Oklahoma City oil and gas company SandRidge Energy filed for bankruptcy protection today, the latest in a string of energy firms forced to reorganize as the oil slump drags on.
Under a prearranged restructuring plan endorsed by a majority of its lenders and bondholders, SandRidge will swap $3.7 billion for stock in the reorganized company. The company says it has enough cash flow to stay open during the Chapter 11 case.
SandRidge is asking a U.S. Bankruptcy Court in Houston to allow it to keep paying operating expenses like vendors, suppliers, royalties and worker wages during the bankruptcy. The company laid off more than 400 workers this year and now has about 700 employees.
