Exhibit 99.1

Stolt Offshore S.A.                                            [Graphic Omitted]

A subsidiary of        c/o Stolt Offshore M.S. Limited     Tel: + 44 1932 773700
Stolt-Nielsen S.A.     Dolphin House                       Fax: + 44 1932 773701
                       Windmill Road                       www.stoltoffshore.com
                       Sunbury-on-Thames
                       Middlesex,  TW16 7HT
                       England

NEWS RELEASE

                                      Contact:  Julian Thomson
                                                US +1 877 603 0267 (toll free)
                                                UK +44 1224 718436
                                                julian.thomson@stoltoffshore.com

                               STOLT OFFSHORE S.A.
                            REPORTS YEAR END RESULTS

London,  England - February 26, 2003 - Stolt Offshore S.A.  (Nasdaq:  SOSA: Oslo
Stock Exchange:  STO) today reported results for the fourth quarter and the year
ended  November 30, 2002. The net loss for the latest quarter was $139.7 million
or $1.65 per share, which includes write-offs totaling $115.4 million in respect
of the  impairment  of goodwill and fixed assets,  on net  operating  revenue of
$441.1  million.  The loss  excluding  these  one-off items was $24.3 million or
$0.29 per  share.  This  compares  with a net loss in the  prior  period of $2.0
million or $0.02 per share  before the charge of $7.9  million  relating  to the
impairment  of the Comex trade name.  The net loss,  including  this  impairment
charge,  for the  prior  period  was  $9.9  million  or $0.11  per  share on net
operating revenue of $417.3 million.

The fourth  quarter  impairment  charge  includes  $106.4  million in respect of
goodwill,  of which $103.0 million relates to the 1998 acquisition of Ceanic, in
the North America region. In addition,  we recorded an impairment charge of $9.0
million in respect of certain tangible fixed assets, which includes our share of
an impairment charge recorded by the NKT Flexibles joint venture.

The  weighted-average  number of common share  equivalents  outstanding  for the
quarter  was 84.7  million,  compared  with 87.2  million for the same period of
2001.

The net loss for the year ended November 30, 2002 was $151.9  million,  or $1.79
per  share,  after an  impairment  charge  of $115.4  million,  offset by a $8.0
million gain on the disposal of Big Inch Marine Systems  reported earlier in the
year, on net operating  revenue of $1.4 billion.  The loss excluding these items
was $44.5  million,  or $0.52 per share.  This  compares with a net loss of $6.3
million,  or $0.07 per share before the intangible  charge, and $14.2 million or
$0.16 per share after the intangible  charge,  on net operating  revenue of $1.3
billion for the same period in 2001. The weighted-average number of common share
equivalents  outstanding  for fiscal 2002 was 85.0  million  compared  with 87.2
million for the same period of 2001.

Commenting  on the  results  Niels G.  Stolt-Nielsen,  Interim  Chief  Executive
Officer, said, "During the quarter we wrote off goodwill on earlier acquisitions
and finished the year with a net loss,  excluding  non-recurring items, of $44.5
million,  which is close to our earlier  guidance.  Clearly  this result is very
disappointing,  and  reflects the  negative  outcome of several EPIC  contracts.


Page 1 of 7
<PAGE>

However,  we strongly  believe that the actions we have taken to strengthen  the
tendering and execution of EPIC contracts will, in due course,  resolve the root
causes of these project difficulties. Further, we renegotiated and finalised the
covenants on our two major credit facilities and, as recently announced, we have
hired a new CEO and CFO.

"The Board  approved the write off of $106.4  million of goodwill in relation to
the Ceanic  acquisition  and other  items.  In  particular,  the decision on the
impairment of the Ceanic goodwill was taken because of continuing  disappointing
results in the North  America  Region  since this  acquisition.  These  goodwill
impairments are non-cash accounting items and as such they have no impact on our
debt  covenants.  The only  remaining  goodwill of $6.0  million  relates to the
acquisition of the Paragon companies, which continue to achieve good results.

"During the quarter in West Africa we progressed the pipelay on the Offshore Gas
Gathering System for Shell in Nigeria.  We continued to experience  difficulties
with local logistics on this project however the main pipelay programme from the
LB200 is now complete.  We started the  fabrication  phase of the Shell Forcados
Yokri project.  We progressed the design  engineering phase of the ChevronTexaco
Sanha  Condensate  project,  which is now 80%  complete  and we  progressed  the
procurement and fabrication  aspects of this project.  We completed the Marathon
Tchatamba project in Gabon.

"In Angola we mobilised  for the second phase of the Girassol  project where all
of the subsea pipe bundles are now in place.  The Seaway  Polaris has  installed
the manifolds  and is now laying the last two  flowlines.  The tie-in  programme
using the MATIS system is progressing.  In the Mediterranean,  we progressed the
Scarab  and  Saffron  project.  Most  of the  subsea  installation  work  is now
complete.  The commissioning  process has now started with first gas anticipated
shortly.

"In the UK, the BP Mirren and Madoes project was completed  ahead of schedule to
the considerable  satisfaction of our customer.  The main pipeline scope of work
on the Conoco CMS  project was  completed  to meet the first gas target date and
the first phase of the ATP Helvellyn platform tie-in was successfully completed.

"In Norway the design,  procurement and subcontract  work commenced on the Norsk
Hydro Vigdis Extension and TotalFinaElf Skirne Byggve projects. Engineering work
commenced on the Lyse Rogass project  requiring the  installation of 46km of gas
pipeline in up to 580 metres of water between Karsto and Risavika.

"In Gulf of Mexico work commenced on the Duke Energy Hubline  pipelay project in
Boston  Harbour  where  the main  trunkline  has been  laid by the DLB 801.  Our
shallow  water fleet in the Gulf was occupied  with  inspection  and repair work
following the arrival of Hurricane Lili in October. Three umbilical lay projects
were awarded for the Seaway  Falcon.  These are on the Shell  Princess and Mensa
fields and the Pinnacle Energy  Mississippi Canyon 837 field. These projects are
now completed.  The activity level in this region for both shallow and deepwater
work remains low.

"In Brazil the two long term contracts for Petrobras continued to perform well.

"In Asia Pacific we progressed Phase 8 of the TotalFinaElf  Tunu pipelay project
and commenced the shallow water pipelay for Tunu Phase 9 which is now completed.


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<PAGE>

"Our backlog now stands at $1.6 billion of which $1.1 billion is for 2003.  This
compares  with a backlog  of $1.6  billion  at this time last year of which $930
million was for 2002.  We expect the  utilisation  for the  deepwater  and heavy
construction  fleet for 2003 to be similar to 2002 at 80%. The outlook for large
diameter  pipelay is however weaker than last year. We expect lower  utilisation
for the LB200  pipelay  barge for which we have just eleven weeks of work booked
to date  compared to six months  work at this time last year.  The level of bids
outstanding is now $4.3 billion compared to $3.0 billion at this time last year.

"In  the  last  four  months  we  have   strengthened  our  project   management
organisation   and  further  improved  our  project  control  and  supply  chain
management functions.  It will take most of 2003 to work through the loss making
and low margin contracts.  Our global market expected to grow from $9 billion in
2002 to $16 billion in 2004. We are now starting to move in the right direction.
We do not intend  however,  at this stage,  to give guidance on our  anticipated
earnings for this year." Mr Stolt-Nielsen concluded.

Stolt  Offshore is a leading  offshore  contractor  to the oil and gas industry,
specialising in technologically  sophisticated  deepwater engineering,  flowline
and pipeline lay, construction, inspection and maintenance services. The Company
operates  in  Europe,  the Middle  East,  West  Africa,  Asia  Pacific,  and the
Americas.

This news release  contains  forward  looking  statements as defined in the U.S.
Private  Securities  Litigation  Reform Act of 1995.  Actual future  results and
trends could differ  materially  from those set forth in such  statements due to
various factors.  Additional  information  concerning these factors is contained
from time to time in the Company's  U.S. SEC filings,  including but not limited
to the  Company's  report on form 20-F for the year  ended  November  30,  2001.
Copies of these filings may be obtained by contacting the Company or the SEC.

<TABLE>
<CAPTION>
---------------------------------------------------------- ------------------------------------------------------------
Conference Call Information                                Replay Facility details
---------------------------------------------------------- -----------------------------------------------------
Lines will open 10 minutes prior to conference call        This facility is available from 12 noon EST (5pm GMT)
                                                           Wednesday February 26th, until 5pm EST (10pm GMT),
                                                           Wednesday March 5th.

<S>                 <C>                                    <C>                        <C>
Date:               Wednesday February 26th, 2003
Time:               10am EST (3pm GMT)
                                                           Dialling from the UK:      0800 953 1533
Freephone Dial In Numbers:

UK                  0800 953 0810                          Dialling from the US:      1866 247 4222
USA                 1 866 789 2220
Norway              800 165 26                             International Dial In:     +44 1452 55 00 00
France              0805 111 340
Italy               800 782 436                            Passcode:                  801831#
Netherlands         0800 023 4612

Reservation No:     801831
-----------------------------------------------------------------------------------------------------------------------
Alternatively a live webcast and a playback facility will be available on the Company's website www.stoltoffshore.com
-----------------------------------------------------------------------------------------------------------------------
</TABLE>

                                   -end text-

                                 -tables follow-


Page 3 of 7
<TABLE>
<CAPTION>
                                           STOLT OFFSHORE S.A. AND SUBSIDIARIES
                                           CONSOLIDATED STATEMENTS OF OPERATIONS
                                           (in thousands, except per share data)

                                                            Three Months Ended                Twelve Months Ended
                                                      November 30,        November 30,   November 30,      November 30,
                                                         2002                2001          2002                2001
                                                     -------------       -------------  ------------       --------------

<S>                                                    <C>                 <C>          <C>                 <C>
Net operating revenue                                  $ 441,069           $ 417,284    $1,437,488          $1,255,938
Operating expenses                                      (441,588)           (398,923)   (1,395,007)         (1,161,553)
                                                     -------------       -------------  ------------       --------------

Gross (loss)/profit                                         (519)             18,361        42,481              94,385

Equity in net (loss)/income of non-consolidated
  joint ventures                                          (4,230)              4,732         5,287              11,655
Administrative and general expenses                      (21,786)            (16,558)      (73,008)            (64,043)
Other operating income                                     2,157                 130         8,068               2,300
Impairment of goodwill and other intangibles            (106,435)             (7,932)     (106,435)             (7,932)
                                                     -------------       -------------  ------------       --------------

(Loss)/income from operations                           (130,813)             (1,267)     (123,607)             36,365

Non-operating (expense)/income

    Interest expense, net                                 (5,558)             (4,616)      (18,240)            (26,820)
    Foreign exchange (loss)/gain                            (316)             (1,447)          212                (323)
                                                     -------------       -------------  ------------       --------------

(Loss)/income before income taxes and minority
  interests                                             (136,687)             (7,330)     (141,635)              9,222
Income tax provision                                      (3,632)             (3,844)       (8,158)            (20,619)
                                                     -------------       -------------  ------------       --------------

(Loss) before minority interests                        (140,319)            (11,174)     (149,793)            (11,397)
Minority interests                                           595               1,236        (2,062)             (2,806)

                                                     -------------       -------------  ------------       --------------

Net (loss)                                             $(139,724)          $  (9,938)   $ (151,855)         $  (14,203)
                                                     =============       =============  ============       ==============

PER SHARE DATA
Net (loss) per share
     Basic                                             $   (1.65)          $   (0.11)   $    (1.79)         $    (0.16)
     Diluted                                           $   (1.65)          $   (0.11)   $    (1.79)         $    (0.16)

Weighted average number of Common Shares
and Common Share equivalents outstanding
     Basic                                                84,698              87,213        85,010              87,201
     Diluted                                              84,698              87,213        85,010              87,201


SELECTED  INFORMATION
Capital expenditures                                   $  15,011           $  11,778    $   54,634          $   71,366
Depreciation and amortization                          $ 134,601           $  35,479    $  202,528          $   99,682
(including the impairment of goodwill and other
intangibles)
</TABLE>


Page 4 of 7
<PAGE>

<TABLE>
<CAPTION>
                                 STOLT OFFSHORE S.A. AND SUBSIDIARIES
                                      CONSOLIDATED BALANCE SHEETS
                                            (in thousands)

                                                                  November 30,        November 30,
                                                                      2002                2001

                                                                 ----------------   -----------------

ASSETS

     Cash and cash equivalents                                        $   11,672          $   11,670

     Other current assets                                                578,703             561,297

     Fixed assets, net of accumulated depreciation                       782,843             779,471

     Other non-current assets                                             85,386             207,825

                                                                 ----------------   -----------------

               Total assets                                           $1,458,604          $1,560,263
                                                                 ================   =================
<S>                                                                   <C>                 <C>
LIABILITIES AND SHAREHOLDERS' EQUITY

     Bank overdrafts                                                  $   15,966          $    5,240

     Current portion of

          long-term debt and capital lease obligations                        17              23,653

     Accounts payable and accrued liabilities                            539,797             465,882

     Long-term debt and capital lease obligations                        335,007             335,026

     Other non-current liabilities                                        48,725              70,440

     Shareholders' equity

          Common Shares                                                  152,524             140,457

          Class B Shares                                                  68,000              68,000

          Paid-in-surplus                                                416,677             463,615

          (Deficit)/Retained earnings                                  (117,492)              52,436

          Accumulated comprehensive loss                                   (617)            (64,486)

                                                                 ----------------   -----------------
               Total shareholders' equity                                519,092             660,022

                                                                 ----------------   -----------------
               Total liabilities and shareholders' equity             $1,458,604          $1,560,263
                                                                 ================   =================

Total interest-bearing debt and capital lease obligations,
net of cash and cash equivalents                                      $  339,318          $  352,249
                                                                 ================   =================
</TABLE>



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<PAGE>

<TABLE>
<CAPTION>
                                             STOLT OFFSHORE S.A. AND SUBSIDIARIES
                                                      SEGMENTAL ANALYSIS
                                                        (in thousands)

The Company has seven reportable segments based on geographical regions: Asia Pacific, North America, Norway, SEAME (a), South
America, UK and Corporate. Management may from time to time change the segmentation of the business, which will result in a
restatement of the figures.

------------------------------------------------------------------------------------------------------------------------------
For the three months ended             Asia       North                             South
November 30, 2002                     Pacific    America     Norway     SEAME(a)   America      UK     Corporate         Total
------------------------------------------------------------------------------------------------------------------------------
<S>                                   <C>       <C>          <C>        <C>        <C>       <C>       <C>         <C>
Net operating revenue - external      $ 5,818   $  35,526    $ 26,560   $247,406   $13,089   $ 70,327  $ 42,343    $  441,069
Net operating revenue - internal(b)   $   534   $   9,296    $  6,691   $ 51,901   $ 3,632   $ 18,689  $  1,454    $       -
(Loss)/income from operations         $(3,387)  $(104,405)   $  4,547   $(18,822)  $ 2,886   $  4,871  $(16,503)   $ (130,813)
    Interest expense, net                                                                                          $   (5,558)
    Foreign exchange loss                                                                                          $     (316)
------------------------------------------------------------------------------------------------------------------------------
Loss before taxes and minority interests                                                                           $ (136,687)
------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------------------------
For the three months ended             Asia       North                             South
November 30, 2001                     Pacific    America     Norway     SEAME(a)   America      UK     Corporate         Total
------------------------------------------------------------------------------------------------------------------------------
Net operating revenue - external      $14,911  $ 115,482     $ 27,459   $144,784   $12,707   $ 71,643  $ 30,298    $  417,284
Net operating revenue - internal (b)  $ 4,674  $  62,514     $ 14,135   $ 39,762   $ 7,065   $ 23,801  $   (397)   $        -
Income/(loss) from operations (c)     $   587  $(21,324)     $  2,578   $  5,269   $ 4,256   $ (6,148) $ 13,515    $   (1,267)
    Interest expense, net                                                                                          $   (4,616)
    Foreign exchange loss                                                                                          $   (1,447)
------------------------------------------------------------------------------------------------------------------------------
Loss before taxes and minority interests                                                                           $   (7,330)
------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------------------------
For the twelve months ended            Asia       North                             South
November 30, 2002                     Pacific    America     Norway     SEAME(a)   America      UK     Corporate         Total
------------------------------------------------------------------------------------------------------------------------------
Net operating revenue - external      $25,677    $ 190,460   $105,830   $702,764   $52,012   $229,795  $130,950    $1,437,488
Net operating revenue - internal (b)  $ 1,385    $  52,119   $ 26,194   $118,672   $13,458   $ 65,065  $  4,590    $        -
(Loss)/income from operations         $(3,277)   $(111,728)  $ 15,394   $(19,380)  $12,587   $ (4,359) $(12,844)   $ (123,607)
    Interest expense, net                                                                                          $  (18,240)
    Foreign exchange gain                                                                                          $      212
------------------------------------------------------------------------------------------------------------------------------
Loss before taxes and minority interests                                                                           $ (141,635)
------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------------------------
For the twelve months ended            Asia       North                             South
November 30, 2001                     Pacific    America     Norway     SEAME(a)   America      UK     Corporate         Total
------------------------------------------------------------------------------------------------------------------------------
Net operating revenue - external      $39,437    $ 276,681   $110,631   $520,207   $50,472   $214,721  $ 43,789    $1,255,938
Net operating revenue - internal (b)  $ 4,255    $  78,970   $ 36,768   $ 78,311   $12,674   $ 53,080  $  4,657    $        -
Income/(loss) from operations (c)     $   392    $ (27,980)  $ 10,724   $ 30,132   $10,675   $  2,738  $  9,684    $   36,365
    Interest expense, net                                                                                          $  (26,820)
    Foreign exchange loss                                                                                          $     (323)
------------------------------------------------------------------------------------------------------------------------------
Income before taxes and minority interests                                                                         $    9,222
------------------------------------------------------------------------------------------------------------------------------
(a)  SEAME is defined as Southern Europe, Africa and the Middle East
(b)  Internal revenues are eliminated on consolidation of the Company's results and are therefore shown in the table to
     equal to zero
(c)  Income/(loss) from operations reflects the reclassification of items previously disclosed as 'other non-operating
     income/(expense)'.
------------------------------------------------------------------------------------------------------------------------------
As of November 30, 2002                Asia       North                             South
                                      Pacific    America     Norway     SEAME(a)   America      UK     Corporate         Total
------------------------------------------------------------------------------------------------------------------------------
Segment assets                        $29,266    $ 127,324   $ 34,510   $408,020   $88,806   $107,914  $649,360    $1,445,200
Unallocated amounts:
Cash and cash equivalents                                                                              $ 11,672    $   11,672
Restricted cash deposits                                                                               $  1,732    $    1,732
------------------------------------------------------------------------------------------------------------------------------
Total assets                                                                                                       $1,458,604
------------------------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------------------------
As of November 30, 2001                Asia       North                             South
                                      Pacific    America     Norway     SEAME(a)   America      UK     Corporate         Total
------------------------------------------------------------------------------------------------------------------------------
Segment assets                        $37,449    $ 325,613   $ 55,475   $294,267   $87,517   $ 81,050  $665,926    $1,547,297
Unallocated amounts:
Cash and cash equivalents                                                                              $ 11,670    $   11,670
Restricted cash deposits                                                                               $  1,296    $    1,296
------------------------------------------------------------------------------------------------------------------------------
Total assets                                                                                                       $1,560,263
------------------------------------------------------------------------------------------------------------------------------

     One customer accounted for more than 10% of the Company's revenue in the quarter and two customers each individually
   accounted for more than 10% in the twelve months ended November 30, 2002, respectively. The revenue from these customers
    was $143.9 million for the quarter and $432.7 million for the twelve months and was attributable to the Norway, SEAME,
       UK, Asia Pacific and North America segments. In the quarter ended November 30, 2001, and the twelve months ended
    November 30, 2001, two customers each individually accounted for more than 10% of the revenue. The revenue from these
     customers was $120.9 million for the quarter and $400.6 million for the twelve months ended November 30, 2001. These
                             revenues were attributable to the SEAME and North America segments.
</TABLE>

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<PAGE>
<TABLE>
<CAPTION>

                                           STOLT OFFSHORE S.A. AND SUBSIDIARIES
                                              ANALYSIS OF NON-RECURRING ITEMS
                                           (in millions, except per share data)

                                                                   Three months ended            Twelve months ended
                                                                ---------------------------------------------------------
                                                                November 30,   November 30,  November 30,  November 30,
                                                                    2002           2001          2002          2001
                                                                ---------------------------------------------------------
<S>                                                              <C>            <C>            <C>             <C>
Net income (loss) as reported                                    $  (139.7)     $   (9.9)      $  (151.9)      $  (14.2)

      Non-recurring items:

      Charge for impairment of goodwill                              106.4             -           106.4              -

      Charge for impairment of fixed assets                            9.0             -             9.0              -

      Gain on disposal of assets, net                                    -             -            (8.0)             -

      Charge for impairment of Comex trade name                          -           7.9               -            7.9

                                                                ------------  ------------   ------------- --------------
Income (loss) before non-recurring items                          $  (24.3)     $   (2.0)       $  (44.5)      $   (6.3)
                                                                ============  ============   ============= ==============
PER SHARE DATA
Net income (loss) as reported                                     $  (1.65)     $  (0.11)       $  (1.79)      $  (0.16)

      Non-recurring items:

      Charge for impairment of goodwill                               1.25             -            1.25              -

      Charge for impairment of fixed assets                           0.11             -            0.11              -

      Gain on disposal of assets, net                                    -             -           (0.09)             -

      Charge for impairment of Comex trade name                          -          0.09               -           0.09

                                                                ------------  ------------   ------------- --------------
Income (loss) before non-recurring items                          $  (0.29)     $  (0.02)       $  (0.52)      $  (0.07)
                                                                ============  ============   ============= ==============

Average Shares Outstanding                                          84,698        87,213          85,010         87,201
</TABLE>


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