Rex Energy Gets 1 Extra Wk to Pay Defaulted IOU, Files Annual Report

Two weeks ago Rex Energy filed a notice with the Securities and Exchange Commission to alert shareholders that the company has defaulted on an interest payment due on senior notes (see Rex Energy Defaults on IOUs, Can’t File Annual Report on Time). Rex said in the filing that the noteholders to whom payment is due (Angelo, Gordon & Co.) signed a temporary “forbearance” agreement that gives Rex a little breathing room–until April 16 to pay up. Angelo, Gordon & Co. promised not to take any action until that date. In a second filing two weeks ago, Rex said they would not be able to file their annual 2017 report on time. We have updates on both filings. First, Rex has still not made the interest payment and still has not negotiated a new agreement with Angelo, Gordon & Co. However, yesterday Angelo signed a new, second forebearance agreement giving Rex one more week–until April 23–to either pay or agree to a new deal. The clock is ticking. Meanwhile, last Friday Rex filed it’s annual report for 2017. Among the revelations in the report: Rex plans to spend $78-$83 million on drilling this year, down from spending $133 million last year…

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