8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) February 22, 2010

Seahawk Drilling, Inc.

(Exact name of registrant as specified in its charter)

Delaware	001-34231	72-1269401
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

5 Greenway Plaza, Suite 2700, Houston, Texas 77046

(Address of principal executive offices) (Zip Code)

Registrant’s telephone number, including area code (713) 369-7300

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02. Results of Operations and Financial Condition.

On February 24, 2010, Seahawk Drilling, Inc. (the “Company”) issued a press release with respect to its 2009 fourth quarter and full year earnings. A copy of the press release is attached as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference.

The information in this Item 2.02 and Exhibit 99.1 attached hereto is intended to be furnished under Item 2.02 and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended (“Securities Act”), or the Exchange Act, except as expressly set forth by specific reference in such filing.

Item 5.02. Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

On February 24, 2010, the Company announced that Steven A. Manz, the Company’s Senior Vice President and Chief Financial Officer, has informed the Company of his intention to retire from the Company. Mr. Manz and the Company have mutually determined that the retirement would be sometime during the second quarter of 2010. Mr. Manz will continue to serve as Chief Financial Officer during the interim period and assist the Company in an orderly transition. The Company wishes Mr. Manz success in his future endeavors and appreciates his valuable contributions to the Company both before and after the spin-off of the Company from Pride International, Inc.

Item 7.01. Regulation FD Disclosure.

On February 24, 2010, the Company is posting on its website at www.seahawkdrilling.com a revised report entitled “Seahawk Drilling Fleet Status Report as of February 23, 2010” (the “Fleet Status Report”). The Fleet Status Report revises certain information relating to the Seahawk 3000 that was set forth in the fleet status report posted on the Company’s website and filed with the Securities and Exchange Commission (“SEC”) on February 23, 2010. A copy of the Fleet Status Report is attached hereto as Exhibit 99.2. The Company hereby incorporates by reference into this Item 7.01 the Fleet Status Report, which is furnished in accordance with Rule 101(e)(1) under Regulation FD and shall not be deemed to be “filed” for purposes of Section 18 of the Exchange Act, or otherwise subject to liabilities of that section, and will not be incorporated by reference into any filing under the Securities Act or the Exchange Act, unless specifically identified therein as being incorporated by reference. The Fleet Status Report provides summary information about the drilling rig status and contract information covering the Company’s fleet of offshore drilling rigs.

The information and statements made in the Fleet Status Report that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. These forward-looking statements include statements concerning estimated duration of client contracts, contract dayrate amounts, future contract commencement dates and locations, planned shipyard projects and other out of service time. Such statements are subject to a number of risks, uncertainties and assumptions, including without limitation, early termination by the customer pursuant to the contract or otherwise, cancellation or completion of certain contracts earlier than expected, operational difficulties, shipyard and other delays and other factors described in the Company’s reports and other documents filed with the SEC, which are available free of charge at the SEC’s website at www.sec.gov or the Company’s website at www.seahawkdrilling.com. The Company cautions you that forward-looking statements are not guarantees of future performance and that actual results or developments may differ materially from those projected or implied in these statements.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

99.1 Press Release dated February 24, 2010

99.2 Seahawk Drilling Fleet Status Report as of February 23, 2010

1

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	SEAHAWK DRILLING, INC.
Date: February 24, 2010	By:	/S/ WILLIAM G. EVANS
		William G. Evans
		Vice President and Chief Accounting Officer

2

EXHIBIT INDEX

Exhibit Number	Description
99.1	Press Release dated February 24, 2010
99.2	Seahawk Drilling Fleet Status Report as of February 23, 2010

EX-99.1

Exhibit 99.1

Seahawk Drilling, Inc. Reports Fourth Quarter and Full Year 2009 Financial Results

HOUSTON, February 24, 2010 (GLOBE NEWSWIRE) — Seahawk Drilling, Inc. (“Seahawk”) (Nasdaq: HAWK) reported today a loss of $16.6 million, or $1.42 per diluted share for the three months ended December 31, 2009, including the results from the discontinued operations platform business, which was sold in May of 2008. Continuing operations for the three months ended December 31, 2009, excluding the platform business, reported a loss of $16.3 million, or $1.40 per diluted share, compared to income of $18.7 million, or $1.62 per diluted share for the three months ended December 31, 2008. Revenues totaled $31.3 million during the three months ended December 31, 2009 compared with $152.1 million during the three months ended December 31, 2008.

Seahawk’s fourth quarter results included the following non-recurring items:

• Goodwill impairment of $1.2 million and $0.10 per diluted share;

• Transition service costs paid to Pride International, Inc. (“Pride”) of $1.2 million, or $0.8 million after tax, and $0.07 per diluted share; and

• Favorable settlements related to our separation from Pride of $0.7 million, or $0.5 million after tax, and $0.04 per diluted share.

For the twelve months ended December 31, 2009, Seahawk incurred a loss of $41.7 million, or $3.59 per diluted share, which includes the result from the discontinued operations of the platform business. The loss from continuing operations, which excludes the operations of the platform rig business, for the twelve months ended December 31, 2009, was $44.6 million, or $3.84 per diluted share, compared to income for the twelve months ended December 31, 2008 of $153.8 million, or $13.27 per diluted share. Revenues for the twelve months ended December 31, 2009 totaled $291.1 million compared to $681.8 million during the twelve months ended December 31, 2008.

Seahawk’s consolidated balance sheet at December 31, 2009 included cash and cash equivalents of $78.3 million and net working capital of $58.5 million. The Company’s net working capital includes approximately $18.1 million owed to Pride, which includes $4.7 million that is due to Pride upon collection from a customer. As of December 31, 2009, Seahawk had total assets of $625.3 million, stockholders’ equity of $453.0 million, and no debt outstanding.

Randall D. Stilley, President and CEO of Seahawk, commented, “Demand for jackups in the U.S. Gulf of Mexico shelf continued to improve during the quarter, and bid activity has continued to increase over the last several weeks. There are currently 39 contracted jackups in the U.S. Gulf of Mexico, up from 23 at the time of our last conference call in mid November. As a result of this market improvement, we have reactivated two of our rigs in the first quarter and are seeking additional favorable opportunities for our marketed rigs. We are still focused on adding backlog for our eight working jackups in the U.S.”

“In February 2010, we demobilized the Seahawk 3000 from Mexico to the United States following the completion of its contract with PEMEX to begin a contract that will start during March 2010. While we were in discussions for the rig to continue to work in Mexico, we determined that we could lower our overall costs by operating the rig in the United States. As of February 17, 2010, we have no rigs working in Mexico. Currently, we are scaling down our shore-based operations in Mexico to minimum staff levels required to manage the administration of completed contracts. We expect to record $1.0 – $1.5 million of costs in the

first quarter of 2010 for severance, elimination of excess facility and infrastructure costs, and other statutory charges. However, we are hopeful that we will have opportunities to bid our rigs for contracts in Mexico later in 2010 or 2011.”

Based on current expectations for activity in the first quarter of 2010, which includes eight rigs working by the end of the quarter in the U.S., Seahawk anticipates that its cash and cash equivalents balance on March 31, 2010, after remittance of most amounts owed to Pride, will be in the range of $40-50 million.

U.S. Results

During the fourth quarter of 2009, Seahawk’s Gulf of Mexico business generated $13.5 million in drilling revenues in the U.S. This compares to drilling revenues of $62.6 million in the fourth quarter of 2008. Fourth quarter 2009 average revenue per day decreased to $36,300 from $83,600 in the fourth quarter of 2008 and operating days decreased to 332 days, or 21% utilization, from 744 days, or 81% utilization, over the same period. The U.S. segment recorded an operating loss of $16.9 million in the fourth quarter of 2009 compared to $24.1 million of operating income for the fourth quarter of 2008.

Mexico Results

In Mexico, Seahawk’s business generated $17.8 million of drilling revenues in the fourth quarter of 2009. Of the $17.8 million of drilling revenues, $4.5 million is attributable to rigs retained by Pride. This compares to drilling revenues of $89.5 million in the fourth quarter of 2008 of which $28.1 million is attributable to rigs retained by Pride. Fourth quarter 2009 average revenue per day decreased to $70,800 from $117,200 in the fourth quarter of 2008 and operating days decreased to 154, or 56% utilization, from 525 days, or 66% utilization over the same period. The Mexico segment recorded $1.2 million in operating income in the fourth quarter of 2009 compared with $26.8 million of operating income in the fourth quarter of 2008. The rigs retained by Pride contributed $1.1 million in operating income to the fourth quarter of 2009 and $20.3 million to the fourth quarter of 2008.

Departure of Chief Financial Officer

Steven A. Manz, Senior Vice President and Chief Financial Officer, has informed Seahawk of his intention to retire from the company. Mr. Manz and Seahawk have mutually determined that the retirement would be sometime during the second quarter of 2010. As a result, we have begun the search for a new Chief Financial Officer and Mr. Manz will continue to serve as Chief Financial Officer during the interim period and assist us in an orderly transition. Randall D. Stilley, President and CEO of Seahawk, commented, “All of us at Seahawk wish Steve success in his future endeavors and we sincerely appreciate his valuable contributions to Seahawk both before and after the spin-off of Seahawk from Pride.”

Conference Call Information

Seahawk will host a conference call to discuss these results on Wednesday, February 24, 2010 at 10:00 a.m. Central Time. To participate in the call, dial (866) 900-5727 or (574) 941-1321 and reference access code 57716425 approximately 10 minutes prior to the start of the call. The conference call will also be broadcast live via the Internet at http://www.seahawkdrilling.com in the “Investor Relations” section on the “Upcoming Events” tab.

A replay of the conference call will be available on Wednesday, February 24, 2010, beginning at 1:00 p.m., Central Time, through Wednesday, March 24, 2010, ending at 11:00 p.m., Central Time. The phone number for the conference call replay is (800) 642-1687 or (706) 645-9291 and the access code is 57716425.

Seahawk Drilling, Inc. is an offshore drilling company headquartered in Houston, Texas. Seahawk owns and operates a fleet of 20 jackup rigs that are located in the United States and Mexico. Seahawk’s shares are traded on the NASDAQ Stock Market under the symbol “HAWK”. Additional information may be found at www.seahawkdrilling.com.

The Seahawk Drilling, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=6559

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that we expect, project, believe or anticipate will or may occur in the future are forward-looking statements. These forward-looking statements may include, but are not limited to, references to our liquidity, future gas prices, future drilling activity and our future operating results and financial condition. Forward-looking statements are not guarantees of performance. We have based these statements on our assumptions and analyses in light of our experience and perception of historical trends, current conditions, expected future developments and other factors we believe are appropriate in the circumstances. No assurance can be given that these assumptions are accurate. Moreover, these statements are subject to a number of risks and uncertainties. Important factors that could cause our actual results to differ materially from the expectations reflected in our forward-looking statements include those described under Item 1A of our Registration Statement on Form 10, as amended, any factors set forth in our annual, quarterly and current reports filed with the Securities and Exchange Commission, and the following factors, among others:

• general economic and business conditions, including conditions in the credit markets;

• prices of crude oil and natural gas and industry expectations about future prices;

• ability to adequately staff our rigs and attract and retain key management;

• foreign exchange controls and currency fluctuations;

• political stability in the countries in which we operate;

• the business opportunities, or lack thereof, that may be presented to and pursued by us;

• cancellation or renegotiation of our drilling contracts or payment or other delays or defaults or non-payments by our customers;

• changes in laws or regulations;

• demand for our rigs;

• the effect of litigation and contingencies, including those relating to the Pride Wyoming and the pending and possible future tax assessments by the Mexican government;

• labor relations and work stoppages;

• operating hazards and cancellation or unavailability of insurance coverage;

• competition and market conditions in the contract drilling industry; and

• severe weather.

In light of these risks, uncertainties and assumptions, the events anticipated by Seahawk’s forward-looking statements may not occur, and you should not place any undue reliance on any of Seahawk’s forward-looking statements. Seahawk’s forward-looking statements speak only as of the date made and Seahawk undertakes no obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.

CONTACT: Seahawk Drilling, Inc.

Patricia Gil, Investor Relations Manager

(713) 369-7323

Seahawk Drilling, Inc.

Consolidated and Combined Balance Sheets

(Dollar amounts in thousands, except par value)

	December 31, 2009			December 31, 2008
ASSETS
Current assets:
Cash and cash equivalents	$	78,306		$	41,096
Trade receivables, net		23,465			83,245
Deferred income taxes		3,079			960
Due from Pride		1,722			—
Prepaid expenses and other current assets		50,233			62,433
Total current assets		156,805			187,734
Property and equipment, net		465,375			612,046
Goodwill		—			1,227
Other assets		3,156			4,397
Total assets	$	625,336		$	805,404
LIABILITIES, STOCKHOLDERS’ EQUITY AND NET PARENT FUNDING
Current liabilities:
Accounts payable	$	18,851		$	18,778
Due to Pride		19,863			—
Accrued expenses and other current liabilities		59,550			87,095
Total current liabilities		98,264			105,873
Other long-term liabilities		11,835			3,584
Deferred income taxes		62,234			144,361
Total liabilities		172,333			253,818
Preferred stock, $.01 par value, 10,000,000 shares authorized; none issued and outstanding		—			—
Common stock, $.01 par value, 75,000,000 shares authorized; 11,650,114 shares issued and outstanding		117			—
Additional paid-in capital		478,128			—
Net parent funding		—			551,586
Retained earnings (deficit)		(25,242	)		—
Total stockholders’ equity and net parent funding		453,003			551,586
Total liabilities, stockholders’ equity and net parent funding	$	625,336		$	805,404

Seahawk Drilling, Inc.

Consolidated and Combined Statements of Operations

(Dollar amounts in thousands, except share and per share amounts)

	Three Months Ended December 31,
	2009			2008
Revenues	$	31,317		$	152,130
Costs and expenses:
Operating costs, excluding depreciation and amortization		31,898			86,154
Depreciation and amortization		13,551			15,259
General and administrative, excluding depreciation and amortization		9,030			19,511
Impairments of goodwill and fixed assets		1,227			—
(Gain) loss on sales of assets, net		(21	)		(200	)
Earnings (loss) from operations		(24,368	)		31,406
Other income (expense), net		(161	)		(2,796	)
Income (loss) before income taxes		(24,529	)		28,610
Income tax expense (benefit)		(8,186	)		9,899
Income (loss) from continuing operations, net of tax		(16,343	)		18,711
Income from discontinued operations, net of tax		(220	)		2,756
Net income (loss)	$	(16,563	)	$	21,467
Basic and diluted earnings (loss) per share:
Continuing operations	$	(1.40	)	$	1.62
Discontinued operations		(0.02	)		0.24
Net income (loss)	$	(1.42	)	$	1.86
Shares used in the computation of earnings (loss) per share:
Basic and diluted		11,649			11,584

	For the Year Ended December 31,
	2009			2008
Revenues	$	291,144		$	681,764
Costs and expenses:
Operating costs, excluding depreciation and amortization		234,964			343,267
Depreciation and amortization		60,287			62,526
General and administrative, excluding depreciation and amortization		32,522			36,612
Impairments of goodwill and fixed assets		33,311			—
(Gain) loss on sales of assets, net		320			88
Earnings (loss) from operations		(70,260	)		239,271
Other income (expense), net		228			(2,615	)
Income (loss) before income taxes		(70,032	)		236,656
Income tax expense (benefit)		(25,440	)		82,885
Income (loss) from continuing operations, net of tax		(44,592	)		153,771
Income from discontinued operations, net of tax		2,921			22,249
Net income (loss)	$	(41,671	)	$	176,020
Basic and diluted earnings (loss) per share:
Continuing operations	$	(3.84	)	$	13.27
Discontinued operations		0.25			1.92
Net income (loss)	$	(3.59	)	$	15.19
Shares used in the computation of earnings (loss) per share:
Basic and diluted		11,606			11,584

Seahawk Drilling, Inc.

Supplementary Financial Information - U.S. Operating Results

	Three Months Ended
	December 31, 2009			September 30, 2009			December 31, 2008
	(In thousands)
Revenues	$	13,469		$	8,358		$	62,615
Costs and expenses:
Operating costs, excluding depreciation and amortization		17,415			23,070			33,610
Depreciation and amortization		11,679			8,668			5,107
General and administrative excluding depreciation and amortization		18			7			—
Impairments of goodwill and fixed assets		1,226			18,725			—
(Gain) loss on sales of assets, net		—			—			(200	)
		30,338			50,470			38,517
Earnings (loss) from operations	$	(16,869	)	$	(42,112	)	$	24,098
U.S. Owned Rigs
Operating days		332			180			744
Available days		1564			1288			920
Utilization		21	%		14	%		81	%
Average daily revenues	$	36,300		$	46,400		$	83,600
Average marketed rigs		7.0			7.0			5.3
	For the Year Ended December 31,
	2009			2008
	(In thousands)
Revenues	$	80,518		$	248,956
Costs and expenses:
Operating costs, excluding depreciation and amortization		103,717			156,129
Depreciation and amortization		31,482			22,816
General and administrative excluding depreciation and amortization		25			—
Impairments of goodwill and fixed assets		19,951			—
(Gain) loss on sales of assets, net		1			88
		155,176			179,033
Earnings (loss) from operations	$	(74,658	)	$	69,923
U.S. Owned Rigs
Operating days		1,210			3,145
Available days		5,565			4,006
Utilization		22	%		79	%
Average daily revenues	$	66,400		$	73,900
Average marketed rigs		7.0			8.7
U.S. Managed Rigs
Operating days		—			273
Available days		—			273
Utilization		—	%		100	%
Average daily revenues	$	—		$	60,400
Average marketed rigs		—			0.7

Seahawk Drilling, Inc.

Supplementary Financial Information - Mexico Operating Results

	December 31, 2009			September 30, 2009			December 31, 2008
	(In thousands)
Revenues	$	17,848		$	59,253		$	89,515
Costs and expenses:
Operating costs, excluding depreciation and amortization		14,454			38,741			52,545
Depreciation and amortization		1,872			6,232			10,152
General and administrative excluding depreciation and amortization		341			—			—
Impairments of goodwill and fixed assets		—			13,359			—
(Gain) loss on sales of assets, net		(20	)		100			—
		16,647			58,432			62,697
Earnings (loss) from operations	$	1,201		$	821		$	26,818
Mexico Owned Rigs
Operating days		154			270			525
Available days		276			552			797
Utilization		56	%		49	%		66	%
Average daily revenues	$	70,800			124,600		$	117,200
Average marketed rigs		3.0			3.7			6.6
Mexico Managed Rigs
Operating days		14			239			184
Available days		14			251			184
Utilization		100	%		95	%		100	%
Average daily revenues	$	116,337		$	108,100		$	120,200
Average marketed rigs		—			2.3			2.0
	For the Year Ended December 31,
	2009			2008
	(In thousands)
Revenues	$	210,626		$	432,808
Costs and expenses:
Operating costs, excluding depreciation and amortization		131,218			187,139
Depreciation and amortization		28,805			39,710
General and administrative excluding depreciation and amortization		341			—
Impairments of goodwill and fixed assets		13,359			—
(Gain) loss on sales of assets, net		320			—
		174,043			226,849
Earnings (loss) from operations	$	36,583		$	205,959
Mexico Owned Rigs
Operating days		1,235			2,980
Available days		1,735			3,571
Utilization		71	%		83	%
Average daily revenues	$	108,000		$	107,800
Average marketed rigs		3.0			8.7
Mexico Managed Rigs
Operating days		624			725
Available days		697			732
Utilization		90	%		99	%
Average daily revenues	$	123,900		$	154,300
Average marketed rigs		1.7			2.0

Seahawk Drilling, Inc.

Consolidated Statements of Cash Flows

	Year Ended December 31,
	2009			2008
	(In thousands)
Cash flows from operating activities:
Net income (loss)	$	(41,671	)	$	176,020
Adjustments to reconcile net income to net cash from continuing operations:
(Income) from discontinued operations		(2,921	)		(22,249	)
Depreciation and amortization		60,649			62,526
Impairments		33,311			—
(Gain) loss on sale of assets		320			88
Stock-based compensation		8,765			—
Deferred income taxes		(40,839	)		4,060
Changes in assets and liabilities:
Trade receivables		59,779			34,352
Prepaid expenses and other current assets		11,982			9,104
Other assets		(31	)		(1	)
Accounts payable		(17,752	)		10,693
Due to/from Pride, net		(16,603	)		—
Accrued expenses		(42,982	)		(10,885	)
Insurance proceeds from Pride Wyoming salvage operations		27,341			—
Income taxes payable		(2,444	)		(7,407	)
Other liabilities		711			(154	)
Deferred gain from Pride Wyoming		—			(7,414	)
Increase (decrease) in deferred revenue		(10,587	)		(16,705	)
Decrease (increase) in deferred expense		12,293			8,805
Net cash from operating activities - continuing operations		39,321			240,833
Net cash from (used in) operating activities - discontinued operations		(2,056	)		(9,317	)
Net cash flows from operating activities		37,265			231,516
Cash flows from investing activities:
Purchases of property and equipment		(19,600	)		(34,720	)
Proceeds from dispositions of property and equipment		—			178
Insurance proceeds for loss of Pride Wyoming		—			25,000
Net cash used in investing activities - continuing operations		(19,600	)		(9,542	)
Net cash from investing activities - discontinued operations		59			63,505
Net cash flows from (used in) investing activities		(19,541	)		53,963
Cash flows from financing activities:
Capital contribution from former parent		47,263			—
Net change in net parent funding		(26,841	)		(214,783	)
Deferred financing cost		(936	)		—
Net cash used in financing activities - continuing operations		19,486			(214,783	)
Net cash from (used in) financing activities - discontinued operations		—			(54,188	)
Net cash flows used in financing activities		19,486			(268,971	)
Increase (decrease) in cash and cash equivalents		37,210			16,508
Cash and cash equivalents, beginning of period		41,096			24,588
Cash and cash equivalents, end of period	$	78,306		$	41,096

EX-99.2

Exhibit 99.2

FLEET STATUS REPORT AS OF FEBRUARY 23, 2010

					Dayrate		Estimated1
Rig Name	Rig Type	Location	Status	Client	($US)		Days	Completion	Comments
U.S. CONTRACTED (8)
SEAHAWK 3000	300'MC	US GOM	Demobilizing						As of 9-Feb we had no further rigs in Mexico
		US GOM	Contracted	Hilcorp	$	55,000	100	9-Jul-2010	Contract expected to commence +/-  1-Apr-2010
SEAHAWK 2602	250'MC	US GOM	Contracted	Arena Offshore	$	35,000	50	14-Apr-2010	90-day term + one 60-day option at $35,000/day
SEAHAWK 2601	250'MC	US GOM	Contracted	Walter Oil & Gas	$	36,200	81	16-May-2010	Castex has 2 option wells: 1st at $36,200, 2nd at mutually agreed rates—options to follow Walter’s program
SEAHAWK 2600	250'MC	US GOM	Contracted	Apache	$	35,000	62	26-Apr-2010	90-day option at mutually agreed rates
SEAHAWK 2504	250'MS	US GOM	Contracted	Mariner	$	32,000	48	12-Apr-2010	1-well option at same rate
SEAHAWK 2007	200'MC	US GOM	Contracted	Mariner	$	32,000	26	21-Mar-2010	1-well option at mutually agreed rates
SEAHAWK 2004	200'MC	US GOM	Shipyard				9	4-Mar-2010	5-year survey and drydock
			Contracted	Arena Offshore	$	33,000	70	14-May-2010	Contract expected to commence +/-  5-Mar-2010 2 option wells at mutually agreed rates
SEAHAWK 2001	200'MC	US GOM	Shipyard				20	15-Mar-2010	Undergoing reactivation
			Contracted	Energy XXI	$	35,000	45	30-Apr-2010	Contract expected to commence +/-  15-Mar-2010 1-well option at mutually agreed rates
U.S. AVAILABLE (2)
SEAHAWK 2505	250'MS	US GOM	Available
SEAHAWK 2500	250'MS	US GOM	Available
U.S. COLD STACKED (10)
SEAHAWK 2501	250'MS	US GOM	Cold Stacked
SEAHAWK 2502	250'MS	US GOM	Cold Stacked
SEAHAWK 2006	200'MC	US GOM	Cold Stacked
SEAHAWK 2003	200'MC	US GOM	Cold Stacked
SEAHAWK 2005	200'MC	US GOM	Cold Stacked
SEAHAWK 2503	250'MS	US GOM	Cold Stacked
SEAHAWK 2008	200'MC	US GOM	Cold Stacked
SEAHAWK 2000	200'MC	US GOM	Cold Stacked
SEAHAWK 2002	200'MC	US GOM	Cold Stacked
SEAHAWK 800	80'MC	US GOM	Cold Stacked

Changes from previous Fleet Status Report denoted in bold

¹The number of days to complete the program are estimated for U.S. well-to-well contracts and contract extensions in Mexico. The actual number of days contracted may vary from this estimate.