MAY 23, 2018 — Harvey Gulf International Marine reports that its final Plan of Reorganization has been approved by the U.S. Bankruptcy Court, Southern District of Texas – Houston Division.
The approval comes just 77 days following Harvey Gulf’s prepackaged filing for Chapter 11 protection. According to Harvey Gulf this is “considerably faster than all previous Chapter 11 proceedings for vessel operators over the last five years.”
“We really appreciate the diligent and collaborative efforts of all involved in this process – both within the company and from the legal and financial support teams,” said Harvey Gulf CEO Shane Guidry, following the hearing. “My competitors have been telling our customers, lenders and vendors that Harvey Gulf is not going to survive the Chapter 11 process. Not only does our emergence show they were wrong, but the speed with which we have been able get final court approval also shows the disingenuous nature of their efforts – or smear tactics. As I have been telling my customers and others in the industry, this has always been a debt for equity swap, with no changes in operations, personnel, safety, etc. This will be best shown by Harvey Gulf’s achievement of five years without a recordable incident company-wide this coming August – something no one in our industry has done for as long as I can remember. It will also be shown by Harvey Gulf continuing to generate more EBITDA post emergence than all of our public competitors combined, just as we have done since 2016, while delivering to our shareholders an average EBITDA margin of 58% during the same time period.”
Harvey Gulf also revealed in connection with the Chapter 11 proceedings that it recently entered into three long term vessel charters with Hess for two of its 310′ LNG fueled PSV’s and one of its 300′ PSV taking the place of