20 jun-17 rdc investor-presentation

Rowan Strong: Safe. Reliable. Efficient.
June 20, 2017
1

Company Overview & Investment Highlights
Market Dynamics
Delivering Value

Forward-Looking Statements
Statements herein that are not historical facts are forward looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995, including, without limitation, statements as to the
expectations, beliefs and future expected business, financial and operating performance and prospects of
the Company. These forward-looking statements are based on our current expectations and are subject to
numerous risks, assumptions, trends and uncertainties that could cause actual results to differ materially
from those indicated by the forward-looking statements.
Among the factors that could cause actual results to differ materially include oil and natural gas prices and
the impact of the economic climate; changes in the offshore drilling market, including fluctuations in
supply and demand; variable levels of drilling activity and expenditures in the energy industry; changes in
day rates; ability to secure future drilling contracts; cancellation, early termination or renegotiation by our
customers of drilling contracts; customer credit and risk of customer bankruptcy; risks associated with
fixed cost drilling operations; unplanned downtime; risks related to our joint venture with Saudi Aramco;
cost overruns or delays in transportation of drilling units; cost overruns or delays in maintenance, upgrade,
repairs, or other rig projects; operating hazards and equipment failure; risks of collision and damage;
casualty losses and limitations on insurance coverage; weather conditions in the Company's operating
areas; increasing costs of compliance with regulations; changes in tax laws and interpretations by taxing
authorities; hostilities, terrorism, and piracy in our areas of operations that may result in loss or seizure of
assets or interruption of operations; impairments; a cyber incident which impairs our ability to conduct
operations; the outcome of disputes, including tax disputes and legal proceedings; and other risks
disclosed in the Company's filings with the U.S. Securities and Exchange Commission.
Each forward-looking statement speaks only as of the date hereof, and the Company expressly disclaims
any obligation to update or revise any forward-looking statements, except as required by law.
3

Rowan is well positioned to navigate the current challenging market and
capitalize on investments to improve our return on capital
Rowan is well positioned to navigate the current challenging market and
capitalize on investments to dramatically improve our return on capital
(1) Estimate as of 2Q 2017
(2) Ultra-deepwater (UDW) refers to floating drilling rigs rated for water depths of 7,500 feet or greater
(3) High-specification defined as rigs with a two million pound or greater hookload capacity
Company Overview
• RDC: NYSE-listed
• ~2,700 direct employees worldwide(1)
• 29 offshore drilling units
• 4 UDW(2) drillships
• 23 Active Jack-ups
• 19 High-Specification(3)
• 4 Premium
Investment Highlights
• ARO Drilling - groundbreaking partnership
with Saudi Aramco creates long-term
growth
• Competitive differentiation in drilling
demanding wells
• Modern, high-specificationfleet
strategically positioned in global markets
• Experienced and proven workforce &
processes focused on performance
• Backlog diversified among premium
customer base, geographic regions, and
asset types
• Strong & flexible financial position
4
COMPANY OVERVIEW & INVESTMENT HIGHLIGHTS MARKET DYNAMICS DELIVERING VALUE

Rowan has evolved into a pure play, high-specification offshore driller
5

ARO Drilling: Groundbreaking partnership with Saudi
Aramco creates long-term growth
6

7
Key Investment Takeaways:
• Partnering with the largest customer for jack-ups in the world in largest
market for jack-ups in the world
• High utilization for contributed assets (five from Rowan & two from Saudi
Aramco) for the remainder of their useful lives
• Opportunity to contract additional assets to new company through
agreed leasing structure
• Strong visible organic growth – twenty newbuilds against long term
contracts. Expected returns are commensurate to Rowan’s target for
similar risk profile opportunities
• Expect to generate substantial long term cash flow

8
 Rowan and Saudi Aramco will form a 50/50 joint venture to own and operate jack-
up drilling rigs in Saudi Arabia. The new company will operate independently with a
separate dedicated management team, ensuring an arm’s length relationship.
 Rowan named Kelly McHenry as CEO and head of operations; Saudi Aramco has
named Chairman and CFO.
 In 2017, Rowan contributes the Gilbert Rowe, the Bob Keller, the J.P. Bussell,
related inventory and local shorebase operations; Saudi Aramco contributes their
two rigs, SAR-201 and SAR-202, related inventory and additional cash to make up
the difference in value of asset contributions between the partners.
 In late 2018, Rowan contributes the Hank Boswell and the Scooter Yeargain as they
complete their current contracts, and Saudi Aramco will contribute equivalent value.
 The new company will also manage Rowan’s other (non-contributed) rigs in Saudi
Arabia until their current contracts expire, when the new company may lease the
rigs from Rowan as needed.
 The new company plans to order up to 20 rigs to be delivered over ten years,
beginning as early as 2021, to meet offshore drilling demand in the Kingdom.
 Rig orders will be supported by contracts from Saudi Aramco as the customer, at
defined returns commensurate to similar risk profile opportunities.
 Both partners intend for the new company to be self and externally funded. No
additional equity injections are expected (although both Saudi Aramco and Rowan
remain fully committed to the success of the new company).
Scope:
50/50 JV
Contributions:
Five Rigs from
Rowan & Two
Rigs From Saudi
Aramco
Newbuild
Growth

Competitive: Rowan is focused on demanding drilling services
“Our mission is to be recognized by our customers as the most
efficient and capable provider of demanding contract drilling services”
Rowan ranks #1 among
offshore drillers for HPHT
applications in six out of
the last seven Energypoint
Research Inc. surveys
Rowan’s Demanding Drilling Achievements:
9

High-Specification: Rowan has a leading position in high-spec jack-ups
10

0
2
4
6
8
10
12
14
16
18
20
19Rowan High-Spec
Jack-ups
Customers Demand
Higher-Specification Rigs
• Flexibility to address technical
needs across diverse wellbore
portfolios
• Focus on achieving lower
wellbore costs
• Comply with higher regulatory
standards
• Rowan specializes in rigs that
have:
• 2,000,000+ lb hookload
capability
• Rugged and reliable legs and
jacking systems
• Efficient, high pressure drilling
systems
Number of Delivered High-Specification Jack-ups *
* Approximately 50 additional high-specification jack-ups are currently on order or under construction.
Includes data supplied by IHS-Petrodata, Inc. Copyright 2017 and Rowan Companies as of June 19, 2017.
High-Specification: Rowan has a leading position in high-spec jack-ups
11

High-Specification: Rowan’s ultra-deepwater drillships are best-in-class
12

Best-in-Class Specifications:
• 1,250 ton hookload
• Dual 7-ram blowout preventers
• Managed Pressure Drilling capable
• Advanced Riser Gas Handling
• 12,000 ft water depth equipped
• IMO Tier III emissions compliant
Few rigs possess the specifications required for today’s
demanding wells and tightening regulations
13
105
16 32
166
1,250 tons
Dual BOP
1,250 tons
Single BOP
1,000 tons750 tonsAll UDW
Under 20% of UDW Rigs*
High-Specification: Rowan’s ultra-deepwater drillships are best-in-class
13
* Includes data supplied by IHS-Petrodata, Inc; Copyright 2017; Rowan estimate, excludes eighteen 1,000-ton and twenty-two 1,250-ton newbuilds; as of 2Q 2017

$60 $150
$1,289
$0
$209
$657
$398
$500
$400 $400
$0
$250
$500
$750
$1,000
$1,250
$1,500
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2042 2043 2044
USDMillions
Revolver Due
Purchased via Tender**
Purchased in Open Market
Current Bond Debt
Strong Financial Position: Our robust balance sheet and highly visible
runway bolster our financial health through the cycle
• Strong balance sheet provides the ability to invest counter-cyclically to
significantly improve our return on capital
• Retired ~$740 million of debt since 4Q 2015, while issuing $500 million of
unsecured debt not due until 2025
• Attractive debt maturity profile with significant untapped borrowing capacity
available from $1.5B revolver*
• Current cash balance combined with our untapped revolver exceeds our total
outstanding debt
*As of March 24, 2017; availability under the facility is $1.5 billion through January 23, 2019, declining to $1.44 billion through January 23, 2020, and to
approximately $1.29 billion through the maturity in 2021. All debt is unsecured.
**Following the tender offer, the remaining ~$92 million of the 2017 bonds were retired on February 8, 2017 .
14
7.875% 4.875% 4.750% 7.375% 5.400% 5.850%

16
2017
2018
2019+
• Despite recent weakness in crude oil prices, 2017 has been
broadly supportive of an increase in drilling activity; however,
more favored to onshore shale drilling in North America
• We believe jack-up demand is likely to steadily increase
throughout the year
• Floater demand expected to lag behind jack-ups and bottom
in 2018
• Most opportunities for Rowan ships commence in early 2018
• Improvements in dayrates not anticipated until later in the
decade. Historically, marketed utilization must return to ~85%
for pricing power
• Attrition is needed to help the supply / demand balance
Outlook: In 2017, although far from a recovery, we are starting to see
some market improvement

* Includes data supplied by IHS-Petrodata, Inc., Copyright 2017; and Rowan Analysis; attrition graph as of June 19, 2017.
Roll-off of Contracted Floater Fleet
0
50
100
150
200
250
YE’25
YE’17
YE08
YE07
YE13
YE’16
YE’18
YE’19
YE06
YE09
YE’22
YE’20
YE14
YE10
YE12
YE15
YE’23
YE11
YE’24
YE’21
• 2017 brings a dramatic
increase in roll-offs of
contracts signed in the
2011 to 2014 up cycle
• 31% of all floaters are
older than 20 years; they
currently represent 25%
of working floaters
• New contracts expected
to favor modern rigs;
older rigs will be much
less competitive, unless
they have a “niche”
• Cumulative Attrition: 75
• 20 of the potential 51
candidates for attrition
are 2,000’ WD or greater.
Their retirement could
improve supply / demand
balance for 6th and 7th
generation floaters
17
Fleet Pre 1996 - Existing Contracts
Fleet Post 1996 - Existing Contracts
Contracted Rig Demand (Estimated)
Contracted Rig Demand (Actual)
Floaters: In 2017, there is a substantial roll off of the current floater
contracts; we believe this will force attrition of remaining older rigs
Cumulative
Attrition
Attrition: Cumulative Actual & Potential
Cold Stacked
> 20 yrs
Warm Stacked
> 20 yrs
75
33
18
0
20
40
60
80
100
120
140
2014 2015 2016 2017 YTD Attrition
Potential

Jack-ups: In 2017 there is a substantial roll off of the current jack-up
contracts; we believe this will force attrition of older rigs
• 2017 brings a dramatic
increase in roll-offs of
contracts signed in the
2011 to 2014 up cycle
• 52% of all JUs are older
than 20 years; they
currently represent 43%
of working JUs
• Less technical
obsolescence than in
floater market
• Cumulative Attrition: 38
• We believe ~160 more
units need to be removed
from the market to
support a healthy supply /
demand balance
18
Roll-off of Contracted Jack-up Fleet
0
50
100
150
200
250
300
350
400
YE15
YE’17
YE14
YE’18
YE’19
YE’20
YE’21
YE’16
YE’22
YE’23
YE’24
YE’25
YE11
YE10
YE09
YE08
YE07
YE06
YE12
YE13
Pre 1996 JUs - Existing Contracts
Post 1996 JUs - Existing Contracts
Contracted Rig Demand (Actual)
Contracted Rig Demand (Estimated)
** Jack-ups with two million pound or greater hookload
*Includes data supplied by IHS-Petrodata, Inc., Copyright 2017; and Rowan Analysis; attrition graph as of June 19, 2017.
Cumulative
Attrition
Attrition: Cumulative Actual & Potential
Cold Stacked
>20 yrs
Warm Stacked
> 20 yrs
Hot Stacked
> 20 yrs
38
69
54
18
0
50
100
150
200
2014 2015 2016 2017 YTD Attrition
Potential
Attrition needed for
supply / demand balance

Repeatable excellence: We are systematically driving performance
across the company
20
Major Areas of Focus in Driving Performance
Drive WASTE out of our operations
• Applying LEAN philosophy to identify & eliminate waste
in our onshore and offshore operations
• Advancing a performance program to improve drilling
efficiency & using analytics to harvest data to drive
performance and lower costs
Control spend and focus on capital allocation
• Reduce drilling expense by improving procurement
effectiveness: centralize and optimize all spend
• Strong inventory control through rigorous data analytics
• Implementing a fleet-wide state-of-the-art maintenance
system for improved reliability and to optimize
maintenance spending
Much of our cost is personnel-related
• Preserve key talent through high-grading of onshore and
offshore workforce; use of an aggressive bump back
strategy to preserve our talent in this downturn
• Reduce overhead costs (SG&A and a portion of drilling
expense) by improving the efficiency and cost of
business support functions
Analyzing variance in performance of drilling crews

Optimized capital allocation: Rowan has an unrelenting focus on
improving long-term return on invested capital
Rowan will consider all capital allocation options, but remains committed to
maintaining an attractive credit profile and financial flexibility.
During the current challenging business environment, we favor:
Strong Liquidity
 Currently have a cash balance of approximately
$1.2 billion
Debt Reduction
 Retired ~$740 million of debt since 4Q 2015,
while issuing $500 million of unsecured debt
not due until 2025
Opportunistic Asset Investments
 We continue to evaluate opportunistic
investments in assets
 Investments at attractive prices in the bottom
of the cycle should generate superior returns
Available
Capital
Allocation
Options
Preserve Liquidity
Dividends/
Share Repurchases
Asset Investments
Retire Debt
21

Worldwide marketed* jack-up utilization is 70%
* Excludes Cold Stacked / Out of Service units
Includes data supplied by IHS-Petrodata, Inc; Copyright 2017 as of June 19, 2017
Marketed Supply: 459 units
US GOM
53%
19 Rigs
Mexico
57%
44 Rigs C&S Am
55%
11 Rigs
W. Africa
80%
10 Rigs
North Sea
67%
46 Rigs
Middle East
71%
164 Rigs
India
78%
40 Rigs
SE Asia
71%
56 Rigs
Australia
100%
1 Rig
Mediterranean
80%
15 Rigs
23
APPENDIX

24
Jack-ups: Throughout the market cycles, newer higher specification
drilling units provide higher levels of utilization
* Jack-ups with two million pound or greater hookload
64 units
118 units
148 units
135 units
20
40
60
80
100
IS, MS, MC <300'IC 300'IC 350'+ IC High Spec*
%
Worldwide Jack-up Total Utilization by Rig Class
55 units
APPENDIX

Worldwide marketed* UDW** utilization is 75%
Marketed Supply: 126 units
*Excludes Cold Stacked / Out of Service units
**UDW includes semis and drillships with a rated water depth of 7500’+
Far East
75%
4 Rigs
W. Africa
68%
28 Rigs
C&S Am
85%
33 Rigs
Mexico
80%
5 Rigs
USA
70%
30 Rigs
E. Canada
100%
1 Rigs
North Sea
86%
7 Rigs
Mediterranean
80%
5 Rigs SE Asia
55%
11 Rigs
25
APPENDIX

26
Floaters: Throughout the market cycles, higher specification drilling
units provide higher levels of utilization
40
60
80
100
<5,000' 5,000'-7,499' 7,500'+ / <1,250 tons 7,500'+ / 1,250+ tons
%
Includes data supplied by IHS-Petrodata, Inc; Copyright 2017, as of June 20, 2017
Worldwide Floater Total Utilization by Water Depth / Hookload
62 units
103 units
80 units
34 units
26
APPENDIX

Considerable improvement in operational performance and
EBITDA margins over the last three years
$ in millions
Operational Performance has improved
while costs have been reduced
From initial 2015 guidance issued in
November 2014 – Current*:
• Best safety performance on
record in 2015 and 2016
• Downtime held essentially flat
while delivering our final two
drillships
280
135
1,145
98
638
-54%
-28%
-44%
Non-newbuild
Capex
128
SG&ADrilling Expense
Midpoint of Current Guidance for 2017
Midpoint of Initial Guidance for 2015
USDmillions
* As of May 2, 2017; some portion of Drilling Expense reduction is due to the formation of the new drilling company with Saudi Aramco
27
APPENDIX

APPENDIX
28
Rowan Guidance as of May 2, 2017
Key metrics:
FY 2016
Actual
4Q 2016
Actual
1Q 2017
Actual
2Q 2017
Projected
FY 2017
Projected
Jack-up Operational
Downtime
(unbillable)
1.4% 1.5% 2.6% ~2% ~2%
Drillship Operational
Downtime
.1% 0% 0% ~5% ~5%
Contract Drilling Expenses
(excluding rebills)
$950 MM $174 MM $166MM ~$165MM
$625 - $650
MM(1)
SG&A $102 MM $26 MM $24MM ~$26MM $95 - $100MM
Depreciation $403 MM $102 MM $99MM Not Guided $385 - $395MM
Interest Expense,
Net of Capitalized Interest
$156 MM $39 MM $40MM Not Guided $155 - $160MM
Effective Tax Rate
(normalized)
Low single
digits
--
Income Tax
Expense
$30MM
Income Tax
Expense
~$50MM
Capital Expenditures $118 MM $29 MM $31MM Not Guided $125 - $130MM
(1) Rowan expects to incur full-year 2017 drilling expense of between $625MM and $650 MM, depending upon whether certain idle rigs secure additional work.

Investor Relations Contact:
Carrie Prati
Director, Investor Relations
carrie.prati@rowancompanies.com
+1 713 960 7581
29

20 jun-17 rdc investor-presentation

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