Rowan Companies plc (NYSE: RDC) has amended its revolving credit agreement to extend the maturity date by one year to Jan. 23, 2021, from Jan. 23, 2020.
Availability under the facility is $1.5 billion through Jan. 23, 2019, declining to $1.44 billion through Jan. 23, 2020, and to approximately $1.29 billion through the maturity in 2021. The facility is undrawn as of Jan. 27. Additionally, during the fourth quarter of 2015, the company retired approximately $98 million of outstanding senior notes which would have come due over the next four years, eliminating over $21 million of interest over this same time period.
Rowan also announced that its board of directors has eliminated the quarterly cash dividend of $0.10 per Class A ordinary share effective immediately, providing the company with additional liquidity of $50 million annually.
Rowan is a global provider of contract drilling services with a fleet of 31 mobile offshore drilling units, composed of 27 jackup rigs and four ultra-deepwater drillships.