SEITEL, PARADIGM GEOPHYSICAL MOVE TO IMPROVE FINANCIAL STRUCTURES

Abstract

Seitel Inc. (NYSE: SEI) privately placed three series of $82 million of senior unsecured notes with institutional investors last week. The funding, with an average interest rate of 7.21 percent, was part of a $107 million private placement of senior debt by the Houston geophysical services supplier. It expects to complete a similar financing for $25 million by the end of the year. Specifically, Seitel placed $20 million of 7.04 percent debt that will mature on Oct. 15, 2006; $50 million of 7.19 percent debt that will mature on Oct. 15, 2008, and $37 million of 7.34 percent debt that will mature on Oct. 15, 2011. Interest will be due on the notes twice annually prior to maturity.