Guaranty Financial Group Inc. - FORM 8-K - EX-99.1 - February 23, 2010

Attached files

file filename
8-K - FORM 8-K - Guaranty Financial Group Inc.d71191e8vk.htm
EX-99.2 - EX-99.2 - Guaranty Financial Group Inc.d71191exv99w2.htm
EX-99.3 - EX-99.3 - Guaranty Financial Group Inc.d71191exv99w3.htm
EX-99.4 - EX-99.4 - Guaranty Financial Group Inc.d71191exv99w4.htm
Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 1 of 14
Exhibit 99.1
CASE NAME:   Guaranty Financial Group Inc.   ACCRUAL BASIS
         
CASE NUMBER:   09-35582    
         
JUDGE:   Judge Houser    
UNITED STATES BANKRUPTCY COURT
NORTHERN DISTRICT OF TEXAS
 
DALLAS       DIVISION
 
MONTHLY OPERATING REPORT
MONTH ENDING: January 31, 2010
IN ACCORDANCE WITH TITLE 28, SECTION 1746, OF THE UNITED STATES CODE, I DECLARE UNDER PENALTY OF PERJURY THAT I HAVE EXAMINED THE FOLLOWING MONTHLY OPERATING REPORT (ACCRUAL BASIS — 1 THROUGH ACCRUAL BASIS — 7) AND THE ACCOMPANYING ATTACHMENTS AND, TO THE BEST OF MY KNOWLEDGE, THESE DOCUMENTS ARE TRUE, CORRECT AND COMPLETE. DECLARATION OF THE PREPARER (OTHER THAN RESPONSIBLE PARTY): IS BASED ON ALL INFORMATION OF WHICH PREPARER HAS ANY KNOWLEDGE.
     
RESPONSIBLE PARTY:
    
 
    
/s/ Dennis S. Faulkner
  Chief Restructuring Officer
 
   
Original Signature of Responsible Party
  Title
 
    
Dennis S. Faulkner
  02/18/10
 
   
Printed Name of Responsible Party
  Date
 
    
PREPARER:
    
 
    
/s/ Jason A. Rae
  Accountant
 
   
Original Signature of Preparer
  Title
 
    
Jason A. Rae
  02/18/2010
 
   
Printed Name of Preparer
  Date

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 2 of 14
 
CASE NAME:   Guaranty Financial Group Inc.   ACCRUAL BASIS — 1
         
CASE NUMBER:   09-35582    
                             
COMPARATIVE BALANCE SHEET   (SEE GENERAL FOOTNOTE)
        AMENDED            
        SCHEDULED   MONTH   MONTH   MONTH
ASSETS       AMOUNT   Jan-10   Feb-10   Mar-10
1.
  Unrestricted Cash     11,143,730       10,695,483          
2.
  Restricted Cash             97,780          
3.
  Total Cash     11,143,730       10,793,263          
 
                           
4.
  Accounts Receivable (Net)                        
5.
  Inventory                        
6.
  Notes Receivable                        
7.
  Prepaid Expenses     673,704       350,852          
8.
  Other (Attach List)     880,141       880,141          
9.
  Total Current Assets     12,697,575       12,024,256          
 
                           
10.
  Property, Plant & Equipment                        
11.
  Less: Accumulated Depreciation/Depletion                        
12.
  Net Property, Plant & Equipment                        
13.
  Due From Insiders                        
14.
  Other Assets — Net of Amortization (Attach List)                        
15.
  Other (Attach List)                        
16.
  Total Assets     12,697,575       12,024,256          
 
                           
POST PETITION LIABILITIES                        
17.
  Accounts Payable             1,530          
18.
  Taxes Payable                        
19.
  Notes Payable                        
20.
  Professional Fees             148,932          
21.
  Secured Debt                        
22.
  Other (Attach List)                        
23.
  Total Post Petition Liabilities             150,462          
 
                           
PRE PETITION LIABILITIES                        
24.
  Secured Debt                        
25.
  Priority Debt     84,031       84,031          
26.
  Unsecured Debt     328,632,433       328,632,433          
27.
  Other (Attach List)                        
28.
  Total Pre Petition Liabilities     328,716,463       328,716,463          
29.
  Total Liabilities     328,716,463       328,866,926          
 
                           
EQUITY                        
30.
  Pre Petition Owners’ Equity             (316,018,889 )        
31.
  Post Petition Cumulative Profit Or (Loss)             (837,781 )        
32.
  Direct Charges To Equity             14,000          
33.
  Total Equity             (316,842,670 )        
34.
  Total Liabilities and Equity             12,024,256          
 
                           
This form _x___ does ___ does not have related footnotes on Footnotes Supplement.

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 3 of 14
 
CASE NAME:   Guaranty Financial Group Inc.   SUPPLEMENT TO
         
CASE NUMBER:   09-35582   ACCRUAL BASIS — 1
                             
COMPARATIVE BALANCE SHEET   (SEE GENERAL FOOTNOTE)
        SCHEDULED   MONTH   MONTH   MONTH
ASSETS       AMOUNT   Jan-10   Feb-10   Mar-10
A.
  2008 Consolidated Return — Tax Refund     880,141       880,141          
B.
                            
C.
                            
D.
                            
E.
                            
TOTAL OTHER ASSETS — LINE 8     880,141       880,141          
 
                           
 
                            
A.
                            
B.
                            
C.
                            
D.
                            
E.
                            
TOTAL OTHER ASSETS NET OF AMORTIZATION — LINE 14                        
 
                            
A.
  Shares of Guaranty Financial Group   Unknown                
B.
  Shares of Guaranty Group Capital, Inc.   Unknown                
C.
  Shares of Guaranty Group Ventures, Inc.   Unknown                
D.
  Shares of Guaranty Bank (Preferred)   Unknown                
E.
  Shares of Master Trust (Common)   Unknown                
F.
  Guaranty Holdings Inc I (Subsidiary)   Unknown                
TOTAL OTHER ASSETS — LINE 15                        
 
                            
POST PETITION LIABILITIES                        
 
                            
A.
                            
B.
                            
C.
                            
D.
                            
E.
                            
TOTAL OTHER POST PETITION LIABILITIES — LINE 22                        
PRE PETITION LIABILITIES                        
 
                            
A.
                            
B.
                            
C.
                            
D.
                            
E.
                            
TOTAL OTHER PRE PETITION LIABILITIES — LINE 27                        

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 4 of 14
         
CASE NAME:   Guaranty Financial Group Inc.   ACCRUAL BASIS — 2
         
CASE NUMBER:   09-35582    
INCOME STATEMENT
                                 
            (SEE GENERAL FOOTNOTE)  
    MONTH     MONTH     MONTH     QUARTER  
REVENUES   Jan-10     Feb-10     Mar-10     TOTAL  
1. Gross Revenues
                                
2. Less: Returns & Discounts
                                
3. Net Revenue
                                
COST OF GOODS SOLD
                                
4. Material
                                
5. Direct Labor
                                
6. Direct Overhead
                                
 
                        
7. Total Cost Of Goods Sold
                                
 
                        
8. Gross Profit
                                
OPERATING EXPENSES
                                
9. Officer / Insider Compensation
                                
10. Selling & Marketing
                                
11. General & Administrative
                                
12. Rent & Lease
                                
13. Other (Attach List)
                                
 
                        
14. Total Operating Expenses
                                
 
                        
15. Income Before Non Operating Income & Expense
                                
OTHER INCOME & EXPENSES
                                
16. Non Operating Income (Att List)
     1,022                       1,022  
17. Non Operating Expense (Att List)
                                
18. Interest Expense
                                
19. Depreciation / Depletion
                                
20. Amortization
                                
21. Other (Attach List)
                                
22. Net Other Income & Expenses
     1,022                       1,022  
REORGANIZATION EXPENSES
                                
23. Professional Fees
     59,511                       59,511  
24. U.S. Trustee Fees
     4,875                       4,875  
25. Other (Attach List)
                                
 
                        
26. Total Reorganization Expenses
     64,386                       64,386  
 
                        
27. Income Tax
                                
 
                        
28. Net Profit (Loss)
     (63,364 )                     (63,364 )
 
                        
This form _X___does ___does not have related footnotes on Footnotes Supplement.

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 5 of 14
         
CASE NAME:   Guaranty Financial Group Inc.   SUPPLEMENT TO
         
CASE NUMBER:           09-35582   ACCRUAL BASIS — 2
INCOME STATEMENT
                                 
    MONTH     MONTH     MONTH     QUARTER  
OPERATING EXPENSES   Jan-10     Feb-10     Mar-10     TOTAL  
A.
                                
B.
                                
C.
                                
D.
                                
E.
                                
F.
                                
G.
                                
H.
                                
I.
                                
J.
                                
K.
                                
 
                        
TOTAL OTHER OPERATING EXPENSES LINE 13
                                
 
                        
OTHER INCOME & EXPENSES
                                 
A. Interest Income
     1,022                       1,022  
B.
                                
C.
                                
D.
                                
 
                        
TOTAL NON-OPERATING INCOME — LINE 16
     1,022                       1,022  
 
                        
A.
                                
B.
                                
C.
                                
D.
                                
 
                        
TOTAL NON-OPERATING EXPENSE — LINE 17
                                
 
                        
REORGANIZATION EXPENSES
                                 
A.
                                
B.
                                
C.
                                
D.
                                
E.
                                
 
                        
TOTAL OTHER REORGANIZATION EXPENSES — LINE 25
                                
 
                        

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 6 of 14
         
CASE NAME:   Guaranty Financial Group Inc.   ACCRUAL BASIS — 3
         
CASE NUMBER:   09-35582    
                                 
CASH RECEIPTS AND   MONTH     MONTH     MONTH     QUARTER  
DISBURSEMENTS   Jan-10     Feb-10     Mar-10     TOTAL  
1. Cash - Beginning Of Month
     10,797,116                       10,797,116  
RECEIPTS FROM OPERATIONS
                                
2. Cash Sales
                                
COLLECTION OF ACCOUNTS RECEIVABLE
                                
3. Pre Petition
                                
4. Post Petition
                                
5. Total Operating Receipts
                                
NON-OPERATING RECEIPTS
                                
6. Loans & Advances (Attach List)
                                
7. Sale of Assets
                                
8. Other (Attach List)
     1,022                       1,022  
9. Total Non-Operating Receipts
     1,022                       1,022  
 
                        
10. Total Receipts
     1,022                       1,022  
 
                        
11. Total Cash Available
     10,798,138                       10,798,138  
OPERATING DISBURSEMENTS
                                
12. Net Payroll
                                
13. Payroll Taxes Paid
                                
14. Sales, Use & Other Taxes Paid
                                
15. Secured / Rental / Leases
                                
16. Utilities
                                
17. Insurance
                                
18. Inventory Purchases
                                
19. Vehicle Expenses
                                
20. Travel
                                
21. Entertainment
                                
22. Repairs & Maintenance
                                
23. Supplies
                                
24. Advertising
                                
25. Other (Attach List)
                                
26. Total Operating Disbursements
                                
REORGANIZATION DISBURSEMENTS
                                
27. Professional Fees
                                
28. U.S. Trustee Fees
     4,875                       4,875  
29. Other (Attach List)
                                
30. Total Reorganization Expenses
     4,875                       4,875  
 
                        
31. Total Disbursements
     4,875                       4,875  
 
                        
32. Net Cash Flow
     (3,853 )                     (3,853 )
33. Cash - End of Month
     10,793,263                       10,793,263  
This form _X___does ___does not have related footnotes on Footnotes Supplement.

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 7 of 14
CASE NAME: Guaranty Financial Group Inc.   SUPPLEMENT TO
     
CASE NUMBER: 09-35582   ACCRUAL BASIS — 3
CASH RECEIPTS AND DISBURSEMENTS
                                 
    MONTH     MONTH     MONTH     QUARTER  
NON-OPERATING RECEIPTS   Jan-10     Feb-10     Mar-10     TOTAL  
A.
                                
B.
                                
C.
                                
D.
                                
E.
                                
TOTAL LOANS & ADVANCES- LINE 6
                                
                                 
A. Interest
     1,022                       1,022  
B. Refund — Insurance Premiums
                                
C.
                                
D.
                                
E.
                                
 
                        
TOTAL OTHER NON-OPERATING RECEIPTS — LINE 8
     1,022                       1,022  
 
                        
                                 
OPERATING DISBURSEMENTS                                
A.
                                
B.
                                
C.
                                
D.
                                
E.
                                
F.
                                
G.
                                
H.
                                
TOTAL OTHER OPERATING DISBURSEMENTS — LINE 25
                                
                                 
REORGANIZATION DISBURSEMENTS                                
A.
                                
B.
                                
C.
                                
D.
                                
E.
                                
TOTAL OTHER REORGANIZATION DISBURSEMENTS — LINE 29
                                

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 8 of 14
CASE NAME: Guaranty Financial Group Inc.   ACCRUAL BASIS — 4
     
CASE NUMBER: 09-35582   (SEE GENERAL FOOTNOTE)
                                         
            SCHEDULED     MONTH     MONTH     MONTH  
ACCOUNTS RECEIVABLE AGING           AMOUNT     Jan-10     Feb-10     Mar-10  
1. 0 - 30
                                        
2. 31 - 60
                                        
3. 61 - 90  
                                        
4. 91 +  
                                        
5. Total Accounts Receivable
                                        
6. (Amount Considered Uncollectible)  
                                        
7. Accounts Receivable (Net)  
                                        
 
                                        
 
                   MONTH:   January-10        
 
                                    
AGING OF POST PETITION TAXES AND PAYABLES
                                         
    0 - 30     31 - 60     61 - 90     91 +        
TAXES PAYABLE   DAYS     DAYS     DAYS     DAYS     TOTAL  
1. Federal
                                        
2. State
                                        
3. Local
                                        
4. Other (Attach List)
                                        
5. Total Taxes Payable
                                        
6. Accounts Payable
     1,530                               1,530  
 
                                        
 
                   MONTH:   January-10        
 
                                    
STATUS OF POST PETITION TAXES
                               
    BEGINNING TAX   AMOUNT WITHHELD                
FEDERAL   LIABILITY *   AND/OR ACCRUED     (AMOUNT PAID)     ENDING TAX LIABILITY  
1. Withholding **
                              
2. FICA — Employee **
                              
3. FICA — Employer **
                              
4. Unemployment
                              
5. Other — Misc Adj
                              
6. Other — Earned Income Credit
                              
 
                      
7. Total Federal Taxes
     —     —       —       —  
 
                      
STATE AND LOCAL
                              
8. Withholding
                              
9. Sales
                              
10. Excise
                              
11. Unemployment
                              
12. Real Property
                              
13. Personal Property
                              
 
                      
14. Other (Attach List)
     —                        
 
                      
15. Total State And Local
     —                        
16. Total Taxes
     —                        
 
*   The beginning tax liability should represent the liability from the prior month or, if this is the first operating report, the amount should be zero.
 
**   Attach photocopies of IRS Form 6123 or your FTD coupon and payment receipt to verify payment of deposit.
This form ___ does _X___ does not have related footnotes on Footnotes Supplement.

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 9 of 14
CASE NAME: Guaranty Financial Group Inc.   ACCRUAL BASIS — 5
     
CASE NUMBER: 09-35582    
The debtor in possession must complete the reconciliation below for each bank account, including all general, payroll and tax accounts, as well as all savings and investment accounts, money market accounts, certificates of deposit, government obligations, etc. Accounts with restricted funds should be identified by placing an asterisk next to the account number. Attach additional sheets if necessary.
                                         
    MONTH:             January-10                
BANK RECONCILIATIONS   Account # 1     Account # 2     Account # 3     Other Accounts          
A. BANK:
   Bank of America   Bank of America   Bank of America   (Attach List)        
B. ACCOUNT NUMBER:
     4429005271       4429005268       4429005284             TOTAL
 
                   GFG GB Cash                
 
           GFG Shareholder   (Stanford Realty)                
C. PURPOSE (TYPE):
   Operating   Svcs-MMKT   MMKT                
1. Balance Per Bank Statement
     0.00       586,821       1,794,417       8,412,025       10,793,263  
2. Add: Total Deposits Not Credited
                                        
3. Subtract: Outstanding Checks
                                        
4. Other Reconciling Items
                                        
5. Month End Balance Per Books
     0.00       586,821       1,794,417       8,412,025       10,793,263  
 
                              
6. Number of Last Check Written
     3016       N/A                          
 
                              
INVESTMENT ACCOUNTS
                                 
    DATE OF             PURCHASE     CURRENT  
BANK, ACCOUNT NAME & NUMBER   PURCHASE     TYPE OF INSTRUMENT     PRICE     VALUE  
7.
                                
8.
                                
9.
                                
10. (Attach List)
                                
 
                        
11. Total Investments  
                                
 
                                
CASH
                                
12. Currency On Hand
                                
 
                                
 
                        
13. Total Cash — End of Month
                             10,793,263  
 
                        
This form ___ does _X___ does not have related footnotes on Footnotes Supplement.

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 10 of 14
         
CASE NAME:
  Guaranty Financial Group Inc.   SUPPLEMENT TO
 
        
CASE NUMBER:
  09-35582   ACCRUAL BASIS — 5
MONTH: January-10
BANK RECONCILIATIONS
                                 
A. BANK:
   Bank of America   Bank of America   Bank of America   TOTAL
B. ACCOUNT NUMBER:
     4429005297       4429005307       4429005307    
C. PURPOSE (TYPE):
   GFG WCMA   GFG Operating   GFG Reserve   OTHER BANK
  Treasury Fund   MMKT   MMKT   ACCOUNTS
1. Balance Per Bank Statement
     24,403       8,289,842       97,780       8,412,025  
2. Add: Total Deposits Not Credited
                                
3. Subtract: Outstanding Checks
                                
4. Other Reconciling Items
                                
5. Month End Balance Per Books
     24,403       8,289,842       97,780       8,412,025  
6. Number of Last Check Written
     N/A       N/A       N/A          
INVESTMENT ACCOUNTS
                 
    DATE OF   TYPE OF   PURCHASE    
BANK, ACCOUNT NAME & NUMBER   PURCHASE   INSTRUMENT   PRICE   CURRENT VALUE
A.
                
B.
                
C.
                
D.
                
 
               
E. Total Investments
                
 
               

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 11 of 14
         
CASE NAME:
  Guaranty Financial Group Inc.   ACCRUAL BASIS — 6
 
        
CASE NUMBER:
  09-35582    
MONTH: January-10
PAYMENTS TO INSIDERS AND PROFESSIONALS
Of the Total Disbursements shown for the month, list the amount paid to Insiders (as defined in Section 101 (31) (A) — (F) of the U.S. Bankruptcy Code) and to Professionals. Also, for payments to Insiders, identify the type of compensation paid (e.g. salary, bonus, commissions, insurance, housing allowance, travel, car allowance, etc.). Attach additional sheets if necessary.
INSIDERS
             
    TYPE OF       TOTAL PAID
NAME   PAYMENT   AMOUNT PAID   TO DATE
1.
            
2.
            
3.
            
4.
            
5.
            
6.
            
7.
            
8. (Attach List)
            
 
           
9. Total Payments To Insiders
            
 
           
PROFESSIONALS
                                         
    DATE OF COURT                                
    ORDER                             TOTAL  
    AUTHORIZING     AMOUNT     AMOUNT     TOTAL PAID     INCURRED  
NAME   PAYMENT     APPROVED     PAID     TO DATE     UNPAID *  
1. Lain, Faulkner & Co.
     12/29/09       127,331       127,331       127,331       17,969  
2. Haynes & Boone
     12/29/09       285,289       285,289       285,289       130,964  
3.
                                        
4.
                                        
5. (Attach List)
                                        
 
                                
6. Total Payments To Professionals
             412,620       412,620       412,620       148,932  
 
                                
 
*   Include all fees incurred, both approved and unapproved
POST PETITION STATUS OF SECURED NOTES, LEASES PAYABLE AND ADEQUATE PROTECTION
PAYMENTS
                         
    SCHEDULED   AMOUNTS    
    MONTHLY   PAID   TOTAL
    PAYMENTS   DURING   UNPAID POST
NAME OF CREDITOR   DUE   MONTH   PETITION
1.
   $ —                  
2.
                        
3.
                        
5. (Attach List)
                        
 
                        
6. TOTAL
           $ —     $ —  
 
                        
This form ___X___does ___does not have related footnotes on Footnotes Supplement.

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 12 of 14
         
CASE NAME:
  Guaranty Financial Group Inc.   ACCRUAL BASIS — 7
 
        
CASE NUMBER:
  09-35582    
QUESTIONNAIRE
MONTH: January-10
             
        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?       X
3.
  Are any Post Petition Receivables (accounts, notes, or loans) due from related parties?       X
4.
  Have any payments been made on Pre Petition Liabilities this reporting period?       X
5.
  Have any Post Petition Loans been received by the debtor from any party?       X
6.
  Are any Post Petition Payroll Taxes past due?       X
7.
  Are any Post Petition State or Federal Income Taxes past due?       X
8.
  Are any Post Petition Real Estate Taxes past due?       X
9.
  Are any other Post Petition Taxes past due?       X
10.
  Are any amounts owed to Post Petition creditors delinquent?       X
11.
  Have any Pre Petition Taxes been paid during the reporting period?       X
12.
  Are any wage payments past due?       X
If the answer to any of the above questions is “Yes”, provide a detailed explanation of each item. Attach additional sheets if necessary.
INSURANCE
             
        YES   NO
1.
  Are Worker’s Compensation, General Liability and other necessary insurance coverages in effect?   See Below
2.
  Are all premium payments paid current?   See Below
3.
  Please itemize policies below.        
If the answer to any of the above questions is “No”, or if any policies have been canceled or not renewed during this
reporting period, provide an explanation below. Attach additional sheets if necessary.
INSTALLMENT PAYMENTS
             
TYPE OF POLICY
  CARRIER   PERIOD COVERED   PAYMENT
AMOUNT &
FREQUENCY
 
  See attached support schedule    
This form ___does _X___does not have related footnotes on Footnotes Supplement.

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 13 of 14
         
Guaranty Financial Group Inc.
      Case No: 09-35582-BJH-11
 
  Insurance Support Schedule    
             
            Payment Amount &
Type of Policy   Carrier   Period Coverd   Frequency
 
            
General Liability
  Indian Harbor Insurance Company   07/01/09 — 07/01/10   Paid in Full
General Liability — Mortgagee in Possession
  Lexington Insurance Company   10/27/08 — 10/27/11   Paid in Full
Automobile Liability
  The Hartford Insurance Company   07/01/09 — 07/01/10   Paid in Full
Umbrella Liability
  The Travelers Companies, Inc.   07/01/09 — 07/01/10   Paid in Full
Umbrella Liability — Excess Coverage
  Ohio Casualty Insurance Company   07/01/09 — 07/01/10   Paid in Full
Corporate Property
  C N A Large Property   07/01/09 — 07/01/10   Paid in Full
REO & Force Placed Coverage (Property,
General Liability & Flood)
  Great Lakes Reinsurance Company   04/01/09 — 04/01/10   Paid in Full
Insurance Agents E&O
  AIU Holdings   08/06/09 — 08/06/10   Paid in Full
Special Extortion
  AIG World Source   10/01/07 — 10/01/10   Paid in Full

 

 

Case 09-35582-bjh11     Doc 186     Filed 02/19/10     Entered 02/19/10 08:45:16     Desc
Main Document     Page 14 of 14
         
CASE NAME:
  Guaranty Financial Group Inc.   FOOTNOTES
 
        
CASE NUMBER:
  09-35582   ACCRUAL BASIS
MONTH: January-10
             
ACCRUAL BASIS   LINE    
FORM NUMBER   NUMBER   FOOTNOTE / EXPLANATION
 
            
 
            
General
          The Office of Thrift Supervision appointed the FDIC as receiver for Guaranty Bank, an indirect subsidiary of the Debtor on August 21, 2009. The Debtor subsequently filed its petition with the U.S. Bankruptcy Court on August 27, 2009.
 
            
Accrual 1
    1     Pursuant to the Order Implementing the Requirements of Section 345(B) of the Bankruptcy Code and the Region VI, Northern District of Texas, Guidelines for Chapter 11 Debtors-In-Possession filed on September 3, 2009, the Debtor’s transferred cash to its debtor-in-possession bank accounts.
 
            
Accrual 1
    2     The Debtors and the FDIC contemplate that during the administration of this Chapter 11 case, certain assets, refunds and other recoveries, including, for example, tax refunds, insurance premium refunds and insurance recoveries (the “Reserve Funds”), will be paid to either the Debtors or the FDIC as receiver of Guaranty Bank. The Debtors and the FDIC may dispute the ownership of the Reserve Funds. They have agreed that the Reserve Funds will be deposited into a separate and segregated account at Bank of America. This amount represents the Reserve Funds plus accrued interest received through the filing of this report.
 
Accrual 1
    8     Since the tax returns are filed on a consolidated basis, any refunds received should be allocated among the consolidating entities. The amount of the allocations are unknown at this time.
 
            
Accrual 1
Accrual 6
    7, 32     The payments listed on Item 9 “Payments Related to Debt Counseling or Bankruptcy” of the Debtor’s Statement of Financial Affairs include a residual retainer balance of $14,000 for Haynes & Boone. The retainer balance is disclosed in Haynes and Boone’s First Interim Fee Application that was filed in December 2009.