J. Ray McDermott Barge Capsizes

J. Ray McDermott, S.A. reports that its Intermac 404, a launch barge, capsized yesterday off the coast of South America while returning to the United States from a project off the coast of Southern Argentina. There were no personnel aboard the barge and no injuries were sustained.

The cause of the incident is under investigation and potential salvage options are being evaluated. The barge, which was under tow by a third party vessel, was transporting various items, including a plow and welding equipment. J. Ray does not anticipate any adverse financial impact as a result of this event or to any of its future projects in backlog. J. Ray believes the loss is fully insured subject to any applicable deductibles.