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High Velocity Alternative Energy (HVAG), Inc. Exits Bankruptcy
Wednesday July 2, 1:37 pm ET
BEDFORD PARK, IL--(MARKET WIRE)--Jul 2, 2008 -- High Velocity Alternative Energy, Inc. (Other OTC:HVAG.PK - News) is pleased to announce that on June 27, 2008, the United States Bankruptcy Court for the Southern District of New York has approved the Settlement Agreement between the Company and Highgate House Funds, Ltd., with a one time "lump sum" payment of $750,000, in full settlement of all amounts due and all claims by all parties against each other. The Bankruptcy matter has been dismissed by the Court on the application of the Company (Case No. 08-35285 (CGM)(Chapter 11) United States Bankruptcy Court for the Southern District of New York).
CEO Rob Somerman says: "Now that we have cleared this debt of the balance sheet, we can focus our energy and efforts towards our business plan of delivering a quality product to our existing customers while continuing to expand our relationships with new customers and distributors."
In addition, Robert Somerman, the owner and President/CEO of American Chemical Exchange Inc., and its subsidiary Advanced Chemical Recycling Enterprises Inc., has been appointed President and CEO of the Company. Robert has been a pioneer in creating chemical recycling programs for many industrial and commercial companies including the medical products manufacturing and medical products sterilization industries. Over the last 20 years he has created and implemented recycling and recovery programs for many other companies including chemical manufacturers and textile manufacturers. Currently, Robert has been focused primarily on chemical recovery programs with an emphasis on finding hydrocarbon by-product streams that can be recovered to make cleaning compounds, coolants or lubricating oils primarily for applications in the automotive industry.
About High Velocity Alternative Energy, Inc.
High Velocity Alternative Energy (Other OTC:HVAG.PK - News), Inc. is a middle market petroleum-based lubricant company specializing in the refining, blending, packaging, and distribution to the automotive and manufacturing aftermarket with established regional distribution channels. HVAG has recently started utilizing technology to capitalize on renewable energy and lubricant sources by recycling spent oils and glycols. High Velocity's 40,000 square foot plant is conveniently located outside Chicago with access to interstate and rail access.
Forward-Looking Statements
This press release contains forward-looking statements, which represent the Company's expectations or beliefs, including, but not limited to, statements concerning plans, growth and strategies, which include, without limitation, statements preceded or followed by or that include the words may, will, expect, anticipate, intend, could, estimate, or continue or the negative or other variations thereof or comparable terminology. Any statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. These statements by their nature involve substantial risks and uncertainties, some of which are beyond the Company's control, and actual results.
Contact:
Contact:
High Velocity Alternative Energy, Inc.
(708) 496-9710
Robert Somerman
President
--------------------------------------------------------------------------------
Source: High Velocity Alternative Energy, Inc.
Very well. Shhh. don't want to jinx anything.
GLTA
Holding up pretty well considering the situation. eom
As of Apr 15, 2008 the published short interest was 6,044. Naked short 10 times that. imo
Its funny how the 12/31/07 FTD's were 69,645 shares and the published short was 4,272 shares.
There are over 65,000 naked shorted. I think that is what is causing this weird trading.imo
Nice call so far. Kudos.
GLTA of us.
Most recent available 12/31/2007 FTD's 69,645 on HVAG:
SETTLEMENT DATE|CUSIP|SYMBOL|QUANTITY (FAILS)|DESCRIPTION|PRICE
20071231|429808306|HVAG|69645|High Velocity Alternative Ener|0.54
http://www.sec.gov/foia/failsreports/cnsp_sec_fails_2007q4.zip
Obi, could you update the OS (9,108,982) in the ibox to reflect the latest 8-k from Feb. 05. TIA
Office of the President:
High Velocity Alternative Energy Corp
5841 West 66th Street
Bedford Park, IL 60638
(708) 496-9710
Administrative and Accounting Office:
High Velocity Alternative Energy Corp
1328 Zion Road
Bellefonte, PA 16823
(814) 357-9104
Effective February 4, 2008, the Registrant authorized the issuance of shares of
common stock as follows:
Name Shares Reason
Ronald Shapss 500,000 Director Compensation
Richard Carter 1,300,000 Employment Compensation
James W. Zimbler 800,000 Director/Employment Compensation
Elliot Cole 250,000 Director Compensation
Michael S. Krome 100,000 Legal Compensation
Michael Cahr 98,000 Conversion of Debt Due
In addition, the holders of substantially all of the remaining Series B
Cumulative Convertible Preferred Stock (the "Series B shares") not previously
converted into shares of common stock have elected to convert the Series B
Shares into common stock, resulting in approximately 1,172,627 shares of common
stock.
As a result of the shares issued as set forth herein and the Series B shares
that are to be converted as set forth above, the Registrant will have
approximately 9,108,982 shares of common stock issued and outstanding.
WE ARE GOING UP again according to my work gltus
Major stress test on the 50 day MA. Can we hold? Prolly not. (temp). Weekly PPO says no.
http://stockcharts.com/charts/gallery.html?hvag
Sorry, I just had to break the silence.
You'd be hard pressed to find a more handsome chart than this.
http://stockcharts.com/charts/gallery.html?hvag
CMF going green, let's hope it holds.
GLTA.
Chart looks real good Creede.So good that one might tend to get a little complacent....
YAWN.....
why hvag down, is momo over with the p r? my cards say it goes up one more time next week. say you? glta
It appears from the PR that they manufacture some of their own products and blend other companies products to sell. The 30 million appears to be a multi year deal. (all guesses with no verification)
We need someone in the Chicago area to drop by for a tour of their facility.
No, not my style.
Don't have time for dat!!!
maybe a little flipping here and there...
;)
Thats my plan. At least double todays highs.
But thats just MO which is worth diddly squat! To sum it up!
GL with your decisions.
This whole thing is so shady. Have they already received bankruptcy protection? How does it work now? Do creditors get to collect on new company monies?? What happens to current shareholders after restructuring?? Do their shares go to zero and new shares issued?
Does this mean HVAG get $30MM revenue, or are they just distributing $30MM worth of product? Also, who is counterparty to the deal?
Re-post of yesterday's news.
High Velocity Alternative Energy (HVAG), Inc. Signs $30,000,000 Distribution Contract
High Velocity Alternative Energy, Inc. (PINKSHEETS: HVAG) announced today they have received a contract for $30,000,000 to supply a major Midwestern distributor of lubricants, anti-freeze and solvents. The distributor supplies national auto parts stores, C-stores and national retail chains.
The annual contract will consist of both private label and proprietary brands of High Velocity Alternative Energy, Inc. The products included are: packaged oil, anti-freeze and windshield washer fluid.
"This contract represents a major shift from being a small regional oil packaging company. High Velocity's model is to provide superior service in existing markets and leverage larger distributors for a national presence," said Richard D. Carter, Chief Executive Officer of High Velocity Alternative Energy.
About High Velocity Alternative Energy, Inc.
High Velocity Alternative Energy (HVAG), Inc. is a middle market petroleum-based lubricant company specializing in the refining, blending, packaging, and distribution to the automotive and manufacturing aftermarket with established regional distribution channels. HVAG has recently started utilizing technology to capitalize on renewable energy and lubricant sources by recycling spent oils and glycols. High Velocity's 40,000 square foot plant is conveniently located outside Chicago with access to interstate and rail access.
Forward-Looking Statements
This press release contains forward-looking statements, which represent the Company's expectations or beliefs, including, but not limited to, statements concerning plans, growth and strategies, which include, without limitation, statements preceded or followed by or that include the words may, will, expect, anticipate, intend, could, estimate, or continue or the negative or other variations thereof or comparable terminology. Any statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. These statements by their nature involve substantial risks and uncertainties, some of which are beyond the Company's control, and actual results.
Contact:
High Velocity Alternative Energy, Inc.
(708)496-9710
Richard D. Carter
Chief Executive Officer
as long as it keeps churning higher..
Nice close @ 1.80. -e-
looks like a bunch of people flipping the spread.
overall I think it was a great day
bids building.
just UBSS and its 2.30 on the ask
although NITE has his at 17.00 I think it should be 1.70
This stock continues to amaze me!!!
Party
AUTO closed his ask. LOL
wow that was quick!
come on 4.00 I want a 10 bagger
I am guessing with this action we could be at $5 this week.
2.00/2.99
NITE moved to 2.25 on the ask.
hes been doing the majority of the buying
i think so. this is as high as it got after the roundup. NITE and auto movingup on thebid though
1.95 and 1.90
It looks like it will take a while to chew through the 2's.
I'm showing Bid 1.95 / Ask 1.99
bid
auto 1.70
NITE 1.5
etrd 1.4
ask
auto at 1.9
HILL at1.99
HDSN
SALI
4 at 2.00
UBSS at 4.0
Do you have a L2 screenshot plz?
Short Interest for February 15 2008
Short Interest----Percent Change----Average Daily VolumeDaystoCover
12,956-----------203.28--------7,434-----------1.74
This was before the BK action.
The highgate problem in the filings is the most likely suspect for the bankruptcy. Any judge would toss out a Cornell contract from the prior owner. My best guess is that a deal would be hammered out well before a judge could ask if the HVAG cornell contract is a standard contract, lol.
Party
nasty wall here in the 2's. lets see what happens
Looks like major short covering here. I cancelled my sell orders @1.90.
Lets see how high we go today !!!
snagged a few in the .40's but man those .20's would have been gravy.
something just seemed off with the filling. all seemed to well planned.
Yes, it was a great way to wipe out a lot of retail investors to be replaced by insiders, lol.
Dangerous line these guys have decided to cross. This is the first stock I have ever seen or heard of that has increased after filing a bankruptcy, let alone many multiples higher than it's bankrupcy price.
Quite a setup, lol
Party
no i agree. it seems like the bankcruptcy was some how stategically planned.
I don't know, but since they are filing a chapter 11, IMO, it seems like the intent is to get the creditors to sit down and negotiate.
It's almost like let's talk and agree or let the judge decide.
In this case I doubt that the creditors really want to have this heard before a judge.
Also in regard to the stock, I'm not really sure it will be impacted. In most cases the company is listed on a higher exchange gets delisted then listed on the Pinks. Heck this one is already on the pinks.
Looks like some risk but some potential reward as well.
Wally
Chapter 11, Title 11, United States Code
From Wikipedia, the free encyclopedia
(Redirected from Chapter 11)
Jump to: navigation, search
It has been suggested that Section 1110 be merged into this article or section. (Discuss)
Chapter 11 is a chapter of the United States Bankruptcy Code, which permits reorganization under the bankruptcy laws of the United States. Chapter 11 bankruptcy is available to any business, whether organized as a corporation or sole proprietorship, or individual with unsecured debts of at least $336,900.00 or secured debts of at least $1,010,650.00, although it is most prominently used by corporate entities. In contrast, Chapter 7 governs the process of a liquidation bankruptcy, while Chapter 13 provides a reorganization process for the majority of private individuals with unsecured debts of less than $336,900.00 and secured debts of less than $1,010,650.00 as of April 1, 2007.
Contents
[hide]
* 1 Definition
* 2 Rationale
* 3 Details
o 3.1 Priority
* 4 Stock
* 5 Criticism
* 6 Statistics
o 6.1 Federal vs. state bankruptcies
o 6.2 Largest bankruptcy
* 7 References
* 8 External links
[edit] Definition
When a troubled business is unable to service its debt or pay its creditors, it or its creditors can file with a federal bankruptcy court for protection under either chapter 7 or chapter 11. In chapter 7, the business ceases operations and a trustee sells all of its assets and distributes the proceeds to its creditors. This is done in accordance with statutory defined priorities. A chapter 11 filing, on the other hand, is usually an attempt to stay in business while a bankruptcy court supervises the "reorganization" of the company's contractual and debt obligations. The court can grant complete or partial relief from most of the company's debts and its contracts, so that the company can make a fresh start. Often, if the company's debts exceed its assets, then at the completion of bankruptcy the company's owners (stockholders) all end up with nothing; all their rights and interests are terminated and the company's creditors end up with ownership of the newly reorganized company.
[edit] Rationale
In enacting chapter 11 of the Bankruptcy code, Congress concluded that it is sometimes the case that the value of a business is greater if sold or reorganized as a going concern than the value of the sum of its parts if the business's assets were to be sold off individually. It follows that it may be more economically efficient to allow a troubled company to continue running, cancel some of its debts, and give ownership of the newly reorganized company to the creditors whose debts were canceled. Alternatively, the business can be sold as a going concern with the net proceeds of the sale distributed to creditors ratably in accordance with statutory priorities. In this way, jobs may be saved, the engine of profitability which is the business is maintained rather than being dismantled, and, as a proponent of a chapter 11 plan is required to demonstrate as a precursor to plan confirmation, the business's creditors end up with more money than they would in a chapter 7 liquidation.
[edit] Details
All creditors are entitled to be heard by the court which is responsible for determining whether the plan of reorganization complies with the purposes of the bankruptcy law and provides for fair and equitable treatment of all parties in interest.
Some contracts, known as executory contracts, may be rejected if canceling them would be financially favorable to the company and its creditors. Such contracts include labor union contracts, supply or operating contracts (with both vendors and customers) and real estate leases. The standard feature of executory contracts is that each party to the contract has duties remaining under the contract. In the event of a rejection, the remaining parties to the contract become unsecured creditors of the debtor.
Chapter 11 is reorganization, as opposed to liquidation. Debtors may "emerge" from a chapter 11 bankruptcy within a few months or within several years, depending on the size and complexity of the bankruptcy. Debtors in Chapter 11 have the exclusive right to propose a plan of reorganization for a period of time. After that time has elapsed, creditors may also propose plans. Plans must satisfy a number of criteria in order to be "confirmed" by the bankruptcy court. Among other things, creditors must vote to approve the plan of reorganization. If a plan cannot be confirmed the court may either convert the case to a liquidation under Chapter 7 or, if in the best interests of the creditors and the estate, the case may be dismissed resulting in a return to the status quo before bankruptcy. If the case is dismissed, creditors will look to nonbankruptcy law in order to satisfy their claims.
As with other forms of bankruptcy, petitions filed under Chapter 11 invoke the automatic stay of § 362. The automatic stay requires all creditors to cease collection attempts, and makes post-petition debt collection void. Under some circumstances, creditors or the United States Trustee can ask the court to convert the case to a liquidation under Chapter 7, or to appoint a trustee to manage the debtor's business. The court will grant a motion to convert to Chapter 7 or appoint a trustee if either of these actions is in the best interest of all creditors. Sometimes a company will liquidate under Chapter 11, in which the pre-existing management may be able to help get a higher price for divisions or other assets than a Chapter 7 liquidation would be likely to achieve. Appointment of a trustee requires some wrongdoing or gross mismanagement on the part of existing management, and is relatively rare.
[edit] Priority
Chapter 11 follows the same priority scheme as other bankruptcy chapters. The priority structure is defined primarily by § 507 of the Bankruptcy Code.
As a general rule secured creditors -- creditors who have a security interest, or collateral, in the debtor's property -- will be paid before unsecured creditors. Unsecured creditors' claims are prioritized by § 507. For instance the claims of suppliers of products or employees of a company may be paid before other unsecured creditors are paid. Each priority level must be paid in full before the next lowest priority level may receive payment.
[edit] Stock
If the company's stock is publicly traded, a Chapter 11 filing generally causes it to be delisted from its primary stock exchange if listed on the New York Stock Exchange, the American Stock Exchange, or the NASDAQ. On the NASDAQ the identifying fifth letter "Q" at the end of a stock symbol indicates the company is in bankruptcy (formerly the "Q" was placed in front of the pre-existing stock symbol; a celebrated example was Penn Central, whose symbol was originally "PC" and became "QPC" after the company filed Chapter 11 in 1970). Many stocks that are delisted quickly resume listing as over the counter (OTC) stocks. In the overwhelming majority of cases, the Chapter 11 plan, when confirmed, terminates the shares of the company rendering shares valueless.
Individuals may also file Chapter 11, but due to the complexity and expense of the proceeding, this option is rarely chosen by debtors who are eligible for Chapter 7 or Chapter 13 relief.
[edit] Criticism
Some critics have claimed that Chapter 11 bankruptcy is excessively lenient in giving a needless "escape hatch" to the incompetent management of a failing company, damaging the efficiency of the economy as a whole and allowing poor managers to continue managing. It is unusual for the management of a company in Chapter 11 to be fired, as it is usually assumed that the present management team knows far more about the company and its customers than would a new set of management. These critics note that in Europe, bankruptcy law is far less lenient for failing companies.
Another efficiency criticism is that a company undergoing Chapter 11 bankruptcy is effectively operating under the "protection" of the court until it emerges, in some cases giving the bankrupt company a great advantage against its competitors, distorting the market and harming more competitive businesses. Where a key market participant (or more than one) goes into Chapter 11, it can also result in significant over-capacity in the industry. The most-cited current example is the airline industry in the United States; as of 2006, over half the industry's seating capacity is on airlines that are in Chapter 11 [1]. These airlines have been able to stop making debt payments, freeing up cash to expand routes or weather a price war against competitors — all with the bankruptcy court's approval. This is especially important in the airline industry as fixed capital costs for the airplanes (and the debt on those costs) make up such a large part of the airlines' expenditures.
Others criticize the process on the basis that, by forestalling the creditors' rights to enforce their security in the event of non-payment, it reduces the economic value of collateral in the United States, and thereby increases the cost of secured lending. However, studies on the subject seem to reach different conclusions on the extent of this, or indeed whether it is in fact the case at all in practice [2].
[edit] Statistics
[edit] Federal vs. state bankruptcies
Chapter 11 bankruptcy cases dropped by 60% from 1991 to 2003. One 2007 study[3] found this was because businesses were turning to bankruptcy-like proceedings under state law, rather than the federal bankruptcy proceedings, including those under chapter 11. Insolvency proceedings under state law, the study stated, are currently faster, less expensive, and more private, with some states not even requiring court filings. However, a 2005 study[3] claimed the drop may have been due to an increase in the incorrect classification of many bankruptcies as "consumer cases" rather than "business cases".
Cases involving more than US$50 million in assets are almost always handled in federal bankruptcy court, and not in bankruptcy-like state proceeding.
[edit] Largest bankruptcy
The largest bankruptcy in history was of the US telecommunications corporation Worldcom, Inc., which listed over 103 billion dollars in assets as of its Chapter 11 filing in 2002; the bankruptcy was triggered by the discovery that in the previous several years, the company had fraudulently overreported its assets by an estimated 12 billion dollars.
[edit] References
1. ^ Delta and Northwest airlines both file for bankruptcy. Retrieved on November 17, 2005.
2. ^ The night of the killer zombies. Economist.com (2002-12-12). Retrieved on 2006-08-05.
3. ^ a b (January 24, 2007), "Small Firms Spurn Chapter 11", Wall Street Journal, page B6B
[edit] External links
* Internet Bankruptcy Library
* Bankruptcy Research Data
* US changes bankruptcy protection laws, via BBC News.
* Complete Title 11 (ZIP file), via www.house.gov
* 15 Largest Corporate Bankruptcies, via www.bankruptcydata.com
* Bankruptcy FAQ question and answer forum, via www.faqfarm.com
* Graphical view of the procedure under the Bankruptcy Code post BAPCPA
[hide]
so weird after filing bankcruptcy
Looks like this could be the answer to the PPS movement. Not in this but after reading this news, I had to check out this board.
March 4, 2008 - 5:45 PM EST
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HVAG 1.30 0.20
Today 5d 1m 3m 1y 5y 10y
High Velocity Alternative Energy (HVAG), Inc. Signs $30,000,000 Distribution Contract
High Velocity Alternative Energy, Inc. (PINKSHEETS: HVAG) announced today they have received a contract for $30,000,000 to supply a major Midwestern distributor of lubricants, anti-freeze and solvents. The distributor supplies national auto parts stores, C-stores and national retail chains.
The annual contract will consist of both private label and proprietary brands of High Velocity Alternative Energy, Inc. The products included are: packaged oil, anti-freeze and windshield washer fluid.
"This contract represents a major shift from being a small regional oil packaging company. High Velocity's model is to provide superior service in existing markets and leverage larger distributors for a national presence," said Richard D. Carter, Chief Executive Officer of High Velocity Alternative Energy.
About High Velocity Alternative Energy, Inc.
High Velocity Alternative Energy (HVAG), Inc. is a middle market petroleum-based lubricant company specializing in the refining, blending, packaging, and distribution to the automotive and manufacturing aftermarket with established regional distribution channels. HVAG has recently started utilizing technology to capitalize on renewable energy and lubricant sources by recycling spent oils and glycols. High Velocity's 40,000 square foot plant is conveniently located outside Chicago with access to interstate and rail access.
Forward-Looking Statements
This press release contains forward-looking statements, which represent the Company's expectations or beliefs, including, but not limited to, statements concerning plans, growth and strategies, which include, without limitation, statements preceded or followed by or that include the words may, will, expect, anticipate, intend, could, estimate, or continue or the negative or other variations thereof or comparable terminology. Any statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. These statements by their nature involve substantial risks and uncertainties, some of which are beyond the Company's control, and actual results.
Contact:
High Velocity Alternative Energy, Inc.
(708)496-9710
Richard D. Carter
Chief Executive Officer
Source: Marketwire (March 4, 2008 - 5:45 PM EST)
News by QuoteMedia
www.quotemedia.com
NITE 2 on the ask
Looking nice today. -e-
looks like it may have been somehow planned.
fooled a lot of people it seems
I also lost a fortune on that bankruptcy news.
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NICHOLASVILLE, Ky., March 15, 2010 /PRNewswire via COMTEX/ -- Extreme Mobile Coatings Worldwide Corp. (OTC Bulletin Board: EMWW) announces that on March 11, 2010, the "Company" entered into a Asset Purchase Agreement with Reflectkote, Inc., dated March 10, 2010, wherein Reflectkote, Inc., sold certain assets and liabilities to the Company, as well as the obligation to issue 50,000,000 shares of common stock of the Company to the shareholders of Reflectkote, Inc. as a stock dividend, after the effectiveness of a Registration Statement on Form S-4. Reflectkote, Inc., has set a record date of March 31, 2010 for the stock dividend.
The assets acquired, which are going to be operated as a separate wholly-owned subsidiary, are a permanently applied reflective coating that does not come off in the manner that reflective tape can and does. Reflectkote coatings do not corrode and protect the surface applied to as well. Reflectkote is a plastic and glass combination prepared in a proprietary manner. The application can be done on site with various equipment manufactured by various vendors.
Charlie Woodward, Extreme Mobile Coatings President and CEO states, "With the acquisition of the Reflectkote coatings, we have added another line of quality of coatings to our line-up. The Reflectkote coating is an exciting opportunity to expand our business model into new areas. The coating can be applied with our existing spray guns, or any currently available spray gun on the market."
About Extreme Mobile Coatings:
Through its wholly owned subsidiary, Extreme Mobile Coatings, Inc., based in Nicholasville, Kentucky, Extreme offers franchise opportunities to operate a mobile business which provides painting or coating on various surfaces utilizing a special patented mobile system developed by Xiom Corp. (OTC Bulletin Board: XMCP) and licensed to Extreme. In addition, Extreme operates a mobile coating business in and around Nicholasville, Kentucky.
For more information regarding the companies listed herein, please see:
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