EX-99.1 2 mm11-3010_8ke991.htm EX.99.1 - OCTOBER 2010 MONTHLY OPERATING REPORT mm11-3010_8ke991.htm
EXHIBIT 99.1

UNITED STATES BANKRUPTCY COURT
DISTRICT OF DELAWARE
 
Chapter 11
In Re: Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010

MONTHLY OPERATING REPORT

Required Documents
Form No.
Document
Attached
Explanation
Attached
Affidavit/Supp.
Attached
Schedule of Cash Receipts and Disbursements
MOR-1
X
    
Bank Reconciliation (or copies of debtors bank reconciliations)
MOR-1a
    
X
Schedule of Professional Fees Paid
MOR-1b
X
    
Copies of bank statements
        
Cash disbursements journals 
  
X
    
Statements of Operations
        
For the Reporting Period 
MOR-2a
X
    
For the Period from Petition Date through End of Reporting Period
MOR-2b
X
    
Balance Sheets
        
As of End of Current Reporting Period
MOR-3a
X
    
As of Petition Date
MOR-3b
X
    
Status of Postpetition Taxes
MOR-4
X
  
X
Copies of IRS Form 6123 or payment receipt
        
Copies of tax returns filed during reporting period
        
Summary of Unpaid Postpetition Debts
MOR-4
X
    
Listing of aged accounts payable 
MOR-4
X
    
Accounts Receivable Reconciliation and Aging 
MOR-5
X
    
Debtor Questionnaire 
MOR-5
X
    

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.


/s/ Philip M. Browne
  
11/30/10
Signature of Authorized Individual*
  
Date
     
     
     
Philip M. Browne
  
Chief Financial Officer
Printed Name of the 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.
 
 

 
 
 

UNITED STATES BANKRUPTCY COURT
DISTRICT OF DELAWARE
In Re:
  
Chapter 11
Advanta Corp., et al.
  
Case No. 09-13931 (KJC)
Debtors
  
Reporting Period:
October 1, 2010 to
October 31, 2010
 

Disclaimer
 
Advanta Corp. and certain of its subsidiaries (collectively, the “Debtors”) caution investors and potential investors not to place undue reliance upon the information contained in this Monthly Operating Report, which was not prepared for the purpose of providing the basis for an investment decision relating to any of the securities of Advanta Corp. or any of its subsidiaries or affiliates.  The Monthly Operating Report has been prepared solely for the purpose of complying with the operating guidelines as described in the Chapter 11 Trustee Handbook, United States Department of Justice, May 2004 in accordance with 28 U.S.C. § 586(a)(3).  The Monthly Operating Report is limited in scope and only covers a limited time period.
 
The financial statements in the Monthly Operating Report were not audited or reviewed by independent accountants and were not prepared in accordance with accounting principles generally accepted in the United States of America.  The Monthly Operating Report presents condensed financial information of the Debtors.
 
There can be no assurance that, from the perspective of an investor or a potential investor in the securities of Advanta Corp. or any of its subsidiaries or affiliates, the Monthly Operating Report is complete.  The Monthly Operating Report may be subject to future adjustment and reconciliation.  The Monthly Operating Report also contains information for periods which are shorter or otherwise different from those required in periodic reports pursuant to the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and such information might not be indicative of the Debtors’ financial condition or operating results for the period that would be reflected in the Debtors’ financial statements or in reports pursuant to the Exchange Act.  The information set forth in the Monthly Operating Report should not be viewed as indicative of future results.  This disclaimer applies to all information contained herein.  The Debtors reserve all rights to amend the results presented in this Monthly Operating Report.
 
 
 
 
 
 
 
 
United States Bankruptcy Court
District of Delaware
 
Chapter 11
In Re: Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010
 
SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS
 
Debtor
 Advanta Corp.
 Advanta Business Services Holding Corp.
 Advanta Service Corp.
 Advanta Business Services Corp.
 Advanta Shared Services Corp.
 Advanta Finance Corp.
 Advanta Mortgage Holding Co.
 Advanta Mortgage Corp. USA
 Advanta Investment Corp.
 
 09-13931 (KJC)
 09-13935 (KJC)
 09-13932 (KJC)
 09-13933 (KJC)
 09-13934 (KJC)
 09-13944 (KJC)
 09-13938 (KJC)
 09-13937 (KJC)
 09-13942 (KJC)
Cash - Beginning of Reporting Period
 $103,026,718
 $ 1,897,452
 $ 1,644
 $ 844,661
 $ 471,785
 $ 4,990
 $ 90
 $49,990
 $ 4,990
Receipts
                  
 Receivable Receipts
 1,175,448
                
 Investment Income
2
 185,698
              
 C/O Sale Portfolio Recoveries
52,946
                
 Other Receipts
 5,594,465
    
 126
          
 Total Receipts
 6,822,861
 185,698
 -
 126
 -
 -
 -
 -
 -
                   
Intercompany Transfers In / (Out)
 -
 -
 -
 -
 -
 -
 -
 -
 -
                   
Disbursements
                  
 Personnel Costs
 510,095
                
 Advertising Costs
 -
                
 Equipment Costs
12,576
                
 Net Occupancy Costs
50,289
                
 Other Costs
 270,092
 10
              
 Business Taxes / Licenses
 3,115
                
 Restructure Fees
 2,714,140
                
 Total Disbursements
 3,560,308
 10
 -
 -
 -
 -
 -
 -
 -
                   
Net Cash Flow
 3,262,553
 185,688
 -
 126
 -
 -
 -
 -
 -
                   
Cash - End of Reporting Period
 $106,289,271
 $ 2,083,140
 $ 1,644
 $ 844,787
 $ 471,785
 $ 4,990
 $ 90
 $49,990
 $ 4,990

 

MOR-1 
 
 
 
 
United States Bankruptcy Court
District of Delaware
 
Chapter 11
In Re: Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010
 
SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS
 
Debtor
 Advanta Auto Finance Corp.
 Advanta Advertising Inc.
 Advanta Credit Card Rec. Corp.
 Advanta Ventures Inc.
 Advantennis Corp.
 ideablob Corp.
 BE Corp.
  
 
 09-13939 (KJC)
 09-13943 (KJC)
 09-14127 (KJC)
 09-14125 (KJC)
 09-13941 (KJC)
 09-14129 (KJC)
 09-14130 (KJC)
 Total
Cash - Beginning of Reporting Period
 $85,593
 $ 990
 $15,633
 $ 90
 $61,447
 $15,585
 $37,846
 $106,519,504
Receipts
                
 Receivable Receipts
              
 1,175,448
 Investment Income
              
 185,700
 C/O Sale Portfolio Recoveries
              
52,946
 Other Receipts
 213
            
 5,594,803
 Total Receipts
 213
 -
 -
 -
 -
 -
 -
 7,008,897
                 
Intercompany Transfers In / (Out)
 -
 -
 -
 -
 -
 -
 -
 -
                 
Disbursements
                
 Personnel Costs
    
 600
        
 510,695
 Advertising Costs
              
 -
 Equipment Costs
              
12,576
 Net Occupancy Costs
              
50,289
 Other Costs
    
 1,103
        
 271,205
 Business Taxes / Licenses
              
 3,115
 Restructure Fees
              
 2,714,140
 Total Disbursements
 -
 -
 1,703
 -
 -
 -
 -
 3,562,021
                 
Net Cash Flow
 213
 -
(1,703)
 -
 -
 -
 -
 3,446,876
                 
Cash - End of Reporting Period
 $85,805
 $ 990
 $13,931
 $ 90
 $61,447
 $15,585
 $37,846
 $109,966,380


MOR-1 
 
 
 
 
United States Bankruptcy Court
District of Delaware
 
 
Chapter 11
In Re: Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010
 
CASH DISBURSEMENTS JOURNALS

Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Corp.
09-13931 (KJC)
          
Total Disbursements
  
 3,326,828
    
 3,326,828
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 - 
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 - 
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ 3,326,828
 $ -
 $ -
 $ 3,326,828
 $ - 
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Service Corp.
09-13932 (KJC)
          
Total Disbursements
        
 -
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 - 
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 - 
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ -
 $ -
 $ -
 $ -
 $ - 
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Business Services Corp.
09-13933 (KJC)
          
Total Disbursements
  
 210
    
210
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 - 
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 - 
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ 210
 $ -
 $ -
 $210
 $ - 
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Shared Services Corp.
09-13934 (KJC)
          
Total Disbursements
  
 232,685
    
 232,685
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 - 
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 - 
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ 232,685
 $ -
 $ -
 $ 232,685
 $ - 
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Business Serv. Holding Corp.
09-13935 (KJC)
          
Total Disbursements
  
 10
    
 10
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 - 
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 - 
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ 10
 $ -
 $ -
 $ 10
 $ - 
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Great Expectations Franchise Corp.
09-13936 (KJC)
          
Total Disbursements
        
 -
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 - 
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 - 
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ -
 $ -
 $ -
 $ -
 $ - 
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Mortgage Corp. USA
09-13937 (KJC)
          
Total Disbursements
  
 405
    
405
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 - 
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 - 
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ 405
 $ -
 $ -
 $405
 $ - 
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Mortgage Holding Company
09-13938 (KJC)
          
Total Disbursements
        
 -
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 - 
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 - 
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ -
 $ -
 $ -
 $ -
 $ - 
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Auto Finance Corporation
09-13939 (KJC)
          
Total Disbursements
  
 21
    
 21
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 - 
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 - 
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ 21
 $ -
 $ -
 $ 21
 $ - 

MOR-1 
 
 
 
 
United States Bankruptcy Court
District of Delaware
 
 
Chapter 11
In Re: Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010
 
CASH DISBURSEMENTS JOURNALS
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Great Expectations Management Corp.
09-13940 (KJC)
          
Total Disbursements
        
 -
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 -
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 -
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ -
 $ -
 $ -
 $ -
 $ -
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advantennis Corp.
09-13941 (KJC)
          
Total Disbursements
        
 -
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 -
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 -
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ -
 $ -
 $ -
 $ -
 $ -
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Investment Corp.
09-13942 (KJC)
          
Total Disbursements
        
 -
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 -
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 -
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ -
 $ -
 $ -
 $ -
 $ -
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Advertising Inc.
09-13943 (KJC)
          
Total Disbursements
        
 -
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 -
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 -
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ -
 $ -
 $ -
 $ -
 $ -
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Finance Corp.
09-13944 (KJC)
          
Total Disbursements
        
 -
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 -
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 -
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ -
 $ -
 $ -
 $ -
 $ -
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Great Expectations International Inc.
09-13945 (KJC)
          
Total Disbursements
        
 -
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 -
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 -
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ -
 $ -
 $ -
 $ -
 $ -
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Ventures Inc.
09-14125 (KJC)
          
Total Disbursements
        
 -
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 -
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 -
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ -
 $ -
 $ -
 $ -
 $ -
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Advanta Credit Card Rec. Corp.
09-14127 (KJC)
          
Total Disbursements
  
 1,703
    
1,703
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 -
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 -
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ 1,703
 $ -
 $ -
 $1,703
 $ -
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
  ideablob Corp.
09-14129 (KJC)
          
  Total Disbursements
  
 160
    
160
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 -
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 -
  Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ 160
 $ -
 $ -
 $160
 $ -
 

MOR-1 
 
 
 
 
United States Bankruptcy Court
District of Delaware
 
 
Chapter 11
In Re: Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010
 
CASH DISBURSEMENTS JOURNALS

Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
BE Corp.
09-14130 (KJC)
          
Total Disbursements
        
 -
  
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 -
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 -
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ -
 $ -
 $ -
 $ -
 $ -
 
Debtor
Case No.
October
November
December
Quarterly Disb.
Fees
Total
            
Total Disbursements
  
 3,562,021
    
 3,562,021
 -
 
Less: Transfers to Debtor in Possession Accounts
  
 -
 -
 -
 -
 -
 
Plus: Estate Disbursements Made by Outside Sources
  
 -
 -
 -
 -
 -
Total Disbursements For Calculating U.S. Trustee Quarterly Fees
 $ 3,562,021
 $ -
 $ -
 $ 3,562,021
 $ -
               
               
           
TOTAL FEES
 $ -



MOR-1 
 
 
 

UNITED STATES BANKRUPTCY COURT
DISTRICT OF DELAWARE
In Re:
  
Chapter 11
Advanta Corp., et al.
  
Case No. 09-13931 (KJC)
Debtors
  
Reporting Period:
October 1, 2010 to
October 31, 2010
 
 
Statement with Respect to Bank Account Reconciliations, Bank Statements and Bank Accounts
For the Period From October 1, 2010 to October 31, 2010
 
 
 
Bank Account Reconciliations
The Debtors affirm that bank reconciliations were prepared for all open and active Debtor bank accounts as of October 31, 2010.
 
Bank Statements and Bank Accounts
The Debtors affirm that bank statements for all open and active bank accounts are retained by the Debtors.  There were no bank accounts opened by the Debtors during the current reporting period.  Attached is a list of Debtors’ bank accounts and balances as of October 31, 2010.
 
 
MOR-1a
 
 
 


United States Bankruptcy Court
District of Delaware
In Re:  Advanta Corp., et al.
Chapter 11
Debtors
  
Case No. 09-13931 (KJC)
   
Reporting Period: October 1, 2010 to October 31, 2010
 
List of Bank Accounts for Debtor Entities
            
           
October 31, 2010
   
Debtor Case No.
  
Bank
  
 Bank Balance
Advanta Corp. Cash Accounts
            
Master Concentration (#XXX2271)
  
09-13931 (KJC)
  
Republic Bank
  
 $ 28,594,166.24
Accounts Payable (#XXX2328)
  
09-13931 (KJC)
  
Republic Bank
  
 99,336.32
Care Assistance (#XXX2336)
  
09-13931 (KJC)
  
Republic Bank
  
120,896.08
ACH Taxes (#XXX2344)
  
09-13931 (KJC)
  
Republic Bank
  
 (17.99)
Utilities Escrow Account (#XXX5890)
  
09-13931 (KJC)
  
Republic Bank
  
3,000.00
Wachovia Payroll Account (#XXXXXXXXX7257)
  
09-13931 (KJC)
  
Wachovia
  
 17,892.81
             
Total Advanta Corp.
          
 28,835,273.46
             
Entity Level Cash Accounts
            
Advanta Shared Services Corp. (#XXX3235)
  
09-13934 (KJC)
  
Republic Bank
  
471,785.23
Advanta Credit Card Receivables Corp. (#XXX3332)
  
09-14127 (KJC)
  
Republic Bank
  
 13,930.78
Advanta Advertising Inc. (#XXX3006)
  
09-13943 (KJC)
  
Republic Bank
  
990.00
Advanta Auto Finance (#XXX3014)
  
09-13939 (KJC)
  
Republic Bank
  
 85,805.32
Advanta Business Services Corp. (#XXX3030)
  
09-13933 (KJC)
  
Republic Bank
  
844,786.66
Advanta Business Services Holding Corp. (#XXX3049)
  
09-13935 (KJC)
  
Republic Bank
  
2,083,139.74
Advanta Finance Corp. (#XXX3065)
  
09-13944 (KJC)
  
Republic Bank
  
4,990.00
Advanta Investment Corp. (#XXX3189)
  
09-13942 (KJC)
  
Republic Bank
  
4,990.00
Advanta Mortgage Corp. USA (#XXX3200)
  
09-13937 (KJC)
  
Republic Bank
  
 49,990.00
Advanta Mortgage Holding Corp. (#XXX3219)
  
09-13938 (KJC)
  
Republic Bank
  
 90.00
Advanta Service Corp. (#XXX3227)
  
09-13932 (KJC)
  
Republic Bank
  
1,643.73
Advanta Ventures Inc. (#XXX3391)
  
09-14125 (KJC)
  
Republic Bank
  
 90.00
Advantennis Corp. (#XXX3243)
  
09-13941 (KJC)
  
Republic Bank
  
 61,446.51
BE Corp. (#XXX3286)
  
09-14130 (KJC)
  
Republic Bank
  
 37,846.31
ideablob Corp. (#XXX3251)
  
09-14129 (KJC)
  
Republic Bank
  
 15,584.98
           
 
Total Entity Level
          
3,677,109.26
             
Total Cash Accounts
          
 32,512,382.72
             
Advanta Corp. Investment Account
            
Dreyfus Treasury Prime Cash Management Fund (#XXXXX4719)
  
09-13931 (KJC)
      
 77,453,997.20
             
             
Total Cash & Investments
          
 $109,966,379.92
 
 
 
MOR-1a
 
 
 


 
United States Bankruptcy Court
District of Delaware
In Re:  Advanta Corp., et al.
Chapter 11
Debtors
Case No. 09-13931 (KJC)
 
Reporting Period: October 1, 2010 to October 31, 2010
 
Schedule of Retained Professionals Fees and Expenses Paid

           
Petition Date to
       
Check
Amount Paid (A)
End of Reporting Period
Payee
Period Covered
Total Amount Sought
Payor
Number
Date
Fees
Expenses
Fees
Expenses
Alvarez & Marsal
8/1/10 - 8/31/10
 $229,328.69
Advanta Corp.
Wire
10/26/2010
 $179,133.60
 $ 5,411.69
 (B)
 (B)
Alvarez & Marsal
11/9/09 - 3/31/10
 $236,230.20
Advanta Corp.
Wire
10/28/2010
 $236,230.20
 $ -
 (B)
 (B)
Drinker Biddle & Reath
  
 $ -
Advanta Corp.
    
 $ -
 $ -
 $ 115,134.40
 $1,808.22
FTI Consulting
6/1/10 - 7/31/10
 $211,984.65
Advanta Corp.
Wire
10/12/2010
 $168,934.40
 $ 816.65
 $1,088,892.00
 $7,954.11
Garden City Group
8/1/10 - 8/31/10
 $812.00
Advanta Corp.
2289
10/8/2010
 $812.00
 $ -
 (C)
 (C)
Garden City Group
8/1/10 - 8/31/10
 $ 22,483.64
Advanta Corp.
2337
10/22/2010
 $ 20,936.99
 $ 1,546.65
 (C)
 (C)
KPMG
  
 $ -
Advanta Corp.
    
 $ -
 $ -
 $ 732,870.74
 $65,251.59
Latham & Watkins
7/1/10 - 7/31/10
 $477,697.88
Advanta Corp.
Wire
10/12/2010
 $376,386.40
 $ 7,214.88
 $2,263,484.00
$49,447.57
Richards, Layton & Finger
8/1/10 - 8/31/10
 $ 89,988.58
Advanta Corp.
Wire
10/27/2010
 $ 61,958.80
 $12,540.08
 $ 373,254.40
 $33,647.23
Warren H. Smith & Assoc
  
 $ -
Advanta Corp.
    
 $ -
 $ -
 $ 24,251.40
 $ 882.06
Weil, Gotshal & Manges
6/1/10 - 6/30/10
 $631,661.91
Advanta Corp.
Wire
10/12/2010
 $495,993.80
 $11,669.66
 (D)
 (D)
Weil, Gotshal & Manges
7/1/10 - 7/31/10
 $1,226,204.73
Advanta Corp.
Wire
10/19/2010
 $973,402.60
 $ 9,451.48
 (D)
 (D)
 
(A)
"Amounts Paid" reflect 20% of fees heldback from certain professionals, as required by orders of the Court.
   
(B)
The cumulative fees and expenses paid to Alvarez & Marsal, for the period from petition date to end of reporting period, including both payments listed above, are $2,045,132.60 for fees and $48,813.50 for expenses.
   
(C)
The cumulative fees and expenses paid to Garden City Group, for the period from petition date to end of reporting period, including both payments listed above, are $424,796.26 for fees and $52,297.35 for expenses.
   
(D)
The cumulative fees and expenses paid to Weil, Gotshal & Manges, for the period from petition date to end of reporting period, including both payments listed above, are $3,926,540.20 for fees and $90,180.75 for expenses.


MOR-1b
 
 
 
 

UNITED STATES BANKRUPTCY COURT
DISTRICT OF DELAWARE
In Re:
  
Chapter 11
Advanta Corp., et al.
  
Case No. 09-13931 (KJC)
Debtors
  
Reporting Period:
October 1, 2010 to
October 31, 2010
 
Notes Regarding Advanta Bank Corp. and Advanta Bank

The Utah Division of Financial Institutions closed Advanta Bank Corp. (“ABC”), a wholly-owned subsidiary of Advanta Corp., and the Federal Deposit Insurance Corporation (the “FDIC”) was appointed the receiver of ABC effective March 19, 2010.  As a result, the FDIC assumed all of ABC’s deposits and controls all of ABC’s assets. Advanta Corp. expects no recovery from the FDIC for Advanta Corp.’s ownership interest in ABC.  The book value of Advanta Corp.’s investment in the stock of Advanta Bank Corp. was reduced to zero as of March 19, 2010.  As a result, Advanta Corp.’s income statement for the period from petition date to October 31, 2010 includes a $63 million loss that is classified as equity in earnings (loss) of subsidiaries.  As previously disclosed, Advanta Corp. does not expect that any of the proceeds associated with the liquidation of the assets of ABC will be distributed to Advanta Corp. or its stakeholders, including stockholders and creditors, on account of Advanta Corp.’s equity interest in ABC.
 
The balance sheets of the Debtors as of August 31, 2010 included approximately $18 million of net assets related to ABC, which included claims against ABC for deposits and various types of intercompany receivables.  On August 27, 2010, Advanta Corp. and the FDIC reached an agreement, subject to approval of the U.S. Bankruptcy Court, on the terms of a settlement that would fully and finally resolve certain claims and adversary proceedings between the Debtors and the FDIC.  The settlement agreement was approved by the U.S. Bankruptcy Court on September 7, 2010.  The settlement agreement resulted in a reduction of the claims of ABC and the Debtors against the other, as described below.  The settlement agreement eliminated all of the Debtors’ claims against ABC and, as a result, the $18 million of net assets related to ABC on the Debtors’ balance sheets were adjusted to zero in the month ended September 30, 2010.  Those adjustments were classified as other reorganization expenses on the Debtors’ income statement for the period from petition date to October 31, 2010.  The agreement also settled ABC’s over $200 million of claims asserted against the Debtors in the bankruptcy proceedings in a way that will result in either no claim against any of the Debtors or a $50 million general unsecured claim against Advanta Corp.  The settlement will also potentially add $5.4 million to the Debtors’ assets depending on the occurrence of certain events and conditions.
 
Advanta Bank was a Delaware state bank that was an indirect subsidiary of Advanta Corp. until it dissolved effective June 30, 2010.  On March 26, 2010, prior to its dissolution, Advanta Bank entered into a settlement agreement with the FDIC.  As previously disclosed, the FDIC assessed cross-guarantee liability against Advanta Bank in relation to deposit liabilities of ABC, based on the common ownership of the two banks.  Advanta Bank was also, as previously disclosed, involved in regulatory, administrative and judicial proceedings with the FDIC.  The settlement agreement between Advanta Bank and the FDIC settled the cross-guarantee liability and Advanta Bank’s regulatory, administrative and judicial proceedings with the FDIC.  As part of the
 
 
 


UNITED STATES BANKRUPTCY COURT
DISTRICT OF DELAWARE
In Re:
  
Chapter 11
Advanta Corp., et al.
  
Case No. 09-13931 (KJC)
Debtors
  
Reporting Period:
October 1, 2010 to
October 31, 2010
 
Notes Regarding Advanta Bank Corp. and Advanta Bank (continued)
 
settlement agreement, Advanta Bank agreed to transfer to the FDIC all of the cash, loans, securities, accounts receivable and other assets of Advanta Bank with the parties agreeing that this transfer would fully satisfy the cross-guarantee liability that was asserted by the FDIC.  The settlement agreement also contains mutual releases from each of the parties against the other.  Advanta Bank recognized a charge of $4.5 million associated with the settlement agreement, which is reflected in Advanta Corp.’s income statement for the period from petition date to October 31, 2010 as part of equity in earnings (loss) of subsidiaries.  The balance sheets of the Debtors as of October 31, 2010 have no amounts related to Advanta Bank.
 
 
 


United States Bankruptcy Court
District of Delaware
 
 
Chapter 11
In Re:  Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010
INCOME STATEMENTS
  
FOR THE MONTH ENDED OCTOBER 31, 2010
  
(Unaudited)
  
 

 
Advanta Corp.
Advanta Business
Services
Holding Corp.
Advanta
Business
Services Corp.
Advanta
Shared
Services Corp.
Advanta
Service Corp.
Advanta
Advertising Inc.
Advantennis
Corp.
Advanta
Investment Corp.
Advanta Mortgage
Holding Co.
(In thousands)
09-13931 (KJC)
09-13935 (KJC)
09-13933 (KJC)
09-13934 (KJC)
09-13932 (KJC)
09-13943 (KJC)
09-13941 (KJC)
09-13942 (KJC)
09-13938 (KJC)
                   
Net interest income
 $ 7
 $ 0
 $0
 $ 0
 $0
 $ 0
 $ 0
 $0
 $ 0
                   
Provision for credit losses
 (25)
 0
 0
0
 0
 0
0
 0
 0
                   
Net interest income after
                  
provision for credit losses
 32
 0
 0
0
 0
 0
0
 0
 0
                   
Noninterest revenues (losses):
                  
             Equity in earnings of subs
 (386)
 (0)
 0
0
 0
(0)
 0
 0
 (1)
             Other noninterest revenue
0
0
 0
0
 0
 0
 0
 0
0
Total noninterest revenues (losses)
(386)
(0)
 0
0
 0
 (0)
0
 0
 (1)
                   
Operating expenses:
                  
Personnel expense
 596
0
 0
 207
 0
 0
 0
 0
0
External processing
 124
0
 0
3
 0
 0
 0
 0
0
Postage expense
2
0
 0
 (0)
 0
 0
 0
 0
0
Professional fees
 264
0
 0
 (254)
 0
 0
 0
 0
0
Consultant fees
 (1)
0
 0
39
 0
 0
 0
 0
0
Equipment expense
9
0
 0
 12
 0
 0
 0
 0
0
Telephone expense
2
0
 0
8
 0
 0
 0
 0
0
Occupancy expense
 37
0
 0
 15
 0
 0
 0
 0
0
Visa indemnification
 (1,621)
0
 0
0
 0
 0
 0
 0
0
Other expenses
 94
0
 0
29
 0
 0
 0
 0
0
Total operating expenses
(494)
 0
 0
 60
 0
 0
0
 0
 0
                   
Reorg. exp. - Professional fees
 1,079
0
 0
0
 0
 0
 0
 0
0
Reorg. exp. - Severance
 156
0
 0
 129
 0
 0
 0
 0
0
Reorg. exp. - Trustee quarterly fees
5
0
 0
2
 0
 0
 0
 0
0
Reorg. exp. - Other
 (1)
0
 0
0
 0
 0
 0
 0
0
(Gain) loss on assets
(1,092)
0
 0
 10
 0
 0
 0
 0
0
Reorganization items
 148
0
 0
141
 0
 0
 0
 0
0
                   
Pretax income (loss)
 (8)
 (1)
(0)
 (201)
 (0)
(1)
 (0)
 (0)
(2)
                   
Income tax expense (benefit)
0
0
 0
0
 0
 0
 0
 0
0
                   
Net income (loss)
 $ (8)
 $(1)
 $(0)
 $(201)
 $(0)
 $(1)
 $ (0)
 $ (0)
 $(2)

Note: The Income Statements were prepared on an accrual basis and include the financial results for the Debtor entities.  The statements do not eliminate intercompany revenues, costs or management
 fees.  These Income Statements do not include the financial results of non-debtor entities controlled by the Debtors and therefore, do not represent the consolidated financial results of Advanta Corp.
 
 
MOR-2a 
 
 
 

United States Bankruptcy Court
District of Delaware
 
 
Chapter 11
In Re:  Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010
INCOME STATEMENTS
  
FOR THE MONTH ENDED OCTOBER 31, 2010
  
(Unaudited)
  
 

 
Advanta Auto
Finance Corp.
Advanta Mortgage
Corp. USA
Advanta
Finance
Corp.
Advanta
Credit Card
Rec. Corp.
Advanta
Ventures Inc.
BE Corp.
ideablob
Corp.
Great
Expectations
Int'l Inc.
Great
Expectations
Franchise Corp.
Great
Expectations
Mgmt. Corp.
(In thousands)
09-13939 (KJC)
09-13937 (KJC)
09-13944 (KJC)
09-14127 (KJC)
09-14125 (KJC)
09-14130 (KJC)
09-14129 (KJC)
09-13945 (KJC)
09-13936 (KJC)
09-13940 (KJC)
                     
Net interest income
 $0
 $0
 $0
 $ 313
 $0
 $0
 $0
 $0
 $0
 $0
                     
Provision for credit losses
0
0
0
 478
0
0
0
0
0
0
                     
Net interest income after
                    
provision for credit losses
0
0
0
 (165)
0
0
0
0
0
0
                     
Noninterest revenues (losses):
                    
 Equity in earnings of subs
 0
(1)
 0
 0
(1)
 0
 0
 0
 0
 0
 Other noninterest revenue
 0
 0
 0
 8
 0
 0
 0
 0
 0
 0
Total noninterest revenues (losses)
0
 (1)
0
8
 (1)
0
0
0
0
0
                     
Operating expenses:
                    
Personnel expense
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
External processing
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Postage expense
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Professional fees
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Consultant fees
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Equipment expense
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Telephone expense
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Occupancy expense
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Visa indemnification
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Other expenses
 0
 0
 0
 2
 0
 0
 0
 0
 0
 0
Total operating expenses
0
0
0
2
0
0
0
0
0
0
                     
Reorg. exp. - Professional fees
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Reorg. exp. - Severance
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Reorg. exp. - Trustee quarterly fees
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Reorg. exp. - Other
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
(Gain) loss on assets
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Reorganization items
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
                     
Pretax income (loss)
 (0)
 (1)
 (1)
 (159)
 (1)
 (0)
 (0)
0
0
0
                     
Income tax expense (benefit)
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
                     
Net income (loss)
 $ (0)
 $ (1)
 $ (1)
 $ (159)
 $ (1)
 $ (0)
 $ (0)
 $0
 $0
 $0
 

Note: The Income Statements were prepared on an accrual basis and include the financial results for the Debtor entities.  The statements do not eliminate intercompany revenues, costs or management
 fees.  These Income Statements do not include the financial results of non-debtor entities controlled by the Debtors and therefore, do not represent the consolidated financial results of Advanta Corp.
 
 
MOR-2a 
 
 
 

United States Bankruptcy Court
District of Delaware
 
 
Chapter 11
In Re:  Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010
INCOME STATEMENTS
  
FOR THE PERIOD FROM PETITION DATE THROUGH OCTOBER 31, 2010
  
(Unaudited)
  
 

 
Advanta Corp.
Advanta Business
Services
Holding Corp.
Advanta
Business
Services Corp.
Advanta
Shared
Services Corp.
Advanta
Service Corp.
Advanta
Advertising Inc.
Advantennis
Corp.
Advanta
Investment Corp.
Advanta Mortgage
Holding Co.
(In thousands)
09-13931 (KJC)
09-13935 (KJC)
09-13933 (KJC)
09-13934 (KJC)
09-13932 (KJC)
09-13943 (KJC)
09-13941 (KJC)
09-13942 (KJC)
09-13938 (KJC)
                   
Net interest income
 $167
 $ 33
 $ 0
 $ 0
 $ 0
 $ 0
 $ 0
 $ 0
 $ 0
                   
Provision for credit losses
 (25)
0
0
0
0
0
0
0
0
                   
Net interest income after
                  
provision for credit losses
 192
 33
0
0
0
0
0
0
0
                   
Noninterest revenues (losses):
                  
 Securitization income
 0
 2,050
0
0
0
0
0
0
0
 Other revenues, net:
                  
 Insurance revenues, net
0
 0
 0
 0
 0
 0
 0
 0
 0
 Equity in earnings of subs
(278,233)
 (5,656)
 0
 0
 0
 (2,331)
 0
(0)
 (12,959)
 Intercompany management fees
155
 0
 0
 7,169
 0
 0
 0
 0
 0
 Other noninterest revenue
 143
 0
 23
 0
 0
 0
 0
 0
 0
 Total other revenues, net
 (277,935)
 (5,656)
 23
7,169
0
 (2,331)
0
 (0)
 (12,959)
                   
Total noninterest revenues (losses)
 (277,935)
(3,606)
 23
7,169
0
 (2,331)
0
 (0)
 (12,959)
                   
Operating expenses:
                  
Personnel expense
 6,225
 0
 0
 2,834
 0
 0
 0
 0
 0
External processing
 224
 0
 0
 33
 0
 0
 0
 0
 0
Advertising expense
 1
 0
 0
 6
 0
 0
383
 0
 0
Postage expense
11
 0
 0
 9
 0
 0
 0
 0
 0
Professional fees (B)
411
 0
 0
 (587)
 0
 0
 0
 0
 0
Consultant fees
1,137
 0
 0
 147
 0
 0
 0
 0
 0
Fraud losses
0
 0
 0
 0
 0
 0
 0
 0
 0
Equipment expense
 78
 0
 0
 861
 2
 0
 0
 0
 0
Telephone expense
 12
 0
 0
 153
 0
 0
 0
 0
 0
Occupancy expense
 259
 0
 0
 2,938
 2
 0
 0
 0
 0
Intercompany servicing fees
 6,591
 0
 0
 0
 0
 0
 0
 0
 0
Visa indemnification
 (2,634)
 0
 0
 0
 0
 0
 0
 0
 0
Other expenses
 2,057
 0
 6
 1,647
 0
 0
 2,000
 0
 0
Total operating expenses
 14,371
0
6
 8,042
5
0
 2,383
0
0
                   
Reorg. exp. - Professional fees
 18,244
 0
 0
 0
 0
 0
 0
 0
 0
Reorg. exp. - Severance
 1,703
 0
 0
1,293
 0
 0
 0
 0
 0
Reorg. exp. - Trustee quarterly fees
 50
 2
 2
 33
 2
 2
 2
 2
 2
Reorg. exp. - Other
 11,710
 0
 0
 6,332
 0
 0
 0
 0
 0
(Gain) loss on assets
 (1,180)
 0
 0
 1,487
 11
 0
 0
 0
 0
Reorganization items
 30,527
 2
 2
 9,145
13
 2
 2
 2
 2
                   
Pretax income (loss)
 (322,641)
 (3,575)
 16
(10,018)
(18)
(2,332)
(2,384)
 (2)
(12,961)
                   
Income tax expense (benefit) (A)
 (70,153)
 0
5,672
450
1,829
 0
 (54)
 0
 0
                   
Net income (loss)
 $ (252,488)
 $ (3,575)
 $ (5,656)
 $ (10,468)
 $ (1,846)
 $ (2,332)
 $ (2,331)
 $ (2)
 $(12,961)
 
Note: The Income Statements were prepared on an accrual basis and include the financial results for the Debtor entities.  The statements do not eliminate intercompany revenues, costs or management fees.
These Income Statements do not include the financial results of non-debtor entities controlled by the Debtors and therefore, do not represent the consolidated financial results of Advanta Corp.
 
(A) Income tax expense (benefit) for the reporting period represents changes in estimate of tax assets and/or liabilities by legal entity.
(B) In March 2010, Advanta Shared Services Corp. reversed $897 thousand of accrued audit fees, $697 thousand of which had been accrued pre-petition, when it was determined that an audit of fiscal year 2009 would not be needed for a Form 10-K.
 
MOR-2b
 
 
 

United States Bankruptcy Court
District of Delaware
 
 
Chapter 11
In Re:  Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010
INCOME STATEMENTS
  
FOR THE PERIOD FROM PETITION DATE THROUGH OOCTOBER 31, 2010
  
(Unaudited)
  
 


 
Advanta Auto
Finance Corp.
Advanta Mortgage
Corp. USA
Advanta
Finance
Corp.
Advanta
Credit Card
Rec. Corp.
Advanta
Ventures Inc.
BE Corp.
ideablob
Corp.
Great
Expectations
Int'l Inc.
Great
Expectations
Franchise Corp.
Great
Expectations
Mgmt. Corp.
(In thousands)
09-13939 (KJC)
09-13937 (KJC)
09-13944 (KJC)
09-14127 (KJC)
09-14125 (KJC)
09-14130 (KJC)
09-14129 (KJC)
09-13945 (KJC)
09-13936 (KJC)
09-13940 (KJC)
                     
Net interest income
 $ 0
 $ 0
 $ 0
 $5,470
 $ 0
 $ 0
 $ 0
 $ 0
 $ 0
 $ 0
                     
Provision for credit losses
0
0
0
4,361
0
0
0
0
0
0
                     
Net interest income after
                    
provision for credit losses
0
0
0
1,109
0
0
0
0
0
0
                     
Noninterest revenues (losses):
                    
 Securitization income
0
0
0
0
0
0
0
0
0
0
 Other revenues, net:
                    
 Insurance revenues, net
 0
 0
 0
 23
 0
 0
 0
 0
 0
 0
 Equity in earnings of subs
 0
(2,989)
 0
 0
 (67)
 0
 0
(4)
 0
 0
 Intercompany management fees
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
 Other noninterest revenue
 7
 0
 0
 63
 0
 0
 0
 0
 0
 0
 Total other revenues, net
7
(2,989)
0
 86
(67)
0
0
 (4)
0
0
                     
Total noninterest revenues (losses)
7
(2,989)
0
 86
(67)
0
0
 (4)
0
0
                     
Operating expenses:
                    
Personnel expense
 0
 0
 0
 0
 0
(34)
 (79)
 0
 0
 0
External processing
 0
 0
 0
232
 0
 0
 0
 2
1
 0
Advertising expense
 0
 0
 0
 0
 0
 2
 0
 0
 0
 0
Postage expense
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Professional fees
 0
 0
 0
 0
 0
1
 2
 0
 0
 0
Consultant fees
 0
 0
 0
 0
 0
16
1
 0
 0
 0
Fraud losses
 0
 0
 0
 8
 0
 0
 0
 0
 0
 0
Equipment expense
 0
 0
 0
 0
 0
 48
 0
 0
 0
 0
Telephone expense
 0
 0
 0
 0
 0
1
(0)
 0
 0
 0
Occupancy expense
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Intercompany servicing fees
 0
 0
 0
 1,153
 0
 0
 0
 0
 0
 0
Visa indemnification
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Other expenses
 1
1
1
 7
 0
56
 7
 0
 0
 0
Total operating expenses
1
 1
 1
1,400
0
 91
 (69)
2
2
0
                     
Reorg. exp. - Professional fees
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Reorg. exp. - Severance
 0
 0
 0
 0
 0
 114
54
 0
 0
 0
Reorg. exp. - Trustee quarterly fees
 2
 2
 2
1
 2
 3
 2
 0
 2
 0
Reorg. exp. - Other
 0
 0
 0
 0
 0
(22)
 0
 0
 0
 0
(Gain) loss on assets
 0
 0
 0
 0
 0
 (106)
 0
 0
 0
 0
Reorganization items
 2
 2
 2
1
 2
 (10)
56
 0
 2
 0
                     
Pretax income (loss)
3
 (2,991)
 (2)
 (207)
 (69)
 (80)
 13
 (5)
 (4)
0
                     
Income tax expense (benefit) (A)
 (1,737)
 11,708
 2,986
 0
 0
 0
 0
 0
 0
 0
                     
Net income (loss)
 $1,740
 $ (14,699)
 $ (2,989)
 $ (207)
 $(69)
 $(80)
 $ 13
 $ (5)
 $ (4)
 $0


Note: The Income Statements were prepared on an accrual basis and include the financial results for the Debtor entities.  The statements do not eliminate intercompany revenues, costs or management fees. These Income Statements do not include the financial results of non-debtor entities controlled by the Debtors and therefore, do not represent the consolidated financial results of Advanta Corp.
 
(A) Income tax expense (benefit) for the reporting period represents changes in estimate of tax assets and/or liabilities by legal entity.

 
MOR-2b
 
 
 
 

  United States Bankruptcy Court
  District of Delaware
   
Chapter 11
In Re:  Advanta Corp., et al.
  
Case No. 09-13931 (KJC)
Debtors
  
Reporting Period:  Ocotober 1, 2010 to Ocotober 31, 2010
     
BALANCE SHEETS
    
AS OF Ocotober 31, 2010
    
(Unaudited)
    
 

(In thousands)
Advanta Corp.
Advanta Business
Services
Holding Corp.
Advanta
Business
Services Corp.
Advanta
Shared
Services Corp.
Advanta
Service Corp.
Advanta
Advertising Inc.
Advantennis
Corp.
Advanta
Investment Corp.
Advanta Mortgage
Holding Co.
 
09-13931 (KJC)
09-13935 (KJC)
09-13933 (KJC)
09-13934 (KJC)
09-13932 (KJC)
09-13943 (KJC)
09-13941 (KJC)
09-13942 (KJC)
09-13938 (KJC)
ASSETS
                  
Cash
 $28,626
 $ 2,083
 $845
 $472
 $ 2
 $1
 $61
 $ 5
 $ 0
Investments available for sale
79,090
 0
 0
 0
 0
 0
 0
 0
 0
Receivables, net
 787
 0
 0
 0
 0
 0
 0
 0
 0
Premises and equipment:
                  
 Premises and equipment, gross
206
 0
 0
3,126
 0
 0
 0
 0
 0
 Accumulated depreciation
 (188)
 0
 0
(38)
 0
 0
 0
 0
 0
    Premises and equipment, net
18
 0
 0
 3,088
 0
 0
 0
 0
 0
Other assets:
                  
 Investment in subsidiaries
(131,020)
 (74)
 0
 0
 0
(16,210)
 0
52
6,913
 Charged-off receivable asset
452
 0
 0
 0
 0
 0
 0
 0
 0
 Intercompany receivables
169,581
 0
 15,774
57
 190
 0
 0
 711
 0
 Tax assets
59,222
 25,790
 0
 1,128
2,495
 0
 4,330
 0
 0
 Other assets
 49,061
 5,165
 0
1,240
 0
 0
 0
 0
 0
    Total other assets
 147,296
30,880
 15,774
2,425
2,685
(16,210)
 4,330
763
6,913
Total assets
 $ 255,818
 $32,964
 $ 16,619
 $5,985
 $2,687
 $ (16,209)
 $4,391
 $768
 $6,913
                   
LIABILITIES NOT SUBJECT TO COMPROMISE
                  
Intercompany line of credit payable
 $ 0
 $ 0
 $ 0
 $ 0
 $ 0
 $ 0
 $ 0
 $ 0
 $ 0
Intercompany advance payables
 135
1
 9
 2,434
 2
1
1
1
1
Other liabilities
 11,648
 0
 0
1,369
 0
 0
 0
 0
 0
Total liabilities not subject to compromise
 11,783
 2
 9
 3,803
 2
 2
 2
 2
 2
                   
LIABILITIES SUBJECT TO COMPROMISE
                  
Debt (A)
 135,709
 0
 0
 0
 0
 0
 0
 0
 0
Intercompany line of credit payable
 0
 0
 0
 537
 0
 0
3,212
 0
 0
Subordinated debt payable to preferred
                  
securities trust
92,290
 0
 0
 0
 0
 0
 0
 0
 0
Other liabilities:
                  
 Intercompany advance payables
 34
 34,715
 6
9,505
27,438
 2,006
 17,388
 19,566
7,025
 Current income taxes payable
54,898
12,116
 16,625
1,382
 0
 0
 0
20,497
 2,263
 Unrecognized tax benefits
 14,886
 0
 0
 0
 0
 0
 0
 0
 0
 Other liabilities
29,699
 0
53
736
 2
 0
 0
 0
 0
    Total other liabilities
 99,517
 46,831
 16,684
 11,623
27,440
 2,006
 17,388
40,063
 9,288
Total liabilities subject to compromise
 327,516
 46,831
 16,684
 12,160
27,440
 2,006
20,600
40,063
 9,288
                   
Total liabilities
339,299
46,833
 16,693
 15,963
27,442
2,007
 20,601
40,065
 9,290
                   
Stockholders' equity
 (83,481)
 (13,869)
 (74)
 (9,978)
 (24,755)
(18,217)
(16,210)
 (39,296)
 (2,376)
                   
Total liabilities and equity
 $ 255,818
 $32,964
 $ 16,619
 $5,985
 $2,687
 $ (16,209)
 $4,391
 $768
 $6,913
 
Note: The Balance Sheets were prepared on an accrual basis and include the financial results of the Debtor entities.  The Statements do not eliminate intercompany assets, intercompany liabilities or investments in subsidiaries.
These Balance Sheets do not include the financial results of non-debtor entities controlled by the Debtors and therefore, do not represent the consolidated financial results of Advanta Corp.
Intercompany receivables on the Balance Sheets of the Debtors are not reduced by a reserve for uncollectible amounts.  A substantial portion of intercompany receivables may not be collectible.
 
(A) In January 2010, $2.4 million of Advanta Corp. outstanding checks to retail noteholders were reclassified from cash to debt on the Balance Sheet.

 
MOR-3a
 
 
 

  United States Bankruptcy Court
  District of Delaware
   
Chapter 11
In Re:  Advanta Corp., et al.
  
Case No. 09-13931 (KJC)
Debtors
  
Reporting Period:  Ocotober 1, 2010 to Ocotober 31, 2010
     
BALANCE SHEETS
    
AS OF Ocotober 31, 2010
    
(Unaudited)
    
 

(In thousands)
Advanta Auto
Finance Corp.
Advanta Mortgage
Corp. USA
Advanta
Finance
Corp.
Advanta
Credit Card
Rec. Corp.
Advanta
Ventures Inc.
BE Corp.
ideablob
Corp.
Great
Expectations
Int'l Inc.
Great
Expectations
Franchise Corp.
Great
Expectations
Mgmt. Corp.
 
09-13939 (KJC)
09-13937 (KJC)
09-13944 (KJC)
09-14127 (KJC)
09-14125 (KJC)
09-14130 (KJC)
09-14129 (KJC)
09-13945 (KJC)
09-13936 (KJC)
09-13940 (KJC)
ASSETS
                    
Cash
 $86
 $50
 $5
 $ 14
 $ 0
 $38
 $ 16
 $ 0
 $ 0
 $ 0
Investments available for sale
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Receivables, net
 0
 0
 0
 21,382
 0
 0
 0
 0
 0
 0
Premises and equipment:
                    
 Premises and equipment, gross
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
 Accumulated depreciation
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
    Premises and equipment, net
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Other assets:
                    
 Investment in subsidiaries
 0
 45,080
 0
 0
(18,487)
 0
 0
1
 0
 0
 Charged-off receivable asset
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
 Intercompany receivables
 6
 0
44,468
 0
 0
 0
 0
 0
1
 0
 Tax assets
830
10,170
 1,873
 5,544
 0
 0
 0
 0
 0
 0
 Other assets
 0
 0
 0
 257
 0
 0
 0
 0
 0
 0
  Total other assets
836
 55,250
 46,341
 5,801
(18,487)
 0
 0
1
1
 0
Total assets
 $922
 $ 55,300
 $46,346
 $ 27,197
 $(18,487)
 $38
 $ 16
 $1
 $1
 $ 0
                     
LIABILITIES NOT SUBJECT TO COMPROMISE
                    
Intercompany line of credit payable
 $ 0
 $ 0
 $ 0
 $ 0
 $ 0
 $42
 $ 0
 $ 0
 $ 0
 $ 0
Intercompany advance payables
 3
 2
 2
 1,386
1
38
45
 0
 0
 0
Other liabilities
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Total liabilities not subject to compromise
 3
 3
 2
 1,386
 2
80
45
 0
 0
 0
                     
LIABILITIES SUBJECT TO COMPROMISE
                    
Debt
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Intercompany line of credit payable
 0
 0
 0
 18,657
 0
 137
 15,099
 0
 0
 0
Subordinated debt payable to preferred
                    
securities trust
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
Other liabilities:
                    
 Intercompany advance payables
 2
 46,357
 965
 10,525
 0
2,078
 1,060
 0
 0
 0
 Current income taxes payable
 0
 1,593
 0
 0
 0
 0
 0
 0
 0
 0
 Unrecognized tax benefits
 0
 0
 0
 0
 0
 0
 0
 0
 0
 0
 Other liabilities
 0
 1,350
299
 0
 0
29
 12
 0
 0
 0
  Total other liabilities
 2
49,300
 1,264
 10,525
 0
 2,107
 1,072
 0
 0
 0
Total liabilities subject to compromise
 2
49,300
 1,264
 29,182
 0
2,244
 16,171
 0
 0
 0
                     
Total liabilities
 6
49,303
 1,266
 30,568
 2
2,324
 16,216
 0
 0
 0
                     
Stockholders' equity
 916
 5,997
 45,080
 (3,371)
 (18,489)
 (2,287)
(16,201)
1
1
 0
                     
Total liabilities and equity
 $922
 $ 55,300
 $46,346
 $ 27,197
 $(18,487)
 $38
 $ 16
 $1
 $1
 $ 0

Note: The Balance Sheets were prepared on an accrual basis and include the financial results of the Debtor entities.  The Statements do not eliminate intercompany assets, intercompany liabilities or investments in subsidiaries.
These Balance Sheets do not include the financial results of non-debtor entities controlled by the Debtors and therefore, do not represent the consolidated financial results of Advanta Corp.
Intercompany receivables on the Balance Sheets of the Debtors are not reduced by a reserve for uncollectible amounts.  A substantial portion of intercompany receivables may not be collectible.
 

 
MOR-3a
 
 
 
 
 
United States Bankruptcy Court
District of Delaware
 
 
Chapter 11
In Re:  Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010
   
BALANCE SHEETS
  
AS OF PETITION DATE
  
(Unaudited)
  
 

(In thousands)
Advanta Corp.
Advanta Business
Services
Holding Corp.
Advanta Business
Services Corp.
Advanta Shared
Services Corp.
Advanta
Service Corp.
Advanta
Advertising Inc.
Advantennis
Corp.
Advanta
Investment Corp.
Advanta
Mortgage
Holding Co.
 
09-13931 (KJC)
09-13935 (KJC)
09-13933 (KJC)
09-13934 (KJC)
09-13932 (KJC)
09-13943 (KJC)
09-13941 (KJC)
09-13942 (KJC)
09-13938 (KJC)
ASSETS
                  
Cash:
                  
 Intercompany cash at Advanta Bank Corp.
 $1,661
 $0
 $0
 $ 23
 $ 0
 $0
 $ 0
 $0
 $0
 External cash
19,025
6
 820
343
 2
 1
61
5
0
    Total cash
 20,686
6
 820
366
 2
 1
61
5
0
Intercompany restricted
                  
    interest-bearing deposits at Advanta Bank Corp.
1,258
0
0
 0
 0
0
 0
0
0
Investments available for sale
78,254
0
0
 0
 0
0
 0
0
0
Receivables, net
1,580
0
0
 0
 0
0
 0
0
0
Accounts receivable from securitizations
 0
 5,350
0
 0
 0
0
 0
0
0
Premises and equipment:
                  
 Premises and equipment, gross
516
0
0
 17,763
 653
0
 0
0
0
 Accumulated depreciation
(350)
0
0
(11,385)
(638)
0
 0
0
0
    Premises and equipment, net
167
0
0
6,378
 16
0
 0
0
0
Other assets:
                  
 Investment in subsidiaries
 (16,176)
 5,582
0
 0
 0
(13,879)
 0
 52
19,873
 Charged-off receivable asset
 2,445
0
0
 0
 0
0
 0
0
0
 Intercompany receivables
 197,621
0
15,774
1,293
190
0
 0
711
0
 Tax assets
 0
 26,616
 5,418
 1,158
5,071
0
 4,276
 850
0
 Other assets
 49,674
0
0
 8,167
 0
0
 2,383
0
0
    Total other assets
233,564
 32,198
21,193
 10,617
5,261
(13,879)
 6,659
 1,613
19,873
Total assets
 $335,508
 $ 37,554
 $ 22,013
 $ 17,362
 $ 5,279
 $(13,878)
 $6,721
 $ 1,618
 $19,873
                   
LIABILITIES SUBJECT TO COMPROMISE
                  
Debt
 $ 133,277
 $0
 $0
 $ 0
 $ 0
 $0
 $ 0
 $0
 $0
Intercompany line of credit payable
 0
0
0
1,486
 0
0
3,210
0
0
Subordinated debt payable to preferred
                  
   securities trust
 92,290
0
0
 0
 0
0
 0
0
0
Other liabilities:
                  
 Intercompany accrued interest payable
 0
0
0
1
 0
0
 2
0
0
 Intercompany advance payables
 34
 34,906
6
 12,225
 27,438
2,006
 17,388
 19,566
 7,025
 Current income taxes payable
 59,439
 12,942
 16,372
 961
747
0
 0
 21,348
 2,263
 Unrecognized tax benefits
14,886
0
0
 0
 0
0
 0
0
0
 Other liabilities
 34,644
0
 53
2,199
 2
0
 0
0
0
    Total other liabilities
109,004
 47,848
16,431
 15,386
28,187
2,006
 17,390
 40,913
 9,288
Total liabilities subject to compromise
334,570
 47,848
16,431
 16,872
28,187
2,006
 20,600
 40,913
 9,288
                   
Stockholders' equity
 938
(10,294)
 5,582
490
(22,908)
(15,884)
 (13,879)
 (39,295)
10,585
                   
Total liabilities and equity
 $335,508
 $ 37,554
 $ 22,013
 $ 17,362
 $ 5,279
 $(13,878)
 $6,721
 $ 1,618
 $19,873
 
Note:  The Balance Sheets were prepared on an accrual basis and include the financial results for the Debtor entities.  The statements do not eliminate intercompany assets,
intercompany liabilities or investments in subsidiaries. These Balance Sheets do not include the financial results of non-debtor entities controlled by the Debtors and therefore,
do not represent the consolidated financial results of Advanta Corp.  Intercompany receivables on the Balance Sheets of the Debtors are not reduced by a reserve for uncollectible
amounts.  A substantial portion of intercompany receivables may not be collectible.

 
MOR-3b
 
 
 
 
 
United States Bankruptcy Court
District of Delaware
 
 
Chapter 11
In Re:  Advanta Corp., et al.
Case No. 09-13931 (KJC)
Debtors
Reporting Period: October 1, 2010 to October 31, 2010
   
BALANCE SHEETS
  
AS OF PETITION DATE
  
(Unaudited)
  
 

 
(In thousands)
Advanta Auto
Finance Corp.
Advanta Mortgage
Corp. USA
Advanta
Finance Corp.
Advanta
Credit Card
Rec. Corp.
Advanta
Ventures Inc.
BE Corp.
ideablob
Corp.
Great
Expectations
Int'l Corp.
Great
Expectations
Franchise Corp.
Great
Expectations
Mgmt. Corp.
 
09-13939 (KJC)
09-13937 (KJC)
09-13944 (KJC)
09-14127 (KJC)
09-14125 (KJC)
09-14130 (KJC)
09-14129 (KJC)
09-13945 (KJC)
09-13936 (KJC)
09-13940 (KJC)
ASSETS
                    
Cash:
                    
 Intercompany cash at Advanta Bank Corp.
 $2
 $0
 $0
 $0
 $ 0
 $0
 $0
 $0
 $ 0
 $ 0
 External cash
 78
 50
 5
 21
 0
 (10)
 57
 1
 5
 0
    Total cash
 79
 50
 5
 21
 0
 (10)
 57
 1
 5
 0
Intercompany restricted
                    
    interest-bearing deposits at Advanta Bank Corp.
0
0
0
0
 0
0
0
0
 0
 0
Investments available for sale
0
0
0
0
 0
0
0
0
 0
 0
Receivables, net
0
0
0
 40,286
 0
0
0
0
 0
 0
Accounts receivable from securitizations
0
0
0
0
 0
0
0
0
 0
 0
Premises and equipment:
                    
 Premises and equipment, gross
0
0
0
0
 0
119
0
0
 0
 0
 Accumulated depreciation
0
0
0
0
 0
 (47)
0
0
 0
 0
    Premises and equipment, net
0
0
0
0
 0
 72
0
0
 0
 0
Other assets:
                    
 Investment in subsidiaries
0
 48,069
0
0
 (18,420)
0
0
5
 0
 0
 Charged-off receivable asset
0
0
0
0
 0
0
0
0
 0
 0
 Intercompany receivables
6
0
 44,468
0
 0
0
0
0
 0
 0
 Tax assets
 430
22,311
 6,634
 5,544
 0
0
0
0
 0
 0
 Other assets
0
0
0
 458
 0
 10
0
0
 0
 0
    Total other assets
 436
 70,380
 51,102
 6,002
 (18,420)
 10
0
5
 0
 0
Total assets
 $515
 $ 70,430
 $ 51,107
 $ 46,309
 $ (18,420)
 $ 72
 $ 57
 $6
 $ 5
 $ 0
                     
LIABILITIES SUBJECT TO COMPROMISE
                    
Debt
 $0
 $0
 $0
 $0
 $ 0
 $0
 $0
 $0
 $ 0
 $ 0
Intercompany line of credit payable
0
0
0
 40,402
 0
 137
15,072
0
 0
 0
Subordinated debt payable to preferred
                    
   securities trust
0
0
0
0
 0
0
0
0
 0
 0
Other liabilities:
                    
 Intercompany accrued interest payable
0
0
0
4
 0
0
 27
0
 0
 0
 Intercompany advance payables
3
 46,357
 965
 9,068
 0
 2,052
 1,060
0
 0
 0
 Current income taxes payable
 1,336
 2,027
1,775
0
 0
0
0
0
 0
 0
 Unrecognized tax benefits
0
0
0
0
 0
0
0
0
 0
 0
 Other liabilities
0
 1,350
 299
0
 0
89
113
0
 0
 0
    Total other liabilities
 1,339
 49,733
 3,038
 9,071
 0
 2,141
 1,199
0
 0
 0
Total liabilities subject to compromise
 1,339
 49,733
 3,038
 49,474
 0
 2,278
16,271
0
 0
 0
                     
Stockholders' equity
 (824)
 20,697
 48,069
(3,165)
 (18,420)
 (2,206)
 (16,214)
6
 5
 0
                     
Total liabilities and equity
 $515
 $ 70,430
 $ 51,107
 $ 46,309
 $ (18,420)
 $ 72
 $ 57
 $6
 $ 5
 $ 0

Note:  The Balance Sheets were prepared on an accrual basis and include the financial results for the Debtor entities.  The statements do not eliminate intercompany assets,
intercompany liabilities or investments in subsidiaries. These Balance Sheets do not include the financial results of non-debtor entities controlled by the Debtors and therefore,
do not represent the consolidated financial results of Advanta Corp.  Intercompany receivables on the Balance Sheets of the Debtors are not reduced by a reserve for uncollectible
amounts.  A substantial portion of intercompany receivables may not be collectible.
 
 
MOR-3b
 
 
 
 

UNITED STATES BANKRUPTCY COURT
DISTRICT OF DELAWARE
In Re:
  
Chapter 11
Advanta Corp., et al.
  
Case No. 09-13931 (KJC)
Debtors
  
Reporting Period:
October 1, 2010 to
October 31, 2010
 
 
Declaration Regarding the Status of Post Petition Taxes of the Debtors
October 31, 2010
 
 
Philip M. Browne hereby declares and states:
 
I am the Chief Financial Officer of Advanta Corp., a corporation organized under the laws of the state of Delaware, which along with certain of its affiliated debtors (collectively, the “Debtors”) are Debtors and Debtors in Possession in the above-captioned chapter 11 cases.  In this capacity, I am familiar with Advanta Corp.’s day-to-day operations, businesses, financial affairs and books and records.
 
Except as otherwise indicated, all facts set forth in this declaration are based upon my personal knowledge of Advanta Corp.’s operations and finances, information learned from my review of relevant documents and information I have received from other members of management or the Debtors’ advisors.  As a duly elected and qualified officer of Advanta Corp., I am authorized to submit this declaration on behalf of the Debtors and, if I were called upon to testify, I could and would testify competently to the facts set forth herein.  I submit this declaration under penalty of perjury pursuant to 28 U.S.C. § 1746.
 
To the best of my knowledge, other than as described below, the Debtors have filed all necessary federal, state and local tax returns and made all required post-petition tax payments in connection therewith on a timely basis, or have promptly remediated any late filings or payments that may have occurred due to unintentional oversights.  The Debtors, however, as of October 31, 2010, had not yet filed certain state and local combined tax returns for the year ended 12/31/2009 because those tax returns either had to be prepared by the Federal Deposit Insurance Corporation ("FDIC-R"), as receiver for Advanta Bank Corp., Advanta Corp.'s wholly-owned bank subsidiary, or required FDIC-R's signature or other information.  The Debtors worked with the FDIC-R and completed and filed these tax returns in November 2010 and will arrange for payment of any taxes that may be due pursuant to such tax returns.
 

MOR-4
 
 
 


United States Bankruptcy Court
District of Delaware
   
In Re:  Advanta Corp., et al.
Chapter 11
Debtors
Case No. 09-13931 (KJC)
 
Reporting Period: Petition Date to October 31, 2010
 
 
Summary of Unpaid Post Petition Accounts Payable
        
                 
                 
                 
     
Current
1 - 30
31 - 60
61 - 90
 Over 90
 Total
Combined Debtors
            
 $                 -
                 
 
The post petition accounts payable report represents open and outstanding trade vendor invoices that
have been entered into the accounts payable system.  This summary does not include accruals for
invoices not yet received or approved and therefore will differ from the balance sheet on MOR-3a.
 

MOR-4
 
 
 

United States Bankruptcy Court
District of Delaware
In Re:  Advanta Corp., et al.
Chapter 11
Debtors
Case No. 09-13931 (KJC)
 
Reporting Period: October 1, 2010 to October 31, 2010
 


Accounts Receivable Reconciliation and Aging
 
Accounts Receivable Reconciliation
Total Accounts Receivable at beginning of the reporting period
  
 $ 25,769,295
 + Amounts billed during the period
  
 442,131
 - Amounts collected during the period
  
 (1,256,293)
 - Other adjustments to Accounts Receivable, including credit memos, discounts
  
 (649,984)
Total Accounts Receivable at ending of the reporting period
  
 $ 24,305,149
     
Accounts Receivable Aging
0-30 days old
  
 $ 21,173,291
31-60 days old
  
 1,171,615
61-90 days old
  
 1,039,118
91 + days old
  
 921,125
Total Accounts Receivable
  
 24,305,149
Amounts considered uncollectible (Bad Debt)
  
 (2,136,330)
Accounts Receivable (Net)
  
 $ 22,168,819
 
 
Accounts Receivable above does not include intercompany receivables.


MOR-5
 
 
 
 

United States Bankruptcy Court
District of Delaware
In Re:  Advanta Corp., et al.
Chapter 11
Debtors
Case No. 09-13931 (KJC)
 
Reporting Period: October 1, 2010 to October 31, 2010
   
Debtor Questionnaire
  
For the Month Ended October 31, 2010
  
 

1
Have any assets been sold or transferred outside the normal course of business this reporting period?  If yes, attach explanation. (A) (B) (C)
Y
2
Have any funds been disbursed from any account other than a debtor in possession account this reporting period?  If yes, attach explanation.
N
3
Have all postpetition tax returns been timely filed?  If no, attach explanation. (D)
N
4
Are workers compensation, general liability and other necessary insurance coverages in effect?  If no, attach explanation.
Y
5
Has any bank account been opened during the reporting period?  If yes, provide documentation identifying the opened account(s).  If an investment account has been opened, provide the required documentation pursuant to Delaware Local Rule 4001-3.
N


(A)
In October 2010, an auction sale, pursuant to an order of the Court authorizing such sale, was conducted in
which one piece of art owned by Advanta Shared Services Corp. was sold. Proceeds of £300,000 (approximately
$474,000) are expected to be received in November 2010.
   
(B)
In October 2010, an auction sale, pursuant to an order of the Court authorizing such sale, was conducted in which
thirty-one pieces of art owned by Advanta Shared Services Corp. were sold. Proceeds of $402,800 are expected
expected to be received in December 2010.
   
(C)
In October 2010,  Advanta Corp. completed the sale of Advanta Life Insurance Company, pursuant to an order of
the Court authorizing such sale.  Proceeds of $5,230,795 were received in October 2010.
   
(D)
As of October 31, 2010, the Debtors had not yet filed certain state and local combined tax returns for the year
ended 12/31/2009 because those tax returns either had to be prepared by the FDIC-R, as receiver for Advanta Bank
Corp., Advanta Corp.'s wholly-owned bank subsidiary, or required FDIC-R's signature or other information.  The
Debtors worked with the FDIC-R and completed and filed these tax returns in November 2010 and will arrange for
payment of any taxes that may be due pursuant to such tax returns.
 
 
 
 
 
 

MOR-5