Bankruptcy News

Ciber Caption Amendment Sought

Ciber filed with the U.S. Bankruptcy Court a motion for an order authorizing the Debtors to amend the case caption. The motion explains, "By this Motion, the Debtors seek entry of an order pursuant to section 105(a) of the Bankruptcy Code, Bankruptcy Rules 1005, 2002(m), and 2002(n), and Local Rule 9004- 1(a)(2) changing the case caption used in these Chapter 11 Cases to appear as follows: CMTSU Liquidation, Inc.…Pursuant to Section 8.14 of the APA, the Debtors are required to change their corporate and business names. Since the closing of the Sale, the Debtors have taken steps to change their corporate names as set forth below: Old Company Name CIBER, Inc. to New Company Name: CMTSU Liquidation, Inc.; CIBER Consulting, Incorporated to CMTSU Liquidation 2, Inc.; and CIBER International LLC to CMTSU Liquidation 3, LLC." The Court scheduled an August 10, 2017 hearing to consider the motion, with objections due by August 3, 2017.

21st Century Oncology Holdings PCO Report Filed

21st Century Oncology Holdings' patient care ombudsman (PCO) filed with the U.S. Bankruptcy Court a report for the period of June 20, 2017 through July 20, 2017. The report notes, "To better understand the nature of the Debtors' facilities and delivery of care, on June 26, 2017, the PCO met in-person with the Debtors, counsel for the Debtors and counsel for the Official Committee of Unsecured Creditors….The discussions with the Debtors and the Committee resulted in the proposed work plan that was filed with the Court on July 10, 2017….During her visits to the facilities, the PCO plans to speak with the office manager and the physicians (and perhaps nursing staff) present during the site visit. Given the nature of the Company's patients - that they are there to receive cancer treatment and are not in-patient (as you would find in a traditional hospital) - the PCO will use her judgment in determining the appropriate manner, if any, in which to interact directly with the patients that are there to receive treatment….Of course, the site visits will enable the PCO to better ascertain whether there is any evidence or suggestion that the Debtors' bankruptcy cases have in fact had an adverse impact on patient care or if there are any issues that if not addressed could potentially lead to a negative impact on patient care….The first report would ordinarily have been filed by August 18, 2017 - sixty days after the appointment of the PCO. However, the PCO Appointment Order required than an initial report be filed within 30 days of the date of appointment, and not less frequently than at 60 day intervals thereafter, which is September 18, 2017."

hhgregg KERP Approved

The U.S. Bankruptcy Court approved hhgregg's key employee retention program (KERP) for certain non-insiders. As previously reported, "The KERP is structured to ensure the retention of 38 of the Debtors' non-insider employees (the 'KERP Participants') whose efforts will be critical to completing the Debtors' wind-down both during and after the conclusion of the Debtors' store closing sales process and to maximizing stakeholder value in connection therewith. In addition to residual store closing work, this wind-down will include, among other things, transitioning the Debtors' existing information technology systems so as to ensure the Debtors can vacate their corporate headquarters in a timely and orderly fashion (and retain critical records); disposing of any inventory and equipment that remains after the store closing sales; selling the Debtors' intellectual property; collecting Debtors' accounts receivable and "vendor credits"; prosecuting estate avoidance actions; and administering residual employee benefits and payroll… In order to accomplish a successful post-closing wind-down, the Debtors seek to retain 12 of the 38 KERP Participants until at least June 30, 2017 (the 'June 30 Group'), and an additional 21 until at least July 31, 2017 (the 'July 31 Group'). The Debtors seek to retain one additional KERP Participant until August 31, 2017 (the 'August 31 Group'), and the remaining four participants until March 31, 2018 (the 'March 31 Group'). The KERP seeks to retain only a small percentage of the approximately 4,700 individuals employed by the Debtors as of March 2017.The Debtors propose to award KERP Participants the aggregate sum of up to $500,000 in bonuses."

Breitburn Energy Partners Extension Approved

The U.S. Bankruptcy Court approved Breitburn Energy Partners' motion to extend the exclusive period during which the Company can file a Chapter 11 plan and solicit acceptances thereof through and including September 12, 2017 and November 13, 2017, respectively. As previously reported, "The Debtors have been administering these cases economically and efficiently and managing a coordinated plan negotiation process consistent with the priorities of their capital structure. The Debtors believe that this process will result in a Proposed Plan premised on a substantial equity infusion and an approximate $1.9 billion deleveraging of the Debtors' balance sheet. The modest extensions of the Exclusive Periods requested herein will allow this process to be finalized in a rational manner, consistent with the intent and purpose of chapter 11, maximize value for the Debtors' economic stakeholders, and assure the Debtors' successful emergence from chapter 11 and, most importantly, their long-term viability."

SunEdison Statement Filed

SunEdison filed with the U.S. Bankruptcy Court a statement of opposition to the motion filed by CNH Partners and AQR Capital Management for an order adjourning the hearing to consider the Company's First Amended Joint Plan of Reorganization. The Debtors state, "AQR's eleventh-hour request to adjourn the confirmation hearing is just the latest step in its self-interested strategy to disrupt the Debtors' emergence from bankruptcy in order to secure a favorable financial deal for itself and only itself at the expense of the Debtors' other creditor constituents who overwhelmingly have voted in favor of the Debtors' proposed Plan. AQR's attempt to hold the estate and its constituents' hostage unless it gets what it wants should be rejected. Delay of the confirmation hearing would only create uncertainty which would result in value deterioration for the estate, distract management from their value-accretive efforts to reduce costs, collect earn-outs, and consummate asset sales, and prolong the significant professional fee burn rate that the estates and its creditors must bear (which management estimates is more than $1 million per week, and may be higher if there is continued litigation)."

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