Ontario · Foreign recognition (CCAA)
First Report of the Information Officer
Court officer report · 17 June 2024
AI summary
A plain-English summary drawn only from this filing: what it is, why it matters, and the parties, amounts and dates it turns on.
What we verified from this filing4 verified
- financial positionnote: Of total liabilities, approximately USD $8.2 million are current liabilities. Figures exclude RL Canada's contingent obligations as a guarantor of the Pre-petition ABL Facility and the Pre-petition Term Loan Facility. Same figures restated in Justice Penny's endorsement (original p.53). · page: 71 · as at: 2024-05-19 · basis: Book value (unaudited financial information prepared by the Debtors and their representatives) · scope: Red Lobster Canada, Inc. (RL Canada) only, not consolidated; RL Group's overall financial position is managed on a consolidated basis from its U.S. head office and standalone audited financial statements are not prepared for RL Canada · currency: USD · total assets: 62500000 · total liabilities: 69100000
- secured creditorsnote: Table 1 states exact balance as USD $264,720,000; prose elsewhere rounds to 'approximately USD $264.7 million' (original p.73) and Justice Penny's endorsement rounds to 'about $265 million' (original p.53). Facility matures January 2026. · page: 71 · as of: Petition Date (May 19, 2024) · amount: 264720000 · debtor: RL Management LLC (borrower); RL Hospitality LLC and Red Lobster Canada, Inc. (guarantors) · creditor: Fortress Credit Corp. (as Pre-petition Term Loan Agent / Collateral Agent, for itself and other Pre-petition Term Loan Lenders) · currency: USD · security: Senior lien on substantially all Debtors' assets (other than ABL Priority Collateral) pursuant to Pledge and Security Agreement dated January 22, 2021; PPSA registrations against RL Canada in Ontario, Alberta, Saskatchewan and Manitoba covering all present and after-acquired personal property; one registration against RL Hospitality in Ontario covering 'Accounts' and 'Other' collateral
- secured creditorsnote: Amount represents outstanding face amount of Letters of Credit only; no loans outstanding under the ABL Facility itself, which has an aggregate commitment of USD $100 million (facility limit, not a balance), including a USD $40 million sub-limit for letters of credit. Approximately USD $1.1 million additionally outstanding under a related commercial card (p-card) agreement (not included in amount). Wells Fargo's Ontario PPSA registration against RL Canada and RL Management covering all present and after-acquired personal property was DISCHARGED as of May 24, 2024 (original p.74). · page: 71 · as of: Petition Date (May 19, 2024) · amount: 29276399 · debtor: Debtors including RL Management, RL Hospitality and RL Canada · creditor: Wells Fargo Bank, National Association (Administrative Agent, Pre-petition ABL Facility) · currency: USD · security: Charge on substantially all Debtors' assets including certain cash collateral accounts; senior lien on 'ABL Priority Collateral' (cash, cash accounts, inventory, credit card receivables) pursuant to intercreditor agreement with Pre-petition Term Loan Agent
- secured creditorsnote: Aggregated as serialized-equipment financiers per PMSI class; document does not state amounts owing under these registrations. · page: 74 · debtor: Red Lobster Canada, Inc. · creditor: PPSA equipment financiers (PMSI class): Enterprise Fleet Management Canada, Inc., ITW Canada Inc., Hobart Food Equipment Group Canada · currency: CAD · security: Third-party PPSA registrations against RL Canada in Alberta and Ontario, each appearing to relate to specific equipment