Friede Goldman Halter Inc., said on Wednesday it had not filed for bankruptcy protection and was seeking alternatives.
The company's shares plummeted on Tuesday in response to investor concerns about the company's financial fitness. The shares had not recovered by late afternoon Wednesday trading on the New York Stock Exchange, a day after the company canceled a scheduled conference call with
The shares hit a new 52-week low of $.52 before crawling back to last trade at $.83, off 7.7 percent.
An official statement released by the company said, "At this time, the company does not believe a filing is in the best interest of (its) creditors, shareholders, employees, or customers. Viable alternatives are being pursued by the company."
A company spokesman said another conference call with investors might be scheduled for Thursday to offer more details about the company's plans.
In scrapping Tuesday's call Friede Goldman had cited a complexity of talks with its financiers and the unavailability of a senior executive to participate in it due to a personal crisis. It's woes stem from cost overruns on a number of oil rigs it is building.
In filing with the Securities Exchange Commission the company said if it could not renegotiate its credit and raise more capital, it may be necessary for it to seek protection under a bankruptcy petition.