Bristow Agrees to Sell Grasso for $22.5 Million

Bristow Group Inc.

Bristow has entered into a definitive agreement to sell its Grasso Production Management business to Production Services Network Limited for $22.5 million (excluding cash and certain intercompany accounts), subject to post closing adjustments.

GPM is a leading contract operator of oil and gas production facilities in the U.S. Gulf of Mexico, with revenues of $64.8 million for the fiscal year ended March 31, 2007 and $16.5 million for the three months ended June 30, 2007 and operating income of $4.2 million and $1.1 million for the same respective periods.

Bristow is selling GPM for approximately book value, with a net loss of approximately $6 million related to taxes on non-deductible goodwill and transaction costs which will be recorded in the quarter ended December 31, 2007. Results of GPM for the current and prior periods will be classified as discontinued operations in Bristow's results for the quarter ended December 31, 2007.

"While GPM has been an important part of the Company for many years, sale of the business to a strategic buyer will allow GPM and its employees to grow the business while making Bristow Group a pure play in helicopter services principally to the offshore energy industry," said William E. Chiles, Bristow's President and Chief Executive Officer. "I appreciate the hard work and dedication of the Grasso employees who over the years have built a fine organization and contributed to the overall success of Bristow Group."


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