior to the filing of the Annual Filings, including the issuance of biweekly status updates. Trillion confirms that it continues to operate its business in the normal course and that there are no insolvency proceedings against the Company. The Company is not aware of any material information relating to its affairs that has not been generally disclosed. About Trillion Energy Trillion Energy International Inc. and its consolidated subsidiaries is a Canadian based oil and gas exploration and production Company. Calgary, Canada-based MNP LLP, the Company's auditor since 2022, issued a "going concern" qualification in its report dated April 30, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company has a negative working capital position, has accumulated deficits, and negative cash flows from operations, which raise substantial doubt about its ability to continue as a going concern. As of September 30, 2025, the Company had $51.1 million in total assets, $42.4 million in total liabilities, and $8.7 million in total stockholders' equity. TRILLION ENERGY: Fulfills $250K Cash Commitment on M47c,d Oil Block ------------------------------------------------------------------- Trillion Energy International Inc. announced that it has fulfilled a near-term cash commitment of US$250,000 toward its earn-in obligations for a 29% participating interest in the M47c,d oil block, an onshore exploration asset located in southeastern Turkiye. This payment will be applied against the Company's work program commitments. About the M47c,d Oil Block The M47c,d oil block covers approximately 450 km2 within the Cudi-Gabar petroleum province, one of Turkiye's most active onshore oil regions. Block M47C3,C4 is located approximately 11 km southeast of Turkiye's largest onshore light oil discovery, the Şehit Aybuke Yalçın field*, which contains oil in the same Beloka and Mardin Group carbonate reservoirs as M47. The region hosts significant established production, with approximately 100 analogue wells operating within a 10–12-kilometre radius, targeting the same Mardin and Beloka reservoir intervals that Trillion plans to explore and evaluate on M47. As previously announced on April 16, 2026, an independent third-party resource evaluation identified meaningful contingent and prospective oil resources on the Block, providing a strong technical foundation for the upcoming work program. About Trillion Energy Trillion Energy International Inc. and its consolidated subsidiaries is a Canadian based oil and gas exploration and production Company. Calgary, Canada-based MNP LLP, the Company's auditor since 2022, issued a "going concern" qualification in its report dated April 30, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company has a negative working capital position, has accumulated deficits, and negative cash flows from operations, which raise substantial doubt about its ability to continue as a going concern. As of September 30, 2025, the Company had $51.1 million in total assets, $42.4 million in total liabilities, and $8.7 million in total stockholders' equity. TRINITY EXCAVATORS: Court Affirms Dismissal of Bankruptcy Case -------------------------------------------------------------- Senior Judge Lee H. Rosenthal of the U.S. District Court for the Southern District of Texas affirmed the Bankruptcy Court's order dismissing the case with prejudice with for 180 days. After the debtors, Trinity Excavators, LLC and TE Construction Group, LLC, failed to file a Chapter 11 plan despite multiple deadline extensions, the Bankruptcy Court dismissed the case with prejudice for 180 days. In this appeal, Trinity and TE argue that it was an abuse of discretion for the Bankruptcy Court to dismiss the case with prejudice without notice and a hearing. Trinity and TE filed a motion for reconsideration. Third Coast Bank, SSB, a secured creditor, also filed a motion for reconsideration. Third Coast argued that the dismissal was improper not only because there was no notice and a hearing, but also because the Bankruptcy Court did not make an evidentiary finding as to what is in the best interest of the estate or the creditors. The Bankruptcy Court denied the motions for reconsideration. The Bankruptcy Court reiterated its prior reasoning that Trinity and TE had failed to comply with multiple deadlines that they selected and the Bankruptcy Court ordered, and that the appropriate result for the violations of the court's orders was dismissal. The Bankruptcy Court added that no hearing was necessary because the case was dismissed for failure to follow court orders; that the violation was evident from the docket; and that the court had inherent authority to enforce its own orders. The District Court finds a survey of the case law demonstrates that the Bankruptcy Court's sua sponte dismissal for Trinity's and TE's failure to follow its clear instructions did not violate due process. Trinity and TE have pointed this court to no case law showing that under the "particular circumstances" of this case, it was an abuse of discretion for the court to sua sponte dismiss the case after Trinity and TE repeatedly failed to meet their own deadlines, including a self-imposed and clearly labeled "final" deadline. Trinity and TE have also provided no basis for the District Court to reverse the Bankruptcy Court based on the fact that Third Coast also filed a motion for reconsideration. According to the District Court, although Trinity and TE rely heavily on the fact that Third Bank wanted the bankruptcy proceedings to move forward, the Bankruptcy Court had a duty to ensure that the case was prosecuted timely and fairly, taking into consideration the interests of all creditors. That the creditor behind one of 31 Proofs of Claim wanted the case to move forward does not mean that the Bankruptcy Court erred by dismissing the case, particularly given -- as the Bankruptcy Court explained in denying the second motion for reconsideration -- that Third Coast did not have a secured claim and made up less than half the total amount claimed. The District Court concludes that the Bankruptcy Court did not abuse its discretion in dismissing this case, with prejudice, after Trinity and TE failed to timely file their Chapter 11 plan. This appeal is dismissed. A copy of the Court's Memorandum and Opinion dated May 18, 2026, is available at https://urlcurt.com/u?l=Kh8v7P from PacerMonitor.com. About Trinity Excavators Trinity Excavators, LLC operates in the nonresidential building construction industry. Trinity Excavators sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D. Texas Case No. 24-35266) on Nov. 6, 2024, with $1 million to $10 million in both assets and liabilities. Brian Buttry, president of Trinity Excavators, signed the petition. Judge Jeffrey P. Norman oversees the case. Harrison A. Pavlasek, Esq., at Forshey Prostok, LLP, is the Debtor's legal counsel. TURK INDUSTRIES: Seeks Subchapter 11 Bankruptcy in Georgia ---------------------------------------------------------- On May 20, 2026, Turk Industries, LLC filed for Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District of Georgia. According to court filings, the debtor reports between $1 million and $10 million in liabilities owed to between 1 and 49 creditors. A meeting of creditors under Section 341(a) to be held on June 15, 2026 at 10:00 AM via Telephone conference. To attend, Dial 888-330-1716 and enter access code 6960876. About Turk Industries, LLC Turk Industries, LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-56701) on May 20, 2026. In its petition, the debtor reported estimated assets ranging from $0 to $100,000 and estimated liabilities between $1 million and $10 million. The debtor is represented by Paul Reece Marr of Paul Reece Marr, PC. TURNONGREEN INC: Debts Exceed Assets by $33.6M at March 31 ---------------------------------------------------------- TurnOnGreen, Inc.'s stockholder's deficit was US$33.6 million at March 31, 2026. The stockholder's deficit was US$32.8 million at Dec. 31, 2025. At March 31, 2026, the Company had total assets of US$5.0 million and total liabilities of US$13.6 million. At Dec. 31, 2025, the Company had total assets of US$3.2 million and total liabilities of US$11.1 million. The Company says its condensed consolidated financial statements have been prepared assuming that it will continue as a going concern. The Company has incurred recurring operating and net losses that have not provided sufficient cash flows. Management believes that the Company will continue to incur operating and net losses each quarter until at least the time it begins significant deliveries of its products. The Company's inability to continue as a going concern could have a negative impact on the Company, including its ability to obtain needed financing. In view of these matters, the Company says there is substantial doubt about the Company's ability to continue as a going concern. The Company intends to finance its future development activities and its working capital needs largely through advances from Hyperscale Data, Inc. ("Hyperscale") until such time as funds provided by operations are sufficient to fund working capital requirements. Although management believes that capital sources will be available, there can be no assurances that Hyperscale will continue providing financing to the Company when needed to allow the Company to continue its operations, or if available, on terms acceptable to the Company. The condensed consolidated financial statements of the Company do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts and classifications of liabilities that might be necessary should the Company be unable to continue as a going concern. A full-text copy of the Form 10-Q is available at https://tinyurl.com/2vcjd7bf About TurnOnGreen Inc. TurnOnGreen, Inc., is an emerging provider of premium power electronic and electric vehicle (EV) charging solutions through its subsidiaries, Digital Power Corporation and TOG Technologies Inc. It designs, develops, manufactures, and sells advanced power conversion systems for critical applications across various sectors, including defense, healthcare, telecommunications, and e-Mobility, while also offering comprehensive EV charging infrastructure and network management services for diverse environments. UNITED PARKS: Liabilities Exceed Assets by $557.2M at March 31 -------------------------------------------------------------- United Parks & Resorts Inc.'s stockholder's deficit was US$557.2 million at March 31, 2026. The stockholder's deficit was US$435.8 million at Dec. 31, 2025. At March 31, 2026, the Company had total assets of US$2.6 billion and total liabilities of US$3.2 billion. At Dec. 31, 2025, the Company had total assets of US$2.6 billion and total liabilities of US$3.1 billion. United Parks & Resorts Inc. presents itself as relying primarily on "cash generated from operations, funds from borrowings and existing cash on hand" to meet its obligations, but discloses a working capital ratio of just 0.5 as of March 31, 2026, indicating that current liabilities significantly exceed current assets. The Company acknowledges that it has historically operated near a 1.0 working capital ratio, but does not describe any specific plan to restore that level beyond continued reliance on operating cash flows and its revolving credit facility. Management states: "We believe our cash flow from operations, along with our revolving credit facility, will allow us to meet our liquidity needs," and further, "We believe that existing cash and cash equivalents, cash flow from operations, and available borrowings under our revolving credit facility will be adequate...for at least the next 12 months." Net cash provided by operating activities was $66.8 million during the three months ended March 31, 2026, as compared to $25.7 million during the three months ended March 31, 2025. The change in net cash provided by operating activities was primarily impacted by changes in working capital. The Company said: "Investing activities consist principally of capital investments we make in our theme parks for future attractions and infrastructure. Net cash used in investing activities during the three months ended March 31, 2026 consisted of capital expenditures of $69.6 million largely related to future attractions. Net cash used in investing activities during the three months ended March 31, 2025 consisted primarily of $56.9 million of capital expenditures." "Net cash used in financing activities during the three months ended March 31, 2026 results primarily from $93.8 million used to repurchase shares and repayments of $3.9 million on our long-term debt, partially offset by $30.0 million in net proceeds from activity on our revolving credit facility. Net cash used in financing activities during the three months ended March 31, 2025 results primarily from $4.6 million used to repurchase shares and repayments of $3.9 million on our long-term debt." The Company says it is a holding company and conducts its operations through its subsidiaries, which have incurred or guaranteed indebtedness. As of March 31, 2026, its indebtedness consisted of senior secured credit facilities and 5.25% senior notes (the "Senior Notes"). SeaWorld Parks & Entertainment, Inc. ("SEA") is the borrower under the senior secured credit facilities, as amended and restated pursuant to a credit agreement (the "Amended and Restated Credit Agreement") dated Aug. 25, 2021 (the "Senior Secured Credit Facilities"). As of March 31, 2026, the Company's Senior Secured Credit Facilities consisted of $1.519 billion in Term B-3 Loans, which will mature on Dec. 4, 2031, along with a $700.0 million Revolving Credit Facility, of which $30.0 million was drawn upon as of March 31, 2026, and will mature on Aug. 23, 2029. Additionally, as of March 31, 2026, SEA had approximately $10.9 million of outstanding letters of credit, leaving approximately $659.1 million available for borrowing under the Revolving Credit Facility. As of March 31, 2026, SEA had outstanding $725.0 million in aggregate principal amount of Senior Notes due on Aug. 15, 2029. As of March 31, 2026, the Company declares it was in compliance with all covenants in the credit agreement governing the Senior Secured Credit Facilities and the indentures governing its Senior Notes. A full-text copy of the Form 10-Q is available at https://tinyurl.com/pvsr7t7f About Park City Group, Inc. Park City Group, Inc. (NYSE: PRKS) provides supply chain management solutions through its cloud-based software platform. It primarily serves the food and beverage industry, offering tools for inventory management, demand forecasting, and operational efficiency. The Company aims to enhance supply chain visibility and streamline processes for its clients. US CABINETWORKS: Seeks Chapter 7 Bankruptcy in Georgia ------------------------------------------------------ On May 19, 2026, US Cabinetworks, LLC filed for Chapter 7 protection in the U.S. Bankruptcy Court for the Northern District of Georgia. According to court filings, the debtor reports between $100,001 and $1 million in liabilities owed to between 1 and 49 creditors. A meeting of creditors under Section 341(a) to be held on June 26, 2026 at 09:30 AM via Zoom (Ogier): Meeting ID 303 102 7310, Passcode 5277935212, Phone 1 (470) 924-1773. About US Cabinetworks, LLC US Cabinetworks, LLC sought relief under Chapter 7 of the U.S. Bankruptcy Code (Bankr. Case No. 26-56586) on May 19, 2026. In its petition, the debtor reported estimated assets ranging from $0 to $100,000 and estimated liabilities between $100,001 and $1 million. Honorable Bankruptcy Judge Paul Baisier is overseeing the case. The debtor is represented by Sims W. Gordon Jr. of The Gordon Law Firm PC. VERRICA PHARMACEUTICALS: Reports $9.68 Million Net Loss in Q1 2026 ------------------------------------------------------------------ Verrica Pharmaceuticals Inc. has filed its Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission, reporting a net loss of $9.68 million for the three months ended March 31, 2026, compared to a net loss of $9.74 million for the same period in the prior year. Revenues for the three months ended March 31, 2026 were $5 million, compared to $3.4 million in the prior-year period. Liquidity and Capital Resources The Company has incurred substantial operating losses since inception and expects to continue to incur significant losses for the foreseeable future and may never become profitable. As of March 31, 2026, the Company has an accumulated deficit of $334.6 million and had cash outflows from operations of $9.2 million for the three months ended March 31, 2026. Based on the Company's current business plan and current capital resources, consisting of cash of $20.6 million as of March 31, 2026, combined with the uncertainty regarding the availability of additional funding, the Company has concluded that substantial doubt exists regarding its ability to continue as a going concern within the next 12 months. The Company plans to address the conditions that raise substantial doubt regarding its ability to continue as a going concern by, among other things, obtaining additional funding through equity offerings, debt financing, collaborations, strategic alliances and/or licensing arrangements. The consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. There can be no assurance the Company will be able to obtain additional liquidity when needed or under acceptable terms, if at all. If the Company is unable to raise capital when needed or on attractive terms, the Company would be forced to delay, reduce or eliminate commercialization efforts and development programs. In November 2025, the Company sold an aggregate of: (i) 6,499,826 shares of its common stock (ii) with respect to certain purchasers pre-funded warrants to purchase 5,305,164 shares of common stock in lieu of shares and (iii) in either case, the accompanying Series C warrants to purchase 2,951,241 shares of common stock. The purchase price per share of common stock and accompanying Series C warrant was $4.24125 per share and the purchase price for the Pre-funded Warrants and accompanying Series C warrant was $4.24115 per share. The Company received net proceeds of $49.1 million from the Private Placement, after deducting placement fees of $0.9 million. The Company plans to secure additional capital in the future through equity or debt financings, partnerships, or other sources to carry out the Company's planned commercial and development activities. The amount of proceeds the Company may be able to raise pursuant to its currently effective shelf registration statement on Form S-3 is limited. The Company is subject to the general instructions of Form S-3 known as the "baby shelf rules." Under these rules, the amount of funds the Company can raise through primary public offerings of securities in any 12-month period using its registration statement on Form S-3 is limited to one-third of the aggregate market value of the shares of the Company's common stock held by its non-affiliates. Therefore, the Company will be limited in the amount of proceeds it is able to raise by selling its securities using its Form S-3 until such time as the Company's public float exceeds $75.0 million. A full text copy of the Company's Form 10-Q is available at https://tinyurl.com/3wvzycbm About Verrica Pharmaceuticals West Chester, Pa.-based Verrica Pharmaceuticals Inc. is a dermatology therapeutics company developing and selling medications for skin diseases requiring medical intervention. KPMG LLP, the Company's independent registered public accounting firm since 2017 and headquartered in Philadelphia, Pennsylvania, included an explanatory paragraph in its audit report dated March 11, 2026, expressing substantial doubt about the Company's ability to continue as a going concern. The auditor cited that the Company has incurred substantial operating losses since inception and has negative cash flows from operations that raise substantial doubt about its ability to continue as a going concern. As of March 31, 2026, the Company had $38.8 million in total assets, $22.7 million in total liabilities, and $16.1 million in total stockholders' equity. VIVAKOR INC: J.J. Astor, Cedarview Extend Forbearance Terms ----------------------------------------------------------- Vivakor, Inc. announced that the Company entered into two forbearance agreements with its lenders and has issued shares of its common stock in connection with certain transactions. J.J. Astor Forbearance Agreement On March 17, 2025, the Company issued a junior secured convertible promissory note to J.J. Astor & Co., in the principal amount of $6,625,000, in relation to a Loan and Security Agreement by and between the Company, its subsidiaries, and the Lender. The Company received $5,000,000, before fees. The Company received the funds on March 18, 2025. In relation to the Loan Agreement, the Company also entered into a Registration Rights Agreement with the Lender, under which the Company was obligated to file a resale registration statement with the SEC registering any shares of its common stock issuable under the Note no later than 60 days after closing. On July 9, 2025, the Company entered into a Forbearance and Amendment to Loan Agreement and Note, which amended the terms of the Loan Agreement, Initial Note and RRA. Under the terms of the First Forbearance Agreement, the Lender agreed to loan the Company additional funds under a Second Junior Secured Promissory Note and agreed to forbear any default under the Initial Note in exchange for certain consideration. On October 8, 2025, the Company entered into a Second Forbearance and Amendment to Loan Agreement and Notes, which amended the terms of the Loan Agreement, Initial Note, the RRA, the Second Note and the First Forbearance Agreement. Under the terms of the Second Forbearance Agreement: (i) the Lender agreed to loan the Company an additional amount up to $2,450,000, (ii) the Outstanding Principal Amount of the Initial Note was $2,259,319.89 and the Outstanding Principal Balance on the Second Note was $5,685,805.13 on the Forbearance Agreement Effective Date, (iii) the Lender provided notice of default to the Company under the Second Note, thereby accelerating all amounts due thereunder, (iv) the Lender agreed the Company was not in default of the Initial Note, Second Note or other Transaction Documents effective September 30, 2025 and to forbear declaring an Event of Default going forward and accelerating all amounts due under the Initial Note and the Second Note, subject to the Company complying with the terms of the Second Forbearance Agreement, (v) all amounts due under the Initial Note and the Second Note, with any accrued interest, will be due on or before November 30, 2025, (vi) interest under the Initial Note and Second Note will continue at the default interest rate of 19%, (vii) the conversion terms under the Initial Note and Second Note will remain on the Default Conversion Price under those instruments, and (viii) the Lender agreed to a standstill period until November 30, 2025, during which time the Lender will not declare an event of default or accelerate any payment obligations under the Initial Note or the Second Note, so long as the Company: (a) pays interest at the Default Interest Rate on the Initial Note and the Second Note, (b) issues the Third Note to the Lender, and (c) pays in full all past due payments on the Initial Note and the Second Note on or before November 30, 2025. In connection with the Second Forbearance Agreement the Lender agreed to loan the Company up to an additional $2,450,000. On October 9, 2025, the Company and Lender entered into an Additional Junior Secured Convertible Note, under which the Company agreed to issue the Lender the Third Note in the principal amount of $1,620,000, with the Company receiving proceeds of $1,152,000 before subtracting $53,000 for legal fees and origination fees. The Company received the first funds from the Third Note on October 9, 2025 with the remainder received on October 10, 2025. As additional consideration for the Second Forbearance Agreement and the Third Note, the Company agreed to issue the Lender 286,000 shares of its common stock for $286. The Initial Note was satisfied in full on November 20, 2025 and the Third Note was satisfied in full on or about October 27, 2025, which left only the Second Note outstanding. On February 5, 2026, the Company and the Lender entered into a fourth Forbearance, Note Payment and Registration Rights Amendment Agreement, pursuant to which: (a) the parties agreed that $5,995,722.21 was then outstanding, due and payable under the Second Note and (b) the Maturity Date of the Second Note was extended to as late as January 1, 2027, and (c) the Company agreed to pay the outstanding balance of the Second Note in the following installments, with payments, payable, at the option of the Company, either in cash or under certain conditions in Conversion Shares issued at the Default Conversion Price that are immediately salable by the Lender under Rule 144, as follows: (i) $50,000 per week commencing Monday, April 6, 2026, (ii) $100,000 per week commencing Monday, July 6, 2026, (iii) $150,000 per week commencing Monday, October 5, 2026, and (iv) $250,000 per week commencing Monday, December 7, 2026, with the outstanding balance to be paid in full by January 1, 2027. On February 27, 2026, the Company and the Lender entered into a Third Amendment to Loan Agreement Fourth Forbearance Agreement and Registration Rights Agreement and $993,750 Original Principal Amount Junior Secured Promissory Note. Under the terms of the Fourth Note the Lender agreed to loan the Company an additional $750,000, which matures on April 6, 2026. In the event the Company defaults on the Fourth Note, the note begins accruing interest at 19% per annum, the principal amount due under the note is increased to 110% of the principal amount owed at the time of default, and the amounts due under the note become convertible with the Lender allowed to convert 200% of the amount due under the note at a conversion price equal to an 80% discount to the lesser of (a) the closing price of the Company's common stock on (x) the Funding Date of the Initial Note and (y) the Funding Date of the Second Note (whichever closing price is lower), or (b) 20% of the closing price of the Company Common Stock on such applicable Funding Date. Under the terms of the Loan Agreement Amendment No. 3, the Lender and Company agreed the date by which the Company has to relist on Nasdaq under the Fourth Forbearance Agreement was extended to April 6, 2026, and the Second Note default terms were amended in certain respects to the default terms in the Fourth Note. The Company received the funds from the Fourth Note on February 27, 2026, minus $40,000 for legal and transaction fees. The Company and the Lender also entered into a Subsidiary Guarantee, under which the Company's subsidiaries are guaranteeing the amounts due under the Fourth Note and a Pledge and Security Agreement, under which the Company and its subsidiaries secured the repayment of the amounts due under the Second Note and the Fourth Note with their assets as collateral. Additionally, the Company conveyed certain real property and improvements it owns in Blaine County, Oklahoma to the Lender to secure the repayment of the Fourth Note. In the event the Fourth Note is paid in full by the maturity date, the Oklahoma property will be reconveyed to the Company. On May 6, 2026, the Company entered into a Forbearance and Note Payment Amendment Agreement, under which the Lender agreed to forbear their rights under the Loan Agreement, as amended, if the Company agrees and complies with the following terms: (i) the Company acknowledges that $6,815,805.71 adjusted outstanding balance is due and payable as of the Effective Date of the May 2026 Forbearance Agreement under the Second Note and $1,111,151.74 is outstanding, due and payable as of the Effective Date of this May 2026 Forbearance Agreement under the Fourth Note, (ii) the Company will pay Lender $1,500,000 upon the closing of the first funding of that certain financing transaction being conducted for the Company by RBW Capital Partners LLC, a division of Dawson James Securities, Inc., to occur on or before May 7, 2026, to be applied to the outstanding balance of the Second Note, (iii) the Company will pay Lender $2,500,000 upon the second closing of the RBW Financing, to be applied to the outstanding balance of the Second Note, to occur upon the effectiveness of an S-1 Registration Statement, to be filed on or before May 13, 2026 and be effective on or before July 15, 2026, (iv) the remaining balance of the Second Note upon the earlier to occur of (a) closing of the transaction by and between the Company and Olenox Industries, Inc. that is the subject of a Term Sheet dated January 27, 2026 or (b) receipt by the Company of any proceeds from an Advance under the Standby Equity Purchase Agreement that is a component of the RBW Financing, with the first Advance to be on or before August 15, 2026, in which fifty percent (50%) of the net proceeds of each Advance shall be paid directly to the Lender until the Second Note is paid in full; and (v) the outstanding balance of the Fourth Note upon the earlier to occur of (a) closing of the Olenox Transaction, (b) fifty percent (50%) of the net proceeds from an Advance under the SEPA that is a component of the RBW Financing, with the first Advance to occur on or before August 15, 2026 and so long as the Second Note has been repaid in full, on or before November 5, 2026. Cedarview Forbearance Agreement On May 6, 2026, the Company entered into a Forbearance Agreement with Cedarview Opportunities Master Fund, LP, under which the Investor agreed to forbear its rights under that certain Loan and Security Agreement, dated February 5, 2024, the senior secured note to the Investor in an aggregate principal amount of $3,000,000, that certain Loan and Security Agreement, dated October 31, 2024, and a senior secured note to the Investor in an aggregate principal amount of $3,670,160.77, as those documents have previously been amended, and the Investor agreed to extend the maturity date of the Initial Note and the Second Note to October 31, 2026, so long as the Company: (i) make certain prepayments under the Existing Notes from the RBW SEPA or other financings, (ii) pays the Investor $250,000 from the second tranche of the RBW Financing, as a mandatory required prepayment of the Existing Notes (iii) that if the Company closes the contemplated Olenox Transaction, by no later than the second (2nd) Business Day after such closing, the Company will pledge 2,000,000 shares of Olenox common stock the Company receives in the Olenox Transaction as additional collateral securing the Company's payment obligations under the Existing Notes, in form and substance satisfactory to the Investor, in its sole discretion, and (iv) the Company issues the Investor 275,000 shares of its common stock, restricted in accordance with Rule 144. Unregistered Sales of Equity Securities On May 11, 2026, the Company issued the Investor Shares in connection with the Cedarview Forbearance Agreement. The issuance of the foregoing securities was exempt from registration pursuant to Section 4(a)(2) of the Securities Act promulgated thereunder as the holder is an accredited investor and familiar with the Company's operations. On May 12, 2026, the Company issued 393,547 shares of its common stock to James Ballengee, the Company's Chief Executive Officer and a member of the Board of Directors, for dividends owed to him as dividends on the Company's Series A Preferred Stock for the periods ended January 31, 2026 and April 30, 2026, in accordance with the terms of the Series A Preferred Stock Certificate of Designation. The shares were issued with a standard Rule 144 restrictive legend. The issuance of the foregoing securities was exempt from registration pursuant to Section 4(a)(2) of the Securities Act promulgated thereunder as the holder is one of the Company's executive officers, an accredited investor and familiar with the Company's operations. On May 11, 2026, the Company issued 693,492 shares of its common stock to certain holders of its Series A Preferred Stock for the dividends owed to them for the periods ended January 31, 2026 and April 30, 2026, in accordance with the terms of the Series A Preferred Stock Certificate of Designation. The shares were issued with a standard Rule 144 restrictive legend. The issuance of the foregoing securities was exempt from registration pursuant to Section 4(a)(2) of the Securities Act promulgated thereunder as the holders are existing shareholders and familiar with the Company's operations. On May 11, 2026, the Company issued 250,000 shares of its common stock to Kimberly Hawley, the Company's Chief Financial Officer and Secretary as a discretionary bonus for services performed for the Company under the terms of her Employment Agreement. The shares were issued with a standard Rule 144 restrictive legend. The issuance of the foregoing securities was exempt from registration pursuant to Section 4(a)(2) of the Securities Act promulgated thereunder as the holder is one of the Company's executive officers and familiar with the Company's operations. On May 7, 2026, the Company issued 142,716 shares of common stock to ClearThink Capital Partners under the terms of a Consulting Agreement. The shares were issued with a standard Rule 144 restrictive legend. The issuance of the foregoing securities was exempt from registration pursuant to Section 4(a)(2) of the Securities Act promulgated thereunder as the holder is an accredited investor and familiar with the Company's operations. Additional Information Full text copies of the May 2026 Forbearance Agreement and the Cedarview Forbearance Agreement are available at https://tinyurl.com/3sjy6t7x and https://tinyurl.com/25s43yma respectively. About Vivakor Inc. Vivakor, Inc. provides transportation, storage, reuse, and remediation services for crude oil and petroleum byproducts. The Company operates facilities under long-term contracts to support these services and manages energy-related assets, properties, and technologies. Pittsburgh, PA-based Urish Popeck & Co., LLC, the Company's auditor since 2024, issued a "going concern" qualification in its report dated April 15, 2026, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, citing that the Company has a significant working capital deficiency, suffered significant recurring losses from operations, and needs to raise additional funds to meet its obligations and sustain its operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of December 31, 2025, the Company had $113.5 million in total assets, $76.3 million in total liabilities, and $37.2 million in total stockholders' equity. WAIKOLOA VILLATE: Seeks Chapter 11 Bankruptcy in Georgia -------------------------------------------------------- On May 14, 2026, Waikoloa Villate Lofts South LLC filed for Chapter 11 bankruptcy protection in the Northern District of Georgia bankruptcy court. According to court filings, the debtor reports between $0 and $100,000 in assets and liabilities ranging from $100,001 to $1 million, with approximately 1 to 49 creditors. About Waikoloa Villate Lofts South LLC Waikoloa Villate Lofts South LLC is a real estate holding entity involved in property ownership and development-related investment activities. The company's operations are focused on managing residential or commercial real estate assets within its portfolio. Waikoloa Villate Lofts South LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-20773) on May 14, 2026. The filing was submitted voluntarily in federal bankruptcy court in Georgia. Honorable Bankruptcy Judge in the Northern District of Georgia is overseeing the case. The debtor is represented by Ceci Christy, Esq. of Rountree Leitman Klein & Geer, LLC. YESCARE CORP: Staff No-Shows Prompt Creditors to Seek Contract End ------------------------------------------------------------------ James Nani of Bloomberg Law reports that bankrupt prison healthcare operator YesCare Corp. is under increasing scrutiny as government agencies seek to terminate contracts over unpaid worker compensation and staffing disruptions. Court filings show that Philadelphia officials and Florida's Brevard County Sheriff's Office have asked a bankruptcy judge for emergency relief allowing them to end healthcare agreements with the company. The motions cite concerns that employees have failed to report to work because of payroll problems, potentially disrupting medical services for inmates in correctional facilities. The agencies argue that continued instability poses serious operational and public safety risks, the report states. Meanwhile, YesCare is attempting to secure court approval to use lender-controlled cash collateral to continue funding day-to-day operations and employee payroll. The company said it is evaluating financing alternatives as it seeks a broader bankruptcy loan package to support restructuring efforts. Headquartered in Brentwood, Tennessee, YesCare provides healthcare services to prisons and correctional institutions across the United States. The Chapter 11 case has intensified concerns about the financial pressures facing private correctional healthcare providers and their ability to maintain essential services during restructuring, the report cites. About YesCare Corp. YesCare Corp. is a correctional healthcare company. YesCare Corp. sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. M.D. Fla. Case No. 26-01089) on May 8, 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 Debtor is represented by Michael R. Dal Lago, Esq. ZOE CENTER: Seeks Chapter 11 Bankruptcy in Georgia -------------------------------------------------- On May 18, 2026, Zoe Center for Pediatric and Adolescent Health, LLC filed for Chapter 11 bankruptcy protection in the Middle District of Georgia bankruptcy court. According to court filings, the debtor reports between $1 million and $10 million in debt owed to approximately 100 to 199 creditors. About Zoe Center for Pediatric and Adolescent Health, LLC Zoe Center for Pediatric and Adolescent Health, LLC is a healthcare provider focused on delivering medical services for children and adolescents. The organization offers pediatric care and related outpatient health services within its clinical operations. Zoe Center for Pediatric and Adolescent Health, LLC sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. Case No. 26-50832) on May 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 Robert M. Matson handles the case. The debtor is represented by David L. Bury, Jr., Esq. of Stone & Baxter, LLP. [] Chapter 15 Filings Spiked in U.S. in 1st Qtr. of 2026 -------------------------------------------------------- Rick Archer of Law360 Bankruptcy Authority reports that Chapter 15 bankruptcy filings surged in the United States during the first quarter of 2026, with attorneys attributing the increase to a growing number of multinational restructurings involving companies with international operations and U.S.-based stakeholders. Lawyers said foreign debtors are increasingly seeking Chapter 15 recognition to gain access to protections available under U.S. bankruptcy law while restructuring overseas. Recognition proceedings can provide important safeguards, including litigation stays and assistance in administering assets located in the United States. Industry observers noted that persistent economic volatility, higher borrowing costs, and pressure on global balance sheets are driving more companies into restructuring negotiations. Cross-border insolvency matters have become particularly prominent among businesses operating in sectors vulnerable to changing financing conditions and slowing economic activity. Attorneys expect the trend to continue as international companies pursue coordinated restructuring strategies across multiple jurisdictions. The rise in Chapter 15 cases underscores the expanding role of U.S. bankruptcy courts in managing complex global insolvency proceedings. [] DBRS Confirms 17 Ratings From Five Westlake Automobile Deals --------------------------------------------------------------- DBRS, Inc. (Morningstar DBRS) Upgraded Seven credit ratings, confirmed Seventeen credit ratings, and discontinued two credit ratings due to repayment, from Five Westlake Automobile Receivables Trust Transactions Credit rating rationale includes the key analytical considerations: -- For Westlake Automobile Receivables Trust 2023-1 and Westlake Automobile Receivables Trust 2023-3, although losses are tracking above the Morningstar DBRS initial base-case cumulative net loss (CNL) expectations, the current level of hard credit enhancement (CE) and estimated excess spread are sufficient to support the Morningstar DBRS projected remaining CNL assumptions at multiples of coverage commensurate with the credit ratings. -- For Westlake Automobile Receivables Trust 2024-2, Westlake Automobile Receivables Trust 2025-1 and Westlake Automobile Receivables Trust 2025-3, losses are tracking either in line with or below the Morningstar DBRS initial base-case CNL expectations. The current level of hard CE and estimated excess spread are sufficient to support the Morningstar DBRS projected remaining CNL assumptions at multiples of coverage commensurate with the credit ratings. -- Current credit enhancement levels have increased compared to initial levels. -- As a percentage of the current collateral balances, total delinquencies for each Transaction have either declined or remained flat during the current payment date. -- The credit rating actions are the result of collateral performance as of the April 2026 payment date, and Morningstar DBRS' assessment of future performance assumptions. -- The transaction parties' capabilities regarding originating, underwriting, and servicing. -- The transaction assumptions consider Morningstar DBRS' baseline macroeconomic scenarios for rated sovereign economies, available in its commentary, "Baseline Macroeconomic Scenarios for Rated Sovereigns March 2026 Update," published on March 27, 2026. These baseline macroeconomic scenarios replace Morningstar DBRS' moderate and adverse coronavirus pandemic scenarios, which were first published in April 2020. Morningstar DBRS' credit ratings on the applicable classes address the credit risk associated with the identified financial obligations in accordance with the relevant transaction documents. Where applicable, a description of these financial obligations can be found in the transactions' respective press releases at issuance. Morningstar DBRS' long-term credit ratings provide opinions on risk of default. Morningstar DBRS considers risk of default to be the risk that an issuer will fail to satisfy the financial obligations in accordance with the terms under which a long-term obligation has been issued. The Morningstar DBRS short-term debt rating scale provides an opinion on the risk that an issuer will not meet its short-term financial obligations in a timely manner. Ratings Westlake Automobile Receivables Trust 2023-1 Class C Notes AAA(sf) Confirmed Class D Notes AA(high)(sf) Upgraded Class E Notes BB(sf) Confirmed Westlake Automobile Receivables Trust 2023-2 Class C Notes AAA(sf) Confirmed Class D Notes A(high)(sf) Upgraded Class E Notes BB(sf) Confirmed Class B Notes Discontinued Disc.-Repaid Westlake Automobile Receivables Trust 2024-2 Class A-3 Notes AAA(sf) Confirmed Class B Notes AAA(sf) Upgraded Class C Notes AA(high)(sf) Upgraded Class D Notes A(high)(sf) Upgraded Class E Notes BB(sf) Confirmed Westlake Automobile Receivables Trust 2025-1 Class A-2-A Notes AAA(sf) Confirmed Class A-2-B Notes AAA(sf) Confirmed Class A-3 Notes AAA(sf) Confirmed Class B Notes AAA(sf) Confirmed Class C Notes AA(sf) Confirmed Class D Notes BBB(sf) Confirmed Class E Notes BB(sf) Confirmed Westlake AUtomobile Receivables Trust 2025-3 Class A-1 Notes Discontinued Disc-Repaid Class A-2 Notes AAA(sf) Confirmed Class A-3 Notes AAA(sf) Confirmed Class B Notes AA(sf) Confirmed Class C Notes A(sf) Confirmed Class D Notes BBB(sf) Confirmed Class E Notes BB(sf) Confirmed [] U.S. Farm Bankruptcy Filings Rise Sharply in April 2026 ---------------------------------------------------------- Hilary Russ and Emily Lever of Law360 Bankruptcy Authority report that farm-related Chapter 12 bankruptcy filings rose dramatically in April, reaching levels not seen in over six years as economic pressures continue to weigh on agricultural producers. The increase reflects broader growth in bankruptcy filings across multiple sectors. Rising fuel prices, inflation, and higher interest rates have significantly increased the cost of doing business for farms. These financial pressures have been compounded by volatile commodity markets and unpredictable revenue streams. Many farmers are also facing increased expenses related to equipment maintenance, labor, and agricultural inputs. At the same time, access to credit has tightened, limiting options for short-term financial relief. Restructuring professionals say the combination of these pressures has pushed more agricultural operators into Chapter 12 bankruptcy protection. The trend underscores growing financial instability within the farming sector, the report relays. Experts caution that more filings could follow in the coming months if conditions do not stabilize. The April increase is viewed as a potential indicator of continued distress ahead, Law360 reports. ********* On Thursdays, the TCR delivers a list of recently filed Chapter 11 cases involving less than $1,000,000 in assets and liabilities delivered to nation's bankruptcy courts. The list includes links to freely downloadable images of these small-dollar petitions in Acrobat PDF format. Each Friday's edition of the TCR includes a review about a book of interest to troubled company professionals. All titles are available at your local bookstore or through Amazon.com. Go to http://www.bankrupt.com/books/to order any title today. Monthly Operating Reports are summarized in every Saturday edition of the TCR. The Sunday TCR delivers securitization rating news from the week then-ending. TCR subscribers have free access to our on-line news archive. 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