Energy contractor McDermott International on Tuesday announced that it has successfully completed its restructuring process, ConstructionDive.com reported. U.S. Bankruptcy Judge David Jones signed an order releasing the Houston-based engineering and construction firm from chapter 11 reorganization. The comprehensive balance sheet restructuring eliminates nearly all of McDermott's $4.6 billion of funded debt and allows the company to emerge with $2.4 billion credit capacity and $544 million of funded debt. In March, Judge Jones approved the reorganization plan that also includes the sale of the company's Lummus Technology group to a joint partnership between Haldia Petrochemicals and Rhône Capital. Proceeds from the sale will repay the debtor-in-possession financing in full, as well as fund emergence costs and provide cash to the balance sheet for long-term liquidity. Under the reorganization, which had the support of two-thirds of the firm's creditors, the company's suppliers are to be paid in full and operations have continued “in normal course,” according to McDermott.
