Hvide Marine Announces Voluntary Chapter 11 Filing
Hvide Marine Inc. has submitted a voluntary Chapter 11 filing in the U.S. Bankruptcy Court in Delaware. This filing allows Hvide to operate its businesses in a regular fashion under court protection with adequate funding, while it continues discussions with representatives of specific major creditors and others on a restructuring plan that would deleverage its balance sheet, restore liquidity and enhance its competitive ability in the marketplace.
To ensure liquidity throughout this period of reorganization, the Company has secured a new $60 million debtor-in-possession (DIP) credit facility from its current bank syndicate, led by Citibank and BankBoston.
Upon completion of this restructuring program, the Company expects to break off from Chapter 11 later this year or in early 2000.