SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Dec. 31, 2012

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]

Schedule of asset estimated useful life and salvage value

We provide depreciation for financial reporting purposes under the straight-line method over the asset's estimated useful life from the date the asset is placed into service until it is sold or becomes fully depreciated.  Estimated useful lives and salvage values are presented below:

	Life (in years)		Salvage Value
Jack-up drilling rigs:
Hulls		35		20	%
Legs		30		20	%
Quarters		25		20	%
Drilling equipment	10 to 25			20	%
Drill pipe and tubular equipment		4		10	%
Other property and equipment	3 to 30		various

Reconciliation of shares for basic and diluted income per share

A reconciliation of shares for basic and diluted income per share for each of the past three years is set forth below.  There were no income adjustments to the numerators of the basic or diluted computations for the periods presented (in thousands):

	2012		2011		2010
Average common shares outstanding		122,998		125,044		117,021
Add dilutive securities:
Nonvested restricted shares and restricted share units		457		765		1,270
Employee and director share options		160		298		417
Share appreciation rights		257		286		110
Average shares for diluted computations		123,872		126,393		118,818

Options and other potentially dilutive securities are antidilutive and excluded from the dilutive calculations when their exercise or conversion price exceeds the average stock market price during the period.  The following table sets forth the share effects of securities excluded from the diluted calculations because they were antidilutive for the years indicated.  Such securities could potentially dilute earnings per share in the future (in thousands):

	2012		2011		2010
Employee and director share options		42		42		153
Share appreciation rights		616		266		-
Total potentially dilutive shares		658		308		153