Colt Defense LLC - FORM 8-K - EX-99.1

Attached files

file	filename
8-K - 8-K - Colt Defense LLC	a16-1311_18k.htm

Exhibit 99.1

Docket #0864 Date Filed: 1/4/2016

UNITED STATES BANKRUPTCY COURT
DISTRICT OF DELAWARE

In re Colt Holding Company LLC	Case No. 15-11296
	Reporting Period: 11/02/15-11/29/15

MONTHLY OPERATING REPORT

Submit copy of report to any official committee appointed in the case.

REQUIRED DOCUMENTS	Form No.	Document Attached	Explanation Attached	Affidavit/Supplement Attached
Schedule of Cash Receipts and Disbursements	MOR-1	Yes
Bank Reconciliation	MOR-1a	Yes
Schedule of Professional Fees Paid	MOR-1b	Yes
Copies of bank statements			Note 1
Cash disbursements journals			Note 1
Statement of Operations	MOR-2	Yes
Balance Sheet	MOR-3	Yes
Status of Post-petition Taxes	MOR-4	Yes
Copies of IRS Form 6123 or payment receipt			Note 1
Copies of tax returns filed during reporting period			Note 1
Summary of Unpaid Post-petition Debts	MOR-4	Yes
Listing of aged accounts payable	MOR-4		Note 1
Accounts Receivable Reconciliation and Aging	MOR-5	Yes
Debtor Questionnaire	MOR-5	Yes

(1) Due to system constraints and/or the volume of records, these items have not been submitted

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/ Scott Flaherty		1/4/2016
Signature of Authorized Individual*		Date

Scott Flaherty		CFO
Printed Name of Authorized Individual		Title of Authorized Individual

*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.

Colt Holding Company LLC	Case No.: 15-11296
MOR-1: Schedule of Receipts & Disbursements (Unaudited) - Colt Defense - US	Reporting Period: 11/2/15-11/29/15
November '15 (November 2 - November 29)


	BANK ACCOUNTS - Colt Defense - US																																								CURRENT MONTH
	Wells Fargo Operating -2949		Wells Fargo Payroll - 3093			Wells Fargo Depository- 8611			Wells Fargo Accounts Payable- 0355			Wells Fargo Utility Deposit- 5957		Wells Fargo Operating - 3119		Wells Fargo CD Operating - 3127		Wells Fargo NCHC Operating-3150		Wells Fargo Operating - 4004			Wells Fargo- 3143		Bank of America-9395		Bank of America-4636			Bank of America-7604		Bank of America-5012		Interaudi Bank- 3410			JPMorgan- 1103		BMO Harris Bank-6366		ACTUAL

CASH BEGINNING OF MONTH	4,003,151		—			—			—			30,099		112,653		23,500		23,000		11,895			—				6,349			—		—		484,835			849,603		285,493		5,830,578

RECEIPTS
Cash Sales																																									—
Accounts Receivable	—		—			13,463,280			—			—		—		—		—		—			—		—		12,577			—		—		—			—		—		13,475,857
Loans and Advances																																									—
Sale of Assets																																									—
Other (attach list)																																									—
Transfers (from dip accts)																																									2,500,000
Intercompany Transfers						2,500,000																																			—

TOTAL RECEIPTS	$	—	$	—		$	15,963,280		$	—		$	—	$	—	$	—	$	—	$	—		$	—	$	—	$	12,577		$	—	$	—	$	—		$	—	$	—	15,975,857

Disbursements
Net Payroll			2,018,005											39,491																											2,057,496
Payroll Taxes			942,723											19,047																											961,770
401K	261,319													5,120																											266,439
Expense Reports	101,855																																								101,855
Insurance Claims	1,126,890													506																											1,127,396
Government Agencies	1,648,676																																								1,648,676
Bank Fees	20,295																			53							956														21,304
Inventory	5,101,353																																								5,101,353
Freight	302,922																																								302,922
Maintenance	135,633																																								135,633
Supplies MRO	639,392																																								639,392
Outside Services	44,493																																								44,493
Utilities	143,134																																								143,134
Information Technology	5,242																																								5,242
International Comm	85,789																																								85,789
Domestic Comm	89,333																																								89,333
Administration	152,777																																								152,777
Insurance premiums	304,360													1,028																											305,388
Legal																																									—
Marketing	54,541																																								54,541
Consulting	108,902																																								108,902
Rent	71,528																																								71,528
Misc	21,170																																								21,170
Property Tax																																									—
Restructuring, Legal & Advisors																																									—
Intercompany Transfer (Colt Canada)																																									—
Interest	1,142,168																																								1,142,168
TOTAL DISBURSEMENTS	$	11,566,661	$	3,013,174		$	—		$	994,076		$	—	$	64,797	$	—	$	—	$	53		$	—	$	—	$	956		$	—	$	—	$	162		$	—	$	—	$	15,639,879
Bank Account Transfers	$	12,938,467	$	2,960,728		$	(15,963,280	)	$	—				$	67,934					$	—		$	—			$	(3,849	)	$	—	$	—	$	—		$	—			$	—
NET CASH FLOW	$	1,371,806	$	(52,446	)	$	—		$	(994,076	)	$	—	$	3,137	$	—	$	—	$	(53	)	$	—	$	—	$	7,772		$	—	$	—	$	(162	)	$	—	$	—	$	335,978
Cash - End of Month	$	5,374,957	$	(52,446	)	$	—		$	(994,076	)	$	30,099	$	115,790	$	23,500	$	23,000	$	11,842		$	—	$	—	$	14,121		$	—	$	—	$	484,673		$	849,603	$	285,493	$	6,166,556

Colt Holding Company LLC	Case No.: 15-11296
MOR-1: Schedule of Receipts & Disbursements (Unaudited) - Colt Defense - Canada	Reporting Period: 12/02/15-11/29/15
Nov '15 (Nov 2 - Nov 29)

	BANK ACCOUNTS - CANADA (in USD)																															CURRENT MONTH
				BoA #3211 -		BoA #3104 -		BoA #3112 -			BoA #3419 -		BoA #3401 -
	BoA #3203 - A/R			A/P		A/R		A/P			A/R		A/P			WF #7549 - A/R			WF #7531 - A/P			WF #8241 - A/R		WF #8258 - A/P			WF #7564 - A/R		WF #7556 - A/P			ACTUAL

CASH BEGINNING OF MONTH (1)	11,170			35		—		2,286			59		5,049			0			628,398			—		216,329			—		311,500			1,174,825

RECEIPTS
Cash Sales																																—
Accounts Receivable	15,890			—		—		—			—		—			1,523,541						—		—					—			1,539,431
Loans and Advances																																—
Sale of Assets																																—
Other (attach list)	—			—		—		(0		)	386		(0		)	6,990			—			—		(3		)	—		7			7,379
Transfers (from dip accts)																																—
Intercompany Transfers																								(658,579		)						(658,579		)
TOTAL RECEIPTS	$	15,890		$	—	$	—	$	(0	)	$	386	$	(0	)	$	1,530,531		$	—		$	—	$	(658,581	)	$	—	$	7		888,232

Disbursements
Net Payroll	—			—		—		—			—		—			—			383,975													383,975
Taxes	—			—		—		—			—		—			—			23,202													23,202
401K																			26,103													26,103
Expense Reports																																—
Insurance Claims																																—
Government Agencies																																—
Bank Fees	—			296		—		140			—		96			—			2,535					1,069								4,136
Inventory	—			—		—		—			—		—			—			291,947					363,149								655,096
Freight	—			—		—		—			—		—			—			83,619					158								83,777
Maintenance	—			—		—		—			—		—			—			13,213													13,213
Supplies MRO																																—
Outside Services																																—
Utilities																			18,634													18,634
Information Technology																																—
International Comm																																—
Domestic Comm																																—
Administration	—			—		—		—			—		—			—			66,556					6,005								72,561
Insurance premiums																																—
Legal	—			—		—		—			—		—			—																—
Marketing																			3,735					8,747								12,481
Consulting/Professional																																—
Rent																			3,234													3,234
MISC	—			—		—		—			—		—			—			26,823					11,200					198			38,221
Restructuring, Legal & Advisors																																—
Interest																																—
TOTAL DISBURSEMENTS	$	—		$	296	$	—	$	140		$	—	$	96		$	—		$	943,576		$	—	$	390,327		$	—	$	198		$	1,334,633

Bank Account Transfers	$	(3,743	)	$	3,743											$	(1,530,531	)	$	744,603				$	886,630				$	(105,943	)	$	(5,241	)

NET CASH FLOW	$	12,147		$	3,446	$	—	$	(140	)	$	386	$	(96	)	$	—		$	(198,973	)	$	—	$	(162,277	)	$	—	$	(106,135	)	$	(451,642	)

Cash - End of Month	$	23,317		$	3,481	$	—	$	2,146		$	444	$	4,953		$	0		$	429,425		$	—	$	54,052		$	—	$	205,365		$	723,183

(1) Begnning balances are based on foreign exchange rates as of the end of the month

Colt Holding Company LLC		Case No.: 15-11296
MOR-1: Schedule of Receipts & Disbursements - Summary		Reporting Period: 11/2/15-11/29/15
November '15 (November 2 - November 29)

Debtor Name	Case No.	Disbursements
Colt Defense LLC	15-11287	—
Colt Defense Technical Services LLC	15-11288	—
Colt Finance Corp.	15-11289	—
New Colt Holding Corp.	15-11290	—
Colt International Cooperatief U.A.	15-11291	53
Colt’s Manufacturing Company LLC	15-11292	15,575,029
Colt Security LLC	15-11293	64,797
Colt Canada Corporation	15-11294	1,334,633
CDH II Holding Inc.	15-11295	—
Colt Holding Company LLC	15-11296	—
TOTAL		$	16,974,511

Colt Holding Company LLC		Case No.: 15-11296
MOR-1a Bank Reconciliations		Reporting Period: 11/2/15-11/29/15
November '15 (November 2 - November 29)

Bank Reconciliations

	BANK ACCOUNTS - Colt Defense (excl Canada)
	Wells Fargo Operating - 2949		Wells Fargo Payroll - 3093 (1)		Wells Fargo Depository- 8811 (1)	Wells Fargo Accounts Payable- 0355 (1)		Wells Fargo Utility Deposit - 5957	Wells Fargo Operating -3119	Wells Fargo CD Operating -3127	Wells Fargo NCHC Operating-3150	Wells Fargo Operating -4004	Wells Fargo- 3143	Bank of America-9395	Bank of America-4636	Bank of America-7604	Bank of America-5012	Interaudi Bank- 3410	JPMorgan-1103	BMO Harris Bank-6366
Account #	1		2		3	4		5	6	7	8	9	10	11	12	13	14	15	16	17
Balance per Books	5,374,957		(77,943	)	—	(994,076	)	30,099	115,791	23,500	23,000	12,358	—	—	14,121	—	—	484,673	849,603	285,493

Bank Balance	6,379,846		—		—	—		30,099	115,396	23,500	23,000	12,358	—	—	14,121	—	—	484,673	849,603	285,493
+ Deposits in Transit	—		—		—	—		—	—	—	—	—	—	—	—	—	—	—	—	—
- Outstanding Checks	—		(52,446	)	—	(994,076	)	—	—	—	—	—	—	—	—	—	—	—	—	—
Other (2)	(4,889	)	—		—	—		—	395	—	—	—	—	—	—	—	—	—	—	—
Adjusted Bank Balance (Book Balance)	5,374,957		(52,446	)	—	(994,076	)	30,099	115,791	23,500	23,000	12,358	—	—	14,121	—	—	484,673	849,603	285,493

(1) ZBA accounts. Once the checks are cashed the funds will be transferred from the WF Operating Account (Acct #1)

(2) Consists of credit card adjustments and other reconciling items

	BANK ACCOUNTS - Canada (In USD)
	BoA #3203 - A/R	BoA #3211 - A/P	BoA #3104 - A/R	BoA #3112 - A/P		BoA #3419 - A/R	BoA #3401 - A/P	WF #7549 - A/R	WF #7531 - A/P		WF #8241 - A/R	WF #8258 - A/P		WF #7564 - A/R	WF #7556 - A/P
Account #	1	2	3	4		5	6	7	8		9	10		11	12
Balance per Books	23,317	3,481	—	2,146		444	4,953	0	429,425		—	54,052		—	205,365

Bank Balance	23,317	3,481		2,146		444	4,953		641,747			147,081			205,365
+ Deposits in Transit	—	—	—	—		—	—	—	—		—	—		—	—
- Outstanding Checks	—	—	—	—		—	—	—	(212,322	)	—	(93,029	)	—	—
Other	—	—	—	—		—	—	—	—		—	—		—
Adjusted Bank Balance (Book Balance)	23,317	3,481	—	2,146	—	444	4,953	—	429,425		—	54,052		—	205,365

I attest that each of the Debtors’ corporate bank accounts is reconciled to monthly bank statements. The Company’s standard practice is to ensure that each corporate bank account is reconciled to monthly bank statements for each fiscal month.

/s/ Scott Flaherty		Scott Flaherty
Authorized Representative		Printed Name of Authorized Representative

Colt Holding Company LLC

MOR-1b Schedule of Professional Fees Paid

November '15 (November 2 - November 29)

Case No.: 15-11296

Reporting Period: 11/2/15-11/29/15

Current Month Amt Paid

Inception -To-Date Amt Paid

PAYEE

Period Covered

Amount Approved

Payor

Fees

Expenses

Fees

Expenses

Mackinac Partners, LLC

June 15, 2015 - Nov 29, 2015

494,593

Colts Manufacturing LLC

403,132

91,426

Kurtzman, Carson Consultants

June 15, 2015 - Nov 29, 2015

106,450

Colts Manufacturing LLC

60,891

45,559

Colt Holding Company LLC	Case No.: 15-11296
MOR-2 Statement of Operations	Reporting Period: 11/2/15-11/29/15
November '15 (November 2 - November 29)
$ in Thousands

	15-11287			15-11292			15-11290			15-11294			15-11291			15-11288			N/A			N/A			15-11295		15-11293			15-11296		N/A			N/A
				U.S. Operations						Canadian Operations						1% Owner Dutch									Part of 4/9/15		Colt Security Guard			Part of 4/9/15		Eliminates Colt			Consolidated
	Holding Company			Company			Holding Company			Company			Dutch Coop			Coop			Elim Entity			SEC Reporting Entity			Reorganizaton		Related Activity			Reorganizaton		Security LLC Activity			Debtors
																Colt Defense
Debtor Identification Number				Colt’s Manufacturing			New Colt Holding			Colt Canada			Colt International			Technical Services						Colt Defense LLC								Colt Holding					Colt Holding
Brief Description of Each Entity	Colt Defense LLC			Company LLC			Corp.			Corporation			Cooperatief U.A.			LLC			Elimination Entity #1			Total			CDH II Holdco Inc.		Colt Security LLC			Company LLC		Elimination Entity #2			Company LLC Total
Current Month

Net Sales	$	—		$	20,370		$	—		$	3,533		$	—		$	—		$	(117	)	$	23,786		$	—	$	86		$	—	$	(86	)	$	23,786
Cost of sales	—			17,152			—			2,335			—			—			(76		)	19,411			—		85			—		(86		)	19,410
Gross profit $	—			3,218			—			1,198			—			—			(41		)	4,375			—		1			—		—			4,376
Gross Margin %	0.0		%	15.8		%	0.0		%	33.9		%	0.0		%	0.0		%	35.0		%	18.4		%			1.2		%			0.0		%	18.4		%

Sales and Marketing	—			211			—			33			—			—			—			244			—		—			—		—			244
Commissions	—			491			—			6			—			—			—			497			—		—			—		—			497
General and Administrative	7			1,207			—			123			—			—			—			1,337			—		—			—		—			1,337
Research and development	—			185			—			81			—			—			—			266			—		—			—		—			266
Total SG&A	7			2,094			—			243			—			—			—			2,344			—		—			—		—			2,344
Operating income	(7		)	1,124			—			955			—			—			(41		)	2,031			—		1			—		—			2,032
Interest expense	(634		)	—			(1,162		)	—			—			—			—			(1,796		)	—		—			—		—			(1,796		)
Foreign Currency Gain/(Loss)	—			86			—			(71		)	—			—			—			15			—		—			—		—			15
Intercompany Interest	—			(13		)	—			13			—			—			—			—			—		—			—		—			—
Royalty Expense	—			—			—			(32		)	—			—			32			—			—		—			—		—			—
Other income (expense)	—			(18		)	330			(1		)	—			—			(330		)	(19		)	—		—			—		—			(19		)
Income before taxes - Cont. Ops	(641		)	1,179			(832		)	864			—			—			(339		)	231			—		1			—		—			232
Reorganization Items
Professional Fees	—			2,940			—			22			—			—			—			2,962			—		—			—		—			2,962
US Trustee Quarterly Fees	—			—			—			—			—			—			—			—			—		—			—		—			—
Other reorganization Expenses	—			—			—			—			—			—			—			—			—		—			—		—			—
Total Reorganization Expenses	—			2,940			—			22			—			—			—			2,962			—		—			—		—			2,962
Income tax expense (benefit)	—			8			—			222			—			—			—			230			—		—			—		—			230
Net Income (Loss)	(641		)	(1,769		)	(832		)	620			—			—			(339		)	(2,961		)	—		1			—		—			(2,960		)
Taxes	—			8			—			222			—			—			—			230			—		—			—		—			230
Depreciation	—			479			—			36			—			—			—			515			—		—			—		—			515
Amortization	—			200			—			25			—			—			—			225			—		—			—		—			225
Interest Expense	634			—			1,162			—			—			—			—			1,796			—		—			—		—			1,796
Severance Costs	—			—			—			—			—			—			—			—			—		—			—		—			—
Restructuring Legal Entity (i)	—			—			—			—			—			—			—			—			—		—			—		—			—
Restructuring Bankruptcy (ii)	—			2,940			—			22			—			—			—			2,962			—		—			—		—			2,962
Florida Lease Termination (iii)	—			—			—			—			—			—			—			—			—		—			—		—			—
Sciens Management Fees and Expenses	—			83			—			—			—			—			—			83			—		—			—		—			83
D&O incremental expense (iv)	—			194			—			—			—			—			—			194			—		—			—		—			194
Other income (expense)	—			(55		)	(330		)	91			—			—			298			4			—		—			—		—			4
Adjusted EBITDA	$	(7	)	$	2,080		$	—		$	1,016		$	—		$	—		$	(41	)	$	3,048		$	—	$	1		$	—	$	—		$	3,049

				15-11292						15-11294						15-11288								15-11295		15-11293		15-11296		N/A			N/A
Debtor Identification Number Brief Description of Each Entity	15-11287 Holding Company			U.S. Operations Company			15-11290 Holding Company			Canadian Operations Company			15-11291 Dutch Coop			1% Owner Dutch Coop		N/A Elim Entity			N/A SEC Reporting Entity			Part of 4/9/15 Reorganizaton		Colt Security Guard Related Activity		Part of 4/9/15 Reorganizaton		Eliminates Colt Security LLC Activity			Consolidated Debtors
Post Petition YTD (includes full month of June)	Colt Defense LLC			Colt's Manufacturing Company LLC			New Colt Holding Corp.			Colt Canada Corporation			Colt International Cooperatief U.A.			Colt Defense Technical Services LLC		Elimination Entity #1			Colt Defense LLC Total			CDH II Holdco Inc.		Colt Security LLC		Colt Holding Company LLC		Elimination Entity #2			Colt Holding Company LLC Total
Net Sales	$	—		$	90,510		$	—		$	10,879		$	—		$	—	$	(943	)	$	100,446		$	—	$	441	$	—	$	(410	)	$	100,477
Cost of sales	—			82,286			—			7,519			—			—		(832		)	88,973			—		434		—		(410		)	88,997
Gross profit $	—			8,224			—			3,360			—			—		(111		)	11,473			—		7		—		—			11,480
Gross Margin %																					11.4		%							0.0		%	11.4		%
Sales and Marketing	—			2,997			—			551			—			—		—			3,548			—		—		—		—			3,548
Commissions	—			1,320			—			116			—			—		—			1,436			—		—		—		—			1,436
General and Administrative	41			8,187			1			1,083			86			—		(1		)	9,397			—		—		—		—			9,397
Research and development	—			1,179			—			455			—			—		—			1,634			—		—		—		—			1,634
Total SG&A	41			13,683			1			2,205			86			—		(1		)	16,015			—		—		—		—			16,015
Operating income	(41		)	(5,459		)	(1		)	1,155			(86		)	—		(110		)	(4,542		)	—		7		—		—			(4,535		)
Interest expense	(5,943		)	—			(9,075		)	—			—			—		—			(15,018		)	—		—		—		—			(15,018		)
Foreign Currency Gain/(Loss)	—			269			—			(68		)	—			—		—			201			—		—		—		—			201
Intercompany Interest	(158		)	(158		)	218			100			—			—		(2		)	—			—		—		—		—			—
Royalty Expense	—			—			—			(102		)	—			—		103			1			—		—		—		—			1
Other income (expense)	1			36			1,982			(1		)	—			—		(1,983		)	35			—		—		—		—			35
Income before taxes - Cont. Ops	(6,141		)	(5,312		)	(6,876		)	1,084			(86		)	—		(1,992		)	(19,323		)	—		7		—		—			(19,316		)
Reorganization Items	—			18,282			—			213			—			—		—			18,495			—		—		—		—			18,495
Professional Fees
US Trustee Quarterly Fees	—			—			—			—			—			—		—			—			—		—		—		—			—
Other reorganization Expenses	—			—			—			—			—			—		—			—			—		—		—		—			—
Total Reorganization Expenses	—			18,282			—			213			—			—		—			18,495			—		—		—		—			18,495
Income tax expense (benefit)	—			26			1			372			0			—		—			399			—		—		—		—			399
Net Income (Loss)	(6,141		)	(23,620		)	(6,877		)	499			(86		)	—		(1,992		)	(38,217		)	—		7		—		—			(38,210		)
Taxes	—			26			1			372			0			—		—			399			—		—		—		—			399
Depreciation	—			3,012			—			218			—			—		—			3,230			—		—		—		—			3,230
Amortization	—			1,200			—			157			—			—		—			1,357			—		—		—		—			1,357
Interest Expense	5,943			—			9,075			—			—			—		—			15,018			—		—		—		—			15,018
Severance Costs	—			38			—			8			—			—		—			47			—		—		—		—			47
Restructuring Legal Entity (i)	—			3,054			—			85			—			—		—			3,139			—		—		—		—			3,139
Restructuring Bankruptcy (ii)	—			16,787			—			213			—			—		—			17,000			—		—		—		—			17,000
Florida Lease Termination (iii)	—			—			—			—			—			—		—			—			—		—		—		—			—
Sciens Management Fees and Expenses	—			500			—			—			—			—		—			500			—		—		—		—			500
D&O incremental expense (iv)	—			1,166			—			—			—			—		—			1,166			—		—		—		—			1,166
Other income (expense)	157			(147		)	(2,200		)	71			—			—		1,882			(237		)	—		—		—		—			(237		)
Adjusted EBITDA	$	(41	)	$	2,016		$	(1	)	$	1,623		$	(86	)	$	—	$	(110	)	$	3,401		$	—	$	7	$	—	$	—		$	3,408

Colt Holding Company LLC	Case No.: 15-11296
MOR-3 Balance Sheet	Reporting Period: 11/2/15-11/29/15
November '15 (November 2 - November 29)
$ in Thousands

										15-11294																15-11293				N/A
				15-11292						Canadian						15-11288					N/A			15-11295		Colt Security		15-11296		Eliminates Colt			N/A
	15-11287			U.S. Operations			15-11290			Operations			15-11291			1% Owner Dutch		N/A			SEC Reporting			Part of 4/9/15		Guard Related		Part of 4/9/15		Security LLC			Consolidated
	Holding Company			Company			Holding Company			Company			Dutch Coop			Coop		Elim Entity			Entity			Reorganizaton		Activity		Reorganizaton		Activity			Debtors
				Colt’s									Colt			Colt Defense																	Colt Holding
Debtor Identification Number				Manufacturing			New Colt Holding			Colt Canada			International			Technical Services		Elimination			Colt Defense LLC			CDH II Holdco				Colt Holding		Elimination			Company LLC
Brief Description of Each Entity	Colt Defense LLC			Company LLC			Corp.			Corporation			Cooperatief U.A.			LLC		Entity #1			Total			Inc.		Colt Security LLC		Company LLC		Entity #2			Total
ASSETS
Current Assets:
Cash and Cash Equivalents	$	24		$	4,397		$	23		$	724		$	12		$	—	$	—		5180			$	—	$	116	$	—	$	—		$	5,296
Restricted Cash	—			1,048			—			—			—			—		—			1,048			—		—		—		—			1,048
Accounts receivable	—			21,868			—			5,865			—			—		—			27,733			—		—		—		—			27,733
Inventories, net	—			50,460			—			5,741			—			—		(103		)	56,098			—		—		—		—			56,098
Other current assets	63			3,820			(1		)	846			6			—		—			4,734			—		—		—		—			4,734
Preferred Dividend Receivable	—			—			917			—			—			—		(917		)	—			—		—		—		—			—
Current Deferred Tax Asset	—			—			—			144			—			—		—			144			—		—		—		—			144
Total current assets	87			81,593			939			13,320			18			—		(1,020		)	94,937			—		116		—		—			95,053

Property & Equipment - Cost
PP&E - Cost	—			55,255			—			7,072			—			—		—			62,327			—		—		—		—			62,327
PP&E - A/D	—			(39,079		)	—			(3,597		)	—			—		—			(42,676		)	—		—		—		—			(42,676		)
Net property and equipment	—			16,176			—			3,475			—			—		—			19,651			—		—		—		—			19,651

Other Assets
Intercompany (Pay) Rec
Colt Defense	—			(19,525		)	11,214			—			—			—		8,311			—			—		—		—		—			—
Colt Canada	—			1,110			—			—			—			—		(1,110		)	—			—		—		—		—			—
Colt International	—			138			—			—			—			—		(138		)	—			—		—		—		—			—
CMC	5,449			78			(1,311		)	4,540			—			—		(8,756		)	—			—		19		—		(19		)	—
NCHC	—			—			—			—			—			—		—			—			—		—		—		—			—
Tech Services	—			(79		)	—			—			—			79		—			—			—		—		—		—			—
Investment in CMC/NCHC	268,082			—			91,105			—			—			—		(359,187		)	—			—		—		—		—			—
Investment in Canada	—			—			—			—			49,000			—		(49,000		)	—			—		—		—		—			—
Goodwill	—			247,679			—			8,022			—			—		(247,679		)	8,022			—		—		—		—			8,022
Intangible assets, finite-lived	—			4,584			—			2,395			—			—		—			6,979			—		—		—		—			6,979
Trademarks	—			38,350			—			—			—			—		—			38,350			—		—		—		—			38,350
Deferred financing costs	464			—			1,147			—			—			—		—			1,611			—		—		—		—			1,611
Other assets	—			2,950			—			—			—			—		—			2,950			—		—		—		—			2,950
Archive inventory	—			336			—			—			—			—		—			336			—		—		—		—			336
Long-term restricted cash	—			572			—			—			—			—		—			572			—		—		—		—			572
Total Other Assets	273,995			276,193			102,155			14,957			49,000			79		(657,559		)	58,820			—		19		—		(19		)	58,820

TOTAL ASSETS	$	274,082		$	373,962		$	103,094		$	31,752		$	49,018		$	79	$	(658,579	)	$	173,408		$	—	$	135	$	—	$	(19	)	$	173,524

LIABILITIES and EQUITY
Current liabilities:
Capital Lease Obligation Current	$	—		$	—		$	—		$	—		$	—		$	—	$	—		$	—		$	—	$	—	$	—	$	—		$	—
Intercompany Payable:																																	—
Colt Defense	—			3,814			—			—			138			—		(3,952		)	—			—		—		—		—			—
Colt Canada	—			4,540			—			—			—			—		(4,540		)	—			—		—		—		—			—
CMC	(19,525		)	—			—			1,187			—			—		18,338			—			—		—		—		—			—
NCHC	11,214			66,373			—			—			—			—		(77,587		)	—			—		—		—		—			—
Revolver Advance	—			—			—			—			—			—		—			—			—		—		—		—			—
Current Debt	41,418			—			84,560			—			—			—		—			125,978			—		—		—		—			125,978
Accounts Payable	—			22,406			—			2,067			34			—		—			24,507			—		—		—		(19		)	24,488
Accrued Interest	494			—			922			—			—			—		—			1,416			—		—		—		—			1,416
Accrued Commissions	—			1,784			—			127			—			—		—			1,911			—		—		—		—			1,911
Accrued Compensation & Benefits	—			3,777			—			401			—			—		—			4,178			—		21		—		—			4,199
Accrued Taxes	—			1,552			—			412			—			—		—			1,964			—		5		—		—			1,969
Accrued warranty/M240 contract liab	—			349			—			56			—			—		—			405			—		—		—		—			405
Accrued expenses	(1		)	18,148			1			992			—			—		(1		)	19,139			—		25		—					19,164
Distributions payable to members	—			—			—			—			—			—		—			—			—		—		—		—			—
Current Portion Deferred Inc	—			3,842			—			—			—			—		—			3,842			—		—		—		—			3,842
Current Portion of Empl Benefit Costs	—			1,482			—			—			—			—		—			1,482			—		—		—		—			1,482
Customer Advances	—			3,779			—			6,172			—			—		—			9,951			—		—		—		—			9,951
Preferred Dividend Payable	—			917			—			—			—			—		(917		)	—			—		—		—		—			—
Total current liabilities	33,600			132,763			85,483			11,414			172			—		(68,659		)	194,773			—		51		—		(19		)	194,805

Long - Term Liabilities
Accumulated Post-Retirement Health	—			25,340			—			—			—			—		—			25,340			—		—		—		—			25,340
Pension Liabilities, less current portion	—			10,135			—			—			—			—		—			10,135			—		—		—		—			10,135
Other Long-term Liabilities	—			5,753			1,107			—			—			—		—			6,860			—		—		—		—			6,860
Deferred Taxes Payable	—			—			12,363			1,136			1,273			—		—			14,772			—		—		—		—			14,772
Deferred Income	—			534			—			—			—			—		—			534			—		—		—		—			534
Total Long-Term Liabilities	—			41,762			13,470			1,136			1,273			—		—			57,641			—		—		—		—			57,641

Liabilities Subject to Compromise
Senior Note Accrued Interest *	12,623			—			—			—			—			—		—			12,623			—		—		—		—			12,623
Senior Notes, net of discount	245,497			—			—			—			—			—		—			245,497			—		—		—		—			245,497
Total Pre-Petition Liabilities	258,120			—			—			—			—			—		—			258,120			—		—		—		—			258,120

Total Liabilities	291,720			174,525			98,953			12,550			1,445			—		(68,659		)	510,534			—		51		—		(19		)	510,566
																																	—
SHAREHOLDERS’ EQUITY																																	—
Common Units Repurchased	(64,538		)	—			—			—			—			—		—			(64,538		)	—		—		—		—			(64,538		)
Tax Distributions to LLC Members	(69,759		)	—			—			—			—			—		—			(69,759		)	—		—		—		—			(69,759		)
Investment by Parent	—			—			13,924			—			49,000			—		(62,924		)	—			—		—		—		—			—
Members’ Equity	127,444			189,095			4,393			33,253			(1,767		)	—		(459,358		)	(106,940		)	—		71		—		—			(106,869		)
Preferred Stock	—			66,048			—			—			—			—		(66,048		)	—			—		—		—		—			—
Accumulated OCI - Pension & PRHP	—			(19,329		)	—			—			—			—		—			(19,329		)	—		—		—		—			(19,329		)
Accumulated OCI - Other	—			—			—			(5,950		)	221			—		—			(5,729		)	—		—		—		—			(5,729		)
Currency Translation	—			—			—			—			(208		)	—		2,039			1,831			—		—		—		—			1,831
Net Income	(18,709		)	(41,809		)	(8,744		)	363			(134		)	—		(3,629		)	(72,662		)	—		13		—		—			(72,649		)
Dividends Paid	—			—			—			(8,464		)	(8,003		)	—		—			(16,467		)	—		—		—		—			(16,467		)
Dividends Received	7,924			5,432			(5,432		)	—			8,464			79		—			16,467			—		—		—		—			16,467

Total Member’s deficit	(17,638		)	199,437			4,141			19,202			47,573			79		(589,920		)	(337,126		)	—		84		—		—			(337,042		)

TOTAL LIABILITIES & MEMBER’S DEFICIT	$	274,082		$	373,962		$	103,094		$	31,752		$	49,018		$	79	$	(658,579	)	$	173,408		$	—	$	135	$	—	$	(19	)	$	173,524

Colt Holding Company LLC	Case No.: 15-11296
MOR-4 Status of Postpetition Taxes	Reporting Period: 11/2/15-11/29/15
November '15 (November 2 - November 29)
Consolidated

STATUS OF POSTPETITION TAXES

	Beginning Tax Liability		Amount withheld or acccrued	Amount paid	Date paid	Check No. or EFT	Ending Tax Liability
Federal
Withholding	127,125		396,202	394,915	Various	Various	128,413
FICA-Employee	58,087		214,699	219,445	Various	Various	53,341
FICA-Employer	75,969		213,258	218,196	Various	Various	71,031
Unemployment	1,449		110,911	5,339	Various	Various	107,021
Income	20,437		83,755	83,042	Various	Various	21,150
Other	2,306,535		597,682	1,660,884	Various	Various	1,243,334
Total Federal Taxes	2,589,603		1,616,507	2,581,820			1,624,290

State and Local
Withholding	35,530		129,872	133,197	Various	Various	32,205
Sales	25,779		158,527	671	Various	Various	183,635
Excise	2,695		599	—	Various	Various	3,293
Unemployment	2,489		7,634	7,682	Various	Various	2,442
Real Property	(9,476	)	5,882	—	Various	Various	(3,594	)
Personal Property	110,207		29,459	—	Various	Various	139,666
Other (EHT)	1,732		7,240	7,164	Various	Various	1,808
Total State and Local	168,956		339,213	148,714			359,455
Total Taxes	2,758,559		1,955,719	2,730,534			1,983,745

I attest that to the best of my knowledge, the Debtors have filed all necessary federal, state, and local tax returns and made all required post petition tax payments in connection therewith on a timely basis or have promptly remediated any late filings or payments that may have occurred due to unintentional oversights


/s/ Scott Flaherty		Scott Flaherty
Authorized Representative		Printed Name of Authorized Representative

SUMMARY OF UNPAID POSTPETITION DEBTS

Number of Days Past Due

	Current	0-30	31-60	61-90	Over 90	Total
Administration	106,094	127,581	80,380	40,490	191,667	546,211
Employee	2,035	—	—	—	—	2,035
Government Agencies	—	—	—	—	—	—
Inventory	4,975,426	6,237,060	1,074,232	16,627	1,471	12,304,816
Insurance Payable	81,943	—	—	—	—	81,943
Information Tech -Computers	41,114	39,172	—	—	—	80,287
Freight	20,379	7,298	530	—	—	28,206
Lease Payable	20,860	36,791	14,819	14,890	8,335	95,694
Marketing / Advertising	57,362	134,326	66,473	6,148	5,326	269,635
Maintenance	114,571	116,022	26,619	—	1,014	258,226
Outside Service	47,794	122,793	28,326	—	1,111	200,024
MRO / Supplies	471,692	330,324	146,182	—	3,735	951,933
Commission	110,083	74,339	8,821	69,940	19,031	282,213
Legal	95,790	115,312	34,038	61,257	58,036	364,433
Outside Consultants	123,598	171,271	47,689	52,217	55,007	449,782
Restructuring	—	157,884	166,971	223,018	734,101	1,281,973
Utilities	142,860	—	—	—	—	142,860
Other	—	—	—	—	—	—
Canada Accounts Payable	829,381	453,498	70,925	50,195	177,461	1,581,459
Canada Commissions	5,279	33,942	9,591	49,947	12,738	111,496
Total Postpetition Debts	7,246,262	8,157,611	1,775,596	584,729	1,269,032	19,033,229

Colt Holding Company LLC	Case No.: 15-11296
MOR-5 A/R Reconciliation & Aging	Reporting Period: 11/2/15-11/29/15
November '15 (November 2 - November 29)
Consolidated

Accounts Receivable Reconciliation	Amount
Total Accounts Receivable at the beginning of the reporting period	$	17,591,244
+ Amounts billed during the period	22,970,299
- Amounts collected during the period	(12,275,073		)
Total Accounts Receivable at the end of the reporting period	$	28,286,471

Accounts Receivable Aging	Amount
0 - 30 days old	$	21,676,966
31 - 60 days old	5,248,860
61 - 90 days old	341,477
91+ days old	1,019,167
Total Accounts Receivable	28,286,470
Amount considered uncollectible (Bad Debt)	(239,302		)
Accounts Receivable (Net)	$	28,047,168

Note: Aging represents trade accounts receivable. Will not reconcile to total AR on balance sheet due to other items including advances, reserve for cash discounts and other receivables

	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
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

Colt Defense LLC - FORM 8-K - EX-99.1 - January 6, 2016

Attached files

Colt Defense LLC Reports