Delaware | ||
(State or other | 76-0476605 (I.R.S. Employer Identification No.) |
Title of Each Class | Name of Exchange on Which Registered | |
Common Stock, par value $.01 per share | New York Stock Exchange |
Large accelerated filer þ | Accelerated filer o | Non-accelerated filer o | Smaller reporting company o | |||
Voting common stock (as of June 30, 2009) | $ | 1,203,768,904 |
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• | the level of demand for and supply of oil and natural gas; | |
• | fluctuations in the current and future prices of oil and natural gas; | |
• | the level of activity and developments in the Canadian oil sands; | |
• | the level of drilling and completion activity; | |
• | the level of mining activity in Australia and demand for coal from Australia; | |
• | the level of offshore oil and natural gas developmental activities; | |
• | general economic conditions and the pace of recovery from the recent recession; | |
• | our ability to find and retain skilled personnel; | |
• | the availability and cost of capital; and | |
• | the other factors identified under the caption “Risks Factors.” |
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Item 1. | Business |
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• | flexible bearings and connector products; | |
• | subsea pipeline products; | |
• | marine winches, mooring | |
• | conductor casing connections and pipe; | |
• | drilling riser and related repair services; | |
• | blowout preventer stack assembly, integration, testing and repair services; and | |
• | other products and services. |
• | pipeline end manifolds, pipeline end terminals; | |
• | midline tie-in sleds; | |
• | forged steel Y-shaped connectors for joining two pipelines into one; |
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• | pressure-balanced safety joints for protecting pipelines and related equipment from anchor snags or a shifting sea-bottom; | |
• | electrical isolation joints; and | |
• | hot tap clamps that allow new pipelines to be joined into existing lines without interrupting the flow of petroleum product. |
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• | repair clamps used to seal leaks and restore the structural integrity of a pipeline; | |
• | mechanical connectors used in repairing subsea pipelines without having to weld; | |
• | ||
• | pipe recovery tools for recovering dropped or damaged pipelines. |
• | elastomer consumable downhole products for onshore drilling and production; | |
• | sound and vibration isolation equipment for the U.S. Navy submarine fleet; | |
• | metal-elastomeric FlexJoints® used in a variety of naval and marine applications; and | |
• | drum-clutches and brakes for heavy-duty power transmission in the mining, paper, logging and marine industries. |
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• | wireline and coiled tubing pressure control equipment; | |
• | wellhead isolation equipment; | |
• | pipe recovery systems; | |
• | thru-tubing fishing services; | |
• | hydraulic chokes and manifolds; | |
• | blow out preventers; | |
• | well testing and flowback equipment, including separators and line heaters; | |
• | gravel pack operations on well bores; and | |
• | surface control equipment and down-hole tools utilized by coiled tubing operators. |
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• | distribute a broad range of casing and tubing; | |
• | provide threading, logistical and inventory management services; and | |
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Item 1A. | Risk Factors |
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• | the level of drilling activity; | |
• | the level of production; | |
• | the levels of oil and natural gas inventories; | |
• | depletion rates; | |
• | the worldwide demand for oil and natural gas; | |
• | the expected cost of finding, developing and producing new reserves; | |
• | delays in major offshore and onshore oil and natural gas field development timetables; |
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• | the level of activity and developments in the Canadian oil sands; | |
• | the level of demand for coal and other natural resources from Australia; | |
• | the availability of attractive oil and natural gas field prospects, which may be affected by governmental actions or environmental activists which may restrict drilling; | |
• | the availability of transportation infrastructure, refining capacity and shifts in end-customer preferences toward fuel efficiency and the use of natural gas; | |
• | global weather conditions and natural disasters; | |
• | worldwide economic activity including growth in underdeveloped countries, | |
• | national government political requirements, including the ability of the Organization of Petroleum Exporting Companies (OPEC) to set and maintain production levels and prices for oil and government policies which could nationalize or expropriate oil and natural gas exploration, production, refining or transportation assets; | |
• | the level of oil and gas production by non-OPEC countries; | |
• | the impact of armed hostilities involving one or more oil producing nations; |
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• | rapid technological change and the timing and extent of alternative energy sources, including liquefied natural gas (LNG) or other alternative fuels; | |
• | environmental regulation; and | |
• | domestic and foreign tax policies. |
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• | global economic conditions deteriorate; | |
• | the outlook for future profits and cash flow for any of our reporting units deteriorate as the result of many possible factors, including, but not limited to, increased or unanticipated competition, technology becoming obsolete, further reductions in customer capital spending plans, loss of key personnel, adverse legal or regulatory judgment(s), future operating losses at a reporting unit, downward forecast revisions, or restructuring plans; | |
• | costs of equity or debt capital increase further; or | |
• | valuations for comparable public companies or comparable acquisition valuations deteriorate further. |
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• | war and civil disturbances or other risks that may limit or disrupt markets; | |
• | expropriation, confiscation or nationalization of assets; | |
• | renegotiation or nullification of existing contracts; | |
• | foreign exchange restrictions; | |
• | foreign currency fluctuations; | |
• | foreign taxation; | |
• | the inability to repatriate earnings or capital; | |
• | changing political conditions; | |
• | changing foreign and domestic monetary policies; | |
• | social, political, military and economic situations in foreign areas where we do business and the possibilities of war, other armed conflict or terrorist attacks; and | |
• | regional economic downturns. |
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• | issuance of administrative, civil and criminal penalties; | |
• | denial or revocation of permits or other authorizations; | |
• | reduction or cessation in operations; and | |
• | performance of site investigatory, remedial or other corrective actions. |
• | result in increased costs associated with our operations and our customers’ operations; | |
• | increase other costs to our business; | |
• | adversely impact overall drilling activity in the areas in which we operate; | |
• | reduce the demand for carbon-based fuels; and | |
• | reduce the demand for our services. |
• | cap and trade system for emissions; | |
• | increase environmental limits on exploration and production activities; | |
• | repeal of expensing of intangible drilling costs; | |
• | increase of the amortization period for geological and geophysical costs to seven years; | |
• | repeal of percentage depletion; | |
• | limits on hydraulic fracturing or disposal of hydraulic fracturing fluids; |
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• | repeal of the domestic manufacturing deduction for oil and natural gas production; | |
• | repeal of the passive loss exception for working interests in oil and natural gas properties; | |
• | repeal of the credits for enhanced oil recovery projects and production from marginal wells; | |
• | repeal of the deduction for tertiary injectants; | |
• | changes to the foreign tax credit limitation calculation; and | |
• | changes to healthcare rules and regulations. |
• | domestic and international pricing and demand for the natural resource being produced at a given project (or proposed project); | |
• | unexpected problems and delays during the development, construction and projectstart-up which may delay the commencement of production; | |
• | unforeseen and adverse climatic, geological, geotechnical, seismic and mining conditions; | |
• | lack of availability of sufficient water or power to maintain their or our operations; | |
• | lack of availability or failure of the required infrastructure necessary to maintain or to expand their operations; | |
• | the breakdown or shortage of equipment and labor necessary to maintain their or our operations; | |
• | risks associated with the natural resources industry being subject to various regulatory approvals. Such risks may include a Government Agency failing to grant an approval or failing to renew an existing approval, or the approval or renewal not being provided by the Government Agency in a timely manner or the Government Agency granting or renewing an approval subject to materially onerous conditions; | |
• | risks to land titles, mining titles and use thereof as a result of native title claims; | |
• | claims by persons living in close proximity to mining projects, which may have an impact on the consents granted; | |
• | interruptions to the operations of our clients caused by industrial accidents or disputation; and | |
• | delays in or failure to commission new infrastructure in timeframes so as not to disrupt client operations. |
• | abnormal stoppages in the production or delivery of the products of our clients due to factors such as industrial disruption, infrastructure failure, war, political or civil unrest; | |
• | cost overruns in the provision of new rooms or in other associated or related capital expenditure; | |
• | higher than budgeted costs associated with the provision of accommodations services; | |
• | our clients not renewing their contracts, renewing them on less favorable terms, or other loss of clients; | |
• | failure of our clients to meet their obligations under their contracts; | |
• | extreme weather conditions adversely affecting our operations or the operations of our clients; and |
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• | a major disaster at one or more of our large accommodations facilities involving fire, communicable diseases, criminal acts or other events causing significant reputational damage. |
• | the construction activities of our accommodations business are partially dependent on the supply of appropriate construction and development opportunities; | |
• | development approvals, slow decision making by counterparties, complex construction specifications, changes to design briefs, legal issues and other documentation changes may give rise to delays in completion, loss of revenue and cost over-runs. Delays in completion may, in turn, result in liquidated damages and termination of accommodation supply contracts; | |
• | other time delays that may arise in relation to construction and development include supply of labor, scarcity of construction materials, lower than expected productivity levels, inclement weather conditions, land contamination, cultural heritage claims, difficult site access, or industrial relations issues; | |
• | objections aired by community interest, environmentand/or neighborhood groups which may cause delays in the granting or approvalsand/or the overall progress of a project; | |
• | where we assume design responsibility, there is a risk that design problems or defects may result in rectificationand/or costs or liabilities which we cannot readily recover; and | |
• | there is a risk that we may fail to fulfill our statutory and contractual obligations in relation to the quality of our materials and workmanship, including warranties and defect liability obligations. |
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• | retaining key employees of acquired businesses; | |
• | retaining and attracting new customers of acquired businesses; | |
• | retaining supply and distribution relationships key to the supply chain; | |
• | increased administrative burden; | |
• | developing our sales and marketing capabilities; | |
• | managing our growth effectively; | |
• | potential impairment resulting from the overpayment for an acquisition; | |
• | integrating operations; | |
• | operating a new line of business; and | |
• | increased logistical problems common to large, expansive operations. |
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• | we may not be able to continue to obtain insurance on commercially reasonable terms; | |
• | we may be faced with types of liabilities that will not be covered by our insurance, such as damages from environmental contamination or terrorist attacks; | |
• | the dollar amount of any liabilities may exceed our policy limits; |
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• | the counterparties to our insurance contracts may pose credit risks; and | |
• | we may incur losses from interruption of our business that exceed our insurance coverage. |
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Item 1B. | Unresolved Staff Comments |
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Item 2. | Properties |
Approximate | ||||||
Square | ||||||
Location | Footage/Acreage | Description | ||||
United States: | ||||||
Houston, Texas (lease) | 15,829 | Principal executive offices | ||||
Arlington, Texas | 11,264 | Offshore products business office | ||||
Arlington, Texas | 36,770 | Offshore products business office and warehouse | ||||
Arlington, Texas | 55,853 | Offshore products manufacturing facility | ||||
Arlington, Texas (lease) | 63,272 | Offshore products manufacturing facility | ||||
Arlington, Texas | 44,780 | Elastomer technology center for offshore products | ||||
Arlington, Texas | 60,000 | Molding and aerospace facilities for offshore products | ||||
Houston, Texas (lease) | 52,000 | Offshore products business office | ||||
Houston, Texas | 25 acres | Offshore products manufacturing facility and yard | ||||
Houston, Texas | 22 acres | Offshore products manufacturing facility and yard | ||||
Houston, Texas (lease) | 50,750 | Offshore products service facility and office | ||||
Lampasas, Texas | 48,500 | Molding facility for offshore products | ||||
Lampasas, Texas (lease) | 20,000 | Warehouse for offshore products | ||||
Tulsa, Oklahoma | 74,600 | Molding facility for offshore products | ||||
Tulsa, Oklahoma (lease) | 14,000 | Molding facility for offshore products | ||||
Houma, Louisiana | 40 acres | Offshore products manufacturing facility and yard | ||||
Houma, Louisiana (lease) | 20,000 | Offshore products manufacturing facility and yard | ||||
Houston, Texas (lease) | 9,945 | Tubular services business office | ||||
Tulsa, Oklahoma (lease) | 11,955 | Tubular services business office | ||||
Midland, Texas | 60 acres | Tubular yard | ||||
Godley, Texas | 31 acres | Tubular yard | ||||
Crosby, Texas | 109 acres | Tubular yard | ||||
Searcy, Arkansas | 14 acres | Tubular yard | ||||
Montoursville, Pennsylvania | 24 acres | Tubular yard | ||||
Belle Chasse, Louisiana (own and lease) | 427,020 | Accommodations manufacturing facility and yard | ||||
Vernal, Utah (lease) | 21 acres | Accommodations facility and yard | ||||
Dickinson, North Dakota (lease) | 26 acres | Accommodations facility and yard | ||||
Odessa, Texas | 22 acres | Office, shop, warehouse and yard in support of drilling operations for well site services | ||||
Casper, Wyoming | 7 acres | Office, shop and yard in support of drilling operations for well site services | ||||
Canada: | ||||||
Nisku, Alberta | 9 acres | Accommodations manufacturing facility | ||||
Spruce Grove, Alberta | 15,000 | Accommodations facility and equipment yard | ||||
Grande Prairie, Alberta | 15 acres | Accommodations facility and equipment yard | ||||
Grimshaw, Alberta (lease) | 20 acres | Accommodations equipment yard | ||||
Edmonton, Alberta | 33 acres | Accommodations manufacturing facility | ||||
Edmonton, Alberta (lease) | 86,376 | Accommodations office and warehouse | ||||
Edmonton, Alberta (lease) | 16,130 | Accommodations office | ||||
Fort McMurray, Alberta (Beaver River and Athabasca Lodges) (lease) | 128 acres | Accommodations facility | ||||
Fort McMurray, Alberta (Wapasu Lodge)(lease) | 240 acres | Accommodations facility | ||||
Fort McMurray, Alberta (Conklin Lodge)(lease) | 135 acres | Accommodations facility | ||||
Fort McMurray, Alberta (Christina Lake Lodge) | 45 acres | Accommodations facility | ||||
Fort McMurray, Alberta (Pebble Beach) (lease) | 140 acres | Accommodations facility | ||||
Australia: | ||||||
Copabella, Queensland, Australia | 198 acres | Accommodations facility | ||||
Calliope, Queensland, Australia | 124 acres | Accommodations facility | ||||
Narrabri, New South Wales, Australia | 82 acres | Accommodations facility | ||||
Wandoan, Queensland, Australia | 51 acres | Accommodations facility | ||||
Middlemount, Queensland, Australia | 37 acres | Accommodations facility | ||||
Dysart, Queensland, Australia | 34 acres | Accommodations facility | ||||
Kambalda, Western Australia, Australia | 27 acres | Accommodations facility |
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Approximate | ||||||
Square | ||||||
Location | Footage/Acreage | Description | ||||
Other International: | ||||||
Aberdeen, Scotland (lease) | 15 acres | Offshore products manufacturing facility and yard | ||||
Bathgate, Scotland | 3 acres | Offshore products manufacturing facility and yard | ||||
Barrow-in-Furness, England (own and lease) | Offshore products service facility and yard | |||||
Singapore (lease) | 155,398 | Offshore products manufacturing facility | ||||
Singapore (lease) | 71,516 | Offshore products manufacturing facility | ||||
Macae, Brazil (lease) | 6 acres | Offshore products manufacturing facility and yard | ||||
Rayong Province, Thailand (lease) | 28,000 | Offshore products service and manufacturing facility |
Item 3. | Legal Proceedings |
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Item 5. | Market for Registrant’s Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities |
Sales Price | Sales Price | |||||||||||||||
High | Low | High | Low | |||||||||||||
2008: | ||||||||||||||||
First Quarter | $ | 45.88 | $ | 30.94 | ||||||||||||
Second Quarter | 64.37 | 44.42 | ||||||||||||||
Third Quarter | 64.84 | 32.39 | ||||||||||||||
Fourth Quarter | 35.35 | 14.72 | ||||||||||||||
2009: | ||||||||||||||||
First Quarter | $ | 22.50 | $ | 11.14 | $ | 22.50 | $ | 11.14 | ||||||||
Second Quarter | 29.13 | 13.00 | 29.13 | 13.00 | ||||||||||||
Third Quarter | 35.61 | 21.79 | 35.61 | 21.79 | ||||||||||||
Fourth Quarter | 40.27 | 32.65 | 40.27 | 32.65 | ||||||||||||
2010: | ||||||||||||||||
First Quarter (through February 16, 2010) | $ | 43.20 | $ | 33.65 | ||||||||||||
First Quarter | $ | 48.77 | $ | 33.65 | ||||||||||||
Second Quarter | 51.20 | 35.99 | ||||||||||||||
Third Quarter | 47.89 | 38.24 | ||||||||||||||
Fourth Quarter | 65.98 | 46.21 |
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Cumulative Total Return | Cumulative Total Return | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
12/04 | 12/05 | 12/06 | 12/07 | 12/08 | 12/09 | 12/05 | 12/06 | 12/07 | 12/08 | 12/09 | 12/10 | |||||||||||||||||||||||||||||||||||||||||||||||||
OIL STATES INTERNATIONAL, INC. | $ | 100.00 | $ | 164.23 | $ | 167.08 | $ | 176.88 | $ | 96.89 | $ | 203.68 | $ | 100.00 | $ | 101.74 | $ | 107.70 | $ | 59.00 | $ | 124.02 | $ | 202.30 | ||||||||||||||||||||||||||||||||||||
S & P 500 | 100.00 | 104.91 | 121.48 | 128.16 | 80.74 | 102.11 | 100.00 | 115.80 | 122.16 | 76.96 | 97.33 | 111.99 | ||||||||||||||||||||||||||||||||||||||||||||||||
PHLX OIL SERVICE SECTOR (OSX) | 100.00 | 150.07 | 169.79 | 251.32 | 100.69 | 163.60 | 100.00 | 115.32 | 174.14 | 70.63 | 116.93 | 142.90 | ||||||||||||||||||||||||||||||||||||||||||||||||
* | $100 invested on 12/31/ | |
(1) | This graph is not “soliciting material,” is not deemed filed with the SEC and is not to be incorporated by reference in any filing by us under the Securities Act of 1933, as amended (the Securities Act), or the Exchange Act, whether made before or after the date hereof and irrespective of any general incorporation language in any such filing. | |
(2) | The stock price performance shown on the graph is not necessarily indicative of future price performance. Information used in the graph was obtained from Research Data Group, Inc., a source believed to be reliable, but we are not responsible for any errors or omissions in such information. |
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Item 6. | Selected Financial Data |
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||||||||||||||||
2009 | 2008(3) | 2007(3) | 2006(3) | 2005(3) | 2010 | 2009 | 2008 | 2007 | 2006 | |||||||||||||||||||||||||||||||
Statements of Operations Data: | ||||||||||||||||||||||||||||||||||||||||
Statement of Income Data: | ||||||||||||||||||||||||||||||||||||||||
Revenues | $ | 2,108,250 | $ | 2,948,457 | $ | 2,088,235 | $ | 1,923,357 | $ | 1,531,636 | $ | 2,411,984 | $ | 2,108,250 | $ | 2,948,457 | $ | 2,088,235 | $ | 1,923,357 | ||||||||||||||||||||
Costs and Expenses: | ||||||||||||||||||||||||||||||||||||||||
Product costs, service and other costs | 1,640,198 | 2,234,974 | 1,602,213 | 1,467,988 | 1,206,187 | 1,874,294 | 1,640,198 | 2,234,974 | 1,602,213 | 1,467,988 | ||||||||||||||||||||||||||||||
Selling, general and administrative | 139,293 | 143,080 | 118,421 | 107,216 | 84,672 | 150,865 | 139,293 | 143,080 | 118,421 | 107,216 | ||||||||||||||||||||||||||||||
Depreciation and amortization | 118,108 | 102,604 | 70,703 | 54,340 | 46,704 | 124,202 | 118,108 | 102,604 | 70,703 | 54,340 | ||||||||||||||||||||||||||||||
Impairment of goodwill | 94,528 | 85,630 | — | — | — | — | 94,528 | 85,630 | — | — | ||||||||||||||||||||||||||||||
Other operating income | (2,606 | ) | (1,586 | ) | (888 | ) | (4,124 | ) | (488 | ) | ||||||||||||||||||||||||||||||
Acquisition related expenses | 6,959 | — | — | — | — | |||||||||||||||||||||||||||||||||||
Other operating (income) expense | 82 | (2,606 | ) | (1,586 | ) | (888 | ) | (4,124 | ) | |||||||||||||||||||||||||||||||
Operating income | 118,729 | 383,755 | 297,786 | 297,937 | 194,561 | 255,582 | 118,729 | 383,755 | 297,786 | 297,937 | ||||||||||||||||||||||||||||||
Interest expense | (15,266 | ) | (23,585 | ) | (23,610 | ) | (24,608 | ) | (16,508 | ) | (16,274 | ) | (15,266 | ) | (23,585 | ) | (23,610 | ) | (24,608 | ) | ||||||||||||||||||||
Interest income | 380 | 3,561 | 3,508 | 2,506 | 475 | 751 | 380 | 3,561 | 3,508 | 2,506 | ||||||||||||||||||||||||||||||
Equity in earnings of unconsolidated affiliates | 1,452 | 4,035 | 3,350 | 7,148 | 1,276 | 239 | 1,452 | 4,035 | 3,350 | 7,148 | ||||||||||||||||||||||||||||||
Gain on sale of workover services business and resulting equity investment | — | 6,160 | 12,774 | 11,250 | — | — | — | 6,160 | 12,774 | 11,250 | ||||||||||||||||||||||||||||||
Other income (expense) | 414 | (476 | ) | 1,213 | 2,290 | 120 | 330 | 414 | (476 | ) | 1,213 | 2,290 | ||||||||||||||||||||||||||||
Income before income taxes | 105,709 | 373,450 | 295,021 | 296,523 | 179,924 | 240,628 | 105,709 | 373,450 | 295,021 | 296,523 | ||||||||||||||||||||||||||||||
Income tax expense(1) | (46,097 | ) | (154,151 | ) | (94,945 | ) | (102,119 | ) | (59,748 | ) | (72,023 | ) | (46,097 | ) | (154,151 | ) | (94,945 | ) | (102,119 | ) | ||||||||||||||||||||
Net income | $ | 59,612 | $ | 219,299 | $ | 200,076 | $ | 194,404 | $ | 120,176 | $ | 168,605 | $ | 59,612 | $ | 219,299 | $ | 200,076 | $ | 194,404 | ||||||||||||||||||||
Less: Net income attributable to noncontrolling interest | 498 | 446 | 284 | 94 | 23 | 587 | 498 | 446 | 284 | 94 | ||||||||||||||||||||||||||||||
Net income attributable to Oil States International, Inc. | $ | 59,114 | $ | 218,853 | $ | 199,792 | $ | 194,310 | $ | 120,153 | $ | 168,018 | $ | 59,114 | $ | 218,853 | $ | 199,792 | $ | 194,310 | ||||||||||||||||||||
Net income per share attributable to Oil States International, Inc: | ||||||||||||||||||||||||||||||||||||||||
Basic | $ | 3.34 | $ | 1.19 | $ | 4.41 | $ | 4.04 | $ | 3.92 | ||||||||||||||||||||||||||||||
Diluted | $ | 3.19 | $ | 1.18 | $ | 4.26 | $ | 3.92 | $ | 3.83 | ||||||||||||||||||||||||||||||
Average common shares outstanding Basic | 50,238 | 49,625 | 49,622 | 49,500 | 49,519 | |||||||||||||||||||||||||||||||||||
Diluted | 52,700 | 50,219 | 51,414 | 50,911 | 50,773 | |||||||||||||||||||||||||||||||||||
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Year Ended December 31, | ||||||||||||||||||||
2009 | 2008(3) | 2007(3) | 2006(3) | 2005(3) | ||||||||||||||||
Net income per share attributable to Oil States International, Inc: | ||||||||||||||||||||
Basic | $ | 1.19 | $ | 4.41 | $ | 4.04 | $ | 3.92 | $ | 2.44 | ||||||||||
Diluted | $ | 1.18 | $ | 4.26 | $ | 3.92 | $ | 3.83 | $ | 2.38 | ||||||||||
Average common shares outstanding Basic | 49,625 | 49,622 | 49,500 | 49,519 | 49,344 | |||||||||||||||
Diluted | 50,219 | 51,414 | 50,911 | 50,773 | 50,479 | |||||||||||||||
Year Ended December 31, | ||||||||||||||||||||
2010 | 2009 | 2008 | 2007 | 2006 | ||||||||||||||||
Other Data: | ||||||||||||||||||||
EBITDA, as defined(2) | $ | 379,766 | $ | 238,205 | $ | 495,632 | $ | 385,542 | $ | 372,871 | ||||||||||
Capital expenditures, including capitalized interest | 182,207 | 124,488 | 247,384 | 239,633 | 129,591 | |||||||||||||||
Acquisitions of businesses, net of cash acquired | 709,575 | (18 | ) | 29,835 | 103,143 | 99 | ||||||||||||||
Net cash provided by operating activities | 230,922 | 453,362 | 257,464 | 247,899 | 137,367 | |||||||||||||||
Net cash used in investing activities, including capital expenditures | (889,680 | ) | (102,608 | ) | (246,094 | ) | (310,836 | ) | (114,248 | ) | ||||||||||
Net cash provided by (used in) financing activities | 649,032 | (296,773 | ) | (1,666 | ) | 60,632 | (11,201 | ) |
Year Ended December 31, | ||||||||||||||||||||
2009 | 2008 | 2007 | 2006 | 2005 | ||||||||||||||||
Other Data: | ||||||||||||||||||||
EBITDA, as defined(2) | $ | 238,205 | $ | 495,632 | $ | 385,542 | $ | 372,871 | $ | 242,638 | ||||||||||
Capital expenditures, including capitalized interest | 124,488 | 247,384 | 239,633 | 129,591 | 83,392 | |||||||||||||||
Acquisitions of businesses, net of cash acquired | (18 | ) | 29,835 | 103,143 | 99 | 147,608 | ||||||||||||||
Net cash provided by operating activities | 453,362 | 257,464 | 247,899 | 137,367 | 33,398 | |||||||||||||||
Net cash used in investing activities, including capital expenditures | (102,608 | ) | (246,094 | ) | (310,836 | ) | (114,248 | ) | (229,881 | ) | ||||||||||
Net cash provided by (used in) financing activities | (296,773 | ) | (1,666 | ) | 60,632 | (11,201 | ) | 195,269 |
At December 31, | At December 31, | |||||||||||||||||||||||||||||||||||||||
2009 | 2008(3) | 2007(3) | 2006(3) | 2005(3) | 2010 | 2009 | 2008 | 2007 | 2006 | |||||||||||||||||||||||||||||||
Balance Sheet Data: | ||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 89,742 | $ | 30,199 | $ | 30,592 | $ | 28,396 | $ | 15,298 | $ | 96,350 | $ | 89,742 | $ | 30,199 | $ | 30,592 | $ | 28,396 | ||||||||||||||||||||
Total current assets | 925,568 | 1,237,484 | 865,667 | 783,989 | 663,744 | 1,100,004 | 925,568 | 1,237,484 | 865,667 | 783,989 | ||||||||||||||||||||||||||||||
Net property, plant and equipment | 749,601 | 695,338 | 586,910 | 358,716 | 310,452 | 1,252,657 | 749,601 | 695,338 | 586,910 | 358,716 | ||||||||||||||||||||||||||||||
Total assets | 1,932,386 | 2,298,518 | 1,928,669 | 1,569,908 | 1,341,461 | 3,015,999 | 1,932,386 | 2,298,518 | 1,928,669 | 1,569,908 | ||||||||||||||||||||||||||||||
Long-term debt and capital leases, excluding current portion | 164,074 | 449,058 | 454,929 | 353,706 | 358,640 | |||||||||||||||||||||||||||||||||||
Long-term debt and capital leases, excluding current portion and 23/8% notes | 731,732 | 8,215 | 299,948 | 312,102 | 216,729 | |||||||||||||||||||||||||||||||||||
23/8% contingent convertible senior subordinated notes | 163,108 | 155,859 | 149,110 | 142,827 | 136,977 | |||||||||||||||||||||||||||||||||||
Total stockholders’ equity | 1,382,066 | 1,235,541 | 1,105,058 | 863,522 | 660,903 | 1,628,933 | 1,382,066 | 1,235,541 | 1,105,058 | 863,522 |
(1) | Our effective tax rate increased in 2008 and 2009 due to the impairment of non-deductible | |
(2) | The term EBITDA as defined consists of net income plus interest expense, net, income taxes, depreciation and amortization. EBITDA as defined is not a measure of financial performance under generally accepted accounting principles. You should not consider it in isolation from or as a substitute for net income or cash flow measures prepared in accordance with generally accepted accounting principles or as a measure of profitability or liquidity. Additionally, EBITDA as defined may not be comparable to other similarly titled measures of other companies. The Company has included EBITDA as defined as a supplemental disclosure because its management believes that EBITDA as defined provides useful information regarding its ability to service debt and to fund capital expenditures and provides investors a helpful measure for comparing its operating performance with the performance of other companies that have different financing and capital structures or tax rates. The Company uses EBITDA as defined to compare and to monitor the performance of its business segments to other comparable public companies and as one of the primary measures to benchmark for the award of incentive compensation under its annual incentive compensation plan. |
3136
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||||||||||||||||
2009 | 2008(1) | 2007(1) | 2006(1) | 2005(1) | 2010 | 2009 | 2008 | 2007 | 2006 | |||||||||||||||||||||||||||||||
Net income attributable to Oil States International, Inc. | $ | 59,114 | $ | 218,853 | $ | 199,792 | $ | 194,310 | $ | 120,153 | $ | 168,018 | $ | 59,114 | $ | 218,853 | $ | 199,792 | $ | 194,310 | ||||||||||||||||||||
Depreciation and amortization | 118,108 | 102,604 | 70,703 | 54,340 | 46,704 | 124,202 | 118,108 | 102,604 | 70,703 | 54,340 | ||||||||||||||||||||||||||||||
Interest expense, net | 14,886 | 20,024 | 20,102 | 22,102 | 16,033 | 15,523 | 14,886 | 20,024 | 20,102 | 22,102 | ||||||||||||||||||||||||||||||
Income taxes | 46,097 | 154,151 | 94,945 | 102,119 | 59,748 | 72,023 | 46,097 | 154,151 | 94,945 | 102,119 | ||||||||||||||||||||||||||||||
EBITDA, as defined | $ | 238,205 | $ | 495,632 | $ | 385,542 | $ | 372,871 | $ | 242,638 | $ | 379,766 | $ | 238,205 | $ | 495,632 | $ | 385,542 | $ | 372,871 | ||||||||||||||||||||
ITEM 7. | Management’s Discussion and Analysis of Financial Condition and Results of Operations |
32
37
Average Rig Count for | Average Rig Count for | |||||||||||||||||||||||||||||||||||||||
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||||||||||||||||
2009 | 2008 | 2007 | 2006 | 2005 | 2010 | 2009 | 2008 | 2007 | 2006 | |||||||||||||||||||||||||||||||
U.S. Land | 1,042 | 1,813 | 1,695 | 1,559 | 1,294 | 1,510 | 1,042 | 1,813 | 1,695 | 1,559 | ||||||||||||||||||||||||||||||
U.S. Offshore | 44 | 65 | 73 | 90 | 89 | 31 | 44 | 65 | 73 | 90 | ||||||||||||||||||||||||||||||
Total U.S. | 1,086 | 1,878 | 1,768 | 1,649 | 1,383 | 1,541 | 1,086 | 1,878 | 1,768 | 1,649 | ||||||||||||||||||||||||||||||
Canada | 221 | 379 | 343 | 470 | 458 | 351 | 221 | 379 | 343 | 470 | ||||||||||||||||||||||||||||||
Total North America | 1,307 | 2,257 | 2,111 | 2,119 | 1,841 | 1,892 | 1,307 | 2,257 | 2,111 | 2,119 | ||||||||||||||||||||||||||||||
38
33
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40
Year Ended | Years Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
December 31, | December 31, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Variance | Variance | Variance | Variance | |||||||||||||||||||||||||||||||||||||||||||||||||||||
2009 vs. 2008 | 2008 vs. 2007 | 2010 vs. 2009 | 2009 vs. 2008 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
2009 | 2008 | $ | % | 2007 | $ | % | 2010 | 2009 | $ | % | 2008 | $ | % | |||||||||||||||||||||||||||||||||||||||||||
Revenues | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Well Site Services — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accommodations | $ | 481.4 | $ | 427.1 | $ | 54.3 | 13 | % | $ | 312.8 | $ | 114.3 | 37 | % | ||||||||||||||||||||||||||||||||||||||||||
Rental Tools | 234.1 | 355.8 | (121.7 | ) | (34 | )% | 260.4 | 95.4 | 37 | % | $ | 343.0 | $ | 234.1 | $ | 108.9 | 47 | % | $ | 355.8 | $ | (121.7 | ) | (34 | )% | |||||||||||||||||||||||||||||||
Drilling and Other | 71.2 | 177.4 | (106.2 | ) | (60 | )% | 143.2 | 34.2 | 24 | % | 133.2 | 71.2 | 62.0 | 87 | % | 177.4 | (106.2 | ) | (60 | )% | ||||||||||||||||||||||||||||||||||||
Total Well Site Services | 786.7 | 960.3 | (173.6 | ) | (18 | )% | 716.4 | 243.9 | 34 | % | 476.2 | 305.3 | 170.9 | 56 | % | 533.2 | (227.9 | ) | (43 | )% | ||||||||||||||||||||||||||||||||||||
Accommodations | 537.7 | 481.4 | 56.3 | 12 | % | 427.1 | 54.3 | 13 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Offshore Products | 509.4 | 528.2 | (18.8 | ) | (4 | )% | 527.8 | 0.4 | 0 | % | 428.9 | 509.4 | (80.5 | ) | (16 | )% | 528.2 | (18.8 | ) | (4 | )% | |||||||||||||||||||||||||||||||||||
Tubular Services | 812.2 | 1,460.0 | (647.8 | ) | (44 | )% | 844.0 | 616.0 | 73 | % | 969.2 | 812.2 | 157.0 | 19 | % | 1,460.0 | (647.8 | ) | (44 | )% | ||||||||||||||||||||||||||||||||||||
Total | $ | 2,108.3 | $ | 2,948.5 | $ | (840.2 | ) | (28 | )% | $ | 2,088.2 | $ | 860.3 | 41 | % | $ | 2,412.0 | $ | 2,108.3 | $ | 303.7 | 14 | % | $ | 2,948.5 | $ | (840.2 | ) | (28 | )% | ||||||||||||||||||||||||||
Product costs; Service and other costs (“Cost of sales and service”) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Well Site Services — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accommodations | $ | 278.7 | $ | 245.6 | $ | 33.1 | 13 | % | $ | 182.1 | $ | 63.5 | 35 | % | ||||||||||||||||||||||||||||||||||||||||||
Rental Tools | 169.6 | 207.3 | (37.7 | ) | (18 | )% | 135.5 | 71.8 | 53 | % | $ | 220.1 | $ | 169.6 | $ | 50.5 | 30 | % | $ | 207.3 | $ | (37.7 | ) | (18 | )% | |||||||||||||||||||||||||||||||
Drilling and Other | 58.2 | 114.2 | (56.0 | ) | (49 | )% | 88.3 | 25.9 | 29 | % | 105.5 | 58.2 | 47.3 | 81 | % | 114.2 | (56.0 | ) | (49 | )% | ||||||||||||||||||||||||||||||||||||
Total Well Site Services | 506.5 | 567.1 | (60.6 | ) | (11 | )% | 405.9 | 161.2 | 40 | % | 325.6 | 227.8 | 97.8 | 43 | % | 321.5 | (93.7 | ) | (29 | )% | ||||||||||||||||||||||||||||||||||||
Accommodations | 314.4 | 278.7 | 35.7 | 13 | % | 245.6 | 33.1 | 13 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Offshore Products | 377.1 | 394.2 | (17.1 | ) | (4 | )% | 403.1 | (8.9 | ) | (2 | )% | 316.5 | 377.1 | (60.6 | ) | (16 | )% | 394.2 | (17.1 | ) | (4 | )% | ||||||||||||||||||||||||||||||||||
Tubular Services | 756.6 | 1,273.7 | (517.1 | ) | (41 | )% | 793.2 | 480.5 | 61 | % | 917.8 | 756.6 | 161.2 | 21 | % | 1,273.7 | (517.1 | ) | (41 | )% | ||||||||||||||||||||||||||||||||||||
Total | $ | 1,640.2 | $ | 2,235.0 | $ | (594.8 | ) | (27 | )% | $ | 1,602.2 | $ | 632.8 | 39 | % | $ | 1,874.3 | $ | 1,640.2 | $ | 234.1 | 14 | % | $ | 2,235.0 | $ | (594.8 | ) | (27 | )% | ||||||||||||||||||||||||||
Gross margin | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Well Site Services — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accommodations | $ | 202.7 | $ | 181.5 | $ | 21.2 | 12 | % | $ | 130.7 | $ | 50.8 | 39 | % | ||||||||||||||||||||||||||||||||||||||||||
Rental Tools | 64.5 | 148.5 | (84.0 | ) | (57 | )% | 124.9 | 23.6 | 19 | % | $ | 122.9 | $ | 64.5 | $ | 58.4 | 91 | % | $ | 148.5 | $ | (84.0 | ) | (57 | )% | |||||||||||||||||||||||||||||||
Drilling and Other | 13.0 | 63.2 | (50.2 | ) | (79 | )% | 54.9 | 8.3 | 15 | % | 27.7 | 13.0 | 14.7 | 113 | % | 63.2 | (50.2 | ) | (79 | )% | ||||||||||||||||||||||||||||||||||||
Total Well Site Services | 280.2 | 393.2 | (113.0 | ) | (29 | )% | 310.5 | 82.7 | 27 | % | 150.6 | 77.5 | 73.1 | 94 | % | 211.7 | (134.2 | ) | (63 | )% | ||||||||||||||||||||||||||||||||||||
Accommodations | 223.3 | 202.7 | 20.6 | 10 | % | 181.5 | 21.2 | 12 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Offshore Products | 132.3 | 134.0 | (1.7 | ) | (1 | )% | 124.7 | 9.3 | 7 | % | 112.4 | 132.3 | (19.9 | ) | (15 | )% | 134.0 | (1.7 | ) | (1 | )% | |||||||||||||||||||||||||||||||||||
Tubular Services | 55.6 | 186.3 | (130.7 | ) | (70 | )% | 50.8 | 135.5 | 267 | % | 51.4 | 55.6 | (4.2 | ) | (8 | )% | 186.3 | (130.7 | ) | (70 | )% | |||||||||||||||||||||||||||||||||||
Total | $ | 468.1 | $ | 713.5 | $ | (245.4 | ) | (34 | )% | $ | 486.0 | $ | 227.5 | 47 | % | $ | 537.7 | $ | 468.1 | $ | 69.6 | 15 | % | $ | 713.5 | $ | (245.4 | ) | (34 | )% | ||||||||||||||||||||||||||
Gross margin as a percentage of revenues | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Well Site Services — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accommodations | 42 | % | 42 | % | 42 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
Rental Tools | 28 | % | 42 | % | 48 | % | 36 | % | 28 | % | 42 | % | ||||||||||||||||||||||||||||||||||||||||||||
Drilling and Other | 18 | % | 36 | % | 38 | % | 21 | % | 18 | % | 36 | % | ||||||||||||||||||||||||||||||||||||||||||||
Total Well Site Services | 36 | % | 41 | % | 43 | % | 32 | % | 25 | % | 40 | % | ||||||||||||||||||||||||||||||||||||||||||||
Accommodations | 42 | % | 42 | % | 42 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||
Offshore Products | 26 | % | 25 | % | 24 | % | 26 | % | 26 | % | 25 | % | ||||||||||||||||||||||||||||||||||||||||||||
Tubular Services | 7 | % | 13 | % | 6 | % | 5 | % | 7 | % | 13 | % | ||||||||||||||||||||||||||||||||||||||||||||
Total | 22 | % | 24 | % | 23 | % | 22 | % | 22 | % | 24 | % |
3541
42
43
36
44
37
38
39
45
40
46
41
47
Due in less | Due in | Due in | Due after | Due in less | Due in | Due in | Due after | |||||||||||||||||||||||||||||||||
December 31, 2009 | Total | than 1 year | 1-3 years | 3 - 5 years | 5 years | |||||||||||||||||||||||||||||||||||
December 31, 2010 | Total | than 1 year | 1-3 years | 3 - 5 years | 5 years | |||||||||||||||||||||||||||||||||||
Contractual obligations: | ||||||||||||||||||||||||||||||||||||||||
Total debt, including capital leases(1) | $ | 164,538 | $ | 464 | $ | 156,760 | $ | 621 | $ | 6,693 | $ | 912,907 | $ | 18,067 | $ | 251,457 | $ | 635,782 | $ | 7,601 | ||||||||||||||||||||
Non-cancelable operating leases | 21,573 | 6,100 | 6,728 | 4,638 | 4,107 | 42,234 | 10,198 | 15,872 | 9,498 | 6,666 | ||||||||||||||||||||||||||||||
Purchase obligations | 220,746 | 220,746 | — | — | — | 401,393 | 401,393 | — | — | — | ||||||||||||||||||||||||||||||
Total contractual cash obligations | $ | 406,857 | $ | 227,310 | $ | 163,488 | $ | 5,259 | $ | 10,800 | $ | 1,356,534 | $ | 429,658 | $ | 267,329 | $ | 645,280 | $ | 14,267 | ||||||||||||||||||||
(1) | Excludes interest on debt. We cannot predict with any certainty the amount of interest due on our revolving debt due to the expected variability of interest rates and principal amounts outstanding. If we assume interest payment amounts are calculated using the outstanding principal balances, interest rates and foreign currency exchange rates as of December 31, 2010 and include applicable commitment fees, estimated interest payments on our credit facilities and 23/8% Notes would be $29.7 million “due in less than one year”, $50.7 million “due in one to three years” and $39.8 million “due in three to five years”. In the case of our outstanding term loans, applicable principal pay down amounts have been reflected in the interest payment calculations. See Note 8 the Consolidated Financial Statements included in this Annual Report onForm 10-K for additional for additional information on our credit facilities. |
4248
4349
50
44
45
ITEM 7A. | Quantitative And Qualitative Disclosures About Market Risk |
46
51
Item 8. | Financial Statements and Supplementary Data |
Item 9. | Changes in and Disagreements With Accountants on Accounting and Financial Disclosure |
Item 9A. | Controls and Procedures |
(i) | Evaluation of Disclosure Controls and Procedures |
(ii) | Internal Control Over Financial Reporting |
(a) | Management’s annual report on internal control over financial reporting. |
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52
(b) | Attestation report of the registered public accounting firm. |
(c) | Changes in internal control over financial reporting. |
Item 9B. | Other Information |
Item 10. | Director, Executive Officers and Corporate Governance |
Item 11. | Executive Compensation |
48
Item 12. | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters |
Item 13. | Certain Relationships and Related Transactions, and Director Independence |
53
Item 14. | Principal Accountant Fees and Services |
Item 15. | Exhibits, |
(a) | Index to Financial Statements, Financial Statement Schedules and Exhibits |
(b) | Index of Exhibits |
Exhibit No. | Description | |||||
3 | .1 | — | Amended and Restated Certificate of Incorporation (incorporated by reference to Exhibit 3.1 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
3 | .2 | — | Third Amended and Restated Bylaws (incorporated by reference to Exhibit 3.1 to the Company’s Current Report onForm 8-K, as filed with the Commission on March 13, 2009). | |||
3 | .3 | — | Certificate of Designations of Special Preferred Voting Stock of Oil States International, Inc. (incorporated by reference to Exhibit 3.3 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
4 | .1 | — | Form of common stock certificate (incorporated by reference to Exhibit 4.1 to the Company’s Registration Statement onForm S-1, as filed with the Commission on November 7, 2000 (FileNo. 333-43400)). | |||
4 | .2 | — | Amended and Restated Registration Rights Agreement (incorporated by reference to Exhibit 4.2 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
4 | .3 | — | First Amendment to the Amended and Restated Registration Rights Agreement dated May 17, 2002 (incorporated by reference to Exhibit 4.3 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2002, as filed with the Commission on March 13, 2003). |
Exhibit No. | Description | |||||
2 | .1 | — | Scheme Implementation Deed, dated October 15, 2010, by and between Oil States International, Inc. and The MAC Services Group Limited (incorporated by reference to Exhibit 2.1 to Oil States’ Current Report onForm 8-K, as filed with the Commission on October 15, 2010 (FileNo. 001-16337)). | |||
3 | .1 | — | Amended and Restated Certificate of Incorporation (incorporated by reference to Exhibit 3.1 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (FileNo. 001-16337)). | |||
3 | .2 | — | Third Amended and Restated Bylaws (incorporated by reference to Exhibit 3.1 to the Company’s Current Report onForm 8-K, as filed with the Commission on March 13, 2009 (FileNo. 001-16337)). | |||
3 | .3 | — | Certificate of Designations of Special Preferred Voting Stock of Oil States International, Inc. (incorporated by reference to Exhibit 3.3 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (FileNo. 001-16337)). | |||
4 | .1 | — | Form of common stock certificate (incorporated by reference to Exhibit 4.1 to the Company’s Registration Statement onForm S-1, as filed with the Commission on November 7, 2000 (FileNo. 333-43400)). | |||
4 | .2 | — | Amended and Restated Registration Rights Agreement (incorporated by reference to Exhibit 4.2 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (FileNo. 001-16337)). | |||
4 | .3 | — | First Amendment to the Amended and Restated Registration Rights Agreement dated May 17, 2002 (incorporated by reference to Exhibit 4.3 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2002, as filed with the Commission on March 13, 2003 (FileNo. 001-16337)). | |||
4 | .4 | — | Registration Rights Agreement dated as of June 21, 2005 by and between Oil States International, Inc. and RBC Capital Markets Corporation (incorporated by reference to Exhibit 4.4 to Oil States’ Current Report onForm 8-K as filed with the Commission on June 23, 2005 (FileNo. 001-16337)). | |||
4 | .5 | — | Indenture dated as of June 21, 2005 by and between Oil States International, Inc. and Wells Fargo Bank, National Association, as trustee (incorporated by reference to Exhibit 4.5 to Oil States’ Current Report onForm 8-K as filed with the Commission on June 23, 2005 (FileNo. 001-16337)). |
4954
Exhibit No. | Description | |||||
4 | .4 | — | Registration Rights Agreement dated as of June 21, 2005 by and between Oil States International, Inc. and RBC Capital Markets Corporation (incorporated by reference to Exhibit 4.4 to Oil States’ Current Report onForm 8-K as filed with the Securities and Exchange Commission on June 23, 2005). | |||
4 | .5 | — | Indenture dated as of June 21, 2005 by and between Oil States International, Inc. and Wells Fargo Bank, National Association, as trustee (incorporated by reference to Exhibit 4.5 to Oil States’ Current Report onForm 8-K as filed with the Securities and Exchange Commission on June 23, 2005). | |||
4 | .6 | — | Global Notes representing $175,000,000 aggregate principal amount of 23/8% Contingent Convertible Senior Notes due 2025 (incorporated by reference to Section 2.2 of Exhibit 4.5 to Oil States’ Current Reports onForm 8-K as filed with the Securities and Exchange Commission on June 23, 2005 and July 13, 2005). | |||
10 | .1 | — | Combination Agreement dated as of July 31, 2000 by and among Oil States International, Inc., HWC Energy Services, Inc., MergerSub-HWC, Inc., Sooner Inc., MergerSub-Sooner, Inc. and PTI Group Inc. (incorporated by reference to Exhibit 10.1 to the Company’s Registration Statement onForm S-1, as filed with the Commission on November 7, 2000 (FileNo. 333-43400)). | |||
10 | .2 | — | Plan of Arrangement of PTI Group Inc. (incorporated by reference to Exhibit 10.2 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
10 | .3 | — | Support Agreement between Oil States International, Inc. and PTI Holdco (incorporated by reference to Exhibit 10.3 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
10 | .4 | — | Voting and Exchange Trust Agreement by and among Oil States International, Inc., PTI Holdco and Montreal Trust Company of Canada (incorporated by reference to Exhibit 10.4 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
10 | .5** | — | Second Amended and Restated 2001 Equity Participation Plan effective March 30, 2009 (incorporated by reference to Exhibit 10.5 to Oil States’ Current Report onForm 8-K, as filed with the Commission on April 2, 2009). | |||
10 | .6** | — | Deferred Compensation Plan effective November 1, 2003 (incorporated by reference to Exhibit 10.6 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2003, as filed with the Commission on March 5, 2004). | |||
10 | .7** | — | Annual Incentive Compensation Plan (incorporated by reference to Exhibit 10.7 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
10 | .8** | — | Executive Agreement between Oil States International, Inc. and Cindy B. Taylor (incorporated by Reference to Exhibit 10.9 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
10 | .9** | — | Form of Executive Agreement between Oil States International, Inc. and Named Executive Officer (Mr. Hughes) (incorporated by reference to Exhibit 10.10 of the Company’s Registration Statement onForm S-1, as filed with the Commission on December 12, 2000 (FileNo. 333-43400)). | |||
10 | .10** | — | Form of Change of Control Severance Plan for Selected Members of Management (incorporated by reference to Exhibit 10.11 of the Company’s Registration Statement onForm S-1, as filed with the Commission on December 12, 2000 (FileNo. 333-43400)). | |||
10 | .11 | — | Credit Agreement, dated as of October 30, 2003, among Oil States International, Inc., the Lenders named therein and Wells Fargo Bank Texas, National Association, as Administrative Agent and U.S. Collateral Agent; and Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Hibernia National Bank and Royal Bank of Canada, as Co-Syndication Agents and Bank One, NA and Credit Lyonnais New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.12 to the Company’s Quarterly Report onForm 10-Q for the three months ended September 30, 2003, as filed with the Commission on November 12, 2003.) |
Exhibit No. | Description | |||||
4 | .6 | — | Global Notes representing $175,000,000 aggregate principal amount of 23/8% Contingent Convertible Senior Notes due 2025 (incorporated by reference to Section 2.2 of Exhibit 4.5 to Oil States’ Current Reports onForm 8-K as filed with the Commission on June 23, 2005 and July 13, 2005 (FileNo. 001-16337)). | |||
10 | .1 | — | Combination Agreement dated as of July 31, 2000 by and among Oil States International, Inc., HWC Energy Services, Inc., MergerSub-HWC, Inc., Sooner Inc., MergerSub-Sooner, Inc. and PTI Group Inc. (incorporated by reference to Exhibit 10.1 to the Company’s Registration Statement onForm S-1, as filed with the Commission on August 10, 2000 (FileNo. 333-43400)). | |||
10 | .2 | — | Plan of Arrangement of PTI Group Inc. (incorporated by reference to Exhibit 10.2 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (FileNo. 001-16337)). | |||
10 | .3 | — | Support Agreement between Oil States International, Inc. and PTI Holdco (incorporated by reference to Exhibit 10.3 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (FileNo. 001-16337)). | |||
10 | .4 | — | Voting and Exchange Trust Agreement by and among Oil States International, Inc., PTI Holdco and Montreal Trust Company of Canada (incorporated by reference to Exhibit 10.4 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (FileNo. 001-16337)). | |||
10 | .5** | — | Second Amended and Restated 2001 Equity Participation Plan effective March 30, 2009 (incorporated by reference to Exhibit 10.5 to Oil States’ Current Report onForm 8-K, as filed with the Commission on April 2, 2009 (FileNo. 001-16337)). | |||
10 | .6** | — | Deferred Compensation Plan effective November 1, 2003 (incorporated by reference to Exhibit 10.6 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2003, as filed with the Commission on March 5, 2004 (FileNo. 001-16337)). | |||
10 | .7** | — | Annual Incentive Compensation Plan (incorporated by reference to Exhibit 10.7 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (FileNo. 001-16337)). | |||
10 | .8** | — | Executive Agreement between Oil States International, Inc. and Cindy B. Taylor (incorporated by Reference to Exhibit 10.9 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (FileNo. 001-16337)). | |||
10 | .9** | — | Form of Change of Control Severance Plan for Selected Members of Management (incorporated by reference to Exhibit 10.11 of the Company’s Registration Statement onForm S-1, as filed with the Commission on December 12, 2000 (FileNo. 333-43400)). | |||
10 | .10 | — | Credit Agreement, dated as of October 30, 2003, among Oil States International, Inc., the Lenders named therein and Wells Fargo Bank Texas, National Association, as Administrative Agent and U.S. Collateral Agent; and Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Hibernia National Bank and Royal Bank of Canada, as Co-Syndication Agents and Bank One, NA and Credit Lyonnais New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.12 to the Company’s Quarterly Report onForm 10-Q for the three months ended September 30, 2003, as filed with the Commission on November 12, 2003 (FileNo. 001-16337)). | |||
10 | .10A | — | Incremental Assumption Agreement, dated as of May 10, 2004, among Oil States International, Inc., Wells Fargo, National Association and each of the other lenders listed as an Increasing Lender (incorporated by reference to Exhibit 10.12A to the Company’s Quarterly Report onForm 10-Q for the three months ended June 30, 2004, as filed with the Commission on August 4, 2004 (FileNo. 001-16337)). |
5055
Exhibit No. | Description | |||||
10 | ||||||
— | Amendment No. 1, dated as of January 31, 2005, to the Credit Agreement among Oil States International, Inc., the lenders named therein and Wells Fargo Bank, Texas, National Association, as Administrative Agent and U.S. Collateral Agent; and Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Hibernia National Bank and Royal Bank of Canada, as Co-Syndication Agents and Bank One, NA and Credit Lyonnais New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.12B to the Company’s Annual Report onForm 10-K for the year ended December 31, 2004, as filed with the Commission on March 2, | |||||
10 | — | Amendment No. 2, dated as of December 5, 2006, to the Credit Agreement among Oil States International, Inc., the lenders named therein and Wells Fargo Bank, N.A., as Lead Arranger, U.S. Administrative Agent and U.S. Collateral Agent; and The Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Capital One N.A. and Royal Bank of Canada, as Co-Syndication Agents and JP Morgan Chase Bank, N.A. and Calyon New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.12C to the Company’s Current Report onForm 8-K, as filed with the | ||||
10 | — | Incremental Assumption Agreement, dated as of December 13, 2007, among Oil States International, Inc., Wells Fargo, National Association and each of the other lenders listed as an Increasing Lender (incorporated by reference to Exhibit 10.12D to the Company’s Current Report onForm 8-K, as filed with the | ||||
10 | — | Amendment No. 3, dated as of October 1, 2009, to the Credit Agreement among Oil States International, Inc., the lenders named therein and Wells Fargo Bank, N.A., as Lead Arranger, U.S. Administrative Agent and U.S. Collateral Agent; and The Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Capital One N.A. and Royal Bank of Canada, as Co-Syndication Agents and JP Morgan Chase Bank, N.A. and Calyon New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.11E to the Company’s Current Report onForm 8-K, as filed with the | ||||
10 | — | Amended and Restated Credit Agreement, dated as of December 10, 2010, among Oil States International, Inc., PTI Group Inc., PTI Premium Camp Services Ltd., as borrowers, the lenders named therein and Wells Fargo Bank, N.A., as Administrative Agent, U.S. Collateral Agent, the U.S. Swing Line Lender and an Issuing Bank; and Royal Bank of Canada, as Canadian Administrative Agent, Canadian Collateral Agent and the Canadian Swing Line Lender; JP Morgan Chase Bank, N.A., as Syndication Agent and Wells Fargo Securities, LLC, RBC Capital Markets and JP Morgan Securities, LLC, as Co-Lead Arrangers and Joint Bookrunners (incorporated by reference to Exhibit 10.1 to the Company’s Current Report onForm 8-K, as filed with the Commission on December 20, 2010 (FileNo. 001-16337)). | ||||
10 | .11** | — | Form of Indemnification Agreement (incorporated by reference to Exhibit 10.14 to the Company’s Quarterly Report onForm 10-Q for the quarter ended September 30, 2004, as filed with the Commission on November 5, | |||
10 | — | Form of Director Stock Option Agreement under the Company’s 2001 Equity Participation Plan (incorporated by reference to Exhibit 10.18 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2004, as filed with the Commission on March 2, | ||||
10 | — | Form of Employee Non Qualified Stock Option Agreement under the Company’s 2001 Equity Participation Plan (incorporated by reference to Exhibit 10.19 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2004, as filed with the Commission on March 2, | ||||
10 | — | Form of Restricted Stock Agreement under the Company’s 2001 Equity Participation Plan (incorporated by reference to Exhibit 10.20 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2004, as filed with the Commission on |
56
Exhibit No. | Description | |||||
10 | — | Non-Employee Director Compensation Summary (incorporated by reference to Exhibit 10.21 to the Company’s Report onForm 8-K as filed with the Commission on | ||||
10 | — | Executive Agreement between Oil States International, Inc. and named executive officer (Mr. Cragg) (incorporated by reference to Exhibit 10.22 to the Company’s Quarterly Report onForm 10-Q for the quarter ended March 31, 2005, as filed with the Commission on April 29, | ||||
10 | — | Form of Non-Employee Director Restricted Stock Agreement under the Company’s 2001 Equity Participation Plan (incorporated by reference to Exhibit |
51
10 | — | Executive Agreement between Oil States International, Inc. and named executive officer (Bradley Dodson) effective October 10, 2006 (incorporated by reference to Exhibit 10.24 to the Company’s Quarterly Report onForm 10-Q for the quarter ended September 30, 2006, as filed with the Commission on November 3, | ||||
10 | — | Executive Agreement between Oil States International, Inc. and named executive officer (Ron R. Green) effective May 17, 2007 (incorporated by reference to Exhibit 10.25 to the Company’s Quarterly Report onForm 10-Q for the quarter ended June 30, 2007, as filed with the Commission on August 2, | ||||
10 | — | Amendment to the Executive Agreement of Cindy Taylor, effective January 1, 2009 (incorporated by reference to Exhibit 10.21 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2008, as filed with the Commission on February 20, | ||||
10 | — | Amendment to the Executive Agreement of Bradley Dodson, effective January 1, 2009 (incorporated by reference to Exhibit 10.22 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2008, as filed with the Commission on February 20, | ||||
10 | ||||||
— | Amendment to the Executive Agreement of Christopher Cragg, effective January 1, 2009 (incorporated by reference to Exhibit 10.24 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2008, as filed with the Commission on February 20, | |||||
10 | — | Amendment to the Executive Agreement of Ron Green, effective January 1, 2009 (incorporated by reference to Exhibit 10.25 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2008, as filed with the Commission on February 20, | ||||
10 | — | Amendment to the Executive Agreement of Robert Hampton, effective January 1, 2009 (incorporated by reference to Exhibit 10.26 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2008, as filed with the Commission on February 20, | ||||
10 | .25** | — | Executive Agreement between Oil States International, Inc. and named executive officer (Charles Moses), effective March 4, 2010 (incorporated by reference to Exhibit 10.26 to the Company’s Quarterly Report onForm 10-Q for the quarter ended March 31, 2010, as filed with the Commission on April 30, 2010 (FileNo. 001-16337)). | |||
10 | .26** | — | Call Option Agreement, dated October 15, 2010, by and between Marley Holdings Pty Limited and PTI Holding Company 2 Pty Limited (incorporated by reference to Exhibit 10.1 to Oil States’ Current Report onForm 8-K, as filed with the Commission on October 5, 2010 (FileNo. 001-16337)). | |||
21 | .1* | — | List of subsidiaries of the Company. | |||
23 | .1* | — | Consent of Independent Registered Public Accounting Firm. | |||
24 | .1* | Powers of Attorney for Directors. | ||||
31 | .1* | Certification of Chief Executive Officer of Oil States International, Inc. pursuant toRules 13a-14(a) or 15d-14(a) under the Securities Exchange Act of 1934. | ||||
31 | .2* | Certification of Chief Financial Officer of Oil States International, Inc. pursuant toRules 13a-14(a) or 15d-14(a) under the Securities Exchange Act of 1934. |
57
Exhibit No. | Description | |||||
32 | .1*** | Certification of Chief Executive Officer of Oil States International, Inc. pursuant toRules 13a-14(b) or 15d-14(b) under the Securities Exchange Act of 1934. | ||||
32 | .2*** | Certification of Chief Financial Officer of Oil States International, Inc. pursuant toRules 13a-14(b) or 15d-14(b) under the Securities Exchange Act of 1934. | ||||
101 | .INS*** | XBRL Instance Document | ||||
101 | .SCH*** | XBRL Taxonomy Extension Schema Document | ||||
101 | .CAL*** | XBRL Taxonomy Extension Calculation Linkbase Document | ||||
101 | .LAB*** | XBRL Taxonomy Extension Label Linkbase Document | ||||
101 | .PRE*** | XBRL Taxonomy Extension Presentation Linkbase Document |
* | Filed herewith | |
** | Management contracts or compensatory plans or arrangements | |
*** | Furnished herewith. |
5258
By | /s/ CINDY B. TAYLOR |
Signature | Title | |||
/s/ STEPHEN A. WELLS* Stephen A. Wells | Chairman of the Board | |||
/s/ CINDY B. TAYLOR Cindy B. Taylor | Director, President & Chief Executive Officer (Principal Executive Officer) | |||
/s/ BRADLEY J. DODSON Bradley J. Dodson | Senior Vice President, Chief Financial Officer and Treasurer | |||
/s/ ROBERT W. HAMPTON Robert W. Hampton | Senior Vice President — Accounting and Corporate Secretary (Principal Accounting Officer) | |||
/s/ MARTIN A. LAMBERT* Martin A. Lambert | Director | |||
/s/ S. JAMES NELSON, JR.* S. James Nelson, Jr. | Director | |||
/s/ MARK G. PAPA* Mark G. Papa | Director | |||
/s/ GARY L. ROSENTHAL* Gary L. Rosenthal | Director | |||
/s/ CHRISTOPHER T. SEAVER* Christopher T. Seaver | Director | |||
/s/ DOUGLAS E. SWANSON* Douglas E. Swanson | Director | |||
/s/ WILLIAM T. VAN KLEEF* William T. Van Kleef | Director | |||
*By: | /s/ BRADLEY J. DODSON Bradley J. Dodson, pursuant to a power of attorney filed as Exhibit 24.1 to this Annual Report onForm 10-K |
5359
Exhibit No. | Description | |||||
2 | .1 | — | Scheme Implementation Deed, dated October 15, 2010, by and between Oil States International, Inc. and The MAC Services Group Limited (incorporated by reference to Exhibit 2.1 to Oil States’ Current Report on Form 8-K, as filed with the Commission on October 15, 2010 (FileNo. 001-16337)). | |||
3 | .1 | — | Amended and Restated Certificate of Incorporation (incorporated by reference to Exhibit 3.1 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (File No. 001-16337)). | |||
3 | .2 | — | Third Amended and Restated Bylaws (incorporated by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K, as filed with the Commission on March 13, 2009 (FileNo. 001-16337)). | |||
3 | .3 | — | Certificate of Designations of Special Preferred Voting Stock of Oil States International, Inc. (incorporated by reference to Exhibit 3.3 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (FileNo. 001-16337)). | |||
4 | .1 | — | Form of common stock certificate (incorporated by reference to Exhibit 4.1 to the Company’s Registration Statement on Form S-1, as filed with the Commission on November 7, 2000 (File No. 333-43400)). | |||
4 | .2 | — | Amended and Restated Registration Rights Agreement (incorporated by reference to Exhibit 4.2 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (File No. 001-16337)). | |||
4 | .3 | — | First Amendment to the Amended and Restated Registration Rights Agreement dated May 17, 2002 (incorporated by reference to Exhibit 4.3 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2002, as filed with the Commission on March 13, 2003 (FileNo. 001-16337)). | |||
4 | .4 | — | Registration Rights Agreement dated as of June 21, 2005 by and between Oil States International, Inc. and RBC Capital Markets Corporation (incorporated by reference to Exhibit 4.4 to Oil States’ Current Report on Form 8-K as filed with the Commission on June 23, 2005 (File No. 001-16337)). | |||
4 | .5 | — | Indenture dated as of June 21, 2005 by and between Oil States International, Inc. and Wells Fargo Bank, National Association, as trustee (incorporated by reference to Exhibit 4.5 to Oil States’ Current Report on Form 8-K as filed with the Commission on June 23, 2005 (File No. 001-16337)). | |||
4 | .6 | — | Global Notes representing $175,000,000 aggregate principal amount of 23/8% Contingent Convertible Senior Notes due 2025 (incorporated by reference to Section 2.2 of Exhibit 4.5 to Oil States’ Current Reports on Form 8-K as filed with the Commission on June 23, 2005 and July 13, 2005 (File No. 001-16337)). | |||
10 | .1 | — | Combination Agreement dated as of July 31, 2000 by and among Oil States International, Inc., HWC Energy Services, Inc., Merger Sub-HWC, Inc., Sooner Inc., Merger Sub-Sooner, Inc. and PTI Group Inc. (incorporated by reference to Exhibit 10.1 to the Company’s Registration Statement on Form S-1, as filed with the Commission on August 10, 2000 (File No. 333-43400)). | |||
10 | .2 | — | Plan of Arrangement of PTI Group Inc. (incorporated by reference to Exhibit 10.2 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (File No. 001-16337)). | |||
10 | .3 | — | Support Agreement between Oil States International, Inc. and PTI Holdco (incorporated by reference to Exhibit 10.3 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (File No. 001-16337)). | |||
10 | .4 | — | Voting and Exchange Trust Agreement by and among Oil States International, Inc., PTI Holdco and Montreal Trust Company of Canada (incorporated by reference to Exhibit 10.4 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (File No. 001-16337)). | |||
10 | .5** | — | Second Amended and Restated 2001 Equity Participation Plan effective March 30, 2009 (incorporated by reference to Exhibit 10.5 to Oil States’ Current Report on Form 8-K, as filed with the Commission on April 2, 2009 (File No. 001-16337)). |
60
Exhibit No. | Description | |||||
10 | .6** | — | Deferred Compensation Plan effective November 1, 2003 (incorporated by reference to Exhibit 10.6 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2003, as filed with the Commission on March 5, 2004 (File No. 001-16337)). | |||
10 | .7** | — | Annual Incentive Compensation Plan (incorporated by reference to Exhibit 10.7 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (File No. 001-16337)). | |||
10 | .8** | — | Executive Agreement between Oil States International, Inc. and Cindy B. Taylor (incorporated by Reference to Exhibit 10.9 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001 (File No. 001-16337)). | |||
10 | .9** | — | Form of Change of Control Severance Plan for Selected Members of Management (incorporated by reference to Exhibit 10.11 of the Company’s Registration Statement on Form S-1, as filed with the Commission on December 12, 2000 (File No. 333-43400)). | |||
10 | .10 | — | Credit Agreement, dated as of October 30, 2003, among Oil States International, Inc., the Lenders named therein and Wells Fargo Bank Texas, National Association, as Administrative Agent and U.S. Collateral Agent; and Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Hibernia National Bank and Royal Bank of Canada, as Co-Syndication Agents and Bank One, NA and Credit Lyonnais New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.12 to the Company’s Quarterly Report on Form 10-Q for the three months ended September 30, 2003, as filed with the Commission on November 12, 2003 (File No. 001-16337)). | |||
10 | .10A | — | Incremental Assumption Agreement, dated as of May 10, 2004, among Oil States International, Inc., Wells Fargo, National Association and each of the other lenders listed as an Increasing Lender (incorporated by reference to Exhibit 10.12A to the Company’s Quarterly Report on Form 10-Q for the three months ended June 30, 2004, as filed with the Commission on August 4, 2004 (File No. 001-16337)). | |||
10 | .10B | — | Amendment No. 1, dated as of January 31, 2005, to the Credit Agreement among Oil States International, Inc., the lenders named therein and Wells Fargo Bank, Texas, National Association, as Administrative Agent and U.S. Collateral Agent; and Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Hibernia National Bank and Royal Bank of Canada, as Co-Syndication Agents and Bank One, NA and Credit Lyonnais New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.12B to the Company’s Annual Report on Form 10-K for the year ended December 31, 2004, as filed with the Commission on March 2, 2005 (File No. 001-16337)). | |||
10 | .10C | — | Amendment No. 2, dated as of December 5, 2006, to the Credit Agreement among Oil States International, Inc., the lenders named therein and Wells Fargo Bank, N.A., as Lead Arranger, U.S. Administrative Agent and U.S. Collateral Agent; and The Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Capital One N.A. and Royal Bank of Canada, as Co-Syndication Agents and JP Morgan Chase Bank, N.A. and Calyon New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.12C to the Company’s Current Report on Form 8-K, as filed with the SEC on December 8, 2006 (File No. 001-16337)). | |||
10 | .10D | — | Incremental Assumption Agreement, dated as of December 13, 2007, among Oil States International, Inc., Wells Fargo, National Association and each of the other lenders listed as an Increasing Lender (incorporated by reference to Exhibit 10.12D to the Company’s Current Report on Form 8-K, as filed with the SEC on December 18, 2007 (File No. 001-16337)). | |||
10 | .10E | — | Amendment No. 3, dated as of October 1, 2009, to the Credit Agreement among Oil States International, Inc., the lenders named therein and Wells Fargo Bank, N.A., as Lead Arranger, U.S. Administrative Agent and U.S. Collateral Agent; and The Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Capital One N.A. and Royal Bank of Canada, as Co-Syndication Agents and JP Morgan Chase Bank, N.A. and Calyon New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.11E to the Company’s Current Report on Form 8-K, as filed with the Commission on October 2, 2009 (File No. 001-16337)). |
61
Exhibit No. | Description | |||||
10 | .10F | — | Amended and Restated Credit Agreement, dated as of December 10, 2010, among Oil States International, Inc., PTI Group Inc., PTI Premium Camp Services Ltd., as borrowers, the lenders named therein and Wells Fargo Bank, N.A., as Administrative Agent, U.S. Collateral Agent, the U.S. Swing Line Lender and an Issuing Bank; and Royal Bank of Canada, as Canadian Administrative Agent, Canadian Collateral Agent and the Canadian Swing Line Lender; JP Morgan Chase Bank, N.A., as Syndication Agent and Wells Fargo Securities, LLC, RBC Capital Markets and JP Morgan Securities, LLC, as Co-Lead Arrangers and Joint Bookrunners (incorporated by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K, as filed with the Commission on December 20, 2010 (File No. 001-16337)). | |||
10 | .11** | — | Form of Indemnification Agreement (incorporated by reference to Exhibit 10.14 to the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2004, as filed with the Commission on November 5, 2004 (File No. 001-16337)). | |||
10 | .12** | — | Form of Director Stock Option Agreement under the Company’s 2001 Equity Participation Plan (incorporated by reference to Exhibit 10.18 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2004, as filed with the Commission on March 2, 2005 (FileNo. 001-16337)). | |||
10 | .13** | — | Form of Employee Non Qualified Stock Option Agreement under the Company’s 2001 Equity Participation Plan (incorporated by reference to Exhibit 10.19 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2004, as filed with the Commission on March 2, 2005 (File No. 001-16337)). | |||
10 | .14** | — | Form of Restricted Stock Agreement under the Company’s 2001 Equity Participation Plan (incorporated by reference to Exhibit 10.20 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2004, as filed with the Commission on March 2, 2005 (File No. 001-16337)). | |||
10 | .15** | — | Non-Employee Director Compensation Summary (incorporated by reference to Exhibit 10.21 to the Company’s Report on Form 8-K as filed with the Commission on November 15, 2006 (File No. 001-16337)). | |||
10 | .16** | — | Executive Agreement between Oil States International, Inc. and named executive officer (Mr. Cragg) (incorporated by reference to Exhibit 10.22 to the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2005, as filed with the Commission on April 29, 2005 (File No. 001-16337)). | |||
10 | .17** | — | Form of Non-Employee Director Restricted Stock Agreement under the Company’s 2001 Equity Participation Plan (incorporated by reference to Exhibit 10.22 to the Company’s Report ofForm 8-K, as filed with the Commission on May 24, 2005 (File No. 001-16337)). | |||
10 | .18** | — | Executive Agreement between Oil States International, Inc. and named executive officer (Bradley Dodson) effective October 10, 2006 (incorporated by reference to Exhibit 10.24 to the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2006, as filed with the Commission on November 3, 2006 (File No. 001-16337)). | |||
10 | .19** | — | Executive Agreement between Oil States International, Inc. and named executive officer (Ron R. Green) effective May 17, 2007 (incorporated by reference to Exhibit 10.25 to the Company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2007, as filed with the Commission on August 2, 2007 (File No. 001-16337)). | |||
10 | .20** | — | Amendment to the Executive Agreement of Cindy Taylor, effective January 1, 2009 (incorporated by reference to Exhibit 10.21 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2008, as filed with the Commission on February 20, 2009 (File No. 001-16337)). | |||
10 | .21** | — | Amendment to the Executive Agreement of Bradley Dodson, effective January 1, 2009 (incorporated by reference to Exhibit 10.22 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2008, as filed with the Commission on February 20, 2009 (File No. 001-16337)). | |||
10 | .22** | — | Amendment to the Executive Agreement of Christopher Cragg, effective January 1, 2009 (incorporated by reference to Exhibit 10.24 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2008, as filed with the Commission on February 20, 2009 (File No. 001-16337)). |
62
Exhibit No. | Description | |||||
10 | .23** | — | Amendment to the Executive Agreement of Ron Green, effective January 1, 2009 (incorporated by reference to Exhibit 10.25 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2008, as filed with the Commission on February 20, 2009 (File No. 001-16337)). | |||
10 | .24** | — | Amendment to the Executive Agreement of Robert Hampton, effective January 1, 2009 (incorporated by reference to Exhibit 10.26 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2008, as filed with the Commission on February 20, 2009 (File No. 001-16337)). | |||
10 | .25** | — | Executive Agreement between Oil States International, Inc. and named executive officer (Charles Moses), effective March 4, 2010 (incorporated by reference to Exhibit 10.26 to the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2010, as filed with the Commission on April 30, 2010 (File No. 001-16337)). | |||
10 | .26** | — | Call Option Agreement, dated October 15, 2010, by and between Marley Holdings Pty Limited and PTI Holding Company 2 Pty Limited (incorporated by reference to Exhibit 10.1 to Oil States’ Current Report on Form 8-K, as filed with the Commission on October 5, 2010 (FileNo. 001-16337)). | |||
21 | .1* | — | List of subsidiaries of the Company. | |||
23 | .1* | — | Consent of Independent Registered Public Accounting Firm. | |||
24 | .1* | — | Powers of Attorney for Directors. | |||
31 | .1* | — | Certification of Chief Executive Officer of Oil States International, Inc. pursuant toRules 13a-14(a) or 15d-14(a) under the Securities Exchange Act of 1934. | |||
31 | .2* | — | Certification of Chief Financial Officer of Oil States International, Inc. pursuant toRules 13a-14(a) or 15d-14(a) under the Securities Exchange Act of 1934. | |||
32 | .1*** | — | Certification of Chief Executive Officer of Oil States International, Inc. pursuant toRules 13a-14(b) or 15d-14(b) under the Securities Exchange Act of 1934. | |||
32 | .2*** | — | Certification of Chief Financial Officer of Oil States International, Inc. pursuant toRules 13a-14(b) or 15d-14(b) under the Securities Exchange Act of 1934. | |||
101 | .INS*** | — | XBRL Instance Document | |||
101 | .SCH*** | — | XBRL Taxonomy Extension Schema Document | |||
101 | .CAL*** | — | XBRL Taxonomy Extension Calculation Linkbase Document | |||
101 | .LAB*** | — | XBRL Taxonomy Extension Label Linkbase Document | |||
101 | .PRE*** | — | XBRL Taxonomy Extension Presentation Linkbase Document |
* | Filed herewith | |
** | Management contracts or compensatory plans or arrangements | |
*** | Furnished herewith. |
63
5464
5565
5666
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
2009 | 2008(1) | 2007(1) | 2010 | 2009 | 2008 | |||||||||||||||||||
(In thousands, except per share amounts) | (In thousands, except per share amounts) | |||||||||||||||||||||||
Revenues: | ||||||||||||||||||||||||
Product | $ | 1,279,181 | $ | 1,874,262 | $ | 1,280,235 | $ | 1,282,212 | $ | 1,279,181 | $ | 1,874,262 | ||||||||||||
Service and other | 829,069 | 1,074,195 | 808,000 | 1,129,772 | 829,069 | 1,074,195 | ||||||||||||||||||
2,108,250 | 2,948,457 | 2,088,235 | 2,411,984 | 2,108,250 | 2,948,457 | |||||||||||||||||||
Costs and expenses: | ||||||||||||||||||||||||
Product costs | 1,109,769 | 1,594,139 | 1,135,354 | 1,147,427 | 1,109,769 | 1,594,139 | ||||||||||||||||||
Service and other costs | 530,429 | 640,835 | 466,859 | 726,867 | 530,429 | 640,835 | ||||||||||||||||||
Selling, general and administrative expenses | 139,293 | 143,080 | 118,421 | 150,865 | 139,293 | 143,080 | ||||||||||||||||||
Depreciation and amortization expense | 118,108 | 102,604 | 70,703 | 124,202 | 118,108 | 102,604 | ||||||||||||||||||
Impairment of goodwill | 94,528 | 85,630 | — | — | 94,528 | 85,630 | ||||||||||||||||||
Other operating income | (2,606 | ) | (1,586 | ) | (888 | ) | ||||||||||||||||||
Acquisition related expenses | 6,959 | — | — | |||||||||||||||||||||
Other operating (income) / expense | 82 | (2,606 | ) | (1,586 | ) | |||||||||||||||||||
1,989,521 | 2,564,702 | 1,790,449 | 2,156,402 | 1,989,521 | 2,564,702 | |||||||||||||||||||
Operating income | 118,729 | 383,755 | 297,786 | 255,582 | 118,729 | 383,755 | ||||||||||||||||||
Interest expense | (15,266 | ) | (23,585 | ) | (23,610 | ) | (16,274 | ) | (15,266 | ) | (23,585 | ) | ||||||||||||
Interest income | 380 | 3,561 | 3,508 | 751 | 380 | 3,561 | ||||||||||||||||||
Equity in earnings of unconsolidated affiliates | 1,452 | 4,035 | 3,350 | 239 | 1,452 | 4,035 | ||||||||||||||||||
Gains on sale of investment | — | 6,160 | 12,774 | — | — | 6,160 | ||||||||||||||||||
Other income / (expense) | 414 | (476 | ) | 1,213 | 330 | 414 | (476 | ) | ||||||||||||||||
Income before income taxes | 105,709 | 373,450 | 295,021 | 240,628 | 105,709 | 373,450 | ||||||||||||||||||
Income tax provision | (46,097 | ) | (154,151 | ) | (94,945 | ) | (72,023 | ) | (46,097 | ) | (154,151 | ) | ||||||||||||
Net income | $ | 59,612 | $ | 219,299 | $ | 200,076 | $ | 168,605 | $ | 59,612 | $ | 219,299 | ||||||||||||
Less: Net income attributable to noncontrolling interests | 498 | 446 | 284 | 587 | 498 | 446 | ||||||||||||||||||
Net income attributable to Oil States International, Inc. | $ | 59,114 | $ | 218,853 | $ | 199,792 | $ | 168,018 | $ | 59,114 | $ | 218,853 | ||||||||||||
Basic net income per share attributable to Oil States International, Inc. common stockholders | $ | 1.19 | $ | 4.41 | $ | 4.04 | $ | 3.34 | $ | 1.19 | $ | 4.41 | ||||||||||||
Diluted net income per share attributable to Oil States International, Inc. common stockholders | $ | 1.18 | $ | 4.26 | $ | 3.92 | $ | 3.19 | $ | 1.18 | $ | 4.26 | ||||||||||||
Weighted average number of common shares outstanding (in thousands): | ||||||||||||||||||||||||
Basic | 49,625 | 49,622 | 49,500 | 50,238 | 49,625 | 49,622 | ||||||||||||||||||
Diluted | 50,219 | 51,414 | 50,911 | 52,700 | 50,219 | 51,414 |
5767
December 31, | December 31, | |||||||||||||||
2009 | 2008(1) | 2010 | 2009 | |||||||||||||
(In thousands, except share amounts) | (In thousands, except share amounts) | |||||||||||||||
ASSETS | ASSETS | ASSETS | ||||||||||||||
Current assets: | ||||||||||||||||
Cash and cash equivalents | $ | 89,742 | $ | 30,199 | $ | 96,350 | $ | 89,742 | ||||||||
Accounts receivable, net | 385,816 | 575,982 | 478,739 | 385,816 | ||||||||||||
Inventories, net | 423,077 | 612,488 | 501,435 | 423,077 | ||||||||||||
Prepaid expenses and other current assets | 26,933 | 18,815 | 23,480 | 26,933 | ||||||||||||
Total current assets | 925,568 | 1,237,484 | 1,100,004 | 925,568 | ||||||||||||
Property, plant and equipment, net | 749,601 | 695,338 | 1,252,657 | 749,601 | ||||||||||||
Goodwill, net | 218,740 | 305,441 | 475,222 | 218,740 | ||||||||||||
Other intangible assets, net | 139,421 | 19,681 | ||||||||||||||
Investments in unconsolidated affiliates | 5,164 | 5,899 | 5,937 | 5,164 | ||||||||||||
Other noncurrent assets | 33,313 | 54,356 | 42,758 | 13,632 | ||||||||||||
Total assets | $ | 1,932,386 | $ | 2,298,518 | $ | 3,015,999 | $ | 1,932,386 | ||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||
Current liabilities: | ||||||||||||||||
Accounts payable and accrued liabilities | $ | 208,541 | $ | 371,789 | $ | 304,739 | $ | 208,541 | ||||||||
Income taxes | 14,419 | 52,546 | 4,604 | 14,419 | ||||||||||||
Current portion of long-term debt | 464 | 4,943 | ||||||||||||||
Current portion of long-term debt and capitalized leases | 181,175 | 464 | ||||||||||||||
Deferred revenue | 87,412 | 105,640 | 60,847 | 87,412 | ||||||||||||
Other current liabilities | 4,387 | 1,587 | 2,810 | 4,387 | ||||||||||||
Total current liabilities | 315,223 | 536,505 | 554,175 | 315,223 | ||||||||||||
Long-term debt | 164,074 | 449,058 | ||||||||||||||
Long-term debt and capitalized leases | 731,732 | 164,074 | ||||||||||||||
Deferred income taxes | 55,332 | 64,780 | 81,198 | 55,332 | ||||||||||||
Other noncurrent liabilities | 15,691 | 12,634 | 19,961 | 15,691 | ||||||||||||
Total liabilities | 550,320 | 1,062,977 | 1,387,066 | 550,320 | ||||||||||||
Stockholders’ equity: | ||||||||||||||||
Oil States International, Inc. stockholders’ equity: | ||||||||||||||||
Common stock, $.01 par value, 200,000,000 shares authorized, 49,814,964 shares and 49,500,708 shares issued and outstanding, respectively | 531 | 526 | ||||||||||||||
Common stock, $.01 par value, 200,000,000 shares authorized, 54,108,011 shares and 53,047,082 shares issued, respectively, and 50,838,863 shares and 49,814,964 shares outstanding, respectively | 541 | 531 | ||||||||||||||
Additional paid-in capital | 468,428 | 453,733 | 508,429 | 468,428 | ||||||||||||
Retained earnings | 960,115 | 901,001 | 1,128,133 | 960,115 | ||||||||||||
Accumulated other comprehensive income (loss) | 44,115 | (28,409 | ) | |||||||||||||
Common stock held in treasury at cost, 3,232,118 and 3,206,645 shares, respectively | (92,341 | ) | (91,831 | ) | ||||||||||||
Accumulated other comprehensive income | 84,549 | 44,115 | ||||||||||||||
Common stock held in treasury at cost, 3,269,148 and 3,232,118 shares, respectively | (93,746 | ) | (92,341 | ) | ||||||||||||
Total Oil States International, Inc. stockholders’ equity | 1,380,848 | 1,235,020 | 1,627,906 | 1,380,848 | ||||||||||||
Noncontrolling interest | 1,218 | 521 | 1,027 | 1,218 | ||||||||||||
Total stockholders’ equity | 1,382,066 | 1,235,541 | 1,628,933 | 1,382,066 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 1,932,386 | $ | 2,298,518 | $ | 3,015,999 | $ | 1,932,386 | ||||||||
5868
Accumulated | Accumulated | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other | Other | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Additional | Comprehensive | Additional | Comprehensive | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Common | Paid-In | Retained | Comprehensive | Income | Treasury | Noncontrolling | Common | Paid-In | Retained | Comprehensive | Income | Treasury | Noncontrolling | |||||||||||||||||||||||||||||||||||||||||||
Stock | Capital(1) | Earnings(1) | Income | (Loss) | Stock | Interest | Stock | Capital | Earnings | Income | (Loss) | Stock | Interest | |||||||||||||||||||||||||||||||||||||||||||
(In thousands) | (In thousands) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2006 | $ | 511 | $ | 400,492 | $ | 482,642 | $ | 30,183 | $ | (50,528 | ) | $ | 221 | |||||||||||||||||||||||||||||||||||||||||||
Net income | 199,792 | $ | 199,792 | 284 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation adjustment | 42,340 | 42,340 | 22 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends paid | (180 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income | 513 | 513 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive income | $ | 242,645 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Exercise of stock options, including tax benefit | 10 | 21,913 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization of restricted stock compensation | 2,959 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Surrender of stock to pay taxes on restricted stock awards | 1 | (1 | ) | (405 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Stock option expense | 5,011 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock acquired for cash | (30,673 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adoption of new accounting standard (see Note 10) | (286 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other | 166 | 71 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2007 | $ | 522 | $ | 430,540 | $ | 682,148 | $ | 73,036 | $ | (81,535 | ) | $ | 347 | $ | 522 | $ | 430,540 | $ | 682,148 | $ | 73,036 | $ | (81,535 | ) | $ | 347 | ||||||||||||||||||||||||||||||
Net income | 218,853 | $ | 218,853 | 446 | 218,853 | $ | 218,853 | 446 | ||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation adjustment | (101,365 | ) | (101,365 | ) | (59 | ) | (101,365 | ) | (101,365 | ) | (59 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Dividends paid | (213 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Unrealized gain on marketable securities, net of tax (see Note 7) | 2,028 | 2,028 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reclassification adjustment, net of tax (see Note 7) | (2,028 | ) | (2,028 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Unrealized gain on marketable securities, net of tax | 2,028 | 2,028 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reclassification adjustment, net of tax | (2,028 | ) | (2,028 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss | (80 | ) | (80 | ) | (80 | ) | (80 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive income | $ | 117,408 | $ | 117,408 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends paid | (213 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Exercise of stock options, including tax benefit | 4 | 12,292 | 4 | 12,292 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization of restricted stock compensation | 5,371 | 5,371 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Surrender of stock to pay taxes on restricted stock awards | (863 | ) | (863 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock option expense | 5,537 | 5,537 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock acquired for cash | (9,434 | ) | (9,434 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Other | (7 | ) | 1 | (7 | ) | 1 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2008 | $ | 526 | $ | 453,733 | $ | 901,001 | $ | (28,409 | ) | $ | (91,831 | ) | $ | 521 | $ | 526 | $ | 453,733 | $ | 901,001 | $ | (28,409 | ) | $ | (91,831 | ) | $ | 521 | ||||||||||||||||||||||||||||
Net income | 59,114 | $ | 59,114 | 498 | 59,114 | $ | 59,114 | 498 | ||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation adjustment | 72,548 | 72,548 | 199 | 72,548 | 72,548 | 199 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss | (24 | ) | (24 | ) | (24 | ) | (24 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive income | $ | 131,638 | $ | 131,638 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Exercise of stock options, including tax benefit | 2 | 3,146 | 2 | 3,146 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization of restricted stock compensation | 6,008 | 6,008 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Surrender of stock to pay taxes on restricted stock awards | 3 | (3 | ) | (511 | ) | 3 | (3 | ) | (511 | ) | ||||||||||||||||||||||||||||||||||||||||||||||
Stock option expense | 5,542 | 5,542 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other | 2 | 1 | 2 | 1 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2009 | $ | 531 | $ | 468,428 | $ | 960,115 | $ | 44,115 | $ | (92,341 | ) | $ | 1,218 | $ | 531 | $ | 468,428 | $ | 960,115 | $ | 44,115 | $ | (92,341 | ) | $ | 1,218 | ||||||||||||||||||||||||||||||
Net income | 168,018 | $ | 168,018 | 587 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Currency translation adjustment | 40,274 | 40,274 | 25 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income | 160 | 160 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive income | $ | 208,452 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends paid | (803 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Exercise of stock options, including tax benefit | 9 | 27,380 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization of restricted stock compensation | 6,592 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Surrender of stock to pay taxes on restricted stock awards | 2 | (2 | ) | (1,406 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Stock option expense | 6,028 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other | (1 | ) | 3 | 1 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2010 | $ | 541 | $ | 508,429 | $ | 1,128,133 | $ | 84,549 | $ | (93,746 | ) | $ | 1,027 | |||||||||||||||||||||||||||||||||||||||||||
5969
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
2009 | 2008(1) | 2007(1) | 2010 | 2009 | 2008 | |||||||||||||||||||
(In thousands) | (In thousands) | |||||||||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||||||
Net income | $ | 59,612 | $ | 219,299 | $ | 200,076 | $ | 168,605 | $ | 59,612 | $ | 219,299 | ||||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||||||||||||||
Depreciation and amortization | 118,108 | 102,604 | 70,703 | 124,202 | 118,108 | 102,604 | ||||||||||||||||||
Deferred income tax provision (benefit) | (15,126 | ) | 13,692 | 4,761 | 20,590 | (15,126 | ) | 13,692 | ||||||||||||||||
Excess tax benefits from share-based payment arrangements | — | (3,429 | ) | (8,127 | ) | (4,029 | ) | — | (3,429 | ) | ||||||||||||||
Loss on impairment of goodwill | 94,528 | 85,630 | — | — | 94,528 | 85,630 | ||||||||||||||||||
Gains on sale of investment and disposals of assets | (325 | ) | (6,270 | ) | (14,883 | ) | ||||||||||||||||||
Losses (gains) on sale of investment and disposals of assets | 211 | (325 | ) | (6,270 | ) | |||||||||||||||||||
Equity in earnings of unconsolidated subsidiaries, net of dividends | (1,452 | ) | (2,983 | ) | (2,973 | ) | (143 | ) | (1,452 | ) | (2,983 | ) | ||||||||||||
Non-cash compensation charge | 11,550 | 10,908 | 7,970 | 12,620 | 11,550 | 10,908 | ||||||||||||||||||
Accretion of debt discount | 6,749 | 6,283 | 5,850 | 7,249 | 6,749 | 6,283 | ||||||||||||||||||
Other, net | 3,693 | 3,254 | 438 | 1,583 | 3,693 | 3,254 | ||||||||||||||||||
Changes in operating assets and liabilities, net of effect from acquired businesses: | ||||||||||||||||||||||||
Accounts receivable | 205,627 | (155,897 | ) | (68,080 | ) | (61,835 | ) | 205,627 | (155,897 | ) | ||||||||||||||
Inventories | 200,469 | (281,971 | ) | 43,186 | (75,416 | ) | 200,469 | (281,971 | ) | |||||||||||||||
Accounts payable and accrued liabilities | (168,758 | ) | 143,479 | 34,806 | 82,032 | (168,758 | ) | 143,479 | ||||||||||||||||
Taxes payable | (38,428 | ) | 66,616 | (7,199 | ) | (22,468 | ) | (38,428 | ) | 66,616 | ||||||||||||||
Other current assets and liabilities, net | (22,885 | ) | 56,249 | (18,629 | ) | (22,279 | ) | (22,885 | ) | 56,249 | ||||||||||||||
Net cash flows provided by operating activities | 453,362 | 257,464 | 247,899 | 230,922 | 453,362 | 257,464 | ||||||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||||||
Capital expenditures, including capitalized interest | (124,488 | ) | (247,384 | ) | (239,633 | ) | (182,207 | ) | (124,488 | ) | (247,384 | ) | ||||||||||||
Acquisitions of businesses, net of cash acquired | 18 | (29,835 | ) | (103,143 | ) | (709,575 | ) | 18 | (29,835 | ) | ||||||||||||||
Proceeds from sale of investment and collection of notes receivable | 21,166 | 27,381 | 29,354 | — | 21,166 | 27,381 | ||||||||||||||||||
Proceeds from sale of buildings and equipment | 2,839 | 4,390 | 3,861 | 2,734 | 2,839 | 4,390 | ||||||||||||||||||
Other, net | (2,143 | ) | (646 | ) | (1,275 | ) | (632 | ) | (2,143 | ) | (646 | ) | ||||||||||||
Net cash flows used in investing activities | (102,608 | ) | (246,094 | ) | (310,836 | ) | (889,680 | ) | (102,608 | ) | (246,094 | ) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||||||
Revolving credit borrowings (repayments) | (294,760 | ) | 1,474 | 81,798 | ||||||||||||||||||||
Debt repayments | (4,961 | ) | (4,960 | ) | (6,972 | ) | ||||||||||||||||||
Issuance of common stock | 3,460 | 8,868 | 13,796 | |||||||||||||||||||||
Revolving credit borrowings (repayments), net | 347,129 | (294,760 | ) | 1,474 | ||||||||||||||||||||
Term loan borrowings | 300,955 | — | — | |||||||||||||||||||||
Debt and capital lease repayments | (487 | ) | (4,961 | ) | (4,960 | ) | ||||||||||||||||||
Issuance of common stock from share based payment arrangements | 23,361 | 3,460 | 8,868 | |||||||||||||||||||||
Purchase of treasury stock | — | (9,563 | ) | (35,458 | ) | — | — | (9,563 | ) | |||||||||||||||
Excess tax benefits from share based payment arrangements | — | 3,429 | 8,127 | 4,029 | — | 3,429 | ||||||||||||||||||
Payment of financing costs | — | (39 | ) | (255 | ) | (24,548 | ) | — | (39 | ) | ||||||||||||||
Other, net | (512 | ) | (875 | ) | (404 | ) | (1,407 | ) | (512 | ) | (875 | ) | ||||||||||||
Net cash flows provided by (used in) financing activities | (296,773 | ) | (1,666 | ) | 60,632 | 649,032 | (296,773 | ) | (1,666 | ) | ||||||||||||||
Effect of exchange rate changes on cash | 5,695 | (9,802 | ) | 5,018 | 16,477 | 5,695 | (9,802 | ) | ||||||||||||||||
Net increase (decrease) in cash and cash equivalents from continuing operations | 59,676 | (98 | ) | 2,713 | 6,751 | 59,676 | (98 | ) | ||||||||||||||||
Net cash used in discontinued operations — operating activities | (133 | ) | (295 | ) | (517 | ) | (143 | ) | (133 | ) | (295 | ) | ||||||||||||
Cash and cash equivalents, beginning of year | 30,199 | 30,592 | 28,396 | 89,742 | 30,199 | 30,592 | ||||||||||||||||||
Cash and cash equivalents, end of year | $ | 89,742 | $ | 30,199 | $ | 30,592 | $ | 96,350 | $ | 89,742 | $ | 30,199 | ||||||||||||
6070
1. | Organization and Basis of Presentation |
2. | Summary of Significant Accounting Policies |
At December 31, | At December 31, | |||||||||||||||||||||||||||||||||||||||
2009 | 2008 | 2010 | 2009 | |||||||||||||||||||||||||||||||||||||
Interest | Carrying | Fair | Carrying | Fair | Interest | Carrying | Fair | Carrying | Fair | |||||||||||||||||||||||||||||||
Rate | Value | Value | Value | Value | Rate | Value | Value | Value | Value | |||||||||||||||||||||||||||||||
Principal amount due 2025 | 2 3/8 | % | $ | 175,000 | $ | 243,653 | $ | 175,000 | $ | 133,613 | 2 3/8 | % | $ | 175,000 | $ | 354,057 | $ | 175,000 | $ | 243,653 | ||||||||||||||||||||
Less: Unamortized discount | (19,141 | ) | — | (25,890 | ) | — | ||||||||||||||||||||||||||||||||||
Less: unamortized discount | 11,892 | — | 19,141 | — | ||||||||||||||||||||||||||||||||||||
Net value | $ | 155,859 | $ | 243,653 | $ | 149,110 | $ | 133,613 | $ | 163,108 | $ | 354,057 | $ | 155,859 | $ | 243,653 | ||||||||||||||||||||||||
61
71
6272
6373
6474
Year Ended December 31, | Year Ended December 31, | |||||||||||||||
2009 | 2008 | 2010 | 2009 | |||||||||||||
Beginning balance | $ | 1,966 | $ | 1,978 | $ | 2,169 | $ | 1,966 | ||||||||
Provisions for warranty | 2,819 | 1,370 | 1,314 | 2,819 | ||||||||||||
Consumption of reserves | (2,808 | ) | (1,298 | ) | ||||||||||||
Consumption of liabilities | (1,924 | ) | (2,808 | ) | ||||||||||||
Translation and other changes | 192 | (84 | ) | 17 | 192 | |||||||||||
Ending balance | $ | 2,169 | $ | 1,966 | $ | 1,576 | $ | 2,169 | ||||||||
6575
3. | Details of Selected Balance Sheet Accounts |
2009 | 2008 | 2010 | 2009 | |||||||||||||
Accounts receivable, net: | ||||||||||||||||
Trade | $ | 287,148 | $ | 456,975 | $ | 365,988 | $ | 287,148 | ||||||||
Unbilled revenue | 102,527 | 119,907 | 113,389 | 102,527 | ||||||||||||
Other | 1,087 | 3,268 | 3,462 | 1,087 | ||||||||||||
Total accounts receivable | 390,762 | 580,150 | 482,839 | 390,762 | ||||||||||||
Allowance for doubtful accounts | (4,946 | ) | (4,168 | ) | (4,100 | ) | (4,946 | ) | ||||||||
$ | 385,816 | $ | 575,982 | $ | 478,739 | $ | 385,816 | |||||||||
6676
2009 | 2008 | 2010 | 2009 | |||||||||||||
Inventories, net: | ||||||||||||||||
Tubular goods | $ | 265,717 | $ | 396,462 | $ | 332,720 | $ | 265,717 | ||||||||
Other finished goods and purchased products | 66,489 | 88,848 | 71,266 | 66,489 | ||||||||||||
Work in process | 43,729 | 65,009 | 45,662 | 43,729 | ||||||||||||
Raw materials | 55,421 | 68,881 | 60,241 | 55,421 | ||||||||||||
Total inventories | 431,356 | 619,200 | 509,889 | 431,356 | ||||||||||||
Inventory reserves | (8,279 | ) | (6,712 | ) | ||||||||||||
Allowance for obsolescence | (8,454 | ) | (8,279 | ) | ||||||||||||
$ | 423,077 | $ | 612,488 | $ | 501,435 | $ | 423,077 | |||||||||
Estimated | Estimated | |||||||||||||||||||||||
Useful Life | 2009 | 2008 | Useful Life | 2010 | 2009 | |||||||||||||||||||
Property, plant and equipment, net: | ||||||||||||||||||||||||
Land | $ | 19,426 | $ | 18,298 | $ | 43,411 | $ | 19,426 | ||||||||||||||||
Buildings and leasehold improvements | 1-50 years | 165,526 | 135,080 | 1-40 years | 193,617 | 165,526 | ||||||||||||||||||
Machinery and equipment | 2-29 years | 301,900 | 270,434 | 2-29 years | 311,217 | 301,900 | ||||||||||||||||||
Accommodations assets | 3-15 years | 383,332 | 300,765 | 3-15 years | 840,002 | 383,332 | ||||||||||||||||||
Rental tools | 4-10 years | 151,050 | 141,644 | 4-10 years | 166,245 | 151,050 | ||||||||||||||||||
Office furniture and equipment | 1-10 years | 29,817 | 26,506 | 1-10 years | 36,325 | 29,817 | ||||||||||||||||||
Vehicles | 2-10 years | 72,142 | 68,645 | 2-10 years | 82,783 | 72,142 | ||||||||||||||||||
Construction in progress | 65,652 | 49,915 | 113,773 | 65,652 | ||||||||||||||||||||
Total property, plant and equipment | 1,188,845 | 1,011,287 | 1,787,373 | 1,188,845 | ||||||||||||||||||||
Less: Accumulated depreciation | (439,244 | ) | (315,949 | ) | ||||||||||||||||||||
Accumulated depreciation | (534,716 | ) | (439,244 | ) | ||||||||||||||||||||
$ | 749,601 | $ | 695,338 | $ | 1,252,657 | $ | 749,601 | |||||||||||||||||
2009 | 2008 | 2010 | 2009 | |||||||||||||
Accounts payable and accrued liabilities: | ||||||||||||||||
Trade accounts payable | $ | 145,200 | $ | 307,132 | $ | 224,543 | $ | 145,200 | ||||||||
Accrued compensation | 35,834 | 35,864 | 47,760 | 35,834 | ||||||||||||
Accrued insurance | 8,133 | 7,551 | ||||||||||||||
Insurance liabilities | 8,615 | 8,133 | ||||||||||||||
Accrued taxes, other than income taxes | 4,216 | 7,257 | 4,887 | 4,216 | ||||||||||||
Reserves related to discontinued operations | 2,411 | 2,544 | ||||||||||||||
Liabilities related to discontinued operations | 2,268 | 2,411 | ||||||||||||||
Other | 12,747 | 11,441 | 16,666 | 12,747 | ||||||||||||
$ | 208,541 | $ | 371,789 | $ | 304,739 | $ | 208,541 | |||||||||
4. | Recent Accounting Pronouncements |
67
68
77
5. | Acquisitions and Supplemental Cash Flow Information |
2010 | 2009 | 2008 | ||||||||||
Fair value of assets acquired including intangibles and goodwill | $ | 850,557 | $ | 3,112 | $ | 32,543 | ||||||
Liabilities assumed | (119,386 | ) | (411 | ) | (2,604 | ) | ||||||
Noncash consideration | (7,966 | ) | (379 | ) | — | |||||||
Cash acquired | (13,630 | ) | (2,340 | ) | (104 | ) | ||||||
Cash used in acquisition of businesses | $ | 709,575 | $ | (18 | ) | $ | 29,835 | |||||
6978
Cash and cash equivalents | $ | 12,279 | ||
Accounts receivable | 18,971 | |||
Inventories and other current assets | 2,800 | |||
Property, plant and equipment | 387,579 | |||
Intangible assets | 104,500 | |||
Other noncurrent assets | 5,110 | |||
Total identifiable assets acquired | 531,239 | |||
Accounts payable and accrued liabilities | (10,130 | ) | ||
Current portion of long-term debt | (519 | ) | ||
Other current liabilities | (2,301 | ) | ||
Long-term debt | (86,506 | ) | ||
Deferred income taxes | (13,513 | ) | ||
Other noncurrent liabilities | (142 | ) | ||
Total liabilities assumed | (113,111 | ) | ||
Net identifiable assets acquired | 418,128 | |||
Goodwill | 231,974 | |||
Net assets acquired | $ | 650,102 | ||
79
Year Ended | ||||||||
December 31, | ||||||||
2010 | 2009 | |||||||
(Unaudited) | ||||||||
Revenues | $ | 2,527,330 | $ | 2,195,761 | ||||
Net income attributable to Oil States International, Inc. | 165,284 | 60,000 | ||||||
Net income per share attributable to Oil States International, Inc common stockholders | ||||||||
Basic | $ | 3.29 | $ | 1.21 | ||||
Diluted | $ | 3.14 | $ | 1.19 |
80
2010 | 2009 | 2008 | ||||||||||
Interest (net of amounts capitalized) | $ | 7,303 | $ | 7,549 | $ | 16,265 | ||||||
Income taxes, net of refunds | $ | 75,303 | $ | 102,759 | $ | 70,441 | ||||||
Non-cash investing activities: | ||||||||||||
Building capital lease | $ | — | $ | — | 8,304 | |||||||
Non-cash financing activities: | ||||||||||||
Borrowings and assumption of liabilities for business and asset acquisition and related intangibles | $ | 7,966 | $ | 379 | $ | — |
81
Earnings Per Share (EPS) |
2009 | 2008(1) | 2007(1) | 2010 | 2009 | 2008 | |||||||||||||||||||
(In thousands, except per share data) | (In thousands, except per share data) | |||||||||||||||||||||||
Basic earnings per share: | ||||||||||||||||||||||||
Net income attributable to Oil States International, Inc. | $ | 59,114 | $ | 218,853 | $ | 199,792 | $ | 168,018 | $ | 59,114 | $ | 218,853 | ||||||||||||
Weighted average number of shares outstanding | 49,625 | 49,622 | 49,500 | 50,238 | 49,625 | 49,622 | ||||||||||||||||||
Basic earnings per share | $ | 1.19 | $ | 4.41 | $ | 4.04 | $ | 3.34 | $ | 1.19 | $ | 4.41 | ||||||||||||
Diluted earnings per share: | ||||||||||||||||||||||||
Net income attributable to Oil States International, Inc. | $ | 59,114 | $ | 218,853 | $ | 199,792 | $ | 168,018 | $ | 59,114 | $ | 218,853 | ||||||||||||
Weighted average number of shares outstanding (basic) | 49,625 | 49,622 | 49,500 | 50,238 | 49,625 | 49,622 | ||||||||||||||||||
Effect of dilutive securities: | ||||||||||||||||||||||||
Options on common stock | 290 | 419 | 596 | 630 | 290 | 419 | ||||||||||||||||||
23/8% Convertible Senior Subordinated Notes | 203 | 1,271 | 730 | 1,647 | 203 | 1,271 | ||||||||||||||||||
Restricted stock awards and other | 101 | 102 | 85 | 185 | 101 | 102 | ||||||||||||||||||
Total shares and dilutive securities | 50,219 | 51,414 | 50,911 | 52,700 | 50,219 | 51,414 | ||||||||||||||||||
Diluted earnings per share | $ | 1.18 | $ | 4.26 | $ | 3.92 | $ | 3.19 | $ | 1.18 | $ | 4.26 |
Goodwill and Other Intangible Assets |
7082
Total | Well Site Services | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Rental | Drilling | Well Site | Offshore | Tubular | Rental | Drilling | Offshore | Tubular | ||||||||||||||||||||||||||||||||||||||||||||||||
Accommodations | Tools | and Other | Services | Products | Services | Total | Tools | and Other | Subtotal | Accommodations | Products | Services | Total | |||||||||||||||||||||||||||||||||||||||||||
Balance as of December 31, 2007 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill | $ | 47,680 | $ | 182,521 | $ | 22,767 | $ | 252,968 | $ | 75,813 | $ | 62,863 | $ | 391,644 | ||||||||||||||||||||||||||||||||||||||||||
Accumulated Impairment Losses | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||
47,680 | 182,521 | 22,767 | 252,968 | 75,813 | 62,863 | 391,644 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill acquired | 3,690 | (1,564 | ) | — | 2,126 | 11,027 | — | 13,153 | ||||||||||||||||||||||||||||||||||||||||||||||||
Foreign currency translation and other changes | (6,221 | ) | (5,739 | ) | — | (11,960 | ) | (1,766 | ) | — | (13,726 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Goodwill impairment | — | — | (22,767 | ) | (22,767 | ) | — | (62,863 | ) | (85,630 | ) | |||||||||||||||||||||||||||||||||||||||||||||
Balance as of December 31, 2008 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill | 45,149 | 175,218 | 22,767 | 243,134 | 85,074 | 62,863 | 391,071 | $ | 166,841 | $ | 22,767 | $ | 189,608 | $ | 53,526 | $ | 85,074 | $ | 62,863 | $ | 391,071 | |||||||||||||||||||||||||||||||||||
Accumulated Impairment Losses | — | — | (22,767 | ) | (22,767 | ) | — | (62,863 | ) | (85,630 | ) | — | (22,767 | ) | (22,767 | ) | — | — | (62,863 | ) | (85,630 | ) | ||||||||||||||||||||||||||||||||||
45,149 | 175,218 | — | 220,367 | 85,074 | — | 305,441 | 166,841 | — | 166,841 | 53,526 | 85,074 | — | 305,441 | |||||||||||||||||||||||||||||||||||||||||||
Goodwill acquired | 337 | — | — | 337 | — | — | 337 | — | — | — | 337 | — | — | 337 | ||||||||||||||||||||||||||||||||||||||||||
Foreign currency translation and other changes | 4,495 | 2,470 | — | 6,965 | 525 | — | 7,490 | 2,470 | — | 2,470 | 4,495 | 525 | — | 7,490 | ||||||||||||||||||||||||||||||||||||||||||
Goodwill impairment | — | (94,528 | ) | — | (94,528 | ) | — | — | (94,528 | ) | (94,528 | ) | — | (94,528 | ) | — | — | — | (94,528 | ) | ||||||||||||||||||||||||||||||||||||
74,783 | — | 74,783 | 58,358 | 85,599 | — | 218,740 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of December 31, 2009 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill | 49,981 | 177,688 | 22,767 | 250,436 | 85,599 | 62,863 | 398,898 | 169,311 | 22,767 | 192,078 | 58,358 | 85,599 | 62,863 | 398,898 | ||||||||||||||||||||||||||||||||||||||||||
Accumulated Impairment Losses | — | (94,528 | ) | (22,767 | ) | (117,295 | ) | — | (62,863 | ) | (180,158 | ) | (94,528 | ) | (22,767 | ) | (117,295 | ) | — | — | (62,863 | ) | (180,158 | ) | ||||||||||||||||||||||||||||||||
$ | 49,981 | $ | 83,160 | $ | — | $ | 133,141 | $ | 85,599 | $ | — | $ | 218,740 | 74,783 | — | 74,783 | 58,358 | 85,599 | — | 218,740 | ||||||||||||||||||||||||||||||||||||
Goodwill acquired | — | — | — | 239,080 | 15,242 | — | 254,322 | |||||||||||||||||||||||||||||||||||||||||||||||||
Foreign currency translation and other changes | 723 | — | 723 | 1,624 | (187 | ) | — | 2,160 | ||||||||||||||||||||||||||||||||||||||||||||||||
75,506 | — | 75,506 | 299,062 | 100,654 | — | 475,222 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of December 31, 2010 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill | 170,034 | 22,767 | 192,801 | 299,062 | 100,654 | 62,863 | 655,380 | |||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Impairment Losses | (94,528 | ) | (22,767 | ) | (117,295 | ) | — | — | (62,863 | ) | (180,158 | ) | ||||||||||||||||||||||||||||||||||||||||||||
$ | 75,506 | $ | — | $ | 75,506 | $ | 299,062 | $ | 100,654 | $ | — | $ | 475,222 | |||||||||||||||||||||||||||||||||||||||||||
December 31, 2010 | December 31, 2009 | |||||||||||||||
Gross Carrying | Accumulated | Gross Carrying | Accumulated | |||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||
Amortizable intangible assets | ||||||||||||||||
Customer contracts/relationships | $ | 127,124 | $ | 3,848 | $ | 16,128 | $ | 2,636 | ||||||||
Non-compete agreements | 5,117 | 3,704 | 6,656 | 5,946 | ||||||||||||
Patents and other | 18,080 | 3,348 | 9,612 | 4,133 | ||||||||||||
$ | 150,321 | $ | 10,900 | $ | 32,396 | $ | 12,715 | |||||||||
7183
December 31, 2009 | December 31, 2008 | |||||||||||||||
Gross Carrying | Accumulated | Gross Carrying | Accumulated | |||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||
Amortizable intangible assets | ||||||||||||||||
Customer relationships | $ | 16,128 | $ | 2,636 | $ | 16,128 | $ | 1,560 | ||||||||
Non-compete agreements | 6,656 | 5,946 | 11,860 | 9,674 | ||||||||||||
Patents and other | 9,612 | 4,133 | 9,129 | 3,206 | ||||||||||||
$ | 32,396 | $ | 12,715 | $ | 37,117 | $ | 14,440 | |||||||||
2010 | 2009 | |||||||
US revolving credit facility, which matures December 10, 2015, with available commitments up to $500 million; secured by substantially all of our assets; commitment fee on unused portion ranged from 0.375% per annum to 0.500% in 2010 and 0.175% per annum in 2009; variable interest rate payable monthly based on prime or LIBOR plus applicable percentage; weighted average rate was 3.5% for 2010 and 1.4% for 2009 | $ | 345,600 | $ | — | ||||
US term loan, which matures December 10, 2015, of $200 million; 1.25% of aggregate principal repayable per quarter in 2011, 2.5% per quarter thereafter; secured by substantially all of our assets; variable interest rate payable monthly based on prime or LIBOR plus applicable percentage; weighted average rate was 3.5% for 2010 | 200,000 | — | ||||||
Canadian revolving credit facility, which matures on December 10, 2015, with available commitments up to $250 million; secured by substantially all of our assets; commitment fee on unused portion ranged from 0.175% per annum to 0.500% in 2010 and 0.175% per annum in 2009; variable interest rate payable monthly based on the Canadian prime rate or Bankers Acceptance discount rate plus applicable percentage; weighted average rate was 3.6% for 2010 and 1.9% for 2009 | 62,538 | — | ||||||
Canadian term loan, which matures December 10, 2015, of $100 million; 1.25% of aggregate principal repayable per quarter in 2011, 2.5% per quarter thereafter; secured by substantially all of our assets; variable interest rate payable monthly based on prime or LIBOR plus applicable percentage; weighted average rate was 4.5% for 2010 | 100,955 | — | ||||||
23/8% contingent convertible senior subordinated notes, net due 2025 | 163,108 | 155,859 | ||||||
Australian revolving credit facility, which matures on October 15, 2013, of A$75 million; secured by substantially all of our assets; variable interest rate payable monthly based on the Australian prime rate plus applicable percentage | 25,305 | — | ||||||
Subordinated unsecured notes payable to sellers of businesses, interest rate of 6%, which mature in 2012 | 4,000 | — | ||||||
Capital lease obligations and other debt | 11,401 | 8,679 | ||||||
Total debt | 912,907 | 164,538 | ||||||
Less: Current maturities | 181,175 | 464 | ||||||
Total long-term debt | $ | 731,732 | $ | 164,074 | ||||
7284
2009 | 2008(1) | |||||||
US revolving credit facility, which matures December 5, 2011, with available commitments up to $325 million; secured by substantially all of our assets; commitment fee on unused portion of 0.175% in 2009 and ranged from 0.175% to 0.200% per annum in 2008; variable interest rate payable monthly based on prime or LIBOR plus applicable percentage; weighted average rate was 1.4% for 2009 and 3.8% for 2008 | $ | — | $ | 226,000 | ||||
Canadian revolving credit facility, which matures on December 5, 2011, with available commitments up to $175 million; secured by substantially all of our assets; variable interest rate payable monthly based on the Canadian prime rate or Bankers Acceptance discount rate plus applicable percentage; weighted average rate was 1.9% for 2009 and 4.3% for 2008 | — | 61,244 | ||||||
23/8% Contingent Convertible Senior Subordinated Notes, net due 2025 | 155,859 | 149,110 | ||||||
Subordinated unsecured notes payable to sellers of businesses, interest rate of 6%, matured in 2009 | — | 4,500 | ||||||
Capital lease obligations and other debt | 8,679 | 13,147 | ||||||
Total debt | 164,538 | 454,001 | ||||||
Less: current maturities | 464 | 4,943 | ||||||
Total long-term debt | $ | 164,074 | $ | 449,058 | ||||
2010 | $ | 464 | ||||||
2011 | 463 | $ | 181,175 | |||||
2012 | 156,297 | 32,618 | ||||||
2013 | 335 | 55,731 | ||||||
2014 | 286 | 30,375 | ||||||
2015 | 605,407 | |||||||
Thereafter | 6,693 | 7,601 | ||||||
$ | 164,538 | $ | 912,907 | |||||
73
85
December 31, 2009 | December 31, 2008 | December 31, 2010 | December 31, 2009 | |||||||||||||
Carrying amount of the equity component in additional paid-in capital | $ | 28,449 | $ | 28,449 | $ | 28,449 | $ | 28,449 | ||||||||
Principal amount of the liability component | $ | 175,000 | $ | 175,000 | $ | 175,000 | $ | 175,000 | ||||||||
Less: Unamortized discount | (19,141 | ) | (25,890 | ) | 11,892 | 19,141 | ||||||||||
Net carrying amount of the liability | $ | 155,859 | $ | 149,110 | $ | 163,108 | $ | 155,859 | ||||||||
Year Ended December 31, | ||||||||||||
2009 | 2008 | 2007 | ||||||||||
Interest expense | $ | 10,905 | $ | 10,440 | $ | 10,006 |
Year Ended December 31, | ||||||||||||
2010 | 2009 | 2008 | ||||||||||
Interest expense | $ | 11,405 | $ | 10,905 | $ | 10,440 |
As of December 31, 2009 | As of December 31, 2010 | |||||||
Remaining period over which discount will be amortized | 2.5 years | 1.5 years | ||||||
Conversion price | $ | 31.75 | $ | 31.75 | ||||
Number of shares to be delivered upon conversion | 1,057,740 | 2,781,265 | ||||||
Conversion value in excess of principal amount (in thousands) | $ | 41,559 | $ | 178,251 | ||||
Derivative transactions entered into in connection with the convertible notes | None | None |
(1) | Calculation is based on the Company’s December 31, 2010 closing stock price of $64.09. |
74
• | a variable rate equal to LIBOR (or, in the case of Canadian dollar denominated loans, the Bankers’ Acceptance discount rate) plus a margin ranging from | |
• | an alternate base rate equal to the higher of the bank’s prime rate and the federal funds effective rate (or, in the case of Canadian dollar denominated loans, the Canadian Prime Rate). |
86
9. | Retirement Plans |
10. | Income Taxes |
2010 | 2009 | 2008 | ||||||||||
US operations | $ | 68,921 | $ | (41,354 | ) | $ | 220,236 | |||||
Foreign operations | 171,707 | 147,063 | 153,214 | |||||||||
Total | $ | 240,628 | $ | 105,709 | $ | 373,450 | ||||||
7587
2009 | 2008(1) | 2007(1) | ||||||||||
US operations | $ | (41,354 | ) | $ | 220,236 | $ | 177,905 | |||||
Foreign operations | 147,063 | 153,214 | 117,116 | |||||||||
Total | $ | 105,709 | $ | 373,450 | $ | 295,021 | ||||||
2009 | 2008(1) | 2007(1) | 2010 | 2009 | 2008 | |||||||||||||||||||
Current: | ||||||||||||||||||||||||
Federal | $ | 12,403 | $ | 94,082 | $ | 58,753 | $ | 25,237 | $ | 12,403 | $ | 94,082 | ||||||||||||
State | 674 | 5,097 | 3,564 | 1,122 | 674 | 5,097 | ||||||||||||||||||
Foreign | 45,700 | 37,639 | 29,754 | 44,249 | 45,700 | 37,639 | ||||||||||||||||||
58,777 | 136,818 | 92,071 | 70,608 | 58,777 | 136,818 | |||||||||||||||||||
Deferred: | ||||||||||||||||||||||||
Federal | (15,239 | ) | 10,259 | (796 | ) | (1,572 | ) | (15,239 | ) | 10,259 | ||||||||||||||
State | (566 | ) | 1,241 | (40 | ) | (58 | ) | (566 | ) | 1,241 | ||||||||||||||
Foreign | 3,125 | 5,833 | 3,710 | 3,045 | 3,125 | 5,833 | ||||||||||||||||||
(12,680 | ) | 17,333 | 2,874 | 1,415 | (12,680 | ) | 17,333 | |||||||||||||||||
Total Provision | $ | 46,097 | $ | 154,151 | $ | 94,945 | $ | 72,023 | $ | 46,097 | $ | 154,151 | ||||||||||||
2009 | 2008(1) | 2007(1) | 2010 | 2009 | 2008 | |||||||||||||||||||
Federal tax expense at statutory rates | $ | 36,998 | $ | 130,552 | $ | 103,157 | $ | 84,220 | $ | 36,998 | $ | 130,552 | ||||||||||||
Effect of foreign income tax, net | (12,162 | ) | (10,570 | ) | (7,890 | ) | (12,796 | ) | (12,162 | ) | (10,570 | ) | ||||||||||||
Nondeductible goodwill | 18,373 | 24,317 | — | — | 18,373 | 24,317 | ||||||||||||||||||
Nondeductible acquisition costs | 2,315 | — | — | |||||||||||||||||||||
Other nondeductible expenses | 1,518 | 2,586 | 1,411 | 1,454 | 1,518 | 2,586 | ||||||||||||||||||
State tax expense, net of federal benefits | 127 | 3,800 | 2,265 | 1,017 | 127 | 3,800 | ||||||||||||||||||
Domestic manufacturing deduction | (80 | ) | (1,212 | ) | (2,435 | ) | (978 | ) | (80 | ) | (1,212 | ) | ||||||||||||
Uncertain tax positions adjustments | 1,139 | 2,868 | 1,751 | ) | (1,036 | ) | 1,139 | 2,868 | ||||||||||||||||
Other, net | 184 | 1,810 | 188 | (2,173 | ) | 184 | 1,810 | |||||||||||||||||
Net income tax provision | $ | 46,097 | $ | 154,151 | $ | 94,945 | $ | 72,023 | $ | 46,097 | $ | 154,151 | ||||||||||||
7688
2009 | 2008(1) | 2010 | 2009 | |||||||||||||
Deferred tax assets: | ||||||||||||||||
Net operating loss carryforward | $ | 3,532 | $ | 5,087 | $ | 1,976 | $ | 3,532 | ||||||||
Allowance for doubtful accounts | 1,294 | 1,352 | 752 | 1,294 | ||||||||||||
Inventory reserves | 3,802 | 3,870 | ||||||||||||||
Allowance for Inventory obsolescence | 4,775 | 3,802 | ||||||||||||||
Employee benefits | 8,889 | 5,499 | 11,823 | 8,889 | ||||||||||||
Intangibles | 15,949 | 5,075 | ||||||||||||||
Other reserves | 539 | 913 | ||||||||||||||
Deductible goodwill and other intangibles | 10,870 | 12,568 | ||||||||||||||
Other | 3,467 | 1,746 | ||||||||||||||
Foreign tax credit carryover | 1,900 | — | 1,259 | 1,900 | ||||||||||||
Other | 4,076 | 3,590 | 3,872 | 2,399 | ||||||||||||
Gross deferred tax asset | 39,981 | 25,386 | 38,794 | 36,130 | ||||||||||||
Less: valuation allowance | (421 | ) | (421 | ) | 421 | 421 | ||||||||||
Net deferred tax asset | 39,560 | 24,965 | 38,373 | 35,709 | ||||||||||||
Deferred tax liabilities: | ||||||||||||||||
Depreciation | (77,402 | ) | (69,986 | ) | (88,872 | ) | (77,402 | ) | ||||||||
Deferred revenue | (1,309 | ) | (1,453 | ) | (1,466 | ) | (1,309 | ) | ||||||||
Intangibles | (3,381 | ) | (3,252 | ) | (13,568 | ) | — | |||||||||
Accrued liabilities | (543 | ) | (2,701 | ) | (1,132 | ) | (543 | ) | ||||||||
Lower of cost or market | (5,849 | ) | — | (3,846 | ) | (5,849 | ) | |||||||||
Convertible notes | (6,766 | ) | (9,133 | ) | (4,218 | ) | (6,766 | ) | ||||||||
Other | (3,155 | ) | (4,029 | ) | (3,289 | ) | (2,685 | ) | ||||||||
Deferred tax liability | (98,405 | ) | (90,554 | ) | (116,391 | ) | (94,554 | ) | ||||||||
Net deferred tax liability | $ | (58,845 | ) | $ | (65,589 | ) | $ | (78,018 | ) | $ | (58,845 | ) | ||||
2009 | 2008(1) | 2010 | 2009 | |||||||||||||
Current deferred tax liability | $ | (3,513 | ) | $ | (809 | ) | $ | (1,462 | ) | $ | (3,513 | ) | ||||
Long-term deferred tax liability | (55,332 | ) | (64,780 | ) | (76,556 | ) | (55,332 | ) | ||||||||
Net deferred tax liability | $ | (58,845 | ) | $ | (65,589 | ) | $ | (78,018 | ) | $ | (58,845 | ) | ||||
7789
7890
2009 | 2008 | 2007 | 2010 | 2009 | 2008 | |||||||||||||||||||
Balance as of January 1 | $ | 4,274 | $ | 2,536 | $ | 4,079 | ||||||||||||||||||
Balance as of January 1st | $ | 4,031 | $ | 4,274 | $ | 2,536 | ||||||||||||||||||
Additions for tax positions of prior years | 2,136 | 2,270 | — | 128 | 2,136 | 2,270 | ||||||||||||||||||
Reductions for tax positions of prior years | — | (214 | ) | (1,466 | ) | — | — | (214 | ) | |||||||||||||||
Lapse of the Applicable Statute of Limitations | (2,379 | ) | (318 | ) | (77 | ) | (1,115 | ) | (2,379 | ) | (318 | ) | ||||||||||||
Balance as of December 31 | $ | 4,031 | $ | 4,274 | $ | 2,536 | ||||||||||||||||||
Balance as of December 31st | $ | 3,044 | $ | 4,031 | $ | 4,274 | ||||||||||||||||||
11. |
2009 | 2008 | 2007 | ||||||||||
Fair value of assets acquired and goodwill | $ | 3,112 | $ | 32,543 | $ | 118,370 | ||||||
Liabilities assumed | (411 | ) | (2,604 | ) | (5,596 | ) | ||||||
Noncash consideration | (379 | ) | — | (9,000 | ) | |||||||
Less: cash acquired | (2,340 | ) | (104 | ) | (631 | ) | ||||||
Cash used in acquisition of businesses | $ | (18 | ) | $ | 29,835 | $ | 103,143 | |||||
79
2009 | 2008 | 2007 | ||||||||||
Interest (net of amounts capitalized) | $ | 7,549 | $ | 16,265 | $ | 16,764 | ||||||
Income taxes, net of refunds | $ | 102,759 | $ | 70,441 | $ | 100,711 | ||||||
Non-cash investing activities: | ||||||||||||
Building capital lease | $ | — | $ | 8,304 | — | |||||||
Non-cash financing activities: | ||||||||||||
Borrowings and assumption of liabilities for business and asset acquisition and related intangibles | $ | — | $ | — | $ | 9,000 | ||||||
Acquisition of treasury stock with settlement date in subsequent year | — | — | 129 |
Commitments and Contingencies |
Operating | Operating | |||||||
Leases | Leases | |||||||
2010 | $ | 6,100 | ||||||
2011 | 3,688 | $ | 10,198 | |||||
2012 | 3,040 | 8,630 | ||||||
2013 | 2,662 | 7,242 | ||||||
2014 | 1,976 | 6,117 | ||||||
2015 | 3,381 | |||||||
Thereafter | 4,107 | 6,666 | ||||||
Total | $ | 21,573 | $ | 42,234 | ||||
80
Stock-Based Compensation |
91
81
2010 | 2009 | 2008 | ||||||||||
Risk-free weighted interest rate | 2.1 | % | 1.8 | % | 2.6 | % | ||||||
Expected life (in years) | 4.3 | 4.3 | 4.3 | |||||||||
Expected volatility | 55 | % | 55 | % | 37 | % |
Weighted | Aggregate | Weighted | Aggregate | |||||||||||||||||||||||||||||
Weighted | Average | Intrinsic | Weighted | Average | Intrinsic | |||||||||||||||||||||||||||
Average | Contractual | Value | Average | Contractual | Value | |||||||||||||||||||||||||||
Options | Exercise Price | Life (Years) | (Thousands) | Options | Exercise Price | Life (Years) | (Thousands) | |||||||||||||||||||||||||
Balance at December 31, 2006 | 2,420,552 | 18.73 | 4.7 | 34,173 | ||||||||||||||||||||||||||||
Granted | 554,460 | 30.28 | ||||||||||||||||||||||||||||||
Exercised | (988,380 | ) | 13.96 | |||||||||||||||||||||||||||||
Forfeited | (57,625 | ) | 26.86 | |||||||||||||||||||||||||||||
Balance at December 31, 2007 | 1,929,007 | 24.25 | 4.2 | 19,947 | 1,929,007 | 24.25 | 4.2 | 19,947 | ||||||||||||||||||||||||
Granted | 565,250 | 37.19 | 565,250 | 37.19 | ||||||||||||||||||||||||||||
Exercised | (412,529 | ) | 21.50 | (412,529 | ) | 21.50 | ||||||||||||||||||||||||||
Forfeited | (134,312 | ) | 30.92 | (134,312 | ) | 30.92 | ||||||||||||||||||||||||||
Balance at December 31, 2008 | 1,947,416 | 28.13 | 3.7 | 2,706 | 1,947,416 | 28.13 | 3.7 | 2,706 | ||||||||||||||||||||||||
Granted | 768,650 | 17.20 | 768,650 | 17.20 | ||||||||||||||||||||||||||||
Exercised | (199,615 | ) | 17.33 | (199,615 | ) | 17.33 | ||||||||||||||||||||||||||
Forfeited | (34,500 | ) | 32.83 | (34,500 | ) | 32.83 | ||||||||||||||||||||||||||
Balance at December 31, 2009 | 2,481,951 | 25.55 | 3.6 | 34,618 | 2,481,951 | 25.55 | 3.6 | 34,618 | ||||||||||||||||||||||||
Exercisable at December 31, 2007 | 651,305 | 16.32 | 4.1 | 11,694 | ||||||||||||||||||||||||||||
Exercisable at December 31, 2008 | 756,201 | 19.78 | 3.0 | 2,706 | ||||||||||||||||||||||||||||
Exercisable at December 31, 2009 | 1,042,322 | 25.34 | 2.4 | 14,725 | ||||||||||||||||||||||||||||
Granted | 417,250 | 37.67 | ||||||||||||||||||||||||||||||
Exercised | (866,436 | ) | 26.96 | |||||||||||||||||||||||||||||
Forfeited | (65,375 | ) | 27.75 | |||||||||||||||||||||||||||||
Balance at December 31, 2010 | 1,967,390 | 27.42 | 3.5 | 72,138 |
8292
Options Outstanding | Options Exercisable | Options Outstanding | ||||||||||||||||||||||||||||||||||||||||||
Weighted | Weighted | Options Exercisable | ||||||||||||||||||||||||||||||||||||||||||
Number | Average | Weighted | Number | Weighted | Number | Average | Weighted | Number | Weighted | |||||||||||||||||||||||||||||||||||
Outstanding | Remaining | Average | Exercisable | Average | Outstanding | Remaining | Average | Exercisable | Average | |||||||||||||||||||||||||||||||||||
Range of Exercise | Range of Exercise | as of | Contractual | Exercise | as of | Exercise | Range of Exercise | as of | Contractual | Exercise | as of | Exercise | ||||||||||||||||||||||||||||||||
Prices | Prices | 12/31/2009 | Life | Price | 12/31/2009 | Price | Prices | 12/31/2010 | Life | Price | 12/31/2010 | Price | ||||||||||||||||||||||||||||||||
$ | 8.00 - $15.36 | 268,500 | 2.79 | $ | 11.35 | 263,000 | $ | 11.26 | 8.33 - $15.36 | 182,125 | 2.20 | $ | 11.69 | 178,000 | $ | 11.60 | ||||||||||||||||||||||||||||
$ | 16.65 - $16.65 | 702,450 | 5.02 | $ | 16.65 | 20,000 | $ | 16.65 | 16.65 - $16.65 | 574,825 | 4.12 | $ | 16.65 | 93,363 | $ | 16.65 | ||||||||||||||||||||||||||||
$ | 21.08 - $28.98 | 631,733 | 2.62 | $ | 25.94 | 376,933 | $ | 24.53 | 21.83 - $34.86 | 422,805 | 2.08 | $ | 29.64 | 272,305 | $ | 30.90 | ||||||||||||||||||||||||||||
$ | 34.86- $34.86 | 317,133 | 2.07 | $ | 34.86 | 218,134 | $ | 34.86 | 36.53 - $36.53 | 340,000 | 3.13 | $ | 36.53 | 115,500 | $ | 36.53 | ||||||||||||||||||||||||||||
$ | 36.53- $36.53 | 486,125 | 4.05 | $ | 36.53 | 128,750 | $ | 36.53 | 36.99 - $36.99 | 14,760 | 2.38 | $ | 36.99 | 11,070 | $ | 36.99 | ||||||||||||||||||||||||||||
$ | 36.99 - $58.47 | 76,010 | 3.45 | $ | 45.57 | 35,505 | $ | 43.89 | 37.67 - $58.47 | 432,875 | 4.96 | $ | 38.70 | 19,375 | $ | 50.02 | ||||||||||||||||||||||||||||
$ | 8.00 - $58.47 | 2,481,951 | 3.55 | $ | 25.55 | 1,042,322 | $ | 25.34 | 8.33 - $58.47 | 1,967,390 | 3.50 | $ | 27.42 | 689,613 | $ | 25.57 |
83
93
Segment and Related Information |
8494
Equity in | Equity in | |||||||||||||||||||||||||||||||||||||||||||||||
Revenues from | Depreciation | Operating | Earnings of | Revenues from | Depreciation | Operating | Earnings of | |||||||||||||||||||||||||||||||||||||||||
unaffiliated | and | income | Unconsolidated | Capital | unaffiliated | and | income | Unconsolidated | Capital | |||||||||||||||||||||||||||||||||||||||
customers | amortization | (loss) | Affiliates | expenditures | Total assets | customers | amortization | (loss) | Affiliates | expenditures | Total assets | |||||||||||||||||||||||||||||||||||||
2009 | ||||||||||||||||||||||||||||||||||||||||||||||||
2010 | ||||||||||||||||||||||||||||||||||||||||||||||||
Well Site Services — | ||||||||||||||||||||||||||||||||||||||||||||||||
Accommodations | $ | 481,402 | $ | 37,892 | $ | 140,665 | $ | 203 | $ | 68,381 | $ | 573,011 | ||||||||||||||||||||||||||||||||||||
Rental Tools | 234,121 | 40,900 | (97,844 | ) | — | 31,915 | 340,792 | $ | 342,953 | $ | 40,859 | $ | 47,326 | $ | — | $ | 42,884 | $ | 383,778 | |||||||||||||||||||||||||||||
Drilling and Other | 71,175 | 26,343 | (16,345 | ) | — | 11,048 | 116,555 | 133,214 | 24,149 | 576 | — | 10,300 | 108,163 | |||||||||||||||||||||||||||||||||||
Total Well Site Services | 786,698 | 105,135 | 26,476 | 203 | 111,344 | 1,030,358 | 476,167 | 65,008 | 47,902 | — | 53,184 | 491,941 | ||||||||||||||||||||||||||||||||||||
Accommodations | 537,690 | 45,694 | 151,417 | (25 | ) | 107,347 | 1,491,682 | |||||||||||||||||||||||||||||||||||||||||
Offshore Products | 428,963 | 11,496 | 60,664 | — | 13,299 | 520,944 | ||||||||||||||||||||||||||||||||||||||||||
Tubular Services | 969,164 | 1,301 | 35,941 | 264 | 7,889 | 458,808 | ||||||||||||||||||||||||||||||||||||||||||
Corporate and Eliminations | — | 703 | (40,342 | ) | — | 488 | 52,624 | |||||||||||||||||||||||||||||||||||||||||
Total | $ | 2,411,984 | $ | 124,202 | $ | 255,582 | $ | 239 | $ | 182,207 | $ | 3,015,999 | ||||||||||||||||||||||||||||||||||||
2009 | ||||||||||||||||||||||||||||||||||||||||||||||||
Well Site Services — | ||||||||||||||||||||||||||||||||||||||||||||||||
Rental Tools | $ | 234,121 | $ | 40,900 | $ | (97,844 | ) | $ | — | $ | 31,915 | $ | 340,792 | |||||||||||||||||||||||||||||||||||
Drilling and Other | 71,175 | 26,343 | (16,345 | ) | — | 11,048 | 116,555 | |||||||||||||||||||||||||||||||||||||||||
Total Well Site Services | 305,296 | 67,243 | (114,189 | ) | — | 42,963 | 457,347 | |||||||||||||||||||||||||||||||||||||||||
Accommodations | 481,402 | 37,892 | 140,665 | 203 | 68,381 | 573,011 | ||||||||||||||||||||||||||||||||||||||||||
Offshore Products | 509,388 | 10,945 | 81,049 | — | 12,114 | 510,399 | 509,388 | 10,945 | 81,049 | — | 12,114 | 510,399 | ||||||||||||||||||||||||||||||||||||
Tubular Services | 812,164 | 1,443 | 41,758 | 1,249 | 354 | 360,652 | 812,164 | 1,443 | 41,758 | 1,249 | 354 | 360,652 | ||||||||||||||||||||||||||||||||||||
Corporate and Eliminations | — | 585 | (30,554 | ) | — | 676 | 30,977 | — | 585 | (30,554 | ) | — | 676 | 30,977 | ||||||||||||||||||||||||||||||||||
Total | $ | 2,108,250 | $ | 118,108 | $ | 118,729 | $ | 1,452 | $ | 124,488 | $ | 1,932,386 | $ | 2,108,250 | $ | 118,108 | $ | 118,729 | $ | 1,452 | $ | 124,488 | $ | 1,932,386 | ||||||||||||||||||||||||
2008 | ||||||||||||||||||||||||||||||||||||||||||||||||
Well Site Services — | ||||||||||||||||||||||||||||||||||||||||||||||||
Accommodations | $ | 427,130 | $ | 34,146 | $ | 120,972 | $ | 1,174 | $ | 108,622 | $ | 495,683 | ||||||||||||||||||||||||||||||||||||
Rental Tools | 355,809 | 35,511 | 75,787 | — | 75,077 | 476,460 | $ | 355,809 | $ | 35,511 | $ | 75,787 | $ | — | $ | 75,077 | $ | 476,460 | ||||||||||||||||||||||||||||||
Drilling and Other(1) | 177,339 | 19,826 | 17,433 | 1,637 | 42,961 | 176,726 | 177,339 | 19,826 | 17,433 | 1,637 | 42,961 | 176,726 | ||||||||||||||||||||||||||||||||||||
Total Well Site Services | 960,278 | 89,483 | 214,192 | 2,811 | 226,660 | 1,148,869 | 533,148 | 55,337 | 93,220 | 1,637 | 118,038 | 653,186 | ||||||||||||||||||||||||||||||||||||
Accommodations | 427,130 | 34,146 | 120,972 | 1,174 | 108,622 | 495,683 | ||||||||||||||||||||||||||||||||||||||||||
Offshore Products | 528,164 | 11,465 | 89,280 | — | 16,879 | 498,784 | 528,164 | 11,465 | 89,280 | — | 16,879 | 498,784 | ||||||||||||||||||||||||||||||||||||
Tubular Services | 1,460,015 | 1,390 | 106,470 | 1,224 | 2,198 | 634,758 | 1,460,015 | 1,390 | 106,470 | 1,224 | 2,198 | 634,758 | ||||||||||||||||||||||||||||||||||||
Corporate and Eliminations | — | 266 | (26,187 | ) | — | 1,647 | 16,107 | — | 266 | (26,187 | ) | — | 1,647 | 16,107 | ||||||||||||||||||||||||||||||||||
Total | $ | 2,948,457 | $ | 102,604 | $ | 383,755 | $ | 4,035 | $ | 247,384 | $ | 2,298,518 | $ | 2,948,457 | $ | 102,604 | $ | 383,755 | $ | 4,035 | $ | 247,384 | $ | 2,298,518 | ||||||||||||||||||||||||
2007 | ||||||||||||||||||||||||||||||||||||||||||||||||
Well Site Services — | ||||||||||||||||||||||||||||||||||||||||||||||||
Accommodations | $ | 312,846 | $ | 21,813 | $ | 85,347 | $ | 1,027 | $ | 131,410 | $ | 474,278 | ||||||||||||||||||||||||||||||||||||
Rental Tools | 260,404 | 24,045 | 71,973 | — | 47,233 | 427,238 | ||||||||||||||||||||||||||||||||||||||||||
Drilling and Other(1) | 143,153 | 12,260 | 40,508 | 1,511 | 42,872 | 182,335 | ||||||||||||||||||||||||||||||||||||||||||
Total Well Site Services | 716,403 | 58,118 | 197,828 | 2,538 | 221,515 | 1,083,851 | ||||||||||||||||||||||||||||||||||||||||||
Offshore Products | 527,810 | 11,004 | 82,460 | — | 15,356 | 449,666 | ||||||||||||||||||||||||||||||||||||||||||
Tubular Services | 844,022 | 1,361 | 38,467 | 812 | 2,463 | 373,411 | ||||||||||||||||||||||||||||||||||||||||||
Corporate and Eliminations | — | 220 | (20,969 | ) | — | 299 | 21,741 | |||||||||||||||||||||||||||||||||||||||||
Total | $ | 2,088,235 | $ | 70,703 | $ | 297,786 | $ | 3,350 | $ | 239,633 | $ | 1,928,669 | ||||||||||||||||||||||||||||||||||||
(1) | Subsequent to March 1, 2006, the effective date of the sale of our workover services business, |
8595
United | United | Other | United | United | Other | |||||||||||||||||||||||||||||||||||||||
States | Canada | Kingdom | Non-US | Total | States | Canada | Australia | Kingdom | Non-US | Total | ||||||||||||||||||||||||||||||||||
2010 | ||||||||||||||||||||||||||||||||||||||||||||
Revenues from unaffiliated customers | $ | 1,708,709 | $ | 512,288 | $ | — | $ | 77,180 | $ | 113,807 | $ | 2,411,984 | ||||||||||||||||||||||||||||||||
Long-lived assets | 639,120 | 502,322 | 724,522 | 17,275 | 28,088 | 1,911,327 | ||||||||||||||||||||||||||||||||||||||
2009 | ||||||||||||||||||||||||||||||||||||||||||||
Revenues from unaffiliated customers | $ | 1,460,810 | $ | 460,492 | $ | 105,222 | $ | 81,726 | $ | 2,108,250 | $ | 1,460,810 | $ | 460,492 | $ | — | $ | 105,222 | $ | 81,726 | $ | 2,108,250 | ||||||||||||||||||||||
Long-lived assets | 541,563 | 424,523 | 18,352 | 22,327 | 1,006,765 | 541,563 | 424,523 | — | 18,352 | 22,327 | 1,006,765 | |||||||||||||||||||||||||||||||||
2008 | ||||||||||||||||||||||||||||||||||||||||||||
Revenues from unaffiliated customers | $ | 2,353,528 | $ | 406,176 | $ | 127,189 | $ | 61,564 | $ | 2,948,457 | $ | 2,353,528 | $ | 406,176 | $ | — | $ | 127,189 | $ | 61,564 | $ | 2,948,457 | ||||||||||||||||||||||
Long-lived assets | 668,376 | 359,923 | 17,232 | 15,425 | 1,060,956 | 668,376 | 359,923 | — | 17,232 | 15,425 | 1,060,956 | |||||||||||||||||||||||||||||||||
2007 | ||||||||||||||||||||||||||||||||||||||||||||
Revenues from unaffiliated customers | $ | 1,596,067 | $ | 296,075 | $ | 147,941 | $ | 48,152 | $ | 2,088,235 | ||||||||||||||||||||||||||||||||||
Long-lived assets | 675,978 | 356,575 | 19,863 | 10,482 | 1,062,898 |
Valuation Allowances |
Balance at | Charged to | Deductions | Translation | Balance at | ||||||||||||||||
Beginning | Costs and | (net of | and Other, | End of | ||||||||||||||||
of Period | Expenses | recoveries) | Net | Period | ||||||||||||||||
Year Ended December 31, 2009: | ||||||||||||||||||||
Allowance for doubtful accounts receivable | $ | 4,168 | $ | 3,048 | $ | (2,479 | ) | $ | 209 | $ | 4,946 | |||||||||
Reserve for inventories | 6,712 | 2,264 | (867 | ) | 170 | 8,279 | ||||||||||||||
Reserves related to discontinued operations | 2,544 | — | (133 | ) | — | 2,411 | ||||||||||||||
Year Ended December 31, 2008: | ||||||||||||||||||||
Allowance for doubtful accounts receivable | $ | 3,629 | $ | 2,821 | $ | (2,735 | ) | $ | 453 | $ | 4,168 | |||||||||
Reserve for inventories | 7,549 | 1,302 | (1,597 | ) | (542 | ) | 6,712 | |||||||||||||
Reserves related to discontinued operations | 2,839 | — | (295 | ) | — | 2,544 | ||||||||||||||
Year Ended December 31, 2007: | ||||||||||||||||||||
Allowance for doubtful accounts receivable | $ | 2,943 | $ | 684 | $ | (923 | ) | $ | 925 | $ | 3,629 | |||||||||
Reserve for inventories | 7,188 | 1,504 | (1,176 | ) | 33 | 7,549 | ||||||||||||||
Reserves related to discontinued operations | 3,357 | — | (518 | ) | — | 2,839 |
Balance at | Charged to | Deductions | Translation | Balance at | ||||||||||||||||
Beginning | Costs and | (net of | and Other, | End of | ||||||||||||||||
of Period | Expenses | recoveries) | Net | Period | ||||||||||||||||
Year Ended December 31, 2010: | ||||||||||||||||||||
Allowance for doubtful accounts receivable | $ | 4,946 | $ | 869 | $ | (1,915 | ) | $ | 200 | $ | 4,100 | |||||||||
Allowance for inventory obsolescence | 8,279 | 1,288 | (510 | ) | (603 | ) | 8,454 | |||||||||||||
Liabilities related to discontinued operations | 2,411 | — | (143 | ) | — | 2,268 | ||||||||||||||
Year Ended December 31, 2009: | ||||||||||||||||||||
Allowance for doubtful accounts receivable | $ | 4,168 | $ | 3,048 | $ | (2,479 | ) | $ | 209 | $ | 4,946 | |||||||||
Allowance for inventory obsolescence | 6,712 | 2,264 | (867 | ) | 170 | 8,279 | ||||||||||||||
Liabilities related to discontinued operations | 2,544 | — | (133 | ) | — | 2,411 | ||||||||||||||
Year Ended December 31, 2008: | ||||||||||||||||||||
Allowance for doubtful accounts receivable | $ | 3,629 | $ | 2,821 | $ | (2,735 | ) | $ | 453 | $ | 4,168 | |||||||||
Allowance for inventory obsolescence | 7,549 | 1,302 | (1,597 | ) | (542 | ) | 6,712 | |||||||||||||
Liabilities related to discontinued operations | 2,839 | — | (295 | ) | — | 2,544 |
8696
Year Ended December 31, 2008 | Year Ended December 31, 2007 | |||||||||||||||||||||||
Prior to | Effect of | Prior to | Effect of | |||||||||||||||||||||
adoption | adoption | As adjusted | adoption | adoption | As adjusted | |||||||||||||||||||
Interest expense | $ | 17,530 | $ | 6,055 | $ | 23,585 | $ | 17,988 | $ | 5,622 | $ | 23,610 | ||||||||||||
Income before income taxes(a) | 379,505 | (6,055 | ) | 373,450 | 300,643 | (5,622 | ) | 295,021 | ||||||||||||||||
Net income(a) | 223,156 | (3,857 | ) | 219,299 | 203,656 | (3,580 | ) | 200,076 | ||||||||||||||||
Net income attributable to Oil States International, Inc.(a) | $ | 222,710 | $ | (3,857 | ) | $ | 218,853 | $ | 203,372 | $ | (3,580 | ) | $ | 199,792 | ||||||||||
Net income per share attributable to Oil States International common stockholders: | ||||||||||||||||||||||||
Basic | $ | 4.49 | $ | (0.08 | ) | $ | 4.41 | $ | 4.11 | $ | (0.07 | ) | $ | 4.04 | ||||||||||
Diluted | $ | 4.33 | $ | (0.07 | ) | $ | 4.26 | $ | 3.99 | $ | (0.07 | ) | $ | 3.92 |
At December 31, 2008 | At December 31, 2007 | |||||||||||||||||||||||
Prior to | Effect of | Prior to | Effect of | |||||||||||||||||||||
adoption | adoption | As adjusted | adoption | adoption | As adjusted | |||||||||||||||||||
Other non-current assets | $ | 55,085 | $ | (729 | ) | $ | 54,356 | $ | 60,627 | $ | (957 | ) | $ | 59,670 | ||||||||||
Total assets | 2,299,247 | (729 | ) | 2,298,518 | 1,929,626 | (957 | ) | 1,928,669 | ||||||||||||||||
Long-term debt | $ | 474,948 | $ | (25,890 | ) | $ | 449,058 | $ | 487,102 | $ | (32,173 | ) | $ | 454,929 | ||||||||||
Deferred income taxes | 55,646 | 9,134 | 64,780 | 40,550 | 11,332 | 51,882 | ||||||||||||||||||
Total liabilities(a) | 1,079,733 | (16,756 | ) | 1,062,977 | 844,451 | (20,841 | ) | 823,610 | ||||||||||||||||
Additional paid-in capital | 425,284 | 28,449 | 453,733 | 402,091 | 28,449 | 430,540 | ||||||||||||||||||
Retained earnings | 913,423 | (12,422 | ) | 901,001 | 690,713 | (8,565 | ) | 682,148 | ||||||||||||||||
Total Oil States International, Inc. stockholders’ equity(a) | 1,218,993 | 16,027 | 1,235,020 | 1,084,827 | 19,884 | 1,104,711 | ||||||||||||||||||
Total stockholders’s equity(a) | 1,219,514 | 16,027 | 1,235,541 | 1,085,174 | 19,884 | 1,105,058 | ||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 2,299,247 | $ | (729 | ) | $ | 2,298,518 | $ | 1,929,626 | $ | (957 | ) | $ | 1,928,669 |
87
Quarterly Financial Information (Unaudited) |
First | Second | Third | Fourth | First | Second | Third | Fourth | |||||||||||||||||||||||||
Quarter | Quarter | Quarter | Quarter | Quarter | Quarter | Quarter | Quarter | |||||||||||||||||||||||||
2010 | ||||||||||||||||||||||||||||||||
Revenues | $ | 532,345 | $ | 594,532 | $ | 588,347 | $ | 696,759 | ||||||||||||||||||||||||
Gross profit*(1) | 125,835 | 125,050 | 139,745 | 147,060 | ||||||||||||||||||||||||||||
Net income(1) | 40,243 | 37,477 | 46,346 | 43,952 | ||||||||||||||||||||||||||||
Basic earnings per share(1) | 0.81 | 0.75 | 0.92 | 0.87 | ||||||||||||||||||||||||||||
Diluted earnings per share(1) | 0.78 | 0.71 | 0.88 | 0.82 | ||||||||||||||||||||||||||||
2009 | ||||||||||||||||||||||||||||||||
Revenues | $ | 667,098 | $ | 456,334 | $ | 456,103 | $ | 528,715 | $ | 667,098 | $ | 456,334 | $ | 456,103 | $ | 528,715 | ||||||||||||||||
Gross profit* | 146,889 | 94,642 | 102,258 | 124,264 | 146,889 | 94,642 | 102,258 | 124,264 | ||||||||||||||||||||||||
Net income (loss)(1) | 56,128 | (63,486 | ) | 26,579 | 39,893 | |||||||||||||||||||||||||||
Basic earnings (loss) per share | 1.13 | (1.28 | ) | 0.54 | 0.80 | |||||||||||||||||||||||||||
Diluted earnings (loss) per share(1) | 1.13 | (1.28 | ) | 0.53 | 0.78 | |||||||||||||||||||||||||||
2008 | ||||||||||||||||||||||||||||||||
Revenues | $ | 601,247 | $ | 631,364 | $ | 814,790 | $ | 901,056 | ||||||||||||||||||||||||
Gross profit* | 156,162 | 152,929 | 205,436 | 198,956 | ||||||||||||||||||||||||||||
Net income(1) | 65,530 | 59,208 | 88,081 | 6,034 | ||||||||||||||||||||||||||||
Basic earnings per share | 1.33 | 1.19 | 1.77 | 0.12 | ||||||||||||||||||||||||||||
Diluted earnings per share(1) | 1.29 | 1.13 | 1.68 | 0.12 | ||||||||||||||||||||||||||||
Net income (loss)(2) | 56,128 | (63,486 | ) | 26,579 | 39,893 | |||||||||||||||||||||||||||
Basic earnings (loss) per share(2) | 1.13 | (1.28 | ) | 0.54 | 0.80 | |||||||||||||||||||||||||||
Diluted earnings (loss) per share(2) | 1.13 | (1.28 | ) | 0.53 | 0.78 |
(1) | The gross profit and net income in the fourth quarter of 2010 included $6.3 million in acquisition costs related to the three acquisitions in the quarter. | |
(2) | The net income in the second quarter of 2009 | |
Amounts are calculated independently for each of the quarters presented. Therefore, the sum of the quarterly amounts may not equal the total calculated for the year. | ||
* | Represents “revenues” less “product costs” and “service and other costs” included in the Company’s consolidated statements of income. |
8897
Exhibit No. | Description | |||||
3 | .1 | — | Amended and Restated Certificate of Incorporation (incorporated by reference to Exhibit 3.1 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
3 | .2 | — | Third Amended and Restated Bylaws (incorporated by reference to Exhibit 3.1 to the Company’s Current Report onForm 8-K, as filed with the Commission on March 13, 2009). | |||
3 | .3 | — | Certificate of Designations of Special Preferred Voting Stock of Oil States International, Inc. (incorporated by reference to Exhibit 3.3 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
4 | .1 | — | Form of common stock certificate (incorporated by reference to Exhibit 4.1 to the Company’s Registration Statement onForm S-1, as filed with the Commission on November 7, 2000 (FileNo. 333-43400)). | |||
4 | .2 | — | Amended and Restated Registration Rights Agreement (incorporated by reference to Exhibit 4.2 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
4 | .3 | — | First Amendment to the Amended and Restated Registration Rights Agreement dated May 17, 2002 (incorporated by reference to Exhibit 4.3 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2002, as filed with the Commission on March 13, 2003). | |||
4 | .4 | — | Registration Rights Agreement dated as of June 21, 2005 by and between Oil States International, Inc. and RBC Capital Markets Corporation (incorporated by reference to Exhibit 4.4 to Oil States’ Current Report onForm 8-K as filed with the Securities and Exchange Commission on June 23, 2005). | |||
4 | .5 | — | Indenture dated as of June 21, 2005 by and between Oil States International, Inc. and Wells Fargo Bank, National Association, as trustee (incorporated by reference to Exhibit 4.5 to Oil States’ Current Report onForm 8-K as filed with the Securities and Exchange Commission on June 23, 2005). | |||
4 | .6 | — | Global Notes representing $175,000,000 aggregate principal amount of 23/8% Contingent Convertible Senior Notes due 2025 (incorporated by reference to Section 2.2 of Exhibit 4.5 to Oil States’ Current Reports onForm 8-K as filed with the Securities and Exchange Commission on June 23, 2005 and July 13, 2005). | |||
10 | .1 | — | Combination Agreement dated as of July 31, 2000 by and among Oil States International, Inc., HWC Energy Services, Inc., MergerSub-HWC, Inc., Sooner Inc., MergerSub-Sooner, Inc. and PTI Group Inc. (incorporated by reference to Exhibit 10.1 to the Company’s Registration Statement onForm S-1, as filed with the Commission on November 7, 2000 (FileNo. 333-43400)). | |||
10 | .2 | — | Plan of Arrangement of PTI Group Inc. (incorporated by reference to Exhibit 10.2 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
10 | .3 | — | Support Agreement between Oil States International, Inc. and PTI Holdco (incorporated by reference to Exhibit 10.3 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
10 | .4 | — | Voting and Exchange Trust Agreement by and among Oil States International, Inc., PTI Holdco and Montreal Trust Company of Canada (incorporated by reference to Exhibit 10.4 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
10 | .5** | — | Second Amended and Restated 2001 Equity Participation Plan effective March 30, 2009 (incorporated by reference to Exhibit 10.5 to Oil States’ Current Report onForm 8-K as filed with the Commission on April 2, 2009). | |||
10 | .6** | — | Deferred Compensation Plan effective November 1, 2003 (incorporated by reference to Exhibit 10.6 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2003, as filed with the Commission on March 5, 2004). |
Exhibit No. | Description | |||||
10 | .7** | — | Annual Incentive Compensation Plan (incorporated by reference to Exhibit 10.7 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
10 | .8** | — | Executive Agreement between Oil States International, Inc. and Cindy B. Taylor (incorporated by Reference to Exhibit 10.9 to the Company’s Annual Report onForm 10-K for the year ended December 31, 2000, as filed with the Commission on March 30, 2001). | |||
10 | .9** | — | Form of Executive Agreement between Oil States International, Inc. and Named Executive Officer (Mr. Hughes) (incorporated by reference to Exhibit 10.10 of the Company’s Registration Statement onForm S-1, as filed with the Commission on December 12, 2000 (FileNo. 333-43400)). | |||
10 | .10** | — | Form of Change of Control Severance Plan for Selected Members of Management (incorporated by reference to Exhibit 10.11 of the Company’s Registration Statement onForm S-1, as filed with the Commission on December 12, 2000 (FileNo. 333-43400)). | |||
10 | .11 | — | Credit Agreement, dated as of October 30, 2003, among Oil States International, Inc., the Lenders named therein and Wells Fargo Bank Texas, National Association, as Administrative Agent and U.S. Collateral Agent; and Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Hibernia National Bank and Royal Bank of Canada, as Co-Syndication Agents and Bank One, NA and Credit Lyonnais New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.12 to the Company’s Quarterly Report onForm 10-Q for the three months ended September 30, 2003, as filed with the Commission on November 12, 2003.) | |||
10 | .11A | — | Incremental Assumption Agreement, dated as of May 10, 2004, among Oil States International, Inc., Wells Fargo, National Association and each of the other lenders listed as an Increasing Lender (incorporated by reference to Exhibit 10.12A to the Company’s Quarterly Report onForm 10-Q for the three months ended June 30, 2004, as filed with the Commission on August 4, 2004). | |||
10 | .11B | — | Amendment No. 1, dated as of January 31, 2005, to the Credit Agreement among Oil States International, Inc., the lenders named therein and Wells Fargo Bank, Texas, National Association, as Administrative Agent and U.S. Collateral Agent; and Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Hibernia National Bank and Royal Bank of Canada, as Co-Syndication Agents and Bank One, NA and Credit Lyonnais New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.12B to the Company’s Annual Report onForm 10-K for the year ended December 31, 2004, as filed with the Commission on March 2, 2005). | |||
10 | .11C | — | Amendment No. 2, dated as of December 5, 2006, to the Credit Agreement among Oil States International, Inc., the lenders named therein and Wells Fargo Bank, N.A., as Lead Arranger, U.S. Administrative Agent and U.S. Collateral Agent; and The Bank of Nova Scotia, as Canadian Administrative Agent and Canadian Collateral Agent; Capital One N.A. and Royal Bank of Canada, as Co-Syndication Agents and JP Morgan Chase Bank, N.A. and Calyon New York Branch, as Co-Documentation Agents (incorporated by reference to Exhibit 10.12C to the Company’s Current Report onForm 8-K as filed with the Securities and Exchange Commission on December 7, 2006). | |||
10 | .11D | — | Incremental Assumption Agreement, dated as of December 13, 2007, among Oil States International, Inc., Wells Fargo, National Association and each of the other lenders listed as an Increasing Lender (incorporated by reference to Exhibit 10.12D to the Company’s Current Report onForm 8-K as filed with the Securities and Exchange Commission on December 18, 2007). |