All items from Delaware Business Bankruptcy Report

On Thursday, April 10, 2014, electricity and natural gas provider Glacial Energy Holdings and its affiliated debtors filed for Chapter 11 bankruptcy protection in Delaware.  A copy of Glacial Energy's bankruptcy petition may be found here. According to the petition, Glacial Energy estimates its assets between $500 million to $1 billion with liabilities estimated to be more than $1 billion.  A consolidated list of creditors holding the largest 20 unsecured claims was filed with the petition of Gridway Energy Holdings, Inc.  A copy of Gridway Energy's petition and list of creditors is found here.  
Debtors offer the declaration of Randy Lennan in support of their first day motions and applications.  A copy of the Lennan Declaration is attached here.  According to the Lennan Declaration, Debtors have reached an agreement with its lender, Vantage Commodities Financial Services I LLC to provide debtor in possession financing and act as the stalking horse bidder in the sale of the Debtors' assets through an auction.
The lead case is Gridway Energy Holdings Inc., case no. 14-10833-CSS. The cases have been assigned to The Honorable Christopher S. Sontchi for administration. 



Posted 1 week 2 days ago

On Thursday, April 3, 2014, Brookstone Holdings Corp. and its affiliated debtors ("Debtors") sought chapter 11 protection in Delaware. A copy of Brookstone Holdings’s bankruptcy petition along with a list of the top 30 creditors and other supporting documents is here.

According to the petition, Brookstone has between 1,000 and 5,000 creditors. Brookstone’s estimated assets are listed between $100 million and $500 million with liabilities also estimated between $100 million and $500 million.



Posted 2 weeks 2 days ago

On Tuesday, April 1, 2014, Santa Barbara, California based Koosharem, LLC filed for chapter 11 protection in Delaware.  A copy of Koosharem's bankruptcy petition is here.  A list of the top 35 creditors was filed with the petition and may be found here.  According to the petition, Koosharem has between 10,000 and 25,000 creditors.  The debtor's assets are listed between $100 million and $500 million with liabilities of between $50 million and $100 million.  
The case has been assigned to Bankruptcy Judge Kevin Carey (case no. 14-10718-KJC).



Posted 2 weeks 4 days ago

On Tuesday, April 1, 2014, Santa Barbara, California based Ablest, Inc. d/b/a Select Staffing and its affiliated debtors filed for chapter 11 protection in Delaware.  A copy of Select Staffing's bankruptcy petition is here.  A list of the top 35 creditors was filed with the petition and may be found here. According to the petition, Select Staffing has between 10,000 and 25,000 creditors.  Select Staffing's estimated assets are listed between $100 million and $500 million with liabilities estimated between $500,000 and $1 million.  
The case has been assigned to Bankruptcy Judge Kevin Carey (lead case no. 14-10717-KJC).



Posted 2 weeks 4 days ago

On March 26, 2014, Denver, Colorado based Allonhill, LLC  sought chapter 11 bankruptcy protection in the United States Bankruptcy Court for the District of Delaware.  A copy of the petition along with other supporting documents, including a list of the creditors holding 20 of the largest unsecured claims is attached here.  According to the declaration offered in support of the petition and first day motions, the debtor is a professional services firm that provides loan due diligence and credit risk management services for institutional investors, sellers and servicers of mortgage loans.  A copy of the declaration of Margaret Sue Allon in support of the Chapter 11 petition and first day motions is attached here.  



Posted 3 weeks 2 days ago

Simplexity, LLC, Simplexity Services, LLC and Adeptio INPC Holdings, LLC filed chapter 11 petitions in Delaware on March 16, 2014.  As of this posting, none of the customary “first day” motions have been filed.  A copy of the petition may be found here.  Simplexity is the parent company and operator of Wirefly, an online retailer of wireless services and devices.

Immediately after the filing, a proposed class action adversary complaint alleging violations of the WARN act was filed against Simplexity, LLC on behalf of approximately 350 former employees arising from an alleged mass layoff just days before the filing.
The cases have been assigned to The Honorable Kevin Gross and are being administered as case no. 14-10569.



Posted 4 weeks 5 days ago

 On Friday, March 14, 2014, QCE Finance LLC and various affiliates filed for chapter 11 protection in Delaware.  A copy of QCE’s bankruptcy petition is attached here.

The bankruptcy was filed as a prepackaged case; a reorganization plan was filed with the petition, and solicitation of votes in favor of the plan occurred before the filing. 
The case is being jointly administered as case no. 14-10543, and has been assigned to The Honorable Peter J. Walsh.



Posted 5 weeks 1 day ago

Listing more than $1 billion in potential liabilities, and assets of $50 to $100 million, USEC, Inc., a global supplier of low enriched uranium for use in nuclear power plants, filed for chapter 11 protection in the Bankruptcy Court for the District of Delaware.  The case is being administered as case no. 14-10475, and has been assigned to The Honorable Christopher S. Sontchi.

A copy of the petition is attached here.  For more information about the background of this “pre-arranged” case, please consult the affidavit of John R. Castellano, attached here.



Posted 6 weeks 3 days ago

 Authored by Jeffrey R. Waxman
This article was originally published in American Bankruptcy Institute Journal, Vol. XXXIII, No. 3, March 2014.



Posted 6 weeks 3 days ago

On March 3, 2014, Sorenson Communications, Inc. and several affiliates filed a pre-packaged Chapter 11 case in Delaware.  A copy of the petition is attached [HERE].  A plan has been filed and the plan was solicited before the filing.  The proposed prepackaged plan provides for a new $550 million first lien term loan exist facility and potentially includes a $25 million first lien revolving credit facility. 
Debtors are providers of telecommunication products and services for hard-of-hearing and speech-impaired individuals.  The case is docketed at 14-10454, and has been assigned to Judge Brendan Linehan Shannon.  For more information about the case, a copy of the declaration filed by Scott Sorensen is attached [HERE].



Posted 6 weeks 4 days ago