14 May 2008material agreement● Neutral
W&T signed its standard indemnification agreement with newly elected director Samir Gibara, routine board housekeeping rather than new company news.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
7 Nov 2007debt financing▲ Good
W&T's lenders raised its revolving credit borrowing base to $710 million and revolver capacity to $500 million, and waived covenants to allow a one-time $30 million shareholder distribution.
15 June 2007capital raising announcement● NeutralMajor
W&T sold $450 million of 8.25% senior notes due 2014 to investors in a private placement led by Morgan Stanley, closing June 13, 2007. It plans to use substantially all of the net proceeds to repay part of its bank credit facility borrowings, which likely include borrowings tied to the 2006 Kerr-McGee shelf acquisition (inference). The notes are unsecured and guaranteed by seven subsidiaries, so this swaps bank debt for fixed-rate long-term debt rather than adding new spending capacity.
30 Aug 2006asset acquisition disposition▲ GoodMajor
W&T completed a $1.03 billion acquisition of Kerr-McGee's Gulf of Mexico shelf subsidiary, adding interests in roughly 100 fields across 242 offshore blocks. It was the largest deal in the company's history and made W&T the third-largest shelf acreage holder in the Gulf of Mexico.