Hornbeck Offshore Announces Redemption of 1.625% Convertible Senior Notes due 2026

Hornbeck Offshore Announces Redemption of 1.625% Convertible Senior Notes due
                                     2026

PR Newswire

COVINGTON, La., Sept. 16, 2013

COVINGTON, La., Sept. 16, 2013 /PRNewswire/ -- Hornbeck Offshore Services,
Inc. (NYSE: HOS) ("Hornbeck" or "the "Company") announced today that on
September 13, 2013, it issued a notice of redemption for all of its
outstanding 1.625% Convertible Senior Notes due 2026 (the "Notes") pursuant to
that certain Indenture dated as of November 13, 2006 (the "Indenture") among
the Company, the guarantors set forth therein and Wells Fargo Bank, National
Association, as Trustee. The Company has elected to redeem the Notes on
November 15, 2013 (the "Redemption Date") at a redemption price of 100% of the
principal amount thereof and accrued and unpaid interest to, but excluding,
the Redemption Date. There are currently $250,000,000 in aggregate principal
amount of Notes outstanding.

Holders may convert the Notes at any time prior to the close of business on
November 12, 2013, at a conversion rate of 20.6260 shares of the Company's
common stock per $1,000 principal amount of Notes with a related Observation
Period (as defined in the Indenture) of October 8, 2013 through November 11,
2013. Holders who want to convert Notes must satisfy the requirements set
forth in paragraph 5 of the Notes. In the event that holders elect to convert
their Notes in connection with the redemption, the Company will satisfy its
conversion obligations to holders by paying cash equal to the principal amount
of the Notes and delivering shares of common stock in settlement of any and
all conversion obligations in excess of the principal amount (provided that
the Company will pay cash in lieu of issuing fractional shares). If holders
elect to convert their Notes, the counterparties to the previously disclosed
convertible note hedge transactions entered into in 2006 concurrently with the
execution of the Indenture and the issuance of the Notes are contractually
obligated to deliver common stock to the Company that will reduce or prevent
equity dilution that would otherwise result from the conversion.

The Company's notice to holders specifying the terms, conditions and
procedures for the redemption and/or conversion is available through The
Depository Trust Company and the Trustee, Wells Fargo Bank, National
Association.

Wells Fargo Bank, National Association, in their capacity as either paying
agent for the redemption or conversion agent, can be contacted at one of the
following addresses, as applicable:

By Registered and      By Overnight Courier or       By Hand Delivery
Certified Mail         Regular Mail:
Wells Fargo Bank, N.A. Wells Fargo Bank, N.A.        Wells Fargo Bank, N.A.
Corporate Trust        Corporate Trust Operations    Corporate Trust Services
Operations
MAC N9303-121          MAC N9303-121                 608 2^nd Avenue South
P.O. Box 1517          6^th & Marquette Avenue       Northstar East Building -
                                                     12^th Floor
Minneapolis, MN 55480  Minneapolis, MN 55479         Minneapolis, MN 55402
Attention: Reorg.      Attention: Reorg             Attention: Reorg

This press release is for informational purposes only and does not constitute
a notice of redemption of the Notes.

Hornbeck Offshore Services, Inc. is a leading provider of technologically
advanced, new generation offshore supply vessels primarily in the U.S. Gulf of
Mexico and Latin America. Hornbeck Offshore currently owns a fleet of 58
vessels primarily serving the energy industry and has 23 additional high-spec
Upstream vessels under construction for delivery on various dates through
2016.

Forward-Looking Statements

This news release contains forward-looking statements, including, in
particular, statements about the Company's plans and intentions with regard to
the redemption and/or conversion of the Notes. These have been based on the
Company's current assumptions, expectations and projections about future
events. Although the Company believes that the expectations reflected in
these forward-looking statements are reasonable, the Company can give no
assurance that the expectations will prove to be correct.

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

SOURCE Hornbeck Offshore Services, Inc.

Website: http://www.hornbeckoffshore.com
 
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