Looks like that Fundamental Transformation Train is running right on time.
Posted on 02/14/2011 7:38:48 AM PST by SeekAndFind
From USA Today:
Seahawk Drilling Inc. said it has filed for bankruptcy protection and plans to sell its fleet of offshore drilling rigs to a competitor for $105 million.
Seahawk, which announced the deal with Hercules Offshore Inc. Friday, has been hurt by a slowdown in Gulf of Mexico drilling after the BP oil spill last April. The government halted drilling in deep waters and imposed tough new rules that have curtained all energy exploration in U.S. waters.
Employees will be let go; shareholders are suffering big losses as the stock plunges. Gulf communities have already been stricken by big job losses and declines in state tax revenues. We have become even more dangerously dependent on overseas sources of crude and prices have skyrocketed as Obama turned the handle to the off position when it comes to Gulf oil drilling.
There has been a lot of damage caused by Barack Obama's policies and there will be a lot more to come as long as he is in office.
Damage?
If you’re a ‘progressive’, this is a success! You must punish any company that contributes to Global Warming, donchaknow! They are the enemy!
It’s working.
I have been emailing and calling Boehner’s office...they’re sick of me. CAN SOMEONE other than me also do the same???
Don’t say it won’t make a difference...it is one of our only options...Boehner needs to be in Obama’s face and saying this to the media over and over...
Our side is SILENT ON THIS and that Obama’s folks have rejected 103 requests for drilling AFTER HE SAID he opened back up off-shore drilling!!!
Seahawk Drilling is a leading jackup driller in the Gulf of Mexico.
Seahawk owns and operates twenty jackups located in the United States. We provide contract drilling services to the oil and natural gas exploration industry in water depths of up to 300 feet and drilling depths of up to 25,000 feet.
Our customers are independent oil and natural gas producers and drilling services providers.
http://www.seahawkdrilling.com/
HAWK (Common Stock)
Exchange NASDAQ CM (US Dollar)
Price $4.57
Change (%) DOWN 3.33 (42.15%)
Volume 4,561,418
Data as of 02/14/11 10:16 a.m. ET
This is a win win for the progressives.
“There has been alot of damage caused by Barack Obama’s policies...”
And the brilliant, really really smart,
intellectual-genius Independents love every minute of it because they too hate oil companies. (For whatever
unsound reasons they may be.)
Scu&bags one and all.
IMHO
The list, ping
Let me know if you would like to be on or off the ping list
Seahawk Drilling Announces Sale of Assets to Hercules Offshore
HOUSTON, Feb. 11, 2011 /PRNewswire via COMTEX/ —
Seahawk Drilling, Inc. (”Seahawk”) (Nasdaq: HAWK) announced today that Hercules Offshore, Inc. (”Hercules”) (Nasdaq: HERO) is acquiring substantially all of Seahawk’s assets in a transaction valued at approximately $105 million.
Total consideration is comprised of 22.3 million Hercules shares plus sufficient cash to retire indebtedness of approximately $25.0 million, and working capital liabilities subject to closing adjustments. At the February 10, 2011 closing price of $3.62 per share, the value of the transaction is $105 million.
Seahawk’s Chief Executive Officer, Randy Stilley, stated, “After a thorough and disciplined process, an independent committee of Seahawk’s directors and its full Board of Directors determined that an asset sale to Hercules provides the highest level of value to Seahawk’s stakeholders.”
Stilley continued, “The transaction with Hercules creates a company with a larger, more diverse fleet, broader customer relationships and greater operational flexibility. In addition to increased economies of scale, combining the fleets will provide for substantial cost savings through the elimination of overhead and duplicative public company expenses.”
The asset sale will be implemented through a Chapter 11 bankruptcy filing in which Seahawk will seek expedited hearings to obtain Court approval. Both companies expect to obtain regulatory clearance under the Hart-Scott-Rodino Antitrust Act and close the transaction in the second quarter of 2011. We expect no impact on Seahawk’s operations and Seahawk will continue to perform work for its customers without interruption. Seahawk expects that full payment of all funded debt and trade payables will be made. Additionally, Seahawk expects to pay all vendors for goods and services provided after the filing.
“The filing permits us to effectuate the sale in an efficient manner, allowing us to address legacy liabilities inherited from Pride International, Inc. as part of the August 2009 spin-off, and ensure we continue to operate our business as usual as we proceed with the sale process,” Stilley said.
Additionally, Seahawk has obtained a $35 million debtor-in-possession credit facility to support its business and liquidity needs from the D. E. Shaw group’s direct capital unit.
“It is anticipated that Seahawk will have sufficient resources to continue serving our customers and we foresee no impact on operations during this process,” Stilley said. “As always, our focus is on maintaining the highest quality of service and safety in our daily operations, meeting all customer needs. We will keep employees and creditors informed throughout the process.”
As previously disclosed, Seahawk’s liquidity and revenue generation have been adversely affected by the dramatic slow-down in the issuing of shallow water drilling permits in the U.S. Gulf of Mexico following the Macondo well blowout, the continued low prices for natural gas, the general economic downturn and other factors discussed in Seahawk’s filings with the Securities and Exchange Commission.
“While we are pleased with the successful outcome of our strategic review, and believe this is a positive result for both companies and our stakeholders, I think it is important to note that Seahawk was forced to seek strategic alternatives only after an unprecedented decline in the issuance of offshore drilling permits following the Macondo blowout. The decision by regulators to arbitrarily construct unnecessary barriers to obtaining permits they had traditionally authorized has had an adverse impact not only on Seahawk, but on the sector as a whole,” Stilley said.
Seahawk was spun-off from Pride on August 24, 2009. As previously disclosed, Pride has asserted certain claims against the Company; however, Seahawk has various counterclaims against Pride that are equal to or in excess of the Pride claims. At this time, we do not know the net impact on the Company of these claims and counterclaims.
Seahawk has retained the investment bank of Simmons & Company International, financial advisor Alvarez & Marsal, and the law firm of Fulbright & Jaworski L.L.P. to support the transaction.
http://www.seahawkdrilling.com/investor-relations/news-releases
I guess we can be grateful that zero hasn’t already issued an executive order to declare the Constitution void and himself President for Life.
You’d think there would be something we could do to rein in these executive orders since it gives too much power to one person and now that power is in the hands of someone who doesn’t care one bit about the US of A.
that’s ok, wind and solar power will fill the void and the people out of work will get unemployment checks for years to come. (sarc)
None-the-less, I just left the lady at Boehner’s Washington office a message about Seahawk bankruptcy and that many of us here on Freep want more flak from Boehner on this topic...higher oil prices due to it and Obama lying about off-shore drilling.
can't stress the word "forced" strong enough. The OB thugocracy in motion.
Not just companies. Republican leaning states get shafted. People out of work tend to vote dimocrat as that’s where the welware check is coming from. It’s all about getting elected.
Only if they want to stay out of work.
And there are plenty of those. We got jobs open but can’t fill them because we can’t compete with the value of welfare checks, childcare, food stamps, medicade etc.
Looks like that Fundamental Transformation Train is running right on time.
Looks like that Fundamental Transformation Train is running right on time.
Sad to say, Northern pols like Boehner have’nt a clue
what goes on down in the Cracker Gulf of Mexico.
This thing with Seahawk is the beginning of more Obama
caused bk’s for offshore companies.
The first round was seafood, hotels, tourism, casino’s
losing business.
Now the Obama shutdown will ripple through the US offshore
market starting with the drillers, boat companies, shipyards,sub suppliers. BP does’nt want to pay claims for the “moratorium caused damges”. Barack has his dancing shoe on the neck of the US offshore industry. Vote him and all of his people out asap.
deeptrout
Just the continued assault on Texas by the chicago kenyan.
First, he put BAE out of the business of building military trucks. Moved that job to a union shop in Wisconsin that had never built these vehicles. The people at this plant had been building these trucks for over 20 years, but were not unionized.
Second, turned NASA into a muslim outreach arm of the fed gov. (but he’s not a muslim)
Third, exploited the BP spill to shut down all new offshore drilling. From what I have heard there have been 4 or 5 rigs that have left the Gulf for friendlier areas. The enormous expense to move a rig will take years to recoup. As in they ain’t coming back for a long time.
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