News Release Details
Bristow Group Reports on Operational Status and Impact of Recent Storms
HOUSTON, Sept. 16 /PRNewswire-FirstCall/ -- Bristow Group Inc. (NYSE: BRS) today issued the following status report of the effect on Bristow of the recent storms in the U.S. Gulf of Mexico (GOM), where we generated approximately 22% of our annual consolidated revenues and 23% of our annual operating income for the fiscal year ended March 31, 2008.
The GOM experienced hurricane Gustav and tropical storm Edouard in August and hurricane Ike in September. We are pleased to report that all of our employees are accounted for and uninjured but many are dealing with damage to and/or lack of electrical power at their homes.
We used our aircraft to help evacuate our customers' offshore facilities prior to the storms, and then relocated our aircraft out of the paths during the storms. Flight operations were resumed in each case as soon as weather conditions permitted. We experienced a reduction in flight hours during these storms, which was partially offset by higher-than-usual flying during evacuation and reinstallation periods.
We have experienced damage to two small aircraft which were under repair when the storms hit, but the remainder of our 140 aircraft in the GOM were undamaged. Our Galveston base incurred substantial damage during Hurricane Ike. Based on very preliminary assessments, we believe flooding and likely some structural damage has occurred to our Intracoastal City and Creole bases during Hurricane Ike and at least four offshore refueling stations have been lost. We also experienced some moderate damage to several base facilities from the earlier storms. While these bases are generally insured for such losses, we will incur deductibles and certain other costs. We also believe we have incurred incremental costs during these storms related to base evacuations, fuel for non-revenue aircraft movements and personnel lodging and meal costs.
The full financial impact of these storms is not certain at this time. However, financial results from the GOM business unit for the September 2008 quarter may be negatively impacted. Operationally, we expect to be able to make the necessary adjustments to accommodate our customers' requirements. In addition, in the months following previous major hurricanes, we have experienced higher-than-normal flying to support our customers' offshore reconstruction efforts. Accordingly, we do not anticipate a long-term significant negative effect from these storms on Bristow's consolidated financial position or operating results.
ABOUT BRISTOW GROUP INC.
Bristow Group Inc. is the leading provider of helicopter services to the worldwide offshore energy industry based on the number of aircraft operated. Through its subsidiaries, affiliates and joint ventures, the Company has major transportation operations in the U.S. Gulf of Mexico and the North Sea, and in most of the other major offshore oil and gas producing regions of the world, including Alaska, Australia, Mexico, Nigeria, Norway and Trinidad. For more information, visit the Company's website at http://www.bristowgroup.com.
FORWARD LOOKING STATEMENT
Statements contained in this news release that state the Company's or management's intentions, hopes, beliefs, expectations or predictions of the future are forward-looking statements. It is important to note that the Company's actual results could differ materially from those projected in such forward-looking statements. Additional information concerning factors that could cause actual results to differ materially from those in the forward- looking statements is contained from time to time in the Company's SEC filings, including but not limited to the Company's quarterly report on Form 10-Q for the period ended June 30, 2008 and the annual report on Form 10-K for the year ended March 31, 2008. Bristow Group Inc. disclaims any intention or obligation to revise any forward-looking statements, including financial estimates, whether as a result of new information, future events or otherwise.
Linda McNeill, Investor Relations
SOURCE: Bristow Group Inc.
CONTACT: Linda McNeill, Investor Relations of Bristow Group Inc.,
Web site: http://www.bristowgroup.com