Tidewater Files For Chapter 11 Bankruptcy

(RTTNews) - Tidewater Inc. (TDW) said that it and certain of its subsidiaries, have filed voluntary petitions under chapter 11 of title 11 of the United States Code in the United States Bankruptcy Court for the District of Delaware to pursue a prepackaged plan of reorganization in accordance with its previously announced restructuring support agreement with certain creditors to effectuate a comprehensive balance sheet restructuring.

As previously disclosed, on May 12, 2017, the Debtors began soliciting votes on the Prepackaged Plan from certain of the Company's creditors. The lenders under the Company's Fourth Amended and Restated Revolving Credit Agreement ), the holders of the Company's 2010 Notes, 2011 Notes, and 2013 Notes , as well as holders of sale leaseback claims that are anticipated to arise from the Company's rejection in bankruptcy of certain sale leaseback agreements pertaining to marine vessels chartered by certain Debtors, are treated as a single class for purposes of voting under the Prepackaged Plan.

As previously indicated, Tidewater plans to reject certain sale-leaseback agreements for leased vessels currently in the Company's fleet, and to limit the resulting rejection damages claims to approximately $131 million. However, the Sale Leaseback Parties dispute the amount of the rejection damages claims and a final resolution of the amount of such claims will be subject to litigation.