Rowan Companies PLC – ‘8-K’ for 1/13/00 – EX-99.2

On:  Monday, 2/14/00   ·   For:  1/13/00   ·   Accession #:  950129-0-596   ·   File #:  1-05491

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Current Report   —   Form 8-K
Filing Table of Contents

Document/Exhibit                   Description                      Pages   Size 

 1: 8-K         Rowan Companies, Inc. - Dated January 13, 2000         4     11K 
 2: EX-99.1     Press Release - Dated January 13, 2000                 4     22K 
 3: EX-99.2     Press Release - Dated January 31, 2000                 2      8K 
 4: EX-99.3     Press Release - Dated 02/07/2000                       1      6K 

EX-99.2   —   Press Release – Dated January 31, 2000

EX-99.2
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                                                                  EXHIBIT 99.2

ROWAN COMPANIES, INC. COMPLETES PURCHASE OF THE ELLIS WILLIAMS                  
COMPANY, INC.                                                                   

HOUSTON, Jan 31, 2000 -- Rowan Companies, Inc. (NYSE: RDC) announced today that 
LeTourneau, Inc., a wholly owned subsidiary, has completed the purchase of The  
Ellis Williams Company, Inc. and EWCO, Inc. dba Traitex Machine Co., which      
design and manufacture mud pumps ranging in capacity from 350 to 2200 HP.       

The purchase price was approximately $9 million, $6 million in cash and the     
balance in promissory notes due over a three-year period. Rowan expects the new 
company, LeTourneau Ellis Williams Company, Inc., will generate first year      
revenues in the range of $9 to $12 million, and that operations for the first   
quarter of 2000 will be profitable.                                             

C. R. Palmer, Chairman and CEO commented, "We view the acquisition of The Ellis 
Williams Company as a 'bolt-on' addition to our manufacturing division. We      
believe the acquisition will increase the profitability of LeTourneau, broaden  
the customer base, and expand the product line.                                 

"We anticipate utilizing LeTourneau's manufacturing facility in Longview, Texas 
to add capacity and decrease delivery times for certain lines of EWCO pumps. In 
addition, we expect to consolidate the Ellis Williams operations, presently     
conducted at two Houston area locations, in a larger Houston area plant with    
increased capacity. Our goal is to increase pump deliveries by a factor of three
by the year 2003.                                                               

"We are particularly pleased that the founder, Ellis Williams, Jr., has agreed  
to remain as a design consultant, and Michael R. Williams, formerly President of
The Ellis Williams Company, has agreed to remain in the new LeTourneau          
subsidiary as Senior Vice President and General Manager. Each will contribute to
improving the existing pump line and will provide guidance and direction in the 
development of additional pump designs."                                        

Rowan Companies, Inc. is a major provider of international and domestic offshore
contract drilling and aviation services. The Company also operates a mini-steel 
mill, a manufacturing facility that produces heavy equipment for the mining,    
timber and transportation industries, and a marine division that has designed   
and built over one-third of all mobile offshore jack-up drilling rigs, including
all 21 operated by the Company. The Company's stock is traded on the New York   
Stock Exchange and the Pacific Stock Exchange. Common Stock trading symbol: RDC.

Contact: William C. Provine, Vice-President - Investor Relations, 713-960-7575. 
Website: www.rowancompanies.com                                                 

This report contains forward looking statements within the meaning of the       
Private Securities Litigation Reform Act OF 1995, including, without limitation,
statements as to the expectations, beliefs and future expected financial        
performance of the Company that are based on current expectations and are       
subject to certain risks, trends and uncertainties that could cause actual      
results to differ materially from those projected by the Company. Among the     
factors that could cause actual                                                 

EX-99.2
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results to differ materially include oil and natural gas prices, the level of   
offshore expenditures by energy companies, the general economy, including       
inflation, weather conditions in the Company's principal operating areas and    
environmental and other laws and regulations. Other relevant factors have been  
disclosed in the Company's filings with the U.S. Securities and Exchange        
Commission.