1 Sept 2016listing compliance notice▼ BadMajor
QUICKSILVER RESOURCES INC terminated the registration of a class of securities, ending its reporting obligation for them.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
1 Sept 2016bankruptcy or receivership▼ BadMajor
Quicksilver's plan of liquidation became effective: all its common stock and remaining notes (the 2016 subordinated, 2019 and 2021 notes) were cancelled with equity holders getting nothing, and the company moved to deregister with the SEC and stop filing reports entirely -- the final chapter for a company that had been one of the biggest bets on the Barnett Shale boom a decade earlier.
22 Aug 2016bankruptcy or receivership▼ BadMajor
The bankruptcy court confirmed Quicksilver's plan of liquidation: a trustee would take over remaining assets, wind down the estates, and pay creditors by priority -- first-lien claims in full, second-lien and unsecured claims pro rata, and common stock (182.5 million shares) and subordinated notes getting nothing. The stock kept trading on OTC Pink, but the company warned it now reflected no real asset value.
12 Apr 2016asset acquisition disposition▼ BadMajor
Quicksilver closed the BlueStone sale, transferring substantially all its remaining U.S. oil and gas assets (Barnett Shale and Permian/Delaware Basin acreage) for about $236 million cash after a small price cut -- Quicksilver effectively ceased to be an operating company.
14 Mar 2016bankruptcy or receivership▼ BadMajor
Quicksilver's Canadian subsidiaries filed for creditor protection under Canada's CCAA and were deconsolidated from the parent's books; auditor Ernst & Young resigned as Quicksilver prepared to stop filing 10-Ks and 10-Qs altogether. E&Y disclosed its March 2015 opinion on the 2014 financials had already carried a going-concern qualification, and flagged unresolved material weaknesses in deferred-tax accounting and reserves estimation -- the audit relationship wound down alongside the business itself.
14 Mar 2016financial restatement▼ Bad
Quicksilver restated its Q3 2015 results again, after finding understated costs in its reserve report had understated the required non-cash impairment by $61.8 million -- one more accounting correction in a company already being wound down.
22 Feb 2016material agreement▼ Bad
Quicksilver's Canadian lenders extended forbearance a fifth time, to April 1, 2016, now also conditioned on compliance with the BlueStone sale order -- forbearance and the asset sale had become tightly linked.
28 Jan 2016material agreement▼ BadMajor
After a bankruptcy-court-supervised auction, Quicksilver agreed to sell substantially all of its remaining U.S. oil and gas assets to BlueStone Natural Resources for $245 million, with Barnett Shale Gas LLC as backup bidder -- the liquidation of the operating business itself, with the company warning existing shareholders would get nothing.
15 Dec 2015material agreement▼ Bad
Quicksilver's Canadian lenders extended their forbearance a fourth time, to mid-February 2016, as the bankruptcy case dragged on with no resolution yet in sight.
18 Sept 2015material agreement▼ BadMajor
Six months into the bankruptcy, Quicksilver's Canadian lenders extended their forbearance again (to mid-December) and the company began a court-supervised sale process for substantially all its U.S. and Canadian assets under Bankruptcy Code Section 363 -- reorganization giving way to liquidation of the business.
17 Mar 2015bankruptcy or receivership▼ BadMajor
Quicksilver and 12 subsidiaries filed for Chapter 11 in Delaware after months of restructuring talks with its second-lien lenders and noteholders, immediately accelerating essentially all its debt: $137 million on the U.S. revolver, $98 million on the Canadian revolver, $625 million on the second-lien term loan, $200 million of second-lien notes, $298 million of 2019 notes, $325 million of 2021 notes and $350 million of subordinated notes due 2016 -- over $2 billion combined. Lenders agreed to forbear on related Canadian defaults through mid-June while the case proceeded; the company warned shareholders they could be wiped out entirely.
19 Feb 2015listing compliance notice● NeutralMajor
QUICKSILVER RESOURCES INC's exchange filed to remove a class of its securities from listing.
8 Jan 2015listing compliance notice▼ BadMajor
The NYSE moved to delist Quicksilver's stock immediately over its collapsed share price; Quicksilver didn't appeal, and its shares began trading over-the-counter under "KWKA" -- the market's verdict rendered two months before the bankruptcy filing.
9 Oct 2014listing compliance notice▼ BadMajor
The NYSE warned Quicksilver its stock had traded below the $1.00 minimum average price required for continued listing -- the market pricing in serious doubt about the company's survival.
21 Mar 2014material agreement▼ BadMajor
Quicksilver renegotiated its Fortune Creek midstream JV with KKR, pushing out its remaining Horn River capital-spending commitment to mid-2016 (or an earlier Horn River sale) and easing its funding obligations -- a sign it could no longer keep pace with the $100 million/year drilling commitment it had guaranteed KKR in 2011.
18 Nov 2013material agreement▼ BadMajor
Quicksilver's lenders again eased its interest-coverage covenant -- down to 1.10x through mid-2014 -- while holding the borrowing base at $350 million, the latest in a string of covenant relief as the company worked through its debt load.
5 Aug 2013material agreement termination▼ BadMajor
NOVA Gas Transmission terminated the Horn River pipeline agreement (the Komie North Project) after failing to get the regulatory approval it needed, ending Quicksilver's British Columbia pipeline growth plan; Quicksilver's C$14 million in letters of credit would be released once it paid NGTL's roughly $12.8 million in incurred costs.
21 June 2013debt financing▼ BadMajor
Quicksilver closed its refinancing: a new $625 million second-lien term loan from Credit Suisse, $325 million of 11% Senior Notes due 2021, and $200 million of second-lien floating-rate notes due 2019 -- all priced far above its original investment-grade-era debt -- and used the proceeds to retire the tendered 2015 and 2016 Senior Notes, completing the refinancing begun on June 12.
12 June 2013material agreement▼ BadMajor
Quicksilver priced $325 million of new 11% Senior Notes due 2021 and $200 million of second-lien floating-rate notes due 2019 -- yet more expensive debt -- to fund tender offers and covenant-stripping consent solicitations on its 2015, 2016 and 2016-subordinated notes; 88.7%-98.6% of holders tendered, but the tender for the 2016 Subordinated Notes failed to meet its conditions and was terminated, a sign the refinancing wasn't going entirely to plan.
6 May 2013asset acquisition disposition● NeutralMajor
Quicksilver closed the sale of 25% of its Barnett Shale assets to Tokyo Gas's TG Barnett Resources, collecting net cash proceeds of $463.4 million.
3 May 2013material agreement▼ BadMajor
As part of the Tokyo Gas deal, Quicksilver's lenders slashed its global borrowing base from $850 million to $350 million, cut the minimum interest-coverage covenant to as low as 1.10x through 2014, capped senior secured leverage at 2.0x, allowed up to $800 million of new second-lien debt, and raised borrowing costs and collateral requirements -- the clearest borrowing-base redetermination of the crisis, resetting credit around a much smaller company.
29 Mar 2013material agreement▼ BadMajor
Quicksilver agreed to sell 25% of its core Fort Worth Basin (Barnett Shale) assets to Tokyo Gas subsidiary TG Barnett Resources for $485 million cash -- monetizing a slice of its flagship asset to raise cash as its credit and accounting problems mounted.
22 Mar 2013listing compliance notice▼ BadMajor
For the second year running, the NYSE flagged Quicksilver for missing its 10-K deadline -- this time for 2012 -- though the same filing disclosed the 10-K had in fact just been filed.
15 Mar 2013financial restatement▼ BadMajor
Quicksilver said it would restate its first three 2012 quarters after finding 15 of its 2012 hedges lacked the documentation required for hedge accounting, forcing large swings into earnings -- roughly $255 million, $208 million and $4 million of added impairment in Q1-Q3 respectively -- on top of preliminary Q4/full-year 2012 results already flagged as incomplete. A serious, recurring accounting-controls failure, not a one-off correction.
8 Mar 2013security holder rights change● NeutralMajor
Quicksilver cut its poison pill's trigger price from $180 to $10 a share, extended it to 2016, and widened the ownership carve-out for the Darden family and related entities (Quicksilver Energy, Mercury Exploration, the Discovery Fund) up to their current combined stake -- a lower-cost, longer-lived takeover defense shaped around insiders' existing large holdings.
24 Sept 2012material agreement● NeutralMajor
Quicksilver formed a 50/50 joint venture with Shell subsidiary SWEPI to jointly develop over 850,000 acres in Colorado's Sand Wash Basin -- a new growth area -- while also announcing reduced letter-of-credit obligations to NOVA Gas Transmission on the Horn River pipeline project.
10 Sept 2012debt financing▼ BadMajor
Quicksilver pushed back the target in-service date for its Horn River pipeline with NOVA Gas Transmission by more than a year, from May 2014 to August 2015, and restructured the schedule of letters of credit backing the project (rising to C$296.8 million by September 2014) -- a sign the Horn River build-out was slowing as gas prices stayed weak.
17 Aug 2012auditor change▼ BadMajor
Quicksilver's audit committee declined to reappoint Deloitte & Touche as its auditor and hired Ernst & Young instead, after material weaknesses in its financial reporting controls were disclosed in its 2011 10-K and first two 2012 10-Qs -- confirming the accounting problems behind the earlier late filing.
20 Mar 2012listing compliance notice▼ BadMajor
The NYSE notified Quicksilver it had missed the deadline to file its 2011 annual report and was now under the exchange's late-filer procedures; Quicksilver said it expected to file within about a month, and its shares stayed listed -- the first real sign of the accounting problems that would soon cost it its auditor.
27 Dec 2011debt financing● NeutralMajor
Days after signing its new credit agreements, Quicksilver amended and restated them again, raising the combined global borrowing base to $1.075 billion ($775 million U.S. plus $300 million Canadian) -- still redetermined every six months against reserve values, the mechanism that would matter most once commodity prices stayed down.