There were no closed debt deals this week, so we used this opportunity to review the credit quality of the 23 U.S.  and Canadian Cultivation & Retail sector companies in the Viridian Capital Advisors database with market caps under $100M. We selected this group to review the renewed pricing on the new restructured StateHouse deal, which has not yet closed. The transaction has an effective cost of approximately 18.5%, including the 40% warrant coverage impact. This return strikes us as low because we have consistently seen StateHouse near the bottom of the Viridian Credit Tracker model rankings. The additional $7.5M of debt provided as part of the renegotiated Series A debt boosts the company’s near-term liquidity. However, it is still #20/23 on our liquidity index, mainly because of its $33.8M of current income taxes payable and the $16.5M of additional current tax provisions. StateHouse, through its predecessor Harborside, was one of the original cannabis companies that fought the IRS over 280e. Those who remember the old song “I fought the law, and the law won” will know how that turned out. Leverage is also extremely high. Total liabilities to market cap, proforma for the newly enlarged facility, is a record 56.8x, which dwarfs the reading of the next highest competitor, Acreage, at 18.0x. The two pieces of good news in the company’s credit picture are that debt maturities are small over the next several years, and the company seems to be reducing its negative operating cash flow. Given their large debt load, ongoing liquidity issues, and tax uncertainties, we are not sure that will be enough.