Exhibit 99.1

McDermott Provides Fourth Quarter Financial Preview and 2005 Information

    NEW ORLEANS--(BUSINESS WIRE)--Feb. 9, 2005--

        Fourth Quarter EPS Anticipated Between $0.50 and $0.59
         Per Share Unrestricted Cash Balance of Approximately
                     $260 Million at Dec. 31, 2004

    McDermott International, Inc. (NYSE:MDR) ("McDermott" or the
"Company") today provided a preview on major items expected in its
fourth quarter 2004 earnings release based upon management's
preliminary and unaudited review. In addition, the Company provided
certain data points for its consolidated businesses for the full year
2005.
    The Company plans to release its financial results for the fourth
quarter and full year 2004 during the evening of March 10, 2005, with
a conference call to occur the following day. McDermott will confirm
or modify these dates in a future press release.

    Major items of note expected in fourth quarter 2004 earnings
include:

    B&W Revaluation: McDermott expects the non-cash, after-tax
revaluation associated with The Babcock & Wilcox Company's ("B&W")
Chapter 11 settlement to be an expense of approximately $9 million in
the fourth quarter. The increase in the settlement expense during the
fourth quarter was primarily due to the improvement in McDermott's
stock price from $11.80 per share at Sept. 30, 2004, to the year-end
closing price of $18.36 per share. This revaluation will continue to
fluctuate on a quarterly basis until the B&W bankruptcy is resolved,
and management does not consider it reflective of its business
operations.
    J. Ray: The marine construction services segment, consisting of J.
Ray McDermott, S.A. ("J. Ray"), is expected to report fourth quarter
2004 revenues of approximately $310 million and operating income in
the range of $33-$37 million. In addition to improved operating
performance versus last year's fourth quarter, several items should
enhance the 2004 fourth quarter, including:

    --  Receipt of a bonus payment of approximately $5 million related
        to the Belanak FPSO project as a result of the customer
        obtaining "first oil" as defined in the contract,

    --  An approximate $13 million gain on the sale of its inactive
        Scottish fabrication facility, which was announced in
        December,

    --  Approximately $11 million of improvements on the now completed
        Carina Aries and spar projects, and

    --  Improved results in certain international operations.

    BWXT: The government operations segment, consisting of BWX
Technologies, Inc. ("BWXT"), is expected to report fourth quarter 2004
revenues of approximately $150 million, with operating income in the
range of $28-$31 million, which includes a reimbursement of pension
funding of approximately $6 million and equity income from investees
of approximately $10 million. This level of operating income reflects
BWXT's continued efforts on cost containment and its strong
performance in its management and operations ("M&O") of various
governmental sites, as reflected by the customer's year end report.
    Corporate: The corporate segment is expected to report an expense
in the fourth quarter of 2004 of approximately $23-$24 million. This
expense consists of approximately $7-$8 million of unallocated
corporate costs and approximately $16 million in pension expense.
    Other: McDermott expects to recognize a fourth quarter gain of
approximately $27 million associated with its wind up of the U.K.
pension plan, announced in January 2005 when proceeds of $38 million
were received. This gain is expected to be partially offset by
approximately $3 million in foreign exchange losses. Consolidated net
interest expense for the fourth quarter is expected to be
approximately $8 million, due to the interest expense associated with
J. Ray's 11 percent senior secured note offering partially offset by
interest income on the Company's increased cash balances. McDermott's
provision for income taxes in the fourth quarter is expected to be
approximately $9-$11 million.
    Consolidated: On a consolidated basis, McDermott expects to record
net income in the fourth quarter 2004 in a range of $35-$41 million,
or 50-59 cents per fully diluted share.
    Year-end Cash: At Dec. 31, 2004, McDermott expects to report
consolidated unrestricted cash of approximately $260 million and
consolidated restricted cash of approximately $177 million. J. Ray
represents approximately $155 million and $149 million of the
unrestricted and restricted cash balances, respectively.
    Internal Controls: As previously disclosed, McDermott is actively
completing the assessment of its internal controls over financial
reporting as required by Section 404 of the Sarbanes-Oxley Act of
2002. To date, the Company has identified certain deficiencies
existing at Dec. 31, 2004, and is currently evaluating the
significance thereof. McDermott expects to complete its assessment and
include the results in its Annual Report on Form 10-K.

    2005 Data Points

    McDermott's subsidiaries operate in project-driven businesses, and
as such, predicting which projects will be awarded and when such
awards will occur, can cause large variations in forecasts. As a
result, management is continuing its practice of not providing
specific guidance; however, to assist analysts and shareholders in
evaluating fiscal year 2005, McDermott is providing the following
detail for its businesses based on its current backlog, and its
expected corporate expenses.
    J. Ray: J. Ray's backlog at Dec. 31, 2004, is expected to be
approximately $1.2 billion. The backlog is anticipated to produce 2005
revenues of approximately $900 million, which does not include any
additional bookings (new contract awards and change orders) that may
be awarded and performed during the year, which management expects to
occur. Although not necessarily indicative to the current year, in
fiscal year 2004 J. Ray is expected to recognize approximately $450
million in revenues which did not exist in its backlog at the
beginning of 2004.
    J. Ray's bookings in 2004 were approximately $1.2 billion and it
currently has bids outstanding for new contracts in the $1.2 billion
range. J. Ray expects to be awarded some of these bids during 2005 and
to receive other awards not currently in the bid stage, both of which
could contribute to 2005 revenue and operating income.
    J. Ray's geographic diversity combined with its regional cycles
requires active cost management to operate the business. In 2004, J.
Ray proactively addressed its cost structure, particularly at its
facilities expected to work fewer manhours during 2005. Specifically,
in its Asia Pacific operations, J. Ray reduced its headcount from over
3,900 in December 2003 to approximately 530 in December 2004.
Similarly, in Morgan City, J. Ray's year-over-year headcount went from
1,561 to 620. The Engineering operating unit reduced its headcount
during this time period as well.
    J. Ray begins 2005 in a much improved financial condition compared
to a year ago. J. Ray expects to produce operating income for the
full-year 2005, with the magnitude dependent upon the amount, timing
and geographic regions of new bookings. As of Feb. 7, 2005, J. Ray's
unrestricted cash balance has improved to approximately $198 million,
and it also has approximately $50 million of restricted cash available
for use on capital expenditures. J. Ray completed all of the projects
that generated substantial losses in prior years, sold non-strategic
assets, reduced costs, maintains a profitable backlog and is actively
bidding on new projects.
    BWXT: BWXT's year-end 2004 backlog is expected to be approximately
$1.7 billion, which would produce 2005 revenues of approximately $520
million, not including any new contracts that may be awarded and
performed during the year. BWXT's strong commitment to cost
containment, in addition to the potential for new M&O contract awards,
leads management to believe operating results should remain consistent
with 2004 levels, on a comparable basis (see Corporate below).
    Corporate: In 2005, McDermott is changing its methodology related
to pension expense. The Company plans to allocate to BWXT the
previously unallocated pension expense that resided at the corporate
segment in prior periods. In addition, McDermott has spun-off the
pension assets and liabilities attributable to B&W to form a
stand-alone pension plan sponsored by B&W. McDermott is undertaking
this approach to better depict each business on a "stand-alone" basis,
further reflect the proposed B&W settlement and achieve consistency
within our segments since J. Ray's pension expense has historically
been included in its results. The Company's actuaries have not
completed their estimate of McDermott's expected 2005 pension expense;
however, in 2004 the corporate segment recognized approximately $61
million of pension expense. Under the new 2005 allocation, the 2004
pension expense would have been reflected in the segments as follows:


                            B&W $38 million
                           BWXT $22 million
                         Corporate $ 1 million


    Excluding pension expense, the Company expects to incur full-year
2005 unallocated corporate expenses in the range of $23-$26 million,
which includes the anticipated expense related to stock options.
    Other items: Consolidated net interest expense for 2005 is
expected to be approximately $33 million, largely due to the December
2003 issuance of J. Ray's $200 million, 11 percent 10-year senior
secured notes and the fees associated with BWXT's three-year $135
million revolving credit facility. The Company does not receive a tax
benefit from the interest expense incurred by J. Ray. Interest income
is expected to be slightly higher in 2005 as a result of the Company's
improved cash position. The Company and its subsidiaries pay various
forms of tax in numerous different jurisdictions and it is extremely
difficult to accurately forecast a tax rate or tax amount for the full
year. B&W, BWXT and the corporate segment file a consolidated U.S.
corporate tax return. J. Ray does not file a consolidated return, but
its subsidiaries file returns, as needed, in the appropriate taxing
jurisdictions.
    In accordance with the Safe Harbor provisions of the Private
Securities Litigation Reform Act of 1995, McDermott cautions that
statements in this press release, which are forward-looking and
provide other than historical information, involve risks and
uncertainties that may impact the Company's actual results of
operations. These forward-looking statements include statements
relating to the Company's and certain of its subsidiaries' results of
operation for the fourth quarter 2004, including, without limitation,
anticipated revenue, operating income, net income, expenses, backlog
and liquidity positions; statements relating to the Company's and
certain of its subsidiaries' expectations for fiscal year 2005,
including, without limitation, expected revenue generated from
backlog, expenses and income, potential for receiving and performing
new contracts, and BWXT's commitment to cost containments; and
statements relating to the settlement of the B&W Chapter 11
proceedings and the Company's plans to allocate pension expense.
Although we believe that the expectations reflected in those
forward-looking statements are reasonable, we can give no assurance
that those expectations will prove to have been correct. Those
statements are made by using various underlying assumptions and are
subject to numerous uncertainties and risks, including, but not
limited to, credit risks, fluctuations in demand for our services and
the inability to procure or complete favorable contracts.
Additionally, all statements made regarding anticipated fourth quarter
and fiscal year 2004 results are based on current information and are
subject to audit and other closing adjustments. If one or more of
these risks materialize, or if underlying assumptions prove incorrect,
actual results may vary materially from those expected. For a more
complete discussion of these and other risk factors, please see
McDermott's annual report for the year ended Dec. 31, 2003, and its
2004 quarterly reports filed with the Securities and Exchange
Commission.
    McDermott International, Inc. is a leading worldwide energy
services company. The Company's subsidiaries provide engineering,
fabrication, installation, procurement, research, manufacturing,
environmental systems, project management and facility management
services to a variety of customers in the energy and power industries,
including the U.S. Department of Energy.

    CONTACT: McDermott International, Inc., Houston
             Jay Roueche, 281-870-5011
             jroueche@mcdermott.com
             www.mcdermott.com