(State or other jurisdiction

of incorporation)

(IRS Employer

Identification No.)

11911 FM 529

Houston, TX

•

Our projection that 2008 will be our 5^th consecutive year of record results;

Our earnings per share (EPS) outlook for the full year and the 1st quarter of 2008;

Our operating income guidance for ROVs to be up $25 million to $35 million, Subsea Products to be up $30 million to $40 million and Subsea Projects to be down $25 million to $30 million for 2008 compared to 2007;

Anticipated deepwater discoveries to be evaluated and developed;

Future floating rig new builds;

Future floating rig demand;

Future new build subsea support vessels and the likely requirement of at least one work class ROV on each;

Expected 2008 ROV results to improve by increasing days on hire, by adding approximately 30 new systems, and achieving higher average revenue per day on hire;

Expansion of our ROV fleet for both drill support and construction service;

Our 2008 ROV margins anticipated to be about the same as 2007;

Subsea completions expected to more than triple in this decade over the 1990s, and double in the decade commencing 2010;

Subsea tree orders forecast to be up 35% in a base case and 80% in a high case for 2008—2012 compared to the level of 2003 – 2007;

Worldwide umbilical market forecast to be up over 100% for 2008—2012 compared to the level of 2003 – 2007;

Projected cumulative subsea completions in the Gulf of Mexico through 2009;

Our expectation that hurricane damage repair work is nearing completion and that demand and pricing for diving and shallow water vessel services will decline in 2008, including our expectations that the BP downed platform project will end in June 2008 and that a SAT systems contract will end in August 2008;

Expected continued favorable deepwater Subsea Projects Deepwater Installation and IMR service demand;

Our ability to participate in the favorable market for Deepwater Installation and IMR work is anticipated to be hindered because of the drydocking of the Ocean Intervention, Ocean Intervention II and The Performer for mandatory inspections in 2008;

The anticipated availability date of the Olympic Intervention IV;

Our projected 2008 Cash Flow from Operations (as defined and reconciled to GAAP measures in the Supplemental Financial Information to the presentation); and

Our projected 2008 EBITDA (as defined and reconciled to GAAP measures in the Supplemental Financial Information to the presentation)

Our estimate of market shares of worldwide work class ROV fleet for us and our competitors, in total and for drill support and construction/field maintenance presented in the in the Supplemental Market Information to the presentation;

Worldwide Umbilical Market Overview presented in the Supplemental Market Information to the presentation; and

Subsea Hardware Outlook Summary presented in the Supplemental Market Information to the presentation.

worldwide demand for oil and gas;

general economic and business conditions and industry trends;

the ability of the Organization of Petroleum Exporting Countries, or OPEC, to set and maintain production levels and pricing;

the level of production by non-OPEC countries;

domestic and foreign tax policy;

laws and governmental regulations that restrict exploration and development of oil and gas in various offshore jurisdictions;

rapid technological changes;

the political environment of oil-producing regions;

the price and availability of alternative fuels; and

overall economic conditions.