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): May 3, 2011

ROWAN COMPANIES, INC.

(Exact name of registrant as specified in its charter)

DELAWARE	1-5491	75-0759420
(State or other jurisdiction	(Commission	(IRS Employer
of incorporation)	file Number)	Identification No.)

2800 POST OAK BOULEVARD
SUITE 5450
HOUSTON, TEXAS	77056-6189
(Address of principal executive offices)	(zip code)

(713) 621-7800

(Registrant’s telephone number, including area code)

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

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

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

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240-14d-2(b))

o 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

The following information is disclosed pursuant to Item 2.02 - Results of Operations and Financial Condition:

On May 3, 2011, Rowan Companies, Inc. issued a press release announcing its operating results for the three months ended March 31, 2011. The press release is attached as Exhibit 99.

Item 9.01 - Financial Statements and Exhibits

(c) Exhibits

Exhibit
Number	Exhibit Description
99	Press release of Rowan Companies, Inc. dated May 3, 2011 announcing its operating results for the three months ended March 31, 2011

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SIGNATURES

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 hereunto duly authorized.

ROWAN COMPANIES, INC.
By:	/s/ W. H. WELLS
	W. H. Wells,
	Senior Vice President - Chief Financial Officer and Treasurer

Dated: May 3, 2011

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INDEX TO EXHIBITS

Exhibit
Number	Exhibit Description
99	Press release of Rowan Companies, Inc. dated May 3, 2011 announcing its operating results for the three months ended March 31, 2011

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EX-99.1

Rowan Reports First Quarter 2011 Operating Results

HOUSTON, May 3, 2011 /PRNewswire/ -- For the three months ended March 31, 2011, Rowan Companies, Inc. ("Rowan" or the "Company") (NYSE: RDC) generated net income of $32.1 million or $0.25 per share, compared to $64.6 million or $0.56 per share in the first quarter of 2010. Revenues were $364.3 million in the first quarter of 2011, compared to $432.4 million in the first quarter of 2010.

(Logo: http://photos.prnewswire.com/prnh/20081031/DA43093LOGO)

The first quarter 2011 results included gains on asset disposals of $2.0 million, or $0.01 per share after tax. The first quarter 2010 results included a $42.0 million pre-tax charge, or $0.25 per share after tax, for estimated losses associated with non-conforming and slow-moving inventory items in the Company's Drilling Products and Systems manufacturing segment.

Rowan's drilling operations generated revenues of $250 million in the first quarter of 2011, down by 24% from the prior-year quarter due primarily to lower average day rates. The Company's gross drilling margin was 43% of revenues in the first quarter of 2011, down from 59% in the prior-year quarter. Income from drilling operations was $41.6 million in the first quarter of 2011, down by 70% from the prior-year quarter.

Rowan's manufacturing operations generated external revenues of $114.3 million in the first quarter of 2011, up by 13% over the prior-year quarter. The Company's gross manufacturing margin was 14% of revenues in the first quarter of 2011, down from 17% in the prior-year quarter. Income from manufacturing operations was $1.0 million in the first quarter of 2011, down by 68% from the prior-year quarter excluding effects of the 2010 inventory charge discussed above.

Matt Ralls, President and Chief Executive Officer, commented, "Our outlook for 2011 remains positive across all three of our businesses. Although our first quarter results fell short of expectations, the underperformance related mainly to delayed shipments at LeTourneau and some non-recurring expense items in our offshore drilling business. We expect improvements in utilization and day rates in 2011 for both our offshore and land rigs. At LeTourneau, the mining business continues to be strong, and the drilling products businesses are strengthening.

"As we have previously announced, we believe market conditions are favorable for separating our land rigs and manufacturing businesses from Rowan, and have commenced processes around both transactions. Assuming current market conditions continue, we are optimistic that we will complete both transactions in 2011."

Rowan will conduct its earnings conference call on Tuesday, May 3, 2011, at 10:00 a.m. Central Daylight Time. Interested parties are invited to listen to the call by telephone or over the Internet. Individuals who wish to participate on the conference call by telephone can dial (877) 869-3847, or internationally (201) 689-8261. Alternatively, to access the online simulcast and rebroadcast of the conference call, please visit Rowan's website at www.rowancompanies.com. You should connect to our website at least 15 minutes prior to the conference call to register, download and install any necessary software.

Rowan Companies, Inc. is a major provider of international and domestic contract drilling services. The Company also owns and operates a manufacturing division that produces equipment for the drilling, mining and timber industries. The Company's stock is traded on the New York Stock Exchange. Common Stock trading symbol: RDC. For more information on Rowan, please visit www.rowancompanies.com.

This report contains forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, statements as to the expectations, beliefs and future expected financial performance of the Company that are based on current expectations and are subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected by the Company. Among the factors that could cause actual results to differ materially include oil and natural gas prices, the level of offshore expenditures by energy companies, energy demand, the general economy, including inflation, weather conditions in the Company's principal operating areas and environmental and other laws and regulations. Other relevant factors have been disclosed in the Company's filings with the U.S. Securities and Exchange Commission.

ROWAN  COMPANIES,  INC.
CONDENSED  CONSOLIDATED  BALANCE  SHEETS
Unaudited  (In  Millions)
	MARCH 31,	DECEMBER 31,
	2011	2010
ASSETS
Cash  and  cash  equivalents	$       189.7	$               437.5
Restricted  cash	14.8	15.2
Accounts  receivable	382.7	417.9
Inventories	396.0	347.9
Other  current  assets	83.1	106.3
Total  current  assets	1,066.3	1,324.8
Property,  plant  and  equipment  -  net	5,092.2	4,793.4
Other  assets	99.5	99.3
TOTAL	$    6,258.0	$            6,217.5
LIABILITIES  AND  STOCKHOLDERS'  EQUITY
Current  maturities  of  long-term  debt	$         52.1	$                 52.2
Accounts  payable	147.2	116.9
Other  current  liabilities	324.6	360.2
Total  current  liabilities	523.9	529.3
Long-term  debt	1,121.6	1,133.7
Other  liabilities	815.3	802.2
Stockholders'  equity	3,797.2	3,752.3
TOTAL	$    6,258.0	$            6,217.5

ROWAN  COMPANIES,  INC.
CONDENSED  CONSOLIDATED  STATEMENTS  OF  OPERATIONS
Unaudited  (In  Millions  Except  Per  Share  Amounts)
			THREE  MONTHS
			ENDED  MARCH  31
			2011	2010
REVENUES			$ 364.3	$ 432.4
COSTS  AND  EXPENSES:
	Operations		241.9	221.1
	Depreciation  and  amortization		49.4	45.5
	Selling,  general  and  administrative		32.4	25.8
	Gain  on  disposals  of  property  and  equipment		(2.0)	(0.1)
	Material  charge  for  manufacturing  inventories		-	42.0
		Total	321.7	334.3
INCOME  FROM  OPERATIONS			42.6	98.1
Net  interest  and  other  income			(5.2)	(4.0)
INCOME  BEFORE  INCOME  TAXES			37.4	94.1
Provision  for  income  taxes			5.3	29.5
NET  INCOME			$   32.1	$   64.6
NET  INCOME  PER  DILUTED  SHARE			$   0.25	$   0.56
AVERAGE  DILUTED  SHARES			127.2	114.5
NOTE:  See pages 6 and 7 for supplemental operating information.

ROWAN  COMPANIES,  INC.
CONDENSED  CONSOLIDATED   STATEMENTS  OF  CASH  FLOWS
Unaudited  (In  Millions)
	THREE  MONTHS
	ENDED  MARCH  31
	2011	2010
CASH  PROVIDED  BY  (USED  IN):
Operations:
Net  income	$   32.1	$   64.6
Adjustments  to  reconcile  net  income  to  net
cash  provided  by  operations:
Depreciation  and  amortization	49.4	45.5
Deferred  income  taxes	0.9	4.2
Gain  on  disposals  of  assets	(2.0)	(0.1)
Other -  net	(14.9)	(22.8)
Net  changes  in  current  assets  and  liabilities	42.8	(100.0)
Net  changes  in  other  noncurrent  assets  and  liabilities	5.6	(1.6)
Net  cash  provided  by  (used  in)  operations	113.9	(10.2)
Investing  activities:
Property,  plant  and  equipment  additions	(361.1)	(89.6)
Proceeds  from  disposals  of  property,  plant  and  equipment	2.7	0.3
Decrease  in  Restricted  cash	0.4	-
Net  cash  used  in  investing  activities	(358.0)	(89.3)
Financing  activities:
Repayments  of  borrowings	(12.3)	(18.7)
Proceeds  from  equity  compensation  plans  and  other	8.6	0.6
Net  cash  used  in  financing  activities	(3.7)	(18.1)
DECREASE  IN  CASH  AND  CASH  EQUIVALENTS	(247.8)	(117.6)
CASH  AND  CASH  EQUIVALENTS,  BEGINNING  OF  PERIOD	437.5	639.7
CASH  AND  CASH  EQUIVALENTS,  END  OF  PERIOD	$ 189.7	$ 522.1

ROWAN  COMPANIES,  INC.
SUPPLEMENTAL  DRILLING  INFORMATION
Unaudited  (dollars  in  millions,  except  where  otherwise  indicated )
				THREE  MONTHS  ENDED
				March 31, 2011				December 31, 2010				March 31, 2010
				$ (a)	Elims.	$ (b)	% Revs.	$ (a)	Elims.	$ (b)	% Revs.	$ (b)	% Revs.
DRILLING  OPERATIONS:
	Revenues			$   250.0		$   250.0	100	$   259.6		$   259.6	100	$   331.0	100
	Operating costs (excluding items shown below)			(143.9)	$  0.6	(143.3)	(57)	(137.4)	$  0.7	(136.7)	(53)	(136.5)	(41)
	Depreciation and amortization expense			(47.8)	1.9	(45.9)	(18)	(45.4)	1.6	(43.8)	(17)	(41.5)	(13)
	Selling, general and administrative expenses (c)			(21.0)		(21.0)	(8)	(23.6)		(23.6)	(9)	(16.3)	(5)
	Gain (loss) on sale of property and equipment			1.8		1.8	1	(0.2)		(0.2)	(0)	0.3	0
			Income from operations	$     39.1	$  2.5	$     41.6	17	$     53.0	$  2.3	$     55.3	21	$   137.0	41
			Adjusted EBITDA (d)	$     85.1	$  0.6	$     85.7	34	$     98.6	$  0.7	$     99.3	38	$   178.2	54
OFFSHORE  RIG  DAYS:
	Operating					1,477				1,437		1,556
	Available					2,271				2,208		2,070
			Utilization			65%				65%		75%
LAND  RIG  DAYS:
	Operating					2,055				2,316		2,044
	Available					2,700				2,760		2,880
			Utilization			76%				84%		71%
AVERAGE  DAY  RATES  (in  thousands):
	Gulf  of  Mexico  rigs					$   118.2				$   126.6		$   142.0
	Middle  East  rigs					128.7				132.0		161.6
	North  Sea  rigs					182.5				175.7		287.7
	All  offshore  rigs					136.4				142.5		183.2
	Land  rigs					21.2				21.0		20.4
(a)		Amounts include effects of intercompany transactions between drilling and manufacturing operations.
(b)		Amounts exclude effects of intercompany transactions.
(c)		Amounts include corporate SG&A costs that are allocated between operating segments.
(d)		Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) is a non-GAAP financial measure that we believe is relevant to our stockholders.  We measure Adjusted EBITDA as operating income plus depreciation and amortization expense and any loss on sale, less any gain on sale.

ROWAN  COMPANIES,  INC.
SUPPLEMENTAL  MANUFACTURING  INFORMATION
Unaudited  (dollars  in  millions)
				THREE  MONTHS  ENDED
				March 31, 2011					December 31, 2010					March 31, 2010
				$ (a)	% Revs.	Elims.	$ (b)	% Revs.	$ (a)	% Revs.	Elims.	$ (b)	% Revs.	$ (b)	% Revs.
MANUFACTURING  OPERATIONS:
	Revenues			$ 154.8	100	$ (40.5)	$ 114.3	100	$ 256.7	100	$ (57.5)	$ 199.2	100	$ 101.4	100
	Operating costs (excluding items shown below)			(128.7)	(83)	30.1	(98.6)	(86)	(206.1)	(80)	41.7	(164.4)	(83)	(84.6)	(83)
	Depreciation and amortization expense			(3.5)	(2)		(3.5)	(3)	(3.5)	(1)		(3.5)	(2)	(4.0)	(4)
	Selling, general and administrative expenses (c)			(11.4)	(7)		(11.4)	(10)	(12.4)	(5)		(12.4)	(6)	(9.5)	(9)
	Gain (loss) on sale of property and equipment			0.2	0		0.2	0	-	-		-	-	(0.2)	(0)
	Material charge for inventories			-	-		-	-	-	-		-	-	(42.0)	(41)
			Income from operations	$   11.4	7	$ (10.4)	$      1.0	1	$   34.7	14	$ (15.8)	$   18.9	9	$  (38.9)	(38)
			Adjusted EBITDA (d)	$   14.7	9	$ (10.4)	$      4.3	4	$   38.2	15	$ (15.8)	$   22.4	11	$      7.3	7
REVENUES:
	Drilling  Products  and  Systems			$   80.8	52	$ (40.5)	$   40.3	35	$ 167.8	65	$ (57.5)	$ 110.3	55	$   50.3	50
	Mining,  Forestry  and  Steel  Products			74.0	48	-	74.0	65	88.9	35	-	88.9	45	51.1	50
			Total	$ 154.8	100	$ (40.5)	$ 114.3	100	$ 256.7	100	$ (57.5)	$ 199.2	100	$ 101.4	100
MANUFACTURING  BACKLOG:
	Drilling  Products  and  Systems			$ 297.2		$ (50.9)	$ 246.3		$ 232.8		$ (83.2)	$ 149.6		$ 302.2
	Mining,  Forestry  and  Steel  Products			190.2		-	190.2		149.7		-	149.7		89.8
			Total	$ 487.4		$ (50.9)	$ 436.5		$ 382.5		$ (83.2)	$ 299.3		$ 392.0
(a)		Amounts include effects of intercompany transactions between manufacturing and drilling operations.
(b)		Amounts exclude effects of intercompany transactions.
(c)		Amounts include corporate SG&A costs that are allocated between operating segments.
(d)		Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) is a non-GAAP financial measure that we believe is relevant to our stockholders. We measure Adjusted EBITDA as operating income plus depreciation and amortization expense, any loss on sale and, in 2010, the material charge for inventories, less any gain on sale.

CONTACT: Suzanne M. McLeod, Director of Investor Relations, +1-713-960-7517, smcleod@rowancompanies.com