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Forward-looking Statements
This presentation may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements about our future business, operations, capital expenditures, fleet composition, capabilities and results; financial projections; plans, strategies and objectives of our management, including our plans and strategies to grow earnings and our business, our general strategy going forward and our business model; expected actions by us and by third parties, including our customers, competitors and regulators; the valuation of our company and its valuation relative to relevant financial indices; assumptions underlying or relating to any of the foregoing, including assumptions regarding factors impacting our business, financial results and industry; and other matters. Our forward-looking statements reflect our views and assumptions on the date of this presentation regarding future events and operating performance. They involve known and unknown risks, uncertainties and other factors, many of which may be beyond our control, that may cause actual results to differ materially from any future results, performance or achievements expressed or implied by the forward-looking statements. These risk, uncertainties and other factors include those discussed under the captions “Risk Factors”and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the year ended March 31, 2006 and our Form 10-Q for the quarter ended December 31, 2006. We do not undertake any obligation, other than as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
3
Investment Highlights
• Leader in providing helicopter transportation services to the global offshore oil and gas industry
– Operating in 23 countries
• Significant historical achievements– Acquired Bristow Helicopter – 1996– Safety Improvements – 2001 forward– Conservatively capitalized for industry cycle
• Profitable track record– 10 fiscal year CAGR in EPS of 12%– Tied closely to production, less to drilling
• Clear strategy– Integrate business lines– Grow business by leveraging global footprint
33
4
Agenda
4
• Bristow Group overview
• Market dynamics
• Financial highlights
• Strategy going forward
4
5
Bristow At A Glance
• NYSE: BRS
• Number of aircraft: 3411
(plus 146 held with unconsolidated affiliates)1
• Employees: 4,2002
• Equity market cap: ~ $1.1B3
• FY 2007 Q3 – December 31, 2006:– Revenue: $669.1M– Net Income: $ 46.8M
• FY March 31, 2006:– Revenue: $768.9M– Net Income: $ 57.8M
1. As of December 31, 20062. As of March 31, 20063. As of January 26, 2007
6
Timeline
1955 200520041971 20062003200220011996199319901969
Offshore Logistics founded
Namechanged
to Bristow Group
(NYSE: BRS)
Senior management
changed
Queen’s Award for Innovation
(Bristow Helicopters)
Turbo Engines acquired
Grasso acquired
Air Logistics LLC formed
Pan African Airlines
(Nigeria) acquired
Bristow Helicopter acquired
Offshore boats sold
Aviashelfacquired
Bristow Helicopters
founded
7
Vision
“One global team setting the standard for excellence, growing and succeeding together…soaring above the competition.”
8
Mission
“Our mission is to provide the safest and most efficient helicopter services, aviation support, and oil and gas production management services worldwide.”
We will achieve this by focusing on and committing to:
• Working in innovative partnerships with our customers
• Further developing our highly professional workforce
• Expanding our business and extending our horizons
Through these commitments, we will provide industry-leading value to our customers, employees and shareholders while remaining true to our core values
9
Core Values
Bristow’s values represent core beliefs about how to conduct business
– Safety – Safety first! – Quality and Excellence – Set and achieve high standards in everything we do– Integrity – Do the right thing– Fulfillment – Develop our talents and enjoy our work– Teamwork – Communicate openly and respect each other– Profitability – Make wise decisions and help grow the business
11
Where We Fit in the Industry
Energy Services Industry
OffshoreDrillersSeismic Transportation
EquipmentManufacturing
Bristow
HelicopterServices
Supply BoatsFundamentals which make our business less volatile:
•Primarily production based•Aircraft aftermarket for
excess capacity
OnshoreDrilling ProductionConstruction
ProductionManagement
Grasso
12
Oilfield Service Companies are Positioned in Different Parts of the E&P Spend Cycle
Seismic
Drilling
Service Companies
Engineering and PM
Equipment & Materials
Abandonment
Operations & Maintenance Removal
Exploration& Appraisal
CommercialDevelopment Production Operations (OPEX)
Fabrication Installation
Transportation
(Transportation required at all stages, but mainly for non-discretionary OPEX)
13
341 aircraft operating in 23 countries
Worldwide Presence
*Bristow has another 146 aircraft in our unconsolidated affiliates.
(as of December 31, 2006)
14
Organization
Helicopters(92%)
Bristow Group
Production Management
(8%)
WesternHemisphere
GrassoProd Mgmt
North America(28%)
S&C America(6%) Europe
(34%)West Africa
(16%)SE Asia
(9%)Other Int’l
(5%)EH Cent Ops
(2%)
U.S. GoM - 155
Alaska - 14
Trinidad - 14
Colombia - 3
Mexico - 11
Brazil - 7
Peru - 1
Aeroleo - 3
HC - 12
UK – 38
Netherlands - 2
Ireland - 3
Norway - 6
FBH - 60
Norsk - 6
LuftTransport Norway - 21
LuftTransport Sweden - 7
Nigeria - 48 Australia - 13
Malaysia - 1
Solomon Isles - 1
Russia - 10
Egypt - 2
Kazakhstan - 5
Mauritania - 2
India - 2
Turkmenistan - 1
Kenya - 2
Libya - 0
PAS - 36
SBAS - 1
Affiliated Aircraft
Operated Aircraft
Eastern Hemisphere
Operated AircraftBristow owns and/or operates341 aircraft through wholly-owned affiliates
Affiliated AircraftBristow affiliates and jointventures operate 146aircraft
CorporateSegment
Business UnitDivision
(No. of Aircraft)
CountryJoint Venture
(as of December 31, 2006)
15
Aircraft Fleet(at December 31, 2006)
Type Number Capacity Engine
Small Helicopters
Bell 206L-1 25 6 Turbine
Bell 206L-3 16 6 Turbine
Bell 206L-4 37 6 Turbine
Bell 206B 24 4 Turbine
Bell 407 39 6 Turbine
Bell 427 1 7 Twin Turbine
BK-117 1 7 Twin Turbine
BO-105 2 4 Twin Turbine
EC 120 9 4 Turbine
154
Medium Helicopters
Bell 212 15 12 Twin Turbine
Bell 412 36 13 Twin Turbine
EC 155 8 13 Twin Turbine
Sikorsky S-76 A 36 12 Twin Turbine
Sikorsky S-76 C 18 12 Twin Turbine
113
Large Helicopters
ASS332L Super Puma 31 18 Twin Turbine
Bell 214ST 5 18 Twin Turbine
Sikorsky S-61 15 18 Twin Turbine
Sikorsky S-92 2 19 Twin Turbine
Mil 8 7 20 Twin Turbine
EC 225 4 25 Twin Turbine
64Fixed Wing 10Consolidated 341
Unconsolidated 146
Next Generation Aircraft
17
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
4.5
5.0
2002 2003 2004 2005 2006
Glob
al ca
ledar
year
accid
ent r
ate p
er 10
0,000
flig
ht h
ours
Bristow Western Hemisphere Average 1.47
Gulf of Mexico Industry Average 2.40
Bristow Eastern Hemisphere Average 0.83
North Sea Industry Average 0.81
Bristow Total Average 1.32
US Civil Aviation Average 5.81
Strong Safety Record
20% of management’s incentive compensation is safety based
Five Year Average # of Incidents per 100,000 flight hours(Bristow data 2002-2006; other industry data latest five years)
18
Our Business Model – Helicopters
1 Fly crews and light cargo to production platforms and drilling rigs
2 Contracts are a monthly retainer plus per hour fee; virtually no fuel risk3 Also rent aircraft
on spot market
4 Safe, satisfied customers more business
5 New customers
19
Resolving Regulatory Issues
Internal review is complete
Financial statements reflect all required restatements
SEC and DOJ investigations are ongoing– Self-reported to SEC– We are fully complying with all requests– In December 2006, we recorded a charge of $3,000,000
for costs and fees we currently expect to incur in connection with the resolution of the SEC investigation regarding the findings resulting from the Internal Review, a substantial portion of which relates to accumulated legal fees in connection with the investigation.
– There can be no assurance that the amounts currently recorded will be sufficient to resolve such matters or that such matters can ultimately be resolved until final action by the Commission.
1919
20
Recent Changes
• New culture
• Global fleet management
• Common standards for quality and safety
• Geographic Business Units
• Strengthen customer relationships at corporate level
• New corporate name
• New management and corporate functions
2020
21
Senior Management Team
Bill ChilesPresident and Chief
Executive Officer
July 2004
Bill ChilesPresident and Chief
Executive Officer
July 2004
Mark DuncanSenior Vice President
Global BusinessDevelopment *
Jan 2005
Mark DuncanSenior Vice President
Global BusinessDevelopment *
Jan 2005
Bill DonaldsonSenior Vice President
Grasso ProductionManagement
Bill DonaldsonSenior Vice President
Grasso ProductionManagement
Richard BurmanSenior Vice PresidentEastern Hemisphere
Business UnitOct 2004
Richard BurmanSenior Vice PresidentEastern Hemisphere
Business UnitOct 2004
Mike SuldoSenior Vice PresidentWestern Hemisphere
Business Unit
Mike SuldoSenior Vice PresidentWestern Hemisphere
Business Unit
Perry EldersExecutive Vice President& Chief Financial Officer
Nov 2005
Perry EldersExecutive Vice President& Chief Financial Officer
Nov 2005
Elizabeth BrumleyVice President &
Chief Accounting Officer
Nov 2005
Elizabeth BrumleyVice President &
Chief Accounting Officer
Nov 2005
Joe BajVice President &
Treasurer *
July 2005
Joe BajVice President &
Treasurer *
July 2005
Bill HopkinsVice President
Human Resources,Quality & Safety *
Sept 2004
Bill HopkinsVice President
Human Resources,Quality & Safety *
Sept 2004
Randy StaffordVice President
General Counsel &Corporate Secretary *
May 2006
Randy StaffordVice President
General Counsel &Corporate Secretary *
May 2006
Gavin SinclairVice PresidentCompliance *
Jan 2005
Gavin SinclairVice PresidentCompliance *
Jan 2005
White – New employees who joined since July 2004* Six New Corporate Functions
Mike MeyerVice President
Global Supply Chain &Information Technology *
Mike MeyerVice President
Global Supply Chain &Information Technology *
22
Agenda
22
• Bristow Group overview
• Market dynamics
• Financial highlights
• Strategy going forward
22
23
RegulatoryEnvironment
Focus
U.S.
Non-U.S.
Regional Global
Uniquely Positioned vs. Competitors
CHCHelicopter
Corporation
PHI, Inc.
RotorcraftLeasing
ERA
Bond
24
Positioned Strongly Within Our Industry
99
166
248
330
0
50
100
150
200
250
300
350
Bristow CHC PHI Seacor/ERA
Number of aircraft servicing oil and gas industry only
* Excludes 11 consolidated SAR aircraft and 146 unconsolidated aircraft
*
Source: Bristow Group Inc.December 2006
(as of December 31, 2006)
25
Factors Impacting the Business
• Demand for services strongly dependent upon production and OPEX:– Production activity (~8,800 platforms globally; 4,000 in the U.S Gulf of Mexico)– Exploration activity (~520 rigs globally, 130 in the U.S. Gulf of Mexico)
• Customer expansion internationally favors providers with the broadest global reach
• Mature Markets (Gulf of Mexico and North Sea) remain important– Gulf of Mexico:
• Almost a third of the shallow water and deepwater leases• About half shallow water and half deepwater• 28% of future drilling permits
− 1/3 shallow water− 2/3 deepwater
− North Sea:− Production exploitation is driving business− Rates structures support incremental capital− Customers demanding new equipment
• Helicopters can be sold into the secondary market:– Air medical − Tourism − Corporate transportation– Fire fighting − Traffic monitoring − Police and military
• Cyclical, but generally less so than other oilfield service sectors
• Numerous regional competitors,but only one global competitor
• Weather and seasonalitycan affect operations
26
Agenda
26
• Bristow Group overview
• Market dynamics
• Financial highlights
• Strategy going forward
26
27
Steady Revenue Growth
Fiscal Year ended March 31 (in millions)
$197
$427 $466$417
$519 $553$602 $617
$674$769
$6691
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
19%CAGR19%CAGR
27
1. Nine months ended December 31, 2006
341331320332335345335302295301288Aircraft
223K273K243K249K251K257K248K211K228K233K141KFlight hours
28
Growth in Net Income
Fiscal Year ended March 31 (in millions)
$21
$31
$21
$9
$28
$42 $40
$52$58
$472 $501
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
14%CAGR14%CAGR
28
1. Includes $16M pension curtailment gain2. Nine months ended December 31, 2006
29
Growth in Net Income (EPS)
Fiscal Year ended March 31
$1.05$1.35
$0.97
$0.42
$1.25
$1.75 $1.67
$2.21$2.45
$1.802
$2.151
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
12%CAGR12%CAGR
29
1. Includes $16M pension curtailment gain2. Nine months ended December 31, 2006; includes effect of preferred stock offering
30
Strong Balance Sheet and Cash Flow
• Cash on hand at Dec 31, 2006: $220M
• EBITDA of $149.7M (LTM Dec 31, 2006)1
• Undrawn borrowing capacity ($100M revolving credit facility)
Capitalization − $1.1 billion(December 31, 2006)
Leverage 23%
30
1. EBITDA = Net Income ($64.6M) + Income Taxes ($30.9M) + Interest Expense ($12.1M) + Depreciation & Amortization ($42.2M)
$849 millionEquity
$260 millionDebt
Liquidity
31
Agenda
31
• Bristow Group overview
• Market dynamics
• Financial highlights
• Strategy going forward
31
32
1 Integrate to Drive Revenue Growth
• Created new corporate structure– Legacy: 3 separate companies– Common global standards for quality and
safety– Centralized financial reporting structure– Management team now in place
• Now have global coordination of:– Fleet management based on ROCE– Purchasing, maintenance, quality controls
Helicopters ProductionManagement
Western Eastern
• North America
• South and Central America
• Europe• West Africa• S.E. Asia• Other Int’l• E.H. Cent.
Operations
32
Grasso
33
2 Expand Share in Regional Markets
• Leverage existing presence in all regions
• Expand current fleet and position Bristow in growth markets
• Evaluate acquisition opportunities that strategically fit Bristow’s business model
Opportunities for Growth
• Southeast Asia• South America• Africa• Arctic
33
34
Aircraft Capital Expenditures – New Equipment
$86
$141
$189
$84
$163
$23 $24 $37
$119
$49
$103
$8
$108
$0
$50
$100
$150
$200
$250
$300
2005 2006 2007 2008 2009 2010 2011-13
Mill
ions
OptionsOrderedActual
Fiscal Year ended March 31
$281 $282
$126$145
(as of December 31, 2006)
$73
Excludes order for 3 new EC 225s for $64M and options for 8 EC 225s
35
Fleet Additions – New Equipment
19
3 36
12
6
14
16
18
26
113
0
5
10
15
20
25
30
2005 2006 2007 2008 2009 2010 2011-13
Airc
raft
Options-35Ordered-42Actual
Fiscal Year ended March 31
22
15
20
* 7 large, 17 medium and 3 small helicopters
27 *
(as of December 31, 2006)
9
Excludes order for 3 new EC 225s for $64M and options for 8 EC 225s
36
New Aircraft Requirements 2007-2011 (All Visible Bids) – Bristow Customers and Markets
Total = 253 (42% incremental)Source: Bristow Group Inc.
December 2006
34
9 4
2
56
2
13 14 624
16
38
6
4
25
49
145
59
Small Medium Large
37
0%
20%
40%
60%
80%
100%
120%
140%
160%
Dec01
Jun02
Nov Apr03
Sep Feb04
Jul Dec May05
Oct May06
Aug Dec06
Value Below Benchmark Index
5-year comparison BRS versus OSX
+122%
+108%
Management equity compensation (Restricted Stock Units) vests based on stock appreciation
OSX
BRS
38
Why Invest In Bristow
3838
Leader in providing helicopter transportationservices to the global offshore oil industry
– Operating in 23 countries
Profitable and stable earnings profile– 10 year CAGR in EPS of 12%
Identified aircraft expansion program– Based on improved industry fundamentals
Clear strategy– Integrate business lines– Grow business by leveraging global footprint
Significant historical achievements– Acquired Bristow Helicopter - 1996– Safety improvements – 2001 forward– Conservatively capitalized