Endeavour Intl Corp Endeavour Closes Senior Secured First Lien Term Loan

 
TIDMENDV 
 
Endeavour International Corporation Announces Closing of $440 Million Senior 
Secured First Lien Term Loan and Forbearance Agreement with Noteholders 
 
HOUSTON, Oct. 1, 2014 -- Endeavour International Corporation 
(NYSE: END) (LSE: ENDV) today announced the closing of a $440 million senior 
secured term loan (the "Credit Agreement") with an annual interest rate of 
LIBOR plus 10% (with a LIBOR floor of 1%), that matures on January 2, 2017. The 
proceeds of the financing were used to repay the balance outstanding under the 
Company's existing credit agreement, dated as of January 24, 2014, to repay in 
full certain monetary production payments issued by the Company's wholly-owned 
subsidiary, Endeavour Energy UK Limited ("EEUK"), to repay all reimbursement 
obligations outstanding with respect to the Company's existing LC Procurement 
Agreement, dated as of January 24, 2014, to provide cash collateral under the 
terms of a new LC Issuance Agreement entered into by certain subsidiaries of 
the Company (pursuant to which Credit Suisse AG has agreed to issue letters of 
credit for EEUK's account to secure decommissioning obligations in connection 
with certain of its United Kingdom Continental Shelf Petroleum Production 
Licenses), for payment of related expenses and to provide additional liquidity 
to the Company. 
 
The Company also announced that the Company and certain of its subsidiaries 
have entered into forbearance agreements (the "Forbearance Agreements") with 
holders of a majority of its 12% First Priority Notes due 2018, 12% Second 
Priority Notes due 2018 and 6.5% Convertible Senior Notes due 2016 
(collectively, the "Notes"). As previously announced by the Company, the 
Company did not make the September 2, 2014 interest payments due on the Notes, 
triggering a 30-day grace period that ends on October 1, 2014.  Because the 
interest payments are not being made during the grace period, an event of 
default will occur under each series of Notes.  Under the terms of the 
Forbearance Agreements, the noteholders have agreed to forbear from exercising 
remedies against the Company arising from the interest payment defaults and, 
with respect to the First Priority Notes and Second Priority Notes, arising 
with respect to the Credit Agreement.  The forbearance period is scheduled to 
expire at 11:59pm on October 7, 2014. 
 
The Company remains engaged in discussions with representatives of certain 
holders of its various classes of indebtedness, including the holders of Notes, 
regarding a debt restructuring plan that would be affected by the Company 
pursuant to a chapter 11 filing.  No assurances can be given, however, that 
such discussions will result in an agreement for a debt restructuring plan. 
Under the terms of the Credit Agreement, neither a chapter 11 filing, nor the 
failure by the Company to pay the interest due on the Notes, will result in an 
event of default thereunder. 
 
About Endeavour International Corporation 
 
Endeavour International Corporation is an international oil and gas exploration 
and production company focused on the acquisition, exploration and development 
or energy reserves in the North Sea and United States.  For more information, 
visit www.endeavourcorp.com. 
 
Forward-looking Statements 
 
This press release contains certain "forward-looking statements," as such term 
is defined in Section 21E of the Securities Exchange Act of 1934, as amended, 
relating to future events and the financial performance of Endeavour.  Such 
statements are only predictions and involve risks and uncertainties, resulting 
in the possibility that the actual events or performance will differ materially 
from such predictions as a result of certain risk factors.  As such, readers 
are cautioned not to place undue reliance on forward-looking statements, which 
speak only as to management's plans, assumptions and expectations as of the 
date hereof.  Please refer to Endeavour's Annual Report on Form 10-K for year 
ended December 31, 2013 filed with the SEC on March 17, 2014, Form 10-K/A filed 
on March 21, 2014 and other filings for a discussion of material risk factors. 
Endeavour disclaims any duty to update or alter any forward-looking statements, 
except as required by applicable law. 
 
 
 
CONTACT: Endeavour - Investor Relations, Darcey Matthews, [phone] 
 
 
 
 
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