Weatherford Receives Court Approval To Access "DIP Financing"; "First Day" Motions To Support Normal Business Operations Granted

02 Jul 2019

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Court Approves Weatherford Interim Access to up to $1.5  Billion in New “DIP” Financing

Granting of “First Day Motions” Paves the Way for Weatherford  to Continue Operations in the
  Ordinary Course Without Disruption to Customers,  Vendors, Partners or Employees

BAAR,  Switzerland – July 2, 2019 – Weatherford International plc, Weatherford  International Ltd., and Weatherford International, LLC (collectively,  “Weatherford” or the “Company”), one of the largest multinational oilfield  service companies providing innovative solutions, technology and services to  the oil and gas industry, today announced that the Company has completed a  successful first day hearing in the U.S. Bankruptcy Court for the Southern  District of Texas related to the voluntary Chapter 11 petitions filed on July 1,  2019. Notably, the Court granted Weatherford interim approval to access up to  $1.5 billion of debtor-in-possession (“DIP”) financing with the request for  approval on a final basis (including an additional $250 million of financing)  to be heard on August 1, 2019. This financing, combined with access to the cash  generated by the Company’s ongoing operations, is available to meet the  Company’s day-to-day needs during the Chapter 11 cases. 

In addition to  the approved financing, Weatherford received approval to continue its customer  programs, to maintain its insurance and insurance-related items and to continue  to utilize its existing cash management system.   The Court also granted additional procedural motion filed by the  Company.  Employee wages and benefits are  unaffected by the filings and will continue to be paid in the ordinary  course.  The Court’s approval of the  Company’s first day motions coupled with the approval of the proposed DIP  financing will allow Weatherford to operate in the ordinary course during the  pendency of the cases. 

ADDITIONAL INFORMATION

Court filings  and information about the claims process are available at https://cases.primeclerk.com/weatherford/ or by calling the Company’s claims agent, Prime  Clerk, toll-free in the U.S. and Canada at 844-233-5155 (or + 917-942-6392 for  international calls) or by sending an email to Weatherfordinfo@primeclerk.com.

Lazard is acting  as financial advisor for the Company, Latham & Watkins, LLP as legal  counsel, and Alvarez & Marsal as restructuring advisor. Evercore is acting as financial advisor for the  group of the Company’s senior noteholders and Akin Gump Strauss Hauer &  Feld LLP as legal counsel.

ABOUT  WEATHERFORD
  Weatherford  is one of the largest multinational oilfield service companies providing  innovative solutions, technology and services to the oil and gas  industry. The Company operates in over 80 countries and has a network of  approximately 650 locations, including manufacturing, service, research and  development and training facilities and employs approximately 26,000 people.  For more information, visit http://www.weatherford.com and connect with Weatherford on LinkedIn, Facebook, Twitter and YouTube.

                                                                                                                                               

CONTACTS

 

 

 

Christoph Bausch

+1.713.836.4615

Executive Vice President and Chief Financial Officer

 

 

 

Karen David-Green

+1.713.836.7430

Senior Vice President, Stakeholder Engagement and Chief    Marketing Officer