Hornbeck Offshore Announces First Quarter 2013 Results

            Hornbeck Offshore Announces First Quarter 2013 Results

PR Newswire

COVINGTON, La., May 1, 2013

COVINGTON, La., May 1, 2013 /PRNewswire/ --Hornbeck Offshore Services, Inc.
(NYSE:HOS) announced today results for the first quarter ended March 31,
2013. Following are highlights for this period and the Company's future
outlook:

  oRecord quarterly revenue of $147.5 million for 1Q2013 was up 23% from the
    year-ago quarter and 11% sequentially
  o1Q2013 operating income of $47.4 million increased 66% from the year-ago
    quarter and 46% sequentially
  o1Q2013 bond refinancing resulted in a loss on early extinguishment of debt
    of $24.3 million ($0.42 per diluted share)
  oExcluding such loss on early extinguishment of debt, 1Q2013 diluted EPS
    would increase from $0.17 to $0.59 per share
  oExcluding such loss on early extinguishment of debt, 1Q2013 EBITDA would
    increase from $45.8 million to $70.1 million
  o1Q2013 utilization of the 51-vessel new gen OSV fleet was 87%, up from 81%
    a year-ago and 84% sequentially
  o1Q2013 high-spec OSV utilization was 99%, up from 87% a year-ago and 96%
    sequentially
  o1Q2013 MPSV utilization was 95%, up from 88% a year ago and 81%
    sequentially
  oContract backlog for new gen OSV vessel-days is currently at 54% and 24%
    for the remainder of 2013 and fiscal 2014
  oContract backlog for MPSV vessel-days is currently at 77% and 31% for the
    remainder of 2013 and fiscal 2014
  o1Q2013 EBITDA for the Downstream fleet was $7.0 million, up 71% from
    comparable 1Q2012 EBITDA of $4.1 million
  o1Q2013 Downstream utilization was 96% compared to 85% and 99% in 1Q2012
    and 4Q2012, respectively
  oThe Company plans to build two additional Jones Act HOSMAX 310 class MPSVs
    in lieu of two additional 320 class OSVs
  oOSV Newbuild Program #5 is now comprised of twenty HOSMAX class OSVs and
    four HOSMAX class MPSVs

First quarter 2013 revenues increased 23.0% to $147.5 million compared to
$120.0 million for the first quarter of 2012 and increased 10.7% compared to
$133.2 million for the fourth quarter of 2012. Operating income was $47.4
million, or 32.1% of revenues, for the first quarter of 2013 compared to $28.6
million, or 23.8% of revenues, for the prior-year quarter; and $32.5 million,
or 24.4% of revenues, for the fourth quarter of 2012. The Company recorded
net income for the first quarter of 2013 of $6.2 million, or $0.17 per diluted
share, compared to net income of $6.3 million, or $0.18 per diluted share, for
the year-ago quarter; and net income of $11.3 million, or $0.31 per diluted
share, for the fourth quarter of 2012. Diluted common shares for the first
quarter of 2013 were 36.3 million compared to 36.0 million for the first
quarter of 2012 and 36.1 million for the fourth quarter of 2012. First
quarter 2013 EBITDA increased 2.7% to $45.8 million compared to $44.6 million
for the first quarter of 2012 and decreased 16.9% compared to $55.1 million
for the fourth quarter of 2012. However, the Company recorded a $24.3 million
($15.2 million after-tax or $0.42 per diluted share) loss on early
extinguishment of debt during the first quarter 2013. This loss resulted from
the refinancing of the Company's 8.000% senior notes due 2017 with new 5.000%
senior notes due 2021. Excluding the impact of such loss on early
extinguishment of debt, EBITDA, net income and diluted EPS for the first
quarter of 2013 would have been $70.1 million, $21.4 million and $0.59 per
share, respectively. Likewise, the Company recorded a $5.2 million ($3.2
million after-tax or $0.09 per diluted share) loss on early extinguishment of
debt during the first quarter 2012. This loss resulted from the refinancing
of the Company's 6.125% senior notes due 2014 with new 5.875% senior notes due
2020. Excluding the impact of such loss on early extinguishment of debt,
EBITDA, net income and diluted EPS for the first quarter of 2012 would have
been $49.8 million, $9.5 million and $0.27 per share, respectively. The $15.0
million sequential increase in recurring EBITDA is primarily attributable to
(i) an $8.4 million increase in MPSV revenues mainly due to higher effective
dayrates from the two MPSVs operating in the spot market, (ii) a $4.6 million
increase in OSV revenue resulting from high-spec OSVs re-pricing at current
spot market dayrates, and (iii) a $1.9 million decrease in Upstream operating
expenses mostly due to lower cost of sales and maintenance and repair costs.
For additional information regarding EBITDA as a non-GAAP financial measure,
please see Note 10 to the accompanying data tables.

Upstream Segment. Revenues from the Upstream segment were $132.5 million for
the first quarter of 2013, an increase of $24.6 million, or 22.8%, from $107.9
million for the first quarter of 2012; and an increase of $13.9 million, or
11.7%, from $118.6 million for the fourth quarter of 2012. The year-over-year
increase in Upstream revenues primarily resulted from higher utilization and
dayrates due to stronger demand for the Company's MPSVs and high-spec OSVs.
Upstream operating income was $43.9 million, or 33.1% of revenues, for the
first quarter of 2013 compared to $28.3 million, or 26.2% of revenues, for the
prior-year quarter; and $29.7 million, or 25.0% of revenues, for the fourth
quarter of 2012. Average new generation OSV dayrates for the first quarter of
2013 were $25,142 compared to $22,419 for the same period in 2012 and $24,024
for the fourth quarter of 2012. New generation OSV utilization was 86.7% for
the first quarter of 2013 compared to 81.1% for the year-ago quarter and 84.0%
for the sequential quarter. The Company's high-spec OSVs achieved an average
utilization of 98.5% for the first quarter of 2013, while maintaining
leading-edge spot dayrates in the $38,000 to $45,000 range. After adjusting
for 20 days of first quarter downtime for regulatory drydockings, the
Company's commercially available high-spec OSV fleet achieved an effective
utilization of 99.5%. 

Downstream Segment. Revenues from the Downstream segment of $15.0 million for
the first quarter of 2013 increased by $2.9 million, or 24.0%, compared to
$12.1 million for the same period in 2012, and were in-line with the
sequential quarter. The year-over-year revenue increase was largely due to
improved market conditions in the GoM and in the Northeast. The Company's
double-hulled tank barge average dayrates were $19,338 for the first quarter
of 2013 compared to $17,271 for the same period in 2012 and $17,694 for the
sequential quarter. Utilization for the double-hulled tank barge fleet was
95.7% for the first quarter of 2013 compared to 85.4% for the year-ago quarter
and 99.3% for the sequential quarter. The sequential quarter decrease in
utilization was primarily due to 32 incremental days out-of-service for
regulatory drydocking during the first quarter of 2013. Effective, or
utilization-adjusted, dayrates for the Company's double-hulled tank barges
were $18,506 for the first quarter of 2013, which is $3,757, or 25.5%, higher
than the prior-year quarter effective dayrates. During April 2013, the
Company sold two of its five stacked, lower-horsepower tugs.

General and Administrative ("G&A").  G&A expenses of $13.9 million for the
first quarter of 2013 were 9.4% of revenues compared to $11.1 million, or 9.3%
of revenues, for the first quarter of 2012. The increase in G&A expenses was
primarily attributable to higher shoreside incentive compensation expense. The
Company allocated 93% of its first quarter 2013 G&A expenses to the Upstream
segment and 7% to the Downstream segment.

Depreciation and Amortization. Depreciation and amortization expense was
$22.9 million for the first quarter of 2013, or $1.9 million higher than the
prior-year quarter. This increase is primarily due to higher shipyard costs
for vessel regulatory drydockings. Depreciation and amortization expense is
expected to continue to increase from current levels as the vessels under the
Company's current newbuild and conversion programs are placed in service and
when any newly constructed vessels undergo their initial 30-month and 60-month
recertifications.

Interest Expense. Interest expense decreased $0.2 million during the first
quarter of 2013 compared to the same period in 2012, primarily due to an
increase in capitalized interest cost related to the Company's fifth OSV
newbuild program, which commenced during the fourth quarter of 2011. The
Company recorded $6.0 million of capitalized construction period interest, or
roughly 30% of its total interest costs, for the first quarter of 2013
compared to having capitalized $1.5 million, or roughly 10% of its total
interest costs, for the prior-year quarter.

Loss on Early Extinguishment of Debt. On March 14, 2013, the Company
commenced a cash tender offer for all $250.0 million in aggregate principal
amount of its 8.000% senior notes due 2017. Senior notes that were tendered
as of March 27, 2013 represented approximately $234.7 million, or 94% of such
notes outstanding. The remaining $15.3 million, or 6%, of the Company's
8.000% senior notes will be redeemed on May 13, 2013. A loss on early
extinguishment of debt of approximately $24.3 million ($15.2 million after-tax
or $0.42 per diluted share) was recorded during the first quarter of 2013,
which includes the tender offer costs, and an allocable portion of the
write-off of unamortized financing costs, original issue discount and the bond
redemption premium. An additional loss on early extinguishment of debt of
approximately $1.5 million ($0.9 million after-tax or $0.03 per diluted share)
will be recorded during the second quarter of 2013 for those costs allocable
to the remaining $15.3 million of the Company's 8.000% senior notes that will
be redeemed during the second quarter of 2013.

Future Outlook

Based on the key assumptions outlined below and in the attached data tables,
the following statements reflect management's current expectations regarding
future operating results and certain events. These statements are
forward-looking and actual results may differ materially given the volatility
inherent in the Company's industry. Other than as expressly stated, these
statements do not include the potential impact of any additional future
long-term contract repositioning voyages; unexpected vessel repairs or
shipyard delays; or future capital transactions, such as vessel acquisitions
or divestitures, business combinations, financings or the unannounced
expansion of existing newbuild programs that may be commenced after the date
of this disclosure. Additional cautionary information concerning
forward-looking statements can be found on page 9 of this news release.

Forward Guidance

Vessel Counts. As of May 1, 2013, excluding inactive non-core vessels, the
Company's operating fleet consisted of 50 new generation OSVs, four MPSVs,
nine double-hulled tank barges and nine ocean-going tugs. During April 2013,
the Company sold one of its six 220 class DP-1 new generation OSVs. The
forecasted vessel counts presented in this press release reflect the sale of
this vessel, as well as the anticipated 2013 and 2014 OSV newbuild deliveries
discussed below. The Company's active Upstream Fleet for fiscal years 2013
and 2014 is expected to be comprised of an average of 51.1 and 62.0 new
generation OSVs, respectively. These active new generation OSVs are comprised
of an average of 24.1 "term" vessels that are currently chartered on long-term
contracts and an average of 27.0 "spot" vessels that are currently operating
or being offered for service under short-term charters. As of May 1, 2013,
the Company also has one remaining stacked 220 class DP-1 new generation OSV,
which is expected to be reactivated during the second quarter of 2013. The
Company expects to operate a total of four MPSVs in each of the fiscal years
2013 and 2014. The Company's active Downstream fleet for fiscal years 2013
and 2014 is expected to consist of nine double-hulled tank barges and
nine-ocean going tugs.

Contract Coverage. The Company's forward contract coverage for its current
and projected fleet of active new generation OSVs for the remainder of fiscal
2013 and for fiscal 2014 is currently 54% and 24%, respectively. The
Company's forward contract coverage for its four MPSVs for the remainder of
fiscal 2013 and for fiscal 2014 is currently 77% and 31%, respectively. The
Company's forward contract coverage for its nine-vessel fleet of double-hulled
tank barges for the remainder of fiscal 2013 is currently 60%. These contract
backlog percentages are based on available vessel-days for the guidance
periods, not estimated revenue.

Effective Dayrates. Effective, or utilization-adjusted, new generation OSV
dayrates for the Company's projected average of 24.1 active "term" OSVs are
now expected to be in the $20,000 to $21,000 range for the full-year 2013.
This range does not reflect the incremental impact of any revenue expected to
be derived in fiscal 2013 from the Company's "spot" or "stacked" OSVs. The
Company does not provide annual guidance regarding the effective dayrates
anticipated for its "spot" new generation OSVs due to the wide range of
potential outcomes of its current domestic and international bidding activity
for such vessels. Improved market conditions have allowed the Company to
maintain leading-edge spot dayrates for its high-spec OSVs in the $38,000 to
$45,000 range, up from $30,000 to $36,000 for the first half of 2012. Whether
these rates can be sustained will depend on a variety of factors, including
the pace of permitting, the future rig count and the timing of anticipated
drilling rig and OSV newbuild deliveries in the GoM. Effective dayrates for
the Company's nine double-hulled tank barges are now projected to be in the
range of $18,000 to $19,000 for the full-year 2013.

Operating Expenses. Aggregate cash operating expenses for the Company's
Upstream segment are projected to be in the range of $59.0 million to $62.0
million for the second quarter of 2013, and $246.0 million to $256.0 million
for fiscal 2013. This annual guidance range includes the impact of roughly $4
million of total out-of-pocket costs related to the remobilization of four 240
class OSVs out of Brazil, not counting lost revenue during 120 days of
aggregate commercial downtime (30 days per vessel), during the period June
through August 2013. The cash operating expense estimate above is exclusive
of any additional repositioning expenses the Company may incur that are not
recoverable through charter hire in connection with the potential relocation
of more of its current spot and/or stacked vessels into international markets
or back to the GoM and any customer-required cost-of-sales related to future
contract fixtures that are typically recovered through higher dayrates.
Aggregate cash operating expenses for the Company's Downstream segment are
projected to be in the range of $7.0 million to $9.0 million for the second
quarter of 2013, and $27.0 million to $29.0 million for fiscal 2013.

G&A Expenses. General and administrative expenses are expected to be in the
approximate range of $12.5 million to $13.5 million for the second quarter of
2013, and $53.0 million to $55.0 million for the full-year 2013, commensurate
with the Company's pending fleet growth and international operations. The
Company expects to remain within the historical range of G&A-to-revenue
margins of its public OSV peer group.

Other Financial Data. The projected annual loss on early extinguishment of
debt, depreciation, amortization, net interest expense, cash income taxes,
cash interest expense and weighted-average diluted shares outstanding for the
full-year 2013 are included in the attached data tables. Projected quarterly
loss on early extinguishment of debt, depreciation, amortization, net interest
expense, cash income taxes, cash interest expense and weighted-average diluted
shares outstanding for the quarter ending June 30, 2013 are expected to be
$1.5 million, $15.4 million, $9.2 million, $12.4 million, $0.7 million, $13.6
million and 36.4 million, respectively. The Company's annual and quarterly
effective tax rate is expected to be in the range of 36.0% to 38.0% for fiscal
2013.

Capital Expenditures Outlook

Update on OSV Newbuild Program #5. The Company's fifth OSV newbuild program
now consists of four 300 class OSVs, six 310 class OSVs, ten 320 class OSVs
and four 310 class MPSVs. In March 2013, the Company contracted with a
domestic shipyard to construct two of its new class of Jones Act MPSVs based
upon the HOSMAX 310 vessel design, with expected deliveries in the second and
third quarters of 2015. Today, the Company announced that, rather than build
two additional 320 class OSVs as reported on February 6, 2013, it intends to
build two additional domestic HOSMAX 310 MPSVs. The Company is currently
negotiating final terms and conditions for the construction of those two
vessels, which are expected to deliver in 2016. Based on its current plan to
build up to eight Jones Act MPSVs (inclusive of the four MPSV newbuilds
discussed above), the Company has decided to allow the remaining 22 options to
construct HOSMAX 320 class OSVs to expire, while maintaining the validity of
its 22 options to construct additional HOSMAX 310 class OSVs. The next
exercise date for such newbuild options has been extended to August 2013. The
24 vessels currently planned and/or committed under this domestic newbuild
program are expected to be delivered in accordance with the table below:

                  2013     2014        2015        2016        Total
                  2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
Estimated

In-Service Dates:
300 class OSVs    1  1  1  1  -  -  -  -  -  -  -  -  -  -  -  4
310 class OSVs    -  -  -  1  1  1  2  1  -  -  -  -  -  -  -  6
320 class OSVs    -  -  2  2  3  1  1  1  -  -  -  -  -  -  -  10
Total OSVs        1  1  3  4  4  2  3  2  -  -  -  -  -  -  -  20
310 class MPSVs   -  -  -  -  -  -  -  -  1  1  -  -  1  -  1  4
Total Newbuilds   1  1  3  4  4  2  3  2  1  1  -  -  1  -  1  24

Based on the above schedule of projected vessel in-service dates, the Company
expects to own and operate 55, 68 and 70 new generation OSVs as of December
31, 2013, 2014 and 2015, respectively. These vessel additions result in a
projected average new generation OSV fleet complement of 51.5, 62.0 and 69.9
vessels for the fiscal years 2013, 2014 and 2015, respectively. As described
in the above schedule of projected vessel in-service dates, the Company
expects to own and operate four, four, six and eight MPSVs as of December 31,
2013, 2014, 2015 and 2016, respectively. These vessel additions result in a
projected average MPSV fleet complement of 4.0, 4.0, 4.8 and 6.8 vessels for
the fiscal years 2013, 2014, 2015 and 2016, respectively. The aggregate cost
of the Company's fifth OSV newbuild program, excluding construction period
interest, is now expected to be approximately $1.24 billion, of which $506.3
million, $284.8 million, $143.7 and $30.6 million is expected to be incurred
in 2013, 2014, 2015 and 2016, respectively. From the inception of this
program through March 31, 2013, the Company has incurred $357.1 million, or
28.7%, of total expected project costs, including $82.6 million that was spent
during the first quarter of 2013.

Update on Maintenance and Other Capital Expenditures. Please refer to the
attached data table on page 12 of this press release for a summary, by period
and by vessel type, of historical and projected data for drydock downtime (in
days) and maintenance capital expenditures for each of the quarterly and/or
annual periods presented for the fiscal years 2013 and 2014. Maintenance
capital expenditures, which are recurring in nature, primarily include
regulatory drydocking charges incurred for the recertification of vessels and
other vessel capital improvements that extend a vessel's economic useful
life. The Company expects that its maintenance capital expenditures for its
company-wide fleet of vessels will be approximately $61.6 million and $52.6
million, respectively, for the full-years 2013 and 2014, respectively.

Update on Other Capital Expenditures. Please refer to the attached data
tables on page 12 of this press release for a summary, by period, of
historical and projected data for other capital expenditures, including the
200 Class OSV Retrofit Program described below, for each of the quarterly
and/or annual periods presented for the fiscal years 2013 and 2014. Other
capital expenditures, which are generally non-recurring, are comprised of the
following: (i) commercial-related vessel improvements, such as the addition of
cranes, ROVs, living quarters and other specialized vessel equipment, or the
modification of vessel capacities or capabilities, such as DP upgrades,
mid-body extensions or vapor-recovery systems, which costs are typically
included in and offset, in whole or in part, by higher dayrates charged to
customers; and (ii) non-vessel related capital expenditures, including costs
related to the Company's shore-based facilities, leasehold improvements and
other corporate expenditures, such as information technology or office
furniture and equipment. In addition to the $50 million OSV retrofit program
outlined below, the Company expects miscellaneous incremental
commercial-related vessel improvements and non-vessel capital expenditures to
be approximately $20.7 million and $8.0 million, respectively, for the
full-years 2013 and 2014, respectively.

200 Class OSV Retrofit Program. In September 2012, the Company awarded a
contract for the upgrading and stretching of six of the Company's Super 200
class DP-1 OSVs, converting them into 240 class DP-2 OSVs. The project costs
for these discretionary vessel modifications are expected to be approximately
$50.0 million, in the aggregate ($8.3 million each), and the Company expects
to incur approximately 762 vessel-days of aggregate commercial downtime for
the six vessels (127 vessel-days each), as follows:

                                  2012    1Q2013  2Q2013 3Q2013 4Q2013  Total
200 Class OSV Retrofit Program:
Estimated cash outlays (in        $  2.3 $  4.2 $ 20.2 $ 13.4 $  9.9 $ 50.0
millions)
Estimated commercial downtime (in 21      180     187    200    174     762
days)

The contractor will utilize two of its shipyards on concurrent paths to
minimize the duration of the total project. The first two vessels arrived at
the shipyard in December 2012 and the current schedule projects re-deliveries
of two vessels each in May, September and December of 2013, respectively.

Liquidity Outlook

As of March 31, 2013, the Company had a cash balance of $714.3 million and an
undrawn $300 million revolving credit facility. Together with cash on-hand
and available capacity under its currently undrawn revolving credit facility,
the Company expects to generate sufficient cash flow from operations to cover
all of its growth capital expenditures for the first 24 HOSMAX vessels under
construction, all of the capital costs related to its six-vessel 200 class OSV
retrofit program, the planned retirement of its 1.625% convertible notes in
November 2013, and all of its annually recurring cash debt service,
maintenance capital expenditures and cash income taxes for the fiscal year
ending 2013 and for the full duration of the currently planned or committed
24-vessel HOSMAX newbuild program.

Conference Call

The Company will hold a conference call to discuss its first quarter 2013
financial results and recent developments at 10:00 a.m. Eastern (9:00 a.m.
Central) tomorrow, May 2, 2013. To participate in the call, dial (480)
629-9723 and ask for the Hornbeck Offshore call at least 10 minutes prior to
the start time. To access it live over the Internet, please log onto the web
at http://www.hornbeckoffshore.com, on the "IR Home" page of the "Investors"
section of the Company's website at least fifteen minutes early to register,
download and install any necessary audio software. Please call the Company's
investor relations firm, Dennard-Lascar, at (713) 529-6600 to be added to its
e-mail distribution list for future Hornbeck Offshore news releases. An
archived version of the web cast will be available shortly after the call for
a period of 60 days on the "IR Home" page under the "Investors" section of the
Company's website. Additionally, a telephonic replay will be available
through May 9, 2013, and may be accessed by calling (303) 590-3030 and using
the pass code 4614855#.

Attached Data Tables

The Company has posted an electronic version of the following four pages of
data tables, which are downloadable in Microsoft Excelä format, on the "IR
Home" page of the "Investors" section of the Hornbeck Offshore website for the
convenience of analysts and investors.

In addition, the Company uses its website as a means of disclosing material
non-public information and for complying with disclosure obligations under SEC
Regulation FD. Such disclosures will be included on the Company's website
under the heading "Investors—IR Home." Accordingly, investors should monitor
that portion of the Company's website, in addition to following the Company's
press releases, SEC filings, public conference calls and webcasts.

Hornbeck Offshore Services, Inc. is a leading provider of technologically
advanced, new generation offshore service vessels primarily in the U.S. Gulf
of Mexico and Latin America, and is a leading short-haul transporter of
petroleum products through its coastwise fleet of ocean-going tugs and tank
barges primarily in the northeastern U.S. and the U.S. Gulf of Mexico.
Hornbeck Offshore currently owns a fleet of 76 vessels primarily serving the
energy industry and has 24 additional high-spec Upstream vessels planned or
under construction for delivery through 2016.

Forward-Looking Statements

This Press Release contains "forward-looking statements," as contemplated by
the Private Securities Litigation Reform Act of 1995, in which the Company
discusses factors it believes may affect its performance in the future.
Forward-looking statements are all statements other than historical facts,
such as statements regarding assumptions, expectations, beliefs and
projections about future events or conditions. You can generally identify
forward-looking statements by the appearance in such a statement of words like
"anticipate," "believe," "continue," "could," "estimate," "expect,"
"forecast," "intend," "may," "might," "plan," "potential," "predict,"
"project," "remain," "should," "will," or other comparable words or the
negative of such words. The accuracy of the Company's assumptions,
expectations, beliefs and projections depends on events or conditions that
change over time and are thus susceptible to change based on actual
experience, new developments and known and unknown risks. The Company gives no
assurance that the forward-looking statements will prove to be correct and
does not undertake any duty to update them. The Company's actual future
results might differ from the forward-looking statements made in this Press
Release for a variety of reasons, including the effect of inconsistency by the
United States government in the pace of issuing drilling permits and plan
approvals in the GoM; the Company's inability to successfully complete its
fifth OSV newbuild program and its 200 class OSV retrofit program on-time and
on-budget, which involves the construction, conversion and integration of
highly complex vessels and systems; the inability to successfully market the
vessels that the Company owns, is constructing or might acquire; an oil spill
or other significant event in the United States or another offshore drilling
region that could have a broad impact on deepwater and other offshore energy
exploration and production activities, such as the suspension of activities or
significant regulatory responses; the imposition of laws or regulations that
result in reduced exploration and production activities or that increase the
Company's operating costs or operating requirements, including any such laws
or regulations that may yet arise as a result of the Deepwater Horizon
incident or the resulting drilling moratoria and regulatory reforms, as well
as the outcome of pending litigation brought by environmental groups
challenging exploration plans approved by the Department of Interior; less
than anticipated success in marketing and operating the Company's MPSVs;
bureaucratic, administrative or operating barriers that delay vessels
chartered in foreign markets from going on-hire or result in contractual
penalties or deductions imposed by foreign customers; renewed weakening of
demand for the Company's services; unplanned customer suspensions,
cancellations, rate reductions or non-renewals of vessel charters or failures
to finalize commitments to charter vessels; the impact of planned sequester of
federal spending pursuant to the Budget Control Act of 2011; industry risks;
reductions in capital spending budgets by customers; a material reduction of
Petrobras' announced plans for or administrative barriers to exploration and
production activities in Brazil; sustained declines in oil and natural gas
prices; further increases in operating costs, such as mariner wage increases;
the inability to accurately predict vessel utilization levels and dayrates;
unanticipated difficulty in effectively competing in or operating in
international markets; less than anticipated subsea infrastructure demand in
the GoM and other markets; the level of fleet additions by the Company and its
competitors that could result in over capacity in the markets in which the
Company competes; economic and political risks; weather-related risks; the
shortage of or the inability to attract and retain qualified personnel,
including vessel personnel for active, unstacked and newly constructed
vessels; regulatory risks; the repeal or administrative weakening of the Jones
Act or changes in the interpretation of the Jones Act related to the U.S.
citizenship qualification; drydocking delays and cost overruns and related
risks; vessel accidents or pollution incidents resulting in lost revenue or
expenses that are unrecoverable from insurance policies or other third
parties; unexpected litigation and insurance expenses; fluctuations in foreign
currency valuations compared to the U.S. dollar and risks associated with
expanded foreign operations, such as non-compliance with or the unanticipated
effect of tax laws, customs laws, immigration laws, or other legislation that
result in higher than anticipated tax rates or other costs or the inability to
repatriate foreign-sourced earnings and profits. In addition, the Company's
future results may be impacted by adverse economic conditions, such as
inflation, deflation, or lack of liquidity in the capital markets, that may
negatively affect it or parties with whom it does business resulting in their
non-payment or inability to perform obligations owed to the Company, such as
the failure of customers to fulfill their contractual obligations or the
failure by individual banks to provide funding under the Company's credit
agreement, if required. Should one or more of the foregoing risks or
uncertainties materialize in a way that negatively impacts the Company, or
should the Company's underlying assumptions prove incorrect, the Company's
actual results may vary materially from those anticipated in its
forward-looking statements, and its business, financial condition and results
of operations could be materially and adversely affected. Additional factors
that you should consider are set forth in detail in the "Risk Factors" section
of the Company's most recent Annual Report on Form 10-K as well as other
filings the Company has made and will make with the Securities and Exchange
Commission which, after their filing, can be found on the Company's website
www.hornbeckoffshore.com.

Regulation G Reconciliation

This Press Release also contains references to the non-GAAP financial measures
of earnings, or net income, before interest, income taxes, depreciation and
amortization, or EBITDA, and Adjusted EBITDA. The Company views EBITDA and
Adjusted EBITDA primarily as liquidity measures and, therefore, believes that
the GAAP financial measure most directly comparable to such measure is cash
flows provided by operating activities. Reconciliations of EBITDA and Adjusted
EBITDA to cash flows provided by operating activities are provided in the
table below. Management's opinion regarding the usefulness of EBITDA to
investors and a description of the ways in which management uses such measure
can be found in the Company's most recent Annual Report on Form 10-K filed
with the Securities and Exchange Commission, as well as in Note 10 to the
attached data tables.

Contacts: Todd Hornbeck, CEO
           Jim Harp, CFO
           Hornbeck Offshore Services
           985-727-6802
           Ken Dennard, Managing Partner
           Dennard-Lascar / 713-529-6600



 Hornbeck Offshore Services, Inc. and Subsidiaries
 Unaudited Consolidated Statements of Operations
 (in thousands, except Other Operating and Per Share Data)
 Statement of Operations (unaudited):
                                  Three Months Ended
                                  March 31,    December 31,      March 31,
                                  2013         2012              2012
 Revenues                         $ 147,516    $    133,181   $119,973
 Costs and expenses:
  Operating expenses      63,365       65,574            59,209
  Depreciation and        22,866       22,719            20,999
 amortization
  General and             13,879       12,349            11,126
 administrative expenses
                                  100,110      100,642           91,334
  Gain on sale of assets  -            10                8
  Operating income        47,406       32,549            28,647
 Other income (expense):
  Loss on early           (24,319)     -                 (5,193)
 extinguishment of debt
  Interest income         577          629               553
  Interest expense        (13,722)     (14,898)          (13,932)
  Other income, net^1     (107)        (138)             105
                                  (37,571)     (14,407)          (18,467)
 Income before income taxes       9,835        18,142            10,180
 Income tax expense               3,676        6,847             3,873
 Net income                       $  6,159   $     11,295  $  6,307
 Basic earnings per share of      $   0.17  $            $   0.18
 common stock                                  0.32
 Diluted earnings per share of    $   0.17  $            $   0.18
 common stock                                  0.31
 Weighted average basic shares    35,618       35,413            35,132
 outstanding
 Weighted average diluted shares  36,346       36,129            36,009
 outstanding^2
 Other Operating Data (unaudited):
                                  Three Months Ended
                                  March 31,    December 31,      March 31,
                                  2013         2012              2012
 Offshore Supply Vessels:
  Average number of new       51.0         51.0              51.0
 generation OSVs^3
  Average number of active    50.0         49.6              46.8
 new generation OSVs^4
  Average new generation      128,190      128,190           128,190
 fleet capacity (deadweight)^3
  Average new generation      2,514        2,514             2,514
 vessel capacity (deadweight)
  Average new generation      86.7%        84.0%             81.1%
 utilization rate^5
  Average new generation      $  25,142   $     24,024  $ 22,419
 dayrate^6
  Effective dayrate^7         $  21,798   $     20,180  $ 18,182
 Tugs and Tank Barges:
  Average number of           9.0          9.0               9.0
 double-hulled tank barges^8
  Average double-hulled fleet 884,621      884,621           884,621
 capacity (barrels)^8
  Average double-hulled barge 98,291       98,291            98,291
 size (barrels)
  Average double-hulled       95.7%        99.3%             85.4%
 utilization rate^5
  Average double-hulled       $  19,338   $     17,694  $ 17,271
 dayrate^9
  Effective dayrate^7         $  18,506   $     17,570  $ 14,749
 Balance Sheet Data (unaudited):
                                  As of        As of

                                  March 31,    December 31,
                                  2013         2012
 Cash and cash equivalents        $ 714,274    $    576,678
 Working capital                  513,196      388,004
 Property, plant and equipment,   1,894,473    1,812,110
 net
 Total assets                     2,872,125    2,631,731
 Total short-term debt            257,266      238,907
 Total long-term debt             1,057,392    850,530
 Stockholders' equity             1,171,773    1,165,845
 Cash Flow Data (unaudited):
                                  Three Months Ended
                                  March 31,    March 31,
                                  2013         2012
 Cash provided by operating       $  40,237   $     26,460
 activities
 Cash used in investing           (96,000)     (44,865)
 activities
 Cash provided by financing       193,247      113,791
 activities





 Hornbeck Offshore Services, Inc. and Subsidiaries
 Unaudited Other Financial Data
 (in thousands, except Financial Ratios)
 Other Financial Data (unaudited):
                                Three Months Ended
                                March 31,    December 31,       March 31,
                                2013         2012               2012
 UPSTREAM:
 Vessel revenues                $ 131,437    $    117,636    $ 106,715
 Non-vessel revenues            1,089        995                1,178
 Total revenues                 $ 132,526    $    118,631    $ 107,893
 Operating income               $ 43,879    $     29,727   $ 28,319
 Operating margin               33.1%        25.1%              26.2%
  Components of EBITDA^10
  Net income                   $  4,747   $     10,399   $  7,965
  Interest expense, net        11,871       12,886             12,211
  Income tax expense           2,833        6,304              4,892
  Depreciation                 13,196       13,000             12,960
  Amortization                 6,223        6,383              4,237
  EBITDA^10                    $ 38,870    $     48,972   $ 42,265
  Adjustments to EBITDA
  Loss on early extinguishment $ 24,319    $           $  3,356
 of debt                                     -
  Stock-based compensation     3,004        2,456              2,025
 expense
  Interest income              572          625                546
  Adjusted EBITDA^10           $ 66,765    $     52,053   $ 48,192
 EBITDA^10 Reconciliation to
 GAAP:
  EBITDA^10                    $ 38,870    $     48,972   $ 42,265
  Cash paid for deferred       (5,681)      (11,506)           (7,585)
 drydocking charges
  Cash paid for interest       (12,411)     (8,563)            (12,838)
  Cash paid for taxes          (553)        (368)              (532)
  Changes in working capital   (15,065)     146                (790)
  Stock-based compensation     3,004        2,456              2,025
 expense
  Loss on early extinguishment 24,319       -                  3,356
 of debt
  Changes in other, net        (126)        151                (3)
  Net cash provided by         $ 32,357    $     31,288   $ 25,898
 operating activities
 DOWNSTREAM:
 Revenues                       $ 14,990    $     14,550   $ 12,080
 Operating income               3,527        2,822              328
 Operating margin               23.5%        19.4%              2.7%
  Components of EBITDA^10
  Net income (loss)            $  1,412   $            $  (1,658)
                                             896
  Interest expense, net        1,274        1,383              1,168
  Income tax expense (benefit) 843          543                (1,019)
  Depreciation                 2,114        2,105              2,122
  Amortization                 1,333        1,231              1,680
  EBITDA^10                    $  6,976   $      6,158  $  2,293
  Adjustments to EBITDA
  Loss on early extinguishment $     -  $           $  1,837
 of debt                                     -
  Stock-based compensation     318          271                225
 expense
  Interest income              5            4                  7
  Adjusted EBITDA^10           $  7,299   $      6,433  $  4,362
 EBITDA^10 Reconciliation to
 GAAP:
  EBITDA^10                    $  6,976   $      6,158  $  2,293
  Cash paid for deferred       (1,753)      (272)              (574)
 drydocking charges
  Cash paid for interest       (1,854)      (1,279)            (1,918)
  Cash paid for taxes          -            -                  -
  Changes in working capital   4,208        (550)              (1,334)
  Stock-based compensation     318          271                225
 expense
  Loss on early extinguishment -            -                  1,837
 of debt
  Changes in other, net        (15)         (43)               9
  Net cash provided by         $  7,880   $      4,285  $    538
 operating activities
 CONSOLIDATED:
 Revenues                       $ 147,516    $    133,181    $ 119,973
 Operating income               47,406       32,549             28,647
 Operating margin               32.1%        24.4%              23.9%
  Components of EBITDA^10
  Net income                   $  6,159   $     11,295   $  6,307
  Interest expense, net        13,145       14,269             13,379
  Income tax expense           3,676        6,847              3,873
  Depreciation                 15,310       15,105             15,082
  Amortization                 7,556        7,614              5,917
  EBITDA^10                    $ 45,846    $     55,130   $ 44,558
  Adjustments to EBITDA
  Loss on early extinguishment $ 24,319    $           $  5,193
 of debt                                     -
  Stock-based compensation     3,322        2,727              2,250
 expense
  Interest income              577          629                553
  Adjusted EBITDA^10           $ 74,064    $     58,486   $ 52,554
 EBITDA^10 Reconciliation to
 GAAP:
  EBITDA^10                    $ 45,846    $     55,130   $ 44,558
  Cash paid for deferred       (7,434)      (11,778)           (8,159)
 drydocking charges
  Cash paid for interest       (14,265)     (9,842)            (14,756)
  Cash paid for taxes          (553)        (368)              (532)
  Changes in working capital   (10,857)     (404)              (2,124)
  Stock-based compensation     3,322        2,727              2,250
 expense
  Loss on early extinguishment 24,319       -                  5,193
 of debt
  Changes in other, net        (141)        108                6
  Net cash provided by         $ 40,237    $     35,573   $ 26,436
 operating activities





 Hornbeck Offshore Services, Inc. and Subsidiaries
 Unaudited Other Financial Data
 Capital Expenditures and Drydock Downtime Data (unaudited):
 Historical Data^(11):
                          Three Months Ended
                          March     December   March
                          31,       31,        31,
                          2013      2012       2012
 Drydock Downtime:
 New-Generation OSVs
  Number of vessels
 commencing drydock       2.0       5.0        8.0
 activities
  Commercial downtime    58        122        161
 (in days)
 MPSVs
  Number of vessels
 commencing drydock       -         1.0        1.0
 activities
  Commercial downtime    -         14         5
 (in days)
 Double-Hulled Tank
 Barges
  Number of vessels
 commencing drydock       1.0       -          1.0
 activities
  Commercial downtime    32        -          34
 (in days)
 Tugs
  Number of vessels
 commencing drydock       3.0       -          1.0
 activities
  Commercial downtime    91        -          34
 (in days)
 Maintenance and Other
 Capital Expenditures (in
 thousands):
 Maintenance Capital
 Expenditures:
  Deferred drydocking    $        $      $ 
 charges                  7,434    11,778     8,159
  Other vessel capital   2,615     1,061      5,230
 improvements
                          10,049    12,839     13,389
 Other Capital
 Expenditures:
  200 class OSV retrofit 4,234     45         -
 program
  Commercial-related     65        463        634
 vessel improvements
  Non-vessel related     479       649        501
 capital expenditures
                          4,778     1,157      1,135
                          $         $      $
                          14,827   13,996     14,524
 Growth Capital
 Expenditures (in
 thousands):
 OSV newbuild program #5 $         $      $
                          82,575   87,518     37,016
 Forecasted Data^(11):
                          1Q 2013A  2Q 2013E   3Q 2013E  4Q     2013E  2014E
                                                         2013E
 Drydock Downtime:
 New-Generation OSVs
  Number of vessels
 commencing drydock       2.0       8.0        8.0       3.0    21.0   22.0
 activities
  Commercial downtime    58        234        183       105    580    577
 (in days)
 MPSVs
  Number of vessels
 commencing drydock       -         -          1.0       1.0    2.0    2.0
 activities
  Commercial downtime    -         -          12        69     81     60
 (in days)
 Double-Hulled Tank
 Barges
  Number of vessels
 commencing drydock       1.0       -          2.0       2.0    5.0    3.0
 activities
  Commercial downtime    32        -          33        90     155    105
 (in days)
 Tugs
  Number of vessels
 commencing drydock       3.0       -          -         1.0    4.0    3.0
 activities
  Commercial downtime    91        -          -         31     122    90
 (in days)
 Maintenance and Other
 Capital Expenditures (in
 millions):
 Maintenance Capital
 Expenditures:
  Deferred drydocking    $      $      $       $     $      $
 charges                  7.4         14.0   13.0     17.8  52.2  48.6
  Other vessel capital   2.6       1.7        1.9       3.2    9.4    4.0
 improvements
                          10.0      15.7       14.9      21.0   61.6   52.6
 Other Capital
 Expenditures:
  200 class OSV retrofit 4.2       20.0       13.3      10.3   47.8   -
 program
  Commercial-related     0.1       2.7        8.0       5.6    16.4   4.0
 vessel improvements
  Non-vessel related     0.5       2.3        1.5       0.2    4.5    4.0
 capital expenditures
                          4.8       25.0       22.8      16.1   68.7   8.0
                          $       $      $       $     $      $
                          14.8       40.7   37.7     37.1  130.3  60.6
 Growth Capital
 Expenditures (in
 millions):
  OSV newbuild program   $       $      $        $     $      $
 #5                       82.6      183.5    130.5    109.7  506.3  284.8





 Hornbeck Offshore Services, Inc. and Subsidiaries
 Unaudited Other Fleet and Financial Data
 (in millions, except Average Vessels, Contract Backlog and Tax Rate)
 Forward Guidance of Selected Data (unaudited):
                2Q       2Q 2013E  Full-Year  2Q2013-4Q2013  Full-Year  Full-Year
                2013E              2013E                     2014E      2014E
                Avg      Contract  Avg        Contract       Avg        Contract
                Vessels  Backlog   Vessels    Backlog        Vessels    Backlog
 Fleet Data (as
 of
 1-May-2013):
 Upstream
  New
 generation     26.7     98%       24.1       99%            17.0       84%
 OSVs - Term^12
  New
 generation     22.9     53%       27.0       16%            45.0       0%
 OSVs - Spot^13
  New
 generation     0.7      0%        0.4        0%             -          0%
 OSVs -
 Stacked^14
  New
 generation     50.3     76%       51.5       54%            62.0       24%
 OSVs - Total
  New
 generation     4.0      92%       4.0        77%            4.0        31%
 MPSVs
  Total     54.3               55.5                      66.0
 Upstream
 Downstream
 
 Double-hulled  9.0      86%       9.0        60%            9.0        5%
 tank barges
                2Q 2013E Range   Full-Year 2013E Range
 Cost Data:     Low^15   High^15   Low^15     High^15
  Operating
 Expenses:
         $     $      $      $      
 Upstream        59.0           246.0   256.0
                          62.0
         7.0      9.0       27.0       29.0
 Downstream
         $     $      $      $      
 Consolidated    66.0           273.0   285.0
                          71.0
  General and  $     $      $      $      
 administrative  12.5                   55.0
 expenses                 13.5    53.0
                1Q       2Q 2013E  3Q 2013E   4Q 2013E       2013E      2014E
                2013A
 Other
 Financial
 Data:
  Loss on               $      $                     $      $    
 early          $                 $                    
 extinguishment  24.3     1.5   -             -      25.8        -
 of debt
  Depreciation 15.3     15.4      15.9       16.6           63.2       78.3
  Amortization 7.6      9.2       9.1        10.2           36.1       49.6
  Interest
 expense, net:
  Interest     $     $      $      $        $      $    
 expense         14.2                   14.6                  
                          15.1    15.0                      58.9       55.7
  Incremental
 non-cash OID   5.6      5.6       5.6        3.4            20.2       9.5
 interest
 expense^16
  Capitalized  (6.0)    (7.8)     (9.2)      (8.7)          (31.7)     (24.7)
 interest
  Interest     (0.6)    (0.5)     (0.4)      (0.2)          (1.7)      (0.4)
 income
  Total        $     $      $      $        $      $    
 interest        13.2                    9.1                 
 expense, net             12.4    11.0                      45.7       40.1
  Income tax   37.4%    37.0%     37.0%      37.0%          37.0%      37.0%
 rate
  Cash income  $     $      $      $        $      $    
 taxes            0.6                   0.7                  
                           0.7   0.7                      2.7       6.2
  Cash
 interest       14.3     13.6      12.2       13.4           53.5       51.3
 expense^17
  Weighted
 average        36.3     36.4      36.4       36.4           36.4       36.7
 diluted shares
 outstanding^18



^1  Represents other income and expenses, including equity in income from
      investments and foreign currency transaction gains or losses.
      For the three months ended March 31, 2013 and 2012, the Company had no
      anti-dilutive stock options. For the three months ended December 31,
      2012, stock options representing rights to acquire 67 shares of common
      stock were excluded from the calculation of diluted earnings per share,
      because the effect was anti-dilutive. As of March 31, 2013, December 31,
^2 2012, and March 31, 2012, the 1.625% convertible senior notes were not
      dilutive, as the average price of the Company's stock was less than the
      effective conversion price of $62.59 for such notes. As of March 31,
      2013 and December 31, 2012, the 1.500% convertible senior notes were not
      dilutive, as the average price of the Company's stock was less than the
      effective conversion price of $68.53 for such notes.
      The Company owned 51 new generation OSVs as of March 31, 2013. Excluded
      from this data is one stacked conventional OSV that the Company
^3 considers to be a non-core asset. Also excluded from this data are four
      MPSVs owned and operated by the Company. In April 2013, the Company sold
      one of its six 220 class DP-1 OSVs.
      In response to weak market conditions, the Company elected to stack
      certain of its new generation OSVs on various dates in 2009 and 2010.
      Due to improved market conditions, the Company had reactivated all but
^4  one of its new generation OSVs as of March 31, 2013 and plans to unstack
      such vessel during the second quarter of 2013. Active new generation
      OSVs represent vessels that are immediately available for service during
      each respective period.
^5   Average utilization rates are average rates based on a 365-day year.
      Vessels are considered utilized when they are generating revenues.
      Average new generation OSV dayrates represent average revenue per day,
^6   which includes charter hire, crewing services, and net brokerage
      revenues, based on the number of days during the period that the OSVs
      generated revenues.
^7   Effective dayrate represents the average dayrate multiplied by the
      utilization rate for the respective period.
      The Company owned and operated nine double-hulled tank barges as of
^8   March 31, 2013. Excluded from this data are 14 ocean-going tugs owned by
      the Company, five of which were stacked and marketed for sale as of
      March 31, 2013. Two of such stacked tugs were sold in April 2013.
      Average dayrates represent average revenue per day, including time
      charters, brokerage revenue, revenues generated on a
      per-barrel-transported basis, demurrage, shipdocking and fuel surcharge
^9   revenue, based on the number of days during the period that the tank
      barges generated revenue. For purposes of brokerage arrangements, this
      calculation excludes that portion of revenue that is equal to the cost
      paid by customers of in-chartering third party equipment.
^10  Non-GAAP Financial Measure
      The Company discloses and discusses EBITDA as a non-GAAP financial
      measure in its public releases, including quarterly earnings releases,
      investor conference calls and other filings with the Securities and
      Exchange Commission. The Company defines EBITDA as earnings (net income)
      before interest, income taxes, depreciation and amortization. The
      Company's measure of EBITDA may not be comparable to similarly titled
      measures presented by other companies. Other companies may calculate
      EBITDA differently than the Company, which may limit its usefulness as a
      comparative measure.
      The Company views EBITDA primarily as a liquidity measure and, as such,
      believes that the GAAP financial measure most directly comparable to it
      is cash flows provided by operating activities. Because EBITDA is not a
      measure of financial performance calculated in accordance with GAAP, it
      should not be considered in isolation or as a substitute for operating
      income, net income or loss, cash flows provided by operating, investing
      and financing activities, or other income or cash flow statement data
      prepared in accordance with GAAP.
      EBITDA is widely used by investors and other users of the Company's
      financial statements as a supplemental financial measure that, when
      viewed with GAAP results and the accompanying reconciliations, the
      Company believes provides additional information that is useful to gain
      an understanding of the factors and trends affecting its ability to
      service debt, pay deferred taxes and fund drydocking charges and other
      maintenance capital expenditures. The Company also believes the
      disclosure of EBITDA helps investors meaningfully evaluate and compare
      its cash flow generating capacity from quarter to quarter and year to
      year.

      
      EBITDA is also a financial metric used by management (i) as a
      supplemental internal measure for planning and forecasting overall
      expectations and for evaluating actual results against such
      expectations; (ii) as a significant criteria for annual incentive cash
      bonuses paid to the Company's executive officers and other shore-based
      employees; (iii) to compare to the EBITDA of other companies when
      evaluating potential acquisitions; and (iv) to assess the Company's
      ability to service existing fixed charges and incur additional
      indebtedness.

      
      In addition, the Company also makes certain adjustments, as applicable,
      to EBITDA for losses on early extinguishment of debt, FAS 123R
      stock-based compensation expense and interest income, or Adjusted
      EBITDA, to compute ratios used in certain financial covenants of its
      credit agreements with various lenders and bond investors. The Company
      believes that these ratios are material components of such financial
      covenants and failure to comply with such covenants could result in the
      acceleration of indebtedness or the imposition of restrictions on the
      Company's financial flexibility.

      
      Set forth below are the material limitations associated with using
      EBITDA as a non-GAAP financial measure compared to cash flows provided
      by operating activities.

      
        oEBITDA does not reflect the future capital expenditure requirements
          that may be necessary to replace the Company's existing vessels as a
          result of normal wear and tear,
        oEBITDA does not reflect the interest, future principal payments and
          other financing-related charges necessary to service the debt that
          the Company has incurred in acquiring and constructing its vessels,
        oEBITDA does not reflect the deferred income taxes that the Company
          will eventually have to pay once it is no longer in an overall tax
          net operating loss position, as applicable, and
        oEBITDA does not reflect changes in the Company's net working capital
          position.
      Management compensates for the above-described limitations in using
      EBITDA as a non-GAAP financial measure by only using EBITDA to
      supplement the Company's GAAP results.
^11   The capital expenditure amounts included in this table are cash outlays
      before the allocation of construction period interest, as applicable.
      As of May 1, 2013, the Company's active fleet of 27 new generation OSVs
      that were committed to "term" contracts (time charters of one year or
^12   longer in duration) through the remainder of 2013 was comprised of the
      following fleet mix: eight 200 class OSVs, eighteen 240 class OSVs and
      one 300 class OSV.
      As of May 1, 2013, the Company's active fleet of 22 new generation OSVs
      that were available for "spot" contracts (time charters of less than one
^13   year in duration) or additional "term" contracts was comprised of the
      following fleet mix: eleven 200 class OSVs, seven 240 class OSVs and
      four 265 class OSVs.
      As of May 1, 2013, the Company's inactive fleet was comprised of one
^14   "stacked" 220 class new generation OSV, which is expected to be
      reactivated in the second quarter of 2013.
      The "low" and "high" ends of the guidance ranges set forth in this table
^15   are not intended to cover unexpected variations from currently
      anticipated market conditions. These ranges provide only a reasonable
      deviation from the conditions that are expected to occur.
      Represents incremental non-cash OID interest expense resulting from the
^16  adoption of new accounting standards pertaining to the Company's
      convertible senior notes effective January 1, 2009.
      Due to the change in timing of certain interest payment dates associated
      with the Company's recent senior notes refinancing in March 2013, cash
^17  debt service for fiscal 2013 is expected to be $53.5 million. However,
      commencing in fiscal 2014, the Company expects to incur a full-year
      run-rate of cash debt service in the amount of $51.3 million.
      Projected weighted-average diluted shares do not reflect any potential
      dilution resulting from the Company's 1.625% or 1.500% convertible
^18  senior notes. The Company's 1.625% and 1.500% convertible senior notes
      become dilutive when the average price of the Company's stock exceeds
      the effective conversion price for such notes of $62.59 and $68.53,
      respectively.



SOURCE Hornbeck Offshore Services, Inc.

Website: http://www.hornbeckoffshore.com
 
Press spacebar to pause and continue. Press esc to stop.