In connection with the sale of the 7 ½% Senior Notes and the 3% Convertible Senior Notes, the Guarantor Subsidiaries fully, unconditionally, jointly and severally guaranteed the payment obligations under these notes. The following supplemental financial information sets forth, on a consolidating basis, the balance sheet, statement of income and cash flow information for Bristow Group Inc. (“Parent Company Only”), for the Guarantor Subsidiaries and for our other subsidiaries (the “Non-Guarantor Subsidiaries”). We have not presented separate financial statements and other disclosures concerning the Guarantor Subsidiaries because management has determined that such information is not material to investors.

The supplemental condensed consolidating financial information has been prepared pursuant to the rules and regulations for condensed financial information and does not include all disclosures included in annual financial statements, although we believe that the disclosures made are adequate to make the information presented not misleading. The principal eliminating entries eliminate investments in subsidiaries, intercompany balances and intercompany revenue and expense.

The allocation of the consolidated income tax provision was made using the with and without allocation method.

			Parent Company Only		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
			(In thousands)
Revenue:
	Gross revenue		$	0	$	76,217	$	289,537	$	0	$	365,754
	Intercompany revenue			578		18,532		0		(19,110)		0
				578		94,749		289,537		(19,110)		365,754
Operating expense:
	Direct cost and reimbursable expense			0		56,342		206,787		0		263,129
	Intercompany expenses			0		0		19,110		(19,110)		0
	Depreciation and amortization			1,091		9,348		12,882		0		23,321
	General and administrative			11,218		7,361		19,129		0		37,708
				12,309		73,051		257,908		(19,110)		324,158

	Gain (loss) on disposal of assets			0		421		(1,683)		0		(1,262)
	Earnings from unconsolidated affiliates,
		net of losses		21,076		0		6,994		(21,076)		6,994
	Operating income			9,345		22,119		36,940		(21,076)		47,328

	Interest income			28,988		8		296		(29,029)		263
	Interest expense			(9,171)		0		(28,455)		29,029		(8,597)
	Other income (expense), net			(57)		(36)		(125)		0		(218)

	Income before provision for
		income taxes		29,105		22,091		8,656		(21,076)		38,776
	Allocation of consolidated income taxes			579		(2,024)		(6,897)		0		(8,342)
	Net income			29,684		20,067		1,759		(21,076)		30,434
	Net income attributable to
		noncontrolling interests		(16)		0		(750)		0		(766)
	Net income attributable to
		Bristow Group	$	29,668	$	20,067	$	1,009	$	(21,076)	$	29,668

			Parent Company Only		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
			(In thousands)
Revenue:
	Gross revenue		$	0	$	145,729	$	582,633	$	0	$	728,362
	Intercompany revenue			1,156		35,831		0		(36,987)		0
				1,156		181,560		582,633		(36,987)		728,362
Operating expense:
	Direct cost and reimbursable expense			0		106,114		419,955		0		526,069
	Intercompany expenses			0		0		36,987		(36,987)		0
	Depreciation and amortization			2,160		17,423		25,110		0		44,693
	General and administrative			20,147		14,212		38,326		0		72,685
				22,307		137,749		520,378		(36,987)		643,447

	Loss on disposal of assets			0		(998)		(5,579)		0		(6,577)
	Earnings from unconsolidated affiliates,
		net of losses		38,815		0		8,983		(38,815)		8,983
	Operating income			17,664		42,813		65,659		(38,815)		87,321

	Interest income			56,928		17		296		(56,890)		351
	Interest expense			(18,021)		0		(56,240)		56,890		(17,371)
	Other income (expense), net			(6)		21		(1,164)		0		(1,149)

	Income before provision for
		income taxes		56,565		42,851		8,551		(38,815)		69,152
	Allocation of consolidated income taxes			(3,200)		(3,782)		(7,540)		0		(14,522)
	Net income			53,365		39,069		1,011		(38,815)		54,630
	Net income attributable to
		noncontrolling interests		(35)		0		(1,265)		0		(1,300)
	Net income (loss) attributable to
		Bristow Group	$	53,330	$	39,069	$	(254)	$	(38,815)	$	53,330

			Parent Company Only		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
			(In thousands)
Revenue:
	Gross revenue		$	0	$	69,152	$	261,840	$	0	$	330,992
	Intercompany revenue			1,555		12,106		0		(13,661)		0
				1,555		81,258		261,840		(13,661)		330,992
Operating expense:
	Direct cost and reimbursable expense			730		40,743		194,932		0		236,405
	Intercompany expenses			0		0		13,661		(13,661)		0
	Impairment of inventories			0		8,778		15,832		0		24,610
	Depreciation and amortization			916		10,904		13,611		0		25,431
	General and administrative			7,626		4,596		17,081		0		29,303
				9,272		65,021		255,117		(13,661)		315,749

	Loss on disposal of assets			0		(427)		(1,184)		0		(1,611)
	Earnings from unconsolidated affiliates,
		net of losses		(7,074)		0		(4,037)		7,074		(4,037)
	Operating income (loss)			(14,791)		15,810		1,502		7,074		9,595

	Interest income			24,286		10		139		(24,282)		153
	Interest expense			(9,538)		0		(24,203)		24,282		(9,459)
	Other income (expense), net			47		126		554		0		727

	Income (loss) before provision for
		income taxes		4		15,946		(22,008)		7,074		1,016
	Allocation of consolidated income taxes			2,722		(2,483)		1,706		0		1,945
	Net income (loss)			2,726		13,463		(20,302)		7,074		2,961
	Net income attributable to noncontrolling
		interests		(15)		0		(235)		0		(250)
	Net income (loss) attributable to
		Bristow Group	$	2,711	$	13,463	$	(20,537)	$	7,074	$	2,711

			Parent Company Only		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
			(In thousands)
Revenue:
	Gross revenue		$	0	$	136,349	$	515,748	$	0	$	652,097
	Intercompany revenue			1,555		23,879		0		(25,434)		0
				1,555		160,228		515,748		(25,434)		652,097
Operating expense:
	Direct cost and reimbursable expense			0		83,704		382,457		0		466,161
	Intercompany expenses			0		0		25,434		(25,434)		0
	Impairment of inventories			0		8,778		15,832		0		24,610
	Depreciation and amortization			1,759		19,086		27,294		0		48,139
	General and administrative			21,801		11,359		35,788		0		68,948
				23,560		122,927		486,805		(25,434)		607,858

	Gain (loss) on disposal of assets			0		(247)		52		0		(195)
	Earnings from unconsolidated affiliates,
		net of losses		15,145		0		1,956		(15,145)		1,956
	Operating income (loss)			(6,860)		37,054		30,951		(15,145)		46,000

	Interest income			47,589		180		301		(47,746)		324
	Interest expense			(18,797)		0		(47,363)		47,746		(18,414)
	Other income (expense), net			61		192		678		0		931

	Income (loss) before provision for
		income taxes		21,993		37,426		(15,433)		(15,145)		28,841
	Allocation of consolidated income taxes			1,793		(5,146)		(1,308)		0		(4,661)
	Net income (loss)			23,786		32,280		(16,741)		(15,145)		24,180
	Net income attributable to noncontrolling
		interests		(30)		0		(394)		0		(424)
	Net income (loss) attributable to
		Bristow Group	$	23,756	$	32,280	$	(17,135)	$	(15,145)	$	23,756

			Parent Company Only		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
			(In thousands)
ASSETS
Current assets:
	Cash and cash equivalents		$	134,682	$	3,529	$	210,138	$	0	$	348,349
	Accounts receivable			11,263		80,485		213,652		(38,528)		266,872
	Inventories			0		55,593		103,356		0		158,949
	Assets held for sale			0		3,969		15,583		0		19,552
	Prepaid expenses and other current assets			2,593		1,167		52,417		(38,094)		18,083
		Total current assets		148,538		144,743		595,146		(76,622)		811,805

Intercompany investment				1,030,042		111,434		0		(1,141,476)		0
Investment in unconsolidated affiliates				9,532		150		204,938		0		214,620
Intercompany notes receivable				1,321,940		0		0		(1,321,940)		0
Property and equipment - at cost:
	Land and buildings			801		48,788		34,479		0		84,068
	Aircraft and equipment			22,311		874,351		1,167,623		0		2,064,285
				23,112		923,139		1,202,102		0		2,148,353
Less: Accumulated depreciation and
	amortization			(8,827)		(190,556)		(264,530)		0		(463,913)
				14,285		732,583		937,572		0		1,684,440
Goodwill				0		4,755		25,034		0		29,789
Other assets				24,976		1,209		146,790		(128,161)		44,814
Total assets			$	2,549,313	$	994,874	$	1,909,480	$	(2,668,199)	$	2,785,468

Current liabilities:
	Accounts payable		$	2,848	$	13,832	$	71,012	$	(32,042)	$	55,650
	Accrued liabilities			11,543		23,870		133,340		(42,511)		126,242
	Current deferred taxes			(2,011)		31		17,145		0		15,165
	Short-term borrowings and current
		maturities of long-term debt		18,750		0		0		0		18,750
		Total current liabilities		31,130		37,733		221,497		(74,553)		215,807

Long-term debt, less current maturities				715,936		0		0		0		715,936
Intercompany notes payable				0		247,963		1,088,411		(1,336,374)		0
Accrued pension liabilities				0		0		112,221		0		112,221
Other liabilities and deferred credits				7,590		8,477		141,604		(140,268)		17,403
Deferred taxes				125,095		8,781		10,036		0		143,912

Stockholders’ investment:
	Common stock			365		4,996		22,918		(27,914)		365
	Additional paid-in-capital			717,347		9,290		262,193		(271,483)		717,347
	Retained earnings			1,032,468		677,634		28,281		(705,915)		1,032,468
	Accumulated other comprehensive
		income (loss)		(57,126)		0		14,204		(111,692)		(154,614)
	Treasury shares			(25,085)		0		0		0		(25,085)
Total Bristow Group Inc. stockholders’
	investment			1,667,969		691,920		327,596		(1,117,004)		1,570,481
Noncontrolling interests				1,593		0		8,115		0		9,708
Total stockholders’ investment				1,669,562		691,920		335,711		(1,117,004)		1,580,189
Total liabilities and stockholders’ investment			$	2,549,313	$	994,874	$	1,909,480	$	(2,668,199)	$	2,785,468

			Parent Company Only		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
			(In thousands)
ASSETS
Current assets:
	Cash and cash equivalents		$	76,609	$	3,155	$	181,786	$	0	$	261,550
	Accounts receivable			12,884		97,732		246,297		(70,693)		286,220
	Inventories			0		57,957		99,868		0		157,825
	Assets held for sale			0		1,400		17,310		0		18,710
	Prepaid expenses and other current assets			1,512		2,220		27,394		(18,958)		12,168
		Total current assets		91,005		162,464		572,655		(89,651)		736,473

Intercompany investment				1,031,041		111,434		0		(1,142,475)		0
Investment in unconsolidated affiliates				2,378		150		202,572		0		205,100
Intercompany notes receivable				1,266,714		0		(13,792)		(1,252,922)		0
Property and equipment - at cost:
	Land and buildings			801		48,855		31,179		0		80,835
	Aircraft and equipment			13,969		880,643		1,205,030		0		2,099,642
				14,770		929,498		1,236,209		0		2,180,477
Less: Accumulated depreciation and
	amortization			(6,705)		(186,876)		(264,121)		0		(457,702)
				8,065		742,622		972,088		0		1,722,775
Goodwill				0		4,755		24,889		0		29,644
Other assets				111,442		2,416		166,829		(234,316)		46,371
Total assets			$	2,510,645	$	1,023,841	$	1,925,241	$	(2,719,364)	$	2,740,363

Current liabilities:
	Accounts payable		$	3,130	$	26,384	$	93,914	$	(67,344)	$	56,084
	Accrued liabilities			11,506		20,987		102,006		(20,823)		113,676
	Current deferred taxes			(1,571)		(128)		16,769		0		15,070
	Short-term borrowings and current
		maturities of long-term debt		14,375		0		0		0		14,375
		Total current liabilities		27,440		47,243		212,689		(88,167)		199,205

Long-term debt, less current maturities				742,870		0		0		0		742,870
Intercompany notes payable				0		296,335		1,057,622		(1,353,957)		0
Accrued pension liabilities				0		0		111,742		0		111,742
Other liabilities and deferred credits				6,738		8,754		161,168		(159,892)		16,768
Deferred taxes				121,385		8,903		17,666		0		147,954

Stockholders’ investment:
	Common stock			363		4,996		22,828		(27,824)		363
	Additional paid-in-capital			703,628		9,290		249,367		(258,657)		703,628
	Retained earnings			993,435		648,320		30,335		(678,655)		993,435
	Accumulated other comprehensive
		income (loss)		(61,706)		0		54,679		(152,212)		(159,239)
	Treasury shares			(25,085)		0		0		0		(25,085)
Total Bristow Group Inc. stockholders’
	investment			1,610,635		662,606		357,209		(1,117,348)		1,513,102
Noncontrolling interests				1,577		0		7,145		0		8,722
Total stockholders’ investment				1,612,212		662,606		364,354		(1,117,348)		1,521,824
Total liabilities and stockholders’ investment			$	2,510,645	$	1,023,841	$	1,925,241	$	(2,719,364)	$	2,740,363

			Parent Company Only		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
			(In thousands)
Net cash provided by (used in) operating			$
	activities		$	(20,075)	$	62,030	$	92,943	$	0	$	134,898

Cash flows from investing activities:
	Capital expenditures			(8,353)		(46,389)		(83,252)		24,589		(113,405)
	Proceeds from asset dispositions			0		35,185		85,780		(24,589)		96,376
	Investment in unconsolidated affiliate			(7,153)		0		0		0		(7,153)

Net cash provided by (used in)
	investing activities			(15,506)		(11,204)		2,528		0		(24,182)

Cash flows from financing activities:
	Repayment of debt			(24,300)		0		0		0		(24,300)
	Dividends paid			(2,742)		(9,755)		(1,800)		0		(14,297)
	Increases (decreases) in cash related to
		intercompany advances and debt		112,427		(40,697)		(71,730)		0		0
	Partial prepayment of put/call obligation			(33)		0		0		0		(33)
	Issuance of Common Stock			7,869		0		0		0		7,869
	Tax benefit related to stock-based compensation			433		0		0		0		433
Net cash provided by (used in) financing
	activities			93,654		(50,452)		(73,530)		0		(30,328)
Effect of exchange rate changes on cash
	and cash equivalents			0		0		6,411		0		6,411
Net increase in cash and
	cash equivalents			58,073		374		28,352		0		86,799
Cash and cash equivalents at beginning
	of period			76,609		3,155		181,786		0		261,550
Cash and cash equivalents at end of			$
	period		$	134,682	$	3,529	$	210,138	$	0	$	348,349

			Parent Company Only		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
			(In thousands)
Net cash provided by (used in) operating			$
	activities		$	(18,520)	$	60,830	$	74,683	$	0	$	116,993

Cash flows from investing activities:
	Capital expenditures			(418)		(78,620)		(70,224)		0		(149,262)
	Proceeds from asset dispositions			0		8,129		3,911		0		12,040

Net cash used in investing activities				(418)		(70,491)		(66,313)		0		(137,222)

Cash flows from financing activities:
	Proceeds from borrowings			87,800		0		693		0		88,493
	Repayment of debt and debt redemption
		premiums		(30,000)		0		(2,518)		0		(32,518)
	Dividends paid			40,564		(24,927)		(26,470)		0		(10,833)
	Increases (decreases) in cash related to
		intercompany advances and debt		(22,056)		32,153		(10,097)		0		0
	Partial prepayment of put/call obligation			(31)		0		0		0		(31)
	Acquisition of noncontrolling interest			0		(262)		0		0		(262)
	Issuance of Common Stock			1,629		0		0		0		1,629
	Tax benefit related to stock-based
		compensation		109		0		0		0		109
Net cash provided by (used in) financing
	activities			78,015		6,964		(38,392)		0		46,587
Effect of exchange rate changes on cash
	and cash equivalents			0		0		(2,440)		0		(2,440)
Net increase (decrease) in cash and
	cash equivalents			59,077		(2,697)		(32,462)		0		23,918
Cash and cash equivalents at beginning
	of period			24,075		5,233		87,053		0		116,361
Cash and cash equivalents at end of
	period		$	83,152	$	2,536	$	54,591	$	0	$	140,279