Diamond Offshore(DO) beats by $0.29, reports revs in-line Declares Special Cash Dividend of $1.875 Per Share

Diamond Offshore(DO) reports Q1 (Mar) earnings of $2.51 per share, $0.29 better than the First Call consensus of $2.22; revenues rose 12.7% year/year to $885.7 mln vs the $878.5 mln consensus.

Diamond Offshore Drilling, Inc. (NYSE: DO) announced today that the Company has declared a special cash dividend of $1.875 per share of common stock and a regular quarterly cash dividend of $0.125 per share of common stock. Both dividends are payable on June 1, 2009 to shareholders of record on May 1, 2009.

The Company has adopted a policy of considering paying special cash dividends, in amounts to be determined, on a quarterly basis. Any determination to declare a special dividend, as well as the amount of any special dividend which may be declared, will be based on the Company's financial position, earnings, earnings outlook, capital spending plans and other relevant factors at that time.

Diamond Offshore provides contract drilling services to the energy industry around the globe and is a leader in deepwater drilling. Additional information on Diamond Offshore Drilling, Inc. and access to the Company’s SEC filings is available on the Internet at www.diamondoffshore.com.

Disclosure I am long DO shares.