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Chaparral Energy Plan Filed

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Chaparral Energy filed with the U.S. Bankruptcy Court a Joint Plan of Reorganization and related Disclosure Statement.

According to the Disclosure Statement, “The Plan contemplates certain transactions, including, without limitation, the following transactions with respect to Holders of Allowed Prepetition Credit Agreement Claims, (i) the Prepetition Credit Agreement will be deemed amended and restated in its entirety by the Exit Facility Credit Agreement, which is a four-year credit facility consisting of a $225 million first-out revolving loan and a $150 million second-out term loan, (ii) the Waived Postpetition Default Interest will be deemed released and waived for all purposes, and (iii) each Holder of an Allowed Prepetition Credit Agreement Claim will receive either (a) its Pro Rata share of (1) the Exit Facility Loans and (2) to the extent the outstanding Prepetition Credit Agreement Claims (excluding the Waived Postpetition Default Interest) exceed the Exit Facility Loans, cash sufficient to satisfy such excess, or (b) such other treatment as may be mutually agreed among the Debtors, the Required Consenting Noteholders, and the Consenting Prepetition Lenders holding at least 66 2/3% in principal amount of the Prepetition Credit Agreement Claims and that constitute at least half in number of the Prepetition Lenders; …each Holder of an Allowed Old Parent Interest will not receive any recovery under the Plan on account of such Equity Interest.”

The Court scheduled a January 24, 2017 hearing to consider the Disclosure Statement, with objections due by January 17, 2017.

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