Rowan Completes Long-Term 5.88% Refinancing of Gorilla VI Debt

Rowan completed the refinancing of its $156.8 million of outstanding floating-rate Gorilla VI debt through the issuance of a 5.88% fixed-rate note maturing in March 2012. As a result of this transaction, Rowan expects to realize a $1.8 million reduction in interest expense in 2001 compared to 2000. The floating-rate debt was issued under the Title XI program of the U. S. Department of Transportation's Maritime Administration to finance the construction of Rowan Gorilla VI, which was completed in June 2000. Outstanding borrowings bore interest at 7.11% at December 31, 2000. The fixed-rate note is U.S. Government-guaranteed under the Title XI program. Gorilla VI secures the government guarantee.