The Company’s court-approved Plan of Reorganization (the “Plan”) went into effect today, November 14, 2017. The Plan converts approximately $429.6 million of outstanding bonds (“Bonds”) into equity, and raises approximately $125 million of new equity capital.

“GulfMark is now positioned as one of the best capitalized companies in the global offshore industry,” said Quintin Kneen, President and Chief Executive Officer. "With significantly improved financial strength, we are poised to build upon the world-class service we provide to our customers while capitalizing on value enhancing opportunities for our shareholders.

"Throughout the restructuring process, our priority has been to deliver world class safety and customer service. We have worked to ensure that GulfMark has the right talent, systems and equipment to meet the tough demands of the current market. Moving forward, our focus on operational excellence and scalability will continue."

"We would like to take this opportunity to thank our 1,070 employees and all of our stakeholders for their tremendous effort and support during the reorganization process,” said Kneen.  “GulfMark’s employees remained focused on delivering safe, reliable service to our customers as we transformed our capital structure and repositioned the company.” 

Upon emergence, the existing shares of GulfMark common stock outstanding prior to the reorganization (the “Legacy Common Stock”) were cancelled and GulfMark will issue approximately seven million shares of new common stock (the “New Common Stock”), approximately three million warrants exercisable for one share of common stock at an exercise price per share of $0.01 and 810,811 warrants exercisable for one share of common stock at an exercise price per share of $100.00 (the “Existing Equity Warrants”).  The holders of Legacy Common Stock as of the effective date of the Plan will receive 0.00271233 shares of New Common Stock and 0.02931672 Existing Equity Warrants for each share of Legacy Common Stock held by them and cancelled in connection with the reorganization, subject to rounding.   The New Common Stock and the Existing Equity Warrants are expected to be listed on the NYSE American under the ticker “GLF” and “GLF WS,” respectively, and are expected to begin trading on November 15, 2017. 

Holders of Bonds who are U.S. Citizens will receive 8.29764454 shares of New Common Stock for every $1,000 of Bonds owned. Subject to certain exceptions, non-U.S. Citizen Bond holders will receive 8.29764454 of Jones Act Warrants for every $1,000 of Bonds owned. In addition, holders of Bonds that participated in our rights offering received New Common Stock or Jones Act Warrants according to their participation therein, as further described in the Chapter 11 Plan of Reorganization of GulfMark, filed with the SEC as Exhibit 2.1 to our Form 8-K filed on May 18, 2017.

In addition, our subsidiary, GulfMark Rederi AS (“Rederi”) entered into an agreement with DNB Bank ASA, New York Branch, as agent, DNB Capital LLC as revolving lender and as swingline lender, and certain funds managed by Hayfin Capital Management LLP as term lenders, providing for two credit facilities: a senior secured revolving credit facility (the “Revolving Credit Facility”) and a senior secured term loan facility (the “Term Loan Facility,” and together with the Revolving Credit Facility, the “Facilities”).  The Revolving Credit Facility provides for loans of up to $25,000,000, including a $12,500,000 swingline loan subfacility and a $5,000,000 letter of credit subfacility.  The Term Loan Facility provides a $100,000,000 term loan, which has been funded in full.  The Revolving Credit Facility is available in U.S. dollars, Norwegian krone, British pounds sterling, and Euros.  The final maturity date for the Facilities is November 14, 2022.  Our previously outstanding credit facilities have been repaid and terminated.

Board of Directors

Pursuant to the Plan, the Company's new board of directors, consisting of the following persons, was appointed today: Louis A. Raspino, Jr., Chairman, Eugene Davis, Domenic DiPiero, Scott McCarty, Krishna Shivram and Kenneth Traub. Quintin V. Kneen, the Company's President and Chief Executive Officer, will continue to serve as a director.