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J. Ray McDermott Returns To New Orleans

Maritime Activity Reports, Inc.

June 21, 2006

J. Ray McDermott, S.A., a subsidiary of McDermott International Inc., announced has reopened its Engineering office in New Orleans, LA. The return to NOLA comes nearly ten months after Hurricane Katrina forced the evacuation of J. Ray employees to temporary offices in Amelia, Louisiana and Houston, Texas. J. Ray's new NOLA office is located on the 12th floor of 1340 Poydras Street (formerly the Amoco Building). The office has an initial staff of 27 employees, including 22 engineers, with room to expand over time to 37 employees. "We are pleased to be back in New Orleans and committed to building our future in Louisiana," said Bob Deason, President and Chief Operating Officer of J. Ray. "The Engineering office in New Orleans is a key part of J. Ray's strategic plan, providing invaluable support to our local customers, our operations at the Morgan City fabrication facility and our projects at other facilities around the globe." "J. Ray McDermott has a long history in Louisiana," said Louisiana Economic Development Secretary Michael J. Olivier. "The reopening of their engineering office in New Orleans furthers their commitment to Louisiana as we rebuild, taking Louisiana forward."

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