Bristow Helicopter Services Reevaluates to Reduce Company Costs

Bristow Group announced that as a result of the continuing decline in the demand for its helicopter services primarily in the exploration and development sector, with more limited declines in the production sector, the Company is taking the following actions:

  • Capital expenditures are being carefully evaluated and prioritized;
  • Management salaries have been frozen; and
  • Staffing levels and compensation structures are being reviewed to ensure that the Company is properly sized to meet customers' needs.

The Company has already made some staffing reductions in the U.S. Gulf of Mexico, West Africa and Australia and released many of its temporary and consulting staff. In addition, Bristow Helicopter Group Limited, the Company's European affiliate, is starting consultations with trade union representatives and employees in Europe regarding proposed staffing reductions. Similar actions are expected in other business units as part of an overall plan to reduce Bristow's work force by less than 10% to meet changing market conditions.

William E. Chiles, Bristow President and Chief Executive Officer, said, "In response to the current global recession and ongoing energy industry down-cycle, we are reviewing capital investments and our operations, including staffing levels and compensation structures, to ensure that our organization is properly positioned to continue meeting our customers' needs while maintaining operational safety. Our main objectives are to preserve our profitability as well as our financial flexibility and continue our focus on the safety of our operations for the long-term benefit of all our shareholders, customers and employees."