Tidewater Inc. · NYSE:TDW
Tidewater — Lehman Brothers CEO Energy/Power Conference 2005
31 slides from Tidewater's conference presentation, Sep 9, 2005
Slide 1: Lehman Brothers CEO Energy/Power Conference
Lehman Brothers CEO Energy/Power Conference September 6, 2005 Dean Taylor Chairman, President and CEO
Slide 2: Forward-Looking Statements
TIDEWATER 601 Poydras Street, Suite 1900 New Orleans, LA 70130 Phone: 504.568.1010 Fax: 504.566.4580 Web site address: www.tdw.com Email: connect@tdw.com FORWARD-LOOKING STATEMENTS In accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, the Company note
Slide 3: Safest Company in the Industry
“SAFEST COMPANY IN THE INDUSTRY” Total Recordable Incident Rates 1.5 1 0.5 0 2000 2001 2002 2003 2004 Calendar Years TIDEWATER EXXON/MOBIL DOW CHEMICAL BP DUPONT
Slide 4: Being Safe Isn't Easy
BEING SAFE ISN’T EASY
Slide 5: Lost Time Accidents
LOST TIME ACCIDENTS 20 16 12 8 4 0 9 8 5 5 4 1 1998 1999 2000 2001 2002 2003 2004 2005
Slide 6: Fiscal 2005 & Fiscal 2006 to Date Highlights
FISCAL 2005 & FISCAL 2006 TO DATE HIGHLIGHTS Continued improvement in safety record – only one offshore LTA in 26.5 million man hours during FY 2005 and none in FY 2006 thus far. Continued re-generation of Tidewater with new vessels. Improved worldwide operating environment resulting in escalating v
Slide 7: Hurricane Katrina Impact
HURRICANE KATRINA IMPACT Operating base in Amelia, La. incurred very little damage – Is fully operational with internet and system connectivity. Gulf of Mexico vessels are without damage and completely operational. Company personnel are accounted for and are being assigned to Amelia and Houston offi
Slide 8: Why a Positive Outlook
WHY A POSITIVE OUTLOOK E&P spending up Rig count up Favorable commodity prices Strong demand (China, India, etc.) Growth areas match Tidewater’s locations North Sea activity up Growing “new” fleet Boat sector typically late cycle story Favorable tax changes
Slide 9: Our Strategy
OUR STRATEGY Maintain and grow international market share Continue to improve domestic profitability Renew the fleet & assess opportunities for stacked fleet Be ready for the right acquisition Push dayrates to grow profits and cash flow Maintain financial strength
Slide 10: A Strong Global Presence
A STRONG GLOBAL PRESENCE Active Vessel Count By Region (excludes stacked vessels) North America 64 (18%) Central/ South America 91 (26%) Europe/M.E. 40 (11%) West Africa 112 (32%) Far East 45 (13%) Vessel count above excludes approximately 156 stacked vessels
Slide 11: Maintain and Grow International Market Share
MAINTAIN AND GROW INTERNATIONAL MARKET SHARE Areas of Opportunity 78% of fiscal 2004 and 82% of fiscal 2005 revenue generated in international markets
Slide 12: International Vessel Dayrates and Utilization
INTERNATIONAL VESSEL Dayrates and Utilization UTILIZATION 80% 70% 60% 50% 40% 30% 20% 10% 0% 6/02 9/02 12/02 3/03 6/03 9/03 12/03 3/04 6/04 9/04 12/04 3/05 6/05 $7,000 $6,500 $6,000 $5,500 $5,000 DAYRATE
Slide 13: International Dayrates
International Dayrates $10,000 $9,000 $8,000 $7,000 $6,000 $5,000 $4,000 New Vessels Remaining Vessels 3/02 6/02 9/02 12/02 3/03 6/03 9/03 12/03 3/04 6/04 9/04 12/04 3/05 6/05
Slide 14: ODS-Petrodata Working Rig & Supply Vessels USGOM
ODS-Petrodata Working Rig & Supply Vessels—USGOM ODS Working Rig Count 200 180 160 140 120 100 80 60 40 20 0 Q1’90 Q2’91 Q3’92 Q4’93 Q1’95 Q2’96 Q3’97 Q4’98 Q1’00 Q2’01 Q3’02 Q4’03 Q1’05 ODS Working Rigs ODS Working PSV 400 350 300 250 200 150 100 ODS Working PSV Count
Slide 15: Domestic Vessel Dayrates and Utilization
DOMESTIC VESSEL Dayrates and Utilization UTILIZATION 70% 60% 50% 40% 30% 20% 10% 0% 6/02 9/02 12/02 3/03 6/03 9/03 12/03 3/04 6/04 9/04 12/04 3/05 6/05 $7,500 $7,000 $6,500 $6,000 $5,500 $5,000 $4,500 DAYRATE
Slide 16: Domestic Dayrates
Domestic Dayrates $10,000 $9,000 $8,000 $7,000 $6,000 $5,000 $4,000 New Vessels Remaining Vessels 3/02 6/02 9/02 12/02 3/03 6/03 9/03 12/03 3/04 6/04 9/04 12/04 3/05 6/05
Slide 17: The New Face of Tidewater
THE NEW FACE OF TIDEWATER 175’ Fast Supply Vessel Bonnette Tide VS—480 Miss Jane Tide UT-745 Russell Tide 207’ Bollinger PSV Lousteau Tide UT-755 Carline Tide VS—486 John P Laborde
Slide 18: Renew the Fleet
TIDEWATER RENEW THE FLEET
Slide 19: Why Renew Our Worldwide Fleet
WHY RENEW OUR WORLDWIDE FLEET Vessel Count Average Age In years Deepwater Vessels 38 9 Towing 250 22 Supply/Supply Crew/Utility 87 15 Offshore Tugs 58 26 Other 8 22 TOTAL 441 20
Slide 20: Vessel Commitments Post January 2000
VESSEL COMMITMENTS POST JANUARY 2000 AHTS PSV CREW/ OTHER TOTAL Phase One: Deepwater Expansion 11 22 33 Phase Two: U.S. Flagged Replacements 16 31 47 Phase Three: Core Int. Replacements 17 15 32 TOTALS: Vessels 28 38 46 112 $ Committed $562m $601m $165m $1,328m * Excludes Ensco fleet acquisition eff
Slide 21: Fleet Age and Profit Contribution
FLEET AGE AND PROFIT CONTRIBUTION Fiscal 2000 Fiscal 2005 Vessel Count Average Age Profit Contribution Vessel Count Average Age Profit Contribution Vessels built prior to 509 19 100% 344 24 70% January 2000 Vessels built or acquired 0 0% 95 4 30% since January 2000
Slide 22: Mindful of Industry Fleet Totals
MINDFUL OF INDUSTRY FLEET TOTALS Company Fleet Counts vs. Tidewater Dispositions (last 6 years) 563* Includes held for sale and joint venture vessels 212 * 109* Excludes sale of Seabulk to Seacor 216 Sold 43 Scrapped Tidewater Seacor Seabulk Trico Gulfmark Hornbeck Tidewater Dispositions 101 vessels
Slide 23: Maintain Financial Strength
MAINTAIN FINANCIAL STRENGTH
Slide 24: Balance Sheet
BALANCE SHEET June March (millions of dollars) 2005 2004 Cash $1,469 $18 Other Current Assets 236 207 PP&E 1,342 Other Assets 537 515 Total Assets $2,257 $2,082 Current Liabilities 86 72 Other Liabilities 707 644 Stockholders’ Equity 1,464 1,366 Total Liabilities & Equity $2,257 $2,082 Revolver Debt
Slide 25: Earnings Growth in FY 2005 and 2006
EARNINGS GROWTH in FY 2005 and 2006 (IN MILLIONS) 6/30/04 9/30/04 12/31/04 3/31/05 6/30/05 Qtr Qtr Qtr Qtr Qtr Vessel Revenue: Domestic 28 30 29 31 35 International 122 131 141 144 150 150 161 170 175 185 Net Earnings 13 16 20 21 (1) 29 Diluted EPS .23 .29 .34 .36 (1) .50 (1) Exclusive of $31.8 mill
Slide 26: American Jobs Creation Act of 2004
AMERICAN JOBS CREATION ACT OF 2004 (1) Eliminates shipping income from the definition of Sub-Part F income. (2) Effect to Tidewater – Effective April 1, 2005, shipping income of foreign-owned affiliates will not be taxed in the U.S. until actually paid in the form of a dividend. Cash left in ownersh
Slide 27: Operating Profits vs Stock Price
OPERATING PROFITS VS STOCK PRICE Operating Profit Millions $40 $35 $30 $25 $20 $15 $10 $5 $0 ($5) ($10) ($15) 6/02 9/02 12/02 3/03 6/03 9/03 12/03 3/04 6/04 9/04 12/04 3/05 International Domestic Stock Price $50 $40 $30 $20 $10 $0 Stock Price
Slide 28: Current OSX Dividend Yields
CURRENT OSX DIVIDEND YIELDS 2 1.5 1 0.5 0 1.5% 1.0% 1.0% 0.9% 0.8% 0.8% 0.6% 0.4% 0.1% Tidewater Schlumberger Rowan BJ Services Noble Corp Halliburton Baker Global Smith Hughes Santa Fe International
Slide 29: Future Outlook
FUTURE OUTLOOK EPS Fiscal 2005 Actual $1.78 Fiscal 2006 *$2.37 Fiscal 2007 *$2.99 *First Call consensus of analysts reporting on Tidewater
Slide 30: Summary
SUMMARY Maintain and grow international market share Leading presence in major oil and gas producing regions worldwide Renew the fleet Core fleet to be replaced with fewer, larger, more efficient vessels Be ready for the right acquisition Push dayrates to grow profits and cash flow Financial strengt
Slide 31: Lehman Brothers CEO Energy/Power Conference
Lehman Brothers CEO Energy/Power Conference September 6, 2005 Dean Taylor Chairman, President and CEO
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