American Oilfield Divers, Inc.

Growing market demand, management’s strategies in cost-cutting, expansion, and diversification provide opportunities for higher future earnings. The company has achieved 25% increase in revenue and $4.69 million net income during the first 9 months of 1996.
AOD is the largest supplier of diving services for customers operating in Gulf of Mexico (38% market share), West Coast, and inland where it provides pipeline and platform construction, inspection, maintenance, repair, and salvage services.
Management woks toward international expansion in West Africa and Middle East, with benefits in counter-seasonal earnings, turnkey project management opportunities, and synergy with sub-sea products division. Management controls 45% of the stock and has a strong incentive to raise the share value.
Acquisition of Hard Suits, Inc. will expand AOD’s capacities to deep water services and to larger projects. Project Management will shift to a combination of engineering and construction expertise.
Operation results also depends on price of oil and gas, weather, and customers’ capital expenditures.