UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
CURRENT REPORT
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| Item 1.01 | Entry into a Material Definitive Agreement |
On August 5, 2020, SESI, L.L.C. (“SESI”), a wholly owned subsidiary of Superior Energy Services, Inc. (the “Company”), entered into the Fourth Amendment to Fifth Amended and Restated Credit Agreement (the “Fourth Amendment”) which amends SESI’s Fifth Amended and Restated Credit Agreement, dated as of October 20, 2017 (as amended and restated, supplemented or modified from time to time, the “Revolving Credit Facility”), by and among SESI, as borrower, the Company, as parent, each of the guarantors party thereto, JPMorgan Chase Bank, N.A., as administrative agent, each issuing lender and the lenders party thereto, to, among other things, permit the use of up to $100 million to cash collateralize third-party letters of credit, surety, judgment, appeal or performance bonds or similar obligations.
Pursuant to the Fourth Amendment, SESI also agreed to deposit $25 million in an account under the lenders’ control to further secure its obligations under the Revolving Credit Facility. The Company intends to reduce the amount of letters of credit issued under the Revolving Credit Facility to bring availability under the Revolving Credit Facility to at least $37.5 million.
The Fourth Amendment also prohibits SESI from requesting any loans under the Revolving Credit Facility and imposes more restrictive investment, indebtedness, junior debt repayment and restricted payment covenants on SESI.
The foregoing description of the Fourth Amendment does not purport to be complete and is qualified in its entirety by reference to the Fourth Amendment, which is filed as Exhibit 10.1 to this Current Report on Form 8-K and incorporated herein by reference.
| Item 2.03 | Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant |
The disclosure under Item 1.01 of this Current Report on Form 8-K is incorporated herein by reference into this Item 2.03.
| Item 9.01 | Financial Statements and Exhibits |
(d) Exhibits.
| Exhibit |
Description | |
| 10.1 | Fourth Amendment to Fifth Amended and Restated Credit Agreement, dated August 5, 2020, among Superior Energy Services, Inc., SESI, L.L.C., the guarantors party thereto, JPMorgan Chase Bank, N.A., each issuing lender and the lenders party thereto. | |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| SUPERIOR ENERGY SERVICES, INC. | ||
| By: | /s/ William B. Masters | |
| William B. Masters | ||
| Executive Vice President, General Counsel and Secretary | ||
Dated: August 6, 2020