US independent Stone Energy has filed a "pre-packaged" Chapter 11 bankruptcy plan in US courts that aims to take $1.2 billion in debt off the company's books but substantially dilutes shareholders ...

Stone Energy Corp. announced Wednesday it has filed for bankruptcy and is pursuing a pre-packaged organization plan.

If the plan is approved by a Texas bankruptcy court judge, the reorganization will be complete in 90 days. Stone said it expects the deal will wipe out $1.2 billion in outstanding debt.