Linn Energy Files for Bankruptcy
Linn energy, based in Houston, is the 9th largest gas producer in Wyoming. And yesterday they announced that the company and it's subsidiaries will enter into Chapter 11 bankruptcy and have lined up financing for their ultimate re-emergence.
The announcement on the company's website (HERE), says that operations will continue as normal during the reorganization.
Quoting directly from the release...
Mark E. Ellis, Chairman, President and Chief Executive Officer, said, "We believe the Restructuring Support Agreement reflects the confidence of our first lien lenders in the quality of our assets and represents an important step forward for the Company. After our review of the available options, with the assistance of our financial and legal advisors, we determined that this court supervised financial restructuring process is the best course of action for the Company and our stakeholders. Like many others in our industry, LINN has been impacted by continued low commodity prices. We believe that these steps will provide us the financial flexibility to successfully manage in the current commodity price environment and, when combined with constructive agreements with our remaining creditors and potential third party financing, will provide a platform for future growth."
Mr. Ellis continued, "Importantly, we expect to continue normal operations across our diverse and high-quality asset base. The hard work and dedication of our employees has enabled us to achieve strong operational results, and we are truly grateful for their commitment to safety and to driving the Company's success. Together, we look forward to working cooperatively with our vendors, suppliers and partners as we move through this process."