Cal Dive International, Inc. (NYSE:DVR) (the “Company”) announced today
that it is continuing to work on a refinancing of the Company’s first
lien revolving credit facility in an amount up to its previous capacity
of $125.0 million. As previously disclosed, the Company has also been
working with its existing second lien lenders on an amendment to the
second lien facility that would be effected at the same time that the
first lien refinancing is closed, and that would increase the current
cap on first lien debt to allow for the $125.0 million capacity under
the new first lien credit facility, and would grant relief from certain
financial covenants contained in that facility. The Company reported
that, although considerable progress has been made on reaching agreement
on these documents, it has not yet come to final terms on either the new
first lien credit facility or the amendment to the second lien facility.
While the Company remains hopeful that these matters will be resolved,
there can be no assurance that agreements on these facilities will be
reached. For the time being, the Company’s existing lenders under the
first lien revolving credit facility have continued to work
cooperatively with the Company to allow the extra time needed to
complete this complicated refinancing. However, if an agreement cannot
be reached in a timely fashion, the Company will have to consider other,
potentially less satisfactory measures to provide liquidity for its
operations.
About Cal Dive International, Inc.
Cal Dive International, Inc., headquartered in Houston, Texas, is a
marine contractor that provides manned diving, pipelay and pipe burial,
platform installation and salvage, and light well intervention services
to the offshore oil and natural gas industry on the Gulf of Mexico OCS,
Northeastern U.S., Latin America, Southeast Asia, China, Australia, West
Africa, the Middle East, and Europe, with a diversified fleet of dive
support vessels and construction barges.
Cautionary Statement
This press release may include “forward-looking” statements that are
generally identifiable through the use of words such as “believe,”
“expect,” “anticipate,” “intend,” “plan,” “estimate,” “project” and
similar expressions and include any statements that are made regarding
earnings expectations. The forward-looking statements speak only as of
the date of this release, and the Company undertakes no obligation to
update or revise such statements to reflect new information or events as
they occur. These statements are based on a number of assumptions, risks
and uncertainties, many of which are beyond the control of the Company.
Investors are cautioned that any such statements are not guarantees of
future performance and that actual future results may differ materially
due to a variety of factors. Factors that could cause the Company’s
results to differ materially include the Company’s significant
indebtedness and constraints on the Company’s liquidity, current
economic and financial market conditions, changes in commodity prices
for natural gas and oil, and in the level of offshore exploration,
development and production activity in the oil and natural gas industry,
the Company’s inability to obtain contracts with favorable pricing terms
if there is a downturn in its business cycle, intense competition and
pricing pressure in the Company’s industry, the risks of cost overruns
on fixed price contracts, the uncertainties inherent in competitive
bidding for work, the operational risks inherent in the Company’s
business, risks associated with the Company’s increasing presence
internationally, and other risks detailed in the Company’s most recently
filed Annual Report on Form 10-K.
Copyright Business Wire 2014