5,000 Apartments, 8 Buildings 3 Cities, 2 States

Bankruptcy Court Chapter 11


  • $295 million in securitized debt in default
  • $20 million in mezzanine debt in default
  • Rehab stopped when Lehman Brothers crashed
  • Lehman stopped making rehab payments
  • Mechanics liens caused technical default
  • Servicer for lender seized cash flow
  • Chapter 11 necessary to regain control of cash


  • Resize the securitized debt to $225 million
  • Convert mezzanine debt to equity
  • Sell the project to generate cash for creditors
  • Inject $25 million of new value to complete rehabilitation


  • Plan of reorganization approved in nine months
  • Purchaser benefited from the resized debt
  • New debt service fit within existing cash flow
  • Related professional fees less than $1 million
  • Weiland Golden Smiley Wang Ekvall & Strok LLP debtors’ counsel

Mosier & Company, Inc.

Premier Laser Systems, Inc.

President & CEO

Chapter 11 Debtor


  • Operations Ceased and Board resigned
  • Valuable IP aging and losing value


  • Sell remaining intellectual property
  • Sue patent infringers
  • Maximize recovery for creditors


  • Claims reduced: $20 to $6 million
  • Dental Intellectual Property sold
  • Patent infringement suits paid off
  • Creditors paid in full, interest pending

Mosier & Company, Inc.

Moulton Auto Spa

Equity Receiver Retained in Bankruptcy


  • Auto spa defaulted: $2.2 mil note
  • Owner filed BK to stay receivership
  • BK Court retained Receiver: sell spa


  • Stabilize the business operations
  • Bring business into legal compliance
  • Auction auto spa to highest bidder


  • Operations brought into compliance
  • Health and safety violations cured
  • Auction produces $3.4 million price
  • Bank paid in full, surplus estate

Mosier & Company, Inc.

El Toro Materials

Examiner in Bankruptcy Court


  • Gravel Co. produces sludge
  • Cleanup costs exceed $15 million
  • Property owner sues to force cleanup
  • El Toro files BK for protection


  • Confirm magnitude of the cleanup
  • Confirm debtor in full compliance
  • Make recommendations to the Court


  • Cleanup costs verified
  • Debtor has large preferential transfers
  • Debtor refused to repay
  • Chapter 11 Trustee appointed

Mosier & Company, Inc.

$27,000,000 Public Education Company

President & CEO of Chapter 11 Debtor

$27,000,000 Public Education Company Situation: In the 5th year of a stalled Chapter 11, the Board of Directors opted to sell/close the seven remaining schools to maximize the recovery for creditors. Robert P. Mosier was retained as President & CEO; Craig Collins served as Executive Vice President. Results: 4 schools were sold and 3 (with regulatory problems) were closed. Total recovery for the creditors: $6,600,000. Duration: 2 yrs. L. A. Bankruptcy Judges Lazarow & Ashland. Steve Smith, Esq., of Danning, Gill, Diamond & Kollitz, for Debtor; Fred Neufeld, Esq., of Milbank, Tweed, Hadley & McCloy for Secured Creditor (Union Bank). Project Coordinator: Craig M. Collins

“…Mosier & Company did an exceptional job … maximizing the value of the assets. Considering the many obstacles overcome, these results clearly exceeded our expectations.”

Jim Hunt Vice President Union Bank [of California]


Executive Vice President of Chapter 11 Debtor(Dissolution) $10,000,000 Private Four Year University

text-decoration: underlineSituation: This 90-year old University ran out of cash and its Board of Trustees opted to liquidate all assets for the benefit of creditors in a Chapter 11. Robert P. Mosier was retained as Executive Vice President; Craig M. Collins served as Assistant Vice President. Results: The University’s building, name, FF&E, student records, library, accounts receivable and other assets were sold at auctions for approximately $3,000,000 to pay creditors. Duration: 1 year. L. A. Bankruptcy Judge Thomas 0. Donovan; Counsel: Michael Lubic, Esq. and Matthew Lesnick, Esq., of Sonnenschein, Nath & Rosenthal LLP for the Debtor. Project Coordinator: Craig M. Collins

“With the University low on cash, it was important to carefully manage the wind-down and liquidate assets quickly. Mosier & Company took charge and got results, including non-monetary issues critical to this non-profit’s mission, like fin cling a home for student records.”

Michael Lubic, Esquire McCutchen, Doyle, Brown & Enersen, LLP Counsel for the Debtor

(Valuation and Mediation)

Chapter 11 Examiner (Divorce) (Valuation and Mediation) Construction Business and Real Estate Holdings

Situation: A five-year divorce was consuming a once-flourishing construction business. Disputes abounded regarding values of a dozen real estate holdings including partnership interests. Robert P. Mosier was appointed Examiner. Results: The Court adopted liquidation values for the assets. This set the stage for a protracted mediation before the Honorable Mitchell Goldberg who settled the case at 12:10 AM one Saturday morning following an intense, 3-day mediation. Duration: 9 months. Bankruptcy Judge Mitchell R. Goldberg; Bernard Leckie, Esq. & Lisa Roquemore, of Meserve, Mumper & Hughes, for the Petitioner; Robert Bachman, Esq. & William Brownstein, Esq. for the Respondent. Michael C. Walters, Valuations; Project Coordinator: Craig M. Collins

“This was a five-year war that was going nowhere. Mosier was appointed Examiner to clarify asset values (which were in dispute in the family court). This provided the basis for Judge Goldberg to negotiate a settlement. The plan was subsequently confirmed.”

Robert Bachman, Esquire Counsel for the Debtor

Litigation Management