Debt, net of unamortized discounts, premiums and fair value adjustments

	September 30, 2011						December 31, 2010
	Transocean Ltd. and subsidiaries		Consolidated variable interest entities		Consolidated total		Transocean Ltd. and subsidiaries		Consolidated variable interest entities		Consolidated total
ODL Loan Facility	$	—	$	—	$	—	$	10	$	—	$	10
Commercial paper program (a)	146		—		146		88		—		88
6.625% Notes due April 2011 (a)	—		—		—		167		—		167
5% Notes due February 2013	254		—		254		255		—		255
5.25% Senior Notes due March 2013 (a)	510		—		510		511		—		511
TPDI Credit Facilities due March 2015	—		490		490		—		560		560
4.95% Senior Notes due November 2015 (a)	1,121		—		1,121		1,099		—		1,099
ADDCL Credit Facilities due December 2017	—		230		230		—		242		242
6.00% Senior Notes due March 2018 (a)	997		—		997		997		—		997
7.375% Senior Notes due April 2018 (a)	247		—		247		247		—		247
TPDI Notes due October 2019	—		148		148		—		148		148
6.50% Senior Notes due November 2020 (a)	899		—		899		899		—		899
8% Debentures due April 2027 (a)	57		—		57		57		—		57
7.45% Notes due April 2027 (a)	96		—		96		96		—		96
7% Notes due June 2028	312		—		312		313		—		313
Capital lease contract due August 2029	681		—		681		694		—		694
7.5% Notes due April 2031 (a)	598		—		598		598		—		598
1.625% Series A Convertible Senior Notes due December 2037 (a)	—		—		—		11		—		11
1.50% Series B Convertible Senior Notes due December 2037 (a)	1,667		—		1,667		1,625		—		1,625
1.50% Series C Convertible Senior Notes due December 2037 (a)	1,648		—		1,648		1,605		—		1,605
6.80% Senior Notes due March 2038 (a)	999		—		999		999		—		999
Total debt	10,232		868		11,100		10,271		950		11,221
Less debt due within one year
ODL Loan Facility	—		—		—		10		—		10
Commercial paper program (a)	146		—		146		88		—		88
6.625% Notes due April 2011 (a)	—		—		—		167		—		167
TPDI Credit Facilities due March 2015	—		70		70		—		70		70
ADDCL Credit Facilities due December 2017	—		26		26		—		25		25
Capital lease contract due August 2029	17		—		17		16		—		16
1.625% Series A Convertible Senior Notes due December 2037 (a)	—		—		—		11		—		11
1.50% Series B Convertible Senior Notes due December 2037 (a)	1,667		—		1,667		1,625		—		1,625
Total debt due within one year	1,830		96		1,926		1,917		95		2,012
Total long-term debt	$	8,402	$	772	$	9,174	$	8,354	$	855	$	9,209

(a) Transocean Inc., a 100 percent owned subsidiary of Transocean Ltd., is the issuer of the notes and debentures, which have been guaranteed by Transocean Ltd. Transocean Ltd. has also guaranteed borrowings under the commercial paper program and the Five-Year Revolving Credit Facility. Transocean Ltd. has no independent assets or operations, its guarantee of debt securities of Transocean Inc. is full and unconditional and, at September 30, 2011, its only other subsidiary not owned indirectly through Transocean Inc. was minor. Transocean Inc.’s only operating assets are its investments in its operating subsidiaries. At September 30, 2011, Transocean Inc.’s independent assets and operations, other than those related to investments in its subsidiaries and balances primarily pertaining to its cash and cash equivalents and debt are less than one percent of the total consolidated assets and operations of Transocean Ltd., and thus, substantially all of the assets and operations exist within these non-guarantor operating companies. Furthermore, Transocean Ltd. and Transocean Inc. are not subject to any significant restrictions on their ability to obtain funds from their consolidated subsidiaries or entities accounted for under the equity method by dividends, loans or return of capital distributions.

Carrying amounts of liability components of convertible senior notes

	September 30, 2011							December 31, 2010
	Principal amount		Unamortized discount			Carrying amount		Principal amount		Unamortized discount			Carrying amount
Carrying amount of liability component
Series A Convertible Senior Notes due 2037	$	—	$	—		$	—	$	11	$	—		$	11
Series B Convertible Senior Notes due 2037	1,680		(13		)	1,667		1,680		(55		)	1,625
Series C Convertible Senior Notes due 2037	1,722		(74		)	1,648		1,722		(117		)	1,605

Interest expense, excluding amortization of debt issue costs

	Three months ended September 30,				Nine months ended September 30,
	2011		2010		2011		2010
Interest expense
Series A Convertible Senior Notes due 2037	$	—	$	15	$	—	$	46
Series B Convertible Senior Notes due 2037	21		25		61		77
Series C Convertible Senior Notes due 2037	21		25		62		77