Transocean Inc. Begins Marketing IPO for TODCO

Transocean Inc. has commenced marketing efforts for a proposed initial public offering of its Gulf of Mexico Shallow and Inland Water wholly-owned subsidiary, TODCO. Transocean expects to offer 12,000,000 shares of Class A common stock, or approximately 20% of TODCO's outstanding shares. The estimated price range has been set at $11.00 to $13.00 per share. All of the shares are secondary shares being offered by Transocean. When issued, the common stock is expected to trade on the New York Stock Exchange under the symbol "THE".

The representatives of the underwriters of the offering are Morgan Stanley, which is acting as sole bookrunner, Bank of American Securities LLC, Citigroup, Credit Suisse First Boston, UBS Investment Bank and Simmons & Company, International, each of which are acting as co-managers. The underwriters have been granted an option by Transocean to purchase up to an additional 1,800,000 shares to cover over-allotments, if any.

A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification of the securities laws of any such state.

A copy of the preliminary prospectus may be obtained from Morgan Stanley, Prospectus Department, 1585 Broadway, New York, NY 10036 (Tel. 212-761-6775).