General Maritime Corp to Emerge from Bankruptcy Soon

Press Release
Thursday, May 03, 2012

General Maritime Corp. expects to emerge from Chapter 11 soon

Financial Indebtedness to be reduced by approximately $600 Million; Oaktree Managed Funds to Provide $175 Million in new capital

. will enable the company  to emerge from Chapter 11 in May 2012

General Maritime Corporation (the "Company") has announced that the U.S. Bankruptcy Court for the Southern District of New York (the "Bankruptcy Court") confirmed the second amended joint plan of reorganization (the "Plan") of the Company and its direct and indirect subsidiaries that are debtors under Chapter 11 of the Bankruptcy Code (the "Debtors").  General Maritime currently expects to emerge from Chapter 11 in May 2012 after the conditions to effectiveness of the Plan are satisfied.

The Plan reflects the terms of a global settlement among the Company's main creditor constituencies that, among other things, provides for a meaningful recovery to the unsecured creditors of the Debtors and resolves all disputes on plan-related issues between and among the Debtors, funds managed by Oaktree Capital Management, L.P. and their investment entities (the "Oaktree Funds"), the Official Committee of Unsecured Creditors (the "Creditors' Committee"), the Company's senior secured lenders, and holders of more than 57% of the Company's Senior Notes.  All voting classes of creditors voted in favor of the Plan, with the Debtors' senior secured lenders voting unanimously in favor of the Plan and approximately 97% in amount and 69% in number of general unsecured creditors voting in favor of the Plan.

The Plan will substantially deleverage the Debtors' balance sheet and position the Debtors to be a financially stronger global enterprise post-emergence.  Through the Plan, (i) the Debtors' financial debt will be reduced by approximately $600 million, (ii) the Debtors' cash interest expense will be reduced by approximately $42 million annually, and (iii) the Debtors will receive a new equity capital infusion of approximately $175 million from the Oaktree Funds. 

 
Jeffrey D. Pribor, General Maritime's Chief Financial Officer, said, "The confirmation of our Plan represents a major milestone and is one of the last remaining steps in our restructuring.  We are proud of what we have accomplished and believe that, through this process, we will establish a foundation to emerge as a stronger and more competitive company. I would like to thank our customers and vendors for their support throughout this process as well as our employees for their ongoing to commitment to General Maritime."

Maritime Reporter June 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Indonesia Expects Total to Decide on Mahakam within days

French oil firm Total  will decide how much interest it will retain from 2018 in Indonesia's offshore Mahakam oil and gas block over the next two days, the

Research Vessel Heincke: Serving Science for 25 years

7 July 2015. A quarter of a century old, with over 900,000 kilometres (488,842 nautical miles) logged and still on the cutting edge of science and technology:

Stena RoRo Charters Three Vessels

Stena RoRo has reached an agreement with the Finnish shipping company Godby Shipping to long-term charter their three RoRo vessels Misida, Misana and Miranda.

Tanker Trends

NITC Claims World's Largest Supertanker Fleet

According to the head of the National Iranian Tanker Company (NITC), Iran has 42 very large crude carriers or VLCCs, each able to carry 2 million barrels of oil, reports Press TV.

Teekay LNG Partners Declares Distribution

Teekay GP LLC, the general partner of Teekay LNG Partners L.P. has declared a cash distribution of $0.70 per unit for the quarter ended June 30, 2015. The cash distribution is payable on August 14,

NITC Tankers Chart Western Course

Iran’s largest shipping company NITC, the privatized Iranian shipping company, is in talks for permission to sail in Western waters, says a report in WSJ.   NITC

Finance

Indonesia Expects Total to Decide on Mahakam within days

French oil firm Total  will decide how much interest it will retain from 2018 in Indonesia's offshore Mahakam oil and gas block over the next two days, the

Asia-N Europe Container Freight Rates Jumps 60%

Shipping freight rates for transporting containers from ports in Asia to Northern Europe rose by 60.4 percent to $879 per 20-foot container (TEU) in the week ended on Friday,

Stena RoRo Charters Three Vessels

Stena RoRo has reached an agreement with the Finnish shipping company Godby Shipping to long-term charter their three RoRo vessels Misida, Misana and Miranda.

 
 
Maritime Contracts Maritime Standards Naval Architecture Navigation Offshore Oil Pipelines Pod Propulsion Ship Electronics Ship Simulators Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2110 sec (5 req/sec)