16 May 2016quarterly activities report▼ Bad
Chaparral Energy, Inc. reported a quarterly net loss of $138.4 million for the period ended 2016-03-31.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
9 May 2016bankruptcy or receivership▼ BadMajor
On May 9, 2016 Chaparral and its subsidiaries filed voluntary Chapter 11 petitions in Delaware and will keep operating as debtors-in-possession. The filing accelerated the revolver and the 9.875% 2020, 8.25% 2021 and 7.625% 2022 notes, but enforcement is stayed. The company says it is negotiating a debt-for-equity exchange with bondholders and lenders aiming to cut bondholder debt by about $1.2 billion. This follows the missed interest payments and forbearance in April. The filing does not state what happens to existing shareholders, so their outcome is not yet determined.
5 Apr 2016debt financing▼ BadMajor
Chaparral did not pay interest on its 8.25% Senior Notes due March 1, 2016, and the 30-day grace period expired, so an event of default occurred on April 1, 2016 ($384 million outstanding). This triggered a cross default under the revolver ($548 million drawn). It also skipped a $14.8 million interest payment on the 9.875% Senior Notes ($298 million outstanding), which becomes a default if unpaid within 30 days. Noteholders (8.25%, 9.875%, 7.625% notes) and revolver lenders agreed to hold off enforcing remedies until the earliest of April 15, 2016 or other termination events. The agreements are dated April 4, 2015 in the text, which looks like a typo for 2016 (inference).
12 Feb 2016debt financing▼ BadMajor
On Feb 11, 2016 Chaparral borrowed $141.0 million under its revolving credit facility, substantially all of the remaining undrawn amount, bringing borrowings to $548.0 million plus $828,000 of letters of credit. The funds are for general corporate purposes. It also hired Evercore and Latham & Watkins to advise on financial, transactional and strategic alternatives. The filing does not say why the borrowing was made; the hiring of advisers alongside it points to financial stress (inference).
16 Nov 2015quarterly activities report▼ Bad
Chaparral Energy, Inc. reported quarterly revenue of $74.5 million and a net loss of $647.1 million for the period ended 2015-09-30.
12 Aug 2015quarterly activities report▼ Bad
Chaparral Energy, Inc. reported quarterly revenue of $94.2 million and a net loss of $189.0 million for the period ended 2015-06-30.
12 May 2015quarterly activities report● Neutral
Chaparral Energy, Inc. reported quarterly revenue of $93.1 million and net income of $4.2 million for the period ended 2015-03-31.
12 Nov 2014quarterly activities report● Neutral
Chaparral Energy, Inc. reported quarterly revenue of $179.4 million and net income of $83.5 million for the period ended 2014-09-30.
14 Aug 2014quarterly activities report▼ Bad
Chaparral Energy, Inc. reported quarterly revenue of $193.0 million and a net loss of $8.4 million for the period ended 2014-06-30.
23 July 2014asset acquisition disposition● NeutralMajor
On July 18, 2014 Chaparral closed the sales of its Ark-La-Tex and Central Basin properties to RAM Energy, for net cash proceeds of $48.5 million and $45.9 million. Four of five packages are now sold, for $249.8 million gross ($244.5 million net of closing adjustments), subject to further adjustments within 90 days. Proceeds paid down the revolver and the borrowing base fell from $532.0 million to $484.5 million. The Gulf Coast package is still being marketed. The Central Basin price is given as $48.6 million here versus about $48.1 million in the May agreement; the filing does not explain the difference.
30 May 2014asset acquisition disposition● NeutralMajor
Chaparral closed two divestitures: the Delaware Basin package to Scout Energy (May 18, 2014, $25.2 million) and the Ft. Worth Basin package to RKI (May 23, 2014, $125.0 million), net of adjustments. Proceeds paid down the revolver, and the borrowing base fell from $600.0 million to $532.0 million. This completes the April agreements. It also agreed on May 30 to sell its Central Basin properties (Texas and southeast New Mexico, about 600 BOE a day) to RAM Energy for about $48.1 million, expected to close around July 25, 2014, which would cut the borrowing base to $484.5 million. The Ark-La-Tex sale ($51.0 million) is still expected around June 26.
21 May 2014material agreement● NeutralMajor
On May 19, 2014 Chaparral signed a Limited Consent and Fourteenth Amendment to its credit agreement so the lenders approve the asset sales. Lenders waived hedging-covenant breaches that the sales could cause (hedging over 100% of production) until the earlier of delivery of the Q2 2014 10-Q or Aug 15, 2014, with conditions. If the conditions are not met, Chaparral may have to unwind some hedges. The borrowing base falls automatically as each of the five packages closes, from $600.0 million to $478.0 million if all five close as planned.
9 May 2014quarterly activities report● Neutral
Chaparral Energy, Inc. reported quarterly revenue of $173.3 million and net income of $4.4 million for the period ended 2014-03-31.
30 Apr 2014material agreement● NeutralMajor
On Apr 25, 2014 Chaparral agreed to sell its Ark-La-Tex properties to RAM Energy for about $51.0 million cash. They produce about 1,000 BOE a day, 82% natural gas, and closing is expected around June 26, 2014. Chaparral keeps the deep rights (Eagle Ford and below) in seven counties and will market them separately. With the two earlier agreements, expected proceeds from three packages are $201.2 million, and two packages remain to be sold.
10 Apr 2014material agreement● NeutralMajor
On Apr 10, 2014 Chaparral disclosed that its Board approved selling its Ark-La-Tex, Permian Basin, Gulf Coast and North Texas properties in five packages to focus on the Mid-Continent. This follows the Oct 2013 news that a banker was hired for non-core sales. Two agreements, with Scout Energy Group I (Apr 3) and RKI Exploration & Production (Apr 8), cover the Delaware Basin and Eastern Shelf/Ft. Worth Basin properties (about 2,300 BOE a day) for roughly $150.2 million cash, with about $15.0 million in deposits received. Closing is expected before May 22, 2014, and three packages are still being sold.
28 Feb 2014asset acquisition disposition● Neutral
On Feb 28, 2014 Chaparral filed the acquired-business financials promised after the Dec 18, 2013 Cabot purchase. The filing restates the price as about $153.9 million (the Dec 19 summary said about $153 million), still subject to post-closing adjustments. Cabot's properties (Panhandle Marmaton, ~66,000 net acres) had revenues of $43.1 million in 2012 and $56.9 million in the nine months to Sept 30, 2013, against direct operating expenses of $3.4 million and $5.7 million. These figures exclude depreciation, G&A, interest and taxes, so they are not full earnings. Pro forma statements are also included but their figures are not shown in the text provided. This resolves the open thread on the acquisition financials.
19 Dec 2013asset acquisition disposition▲ GoodMajor
On Dec 18, 2013 Chaparral's subsidiary completed the Cabot Oil & Gas purchase of about 66,000 net acres in Beaver and Texas counties, Oklahoma, and Ochiltree county, Texas, for approximately $153 million, subject to post-closing adjustments. This is lower than the $160.128 million in the Oct 11 agreement; the filing does not explain the difference (adjustments were allowed for). Financial statements and pro forma information for the acquisition will follow by amendment by March 5, 2014.
14 Nov 2013quarterly activities report▼ Bad
Chaparral Energy, Inc. reported quarterly revenue of $170.7 million and a net loss of $2.6 million for the period ended 2013-09-30.
17 Oct 2013material agreement● NeutralMajor
On Oct 11, 2013 a Chaparral subsidiary agreed to buy oil and gas assets from Cabot Oil & Gas: about 66,000 net acres in Beaver and Texas counties, Oklahoma, and Ochiltree county, Texas, for $160.128 million before adjustments, with closing expected by Dec 18, 2013. Chaparral also said it has hired an investment banker to sell non-core assets in its Ark-La-Tex and Permian Basin areas; no buyer, price or timing is given in the filing.
14 Aug 2013quarterly activities report● Neutral
Chaparral Energy, Inc. reported quarterly revenue of $153.9 million and net income of $38.9 million for the period ended 2013-06-30.
10 May 2013quarterly activities report▼ Bad
Chaparral Energy, Inc. reported quarterly revenue of $137.5 million and a net loss of $1.2 million for the period ended 2013-03-31.
22 Apr 2013business combination● Neutral
On April 22, 2013 Chaparral filed Amendment No. 1 to its S-4 for the $150 million 7.625% notes due 2022, now setting the exchange offer to expire May 22, 2013 unless extended. Terms are unchanged in the text shown: registered notes for the unregistered notes issued Nov 15, 2012, with no cash proceeds to Chaparral. The text shown does not describe any other change. The General Counsel named as agent for service is now David J. Ketelsleger.
11 Apr 2013business combination● Neutral
On April 11, 2013 Chaparral filed a Form S-4 to swap registered 7.625% senior notes due 2022 for the $150 million of unregistered add-on notes issued Nov 15, 2012, as promised in the registration rights agreement. Terms are substantially identical apart from transfer restrictions and registration rights, and Chaparral receives no cash proceeds; the expiry date is blank. This is a procedural step, mirroring the Sept 2012 exchange for the first $400 million, and no effect on stockholders is stated.
15 Nov 2012debt financing● NeutralMajor
On Nov 15, 2012 Chaparral closed the $150 million add-on of 7.625% senior notes due 2022 agreed on Nov 2, bringing the series to $550 million (calculated from $400 million issued May 2 plus this $150 million). The press release says the notes were priced at 104.5% of face (yield to worst 6.846%), and proceeds are meant to repay revolving credit facility debt and for general purposes; the filing gives no repayment amount. Chaparral also agreed to seek a registered exchange offer within 270 days. This resolves the open question of whether the add-on closed.
13 Nov 2012quarterly activities report▼ Bad
Chaparral Energy, Inc. reported quarterly revenue of $142.7 million and a net loss of $4.9 million for the period ended 2012-09-30.
2 Nov 2012material agreement▲ GoodMajor
On Nov 1, 2012 Chaparral signed a Tenth Amendment to its credit agreement, raising the borrowing base from $375 million to $500 million, extending maturity to Nov 1, 2017 and lowering interest margins (Eurodollar 1.50%-2.50%, ABR 0.50%-1.50%). On Nov 2 it agreed to sell $150 million of additional 7.625% notes due 2022 to initial purchasers led by Wells Fargo Securities, with proceeds intended to repay $145 million under the credit agreement and for general purposes. This adds to the $400 million of 2022 notes from May, bringing them to $550 million in total (calculated from the filing's figures). The earlier borrowing base was last stated as $375 million in April 2011.
24 Sept 2012business combination● Neutral
On Sept 24, 2012 Chaparral filed Amendment No. 1 to its S-4 for the 7.625% notes due 2022, now showing the exchange offer expiring Oct 26, 2012 unless extended. The offer terms are unchanged in the text shown: registered notes for the $400 million unregistered notes issued May 2, 2012, with no cash proceeds to Chaparral.
14 Sept 2012business combination● Neutral
On Sept 14, 2012 Chaparral filed a Form S-4 to swap registered 7.625% senior notes due 2022 for the $400 million of unregistered notes issued May 2, 2012, as promised in the registration rights agreement. Terms are substantially identical apart from transfer restrictions and registration rights, and Chaparral receives no cash proceeds. This is a procedural step with no new financing, and no effect on stockholders' ownership is stated.
14 Aug 2012quarterly activities report● Neutral
Chaparral Energy, Inc. reported quarterly revenue of $127.3 million and net income of $40.5 million for the period ended 2012-06-30.
11 May 2012quarterly activities report● Neutral
Chaparral Energy, Inc. reported quarterly revenue of $140.2 million and net income of $9.8 million for the period ended 2012-03-31.