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UNITED STATES SECURITIES AND EXCHANGE COMMISSION
 WASHINGTON, DC 20549
 FORM 11-K
 ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
  þ
    
    Annual report pursuant to Section 15(d) of the Securities Exchange Act of 1934
(No fee required, effective October 7, 1996)
 For the fiscal year ended December 31, 2006
 Or
 o
    
    Transition report pursuant to Section 15(d) of the Securities Exchange Act of 1934
(No fee required)
 For the transition period from  to
 Commission file number 1-12317
  National Oilwell Varco, Inc. 401(k) and Retirement Savings Plan
  National Oilwell Varco, Inc.
10000 Richmond Avenue
6th Floor
Houston, Texas 77042-4200




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REQUIRED INFORMATION
  Item 4.
      2




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##### 



Contents
 Report of Independent Registered Public Accounting Firm
    
    
    4Audited Financial StatementsStatements of Net Assets Available for Benefits
    
    
    5Statement of Changes in Net Assets Available for Benefits
    
    
    6Notes to Financial Statements
    
    
    7Supplemental ScheduleSchedule H, Line 4(i)  Schedule of Assets (Held at End of Year)
    
    
    14Signature
    
    
    15Exhibit Index
    
    
    16Exhibit 23.1  Consent of Independent Registered Public Accounting FirmConsent of Independent Registered Public Accounting Firm
  3




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4




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December 312006
    
    2005AssetsCash
    
    $
    681,058
    
    
    $
    2,295,457Receivables:Transfer from other qualified plan
    
    
    
    
    
    
    669,838Employer contributions
    
    
    1,057,323
    
    
    
    Employee contributions
    
    
    1,030,815
    
    
    
    Income
    
    
    
    
    
    
    2,428Sales not yet settled
    
    
    759,337
    
    
    
    430,998Total receivables
    
    
    2,847,475
    
    
    
    1,103,264Investments, at fair value
    
    
    449,662,046
    
    
    
    387,491,941Total assets
    
    
    453,190,579
    
    
    
    390,890,662LiabilitiesPurchases not yet settled
    
    
    1,807,665
    
    
    
    1,732,028Total liabilities
    
    
    1,807,665
    
    
    
    1,732,028Net assets available for benefits, at fair value
    
    
    451,382,914
    
    
    
    389,158,634Adjustment from fair value to contract value
for fully benefit-responsive investment
contracts
    
    
    2,157,277
    
    
    
    2,000,454Net assets available for benefits
    
    $
    453,540,191
    
    
    $
    391,159,088
 See accompanying notes.
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##### Table of Contents



Additions:Employer contributions
    
    $
    26,852,403Participant contributions
    
    
    26,863,357Participant rollovers
    
    
    1,401,591Investment income
    
    
    13,379,409Net appreciation in fair value of investments
    
    
    26,958,500Total additions
    
    
    95,455,260Deductions:Benefits paid to participants
    
    
    32,298,544Corrective distributions
    
    
    40,393Administrative expenses
    
    
    735,220Total deductions
    
    
    33,074,157Net increase
    
    
    62,381,103Net assets available for benefits at:Beginning of year
    
    
    391,159,088End of year
    
    $
    453,540,191
 See accompanying notes.
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1. Description of Plan
 Summary Plan
Description
  General
  Contributions
  7




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1. Description of Plan (continued)
  Vesting
  Benefit Payments
  Participant Loans
  Administrative Expenses
  8




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1. Description of Plan (continued)
 Plan Termination
  2. Summary of Accounting Policies
 Basis of Accounting
  New Accounting Pronouncement
 Reporting of Fully Benefit-Responsive Investment Contracts Held by Certain
Investment Companies Subject to the AICPA Investment Company Guide and Defined-Contribution Health
and Welfare and Pension Plans
 Reporting of Investment Contracts Held by Health and Welfare Benefit
Plans and Defined Contribution Pension Plans
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2. Summary of Accounting Policies (continued)
  Use of Estimates
  Investment Valuation and Income Recognition
   10




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2. Summary of Accounting Policies (continued)
  Risks and Uncertainties
  3. Investments
  December 312006
    
    
    2005National Oilwell Varco, Inc., common stock
    
    $
    30,382,539
    
    
    $
    25,950,576Alger LargeCap Growth Institutional
Portfolio Fund
    
    
    30,139,506
    
    
    
    31,454,845Wachovia Bank Enhanced Stock Market Fund
    
    
    23,475,840
    
    
    
    18,288,306Union Bond & Trust Company Stable Value
Fund (stated at contract value)
    
    
    114,051,311
    
    
    
    58,009,580Merrill Lynch Retirement Preservation
Trust Fund (stated at contract value)
    
    
    
    
    
    
    47,275,589
  Common stocks
    
    $
    409,553Common collective trust funds
    
    
    7,488,025Mutual funds
    
    
    19,060,922Net appreciation
    
    $
    26,958,500
 4. Related-Party Transactions
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##### Table of Contents



5. Income Tax Status
  6. Reconciliation of Financial Statements to Form 5500
  Net assets available for benefits per the financial statements
    
    $
    453,540,191Adjustment from fair value to contract value for fully
benefit-responsive investment contracts
    
    
    (2,157,277
    )Net assets available for benefits per the Form 5500
    
    $
    451,382,914
  Net increase in net assets available for benefits per the
financial statements
    
    $
    62,381,103Less: Adjustment from fair value to contract value for fully
benefit-responsive investment contracts
    
    
    (2,157,277
    )Net increase in net assets available for benefits per Form 5500
    
    $
    60,223,826
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6. Reconciliation of Financial Statements to Form 5500 (continued)
  13




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Identity of Issue,Borrower,
    
    
    
    CurrentLessor, or Similar Party
    
    Description of Investment
    
    Value*National Oilwell Varco, Inc.
    
    496,609 shares of common stock
    
    $
    30,382,539Alger Retirement Group
    
    Alger LargeCap Growth Institutional Portfolio Fund
    
    
    30,139,506Alger Retirement Group
    
    Alger MidCap Growth Institutional Portfolio Fund
    
    
    10,671,683Allianz Global Investors
    
    Allianz NFJ SmallCap Value Fund
    
    
    6,878,584American Funds
    
    Growth Fund of America
    
    
    11,811,637Blackrock
    
    Blackrock Basic Value Fund
    
    
    11,333,801Blackrock
    
    Blackrock Focus Value Fund
    
    
    640,637Blackrock
    
    Blackrock Global Allocation Fund
    
    
    13,500,752Blackrock
    
    Blackrock International Value Fund
    
    
    10,983,595Blackrock
    
    Blackrock US Government Fund
    
    
    8,307,109Davis Funds
    
    Davis New York Venture Fund
    
    
    11,089,341Dreyfus Funds
    
    Dreyfus Midcap Index Fund
    
    
    12,485,696Dreyfus Funds
    
    Dreyfus Small Cap Stock Index Fund
    
    
    3,413,888Evergreen Investments
    
    Evergreen Money Market Fund
    
    
    1,799,654Union Bond & Trust Company
    
    Union Bond & Trust Company Stable Value Fund
    
    
    111,894,034Lord Abbett Family of Funds
    
    Lord Abbett MidCap Value Fund
    
    
    6,054,154Managers Funds
    
    The Managers Special Equity Fund
    
    
    3,049,796Oakmark Funds
    
    The Oakmark International Fund
    
    
    11,896,792PIMCO Funds
    
    PIMCO Total Return Portfolio Fund
    
    
    21,877,925Van Kampen Funds
    
    Van Kampen Growth & Income Fund
    
    
    14,813,847Van Kampen Funds
    
    Van Kampen Real Estate Securities Fund
    
    
    5,582,986Vanguard
    
    Vanguard Balanced Index - Institutional Fund
    
    
    10,175,495Vanguard
    
    Vanguard Growth Index - Institutional Fund
    
    
    14,474,039Vanguard
    
    Vanguard Small Cap Growth Index Fund
    
    
    4,132,071Vanguard
    
    Vanguard Small Cap Value Index Fund
    
    
    4,366,540Vanguard
    
    Vanguard Total Bond Market Index Fund
    
    
    8,179,231Vanguard
    
    Vanguard Total International Stock Index Fund
    
    
    21,039,040Vanguard
    
    Vanguard Value Index - Institutional Fund
    
    
    9,012,331Various
    
    Self-directed brokerage accounts
    
    
    383,305*Wachovia Bank
    
    Enhanced Stock Market Fund
    
    
    23,475,840*Participant loans
    
    Various maturities and interest rates ranging from 4.25% to 10.50%
    
    
    15,816,198$
    449,662,046
 
 *
    
    Party-in-interest 14




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SIGNATURE
 The Plan.
 National Oilwell Varco, Inc. 401(k) and
Retirement Savings PlanJune 28, 2007      
Date
    
    
    
    /s/Daniel L. Molinaro

Daniel L. MolinaroMember of the National Oilwell VarcoBenefits Plan Administrative Committee
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EXHIBIT INDEX
 ExhibitNumber
    
    Description23.1
    
    
    Consent of Independent Registered Public Accounting Firm
 16