Endeavour Files For Bankruptcy

(RTTNews) - Endeavour International Corp. (END, ENDV.L) announced that company and certain of its subsidiaries have each filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware.

Endeavour and its debtor affiliates to continue to operate as "debtors in possession" in the Chapter 11 Proceedings.

The company also has executed a Restructuring Support Agreement or RSA with holders of more than two-thirds of its 12% First Priority Notes, 12% Second Priority Notes, 7.5% Convertible Bonds and 5.5% / 6.5% Convertible Notes to restructure debt obligations.

Pursuant to the RSA, the company said its existing debt will be reduced by approximately $568 million including the cancellation of all of Notes and reduce its annual interest burden by 43 percent.

The company said its U.K. subsidiaries and certain other affiliates have not sought bankruptcy protection and will continue to operate outside of any reorganization proceedings. The $440 million senior secured term loan incurred by Endeavour Energy UK Limited and certain other of foreign subsidiaries will not be affected by the restructuring.

Endeavour expects its oil and gas operations to continue in the ordinary course throughout the Chapter 11 Proceedings.