Monthly Operating Report of Biovest International, Inc

EX-99.1 2 dex991.htm MONTHLY OPERATING REPORT OF BIOVEST INTERNATIONAL, INC Monthly Operating Report of Biovest International, Inc

Exhibit 99.1

SCHEDULE OF RECEIPTS AND DISBURSEMENTS


FOR THE PERIOD BEGINNING: May 1, 2010 Period ending May 31, 2010
Name of Debtor:	Biovest International, Inc.	Case Number: 8:08-bk-17796-KRM
Date of Petition:	November 10, 2008


	CURRENT MONTH	CUMULATIVE PETITION TO DATE
1. FUNDS AT BEGINNING OF PERIOD	184,906.11	73,533.31
2. RECEIPTS:
A. Cash Sales	—	322,816.21
B. Accounts Receivable	283,985.64	6,669,864.15
C. Other Receipts (See MOR-3)	34,409.00	1,826,621.46
D. Transfers between Biovest accounts	—	140,530.26
E. Transfers from Parent company (Accentia)	—	195,000.00
3. TOTAL RECEIPTS *(Lines 2A+2B+2C)*	318,394.64	9,154,832.08
4. TOTAL FUNDS AVAILABLE FOR OPERATIONS *(1+3)*	503,300.75	9,228,365.39
5. DISBURSEMENTS
A. Advertising	—	54,825.44
B. Bank Charges	704.43	20,333.02
C. Contract Labor	2,604.00	95,054.21
D. Fixed Asset Payments (not incl in N)	—	16,515.86
E. Insurance	6,937.49	740,624.88
F. Inventory Payments (See Attach. 2)	71,134.23	1,500,757.66
G. Leases	—	957.97
H. Manufacturing Supplies	6,695.40	235,538.13
I. Office Supplies	208.28	32,421.03
J. Payroll – Net (see Attachment 4B)	137,408.25	2,661,597.71
K. Professional Fees (Accounting/Legal)	14,109.42	463,460.98
L. Rent	27,834.08	504,067.31
M. Repairs and Maintenance	280.00	29,748.92
N. Secured Creditor Payments (Attach. 2)	11,583.30	262,557.01
O. Taxes Paid – Payroll (Attach. 4C)	52,623.18	771,820.34
P. Taxes Paid – Sales and Use (Attach. 4C)	266.48	4,387.46
Q. Taxes Paid – Other (Attach. 4C)	4,340.00	27,278.79
R. Telephone	1,669.93	34,812.17
S. Travel and Entertainment	2,417.23	121,447.03
Y. U.S. Trustee Quarterly Fees	—	45,175.00
U. Utilities	5,013.49	151,054.64
V. Vehicle Expenses	—	1,800.00
W. Other Operating Expenses (See MOR-3)	36,297.00	880,636.14
X. Express Mail/Shipping fees	3,250.56	60,730.44
Y. Transfer to subsidiary companies	77,000.00	190,308.99
Z. Transfer between Biovest accounts	—	164,530.26
AA. Transfers to Parent Company (Accentia)	—	115,000.00
TOTAL DISBURSEMENTS *(Sum of 5A thru AA)*	462,376.75	9,187,441.39
ENDING BALANCE *(Line 4 Minus Line 6)*	40,924.00	40,924.00

I declare under penalty of perjury that this statement and the accompanying documents and reports are true and correct to the best of my knowledge and belief.


This 22^nd day of June, 2010		/s/ Alan M. Pearce
		(Signature)

(a)	This number is carried forward from last month’s report. For the first report only, this number will be the balance as of the petition date.

(b)	This figure will not change from month to month. It is always the amount of funds on hand as of the date of the petition.

(c)	These two amounts will always be the same if form is completed correctly.

MOR-1

MONTHLY SCHEDULE OF RECEIPTS AND DISBURSEMENTS (cont’d)

Detail of Other Receipts and Other Disbursements

OTHER RECEIPTS:

Describe Each Item of Other Receipt and List Amount of Receipt. Write totals on Page MOR-2, Line 2C.


Description	Current Month	Cumulative Petition to Date

Transfer of funds from 100% owned subsidiary company	—	633.26
Transfers between Biovest bank accounts	32,000.00	157,000.00
Employee reimbursements to company	—	4,378.67
Proceeds from DIP loan (Corps Real, LLC)	—	1,390,000.00
Payment on Note receivable from Excorp	—	52,264.70
Vendor Refund of overpayment	2,409.00	13,577.60
Customer Deposits	—	173,343.97
Refund of prepaid interest paid to unsecured creditor	—	34,919.20
State Income Tax Refund	—	504.00
TOTAL OTHER RECEIPTS	34,409.00	1,826,621.46

“Other Receipts” includes Loans from Insiders and other sources (i.e. Officer/Owner, related parties directors, related corporations, etc.). Please describe below:

Loan Amount

Source of Funds

Purpose

Repayment Schedule

1,390,000.00

DIP Loan from Corps Real, LLC (this entity owned by BOD members)

To fund on-going operations

Partial interest due monthly, all principal and residual accrued interest due earlier of:

1-December 31, 2010 or;

2- Emergence of company from Chapter 11 or;

3- Conversion of company’s Chapter 11 status to Chapter 7 or;

4- Effective date of company’s plan for re-organization

OTHER DISBURSEMENTS:

Describe Each Item of Other Disbursement and List Amount of Disbursement. Write totals on Page MOR-2, Line 5W.


Description	Current Month	Cumulative Petition to Date
Shipping/Postage costs for customer orders	—	616.78
Transfers between Biovest bank accounts	—	80,000.00
RR Donnelly Fees to edgarize SEC reports	2,000.00	13,000.00
Loan to 100% owned subsidiary (AutovaxID, Inc.)	—	2,700.00
Deposited Item returned (transfer between accts)	—	45,000.00
Consulting Fees – FDA submission/BiovaxID	5,000.00	352,214.35
Consulting Fees – grant opportunities	11,164.90	178,331.79
Business Wire – public press release	6,985.60	5,600.30
Cell Line License Agreement – Stanford Univ.	10,000.00	40,000.00
Clinical Research Organization professional fees	—	67,663.83
Transfer Agent Fees	1,146.50	10,455.73
Architect Fees – Build-out Manufacturing Facility	—	11,854.75
Settlement Agreement – Alexandria Realty	—	14,000.00
Software	—	5,228.48
Recruiting Fees	—	24,152.00
Other	—	4,686.03
TOTAL OTHER DISBURSEMENTS	36,297.00	880,636.14

MOR-2

ATTACHMENT 1

MONTHLY ACCOUNTS RECEIVABLE RECONCILIATION AND AGING


Name of Debtor: Biovest International, Inc.		Case Number: 8:08-bk-17796-KRM

Reporting Period beginning May 1, 2010		Period ending May 31, 2010

ACCOUNTS RECEIVABLE AT PETITION DATE: $264,399.44

ACCOUNTS RECEIVABLE RECONCILIATION

(Include all accounts receivable, pre-petition and post-petition, including charge card sales which have not been received):


Beginning of Month Balance^(a)	638,998.03
PLUS: Current Month New Billings	354,996.55
MINUS: Collection During the Month^(b)	(283,985.64	)
PLUS/MINUS: Adjustments or Write-offs*	—
End of Month Balance^(c)	710,008.94

*	For any adjustments or Write-offs provide explanation and supporting documentation, if applicable:

POST PETITION ACCOUNTS RECEIVABLE AGING

(Show the total for each aging category for all accounts receivable)


0-30 Days		31-60 Days		61-90 Days		Over 90 Days		Total^(c)
$	225,434.89	$	480,783.63	$	3,790.42	$	—	$	710,008.94

For any receivables in the “Over 90 Days” category, please provide the following:


Receivable Customer	Receivable Date	Status (Collection efforts taken, estimate of collectability, write- off, disputed account, etc.)

none

(a)	This number is carried forward from last month’s report. For the first report only, this number will be the balance as of the petition date.

(b)	This must equal the number reported in the “Current Month” column of Schedule of Receipts and Disbursements (Page MOR-2, Line 2B).

(c)	These two amounts must equal.

MOR-3

ATTACHMENT 2

MONTHLY ACCOUNTS PAYABLE AND SECURED PAYMENTS REPORT

In the space below list all invoices or bills incurred and not paid since the filing of the petition. Do not include amounts owed prior to filing the petition. In the alternative, a computer generated list of payables may be attached provided all information requested below is included.

POST-PETITION ACCOUNTS PAYABLE


Date Incurred	Date Outstanding	Vendor	Description	Amount
03/25/10	04/25/10	Advanced Workplace Strategies	Pre-employment Testing Services	95.00
04/01/10	06/01/10	Alltemp Storage	Storage Fees	750.00
02/15/10	05/15/10	American Defense Int’l	Consulting Fees	15,000.00
10/01/09	11/01/09	American Stock Transfer	Transfer Agent Fees	750.00
04/01/10	05/01/10	Ameripride Linen	Inventory/Manufacturing Supplies	620.69
03/31/10	05/30/10	Applicant Insight	Employee Recruiting Fees	489.00
05/11/10	06/11/10	Asahi Kasei Bioprocess	Inventory/Manufacturing Supplies	1,440.00
04/28/10	05/28/10	Atlas Biologicals	Manufacturing Supplies	2,845.00
04/01/10	05/01/10	Bay Shore Storage	Storage Rental	90.00
05/03/10	06/03/10	Bellco Glass, Inc.	Manufacturing Supplies	660.81
04/12/10	05/12/10	Bethyl Labs	Inventory/Manufacturing Supplies	174.13
04/30/10	05/31/10	Beverly Norris	Consulting Fees	1,000.00
04/28/10	05/28/10	Bio Rad	Manufacturing Supplies	1,906.74
05/02/10	06/02/10	Biodelivery Sciences Int’l	Domain Registration Fees	341.91
03/31/10	06/20/10	Bionique	Raw Materials	840.00
05/31/10	06/30/10	Carlos Santos	Employee Travel Reimbursement	11,446.70
04/15/10	05/15/10	Carlson Building Services	Building Maintenance	613.51
05/18/10	06/18/10	Centerpoint Energy	Utilities	651.88
04/21/10	05/20/10	Coffee Mill	Office Supplies	375.57
05/01/10	06/01/10	Curt Gleiter	Employee Travel Reimbursement	4,676.28
04/28/10	06/11/10	Doug Calder	Employee Travel Reimbursement	5,622.73
06/05/09	09/05/09	Ellenoff Grossman	Legal Fees	2,930.50
05/17/10	06/17/10	Envirocooler, LLC	Manufacturing Supplies	176.36
08/31/09	07/30/10	Fisher BioServices	Biologics Storage	36,958.40
04/26/10	05/26/10	Franz Repro	Manufacturing Supplies	24.64
04/21/10	05/21/10	Futuremed America, Inc.	Manufacturing Supplies	240.00
04/06/10	06/04/10	G&K Services	Manufacturing Supplies	85.30
05/05/09	07/30/09	Hagen, Christenson	Architect Fees	6,670.54
04/29/10	05/29/10	Hagermeyer	Manufacturing Supplies	1,045.00
05/31/10	06/30/10	Ideal Lawn Care	Building Maintenance	320.00
05/07/10	06/07/10	Upchurch Scientific	Manufacturing Supplies	95.05
02/19/09	10/31/09	IDIS (balance is disputed)	Distribution Agent Fees	80,000.00
04/01/10	06/30/10	Internet Exposure	Web Hosting Fees	198.00
03/31/10	05/30/10	Iron Mountain	Document Storage	662.39
04/13/10	05/13/10	JAG Communications	Consulting Fees	350.00
04/01/10	05/30/10	Jason’s Dry Ice	Manufacturing Supplies	334.95
05/08/10	06/15/10	Joseph Gangemi	Consulting Fees	2,782.65
04/16/10	05/20/10	Kruge Air	Manufacturing Supplies	46.92
04/27/10	05/27/10	Lab Support	Temporary Staffing Fees	2,790.00
03/25/09	06/30/09	Lahive and Cockfield	Legal Fees	11,262.90
04/26/10	06/13/10	McMaster Carr	Manufacturing Supplies	516.08
04/06/10	05/6/10	Medical Disposal Systems	Inventory/Manufacturing Supplies	417.92
05/21/10	06/21/10	Metropolitan Council	Dues	600.00
04/01/10	05/15/10	Molecular Devices	Manufacturing Supplies	269.03
04/15/10	06/30/10	Office Depot	Office Supplies	573.28
04/16/10	05/16/10	RS Hughes Company	Raw Materials	188.25
05/03/10	06/03/10	Rainin Instruments	Manufacturing Supplies	2,845.00

MOR-4


03/25/10	06/30/10	RGI Medical Manufacturing	Manufacturing Supplies	793.77
01/14/10	06/30/10	Rocke, McLean & Sbar	Professional Fees	21,079.58
03/31/10	06/30/10	Saliwanchik	Legal Fees	9,316.77
02/25/10	05/30/10	Sam Duffey	Employee reimbursement	5,005.66
05/26/09	10/31/09	Seyfarth, Shaw, LLP	Professional Fees	16,895.00
12/15/09	01/15/10	Siegel, Brill & Foster	Legal Fees	226.32
04/01/10	05/01/10	Silent Knight Security	Building Maintenance	96.25
04/14/10	05/14/10	Smith Engineering	Raw Materials	74.00
03/01/10	01/01/11	Stanford University	Royalty Payment	60,000.00
05/14/10	06/14/10	Steris Corporation	Manufacturing Supplies	1,078.99
04/23/10	05/30/10	Twin City Filter	Manufacturing Supplies	270.03
05/29/10	06/30/10	UPS	Shipping Fees	759.48
05/10/10	06/15/10	Walters Recycling	Building Maitenance	520.64
				318,889.60

¨ Check here if pre-petition debts have been paid. Attach an explanation and copies of supporting documentation.

MOR-5

ACCOUNTS PAYABLE RECONCILIATION (Post Petition Unsecured Debt Only)


Opening Balance^(a)	286,421.56
PLUS: New Indebtedness Incurred This Month	168,230.06
MINUS: Amount Paid on Post Petition, Accounts Payable This Month	(135,762.02	)
PLUS/MINUS: Adjustments*	—
Ending Month Balance^(c)	318,889.60

*	For any adjustments provide explanation and supporting documentation, if applicable.

SECURED PAYMENTS REPORT

List the status of Payments to Secured Creditors and Lessors (Post Petition Only). If you have entered into a modification agreement with a secured creditor/lessor, consult with your attorney and the United States Trustee Program prior to completing this section).


Secured Creditor/Lessor	Date Payment Due This Month	Amount Paid This Month	Number of Post Petition Payments Delinquent	Total Amount of Post Petition Payments Delinquent
Corps Real, LLC	05/03/10	11,583.30	—	—

Total^(d ⁾		11,583.30	—	—

(a)	This number is carried forward from last month’s report. For the first report only, this number will be zero.

(b, c)

The total of line (b) must equal line (c).

(d)	This number is reported in the “Current Month” column of Schedule of Receipts and Disbursements (Page MOR-2, Line 5N).

MOR-6

ATTACHMENT 3

INVENTORY AND FIXED ASSETS REPORT

INVENTORY REPORT


INVENTORY BALANCE AT PETITION DATE:	568,709.68
INVENTORY RECONCILIATION:
Inventory Balance at Beginning of Month^(a)	415,193.05
PLUS: Inventory Purchased During Month	71,134.23
MINUS: Inventory Used or Sold	(56,223.00	)
PLUS/MINUS: Adjustments or Write-downs*	—
Inventory on Hand at End of Month	430,104.28

METHOD OF COSTING INVENTORY: First In First Out (FIFO) at standard cost

*	For any adjustments or write-downs provide explanation and supporting documentation, if applicable.

INVENTORY AGING


Less than 6 months old	6 months to 2 years old		Greater than 2 years old		Considered Obsolete			Total
40%	49	%	11	%	0	%	=	100	%*

*	Aging Percentages must equal 100%.

¨	Check here if inventory contains perishable items.

Description of Obsolete Inventory:

FIXED ASSET REPORT

FIXED ASSETS FAIR MARKET VALUE AT PETITION DATE^(b ⁾: $160,000.00

(Includes Property, Plant and Equipment)

BRIEF DESCRIPTION (First Report Only):

FIXED ASSETS RECONCILIATION:


Fixed Asset Book Value at Beginning of Month^(a ⁾^(b⁾	$	47,000.00
MINUS: Depreciation Expense		(4,000.00	)
PLUS: New Purchases		—
PLUS/MINUS: Adjustments or Write-downs*		—
Ending Monthly Balance		43,000.00

*	For any adjustments or write-downs, provide explanation and supporting documentation, if applicable.

BRIEF DESCRIPTION OF FIXED ASSETS PURCHASED OR DISPOSED OF DURING THE REPORTING PERIOD: Computer Equipment purchased

(a)	This number is carried forward from last month’s report. For the first report only, this number will be the balance as of the petition date.

(b)	Fair Market Value is the amount at which fixed assets could be sold under current economic conditions. Book Value is the cost of the fixed assets minus accumulated depreciation and other adjustments.

MOR-7

ATTACHMENT 4A

MONTHLY SUMMARY OF BANK ACTIVITY - OPERATING ACCOUNT


Name of Debtor: Biovest International, Inc.		Case Number: 8:08-bk-17796- KRM

Reporting Period beginning May 1, 2010		Period ending May 31, 2010

Attach a copy of current month bank statement and bank reconciliation to this Summary of Bank Activity. A standard bank reconciliation form can be found at http://www.usdoj.gov/ust/r21/index.htm. If bank accounts other than the three required by the United States Trustee Program are necessary, permission must be obtained from the United States Trustee prior to opening the accounts. Additionally, use of less than the three required bank accounts must be approved by the United States Trustee.


NAME OF BANK:		Wells Fargo Bank, NA		BRANCH:		Minneapolis, MN


ACCOUNT NAME:		Biovest International, Inc.		ACCOUNT NUMBER:		xxxxxxxx0093

PURPOSE OF ACCOUNT: OPERATING/Merchant Banking


Ending Balance per Bank Statement	$	9,847.71
Plus Total Amount of Outstanding Deposits	$	—
Minus Total Amount of Outstanding Checks and other debits*	$	—
Minus Service Charges	$	—
Ending Balance per Check Register**^(a ⁾	$	9,847.71

*	Debit cards are used by None

**	If Closing Balance is negative, provide explanation:

The following disbursements were paid in Cash (do not include items reported as Petty Cash on Attachment 4D: (¨ Check here if cash disbursements were authorized by United States Trustee)


Date	Amount	Payee	Purpose	Reason for Cash Disbursement
05/12/10	297.78	Wells Fargo Bank	Merchant Banking Fees	Bank fees automatically deducted from account
05/12/10	141.24	Wells Fargo Bank	Merchant Banking Fees	Bank fees automatically deducted from account
05/12/10	13.26	Wells Fargo Bank	Merchant Banking Fees	Bank fees automatically deducted from account
05/11/10	51.27	Wells Fargo Bank	Monthly Service Fee	Bank fees automatically deducted from account

TRANSFERS BETWEEN DEBTOR IN POSSESSION ACCOUNTS

“Total Amount of Outstanding Checks and other debits”, listed above, includes:


$	32,000.00	Transferred to Wachovia Account
$	—	Transferred to Tax Account

(a)	The total of this line on Attachment 4A, 4B and 4C plus the total of 4D must equal the amount ported as “Ending Balance” on Schedule of Receipts and Disbursements (Page MOR-2, Line 7).

MOR-8

ATTACHMENT 5A

CHECK REGISTER - OPERATING ACCOUNT


Name of Debtor: Biovest International, Inc.		Case Number: 8:08-bk-17796- KRM

Reporting Period beginning May 1, 2010		Period ending May 31, 2010


NAME OF BANK:		Wells Fargo Bank, NA		BRANCH:		Minneapolis, MN



ACCOUNT NAME:	Biovest International, Inc.	ACCOUNT NUMBER:	xxxxxxxx0093

PURPOSE OF ACCOUNT: OPERATING/Merchant Banking

Account for all disbursements, including voids, lost checks, stop payments, etc. In the alternative, a computer generated check register can be attached to this report, provided all the information requested below is included. **


DATE	CHECK NUMBER	PAYEE	PURPOSE	AMOUNT
05/04/10	5071	Biovest Int’l Inc	Transfer to Wachovia Account		32,000.00

			TOTAL	$	32,000.00

MOR-9

ATTACHMENT 4B

MONTHLY SUMMARY OF BANK ACTIVITY – Operating and Payroll Account


Name of Debtor: Biovest International, Inc.		Case Number: 8:08-bk-17796- KRM

Reporting Period beginning May 1, 2010		Period ending May 31, 2010

Attach a copy of current month bank statement and bank reconciliation to this Summary of Bank Activity. A standard bank reconciliation form can be found at http://www.usdoj.gov/ust/r21/index.htm.


NAME OF BANK:		Wachovia Bank, NA		BRANCH:		Jacksonville Beach, FL



ACCOUNT NAME:	Biovest Wachovia Operating	ACCOUNT NUMBER:	xxxxxxxxx1452

PURPOSE OF ACCOUNT: OPERATING AND PAYROLL


Ending Balance per Bank Statement	54,260.78
Plus Total Amount of Outstanding Deposits	—
Minus Total Amount of Outstanding Checks and other debits*	(23,184.49	)
Minus Service Charges	—
Ending Balance per Check Register**^(a ⁾	31,076.29

*	If Closing Balance is negative, provide explanation:

The following disbursements were paid by Cash: (¨ Check here if cash disbursements were authorized by United States Trustee) SEE SEPARATE REGISTER


Date	Amount	Payee	Purpose	Reason for Cash Disbursement

(a)	The total of this line on Attachment 4A, 4B and 4C plus the total of 4D must equal the amount reported as “Ending Balance” on Schedule of Receipts and Disbursements (Page MOR-2, Line 7).

MOR-10

ATTACHMENT 5B

CHECK REGISTER – Operating & PAYROLL ACCOUNT


Name of Debtor: Biovest International, Inc.		Case Number: 8:08-bk-17796- KRM

Reporting Period beginning May 1, 2010		Period ending May 31, 2010


NAME OF BANK:		Wachovia Bank, NA		BRANCH:		Jacksonville Beach, FL



ACCOUNT NAME:	Biovest Wachovia Operating	ACCOUNT NUMBER:	xxxxxxxxxx1452

PURPOSE OF ACCOUNT: OPERATING AND PAYROLL

Account for all disbursements, including voids, lost payments, stop payment, etc. In the alternative, a computer generated check register can be attached to this report, provided all the information requested below is included. SEE SEPARATE REGISTER


DATE	CHECK NUMBER	PAYEE	PURPOSE	AMOUNT







			TOTAL	$

SUMMARY OF TAXES PAID


Payroll Taxes Paid ^(a)	$	52,623.18
Sales & Use Taxes Paid ^(b)		266.48
Other Taxes Paid ^(c)		4,340.00
TOTAL ^(d)	$	57,229.66

MOR-11

ATTACHMENT 4D

INVESTMENT ACCOUNTS AND PETTY CASH REPORT

INVESTMENT ACCOUNTS

Each savings and investment account, i.e. certificates of deposits, money market accounts, stocks and bonds, etc., should be listed separately. Attach copies of account statements.

Type of Negotiable


Instrument	Face Value	Purchase Price	Date of Purchase	Current Market Value
N/A






			TOTAL^(a)	$

PETTY CASH REPORT

The following Petty Cash Drawers/Accounts are maintained:


Location of Box/Account	(Column 2) Maximum Amount of Cash in Drawer/Acct.	(Column 3) Amount of Petty Cash On Hand At End of Month	(Column 4) Difference between (Column 2) and (Column 3)
N/A






		TOTAL^(b ⁾	$

For any Petty Cash Disbursements over $100 per transaction, attach copies of receipts. If there are no receipts, provide an explanation


TOTAL INVESTMENT ACCOUNTS AND PETTY CASH ^{(a+ b)}		$		^(c)

(c)	The total of this line on Attachment 4A, 4B and 4C plus the total of 4D must equal the amount reported as “Ending Balance” on Schedule of Receipts and Disbursements (Page MOR-2, Line 7).

MOR-12

ATTACHMENT 6

MONTHLY TAX REPORT


Name of Debtor: Biovest International, Inc.		Case Number: 8:08-bk-17796- KRM

Reporting Period beginning May 1, 2010		Period ending May 31, 2010

TAXES OWED AND DUE

Report all unpaid post-petition taxes including Federal and State withholding FICA, State sales tax, property tax, unemployment tax, State workmen’s compensation, etc.


Name of Taxing Authority	Date Payment Due	Description	Amount		Date of Last Tax Return Filed	Tax Return Period
City of Worcester, MA	02/02/09	Personal Property Tax		2,676.51	June 2008	7/1/08-6/30/09
City of Worcester, MA	05/01/09	Personal Property Tax		2,656.51	June 2008	7/1/08-6/30/09

		TOTAL	$	5,333.02

MOR-13

ATTACHMENT 7

SUMMARY OF OFFICER OR OWNER COMPENSATION

SUMMARY OF PERSONNEL AND INSURANCE COVERAGES

Report all forms of compensation received by or paid on behalf of the Officer or Owner during the month. Include car allowances, payments to retirement plans, loan repayments, payments of Officer/Owner’s personal expenses, insurance premium payments, etc. Do not include reimbursement for business expenses Officer or Owner incurred and for which detailed receipts are maintained in the accounting records.


Name of Officer or Owner	Title	Payment Description	Amount Paid
Alan M. Pearce	CFO	Salary	10,000.00
Samuel S. Duffey	General Counsel/President	Salary	13,461.54

PERSONNEL REPORT


	Full Time	Part Time
Number of employees at beginning of period	27	1
Number hired during the period	1	1
Number terminated or resigned during period	0	0
Number of employees on payroll at end of period	28	2

CONFIRMATION OF INSURANCE

List all policies of insurance in effect, including but not limited to workers’ compensation, liability, fire, theft, comprehensive, vehicle, health and life. For the first report, attach a copy of the declaration sheet for each type of insurance. For subsequent reports, attach a certificate of insurance for any policy in which a change occurs during the month (new carrier, increased policy limits, renewal, etc.).


Agent and/or Carrier	Phone Number	Policy Number	Coverage Type	Expiration Date	Date Premium Due
Daniel and Henry Company/Chubb	(314) 421-1525	3586-11-88	Property, General Liab	03/31/10	End of each calendar qrtr
Daniel and Henry Company	(314) 421-1525	7499-40-31	Auto	03/31/10	End of each calendar qrtr
Daniel and Henry Company/MN Assigned Risk Plan	(314) 421-1525	MNAR-0000019107-1	Worker’s Comp- MN	03/31/10	End of each calendar qrtr
Daniel and Henry Company/Traveler’s Indemnity Co.	(314) 421-1525	4605N332	Worker’s Comp- FL	03/31/10	04/15/09
Daniel and Henry Company/Chubb	(314)421-1525	3586-11-89	Product Liability	03/31/10	End of each calendar qrtr
Daniel and Henry Company	(314)421-1525	FID3754062 02	Comprehensive Crime	12/31/09	03/31/09
Daniel and Henry Company	(314)421-1525	94-555-73-36	Employment Practices Liability	10/28/09	End of each month
Daniel and Henry Company	(314)421-1525	1853099	Directors and Officers	10/28/09	End of each month
See ALSO Accentia Biopharmaceuticals, Inc. Confirmation of Insurance

The following lapse in insurance coverage occurred this month: N/A


Policy Type		Date Lapsed		Date Reinstated		Reason for Lapse

¨ Check here if U. S. Trustee has been listed as Certificate Holder for all insurance policies.

MOR-14

ATTACHMENT 8

SIGNIFICANT DEVELOPMENTS DURING REPORTING PERIOD

Information to be provided on this page, includes, but is not limited to: (1) financial transactions that are not reported on this report, such as the sale of real estate (attach closing statement); (2) non-financial transactions, such as the substitution of assets or collateral; (3) modifications to loan agreements; (4) change in senior management, etc. Attach any relevant documents.

We anticipate filing a Plan of Reorganization and Disclosure Statement on or before

MOR-15