Trico Marine Services delays May 15 senior notes payment, working on restructuring

By Jeff Pines

Washington, May 10 - Trico Marine Services, Inc. said it is delaying the $11.1 million May 15 interest payment due on its $250 million of 8 7/8% senior notes due 2012.

In a Monday filing with the Securities and Exchange Commission, the company said it has the money to make the payment, but will use the 30-day grace period to consider its restructuring options. No decisions have been made as yet on whether it will make the payment before the grace period expires.

If the grace period expires, the notes and the company's 2004 term loan would become due. According to the filing, for the quarter ended March 31, $55 million was outstanding on the term loan. The loan bears interest at Libor or 200 basis points, whichever is higher plus 600 basis points.

Trico Marine has been holding discussions with an ad hoc noteholders' committee. The members hold at least 80% of the Houma, La. and Houston-based marine services firm's notes.

In April, the company said it had retained Lazard Freres & Co. LLC and Kirkland & Ellis LLP as its advisors.

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