HOUSTON, March 31 /PRNewswire-FirstCall/ -- Pride International, Inc. announced today that it has obtained a waiver until June 30, 2006 from the lenders under its senior secured revolving credit facility related to the late filing of its 2005 annual report on Form 10-K. The Company had previously filed with the Securities and Exchange Commission for a 15-day extension period related to the filing of its annual report, which expires today.
As previously announced, during the course of Pride's internal audit and investigation relating to certain of its Latin American operations, Pride's management and internal audit department received allegations relating to improper payments to foreign government officials going back a number of years. The Audit Committee of the Board of Directors has assumed direct responsibility over the investigation of the allegations, as well as of various accounting entries and internal control issues. Pride has voluntarily apprised the U.S. Securities and Exchange Commission and the Department of Justice of the allegations. In light of the status of the Audit Committee's ongoing investigation, the Company has concluded that it cannot file its 2005 annual report until additional information is obtained, including information necessary for the Company to complete its assessment of its system of internal controls and the accuracy of its books and records. Although the Audit Committee's investigation is being pursued aggressively, the Company cannot currently determine when it will be in a position to file its Form 10-K.
Separately, the Company announced that it completed the sale transaction of the accommodation unit Pride Rotterdam and received cash proceeds of $53.3 million.
Pride International, Inc., headquartered in Houston, Texas, is one of the world's largest drilling contractors. The Company provides onshore and offshore drilling and related services in more than 30 countries, operating a diverse fleet of 279 rigs, including two ultra-deepwater drillships, 12 semisubmersible rigs, 28 jackup rigs, and 18 tender-assisted, barge and platform rigs, as well as 219 land rigs.
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