Date
Completed July 2009

Company Description
Skeie Drilling & Production ASA (SKDP), based in Kristiansand, Norway, is in the process of constructing three N-class, harsh environment jack up drilling rigs specially designed for use in the Norwegian Continental Shelf.

Situation Overview
Advised SKDP's bondholders on the successful restructuring of three bond issues with total claim of US$495 million. The bondholders obtained improved recovery terms of 61.6% on the $495 million in bonds, along with a 33% equity stake, while the shipyard provided enhanced contract terms. An equity injection of $85 million was provided by existing shareholders as part of the restructuring.

Transaction Summary
Facing cost over-runs, a funding gap, and an unfavorable market environment, SKDP needed to approach its bondholders with a restructuring proposal.