Local Rule 3016-2: DISCLOSURE STATEMENT-GENERAL

3016-2 DISCLOSURE STATEMENT-GENERAL A disclosure statement normally should include: 1. A full statement of the events leading up to the filing of the petition; 2. A description of assets and a valuation of same; 3. Financial statements (both income statement and balance sheet) in reasonable detail; 4. Financial forecasts (both income and cash flow) in sufficient detail and with sufficient background data (such as assumptions on which the forecasts are based) to enable the reader to judge the likelihood of a successful reorganization; 5. Description of the classes established in the plan and a summary of the plan; 6. A comparison of the estimated return to creditors, (a) if the case were converted to a case under Chapter 7, and (b) if the reorganization were approved; 7. A comparison of estimated administrative expenses: (a) if the case were converted to a case under Chapter 7, and (b) if the reorganization were approved; 8. Full disclosure concerning future management of the debtor and compensation to be paid management; 9. Any anticipated future litigation, including preference and fraudulent conveyance avoidance litigation; and a statement of whether the debtor knows of any preference or fraudulent conveyance actions that will not be pursued; 10. Significant tax attributes of the debtor. When appropriate to the case, additional items may be needed, some items in the above list may be supplemented, and some items may be omitted.

A. Disclaimers. Disclaimers of accuracy or responsibility for items in a disclosure statement may be considered as failure to provide information on the issue disclaimed.

B. References to Schedules. References to schedules filed in a case or to information found in the case record are not considered to be the disclosure of information. Information sufficient to satisfy the requirement of the Code must be found within the disclosure statement itself.