JACKSON — Oil rig repairer Signal International of Mobile, Alabama, is filing for Chapter 11 bankruptcy protection. The company blames a downturn in oil exploration, combined with millions it could owe to Indian guest workers suing the company.
The Retirement Systems of Alabama, a public pension system that already owned a minority of the company and was a lender, has agreed to buy the company and lend it money while in bankruptcy. Signal says it has agreed to settle the Indian workers’ claims for $20 million as part of the bankruptcy.
Signal says it will keep operating shipyards in Mobile and Pascagoula, Mississippi, with about 300 employees.
In court papers filed Sunday in Delaware, Signal says it has more than $100 million in debts, but less than $50 million in assets.
BEFORE YOU GO…
… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.
If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.Click for more info