KII Liquidating (KATYQ) 8-K Departure of Directors or Certain Officers

Exhibit 99.1

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re Katy Industries, lnc., et al.	Case No. 17-11101 (KJC)
	Reporting Period: May 27, 2017 to June 30, 2017

MONTHLY OPERATING REPORT

		Document	Explanation	Affidavit/Supplement
REQUIRED DOCUMENTS	Form No.	Attached	Attached	Attached
Schedule of Cash Receipts and Disbursements	MOR-1	YES
Certification of Bank Account Reconciliation	MOR-1a	YES
Schedule of Professional Fees Paid	MOR-1b	YES
Schedule of Bank Reconciliation	MOR-1c	YES
Statement of Operations	MOR-2	YES
Balance Sheet	MOR-3	YES
Status of Post-petition Debts and Certificate of Payroll Tax Deposits	MOR-4	YES
Listing of aged post-petition accounts payable	MOR-4a	YES
Accounts Receivable Reconciliation and Aging	MOR-5	YES
Debtor Questionnaire	MOR-5	YES

This Monthly Operating Report has been prepared solely for the purpose of complying with the monthly reporting requirements applicable in theses chapter 11 cases and is in a format that the Debtors believe is acceptable to the Office of the United States Trustee. The financial information provided in this Monthly Operating Report is limited in scope and covers a limited time period. Moreover, such information is preliminary and unaudited and is not prepared in accordance with general acceptable accounting principles in the United States.

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/ Robert W. Zimmer	August 9, 2017
Signature of Debtor	Date
/s/ Robert W. Zimmer	August 9, 2017
Signature of Joint Debtor	Date
/s/ Robert W. Zimmer	August 9, 2017
Signature of Authorized Individual*	Date
Robert W. Zimmer	Chief Financial Officer
Printed Name of Authorized Individual	Title of Authorized Individual

*Copies of the Bank Statements and cash disbursements journals are not included with this Monthly Operating Report due to the voluminous nature of these reports and are available upon reasonable request in writing to counsel of the Debtors.

*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.

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE DISTRICT OF DELAWARE

	X
	:	Chapter 11
In re:	:	Case No. 17-11101 (KJC)
	:	(Jointly Administered)
KATY INDUSTRIES, INC., et al.,(l)	:
	:	Reporting Period: May 27, 2017 to June 30, 2017
Debtors.	:
	X

GENERAL NOTES

Description of the Chapter 11 Cases: On May 14, 2017 (the “Petition Date”), each of the Debtors filed voluntary petitions for relief under chapter 11 of title 11 of the United States Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”). The Debtors’ chapter 11 cases are jointly administered for procedural purposes only under the case caption In re Katy Industries, Inc., et al., Case No. 17-11101 (KJC) (Bankr. D. Del.) pursuant to an order entered by the Bankruptcy Court on May 16, 2017 [Dkt. No. 37]. On May 26, 2017, the Office of the United States Trustee for the District of Delaware (the “U.S. Trustee”) appointed seven members to the statutory committee of unsecured creditors pursuant to section 1102(a)(1) of the Bankruptcy Code [Dkt. No. 75]. On June 23, 2017, the U.S. Trustee held a meeting of creditors in the Debtors’ chapter 11 cases pursuant to section 341 of the Bankruptcy Code, which was adjourned and continued to August 24, 2017. On July 10, 2017, the Debtors filed their respective schedules of assets and liabilities and statements of financial affairs.

Also on the Petition Date, the Debtors filed a motion, seeking authority to sell substantially all of their assets (the “Sale”) under section 363 of the Bankruptcy Code [Dkt. No. 18], which contemplated a sale of substantially all of the Debtors’ assets to the stalking horse purchaser, Jansan Acquisition, LLC (the “Stalking Horse Purchaser”), subject to higher or otherwise better offers. On June 19, 2017, the Bankruptcy Court entered an order, approving the stalking horse protections, approving procedures related to assumption and assignment of certain executory contracts and unexpired leases under section 365 of the Bankruptcy Code, and approving the form and manner of certain notices [Dkt. No. 163] (the “Bidding Procedures Order”). The Stalking Horse Purchaser submitted the only Qualified Bid (as defined in the Bidding Procedures Order), and on July 12, 2017, the Debtors announced that the Stalking Horse Purchaser was the Successful Bidder for the purchase of substantially all of the Debtors’ assets [Dkt. No. 276]. On

(1)           The Debtors in these chapter 11 cases, along with the last four digits of each Debtor’s federal tax identification number, where applicable, are: Katy Industries, Inc. (7589), Continental Commercial Products, LLC (3898), FTW Holdings, Inc. (7467), Fort Wayne Plastics, Inc. (7470), Wabash Holding Corp. (9908), Katy Teweh, Inc. (9839), WII, Inc. (0456), TTI Holdings, Inc. (8680), GCW, Inc. (5610), Hermann Lowenstein, Inc. (4331), American Gage & Machine Company (7074), WP Liquidating Corp. (2310), Ashford Holding Corp. (8113), and HPMI, Inc. (4677). The corporate headquarters and the mailing address for the Debtors listed above is 11840 Westline Industrial Drive, Suite 200, St. Louis, MO 63146.

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July 18, 2017, the Bankruptcy Court entered the order approving the Sale [Dkt No. 295]. The Sale closed on July 21, 2017, and the Debtors are in the process of winding down their estates.

Additional information about the Debtors’ chapter 11 cases, court filings, and claims information is available at the Debtors’ restructuring website: www.jndla.com/cases/katy.

Debtors’ Financial Statements: The financial statements and supplemental information contained in this Monthly Operating Report are unaudited, preliminary, and may not comply with generally accepted accounting principles in the United States of America (“U.S. GAAP”) in all material respects.

Financial Accounting Standards Board Accounting Standards Codification 852 (Reorganizations) (“ASC 852”), which is applicable to companies in chapter 11, requires that financials for periods after the filing of a chapter 11 petition distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. The financial statements have been prepared in accordance with ASC 852. The unaudited financial statements have been derived from the books and records of the Debtors. This information, however, has not been subject to procedures that would typically be applied to financial information presented in accordance with U.S. GAAP, and upon application of such procedures, the Debtors believe that financial information could be subject to change that can be material. The Debtors, however, are not required to update this Monthly Operating Report to reflect more current facts or estimates, or upon the occurrences of future events, including if the facts, estimates, or assumptions upon which this Monthly Operating Report is based change. The information furnished in this Monthly Operating Report includes preliminary normal recurring adjustments.

There can be no assurance that the consolidated financial information presented in this Monthly Operating Report is complete, and readers are strongly cautioned not to place reliance on 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 the Debtors.

The results of operations contained in this Monthly Operating Report are not necessarily indicative of results that may be expected from any other period or for the full year and may not necessarily reflect operations, financial position, or cash flows of the Debtors in the future. The Debtors do not make any representation to any person regarding the Debtors’ future results.

The information contained herein is provided to fulfill the requirements of the Office of the United States Trustee.

Fiscal Year: The Company operates and reports using a 4-4-5 fiscal year which always ends on December 31.

Intercompany Transactions: Intercompany transactions between the Debtors and non-debtor affiliates have not been eliminated in the financial statement contained in this Monthly Operating Report. No conclusion as to the legal obligation related to these intercompany transactions is made by the presentation herein.

2

Revenue Recognition: Revenue is recognized for all sales, including sales to distributors, at the time the products are shipped and title has transferred to the customer, provided that a purchase order has been received or a contract has been executed, there are no uncertainties regarding customer acceptances, the sale price is fixed and determinable, and collection is deemed probable. The operating Debtors’ standard shipping terms are FOB shipping point. Sales are net of provisions for returns, discounts, customer allowances (such as volume rebates), and cooperative advertising allowances. The Debtors’ sales arrangements do not typically contain standard right of return provisions or limit returns at a certain percentage of sales price or margin; however, in certain instances where a product may be returned, the Debtors recognize revenue only if all of the following conditions are met: a) the sale price is substantially fixed or determinable at date of sale; b) buyer has either paid or is obligated to pay the seller and the obligation is not contingent on resale of the product; c) buyer’s obligation to seller would not be changed in the event of theft or physical destruction of the product; d) buyer has economic substance apart from the seller; e) seller does not have significant obligations for future performance to directly bring about the resale of product by the buyer; and f) the amount of future returns can be reasonably estimated (i.e., defective/wrong products). The Debtors record discounts, customer allowances, and cooperative advertising allowances as reductions of revenue, provisions for which are estimated on a periodic basis based on historic experience.

Accounts Receivable and Allowance for Doubtful Accounts: Trade accounts receivable are recorded at the invoiced amount and do not bear interest. The Debtors do not require collateral to secure accounts receivable. The allowance for doubtful accounts is the Debtors’ best estimate of the amounts of probable credit losses in their existing accounts receivable. The Debtors determine the allowance, in part, based on its historical write-off experience. The Debtors review their allowance for doubtful accounts quarterly, which includes a review of past due balances over 30 days. All other balances are reviewed on a pooled basis by market distribution channels. Account balances are charged off against the allowance when the Debtors determine it is probable the receivable will not be recovered. The Debtors do not have any off-balance-sheet credit exposure related to its customers.

Inventories: Inventories are stated at the lower of (i) cost or (ii) market value, and reserves are established for excess and obsolete inventory in order to ensure proper valuation of inventories. Inventoried costs include materials, labor and overhead. Approximately 67% the Debtors’ inventories were accounted for using the last-in, first-out (“LIFO”) method of costing, while the remaining inventories were accounted for using the first-in, first-out (“FIFO”) method. Current cost, as determined using the FIFO method, exceeded LIFO cost by $3.0 million.

Liabilities: As a result of the chapter 11 filings, the payment of prepetition indebtedness is subject to compromise or other treatment under a plan of liquidation,. The determination of how liabilities will ultimately be settled or treated cannot be made until the Bankruptcy Court approves a chapter 11 plan of liquidation. Accordingly, the ultimate amount of such liabilities is not determinable at this time.

Reorganization Items: ASC 852 requires expenses and income directly associated with chapter 11 filings to be reported separately in the income statement as reorganization items. Reorganization items includes expenses related to legal advisory and representation services,

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other professional consulting and advisory services, debtor-in-possession financing fees, and changes in liabilities subject to compromise recognized as there are changes in amounts expected to be allowed as claims.

4

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: May 27, 2017 to June 30, 2017

SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS

	LEGAL ENTITIES
				Continental
	Katy			Commercial									Cumulative
	Industries,			Products,			Fort Wayne						from Petition
	Inc.			LLC			Plastics, Inc.			Total			Date
CASH BEGINNING OF MONTH	$	2,986,450		$	2,105,669		$	38,839		$	5,130,958		$	2,004,973
RECEIPTS
COLLECTIONS OF ACCOUNTS RECEIVABLE	$	—		$	4,706,101		$	678,520		$	5,384,621		$	7,930,174
DIP LOAN PROCEEDS	3,000,000			0			0			3,000,000			7,312,500
CASH COLLATERAL PROCEEDS, NET	0			29,057			(775,809		)	(746,752		)	(2,327,224		)
SALE OF ASSETS	0			0			0			0			0
OTHER (ATTACH LIST)	0			54,048			0			54,048			54,172
TRANSFERS FROM/(TO) DIP ACCTS	(1,783,347		)	1,783,347			0			0			0
TRANSFERS TO/(FROM) CCP	258,541			(667,131		)	410,356			1,766			(0		)
TOTAL RECEIPTS	$	1,475,194		$	5,905,422		$	313,067		$	7,693,683		$	12,969,622
DISBURSEMENTS
INVENTORY & COMPONENTS	$	—		$	2,383,705		$	173,722		$	2,557,427		$	3,590,326
PAYROLL & TAXES	567			1,102,491			8,585			1,111,643			1,596,355
TEMPORARY SERVICES	0			5,295			71,312			76,607			97,303
EMPLOYEE BENEFITS	317,361			80,155			44,194			441,710			504,758
RENTS	0			190,373			0			190,373			201,047
UTILITIES	0			247,377			1,036			248,413			248,413
FREIGHT & LOGISTICS	0			388,614			662			389,276			514,209
LEASES	0			0			474			474			474
COMMISSIONS	0			36,071			0			36,071			36,071
SUPPLIES & OTHER	414			329,471			96,813			426,698			498,627
GENERAL INSURANCE	0			544,742			0			544,742			544,742
OTHER	0			57,236			0			57,236			66,236
PRE-PETITION CLAIMS	25,782			530,572			25,104			581,458			709,312
INTEREST & FEES	0			0			0			0			204,209
	$	344,124		$	5,896,102		$	421,902		$	6,662,128		$	8,812,082
PROFESSIONAL FEES-Schedule Attached	35,000			0			0			35,000			35,000
U.S. TRUSTEE QUARTERLY FEES	0			0			0			0			0
COURT COSTS	0			0			0			0			0
TOTAL DISBURSEMENTS	$	379,124		$	5,896,102		$	421,902		$	6,697,128		$	8,847,082
NET CASH FLOW (RECEIPTS LESS DISBURSEMENTS)	$	1,096,070		$	9,320		$	(108,835	)	$	1,031,554		$	4,157,539
CASH - END OF MONTH	$	4,082,520		$	2,114,989		$	(69,996	)	$	6,162,513		$	6,162,512
TOTAL DISBURSEMENTS										$	6,697,128		$	8,847,082
LESS: TRANSFERS TO DEBTOR IN POSSESSION ACCOUNTS										0			0
PLUS: ESTATE DISBURSEMENTS MADE BY OUTSIDE SOURCES (i.e. from escrow accounts)										0			0
TOTAL DISBURSEMENTS FOR CALCULATING U.S. TRUSTEE QUARTERLY FEES										$	6,697,128		$	8,847,082

All other debtors listed in footnote 1 of this Monthly Operating Report but not reflected on this Schedule of Cash Receipts and Disbursements are inactive entities and, thus, have no receipts or disbursements.

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: May 27, 2017 to June 30, 2017

CONSOLIDATING SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS

BANK	RABOBANK								BMO Harris
ACCOUNT NO	1166		1167			1168			9460			8357
	Professional Fee											Accounts
ACCOUNT NAME	Escrow		DTP Account			Utility Escrow			UMR Insurance			Payable			Total
CASH BEGINNING OF MONTH	$	470,000	$	2,417,500		$	150,000		$	(51,050	)	$	—		$	2,986,450
RECEIPTS
COLLECTIONS OF ACCOUNTS RECEIVABLE															0
DIP LOAN PROCEEDS			3,000,000												3,000,000
CASH COLLATERAL PROCEEDS															0
SALE OF ASSETS															0
OTHER (ATTACH LIST)															0
TRANSFERS (To)/From CCP									221,432			37,109			258,541
Transfers From DIP Account			(1,653,347		)	(130,000		)							(1,783,347		)
TRANSFERS FROM/(TO) DIP ACCTS	2,187,000		(2,187,000		)										0
															0
TOTAL RECEIPTS	$	2,187,000	$	(840,347	)	$	(130,000	)	$	221,432		$	37,109		$	1,475,194
DISBURSEMENTS
INVENTORY & COMPONENTS															0.00
PAYROLL & TAXES												567			567
TEMPORARY SERVICES															0
EMPLOYEE BENEFITS									304,338			13,023			317,361
RENTS															0
UTILITIES															0
FREIGHT & LOGISTICS															0
LEASES															0
COMMISSIONS															0
SUPPLIES & OTHER												414			414
GENERAL INSURANCE															0
OTHER (ATTACH LIST)															0
PRE-PETITION CLAIMS												25,782			25,782
INTEREST & FEES															0
															0
															0
	$	—	$	—		$	—		$	304,338		$	39,786		$	344,124
PROFESSIONAL FEES-Schedule Attached	$	35,000													35,000
U.S. TRUSTER QUARTERLY FEES															0
COURT COSTS															0
TOTAL DISBURSEMENTS	$	35,000	$	—		$	—		$	304,338		$	39,786		$	379,124
NET CASH FLOW (RECEIPTS LESS DISBURSEMENTS)	$	2,152,000	$	(840,347	)	$	(130,000	)	$	(82,906	)	$	(2,677	)	$	1,096,070
CASH - END OF MONTH	$	2,622,000	$	1,577,153		$	20,000		$	(133,956	)	$	(2,677	)	$	4,082,520

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)	Case No. 17-11101 (KJC)
Debtors	Reporting Period: May 27, 2 Reporting Period: Filing to May 26, 2017

CONSOLIDATING SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS

BANK	BMO Harris
ACCOUNT NO	8892			8224			2407		8918			9394		9452			9386
									CCP Account			CENTREX
ACCOUNT NAME	Lockbox			Operating			Cash Collateral		Payable			Accounts Payable		Payroll			Payroll		Total
CASH BEGINNING OF MONTH	$	408,087		$	292,008		$	1,466,991	$	(61,418	)	$	—	$	—		$	—	$	2,105,669
RECEIPTS
COLLECTIONS OF ACCOUNTS RECEIVABLE	$	4,706,101																	4,706,101
TRANSFERS FROM DIP ACCOUNT				1,783,346															1,783,346
CASH COLLATERAL PROCEEDS																			0
SALE OF ASSETS																			0
OTHER (ATTACH LIST)				54,048															54,048
Funds Transfer-Operating Account				(4,799,387		)			3,253,445			180		209,788			668,843		(667,131		)
FUNDS TRANSFER-Cash Collateral	(4,960,943		)	4,990,000															29,057
																			0
TOTAL RECEIPTS	$	(254,842	)	$	2,028,007		$	—	$	3,253,445		$	180	$	209,788		$	668,843	$	5,905,421
DISBURSEMENTS
INVENTORY & COMPONENTS				$	437,177				$	1,946,526									$	2,383,703
PAYROLL & TAXES				215,936					6,543					$	211,169		$	668,843	1,102,491
TEMPORARY SERVICES									5,295										5,295
EMPLOYEE BENEFITS				14,727					65,428										80,155
RENTS									190,373										190,373
UTILITIES				229,837					17,540										247,377
FREIGHT & LOGISTICS				20,000					368,614										388,614
LEASES																			0
COMMISSIONS									36,071										36,071
SUPPLIES & OTHER				129,043					200,248			180							329,471
GENERAL, INSURANCE				544,742															544,742
OTHER (ATTACH LIST)				57,236								0							57,236
PRE-PETITION CLAIMS				29,079					501,493										530,572
INTEREST & FEES																			0
	$	—		$	1,677,777		$	—	$	3,338,131		$	180	$	211,169		$	668,843	$	5,896,100
PROFESSIONAL FEES-Schedule Attached																			0
U.S. TRUSTEE QUARTERLY FEES																			0
COURT COSTS																			0
TOTAL DISBURSEMENTS	$	—		$	1,677,777		$	—	$	3,338,131		$	180	$	211,169		$	668,843	$	5,896,100
NET CASH FLOW (RECEIPTS LESS DISBURSEMENTS)	$	(254,842	)	$	350,230		$	—	$	(84,686	)	$	—	$	(1,381	)	$	—	$	9,321
CASH - END OF MONTH	$	153,245		$	642,238		$	1,466.991	$	(146,104	)	$	—	$	(1.381	)	$	—	$	2,114,990
OTHER DISBURSEMENTS
Ordinary Course Professionals				$	57,236														$	57,236
	$	—		$	57,236				$	—		$	—	$	—		$	—	$	57,236

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: May 27, 2017 to June 30, 2017

CONSOLIDATING SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS

BANK	BMO Harris
ACCOUNT NO	1654					1639			1670
									Account
ACCOUNT NAME	Lockbox			Petty Cash		Operating			Payable			Total
CASH BEGINNING OF MONTH	$	97,289		$	899	$	—		$	(59,348	)	$	38,839
RECEIPTS
COLLECTIONS OF ACCOUNTS RECEIVABLE	$	678,520										$	678,520
DIP LOAN PROCEEDS												0
TRANSFER TO CASH COLLATERAL	(775,809		)									(775,809		)
SALE OF ASSETS												0
OTHER (ATTACH LIST)												0
TRANSFERS FROM/(TO) OPERATING ACCT						(410,356		)	410,356			0
TRANSFERS FROM CCP						410,356						410,356
TOTAL RECEIPTS	(97,289		)	0		(0		)	410,356			$	313,067.16
DISBURSEMENTS
INVENTORY & COMPONENTS									$	173,723		$	173,723
PAYROLL & TAXES									8,585			8,585
TEMPORARY SERVICES									71,312			71,312
EMPLOYEE BENEFITS									44,194			44,194
RENTS												0
UTILITIES									1,036			1,036
FREIGHT & LOGISTICS									662			662
LEASES									474			474
COMMISSIONS												0
SUPPLIES & OTHER									96,813			96,813
GENERAL INSURANCE												0
OTHER (ATTACH LIST)												0
PRE-PETITION CLAIMS									25,104			25,104
INTEREST & FEES												0
												0
	$	—		$	—	$	—		$	421,903		$	421,903
PROFESSIONAL FEES-Schedule Attached												0
U.S. TRUSTEE QUARTERLY FEES												0
COURT COSTS												0
TOTAL DISBURSEMENTS	$	—		$	—	$	—		$	421,903		$	421,903
NET CASH FLOW (RECEIPTS LESS DISBURSEMENTS)	$	(97,289	)	$	—	$	(0	)	$	(11,547	)	$	(108,836	)
CASH - END OF MONTH	$	(0	)	$	899	$	(0	)	$	(70,895	)	$	(69,997	)

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: May 27, 2017 to June 30, 2017

DECLARATION REGARDING THE STATUS OF BANK RECONCILIATIONS OF THE DEBTORS

Robert W. Zimmer hereby declares under penalty of perjury:

1.	I am the Chief Financial Officer of Katy Industries, Inc., one of the debtors in these chapter 11 cases (the “Debtors”). In that capacity, I am familiar with the day-to-day operations, business affairs and books and records of the Debtors. I am authorized to submit this Declaration on behalf of the Debtors.
2.	All statements in the Declaration are based on my personal knowledge, my review of the relevant documents, my discussions with other employees of the Debtors, or my opinion based upon my experience and knowledge of the Debtors’ operations and financial condition. If I were called upon to testify, I could and would testily to each of the facts set forth based on such personal knowledge, review of documents, discussions with other employees of the Debtors, or opinion.
3.	To the best of my knowledge, the Debtors’ bank balance as of June 30, 2017 have been reconciled in an accurate and timely manner.

Dated: August 9, 2017	Respectfully submitted,
	/s/ Robert W. Zimmer
	By: Robert W. Zimmer
	Title: Chief Financial Officer

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (JKC)
Debtors	Reporting Period: May 27, 2017 to June 30, 2017

SCHEDULE OF PROFESSIONAL FEES AND EXPENSES PAID

This schedule is to include all retained professional payments from case inception to current month,

				Check		Amount Paid				Year-To-Date
Payee	Period Covered	Amount Approved	Payor	Number	Date	Fees		Expenses		Expenses
DLA Piper LLP			Katy Industries, Inc.			$	—	$	—	$	—
Lincoln International LLC	June-17		Katy Industries, Inc.	Wire	6/29/2017	35,000		0		35,000
Sierra Constellation Partners LLC			Katy Industries, Inc.			0		$	—	$	—
Sitrick and Company			Katy Industries, Inc.			0		$	—	$	—
JND Corporate Restructuring			Katy Industries, Inc.			0		$	—	$	—
						$	35,000	$	—	$	35,000

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (JKC)
Debtors	Reporting Period: May 27, 2017 to June 30, 2017

Schedule of Bank Reconciliations

						Less -
		Account		Balance per		Outstanding			Other Items		Balance per
Company	Bank	Number	Account Name	Bank		Checks			Amount		General Ledger
Katy Industries, Inc.
			Professional Fee
	Rabobank	1166	Escrow	$	2,622,000						$	2,622,000
	Rabobank	1167	DIP Account	1,577,153							1,577,153
	Rabobank	1168	Utility Escrow	20,000							20,000
				$	4,219,153	$	—		$	—	$	4,219,153
	BMO Harris	9460	UMR Insurance	0		(133,956		)	0		(133,956		)
	BMO Harris	8357	Accounts Payable	0		(2,677		)			(2,677		)
				$	—	$	(136,633	)	$	—	$	(136,633	)
				$	4,219,153	$	(136,633	)	$	—	$	4,082,520
Contential Commercial Products, LLC
	BMO Harris	8224	Operating Account	$	642,238						$	642,238
	BMO Harris	2407	Cash Collateral	1,466,991							1,466,991
	BMO Harris	8892	Lockbox	153,245							153,245
	BMO Harris	8918	Accounts Payable	0		(146,104		)			(146,104		)
	BMO Harris	9386	Payroll	0							0
	BMO Harris	9394	Accounts Payable	0							0
	BMO Harris	9452	Payroll	0		(1,381		)			(1,381		)
				$	2,262,474	$	(147,485	)	$	—	$	2,114,989
Fort Wayne Plastics, Inc.
	BMO Harris	1639	Operating Account	$	—						$	—
	BMO Harris	1654	Lockbox	0							0
	BMO Harris	1670	Accounts Payable	0		(70,895		)			(70,895		)
	Petty Cash			899							899
				$	899	$	(70,895	)	$	—	$	(69,996	)

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: May 27, 2017 to June 30, 2017

CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited)

				Cumulative
	Period			Filing to Date
REVENUES
Net sales	$	6,672,872		$	9,244,437
Cost of Goods Sold	5,182,635			7,610,300
Gross Margin	$	1,490,237		$	1,634,137
Selling & Administration
Selling Expenses	$	280,890		$	431,532
Administrative Expenses	1,116,676			1,594,118
Total Selling & Administrative Expense	$	1,397,566		$	2,025,650
Operating Profit/(Loss)	$	92,671		$	(391,513	)
Non-operating (Income)/expense
Interest Expense	$	863,163		$	1,376,053
Interest Income	(2,482		)	(2,482		)
Other (Income)/Expense	0			(4,702		)
Total non-operating	$	860,681		$	1,368,869
Net Profit (Loss) Before Reorganization Items	$	(768,010	)	$	(1,760,382	)
REORGANIZATION ITEMS
Professional Fees	$	35,000		$	35,000
U. S. Trustee Quarterly Fees	0			0
Gain (Loss) from Sale of Equipment	0			0
Other Reorganization Expenses	118,385			171,325
Total Reorganization Expenses	$	153,385		$	206,325
Income Taxes	0			0
Net Income/(Loss)	$	(921,395	)	$	(1,966,707	)

UNITED STATES BANKRUPTCY COURT

DISTRICT OE DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: May 27, 2017 to June 30, 2017

CONSOLIDATING STATEMENT OF OPERATIONS

							17-11101			17-11102			See MOR-2b
										Continental			Consolidated Fort
							Katy Industries,			Commercial			Wayne Holdings,
Case No:	Consolidated			Eliminations			Inc.			Products, LLC			Inc.
REVENUES
Net Sales	$	6,672,872		$	(110,607	)	$	—		$	5,870,640		$	912,839
Cost of Goods Sold	5,182,635			(110,607		)				4,328,073			965,169
Gross Margin	$	1,490,237		$	—		$	—		$	1,542,567		$	(52,330	)
Selling & Administration
Selling expense	$	280,890								$	281,947		$	(1,057	)
Administrative Expense	1,116,676						566,346			415,577			129,639
Total Selling & Administrative Expense	$	1,397,566		$	—		$	566,346		$	697,524		$	128,582
Operating Profit/(Loss)	$	92,671		$	—		$	(566,346	)	$	845,043		$	(180,912	)
Non-operating (Income)/expense
Interest Expense	$	863,163					$	272,550		$	590,613		$	—
Interest Income	-2,482									(2,482		)	0
Other (Income)/Expense	0												0
Total non-operating	860,681			0			272,550			588,131			$	—
Net Profit (Loss) Before Reorganization Items	$	(768,010	)	$	—		$	(838,896	)	$	256,912		$	(180,912	)
REORGANIZATION ITEMS
Professional Fees	$	35,000								$	35,000		$	—
U. S. Trustee Quarterly Fees	0						0						0
Gain (Loss) from Sale of Equipment	0												0
Other Reorganization Expenses	118,385						22,026			96,359			0
Total Reorganization Expenses	$	153,385		$	—		$	22,026		$	131,359		$	—
Income Taxes	0			0			0			0			0
Net Income/(Loss)	$	(921,395	)	$	—		$	(860,922	)	$	125,553		$	(180,912	)

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: May 27, 2017 to June 30, 2017

CONSOLIDATING STATEMENT OF OPERATIONS-FORT WAYNE HOLDINGS, Inc. & SUBSIDIARY

						17-11103		17-11104
	Consolidated Fort
	Wayne Holdings,					Fort Wayne		Fort Wayne
Case No:	Inc.			Eliminations		Holdings, Inc.		Plastics, Inc.
REVENUES
Net Sales	$	912,839		$	—	$	—	$	912,839
Cost of Sales	965,169			0		0		965,169
Gross Margin	$	(52,330	)	$	—	$	—	$	(52,330	)
Selling & Administration
Selling Expense	$	(1,057	)					$	(1,057	)
Administrative Expense	129,639							129,639
Total Selling & Administrative Expense	$	128,582		$	—	$	—	$	128,582
Operating Profit/(Loss)	$	(180,912	)	$	—	$	—	$	(180,912	)
Non-operating (Income)/expense
Interest Expense	$	—
Interest Income	0
Other (Income)/Expense	0
Total non-operating	$	—		$	—	$	—	$	—
Net Profit (Loss) Before Reorganization Items	$	(180,912	)	$	—	$	—	$	(180,912	)
REORGANIZATION ITEMS
Professional Fees	$	—
U. S. Trustee Quarterly Fees	0
Gain (Loss) from Sale of Equipment	0
Other Reorganization Expenses	0
Total Reorganization Expenses	$	—		$	—	$	—	$	—
Income Taxes	0			0		0		0
Net Income/(Loss)	$	(180,912	)	$	—	$	—	$	(180,912	)

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: May 27, 2017 to June 30, 2017

CONSOLIDATING STATEMENT OF OPERATIONS-INACTIVE SUBSIDIARIES

				17-11105			17-11106		17-11107		17-11108		17-11109		17-11110		17-11111		17-11112		17-11113		17-11114
																	American
															Hermann		Gage &		WP
	Inactive			Wabash			Katy Teweh,								Lowenstein		Machine		Liquidating		Ashford
Case No:	Subsidiaries			Holding Corp			Inc.		WII, Inc.		TTI, Holdings		GCW, Inc.		Inc.		Company		Corp		Holding Corp		HPMI, Inc.
REVENUES
Net Sales	$	—		$	—		$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
COST OF GOODS SOLD
Cost of Sales	0			0			0		0		$	—	$	—	$	—	$	—	$	—	$	—	$	—
Gross Margin	$	—		$	—		$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Selling & Administration
Selling Expense	$	—
Administrative Expense	5,114			5,114
Total Selling & Administrative Expense	$	5,114		$	5,114		$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Operating Profit/(Loss)	$	(5,114	)	$	(5,114	)	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Non-operating (Income)/expense
Interest Expense	$	—
Interest Income	0
Other (Income)/Expense	0
Total non-operating	$	—		$	—		$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Net Profit (Loss) Before Reorganization Items	$	(5,114	)	$	(5,114	)	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
REORGANIZATION ITEMS
Professional Fees	$	—
U. S. Trustee Quarterly Fees	0
Gain (Loss) from Sale of Equipment	0
Other Reorganization Expenses	0
Total Reorganization Expenses	$	—		$	—		$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Income Taxes	0			0			0		0		0		0		0		0		0		0		0
Net Income/(Loss)	$	(5,114	)	$	(5,114	)	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: June 30, 2017

CONSOLIDATED BALANCE SHEET (Unaudited)

				Prior			Petition
	June 30, 2017			Period			Date
ASSETS
CURRENT ASSETS
Unrestricted Cash and Equivalents	$	6,127,513		$	5,130,958		$	2,004,972
Accounts Receivable (Net)	8,358,404			7,437,144			7,879,871
Notes Receivable	0			0			0
Inventories, net	7,669,851			6,607,509			6,711,037
Prepaid Expenses	1,208,837			1,192,726			414,869
Net Inter-company accounts	332,407			216,918			174,499
Other Current Assets	650,793			681,341			580,435
TOTAL CURRENT ASSETS	$	24,347,805		$	21,266,596		$	17,765,683
PROPERTY AND EQUIPMENT
Land and improvements	$	285,129		$	285,129		$	285,129
Buildings and improvements	6,897,720			6,897,720			6,897,720
Machinery and equipment	44,717,062			44,696,063			44,706,564
Less Accumulated Depreciation	(36,840,552		)	(36,620,417		)	(36,533,567		)
TOTAL PROPERTY & EQUIPMENT	$	15,059,359		$	15,258,495		$	15,355,846
OTHER ASSETS
Goodwill, net	$	24,198,802		$	24,284,326		$	24,318,535
Lease Deposits	194,449			200,449			200,449
Notes Receivable	612,079			609,597			608,519
Other intangible assets, net	7,600,789			7,906,749			7,785,688
Investment in unconsolidated subsidiaries	18,966,005			18,966,005			18,966,005
TOTAL OTHER ASSETS	$	51,572,124		$	51,967,126		$	51,879,196
TOTAL ASSETS	$	90,979,288		$	88,492,217		$	85,000,725

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: June 30, 2017

CONSOLIDATED BALANCE SHEET (Unaudited)

				Prior			Petition
	June 30, 2017			Period			Date
LIABILITIES AND OWNER EQUITY
LIABILITIES
Current Liabilities
Accounts Payable - Pre-Petition	$	21,009,355		$	21,754,179		$	21,369,781
Accounts Payable - Post Petition	870,851			$	66,575		$	—
Accrued Expenses	8,214,451			7,886,718			7,169,231
Accrued Compensation	792,900			676,546			657,737
Accrued Interest	193,587			122,528			52,885
TOTAL CURRENT LIABILITIES	$	31,081,144		$	30,506,546		$	29,249,634
SECURED DEBT
Revolver	$	18,565,526		$	16,146,834		$	13,019,108
Senior Term Notes	6,510,000			6,510,000			6,510,000
Subordinated Debt	37,307,139			36,876,828			36,718,401
Capital Leases	340,190			351,447			351,447
Shareholder Notes	327,518			323,529			321,168
Total Secured Debt	$	63,050,373		$	60,208,638		$	56,920,124
NON-CURRENT LIABILITIES
Post retirement benefits	$	1,439,261		$	1,434,147		$	1,203,156
Deferred Compensation	505,762			502,414			499,624
Deferred taxes	122,000			122,000			122,000
GAAP Lease Obligations	5,584,378			5,600,708			5,843,111
TOTAL NON-CURRENT LIABILITIES	$	7,651,401		$	7,659,269		$	7,667,891
TOTAL LIABILITIES	$	101,782,918		$	98,374,453		$	93,837,649
SHAREHOLDERS EQUITY
Convertible Preferred Stock	$	108,256,190		$	108,256,190		$	108,256,190
Common Stock	9,822,204			9,822,204			9,822,204
Additional Paid-In Capital	31,148,825			31,148,825			31,148,825
Accumulated other comprehensive loss	(651,660		)	(651,660		)	(651,660		)
Retained Earnings - Pre-Petition	(135,975,780		)	(135,975,781		)	(135,975,781		)
Retained Earnings - Post-Petition	(1,966,707		)	(1,045,312		)	0
Treasury Stock	(21,436,702		)	(21,436,702		)	(21,436,702		)
TOTAL SHAREHOLDERS EQUITY	$	(10,803,630	)	$	(9,882,236	)	$	(8,836,924	)
TOTAL LIABILITIES AND OWNERS’ EQUITY	$	90,979,288		$	88,492,217		$	85,000,725

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors

CONSOLIDATING BALANCE SHEET (Unaudited)

As of June 30, 2017

							17-11101			17-11102			See MOR-3b			See MOR-3c
										Continental			Consolidated Fort
							Katy Industries,			Commercial			Wayne Holdings,			Inactive
	Consolidated			Eliminations			Inc.			Products, LLC			Inc.			Subsidiaries
ASSETS
CURRENT ASSETS
Unrestricted Cash and Equivalents	$	6,127,513					$	4,082,520		$	2,114,989		$	(69,996	)	$	—
Accounts Receivable (Net)	8,358,404									7,361,627			996,777			0
Inventories, net	7,669,851									5,877,662			1,792,189			—
Prepaid Expenses	1,208,837						170,951			885,834			152,052			—
Net Inter-company accounts	332,407						(90,724,499		)	(46,117,867		)	1,769,952			135,404,821
Other Current Assets	650,793						467,670			183,123			0			—
TOTAL CURRENT ASSETS	24,347,805			0			(86,003,358		)	(29,694,632		)	4,640,974			$	135,404,821
PROPERTY AND EQUIPMENT
Land and improvements	$	285,129											$	285,129		$	—
Buildings and improvements	6,897,720						208,362			3,591,087			3,098,271			0
Machinery and equipment	44,717,062									37,237,476			7,479,586			—
Less Accumulated Depreciation	(36,840,552		)				(52,913		)	(30,599,607		)	(6,188,032		)	—
TOTAL PROPERTY & EQUIPMENT	$	15,059,359		$	—		$	155,449		$	10,228,956		$	4,674,954		$	—
OTHER ASSETS
Goodwill, net	$	24,198,802								$	21,642,798		$	2,556,004		$	—
Lease Deposits	194,449									194,449			0			—
Notes Receivable	612,079									612,079			0			—
Other intangible assets, net	7,600,789									4,118,548			3,439,333			42,908
Investment in unconsolidated subsidiaries	18,966,005			(114,368,517		)	120,385,855			12,948,667			0			—
TOTAL OTHER ASSETS	$	51,572,124		$	(114,368,517	)	$	120,385,855		$	39,516,541		$	5,995,337		$	42,908
TOTAL ASSETS	$	90,979,288		$	(114,368,517	)	$	34,537,946		$	20,050,865		$	15,311,265		$	135,447,729

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors

CONSOLIDATING BALANCE SHEET (Unaudited)

As of June 30, 2017

					17-11101			17-11102		See MOR-3b		See MOR-3c
								Continental		Consolidated Fort
					Katy Industries,			Commercial		Wayne Holdings,		Inactive
	Consolidated		Eliminations		Inc.			Products, LLC		Inc.		Subsidiaries
LIABILITIES AND OWNER EQUITY
LIABILITIES
Current Liabilities
Accounts Payable Pre-Petition	$	21,009,355	$	—	$	959,297		$	17,396,468	$	2,653,590	$	—
Accounts Payable Post-Petition	870,851				36,753			717,756		116,342
Accrued Expenses	8,214,451				3,664,982			4,112,836		40,556		396,077
Accrued Compensation	792,900				84,930			503,874		204,096		—
Accrued Interest	193,587							193,587		—		—
TOTAL CURRENT LIABILITIES	$	31,081,144	$	—	$	4,745,962		$	22,924,521	$	3,014,584	$	396,077
Debt
Revolver	$	18,565,526			$	7,585,051		$	10,980,475	$	—	$	—
Senior Term Notes	6,510,000							6,510,000		0		0
Subordinated Debt	37,307,139							37,307,139		—		—
Capital Leases	340,190							340,190		—		—
Shareholder Notes	327,518							327,518		—		—
Total Debt	$	63,050,373	$	—	7,585,051			$	55,465,322	$	—	$	—
NON-CURRENT LIABILITIES
Post retirement benefits	$	1,439,261			$	1,046,935				$	—	$	392,326
Deferred Compensation	505,762				505,762					—		—
Deferred taxes	122,000				(2,317,507		)			2,439,507		—
GAAP Lease Obligations	5,584,378							5,584,378		—		—
TOTAL NON-CURRENT LIABILITIES	$	7,651,401	$	—	$	(764,810	)	$	5,584,378	$	2,439,507	$	392,326
TOTAL LIABILITIES	$	101,782,918	$	—	$	11,566,203		$	83,974,221	$	5,454,091	$	788,403

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re:	Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
	Debtors

CONSOLIDATING BALANCE SHEET (Unaudited)

As of June 30, 2017

							17-11101			17-11102			See MOR-3b			See MOR-3c
										Continental			Consolidated Fort
							Katy Industries,			Commercial			Wayne Holdings,			Inactive
	Consolidated			Eliminations			Inc.			Products, LLC			Inc.			Subsidiaries
SHAREHOLDERS EQUITY
Convertible Preferred Stock	$	108,256,190		$	(5,152,000	)	$	108,256,190		$	—		$	—		$	5,152,000
Common Stock	9,822,204			(1,201,001		)	9,822,204			—			1			1,201,000
Additional Paid-In Capital	31,148,825			(233,905,538		)	31,148,825			165,188,290			10,774,275			57,942,973
Accumulated other comprehensive loss	(651,660		)				(80,944		)				—			(570,716		)
Retained Earnings - Pre-Petition	(135,975,780		)	125,890,022			(103,687,774		)	(228,335,363		)	(781,848		)	70,939,183
Retained Earnings - Post-Petition	(1,966,707		)				(1,050,056		)	(776,283		)	(135,254		)	(5,114		)
Treasury Stock	(21,436,702		)				(21,436,702		)				—			—
TOTAL SHAREHOLDERS EQUITY	$	(10,803,630	)	$	(114,368,517	)	$	22,971,743		$	(63,923,356	)	$	9,857,174		$	134,659,326
TOTAL LIABILITIES AND OWNERS’ EQUITY	$	90,979,288		$	(114,368,517	)	$	34,537,946		$	20,050,865		$	15,311,265		$	135,447,729

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors

CONSOLIDATING BALANCE SHEET (Unaudited)

As of June 30, 2017

	Consolidating Fort Wayne Holdings, Inc.
							17-11103		17-11104
	Consolidated Fort
	Wayne Holdings,						Fort Wayne		Fort Wayne
	Inc			Eliminations			Holdings, Inc.		Plastices, Inc.
ASSETS
CURRENT ASSETS
Unrestricted Cash and Equivalents	$	(69,996	)						$	(69,996	)
Accounts Receivable (Net)	996,777								996,777
Inventories, net	1,792,189								1,792,189
Prepaid Expenses	152,052								152,052
Net Inter-company accounts	1,769,952								1,769,952
Other Current Assets	0
TOTAL CURRENT ASSETS	$	4,640,974		$	—		$	—	$	4,640,974
PROPERTY AND EQUIPMENT
Land and improvements	$	285,129							$	285,129
Buildings and improvements	3,098,271								3,098,271
Machinery and equipment	7,479,586								7,479,586
Less Accumulated Depreciation	(6,188,032		)						(6,188,032		)
TOTAL PROPERTY & EQUIPMENT	$	4,674,954		$	—		$	—	$	4,674,954
OTHER ASSETS
Goodwill, net	$	2,556,004							$	2,556,004
Lease Deposits
Notes Receivable
Other intangible asseets, net	3,439,333								3,439,333
Investment in unconsolidated subsidiaries	0			(10,774,276		)	10,774,276		0
TOTAL OTHER ASSETS	$	5,995,337		$	(10,774,276	)	$	10,774,276	$	5,995,337
TOTAL ASSETS	$	15,311,265		$	(10,774,276	)	$	10,774,276	$	15,311,265

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors

CONSOLIDATING BALANCE SHEET (Unaudited)

As of June 30, 2017

	Consolidating Fort Wayne Holdings, Inc.
							17-11103		17-11104
	Consolidated Fort
	Wayne Holdings,						Fort Wayne		Fort Wayne
	Inc			Eliminations			Holdings, Inc.		Plastices, Inc.
LIABILITIES AND OWNER EQUITY
LIABILITIES
Current Liabilities
Accounts Payable Pre-Petition	$	2,653,590		$	—		—		$	2,653,590
Accounts Payable Post-Petition	116,342								116,342
Accrued Expenses	40,556								40,556
Accrued Compensation	204,096								204,096
Accrued Interest	0
TOTAL CURRENT LIABILITIES	$	3,014,584		$	—		$	—	$	3,014,584
NON-CURRENT LIABILITIES
Deferred taxes	2,439,507								2,439,507
TOTAL NON-CURRENT LIABILITIES	$	2,439,507		$	—		$	—	$	2,439,507
TOTAL LIABILITIES	5,454,091			—			—		5,454,091
SHAREHOLDERS EQUITY
Convertible Preferrred Stock	$	—		$	—		$	—	$	—
Common Stock	1			(0		)	1		0
Additional Paid-In Capital	10,774,275						10,774,275
Accumulated other comphehensive loss	—			(10,774,276		)			10,774,276
Retained Earnings - Pre-Petition	(781,848		)						(781,848		)
Retained Earnings - Post-Petition	(135,254		)						(135,254		)
Treasury Stock	—
TOTAL SHAREHOLDERS EQUITY	$	9,857,174		$	(10,774,276	)	$	10,774,276	$	9,857,174
TOTAL LIABILITIES AND OWNERS’ EQUITY	$	15,311,265		$	(10,774,276	)	$	10,774,276	$	15,311,265

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors

CONSOLIDATING BALANCE SHEET (Unaudited)

As of June 30, 2017

						17-11105		17-11106			17-11107		17-11108		17-11109		17-11110		17-11111			17-11112			17-11113		17-11114
	Inactive					Wabash Holding											Hermann		American Gage &			WP Liquidating			Ashford Holding
	Subsidiaries		Eliminations			Corp		Katy Teweh, Inc.			WII, Inc.		TTI, Holdings		GCW, Inc.		Lowenstein Inc.		Machine Company			Corp			Corp		HPMI, Inc.
ASSETS
CURRENT ASSETS
Unrestricted Cash and Equivalents	$	—
Accounts Receivable (Net)	0
Notes Receivable	0
Inventories, net	0
Prepaid Expenses	0
Net Inter-company accounts	135,404,821					3,578,827		(28,847,177		)	71,480,093		6,119,575		23,036,075				25,972,861			(1,181,538		)	23,286,555		11,959,550
Other Current Assets (attach schedule)	0
TOTAL CURRENT ASSETS	135,404,821					3,578,827		(28,847,177		)	71,480,093		6,119,575		23,036,075		—		25,972,861			(1,181,538		)	23,286,555		11,959,550
PROPERTY AND EQUIPMENT
Land and improvements	$	—
Buildings and improvements	0.00
Machinery and equipment	0.00
Less Accumulated Depreciation	0.00
TOTAL PROPERTY & EQUIPMENT	$	—				$	—	$	—		$	—	—		—		—		—			—			—		—
OTHER ASSETS
Goodwill, net	0
Lease Deposits	0
Notes Receivable	0
Other intangible assets, net	42,908														42,908
Investment in unconsolidated subsidiaries	0		(4,938,036		)						6,119,574								(1,181,538		)
TOTAL OTHER ASSETS	$	42,908	$	(4,938,036	)	$	—	$	—		$	6,119,574	$	—	$	42,908	$	—	$	(1,181,538	)	$	—		$	—	$	—
TOTAL ASSETS	$	135,447,729	$	(4,938,036	)	$	3,578,827	$	(28,847,177	)	$	77,599,667	$	6,119,575	$	23,078,983	$	—	$	24,791,323		$	(1,181,538	)	$	23,286,555	$	11,959,550

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors

CONSOLIDATING BALANCE SHEET (Unaudited)

As of June 30, 2017

							17-11105			17-11106			17-11107			17-11108			17-11109			17-11110		17-11111		17-11112			17-11113		17-11114
	Inactive						Wabash Holding															Hermann		American Gage &		WP Liquidating			Ashford Holding
	Subsidiaries			Eliminations			Corp			Katy Teweh, Inc.			WII, Inc.			TTI, Holdings			GCW, lnc.			Lowenstein Inc.		Machine Company		Corp			Corp		HPMI, Inc.
LIABILITIES AND OWNER EQUITY
LIABILITIES
Current Liabilities
Accounts Payable	0						—			—			—			—			—			—		—		—			—		—
Accrued Expenses	396,077																							396,077
Accrued Compensation	—
Accrued Interest	—
TOTAL CURRENT LIABILITIES	$	396,077					$	—		$	—		$	—		—			—			—		396,077		—			—		—
DEBT
Revolver	$	—
Senior Term Notes	$	—
Subordinated Debt	—
Capital Leases	—
Shareholder Notes	—
Total Debt	—			—			0			—			—			—			—			—		—		—			—		—
NON-CURRENT LIABILITIES
Post retirement benefits	$	392,326					$	310,906					$	31,438										$	49,982
Deferred Compensation	—
Deferred taxes	—
GAAP Lease Obligations	—
	—
TOTAL NON-CURRENT LIABILITIES	$	392,326		$	—		$	310,906		$	—		$	31,438		$	—		$	—		$	—	$	49,982	$	—		$	—	$	—
TOTAL LIABILITIES	$	788,403		$	—		$	310,906		$	—		$	31,438		$	—		$	—		$	—	$	446,059	$	—		$	—	$	—
SHAREHOLDERS EQUITY
Convertible Preferred Stock	$	5,152,000					$	1,000		$	1,000		$	—		$	—		$	—		$	—	$	2,650,000	$	—		$	2,500,000	$	—
Common Stock	1,201,000			(500,000		)																		200,000		500,000			1,000,000		1,000
Additional Paid-in Capital	57,942,973			(7,782,135		)	6,134,502						44,102,184			7,782,135								6,275,443					1,236,128		194,716
Accumulated other comprehensive loss	(570,716		)				(397,537		)				(56,432		)				(116,747		)
Retained Earnings - Pre-Petition	70,939,183			3,344,099			(2,464,930		)	(28,848,177		)	33,522,477			(1,662,560		)	23,195,730					15,219,821		(1,681,538		)	18,550,427		11,763,834
Retained Earnings - Post-Petition	(5,114		)				(5,114		)
Treasury Stock	—
TOTAL SHAREHOLDERS EQUITY	$	134,659,326		$	(4,938,036	)	$	3,267,921		$	(28,847,177	)	$	77,568,229		$	6,119,575		$	23,078,983		$	—	$	24,345,264	$	(1,181,538	)	$	23,286,555	$	11,959,550
TOTAL LIABILITIES AND OWNERS’ EQUITY	$	135,447,729		$	(4,938,036	)	$	3,578,827		$	(28,847,177	)	$	77,599,667		$	6,119,575		$	23,078,983		$	—	$	24,791,323	$	(1,181,538	)	$	23,286,555	$	11,959,550

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: June 30, 2017

SUMMARY OF UNPAID POSTPETITION DEBTS

	Number of Days Past Due
	Current		0-30		31-60		61-90	Over 90	Total
Accounts Payable
Katy Industries, Inc.	$	11,663	$	25,090					$	36,753
Contential Commercial Products, LLC	405,556		277,220		34,980				717,756
Fort Wayne Plastics, LLC.	111,673		4,669						116,342
Total Postposition Debts	$	528,892	$	306,979	$	34,980	0	0	$	870,851

Copies of Accounts Payable Aging are annexed

Affidavit of the Chief Financial Officer concerning payment of payroll taxes

Robert W. Zimmer hereby declares under penalty of perjury:

1.I am the Chief Financial Officer of Katy Industries, Inc., one of the debtors in these chapter 11 cases (the “Debtors”), In that capacity, I am familiar with the day-to-day operations, business affairs and books and records of the Debtors. I am authorized to submit this Declaration on behalf of the Debtors.

2.All statements in the Declaration are based on my personal knowledge, my review of the relevant documents, my discussions with other employees of the Debtors, or my opinion based upon my experience and knowledge of the Debtors’ operations and financial condition. If I were called upon to testify, I could and would testily to each of the facts set forth based on such personal knowledge, review of documents, discussions with other employees of the Debtors, or opinion.

3.To the best of my knowledge, all payroll taxes either withheld from employees’ or levied upon the Debtors’ have been timely remitted to the appropriate taxing authority.

Dated: August 9, 2017	Respectfully submitted,
	/s/ Robert W. Zimmer
	By: Robert W. Zimmer
	Title: Chief Financial Officer

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: June 30, 2017

POST-PETITION ACCOUNTS PAYABLE AGING

Vendor			INVOICE	INVOICE
Number	Vendor Name	Invoice NO	DATE	DUE DATE	AMOUNT		Reason for past due
41705	WAGEWORKS INC	517TR41122	05/31/17	06/01/17	$	67	Late Processing
142555	LIFE INSURANCE CO OF	060117	06/01/17	06/02/17	4,999		Reconciliation issues
288010	UMR - HEALTH	3617578	06/22/17	06/23/17	3,868		Unsufficient processing time
288020	UMR - STOP LOSS	3617577	06/22/17	06/23/17	11,248		Unsufficient processing time
16375	AARP GRP RETIREE SERVICES	1707-0810	06/06/17	06/26/17	2,146		Unsufficient processing time
30510	BLUE CROSS BLUE SHIELD OF	2017-07	06/16/17	06/26/17	2,763		Unsufficient processing time
					$	25,090

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: June 30, 2017

POST-PETITION ACCOUNTS PAYABLE AGING

				INVOICE
Vendor			INVOICE	DUE
Number	Vendor Name	Invoice NO	DATE	DATE	AMOUNT	REASON	Aging Totals
563600	RAYMOND LEASING CORP	4O80905A	04/07/17	05/07/17	563.15	Pending Contract Rejection
545045	PREMIER SERVICES LLC	1054	05/15/17	05/19/17	28,092.87	Reconciliation
563600	RAYMOND LEASING CORP	4105316	05/08/17	05/22/17	649.79	Pending Contract Rejection
742455	WRIGHT PALLET INC	50917	05/15/17	05/22/17	-280.00	Credit balance
257810	FORKLIFTS OF CENTRAL MO	156335	05/15/17	05/24/17	70.00	Pending Contract Rejection
257810	FORKLIFTS OF CENTRAL MO	156375	05/16/17	05/24/17	151.68	Pending Contract Rejection
688400	TOYOTA FINANCIAL SERVICES	4001863398	05/15/17	05/24/17	288.84	Pending Contract Rejection
688400	TOYOTA FINANCIAL SERVICES	4001863401	05/15/17	05/24/17	518.64	Pending Contract Rejection
257810	FORKLIFTS OF CENTRAL MO	160811	05/17/17	05/25/17	388.26	Pending Contract Rejection
688400	TOYOTA FINANCIAL SERVICES	4001863400	05/15/17	05/25/17	712.15	Pending Contract Rejection
488805	MIAMI INDUSTRIAL TRUCKS	22041205	05/17/17	05/31/17	1,275.00	Pending Contract Rejection
488805	MIAMI INDUSTRIAL TRUCKS	22041206	05/17/17	05/31/17	1,275.00	Pending Contract Rejection
488805	MIAMI INDUSTRIAL TRUCKS	22041207	05/27/17	05/31/17	1,275.00	Pending Contract Rejection	$	34,980
424630	THE MARLIN COMPANY	393455B	04/01/17	06/02/17	361.97	Pending Contract Rejection
424630	THE MARLIN COMPANY	393563B	04/01/17	06/02/17	361.12	Pending Contract Rejection
424630	THE MARLIN COMPANY	396045B	04/01/17	06/02/17	364.55	Pending Contract Rejection
213760	DTA SERVICES LTD	18729D	05/26/17	06/04/17	463.20	Pending Contract Rejection
190800	DE LAGE LANDEN	54693112	05/20/17	06/08/17	26.49	Pending Contract Rejection
190800	DE LAGE LANDEN	54693114	05/20/17	06/08/17	529.80	Pending Contract Rejection
257800	FORKLIFTS OF ST LOUIS INC	314532	06/03/17	06/08/17	912.18	Pending Contract Rejection
257810	FORKLIFTS OF CENTRAL MO	4375182	05/19/17	06/08/17	66.29	Pending Contract Rejection
257810	FORKLIFTS OF CENTRAL MO	884182	05/17/17	06/08/17	107.27	Pending Contract Rejection
278900	GIBBS TECHNOLOGY LEASING	57107	05/19/17	06/08/17	35.42	Pending Contract Rejection
278900	GIBBS TECHNOLOGY LEASING	57108	05/19/17	06/08/17	153.50	Pending Contract Rejection
322900	IBM CORPORATION	4836H6	06/01/17	06/08/17	8,108.60	Pending Contract Rejection
727265	WELLS FARGO VENDOR FIN SV	67016933	05/24/17	06/08/17	5,680.48	Pending Contract Rejection
688400	TOYOTA FINANCIAL SERVICES	4001863403	05/15/17	06/09/17	250.00	Pending Contract Rejection
154680	COMMERCE HUB	129723A	05/31/17	06/13/17	27.50	Processing timing
233715	EQUIPMENT FINANCE GROUP	12397882	05/12/17	06/13/17	8,818.00	Pending Contract Rejection
990091	AM TRANSPORT	2900	06/12/17	06/13/17	150.00	Late Receipt
990091	AM TRANSPORT	2970	06/01/17	06/13/17	700.00	Late Receipt
999768	WEBER LOGISTICS	432280	06/08/17	06/13/17	9,119.28	Reconciliation
191375	DELTCO OF WISCONSIN INC	31353	05/15/17	06/14/17	18,264.58	Reconciliation
404785	LINCOLN PARTNERS LLC	060517	06/05/17	06/15/17	35,000.00	Reconciliation
463250	MISSOURI AMERICAN WATER	0602171335	06/02/17	06/15/17	118.14	Processing timing
463250	MISSOURI AMERICAN WATER	0602171359	06/02/17	06/15/17	118.14	Processing timing
688320	TOYOTA MATERIAL HANDLING	1908	05/31/17	06/15/17	245.00	Pending Contract Rejection
990091	AM TRANSPORT	2928	06/07/17	06/15/17	700.00	Late Receipt
257800	FORKLIFTS OF ST LOUIS INC	MC00003464	06/06/17	06/16/17	170.00	Pending Contract Rejection
257800	FORKLIFTS OF ST LOUIS INC	MC00031454	06/06/17	06/16/17	1,190.00	Pending Contract Rejection
387150	KRONOS INC	111912942P	06/07/17	06/16/17	585.24	Processing timing
488805	MIAMI INDUSTRIAL TRUCKS	32021295	06/06/17	06/16/17	752.00	Processing timing
488805	MIAMI INDUSTRIAL TRUCKS	33013349	06/09/17	06/16/17	4,097.00	Pending Contract Rejection
990091	AM TRANSPORT	2970A	06/08/17	06/16/17	150.00	Late Receipt
244865	FOUR G POLYMERS LLC	23092PF	05/18/17	06/17/17	775.59	Reconciliation
41400	AMERICHEM	550320	05/19/17	06/18/17	-296.02	Credit balance
563600	RAYMOND LEASING CORP	4128517	06/08/17	06/19/17	649.79	Pending Contract Rejection
990091	AM TRANSPORT	3019	06/14/17	06/19/17	175.00	Late Receipt
999526	UNITED PARCEL SERVICE	V25456237	06/10/17	06/19/17	8,519.00	Processing timing
999526	UNITED PARCEL SERVICE	V259W4237	06/10/17	06/19/17	3,136.51	Processing timing
999526	UNITED PARCEL SERVICE	V9040F237	06/10/17	06/19/17	27.45	Processing timing
999526	UNITED PARCEL SERVICE	1E0827237	06/10/17	06/19/17	962.86	Processing timing
999526	UNITED PARCEL SERVICE	4E218R237	06/10/17	06/19/17	27.45	Processing timing

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period; June 30, 2017

POST-PETITION ACCOUNTS PAYABLE AGING

999526	UNITED PARCEL SERVICE	679621237	06/10/17	06/19/17	684.49	Processing timing
999526	UNITED PARCEL SERVICE	9R78V8237	06/10/17	06/19/17	603.55	Processing timing
999768	WEBER LOGISTICS	432295	06/08/17	06/19/17	196.87	Processing timing
278850	GFI DIGITAL INC	798875	06/09/17	06/20/17	71.43	Processing timing
278850	GFI DIGITAL INC	799544	06/12/17	06/20/17	730.18	Pending Contract Rejection
278850	GFI DIGITAL INC	799665	06/12/17	06/20/17	103.04	Pending Contract Rejection
278900	GIBBS TECHNOLOGY LEASING	55816B	06/12/17	06/20/17	8.57	Pending Contract Rejection
278900	GIBBS TECHNOLOGY LEASING	55817B	06/12/17	06/20/17	37.05	Pending Contract Rejection
298275	HARLAND TECHNOLOGY SVCS	14081816	06/06/17	06/20/17	858.37	Pending Contract Rejection
999768	WEBER LOGISTICS	432584	06/14/17	06/20/17	1,753.48	Processing timing
999768	WEBER LOGISTICS	432585	06/14/17	06/20/17	1,613.64	Processing timing
999768	WEBER LOGISTICS	432588	06/15/17	06/20/17	1,109.00	Processing timing
322900	IBM CORPORATION	Q4489HB	05/01/17	06/21/17	4,708.22	Pending Contract Rejection
999526	UNITED PARCEL SERVICE	V25456247	06/17/17	06/21/17	17,105.47	Processing timing
999526	UNITED PARCEL SERVICE	V259W4247	06/17/17	06/21/17	3,124.02	Processing timing
999526	UNITED PARCEL SERVICE	V9040F247	06/17/17	06/21/17	27.45	Processing timing
999526	UNITED PARCEL SERVICE	1E0827247	06/17/17	06/21/17	365.85	Processing timing
999526	UNITED PARCEL SERVICE	4E218R247	06/17/17	06/21/17	25.80	Processing timing
999526	UNITED PARCEL SERVICE	679621247	06/17/17	06/21/17	2,220.39	Processing timing
999526	UNITED PARCEL SERVICE	9R78V8247	06/17/17	06/21/17	793.57	Processing timing
42175	AMERIGAS	3065995943	06/13/17	06/22/17	167.31	Processing timing
498850	UNIPRO FOODSERVICE INC	61617	06/16/17	06/22/17	558.06	Reconciliation
688400	TOYOTA FINANCIAL SERVICES	4001886337	06/12/17	06/22/17	585.51	Pending Contract Rejection
688400	TOYOTA FINANCIAL SERVICES	401886338A	06/12/17	06/22/17	4,736.86	Pending Contract Rejection
999532	UPS SUPPLY CHAIN	1178830448	06/12/17	06/22/17	1.75	Processing timing
244865	FOUR G POLYMERS LLC	23109PF	05/24/17	06/23/17	-70.04	Credit balance
306455	HENRI SPEC CO ESC	052417	05/24/17	06/23/17	10,763.72	Reconciliation
42175	AMERIGAS	3066063843	06/15/17	06/26/17	178.23	Processing timing
184400	DATASERV LLC	17862	06/08/17	06/26/17	3,990.12	Pending Contract Rejection
403360	LIAISON TECHNOLOGIES INC	571154062	06/01/17	06/26/17	10,314.61	Pending Contract Rejection
405150	LINOMA SOFTWARE	34793	06/04/17	06/26/17	278.00	Pending Contract Rejection
720595	vXchnge	15709	06/01/17	06/26/17	3,832.26	Pending Contract Rejection
990091	AM TRANSPORT	2872	06/16/17	06/26/17	175.00	Late Receipt
278900	GIBBS TECHNOLOGY LEASING	58346	06/21/17	06/27/17	35.42	Pending Contract Rejection
42175	AMERIGAS	3066129837	06/17/17	06/28/17	382.38	Processing timing
42175	AMERIGAS	3066197488	06/20/17	06/28/17	140.20	Processing timing
61555	AT&T	0613170379	06/13/17	06/28/17	230.14	Processing timing
158650	COMPUVAULT	29595	06/23/17	06/28/17	135.00	Processing timing
257810	FORKLIFTS OF CENTRAL MO	WO163873	06/20/17	06/28/17	70.50	Pending Contract Rejection
278870	GETGO INC	1206845535	06/24/17	06/28/17	2,381.76	Processing timing
350185	JC INDUSTRIAL SUPPLY	513304	06/21/17	06/28/17	142.20	Processing timing
350185	JC INDUSTRIAL SUPPLY	513357	06/21/17	06/28/17	42.66	Processing timing
401405	LENOVO FINANCIAL SERVICES	30417407	06/17/17	06/28/17	194.80	Pending Contract Rejection
463250	MISSOURI AMERICAN WATER	0615171397	06/15/17	06/28/17	1,495.10	Processing timing
42175	AMERIGAS	3066305101	06/23/17	06/29/17	318.28	Processing timing
256100	FOODBUY LLC	62117	06/21/17	06/29/17	1,974.61	Processing timing
298275	HARLAND TECHNOLOGY SVCS	14092958	06/26/17	06/29/17	857.53	Pending Contract Rejection
434080	MATRIX POLYMERS INC	61033	05/30/17	06/29/17	32,096.00	Pending Contract Rejection
654510	STRATEGIC MARKET ALLIANCE	10216	06/23/17	06/29/17	5,250.00	Missed cut-off
654510	STRATEGIC MARKET ALLIANCE	10218	06/23/17	06/29/17	3,000.00	Missed cut-off
701315	UNIPRO FOODSERVICE INC	62217	06/22/17	06/29/17	5.90	Missed cut-off
999532	UPS SUPPLY CHAIN	1180145443	06/19/17	06/29/17	1.48	Missed cut-off
6450	ACCOUNTEMPS	48556386	06/13/17	06/30/17	1,918.58	Missed cut-off
6450	ACCOUNTEMPS	48591307	06/19/17	06/30/17	2,157.00	Missed cut-off
20430	AIRGAS USA LLC	9945188850	05/31/17	06/30/17	72.82	Missed cut-off
41400	AMERICHEM	505622	05/31/17	06/30/17	296.02	Missed cut-off
126300	CERIDIAN EMPLOYER SERVICE	36237512	06/21/17	06/30/17	441.93	Missed cut-off

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: June 30, 2017

POST-PETITION ACCOUNTS PAYABLE AGING

126300	CERIDIAN EMPLOYER SERVICE	36237513	06/21/17	06/30/17	37.17	Missed cut-off
126300	CERIDIAN EMPLOYER SERVICE	36237514	06/21/17	06/30/17	281.46	Missed cut-off
126300	CERIDIAN EMPLOYER SERVICE	36237519	06/21/17	06/30/17	243.37	Missed cut-off
138450	CYNTHIA M WHITE	062917	06/29/17	06/30/17	201.26	Missed cut-off
257810	FORKLIFTS OF CENTRAL MO	RO00437519	06/22/17	06/30/17	441.93	Pending Contract Rejection
257810	FORKLIFTS OF CENTRAL MO	WO163872	06/20/17	06/30/17	86.00	Pending Contract Rejection
341050	IRON MOUNTAIN RECORD MGMT	NWJ7073	05/31/17	06/30/17	345.52	Missed cut-off
503100	OFFICE TEAM	4114130	06/15/17	06/30/17	124.79	Missed cut-off
503100	OFFICE TEAM	48617978	06/20/17	06/30/17	935.20	Missed cut-off
523100	PAYFLEX	3300062117	06/21/17	06/30/17	682.21	Missed cut-off
546500	PRIDE MKTG & PROCUREMENT	33004980	02/01/17	06/30/17	2,925.00	Missed cut-off
552000	PROLINK	62617	06/26/17	06/30/17	669.50	Missed cut-off
654500	STRATEGIC MKTG ALLIANCE	62617	06/26/17	06/30/17	3,208.24	Missed cut-off
690275	TRANSCEPTA LLC	26017	06/17/17	06/30/17	368.00	Missed cut-off
999526	UNITED PARCEL SERVICE	V25456257	06/24/17	06/30/17	17,374.86	Missed cut-off
999526	UNITED PARCEL SERVICE	V259W4257	06/17/17	06/30/17	5,040.72	Missed cut-off
999526	UNITED PARCEL SERVICE	V9040F257	06/24/17	06/30/17	27.45	Missed cut-off
999526	UNITED PARCEL SERVICE	1E0827257	06/24/17	06/30/17	1,481.19	Missed cut-off
999526	UNITED PARCEL SERVICE	4E218R257	06/24/17	06/30/17	25.80	Missed cut-off
999526	UNITED PARCEL SERVICE	679621257	06/24/17	06/30/17	3,118.07	Missed cut-off
999526	UNITED PARCEL SERVICE	9R78V8257	06/24/17	06/30/17	333.33	Missed cut-off
999768	WEBER LOGISTICS	432865	06/22/17	06/30/17	884.36	Missed cut-off
999768	WEBER LOGISTICS	432873	06/22/17	06/30/17	1,488.89	Missed cut-off	$	277,220

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: June 30, 2017

POST-PETITION ACCOUNTS PAYABLE AGING

		INVOICE	INVOICE
Vendor Number	Vendor Name	DATE	DUE DATE	AMOUNT			Reason not paid
3056	CT Corporation	5/1/2017	5/1/2017	$	439		Invoice in question
00050701	Spangle Fasteners	6/19/2017	6/19/2017	(157		)	Credit balance
8006	USF Holland	6/15/2017	6/15/2017	92			late receipt-processing time
00050927	Comcast Cable	6/21/2017	6/21/2017	283			late receipt-processing time
00051067	USF Holland	6/23/2017	6/23/2017	92			late receipt-processing time
17035	Toyota	5/30/2017	5/30/2017	4,059			late receipt-processing time
00050652	M Holland	6/27/2017	6/27/2017	(1,583		)	Credit balance
00050775	Wayne Vaughn	6/27/2017	6/27/2017	434			late receipt-processing time
00050701	Spangle Fasteners	6/13/2017	6/13/2017	110			late receipt-processing time
00050701	Spangle Fasteners	6/14/2017	6/14/2017	308			late receipt-processing time
00050701	Spangle Fasteners	6/14/2017	6/14/2017	591			late receipt-processing time
				$	4,669

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: Katy Industries, Inc., et al.	Case No. 17-11101 (KJC)
Debtors	Reporting Period: May 27, 2017 to June 30, 2017

ACCOUNTS RECEIVABLE RECONCILIATION AND AGING

				Contential
				Commercial			Fort Wayne
	Consolidated			Products, LLC			Plastics, Inc.
Accounts Receivable Reconciliation
Total Accounts Receivable at the beginning of the reporting period	$	8,404,646		$	7,226,818		$	1,177,828
+ Amounts billed during the period	6,188,190			5,698,440			489,750
- Amounts collected during the period	(5,370,408		)	(4,691,888		)	(678,520		)
+/- Adjustments	(321,212		)	(338,999		)	17,787
Total Accounts Receivable at the end of the reporting period	$	8,901,216		$	7,894,371		$	1,006,845
Accounts Receivable Aging from invoice date
0 - 30 days old	$	6,752,468		$	6,074,298		$	678,169
31 - 60 days old	523,972			376,721			147,251
61 - 90 days old	188,182			180,962			7,220
91+ days old	1,436,595			1,262,390			174,205
Total Accounts Receivable	$	8,901,216		$	7,894,371		$	1,006,845
Amount considered uncollectible (Bad Debt)	(542,811		)	(532,743		)	(10,068		)
Accounts Receivable (Net)	$	8,358,405		$	7,361,628		$	996,777

DEBTOR QUESTIONNAIRE

Must be completed each month	Yes/No
l.  Have any assets been sold or transferred outside the normal course of business This reporting period? If yes, provide an explanation below.	No
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.	No
3. Have all post petition tax returns been timely filed? If no, provide an explanation below.	Yes
4. Are workers compensation, general liability and other necessary insurance coverages in effect? If no, provide an explanation below.	No
The State of Missouri, Department of Labor and Industrial Relations, Division of Workers’ Compensation has called a default and terminated the Debtors’ self-insurance workers’ compensation plan previously maintained in Missouri in accordance with this Court’s interim order Dkt. No. 298.
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 the Delaware Local Rule 4001-3.	No