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Paragon Bankruptcy Plan Modified

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The U.S. Bankruptcy Court issued an order (i) authorizing modification of Paragon Offshore’s Fifth Joint Plan of Reorganization and (ii) determining that further disclosure and resolicitation of votes are not required. The U.S. Bankruptcy Court confirmed the Plan on June 7, 2017.

The order states, “Having found and determined that the relief requested in the Motion is in the best interests of the Debtors and their estates and creditors; and after due deliberation and sufficient cause appearing therefore….The Motion is granted herein. The Debtors are not required to provide further disclosure in respect of the Modifications of the Plan and the Plan Documents or to resolicit the votes of any creditors….The Confirmation Order confirming the Plan shall apply to the Plan as modified by this Order.”

The modification notes, “The definition of Corporate Restructuring in section 1.1 of the Plan shall be revised to read as follows: “Corporate Restructuring means the reorganization of the Paragon Entities’ corporate structure in accordance with the Plan and the U.K. Implementation Agreement and the through which: (i) certain assets of the Liquidating Subsidiaries will be transferred to certain Subsidiaries and/ or Reorganized Paragon; (ii) the Transferred Subsidiaries will be directly or indirectly transferred to Reorganized Paragon; and (iii) the Liquidating Subsidiaries will remain as direct or indirect subsidiaries of Paragon Parent, to be implemented on or prior to the Effective Date, or, with respect to Prospector Offshore Drilling S.a.r.l. and its direct subsidiaries, as soon as practicable thereafter.”

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