UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 8-K

 

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 31, 2011

 

 

BB LIQUIDATING INC.

(Exact name of registrant as specified in its charter)

 

 

 

Delaware   001-15153   52-1655102

(State or other jurisdiction

of incorporation)

 

(Commission

File Number)

 

(IRS Employer

Identification No.)

2100 Ross Avenue, Suite 2100

Dallas, Texas

  75201
(Address of Principal Executive Offices)   (Zip Code)

Registrant’s telephone number, including area code: (214) 438-1000

Blockbuster Inc.

1201 Elm Street

Dallas, TX 75270

(Former name or former address, if changed since last report.)

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 


Item 7.01. Regulation FD Disclosure.

As previously disclosed, on September 23, 2010, Blockbuster Inc. (the “Company”) and certain of its domestic subsidiaries (collectively, the “Debtors”) filed voluntary petitions for relief (the “Bankruptcy Filing”) under chapter 11 of title 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the Southern District of New York (the “Bankruptcy Court”) case number 10-14997.

Consistent with the requirements of the Amended and Restated Asset Purchase Agreement entered into by and among the Company, the Debtor subsidiaries thereto and DISH Network Corporation on April 20, 2011 (the “Purchase Agreement”) and the Bankruptcy Court’s Supplemental Order dated April 26, 2011 approving the Purchase Agreement, the Company filed with the Bankruptcy Court a Notice of Change of Case Caption (the “Notice”) on August 23, 2011. Pursuant to the Notice, the Company and each of the Debtors confirmed that it had changed its name by amending its Certificate of Incorporation with the Secretary of State of the state of its incorporation. Consistent therewith, the Company is now known as “BB Liquidating Inc.” and all Debtors are known by the names shown on Exhibit A to the Notice.

On December 1, 2011, the Debtors filed their monthly operating report for the period from October 1, 2011 through October 31, 2011 (the “Monthly Operating Report”) with the Bankruptcy Court. The Monthly Operating Report is attached as Exhibit 99.1 and is incorporated herein by reference. This current report (including the exhibit hereto) will not be deemed an admission as to the materiality of any information required to be disclosed solely by Regulation FD.

Limitation on Incorporation by Reference

In accordance with General Instruction B.2 of Form 8-K, the information in this Item 7.01 shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “ Exchange Act ”), or otherwise subject to the liabilities of that section, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such a filing.

Cautionary Statement Regarding Financial Operating Data

The Company cautions investors and potential investors not to place undue reliance upon the information contained in the Monthly Operating Report, which was not prepared for the purpose of providing the basis for an investment decision relating to any of the securities of the Company. The Monthly Operating Report is limited in scope, covers a limited time period, is limited to the Debtors’ domestic operations, and has been prepared solely for the purpose of complying with the monthly reporting requirements of the Bankruptcy Court. The Monthly Operating Report was not audited or reviewed by independent accountants, was not prepared in accordance with Generally Accepted Accounting Principles in the United States, is in a format prescribed by applicable bankruptcy laws, and is subject to future adjustment and reconciliation. There can be no assurance that, from the perspective of an investor or potential investor in the Company’s securities, the Monthly Operating Report is complete. The Monthly Operating Report also contains information for periods which are shorter or otherwise different from those required in the Company’s reports pursuant to the Exchange Act, and such information might not be indicative of the Company’s financial condition or operating results for the period that would be reflected in the Company’s financial statements or in its reports pursuant to the Exchange Act. Results set forth in the Monthly Operating Report should not be viewed as indicative of future results.

Cautionary Statement Regarding Forward-Looking Statements

The information contained in this Current Report on Form 8-K includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements (other than statements of historical facts) that address projected or estimated results, or events,

 

2


developments or results that we intend, expect, believe, anticipate, plan, forecast or project, will or may occur in the future are forward-looking statements. The words “possible,” “propose,” “might,” “could,” “would,” “projects,” “plan,” “forecasts,” “anticipates,” “expect,” “intend,” “believe,” “seek” or “may,” and similar expressions, are intended to identify forward-looking statements, but are not the exclusive means of identifying them. Forward-looking statements are subject to a number of risks, contingencies and uncertainties, some of which our management has not yet identified. Forward-looking statements are not guarantees of future performance; subsequent developments may cause forward-looking statements to become outdated; and actual results, developments and business decisions may differ materially from those contemplated by such forward-looking statements as a result of various factors. Important factors that should be considered as potentially causing actual results to differ from those contemplated by forward-looking statements include, but are not limited to (i) the fact that we are currently not conducting business operations and will have no operations in the future; (ii) we are currently winding up the Company’s business and distributing the proceeds of the court-supervised sale of substantially all of our assets, after which we expect to file a plan of liquidation with the bankruptcy court; and (iii) even though our common stock continues to be quoted on the Pink Sheets, our common stock has no value and our stockholders should not view the trading activity of our common stock on the Pink Sheets or any other market or trading platform as being indicative of the value our stockholders will receive as a part of the chapter 11 cases. The cautionary statements provided above are being made pursuant to the provisions of the Private Securities Litigation Reform Act of 1995 (the “Act”) and with the intention of obtaining the benefits of the “safe harbor” provisions of the Act for any such forward-looking information. Additional risks that may affect the Company’s future performance are detailed in the Company’s filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q. The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or circumstances, or otherwise.

Item 9.01. Financial Statements and Exhibits

(d) Exhibits.

 

Exhibit
Number

  

Description

99.1    Monthly Operating Report for the period from October 1, 2011 through October 31, 2011, filed with the United States Bankruptcy Court for the Southern District of New York

 

3


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

   

BB LIQUIDATING INC.

f/k/a BLOCKBUSTER INC.

Date: December 9, 2011    
  By:  

/s/ Bruce W. Lewis

   

Senior Vice President, Controller and

Principal Accounting Officer


EXHIBIT INDEX

 

Exhibit No.

  

Description

99.1

   Monthly Operating Report for the period from October 1, 2011 to October 31, 2011, filed with the United States Bankruptcy Court for the Southern District of New York

Exhibit 99.1

UNITED STATES BANKRUPTCY COURT

SOUTHERN DISTRICT OF NEW YORK

 

       X          
In re:    :       Chapter 11
   :      
BB LIQUIDATING INC., et al. 1    :       Case No: 10-14997
   :      
Debtors.    :       Jointly Administered
     X      

Monthly Operating Report For

October 2011

 

DEBTORS’ ADDRESS:    2100 Ross Avenue, 21st Floor   
   Dallas, Texas 75201   
DEBTORS’ ATTORNEYS:    Stephen Karotkin   
   WEIL, GOTSHAL & MANGES LLP   
   767 Fifth Avenue   
   New York, New York 10153   
   Telephone: (212) 310-8000   
   Facsimile: (212) 310-8007   
   -and-   
   Martin A. Sosland ( admitted pro hac vice )   
   WEIL, GOTSHAL & MANGES LLP   
   200 Crescent Court, Suite 300   
   Dallas, Texas 75201   
   Telephone: (214) 746-7700   
   Facsimile: (214) 746-7777   

This Monthly Operating Report (“MOR”) has been prepared solely for the purpose of complying with the monthly reporting requirements applicable in these chapter 11 cases and is in a format acceptable to the United States Trustee. The financial information contained herein is limited in scope and covers a limited time period. Moreover, such information is preliminary and unaudited, and is not prepared in accordance with generally accepted accounting principles (“GAAP”) in the United States.

I declare under penalty of perjury (28 U.S.C. Section 1746) that this report and the attached documents are true and correct to the best of my knowledge and belief.

 

/s/ Bruce Lewis

   

12/1/2011

Bruce Lewis    
Principal Executive Officer    
Blockbuster Inc.    

 

1  

The Debtors, together with the last four digits of each Debtor’s federal tax identification number, are: BB Liquidating Inc. (5102); BB Liquidating Canada Inc. (1269); BB Liquidating Digital Technologies Inc. (9222); BB Liquidating Distribution, Inc. (0610); BB Liquidating GC, Inc. (1855); BB Liquidating Global Services Inc. (3019); BB Liquidating International Spain Inc. (7615); BB Liquidating Investments LLC (6313); BB Liquidating Procurement LP (2546); BB Liquidating Video Italy, Inc (5068); BB Liquidating ML, LLC (5575); BB Liquidating Trading Zone Inc. (8588); and BB Liquidating B2 LLC (5219).


UNITED STATES BANKRUPTCY COURT

SOUTHERN DISTRICT OF NEW YORK

 

In re  

BB LIQUIDATING INC., et al.

    Case No.  

10-14997

  Debtor       Reporting Period:  

October 2011

        Federal Tax I.D. #  

52-1655102

CORPORATE MONTHLY OPERATING REPORT

 

REQUIRED DOCUMENTS

  

Form No.

   Document
Attached
   Explanation
Attached

Schedule of Cash Receipts and Disbursements

   MOR-1    x   

Bank Reconciliation (or copies of debtor’s bank reconciliations)

   MOR-1 (CON’T)    x   

Copies of bank statements

   MOR-1 (CON’T)       x

Cash disbursements journals

   MOR-1 (CON’T)    x   

Statement of Operations

   MOR-2    x   

Balance Sheet

   MOR-3    x   

Status of Post-petition Taxes

   MOR-4    x   

Copies of IRS Form 6123 or payment receipt

         not applicable

Copies of tax returns filed during reporting period

         not applicable

Summary of Unpaid Post-petition Debts

   MOR-4    x   

Listing of Aged Accounts Payable

         x

Accounts Receivable Reconciliation and Aging

   MOR-5    x   

Taxes Reconciliation and Aging

   MOR-5    x   

Payments to Insiders and Professionals

   MOR-6    x   

Post Petition Status of Secured Notes, Leases Payable

   MOR-6    x   

Debtor Questionnaire

   MOR-7    x   

 

   FORM MOR
   Page 2 of 11


In re  

BB LIQUIDATING INC., et al.

    Case No.  

10-14997

  Debtor       Reporting Period:  

October 2011

 

SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS

(in millions)

 

     October 2011     YTD October 2011  

Cash flows from operating activities:

    

Net income (loss)

   $ (0.5   $ (200.9

Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:

    

Depreciation and intangible amortization

     —          39.4   

Rental library purchases

     —          (66.7

Rental library amortization

     —          113.3   

Loss on sale/disposal of store operations

     —          —     

Impairment of long-lived assets

     —          0.6   

Non-cash share-based compensation

     —          —     

Gain on sale of store operations

     —          —     

Deferred taxes and other

     —          2.1   

Changes in operating assets and liabilities:

       —     

Change in receivables

     —          13.1   

Change in merchandise inventories

     —          44.2   

Change in prepaid and other assets

     —          27.8   

Change in liabilities subject to compromise

     (0.4     229.1   

Change in accounts payable

     (0.1     (139.8

Change in accrued expenses and other liabilities

     (2.7     (128.6
  

 

 

   

 

 

 

Net cash provided by (used in) operating activities

     (3.7     (66.4
  

 

 

   

 

 

 

Cash flows from investing activities:

    

Capital expenditures

     —          (5.1

Change in reserve for Operating Period claims

     —          28.1   

Proceeds from sale of store operations

     —          —     

Other investing activities

     —          3.4   
  

 

 

   

 

 

 

Net cash provided by (used in) investing activities

     —          26.4   
  

 

 

   

 

 

 

Cash flows from sale of assets to DISH Network:

    

Loss on Sale

     —          (582.8

Change in rental library on sale

     —          143.4   

Change in merchandise inventories on sale

     —          56.2   

Change in receivables on sale

     —          53.3   

Change in prepaid and other assets on sale

     —          382.2   

Change in fixed assets on sale

     —          87.2   

Change in restricted cash on sale

     —          —     
  

 

 

   

 

 

 

Net cash provided by sale to Dish Network

     —          139.5   
  

 

 

   

 

 

 

Cash flows from financing activities:

    

Proceeds from DIP Financing

     —          —     

Repayments on DIP Financing

     —          —     

Repayments on senior secured notes

     —          (124.6

Debt financing costs

     —          —     

Capital lease payments

     —          (0.8
  

 

 

   

 

 

 

Net cash provided by (used in) financing activities

     —          (125.4
  

 

 

   

 

 

 

Effect of exchange rate changes on cash

     —          —     
  

 

 

   

 

 

 

Net (decrease) increase in cash and cash equivalents

     (3.7     (25.9

Cash and cash equivalents at beginning of period

     44.0        66.2   
  

 

 

   

 

 

 

Cash and cash equivalents at end of period

     40.3      $ 40.3   
  

 

 

   

 

 

 

 

   FORM MOR-1
   Page 3 of 11


In re  

BB LIQUIDATING INC., et al.

    Case No.  

10-14997

  Debtor       Reporting Period:  

October 2011

 

BANK RECONCILIATIONS

Continuation Sheet for MOR-1

 

GL#

  

Bank Name

  Bank Balance     Deposits &
Transfers in
Transit
    Outstanding
checks
    Other
Reconciling
Items
    GL Balance  

Cash

  

Bank of America

  $ 43,203,784      $ —        $ (2,923,557   $ —        $ 40,280,227   
    

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
  

Total Cash & Cash Equivalents

  $ 43,203,784      $ —        $ (2,923,557   $ —        $ 40,280,227   
    

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

Bank of America         

Dallas, Texas

      Statement date:    10/31/2011

 

Statement Period

   10/01/2011 - 10/31/2011       Statement Beginning Balance      45,493,637.06   

Number of Deposits / Credits

   0       Amount of Deposits / Credits      —     

Number of Checks

   716       Amount of Checks      2,275,507.89   

Number of Other Debits

   2       Amount of Other Debits      14,345.01   
         Statement Ending Balance      43,203,784.16   

 

* The Debtors have submitted their bank statement to the United States Trustee.

 

   FORM MOR-1 (CONT.)
   Page 4 of 11


In re  

BB LIQUIDATING INC., et al.

    Case No.  

10-14997

  Debtor       Reporting Period:  

October 2011

 

SCHEDULE OF CASH DISBURSEMENTS

(in millions)

Continuation Sheet for MOR-1

 

           October 2011        

Cash Balance as of 9/30/11

       $ 44,028,960   

Cash disbursements during the period:

      

April professional fees (as shown on MOR 6):

      

Pricewaterhouse Coopers

     (3,955    

Kurtzman Carson Consultants

     (58,334    

Rothschild Inc

     (270,595    

Cooley Godward Kronish LLP

     (44,575    

Weil Gotshal

     (138,579    
  

 

 

     

Total April professional fees

       (516,038  

Contract labor:

      

Legal

     (7,700    

Claims administration

     (5,000    
  

 

 

     

Total contract labor

       (12,700  

Payments for Administrative Priority Expenses

       (385,544  

Payments for property taxes

       (2,743,206  

Payments for miscellaneous G&A

       (91,245  
    

 

 

   

Total cash disbursements during the period

         (3,748,733)   
      

 

 

 

Cash Balance as of 9/30/11

       $ 40,280,227   
      

 

 

 

 

   FORM MOR-1 (Cont - disbursements)
   Page 5 of 11


In re  

BB LIQUIDATING INC., et al.

    Case No.  

10-14997

  Debtor       Reporting Period:  

October 2011

 

STATEMENT OF OPERATIONS (Income Statement)

(in millions)

 

     October 2011     YTD October 2011  

Revenues:

    

Base rental revenues

   $ —        $ 303.5   

Previously rented product (“PRP”) revenues

     —          140.2   
  

 

 

   

 

 

 

Total rental revenues

     —          443.7   

Merchandise sales

     —          63.0   

Other revenues

     —          12.6   
  

 

 

   

 

 

 

Total Revenue

     —          519.3   
  

 

 

   

 

 

 

Cost of sales:

    

Cost of rental revenues

     —          175.9   

Cost of merchandise sold

     —          68.7   
  

 

 

   

 

 

 

Total cost of sales

     —          244.6   
  

 

 

   

 

 

 

Gross profit

     —          274.7   
  

 

 

   

 

 

 

Operating expenses:

    

General and administrative

     0.5        460.4   

Advertising

     —          5.5   

Depreciation and intangible amortization

     —          39.4   

Impairment of goodwill and other long-lived assets

     —          0.6   
  

 

 

   

 

 

 

Total Operating Expenses

     0.5        505.9   
  

 

 

   

 

 

 

Operating income (loss)

     (0.5     (231.2

Interest expense

     —          0.6   

Interest income

     —          (0.1

Other items, net

     —          (1.4
  

 

 

   

 

 

 

Income (loss) from continuing operations before reorganization items and income taxes

     (0.5     (232.1

Reorganization items, net (income)/loss

     —          (46.9

(Benefit)/provision for income taxes

     —          1.0   

Equity in (income)/loss of non-debtor subsidiaries

     —          14.7   
  

 

 

   

 

 

 

Income (loss) from continuing operations

     (0.5     (200.9

(Loss) from sale of assets to DISH Network

     —          (582.8

Income (loss) from discontinued operations, net of tax

     —          —     
  

 

 

   

 

 

 

Net income (loss)

     (0.5     (783.7

Preferred stock dividends

     —          —     
  

 

 

   

 

 

 

Net income (loss) applicable to common stockholders

   $ (0.5   $ (783.7
  

 

 

   

 

 

 

 

   FORM MOR-2
   Page 6 of 11


In re  

BB LIQUIDATING INC., et al.

    Case No.  

10-14997

  Debtor       Reporting Period:  

October 2011

 

BALANCE SHEET

(in millions)

 

     As of 10/31/2011  

Assets

  

Current assets:

  

Cash and cash equivalents

   $ 40.3   

Reserve for Operating Period claims

     7.5   

Merchandise inventories

     —     

Rental library, net

     —     

Prepaid and other current assets

     —     
  

 

 

 

Total current assets

     47.8   

Property and equipment, net

     —     

Deferred income taxes

     —     

Investment in non-debtor subsidiaries

     —     

Intangibles, net

     —     

Restricted cash

     —     

Other assets

     —     
  

 

 

 

Total Assets

   $ 47.8   
  

 

 

 

Liabilities and Stockholders’ Equity (Deficit)

  

Current liabilities:

  

Accounts payable

   $ 3.7   

Accrued expenses

     0.5   

Debtor-in-possession loan

     —     

Deferred income taxes

     —     
  

 

 

 

Total current liabilities

     4.2   

Other liabilities

     —     
  

 

 

 

Total Liabilities before LSTC

     4.2   

Liabilities subject to compromise

     1,353.6   
  

 

 

 

Total Liabilities

     1,357.8   
  

 

 

 

Total stockholders’ equity (deficit)

     (1,310.0
  

 

 

 

Total Liabilities and Stockholders’ Equity (Deficit)

   $ 47.8   
  

 

 

 

 

   FORM MOR-3
   Page 7 of 11


In re  

BB LIQUIDATING INC., et al.

    Case No.  

10-14997

  Debtor       Reporting Period:  

October 2011

 

STATUS OF POST-PETITION TAXES

 

Federal

   Beginning Tax      Amount
Withheld and/or
Accrued
     Amount Paid     Ending Tax  

Withholding

   $ —         $ —         $ —        $ —     

FICA-Employee

     —           —           —          —     

FICA-Employer

     —           —           —          —     

Unemployment

     —           —           —          —     

Income

     —           —           —          —     

Other:            

        —           —       
  

 

 

    

 

 

    

 

 

   

 

 

 

Total Federal Taxes

     —           —           —          —     
  

 

 

    

 

 

    

 

 

   

 

 

 

State and Local

                          

Withholding

     —           —           —          —     

Sales

     —           —           —          —     

Excise

        —           —       

Unemployment

     —           —           —          —     

Real Property*

     —           —           —          —     

Personal Property*

     3,289,205         —           (2,743,206     545,999   

Other: Income/Franchise

     —           —           —          —     

Total State and Local

     3,289,205         —           (2,743,206     545,999   
  

 

 

    

 

 

    

 

 

   

 

 

 

Total Taxes

   $ 3,289,205       $ —         $ (2,743,206   $ 545,999   
  

 

 

    

 

 

    

 

 

   

 

 

 

SUMMARY OF UNPAID POST-PETITION DEBTS

 

Attach aged listing of accounts payable.                                          
     Number of Days Past Due  

DESCRIPTION

   Current      0-30      31-60      61-90      Over 91      Total  

AP - Product

   $ —         $   —         $   —         $   —         $ —         $ —     

AP - Legal & Professional Fees

     545,999         —           —           —           —           545,999   

AP - Other

     —           —           —           —           —           —     
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

TOTAL POST-PETITION DEBTS

   $ 545,999       $ —         $ —         $ —         $ —         $ 545,999   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

* The Real Property and Personal Property taxes are considered “postpetition” based off of when the payment is assessed by the taxing authority.

The detail of the AP - Legal and Professional Fees can be seen on MOR-6. The bar date of 6/15/11 for administrative claims required all other AP to be reclassified to liabilities subject to compromise.

The Debtors did not file Form 6123 during this period.

 

   FORM MOR-4
   Page 8 of 11


In re  

BB LIQUIDATING INC., et al.

    Case No.  

10-14997

  Debtor       Reporting Period:  

October 2011

 

ACCOUNTS RECEIVABLE RECONCILIATION AND AGING

 

Accounts Receivable Reconciliation

   Amount  

Total Accounts Receivable at the beginning of the reporting period

   $ —     

Plus: Amounts billed during the period

     —     

Less: Amounts collected during the period

     —     

Less: Amounts written off during the period

     —     

Less: Amounts reserved during the period

     —     

Change in store accounts receivable, net

     —     

Accounts Receivables sold to DISH Network

     —     
  

 

 

 

Total Accounts Receivable at the end of the reporting period

   $ —     
  

 

 

 

 

Accounts Receivable Aging

   9/30/2011  

0 - 30 days old

   $ —     

31 - 60 days old

     —     

61 - 90 days old

     —     

91 - 120 days old

     —     

121+ days old

     —     

Total Aged Accounts Receivable

     —     

Store Accounts Receivable

     —     

Total Accounts Receivable

     —     

Less: Bad Debts (Amount considered uncollectible)

     —     

Net Accounts Receivable***

   $ —     

TAXES RECONCILIATION AND AGING

 

Taxes Payable

   Current      1-30 Days      31-60 Days      61-90 Days      91+ Days      Total  

Federal

   $ —         $ —                  $ —     

State and Local

     —                       —     

Other

     545,999         —                    545,999   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total Taxes Payable

   $ 545,999       $ —         $ —         $ —         $ —         $ 545,999   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

   FORM MOR-5
   Page 9 of 11


In re  

BB LIQUIDATING INC., et al.

    Case No.  

10-14997

  Debtor       Reporting Period:  

October 2011

 

PAYMENTS TO INSIDERS AND PROFESSIONALS

 

INSIDERS

NAME

   TYPE OF PAYMENT    AMOUNT PAID    TOTAL PAID TO DATE

(1) NONE

        
        
        
        
        
        
        
        
     

 

  

 

TOTAL PAYMENTS TO INSIDERS

        
     

 

  

 

 

(1) No payments other than ordinary wages and benefits occurred during the reporting period.

 

PROFESSIONALS

 

NAME

  DATE OF COURT
ORDER AUTHORIZING
PAYMENT
    AMOUNT
APPROVED
    AMOUNT PAID
October 2011
    TOTAL PAID
TO DATE
    TOTAL INCURRED
& UNPAID*
 

SIDLEY AUSTIN LLP (1)

    9/27/2010      $ 3,544,061      $ —        $ 3,544,061      $ —     

JEFFERIES & COMPANY INC (1)

    9/27/2010        1,550,496        —          1,550,496        —     

ALVAREZ & MARSAL NORTH AMERICA LLC (3)

    10/27/2010        5,313,678        —          5,113,678        200,000   

ROTHSCHILD INC (3)

    11/2/2010        3,205,405        270,595        3,205,405        —     

KURTZMAN CARSON CONSULTANTS LLC (3)

    9/23/2010        4,191,609        58,334        4,113,349        78,260   

DJM ASSET MANAGEMENT LLC (3)

    11/23/2010        150,000        —          150,000        —     

RETAIL REGROUP INC (3)

    11/23/2010        150,000        —          150,000        —     

DELOITTE TAX LLP (3)

    11/9/2010        583,711        —          467,248        116,463   

SKADDEN ARPS SLATE MEAGHER & FLOM LLP (1)

    9/27/2010        211,440        —          211,440        —     

KORN/FERRY INTERNATIONAL (3)

    11/10/2010        142,132        —          142,132        —     

COOLEY GODWARD KRONISH LLP (2)

    11/23/2010        2,769,127        44,575        2,180,059        589,068   

FTI CONSULTING (2)

    12/2/2010        909,331        —          718,563        190,768   

BLOODWORTH CARROLL & BANOWSKY PC (3)

    11/23/2010        164,395        —          131,516        32,879   

RAY & GLICK LTD. (3)

    11/23/2010        959,250        —          767,400        191,850   

CHAIKEN LEGAL GROUP PC (3)

    11/23/2010        350,055        —          280,044        70,011   

SHEPPARD MULLIN (1)

    9/27/2010        327,327        —          327,327        —     

WEIL GOTSHAL (3)

    10/27/2010        7,755,554        138,579        6,085,358        1,670,196   

PRICEWATERHOUSE COOPERS (3)

    2/8/2011        1,811,368        3,955        1,478,461        332,907   

DELOITTE FINANCIAL ADVISORY (3)

    2/8/2011        363,993        —          288,837        75,156   

ERNST & YOUNG (3)

    4/4/2011        524,806        —          416,514        108,292   
   

 

 

   

 

 

   

 

 

   

 

 

 

TOTAL PAYMENTS TO PROFESSIONALS

    $ 34,977,738      $ 516,038      $ 31,321,888      $ 3,655,850   
   

 

 

   

 

 

   

 

 

   

 

 

 

 

* INCLUDE ALL FEES INCURRED, BOTH APPROVED AND UNAPPROVED
(1) Fees paid pursuant to the DIP Financing Order for professionals of the DIP lenders and DIP Agent.
(2) Fees for professionals retained to represent Unsecured Creditors’ Committee
(3) Fees for professionals retained to represent Blockbuster Inc.

POST-PETITION STATUS OF SECURED NOTES, LEASES PAYABLE

AND ADEQUATE PROTECTION PAYMENTS

 

NAME OF CREDITOR

   SCHEDULED MONTHLY
PAYMENT DUE
     AMOUNT PAID
DURING MONTH
     TOTAL UNPAID POST-
PETITION
 

DIP Financing

   $ —         $ —         $ —     

DIP Interest

        —           —     

Leases Payable

     —           —           —     

Adequate Assurance Payments - Utilities

     —           —           —     

Adequate Assurance Payments - Insurance

     —           —           —     
        
        
        
     

 

 

    

 

 

 

TOTAL PAYMENTS

      $ —        
     

 

 

    

 

 

 

 

   FORM MOR-6
   Page 10 of 11


In re  

BB LIQUIDATING INC., et al.

    Case No.  

10-14997

  Debtor       Reporting Period:  

October 2011

 

DEBTOR QUESTIONNAIRE

 

      

Must be completed each month. If the answer to any of the questions is “Yes”, provide a detailed explanation of each item. Attach
additional sheets if necessary.

   Yes    No
1    Have any assets been sold or transferred outside the normal course of business this reporting period?       X
2    Have any funds been disbursed from any account other than a debtor in possession account this reporting period?       X
3    Is the Debtor delinquent in the timely filing of any post-petition tax returns?       X
4    Are workers compensation, general liability or other necessary insurance coverage expired or cancelled, or has the debtor received notice of expiration or cancellation of such policies?    X   
5    Is the Debtor delinquent in paying any insurance premium payment?       X
6    Have any payments been made on pre-petition liabilities this reporting period?       X
7    Are any post petition receivables (accounts, notes or loans) due from related parties?       X
8    Are any post petition payroll taxes past due?       X
9    Are any post petition State or Federal income taxes past due?       X
10    Are any post petition real estate taxes past due?       X
11    Are any other post petition taxes past due?       X
12    Have any pre-petition taxes been paid during this reporting period?       X
13    Are any amounts owed to post petition creditors delinquent?       X
14    Are any wage payments past due?       X
15    Have any post petition loans been received by the Debtor from any party?       X
16    Is the Debtor delinquent in paying any U.S. Trustee fees?       X
17    Is the Debtor delinquent with any court ordered payments to attorneys or other professionals?       X
18    Have the owners or shareholders received any compensation outside of the normal course of business?       X

 

4 The Debtors have only one employee and are not required to maintain workers compensation insurance.

The Debtors have received notice that the prior workers compensation insurance is being cancelled.

 

   FORM MOR-7
   Page 11 of 11