☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 36-7730868 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employment Identification No.) |
201 N. Brand Blvd., Suite M Glendale, California | 91203 | |
(Address of principal executive offices) | (Zip Code) |
Large accelerated filer ☐ | Accelerated filer ☐ |
Non-accelerated filer ☐ | Smaller reporting company ☒ |
Emerging growth company ☒ |
PART I. FINANCIAL INFORMATION | |||
Item 1. | |||
1 | |||
2 | |||
Item 2. | |||
Item 3. | |||
Item 4. | |||
PART II. OTHER INFORMATION | |||
Item 1. | |||
Item 1A. | |||
Item 2. | |||
Item 3. | |||
Item 4. | |||
Item 5. | |||
Item 6. |
PART I. | FINANCIAL INFORMATION |
Item 1. | Financial Statements |
Woodbridge Liquidation Trust and Subsidiaries Consolidated Statements of Net Assets in Liquidation As of |
(Unaudited, $ In Thousands) |
3/31/2022 | 6/30/2021 | 9/30/2022 | 6/30/2022 | |||||||||||||
Assets | ||||||||||||||||
Real estate assets held for sale, net (Note 3) | $ | 29,050 | $ | 29,062 | ||||||||||||
Single-family homes | $ | 92,544 | $ | 137,945 | ||||||||||||
Other real estate assets | 1,998 | 2,910 | ||||||||||||||
Subtotal | 94,542 | 140,855 | ||||||||||||||
Cash and cash equivalents | 34,393 | 45,369 | 31,867 | 96,810 | ||||||||||||
Restricted cash (Note 4) | 9,098 | 8,273 | 4,192 | 6,121 | ||||||||||||
Other assets (Note 5) | 5,731 | 5,473 | 1,803 | 5,825 | ||||||||||||
Total assets | $ | 143,764 | $ | 199,970 | $ | 66,912 | $ | 137,818 | ||||||||
Liabilities | ||||||||||||||||
Accounts payable and accrued liabilities | $ | 1,366 | $ | 160 | $ | 103 | $ | 119 | ||||||||
Distributions payable | 5,031 | 4,687 | 1,226 | 68,767 | ||||||||||||
Accrued liquidation costs (Note 6) | 41,105 | 65,583 | 27,667 | 34,537 | ||||||||||||
Total liabilities | $ | 47,502 | $ | 70,430 | $ | 28,996 | $ | 103,423 | ||||||||
Commitments and Contingencies (Note 14) | 0 | 0 | ||||||||||||||
Net Assets in Liquidation | ||||||||||||||||
Restricted for Qualifying Victims (Note 7) | $ | 3,203 | $ | 3,167 | $ | 3,483 | $ | 3,485 | ||||||||
All Interestholders | 93,059 | 126,373 | 34,433 | 30,910 | ||||||||||||
Total net assets in liquidation | $ | 96,262 | $ | 129,540 | $ | 37,916 | $ | 34,395 |
PART I. | FINANCIAL INFORMATION (CONTINUED) |
Item 1. | Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries Consolidated Statements of Changes in Net Assets in Liquidation For the Three Months Ended |
Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | |||||||||||||||||||||||
Restricted For Qualifying Victims | All Interestholders | Total | Restricted For Qualifying Victims | All Interestholders | Total | |||||||||||||||||||
Net Assets in Liquidation as of beginning of period | $ | 3,203 | $ | 124,302 | $ | 127,505 | $ | 0 | $ | 210,476 | $ | 210,476 | ||||||||||||
Change in assets and liabilities (Note 8): | ||||||||||||||||||||||||
Restricted for Qualifying Victims - | ||||||||||||||||||||||||
Change in carrying value of assets and liabilities, net | 0 | 0 | 0 | 3,459 | 0 | 3,459 | ||||||||||||||||||
All Interestholders: | ||||||||||||||||||||||||
Change in carrying value of assets and liabilities, net | 0 | 8,266 | 8,266 | 0 | 1,974 | 1,974 | ||||||||||||||||||
Distributions (declared) reversed, net | 0 | (39,509 | ) | (39,509 | ) | 0 | (49,958 | ) | (49,958 | ) | ||||||||||||||
Net change in assets and liabilities | 0 | (31,243 | ) | (31,243 | ) | 0 | (47,984 | ) | (47,984 | ) | ||||||||||||||
Net Assets in Liquidation as of end of period | $ | 3,203 | $ | 93,059 | $ | 96,262 | $ | 3,459 | $ | 162,492 | $ | 165,951 |
(Unaudited, $ in Thousands) |
Nine Months Ended March 31, 2022 | Nine Months Ended March 31, 2021 | |||||||||||||||||||||||
Restricted For Qualifying Victims | All Interestholders | Total | Restricted For Qualifying Victims | All Interestholders | Total | |||||||||||||||||||
Net Assets in Liquidation as of beginning of period | $ | 3,167 | $ | 126,373 | $ | 129,540 | $ | 0 | $ | 264,517 | $ | 264,517 | ||||||||||||
Change in assets and liabilities (Note 8): | ||||||||||||||||||||||||
Restricted for Qualifying Victims - | ||||||||||||||||||||||||
Change in carrying value of assets and liabilities, net | 36 | 0 | 36 | 3,459 | 0 | 3,459 | ||||||||||||||||||
All Interestholders : | ||||||||||||||||||||||||
Change in carrying value of assets and liabilities, net | 0 | 45,922 | 45,922 | 0 | 7,529 | 7,529 | ||||||||||||||||||
Distributions (declared) reversed, net | 0 | (79,236 | ) | (79,236 | ) | 0 | (109,554 | ) | (109,554 | ) | ||||||||||||||
Net change in assets and liabilities | 0 | (33,314 | ) | (33,314 | ) | 0 | (102,025 | ) | (102,025 | ) | ||||||||||||||
Net Assets in Liquidation as of end of period | $ | 3,203 | $ | 93,059 | $ | 96,262 | $ | 3,459 | $ | 162,492 | $ | 165,951 |
Three Months Ended September 30, 2022 | Three Months Ended September 30, 2021 | |||||||||||||||||||||||
Restricted For Qualifying Victims | All Interestholders | Total | Restricted For Qualifying Victims | All Interestholders | Total | |||||||||||||||||||
Net Assets in Liquidation as of beginning of period | $ | 3,485 | $ | 30,910 | $ | 34,395 | $ | 3,167 | $ | 126,373 | $ | 129,540 | ||||||||||||
Change in assets and liabilities (Note 8): | ||||||||||||||||||||||||
Restricted for Qualifying Victims - | ||||||||||||||||||||||||
Change in carrying value of assets and liabilities, net | (2 | ) | - | (2 | ) | - | - | - | ||||||||||||||||
All Interestholders- | ||||||||||||||||||||||||
Change in carrying value of assets and liabilities, net | - | 885 | 885 | - | 4,904 | 4,904 | ||||||||||||||||||
Distributions (declared) reversed, net | - | 2,638 | 2,638 | - | 99 | 99 | ||||||||||||||||||
Net change in assets and liabilities | - | 3,523 | 3,523 | - | 5,003 | 5,003 | ||||||||||||||||||
Net Assets in Liquidation as of end of period | $ | 3,483 | $ | 34,433 | $ | 37,916 | $ | 3,167 | $ | 131,376 | $ | 134,543 |
Item 1. | Financial Statements (Continued) |
1) | Formation and Description of Business |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
2) | Summary of Significant Accounting Policies |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
Table of Contents |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three Months Ended September 30, 2022 and 2021 |
(Unaudited) |
The Company separately presents the portion of net assets in liquidation that are restricted for Qualifying Victims (Note 7) from the net assets in liquidation that are available to All Interestholders. |
3) | Real Estate Assets Held for Sale |
March 31, 2022 | June 30, 2021 | September 30, 2022 | June 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of Assets | Gross Value | Closing and Other Costs | Net Value | Number of Assets | Gross Value | Closing and Other Costs | Net Value | Number of Assets | Gross Value | Closing and Other Costs | Net Value | Number of Assets | Gross Value | Closing and Other Costs | Net Value | |||||||||||||||||||||||||||||||||||||||||||||||||
Single-family homes | 3 | $ | 98,451 | $ | (5,907 | ) | $ | 92,544 | 7 | $ | 146,750 | $ | (8,805 | ) | $ | 137,945 | 1 | $ | 28,000 | $ | (1,680 | ) | $ | 26,320 | 1 | $ | 28,000 | $ | (1,680 | ) | $ | 26,320 | ||||||||||||||||||||||||||||||||
Other real estate assets: | Other real estate assets: | Other real estate assets: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Secured loans | 2 | 986 | (40 | ) | 946 | 4 | 1,945 | (87 | ) | 1,858 | 2 | 960 | (40 | ) | 920 | 2 | 972 | (40 | ) | 932 | ||||||||||||||||||||||||||||||||||||||||||||
Other properties | 2 | 1,107 | (55 | ) | 1,052 | 2 | 1,107 | (55 | ) | 1,052 | 2 | 2,000 | (190 | ) | 1,810 | 2 | 2,000 | (190 | ) | 1,810 | ||||||||||||||||||||||||||||||||||||||||||||
Subtotal | 4 | 2,093 | (95 | ) | 1,998 | 6 | 3,052 | (142 | ) | 2,910 | 4 | 2,960 | (230 | ) | 2,730 | 4 | 2,972 | (230 | ) | 2,742 | ||||||||||||||||||||||||||||||||||||||||||||
Total | 7 | $ | 100,544 | $ | (6,002 | ) | $ | 94,542 | 13 | $ | 149,802 | $ | (8,947 | ) | $ | 140,855 | 5 | $ | 30,960 | $ | (1,910 | ) | $ | 29,050 | 5 | $ | 30,972 | $ | (1,910 | ) | $ | 29,062 |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
4) | Restricted Cash |
March 31, 2022 | June 30, 2021 | September 30, 2022 | June 30, 2022 | |||||||||||||
Distributions restricted by the Company related to unresolved claims, distributions for recently allowed claims, uncashed distribution checks, distributions withheld due to pending avoidance actions and distributions that the Trust is waiting for further beneficiary information | $ | 5,031 | $ | 4,687 | $ | 1,228 | $ | 3,726 | ||||||||
Forfeited Assets (Note 7) | 2,317 | 1,836 | 2,964 | 2,395 | ||||||||||||
Interest reserve (Note 9) | 1,750 | 1,750 | ||||||||||||||
Total restricted cash | $ | 9,098 | $ | 8,273 | $ | 4,192 | $ | 6,121 |
5) | Other Assets |
March 31, 2022 | June 30, 2021 | September 30, 2022 | June 30, 2022 | |||||||||||||
Escrow receivables (a) | $ | 3,560 | $ | 2,500 | $ | 370 | $ | 3,420 | ||||||||
Forfeited Assets (Note 7) | 1,059 | 1,549 | ||||||||||||||
Forfeited Assets, net (Note 7) | 678 | 1,258 | ||||||||||||||
Settlement installment receivables, net (b) | 712 | 1,014 | 511 | 756 | ||||||||||||
Other | 400 | 410 | 244 | 391 | ||||||||||||
Total other assets | $ | 5,731 | $ | 5,473 | $ | 1,803 | $ | 5,825 |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
6) | Accrued Liquidation Costs |
March 31, 2022 | June 30, 2021 | September 30, 2022 | June 30, 2022 | |||||||||||||
Development costs: | ||||||||||||||||
Construction costs | $ | 11,564 | $ | 23,480 | $ | 2,685 | $ | 4,331 | ||||||||
Construction warranty | 2,870 | 2,870 | 4,184 | 4,184 | ||||||||||||
Indirect costs | 498 | 712 | 82 | 170 | ||||||||||||
Bond refunds | (699 | ) | (1,134 | ) | (388 | ) | (506 | ) | ||||||||
Total development costs | 14,233 | 25,928 | 6,563 | 8,179 | ||||||||||||
Holding costs: | ||||||||||||||||
Property tax | 836 | 1,901 | 771 | 771 | ||||||||||||
Maintenance, utilities and other | 302 | 428 | ||||||||||||||
Insurance | 462 | 1,291 | 200 | 388 | ||||||||||||
Maintenance, utilities and other | 479 | 1,000 | ||||||||||||||
Total holding costs | 1,777 | 4,192 | 1,273 | 1,587 | ||||||||||||
General and administrative costs: | ||||||||||||||||
Legal and other professional fees | 10,475 | 17,697 | 10,578 | 12,377 | ||||||||||||
Payroll and payroll-related | 8,546 | 10,432 | 5,185 | 7,989 | ||||||||||||
State, local and other taxes | 2,188 | 2,217 | ||||||||||||||
Directors and officers insurance | 2,024 | 2,576 | 2,508 | 2,508 | ||||||||||||
Board fees and expenses | 698 | 1,558 | 473 | 630 | ||||||||||||
State, local and other taxes | 330 | 331 | ||||||||||||||
Other | 1,164 | 983 | 757 | 936 | ||||||||||||
Total general and administrative costs | 25,095 | 35,463 | 19,831 | 24,771 | ||||||||||||
Total accrued liquidation costs | $ | 41,105 | $ | 65,583 | $ | 27,667 | $ | 34,537 |
7) | Forfeited Assets - Restricted for Qualifying Victims |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
March 31, 2022 | June 30, 2021 | September 30, 2022 | June 30, 2022 | |||||||||||||
Restricted cash (Note 4) | $ | 2,317 | $ | 1,836 | $ | 2,964 | $ | 2,395 | ||||||||
Other assets (Note 5) | 1,059 | 1,549 | ||||||||||||||
Accrued liquidation costs | (173 | ) | (218 | ) | ||||||||||||
Other assets, net of selling costs (Note 5) | 678 | 1,258 | ||||||||||||||
Accrued liquidation costs -primarily legal and professional fees | (159 | ) | (168 | ) | ||||||||||||
Net assets in liquidation - restricted for Qualifying Victims | $ | 3,203 | $ | 3,167 | $ | 3,483 | $ | 3,485 |
8) | Net Change In Assets and Liabilities |
Cash | Remeasure- | |||||||||||
Activities | ment | Total | ||||||||||
Real estate assets, net | $ | - | $ | - | $ | - | ||||||
Cash and cash equivalents | - | - | - | |||||||||
Restricted cash | 569 | - | 569 | |||||||||
Other assets | (579 | ) | - | (579 | ) | |||||||
Total assets | $ | (10 | ) | $ | - | $ | (10 | ) | ||||
Accounts payable and accrued liabilities | $ | - | $ | - | $ | - | ||||||
Accrued liquidation costs | (8 | ) | - | (8 | ) | |||||||
Total liabilities | $ | (8 | ) | $ | - | $ | (8 | ) | ||||
Change in carrying value of assets and liabilities, net | $ | (2 | ) | $ | - | $ | (2 | ) |
Cash | Remeasure- | |||||||||||
Activities | ment | Total | ||||||||||
Real estate assets held for sale, net | $ | 0 | $ | 0 | $ | 0 | ||||||
Cash and cash equivalents | 0 | 0 | 0 | |||||||||
Restricted cash | 111 | 0 | 111 | |||||||||
Other assets | (120 | ) | 0 | (120 | ) | |||||||
Total assets | $ | (9 | ) | $ | 0 | $ | (9 | ) | ||||
Accounts payable and accrued liabilities | $ | 0 | $ | 0 | $ | 0 | ||||||
Accrued liquidation costs | (9 | ) | 0 | (9 | ) | |||||||
Total liabilities | $ | (9 | ) | $ | 0 | $ | (9 | ) | ||||
Change in carrying value of assets and liabilities, net | $ | 0 | $ | 0 | $ | 0 |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
Cash | Remeasure- | |||||||||||
Activities | ment | Total | ||||||||||
Real estate assets, net | $ | - | $ | - | $ | - | ||||||
Cash and cash equivalents | - | - | - | |||||||||
Restricted cash | (19 | ) | - | (19 | ) | |||||||
Other assets | - | - | - | |||||||||
Total assets | $ | (19 | ) | $ | - | $ | (19 | ) | ||||
Accounts payable and accrued liabilities | $ | - | $ | - | $ | - | ||||||
Accrued liquidation costs | (19 | ) | - | (19 | ) | |||||||
Total liabilities | $ | (19 | ) | $ | - | $ | (19 | ) | ||||
Change in carrying value of assets and liabilities, net | $ | - | $ | - | $ | - |
Cash | Remeasure- | |||||||||||
Activities | ment | Total | ||||||||||
Real estate assets held for sale, net | $ | 0 | $ | 0 | $ | 0 | ||||||
Cash and cash equivalents | 0 | 0 | 0 | |||||||||
Restricted cash | 28 | 0 | 28 | |||||||||
Other assets | 0 | 3,442 | 3,442 | |||||||||
Total assets | $ | 28 | $ | 3,442 | $ | 3,470 | ||||||
Accounts payable and accrued liabilities | $ | 0 | $ | 11 | $ | 11 | ||||||
Accrued liquidation costs | 0 | 0 | 0 | |||||||||
Total liabilities | $ | 0 | $ | 11 | $ | 11 | ||||||
Change in carrying value of assets and liabilities, net | $ | 28 | $ | 3,431 | $ | 3,459 |
Cash | Remeasure- | |||||||||||
Activities | ment | Total | ||||||||||
Real estate assets held for sale, net | $ | 0 | $ | 0 | $ | 0 | ||||||
Cash and cash equivalents | 0 | 0 | 0 | |||||||||
Restricted cash | 481 | 0 | 481 | |||||||||
Other assets | (526 | ) | 36 | (490 | ) | |||||||
Total assets | $ | (45 | ) | $ | 36 | $ | (9 | ) | ||||
Accounts payable and accrued liabilities | $ | 0 | $ | 0 | $ | 0 | ||||||
Accrued liquidation costs | (45 | ) | 0 | (45 | ) | |||||||
Total liabilities | $ | (45 | ) | $ | 0 | $ | (45 | ) | ||||
Change in carrying value of assets and liabilities, net | $ | 0 | $ | 36 | $ | 36 |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
Cash | Remeasure- | |||||||||||
Activities | ment | Total | ||||||||||
Real estate assets held for sale, net | $ | 0 | $ | 0 | $ | 0 | ||||||
Cash and cash equivalents | 0 | 0 | 0 | |||||||||
Restricted cash | 28 | 0 | 28 | |||||||||
Other assets | 0 | 3,442 | 3,442 | |||||||||
Total assets | $ | 28 | $ | 3,442 | $ | 3,470 | ||||||
Accounts payable and accrued liabilities | $ | 0 | $ | 11 | $ | 11 | ||||||
Accrued liquidation costs | 0 | 0 | 0 | |||||||||
Total liabilities | $ | 0 | $ | 11 | $ | 11 | ||||||
Change in carrying value of assets and liabilities, net | $ | 28 | $ | 3,431 | $ | 3,459 |
Cash | Remeasure- | Cash | Remeasure- | |||||||||||||||||||||
Activities | ment | Total | Activities | ment | Total | |||||||||||||||||||
Real estate assets held for sale, net | $ | (736 | ) | $ | 9,870 | $ | 9,134 | |||||||||||||||||
Real estate assets, net | $ | (12 | ) | $ | - | $ | (12 | ) | ||||||||||||||||
Cash and cash equivalents | 19,910 | 0 | 19,910 | (2,540 | ) | - | (2,540 | ) | ||||||||||||||||
Restricted cash | 0 | 0 | 0 | 2 | - | 2 | ||||||||||||||||||
Other assets | (24,991 | ) | 20 | (24,971 | ) | (3,332 | ) | (110 | ) | (3,442 | ) | |||||||||||||
Total assets | $ | (5,817 | ) | $ | 9,890 | $ | 4,073 | $ | (5,882 | ) | $ | (110 | ) | $ | (5,992 | ) | ||||||||
Accounts payable and accrued liabilities | $ | 0 | $ | 79 | $ | 79 | $ | (25 | ) | $ | 9 | $ | (16 | ) | ||||||||||
Accrued liquidation costs | (6,500 | ) | 2,228 | (4,272 | ) | (6,480 | ) | (381 | ) | (6,861 | ) | |||||||||||||
Total liabilities | $ | (6,500 | ) | $ | 2,307 | $ | (4,193 | ) | $ | (6,505 | ) | $ | (372 | ) | $ | (6,877 | ) | |||||||
Change in carrying value of assets and liabilities, net | $ | 683 | $ | 7,583 | $ | 8,266 | $ | 623 | $ | 262 | $ | 885 |
Distributions declared | $ | - | ||
Distributions reversed | 2,638 | |||
Distributions declared, net | $ | 2,638 |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
Distributions declared | $ | (39,981 | ) | |
Distributions reversed | 472 | |||
Distributions (declared) reversed, net | $ | (39,509 | ) |
Cash | Remeasure- | |||||||||||
Activities | ment | Total | ||||||||||
Real estate assets held for sale, net | $ | (9 | ) | $ | 0 | $ | (9 | ) | ||||
Cash and cash equivalents | (11,199 | ) | 0 | (11,199 | ) | |||||||
Restricted cash | 1,262 | 0 | 1,262 | |||||||||
Other assets | (287 | ) | (1,091 | ) | (1,378 | ) | ||||||
Total assets | $ | (10,233 | ) | $ | (1,091 | ) | $ | (11,324 | ) | |||
Accounts payable and accrued liabilities | $ | 42 | $ | 30 | $ | 72 | ||||||
Accrued liquidation costs | (11,238 | ) | (2,132 | ) | (13,370 | ) | ||||||
Total liabilities | $ | (11,196 | ) | $ | (2,102 | ) | $ | (13,298 | ) | |||
Change in carrying value of assets and liabilities, net | $ | 963 | $ | 1,011 | $ | 1,974 |
Distributions declared | $ | (50,005 | ) | |
Distributions reversed | 47 | |||
Distributions (declared) reversed, net | $ | (49,958 | ) |
Cash | Remeasure- | Cash | Remeasure- | |||||||||||||||||||||
Activities | ment | Total | Activities | ment | Total | |||||||||||||||||||
Real estate assets held for sale, net | $ | (64,437 | ) | $ | 18,124 | $ | (46,313 | ) | ||||||||||||||||
Real estate assets, net | $ | (42,454 | ) | $ | 2,965 | $ | (39,489 | ) | ||||||||||||||||
Cash and cash equivalents | 68,260 | 0 | 68,260 | 34,803 | - | 34,803 | ||||||||||||||||||
Restricted cash | 0 | 0 | 0 | - | - | - | ||||||||||||||||||
Other assets | (25,998 | ) | 26,745 | 747 | (700 | ) | 823 | 123 | ||||||||||||||||
Total assets | $ | (22,175 | ) | $ | 44,869 | $ | 22,694 | $ | (8,351 | ) | $ | 3,788 | $ | (4,563 | ) | |||||||||
Accounts payable and accrued liabilities | $ | (184 | ) | $ | 1,390 | $ | 1,206 | $ | - | $ | 49 | $ | 49 | |||||||||||
Accrued liquidation costs | (23,712 | ) | (722 | ) | (24,434 | ) | (8,723 | ) | (793 | ) | (9,516 | ) | ||||||||||||
Total liabilities | $ | (23,896 | ) | $ | 668 | $ | (23,228 | ) | $ | (8,723 | ) | $ | (744 | ) | $ | (9,467 | ) | |||||||
Change in carrying value of assets and liabilities, net | $ | 1,721 | $ | 44,201 | $ | 45,922 | $ | 372 | $ | 4,532 | $ | 4,904 |
Distributions declared | $ | (79,997 | ) | $ | - | |||
Distributions reversed | 761 | 99 | ||||||
Distributions (declared) reversed, net | $ | (79,236 | ) | |||||
Distributions declared, net | $ | 99 |
9) | Credit Agreement |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
Cash | Remeasure- | |||||||||||
Activities | ment | Total | ||||||||||
Real estate assets held for sale, net | $ | (121,186 | ) | $ | (13,184 | ) | $ | (134,370 | ) | |||
Cash and cash equivalents | 87,650 | 0 | 87,650 | |||||||||
Restricted cash | 2,528 | 0 | 2,528 | |||||||||
Other assets | (2,164 | ) | (762 | ) | (2,926 | ) | ||||||
Total assets | $ | (33,172 | ) | $ | (13,946 | ) | $ | (47,118 | ) | |||
Accounts payable and accrued liabilities | $ | (947 | ) | $ | 423 | $ | (524 | ) | ||||
Accrued liquidation costs | (41,236 | ) | (12,887 | ) | (54,123 | ) | ||||||
Total liabilities | $ | (42,183 | ) | $ | (12,464 | ) | $ | (54,647 | ) | |||
Change in carrying value of assets and liabilities, net | $ | 9,011 | $ | (1,482 | ) | $ | 7,529 |
Distributions declared | $ | (109,932 | ) | |
Distributions reversed | 378 | |||
Distributions (declared) reversed, net | $ | (109,554 | ) |
10) | Beneficial Interests |
For the Nine Months Ended March 31, | For the Three Months Ended September 30, | |||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||
Liquidation Trust Interests | Class A | Class B | Class A | Class B | Class A | Class B | Class A | Class B | ||||||||||||||||||||||||
Outstanding at beginning of period | 11,512,855 | 675,784 | 11,518,232 | 675,558 | 11,513,535 | 675,617 | 11,512,855 | 654,784 | ||||||||||||||||||||||||
Allowed claims | 4,976 | 0 | 10,367 | 1,133 | 1,348 | - | 302 | - | ||||||||||||||||||||||||
5% enhancement for certain allowed claims | 0 | 0 | 182 | 56 | 67 | - | - | - | ||||||||||||||||||||||||
Settlement of claims by cancelling Liquidation | ||||||||||||||||||||||||||||||||
Trust Interests | (1,392 | ) | (167 | ) | (15,121 | ) | (435 | ) | (760 | ) | - | (1,392 | ) | (167 | ) | |||||||||||||||||
Outstanding at end of period | 11,516,439 | 675,617 | 11,513,660 | 676,312 | 11,514,190 | 675,617 | 11,511,765 | 654,617 |
For the Nine Months Ended March 31, | For the Three Months Ended September 30, | |||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||
Liquidation Trust Interests | Class A | Class B | Class A | Class B | Class A | Class B | Class A | Class B | ||||||||||||||||||||||||
Reserved for unresolved claims at beginning of period | 124,609 | 5,011 | 193,559 | 7,118 | 90,793 | 333 | 124,609 | 5,011 | ||||||||||||||||||||||||
Allowed claims | (4,976 | ) | 0 | (10,367 | ) | (1,133 | ) | (1,348 | ) | - | (302 | ) | - | |||||||||||||||||||
5% enhancement for certain allowed claims | 0 | 0 | (32 | ) | 0 | - | - | - | - | |||||||||||||||||||||||
Disallowed claims | (28,840 | ) | (4,678) | (44,372 | ) | (974 | ) | (75,570 | ) | - | (3,146 | ) | - | |||||||||||||||||||
Reserved for unresolved claims at end of period | 90,793 | 333 | 138,788 | 5,011 | 13,875 | 333 | 121,161 | 5,011 |
Table of Contents |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three Months Ended September 30, 2022 and 2021 |
(Unaudited) |
11) | Distributions |
Deposits Into | ||||||||||||||||||
$ per | Restricted | |||||||||||||||||
Date | Class A | Total | Cash | |||||||||||||||
Declared | Interest | Declared | Paid | Account | ||||||||||||||
Tenth Distribution | 6/15/2022 | (a) | $ | 5.63 | $ | - | $ | 64.19 | $ | 0.83 |
(a) | The $65.02 million distribution was declared on June 15, 2022 and the distribution was paid on July 15, 2022. The deposit into the restricted cash account was made on July 26, 2022. |
Table of Contents |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three Months Ended September 30, 2022 and 2021 |
(Unaudited) |
12) | Related Party Transactions |
13) | Causes of Action |
For the Three Months Ended March 31, | For the Nine Months Ended March 31, | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Comerica Bank | $ | 0 | $ | 0 | $ | 24,815 | $ | 0 | ||||||||
Other settlement recoveries | 468 | 1,278 | 1,868 | 8,443 | ||||||||||||
Total | $ | 468 | $ | 1,278 | $ | 26,683 | $ | 8,443 |
Trust's net portion | $ | 24,815 | ||
Payable to non-contributing claimants | 15,600 | |||
Payable for approved legal fees and litigation costs | 13,960 | |||
Payable for incentive awards | 100 | |||
Payable for administrative costs relating to non-contributing claimants | 25 | |||
Total | $ | 54,500 |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
14) | Commitments and Contingencies |
15) | Subsequent Events |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 1. Financial Statements (Continued) |
Woodbridge Liquidation Trust and Subsidiaries |
Notes to Consolidated Financial Statements |
For the Three |
(Unaudited) |
PART I. FINANCIAL INFORMATION (CONTINUED) |
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) |
Class of Interest | Number Outstanding | |||||||||||||||||||||||||||||||||||||
Class A Liquidation Trust Interests
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PART I. FINANCIAL INFORMATION (CONTINUED) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued)
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Restricted for | All | |||||||||||
Qualifying Victims | Interestholders | Total | ||||||||||
Net assets in liquidation as of June 30, 2022 | $ | 3,485 | $ | 30,910 | $ | 34,395 | ||||||
Change in assets and liabilities: | ||||||||||||
Restricted for Qualifying Victims - change in carrying value of assets and liabilities, net | (2 | ) | - | (2 | ) | |||||||
All Interestholders- | ||||||||||||
Change in carrying value of assets and liabilities, net | - | 885 | 885 | |||||||||
Distributions (declared) reversed, net | - | 2,638 | 2,638 | |||||||||
Net change in assets and liabilities | - | 3,523 | 3,523 | |||||||||
Net assets in liquidation, as of September 30, 2022 | $ | 3,483 | $ | 34,433 | 37,916 |
Restricted for | All | |||||||||||
Qualifying Victims | Interestholders | Total | ||||||||||
Remeasurement of assets and liabilities, net | $ | (2 | ) | $ | 288 | $ | 284 | |||||
Settlement recoveries recognized, net (1) | - | 154 | 154 | |||||||||
Other | - | 443 | 445 | |||||||||
Change in carrying value of assets and liabilities, net | $ | (2 | ) | $ | 885 | $ | 883 |
(1) | Net of 5% payable to the Liquidation Trustee of approximately
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PART I. FINANCIAL INFORMATION (CONTINUED) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Continued) Paid holding costs of approximately $0.27 million. Paid general and administrative costs of approximately $4.96 million, including approximately $0.16 million of board member fees and expenses, approximately $3.02 million of payroll and other general and administrative costs and approximately $1.78 million of professional fees. For the three months ended September 30, 2021 The following is a summary of the Consolidated Statement of Changes in Net Assets in Liquidation for the three months ended September 30, 2021 ($ in thousands):
Net assets in liquidation – Restricted for Qualifying Victims did not change during the three months ended September 30, 2021. Net assets in liquidation – All Interestholders increased approximately $5.00 million during the three months ended September 30, 2021. This increase was due to changes in the carrying value of assets and liabilities, net of approximately $4.90 million and distributions reversed of approximately $0.10 million for disallowed claims and cancelled interests. The components of the change in the carrying value of assets and liabilities, net are as follows ($ in thousands):
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