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Weatherford Goes Bankrupt After Oil’s Rally Comes Too Late (1)

July 1, 2019, 8:08 PMUpdated: July 1, 2019, 9:02 PM

Weatherford International Plc filed for bankruptcy protection from its creditors, unable to carry a debt load that had topped $8 billion as cost-conscious energy producers cut back on contracts with oilfield services companies.

The Chapter 11 bankruptcy filing in Houston listed assets and debts of $1 billion to $10 billion. It’s the biggest in the energy sector since the 2014 downturn claimed hundreds of its peers. Weatherford previously agreed to give 99% of its equity to unsecured noteholders, with current stockholders almost completely wiped out.

Plans outlined in a June 28 regulatory filing envision cutting Weatherford’s debt to $2.5 billion ...