Energy XXI Notes Financial Status, Cash Flow Strategy

Energy XXI noted that as of Dec. 1, 2008, total debt, net of $112 million of cash on hand, was $803 million, reflecting in part the repurchase of $126 million of the company's $750 million high-yield issue maturing June 15, 2013, at a total cost of $95.3 million. Total undrawn capacity under the corporate revolver was $155 million as of Dec. 1, 2008, providing substantial liquidity.

Energy XXI has continued to execute its risk-management strategy, adding natural gas hedges to help protect cash flows during its 2010 fiscal year, which begins July 1, 2009.