Note 13: Stock Split

On January 24, 2012, RPC’s Board of Directors declared a three-for-two stock split of the Company’s common shares. The split will be effected by issuing an additional share of common stock for every two shares of common stock held. The additional shares will be distributed on March 9, 2012 to stockholders of record on February 10, 2012. The stock split will increase the Company’s outstanding shares from approximately 146,333,777 shares to 219,500,666 shares. Our historical outstanding shares will be recast upon the distribution.

Below is an estimate of the pro forma effects of the stock split on the Company’s Stockholders’ equity.

(in thousands)	December 31, 2011 (Audited)			Adjustment (Unaudited)			December 31, 2011 (Pro forma) (Unaudited)
STOCKHOLDERS’ EQUITY

Preferred stock, $0.10 par value, 1,000,000 shares authorized, none issued	$	-		$			$	-
Common stock, $0.10 par value, 349,000,000 shares authorized, Shares issued(1) and outstanding – 221,187,660 outstanding in 2011 and 222,263,993 outstanding in 2010	$	14,746			7,373			22,119
Capital in excess of par value		-
Retained earnings		760,492			(7,373	)		753,119
Accumulated other comprehensive loss		(12,646	)					(12,646	)
Total stockholders’ equity	$	762,592		$	-		$	762,592

(1) Shares issued increased as follows: 2011- 73,729,220; 2010 – 74,087,998

Below is an estimate of the pro forma effects of the stock split on the Company’s earnings per share:

(in thousands, except per share amounts)	December 31, 2011 (Audited)		Adjustment (unaudited)			December 31,2011 (Pro forma) (unaudited)
Net income	$	296,381	$	-		$	296,381

Basic Earnings Per Share		2.04		(0.68	)		1.36
Diluted Earnings Per Share		2.02		(0.67	)		1.35

Shares used for computation:
Basic		145,122		72,561			217,683
Diluted		146,833		73,417			220,250