EX-99.1 3 a19-18018_1ex99d1.htm EX-99.1

Exhibit 99.1

 

UNITED STATES BANKRUPTCY COURT

FOR THE DISTRICT OF DELAWARE

 

In re: FTD Companies, Inc., et al.

Case No. (Jointly Administered)

19-11240 (LSS)

 

Reporting Period:

July 1 - 31, 2019

 

 

 

 

Federal Tax I.D. #

32-0255852

 

CORPORATE MONTHLY OPERATING REPORT

 

File with the Court and submit a copy to the United States Trustee within 30 days after the end of the month and submit a copy of the report to any official committee appointed in the case. 

 

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-1a

 

 

 

Attestation

 

Debtor Bank Account Listing

 

 

 

x

 

 

 

Schedule of Retained Professional Fees Paid

 

MOR-1b

 

x

 

 

 

Copies of bank statements

 

 

 

 

 

MOR Notes

 

Cash disbursements journals

 

 

 

 

 

MOR Notes

 

Statement of Operations (Income Statement)

 

MOR-2

 

x

 

 

 

Balance Sheet

 

MOR-3

 

x

 

 

 

Status of Post-petition Taxes

 

MOR-4

 

 

 

Attestation

 

Copies of IRS Form 6123 or payment receipt (See Notes to the MOR)

 

 

 

 

 

x

 

Copies of tax returns filed during reporting period (See Notes to the MOR)

 

 

 

 

 

x

 

Summary of Unpaid Post-petition Debts

 

MOR-4a

 

x

 

 

 

Listing of Aged Accounts Payable

 

MOR-4a

 

x

 

 

 

Accounts Receivable Reconciliation and Aging

 

MOR-5

 

x

 

 

 

Debtor Questionnaire

 

MOR-6

 

x

 

 

 

 

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/ Alan D. Holtz

 

August 27, 2019

Signature of Authorized Individual*

 

Date

 

 

 

 

 

 

Alan D. Holtz

 

 

Printed Name of Authorized Individual

 

 

 

 

 

Chief Restructuring Officer

 

 

Title

 

 

 

*Authorized individual must be an officer, director or shareholder if debtor is a corporation; a partner if debtor is a partnership; a manager or member if debtor is a limited liability company.

 

1

 

In re: FTD Companies, Inc., et al.

 

Case No. (Jointly Administered)

 

19-11240 (LSS)

 

 

Reporting Period:

 

July 1 - 31, 2019

 

 

 

 

 

 

 

Federal Tax I.D. #

 

32-0255852

 

Notes to the Monthly Operating Report

 

This Monthly Operating Report (“MOR”) is unaudited and has been prepared solely for the purpose of complying with the obligations of the above-captioned debtors and debtors in possession (the “Debtors”) to provide monthly operating reports during these Chapter 11 Cases.  The Debtors have prepared this monthly operating report using the best information presently available to them, which has been collected, maintained, and prepared in accordance with their historical accounting practices.  This monthly operating report is, thus, true and accurate to the best of the Debtors’ knowledge, information, and belief based on currently available data.

 

GENERAL:

 

General Methodology:  The Debtors prepared this MOR relying primarily upon the information set forth in their books and records. Consequently, certain transactions that are not identified in the normal course of business in the Debtors’ books and records may not be included in this MOR.  Nevertheless, in preparing this MOR, the Debtors made best efforts to supplement the information set forth in their books and records with additional information concerning transactions that may not have been included therein.

 

Reservation of Rights:  Given the complexity of the Debtors’ businesses, inadvertent errors, omissions or over-inclusions may have occurred.  Accordingly, the Debtors hereby reserve all of their rights to dispute the validity, status, enforceability, or nature of any claim amount, representation, or other statement in this MOR and reserve the right to amend or supplement this MOR, if necessary.

 

Reporting Period:  In order to maintain consistency with other external reports, the Debtors have included certain financial information (e.g.., Balance Sheets and Income Statements) in accordance with their normal fiscal calendar.  FTD’s July 2019 accounting period covers the period from July 1 through July 31, 2019.  However, cash receipts and disbursements are reported herein in accordance with the weekly reports required under the “Final Order Pursuant to Sections 105, 361, 362, 363, 364, and 507 of the Bankruptcy Code, Bankruptcy Rule 4001, and Local Rule 4001-2, (I) Authorizing Debtors to (A) Obtain Postpetition Financing and (B) Use Cash Collateral, (II) Granting Adequate Protection to Prepetition Secured Parties, (III) Scheduling Final Hearing, and (IV) Granting Related Relief” [Dkt No. 311]  and correspond to the weekly periods from June 29, 2019 to August 2, 2019 per those reports.

 

Scope:  This report includes details for the following Debtor entities.

 

Debtor

 

Case Number

 

Debtor

 

Case Number

 

(1)

FTD Companies, Inc.

 

19-11240 (LSS)

 

(1)

Giftco, LLC

 

19-11248 (LSS)

 

(1)

FTD, Inc.

 

19-11241 (LSS)

 

(2)

FSC Phoenix LLC

 

19-11249 (LSS)

 

(2)

Bloom That, Inc.

 

19-11242 (LSS)

 

(2)

Provide Cards, Inc.

 

19-11250 (LSS)

 

(1)

FTD.CA, Inc.

 

19-11243 (LSS)

 

(1)

FTD Group, Inc.

 

19-11251 (LSS)

 

(1)

Florists’ Transworld Delivery, Inc.

 

19-11244 (LSS)

 

(1)

Provide Commerce LLC

 

19-11252 (LSS)

 

(1)

FTD.COM Inc.

 

19-11245 (LSS)

 

(1)

FTD Mobile, Inc.

 

19-11253 (LSS)

 

(2)

FlowerFarm, Inc.

 

19-11246 (LSS)

 

(1)

Provide Creations, Inc.

 

19-11254 (LSS)

 

(2)

FSC Denver LLC

 

19-11247 (LSS)

 

 

 

 

 

 

 

(1) Legal entities to be renamed following the closing of the sale of certain of the Debtors’ assets to Gateway Mercury Holdings, LLC.

 

(2) Legal entities to be dissolved following the closing of the sale of certain of the Debtors’ assets to Gateway Mercury Holdings, LLC.

 

2

 

 

 

 

 

 

 

MOR-1

 

 

 

 

 

 

 

 

 

 

 

In re: FTD Companies, Inc., et al.

 

 

 

 

 

 

 

 

 

 

 

Case No. (Jointly Administered)

 

19-11240 (LSS)

 

 

 

 

 

 

 

 

 

 

 

 

 

Reporting Period:

 

July 1 - 31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Federal Tax I.D. #

 

32-0255852

 

 

 

 

 

 

 

Cash Receipts and Disbursements in USD 000’s

 

TB:

 

 

 

FTD

 

BLTH

 

 

 

 

 

 

 

 

 

 

 

 

 

Financing

 

Operating

 

Operating

 

 

 

 

 

 

 

 

 

 

 

 

 

FTD Companies,
Inc.

 

FTD, Inc.

 

Bloom That, Inc.

 

FTD.CA, Inc.

 

Florists’
Transworld
Delivery, Inc.

 

FTD.COM Inc.

 

FlowerFarm, Inc.

 

FSC Denver LLC

 

 

 

19-11240 (LSS)

 

19-11241 (LSS)

 

19-11242 (LSS)

 

19-11243 (LSS)

 

19-11244 (LSS)

 

19-11245 (LSS)

 

19-11246 (LSS)

 

19-11247 (LSS)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating Receipts

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Product and Service Revenues

 

$

—

 

$

18,085

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

Member - Credit Card Passthrough

 

—

 

36,354

 

—

 

—

 

—

 

—

 

—

 

—

 

Total Operating Receipts

 

$

—

 

$

54,440

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Entity Specific Operating Disbursements

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Member Disbursements

 

$

—

 

$

(7,377

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

Member - Credit Card Passthrough

 

—

 

(36,354

)

—

 

—

 

—

 

—

 

—

 

—

 

Payroll/Benefits

 

—

 

(5,702

)

 

 

(25

)

—

 

—

 

—

 

—

 

Freight

 

—

 

(1,023

)

 

 

(11

)

—

 

—

 

—

 

—

 

Professional Services

 

—

 

(199

)

 

 

—

 

—

 

—

 

—

 

—

 

Marketing

 

—

 

(3,510

)

 

 

(1

)

—

 

—

 

—

 

—

 

Inventory

 

—

 

(1,298

)

 

 

—

 

—

 

—

 

—

 

—

 

Technology

 

—

 

(384

)

 

 

—

 

—

 

—

 

—

 

—

 

Taxes

 

—

 

(1,311

)

 

 

(34

)

—

 

—

 

—

 

—

 

Warehousing, Rent, & Utilities

 

—

 

(212

)

 

 

(1

)

—

 

—

 

—

 

—

 

Professional Fees - Recurring

 

—

 

(116

)

 

 

—

 

—

 

—

 

—

 

—

 

Other

 

—

 

(890

)

 

 

(197

)

—

 

—

 

—

 

—

 

Total Entity Specific Operating Disbursements

 

$

—

 

$

(58,375

)

$

—

 

$

(268

)

$

—

 

$

—

 

$

—

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Operating Cash Flow

 

$

—

 

$

(3,935

)

$

—

 

$

(268

)

$

—

 

$

—

 

$

—

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Asset Sales Proceeds

 

$

—

 

$

15,100

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Entity Specific Restructuring Disbursements

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Day Motion and Admin Claims

 

$

—

 

$

(705

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

Severance / Retention

 

 

 

(136

)

—

 

—

 

—

 

—

 

—

 

—

 

Total Entity Specific Restructuring Disbursements

 

$

—

 

$

(840

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total All Entity Specific Disbursements

 

$

—

 

$

(59,215

)

$

—

 

$

(268

)

$

—

 

$

—

 

$

—

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Shared Restructuring Disbursements

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Professional Fees - Restructuring

 

$

—

 

$

(1,487

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

DIP Interest and Fees

 

(492

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Prepetition Debt Repayment

 

(27,486

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

DIP Repayments

 

(11,504

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Total Shared Restructuring Disbursements

 

$

(39,482

)

$

(1,487

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

Allocation of FTD Companies, Inc. Shared Items

 

39,482

 

(28,965

)

—

 

(131

)

—

 

—

 

—

 

—

 

Allocation of FTD Inc. Shared Items

 

—

 

396

 

—

 

(5

)

—

 

—

 

—

 

—

 

Allocated Shared Restructuring Disbursements

 

$

—

 

$

(30,056

)

$

—

 

$

(136

)

$

—

 

$

—

 

$

—

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Disbursements

 

$

—

 

$

(89,271

)

$

—

 

$

(404

)

$

—

 

$

—

 

$

—

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Cash Flow

 

$

—

 

$

(19,732

)

$

—

 

$

(404

)

$

—

 

$

—

 

$

—

 

$

—

 

 

(1) Intercompany transfers between and among Debtors are excluded.

(2) Shared financing and restructuring related distributions that benefit all of the Debtor entities in these cases are allocated on the basis of each entity’s specifically identified disbursements, as a percentage of total entity-specific disbursements.

 

3

 

 

MOR-1

 

 

In re: FTD Companies, Inc., et al.

Case No. (Jointly Administered)

 

19-11240 (LSS)

 

Reporting Period:

 

July 1 - 31, 2019

 

 

 

 

 

Federal Tax I.D. #

 

32-0255852

 

Cash Receipts and Disbursements in USD 000’s

 

 

TB:

GIFT

 

 

 

CARDS

 

 

 

COMM

 

SINC

 

PCRE

 

 

 

 

 

Operating

 

 

 

Operating

 

 

 

Operating

 

Operating

 

Operating

 

 

 

 

 

Giftco, LLC

 

FSC Phoenix LLC

 

Provide Cards, Inc.

 

FTD Group, Inc.

 

Provide Commerce
LLC

 

FTD Mobile, Inc.

 

Provide Creations,
Inc.

 

TOTAL

 

 

 

19-11248 (LSS)

 

19-11249 (LSS)

 

19-11250 (LSS)

 

19-11251 (LSS)

 

19-11252 (LSS)

 

19-11253 (LSS)

 

19-11254 (LSS)

 

July 1 - 31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating Receipts

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Product and Service Revenues

 

$

362

 

$

—

 

$

—

 

$

—

 

$

10,177

 

$

—

 

$

2,853

 

$

31,477

 

Member - Credit Card Passthrough

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

36,354

 

Total Operating Receipts

 

$

362

 

$

—

 

$

—

 

$

—

 

$

10,177

 

$

—

 

$

2,853

 

$

67,831

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Entity Specific Operating Disbursements

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Member Disbursements

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

(7,377

)

Member - Credit Card Passthrough

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

(36,354

)

Payroll/Benefits

 

—

 

—

 

—

 

—

 

(3,069

)

—

 

(16

)

(8,811

)

Freight

 

—

 

—

 

—

 

—

 

(3,751

)

—

 

(1,026

)

(5,810

)

Professional Services

 

(5

)

—

 

—

 

—

 

(167

)

—

 

(115

)

(485

)

Marketing

 

(23

)

—

 

—

 

—

 

(3,170

)

—

 

(704

)

(7,408

)

Inventory

 

—

 

—

 

—

 

—

 

(1,602

)

—

 

(2,039

)

(4,939

)

Technology

 

—

 

—

 

—

 

—

 

(7

)

—

 

—

 

(391

)

Taxes

 

—

 

—

 

—

 

—

 

(1,353

)

—

 

(84

)

(2,781

)

Warehousing, Rent, & Utilities

 

—

 

—

 

—

 

—

 

(1,011

)

—

 

(437

)

(1,661

)

Professional Fees - Recurring

 

—

 

—

 

—

 

—

 

(126

)

—

 

(75

)

(316

)

Other

 

(0

)

—

 

—

 

—

 

(505

)

—

 

(271

)

(1,862

)

Total Entity Specific Operating Disbursements

 

$

(27

)

$

—

 

$

—

 

$

—

 

$

(14,760

)

$

—

 

$

(4,767

)

$

(78,197

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Operating Cash Flow

 

$

335

 

$

—

 

$

—

 

$

—

 

$

(4,583

)

$

—

 

$

(1,914

)

$

(10,366

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Asset Sales Proceeds

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

15,100

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Entity Specific Restructuring Disbursements

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Day Motion and Admin Claims

 

$

—

 

$

—

 

$

—

 

$

—

 

$

(1,672

)

$

—

 

$

(6

)

$

(2,383

)

Severance / Retention

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

(136

)

Total Entity Specific Restructuring Disbursements

 

$

—

 

$

—

 

$

—

 

$

—

 

$

(1,672

)

$

—

 

$

(6

)

$

(2,519

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total All Entity Specific Disbursements

 

$

(27

)

$

—

 

$

—

 

$

—

 

$

(16,433

)

$

—

 

$

(4,773

)

$

(80,716

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Shared Restructuring Disbursements

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Professional Fees - Restructuring

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

(1,487

)

DIP Interest and Fees

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

(492

)

Prepetition Debt Repayment

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

(27,486

)

DIP Repayments

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

(11,504

)

Total Shared Restructuring Disbursements

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

(40,969

)

Allocation of FTD Companies, Inc. Shared Items

 

(13

)

—

 

—

 

—

 

(8,038

)

—

 

(2,335

)

(0

)

Allocation of FTD Inc. Shared Items

 

(1

)

—

 

—

 

—

 

(303

)

—

 

(88

)

(0

)

Allocated Shared Restructuring Disbursements

 

$

(14

)

$

—

 

$

—

 

$

—

 

$

(8,341

)

$

—

 

$

(2,423

)

$

(40,969

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Disbursements

 

$

(41

)

$

—

 

$

—

 

$

—

 

$

(24,773

)

$

—

 

$

(7,196

)

$

(121,685

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Cash Flow

 

$

321

 

$

—

 

$

—

 

$

—

 

$

(14,597

)

$

—

 

$

(4,343

)

$

(38,754

)

 

 

 

(1) Intercompany transfers between and among Debtors are excluded.

 

(2) Shared financing and restructuring related distributions that benefit all of the Debtor entities in these cases are allocated on the basis of each entity’s specifically identified disbursements, as a percentage of total entity-specific disbursements.

 

4

 

 

MOR-1

 

 

In re: FTD Companies, Inc., et al.

Case No. (Jointly Administered)

 

19-11240 (LSS)

 

ReportingPeriod:

 

July 1 - 31, 2019

 

 

 

 

 

FederalTax I.D. #

 

32-0255852

 

Cumulative Cash Disbursements and Trustee Fee Calculation

 

 

TB:

 

 

FTD

 

BLTH

 

 

 

 

 

 

 

 

 

 

 

 

 

Financing

 

Operating

 

Operating

 

 

 

 

 

 

 

 

 

 

 

 

 

FTD Companies,
Inc.

 

FTD, Inc.

 

Bloom That, Inc.

 

FTD.CA, Inc.

 

Florists’ Transworld
Delivery, Inc.

 

FTD.COM Inc.

 

FlowerFarm, Inc.

 

FSC Denver LLC

 

 

 

19-11240 (LSS)

 

19-11241 (LSS)

 

19-11242 (LSS)

 

19-11243 (LSS)

 

19-11244 (LSS)

 

19-11245 (LSS)

 

19-11246 (LSS)

 

19-11247 (LSS)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cumulative Cash Disbursements

 

$

—

 

$

89,271,219

 

$

—

 

$

403,931

 

$

—

 

$

—

 

$

—

 

$

—

 

MOR-002 - July 2019

 

—

 

89,271,219

 

—

 

403,931

 

—

 

—

 

—

 

—

 

MOR-003 - August 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

MOR-004 - September 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROJECTED 3RD QUARTER CASH DISBURSEMENTS (3)

 

$

—

 

$

267,813,656

 

$

—

 

$

1,211,792

 

$

—

 

$

—

 

$

—

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROJECTED 3RD QUARTER UST FEES

 

$

325

 

$

250,000

 

$

325

 

$

12,118

 

$

325

 

$

325

 

$

325

 

$

325

 

 

 

 

 

 

 

 

Quarterly
Disbursement
Minimum

 

Quarterly
Disbursement
Maximum

 

Applicable
Quarterly Fee

 

 

 

 

 

 

 

 

 

 

 

 

 

$

 —

 

$

—

 

$

325.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

 0.01

 

$

14,999.99

 

$

325.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

 15,000.00

 

$

74,999.99

 

$

650.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

 75,000.00

 

$

149,999.99

 

$

975.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

 150,000.00

 

$

224,999.99

 

$

1,625.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

 225,000.00

 

$

299,999.99

 

$

1,950.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

 300,000.00

 

$

999,999.99

 

$

4,875.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

 1,000,000.00

 

$

24,999,999.99

 

1

%

 

 

 

 

 

 

 

 

 

 

 

 

$

 25,000,000.00

 

 

 

$

250,000.00

 

 

 

 

 

 

 

 

 

 

(3)  Projected 3rd Quarter Cash Disbursements is based on July disbursements multiplied by three.

 

5

 

 

MOR-1

 

 

In re: FTD Companies, Inc., et al.

Case No. (Jointly Administered)

 

19-11240 (LSS)

 

Reporting Period:

 

July 1 - 31, 2019

 

 

 

 

 

Federal Tax I.D. #

 

32-0255852

 

Cumulative Cash Disbursements and Trustee Fee Calculation

 

 

TB:

GIFT

 

 

 

CARDS

 

 

 

COMM

 

SINC

 

PCRE

 

 

 

 

 

Operating

 

 

 

Operating

 

 

 

Operating

 

Operating

 

Operating

 

 

 

 

 

Giftco, LLC

 

FSC Phoenix LLC

 

Provide Cards, Inc.

 

FTD Group, Inc.

 

Provide Commerce
LLC

 

FTD Mobile, Inc.

 

Provide Creations,
Inc.

 

TOTAL

 

 

 

19-11248 (LSS)

 

19-11249 (LSS)

 

19-11250 (LSS)

 

19-11251 (LSS)

 

19-11252 (LSS)

 

19-11253 (LSS)

 

19-11254 (LSS)

 

July 1 - 31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cumulative Cash Disbursements

 

$

40,920

 

$

—

 

$

—

 

$

—

 

$

24,773,283

 

$

—

 

$

7,195,710

 

$

121,685,062

 

MOR-002 - July 2019

 

40,920

 

—

 

—

 

—

 

24,773,283

 

—

 

7,195,710

 

121,685,062

 

MOR-003 - August 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

MOR-004 - September 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROJECTED 3RD QUARTER CASH DISBURSEMENTS (3)

 

$

122,760

 

$

—

 

$

—

 

$

—

 

$

74,319,849

 

$

—

 

$

21,587,130

 

$

365,055,187

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROJECTED 3RD QUARTER UST FEES

 

$

975

 

$

325

 

$

325

 

$

325

 

$

250,000

 

$

325

 

$

215,871

 

$

732,214

 

 

 

 

 

 

 

 

Quarterly
Disbursement
Minimum

 

Quarterly
Disbursement
Maximum

 

Applicable
Quarterly Fee

 

 

 

 

 

 

 

 

 

 

 

 

 

$

—

 

$

—

 

$

325.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

0.01

 

$

14,999.99

 

$

325.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

15,000.00

 

$

74,999.99

 

$

650.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

75,000.00

 

$

149,999.99

 

$

975.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

150,000.00

 

$

224,999.99

 

$

1,625.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

225,000.00

 

$

299,999.99

 

$

1,950.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

300,000.00

 

$

999,999.99

 

$

4,875.00

 

 

 

 

 

 

 

 

 

 

 

 

 

$

1,000,000.00

 

$

24,999,999.99

 

1

%

 

 

 

 

 

 

 

 

 

 

 

 

$

25,000,000.00

 

 

 

$

250,000.00

 

 

 

 

 

 

 

 

 

 

(3)  Projected 3rd Quarter Cash Disbursements is based on July disbursements multiplied by three.

 

6

 

MOR-1a

 

In re: FTD Companies, Inc., et al.

Case No. (Jointly Administered)

19-11240 (LSS)

 

Reporting Period:

July 1 - 31, 2019

 

 

 

 

Federal Tax I.D. #

32-0255852

 

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

 

The above-captioned debtors and debtors-in-possession (the “Debtors”) hereby submit this attestation regarding bank account reconciliations in lieu of providing copies of bank statements, journals, and account reconciliations.

 

I attest that each of the Debtors’ bank accounts is reconciled to bank statements.  The Debtors’ standard practice is to ensure that each bank account is reconciled to bank statements once per month within 30 days after the month end. Copies of all such documents can be made available upon request of the U.S. Trustee.

 

A listing of all Debtor bank accounts - including the July 31, 2019 bank balance for each account - follows this attestation.

 

/s/ Alan D. Holtz

 

August 27, 2019

Signature of Authorized Individual

 

Date

 

 

 

Alan D. Holtz

 

Chief Restructuring Officer

Printed Name of Authorized Individual

 

Title of Authorized Individual

 

7

 

 

MOR-1a

 

 

In re: FTD Companies, Inc., et al.

Case No. (Jointly Administered)

 

19-11240 (LSS)

 

Reporting Period:

 

July 1 - 31, 2019

 

 

 

 

 

Federal Tax I.D. #

 

32-0255852

 

Debtor Bank Account Listing

 

Banking Institution

 

Entity Name

 

Account Type

 

Acct # - Redacted

 

Balance as of 7/31/19

 

 

 

 

 

 

 

 

 

 

 

Bank of America

 

FTD, Inc.

 

Letter of Credit / Checking

 

****2799

 

$

1,092.81

 

 

 

 

 

 

 

 

 

 

 

Bank of Montreal

 

FTD, Inc.

 

Toronto Lockbox

 

****480C

 

$

—

 

Bank of Montreal

 

FTD, Inc.

 

Operating Account

 

****8238

 

$

309,511.78

 

 

 

 

 

 

 

 

 

 

 

BBVA Bank

 

FTD, Inc.

 

CLOSED Money Market Acct

 

****2356

 

$

—

*

 

 

 

 

 

 

 

 

 

 

JPMorgan Chase Bank

 

Personal Creations, Inc.

 

Accounts Receivable

 

****5093

 

$

67,748.07

 

JPMorgan Chase Bank

 

Personal Creations, Inc.

 

Operating Account

 

****5757

 

$

893,383.95

 

 

 

 

 

 

 

 

 

 

 

MUFG Union Bank

 

FTD Mobile, Inc.

 

Operating Account

 

****3689

 

$

37,845.15

 

MUFG Union Bank

 

FTD Mobile, Inc.

 

ZBA Payroll Funding

 

****3697

 

$

—

 

MUFG Union Bank

 

Giftco LLC

 

Accounts Receivable

 

****2933

 

$

14,980.66

 

MUFG Union Bank

 

Giftco LLC

 

Operating Account

 

****3549

 

$

151,709.25

 

MUFG Union Bank

 

Giftco LLC

 

ZBA Payroll Funding

 

****3564

 

$

—

 

MUFG Union Bank

 

Personal Creations, Inc.

 

ZBA Payroll Funding

 

****7490

 

$

—

 

MUFG Union Bank

 

Provide Commerce, LLC

 

Accounts Receivable

 

****2925

 

$

393,961.36

 

MUFG Union Bank

 

Provide Commerce, LLC

 

Concentration Account

 

****7342

 

$

1,550,414.80

 

MUFG Union Bank

 

Provide Commerce, LLC

 

ZBA Payroll Funding

 

****7377

 

$

—

 

 

 

 

 

 

 

 

 

 

 

Silicon Valley Bank

 

Bloom That, Inc.

 

Investment Account

 

****2853

 

$

30,148.51

 

Silicon Valley Bank

 

Bloom That, Inc.

 

ZBA A/R Account

 

****8565

 

$

—

 

Silicon Valley Bank

 

Bloom That, Inc.

 

Operating Account

 

****9341

 

$

—

 

 

 

 

 

 

 

 

 

 

 

Toronto Dominion Bank

 

FTD, Inc.

 

Primary Operating Account

 

****4801

 

$

1,360,627.97

 

 

 

 

 

 

 

 

 

 

 

Wells Fargo Bank

 

FTD Companies, Inc.

 

Utility Deposit

 

****2153

 

$

234,973.00

**

Wells Fargo Bank

 

FTD, Inc.

 

ZBA A/R Member Receipts

 

****2906

 

$

—

 

Wells Fargo Bank

 

FTD, Inc.

 

ZBA Payroll Funding

 

****2914

 

$

—

 

Wells Fargo Bank

 

FTD, Inc.

 

Primary Concentration Account

 

****2922

 

$

8,332,911.44

 

Wells Fargo Bank

 

FTD, Inc.

 

Chicago Lockbox

 

****4440

 

$

—

 

Wells Fargo Bank

 

FTD, Inc.

 

ZBA Member Disbursements

 

****7357

 

$

—

 

Wells Fargo Bank

 

FTD, Inc.

 

ZBA A/P Disbursements

 

****7361

 

$

—

 

 

* Account closed on 6/14/19 per direction of the U.S. Trustee.

** Utilities deposit account opened on 6/21/19 and funded on 6/24/2019 in accordance with Final Utilities Order.

 

8

 

MOR-1b

 

In re: FTD Companies, Inc., et al.

Case No. (Jointly Administered)

19-11240 (LSS)

 

Reporting Period:

July 1 - 31, 2019

 

 

 

 

Federal Tax I.D. #

32-0255852

 

Schedule of Retained Professional Fees Paid

Amounts in (000’s)

 

Payee

 

Role of Professional

 

Cumulative
Balance Forward

 

July 2019

 

August 2019

 

September 2019

 

Cumulative
Payments Since
Filing

 

AP Services LLC

 

CRO Services

 

$

0

 

$

1,375

 

$

0

 

$

0

 

$

1,375

 

Jones Day

 

Debtors’ Counsel

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

Richards, Layton & Finger

 

Debtors’ Local Counsel

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

Moelis & Company LLC

 

Debtors’ Financial Advisor

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

Piper Jaffray & Co

 

Debtors’ Financial Advisor

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

Omni Management Group

 

Debtors’ Claims Agent

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

FTI Consulting

 

Lender Financial Advisor (1)

 

$

0

 

$

112

 

$

0

 

$

0

 

$

112

 

Moore and Van Allen

 

Lender Counsel (1)

 

$

226

 

$

0

 

$

0

 

$

0

 

$

226

 

Buchanan Ingersoll & Rooney

 

Lender Local Counsel (1)

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

Province

 

UCC Financial Advisor

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

Kelley Drye & Warren

 

UCC Counsel

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

Benesch Friedlander Coplan & Aronoff

 

UCC Local Counsel

 

$

0

 

$

0

 

$

0

 

$

0

 

$

0

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

226

 

$

1,487

 

$

0

 

$

0

 

$

1,713

 

 

(1) Lender advisors not retained but authorized for payment pursuant to the “Final Order Pursuant to Sections 105, 361, 362, 363, 364, and 507 of the Bankruptcy Code, Bankruptcy Rule 4001, and Local Rule 4001-2, (I) Authorizing Debtors to (A) Obtain Postpetition Financing and (B) Use Cash Collateral, (II) Granting Adequate Protection to Prepetition Secured Parties, (III) Scheduling Final Hearing, and (IV) Granting Related Relief” [Dkt No. 311].

 

9

 

MOR-2

 

In re: FTD Companies, Inc., et al.

 

Case No. (Jointly Administered)

 

19-11240 (LSS)

 

 

Reporting Period:

 

July 1 - 31, 2019

 

 

 

 

 

 

 

Federal Tax I.D. #

 

32-0255852

 

UNAUDITED

Statement of Operations (Income Statement)

Amounts in (000’s)

 

 

 

FTD
Companies,
Inc.

 

FTD, Inc.

 

Bloom
That, Inc.

 

FTD.CA, Inc.

 

Florists’
Transworld
Delivery, Inc.

 

FTD.COM Inc.

 

FlowerFarm,
Inc.

 

FSC Denver
LLC

 

Giftco, LLC

 

FSC Phoenix
LLC

 

Provide Cards,
Inc.

 

FTD Group, Inc.

 

Provide
Commerce LLC

 

FTD Mobile, Inc.

 

Provide
Creations,
Inc.

 

 

 

19-11240 (LSS)

 

19-11241 (LSS)

 

19-11242 (LSS)

 

19-11243 (LSS)

 

19-11244 (LSS)

 

19-11245 (LSS)

 

19-11246 (LSS)

 

19-11247 (LSS)

 

19-11248 (LSS)

 

19-11249 (LSS)

 

19-11250 (LSS)

 

19-11251 (LSS)

 

19-11252 (LSS)

 

19-11253 (LSS)

 

19-11254 (LSS)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Product and Service Revenues

 

$

—

 

$

20,724

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

4

 

$

—

 

$

9,350

 

$

—

 

$

2,904

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of revenues

 

$

—

 

$

12,197

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

7,433

 

$

—

 

$

2,324

 

Sales and marketing

 

—

 

5,258

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

2,044

 

—

 

1,762

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Technology and development

 

$

—

 

$

(86

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

662

 

$

1

 

$

199

 

General and administrative

 

—

 

7,166

 

(1

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

582

 

—

 

193

 

Total General and administrative

 

$

—

 

$

7,080

 

$

(1

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

1,244

 

$

1

 

$

392

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Amortization of intangible assets

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

30

 

$

—

 

$

68

 

Restructuring and other exit costs

 

—

 

(26

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

1,167

 

—

 

1

 

Impairment loss

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

1

 

—

 

—

 

Total operating expenses

 

$

—

 

$

24,509

 

$

(1

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

11,918

 

$

1

 

$

4,546

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating income/(loss)

 

$

—

 

$

(3,786

)

$

1

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

4

 

$

—

 

$

(2,568

)

$

(1

)

$

(1,642

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

$

—

 

$

31

 

$

0

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

Interest expense

 

—

 

(829

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

(0

)

—

 

—

 

Other income/(expense), net

 

—

 

11

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

53

 

—

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before income taxes

 

$

—

 

$

(4,573

)

$

1

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

4

 

$

—

 

$

(2,515

)

$

(1

)

$

(1,642

)

Provision for income taxes

 

—

 

(16

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income/(Loss)

 

$

—

 

$

(4,556

)

$

1

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

4

 

$

—

 

$

(2,515

)

$

(1

)

$

(1,642

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)  Income Statement reflects unaudited revenue and expenses for the month of July 2019 that directly correspond to the listed debtor legal entity.

 

10

 

MOR-3

 

In re: FTD Companies, Inc., et al.

 

Case No. (Jointly Administered)

 

19-11240 (LSS)

 

 

Reporting Period:

 

July 1 - 31, 2019

 

 

 

 

 

 

 

Federal Tax I.D. #

 

32-0255852

 

UNAUDITED

Balance Sheet

Amounts in (000’s)

 

 

 

FTD
Companies,
Inc.

 

FTD, Inc.

 

Bloom
That, Inc.

 

FTD.CA, Inc.

 

Florists’
Transworld
Delivery, Inc.

 

FTD.COM Inc.

 

FlowerFarm,
Inc.

 

FSC Denver
LLC

 

Giftco, LLC

 

FSC Phoenix
LLC

 

Provide Cards, Inc.

 

FTD Group, Inc.

 

Provide
Commerce LLC

 

FTD Mobile,
Inc.

 

Provide
Creations,
Inc.

 

 

 

19-11240 (LSS)

 

19-11241 (LSS)

 

19-11242 (LSS)

 

19-11243 (LSS)

 

19-11244 (LSS)

 

19-11245 (LSS)

 

19-11246 (LSS)

 

19-11247 (LSS)

 

19-11248 (LSS)

 

19-11249 (LSS)

 

19-11250 (LSS)

 

19-11251 (LSS)

 

19-11252 (LSS)

 

19-11253 (LSS)

 

19-11254 (LSS)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

—

 

$

10,100

 

$

30

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

139

 

$

—

 

$

—

 

$

—

 

$

777

 

$

38

 

$

(69

)

Accounts receivable, gross

 

$

—

 

$

21,734

 

$

135

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

28

 

$

—

 

$

—

 

$

—

 

$

2,042

 

$

9

 

$

528

 

Allowance for doubtful accounts

 

—

 

(7,266

)

(8

)

—

 

—

 

—

 

—

 

—

 

(3

)

—

 

—

 

—

 

(75

)

—

 

(7

)

Accounts receivable, net

 

$

—

 

$

14,467

 

$

127

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

25

 

$

—

 

$

—

 

$

—

 

$

1,967

 

$

9

 

$

520

 

Inventories

 

—

 

3,579

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

7,322

 

—

 

9,683

 

Income tax receivable

 

—

 

(432

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Deferred tax assets, net

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Restricted cash

 

—

 

3,369

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Prepaid expenses and other current assets

 

—

 

15,561

 

—

 

—

 

—

 

—

 

—

 

—

 

48

 

—

 

638

 

—

 

7,426

 

—

 

5,280

 

Total current assets

 

$

—

 

$

46,644

 

$

157

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

213

 

$

—

 

$

638

 

$

—

 

$

17,492

 

$

47

 

$

15,414

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Property and equipment:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Land and improvements

 

$

—

 

$

1,380

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

Building and improvements

 

—

 

15,506

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Leasehold improvements

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

2,287

 

—

 

1,646

 

Equipment

 

—

 

1,233

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

2,244

 

—

 

4,547

 

Computer equipment

 

—

 

11,388

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

7,407

 

—

 

827

 

Computer software

 

—

 

57,962

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

10,405

 

—

 

2,535

 

Furniture

 

—

 

1,705

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

476

 

—

 

98

 

Total

 

$

—

 

$

89,172

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

22,819

 

$

—

 

$

9,653

 

Less accumulated depreciation

 

—

 

(50,055

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

(22,819

)

—

 

(9,653

)

Total property and equipment, net

 

$

—

 

$

39,118

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Leases:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating lease right-of-use assets

 

$

—

 

$

114

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

15,707

 

$

—

 

$

3,855

 

Less accumulated amortization - leases

 

—

 

(60

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

(15,713

)

—

 

(3,855

)

Total leases, net

 

$

—

 

$

54

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

(6

)

$

—

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Complete technology

 

$

—

 

$

35,000

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

17,004

 

$

—

 

$

2,961

 

Accum amortization- Complete technology

 

—

 

(35,000

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

(17,004

)

—

 

(2,961

)

Complete technology, net

 

$

—

 

$

0

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

Customer Relationships

 

$

—

 

$

85,500

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

75,900

 

$

—

 

$

15,200

 

Accumulated amortization- Customer Relationships

 

—

 

(85,500

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

(75,900

)

—

 

(15,200

)

Customer Relationships, net

 

$

—

 

$

(0

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

0

 

Trademarks and trade names

 

$

—

 

$

46,700

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

28,462

 

$

—

 

$

12,160

 

Accumulated amortization- Trademarks and trade names

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

(24,764

)

—

 

(3,749

)

Trademarks and trade names, net

 

$

—

 

$

46,700

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

3,697

 

$

—

 

$

8,412

 

Patents, domain names and other

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

Accumulated amortization- Patents, domain names and other

 

—

 

(0

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Patents, domain names and other, net

 

$

—

 

$

(0

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

Goodwill

 

$

—

 

$

86,777

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

Deferred financing fees, net

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Investment in subsidiary

 

—

 

506,314

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

73,353

 

—

 

—

 

Other noncurrent assets

 

—

 

3,962

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

1,759

 

—

 

—

 

Total other assets

 

$

—

 

$

643,753

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

78,809

 

$

—

 

$

8,412

 

Total assets

 

$

—

 

$

729,569

 

$

157

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

213

 

$

—

 

$

638

 

$

—

 

$

96,296

 

$

47

 

$

23,826

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS' EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

$

—

 

$

19,409

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

1,365

 

$

—

 

$

1,400

 

Customer deposits

 

—

 

708

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Accrued interest

 

—

 

18

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Other accrued liabilities

 

—

 

12,690

 

9

 

—

 

—

 

—

 

—

 

—

 

78

 

—

 

—

 

—

 

6,977

 

(3

)

2,958

 

Accrued compensation

 

—

 

6,060

 

0

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

1,340

 

—

 

749

 

Deferred revenue

 

—

 

2,287

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

1,770

 

—

 

863

 

—

 

128

 

Income taxes payable

 

—

 

(1,565

)

—

 

—

 

—

 

—

 

—

 

—

 

(355

)

—

 

—

 

—

 

(196

)

—

 

—

 

Current operating lease liabilities

 

—

 

56

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

4,040

 

—

 

1,178

 

Current deferred tax liabilities

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Current maturities of long-term debt

 

—

 

30,000

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Intercompany

 

—

 

82,564

 

1,727

 

—

 

—

 

—

 

—

 

—

 

(1,640

)

—

 

(1,413

)

—

 

(130,871

)

387

 

50,515

 

Total current liabilities

 

$

—

 

$

152,226

 

$

1,737

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

(1,917

)

$

—

 

$

357

 

$

—

 

$

(116,482

)

$

384

 

$

56,928

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deferred tax liabilities, net

 

$

—

 

$

4,990

 

$

(374

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

265

 

$

—

 

$

—

 

$

—

 

$

(2,963

)

$

(251

)

$

—

 

Other liabilities

 

—

 

398

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

8,266

 

1

 

(104

)

Noncurrent tax liabilities

 

—

 

497

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Long term unearned income

 

—

 

0

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Long term operating lease liabilities

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

12,347

 

—

 

2,377

 

Post-retirement benefits and accrued pension obligations

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Liabilities subject to compromise

 

164,941

 

14,106

 

0

 

—

 

—

 

—

 

—

 

—

 

51

 

—

 

—

 

—

 

55,888

 

1

 

5,152

 

Minority interest in subsidiary

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stockholders’ equity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common stock

 

$

—

 

$

3

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

0

 

$

—

 

$

—

 

Additional paid-in capital

 

—

 

674,641

 

3,164

 

—

 

—

 

—

 

—

 

—

 

60

 

—

 

—

 

—

 

395,319

 

159

 

34,838

 

Retained earnings (accumulated deficit)

 

(164,941

)

(53,536

)

(4,369

)

—

 

—

 

—

 

—

 

—

 

1,754

 

—

 

281

 

—

 

(256,079

)

(248

)

(75,365

)

Accumulated other comprehensive income (loss)

 

—

 

1,464

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Treasury Stock

 

—

 

(65,221

)

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

—

 

Total stockholders’ equity

 

$

(164,941

)

$

557,351

 

$

(1,205

)

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

1,814

 

$

—

 

$

281

 

$

—

 

$

139,240

 

$

(89

)

$

(40,527

)

Total liabilities and stockholders’ equity

 

$

—

 

$

729,569

 

$

157

 

$

—

 

$

—

 

$

—

 

$

—

 

$

—

 

$

213

 

$

—

 

$

638

 

$

—

 

$

96,296

 

$

47

 

$

23,826

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The Balance Sheet reflects unaudited assets, liabilities, and stockholders equity as of July 31, 2019 that directly correspond to the listed debtor legal entity.  Liabilities subject to compromise are consistent with amounts presented in the Debtors’ Schedules of Assets and Liabilities filed on July 13, 2019

 

 

11

 

MOR-4

 

In re: FTD Companies, Inc., et al.

Case No. (Jointly Administered)

19-11240 (LSS)

 

Reporting Period:

July 1 - 31, 2019

 

 

 

 

Federal Tax I.D. #

32-0255852

 

Status of Post-petition Taxes

 

The above-captioned debtors and debtors-in-possession (the “Debtors”) hereby submit this attestation regarding Status of Post-petition Taxes in lieu of providing copies of post-petition tax payments and tax returns filed during reporting period.

 

I attest that each of the Debtors’ taxing authorities have been paid on time when post-petition amounts become due.  Also, tax returns are being filed in an orderly and timely fashion in accordance with tax return reporting deadlines.

 

/s/ Alan D. Holtz

 

August 27, 2019

Signature of Authorized Individual

 

Date

 

 

 

 

 

 

 

 

 

Alan D. Holtz

 

Chief Restructuring Officer

Printed Name of Authorized Individual

 

Title of Authorized Individual

 

12

 

MOR-4a

 

In re: FTD Companies, Inc., et al.

Case No. (Jointly Administered)

19-11240 (LSS)

 

Reporting Period:

July 1 - 31, 2019

 

 

 

 

Federal Tax I.D. #

32-0255852

 

Summary of Unpaid Post-petition Debts    /     Listing of Aged Accounts Payable

Amounts in (000’s)

 

Unpaid Post-petition Debts(1)

 

Current

 

0-30

 

31-60

 

Over 60

 

Total

 

 

 

 

 

 

 

 

 

 

 

 

 

Current Liabilities

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

$

22,173

 

$

0

 

$

0

 

$

0

 

$

22,173

 

Total Post-petition Debts

 

$

22,173

 

$

0

 

$

0

 

$

0

 

$

22,173

 

 

Combined Debtors Summary of Unpaid Post-petition Accounts Payable Aging(2)

 

 

 

Days Past Due

 

 

 

Current

 

1-30

 

31-60

 

61-90

 

>91

 

Total

 

Combined

 

$

22,173

 

$

0

 

$

0

 

$

0

 

$

0

 

$

22,173

 

 

 

100

%

0

%

0

%

0

%

0

%

100

%

 

Note:

(1) The Debtors received authority pursuant to certain first-day orders for the payment of prepetition taxes and certain other prepetition liabilities which are not included in these amounts.

(2) The post-petition accounts payable reported represent open and outstanding trade vendor invoices that have been entered into the Debtors’ accounts payable system and does not include accrued liabilities or prepetition amounts that the Debtors intend to pay in accordance with various orders of the Bankruptcy Court.

 

13

 

MOR-5

 

In re: FTD Companies, Inc., et al.

Case No. (Jointly Administered)

19-11240 (LSS)

 

Reporting Period:

July 1 - 31, 2019

 

 

 

 

Federal Tax I.D. #

32-0255852

 

Accounts Receivable Reconciliation and Aging

Amounts in (000’s)

 

ACCOUNTS RECEIVABLE RECONCILIATION AND AGING

 

Accounts Receivable Reconciliation

 

Amount

 

Total Accounts Receivable at the beginning of the reporting period

 

$

17,726

 

+ Amounts billed during the period

 

30,866

 

- Amounts collected during the period

 

31,477

 

Total Accounts Receivable at the end of the reporting period

 

$

17,116

 

 

Accounts Receivable Aging

 

Amount

 

Current

 

$

14,828

 

0 - 30 days old

 

237

 

31 - 60 days old

 

152

 

61 - 90 days old

 

70

 

91+ days old

 

1,828

 

Total Accounts Receivable(1)

 

$

17,116

 

 

(1) Aging is adjusted to reclassify financing receivables related to equipment sales to floral network members as current rather than at net principal outstanding as of the date of sale.

 

14

 

MOR-6

 

In re: FTD Companies, Inc., et al.

Case No. (Jointly Administered)

19-11240 (LSS)

 

Reporting Period:

July 1 - 31, 2019

 

 

 

 

Federal Tax I.D. #

32-0255852

 

Debtor Questionnaire

 

 

 

Must be completed each month.

 

Yes

 

No

1

 

Have any assets been sold or transferred outside the normal course of business this reporting period? If yes, provide an explanation below.

 

X
See Note 1 Below

 

 

2

 

Have any funds been disbursed from any account other than a debtor in possession account this reporting period? If yes, provide an explanation below.

 

 

 

X

3

 

Have all postpetition tax returns been timely filed? If no, provide an explanation below.

 

X

 

 

4

 

Are workers compensation, general liability and other necessary insurance coverages in effect? If no, provide an explanation below.

 

X

 

 

5

 

Has any bank account been opened during the reporting period? If yes, provide documentation identifying the opened account(s). If an investment account has been opened provide the required documentation pursuant to the Delaware Local Rule 4001-3.

 

 

 

X

 

Note 1:  On August 2, 2019, the Debtors closed the sale of assets of their Personal Creations businesses to PlanetArt, LLC. On August 14, 2019, the Debtors closed the sale of certain assets of their Provide Commerce businesses to SBGF Acquisition, LLC, an affiliate of 1-800 Flowers.Com, Inc.  On August 23, 2019, the Debtors closed the sale of assets of their FTD Legacy and ProFlowers businesses to Gateway Mercury Holdings, LLC.

 

Throughout the period, the Debtors have engaged with various parties to complete sales of de minimis assets not subject to the transactions noted above.  These sales relate to miscellaneous inventory, equipment, and other assets and all such transactions have complied with the requirements of and authority granted under the Order Establishing Procedures for the Sale, Transfer or Abandonment of Miscellaneous and De Minimis Assets and Granting Certain Related Relief [Docket No. 294].

 

15