-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Rqo/JaifEcDcH/oitrtC7KbYDe7tKA7U8zKtCgtfCSsJ3ehvwPCBlO3YuK5ZoSvI FNw9E9JAVWcqIeR5TU00wQ== 0000950129-02-005189.txt : 20021025 0000950129-02-005189.hdr.sgml : 20021025 20021025110648 ACCESSION NUMBER: 0000950129-02-005189 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20021024 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20021025 FILER: COMPANY DATA: COMPANY CONFORMED NAME: WEATHERFORD INTERNATIONAL INC /NEW/ CENTRAL INDEX KEY: 0000032908 STANDARD INDUSTRIAL CLASSIFICATION: OIL & GAS FILED MACHINERY & EQUIPMENT [3533] IRS NUMBER: 042515019 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-13086 FILM NUMBER: 02798131 BUSINESS ADDRESS: STREET 1: 515 POST OAK BLVD STREET 2: SUITE 600 CITY: HOUSTON STATE: TX ZIP: 77027-3415 BUSINESS PHONE: 7132978400 MAIL ADDRESS: STREET 1: 5 POST OAK PARK STREET 2: STE 1760 CITY: HOUSTON STATE: TX ZIP: 77027-3415 FORMER COMPANY: FORMER CONFORMED NAME: EVI INC DATE OF NAME CHANGE: 19980226 FORMER COMPANY: FORMER CONFORMED NAME: ENERGY VENTURES INC /DE/ DATE OF NAME CHANGE: 19920703 FORMER COMPANY: FORMER CONFORMED NAME: EVI WEATHERFORD INC DATE OF NAME CHANGE: 19980528 8-K 1 h00655e8vk.txt WEATHERFORD INTERNATIONAL, INC.- OCTOBER 24, 2002 ================================================================================ UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 DATE OF REPORT (Date of earliest event reported): OCTOBER 24, 2002 WEATHERFORD INTERNATIONAL, INC. (Exact name of registrant as specified in charter) DELAWARE 1-13086 04-2515019 (State of Incorporation) (Commission File No.) (I.R.S. Employer Identification No.) 515 POST OAK BOULEVARD, SUITE 600 HOUSTON, TEXAS 77027-3415 (Address of Principal Executive Offices) (Zip Code) REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (713) 693-4000 ================================================================================ PAGE 1 EXHIBIT INDEX APPEARS ON PAGE 4 ITEM 5. OTHER EVENTS A copy of the press release dated October 24, 2002 of our parent company, Weatherford International Ltd., which includes an announcement of its earnings for the quarter ended September 30, 2002, is filed as Exhibit 99.1 and is incorporated in this report by reference. ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS (a) Financial statements of business acquired Not applicable. (b) Pro forma financial information Not applicable. (c) Exhibits 99.1 Press release issued by Weatherford International Ltd. dated October 24, 2002. PAGE 2 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant's parent company has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. WEATHERFORD INTERNATIONAL, INC. Dated: October 24, 2002 /s/ Lisa W. Rodriguez ----------------------------------- Lisa W. Rodriguez Senior Vice President and Chief Financial Officer PAGE 3 INDEX TO EXHIBITS Number Exhibit ------ ------- 99.1 Press release issued by Weatherford International Ltd. dated October 24, 2002. PAGE 4 EX-99.1 3 h00655exv99w1.txt PRESS RELEASE DATED OCTOBER 24, 2002 EXHIBIT 99.1 [WEATHERFORD LOGO] NEWS RELEASE WEATHERFORD REPORTS THIRD QUARTER RESULTS OF $0.28 PER SHARE BEFORE NON-RECURRING CHARGE HOUSTON, October 24, 2002 - - Weatherford International Ltd. (NYSE: WFT) today reported third quarter revenues of $584.9 million and net income of $34.6 million or $0.28 per diluted share, before a non-recurring charge. In the quarter, a one-time after tax charge of $156.2 million, consisting of a $146.2 million non-cash write down of an investment in Universal Compression Holdings, Inc. and $10.0 million related to planned severance and facility closures, was recorded. Including the non-recurring charge, there was a net loss in the quarter of $121.6 million ($1.01 per diluted share). In the third quarter of 2001, reported revenues and net income were $608.6 million and $60.2 million ($0.49 per diluted share), respectively. Prior year third quarter net income adjusted to exclude goodwill amortization net of taxes would have been $70.3 million ($0.56 per diluted share). In the first nine months of 2002, revenues were $1.75 billion and net income, excluding the non-recurring charge, was $118.6 million ($0.94 per diluted share). In 2001, reported revenues for the first nine months were $1.71 billion, and net income was $160.1 million ($1.32 per diluted share). Net income for this prior year period, excluding goodwill amortization net of taxes would have been $187.4 million ($1.53 per diluted share). Weatherford's quarterly revenues fell 4 percent from the prior year third quarter due largely to a global decline in drilling activity. North American rig activity fell by more than 25 percent year to year and international rig activity declined 6 percent. Over the same time frame, Weatherford's third quarter North American revenues fell 18 percent while international revenues increased 13 percent. The declines reflect the effects of lower offshore activity in the Gulf of Mexico and the UK sector of the North Sea and less drilling in North American land markets. 1 DRILLING & INTERVENTION SERVICES Third quarter revenues were $319.9 million, 12 percent below the prior year quarter and 3 percent higher than the preceding quarter. EBITDA of $99.6 million was 26 percent below the prior year quarter and 1 percent below the preceding quarter. Sequentially, Drilling & Intervention Services third quarter performance reflected the impact of tropical storm Isidore on activity in the Gulf of Mexico late in the quarter, slower activity in the UK sector of the North Sea and an unfavorable product mix. North American revenues were up slightly. While international revenues increased 5 percent sequentially, that growth was moderated by softening activity in the North Sea. COMPLETION SYSTEMS Third quarter revenues of $88.3 million were 2 percent higher than the prior year quarter and 16 percent below the preceding quarter. EBITDA of $18.2 million was 12 percent below the prior year and 31 percent below the preceding quarter. Sequentially, Completion Systems performance was affected by weather in the Gulf of Mexico and a temporary disruption in the commercialization of one size of expandable sand screen product. ARTIFICIAL LIFT SYSTEMS Third quarter revenues of $176.7 million were 12 percent higher than the prior year quarter and 2 percent below the preceding quarter. EBITDA of $30.2 million was 1 percent below the prior year and 5 percent below the preceding quarter. Sequentially, North American revenue improved 6 percent while international activity declined 12 percent due to lower activity in the Latin American and Asia Pacific regions. 2 Weatherford is one of the largest global providers of innovative mechanical solutions, technology and services for the drilling and production sectors of the oil and gas industry. Weatherford operates in over 100 countries and employs approximately 15,000 people worldwide. # # # Contact: Don Galletly (713) 693-4148 Lisa Rodriguez (713) 693-4746 This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 concerning, among other things, Weatherford's prospects for its operations and the successful integration of the plan of restructuring, all of which are subject to certain risks, uncertainties and assumptions. These risks and uncertainties, which are more fully described in Weatherford International Ltd.'s and Weatherford International, Inc.'s reports and registration statements filed with the SEC, include the impact of oil and natural gas prices and worldwide economic conditions on drilling activity, the demand for and pricing of Weatherford's products and services, domestic and international economic and regulatory conditions and changes in tax and other laws affecting the restructuring and our business. Should one or more of these risks or uncertainties materialize, or should the assumptions prove incorrect, actual results may vary in material aspects from those currently anticipated. 3 WEATHERFORD INTERNATIONAL LTD. CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS (In 000's, Except Per Share Amounts)
Three Months Nine Months Ended September 30, Ended September 30, ------------------------------ ------------------------------ 2002 2001 2002 2001 ------------ ------------ ------------ ------------ Net Revenues: Drilling and Intervention Services $ 319,872 $ 363,293 $ 942,610 $ 986,197 Completion Systems 88,335 86,838 285,451 247,807 Artificial Lift Systems 176,723 158,490 518,984 446,836 Compression Services -- -- -- 26,939 ------------ ------------ ------------ ------------ 584,930 608,621 1,747,045 1,707,779 ------------ ------------ ------------ ------------ Operating Income (Loss): Drilling and Intervention Services 60,730 96,070 194,371 261,988 Completion Systems 9,367 12,668 43,372 33,512 Artificial Lift Systems 24,658 23,340 73,780 61,360 Compression Services -- -- -- (511) Research and Development (19,624) (12,881) (55,147) (35,139) Equity in Earnings 5,445 6,947 18,640 14,708 Corporate Expenses (9,871) (9,984) (33,957) (29,650) Non-recurring Charge (232,493) -- (232,493) -- ------------ ------------ ------------ ------------ (161,788) 116,160 8,566 306,268 Other Expense: Other, Net (917) (1,572) (2,891) (1,986) Interest Expense, Net (20,404) (19,802) (61,401) (51,907) ------------ ------------ ------------ ------------ Income (Loss) Before Income Taxes (183,109) 94,786 (55,726) 252,375 Provision for Income Taxes (14,815) (34,605) (58,127) (92,248) Benefit for Income Taxes, Related to the Non-recurring Charge 76,282 -- 76,282 -- ------------ ------------ ------------ ------------ Net Income (Loss) $ (121,642) $ 60,181 $ (37,571) $ 160,127 ============ ============ ============ ============ Earnings (Loss) Per Share: Basic $ (1.01) $ 0.52 $ (0.31) $ 1.42 Diluted (A) $ (1.01) $ 0.49 $ (0.31) $ 1.32 Weighted Average Shares Outstanding: Basic 120,193 115,068 119,796 113,093 Diluted (B) 120,193 135,081 119,796 131,826
(A) Diluted earnings per share for the three and nine months ended September 30, 2001 excluding goodwill amortization, net of taxes, was $0.56 and $1.53, respectively. (B) For pro forma calculations of diluted earnings per share excluding the non-recurring charge, diluted weighted average shares outstanding were 125,138 and 131,568 for the three months and nine months ended September 30, 2002, respectively. WEATHERFORD INTERNATIONAL LTD. SUPPLEMENTAL INFORMATION (In 000's)
Three Months Nine Months Ended September 30, Ended September 30, ----------------------------- ----------------------------- 2002 2001 2002 2001 ------------ ------------ ------------ ------------ Geographic Revenues: Eastern Hemisphere $ 259,194 $ 206,645 $ 774,176 $ 541,478 United States 195,969 252,817 586,093 717,767 Canada 79,964 83,060 236,758 257,072 Latin America 49,803 66,099 150,018 191,462 ------------ ------------ ------------ ------------ $ 584,930 $ 608,621 $ 1,747,045 $ 1,707,779 ============ ============ ============ ============ Depreciation and Amortization: Drilling and Intervention Services $ 38,857 $ 37,793 $ 113,923 $ 99,738 Completion Systems 8,881 8,150 22,856 21,733 Artificial Lift Systems 5,587 7,212 17,086 20,908 Compression Services -- -- -- 4,184 Research and Development 881 540 2,413 1,487 Other 772 1,763 2,040 4,795 ------------ ------------ ------------ ------------ $ 54,978 $ 55,458 $ 158,318 $ 152,845 ============ ============ ============ ============ Research and Development: Drilling and Intervention Services $ 7,255 $ 6,310 $ 19,012 $ 17,185 Completion Systems 10,444 5,448 30,583 14,951 Artificial Lift Systems 1,925 1,123 5,552 2,917 Compression Services -- -- -- 86 ------------ ------------ ------------ ------------ $ 19,624 $ 12,881 $ 55,147 $ 35,139 ============ ============ ============ ============
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