ION Begins Voluntary Chapter 11 Process with Lender Support and DIP Funding

ION Geophysical Corporation

HOUSTON, April 12, 2022 (GLOBE NEWSWIRE) — ION Geophysical Corporation (NYSE: IO) and certain affiliates (“ION” or the “Company”) today announced that after evaluating various strategic alternatives, they have filed for Chapter 11 relief in the United States Bankruptcy Court for the Southern District of Texas, Division of Houston (the “Bankruptcy Court”) as it explores a value-maximizing transaction that will enhance the company’s balance sheet and will position ION for sustainable future success. In connection with the Chapter 11 filing, ION has entered into a Restructuring Support Agreement (the “RSA”) with the lenders under its credit agreement and the holders of approximately 80% of its 2025 Notes, in which the parties have agreed to support the company’s Chapter 11 plan. of reorganization (the “Plan”).

The Company and the consenting creditors who are parties to the RSA have agreed to the terms of a full restructuring, including the plan based on (i) a debt-for-equity swap associated with the potential sale of certain assets to one or more third parties or (ii) a sale of substantially all of its assets. Under the terms of the RSA, ION will continue its ongoing solicitation of interests from third parties in potential sale transactions involving the company, designed to maximize the value of the company’s assets through an open and transparent process that allows interested buyers to submit bids for the assets.

The Company has also secured $2.5 million in debtor-in-possession financing which, along with normal operating cash flow, is expected to support operations during the process. Therefore, ION expects to continue to provide excellent quality of service with little or no disruption expected for customers.

The company has filed a number of customary petitions with the bankruptcy court seeking permission to continue operations in the ordinary course, including, but not limited to, payment of employees and continuation of education programs. existing benefits without interruption and meeting future commitments to customers, suppliers, employees and other stakeholders. These motions are typical of the Chapter 11 process and ION anticipates that they will be heard and approved in the early days of the Chapter 11 case.

Additional information about ION’s Chapter 11 case is available at https://dm.epiq11.com/IONGeo or by calling ION’s claims agent at (855) 604-1746 (toll-free in the States United States or Canada) or (503) 597-7702 (for parties outside the United States) or by emailing: [email protected] Please also refer to the Company’s Form 8-K which will be filed with the SEC.

ION is advised in this matter by Winston & Strawn, LLP, Perella Weinberg Partners LP (as well as its corporate advisory subsidiaries, including Tudor Pickering Holt & Co.) and FTI Consulting, Inc.

About ION

Leveraging innovative technologies, ION delivers powerful data-driven decision making to the offshore energy and marine operations markets, enabling customers to optimize investments and results through access to our separate data, software and analytics. Learn more at iongeo.com.

The information contained herein contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements may include information and other statements that are not historical facts. Actual results may differ materially from those described in these forward-looking statements. All forward-looking statements reflect numerous assumptions and involve a number of risks and uncertainties. These risks and uncertainties include the ability of the Company to complete the Restructuring Transactions; the Company’s ability to obtain bankruptcy court approval with respect to motions or other applications brought in the bankruptcy court; the Company’s ability to confirm and execute the Plan; the Company’s ability to meet the milestones set out in the restructuring support agreement; the effects of Chapter 11 events on the Company’s liquidity or results of operations or business prospects; the effects of Chapter 11 cases on the company’s business and the interests of various constituents; the length of time the Company will operate under Chapter 11 protection; risks associated with third-party claims in Chapter 11 cases; increased levels of employee attrition during Chapter 11 cases; risks associated with the timing and development of ION Geophysical Corporation’s products and services; price pressure; declining demand; changes in oil prices; agreements entered into or adhered to by members of OPEC and other oil producing countries to maintain production levels; the COVID-19 pandemic; the ultimate benefits of our completed restructuring transactions; political, execution, regulatory and currency risks; the outcome or changes, if any, of our consideration of various strategic alternatives; and the impact on our liquidity in the current uncertain macroeconomic environment, including the war in Ukraine. For more information regarding these various risks and uncertainties, see our Form 10-K for the fiscal year ended December 31, 2020, filed February 12, 2021, and our Forms 10-Q for the quarters ended March 31, 2021, June 30, 2021 and September 30, 2021, filed on May 6, 2021, August 12, 2021 and November 3, 2021, respectively. Additional risk factors, which could affect actual results, are disclosed by the Company in its filings with the Securities and Exchange Commission (SEC), including its Forms 10-K, Forms 10-Q and Forms 8-K filed during the year. The Company expressly disclaims any obligation to revise or update any forward-looking statements.

CONTACT: Contacts ION (Investor relations) Executive Vice President and Chief Financial Officer Mike Morrison, +1 281.933.3339 [email protected] Vice President, Investor Relations Sharon Wang-Stockton, +1 281.933.3339 [email protected]

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