PUBLIC NOTICE OF ASSIGNEE’S AUCTION OF ASSETS: S&K Air Power Leasing Inc.

AUCTION OF THE ASSETS OF S&K ACQUISITION CORP. AND S&K AIR POWER LEASING INC.

Sale of Property: On September 18, 2019 at 10:00 a.m. at the offices of Commercial Recovery Associates, LLC, located at 205 West Wacker Drive, Suite 1818, Chicago, IL 60606, Robert Handler (the “Trustee/Assignee”), as Trustee/Assignee for the Benefit of Creditors of S&K Acquisition Corp and S&K Air Power Leasing Inc. (the “Companies”) will conduct an auction sale (the “Auction”) of the Companies’ tangible and intangible assets, consisting primarily of inventory, accounts receivable, property plant and equipment, office furniture and equipment, trade fixtures, customer information and marketing materials and brochures (“Sale Assets”), a list of which the Trustee/Assignee will make available to potential bidders.

Terms and Conditions of Sale: The Sale Assets will be offered on an “AS IS” “WHERE IS” basis. The Company leases facilities in Mattoon, IL, Decatur, IL, Indianapolis, IN and Evansville, IN.

The Trustee/Assignee and a prospective purchaser (the “Initial Bidder”) have entered into an Asset Purchase Agreement for the Sale Assets (the “APA”), which governs the Initial Bidder’s offer to purchase all of the Sale Assets. Pursuant to the terms of the APA, the Initial Bidder has made an offer to purchase the Sale Assets for $1,300,000 subject to final adjustment as outlined in the APA one business day prior to Auction. The APA shall be subject to any higher and better bid by other bidders (the “Competitive Bids”).

All Competitive Bids must satisfy the following requirements on or before 4:00 p.m. CST on September 17, 2019. Competitive Bids must be submitted in the form provided by the Trustee/Assignee (the “Bidder Form APA”) which will be in substantially the same form as the APA. The purchase price of any Competitive Bids shall be payable in cash at the closing and shall not be less than $75,000 more than the price outlined in the APA (the “Overbid”). If Competitive Bids submitted by qualified bidders are timely submitted, bidding will thereafter proceed in minimum bid increments of $25,000 or such other increments as the Trustee/Assignee shall announce at the Auction. All Competitive Bids must be accompanied by a deposit to be tendered to the Trustee/Assignee of cash or cash equivalent equal to 10% of the Competitive Bid (the “Deposit”), to be held by the Trustee/Assignee and credited against the purchase price if the maker of a Competitive Bid becomes the successful bidder, and to be returned to such bidder within 48 hours of the conclusion of the Auction if such bidder does not become the successful bidder. The balance of the successful bidder’s purchase price must be paid by the successful bidder by cashier’s or certified check at closing, which is anticipated to occur on September 20, 2019. If a successful bidder fails to pay the balance of his or her successful bid, the bidder’s Deposit will be forfeited, and the Sale Assets may, at the Trustee/Assignee’s option, be sold to the next highest bidder.

EXCEPT AS EXPRESSLY SET FORTH IN THE APA, THE SALE ASSETS ARE TO BE SOLD “AS IS” AND “WHERE IS” WITH NO EXPRESS OR IMPLIED WARRANTIES, REPRESENTATIONS, STATEMENTS OR CONDITIONS OF ANY KIND OTHER THAN TITLE.

FOR FURTHER INFORMATION CONCERNING THE AUCTION, OR TO ARRANGE FOR AN INSPECTION OF THE PROPERTY CONTACT:

Rick Rein
Horwood Marcus & Berk Chartered
500 West Madison Suite 3700
Chicago, IL 60661
312-606-3227
Attorney for the Trustee/Assignee

Robert P. Handler
Managing Partner and Trustee/Assignee, or
John Servatius
Senior Director
Commercial Recovery Associates, LLC
205 West Wacker Drive, Suite 1818
Chicago, IL 60606
(312) 845-5001