Newest GaN-based devices provide up to 100 W of power and support applications from USB PD adapters to auxiliary power supplies for appliances

SAN JOSE, Calif.--(BUSINESS WIRE)--#GaN--Power Integrations (Nasdaq: POWI), the leader in high-voltage integrated circuits for energy-efficient power conversion, today announced that shipments of the groundbreaking InnoSwitch™ family of ICs have surpassed one billion units. Launched in 2014, the InnoSwitch family was the first to incorporate Power Integrations’ innovative FluxLink™ communication technology, which provides highly accurate secondary-side control without the need for an optocoupler, resulting in exceptional energy efficiency, reliability and robustness.

InnoSwitch ICs, including the InnoSwitch3 family which launched in 2017, support a diverse range of power-supply applications including USB PD chargers, consumer electronics, PCs, displays, servers, appliances, industrial devices and automotive. The InnoSwitch product range has expanded to include a wide range of variants:

• InnoSwitch3-CP for USB PD and other constant-power applications
• InnoSwitch3-EP for major appliances and industrial power supplies
• InnoSwitch3-CE for IoT and high-current charger and adapters applications
• InnoSwitch3-MX for multi-output constant-voltage and constant-current applications such as displays
• InnoSwitch3-Pro, featuring I²C digital programmability of voltage and current
• InnoSwitch3-AQ, which is AEC-Q100 qualified for automotive applications

InnoSwitch devices incorporate a range of silicon transistor options from 650 V to 900 V, or Power Integrations’ PowiGaN™ 750 V gallium-nitride (GaN) switch technology, which enables power delivery up to 100 W at 95% efficiency without a heatsink.

Commenting on the billion-unit milestone, Power Integrations’ president and CEO Balu Balakrishnan said: “The InnoSwitch family set a new standard in power-conversion technology and hailed a paradigm shift in power-supply design. The expensive, complicated method of combining a primary-side controller and associated MOSFETs with a synchronous rectification controller has given way to a more highly integrated architecture that is simple, elegant, more reliable and more efficient. We are delighted by the market’s response to InnoSwitch ICs and proud to have shipped more than one billion units.”

InnoSwitch devices reflect Power Integrations’ commitment to delivering technology that achieves industry-leading performance while reducing energy consumption and curbing the use of hazardous materials in electronics manufacturing. Power Integrations makes it easy for customers to meet efficiency specifications such as the Chinese CSCC, ENERGY STAR^® and European Ecodesign Directive as well as compliance with materials standards such as RoHS and REACH.

Learn more about InnoSwitch devices and download reference designs at the Power Integrations website: https://ac-dc.power.com/products/innoswitch-family/.

About Power Integrations

Power Integrations, Inc. is a leading innovator in semiconductor technologies for high-voltage power conversion. The company’s products are key building blocks in the clean-power ecosystem, enabling the generation of renewable energy as well as the efficient transmission and consumption of power in applications ranging from milliwatts to megawatts. For more information please visit www.power.com.

Power Integrations, InnoSwitch, FluxLink, PowiGaN, and the Power Integrations logo are trademarks or registered trademarks of Power Integrations, Inc. All other trademarks are the property of their respective owner.

Media Contact
Diane Vanasse
Power Integrations
(408) 242-0027
This email address is being protected from spambots. You need JavaScript enabled to view it.

Press Agency Contact
Nick Foot
BWW Communications
+44-1491-636 393
This email address is being protected from spambots. You need JavaScript enabled to view it.

TULSA, Okla.--(BUSINESS WIRE)--Alliance Resource Partners, L.P. (NASDAQ: ARLP) today reported significant increases to financial and operating results for the quarter ended September 30, 2020 (the "2020 Quarter") on improved demand for coal and oil & gas compared to the quarter ended June 30, 2020 (the "Sequential Quarter"). On a consolidated basis, total revenues increased 39.4% to $355.7 million, net income rose 158.3% to $27.2 million and EBITDA climbed 146.4% to $118.8 million, all as compared to the Sequential Quarter. With improved coal demand and a resumption of production at all of ARLP’s mining complexes, our coal operations delivered increases to coal sales and production volumes of 48.5% and 66.6%, respectively, leading coal sales revenue and Segment Adjusted EBITDA higher by 42.1% and 113.8%, respectively, all as compared to the Sequential Quarter. Our Minerals segment also reported improved performance compared to the Sequential Quarter as oil & gas production and price per BOE increased 13.9% and 9.5%, respectively, to drive total revenues from oil & gas royalties and lease bonuses up by 23.9% and Segment Adjusted EBITDA higher by 29.3%. (Unless otherwise noted, all references in the text of this release to "net income (loss)" refer to "net income (loss) attributable to ARLP." For a definition of EBITDA and Segment Adjusted EBITDA and related reconciliations to comparable GAAP financial measures, please see the end of this release.)

Compared to the quarter ended September 30, 2019 (the "2019 Quarter"), financial and operating results for the 2020 Quarter continued to reflect the impacts of reduced global energy demand and weak commodity prices as a result of lockdown measures imposed in response to the COVID-19 pandemic. Total revenues of $355.7 million in the 2020 Quarter were lower compared to $464.7 million for the 2019 Quarter, primarily due to reduced coal sales volumes and prices. Reflecting the lower revenues partially offset by reduced total operating expenses, net income for the 2020 Quarter was $27.2 million, or $0.21 per basic and diluted limited partner unit, compared to $39.1 million, or $0.30 per basic and diluted limited partner unit, for the 2019 Quarter. EBITDA in the 2020 Quarter of $118.8 million was also lower compared to $123.1 million in the 2019 Quarter.

"As we expected, ARLP’s performance during the 2020 Quarter benefited from improved economic activity, increased coal demand and recovering oil & gas production volumes and prices," said Joseph W. Craft III, Chairman, President and Chief Executive Officer. "Our coal operations responded to increased customer requirements by successfully ramping up production to meet contractual commitments while effectively mitigating the impacts of COVID-19 through the enhanced health and safety protocols implemented earlier this year. Stronger commodity prices led oil & gas operators to bring previously shut-in wells back online and slowly resume drilling and completion of wells on our mineral interests. The continuing efforts of the entire organization to optimize cash flow, reduce working capital and control capital expenditures and expenses enhanced our financial position and liquidity. As a result, all of ARLP’s operating and financial metrics improved significantly during the 2020 Quarter."

Financial and Liquidity Update

Compared to the Sequential Quarter, ARLP’s free cash flow increased 79.0% to $103.0 million, which contributed to liquidity expanding by 41.4% to $422.2 million and total debt reductions of $100.8 million. With total leverage improving to 1.69 times at the end of the 2020 Quarter, compared to 1.82 times at the end of the Sequential Quarter, ARLP’s balance sheet remains strong and comfortably in compliance with all debt covenants, including its total leverage covenant of 2.5 times. (For a definition of free cash flow and related reconciliations to comparable GAAP financial measures, please see the end of this release.)

As previously announced, the Board of Directors of ARLP's general partner (the "Board") suspended the cash distribution to unitholders for the 2020 Quarter. At its quarterly meeting last week, the Board extended the suspension of distributions through the quarter ending December 31, 2020.

Consolidated Financial Results

Our financial and operating results for the 2020 Quarter and the nine months ended September 30, 2020 (the "2020 Period") continued to be impacted by reduced global energy demand, lower commodity prices and economic disruptions caused by the ongoing effects of the COVID-19 pandemic, compared to the 2019 Quarter and the nine months ended September 30, 2019 (the "2019 Period").

Three Months Ended September 30, 2020 Compared to Three Months Ended September 30, 2019

Total revenues for the 2020 Quarter decreased 23.5% to $355.7 million compared to $464.7 million for the 2019 Quarter. Operating expenses of $216.0 million for the 2020 Quarter were 22.4% lower compared to $278.3 million in the 2019 Quarter.

Coal Operations –

Coal sales volumes declined to 7.7 million tons in the 2020 Quarter compared to 9.3 million tons in the 2019 Quarter reflecting reduced export sales volumes. Coal sales price realizations fell by 3.3% in the 2020 Quarter due to lower priced thermal and metallurgical markets compared to the 2019 Quarter. Lower volumes and pricing resulted in a 20.1% decrease in coal sales revenues to $335.8 million compared to $420.0 million for the 2019 Quarter. Transportation revenues and expenses decreased to $6.2 million from $20.0 million primarily due to reduced coal shipments to international markets. Other revenues in the 2020 Quarter decreased by $6.8 million to $4.0 million primarily due to reduced sales of mining technology products by our Matrix Design subsidiary and lower volumes at our Mt. Vernon transloading facility.

ARLP’s focus on reducing coal inventories and matching production to meet customer requirements resulted in coal production of 7.2 million tons in the 2020 Quarter, a reduction of 28.5% compared to the 2019 Quarter. Operating expenses and outside coal purchases decreased 24.9% from the 2019 Quarter to $215.1 million, primarily as a result of lower coal production volumes.

Segment Adjusted EBITDA Expense per ton decreased 8.8% in the 2020 Quarter to $28.03 per ton, compared to $30.75 per ton in the 2019 Quarter. The decrease is attributed primarily to ongoing expense control initiatives at all operations, and, as discussed below in our segment results, a favorable sales mix from our lower cost mines and improved recovery percentages at certain operations. Costs per ton were further reduced by lower inventory costs and the absence of higher cost purchased tons sold at our Appalachian mines. These reductions were partially offset by higher excise and severance taxes per ton due to a $0.60 per ton increase in the federal black lung excise tax, effective January 1, 2020, and a greater mix of coal sales from operations in states with higher severance taxes per ton during the 2020 Quarter.

Lower coal sales revenues, partially offset by lower expenses, resulted in total Segment Adjusted EBITDA from our coal operations of $123.8 million in the 2020 Quarter, a 14.0% decline compared to $144.0 million for the 2019 Quarter. (For a definition of Segment Adjusted EBITDA and Segment Adjusted EBITDA Expense and related reconciliations to comparable GAAP financial measures, please see the end of this release.)

Minerals –

Primarily due to lower oil & gas sales prices in the 2020 Quarter compared to the 2019 Quarter, total revenues from oil & gas royalties and lease bonuses attributable to our mineral interests declined to $9.7 million from $14.2 million. Partially offsetting lower price realizations, revenues benefited from higher volumes as a result of the Wing Acquisition in August 2019. Our Minerals segment contributed Segment Adjusted EBITDA of $8.9 million for the 2020 Quarter, compared to a contribution of $12.2 million for the 2019 Quarter.

ARLP's expense reduction initiatives drove general and administrative expenses lower to $13.9 million in the 2020 Quarter, a reduction of 22.4% compared to the 2019 Quarter. Depreciation, depletion and amortization increased 10.8% to $80.2 million in the 2020 Quarter, primarily due to charges related to increased sales from coal inventory.

Comparative results for the 2020 Quarter were also impacted by a non-cash asset impairment charge of $15.2 million recorded in the 2019 Quarter due to the closure of our Dotiki mine.

Nine Months Ended September 30, 2020 Compared to Nine Months Ended September 30, 2019

Total revenues decreased 36.2% to $961.6 million for the 2020 Period compared to $1.51 billion for the 2019 Period. Lower revenues and a non-cash goodwill impairment charge of $132.0 million, partially offset by lower operating expenses, resulted in a net loss of $164.2 million, or $(1.29) per basic and diluted limited partner unit for the 2020 Period. This compares to net income of $373.6 million, or $2.86 per basic and diluted limited partner unit for the 2019 Period, which included a non-cash net gain of $170.0 million related to the AllDale Acquisition. Excluding the impact of non-cash items (each described in more detail below), Adjusted net income (loss) attributable to ARLP and Adjusted EBITDA for the 2020 Period decreased to $(7.2) million and $265.3 million, respectively, compared to $218.8 million and $472.9 million, respectively, for the 2019 Period. (For a definition of Adjusted net income (loss) attributable to ARLP and Adjusted EBITDA and related reconciliations to comparable GAAP financial measures, please see the end of this release.)

Coal Operations –

Due to reduced coal sales volumes and prices, coal sales revenues for the 2020 Period decreased 34.7% to $886.7 million, compared to $1.36 billion for the 2019 Period. Tons sold declined 32.5% to 20.1 million tons in the 2020 Period, primarily due to reduced shipments to international markets. Coal sales price realizations declined 3.1% in the 2020 Period to $44.03 per ton sold, compared to $45.46 per ton sold during the 2019 Period. Reduced export shipments also impacted transportation revenues and expenses, which declined $66.2 million to $16.7 million in the 2020 Period.

ARLP’s temporary idling of production at certain mines in response to weak market conditions during the 2020 Period, reduced coal production volumes to 19.5 million tons compared to 31.4 million tons during the 2019 Period. Primarily as a result of lower coal production volumes, combined operating expenses and outside coal purchases for our coal operations decreased 30.0% to $633.8 million. Segment Adjusted EBITDA Expense per ton increased 4.2% in the 2020 Period to $31.59 per ton, compared to $30.33 per ton in the 2019 Period. The increase is attributed primarily to the per ton cost impact of lower coal volumes and higher excise and severance taxes discussed above. Lower coal sales revenues, partially offset by lower expenses, resulted in total Segment Adjusted EBITDA from our coal operations of $276.9 million in the 2020 Period, a 42.6% decline compared to $482.7 million for the 2019 Period.

Minerals –

For the 2020 Period, our mineral interests contributed total revenues of $31.8 million from oil & gas royalties and lease bonuses, compared to $37.3 million for the 2019 Period. The decrease in revenues is primarily due to lower average product prices, partially offset by higher volumes resulting from the Wing Acquisition in August 2019, and continued drilling and development of our mineral interests. Comparative results between the 2020 and 2019 Periods were also impacted by a non-cash acquisition gain of $177.0 million, of which $7.1 million was attributable to non-controlling interest, related to the AllDale Acquisition during the 2019 Period. Our Minerals segment contributed net income of $4.5 million for the 2020 Period, compared to $174.9 million for the 2019 Period, which included the acquisition gain. Excluding the gain, Segment Adjusted EBITDA related to our Minerals segment decreased 8.9% to $29.5 million for the 2020 Period compared to $32.4 million for the 2019 Period.

General and administrative expenses decreased $14.1 million to $41.1 million in the 2020 Period as a result of ARLP's expense reduction initiatives. Compared to the 2019 Period, depreciation, depletion and amortization increased 7.8% to $237.7 million primarily due to charges related to increased sales from coal inventory and increased oil & gas production from our Minerals segment in the 2020 Period.

During the 2020 Period, we recorded $157.0 million of non-cash impairment charges, which included a $132.0 million goodwill impairment charge associated with our Hamilton mine and a $25.0 million asset impairment charge due to the permanent closure of our Gibson North mine and a decrease in the fair value of certain mining equipment and greenfield coal reserves. These non-cash charges reflect the impact of weak coal market conditions and reduced global energy demand resulting from the COVID-19 pandemic. During the 2019 Period, we recorded an asset impairment charge of $15.2 million due to the closure of our Dotiki mine.

As a result of the redemption by Kodiak Gas Services, LLC of our preferred equity interest for $135.0 million cash in the 2019 Period, ARLP did not realize equity securities income in the 2020 Period, compared to $12.9 million realized in the 2019 Period.

Compared to the 2019 Quarter, total coal sales volumes decreased 17.4% in the 2020 Quarter due to the impacts of the COVID-19 pandemic and reduced export shipments. Driven by improved coal demand during the 2020 Quarter, ARLP’s coal sales volumes increased across all regions compared to the Sequential Quarter. Higher volumes at all of our mines in the Illinois Basin increased coal sales volumes by 55.8% compared to the Sequential Quarter. In Appalachia, coal sales volumes increased 35.2% compared to the Sequential Quarter primarily due to higher sales from our Tunnel Ridge mine. Total coal inventory fell to 1.2 million tons at the end of the 2020 Quarter, a decrease of 1.3 million tons and 0.5 million tons compared to the end of the 2019 and Sequential Quarters, respectively.

In the Illinois Basin, coal sales price per ton in the 2020 Quarter was comparable to both the 2019 and Sequential Quarters. In Appalachia, price realizations decreased by 11.1% compared to the 2019 Quarter primarily due to weak market conditions and the absence of higher priced metallurgical coal sales in the 2020 Quarter. Coal sales price per ton sold in Appalachia during the 2020 Quarter decreased by 6.3% compared to the Sequential Quarter, primarily due to an increased sales mix of lower-priced Tunnel Ridge sales tons in the 2020 Quarter.

Total Segment Adjusted EBITDA Expense per ton decreased by 8.8% compared to the 2019 Quarter as a result of lower expenses per ton in both the Illinois Basin and Appalachian regions. In the Illinois Basin, Segment Adjusted EBITDA Expense per ton decreased 9.7% compared to the 2019 Quarter primarily as a result of reduced maintenance expenses per ton as well as lower materials and supplies expenses per ton. The reduced expenses reflect a greater mix of sales from lower cost River View production, the elimination of high cost Dotiki production in 2019 and improved recovery percentages at Gibson, partially offset by reduced total coal production volumes from the region. In Appalachia, Segment Adjusted EBITDA Expense per ton decreased 10.8% compared to the 2019 Quarter as a result of improved recoveries at our Mettiki and Tunnel Ridge mines, lower maintenance expenses across the region, lower inventory costs and the absence of higher cost purchased tons sold. Compared to the 2019 Quarter, expenses per ton for both segments were impacted by higher excise and severance taxes as discussed above. Sequentially, Segment Adjusted EBITDA Expense per ton decreased 26.0% in the Illinois Basin as a result of significantly higher volumes in the 2020 Quarter. In Appalachia, Segment Adjusted EBITDA Expense per ton decreased 13.6% compared to the Sequential Quarter due to higher sales volumes and an increased sales mix of lower-cost Tunnel Ridge production in the 2020 Quarter. Compared to the Sequential Quarter, both regions benefited from lower inventory costs per ton in the 2020 Quarter.

Segment Adjusted EBITDA for our Minerals segment decreased 27.1% to $8.9 million in the 2020 Quarter compared to $12.2 million in the 2019 Quarter primarily due to lower sales price realizations per BOE resulting from reduced demand amid the COVID-19 pandemic, partially offset by higher volumes, which increased 8.1% compared to the 2019 Quarter primarily as a result of production from the additional mineral interests acquired in the Wing Acquisition. Compared to the Sequential Quarter, Segment Adjusted EBITDA increased 29.3% due to higher price realizations and volumes, which increased by 9.5% and 13.9%, respectively.

Outlook

"Looking ahead, we remain cautiously optimistic," said Mr. Craft. "Our customers experienced strong coal burn during the 2020 Quarter and with a higher forward price curve for natural gas heading into the heating season, we currently estimate coal burn for the 2020 fourth quarter will be even better. As a result, we continue to expect total coal sales of approximately 28.0 million tons this year. Several utilities have recently issued solicitations seeking significant coal supply commitments for multi-year terms. ARLP currently has priced contract commitments for approximately 20.0 million tons in 2021 and, in anticipation of higher natural gas prices and improved energy demand, we are targeting total sales volumes for next year approximately 10.0% above 2020 levels."

Mr. Craft continued, "We currently anticipate results from our Minerals segment will improve modestly during the fourth quarter of 2020 as virtually all shut-in production on our acreage has been brought online and drilling and completion activity and commodity prices are expected to gradually recover. These favorable trends should be constructive for our operators as they establish their capital allocation and development plans for 2021. With our minerals strategically located in key basins, ARLP is well positioned to benefit from improved pricing for oil, natural gas and natural gas liquids and the increases in drilling and completion activity anticipated in 2021."

A conference call regarding ARLP's 2020 Quarter financial results is scheduled for today at 10:00 a.m. Eastern. To participate in the conference call, dial (877) 506-1589 and request to be connected to the Alliance Resource Partners, L.P. earnings conference call. Canadian callers should dial (855) 669-9657 and all other international callers should dial (412) 317-5240 and request to be connected to the same call. Investors may also listen to the call via the "investor information" section of ARLP's website at http://www.arlp.com.

An audio replay of the conference call will be available for approximately one week. To access the audio replay, dial US Toll Free (877) 344-7529; International Toll (412) 317-0088; Canada Toll Free (855) 669-9658 and request to be connected to replay access code 10148449.

About Alliance Resource Partners, L.P.

ARLP is a diversified natural resource company that generates income from coal production and oil & gas mineral interests located in strategic producing regions across the United States.

ARLP operates seven coal mining complexes in Illinois, Indiana, Kentucky, Maryland and West Virginia. ARLP also operates a coal loading terminal on the Ohio River at Mount Vernon, Indiana. ARLP markets its coal production to major domestic and international utilities and industrial users and is currently the second largest coal producer in the eastern United States.

ARLP generates royalty income from mineral interests it owns in premier oil & gas producing regions in the United States, primarily the Permian, Anadarko and Williston basins.

In addition, ARLP also generates income from a variety of other sources.

News, unit prices and additional information about ARLP, including filings with the Securities and Exchange Commission ("SEC"), are available at http://www.arlp.com. For more information, contact the investor relations department of ARLP at (918) 295-7674 or via e-mail at This email address is being protected from spambots. You need JavaScript enabled to view it..

The statements and projections used throughout this release are based on current expectations. These statements and projections are forward-looking, and actual results may differ materially. These projections do not include the potential impact of any mergers, acquisitions or other business combinations that may occur after the date of this release.

Brian L. Cantrell
Alliance Resource Partners, L.P.
(918) 295-7673

Highlights from Third Quarter 2020 Results:

• GAAP earnings per diluted share (EPS) of $0.97 compared to $1.19 in the third quarter of 2019.
• Excluding Special Items, EPS of $1.05 compared to $1.40 in the third quarter of 2019.
• Raising and narrowing 2020 GAAP EPS guidance range to $3.10-$3.35 from the prior range of $2.65-$3.45.
• Excluding Special Items, raising and narrowing 2020 EPS guidance range to $3.75-$4.00 from the prior range of $3.30-$4.10.
• Raising and narrowing 2020 free cash flow guidance range to $230-$260 million from the prior range of $200-$250 million (cash provided by operating activities less capital spending).

STAMFORD, Conn.--(BUSINESS WIRE)--Crane Co. (NYSE: CR), a diversified manufacturer of highly engineered industrial products, reported third quarter 2020 GAAP earnings per diluted share (EPS) of $0.97, compared to $1.19 in the third quarter of 2019. Excluding Special Items, third quarter 2020 EPS was $1.05, compared to $1.40 in the third quarter of 2019. (Please see the attached Non-GAAP Financial Measures tables for a detailed reconciliation of reported results to adjusted measures.)

Third quarter 2020 sales were $735 million, a decline of 5% compared to the third quarter of 2019. The sales decline was comprised of a $104 million, or 13%, decline in core sales, partially offset by a $57 million, or 7%, benefit from acquisitions and $10 million, or 1%, of favorable foreign exchange. The core sales decline was attributable to COVID-19 related macroeconomic factors.

Third quarter 2020 operating profit was $85 million compared to $109 million in the third quarter of 2019. Operating profit margin was 11.6% compared to 14.2% in the third quarter of 2019. Excluding Special Items, third quarter 2020 operating profit was $92 million compared to $114 million in the third quarter of 2019. Excluding Special Items, operating profit margin was 12.4% compared to 14.8% in the third quarter of 2019. (Please see the attached Non-GAAP Financial Measures tables for a detailed reconciliation of reported results to adjusted measures.)

Max Mitchell, Crane Co. President and Chief Executive Officer stated: “While uncertainty remains elevated, the year has progressed largely as we expected when we reset guidance in April. Our teams continue to execute extremely well in this challenging environment, and we are pleased with our third quarter results which were solid in light of current market conditions. We have further narrowed our guidance range to reflect that we now have only a few months left of the year, and we raised the midpoint of our guidance primarily to reflect operational outperformance year-to-date compared to our expectations, as well as some recent incremental strength at Crane Currency and Engineered Materials. I continue to remain highly confident in the strength and resilience of Crane's portfolio and in our long-term outlook as end markets continue to recover."

Cash Flow, Liquidity, and Other Financial Metrics

Cash provided from operating activities in the third quarter of 2020 was $132 million compared to $119 million in the third quarter of 2019. Capital expenditures in the third quarter of 2020 were $7 million compared to $15 million in the third quarter of 2019. Third quarter 2020 free cash flow (cash provided by operating activities less capital spending) was $124 million compared to $104 million in the third quarter of 2019.

Cash provided from operating activities in the first nine months of 2020 was $208 million compared to $171 million in the first nine months of 2019. Capital expenditures in the first nine months of 2020 were $21 million compared to $51 million in the first nine months of 2019. Free cash flow for the first nine months of 2020 was $188 million compared to $120 million in the first nine months of 2019.

The Company held $605 million in cash and short-term investments at September 30, 2020, compared to $394 million at December 31, 2019. Total debt was $1,324 million at September 30, 2020, compared to $991 million at December 31, 2019. As of September 30, 2020, liquidity of approximately $1,018 million was comprised of $605 million in cash and short-term investments, and $413 million available under our revolving credit facility.

Third Quarter 2020 Segment Results

All comparisons detailed in this section refer to operating results for the third quarter 2020 versus the third quarter 2019.

Fluid Handling

Sales of $252 million decreased $24 million, or 9%, driven by a $42 million, or 15%, decline in core sales, partially offset by a $15 million, or 5%, benefit from an acquisition and $4 million, or 1%, of favorable foreign exchange. Operating profit margin declined to 10.3%, compared to 12.8% last year, primarily reflecting lower volumes, partially offset by productivity and cost reduction measures. Excluding Special Items, operating profit margin declined to 11.4%, compared to 13.8% last year. Fluid Handling order backlog was $305 million at September 30, 2020 which includes $11 million related to the January 2020 I&S acquisition, compared to $267 million at December 31, 2019, and compared to $272 million at September 30, 2019.

Payment & Merchandising Technologies

*Please see the attached Non-GAAP Financial Measures tables

Sales of $277 million increased $28 million, or 11%, driven by a $42 million, or 17%, benefit from an acquisition, and $6 million, or 2%, of favorable foreign exchange, partially offset by a $19 million, or 8%, decline in core sales. Including $2.6 million of acquisition-related deferred revenue, sales in the third quarter of 2020 were $280 million. Operating profit margin increased to 14.6%, from 14.1% last year as productivity and benefits from cost saving measures more than offset the impact of lower volumes. Excluding Special Items, operating profit margin increased to 15.8%, from 14.5% last year.

Aerospace & Electronics

Sales of $157 million decreased $40 million, or 20%, driven by lower core sales. Operating profit margin declined to 15.6%, from 23.9% last year, primarily reflecting lower core volumes, partially offset by strong productivity and the benefit of cost reduction measures. Excluding Special Items, operating profit margin declined to 15.6%, from 24.4% last year. Aerospace & Electronics' order backlog was $498 million at September 30, 2020, compared to a record $567 million at December 31, 2019, and compared to $564 million at September 30, 2019.

Engineered Materials

Sales decreased $2 million, or 4%, driven primarily by lower sales to the Building Products market, partially offset by stronger sales to Recreational Vehicle customers. Operating profit margin increased to 18.6%, from 11.8% last year, primarily reflecting productivity, the benefit of cost reduction measures, and lower material costs.

Updating Full Year Outlook

The Company’s current and best estimate of full-year 2020 GAAP EPS is now $3.10-$3.35, compared to the prior range of $2.65-$3.45. Excluding Special Items, the Company's current and best estimate of full-year 2020 EPS is now $3.75-$4.00, compared to the prior range of $3.30-$4.10. We now expect a full-year 2020 core sales decline of approximately 17% to 19%, compared to our prior expectation of a decline in the range of 17% to 21%. Our revised outlook for full-year 2020 free cash flow (cash provided by operating activities less capital spending) is now $230-$260 million compared to our prior outlook for a range of $200-$250 million. (Please see the attached non-GAAP Financial Measures tables.)

We note that continued uncertainty regarding the potential impact of the COVID-19 pandemic on demand and operations poses unique and substantial challenges for normal forecasting methodologies, making it difficult to accurately project future financial results.

Additional Information

Additional information with respect to the Company’s asbestos liability and related accounting provisions and cash requirements is set forth in the Current Report on Form 8-K filed with a copy of this press release.

Conference Call

Crane Co. has scheduled a conference call to discuss the third quarter financial results on Tuesday, October 27, 2020 at 10:00 A.M. (Eastern). All interested parties may listen to a live webcast of the call at http://www.craneco.com. An archived webcast will also be available to replay this conference call directly from the Company’s website under Investors, Events & Presentations. Slides that accompany the conference call will be available on the Company’s website.

Crane Co. is a diversified manufacturer of highly engineered industrial products. Founded in 1855, Crane Co. provides products and solutions to customers in the chemicals, oil & gas, power, automated payment solutions, banknote design and production and aerospace & defense markets, along with a wide range of general industrial and consumer related end markets. The Company has four business segments: Fluid Handling, Payment & Merchandising Technologies, Aerospace & Electronics and Engineered Materials. Crane Co. has approximately 11,000 employees in the Americas, Europe, the Middle East, Asia and Australia. Crane Co. is traded on the New York Stock Exchange (NYSE:CR). For more information, visit www.craneco.com.

This press release may contain forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These statements are based on the management’s current beliefs, expectations, plans, assumptions and objectives regarding Crane Co.’s future financial performance and are subject to significant risks and uncertainties. Any discussions contained in this press release, except to the extent that they contain historical facts, are forward-looking and accordingly involve estimates, assumptions, judgments and uncertainties. There are a number of factors, including risks and uncertainties related to the ongoing COVID-19 pandemic, that could cause actual results or outcomes to differ materially from those expressed or implied in these forward-looking statements. Such factors also include, among others: uncertainties regarding the extent and duration of the impact of the COVID-19 pandemic on many aspects of our business, operations and financial performance; changes in economic, financial and end-market conditions in the markets in which we operate; fluctuations in raw material prices; the financial condition of our customers and suppliers; economic, social and political instability, currency fluctuation and other risks of doing business outside of the United States; competitive pressures, including the need for technology improvement, successful new product development and introduction and any inability to pass increased costs of raw materials to customers; our ability to value and successfully integrate acquisitions, to realize synergies and opportunities for growth and innovation, and to attract and retain highly qualified personnel and key management; a reduction in congressional appropriations that affect defense spending and our ability to predict the timing and award of substantial contracts in our banknote business; adverse effects on our business and results of operations, as a whole, as a result of increases in asbestos claims or the cost of defending and settling such claims; adverse effects as a result of environmental remediation activities, costs, liabilities and related claims; investment performance of our pension plan assets and fluctuations in interest rates, which may affect the amount and timing of future pension plan contributions; and other risks noted in reports that we file with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019 and subsequent reports filed with the Securities and Exchange Commission. Crane Co. does not undertake any obligation to update or revise any forward-looking statements.

(Financial Tables Follow)

¹ Amounts included within cost of sales and/or selling, general & administrative costs.

² Repositioning related charges in 2020 primarily consist of COVID-19 related severance and, to a lesser extent, acquisition-related repositioning and facility consolidation.

Totals may not sum due to rounding

Totals may not sum due to rounding

Totals may not sum due to rounding

¹ Includes $11 million, $11 million and $12 million as of September 30, 2020 June 30, 2020 and March 31, 2020, respectively, of backlog pertaining to the I&S business acquired in January 2020

² Includes $40 million, $46 million, $43 million and $44 million as of September 30, 2020, June 30, 2020, March 31, 2020 and December 31, 2019, respectively, of backlog pertaining to the Cummins Allison business acquired in December 2019.

Totals may not sum due to rounding

Jason D. Feldman
Vice President, Investor Relations
203-363-7329
www.craneco.com

IDSS DETECT^TM 1000 has successfully achieved Acceptance by the Israeli Prime Minister’s Office for use at Government Agencies.

BOXBOROUGH, Mass.--(BUSINESS WIRE)--#Israel--Integrated Defense and Security Solutions (IDSS) announced today the DETECT^TM 1000 security screening system for cabin baggage has been accepted by the Israeli Prime Minister’s Office (IPMO) for use by airports, airlines, Israeli government agencies, state ministries, institutions and companies. IDSS, with our strategic partner, Hyper-Tech Advanced Systems, look forward to supporting Israel in addressing their challenging needs for screening solutions. “We see the DETECT solution not only supporting the aviation market, but many of the high security checkpoints located throughout our country,” said Yaron Yezersky, Vice President, Hyper-Tech Advanced Systems Ltd.

The approval by the IPMO adds to the approvals already achieved by the DETECT1000, which include being the first and only system to achieve TSA Advanced Passenger Screening Solution (APSS) Level 1 as well as ECAC EDSCB C3. IDSS continues to move forward in providing the most advanced solutions available as we work to achieve approval of TSA APSS Level 2.

“This designation from the Israeli Prime Minister’s Office reflects another critical milestone in delivering the most advanced solution to address challenging security screening needs around the world. The DETECT, with its Artificial Intelligence driven algorithms, continues to advance the state of the art in the detection of threats and contraband providing a safer and more efficient processing of passengers through the checkpoint,” said Jeffrey Hamel, CEO and President IDSS.

Integrated Defense and Security Solutions is a small business, which develops and manufactures security technology systems based in Boxborough, Massachusetts. The company was founded in 2012 by a team of security experts with the goal of developing security solutions to address current and future threats. Our first product, the DETECT™ 1000, has received certification by the Transportation Security Administration and the European Civil Aviation Conference EDSCB C2 & C3 for explosives detection in carry-on baggage. While designed initially for explosives detection, the DETECT™ 1000 superior image quality and x-ray information is being leveraged for the Non-Intrusive Inspection (NII) of mail and parcels as well as cargo.

Sissy Pressnell, IDSS
Phone: 202-365-2476
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

DALLAS--(BUSINESS WIRE)--Energy Transfer LP (NYSE: ET) today announced a quarterly cash distribution of $0.1525 per ET common unit ($0.61 on an annualized basis) for the third quarter ended September 30, 2020. The announced quarterly distribution will be paid on November 19, 2020 to unitholders of record as of the close of business on November 6, 2020.

Third Quarter Earnings Release and Conference Call

In addition, Energy Transfer plans to release earnings for the third quarter of 2020 on Wednesday, November 4, 2020, after the market closes. The company will conduct a conference call on Wednesday, November 4, 2020 at 4:00 p.m. Central Time/5:00 p.m. Eastern Time to discuss quarterly results and provide a company update. The conference call will be broadcast live via an internet webcast, which can be accessed on Energy Transfer’s website at energytransfer.com. The call will also be available for replay on Energy Transfer’s website for a limited time.

Energy Transfer LP (NYSE: ET) owns and operates one of the largest and most diversified portfolios of energy assets in the United States, with a strategic footprint in all of the major domestic production basins. ET is a publicly traded limited partnership with core operations that include complementary natural gas midstream, intrastate and interstate transportation and storage assets; crude oil, natural gas liquids (NGL) and refined product transportation and terminalling assets; NGL fractionation; and various acquisition and marketing assets. ET, through its ownership of Energy Transfer Operating, L.P., also owns Lake Charles LNG Company, as well as the general partner interests, the incentive distribution rights and 28.5 million common units of Sunoco LP (NYSE: SUN), and the general partner interests and 46.1 million common units of USA Compression Partners, LP (NYSE: USAC). For more information, visit the Energy Transfer website at energytransfer.com.

Forward Looking Statements

This press release may include certain statements concerning expectations for the future that are forward-looking statements as defined by federal law. Such forward-looking statements are subject to a variety of known and unknown risks, uncertainties, and other factors that are difficult to predict and many of which are beyond management’s control. An extensive list of factors that can affect future results are discussed in the Partnership’s Annual Report on Form 10-K and other documents filed from time to time with the Securities and Exchange Commission. In addition to the risks and uncertainties previously disclosed, the Partnership has also been, or may in the future be, impacted by new or heightened risks related to the COVID-19 pandemic and the recent decline in commodity prices, and we cannot predict the length and ultimate impact of those risks. The Partnership undertakes no obligation to update or revise any forward-looking statement to reflect new information or events.

This release serves as qualified notice to nominees as provided for under Treasury Regulation section 1.1446-4(b)(4) and (d). Please note that 100 percent of Energy Transfer LP’s distributions to foreign investors are attributable to income that is effectively connected with a United States trade or business. Accordingly, all of Energy Transfer LP’s distributions to foreign investors are subject to federal tax withholding at the highest applicable effective tax rate. Nominees, and not Energy Transfer LP, are treated as withholding agents responsible for withholding distributions received by them on behalf of foreign investors.

The information contained in this press release is available on our website at energytransfer.com.

Investor Relations:
Bill Baerg
Brent Ratliff
Lyndsay Hannah
214-981-0795

Media Relations:
Vicki Granado
214-840-5820

National Security Advisor Richard O’Brien announces feasibility study to base FRCs in American Samoa to combat Chinese aggression

LOCKPORT, La.--(BUSINESS WIRE)--U.S. National Security Advisor Robert O'Brien recently announced plans to conduct a feasibility study on whether to base U.S. Coast Guard Sentinel Class Fast Response Cutters (FRCs) in American Samoa to counter “destabilizing and malign actions” by China in the Indo-Pacific region. Together with the FRCs currently based in Apra Harbor, Guam, these Cutters will help the United States challenge Chinese aggression, maintain the United States’ commitment to peace and prosperity, and ensure that America remains the partner of choice in the region.

“As the Coast Guard continues to evolve to meet the most pressing maritime and national security threats of the day—be it IUU fishing, piracy, drug or human trafficking—a larger fleet and expanded presence of American-made white hulls with red racing stripes around the globe will help further the regional partnerships and alliances necessary to curb the creeping influence of America’s strategic competitors and adversaries and reaffirm its continued leadership and commitment to rules-based order and maritime governance around the world,” said Ben Bordelon, President & C.E.O of Bollinger Shipyards and Chairman of the Shipbuilders Council of America. “Should the proposed feasibility study demonstrate a need for additional FRCs, Bollinger Shipyards and the maritime defense industrial base stand ready to construct and deliver the high-quality and high-endurance vessels necessary to carry out and perform the mission at hand.”

Earlier this year, Bollinger Shipyards delivered the USCGC OLIVER HENRY to the U.S. Coast Guard, which is the second of three FRCs to be home-ported in Apra Harbor, Guam, in support of Operation Aiga, which is an effort to strengthen island nations in Oceania, including through fishery patrols and enforcement. This USCGC marked the 163^rd vessel Bollinger has delivered to the U.S. Coast Guard in its 35-year period and the 40^th FRC delivered under the current program. Commandant of the Coast Guard Adm. Karl Schultz has acknowledged the importance of the Guam homeporting, saying, “by placing an ocean-going Coast Guard buoy tender and FRCs, we will promote ‘rules-based order,’ build capacity and affirm the United States’ positive and enduring role in the region.”

In the feasibility study announcement, National Security Advisor O’Brien explains the rationale for the study’s launch by saying, “The USCG continues to modernize and enhance the capabilities of its fleet of major cutters, which play a prominent role in protecting our vital national interests, and where appropriate, those of our partners in the region. To that end, the USCG is strategically homeporting significantly enhanced Fast Response Cutters, built in a proven Louisiana-based shipyard, in the western Pacific.”

O’Brien states that the new generation of Fast Response Cutters will “conduct maritime security missions, such as fisheries patrols, enhance maritime domain awareness and enforcement efforts in collaboration with regional partners who have limited offshore surveillance and enforcement capacity, and ensure freedom of navigation…Enhancing the presence of the USCG in the Indo-Pacific ensures the United States will remain the maritime partner of choice in the region.”

Bordelon continued, “Bollinger is honored to support and enhance the Coast Guard’s operational presence and mission in the Indo-Pacific region. Building quality vessels for the U.S. Coast Guard provides critical assets to bolster our national security interests, both domestic and abroad. We are proud and humbled to be partners in the FRC program.”

The FRC program has had a total economic impact of $1.2 billion since inception in material spending and directly supports more than 650 jobs in south Louisiana. The program has indirectly created 1,690 new jobs from operations and capital investment and has an annual economic impact on GDP of $202 million, according to the most recent data from the U.S. Maritime Administration (MARAD) on the economic Importance of the U.S. Shipbuilding and Repair Industry. Bollinger sources over 271,000 different items for the FRC consisting of 282 million components and parts from 965 suppliers in 37 states.

The FRC is one of many U.S. Government shipbuilding programs that Bollinger is proud to support. In addition to the design and construction of the FRC, Bollinger is participating in Industry Studies for five Government programs, including the U.S. Coast Guard’s Offshore Patrol Cutter (OPC) program, the U.S. Navy’s Common Hull Auxiliary Multi-Mission Platform (CHAMP) program, the U.S. Navy’s Auxiliary General Ocean Surveillance (T-AGOS(X)) program, the U.S. Navy’s Large Unmanned Surface Vehicle (LUSV) program and the U.S. Navy’s Light Amphibious Warship (LAW) program.

About the Fast Response Cutter Platform

The FRC is an operational “game changer,” according to senior Coast Guard officials. FRCs are consistently being deployed in support of the full range of missions within the United States Coast Guard and other branches of our armed services. This is due to its exceptional performance, expanded operational reach and capabilities, and ability to transform and adapt to the mission. FRCs have conducted operations as far as the Marshall Islands—a 4,400 nautical mile trip from their homeport. Measuring in at 154-feet, FRCs have a flank speed of 28 knots, state of the art C4ISR suite (Command, Control, Communications, Computers, Intelligence, Surveillance, and Reconnaissance), and stern launch and recovery ramp for a 26-foot, over-the-horizon interceptor cutter boat.

About Bollinger Shipyards LLC

Bollinger Shipyards LLC (www.bollingershipyards.com) is a leading designer and builder of high performance military patrol boats, ocean-going double hull barges, offshore oil field support vessels, tugboats, rigs, lift boats, inland waterways push boats, barges, and other steel and aluminum products from its new construction shipyards as part of the U. S. industrial base. Bollinger has 10 shipyards, all strategically located throughout Louisiana with direct access to the Gulf of Mexico, Mississippi River and the Intracoastal Waterway. Bollinger is the largest vessel repair company in the Gulf of Mexico region.

Eric Bollinger
Vice President of Sales
Tel.: 985-532-2554
E-mail:  This email address is being protected from spambots. You need JavaScript enabled to view it.

HOUSTON--(BUSINESS WIRE)--National Oilwell Varco, Inc. (NYSE: NOV) today reported third quarter 2020 revenues of $1.38 billion, a decrease of seven percent compared to the second quarter of 2020 and a decrease of 35 percent compared to the third quarter of 2019. Net loss for the third quarter of 2020 improved $38 million sequentially to $55 million, or -4.0 percent of sales, which included non-cash, pre-tax charges (“other items,” see Other Corporate Items for additional detail) of $62 million. Adjusted EBITDA (operating profit excluding depreciation, amortization, and other items) decreased $13 million sequentially to $71 million, or 5.1 percent of sales.

“Despite the sharp contraction in demand for oil and gas-related products and services caused by the global pandemic, our team’s solid execution on cost reduction and working capital initiatives continues to exceed expectations, resulting in $323 million in cash flow from operations and a reduction in net debt to $339 million during the third quarter of 2020,” commented Clay Williams, Chairman, President and CEO.

“While our third quarter bookings were light and market conditions remain challenging, we are seeing some encouraging signals in the marketplace. In North America, we believe drilling activity has bottomed and is likely to rise modestly from current levels. In our international markets, we are seeing more of our customers return to work and fewer COVID-19-related logistical disruptions. As a result, our Rig Technologies and Completion & Production Solutions segments have both seen significant increases in tendering activity, giving us confidence that order intake is likely to improve in the fourth quarter.”

Wellbore Technologies

Wellbore Technologies generated revenues of $361 million in the third quarter of 2020, a decrease of 18 percent from the second quarter of 2020 and a decrease of 54 percent from the third quarter of 2019. The sequential decline in revenue was a result of a full quarter impact of sharp reductions in North American drilling activity that occurred during the second quarter and continued declines in international drilling activity. Operating loss was $50 million, or -13.9 percent of sales, and included $26 million of other items. Adjusted EBITDA was $21 million, or 5.8 percent of sales, as cost-savings initiatives limited decremental leverage (the change in Adjusted EBITDA divided by the change in revenue) to 26 percent.

Completion & Production Solutions

Completion & Production Solutions generated revenues of $601 million in the third quarter of 2020, a decrease of two percent from the second quarter of 2020 and a decrease of 17 percent from the third quarter of 2019. Operating profit was $25 million, or 4.2 percent of sales, and included $23 million in other items. Strong execution on international and offshore project backlogs partially offset declines in shorter-cycle businesses. Adjusted EBITDA decreased seven percent sequentially to $63 million, or 10.5 percent of sales.

New orders booked during the quarter totaled $169 million, representing a book-to-bill of 43 percent when compared to the $394 million of orders shipped from backlog. At September 30, 2020, backlog for capital equipment orders for Completion & Production Solutions was $789 million.

Rig Technologies

Rig Technologies generated revenues of $449 million in the third quarter of 2020, a decrease of six percent from the second quarter of 2020 and a decrease of 31 percent from the third quarter of 2019. Lower sales of rig capital equipment and aftermarket parts and services were partially offset by higher project revenues in the segment’s Marine Construction business, which continues to benefit from a growing number of offshore wind construction opportunities. Operating loss was $3 million, or -0.7 percent of sales, and included $12 million of other items. Adjusted EBITDA increased $14 million sequentially to $28 million, or 6.2 percent of sales.

New orders booked during the quarter totaled $57 million, representing a book-to-bill of 29 percent when compared to the $199 million of orders shipped from backlog. At September 30, 2020, backlog for capital equipment orders for Rig Technologies was $2.66 billion.

Other Corporate Items

During the third quarter, NOV generated $323 million in cash flow from operations and invested $49 million in capital expenditures. Additionally, NOV recognized $62 million in restructuring charges, primarily due to severance costs, facility closures and inventory reserves. See reconciliation of Adjusted EBITDA to Net Income.

On August 25, 2020, NOV completed a cash tender offer for $217 million of its 2.6 percent Unsecured Notes due 2022 using cash on hand. As of September 30, 2020, NOV had total debt of $1.82 billion, with $2.00 billion available on its primary revolving credit facility, and $1.49 billion in cash and cash equivalents.

Significant Achievements

NOV posted several notable wins in the offshore wind market including an order for the design and jacking system for the first Jones Act wind turbine installation vessel and another order for the design package of a large wind turbine installation vessel.

NOV was awarded a 10-year service contract by a major international oil company for its proprietary hot oil thermal desorption unit (HTDU) to treat oily drilling waste from rigs and FPSOs. The fully-automated system is the only system that handles waste with higher liquid contents that do not require dilution and will treat processed solids to the point that the client can dispose on-site or re-use the offtake in civil projects. Thus, the system will safely reduce the customer’s drilling fluid and handling expenses while also lowering its environmental footprint.

NOV introduced its Ideal™ eFrac offering to multiple customers and industry participants. The Ideal™ system is designed to accelerate the transition to environmentally-friendly electric fracturing by providing an eFrac option that has a total cost of ownership lower than not only other eFrac options currently in the market, but also lower than conventional diesel fleets. The Ideal™ system features a clean and simple rig up and significantly higher power density than its competition while maintaining the redundancy that efficient hydraulic fracturing operations require.

NOV continues to introduce new products and technologies that allow customers to achieve their ESG goals while concurrently improving their economics. NOV secured the first order for its Hydraulic Power Unit (HPU) Eco Boost system to a Norwegian drilling contractor. This system reduces power consumption by shaving power peaks on ring-line HPUs, simultaneously reducing emissions and lowering costs. In addition, NOV won a third order for its PowerBlade™ hybrid system to a Norwegian drilling contractor. The PowerBlade system captures the kinetic energy of the drilling hoisting system and recycles it to the rig’s power grid, reducing fuel consumption and lowering rig emissions.

NOV launched the Phoenix™ geothermal drill bit series, further expanding its footprint in the renewable energy market. The Phoenix™ drill bit series features high-performance ION™-shaped cutter technology, advanced HydroShear™ nozzle design, thermal index modeling, and NOV’s TORC™ components for superior depth-of-cut control technology to increase torsional stability, all combined into one design platform to drill farther and faster in hard rock environments. NOV’s new 12½-in. Phoenix FTKC76 drill bit drilled to total depth (TD) in a single run on a well in Indonesia, even though it was drilling through a very hard quartzite formation. This run saved the geothermal operator approximately two rig days. The same drill bit was successfully used on another well in Indonesia and managed to drill through approximately 1,312 ft of quartzite and 492 ft of granite.

NOV continues to support customers in their performance improvement initiatives through NOV’s automation lifecycle management program. A land drilling contractor and a North American operator jointly published data documenting that the NOVOS™ reflexive drilling system enabled a 50 percent average connection time savings on a Permian Basin well. Additionally, a European operator reported that NOV’s automation program improved utilization significantly and slip-to-slip times by 25 percent on the multi-machine control (MMC) system on one of its drilling rigs.

NOV won a flexible pipe supply contract for the Sangomar Phase 1 project offshore Senegal. The contract covers up to eight dynamic risers to be installed in a lazy wave configuration and up to 47 associated jumpers and flowlines, equaling approximately 28km of flexible pipe and associated ancillary components.

NOV continues to push the boundaries of drill bit technology through its ReedHycalog business unit, enabling record-setting drilling performance in some of the world’s most challenging conditions. In Saudi Arabia, NOV’s 12¼-in. TKC66 Falcon™ design enabled a customer to extend the lateral from 10,000 to 16,000 feet and achieve the highest ROP in the Dammam field. In Qatar, an IOC customer utilized NOV’s 17½-in. TKC76 drill bit to achieve a record run that was the first one-bit run achieved on a deepened section to TD. Further, NOV’s premium ION™ SaberTooth™ 12¼-in. Tektonic™ drill bit design not only drilled one of the fastest runs thus far in a Guyana campaign, but, after the run, the bit was deemed re-runnable and will be used as the primary drill bit on the 12¼-in. section of the well.

NOV secured a contract with a drilling contractor in China to upgrade 15 jack-up rigs with 60 Brandt™ shakers. NOV’s reputation for performance and cost-effective solutions was the differentiating factor that led the customer to choose NOV above the competition.

NOV signed a joint industry project contract with two multinational energy companies to launch a two-year research project in Brazil for the development of a new deepwater subsea automated pig launcher (SAPL). This new SAPL will be based on NOV’s design that won the New Technology Award at the 2019 Offshore Technology Conference. The SAPL will be ready for 10 pigs and have a target water depth of 3,000 meters (compared to the previous maximum of 1,000 meters). NOV’s solution provides automated, unmanned pig launching, eliminating the need for a second flowline for pigging purposes and reducing vessel time, which in turn lowers costs and reduces CO2 emissions by approximately 80 percent.

Third Quarter Earnings Conference Call

NOV will hold a conference call to discuss its third quarter 2020 results on October 27, 2020 at 10:00 AM Central Time (11:00 AM Eastern Time). The call will be broadcast simultaneously at www.nov.com/investors. A replay will be available on the website for 30 days.

About NOV

National Oilwell Varco (NYSE: NOV) is a leading provider of technology, equipment, and services to the global oil and gas industry that supports customers’ full-field drilling, completion, and production needs. Since 1862, NOV has pioneered innovations that improve the cost-effectiveness, efficiency, safety, and environmental impact of oil and gas operations. NOV powers the industry that powers the world.

Visit www.nov.com for more information.

Cautionary Statement for the Purpose of the “Safe Harbor” Provisions of the Private Securities Litigation Reform Act of 1995

Statements made in this press release that are forward-looking in nature are intended to be “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934 and may involve risks and uncertainties. These statements may differ materially from the actual future events or results. Readers are referred to documents filed by National Oilwell Varco with the Securities and Exchange Commission, including the Annual Report on Form 10-K, which identify significant risk factors which could cause actual results to differ from those contained in the forward-looking statements.

Certain prior period amounts have been reclassified in this press release to be consistent with current period presentation.