Case 19-11984-CSS     Doc 441     Filed 11/01/19     Page 1 of 14

Exhibit 99.3

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: FRED’S, INC., et al.	Case No. 19-11984 (CSS)
	Reporting Period:

MONTHLY OPERATING REPORT

File with Court and submit copy to United States Trustee within 20 days after end of month

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

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

I declare under penalty of perjury (28 U.S.C. Section 1746) that this report and the attached documents are true and correct to the best of my knowledge and belief.

Signature of Debtor	Date
Signature of Joint Debtor	Date
/s/ Mark Rezi	11/1/2019
Signature of Authorized Individual*	Date
Mark Renzi	Chief Restructuring Officer
Printed Name of Authorized Individual	Title of Authorized Individual

* Authorized individual must be an officer, director or shareholder if debtor is a corporation; a partner if debtor is a partnership; a manager or member if debtor is a limited liability company.

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Case 19-11984-CSS     Doc 441     Filed 11/01/19     Page 2 of 14

FRED’S, INC., et al.

DEBTORS AND DEBTORS IN POSSESSION

SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS

For period from September 9, 2019 to October 5, 2019      

($ in 000’s) Cash Flow Summary	Current       Month			Cumulative
Receipts
FS Collections		14,569			14,569
Rx Collections		13,894			13,894
Asset Sales		4,705			4,705
Other Collections		295			295
Total Cash Receipts		33,462			33,462
Disbursements
FS Merchandise		(183	)		(183	)
RX Merchandise		(7,848	)		(7,848	)
Payroll and Other Employee Obligations		(5,438	)		(5,438	)
Rent		(1,114	)		(1,114	)
Sales Tax		(1,566	)		(1,566	)
Utilities		(382	)		(382	)
Other Operating Disbursements		(3,873	)		(3,873	)
Non-Operating Disbursements		(6,064	)		(6,064	)
Total Cash Disbursements		(26,469	)		(26,469	)
Net Cash Flow		6,993			6,993

Note: The Company was operating under cash collateral during this period and all net cash flows were used to pay down the DIP loan.

2

Case 19-11984-CSS     Doc 441     Filed 11/01/19     Page 3 of 14

FRED’S, INC., et al.

DEBTORS AND DEBTORS IN POSSESSION

Total Disbursements by Filed Legal Entity (unaudited, in thousands)

For period from September 9, 2019 to October 5, 2019

Legal Entity	Case Number	Disbursements
Fred’s, Inc.	19-11984		25,355
Fred’s Stores of Tennessee, Inc.	19-11982		1,114
505 N. Main Opp, LLC	19-11983		—
National Equipment Management and Leasing, Inc.	19-11985		—
National Pharmaceutical Network, Inc.	19-11986		—
Summit Properties – Bridgeport, LLC	19-11987		—
Summit Properties – Jacksboro, LLC	19-11988		—
Reeves-Sain Drug Store, Inc.	19-11989		—

3

Case 19-11984-CSS     Doc 441     Filed 11/01/19     Page 4 of 14

FRED’S, INC., et al.

DEBTORS AND DEBTORS IN POSSESSION

Bank Reconciliations (unaudited)

Values in $

Debtor Name	Name of Institution	Type of Account	Account Number (last 4 digits)		Account balance as of 10/5
Fred’s Inc.	Regions Bank	Pharmacy Lockbox		7214		—
Fred’s Inc.	Regions Bank	Payroll		5469		—
Fred’s Inc.	Regions Bank	Master		5477		65,824.28
Fred’s Inc.	Regions Bank	Master Funding		4352		—
Fred’s Inc.	Regions Bank	Controlled Disbursement		3377		—
Fred’s Inc.	Regions Bank	Alcohol		2440		—
Fred’s Inc.	Regions Bank	Sales Tax		2459		—
Fred’s Inc.	Regions Bank	Import Customs		5899		—
Fred’s Inc.	Regions Bank	TN Lottery		4565		—
Fred’s Inc.	Regions Bank	AR Lottery		4638		—
Fred’s Inc.	Regions Bank	GA Lottery		4654		—
Fred’s Inc.	Regions Bank	TX Lottery		3132		—
Fred’s Inc.	Regions Bank	FL Lottery		5750		—
Fred’s Inc.	Regions Bank	KY Lottery		3430		—
Fred’s Inc.	Regions Bank	MO Lottery		3449		—
Fred’s Inc.	Regions Bank	NC Education Lottery		3457		—
Fred’s Inc.	Bank of America	Import Letters of Credit		3162		11,419.89
Fred’s Inc.	Bank of America	EDI		4407		99,373.46
Fred’s Inc.	MetaBank	Payroll Pay Cards		0011		8,162.27
Fred’s Stores of Tennessee	MCKENZIE BANKING CO	Store Account		1066		1,888.16
Fred’s Stores of Tennessee	Warren Bank & Trust Company	Store Account		1779		1,834.14
Fred’s Stores of Tennessee	BANK OF AUGUSTA	Store Account		8947		3,425.18
Fred’s Stores of Tennessee	McKenzie Banking Co	Store Account		3153		1,290.14
Fred’s Stores of Tennessee	The Bank Of Lafayette	Store Account		9018		4,079.84
Fred’s Stores of Tennessee	BANK OF DADE	Store Account		2384		3,073.07
Fred’s Stores of Tennessee	Cadence	Store Account		2705		1,556.15
Fred’s Stores of Tennessee	FARMERS STATE BANK	Store Account		6013		16,759.84
Fred’s Stores of Tennessee	FARMERS AND MERCHANTS BANK	Store Account		6822		22,918.15
Fred’s Stores of Tennessee	Caldwell Bank & Trust	Store Account		9751		811.94
Fred’s Stores of Tennessee	BANK OF BOLIVAR	Store Account		9793		1,485.56
Fred’s Stores of Tennessee	FIRST SECURITY BANK	Store Account		1070		4,178.70
Fred’s Stores of Tennessee	City National Bank	Store Account		8174		2,566.01
Fred’s Stores of Tennessee	Farmers & Merchants	Store Account		9305		9,692.60
Fred’s Stores of Tennessee	First Century Bank	Store Account		0533		—
Fred’s Stores of Tennessee	MALVERN NATIONAL BANK	Store Account		8828		4,961.11
Fred’s Stores of Tennessee	Bank of Social Circl	Store Account		0039		2,571.37
Fred’s Stores of Tennessee	Pinnacle Bank	Store Account		4780		153.62
Fred’s Stores of Tennessee	Security State Bank	Store Account		1527		—
Fred’s Stores of Tennessee	FNB OF EASTERN ARK.	Store Account		2946		—
Fred’s Stores of Tennessee	FIRST SECURITY BANK	Store Account		8030		4,233.36
Fred’s Stores of Tennessee	The Bank Of Eastman	Store Account		8464		7,912.36
Fred’s Stores of Tennessee	The First National B	Store Account		1139		6,164.80
Fred’s Stores of Tennessee	Piggott State Bank	Store Account		3085		1,314.48
Fred’s Stores of Tennessee	Security State Bank	Store Account		3456		2,435.77
Fred’s Stores of Tennessee	Richton Bank	Store Account		2262		726.92
Fred’s Stores of Tennessee	CHESTER COUNTY BANK	Store Account		4427		1,849.23
Fred’s Stores of Tennessee	Citizens Bank	Store Account		7384		2,552.03
Fred’s Stores of Tennessee	Helena National	Store Account		7434		1,640.72
Fred’s Stores of Tennessee	Century Next Bank	Store Account		2128		1,134.86
Fred’s Stores of Tennessee	Bank of Ripley	Store Account		4384		3,784.97
Fred’s Stores of Tennessee	First American Nat’l	Store Account		4848		4,253.66
Fred’s Stores of Tennessee	Simmons First National Bank	Store Account		6056		2,563.15
Fred’s Stores of Tennessee	QUEENSBOROUGH	Store Account		6601		7,325.27
Fred’s Stores of Tennessee	Century Next Bank	Store Account		8784		3,053.37
Fred’s Stores of Tennessee	Bank of Dudley	Store Account		9392		3,914.36
Fred’s Stores of Tennessee	BancorpSouth	Store Account		0828		4,449.58
Fred’s Stores of Tennessee	First National Bank	Store Account		1565		—
Fred’s Stores of Tennessee	Planters First Bank	Store Account		7758		3,976.75
Fred’s Stores of Tennessee	BANK OF EUREKA SPRINGS	Store Account		0096		970.79
Fred’s Stores of Tennessee	Town-Country National Bank	Store Account		0427		8,819.96
Fred’s Stores of Tennessee	Priority One Bank	Store Account		2258		1,140.85
Fred’s Stores of Tennessee	First Security Bank	Store Account		0193		3,197.83
Fred’s Stores of Tennessee	First Security Bank	Store Account		6159		1,268.79
Fred’s Stores of Tennessee	Simmons First National Bank	Store Account		7473		1,132.10
Fred’s Stores of Tennessee	BANKPLUS	Store Account		7511		1,371.04
Fred’s Stores of Tennessee	ARVEST BANK	Store Account		2388		214.08
Fred’s Stores of Tennessee	Merchants & Farmers Bank	Store Account		2565		290.25
Fred’s Stores of Tennessee	Farmers & Merchants Bank	Store Account		7142		(10.57	)
Fred’s Stores of Tennessee	BANKPLUS	Store Account		0738		461.61
Fred’s Stores of Tennessee	Bank South	Store Account		2673		96.67
Fred’s Stores of Tennessee	COLONY BANK ASHBURN	Store Account		1991		7,448.87

Case 19-11984-CSS     Doc 441     Filed 11/01/19     Page 5 of 14

FRED’S, INC., et al.

DEBTORS AND DEBTORS IN POSSESSION

Bank Reconciliations (unaudited)

Values in $

Debtor Name	Name of Institution	Type of Account	Account Number (last 4 digits)		Account balance as of 10/5
Fred’s Stores of Tennessee	First Security Bank	Store Account		9973		1,483.53
Fred’s Stores of Tennessee	Edmonton State Bank	Store Account		9211		2,240.37
Fred’s Stores of Tennessee	BANKPLUS	Store Account		1586		3,168.11
Fred’s Stores of Tennessee	Bank of Ringgold	Store Account		8617		2,334.72
Fred’s Stores of Tennessee	BANK OF CADIZ & TRUST	Store Account		4552		637.57
Fred’s Stores of Tennessee	WEST ALABAMA BANK & TRUST	Store Account		6812		2,525.63
Fred’s Stores of Tennessee	Merchants & Farmers Bank	Store Account		1095		2,356.83
Fred’s Stores of Tennessee	West Alabama Bank & Trust	Store Account		5326		3,811.84
Fred’s Stores of Tennessee	Tippins Bank	Store Account		9797		4,060.73
Fred’s Stores of Tennessee	Pilgrim Bank	Store Account		1600		2,924.08
Fred’s Stores of Tennessee	Tensas State Bank	Store Account		1820		4,782.58
Fred’s Stores of Tennessee	Delta Bank	Store Account		4022		2,039.65
Fred’s Stores of Tennessee	Marion State Bank	Store Account		5061		612.29
Fred’s Stores of Tennessee	Headland National Ba	Store Account		6073		14,221.44
Fred’s Stores of Tennessee	Home Trust Bank	Store Account		3070		3,744.50
Fred’s Stores of Tennessee	Gibsland Bank	Store Account		4005		2,780.05
Fred’s Stores of Tennessee	Peoples Bank	Store Account		6965		3,823.85
Fred’s Stores of Tennessee	Gibsland Bank	Store Account		6231		293.41
Fred’s Stores of Tennessee	Concordia Bank	Store Account		7288		3,166.58
Fred’s Stores of Tennessee	Concordia Bank & Tru	Store Account		8829		331.67
Fred’s Stores of Tennessee	Gibsland Bank & Trus	Store Account		5901		136.94
Fred’s Stores of Tennessee	Rayne State Bank	Store Account		0439		—
Fred’s Stores of Tennessee	QUEENSBOROUGH	Store Account		7321		1,300.46
Fred’s Stores of Tennessee	QUEENSBOROUGH	Store Account		7343		4,657.38
Fred’s Stores of Tennessee	Home Trust Bank	Store Account		9314		1,682.11
Fred’s Stores of Tennessee	Mount Vernon	Store Account		0473		476.49
Fred’s Stores of Tennessee	FIRST NATIONAL BANK	Store Account		2124		426.20
Fred’s Stores of Tennessee	CITIZENS BANK	Store Account		9501		1,165.89
Fred’s Stores of Tennessee	Gibsland Bank & Trust	Store Account		2817		1,275.50
Fred’s Stores of Tennessee	COMMUNITY TRUST BANK	Store Account		1672		5,111.08
Fred’s Stores of Tennessee	Independence Bank	Store Account		6251		1,521.10
Fred’s Stores of Tennessee	The Citizens Bank Of Philadephia	Store Account		2495		(304.14	)
Fred’s Stores of Tennessee	Robertson Banking Co	Store Account		2891		7,550.03
Fred’s Stores of Tennessee	Citizens State	Store Account		6901		4,747.64
Fred’s Stores of Tennessee	Citizens Bank	Store Account		1896		10,677.21
Fred’s Stores of Tennessee	GLENNVILLE BANK & TRUST COMPANY	Store Account		8454		4,080.18
Fred’s Stores of Tennessee	BANKFIRST FINANCIAL SERVICES	Store Account		4205		7,520.06
Fred’s Stores of Tennessee	BANK OF LAKE VILLAGE	Store Account		6823		2,731.95
Fred’s Stores of Tennessee	FIRST NATIONAL BANK OF TENNESSEE	Store Account		4027		2,099.75
Fred’s Stores of Tennessee	Bank of Wiggins	Store Account		7738		911.06
Fred’s Stores of Tennessee	FIRST BANK	Store Account		7244		1,254.91
Fred’s Stores of Tennessee	BANK OF MORTON	Store Account		0318		5,492.96
Fred’s Stores of Tennessee	Delta Bank	Store Account		9366		1,754.51
Fred’s Stores of Tennessee	FARMERS STATE BANK GROESBECK	Store Account		8872		—
Fred’s Stores of Tennessee	Simmons First NB	Store Account		0944		1,360.18
Fred’s Stores of Tennessee	Bank of Anguilla	Store Account		3290		1,770.46
Fred’s Stores of Tennessee	MAGNOLIA STATE BANK	Store Account		1468		1,618.47
Fred’s Stores of Tennessee	First State Bank	Store Account		9547		1,720.97
Fred’s Stores of Tennessee	Bank of Winona	Store Account		0663		461.57
Fred’s Stores of Tennessee	Citizens Bank	Store Account		2867		1,645.86
Fred’s Stores of Tennessee	PEOPLES BANK	Store Account		5520		1,400.25
Fred’s Stores of Tennessee	Bank of Brinkley	Store Account		0010		719.73
Fred’s Stores of Tennessee	Pike National Bank	Store Account		9178		4,774.14
Fred’s Stores of Tennessee	FIRST FARMERS & MERC	Store Account		0360		557.18
Fred’s Stores of Tennessee	FIRST FARMERS & MERCHANTS NATIONAL BANK	Store Account		5274		1,335.47
Fred’s Stores of Tennessee	FIRST CITIZENS BANK	Store Account		9466		4,350.12
Fred’s Stores of Tennessee	Community Bank	Store Account		8401		5,276.62
Fred’s Stores of Tennessee	First National Banking Co	Store Account		9890		1,123.32
Fred’s Stores of Tennessee	South Crest	Store Account		2024		2,827.31
Fred’s Stores of Tennessee	Simmons First National Bank	Store Account		1696		2,762.22
Fred’s Stores of Tennessee	Central Bank	Store Account		9875		5,058.98
Fred’s Stores of Tennessee	Merchants & Planters	Store Account		3515		954.42
Fred’s Stores of Tennessee	Community Bank & Trust	Store Account		9564		3,830.14
Fred’s Stores of Tennessee	Unico Bank	Store Account		3357		4,573.72
Fred’s Stores of Tennessee	Metro Bank	Store Account		3131		3,887.91
Fred’s Stores of Tennessee	CITIZENS BANK AND SA	Store Account		4813		3,810.99
Fred’s Stores of Tennessee	FIRST SECURITY BANK	Store Account		5693		535.75
Fred’s Stores of Tennessee	Arvest Bank	Store Account		0017		966.14
Fred’s Stores of Tennessee	Peoples Trust Bank	Store Account		0345		3,164.65
Fred’s Stores of Tennessee	PEOPLES NATIONAL BANK	Store Account		2909		2,454.81
Fred’s Stores of Tennessee	Peoples National Bank	Store Account		4752		2,729.98

Case 19-11984-CSS     Doc 441     Filed 11/01/19     Page 6 of 14

FRED’S, INC., et al.

DEBTORS AND DEBTORS IN POSSESSION

Bank Reconciliations (unaudited)

Values in $

Debtor Name	Name of Institution	Type of Account	Account Number (last 4 digits)		Account balance as of 10/5
Fred’s Stores of Tennessee	Bank of Putnam County	Store Account		7055		3,314.06
Fred’s Stores of Tennessee	BancorpSouth	Store Account		6993		9,322.48
Fred’s Stores of Tennessee	Banterra Bank	Store Account		6801		1,971.03
Fred’s Stores of Tennessee	Heritage Bank	Store Account		5445		5,557.97
Fred’s Stores of Tennessee	Heritage Bank	Store Account		4468		4,831.99
Fred’s Stores of Tennessee	The Heritage Bank	Store Account		8388		2,838.24
Fred’s Stores of Tennessee	First State Bank	Store Account		8883		3,615.76
Fred’s Stores of Tennessee	Hancock Bank	Store Account		5810		8,912.05
Fred’s Stores of Tennessee	Planters First Bank	Store Account		2882		2,849.52
Fred’s Stores of Tennessee	FIRST NATL BK HAMILTON	Store Account		1643		1,484.40
Fred’s Stores of Tennessee	First Federal Bank of LA	Store Account		5467		1,603.31
Fred’s Stores of Tennessee	Community One Bank	Store Account		3865		4,224.36
Fred’s Stores of Tennessee	ALIANT BANK	Store Account		6008		13,879.54
Fred’s Stores of Tennessee	BancorpSouth	Store Account		8712		136.71
Fred’s Stores of Tennessee	MECHANICS BANK OF WATER VALLEY	Store Account		3393		588.14
Fred’s Stores of Tennessee	BancorpSouth	Store Account		5706		4,107.86
Fred’s Stores of Tennessee	BancorpSouth	Store Account		4178		2,709.37
Fred’s Stores of Tennessee	BancorpSouth	Store Account		5348		926.56
Fred’s Stores of Tennessee	Bancorp South	Store Account		5169		2,733.04
Fred’s Stores of Tennessee	Bancorp South	Store Account		0775		2,139.91
Fred’s Stores of Tennessee	FIRST BANK	Store Account		2166		1,048.42
Fred’s Stores of Tennessee	First Bank	Store Account		6219		1,731.98
Fred’s Stores of Tennessee	First Bank	Store Account		5866		4,343.21
Fred’s Stores of Tennessee	First State Bank	Store Account		1621		4,028.50
Fred’s Stores of Tennessee	Community Bank of LA	Store Account		3536		—
Fred’s Stores of Tennessee	FIRST BANK	Store Account		7451		1,584.82
Fred’s Stores of Tennessee	Renasant Bank	Store Account		1226		4,437.51
Fred’s Stores of Tennessee	Farmers & Bank	Store Account		8057		1,689.83
Fred’s Stores of Tennessee	CITIZENS TRI-COUNTY BANK	Store Account		1016		1,580.50
Fred’s Stores of Tennessee	BB&T	Store Account		4848		6,868.75
Fred’s Stores of Tennessee	Southern Bank & Trus	Store Account		1102		2,057.99
Fred’s Stores of Tennessee	COMMERCIAL STATE BANK	Store Account		5801		2,123.83
Fred’s Stores of Tennessee	First Nat’l Bank	Store Account		5501		2,797.12
Fred’s Stores of Tennessee	BANK OF VERNON	Store Account		4001		2,967.91
Fred’s Stores of Tennessee	Morgantown Bank& Trust	Store Account		3301		1,363.71
Fred’s Stores of Tennessee	OMNI BANK	Store Account		0506		984.94
Fred’s Stores of Tennessee	Renasant Bank	Store Account		0387		1,248.14
Fred’s Stores of Tennessee	Colony Bank	Store Account		3839		4,702.05
Fred’s Stores of Tennessee	Bank of Early	Store Account		0759		9,996.06
Fred’s Stores of Tennessee	Sabine State Bank	Store Account		0583		3,839.77
Fred’s Stores of Tennessee	Renasant Bank	Store Account		4205		998.21
Fred’s Stores of Tennessee	FARMERS & MERCHANTS BANK	Store Account		7301		3,617.46
Fred’s Stores of Tennessee	First Guaranty Bank	Store Account		5568		4,766.24
Fred’s Stores of Tennessee	First Guaranty Bank	Store Account		7389		3,218.29
Fred’s Stores of Tennessee	First Guaranty Bank	Store Account		2625		910.49
Fred’s Stores of Tennessee	First Guaranty Bank	Store Account		1161		1,303.85
Fred’s Stores of Tennessee	SouthWest Georgia Bank	Store Account		4801		3,564.81
Fred’s Stores of Tennessee	Sabine State Bank	Store Account		1341		3,528.81
Fred’s Stores of Tennessee	ANDERSON BROTHERS BANK	Store Account		0502		8,228.43
Fred’s Stores of Tennessee	Sabine State Bank	Store Account		2640		2,496.58
Fred’s Stores of Tennessee	Citizens Bank	Store Account		7897		8,364.93
Fred’s Stores of Tennessee	CAPITAL CITY BANK	Store Account		5301		2,331.85
Fred’s Stores of Tennessee	JD Bank	Store Account		2157		3,400.84
Fred’s Stores of Tennessee	JD Bank	Store Account		8193		3,151.49
Fred’s Stores of Tennessee	Trustmark Bank	Store Account		7936		3,134.27
Fred’s Stores of Tennessee	The Citizens Bank Fo	Store Account		5730		—
Fred’s Stores of Tennessee	Sabine State	Store Account		1535		861.91
Fred’s Stores of Tennessee	German American Bank	Store Account		8401		1,593.66
Fred’s Stores of Tennessee	Colony Bank	Store Account		3410		2,948.94
Fred’s Stores of Tennessee	BANKPLUS	Store Account		3391		538.90
Fred’s Stores of Tennessee	UNITED COMMUNITY BANK	Store Account		9868		3,824.48
Fred’s Stores of Tennessee	Ameris Bank	Store Account		0060		2,319.90
Fred’s Stores of Tennessee	United Community Bank	Store Account		3531		3,357.90
Fred’s Stores of Tennessee	United Community Bank	Store Account		5465		1,739.40
Fred’s Stores of Tennessee	United Community Bank	Store Account		4323		1,059.84
Fred’s Stores of Tennessee	Trustmark Bank	Store Account		7279		3,786.96
Fred’s Stores of Tennessee	Trustmark Bank	Store Account		0192		3,837.16
Fred’s Stores of Tennessee	FIRST STATE COMMUNITY BANK	Store Account		1631		2,663.93
Fred’s Stores of Tennessee	TrustMark National Bank	Store Account		5999		5,687.50
Fred’s Stores of Tennessee	Trustmark Bank	Store Account		1891		3,193.59
Fred’s Stores of Tennessee	Trustmark National Bank	Store Account		3444		2,224.47

Case 19-11984-CSS     Doc 441     Filed 11/01/19     Page 7 of 14

FRED’S, INC., et al.

DEBTORS AND DEBTORS IN POSSESSION

Bank Reconciliations (unaudited)

Values in $

Debtor Name	Name of Institution	Type of Account	Account Number (last 4 digits)		Account balance as of 10/5
Fred’s Stores of Tennessee	1st Nat Bank Wynne	Store Account		0901		855.57
Fred’s Stores of Tennessee	Trustmark	Store Account		0685		956.05
Fred’s Stores of Tennessee	TD Bank	Store Account		0141		1,047.71
Fred’s Stores of Tennessee	NORTHEAST GEORGIA BANK	Store Account		5697		6,931.78
Fred’s Stores of Tennessee	Renasant Bank	Store Account		1349		802.53
Fred’s Stores of Tennessee	REGIONS BANK	Store Account		0077		4,634.93
Fred’s Stores of Tennessee	Regions Bank	Store Account		0115		11,249.63
Fred’s Stores of Tennessee	Regions Bank	Store Account		0058		2,608.70
Fred’s Stores of Tennessee	Capital One	Store Account		9999		1,875.05
Fred’s Stores of Tennessee	Bank of the Ozarks	Store Account		6901		2,137.77
Fred’s Stores of Tennessee	SUNTRUST BANK	Store Account		6390		3,993.12
Fred’s Stores of Tennessee	Community Bank	Store Account		4430		6,208.57
Fred’s Stores of Tennessee	First Citizens Bank	Store Account		2927		1,755.25
Fred’s Stores of Tennessee	First Citizens	Store Account		5539		5,721.92
Fred’s Stores of Tennessee	First National Bank	Store Account		0539		2,882.19
Fred’s Stores of Tennessee	State Bank	Store Account		8694		866.43
Fred’s Stores of Tennessee	Iberia Bank	Store Account		1953		6,336.89
Fred’s Stores of Tennessee	Iberia Bank	Store Account		5425		(418.01	)
Fred’s Stores of Tennessee	Extraco Bank	Store Account		0926		3,116.88
Fred’s Stores of Tennessee	First Citizens Bank	Store Account		2001		664.80
Fred’s Stores of Tennessee	First Citizens	Store Account		3501		1,665.37
Fred’s Stores of Tennessee	First Citizens	Store Account		4001		1,786.63
Fred’s Stores of Tennessee	First Citizens	Store Account		3001		5,480.29
Fred’s Stores of Tennessee	Wachovia	Store Account		3460		43,717.21

NOTE: Account balance provided as of 10/5 or date of latest account activity

Case 19-11984-CSS     Doc 441     Filed 11/01/19     Page 8 of 14

FRED’S, INC., et al.

DEBTORS AND DEBTORS IN POSSESSION

Total Disbursements to Retained Professionals (unaudited, in thousands)

For period from September 9, 2019 to  October 5, 2019
Retained Professionals	Approved Amounts		Disbursements
Total	$	—	$	—

8

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DEBTORS AND DEBTORS IN POSSESSION

MOR 2 - CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited, in thousands)

For period from September 9, 2019 to October 5, 2019
	Sept. 9 - Oct. 5 2019
Net sales		30,187
Cost of goods sold		23,163
Gross profit		7,024
Depreciation and amortization		826
Selling, general and administrative expenses		34,778
Operating loss		(28,581	)
Interest expense		160
Loss before income taxes		(28,421	)
Provision (benefit) for income taxes		—
Net loss from continuing operations		(28,421	)
Net loss from discontinued operations		—
Net Loss		(28,421	)

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Case 19-11984-CSS     Doc 441     Filed 11/01/19     Page 10 of 14

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DEBTORS AND DEBTORS IN POSSESSION

MOR 3 - CONSOLIDATED BALANCE SHEETS (Unaudited, in thousands)

	As of October 5, 2019
ASSETS
Current assets:
Cash and cash equivalents		2,033
Inventories		41,373
Receivables, less allowance for doubtful accounts		9,004
Other non-trade receivables		33,454
Prepaid expenses and other current assets		4,872
Total Current Assets		90,734
Property and equipment, less accumulated depreciation and amortization		37,943
Goodwill		—
Intangible assets, net		8,341
Other noncurrent assets, net		84,649
Total assets		221,668
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable		54,007
Current portion of indebtedness		7,463
Accrued expenses and other		59,270
Total Current Liabilities		120,740
Long-term portion of indebtedness		14,400
Other noncurrent liabilities		93,932
Total Liabilities		229,072
Shareholders’ equity:
Preferred stock, nonvoting, no par value		—
Preferred stock, Series A junior participating nonvoting, no par value		—
Preferred stock, Series C junior participating voting, no par valuu		—
Common stock, Class A voting, no par value		128,131
Common stock, Class B nonvoting, no par value		—
Treasury Stock, at cost		(10,823	)
Retained earnings		(125,268	)
Accumulated other comprehensive income		555
Total Shareholders’ Equity		(7,405	)
Total Liabilities and Shareholders’ Equity		221,668

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Case 19-11984-CSS     Doc 441     Filed 11/01/19     Page 11 of 14

FRED’S, INC., et al.

DEBTORS AND DEBTORS IN POSSESSION

Summary of Unpaid Post-Petition Debts (unaudited, in Thousands)

Post-Petition Debts Aging Amount	Total
Current		761.9
0 - 30 Days Old		215.2
31 - 60 Days Old		—
61 - 90 Days Old		—
91+ Days Old		—
Total Post-Petition Debts		977.1

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DEBTORS AND DEBTORS IN POSSESSION

Status of Post Petition Taxes

The Debtors continue to pay post-petition taxes as they become due and are current on those payments.

If payments become past due the Debtors will include a schedule in the MOR listing past due post-petition taxes.

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DEBTORS AND DEBTORS IN POSSESSION

Trade Receivable Aging (unaudited, in Thousands)

Trade Receivable Aging Amount	Credit Card		Pharmacy		Total
Current		—		—		—
0 - 30 Days Old		665		12,328		12,993
31 - 60 Days Old		—		—		—
61 - 90 Days Old		—		—		—
91+ Days Old		—		—		—
Total Trade Receivable		665		12,328		12,993

NOTE: The above amounts solely include trade receivables and do not include intercompany balances and may not agree to the balance sheet due to credits and other items.

Case 19-11984-CSS     Doc 441     Filed 11/01/19     Page 14 of 14

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DEBTORS AND DEBTORS IN POSSESSION

Questionnaire

				Yes	No
1. Have any assets been sold or transferred outside the normal course of business this reporting period? If yes, provide an explanation below. During this period, the debtors liquidated certain inventory and FF&E for amounts below normal course pricing. Real estate, scripts, and pharmacy inventory have also been sold to third-party buyers.				X
2. Have any funds been disbursed from any account other than a debtor in possession account this reporting period? If yes, provide an explanation below.					X
3. Have all post-petition tax returns been filed timely? If no, provide an explanation below.
				X
4. Are workers compensation, general liability, and other necessary insurance coverages in effect? If no, provide an explanation below.				X
5. Has any bank account been opened during the reporting period? If yes, provide documentation identifying the opened account(s). If an investment has been opened provide the required documentation pursuant to the Delaware Local Rule 4001-3.				X
Account Name	Purpose	Business	Acct Number	Bank Name	Date
Utility Escrow	Required Utility Escrow Account	Fred’s, Inc	XXXXXX5742	Regions Bank	9/19/2019

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