J. Ray McDermott Completes Acquisition of Secunda Assets

  
    
  
  
    
      McDermott International, Inc. (NYSE:MDR) (“McDermott”) 
      announced today that an affiliate of its subsidiary, J. Ray McDermott, 
      S.A. (“J. Ray”), has 
      completed its previously announced acquisition of substantially all of 
      the assets of Secunda International Limited ("Secunda"), including 14 
      harsh-weather, multi-functional vessels, with capabilities which include 
      subsea construction, pipelay, cable lay and dive support, as well as its 
      shore base operations, for approximately $260 million.
    
    
      “We are pleased to complete this purchase and 
      to begin integrating certain of these assets into J. Ray’s 
      strong backlog of offshore oil & gas construction projects,” 
      said Bob Deason, Chief Executive Officer of J. Ray. “With 
      Secunda, J. Ray enhances the ability to utilize its larger marine assets 
      for higher value activities, increases the number of activities which 
      can be self-performed, and additionally, supports its growing subsea 
      development activities.”
    
    
      McDermott is an engineering and construction company, with specialty 
      manufacturing and service capabilities, focused on energy 
      infrastructure. McDermott’s customers are 
      predominantly utilities and other power generators, major and national 
      oil companies, and the United States Government. With its global 
      operations, McDermott operates in over 20 countries with more than 
      20,000 employees, and can be found on the internet at www.mcdermott.com.
    
    
      In connection with the approval under the Investment Canada Act, J. Ray’s 
      acquiring subsidiary made certain commitments to the Minister of 
      Industry, which highlight the net benefit to Canada that will result 
      from the acquisition. These include commitments to maintain Secunda’s 
      former headquarters as well as the existing management team in 
      Dartmouth, Nova Scotia and to increase capital expenditures to maintain 
      and upgrade the vessel fleet. Additionally, J. Ray’s 
      presence in the Atlantic Canada region will bring to the area’s 
      oil and gas industry a new, local fully-integrated EPCI contractor for 
      future field developments.
    
    
      In accordance with the Safe Harbor provisions of the Private Securities 
      Litigation Reform Act of 1995, McDermott cautions that statements in 
      this presentation that are forward-looking and provide other than 
      historical information involve risks and uncertainties that may impact 
      the actual results realized from the asset purchase. The forward-looking 
      statements in this presentation include statements regarding the 
      expected benefits from this acquisition. Those statements are made based 
      on various underlying assumptions and are subject to numerous 
      uncertainties and risks, including, without limitation, difficulties in 
      integrating Secunda assets and employees with J. Ray’s 
      operations.