Rowan Companies 8-K Completion of Acquisition or Disposition of Assets

Exhibit 99.1

Rowan Companies Inc. and Subsidiaries

Unaudited Pro Forma Consolidated Financial Information

On June 22, 2011, Rowan Companies, Inc. (“Rowan” and, together with its consolidated subsidiaries, the “Company”) completed the sale of all of the issued and outstanding common stock of LeTourneau Technologies, Inc. (“LeTourneau”) pursuant to a stock purchase agreement dated May 13, 2011 (the “Purchase Agreement”), between Rowan, as seller, and Joy Global Inc., as buyer. The purchase price was $1.1 billion in cash, subject, however, to certain post-closing working capital and other adjustments as specified in the Purchase Agreement.

The following unaudited pro forma consolidated financial information was derived from (i) the unaudited historical financial statements of the Company as of March 31, 2011, and for the three months ended March 31, 2011 and 2010, and (ii) the audited consolidated financial statements of the Company for the years ended December 31, 2010, 2009 and 2008.  The unaudited pro forma consolidated financial information contained herein should be read in conjunction with the historical quarterly and annual consolidated financial statements of the Company from which the pro forma financial information was derived.

The unaudited pro forma consolidated financial information as of March 31, 2011, gives effect to the sale of LeTourneau as though the sale occurred on March 31, 2011, and the unaudited pro forma consolidated financial information for the three months ended March 31, 2011 and 2010, and for the years ended December 31, 2010, 2009, and 2008 gives effect to the sale of LeTourneau as though the transaction occurred on January 1, 2008, which is the beginning of the earliest period presented.

Rowan Companies, Inc. and Subsidiaries

Unaudited Pro Forma Condensed Consolidated Balance Sheet at March 31, 2011

Assuming sale of LeTourneau occurred on March 31, 2011

(in thousands)

			Pro forma adjustments
			Deduct:
			Balances
	March 31, 2011		attributable to			Other pro forma			March 31, 2011
	Historical		LeTourneau			adjustments			Pro forma
Current assets:
Cash and cash equivalents	$	189,654	$	(4,234	)	$	1,028,000	(a)	$	1,213,420
Receivables - trade and other		382,701		(97,519	)		-			285,182
Inventories		395,964		(395,964	)		-			-
Prepaid expenses and other current assets		61,828		(26,105	)		27,716	(b)		63,439
Deferred tax assets, net		36,174		(27,782	)		-			8,392
Total current assets		1,066,321		(551,604	)		1,055,716			1,570,433
Property, plant and equipment - net		5,092,220		(138,598	)		-			4,953,622
Other assets		99,452		(1,976	)		-			97,476
Total assets	$	6,257,993	$	(692,178	)	$	1,055,716		$	6,621,531
Current liabilities:
Current maturities of long-term debt	$	52,149	$	-		$	-		$	52,149
Accounts payable - trade		147,186		(66,266	)		-			80,920
Deferred revenues		169,752		(160,364	)		20,122	(b)		29,510
Billings in excess of costs and estimated profits on uncompleted contracts		19,404		(19,404	)		-			-
Accrued income taxes		12,272		-			169,000	(c)		181,272
Other current liabilities		123,107		(59,642	)		-			63,465
Total current liabilities		523,870		(305,676	)		189,122			407,316
Long-term debt		1,121,585		-			-			1,121,585
Deferred income taxes - net		551,119		(15,394	)		63,000	(c)		598,725
Other liabilities		264,229		-			-			264,229
Total stockholders' equity		3,797,190		(371,108	)(d)		803,594	(d)		4,229,676
Total liabilities and stockholders' equity	$	6,257,993	$	(692,178	)	$	1,055,716		$	6,621,531

(a) Estimated net cash proceeds from sale, after estimated working capital adjustments of $54 million, estimated employee-related costs of $8 million, and estimated transaction costs of $10 million.

(b) Assets and liabilities transferred from LeTourneau to the Company in connection with the transfer to the Company of an equipment purchase agreement between LeTourneau, as seller, and a customer, under the terms of the Purchase Agreement.

(c) Estimated income tax effects of the gain on sale of LeTourneau.

(d) Estimated after-tax gain on sale, which totals $432 million.

Rowan Companies, Inc. and Subsidiaries

Unaudited Pro Forma Condensed Consolidated Income Statement

For the Three Months Ended March 31, 2011

Assuming sale of LeTourneau occurred on January 1, 2008

(in thousands)

	Three months ended March 31, 2011
				Deduct: Operations
				attributable to
	Historical			LeTourneau			Pro Forma
REVENUES	$	364,281		$	(114,246	)	$	250,035
COSTS AND EXPENSES:
Direct operating costs (excluding items below)		241,921			(98,562	)		143,359
Depreciation and amortization		49,366			(3,484	)		45,882
Selling, general and administrative		32,392			(11,422	)		20,970
Gain on disposals of property and equipment		(2,014	)		199			(1,815	)
Total costs and expenses		321,665			(113,269	)		208,396
INCOME FROM OPERATIONS		42,616			(977	)		41,639
OTHER INCOME/EXPENSE:
Interest expense, net of interest capitalized		(5,319	)		-			(5,319	)
Interest income		146			(117	)		29
Other - net		(14	)		(1,069	)		(1,083	)
Total other income/expense - net		(5,187	)		(1,186	)		(6,373	)
INCOME BEFORE INCOME TAXES		37,429			(2,163	)		35,266
Provision for income taxes		5,357			(711	)		4,646
NET INCOME	$	32,072		$	(1,452	)	$	30,620
PER SHARE AMOUNTS:
Net income - basic	$	0.26					$	0.24
Net income - diluted	$	0.25					$	0.24
Shares - basic		125,431						125,431
Shares - diluted		127,188						127,188

Rowan Companies, Inc. and Subsidiaries

Unaudited Pro Forma Condensed Consolidated Income Statement

For the Three Months Ended March 31, 2010

Assuming sale of LeTourneau occurred on January 1, 2008

(in thousands)

	Three months ended March 31, 2010
				Deduct: Operations
				attributable to
	Historical			LeTourneau			Pro Forma
REVENUES	$	432,405		$	(101,421	)	$	330,984
COSTS AND EXPENSES:
Direct operating costs (excluding items below)		221,117			(84,570	)		136,547
Depreciation and amortization		45,492			(3,992	)		41,500
Selling, general and administrative		25,797			(9,456	)		16,341
Gain on disposals of property and equipment		(129	)		(171	)		(300	)
Material charge - manufacturing inventories		42,024			(42,024	)		-
Total costs and expenses		334,301			(140,213	)		194,088
INCOME FROM OPERATIONS		98,104			38,792			136,896
OTHER INCOME/EXPENSE:
Interest expense, net of interest capitalized		(5,679	)		-			(5,679	)
Interest income		181			(20	)		161
Other - net		1,545			(1,529	)		16
Total other income/expense - net		(3,953	)		(1,549	)		(5,502	)
INCOME BEFORE INCOME TAXES		94,151			37,243			131,394
Provision for income taxes		29,528			11,611			41,139
NET INCOME	$	64,623		$	25,632		$	90,255
PER SHARE AMOUNTS:
Net income - basic	$	0.57					$	0.80
Net income - diluted	$	0.56					$	0.79
Shares - basic		112,857						112,857
Shares - diluted		114,467						114,467

Rowan Companies, Inc. and Subsidiaries

Unaudited Pro Forma Condensed Consolidated Income Statement for the year ended December 31, 2010

Assuming sale of LeTourneau occurred on January 1, 2008

(in thousands)

	Year ended December 31, 2010
				Deduct: Operations
				attributable to
	Historical			LeTourneau			Pro Forma
REVENUES	$	1,819,207		$	(610,441	)	$	1,208,766
COSTS AND EXPENSES:
Direct operating costs (excluding items below)		1,066,290			(512,384	)		553,906
Depreciation and amortization		186,563			(16,378	)		170,185
Selling, general and administrative		132,586			(47,550	)		85,036
Loss on disposals of property and equipment		788			(168	)		620
Material charge - manufacturing inventories		42,024			(42,024	)		-
Total costs and expenses		1,428,251			(618,504	)		809,747
INCOME FROM OPERATIONS		390,956			8,063			399,019
OTHER INCOME/EXPENSE:
Interest expense, net of interest capitalized		(24,879	)		-			(24,879	)
Interest income		1,508			(219	)		1,289
Gain on debt extinguishment		5,324			-			5,324
Other - net		6,108			(6,569	)		(461	)
Total other income/expense - net		(11,939	)		(6,788	)		(18,727	)
INCOME BEFORE INCOME TAXES		379,017			1,275			380,292
Provision for income taxes		99,022			1,145			100,167
NET INCOME	$	279,995		$	130		$	280,125
PER SHARE AMOUNTS:
Net income - basic	$	2.39					$	2.39
Net income - diluted	$	2.36					$	2.36
Shares - basic		117,021						117,021
Shares - diluted		118,818						118,818

Rowan Companies, Inc. and Subsidiaries

Unaudited Pro Forma Condensed Consolidated Income Statement for the year ended December 31, 2009

Assuming sale of LeTourneau occurred on January 1, 2008

(in thousands)

	Year ended December 31, 2009
				Deduct: Operations
				attributable to
	Historical			LeTourneau			Pro Forma
REVENUES	$	1,770,180		$	(555,284	)	$	1,214,896
COSTS AND EXPENSES:
Direct operating costs (excluding items below)		1,000,710			(475,553	)		525,157
Depreciation and amortization		171,445			(15,522	)		155,923
Selling, general and administrative		102,760			(34,756	)		68,004
Gain on disposals of property and equipment		(5,748	)		(562	)		(6,310	)
Total costs and expenses		1,269,167			(526,393	)		742,774
INCOME FROM OPERATIONS		501,013			(28,891	)		472,122
OTHER INCOME/EXPENSE:
Interest expense, net of interest capitalized		(8,028	)		-			(8,028	)
Interest income		1,240			(46	)		1,194
Other - net		6,866			(6,853	)		13
Total other income/expense - net		78			(6,899	)		(6,821	)
INCOME BEFORE INCOME TAXES		501,091			(35,790	)		465,301
Provision for income taxes		133,587			(11,084	)		122,503
NET INCOME	$	367,504		$	(24,706	)	$	342,798
PER SHARE AMOUNTS:
Net income - basic	$	3.24					$	3.02
Net income - diluted	$	3.24					$	3.02
Shares - basic		113,515						113,515
Shares - diluted		113,584						113,584

Rowan Companies, Inc. and Subsidiaries

Unaudited Pro Forma Condensed Consolidated Income Statement for the year ended December 31, 2008

Assuming sale of LeTourneau occurred on January 1, 2008

(in thousands)

	Year ended December 31, 2008
				Deduct: Operations
				attributable to
	Historical			LeTourneau			Pro Forma
REVENUES	$	2,212,736		$	(761,113	)	$	1,451,623
COSTS AND EXPENSES:
Direct operating costs (excluding items below)		1,254,610			(624,814	)		629,796
Depreciation and amortization		141,395			(15,534	)		125,861
Selling, general and administrative		115,226			(45,991	)		69,235
Gain on disposals of property and equipment		(30,701	)		(257	)		(30,958	)
Material charges		111,171			(86,536	)		24,635
Gain on hurricane-related event		(37,088	)		-			(37,088	)
Total costs and expenses		1,554,613			(773,132	)		781,481
INCOME FROM OPERATIONS		658,123			12,019			670,142
OTHER INCOME/EXPENSE:
Interest expense, net of interest capitalized		(1,198	)		-			(1,198	)
Interest income		6,295			(56	)		6,239
Other - net		(9,129	)		10,491			1,362
Total other income/expense - net		(4,032	)		10,435			6,403
INCOME BEFORE INCOME TAXES		654,091			22,454			676,545
Provision for income taxes		226,463			6,286			232,749
NET INCOME	$	427,628		$	16,168		$	443,796
PER SHARE AMOUNTS:
Net income - basic	$	3.80					$	3.94
Net income - diluted	$	3.77					$	3.92
Shares - basic		112,632						112,632
Shares - diluted		113,346						113,346