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    GulfMark "decides not to pay" interest due on notes

    Company News // March 16, 2017

    The board of directors of GulfMark Offshore says it has "decided not to pay" on its due date the US$13.7 million interest payment due 15 March 2017 on the company’s 6.375% senior notes due 2022 and, as provided for in the indenture governing the Senior Notes, to enter into the 30-day grace period to make such payment.

    Shares in Gulfmark Offshore fell by nearly 40 per cent after the announcement.

    Failure to pay this amount on 15 March constitutes an event of default under the indenture governing the Senior Notes if the payment is not made within 30 days of such date, which would result in a cross-default under the senior secured, revolving multicurrency credit facility among GulfMark Americas, as the borrower, the company, as guarantor, a group of financial institutions as the lenders and The Royal Bank of Scotland plc, as agent for the lenders, and the senior secured revolving credit facility among the company, as guarantor, GulfMark Rederi AS, as the borrower, and DNB Bank ASA, a Norwegian bank, as lead arranger and lender.

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