tag:blogger.com,1999:blog-1527840491496268397.post1744774338882292875..comments2024-03-08T11:20:30.095-07:00Comments on Credit Bubble Stocks: James River Coal "NOTICE OF SELECTION OF STALKING HORSE BIDDER AND SUPPLEMENTAL AUCTION PROCEDURES" $JRCCUnknownnoreply@blogger.comBlogger3125tag:blogger.com,1999:blog-1527840491496268397.post-45509126099665338262014-08-18T16:48:09.978-07:002014-08-18T16:48:09.978-07:00Also: "Borrowings under the DIP Facility have...Also: <i>"Borrowings under the DIP Facility have been used to (i) fund the operational and working capital needs of the Debtor, (ii) pay the fees, costs and expenses incurred by the Debtors in connection with their Chapter 11 cases and (iii) pay in full certain pre-petition debt and cash collateral letters of credit issued under the Debtors’ pre-petition credit agreement."</i><br /><br />The treatment of black lung and workers' comp claims is a little unclear. However, if either of them is priority, then there will be nothing for unsecured creditors because they are both >$50 million.<br /><br />Now we see why the auction kept getting postponed.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-1527840491496268397.post-64088874414968390992014-08-18T16:46:27.551-07:002014-08-18T16:46:27.551-07:00Here's a balance sheet from the monthly operat...Here's a balance sheet from the monthly operating report: http://ir.jamesrivercoal.com/secfiling.cfm?filingID=1019687-14-2952<br /><br />DIP status: <br /><i>"The Company’s initial borrowing under the DIP Facility was made on April 10, 2014 in the amount of $80 million and a subsequent borrowing of $30 million was made on June 13, 2014. In July 2014, the Company repaid $20.0 million of the outstanding principal on the DIP facility."</i><br /><br />So, they have/had $85 million in cash and owe $90 million on the DIP.<br /><br />But yes, the auction was a disaster for the liabilities subject to compromise. <br /><br />The bonds seem to be a zero. Amazing.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-1527840491496268397.post-88258518047166342622014-08-18T15:10:01.366-07:002014-08-18T15:10:01.366-07:00Im confused. I just started looking at this today...Im confused. I just started looking at this today for fun (earnings season is over).<br /><br />Looks like there is a $110 drawn DIP and $65 of pre-pet 1st lien LCs outstanding. Apparently they are selling all their assets for $50mm(?)<br /><br />And thats where I got lost. Who were the DIP lenders? New money? I dont think it was the LC banks, based on what I read. <br /> <br />Are there any other assets here to repay the DIP and 1st lien? What am I missing?Anonymousnoreply@blogger.com