%1

WMI Liquidating Trust, formed pursuant to the confirmed seventh amended joint plan of affiliated debtors under chapter 11 of Washington Mutual, Inc., on Friday announced that the U.S. Bankruptcy Court for the District of Delaware has approved an order authorizing the closing of the debtors' chapter 11 cases, according to a press release. In connection with the court's approval, the trust expects to initiate a final cash distribution of approximately $35 million and $40 million to beneficiaries of the trust in accordance with the provisions of the plan on or about January 10, 2020. Following the distribution, the trust will begin the process of terminating its operations and initiating the winding-up and dissolution of the entity in accordance with Delaware law. No additional distributions of cash or equity will be made by the trust following the final distribution. Current members of the trust's management team are expected to manage the winding-up and dissolution of the trust.

A former adviser to Alaska Gov. Bill Walker is expected to complete the purchase of a Cook Inlet natural gas company, the Associated Press reported. Hex LLC, owned by John Hendrix, is set to purchase Furie Operating Alaska LLC for $15 million. Hex won a Dec. 5 bankruptcy auction to buy Texas-based Furie, which filed for chapter 11 bankruptcy protection in August, records showed. Hendrix served as Walker’s oil and gas adviser from 2016 to 2018 and was general manager of Apache Corp.’s operations in Cook Inlet prior to working in the administration.

A federal judge approved on Friday the $5.7 million sale of the Archdiocese of Agana's (Guam) Accion Hotel property, the Pacific Daily News reported. The proceeds will help pay clergy sex abuse claims. U.S. District Court Chief Judge Frances Tydingco-Gatewood, at a hearing, granted the archdiocese's motion for authorization to sell the beach side Yona property to Guam-based TF Investment LLC. Judge Tydingco-Gatewood's decision comes more than a week after the investor previously court-approved to buy the property, Georgia-based bSide Partners, pulled out of its $6.1 million purchase.

Destination Maternity Corp. won court approval to liquidate its remaining stores after a judge rejected claims by a federal bankruptcy watchdog that a sale process, which might have saved part of the chain was “tainted” by conflicts, Bloomberg News reported. Bankruptcy Judge Brendan Linehan Shannon acknowledged that the structure of the deal he approved was unusual, but said he disagreed that there was an actual conflict of interest. Two retail liquidation specialists worked for Destination Maternity before teaming up on the winning bid to conduct going-out-of business sales for the chain. One of the liquidators also has ties to a key Destination Maternity lender. “There is at least an optical concern about a party wearing a number of hats,” Judge Shannon said. “But I don’t believe there is a meaningful conflict.” Under the deal, licensing company Marquee Brands LLC will get Destination’s name, website and other operating assets for about $50 million, while Hilco Merchant Resources and Gordon Brothers Retail Partners will run store-closing sales at its remaining 235 locations, with thousands of jobs likely to disappear, court papers show. The structure made it difficult for a rival to make a competing offer to buy the entire company as a going concern or to outbid Marquee for the intellectual property without first getting permission from Hilco and Gordon Brothers, according to Destination’s main financial adviser, Neil A. Augustine, with Greenhill & Co. The U.S. Trustee argued that Hilco and Gordon Brothers had an advantage in bidding on the right to wind down the chain because they had more access to information about Destination Maternity than other potential bidders.

Destination Maternity Corp. canceled its bankruptcy auction and Marquee Brands LLC was declared the winner, making it likely that the chain’s stores will be shut down, Bloomberg News reported. The cancellation was disclosed in a court filing Monday, signaling that no other qualified bids were received by last week’s deadline. Plans previously outlined call for Marquee to shutter the brick-and-mortar outlets but keep the brand alive online and possibly inside department stores. Marquee will get the retailer’s name, website and other operating assets for about $50 million. Hilco Merchant Resources and Gordon Brothers Retail Partners would run store-closing sales at its remaining 235 locations, with thousands of jobs jeopardized, court papers show. Shutting the stores would add to the so-called retail apocalypse that has claimed more than 9,200 stores among small and large retailers. The industry is suffering from online competition, fewer shoppers at malls and too much debt that was piled on before those trends sapped profitability. The company filed for chapter 11 protection in October with about 3,200 employees, 436 stand-alone stores and another 423 store-in-store locations, including Macy’s, buybuyBABY, and Boscov’s, according to court papers. Less than a year earlier, it counted more than 1,100 retail locations in the U.S, Canada and Puerto Rico. Destination Maternity hasn’t posted an annual profit since 2014.

A federal judge approved a plan for coal company Cloud Peak Energy to exit bankruptcy yesterday, bringing the Wyoming-based company one step closer to resolving a chapter 11 case that began in May, the Casper (Wyo.) Star Tribune reported. Though the bankruptcy court accepted the company’s disclosure statement and plan during a confirmation hearing Thursday, Cloud Peak Energy still has additional steps to take before the case can officially close. The Wyoming coal operator owned three Powder River Basin mines — Antelope and Cordero Rojo in Wyoming and Spring Creek in Montana — and owed about $400 million in outstanding debt when it filed for bankruptcy in May. After filing its petition, the publicly traded company turned to the auction block. It sold off its most valuable assets: the three Powder River Basin coal mines. A Navajo Nation-based coal firm secured the winning bid for the mines and began operating them in October. In purchasing the three coal mines, Navajo Transitional Energy Company also assumed $94 million in pre- and post-petition debts left behind by Cloud Peak Energy.