Bondoro Insights: Weekly Docket Update

This Week's Key Filings

Hughes Satellite Systems Corporation

• Case Summary
  • Hughes Satellite Systems Corporation, an EchoStar subsidiary, has filed for Chapter 11 bankruptcy, unable to repay $1.5 billion of senior notes that matured Aug. 1, 2026. A structural shift in consumer broadband from geostationary earth obit satellites to low earth obit satellites cut subscribers 21.7% year over year to approximately 641,000 and contributed to a $1.274 billion FY 2025 net loss the company attributes largely to broadband revenue declines along a non-cash impairment charge. Talks with an ad hoc group that says it holds roughly 80% of the notes produced no agreement. Hughes seeks to right-size its capital structure and reorient toward enterprise and government, supported by $61.2 million of cash and proposed use of cash collateral, with no DIP facility currently projected.

Vi-Jon, LLC

• Case Summary
  • Vi-Jon has filed for Chapter 11 bankruptcy following an approximately 400% increase in talc-related personal injury claims since 2023 — which it disputes — adverse verdicts in the Heyer and Ludwig cases, and the loss of a key body powder customer. The Debtor seeks to channel its talc liabilities into a section 524(g) trust under a prepetition restructuring support agreement backed by a $25 million effective-date trust contribution from ultimate parent Emprise, roughly $8.1 million of undrawn, non-repayable keepwell equity funding from immediate parent Emprise HPC with no DIP financing contemplated, and the support of counsel for more than 80% of talc claimants.

Uniroyal Holding, Inc.

• Case Summary
  • Uniroyal Holding and its subsidiary Great Hill Corporation filed for Chapter 11 in the District of New Jersey on July 31, 2026. Uniroyal was formed in 1985 to hold the discontinued liabilities of its predecessor Uniroyal, Inc., including an asbestos textile line shut down in 1976; it has never operated a business, paying claims and retiree benefits out of an investment portfolio. Since then 516,656 asbestos personal injury and wrongful death claims have been filed against it, more than 35,000 still pending, and the debtors say the volume becomes unmanageable once their five remaining employees retire. Their prearranged plan, backed by an ad hoc group representing approximately 88% of known claimants, would pay non-asbestos claims in full, fund a settlement trust with $31.5 million in cash plus insurance rights and retained causes of action, consensually modify benefits for 140 retirees, and dissolve the debtors.
• Plan Terms
  • Uniroyal Holding's prearranged joint Chapter 11 plan establishes a settlement trust that assumes all liability of the debtors and their estates for asbestos-related personal injury and wrongful death claims and directs them exclusively to the trust for resolution under trust distribution procedures. The trust is funded by a Minimum Trust Recovery of $31.5 million in cash plus the debtors’ rights under specified settlement agreements, along with retained causes of action, transferred insurance rights, and the debtors’ document productions and privileges. Unimpaired secured, other priority, and general unsecured creditors are paid in full in cash or otherwise rendered unimpaired; intercompany claims and equity interests are cancelled without distribution; and the debtors dissolve on the effective date without receiving a discharge.

Krasnoff Domestic Growth Fund, LP

• Case Summary
  • Krasnoff Domestic Growth Fund filed for Chapter 11 following the July 2025 death of founder Peter Krasnoff and Reflect Advisors' identification of significant discrepancies between self-reported investor capital balances — investors believed the Fund held approximately $22 million in capital as of Krasnoff's death — and the approximately $5.1 million in estate assets identified or located as of the Petition Date. The Debtors are pursuing an orderly wind-down that includes investigating fund assets, prosecuting avoidance actions and distributing proceeds for the benefit of investors, directed by Jacen Dinoff, appointed Manager of the General Partner on July 7, 2026 with no prior connection to the Debtors, Krasnoff or his predecessor, and CRO Adam Zalev, Founder and Managing Director of Reflect Advisors.

Residential Properties Resources Fund II, LLC

• Case Summary
  • Residential Properties Resources Fund II and its affiliated debtors, which own and manage roughly 240 or more single-family rental homes in Milwaukee, filed Chapter 11 following a public nuisance suit by the City of Milwaukee and a tenant rent-withholding campaign that cut rental collections to approximately 85% of expected levels, leaving the debtors unable to fund repairs and debt service. Two secured lenders were closing in: U.S. Bank, the largest at approximately $8.5 million, had obtained a receiver over the entity holding its roughly 85-property collateral in June, and F Street Investments was one day away from being able to record deeds pulling additional properties out of the estates. The debtors seek to rehabilitate and sell properties under a plan of reorganization, pointing to an estimated post-rehabilitation equity cushion of more than $7.9 million over approximately $14.6 million in secured claims as sufficient to pay all creditors in full.

Republic National Distributing Company, LLC

• DIP Terms
  • Republic National Distributing Company obtained interim authority to enter into a $250 million senior secured superpriority priming DIP facility agented by Wells Fargo Bank, National Association, comprising $75 million of new-money revolving commitments — $50 million of which is available upon entry of the interim order — and a $175 million roll-up of prepetition debt, split between $66.3 million of Fourteenth Amendment Priority Delayed Draw Term Loans converted upon entry of the interim order and $108.7 million of prepetition revolving loans converting upon entry of the final order. The facility matures 90 days after the closing date, subject to extension with Required Lender consent to no later than 150 days, and is governed by milestones requiring fully executed binding purchase agreements for section 363 sales of all or substantially all of the loan parties' assets within 30 days of the petition date and closing of those sales, or effectiveness of a plan repaying the DIP facility in full in cash, within 75 days.
• Plan Terms
  • Republic National Distributing Company's joint Chapter 11 plan provides for the sale of some or all of the Debtors' assets under section 363, if any, and a wind-down of the estates, centering on an equityholder settlement under which the NBG and NDC equityholder groups pay $50.25 million in cash on the effective date and waive their second lien facility, deferred compensation and, in NBG's case, owner notes claims in exchange for releases of non-covered claims. D&O-covered claims against those parties, causes of action against Young's Holdings, Inc. and YHI Spirits, LLC and avoidance actions instead vest in a litigation trust for holders of DIP, prepetition ABL/FILO deficiency and general unsecured claims, with recoveries on the covered claims limited to available D&O insurance proceeds after the released parties' covered defense costs, and general unsecured creditors also sharing no less than $2.5 million of the settlement cash outside the plan waterfall.

ASP Unifrax Holdings, Inc.

• DIP Terms
  • ASP Unifrax Holdings obtained interim approval for a $630 million superpriority, priming DIP facility administered by Wilmington Savings Fund Society and provided by DIP creditors including an ad hoc group of prepetition secured parties. The facility is split evenly between $315 million of new money — $265 million funded at closing and a $50 million delayed-draw tranche available upon entry of the final order — and a $315 million cashless, dollar-for-dollar roll-up of prepetition first lien obligations ($265 million upon the interim order and $50 million upon the final order), priced at Term SOFR+8.375% with a 1.00% floor and a 50% PIK election, maturing on the four-month anniversary of the petition date subject to two one-month extensions, with proceeds funding the repayment in full of approximately $188 million of prepetition first lien revolving obligations.

Marelli Automotive Lighting USA LLC

• Plan Terms
  • Marelli Automotive Lighting USA's Chapter 11 plan effectuates a debt-for-equity reorganization. The equity of the reorganized debtors goes to holders of Tranche C roll-up DIP claims — prepetition senior loans that DIP lenders rolled into the junior DIP facility — with Tranche B DIP lenders paid in cash, exchanged into exit facility loans, or converted into new common stock at the Required Plan Sponsors' election. Tranche A and Tranche A-1 DIP loans and emergency loan claims are paid in full in cash, and senior lenders that did not participate in the DIP recover 11% of principal in cash while those that did waive any recovery on their senior loan claims. General unsecured claims ride through unimpaired, and existing preferred and common equity interests are cancelled without distribution. Emergence is conditioned on the closing of a new exit facility and bankruptcy court approval of the OEM accommodation agreements.

Bitcoin Depot Inc.

• Plan Terms
  • Bitcoin Depot's first amended Chapter 11 plan of liquidation follows the company's decision to take its Bitcoin ATM network offline and pause most operations in favor of asset monetization, and is built around two settlements and a liquidation trust that will hold and monetize whatever the Hilco-led sale process does not sell. Under the Term Loan Settlement, holders of Term Loan Claims — asserted at roughly $13.3 million in principal plus $0.2 million of accrued interest and a $3.1 million exit fee, and projected in the plan at approximately $17.1 million — receive a $500,000 settlement amount and Series A trust interests, on top of a $14.0 million partial-satisfaction distribution the Final Cash Collateral Order directs absent a Challenge by any party in interest other than the Debtors or the Committee before the Non-Debtor Challenge Period expires. Under the UCC Settlement, general unsecured creditors and any equipment financing deficiency claimants receive Series B interests in a trust funded with all remaining estate assets, including no less than $550,000 in cash and retained causes of action against non-released parties including Brandon Mintz and C. Scott Buchanan, while equity is cancelled for no recovery.

U.S. TelePacific Corp.

• DIP Terms
  • U.S. TelePacific obtained final approval of a $73.5 million superpriority, senior secured and priming debtor-in-possession term loan facility with Wilmington Savings Fund Society, FSB as administrative and collateral agent. The facility comprises $20.0 million of new money — $10.0 million of initial term loan commitments and $10.0 million of second draw commitments — and a $53.5 million roll-up of prepetition superpriority and first lien obligations, of which $48.5 million was effected on entry of the interim order and $5.0 million on entry of the final order. Proceeds fund continued operations, the administrative costs of the Chapter 11 cases including the postpetition sale and marketing process, and the restructuring transactions contemplated by the debtors' second amended restructuring support agreement.

Harvest Sherwood Food Distributors, Inc.

• Plan Terms
  • Harvest Sherwood's third amended Chapter 11 plan is centered on liquidation rather than reorganization: all remaining estate assets — chiefly its antitrust claims against protein producers and a claim against Sprouts Farmers Market — vest in a liquidating trust that monetizes them over time. With no operations to fund the wind-down, certain funds managed by Atlas Grove Management, LLC provide an exit facility and take first-priority Series A trust interests, entitled to all distributable cash until a 1.00x return threshold and a continuing share thereafter. General unsecured creditors hold junior Series B-1 or B-2 interests, leaving their recovery dependent on litigation outcomes, with claims at or below $5,400 eligible for cash from a $1.3 million convenience pool. A dedicated $9.5 million tranche of the facility cashes out the litigation funders who financed the antitrust claims, resolving their pending appeal and leaving vacant the non-recourse claims class the plan had reserved.

Francesca's Acquisition, LLC

• Plan Terms
  • Francesca's Acquisition, co-proposing with the creditors' committee, seek confirmation of a combined disclosure statement and joint plan of liquidation winding down the estates after chain-wide store closing sales and a $7 million section 363 sale of their intellectual property to stalking horse Stand Out for Good, Inc., which prevailed when no other qualified bid was received. A liquidating trust — funded by sale proceeds, remaining asset liquidations and a $3 million settlement payment from the prepetition secured lenders, who also fully fund a $1.02 million carve out in exchange for releases — will make pro rata distributions to holders of allowed general unsecured claims, asserted at roughly $228 million and unreconciled, with avoidance actions and claims against unreleased insiders including Simon and Morris Barlava and MAS Acquisition, LLC preserved for the estates.

Hronis, Inc., a California Corporation

• Bidding Procedures / APA Summary
  • Hronis obtained approval of the sale of substantially all assets — including its table grape, citrus and pistachio farming operations and Delano, California-based cold storage and packing facility to prepetition secured lender AG Funding SC III LLC, referred to in the sale order as Conterra, the successful bidder at the June 24, 2026 auction. Consideration is a credit bid of approximately $122.19 million, comprising $110 million plus the sellers' DIP loan amount and less $14.5 million of other bids approved at the auction for assets not being purchased, together with the assumed liabilities and cure amounts payable by the buyer. A portion of the credit bid will be applied as a paydown of the obligations under the debtors' DIP facility with Conterra Agricultural Capital LLC, and the debtors' chapter 5 claims against insiders and their family members are assigned to the buyer, subject to a reversionary interest in the estates or a liquidating trust triggered upon payment of Conterra in full.

SpiriTrust Lutheran

• Plan Terms
  • SpiriTrust Lutheran's combined joint plan of liquidation follows the completed $50.75 million sale of substantially all assets — six continuing care retirement communities across York, Adams and Franklin counties, Pennsylvania — to Concordia Lutheran Ministries. Primary secured lender M&T Bank, owed not less than $83.3 million, is to receive an anticipated $37.9 million in net sale proceeds plus repayment in full of its $12.2 million DIP facility. General unsecured creditors, projected to recover approximately 5% to 12%, are routed instead to a liquidating trust funded under a stipulation between the creditors' committee and M&T with a $2 million sale proceeds carveout, avoidance and D&O claims, and half of any HUD entity proceeds.

SiFi Networks America, LLC

• Plan Terms
  • SiFi Networks America's combined disclosure statement and Chapter 11 plan of liquidation centered around a $5.9 million credit-bid sale of substantially all of its assets to stalking horse ArcLink Fiber, the Debtor's DIP lender and prepetition secured noteholder. The credit bid comprises all DIP obligations, the prepetition note principal and $200,000 in cash, and satisfies the DIP loan claim in full on a dollar-for-dollar basis. General unsecured creditors, whose claims the plan estimates at roughly $1.3 million, recover solely through pro rata interests in a liquidation trust. The trust is funded under a global settlement with the creditors' committee with at least $175,000 from the DIP lender, the excluded assets and estate causes of action. Equity interests are cancelled ahead of the debtor's wind-down and dissolution.

TRM NRE Holding LLC

• Plan Terms
  • TRM NRE Holding's plan of reorganization centers on refinancing its Great Rock Capital-agented first lien facility with an exit facility that remains uncommitted and unsized, supported so far by a single indication of interest. Every class rides through unimpaired: roughly $20 million of first lien principal outstanding at the petition date and $1 million to $2 million of estimated general unsecured obligations are paid in cash, and existing interests are reinstated, while sponsor TRM Equity Fund II's fully drawn $3 million junior DIP and its $13.1 million original-principal subordinated note are left to treatment to be fixed by the confirmation hearing. Running alongside are a pending $2.1 million private sale of Paducah locomotive assets to LHAGS Inc. and a landlord settlement under which the debtors stand to receive up to $600,000 in cash tied to their exit from that facility.

South Town by 4M LLC

• Plan Terms
  • South Town by 4M's Chapter 11 plan centers around a reorganization of the debtor's 1.66-acre, 300-unit mixed-use development in Ann Arbor, under which the single-asset Michigan entity conveys its assets to a Delaware special purpose entity and funds all allowed claims through one of two alternative equity transactions — a sale of the Poscher Estate's 100% interest to Newco for a seven-figure amount, backed by an Agile Solar Group equity infusion of up to $41.0 million, or the estate's retention of 59% with 41% issued to The Finn Development Group, funded by Provizia exit financing. Prentice's $8.5 million mortgage claim is the only impaired creditor claim, converting to a 3% equity interest; confirmation is set for Sept. 25, 2026.

About Bondoro Insights Summaries

Our goal with Bondoro Insights is to provide you with faster, broader coverage on active Chapter 11 cases. These summaries are generated by Bondoro's proprietary AI, tuned on our historical coverage and validated against source filings. While accuracy is a priority, they are intended for immediate informational purposes, may contain errors, and are not a substitute for professional or legal advice. Please refer to the source filings for definitive information.

This AI-powered coverage is designed to supplement our comprehensive, analyst-led case summaries.

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