Smith International agreed to sell its McEvoy-Willis...

Smith International agreed to sell its McEvoy-Willis division to Cameron Iron Works of Houston for $51 million in cash. The sale is expected to generate $41 million in net proceeds, which will be used to increase to $187 million the cash portion of the company’s $415.5 million in payments to creditors under Smith’s recently unveiled bankruptcy settlement proposal. However, Smith said the transaction will result in a $33-million loss when it is completed because the sale price is lower than the division’s book value. The sale is expected to close before the end of 1987.