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IN RE KAYPRO

Nos. 99-55206, 99-55210.

218 F.3d 1070 (2000)

In re KAYPRO, Debtor. Arrow Electronics, Inc., Appellant, v. Howard Justus, Trustee, Appellee. In re Kaypro, Debtor. Arrow Electronics, Inc., successor-in-interest to Schweber Electronics, Inc., Appellant, v. Howard Justus, Trustee, Appellee.

United States Court of Appeals, Ninth Circuit.

Filed July 13, 2000.

Attorney(s) appearing for the Case

Gary E. Scalabrini, Gibbs, Giden, Locher & Turner, Los Angeles, California, for the appellant.

Cheryl L. Stengel and Michael T. O'Halloran, Law Office of Michael T. O'Halloran, San Diego, California, for the appellee.

Before: REINHARDT and PAEZ, Circuit Judges, and DWYER, District Judge.

DWYER, District Judge:

I. INTRODUCTION

In these consolidated appeals from orders of the Ninth Circuit Bankruptcy Appellate Panel ("BAP"),2 we must decide whether the United States Bankruptcy Court for the Southern District of California erred in determining that certain payments made to two of the debtor's suppliers were avoidable under 11 U.S.C. § 547(b) as preferential transfers. The bankruptcy court ruled that the ordinary...

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