Deep Down Announces Loose-Tube Steel Flying Lead Contract Friday July 13, 11:26 am ET
HOUSTON, July 13 /PRNewswire-FirstCall/ -- Deep Down, Inc. (OTC Bulletin Board: DPDW - News) today announced it has been awarded a contract to supply loose-tube steel flying leads and compliant Morays(TM) to a customer for their subsea field development project in the Green Canyon area of the Gulf of Mexico. This is a fast-track project, and all hardware must be delivered before the end of the year. ADVERTISEMENT
The scope of work includes refurbishment of existing steel flying leads and construction of new loose-tube steel flying leads. Deep Down will supply its proprietary, field-proven, loose-tube steel flying leads using seam-welded super-duplex tubing for the hydraulic and chemical injection conduits involved in subsea well control. Deep Down will also be furnishing its compliant infield umbilical termination assemblies (Morays(TM)), specially designed for easier deployment and installation.
"We are pleased that our customer has chosen our proven deepwater well support products for its subsea field development project," commented Ron Smith, Deep Down's chief executive officer. "This is yet another prime example of Deep Down's innovative technology being used as the preferred solution for critical subsea oilfield development and production.
"Deep down remains committed to innovation in the delivery of subsea oil & gas and marine products and services to meet the increasing demand of the offshore energy industry," Smith concluded.
About Deep Down, Inc.
Deep Down specializes in the provision of innovative solutions, installation management, engineering services, support services, custom fabrication, and storage management services for the offshore subsea control, umbilical, and pipeline industries. The company fabricates component parts of subsea distribution systems and assemblies that specialize in the development of subsea fields and tie backs. These items include umbilicals, flow lines, distribution systems, pipeline terminations, controls, winches, and launch and retrieval systems, among others. Deep Down provides these services from the initial field conception phase, through manufacturing, site integration testing, installation, topside connections, and the final commissioning of a project. The Company's ElectroWave subsidiary offers products and services in the fields of electronic monitoring and control systems for the energy, military, and commercial business sectors. ElectroWave designs, manufactures, installs, and commissions integrated PLC and SCADA based instrumentation and control systems, including ballast control and monitoring, drilling instrumentation, vessel management systems, marine advisory systems, machinery plant control and monitoring systems, and closed circuit television systems.
The Company's strategy is to consolidate service providers to the offshore industry, as well as designers and manufacturers of subsea, surface, and offshore rig equipment used by major, independent, and foreign national oil and gas companies in deep-water exploration and production of oil and gas throughout the world. Deep Down's customers include BP Petroleum, Royal Dutch Shell, Exxon Mobil Corporation, Devon Energy Corporation, Chevron Corporation, Anadarko Petroleum Corporation, Marathon Oil Corporation, Kerr-McGee Corporation, Nexen Inc., BHP, Amerada Hess, Helix, Oceaneering International, Inc., Subsea 7, Inc., Transocean Offshore, Diamond Offshore, Marinette Marine Corporation, Acergy, Veolia Environmental Services, Noble Energy Inc., Aker Kvaerner, Cameron, Oil States, Dril-Quip, Inc., Nexans, Cabett, JDR, and Duco, among others. For further company information, please visit www.deepdowninc.com and www.electrowaveusa.com.
One of our most important responsibilities is to communicate with shareholders in an open and direct manner. Comments are based on current management expectations, and are considered "forward-looking statements," generally preceded by words such as "plans," "expects," "believes," "anticipates," or "intends." We cannot promise future returns. Our statements reflect our best judgment at the time they are issued, and we disclaim any obligation to update or alter forward-looking statements as the result of new information or future events. Deep Down urges investors to review the risks and uncertainties contained within its filings with the Securities and Exchange Commission.
-------------------------------------------------------------------------------- Source: Deep Down, Inc.
quote:Originally posted by Bazooka: God it takes a mack truck to move this thing.
Bazooka...i've been in this since .20 Really it upticks on nothing. Right now it is in consolidation mode. In other words, it is setting up for it's next move. IMO
Remember this only has a 6 mill float and management filed with the SEC that will not dilute a single share for one year.
posted
This guy is now trading at the lowest levels it has in the past several weeks (on no news). Given that this was a hurricane play from the beginning and the fact that hurricane season doesn't really get rolling until August / September, this recent pullback seems to be a good opportunity to double down. The Bollingers also indicate that an upward move probably isn't far away. Any thoughts folks?
quote:Originally posted by ctr8604: This guy is now trading at the lowest levels it has in the past several weeks (on no news). Given that this was a hurricane play from the beginning and the fact that hurricane season doesn't really get rolling until August / September, this recent pullback seems to be a good opportunity to double down. The Bollingers also indicate that an upward move probably isn't far away. Any thoughts folks?
posted
This pullback is a great opportunity to add to one's position. This pullback is due, IMHO, to flippers cashing out, impatients moving on to more volatile plays, and Market makers looking to load up on cheapies by walking down the price. I plan on using MCCY profits to add to my position.
HOUSTON, Aug. 14 /PRNewswire-FirstCall/ -- Deep Down, Inc. (OTC Bulletin Board: DPDW - News) today announced that it has redeemed 4,000 shares ($4,000,000 aggregate face value) of Series E Redeemable Exchangeable Preferred Stock for $2,000,000. ADVERTISEMENT
The Preferred Stock had a face value and liquidation preference of $1,000 per share, no dividend preference, and was exchangeable at the holder's option after June 30, 2007, into 6% subordinated notes due three years from the date of exchange. The Company has paid the holder $1,400,000 in cash for 2,800 shares ($2,800,000 aggregate face value) of Preferred Stock and agreed to pay 30 equal monthly installments of $20,000, or a total of $600,000, for the remaining 1,200 shares ($1,200,000 aggregate face value) of Preferred Stock.
"With this Preferred Stock transaction, we have reduced indebtedness by $3,400,000 with the use of $1,400,000 in cash today and a monthly installment plan that aggregates to $600,000 in cash over 30 months. We believe the use of 12.5% current coupon, 3% PIK debt to retire a $4,000,000 obligation at 50% of its face value (or $2,000,000) is an excellent use of funds," commented Robert E. Chamberlain, Jr., Deep Down's chairman.
"If you credit the $2,000,000 in savings from the redemption of the Preferred Stock against total expected interest costs of approximately $3,476,098 over the life of our $6,000,000 financing from Prospect Capital Corporation, our net effective cash cost of the borrowing from Prospect is reduced significantly. This use of proceeds was contemplated in our recent financing and further reinforces our commitment to strengthening our balance sheet, improving liquidity, and enhancing shareholder value."
About Deep Down, Inc.
Deep Down specializes in the provision of innovative solutions, installation management, engineering services, support services, custom fabrication, and storage management services for the offshore subsea control, umbilical, and pipeline industries. The company fabricates component parts of subsea distribution systems and assemblies that specialize in the development of subsea fields and tie backs. These items include umbilicals, flow lines, distribution systems, pipeline terminations, controls, winches, and launch and retrieval systems, among others. Deep Down provides these services from the initial field conception phase, through manufacturing, site integration testing, installation, topside connections, and the final commissioning of a project. The Company's ElectroWave subsidiary offers products and services in the fields of electronic monitoring and control systems for the energy, military, and commercial business sectors. ElectroWave designs, manufactures, installs, and commissions integrated PLC and SCADA based instrumentation and control systems, including ballast control and monitoring, drilling instrumentation, vessel management systems, marine advisory systems, machinery plant control and monitoring systems, and closed circuit television systems.
The Company's strategy is to consolidate service providers to the offshore industry, as well as designers and manufacturers of subsea, surface, and offshore rig equipment used by major, independent, and foreign national oil and gas companies in deep-water exploration and production of oil and gas throughout the world. Deep Down's customers include BP Petroleum, Royal Dutch Shell, Exxon Mobil Corporation, Devon Energy Corporation, Chevron Corporation, Anadarko Petroleum Corporation, Marathon Oil Corporation, Kerr-McGee Corporation, Nexen Inc., BHP, Amerada Hess, Helix, Oceaneering International, Inc., Subsea 7, Inc., Transocean Offshore, Diamond Offshore, Marinette Marine Corporation, Acergy, Veolia Environmental Services, Noble Energy Inc., Aker Kvaerner, Cameron, Oil States, Dril-Quip, Inc., Nexans, Cabett, JDR, and Duco, among others. For further company information, please visit http://www.deepdowninc.com and http://www.electrowaveusa.com.
One of our most important responsibilities is to communicate with shareholders in an open and direct manner. Comments are based on current management expectations, and are considered "forward-looking statements," generally preceded by words such as "plans," "expects," "believes," "anticipates," or "intends." We cannot promise future returns. Our statements reflect our best judgment at the time they are issued, and we disclaim any obligation to update or alter forward-looking statements as the result of new information or future events. Deep Down urges investors to review the risks and uncertainties contained within its filings with the Securities and Exchange Commission.
-------------------------------------------------------------------------------- Source: Deep Down, Inc.
SECTION 6.05. Obligations of Shareholder. Shareholder, on behalf of new management of MediQuip, unconditionally agree: (i) to refrain from the issuance of any securities pursuant to a registration statement on Form S-8 for a period of 12 months from and after the Effective Time (ii) not to change the number of issued or outstanding shares of capital stock of MediQuip by a stock split, stock dividend, combination, reclassification, reverse stock split, combination or reclassification of shares or other similar event for a period of 12 months from and after the Effective Time, and except as a condition to a listing of common stock on a national exchange, in which event the limitation period will be 6 months (iii) not to issue any equity securities to any person, firm or corporation for any purpose whatsoever for consideration less than the fair market value applicable to the nature of the transaction of such securities, and (iv) not to file a registration statement with the Securities and Exchange Commission on Form SB-2 or other similar form covering secondary offering of and class of equity securities prior to the expiration of 6 months from and after the Effective Time.
IP: Logged |
posted
Deep Down Second Quarter Revenue Up 145% Over First Quarter Tuesday August 21, 8:33 am ET
HOUSTON, Aug. 21 /PRNewswire-FirstCall/ -- Deep Down, Inc. (OTC Bulletin Board: DPDW - News) today announced unaudited results for the second quarter ended June 30, 2007, on Form 10-QSB filed with the U.S. Securities and Exchange Commission.
ADVERTISEMENT Deep Down generated revenue of $7,243,182 for the six months ended June 30, 2007, with cost-of-sales of $4,545,402, for a gross profit of $2,697,780, or 37.3%. Revenues for the second quarter ended June 30, 2007, were $5,144,788, up 145% from $2,098,394 in revenue reported for the three months ended March 31, 2007. Gross profit for the second quarter ended June 30, 2007, was $1,851,475, or 36.0% of revenue, up from $846,305 in gross profit, or 40.3% of revenue, reported for the three months ended March 31, 2007. The increase in revenue resulted from the inclusion of ElectroWave revenue of approximately $950,000 during the second quarter, combined with significantly increased activity from our offshore subsea business.
"We are pleased to announce our second quarter financial results, a record quarter for Deep Down, and the first filing to reflect the contribution of our newly acquired ElectroWave division," commented Ron Smith, Deep Down's chief executive officer. "As you can see from the results of our strongest quarter ever, growth within the offshore oil and gas industry and our reputation for deep water innovation are 'fueling' organic growth through robust sales, while our acquisition strategy has now begun to also add significantly to revenues, which we believe are important indicators of a sound business strategy."
Eugene Butler, Deep Down's chief financial officer, added "Excluding ElectroWave revenue, our core business was still up over 100% with revenue of approximately $4,194,788 for the three months ended June 30, 2007, compared to $2,098,394 for the three months ended March 31, 2007. Our current backlog alone exceeds last year's revenue, and we expect continued growth from ElectroWave going forward."
Operating income for the second quarter ended June 30, 2007, was $673,599, up 449% from $122,629 in operating income reported for the three months ended March 31, 2007. Income from continuing operations for the three months ending June 30, 2007, was $1,396,829, as compared to a loss of $109,258 for the three months ended March 31, 2007. Net income for the three months ended June 30, 2007, totaled $949,466, net of tax expense of $447,363.
Included in net income is a one-time gain of $2,000,000 related to the extinguishment of debt, and non-cash interest expense of $1,102,385, or a net gain of $897,615, associated with the 4,000 shares of Series E preferred stock that was redeemed at a 50% discount to face value. Excluding this one-time gain, earnings before depreciation, interest, amortization, taxes and other non-cash charges (EBITDA) for the three months ended June 30, 2007, was $803,360, up 330% from $186,654 for the three months ended March 31, 2007.
"We are very pleased with the current scope and pace of business activity in our core subsea competencies. Anticipated acquisitions are expected to accelerate and expand that activity as we continue to pursue the implementation of our growth plan," concluded Robert E. Chamberlain, Jr., Deep Down's Chairman.
About Deep Down, Inc.
Deep Down specializes in the provision of innovative solutions, installation management, engineering services, support services, custom fabrication and storage management services for the offshore subsea control, umbilical, and pipeline industries. The company fabricates component parts of subsea distribution systems and assemblies that specialize in the development of subsea fields and tie backs. These items include umbilicals, flow lines, distribution systems, pipeline terminations, controls, winches, and launch and retrieval systems, among others. Deep Down provides these services from the initial field conception phase, through manufacturing, site integration testing, installation, topside connections, and the final commissioning of a project. The Company's ElectroWave subsidiary offers products and services in the fields of electronic monitoring and control systems for the energy, military, and commercial business sectors. ElectroWave designs, manufactures, installs, and commissions integrated PLC and SCADA based instrumentation and control systems, including ballast control and monitoring, drilling instrumentation, vessel management systems, marine advisory systems, machinery plant control and monitoring systems, and closed circuit television systems.
The Company's strategy is to consolidate service providers to the offshore industry, as well as designers and manufacturers of subsea, surface, and offshore rig equipment used by major, independent, and foreign national oil and gas companies in deep-water exploration and production of oil and gas throughout the world. Deep Down's customers include BP Petroleum, Royal Dutch Shell, Exxon Mobil Corporation, Devon Energy Corporation, Chevron Corporation, Anadarko Petroleum Corporation, Marathon Oil Corporation, Kerr-McGee Corporation, Nexen Inc., BHP, Amerada Hess, Helix, Oceaneering International, Inc., Subsea 7, Inc., Transocean Offshore, Diamond Offshore, Marinette Marine Corporation, Acergy, Veolia Environmental Services, Noble Energy Inc., Aker Kvaerner, Cameron, Oil States, Dril-Quip, Inc., Nexans, Cabett, JDR, and Duco, among others. For further company information, please visit http://www.deepdowninc.com and http://www.electrowaveusa.com
One of our most important responsibilities is to communicate with shareholders in an open and direct manner. Comments are based on current management expectations, and are considered "forward-looking statements," generally preceded by words such as "plans," "expects," "believes," "anticipates," or "intends." We cannot promise future returns. Our statements reflect our best judgment at the time they are issued, and we disclaim any obligation to update or alter forward-looking statements as the result of new information or future events. Deep Down urges investors to review the risks and uncertainties contained within its filings with the Securities and Exchange Commission.
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