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GLOBAL MARINE SECOND QUARTER RESULTS INCLUDE GAIN ON SETTLEMENT OF LAWSUIT

 GLOBAL MARINE SECOND QUARTER RESULTS
 INCLUDE GAIN ON SETTLEMENT OF LAWSUIT
 HOUSTON, July 15 /PRNewswire/ -- Global Marine Inc. (NYSE: GLM) today reported net income of $49 million, or $0.42 per share, on revenues of $70 million for the quarter ended June 30, 1992. This compares with a net loss of $2 million, or $0.02 per share, on revenues of $71 million for the corresponding quarter of 1991. Results for the second quarter of 1992 include a $55 million gain on the previously reported settlement of a take-or-pay lawsuit with Transcontinental Gas Pipe Line Corporation. For the six months ended June 30, 1992, the company reported net income of $52 million, or $0.45 per share on revenues of $138 million. This compares with a net loss of $5 million or $0.05 per share on revenues of $146 million reported for the first six months of 1991. Cash and short-term investments totaled $61 million at June 30, 1992, up from $57 million at Dec. 31, 1991.
 C. Russell Luigs, Global Marine's chairman and chief executive officer, commented, "Our 1992 first half results reflect several unusual items that offset the continuing weakness in offshore drilling. Excluding the effects of a change in the method of accounting for income taxes, a gain on the sale of the Glomar High Island VI drilling rig, and settlement of the Tansco suit, the company incurred a net loss of $17 million for the first half of 1992."
 Luigs noted that Global Marine's offshore contract drilling fleet reported an average rig utilization rate of 79 percent in the first half of 1992, down from the 89 percent the company reported in the first half of 1991, but well above the industry's 1992 first half average of 71 percent. He also said, "Although the timing of a market recovery remains uncertain, we are increasingly optimistic that the recent strengthening in world oil prices and U.S. natural gas prices will encourage a drilling recovery, both internationally and in the U.S. Gulf of Mexico."
 Houston-based Global Marine is one of the industry's largest international offshore drilling contractors, with 26 mobile rigs deployed worldwide. In addition, the company offers turnkey drilling services and has interests in oil and gas production.
 GLOBAL MARINE INC. AND SUBSIDIARIES
 Consolidated Statement of Operations
 (In millions, except per share amounts)
 Period ended Three months Six months
 June 30 1992 1991 1992 1991
 Revenues:
 Marine drilling $65.4 $65.6 $129.2 $134.1
 Oil and gas 4.4 5.8 8.9 11.8
 Total revenues 69.8 71.4 138.1 145.9
 Expenses:
 Marine drilling 47.8 44.2 99.3 92.7
 Oil and gas 2.5 2.5 4.1 4.6
 Depr., depletion & amort. 11.7 11.2 23.5 22.2
 Gain on sale of offshore
 drilling rig -- -- (11.0) --
 General and administrative 3.4 3.8 6.6 7.0
 Total operating expenses 65.4 61.7 122.5 126.5
 Operating income (loss) 4.4 9.7 15.6 19.4
 Other income (expense):
 Interest expense (10.7) (12.8) (22.0) (25.6)
 Interest income .6 .9 1.2 1.9
 Litigation settlement 55.0 -- 55.0 --
 Other .3 -- .3 --
 Total other income (expense) 45.2 (11.9) 34.5 (23.7)
 Income (loss) before
 income taxes 49.6 (2.2) 50.1 (4.3)
 Income tax expense .5 .1 1.5 .6
 Income (loss) before
 cumulative effect of change
 in accounting principle 49.1 (2.3) 48.6 (4.9)
 Cumulative effect of change
 in accounting for income
 taxes -- -- 3.3 --
 Net income (loss) 49.1 (2.3) 51.9 (4.9)
 Net income (loss) per
 common share:
 Before cumulative effect of
 change in accounting principal 0.42 (0.02) 0.42 (0.05)
 Cumulative effect of change in
 accounting for income taxes -- -- 0.03 --
 Net income (loss) per share 0.42 (0.02) 0.45 (0.05)
 Average common shares and
 share equivalents outstg. 115.7 105.9 115.5 105.7
 CONDENSED CONSOLIDATED BALANCE SHEET
 (In millions)
 Period ended 6/30/92 12/31/91
 Assets
 Cash and cash equivalents $ 35.2 $ 25.5
 Marketable securities 25.6 31.7
 Other current assets 67.6 71.0
 Total current assets 128.4 128.2
 Net properties 332.2 353.7
 Other assets 72.8 41.8
 Total assets 533.4 523.7
 Liabilities and Shareholders' Equity
 Current maturities of long-term debt 1.7 5.8
 Other current liabilities 30.6 34.0
 Total current liabilities 32.3 39.8
 Long-term debt 357.3 386.0
 Reserve for loss on operating lease 24.8 29.8
 Deferred income taxes -- 3.3
 Other long-term liabilities 21.1 20.2
 Shareholders' equity 97.9 44.6
 Total liabilities and Shareholders
 equity 533.4 523.7
 -0- 7/15/92
 /CONTACT: David A. Herasimchuk of Global Marine, 713-596-5809/
 (GLM) CO: Global Marine Inc. ST: Texas IN: OIL SU: ERN


TS-OS -- NY021 -- 9477 07/15/92 10:54 EDT
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Date:Jul 15, 1992
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