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Market Update : 
McDermott Q3 Earnings Call Transcript
Author: 123jump.com Staff
123jump.com
Last Update: 11:46 AM ET December 01 2008


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John Rogers - D.A. Davidson & Co.

Okay, Mike if I could just follow-up. Are there any issues on covenants or anything that we should be aware of?

Michael S. Taff

No, no there is nothing at all. We have very minimal covenants on all of our debt facilities, so we''re in very fine shape here.

John Rogers - D.A. Davidson & Co.

Okay, great. Thank you.

Operator

And your next question comes from the line of Joe Gibney of CapitalOne Southcoast. Please proceed.

Joe Gibney - CapitalOne Southcoast

Good morning everybody.

Michael S. Taff

Hi Joe.

John A. Fees

Good morning Joe.

Joe Gibney - CapitalOne Southcoast

I just want a follow-up a little bit on the B&W side, along the last line of questioning there relative to - I know we''re in a bit of a malaise here relative to waiting on CO2 and then a little bit of granularity there. But, absent the oil sands, are the power gen, new unit opportunities that you guys are looking at outside of the U.S. any color there, anything new that you''re looking at outside the domestic market?

John A. Fees

If you take a look at our profile, outside of the U.S., we certainly have a great joint venture facility in China that''s very full, very active and very busy. We don''t see any weakening in that demand currently at this time. We announced in recent periods that we''ve developed a relationship in India with a licensee there. That relationship is leading not only to some licensing work in that region, but some ongoing discussions about some major power projects that we can pursue in India and so there is activity there. We have bid some jobs into Middle East for oil burning, diesel plants and we had some...we''ve been...had some traction on some bids that we put out there. So, if you take a look at the profile, we would expect that to be a more significant part of what we''re doing in the power business over the next 2 or 3 years than it has been in the past.

Joe Gibney - CapitalOne Southcoast

I appreciate it. On the government op side, just curious if you can give a little color on the margin outlook going forward relative to some of your new bookings and the Virginia-class coming through with a reasonable run rate for expectations on government ops going forward?


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