exv99w1
Exhibit 99.1
NEWS RELEASE
5847 San Felipe, Suite 3300 Houston, Texas 77057 (713) 789-1400
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FOR IMMEDIATE RELEASE
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Analyst Contact:
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Jeffrey L. Chastain |
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(713) 917-2020 |
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Media Contact:
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Kate Perez |
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(713) 917-2343 |
Pride International, Inc. Reports
First Quarter 2011 Financial Results
Houston, May 5, 2011 Pride International, Inc. (NYSE: PDE) today reported income from
continuing operations, net of tax, for the three months ended March 31, 2011 of $30.9 million, or
$0.17 per diluted share, on revenues of $393.5 million. Results for the quarter included costs
totaling $7.7 million, or $0.04 per diluted share, relating to the proposed merger of Pride and
Ensco plc. The first quarter 2011 results compared to income from continuing operations, net of
tax, for the fourth quarter of 2010 of $62.2 million, or $0.35 per diluted share, on revenues of
$400.8 million. Fourth quarter 2010 results included costs associated with the reactivation,
start-up and repair of several rigs, as well as an impairment charge taken against a receivable and
severance costs relating to the closure of certain regional offices that in the aggregate
negatively impacted results by $0.05 per diluted share. For the three months ended March 31, 2010,
income from continuing operations, net of tax, was $80.7 million, or $0.45 per diluted share, on
revenues of $362.8 million.
Net income for the three months ended March 31, 2011 was $30.1 million, or $0.17 per diluted
share, including a loss from discontinued operations, net of tax, of $0.8 million, with no effect
on earnings per diluted share. The results compared to net income of $52.1 million, or $0.29 per
diluted share, for the three months ended December 31, 2010, including a loss from discontinued
operations, net of tax, of $10.1 million, or $0.06 per diluted share. For the three months ended
March 31, 2010, net income reached $73.0 million, or $0.41 per diluted share, including a loss from
discontinued operations, net of tax, of $7.7 million, or $0.04 per diluted share.
Cash and cash equivalents at March 31, 2011 were $45.8 million compared to $485.0 million at
December 31, 2010. The decline was primarily related to expenditures for the companys deepwater
expansion program, including a final payment to the shipyard made in January 2011 with the delivery
of the companys third deepwater drillship, the Deep Ocean Mendocino. Also, a progress payment was
made on the fourth drillship in the expansion program, the Deep Ocean Molokai. Total debt at March
31, 2011 was $1,856.7 million, while total shareholders equity was $4,579.0 million, resulting in
a debt-to-total-capital ratio of 29%, unchanged from the measure at December 31, 2010.
1
Capital expenditures during the first quarter of 2011 totaled $401 million, including $338 million
toward the companys deepwater expansion program. The company
estimates that capital expenditures for 2011 will total approximately $1.0 billion, including $763 million relating to the
deepwater expansion program. These 2011 expenditures relating to the deepwater expansion program
exclude capitalized interest, mobilization costs, capital spares and other start-up costs. At March
31, 2011, approximately $925 million of capital expenditures remained to complete construction of
the final two units in the deepwater expansion program, the Deep Ocean Molokai, with an expected
shipyard delivery in December 2011, and Deep Ocean Marquesas, with an expected shipyard delivery in
June 2013. Also, the company reported that it has reached agreement with Samsung Heavy Industries,
Ltd. (SHI) to extend the option for the construction of a sixth ultra-deepwater drillship to June
15, 2011. The option extension does not impact the estimated unit cost or delivery schedule
determined in December 2010, upon the order by Pride of a fifth ultra-deepwater drillship.
Deepwater Segment
For the three months ended March 31, 2011, revenues from the companys Deepwater segment,
consisting of four drillships and six semisubmersible rigs, totaled $259.1 million compared to
revenues of $271.0 million for the three months ended December 31, 2010. Earnings from operations
were $78.3 million in the first quarter of 2011 compared to $107.4 million in the fourth quarter of
2010, while earnings before interest, taxes, depreciation and amortization (EBITDA) were $108.8
million compared to $137.0 million over the same comparative period. The decline in segment
financial performance was due primarily to lower revenues and utilization, coupled with higher
segment operating costs resulting, in part, from the addition of new rig capacity. The
semisubmersible rig Pride North America completed a contract offshore Egypt in January 2011 and
subsequently commenced a new contract in February following mobilization of the rig to Israel. With
the commencement of the new contract, daily revenues from the rig declined to $275,000 from
$495,000 under the previous contract. Also, the Pride North America experienced out-of-service time
of approximately 15 days due to an upgrade in the rigs water depth rating and certain equipment
repairs, as well as delays caused by civil unrest in Egypt. First quarter financial performance was
further impacted by out-of-service time on the semisubmersible rigs Pride Brazil, to complete a
scheduled shipyard program, and Pride Portland, to complete equipment repairs. Both rigs returned
to service in April 2011. Segment operating costs, before client reimbursables, in the first
quarter of 2011 increased to $146.7 million compared to $130.7 million in the fourth quarter of
2010 due primarily to the start-up of the drillship Deep Ocean Clarion. The rig commenced a
special standby dayrate of $380,000 in March 2011. Also, a dayrate increase to $305,000 from
$141,000 was experienced for the semisubmersible rig Pride Rio de Janeiro. Segment utilization
during the first quarter of 2011 was 91% compared to 96% in the fourth quarter of 2010, while
average daily revenues were $341,400 in the first quarter of 2011 compared to $339,800 in the
fourth quarter of 2010. At March 31, 2011, 85% of the companys available rig days for the last
three quarters of 2011 were under contract, with 75% committed in 2012, 58% in 2013, 46% in 2014
and 39% in 2015.
The Deep Ocean Ascension remains in the U.S. Gulf of Mexico, having completed integrated
acceptance testing with the client BP E&P (BP). Commencement of operations in the U.S. Gulf of
Mexico, per the clients original schedule, was delayed in 2010 by the drilling moratorium, and,
more recently, plans to relocate the rig to an alternative drilling location offshore Libya were
cancelled due to political unrest in the region. The Deep Ocean Ascension is currently finalizing
client requested modifications and waiting for BP to designate the first drilling location,
anticipated to be outside the United States. Subject to final documentation, we have agreed with BP
that the rig will remain on the special standby dayrate of $360,000
until June 1, 2011, at which time the applicable dayrate of $540,189 will begin, along with
commencement of the five-year term contract.
2
The Deep Ocean Clarion has completed integrated acceptance testing with the client BP and is
in the process of completing client-requested modifications and upgrades in preparation for
relocation to the first drilling location, anticipated to be outside the United States. The rig
began a special standby dayrate of $380,000 in early March 2011, in light of the drilling
moratorium and recent delays in permitting in the U.S. Gulf of Mexico, where the rig was originally
scheduled to commence operations. The special standby dayrate will continue until the earlier of
July 1, 2011, or the commencement of mobilization, which is expected to begin in late-May 2011. In
either event, the rig will begin earning the applicable dayrate of $596,000 per the terms of the
existing contract. The five-year term will begin when operations commence at the first well
location. The contract dayrate has been adjusted to reflect actual operating costs and client
requested capital upgrades.
The Deep Ocean Mendocino completed construction activities and was delivered from the SHI
shipyard in January 2011. The rig is currently in transit to the U.S. Gulf of Mexico with an
expected arrival during May 2011, when the rig will commence integrated acceptance testing with the
client, Petroleo Brasileiro S.A. (Petrobras). Commencement in the U.S. Gulf of Mexico of the
five-year contract with Petrobras is expected early in the third quarter of 2011 at a dayrate of
$502,300.
Finally, construction of the Deep Ocean Molokai continues in the SHI shipyard with a scheduled
delivery of December 2011. The drillship is presently without a contract; however, the company
currently has the unit bid on two client tenders with up to six other opportunities under review.
The company remains confident that near-term client demand for ultra-deepwater units with advanced
technical capabilities and drilling efficiencies will expand in the established and emerging
deepwater basins, providing attractive opportunities to contract the rig prior to its delivery.
Midwater Segment
The companys Midwater segment, consisting of six semisubmersible rigs, reported revenues for
the first quarter of 2011 of $99.3 million compared to revenues of $97.8 million in the fourth
quarter of 2010. The slight revenue improvement was primarily due to a full quarter of utilization
on the Pride Venezuela, partially offset by 52 days at zero dayrate on the Pride South Atlantic to
address unplanned regulatory inspections and equipment repairs. The Pride South Atlantic has since
returned to work. Operating costs in the first quarter of 2011, excluding client reimbursables,
increased to $77.4 million compared to $74.8 million in the fourth quarter of 2010. The higher
operating costs were primarily driven by reactivation costs associated with the Pride South Seas.
The reactivation activities are expected to conclude during the third quarter of 2011 when the rig
is expected to commence an initial four months of work offshore Congo at a dayrate of $185,000. The
rig has been idle since August 2009. Segment earnings from operations were $8.9 million during the
first quarter of 2011 compared to $10.4 million in the fourth quarter of 2010. EBITDA contribution
was $21.4 million compared to $21.9 million over the same comparative period. The Midwater segment
has contracted 82% of the available rig days over the remaining three quarters in 2011, as of March
31, 2011, with 35% contracted in 2012, 14% in 2013 and none in 2014.
3
Independent Leg Jackup Segment
Revenues from the companys seven independent leg jackup rigs improved to $17.1 million in the
first quarter of 2011, up from $12.8 million in the fourth quarter of 2010. The increase was driven
by higher utilization, which improved to 27% in the first quarter of 2011 from 14% during the
fourth quarter of 2010 due primarily to increased activity on the Pride North Dakota, following a
shipyard program in the fourth quarter of 2010, and the Pride Cabinda, which commenced a new,
estimated six-month contract in March 2011 following a period of inactivity. The segments loss
from operations declined to $7.1 million in the first quarter of 2011 compared to a loss of $11.6
million in the fourth quarter of 2010. Segment EBITDA improved to $1.2 million compared to negative
EBITDA of $4.1 million over the same comparative period.
In light of the agreement and plan of merger with Ensco plc, the company will not host a
conference call to discuss the first quarter financial results, but will post the earnings release
and supporting statements and schedules on its website at www.prideinternational.com. Pride
International will hold a special shareholders meeting on May 31, 2011 to vote on the proposed
merger.
Pride International, Inc., headquartered in Houston, Texas, operates a fleet of 26 mobile
offshore drilling units, consisting primarily of floating rigs (semisubmersibles and drillships)
that address deepwater drilling programs around the world. The company has one of the youngest and
most technologically advanced deepwater drilling fleets in the offshore industry, with five
drillships, including three delivered since the beginning of 2010, six semisubmersible rigs and two
managed deepwater rigs. Two additional deepwater drillships are currently under construction with
expected deliveries in 2011 and 2013. The companys fleet also includes six other semisubmersible
rigs and seven jackup rigs. Pride Internationals floating rig fleet operates primarily offshore
Brazil and West Africa where the company has a long-standing presence.
The information above includes forward-looking statements within the meaning of the Securities Act
of 1933 and the Securities Exchange Act of 1934. These forward-looking statements are subject to
certain risks, uncertainties and assumptions identified above or as disclosed from time to time in
the companys filings with the Securities and Exchange Commission. As a result of these factors,
actual results may differ materially from those indicated or implied by such forward-looking
statements.
4
Pride International, Inc.
Consolidated Statements of Operations
(Unaudited)
(In millions, except per share amounts)
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Three Months Ended |
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March 31, |
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2011 |
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2010 |
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REVENUES |
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Revenues, excluding reimbursable revenues |
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$ |
386.1 |
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$ |
357.4 |
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Reimbursable revenues |
|
|
7.4 |
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|
5.4 |
|
|
|
|
|
|
|
|
|
|
|
393.5 |
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|
|
362.8 |
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|
|
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COSTS AND EXPENSES |
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Operating costs, excluding depreciation |
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256.7 |
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200.9 |
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Reimbursable costs |
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6.5 |
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4.2 |
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Depreciation |
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53.0 |
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|
42.1 |
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General and administrative, excluding depreciation |
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35.5 |
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29.5 |
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Gain on sales of assets, net |
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(0.2 |
) |
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|
|
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351.7 |
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276.5 |
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EARNINGS FROM OPERATIONS |
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41.8 |
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86.3 |
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OTHER INCOME (EXPENSE), NET |
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Interest expense, net of amounts capitalized |
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(4.7 |
) |
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Interest income |
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0.6 |
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|
|
0.2 |
|
Other income (expense), net |
|
|
(3.8 |
) |
|
|
8.9 |
|
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INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES |
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33.9 |
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95.4 |
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INCOME TAXES |
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(3.0 |
) |
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(14.7 |
) |
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INCOME FROM CONTINUING OPERATIONS, NET OF TAX |
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30.9 |
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|
80.7 |
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LOSS FROM DISCONTINUED OPERATIONS, NET OF TAX |
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(0.8 |
) |
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(7.7 |
) |
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NET INCOME |
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$ |
30.1 |
|
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$ |
73.0 |
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BASIC EARNINGS PER SHARE: |
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Income from continuing operations attributable to common shareholders |
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$ |
0.17 |
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$ |
0.45 |
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Loss from discontinued operations |
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(0.04 |
) |
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Net income |
|
$ |
0.17 |
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$ |
0.41 |
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DILUTED EARNINGS PER SHARE: |
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Income from continuing operations attributable to common shareholders |
|
$ |
0.17 |
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|
$ |
0.45 |
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Loss from discontinued operations |
|
|
|
|
|
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(0.04 |
) |
|
|
|
|
|
|
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Net income |
|
$ |
0.17 |
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|
$ |
0.41 |
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|
|
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SHARES USED IN PER SHARE CALCULATIONS |
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|
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|
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Basic |
|
|
177.1 |
|
|
|
175.4 |
|
Diluted |
|
|
178.2 |
|
|
|
175.9 |
|
5
Pride International, Inc.
Consolidated Balance Sheets
(In millions)
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March 31, |
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December 31, |
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|
2011 |
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2010 |
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(Unaudited) |
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ASSETS |
|
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CURRENT ASSETS: |
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|
|
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|
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Cash and cash equivalents |
|
$ |
45.8 |
|
|
$ |
485.0 |
|
Trade receivables, net |
|
|
291.8 |
|
|
|
200.3 |
|
Deferred income taxes |
|
|
15.5 |
|
|
|
10.1 |
|
Other current assets |
|
|
111.1 |
|
|
|
127.3 |
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|
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Total current assets |
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|
464.2 |
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|
|
822.7 |
|
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PROPERTY AND EQUIPMENT |
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7,796.4 |
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|
7,337.0 |
|
Less: accumulated depreciation |
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|
1,423.3 |
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|
|
1,375.8 |
|
|
|
|
|
|
|
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Property and equipment, net |
|
|
6,373.1 |
|
|
|
5,961.2 |
|
OTHER ASSETS, NET |
|
|
88.2 |
|
|
|
87.8 |
|
|
|
|
|
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Total assets |
|
$ |
6,925.5 |
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|
$ |
6,871.7 |
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LIABILITIES AND STOCKHOLDERS EQUITY |
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CURRENT LIABILITIES: |
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|
|
|
|
|
|
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Current portion of long-term debt |
|
$ |
30.3 |
|
|
$ |
30.3 |
|
Accounts payable |
|
|
111.1 |
|
|
|
112.3 |
|
Accrued expenses and other current liabilities |
|
|
211.8 |
|
|
|
217.0 |
|
|
|
|
|
|
|
|
Total current liabilities |
|
|
353.2 |
|
|
|
359.6 |
|
|
|
|
|
|
|
|
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OTHER LONG-TERM LIABILITIES |
|
|
101.3 |
|
|
|
101.5 |
|
|
|
|
|
|
|
|
|
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LONG-TERM DEBT, NET OF CURRENT PORTION |
|
|
1,826.4 |
|
|
|
1,833.4 |
|
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|
|
|
|
|
|
|
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DEFERRED INCOME TAXES |
|
|
65.6 |
|
|
|
60.9 |
|
|
|
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|
|
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STOCKHOLDERS EQUITY: |
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Preferred stock |
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Common stock |
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|
1.8 |
|
|
|
1.8 |
|
Paid-in capital |
|
|
2,140.1 |
|
|
|
2,103.0 |
|
Treasury stock |
|
|
(27.2 |
) |
|
|
(21.8 |
) |
Retained earnings |
|
|
2,460.0 |
|
|
|
2,429.9 |
|
Accumulated other comprehensive income |
|
|
4.3 |
|
|
|
3.4 |
|
|
|
|
|
|
|
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Total stockholders equity |
|
|
4,579.0 |
|
|
|
4,516.3 |
|
|
|
|
|
|
|
|
Total liabilities and stockholders equity |
|
$ |
6,925.5 |
|
|
$ |
6,871.7 |
|
|
|
|
|
|
|
|
6
Pride International, Inc.
Consolidated Statements of Cash Flows
(Unaudited)
(In millions)
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Three Months Ended |
|
|
|
March 31, |
|
|
|
2011 |
|
|
2010 |
|
CASH FLOWS FROM OPERATING ACTIVITIES: |
|
|
|
|
|
|
|
|
Net income |
|
$ |
30.1 |
|
|
$ |
73.0 |
|
Adjustments to reconcile net income to net cash from
operating activities: |
|
|
|
|
|
|
|
|
Depreciation |
|
|
53.0 |
|
|
|
42.1 |
|
Amortization and write-offs of deferred financing costs |
|
|
1.0 |
|
|
|
0.6 |
|
Amortization of deferred contract liabilities |
|
|
(1.5 |
) |
|
|
(13.4 |
) |
Gain on sales of assets, net |
|
|
|
|
|
|
(0.2 |
) |
Deferred income taxes |
|
|
(0.8 |
) |
|
|
2.2 |
|
Excess tax benefits from stock-based compensation |
|
|
|
|
|
|
(2.6 |
) |
Stock-based compensation |
|
|
9.6 |
|
|
|
8.1 |
|
Other, net |
|
|
0.1 |
|
|
|
0.2 |
|
Net effect of changes in operating accounts |
|
|
(88.5 |
) |
|
|
(11.3 |
) |
Increase (decrease) in deferred revenue |
|
|
7.5 |
|
|
|
(0.9 |
) |
Increase in deferred expense |
|
|
5.6 |
|
|
|
2.4 |
|
|
|
|
|
|
|
|
NET CASH FLOWS FROM OPERATING ACTIVITIES |
|
|
16.1 |
|
|
|
100.2 |
|
CASH FLOWS USED IN INVESTING ACTIVITIES: |
|
|
|
|
|
|
|
|
Purchases of property and equipment |
|
|
(474.1 |
) |
|
|
(516.7 |
) |
Proceeds from dispositions of property and equipment |
|
|
|
|
|
|
0.4 |
|
|
|
|
|
|
|
|
NET CASH FLOWS USED IN INVESTING ACTIVITIES |
|
|
(474.1 |
) |
|
|
(516.3 |
) |
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
|
|
|
|
|
|
Repayments of borrowings |
|
|
(7.1 |
) |
|
|
(7.1 |
) |
Net proceeds from employee stock transactions |
|
|
25.9 |
|
|
|
4.3 |
|
Excess tax benefits from stock-based compensation |
|
|
|
|
|
|
2.6 |
|
|
|
|
|
|
|
|
NET CASH FLOWS FROM (USED IN) FINANCING ACTIVITIES |
|
|
18.8 |
|
|
|
(0.2 |
) |
Decrease in cash and cash equivalents |
|
|
(439.2 |
) |
|
|
(416.3 |
) |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD |
|
|
485.0 |
|
|
|
763.1 |
|
|
|
|
|
|
|
|
CASH AND CASH EQUIVALENTS, END OF PERIOD |
|
$ |
45.8 |
|
|
$ |
346.8 |
|
|
|
|
|
|
|
|
7
Pride International, Inc.
Quarterly Continuing Operating Results by Segment
(Unaudited)
(In millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
|
|
|
March 31, |
|
|
December 31, |
|
|
March 31, |
|
|
|
2011 |
|
|
2010 |
|
|
2010 |
|
Deepwater revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
Revenues, excluding reimbursables |
|
$ |
254.9 |
|
|
$ |
267.3 |
|
|
$ |
217.9 |
|
Reimbursable revenues |
|
|
4.2 |
|
|
|
3.7 |
|
|
|
2.9 |
|
|
|
|
|
|
|
|
|
|
|
Total Deepwater revenues |
|
|
259.1 |
|
|
|
271.0 |
|
|
|
220.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Midwater revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
Revenues, excluding reimbursables |
|
|
98.8 |
|
|
|
96.8 |
|
|
|
93.8 |
|
Reimbursable revenues |
|
|
0.5 |
|
|
|
1.0 |
|
|
|
0.4 |
|
|
|
|
|
|
|
|
|
|
|
Total Midwater revenues |
|
|
99.3 |
|
|
|
97.8 |
|
|
|
94.2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Independent Leg Jackups revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
Revenues, excluding reimbursables |
|
|
17.0 |
|
|
|
12.5 |
|
|
|
31.4 |
|
Reimbursable revenues |
|
|
0.1 |
|
|
|
0.3 |
|
|
|
0.2 |
|
|
|
|
|
|
|
|
|
|
|
Total Independent Leg Jackups revenues |
|
|
17.1 |
|
|
|
12.8 |
|
|
|
31.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other |
|
|
18.0 |
|
|
|
19.0 |
|
|
|
16.2 |
|
Corporate |
|
|
|
|
|
|
0.2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total revenues |
|
$ |
393.5 |
|
|
$ |
400.8 |
|
|
$ |
362.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss) from continuing operations: |
|
|
|
|
|
|
|
|
|
|
|
|
Deepwater |
|
$ |
78.3 |
|
|
$ |
107.4 |
|
|
$ |
87.5 |
|
Midwater |
|
|
8.9 |
|
|
|
10.4 |
|
|
|
30.9 |
|
Independent Leg Jackups |
|
|
(7.1 |
) |
|
|
(11.6 |
) |
|
|
(1.2 |
) |
Other |
|
|
(0.7 |
) |
|
|
0.1 |
|
|
|
0.6 |
|
Corporate |
|
|
(37.6 |
) |
|
|
(30.7 |
) |
|
|
(31.5 |
) |
|
|
|
|
|
|
|
|
|
|
Total |
|
$ |
41.8 |
|
|
$ |
75.6 |
|
|
$ |
86.3 |
|
|
|
|
|
|
|
|
|
|
|
8
Pride International, Inc.
Quarterly Selected Segment Metrics
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q1 2011 |
|
|
Q4 2010 |
|
|
Q1 2010 |
|
|
|
Average Daily |
|
|
Utilization |
|
|
Average Daily |
|
|
Utilization |
|
|
Average Daily |
|
|
Utilization |
|
|
|
Revenues (1) |
|
|
(2) |
|
|
Revenues (1) |
|
|
(2) |
|
|
Revenues (1) |
|
|
(2) |
|
Deepwater |
|
$ |
341,400 |
|
|
|
91 |
% |
|
$ |
339,800 |
|
|
|
96 |
% |
|
$ |
335,100 |
|
|
|
91 |
% |
Midwater |
|
$ |
255,200 |
|
|
|
72 |
% |
|
$ |
243,300 |
|
|
|
73 |
% |
|
$ |
265,000 |
|
|
|
66 |
% |
Independent Leg Jackups |
|
$ |
98,800 |
|
|
|
27 |
% |
|
$ |
139,400 |
|
|
|
14 |
% |
|
$ |
110,100 |
|
|
|
45 |
% |
|
|
|
(1) |
|
Average daily revenues are based on total revenues for each type of rig divided by actual days worked by all rigs of
that type. Average daily revenues will differ from average contract dayrate due to billing adjustments for any non- productive time, mobilization fees,
demobilization fees, performance bonuses and charges to the customer for ancillary services. |
|
(2) |
|
Utilization is calculated as the total days worked divided by the total days in the period. |
9
Pride International, Inc.
Reconciliation of Earnings before Interest, Taxes and Depreciation and Amortization (EBITDA)
(Unaudited)
(In millions)
We believe that this non-GAAP financial measure for EBITDA is meaningful information that our
management considers when making investment decisions. We believe it also provides
supplemental information regarding our operating results with respect to both the performance
of our fundamental business activities and our ability to meet our future debt service,
capital expenditures and working capital requirements. We also believe investors and analysts
commonly use EBITDA as a widely accepted financial indicator to analyze and compare companies
on the basis of operating performance that have different financing and capital structures
and tax rates. EBITDA is not a substitute for the U.S. GAAP measures of earnings or of cash
flow and is not necessarily a measure of the companys ability to fund its cash needs.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q1 2011 |
|
|
Q4 2010 |
|
|
Q1 2010 |
|
Deepwater |
|
|
|
|
|
|
|
|
|
|
|
|
Income from continuing operations |
|
$ |
78.3 |
|
|
$ |
107.4 |
|
|
$ |
87.5 |
|
Plus: Total interest expense, net |
|
|
|
|
|
|
|
|
|
|
|
|
Plus: Income tax provision |
|
|
|
|
|
|
|
|
|
|
|
|
Plus: Depreciation |
|
|
30.5 |
|
|
|
29.6 |
|
|
|
20.7 |
|
|
|
|
|
|
|
|
|
|
|
EBITDA |
|
|
108.8 |
|
|
|
137.0 |
|
|
|
108.2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Midwater |
|
|
|
|
|
|
|
|
|
|
|
|
Income from continuing operations |
|
|
8.9 |
|
|
|
10.4 |
|
|
|
30.9 |
|
Plus: Total interest expense, net |
|
|
|
|
|
|
|
|
|
|
|
|
Plus: Income tax provision |
|
|
|
|
|
|
|
|
|
|
|
|
Plus: Depreciation |
|
|
12.5 |
|
|
|
11.5 |
|
|
|
12.0 |
|
|
|
|
|
|
|
|
|
|
|
EBITDA |
|
|
21.4 |
|
|
|
21.9 |
|
|
|
42.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Independent Leg Jackups |
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from continuing operations |
|
|
(7.1 |
) |
|
|
(11.6 |
) |
|
|
(1.2 |
) |
Plus: Total interest expense, net |
|
|
|
|
|
|
|
|
|
|
|
|
Plus: Income tax provision |
|
|
|
|
|
|
|
|
|
|
|
|
Plus: Depreciation |
|
|
8.3 |
|
|
|
7.5 |
|
|
|
7.5 |
|
|
|
|
|
|
|
|
|
|
|
EBITDA |
|
|
1.2 |
|
|
|
(4.1 |
) |
|
|
6.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other & Corporate |
|
|
|
|
|
|
|
|
|
|
|
|
Loss from continuing operations |
|
|
(49.2 |
) |
|
|
(44.0 |
) |
|
|
(36.5 |
) |
Plus: Total interest expense, net |
|
|
4.1 |
|
|
|
6.1 |
|
|
|
(0.2 |
) |
Plus: Income tax provision |
|
|
3.0 |
|
|
|
5.7 |
|
|
|
14.7 |
|
Plus: Depreciation |
|
|
1.7 |
|
|
|
2.0 |
|
|
|
1.9 |
|
|
|
|
|
|
|
|
|
|
|
EBITDA |
|
|
(40.4 |
) |
|
|
(30.2 |
) |
|
|
(20.1 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Pride International Inc. |
|
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from continuing operations |
|
|
30.9 |
|
|
|
62.2 |
|
|
|
80.7 |
|
Plus: Total interest expense, net |
|
|
4.1 |
|
|
|
6.1 |
|
|
|
(0.2 |
) |
Plus: Income tax provision |
|
|
3.0 |
|
|
|
5.7 |
|
|
|
14.7 |
|
Plus: Depreciation |
|
|
53.0 |
|
|
|
50.6 |
|
|
|
42.1 |
|
|
|
|
|
|
|
|
|
|
|
EBITDA |
|
$ |
91.0 |
|
|
$ |
124.6 |
|
|
$ |
137.3 |
|
|
|
|
|
|
|
|
|
|
|
10