The third quarter reports of Diamond Offshore Drilling Inc (NYSE:DO) were made available on 24th October, 2013. In the report, the company in the last 22 years has only suffered one significant customer credit issue. But, the events handled by the organization have managed to add on 2 clients which would be used for the post reserves against the bills of the company.
The financial difficulties related to the OGX are present in the press. The company was very strong at one time, but the projects which were judged noncommercial have deprived OGX of the cash which are required for the daily operations of the company.
Talking about the third quarter, the company had 2 rigs for OGX. One is the 3,500 foot ocean quest and another is the fourth generation ocean star. A write off which was made available for these two rigs consisted of $23 million of receivables for the second quarter billings and another was a loss of $35 million of revenue which is attributed in the third quarter report.
The report also had information related to future earnings and revenues, capital expenditures, management plans and much more which were made available by the important people of Diamond Offshore Drilling Inc. Moreover, information on the risk factors which might leave behind huge impact on the company was there in the report. Darren – the Director of Investor Relations also discussed in the report about the company’s overall financial and business performance which can be seen in the 10 – K and 10 – Q reports with the SEC available on the official website.
The two rigs would be transferred to the contract of Ocean Star to another Brazilian operator known as Queiroz Galvao by the end of September and would begin its work by February 2014.