Replies to post #1783 on McDermott International Inc. (MCDIF)

[trader59]

No, that is absolutely false. The bankruptcy plan is approved, it says right in it that the common stock will be cancelled.

Once again, here's an article that describes the plan. It was updated on March 13, saying this:

UPDATE: March 13, 2020: Judge David R. Jones confirmed McDermott International's reorganization plan yesterday in the U.S. Bankruptcy Court for the Southern District of Texas in Houston. He also approved the $2.725 billion sale of McDermott's Lummus Technology group to a joint partnership between the Chatterjee Group and Rhône Capital.

The restructuring will allow the company to emerge with more cash on hand than debt, eliminating more than $4.6 billion of debt. McDermott President and CEO David Dickson said in a statement that the confirmation will allow the company to emerge "as a stronger, more competitive player, with a sustainable capital structure that matches the strength of our operating business."

The shareholders objected to the plan, of course, but were overruled.

The proposal has drawn objections from some shareholders, who have argued that it is unfair and imbalanced toward McDermott management, officers and directors. The shareholders, whose interests will be wiped out under the proposed plan, have argued that the proposal provides McDermott’s management with 7.5% of newly issued equity in the restructured company, while leaving the equity shareholders with nothing.

In addition, the Securities and Exchange Commission has lodged a limited objection, due to provisions that would release various third parties from liability, including current and former McDermott officers, directors, principals, employees and current and former equity holders.

Read it yourself, don't let anybody on Twitter tell you there's any hope of this stock surviving:

https://www.constructiondive.com/news/judge-approves-mcdermott-reorganization-27b-sale-of-lummus-technology/573907/