News
October 10, 2005

McDermott International, Inc. (NYSE:MDR) ("McDermott") announced on September 30, 2005 that The Babcock & Wilcox Company ("B&W") and certain of B&W's subsidiaries, together with the Asbestos Claimants' Committee and the Legal Representative for Future Asbestos-Related Claimants, have filed a Joint Plan of Reorganization and Summary Disclosure Statement with the Honorable Judge Jerry A. Brown in the United States Bankruptcy Court for the Eastern District of Louisiana. The Court has scheduled a hearing to consider approval of the Disclosure Statement on October 26, 2005.

"Filing the Joint Plan of Reorganization and Summary Disclosure Statement with the Bankruptcy Court is a critical step in B&W exiting from bankruptcy and achieving our goal of reconsolidating its operations," said Bruce W. Wilkinson, Chairman and Chief Executive Officer of McDermott. "I am pleased that all constituent groups were able to quickly document our previously announced revised settlement terms into this new plan of reorganization. We now expect to advance the process forward in the Courts, with our shareholders and with B&W's claimants in accordance with our previously announced timetable."

McDermott International, Inc. is a leading worldwide energy services company. McDermott's subsidiaries provide engineering, fabrication, installation, procurement, research, manufacturing, environmental systems, project management and facility management services to a variety of customers in the energy and power industries, including the U.S. Department of Energy.

Assisting McDermott Incorporated, the parent of the debtor, The Babcock & Wilcox Company, were Jenner & Block Partners Daniel R. Murray and Jacob I. Corré and Associate Andrew J. Olejnik.