| Gulf Island Fabrication, Inc. | |||
| Ticker: | GIFI | 583 Thompson Road | |
| Exchange: | NASDAQ-National Market | Houma, LA 70363 | |
| Industry: | Manufacturing (SIC Code 3441) | (504) 872-2100 | |
| Type of Shares: | Common Shares | Filing Date: | 2/14/97 | |
| U.S. Shares: | 2,000,000 | Offer Date: | 4/3/97 | |
| Non-U.S. Shares: | 0 | Filing Range: | $14.00 - $16.00 | |
| Primary Shares: | 2,000,000 | Offer Price: | $15.00 | |
| Secondary Shares: | 0 | Gross Spread: | $1.05 | |
| Offering Amount: | $30,000,000 | Selling: | $0.63 | |
| Expenses: | $400,000 | Reallowance: | $0.10 | |
| Shares Out After: | - |
| Manager | Tier | Phone |
| Morgan Keegan & Company, Incorporated | Lead Manager | (901) 529-5357 |
| Johnson Rice & Company | Co-manager | (504) 525-3767 |
| Raymond James & Associates, Inc. | Co-manager | (813) 573-8108 |
| Issuer's Law Firm: | Jones, Walker,Waechter, Poitevent Carrere & Denegr |
| Bank's Law Firm: | Andrews & Kurth |
| Auditor: | Price Waterhouse |
Dollar amounts in U.S. millions except for per share data | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Unaudited Income | Balance Sheet | ||
| 12/31/96 | 12/31/96 | ||||
| Revenue: | $79.00 | Assets: | $46.03 | ||
| Net Income: | $7.29 | Curr Assets: | |||
| EPS: | Liabilities: | $36.79 | |||
| Prior EPS: | Curr Liabilities: | ||||
| Cash Flow/Oper: | $7.16 | Equity: | $9.24 | ||
| Cash Flow/Fin: | Cash: | ||||
| Cash Flow/Inv: | |||||
| Business Description |
| The company is a leading fabricator of offshore drilling and production platforms and other specialized structures used in the development and production of offshore oil and gas reserves. Structures and equipment fabricated by the company include jackets and deck floating production platforms, piles, wellhead protectors, subsea templates and various production, compressor and utility modules. The company believes it is one of only three domestic companies capable of fabricating offshore production platforms for installation in water depths greater than 300 feet. The company's focus on controlling costs and providing high-quality, reliable products and services has enabled it to be profitable for each year since 1988. Demand for the company's products and services are primarily a function of the level of offshore oil and gas activity in the U.S. Gulf of Mexico and, to a lesser extent, offshore areas in West Africa and Latin America. |
| Competition |
| The offshore platform fabrication industry is highly competitive and influenced by events by events largely outside of the control of offshore platform fabrication companies. Although oil and natural gas prices have generally increased since late 1994, a s a result of the substantial declines in oil and gas prices in 1992, 1993 and parts of 1994, many oil and gas companies significantly decreased their expenditures for development projects in the Gulf of Mexico during those years. |
| Business Plan |
| The company's growth strategy is to capitalize on the positive trends and opportunities in the offshore fabrication and construction industry. Key elements of the company's growth strategy are to: 1) increase production capacity; 2) maintain a low cost structure; 3) acquire related businesses; 4) pursue additional international opportunities. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used to repay indebtedness, to fund a distribution to the company's current shareholders in connection with the termination of the company's S Corporation status, working capital and for general corporate purposes. |