Covington LA March 2, 2015 - Hornbeck Offshore Services, Inc. announced today that it has closed the previously announced sale of three 250EDF class OSVs, the HOS Arrowhead, the HOS Eagleview and the HOS Westwind, that were previously chartered to the U.S. Navy. Since their construction in 2008 and 2009, these vessels have supported the U.S. Navy's submarine fleet on the east and west coast of the U.S. In order for the Navy to continue receiving the unique capabilities of these vessels, Congress has required their purchase from the Company. The three vessels were sold for cash consideration of $114 million, which is expected to result in a gain on sale of assets of approximately $33.0 million ($20.8 million after-tax or $0.57 per diluted share). The proceeds from this transaction will be used for general corporate purposes that may include retirement of debt, funding for the acquisition, construction or retrofit of vessels or discretionary share repurchases. The vessel purchase agreement includes an option for the acquisition of a fourth vessel currently under charter to the U.S. Navy, the HOS Black Powder, that, if exercised as anticipated, would bring the aggregate sale amount to $152 million, which is expected to result in an aggregate gain on sale of assets for the four vessels of approximately $44.0 million ($27.7 million after-tax or $0.77 per diluted share). In addition to these vessel sales, the Company separately entered into an operations and maintenance ("O&M") contract for the three vessels sold, which contains an initial term and annual renewal options spanning a 10-year operating period including annual day rate escalations. Associated with the O&M contract, the Company was also awarded a time charter for the HOS Black Powder that will remain in effect until the closing of the anticipated sale of the vessel pursuant to the U.S. Navy purchase option is completed. At such time, the HOS Black Powder will operate under the same terms and conditions of the current O&M contract for the other three vessels. The Company expects to complete the sale of HOS Black Powder by the end of the third quarter of 2015, subject to government funding, and all guidance estimates included below reflect an assumed sale date of September 30, 2015.