Document:

<Page>
                                                                    EXHIBIT 10.1

                   CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS

As independent public accountants, we hereby consent to the incorporation by
reference in this Form 20-F of our Report dated January 30, 2002, and to the
incorporation of our reports included in this Form 20-F, into the Company's
previously filed Registration Statements on Form S-8, File Nos. 33-85168,
333-09292 and 333-74321. It should be noted that we have not audited any
financial statements of the Company subsequent to November 30, 2001 or performed
any audit procedures subsequent to the date of our report.

                                          /s/ Arthur Andersen

Glasgow, United Kingdom
May 30, 2002<Page>
                                                                    EXHIBIT 10.2

                      CONSENT OF ELVINGER, HOSS & PRUSSEN

    We hereby consent to being named and to the summarization of advice
attributed to us in the Annual Report on Form 20-F of Stolt Offshore S.A. for
the fiscal year ended November 30, 2001.

<Table>
<S>                                                    <C>  <C>
                                                       Elvinger, Hoss & Prussen

                                                       By:  /s/ JEAN HOSS
                                                            -----------------------------------------
                                                            Name: Jean Hoss
</Table>

Luxembourg,
May 29, 2002<Page>

                         INDEX TO FINANCIAL STATEMENTS

<Table>
<Caption>
                                                                PAGE
                                                              --------
<S>                                                           <C>
AUDITED CONSOLIDATED FINANCIAL STATEMENTS

Report of Independent Public Accountants....................     F-2

Consolidated Statements of Operations for the years ended
  November 30, 2001, 2000 and 1999..........................     F-3

Consolidated Balance Sheets at November 30, 2001 and 2000...     F-4

Consolidated Statements of Shareholders' Equity for the
  years ended November 30, 2001, 2000, 1999 and 1998........     F-5

Consolidated Statements of Cash Flows for the years ended
  November 30, 2001, 2000 and 1999..........................     F-6

Notes to Consolidated Financial Statements..................     F-7

UNAUDITED QUARTERLY CONSOLIDATED FINANCIAL STATEMENTS

Consolidated Statement of Operations for the three months
  ended February 28, 2002 and February 28, 2001.............    F-37

Consolidated Balance Sheets as of February 28, 2002,
  February 28, 2001 and audited Consolidated Balance Sheets
  as of November 30, 2001...................................    F-38

Segmental Analysis of Revenue for the three months ended
  February 28, 2002 and February 28, 2001...................    F-39
</Table>

                                      F-1

<Page>

                    REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS

To Stolt Offshore S.A.

    We have audited the accompanying consolidated balance sheets of Stolt
Offshore S.A. (a Luxembourg company) and its subsidiaries as of November 30,
2001 and 2000, and the related consolidated statements of operations,
shareholders' equity and cash flows for each of the three years in the period
ended November 30, 2001. These financial statements are the responsibility of
the Company's management. Our responsibility is to express an opinion on these
financial statements based on our audits.

    We conducted our audits in accordance with generally accepted auditing
standards in the United States. Those standards require that we plan and perform
the audit to obtain reasonable assurance about whether the financial statements
are free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements. An
audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.

    In our opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of Stolt Offshore S.A. and
subsidiaries as of November 30, 2001 and 2000 and the results of their
operations and their cash flows for each of the three years in the period ended
November 30, 2001, in conformity with accounting principles generally accepted
in the United States.

Arthur Andersen
Glasgow, United Kingdom
January 30, 2002

                                      F-2
<Page>
                     CONSOLIDATED STATEMENTS OF OPERATIONS

<Table>
<Caption>
------------------------------------------------------------------------------------------------
FOR THE YEAR ENDED NOVEMBER 30                                      2001        2000        1999
(IN THOUSANDS, EXCEPT PER SHARE DATA)                                  $           $           $
<S>                                                 <C>      <C>           <C>         <C>
================================================================================================
Net operating revenue                                          1,255,938     983,420     640,726
------------------------------------------------------------------------------------------------
Operating expenses                                           (1,161,553)   (930,046)   (568,304)
================================================================================================
GROSS PROFIT--$                                                   94,385      53,374      72,422
------------------------------------------------------------------------------------------------
          --%                                                       7.5%        5.4%       11.3%
------------------------------------------------------------------------------------------------
Equity in net income of non-consolidated joint
  ventures                                                        11,655       5,793       5,197
------------------------------------------------------------------------------------------------
Administrative and general expenses                             (64,043)    (60,913)    (51,825)
------------------------------------------------------------------------------------------------
Impairment of Comex trade name                      note 2       (7,932)          --          --
------------------------------------------------------------------------------------------------
Restructuring charges                               note 16           --     (3,294)     (1,639)
================================================================================================
NET OPERATING INCOME (LOSS)                                       34,065     (5,040)      24,155
------------------------------------------------------------------------------------------------
NON-OPERATING (EXPENSE) INCOME
------------------------------------------------------------------------------------------------
Interest expense                                                (29,271)    (32,157)    (17,692)
------------------------------------------------------------------------------------------------
Interest income                                                    2,451       2,165         966
------------------------------------------------------------------------------------------------
Foreign currency exchange losses, net                              (323)       (810)        (80)
------------------------------------------------------------------------------------------------
Other income, net                                                  2,300         142         355
================================================================================================
INCOME (LOSS) BEFORE INCOME TAXES AND MINORITY
  INTERESTS                                                        9,222    (35,700)       7,704
------------------------------------------------------------------------------------------------
Income tax (provision) benefit                      note 10     (20,619)       3,778       8,509
================================================================================================
(LOSS) INCOME BEFORE MINORITY INTERESTS                         (11,397)    (31,922)      16,213
------------------------------------------------------------------------------------------------
Minority interests                                               (2,806)     (2,521)          --
================================================================================================
NET (LOSS) INCOME                                               (14,203)    (34,443)      16,213
================================================================================================
EARNINGS PER COMMON SHARE
------------------------------------------------------------------------------------------------
Net (loss) income per Common Share and Common
  Share equivalent:
------------------------------------------------------------------------------------------------
  Basic                                                           (0.16)      (0.44)        0.27
------------------------------------------------------------------------------------------------
  Diluted                                                         (0.16)      (0.44)        0.27
------------------------------------------------------------------------------------------------
WEIGHTED AVERAGE NUMBER OF COMMON SHARES AND
  COMMON SHARE EQUIVALENTS OUTSTANDING              note 2        NUMBER      Number      Number
------------------------------------------------------------------------------------------------
  Basic                                                           87,201      78,774      59,092
------------------------------------------------------------------------------------------------
  Diluted                                                         87,201      78,774      59,545
------------------------------------------------------------------------------------------------
</Table>

    The accompanying notes to the consolidated financial statements are an
integral part of these consolidated financial statements.

                                      F-3
<Page>
                          CONSOLIDATED BALANCE SHEETS

<Table>
<Caption>
----------------------------------------------------------------------------------------------------
AS OF NOVEMBER 30                                                                   2001        2000
(IN THOUSANDS, EXCEPT SHARE DATA)                                                      $           $
<S>                                                           <C>              <C>         <C>
====================================================================================================
ASSETS
----------------------------------------------------------------------------------------------------
CURRENT ASSETS
----------------------------------------------------------------------------------------------------
Cash and cash equivalents                                                         11,670       6,315
----------------------------------------------------------------------------------------------------
Restricted cash deposits                                      note 4               1,296       4,337
----------------------------------------------------------------------------------------------------
Trade receivables                                             note 5             428,601     268,491
----------------------------------------------------------------------------------------------------
Inventories and work-in-progress                              note 6              25,424      33,701
----------------------------------------------------------------------------------------------------
Receivables due from related parties and short-term advances  note 9
  to non-consolidated joint ventures                                              61,140      29,837
----------------------------------------------------------------------------------------------------
Prepaid expenses and other current assets                     note 7              44,836      51,817
====================================================================================================
TOTAL CURRENT ASSETS                                                             572,967     394,498
====================================================================================================
Fixed assets, at cost                                         note 8           1,096,329   1,042,974
----------------------------------------------------------------------------------------------------
Less accumulated depreciation and amortization                note 8           (316,858)   (239,626)
====================================================================================================
Total fixed assets, net                                                          779,471     803,348
====================================================================================================
Deposits and non-current receivables                          note 7              36,192      24,223
----------------------------------------------------------------------------------------------------
Investments in and advances to non-consolidated joint         note 9
  ventures                                                                        35,529      37,004
----------------------------------------------------------------------------------------------------
Deferred taxes                                                note 10             10,386      13,705
----------------------------------------------------------------------------------------------------
Goodwill and other intangible assets                          note 2             122,236     126,733
----------------------------------------------------------------------------------------------------
Prepaid pension asset                                         note 11              3,482       3,261
====================================================================================================
TOTAL ASSETS                                                                   1,560,263   1,402,772
====================================================================================================
LIABILITIES AND SHAREHOLDERS' EQUITY
----------------------------------------------------------------------------------------------------
CURRENT LIABILITIES
----------------------------------------------------------------------------------------------------
Bank overdrafts                                               note 12              5,240       1,767
----------------------------------------------------------------------------------------------------
Short-term payables due to SNSA                               note 15              9,482       8,512
----------------------------------------------------------------------------------------------------
Current maturities of long-term debt and capital lease        note 13
  obligations                                                                     23,653       3,844
----------------------------------------------------------------------------------------------------
Accounts payable and accrued liabilities                      note 14            349,440     255,624
----------------------------------------------------------------------------------------------------
Accrued salaries and benefits                                                     41,515      36,736
----------------------------------------------------------------------------------------------------
Other current liabilities                                                         65,445      75,344
====================================================================================================
TOTAL CURRENT LIABILITIES                                                        494,775     381,827
====================================================================================================
Long-term debt and capital lease obligations                  note 13            335,026     288,653
----------------------------------------------------------------------------------------------------
Deferred taxes                                                note 10             18,194      26,743
----------------------------------------------------------------------------------------------------
Other long-term liabilities                                                       39,955      30,505
----------------------------------------------------------------------------------------------------
Accrued pension liability                                     note 11              4,992       3,797
----------------------------------------------------------------------------------------------------
Minority interests                                                                 7,299       1,798
====================================================================================================
TOTAL LONG-TERM LIABILITIES                                                      405,466     351,496
====================================================================================================
Commitments and contingencies                                 notes 17 and 22
----------------------------------------------------------------------------------------------------
SHAREHOLDERS' EQUITY                                          note 19
----------------------------------------------------------------------------------------------------
Common Shares, $2.00 par value--140,000,000 shares
  authorized (2000: 34,000,000), 70,228,536 shares issued
  and outstanding (2000: 22,723,134)                                             140,457      45,446
----------------------------------------------------------------------------------------------------
Class A Shares, $2.00 par value--nil shares authorized
  (2000: 68,000,000), nil shares issued and outstanding
  (2000: 47,429,790)                                                                  --      94,860
----------------------------------------------------------------------------------------------------
Class B Shares, $2.00 par value--34,000,000 shares
  authorized, issued and outstanding (2000: 34,000,000)                           68,000      68,000
----------------------------------------------------------------------------------------------------
Paid-in surplus                                                                  463,615     463,379
----------------------------------------------------------------------------------------------------
Retained earnings                                                                 52,436      66,639
----------------------------------------------------------------------------------------------------
Accumulated comprehensive loss                                                  (64,486)    (68,875)
====================================================================================================
TOTAL SHAREHOLDERS' EQUITY                                                       660,022     669,449
====================================================================================================
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY                                     1,560,263   1,402,772
====================================================================================================
</Table>

    The accompanying notes to the consolidated financial statements are an
integral part of these consolidated financial statements.

                                      F-4
<Page>
                CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY

<Table>
<Caption>
--------------------------------------------------------------------------------------------------------------------------
                                                                                               Accumulated           Total
                                      Common    Class A    Class B    Paid-in    Retained    comprehensive   shareholders'
                                      Shares     Shares     Shares    surplus    earnings             loss          equity
(in thousands, except share data)          $          $          $          $           $                $               $
<S>                                <C>         <C>        <C>        <C>        <C>         <C>              <C>
==========================================================================================================================
BALANCE, NOVEMBER 30, 1998            44,731     39,360     68,000    178,290      84,869         (14,700)         400,550
--------------------------------------------------------------------------------------------------------------------------
Net income                                --         --         --         --      16,213               --          16,213
--------------------------------------------------------------------------------------------------------------------------
Translation adjustments, net              --         --         --         --          --          (8,825)         (8,825)
--------------------------------------------------------------------------------------------------------------------------
Comprehensive income                      --         --         --         --          --               --              --
--------------------------------------------------------------------------------------------------------------------------
Exercise of share options                182         62         --        339          --               --             583
--------------------------------------------------------------------------------------------------------------------------
Other, net                                --         --         --       (78)          --               --            (78)
==========================================================================================================================
BALANCE, NOVEMBER 30, 1999            44,913     39,422     68,000    178,551     101,082         (23,525)         408,443
--------------------------------------------------------------------------------------------------------------------------
Issuance of 1,758,242 Class A
  Shares                                  --      3,516         --     21,934          --               --          25,450
--------------------------------------------------------------------------------------------------------------------------
Issuance of 6,142,857 Class A
  Shares                                  --     12,286         --    101,357          --               --         113,643
--------------------------------------------------------------------------------------------------------------------------
Issuance of 10,341,261 Class A
  Shares                                  --     20,683         --     79,317          --               --         100,000
--------------------------------------------------------------------------------------------------------------------------
Issuance of 9,433,962 Class A
  Shares                                  --     18,868         --     81,132          --               --         100,000
--------------------------------------------------------------------------------------------------------------------------
Net loss                                  --         --         --         --    (34,443)               --        (34,443)
--------------------------------------------------------------------------------------------------------------------------
Translation adjustments, net              --         --         --         --          --         (45,350)        (45,350)
--------------------------------------------------------------------------------------------------------------------------
Comprehensive loss                        --         --         --         --          --               --              --
--------------------------------------------------------------------------------------------------------------------------
Exercise of share options                533         85         --      1,280          --               --           1,898
--------------------------------------------------------------------------------------------------------------------------
Other, net                                --         --         --      (192)          --               --           (192)
==========================================================================================================================
BALANCE, NOVEMBER 30, 2000            45,446     94,860     68,000    463,379      66,639         (68,875)         669,449
--------------------------------------------------------------------------------------------------------------------------
Reclassification of Class A
  Shares to Common Shares             94,860   (94,860)         --         --          --               --              --
--------------------------------------------------------------------------------------------------------------------------
Net loss                                  --         --         --         --    (14,203)               --        (14,203)
--------------------------------------------------------------------------------------------------------------------------
Translation adjustment in respect
  of SFAS No. 133                         --         --         --         --          --          (2,238)         (2,238)
--------------------------------------------------------------------------------------------------------------------------
Gain on hedging reclassified into
  earnings                                --         --         --         --          --            2,238           2,238
--------------------------------------------------------------------------------------------------------------------------
Translation adjustments, net              --         --         --         --          --            4,389           4,389
--------------------------------------------------------------------------------------------------------------------------
Comprehensive loss                        --         --         --         --          --               --              --
--------------------------------------------------------------------------------------------------------------------------
Exercise of share options                151         --         --        376          --               --             527
--------------------------------------------------------------------------------------------------------------------------
Other, net                                --         --         --      (140)          --               --           (140)
==========================================================================================================================
BALANCE, NOVEMBER 30, 2001           140,457         --     68,000    463,615      52,436         (64,486)         660,022
==========================================================================================================================

<Caption>
---------------------------------  ---------------
                                     Comprehensive
                                            income
                                            (loss)
(in thousands, except share data)                $
<S>                                <C>
=================================
BALANCE, NOVEMBER 30, 1998
---------------------------------
Net income                                  16,213
---------------------------------
Translation adjustments, net               (8,825)
---------------------------------
Comprehensive income                         7,388
---------------------------------
Exercise of share options
---------------------------------
Other, net
=================================
BALANCE, NOVEMBER 30, 1999
---------------------------------
Issuance of 1,758,242 Class A
  Shares
---------------------------------
Issuance of 6,142,857 Class A
  Shares
---------------------------------
Issuance of 10,341,261 Class A
  Shares
---------------------------------
Issuance of 9,433,962 Class A
  Shares
---------------------------------
Net loss                                  (34,443)
---------------------------------
Translation adjustments, net              (45,350)
---------------------------------
Comprehensive loss                        (79,793)
---------------------------------
Exercise of share options
---------------------------------
Other, net
=================================
BALANCE, NOVEMBER 30, 2000
---------------------------------
Reclassification of Class A
  Shares to Common Shares
---------------------------------
Net loss                                  (14,203)
---------------------------------
Translation adjustment in respect
  of SFAS No. 133                          (2,238)
---------------------------------
Gain on hedging reclassified into
  earnings                                   2,238
---------------------------------
Translation adjustments, net                 4,389
---------------------------------
Comprehensive loss                         (9,814)
---------------------------------
Exercise of share options
---------------------------------
Other, net
=================================
BALANCE, NOVEMBER 30, 2001
=================================
</Table>

    The accompanying notes to the consolidated financial statements are an
integral part of these consolidated financial statements.

                                      F-5
<Page>
                     CONSOLIDATED STATEMENTS OF CASH FLOWS

<Table>
<Caption>
----------------------------------------------------------------------------------------------
FOR THE YEAR ENDED NOVEMBER 30                                     2001        2000       1999
(IN THOUSANDS)                                                        $           $          $
<S>                                                           <C>         <C>         <C>
==============================================================================================
CASH FLOWS FROM OPERATING ACTIVITIES
----------------------------------------------------------------------------------------------
Net (loss) income                                              (14,203)    (34,443)     16,213
----------------------------------------------------------------------------------------------
ADJUSTMENTS TO RECONCILE NET (LOSS) INCOME TO NET CASH
  PROVIDED BY OPERATING ACTIVITIES
----------------------------------------------------------------------------------------------
Depreciation and amortization                                    91,750      82,117     56,136
----------------------------------------------------------------------------------------------
Impairment of Comex trade name                                    7,932          --         --
----------------------------------------------------------------------------------------------
Amortization of drydock costs                                     8,441       3,985      3,793
----------------------------------------------------------------------------------------------
Equity in earnings of non-consolidated joint ventures          (11,655)     (5,793)    (5,197)
----------------------------------------------------------------------------------------------
Minority interest in consolidated subsidiaries                    2,806       2,521         --
----------------------------------------------------------------------------------------------
Deferred tax                                                    (4,434)    (16,731)   (15,668)
----------------------------------------------------------------------------------------------
Gain on sale of assets                                          (1,234)       (572)      (290)
----------------------------------------------------------------------------------------------
CHANGES IN OPERATING ASSETS AND LIABILITIES, NET OF
  ACQUISITIONS
----------------------------------------------------------------------------------------------
Trade receivables                                             (141,003)      18,316     42,320
----------------------------------------------------------------------------------------------
Prepaid expenses and other current assets                        10,024    (18,576)        774
----------------------------------------------------------------------------------------------
Inventories and work-in-progress                                  8,241    (13,160)      4,653
----------------------------------------------------------------------------------------------
Accounts and notes payable                                       91,022      29,094   (53,737)
----------------------------------------------------------------------------------------------
Accrued salaries and benefits                                       635     (5,517)    (8,793)
----------------------------------------------------------------------------------------------
Other short-term and other long-term liabilities               (25,928)      28,630      2,239
----------------------------------------------------------------------------------------------
Payments of drydock costs                                      (17,893)    (11,638)    (2,108)
==============================================================================================
NET CASH PROVIDED BY OPERATING ACTIVITIES                         4,501      58,233     40,335
==============================================================================================
CASH FLOWS USED IN INVESTING ACTIVITIES
----------------------------------------------------------------------------------------------
Acquisition of subsidiaries, net of cash acquired                  (61)   (111,175)         --
----------------------------------------------------------------------------------------------
Purchase of fixed assets                                       (62,868)    (61,724)   (90,918)
----------------------------------------------------------------------------------------------
Proceeds from sale of fixed and intangible assets                 5,590      19,157      2,807
----------------------------------------------------------------------------------------------
(Increase) decrease in investments and other non-current
  financial assets                                             (26,089)     (6,886)        680
----------------------------------------------------------------------------------------------
Dividends from non-consolidated joint ventures                   12,235          --     11,640
==============================================================================================
NET CASH USED IN INVESTING ACTIVITIES                          (71,193)   (160,628)   (75,791)
==============================================================================================
CASH FLOWS PROVIDED BY FINANCING ACTIVITIES
----------------------------------------------------------------------------------------------
Net increase (decrease) in bank overdrafts                        3,332   (104,323)      5,624
----------------------------------------------------------------------------------------------
Proceeds from issuance of long-term debt                         69,985     340,000     34,000
----------------------------------------------------------------------------------------------
Repayments of long-term debt                                         --   (175,597)    (1,370)
----------------------------------------------------------------------------------------------
Decrease (increase) in restricted cash deposits securing
  capital lease obligations and accrued taxation liabilities      2,628     (2,601)    (1,012)
----------------------------------------------------------------------------------------------
Repayments of capital lease obligations                         (3,845)     (5,425)    (3,117)
----------------------------------------------------------------------------------------------
Decrease in funding from affiliate                                   --   (150,000)         --
----------------------------------------------------------------------------------------------
Proceeds from the issuance of Class A Shares                         --     199,808         --
----------------------------------------------------------------------------------------------
Exercise of share options                                           387       1,898        583
==============================================================================================
NET CASH PROVIDED BY FINANCING ACTIVITIES                        72,487     103,760     34,708
==============================================================================================
Effect of exchange rate changes on cash                           (440)       (902)    (2,775)
==============================================================================================
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS              5,355         463    (3,523)
----------------------------------------------------------------------------------------------
Cash and cash equivalents at beginning of year                    6,315       5,852      9,375
==============================================================================================
CASH AND CASH EQUIVALENTS AT END OF YEAR                         11,670       6,315      5,852
==============================================================================================
</Table>

    The accompanying notes to the consolidated financial statements are an
integral part of these consolidated financial statements.

                                      F-6
<Page>
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

1.  THE COMPANY

    Stolt Offshore S.A. ("the Company") is one of the largest offshore
contractors in the world with services covering all phases of subsea offshore
oil and gas operations from exploration to decommissioning. The Company operates
in more than 60 countries worldwide and maintains regional offices in the United
Kingdom; Norway; Asia Pacific; Southern Europe, Africa and the Middle East
("SEAME"); South America; and North America.

    The market for the Company's services is dependent upon the success of
exploration and the level of development and production expenditures in the oil
and gas industry. Such expenditures are cyclical in nature and influenced by
prevailing and anticipated oil and gas prices.

    The Company has investments in several joint ventures, the most significant
of which is Mar Profundo Girassol, a joint venture with a French engineering
company. The Company's share of the joint venture's net income is 50%.

    The remainder of the joint ventures in which the Company has interests, with
the exception of Seaway Heavy Lifting Limited ("SHL") and NKT Flexibles I/S,
have been entered into on project specific bases to enhance the range of
services provided to the customer. In these joint ventures, the Company will
typically have interests ranging from 25% to 55%.

2.  ACCOUNTING POLICIES

PRINCIPLES OF CONSOLIDATION

    The consolidated financial statements have been prepared in accordance with
generally accepted accounting principles in the U.S. and include the accounts of
all majority-owned companies in which the Company has operating control. All
significant intercompany transactions and balances have been eliminated. The
Company accounts for its non-consolidated joint ventures under the equity
method.

    The Company records minority interest expense, which reflects the portion of
the earnings of the majority-owned operations that are applicable to the
minority interest partners. Following the acquisition of ETPM S.A. ("ETPM") in
2000, the Company increased its holding in Alto Mar Girassol from 33 1/3% to
66 2/3%. The minority interest amounts recorded in the accompanying consolidated
financial statements primarily represent the share of minority partners interest
in this entity and minority partners 62% interest in Paragon Engineering
Holdings, Inc., the recently acquired engineering service group which is
discussed further in Note 3.

FOREIGN CURRENCY TRANSLATION

    The Company, incorporated in Luxembourg, has U.S. Dollar share capital and
dividends are expected to be paid in U.S. Dollars. As a result, the Company's
reporting currency is the U.S. Dollar.

    The Company translates the financial statements of its subsidiaries from
their functional currencies (usually local currencies) into U.S. Dollars. Assets
and liabilities denominated in foreign currencies are translated at the exchange
rates in effect at the balance sheet date. Revenue and expenses are translated
at exchange rates which approximate the average exchange rates prevailing during
the period. The resulting translation adjustments are recorded in a separate
component of accumulated comprehensive loss as "Translation adjustments, net" in
the accompanying consolidated statements of shareholders' equity. Exchange gains
and losses resulting from transactions denominated in a currency other than that
of the functional currency are included in "Foreign currency exchange losses,
net" in the accompanying consolidated statements of operations. The functional
currencies of the companies

                                      F-7
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

2.  ACCOUNTING POLICIES (CONTINUED)
that comprise the Norway region and the U.K. region are Norwegian Kroner and
British Pound, respectively. The U.S. Dollar is the functional currency of the
most significant subsidiaries within the Asia Pacific, North America, SEAME and
South America regions.

    The Company uses derivative instruments, primarily foreign exchange forward
contracts, to reduce its exposure to currency fluctuations. All of the
instruments used are hedges against forecasted underlying operating or balance
sheet exposures, the former designated as cash flow hedges and the latter
designated as fair value hedges. The Company does not enter into open
speculative positions. Effective December 1, 2000, the Company adopted Statement
of Financial Accounting Standards ("SFAS") No. 133, "ACCOUNTING FOR DERIVATIVE
INSTRUMENTS AND HEDGING ACTIVITIES", as amended, which requires that all
derivative instruments be reported on the balance sheet at fair value and
establishes criteria for designation and effectiveness of hedging relationships.
If the derivative is designated as a cash flow hedge, the effective portions of
the changes in the fair value of the derivative instrument are recorded in other
comprehensive income ("OCI") and are recognized in the statement of operations
when the hedged item affects earnings. If the derivative instrument is
designated as a fair value hedge, the changes in the fair value of the
derivative instrument and of the hedged item attributable to the hedged risk are
recognized in the results of operations. Ineffective portions of changes in the
fair value or the cash flow hedges are recognized in earnings. The cumulative
effect of adopting SFAS No. 133 was not material. See the further discussion on
derivative instruments in Note 23.

REVENUE RECOGNITION

    Long-term contracts are accounted for using the percentage-of-completion
method. Revenue and gross profit are recognized each period based upon the
advancement of the work-in-progress, which is based on the ratio of costs
incurred to date to the total estimated costs, taking into account the level of
physical completion. Where the stage of completion is insufficient to enable a
reasonably certain forecast of gross profit to be established, no gross profit
is recognized during the period. Provisions for anticipated losses are made in
the period in which they become known.

    A major portion of the Company's revenue is billed under fixed-price
contracts. However, due to the nature of the services performed, variation
orders are commonly billed to the customers in the normal course of business and
are recognized as contract revenue only after agreement from the customers has
been reached on the scope of work and fees to be charged.

    The financial reporting of the Company's contracts depends on estimates,
which are assessed continually during the term of these contracts. Recognized
revenues and profits are subject to revisions as the contract progresses to
completion, and revisions in profit estimates are reflected in the period in
which the facts that give rise to the revision become known. The net effect on
net income of significant revisions to contract estimates was $2.4 million,
$(10.7) million and $0.0 million in 2001, 2000 and 1999, respectively. The net
effect of these revisions on net (loss) income per share was $0.03, $(0.14) and
$0.0 in 2001, 2000 and 1999, respectively.

FIXED ASSETS

    Fixed assets are recorded at cost or fair market value when obtained through
acquisition. Interest costs incurred between the date that financing is provided
for an asset and the date that the asset is ready for use are capitalized. No
interest was capitalized for the years ended November 30, 2001, 2000 or 1999.
Assets acquired pursuant to capital leases are capitalized at the present value
of the underlying lease obligations and amortized on the same basis as fixed
assets described below.

                                      F-8
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

2.  ACCOUNTING POLICIES (CONTINUED)
    Depreciation of fixed assets is recorded on a straight-line basis over the
useful lives of the assets as follows:

<Table>
<S>                                                           <C>
----------------------------------------------------------------------------
Construction support ships                                     6 to 25 years

Operating equipment                                            7 to 10 years

Buildings                                                     20 to 33 years

Other assets                                                   5 to 10 years
----------------------------------------------------------------------------
</Table>

    Ships are depreciated to a residual value of 10% of acquisition cost, which
reflects management's estimate of salvage or otherwise recoverable value. No
residual value is assumed with respect to other fixed assets.

    Costs for fitting out construction support ships are capitalized and
amortized over a period equal to the remaining useful life of the related
equipment. Permanent marine inventories on ships are depreciated in a manner
similar to their related ships.

    Depreciation expense, which includes amortization of assets under capital
leases, was approximately $86.0 million for the year ended November 30, 2001
(2000: $76.2 million and 1999: $50.3 million).

    On December 1, 1999 the Company changed its accounting policy for drydock
costs from an accrual basis to a deferral basis. Amortization of capitalized
drydock costs was $8.4 million for the year ended November 30, 2001 (2000:
$4.0 million and 1999: $3.8 million). The unamortized portion of capitalized
drydock costs of $21.2 million (2000: $11.9 million) is included in "Deposits
and non-current receivables" in the accompanying consolidated balance sheets.

    Maintenance and repair costs, which are expensed as incurred, were
$42.1 million for the year ended November 30, 2001 (2000: $44.2 million and
1999: $33.7 million).

GOODWILL AND OTHER INTANGIBLE ASSETS

    Goodwill represents the excess of the purchase price over the fair value of
net assets acquired. Goodwill arising on acquisitions prior to June 30, 2001 is
being amortized on a straight-line basis over 15 to 30 years and is reviewed for
impairment whenever events or changes in circumstances indicate that the
carrying value may not be recoverable. Goodwill arising after this date will not
be amortized in accordance with SFAS No. 142, "GOODWILL AND OTHER INTANGIBLE
ASSETS" and is tested for impairment on an annual basis or earlier whenever
indicators of impairment arise.

    Included in the net book value of intangible assets at November 30, 2001 was
goodwill of $120.1 million (2000: $117.7 million) and other intangible assets of
$2.1 (2000: $9.0 million). The amortization expense for the year ended
November 30, 2001 was $5.7 million excluding the one-off impairment charge for
the Comex trade name as discussed below (2000: $5.9 million and 1999:
$5.8 million).

    During the year ended November 30, 2001, in light of the increased worldwide
recognition of the Stolt Offshore name, the Company reviewed the carrying value
of its former trade name Comex for possible impairment in accordance with SFAS
No. 121, "ACCOUNTING FOR THE IMPAIRMENT OF LONG-LIVED ASSETS AND FOR LONG-LIVED
ASSETS TO BE DISPOSED OF". The Company determined that the value of the

                                      F-9
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

2.  ACCOUNTING POLICIES (CONTINUED)
trade name had been impaired and recorded a charge of $7.9 million in its
results of operations for the write-down of the trade name.

CASH AND CASH EQUIVALENTS

    Cash and cash equivalents include time deposits and certificates of deposit
with an original maturity of three months or less.

EARNINGS PER SHARE

    Earnings per share is computed using the weighted average number of Common
and Class B Shares and equivalents outstanding during each period. The
computations for the three years ended November 30, 2001 are based upon the
following outstanding shares:

<Table>
===============================================================================================
AS OF NOVEMBER 30                                                2001         2000         1999
===============================================================================================
<S>                                                        <C>          <C>          <C>
BASIC
-----------------------------------------------------------------------------------------------
Common Shares                                              70,201,030   61,774,156   42,091,928
-----------------------------------------------------------------------------------------------
Class B Shares                                             17,000,000   17,000,000   17,000,000
===============================================================================================
TOTAL                                                      87,201,030   78,774,156   59,091,928
===============================================================================================
DILUTED
-----------------------------------------------------------------------------------------------
Common Shares                                              70,201,030   61,774,156   42,544,870
-----------------------------------------------------------------------------------------------
Class B Shares                                             17,000,000   17,000,000   17,000,000
===============================================================================================
TOTAL                                                      87,201,030   78,774,156   59,544,870
===============================================================================================
Basic                                                      87,201,030   78,774,156   59,091,928
-----------------------------------------------------------------------------------------------
Potentially dilutive share options                                 --           --      452,942
===============================================================================================
Diluted                                                    87,201,030   78,774,156   59,544,870
===============================================================================================
</Table>

    The diluted loss per share for the year ended November 30, 2001 does not
include common share equivalents in respect of share options of 415,941 as their
effect would be anti-dilutive (2000: 624,373).

    Class B Shares have only 50% of the economic rights of Common Shares.

    All share data and per share data have been restated to reflect the share
reclassification on March 7, 2001 whereby Class A Shares were reclassified to
Common Shares on a one-for-one basis.

STOCK BASED COMPENSATION

    The Company has elected to account for its stock based compensation awards
to employees and directors under Accounting Principles Board ("APB") Opinion
No. 25 and to provide the disclosures required by SFAS No. 123, "ACCOUNTING FOR
STOCK BASED COMPENSATION" in Note 20.

                                      F-10
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

2.  ACCOUNTING POLICIES (CONTINUED)
CONSOLIDATED STATEMENT OF CASH FLOWS

    Cash interest and cash paid for income taxes during the year ended
November 30, 2001 were $27.2 million and $13.7 million, respectively, (2000:
$27.0 million and $8.0 million, respectively, and 1999: $7.1 million and
$10.4 million, respectively).

IMPACT OF NEW ACCOUNTING STANDARDS

    In July 2001, the Financial Accounting Standards Board ("FASB") issued SFAS
No. 141, "BUSINESS COMBINATIONS" and SFAS No. 142, "GOODWILL AND OTHER
INTANGIBLE ASSETS". SFAS No. 141 applies to all business combinations with a
closing date after June 30, 2001 and eliminates the pooling-of-interests method
of accounting and further clarifies the criteria for recognition of intangible
assets separately from goodwill. SFAS No. 142 eliminates the amortization of
goodwill and indefinite-lived intangible assets and initiates an annual review
for impairment. Identifiable intangible assets with determinable useful lives
will continue to be amortized. The amortization provisions apply to goodwill and
to other intangible assets acquired after June 30, 2001. Goodwill and other
intangible assets acquired prior to June 30, 2001 will be affected upon
adoption. The Company will adopt SFAS No. 142 for the fiscal year commencing
December 1, 2002 which will require the Company to cease amortization of its
remaining net goodwill balance and perform an impairment test of its existing
goodwill based on a fair value concept. The Company has not determined the
impact that these Statements will have on goodwill and other intangible assets
or whether a cumulative effect adjustment will be required upon adoption to
reflect the impairment of previously recognized goodwill and other intangible
assets.

    In June 2001, the FASB issued SFAS No. 143, "ACCOUNTING FOR ASSET RETIREMENT
OBLIGATIONS". SFAS No. 143 requires that the fair value of a liability for an
asset retirement obligation be recognized in the period in which it is incurred
if a reasonable estimate of fair value can be made. The associated asset
retirement costs are capitalized as part of the carrying amount of the
long-lived asset. Changes in the liability for an asset retirement due the
passage of time shall be recognized as an increase in the carrying amount of the
liability and as an operating expense in the statement of operations. SFAS
No. 143 is effective for fiscal years beginning after June 15, 2002. The Company
does not anticipate that adoption of SFAS No. 143 will have a material impact on
its results of operations or its financial position.

    In August 2001, the FASB issued SFAS No. 144, "ACCOUNTING FOR THE IMPAIRMENT
OR DISPOSAL OF LONG-LIVED ASSETS". SFAS No. 144 superseded SFAS No. 121,
"ACCOUNTING FOR THE IMPAIRMENT OF LONG-LIVED ASSETS AND FOR LONG-LIVED ASSETS TO
BE DISPOSED OF." SFAS No. 144 primarily addresses significant issues relating to
the implementation of SFAS No. 121 and develops a single accounting model for
long-lived assets to be disposed of by sale that is consistent with the
fundamental provisions of SFAS No. 121. SFAS No. 144 is effective for fiscal
years beginning after December 15, 2001. The Company currently has no plans to
dispose of any operations and, accordingly, does not anticipate that adoption of
SFAS No. 144 will have a material impact on its results of operations or its
financial position.

COMPARATIVE AMOUNTS

    Certain amounts within the 2000 financial statements have been reclassified
to conform with the 2001 presentation.

                                      F-11
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

3.  BUSINESS ACQUISITIONS

    On March 30, 2001, the Company acquired 82% of the voting rights and 62% of
the economic rights of a newly created company, Paragon Engineering
Holdings, Inc. ("PEH"). PEH subsequently purchased 20% of the share capital of
Paragon Engineering Services, Inc. ("Paragon"), a Houston-based engineering
service company, and an option to purchase an additional 40% of the share
capital. PEH exercised the option on September 4, 2001. On July 18, 2001, the
Company purchased the entire share capital of the Paris-based engineering
company Ingerop Litwin ("Litwin"). These acquisitions, by adding conceptual
design and detailed engineering services, will enable the Company to better
undertake all engineering required on many of the large engineering,
procurement, installation and commission type contracts that are expected to
come into the market in the next few years.

    The consideration, including acquisition costs, paid to acquire Paragon and
Litwin was $16.7 million of which $4.3 million in relation to the Paragon
acquisition has been deferred for payment until March 30, 2005. The net present
value of the deferred payment has been included in "Other long-term liabilities"
in the accompanying balance sheet. Additionally, from March 30, 2005, the
Paragon sale agreement provides for a payment to be made to a former shareholder
of Paragon, under the terms of a put and call option. This payment is contingent
upon a multiplier of the future earnings of Paragon, as defined in the
agreement, exceeding the deferred consideration. No recognition of the
contingent payment has been made in the financial statements of the Company as
it is not certain beyond reasonable doubt that this payment will be made and
currently it is not possible to quantify the amount.

    The results of Paragon have been included in the consolidated results of
operations from September 4, 2001, when the Company assumed effective control of
the entity. The amount which represents the minority shareholders' interests in
the results of Paragon, effectively 62%, has been recorded as minority interest
expense in the results of operations of the Company. The results of Litwin have
been included in the consolidated results of operations from July 18, 2001.

    The following table summarizes the estimated fair values of the assets
acquired and the liabilities assumed at the date of acquisition. The Company is
in the process of obtaining third-party valuations of certain intangible assets,
thus the allocation of the purchase price is subject to refinement. All
intangible assets other than goodwill, which are mainly customer lists and
various engineering databases, are subject to amortization over estimated useful
lives of three to 10 years.

<Table>
======================================================================
(in thousands)                                                       $
======================================================================
<S>                                                           <C>
Current assets                                                  30,989
----------------------------------------------------------------------
Fixed assets, at cost                                            2,538
----------------------------------------------------------------------
Intangible assets                                                2,066
----------------------------------------------------------------------
Goodwill                                                         8,475
----------------------------------------------------------------------
Other non-current assets                                           939
======================================================================
Total assets acquired                                           45,007
----------------------------------------------------------------------
Current liabilities                                           (23,897)
----------------------------------------------------------------------
Non-current liabilities                                          (799)
----------------------------------------------------------------------
Minority interest                                              (3,657)
======================================================================
Net assets acquired                                             16,654
======================================================================
</Table>

                                      F-12
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

3.  BUSINESS ACQUISITIONS (CONTINUED)
    On December 7, 1999, the Company completed a transaction to form a joint
venture entity, NKT Flexibles I/S ("NKT"), a manufacturer of flexible flowlines
and dynamic flexible risers for the offshore oil and gas industry. The
transaction was effected through the acquisition of Danco A/S, a wholly-owned
Norwegian company, which holds the investment in NKT. NKT is owned 51% by NKT
Holdings A/S, and 49% by the Company through Danco A/S. The total consideration
for the acquisition was $36.0 million: $10.5 million cash and the issue of
1,758,242 Class A Shares, with an average guaranteed value of $14.475 per share
for a value of $25.5 million. The Class A Shares have subsequently been
converted to Common Shares on a one-for-one basis. As of November 30, 2001, the
Company continued to have an obligation for an average guaranteed value of
$14.95 over 1,128,742 Common Shares.

    The acquisition of Danco A/S has been accounted for by the purchase method
of accounting and, accordingly, the operating results have been included in the
Company's results of operations from the date of acquisition. The excess of cash
paid over the fair value of net assets acquired has been recorded as goodwill of
$2.1 million at the date of acquisition. The goodwill is being amortized over
10 years. The Company accounts for the investment in NKT as a non-consolidated
joint venture under the equity method.

    On December 16, 1999, the Company acquired approximately 55% of the French
offshore construction and engineering company ETPM S.A. ("ETPM"), a wholly-owned
subsidiary of Groupe GTM S.A. ("GTM"). GTM has subsequently been acquired by
Groupe Vinci S.A. ("Vinci"). The remaining 45% of ETPM was acquired on
February 4, 2000.

    The total consideration for the acquisition was $350.0 million and was
comprised of the following items: (i) $111.6 million in cash; (ii) the issue of
6,142,857 Class A Shares, which have subsequently converted to Common Shares on
a one-for-one basis, with a minimum guarantee price of $18.50 per share for a
total value of $113.6 million; (iii) the assumption of debt of $18.4 million due
from ETPM to GTM and debt of $71.0 million due to third parties;
(iv) acquisition costs of $3.4 million; and (v) $32.0 million being the net
present value at acquisition of a hire purchase arrangement for two ships owned
by GTM, the SEAWAY POLARIS and the DLB 801, with an early purchase option after
two years.

    The acquisition has been accounted for by the purchase method of accounting
and, accordingly, the operating results have been included in the Company's
results of operations from the date of acquisition. The acquisition generated
negative goodwill of $5.8 million and non-current assets have been reduced by
this amount.

    The acquisition was initially funded by cash provided by Stolt-Nielsen S.A.
("SNSA"), the Company's majority shareholder, and was replaced by a bridge
finance facility which has subsequently been repaid.

    As described more fully in Note 24, Vinci has advised the Company of its
intention to sell all of the Common Shares given as partial consideration by the
Company for the acquisition of ETPM. The Company, in turn, has advised Vinci
that it will organize the sale. As specified in the ETPM acquisition agreement,
the minimum share price guarantee of $18.50 per share will apply.

    The following unaudited pro forma information presents a summary of the
consolidated results of operations of the Company, Paragon and Litwin as if the
acquisitions occurred at the beginning of 2000 and the consolidated results of
operations of the Company, ETPM and Danco A/S as if the acquisitions occurred at
the beginning of 1999. Pro forma adjustments include depreciation and
amortization,

                                      F-13
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

3.  BUSINESS ACQUISITIONS (CONTINUED)
interest charges on debt and lines of credit, elimination of deferred gains,
adjustments to operating lease expense, pension adjustments, elimination of
related party transactions and the tax adjustments associated with the above.
The pro forma consolidated results of operations for the year ended
November 30, 2000 would not be materially different from the actual results in
respect of the acquisitions of ETPM and Danco A/S as the acquisitions occurred
close to the start of the financial year.

    Pro forma results for the Company, Paragon and Litwin.

<Table>
===================================================================================
                                                                          (unaudited)
FOR THE YEAR ENDED NOVEMBER 30                                     2001        2000
(in thousands, except per share data)                                 $           $
===================================================================================
<S>                                                           <C>         <C>
Net operating revenue                                         1,313,289   1,030,748
-----------------------------------------------------------------------------------
Net loss                                                        (14,193)   (40,277)
-----------------------------------------------------------------------------------
Net loss per share:
-----------------------------------------------------------------------------------
  Basic                                                           (0.16)     (0.51)
-----------------------------------------------------------------------------------
  Diluted                                                         (0.16)     (0.51)
===================================================================================
</Table>

    Pro forma results for the Company, ETPM and Danco A/S.

<Table>
=======================================================================
                                                              (unaudited)
FOR THE YEAR ENDED NOVEMBER 30                                     1999
(in thousands, except per share data)                                 $
=======================================================================
<S>                                                           <C>
Net operating revenue                                         1,360,678
-----------------------------------------------------------------------
Net income                                                       25,683
-----------------------------------------------------------------------
Net income per share:
-----------------------------------------------------------------------
  Basic                                                            0.33
-----------------------------------------------------------------------
  Diluted                                                          0.33
=======================================================================
</Table>

    The pro forma consolidated results do not purport to be indicative of
results that would have occurred had the acquisitions been in effect for the
period presented, nor do they purport to be indicative of the results that will
be obtained in the future.

    The Company's revenue for 2001 included sales of $1.1 million to Paragon.
The Company's revenue for 1999 included sales of $2.1 million to ETPM.

4.  RESTRICTED CASH DEPOSITS

    Restricted cash balances comprise both funds held in a separate Company bank
account, which will be used to settle accrued taxation liabilities, and deposits
made by the Company as security for certain third-party obligations. There are
no other significant conditions on the restricted cash balances.

5.  TRADE RECEIVABLES

    Trade receivables at November 30, 2001 of $428.6 million (2000:
$268.5 million) are net of allowances for doubtful accounts of $9.2 million
(2000: $8.3 million). Included in trade receivables at

                                      F-14
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

5.  TRADE RECEIVABLES (CONTINUED)

November 30, 2001 was $215.1 million (2000: $99.8 million) of unbilled
receivables and $1.2 million (2000: $.8 million) of retainage.

6.  INVENTORIES AND WORK-IN-PROGRESS

    Inventories and work-in-progress are stated at the lower of cost or market
value and comprise the following:

<Table>
=================================================================================
AS OF NOVEMBER 30                                                2001       2000
(in thousands)                                                      $          $
=================================================================================
<S>                                                           <C>        <C>
Materials and supplies, net of reserve of $4,181 (2000:
  $2,423)                                                      14,620     11,789
---------------------------------------------------------------------------------
Spare parts, net of reserve of $1,402 (2000: $1,502)            4,281      5,027
---------------------------------------------------------------------------------
Work-in-progress and mobilizations                              4,227     14,441
---------------------------------------------------------------------------------
Fuels                                                           2,237      2,398
---------------------------------------------------------------------------------
Other                                                              59         46
=================================================================================
                                                               25,424     33,701
=================================================================================
</Table>

    Costs are generally determined in accordance with the weighted-average cost
method. Costs of fitting out and preparing equipment for specific contracts are
included in work-in-progress. Such costs, principally labor and materials, are
amortized over the shorter of the expected duration of the contracts or the
estimated useful life of the asset.

7.  EMPLOYEE LOANS

    Included in prepaid expenses and other current assets are loans to employees
of $4.5 million (2000: $2.6 million). Included in deposits and non-current
receivables are loans to employees of $0.1 million (2000: $0.4 million).

8.  FIXED ASSETS, NET

    Fixed assets comprise the following:

<Table>
=========================================================================================================
AS OF NOVEMBER 30                                                          2001                   2000
(in thousands)                                                        $       %              $       %
=========================================================================================================
<S>                                                           <C>         <C>        <C>         <C>
Construction support ships                                      715,367      65        711,062      68
---------------------------------------------------------------------------------------------------------
Operating equipment                                             322,339      29        281,816      27
---------------------------------------------------------------------------------------------------------
Land and buildings                                               19,964       2         19,916       2
---------------------------------------------------------------------------------------------------------
Other assets                                                     38,659       4         30,180       3
---------------------------------------------------------------------------------------------------------
                                                              1,096,329     100      1,042,974     100
---------------------------------------------------------------------------------------------------------
Less: Accumulated depreciation and amortization                (316,858)              (239,626)
---------------------------------------------------------------------------------------------------------
                                                                779,471                803,348
=========================================================================================================
</Table>

                                      F-15
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

9.  INVESTMENTS IN AND ADVANCES TO NON-CONSOLIDATED JOINT VENTURES

    Investments in and advances to non-consolidated joint ventures comprise the
following:

<Table>
=================================================================================================
AS OF NOVEMBER 30                                       Geographical              2001       2000
(in thousands)                                          location                     $          $
=================================================================================================
<S>                                                     <C>                   <C>        <C>
NKT Flexibles I/S                                       Denmark                 18,379     23,237
-------------------------------------------------------------------------------------------------
Mar Profundo Girassol                                   West Africa, SEAME       9,580     11,261
-------------------------------------------------------------------------------------------------
Sonamet                                                 West Africa, SEAME     (7,458)    (8,126)
-------------------------------------------------------------------------------------------------
Sonastolt                                               West Africa, SEAME       6,150      5,321
-------------------------------------------------------------------------------------------------
Seaway Heavy Lifting Limited                            Cyprus                   3,191      2,809
-------------------------------------------------------------------------------------------------
Project joint ventures                                  Norway, SEAME            2,555      (190)
-------------------------------------------------------------------------------------------------
Other                                                   Norway, SEAME            3,132      2,692
=================================================================================================
                                                                                35,529     37,004
=================================================================================================
</Table>

    In circumstances where the Company owns more than 50% of the voting
interest, but the Company's ability to control the operation of the investee is
restricted by the significant participating interest held by another party, the
investment is consolidated under the equity method of accounting.

    The Company accrues losses in excess of the investment value when the
Company is committed to provide ongoing financial support to the joint venture.

    Taxation in respect of project joint ventures has been included in the
results of the relevant subsidiaries. Undistributed reserves of all other joint
ventures will not be taxed on distribution.

    Summarized financial information for the Company's non-consolidated joint
ventures, representing 100% of the respective amounts included in the joint
ventures' financial statements, is as follows:

INCOME STATEMENT DATA

<Table>
============================================================================================
FOR THE YEAR ENDED NOVEMBER 30                                   2001       2000       1999
(in thousands)                                                      $          $          $
============================================================================================
<S>                                                           <C>        <C>        <C>
Net operating revenue                                         296,305    357,984    237,516
--------------------------------------------------------------------------------------------
Gross profit                                                   27,599     29,102     14,581
--------------------------------------------------------------------------------------------
Net income                                                     24,329     15,351     13,117
============================================================================================
</Table>

BALANCE SHEET DATA

<Table>
=================================================================================
AS OF NOVEMBER 30                                                2001       2000
(in thousands)                                                      $          $
=================================================================================
<S>                                                           <C>        <C>
Current assets                                                231,402    216,333
---------------------------------------------------------------------------------
Non-current assets                                            104,868    127,073
---------------------------------------------------------------------------------
Current liabilities                                           237,581    247,510
---------------------------------------------------------------------------------
Long-term liabilities                                          38,922     25,269
=================================================================================
</Table>

                                      F-16
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

9.  INVESTMENTS IN AND ADVANCES TO NON-CONSOLIDATED JOINT VENTURES (CONTINUED)
    For commercial reasons, the Company has structured certain contractual
services through its joint ventures. The income statement data for the
non-consolidated joint ventures presented above includes the following expenses
related to transactions with the Company in 2001, 2000 and 1999 respectively:
charter hire of $5.1 million, $4.4 million and $7.2 million and other expenses
of $60.5 million, $34.2 million and $27.9 million. The joint ventures also
received revenue of $39.5 million, $45.0 million and $7.0 million from the
Company. The balance sheet data includes amounts payable to joint ventures by
the Company of $9.7 million and $17.4 million and short-term amounts receivable
by the Company of $61.1 million and $29.8 million at November 30, 2001 and 2000,
respectively.

10.  INCOME TAXES

    The income tax (provision) benefit is as follows:

<Table>
============================================================================================
FOR THE YEAR ENDED NOVEMBER 30                                   2001       2000       1999
(in thousands)                                                      $          $          $
============================================================================================
<S>                                                           <C>        <C>        <C>
Current                                                       (25,052)   (12,953)    (7,159)
--------------------------------------------------------------------------------------------
Deferred                                                        4,433     16,731     15,668
============================================================================================
Income tax (provision) benefit                                (20,619)     3,778      8,509
============================================================================================
</Table>

    The tax effects of temporary differences and net operating loss
carryforwards ("NOLs") at November 30, 2001 and 2000 are as follows:

<Table>
=================================================================================
AS OF NOVEMBER 30                                                2001       2000
(in thousands)                                                      $          $
=================================================================================
<S>                                                           <C>        <C>
Net operating loss carryforwards                               77,128     61,788
---------------------------------------------------------------------------------
Other accruals, net                                            38,118     18,952
---------------------------------------------------------------------------------
Fixed assets                                                  (63,290)   (72,822)
=================================================================================
Net deferred tax before valuation allowance                    51,956      7,918
---------------------------------------------------------------------------------
Valuation allowance                                           (57,142)   (20,956)
=================================================================================
Net deferred tax liability                                     (5,186)   (13,038)
=================================================================================
Short-term deferred tax asset                                   2,622         --
---------------------------------------------------------------------------------
Long-term deferred tax asset                                   10,386     13,705
---------------------------------------------------------------------------------
Deferred tax liability                                        (18,194)   (26,743)
=================================================================================
                                                               (5,186)   (13,038)
=================================================================================
</Table>

    The Company accounts for income taxes in accordance with SFAS No. 109,
"ACCOUNTING FOR INCOME TAXES". SFAS No. 109 requires that the tax benefit of
such NOLs be recorded as an asset to the extent that management assesses the
utilization of such NOLs to be "more likely than not".

    The Company has a net deferred tax asset in the U.S. totalling
$10.8 million. This represents NOLs, net of fixed asset and other timing
differences. These NOLs expire through 2019. Management has decided not to
increase the net deferred tax asset for NOLs at this time and has taken a
valuation allowance against the current year's NOL.

                                      F-17
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

10.  INCOME TAXES (CONTINUED)
    Management has determined that the results of the U.S. businesses have been
severely impacted by the oil and gas prices, which remained low for most of
2001. Management believes, based on the Company's history of operating earnings
prior to this significant market slump and its expectations for the future, that
operating income of the Company will more likely than not be sufficient to fully
realize the $10.8 million net deferred tax asset prior to the expiry of the
NOLs. In determining this, management has considered the fact that there are a
number of bids for larger field development projects coming into the market and
that the margins on local business are expected to recover in 2002 and a
reduction in the intercompany interest burden of the U.S. subsidiaries over the
next few years.

    The Company has taken a valuation allowance against the brought forward
deferred tax asset for NOLs of $1.6 million in Australia and has recognized no
deferred tax benefit against the 2001 results.

    The net deferred tax asset in Norway of $2.2 million represents NOLs.
Management has determined, based on the history of operating earnings and
expectations of the future, that the operating income of the Company will more
likely than not be sufficient to fully realize these net deferred tax assets
prior to the expiry of the NOLs, which expire through to 2011.

    The United Kingdom has unused NOLs, on a tax-effected basis, of
$4.4 million as at November 30, 2001, which may be carried forward indefinitely.

    The Company's United Kingdom shipping subsidiaries have elected to join the
United Kingdom tonnage tax regime, whereby taxable income over the next ten
years will be computed in part by reference to the tonnage of vessels.
Accordingly, the Company has released part of the deferred tax liability arising
on accelerated United Kingdom shipping tax allowances.

                                      F-18
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

10.  INCOME TAXES (CONTINUED)

    The income tax benefit (provision) at the Company's effective tax rate
differs from the income tax benefit (provision) at the statutory rate. Principal
reconciling items include the following:

<Table>
<Caption>
---------------------------------------------------------------------------------------------------------------------------------
FOR THE YEAR ENDED NOVEMBER 30, 2001                          U.S.   Scandinavia       U.K.   France(a)      Other          Total
(in thousands)                                                   $             $          $           $          $              $
<S>                                                       <C>        <C>           <C>        <C>         <C>            <C>
=================================================================================================================================
(Loss)/income before income taxes and minority interests  (45,886)       (3,221)      7,333    (21,910)     72,906          9,222
---------------------------------------------------------------------------------------------------------------------------------
Utilization of prior year losses(b)                             --            --         --     (1,957)         --        (1,957)
---------------------------------------------------------------------------------------------------------------------------------
Income subject to withholding taxes                             --            --         --          --   (37,105)       (37,105)
---------------------------------------------------------------------------------------------------------------------------------
Income in non-taxable areas                                     --            --         --          --   (28,776)       (28,776)
---------------------------------------------------------------------------------------------------------------------------------
Losses for which no benefit is recognized                       --            --         --          --     10,568         10,568
=================================================================================================================================
Taxable (loss) income                                     (45,886)       (3,221)      7,333    (23,867)     17,593       (48,048)
---------------------------------------------------------------------------------------------------------------------------------
Statutory tax rate                                             34%           28%        30%         36%        40%(c)         33%
=================================================================================================================================
Tax at statutory rate                                       15,601           902    (2,200)       8,697    (7,036)         15,964
---------------------------------------------------------------------------------------------------------------------------------
Non-deductible amortization                                (1,682)            --      (382)     (2,920)         --        (4,984)
---------------------------------------------------------------------------------------------------------------------------------
Adjustments in respect of prior years                        1,092            --    (3,849)     (3,324)    (5,138)       (11,219)
---------------------------------------------------------------------------------------------------------------------------------
Change in valuation allowance                             (14,679)            --    (3,226)     (5,033)    (8,752)       (31,690)
---------------------------------------------------------------------------------------------------------------------------------
Imputed interest deduction                                      --            --         --          --      5,381          5,381
---------------------------------------------------------------------------------------------------------------------------------
Withholding and other taxes                                     --            --    (1,212)         173    (8,484)        (9,523)
---------------------------------------------------------------------------------------------------------------------------------
Permanent differences                                        (350)           123       (62)          --         --          (289)
---------------------------------------------------------------------------------------------------------------------------------
Change in tax regime                                            --            --     15,200          --         --         15,200
---------------------------------------------------------------------------------------------------------------------------------
Other                                                           18            --         --       (467)        990            541
=================================================================================================================================
Income tax benefit (provision)                                  --         1,025      4,269     (2,874)   (23,039)       (20,619)
=================================================================================================================================
</Table>

<Table>
<Caption>
---------------------------------------------------------------------------------------------------------------------------------
FOR THE YEAR ENDED NOVEMBER 30, 2000
(in thousands)
<S>                                                       <C>        <C>           <C>        <C>         <C>            <C>
=================================================================================================================================
(Loss)/income before income taxes and minority interests  (49,992)      (24,935)    (1,708)       5,413     35,522       (35,700)
---------------------------------------------------------------------------------------------------------------------------------
Utilization of prior year losses(b)                             --            --         --    (11,728)      (525)       (12,253)
---------------------------------------------------------------------------------------------------------------------------------
Income subject to withholding taxes                             --            --         --          --   (38,254)       (38,254)
---------------------------------------------------------------------------------------------------------------------------------
Income in non-taxable areas                                     --            --         --          --   (25,360)       (25,360)
---------------------------------------------------------------------------------------------------------------------------------
Losses for which no benefit is recognized                       --         1,905      1,114      13,157     25,560         41,736
=================================================================================================================================
Taxable (loss) income                                     (49,992)      (23,030)      (594)       6,842    (3,057)       (69,831)
---------------------------------------------------------------------------------------------------------------------------------
Statutory tax rate                                             34%           29%        30%         38%        45%(c)         33%
=================================================================================================================================
Tax at statutory rate                                       16,997         6,743        178     (2,584)      1,377         22,711
---------------------------------------------------------------------------------------------------------------------------------
Non-deductible amortization                                (1,734)           (9)      (495)          --      (666)        (2,904)
---------------------------------------------------------------------------------------------------------------------------------
Adjustments in respect of prior years                          872       (1,500)      (758)          --      (900)        (2,286)
---------------------------------------------------------------------------------------------------------------------------------
Change in valuation allowance                             (10,219)            --         --     (1,519)         --       (11,738)
---------------------------------------------------------------------------------------------------------------------------------
Tax credits for research and development                        --            --         --       3,932         --          3,932
---------------------------------------------------------------------------------------------------------------------------------
Imputed interest deduction                                      --            --         --          --      7,379          7,379
---------------------------------------------------------------------------------------------------------------------------------
Withholding and other taxes                                     --            --         --     (2,052)    (9,935)       (11,987)
---------------------------------------------------------------------------------------------------------------------------------
Participation exemption income                                  --            --         --          --    (2,237)        (2,237)
---------------------------------------------------------------------------------------------------------------------------------
Changes in tax rates                                            --            --         --       (176)      (196)          (372)
---------------------------------------------------------------------------------------------------------------------------------
Exchange loss                                                   --            --         --         213        380            593
---------------------------------------------------------------------------------------------------------------------------------
Other                                                           24           115      (249)       (444)      1,241            687
=================================================================================================================================
Income tax benefit (provision)                               5,940         5,349    (1,324)     (2,630)    (3,557)          3,778
=================================================================================================================================
</Table>

(a)  As a consequence of the acquisition of ETPM, taxation in France has become
    more significant and has therefore been separately identified in 2001 and
    2000. In 1999, it was included in "other".

(b)  The reported utilization of prior year losses against current year profits
    represents entities where deferred tax assets had not previously been
    recognized for those losses.

(c)  The statutory tax rate for the "other" category represents a weighted
    average of various local statutory tax rates including certain revenue
    taxes.

                                      F-19
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

10.  INCOME TAXES (CONTINUED)

<Table>
<Caption>
---------------------------------------------------------------------------------------------------------------------------------
FOR THE YEAR ENDED NOVEMBER 30                                U.S.   Scandinavia       U.K.   France(a)      Other          Total
(in thousands)                                                   $             $          $           $          $              $
<S>                                                       <C>        <C>           <C>        <C>         <C>            <C>
=================================================================================================================================
(Loss)/income before income taxes and minority interests  (41,085)        18,015      (128)                 30,902          7,704
---------------------------------------------------------------------------------------------------------------------------------
Utilization of prior year losses(b)                             --            --         --               (10,926)       (10,926)
---------------------------------------------------------------------------------------------------------------------------------
Income in non-taxable areas                                     --            --         --                (8,648)        (8,648)
---------------------------------------------------------------------------------------------------------------------------------
Losses for which no benefit is
  recognized                                                    --            --         --                  8,398          8,398
=================================================================================================================================
Taxable (loss) income                                     (41,085)        18,015      (128)                 19,726        (3,472)
---------------------------------------------------------------------------------------------------------------------------------
Statutory tax rate                                             34%           28%        30%                    37%(c)         50%
=================================================================================================================================
Tax at statutory rate                                       13,969       (5,044)         38                (7,221)          1,742
---------------------------------------------------------------------------------------------------------------------------------
Non-deductible amortization                                     --          (51)      (145)                  (329)          (525)
---------------------------------------------------------------------------------------------------------------------------------
Adjustments in respect of prior years                           --            --        750                     --            750
---------------------------------------------------------------------------------------------------------------------------------
State tax credit                                               975            --         --                     --            975
---------------------------------------------------------------------------------------------------------------------------------
Imputed tax deduction                                           --            --         --                  4,030          4,030
---------------------------------------------------------------------------------------------------------------------------------
Change in valuation allowance                                (216)            --    (1,800)                  1,968           (48)
---------------------------------------------------------------------------------------------------------------------------------
Non-taxable dividend income from joint ventures                 --            --         --                    189            189
---------------------------------------------------------------------------------------------------------------------------------
Changes in tax rates                                            --            --      (192)                     --          (192)
---------------------------------------------------------------------------------------------------------------------------------
Exchange loss                                                   --           253        983                    257          1,493
---------------------------------------------------------------------------------------------------------------------------------
Other                                                          210           249      (192)                  (172)             95
=================================================================================================================================
Income tax benefit (provision)                              14,938       (4,593)      (558)                (1,278)          8,509
=================================================================================================================================
</Table>

(a)  As a consequence of the acquisition of ETPM, taxation in France has become
    more significant and has therefore been separately identified in 2001 and
    2000. In 1999, it was included in "other".

(b)  The reported utilization of prior year losses against current year profits
    represents entities where deferred tax assets had not previously been
    recognized for those losses.

(c)  The statutory tax rate for the "other" category represents a weighted
    average of various local statutory tax rates including certain revenue
    taxes.

                                      F-20
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

11.  PENSION COMMITMENTS

    The Company operates both defined contribution and defined benefit pension
plans, depending on location, covering certain qualifying employees.
Contributions under the defined contribution pension plans are determined as a
percentage of gross salary. The expense relative to these plans for the years
ended November 30, 2001, 2000 and 1999 was $1.6 million, $1.1 million and
$1.4 million, respectively.

    The Company operates both funded and unfunded defined benefit pension plans.
The benefits under the defined benefit pension plans are based on years of
service and salary levels. Plan assets of the funded schemes primarily are
comprised of marketable securities.

    The following tables provide a reconciliation of benefit obligation and plan
assets:

<Table>
<Caption>
---------------------------------------------------------------------------------
AS OF NOVEMBER 30                                                 2001       2000
(IN THOUSANDS)                                                       $          $
<S>                                                           <C>        <C>
=================================================================================
CHANGE IN BENEFIT OBLIGATION
---------------------------------------------------------------------------------
Benefit obligation at beginning of year                         18,558     17,742
---------------------------------------------------------------------------------
Service cost                                                     1,735      1,394
---------------------------------------------------------------------------------
Interest cost                                                    1,165      1,010
---------------------------------------------------------------------------------
Actuarial (gains)/losses                                         (266)      1,133
---------------------------------------------------------------------------------
Foreign currency exchange rate changes                             131    (2,295)
---------------------------------------------------------------------------------
Benefits paid from plan assets                                   (423)      (426)
=================================================================================
Benefit obligation at end of year                               20,900     18,558
=================================================================================
CHANGE IN PLAN ASSETS
---------------------------------------------------------------------------------
Fair value of plan assets at beginning of year                  19,155     19,023
---------------------------------------------------------------------------------
Actual return on plan assets                                   (2,198)      1,911
---------------------------------------------------------------------------------
Foreign currency exchange rate changes                             192    (2,407)
---------------------------------------------------------------------------------
Company contributions                                            1,508      1,054
---------------------------------------------------------------------------------
Benefits paid from plan assets                                   (423)      (426)
---------------------------------------------------------------------------------
Plan amendments                                                    240         --
=================================================================================
Fair value of plan assets at end of year                        18,474     19,155
=================================================================================
</Table>

    The following table sets forth the funded status of the funded defined
benefit pension plans:

<Table>
<Caption>
---------------------------------------------------------------------------------
                                                                 Pension benefits
FOR THE YEAR ENDED NOVEMBER 30                                    2001       2000
(IN THOUSANDS)                                                       $          $
<S>                                                           <C>        <C>
=================================================================================
Funded status of the plans                                     (2,426)        597
---------------------------------------------------------------------------------
Unrecognized net gain                                            5,936      2,693
---------------------------------------------------------------------------------
Unrecognized prior service benefit                                 259        287
---------------------------------------------------------------------------------
Unrecognized net transition obligation                           (287)      (316)
=================================================================================
Prepaid benefit cost                                             3,482      3,261
=================================================================================
</Table>

                                      F-21
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

11.  PENSION COMMITMENTS (CONTINUED)
    The weighted average assumptions used are as follows:

<Table>
<Caption>
--------------------------------------------------------------------------------------------
                                                                            Pension benefits
                                                                  2001       2000       1999
FOR THE YEAR ENDED NOVEMBER 30                                       %          %          %
<S>                                                           <C>        <C>        <C>
============================================================================================
Discount rate                                                   6.2        6.1        6.1
--------------------------------------------------------------------------------------------
Expected return on plan assets                                  7.0        7.0        7.1
--------------------------------------------------------------------------------------------
Rate of compensation increase                                   3.2        3.3        3.3
--------------------------------------------------------------------------------------------
</Table>

    Net periodic pension benefit costs for funded defined benefit schemes
include the following components:

<Table>
<Caption>
--------------------------------------------------------------------------------------------
                                                                            Pension benefits
FOR THE YEAR ENDED NOVEMBER 30                                    2001       2000       1999
(IN THOUSANDS)                                                       $          $          $
<S>                                                           <C>        <C>        <C>
============================================================================================
Service cost                                                     1,735      1,394      1,426
--------------------------------------------------------------------------------------------
Interest cost                                                    1,165      1,010      1,040
--------------------------------------------------------------------------------------------
Expected return on plan assets                                 (1,308)    (1,287)    (1,251)
--------------------------------------------------------------------------------------------
Amortization of transition obligation                             (41)         92       (47)
--------------------------------------------------------------------------------------------
Recognized net actuarial losses                                     38         38        155
--------------------------------------------------------------------------------------------
Amortization of prior service benefit                               86       (41)         44
============================================================================================
Benefit cost                                                     1,675      1,206      1,367
============================================================================================
</Table>

    As at November 30, 2001, all of the Company's funded pension plans had
benefit obligations in excess of plan assets. As at November 30, 2000, the
Company had funded pension plans which had benefit obligations in excess of plan
assets. The benefit obligations of these plans were $6.9 million and the value
of assets under these plans were $6.2 million.

    The following tables provide a reconciliation of the benefit obligation and
accrued pension liability of the unfunded plan.

<Table>
<Caption>
---------------------------------------------------------------------------------
                                                                 Pension benefits
FOR THE YEAR ENDED NOVEMBER 30                                    2001       2000
(IN THOUSANDS)                                                       $          $
<S>                                                           <C>        <C>
=================================================================================
Benefit obligation at beginning of year                          3,797         --
---------------------------------------------------------------------------------
Acquisitions                                                       612      3,642
---------------------------------------------------------------------------------
Service cost                                                       301        277
---------------------------------------------------------------------------------
Interest cost                                                      223        213
---------------------------------------------------------------------------------
Benefits paid from plan assets                                      --       (85)
---------------------------------------------------------------------------------
Foreign currency exchange rate changes                              59      (250)
=================================================================================
Benefit obligation at end of year                                4,992      3,797
=================================================================================
</Table>

                                      F-22
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

11.  PENSION COMMITMENTS (CONTINUED)
    As the plan is unfunded, the benefit obligation is equal to the unfunded
status of the plan and the accrued pension liability.

    The weighted average assumptions used are as follows:

<Table>
<Caption>
---------------------------------------------------------------------------------
                                                                 Pension benefits
                                                                  2001       2000
FOR THE YEAR ENDED NOVEMBER 30                                       %          %
<S>                                                           <C>        <C>
=================================================================================
Discount rate                                                   6.2        5.5
---------------------------------------------------------------------------------
Expected return on plan assets                                  N/A        N/A
---------------------------------------------------------------------------------
Rate of compensation increase                                   3.0        3.5
=================================================================================
</Table>

    Net periodic pension benefit costs include the following components:

<Table>
<Caption>
---------------------------------------------------------------------------------
                                                                 Pension benefits
FOR THE YEAR ENDED NOVEMBER 30                                    2001       2000
(IN THOUSANDS)                                                       $          $
<S>                                                           <C>        <C>
=================================================================================
Service cost                                                    301        277
---------------------------------------------------------------------------------
Interest cost                                                   223        213
=================================================================================
Benefit cost                                                    524        490
=================================================================================
</Table>

    In Asia Pacific, retirement indemnities, for which the Company has accrued
$0.3 million at November 30, 2001 (2000: $0.3 million) are paid as a lump sum
upon retirement. They are primarily based upon the employees' years of service
and salary levels.

12.  BANK OVERDRAFT AND LINES OF SHORT-TERM CREDIT

    As of November 30, 2001, the Company has external, third-party bank
overdraft and lines of credit and short-term loan notes totalling $45.9 million
(2000: $38.3 million). Amounts borrowed pursuant to these facilities bear
interest at rates ranging from 4.22% to 6.75% at November 30, 2001. As of
November 30, 2001 short-term borrowings under these facilities totalled
$5.2 million (2000: $1.8 million).

13.  LONG-TERM DEBT AND CAPITAL LEASE OBLIGATIONS

    The Company's principal credit facility is a $440.0 million Secured
Multi-Currency Revolving Facility (the "Secured Credit Facility") with a
syndicate of banks, the lead banks being Den norske Bank ASA, Banc of America
Securities LLC, Salomon Brothers International Limited, HSBC Bank plc and ING
Barings LLC. The Secured Credit Facility was entered into on September 22, 2000.

    The Secured Credit Facility is a five-year revolving credit facility, which
reduces to $385.0 million and $330.0 million on August 31, 2002 and August 31,
2003, respectively. The total amount which can be drawn under the facility and
the interest charge on outstanding debt is based on the ratio of the Company's
debt to earnings before interest, taxes, depreciation and amortization
("EBITDA"). The interest charge will range from 0.75% to 1.75% over the London
InterBank Offer Rate ("LIBOR").

                                      F-23
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

13.  LONG-TERM DEBT AND CAPITAL LEASE OBLIGATIONS (CONTINUED)
Debt under the Secured Credit Facility is secured by a first priority mortgage
on certain of the Company's ships.

    Under the Secured Credit Facility agreement, the Company is permitted to
borrow up to $100.0 million from SNSA provided that this debt is subordinate and
junior to all indebtedness due under the agreement.

    As of November 30, 2001, the Company had available bank facilities of
$485.9 million of which $340.2 million were utilized. Of the bank facilities
utilized, $335.0 million was classified as long-term debt.

    Long-term debt, excluding borrowings from SNSA, comprises the following:

<Table>
<Caption>
---------------------------------------------------------------------------------
AS OF NOVEMBER 30                                                 2001       2000
(IN THOUSANDS)                                                       $          $
<S>                                                           <C>        <C>
=================================================================================
Revolving credit agreement with a weighted average interest
  rate of 3.82% (2000: 8.31%)                                  335,000    265,000
---------------------------------------------------------------------------------
Other bank borrowings                                               17         32
=================================================================================
                                                               335,017    265,032
---------------------------------------------------------------------------------
Less: current portion                                             (17)       (16)
=================================================================================
Long-term debt                                                 335,000    265,016
=================================================================================
</Table>

    The net book value of assets collateralizing this debt was $365.3 million as
of November 30, 2001.

    Total debt outstanding at November 30, 2001 is repayable as $335.0 million
in U.S. Dollars.

    Minimum annual principal repayments of debt for the fiscal years subsequent
to November 30, 2001 are as follows:

<Table>
<Caption>
----------------------------------------------------------------------
(in thousands)                                                       $
<S>                                                           <C>
======================================================================
2002                                                               17
----------------------------------------------------------------------
2003                                                            5,000
----------------------------------------------------------------------
2005                                                          330,000
======================================================================
                                                              335,017
======================================================================
</Table>

    The Secured Credit Facility contains various financial covenants, including
but not limited to, minimum consolidated tangible net worth, maximum
consolidated debt to net worth and maximum consolidated debt to EBITDA.

    At November 30, 2001, property under capital leases, comprising operating
and other equipment, amounts to $31.9 million, at cost. Accumulated amortization
of these leases is $3.5 million.

                                      F-24
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

13.  LONG-TERM DEBT AND CAPITAL LEASE OBLIGATIONS (CONTINUED)
    Minimum payments under capital leases at November 30, 2001, which are due
primarily in U.S. Dollars, are as follows:

<Table>
<Caption>
----------------------------------------------------------------------
(in thousands)                                                       $
<S>                                                           <C>
======================================================================
2002                                                            25,051
----------------------------------------------------------------------
2003                                                                20
----------------------------------------------------------------------
2004 to 2006                                                         7
======================================================================
Total minimum lease payments                                    25,078
----------------------------------------------------------------------
Less: Amount representing interest and executory costs         (1,416)
======================================================================
Present value of net minimum lease payments                     23,662
======================================================================
</Table>

14.  ACCOUNTS PAYABLE AND ACCRUED LIABILITIES

    Accounts payable and accrued liabilities comprise the following:

<Table>
<Caption>
---------------------------------------------------------------------------------
AS OF NOVEMBER 30                                                 2001       2000
(IN THOUSANDS)                                                       $          $
<S>                                                           <C>        <C>
=================================================================================
Invoice accruals                                              230,243    154,758
---------------------------------------------------------------------------------
Trade payables                                                108,750     97,418
---------------------------------------------------------------------------------
Trade notes payable                                               151        790
---------------------------------------------------------------------------------
Other                                                          10,296      2,658
=================================================================================
                                                              349,440    255,624
=================================================================================
</Table>

15.  RELATED PARTY TRANSACTIONS

    Related party transactions consisted of the following charges paid to SNSA:

<Table>
<Caption>
--------------------------------------------------------------------------------------------
FOR THE YEAR ENDED NOVEMBER 30                                    2001       2000       1999
(IN THOUSANDS)                                                       $          $          $
<S>                                                           <C>        <C>        <C>
--------------------------------------------------------------------------------------------
Management services                                            3,676      3,290       2,500
--------------------------------------------------------------------------------------------
Interest charges                                                 394      3,561      10,412
--------------------------------------------------------------------------------------------
Guarantee fees                                                    --        282          --
============================================================================================
</Table>

    Management services comprise charges for legal, administrative, treasury,
taxation, insurance and information technology services performed by SNSA for
the Company.

    Short-term payables due to SNSA of $9.5 million as of November 30, 2001
(2000: $8.5 million) relate primarily to outstanding insurance premiums and
management service charges.

                                      F-25
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

16.  RESTRUCTURING AND REORGANIZATION PROGRAM

    In 2000, in relation to the integration of ETPM, the Company recorded
restructuring charges of $3.3 million. Additionally, the Company capitalized
costs of $1.0 million, net of tax, as an adjustment to the purchase price of
ETPM.

    The costs are summarized in the table below.

<Table>
<Caption>
------------------------------------------------------------------------------------------------
                                                               Expensed
                                                                  (non-
FOR THE YEAR ENDED                                            recurring
NOVEMBER 30, 2000                                                items)   Capitalized      Total
(in thousands)                                                        $             $          $
<S>                                                           <C>         <C>           <C>
================================================================================================
Redundancy costs                                                 2,610             --    2,610
------------------------------------------------------------------------------------------------
Lease costs, net of tax of $0.4 million                             --            961      961
------------------------------------------------------------------------------------------------
Integration costs                                                  684             --      684
================================================================================================
Total                                                            3,294            961    4,255
================================================================================================
</Table>

    The reorganization program removed duplicate capacity in the U.K. and SEAME
regions. The Company recorded redundancy costs of $0.9 million to close the
former ETPM sites in the United Kingdom and transfer all administrative and
operational functions to the Company's office in Aberdeen, Scotland and
$1.7 million to close its office in Marseille, France and transfer all
operational and administrative functions for the SEAME region to Paris, France.
The costs associated with leasing and maintaining the U.K. premises while vacant
and, subsequently terminating the leases, amounted to $1.0 million. The lease
costs were capitalized as an adjustment to the purchase price of ETPM.
Additionally, integration costs of $0.7 million were incurred to introduce
common information and reporting systems and to standardize processes. All
redundancy, integration and lease costs have been fully paid, and there is no
outstanding provision for such costs at November 30, 2001.

    During 1999, the Company carried out a reorganization of its North Sea
operations and closed offices in the United Kingdom and Norway. Non-recurring
costs amounting to $1.6 million were expensed, of which $1.3 million related to
redundancy and relocation costs and $0.3 million related to other administrative
costs. All costs relating to this reorganization were paid out during 1999 and
2000, and there is no outstanding provision for such costs at November 30, 2001.

17.  OPERATING LEASES

    Total operating lease commitments as of November 30, 2001 amount to
$103.6 million. Charter hire obligations towards certain construction support,
diving support, survey and inspection ships account for $53.9 million of the
total commitments. The remaining obligations relate to office facilities and
equipment.

                                      F-26
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

17.  OPERATING LEASES (CONTINUED)
    Total minimum annual lease commitments are payable as follows:

<Table>
<Caption>
----------------------------------------------------------------------
(in thousands)                                                       $
<S>                                                           <C>
======================================================================
2002                                                           25,803
----------------------------------------------------------------------
2003                                                           22,874
----------------------------------------------------------------------
2004                                                           15,505
----------------------------------------------------------------------
2005                                                           13,809
----------------------------------------------------------------------
2006                                                           11,263
----------------------------------------------------------------------
Thereafter                                                     14,299
======================================================================
                                                              103,553
======================================================================
</Table>

<Table>
<Caption>
(in thousands)                                                       $
<S>                                                           <C>
======================================================================
Norwegian Kroner                                               47,124
----------------------------------------------------------------------
Euros                                                          33,168
----------------------------------------------------------------------
U.S. Dollars                                                   15,920
----------------------------------------------------------------------
British Pounds                                                  6,633
----------------------------------------------------------------------
Singapore Dollars                                                 488
----------------------------------------------------------------------
Australian Dollars                                                220
======================================================================
                                                              103,553
======================================================================
</Table>

    Total operating lease rentals charged as an expense for the year ended
November 30, 2001 were $21.4 million (2000: $23.2 million and 1999:
$28.1 million).

    Future minimum lease payments have not been reduced by future minimum
sublease rentals of $3.7 million under operating leases.

18.  SEGMENT AND RELATED INFORMATION

    In 1999, the Company adopted SFAS No. 131, "DISCLOSURES ABOUT SEGMENTS OF AN
ENTERPRISE AND RELATED INFORMATION" which changed the way the Company reported
information about its operating segments.

    The Company has reportable segments based on the geographic distribution of
the activities as follows: the Asia Pacific reporting segment includes all
activities east of the Indian sub-continent including Australasia; the North
America reporting segment includes all activity in Canada, the U.S. and Central
America; the Norway reporting segment includes all activities in Scandinavia and
the Baltic states; the SEAME reporting segment covers activities in Southern
Europe and Africa, India and the Middle East; the South America reporting
segment incorporates activities in South America and the islands of the southern
Atlantic Ocean; and the United Kingdom reporting segment includes activities in
the United Kingdom, Ireland, Germany, Belgium, The Netherlands and islands in
the northern Atlantic Ocean. The Corporate reporting segment includes items that
cannot be allocated to one particular region. This reporting segment includes
activities of the SHL and NKT joint ventures; Serimer DASA, a contract welding
services entity employed both onshore and offshore by pipelay

                                      F-27
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

18.  SEGMENT AND RELATED INFORMATION (CONTINUED)
contractors; Paragon and Litwin, which both provide engineering services for the
offshore oil and gas industry. Also included in Corporate are assets which have
global mobility including construction support ships and ROVs; other assets that
are used globally and therefore cannot be attributed to any one reporting
segment; and management and corporate services provided for the benefit of the
whole group, including engineering, finance and legal departments.

    The accounting policies of the reporting segments are the same as those
described in Note 2. The segmental information is presented after the
elimination of intercompany balances between the reportable segments. For the
years ended November 30, 2000 and 1999, inter segment sales and transfers are
not significant. For the year ended November 30, 2001, Corporate shows a
significant increase in net operating revenue. This revenue arises from Paragon
and Litwin, which were acquired during 2001.

    Summarized financial information concerning each of the Company's reportable
segments is provided in the following tables:

<Table>
<Caption>
---------------------------------------------------------------------------------------------------------------------------------
                                           Asia       North                             South
FOR THE YEAR ENDED NOVEMBER 30, 2001    Pacific     America     Norway      SEAME     America       U.K.    Corporate       Total
(in thousands)                                $           $          $          $           $          $            $           $
<S>                                    <C>        <C>         <C>        <C>        <C>         <C>        <C>          <C>
=================================================================================================================================
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(a)        4,255      78,970     36,768     78,311      12,674     53,080        4,567          --
---------------------------------------------------------------------------------------------------------------------------------
Equity in net income of
  non-consolidated joint ventures            --          --      5,798     10,902          --         --      (5,045)      11,655
---------------------------------------------------------------------------------------------------------------------------------
Depreciation and amortization           (2,015)    (21,546)    (1,074)    (5,984)     (6,003)    (1,480)     (53,648)    (91,750)
---------------------------------------------------------------------------------------------------------------------------------
Impairment of Comex trade name               --          --         --         --          --         --      (7,932)     (7,932)
---------------------------------------------------------------------------------------------------------------------------------
Research and development expense             --          --         --         --          --         --        (393)       (393)
---------------------------------------------------------------------------------------------------------------------------------
Interest expense                          (421)     (2,942)      (118)    (2,891)     (2,285)      (458)     (20,156)    (29,271)
---------------------------------------------------------------------------------------------------------------------------------
Interest income                              --          --         --         --          --         --        2,451       2,451
---------------------------------------------------------------------------------------------------------------------------------
Income tax (expense) benefit            (3,242)          --      1,025   (19,672)          --      4,269      (2,999)    (20,619)
---------------------------------------------------------------------------------------------------------------------------------
Net (loss) income                       (3,238)    (36,191)     12,746      4,857       5,494      5,554      (3,425)    (14,203)
---------------------------------------------------------------------------------------------------------------------------------
Segment assets                           37,449     325,613     55,475    294,267      87,517     81,050      678,892   1,560,263
---------------------------------------------------------------------------------------------------------------------------------
Long-lived assets(b)                     14,328      70,244     12,839     64,875      62,092     13,073      613,741     851,192
---------------------------------------------------------------------------------------------------------------------------------
Investments in and advances to
  non-consolidated joint ventures            --          --      5,684      7,865          --         --       21,980      35,529
---------------------------------------------------------------------------------------------------------------------------------
Capital expenditures                        270       1,789        430      4,060      18,824         --       37,495      62,868
=================================================================================================================================
</Table>

<Table>
<Caption>
---------------------------------------------------------------------------------------------------------------------------------
FOR THE YEAR ENDED NOVEMBER 30, 2000
(in thousands)
<S>                                    <C>        <C>         <C>        <C>        <C>         <C>        <C>          <C>
=================================================================================================================================
Net operating revenue                    40,507     122,314    198,779    444,877      52,836    123,607          500     983,420
=================================================================================================================================
Equity in net income of
  non-consolidated joint ventures            --          --      1,019      9,427          --         --      (4,653)       5,793
---------------------------------------------------------------------------------------------------------------------------------
Depreciation and amortization           (2,591)    (21,717)    (1,102)    (4,770)     (5,972)    (3,620)     (42,345)    (82,117)
---------------------------------------------------------------------------------------------------------------------------------
Research and development expense             --          --         --         --          --         --        (950)       (950)
---------------------------------------------------------------------------------------------------------------------------------
Restructuring charge                         --          --         --    (1,793)          --    (1,501)           --     (3,294)
---------------------------------------------------------------------------------------------------------------------------------
Interest expense                          (642)     (5,225)      (626)    (1,503)     (2,206)    (1,199)     (20,756)    (32,157)
---------------------------------------------------------------------------------------------------------------------------------
Interest income                              --          --         --         --          --         --        2,165       2,165
---------------------------------------------------------------------------------------------------------------------------------
Income tax (expense) benefit              (104)       5,940      3,662   (10,867)       (340)      3,483        2,004       3,778
---------------------------------------------------------------------------------------------------------------------------------
Net (loss) income                      (15,020)    (15,285)      6,719      9,242       8,081    (5,724)     (22,456)    (34,443)
---------------------------------------------------------------------------------------------------------------------------------
Segment assets                           32,974     268,663     62,301    253,625      77,559     97,316      610,334   1,402,772
---------------------------------------------------------------------------------------------------------------------------------
Long-lived assets(b)                     16,450      88,924      6,527     73,127      66,207     26,786      586,554     864,575
---------------------------------------------------------------------------------------------------------------------------------
Investments in and advances to
  non-consolidated joint ventures            --          --      2,470      8,488          --         --       26,046      37,004
---------------------------------------------------------------------------------------------------------------------------------
Capital expenditures                        438       3,107        337      3,769      20,307          9       33,757      61,724
=================================================================================================================================
</Table>

(a)  Internal revenues are eliminated on consolidation of the Company's results
    and are therefore shown in the table to equal to zero.

(b)  Long-lived assets include net fixed assets, investments in and advances to
    non-consolidated joint ventures and deposits and non-current receivables.

                                      F-28
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

18.  SEGMENT AND RELATED INFORMATION (CONTINUED)

<Table>
<Caption>
---------------------------------------------------------------------------------------------------------------------------------
                                            Asia       North                             South
FOR THE YEAR ENDED NOVEMBER 30, 1999     Pacific     America     Norway      SEAME     America       U.K.    Corporate      Total
(in thousands)                                 $           $          $          $           $          $            $          $
<S>                                     <C>        <C>         <C>        <C>        <C>         <C>        <C>          <C>
=================================================================================================================================
Net operating revenue                     42,715     156,399    164,539     57,114      56,355    162,032        1,572    640,726
---------------------------------------------------------------------------------------------------------------------------------
Equity in net income of
  non-consolidated joint ventures             --          --      3,526      1,145          --         --          526      5,197
---------------------------------------------------------------------------------------------------------------------------------
Depreciation and amortization            (2,417)    (24,127)    (2,476)    (1,413)     (5,244)    (2,149)     (18,310)   (56,136)
---------------------------------------------------------------------------------------------------------------------------------
Research and development expense              --          --         --         --          --         --      (1,162)    (1,162)
---------------------------------------------------------------------------------------------------------------------------------
Restructuring charge                          --          --    (1,261)         --          --      (378)           --    (1,639)
---------------------------------------------------------------------------------------------------------------------------------
Interest expense                           (455)     (3,948)    (1,845)      (555)       (987)    (1,711)      (8,191)   (17,692)
---------------------------------------------------------------------------------------------------------------------------------
Interest income                               --          --         --         --          --         --          966        966
---------------------------------------------------------------------------------------------------------------------------------
Income tax benefit (expense)                 465      14,609    (4,593)        530          --    (2,803)          301      8,509
---------------------------------------------------------------------------------------------------------------------------------
Net (loss) income                        (4,548)       8,521     11,190      3,928       8,776    (2,283)      (9,371)     16,213
---------------------------------------------------------------------------------------------------------------------------------
Capital expenditures                       3,704       9,030        913        380      14,661      1,818       60,412     90,918
=================================================================================================================================
</Table>

(a) Internal revenues are eliminated on consolidation of the Company's results
    and are therefore shown in the table to equal to zero.

(b) Long-lived assets include net fixed assets, investments in and advances to
    non-consolidated joint ventures and deposits and non-current receivables.

    Revenue Analysis by Product Line:

<Table>
=============================================================================================
FOR THE YEAR ENDED NOVEMBER 30,
(in thousands)                                                     2001      2000       1999
=============================================================================================
<S>                                                           <C>         <C>        <C>
Regional Business                                               314,191   285,152    336,523
---------------------------------------------------------------------------------------------
Subsea Construction                                             279,482   267,071    160,950
---------------------------------------------------------------------------------------------
Pipelay & EPIC(a)                                               337,765   213,744          0
---------------------------------------------------------------------------------------------
Deepwater Development(b)                                        280,712   199,958    141,681
---------------------------------------------------------------------------------------------
Standalone Businesses(c)                                         43,788    17,495      1,570
---------------------------------------------------------------------------------------------
Total Revenue                                                 1,255,938   983,420    640,654
=============================================================================================
</Table>

(a)  This product line did not exist until 2000.

(b)  This product line was called Field Development in 1999.

(c)  This relates to Serimer DASA Paragon Engineering and other.

                                      F-29
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

18.  SEGMENT AND RELATED INFORMATION (CONTINUED)

    During the year ended November 30, 2001, two customers of the Company each
individually accounted for more than 10% of the Company's revenue. The revenue
from the largest customer was $269.2 million and was attributable to the SEAME
reporting segment (2000: $198.2 million attributable to the Norway, SEAME, U.K.
and North America reporting segments). The revenue from the second customer was
$131.5 million and was attributable to the North America reporting segment.

    During the year ended November 30, 2000, in addition to the largest customer
described in the comparative information above, another customer accounted for
more than 10% of the Company's revenue. The revenue from this customer was
$99.3 million and was attributable to the Asia Pacific, Norway, SEAME, U.K. and
North America reporting segments.

    During the year ended November 30, 1999, one customer accounted for more
than 10% of the Company's revenue. Revenue from this customer was $76.5 million
and was attributable to the Norway reporting segment.

19.  COMMON SHARES, CLASS A SHARES AND CLASS B SHARES

    The Company has authorized share capital of 140,000,000 Common Shares, par
value $2.00 per share, and 34,000,000 Class B Shares, par value $2.00 per share.
Class B Shares are convertible into Common Shares, on a two-for-one basis, at
any time at the option of the Class B shareholders.

    On March 7, 2001, the Company reorganized the share structure of the Company
by increasing the authorized share capital of the Company from 102,000,000 to
140,000,000 Common Shares and reclassifying all outstanding Class A Shares to
Common Shares on a one-for-one basis.

    On February 4, 2000, the Company issued 6,142,857 Class A Shares, which have
subsequently been reclassified to Common Shares on a one-for-one basis, as
partial consideration for its acquisition of the French offshore construction
and engineering company ETPM as described in Note 3.

    During 2000, the Company, through a series of transactions, issued
19,775,223 Class A Shares, which have subsequently been reclassified to Common
Shares on a one-for-one basis, to SNSA for cash of $200.0 million.

    On December 7, 1999, the Company issued 1,758,242 Class A Shares, which have
subsequently been reclassified to Common Shares on a one-for-one basis, as
partial consideration for its acquisition of the 49% interest in NKT as
described in Note 3.

    As of November 30, 2001, 70,228,536 Common Shares and 34,000,000 Class B
Shares were outstanding. SNSA holds 42% of the Common Shares and 100% of the
Class B Shares which represents an economic interest of 53% of the Company and
61% of the voting rights.

    Common Shares and Class B Shares vote as a single class on all matters
submitted to a vote of shareholders, with each share entitled to one vote, with
the exception of recapitalization, reclassification or similar transactions
affecting the relative rights, preferences and priorities of the Common Shares
and Class B Shares, which require an affirmative vote of the holders of a
majority of the outstanding Common Shares and Class B Shares each voting as a
separate class. With respect to liquidation and dividend rights, the Class B
Shares receive $0.005 per share for each $0.01 per Common Share.

    Luxembourg law requires that 5% of the Company's unconsolidated net profits
each year be allocated to a legal reserve before declaration of dividends. This
requirement continues until the

                                      F-30
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

19.  COMMON SHARES, CLASS A SHARES AND CLASS B SHARES (CONTINUED)
reserve is 10% of the stated capital of the Company, as represented by Common
Shares and Class B Shares, after which no further allocations are required until
further issuance of shares.

    The legal reserve may also be satisfied by allocation of the required amount
at the issuance of shares or by a transfer from paid-in surplus. The legal
reserve is not available for dividends. The legal reserve for all outstanding
Common Shares and Class B Shares has been satisfied and appropriate allocations
are made to the legal reserve account at the time of each issuance of new
shares.

    No portion of retained earnings represents undistributed earnings of
non-consolidated joint ventures at November 30, 2001 or 2000.

20.  SHARE OPTION PLAN

    On April 28, 1993 the Company adopted a share option plan ("the Plan")
covering 7.7 million shares represented by Common Shares, Class A Shares or any
combination thereof not exceeding 7.7 million. Since March 7, 2001, all Class A
Share options, when exercised, are automatically converted into Common Shares.

    The Company accounts for awards granted to directors and key employees under
APB Opinion No. 25, under which no compensation cost has been recognized. Had
compensation cost for all share option grants in fiscal years 2001, 2000 and
1999 been determined consistent with SFAS No. 123, the Company's net (loss)
income and net (loss) income per share would be changed to the following pro
forma amounts:

<Table>
============================================================================================
FOR THE YEAR ENDED NOVEMBER 30                                   2001       2000       1999
(in thousands, except per share data)                               $          $          $
============================================================================================
<S>                                                           <C>        <C>        <C>
Net (loss) income                                             (14,203)   (34,443)    16,213
--------------------------------------------------------------------------------------------
Net (loss) income pro forma                                   (17,944)   (37,633)    13,644
--------------------------------------------------------------------------------------------
(LOSS) INCOME PER SHARE, AS REPORTED
--------------------------------------------------------------------------------------------
Basic                                                           (0.16)     (0.44)      0.27
--------------------------------------------------------------------------------------------
Diluted                                                         (0.16)     (0.44)      0.27
--------------------------------------------------------------------------------------------
(LOSS) INCOME PER SHARE PRO FORMA
--------------------------------------------------------------------------------------------
Basic                                                           (0.21)     (0.48)      0.23
--------------------------------------------------------------------------------------------
Diluted                                                         (0.21)     (0.48)      0.23
============================================================================================
</Table>

    Options may be granted under the Plan which are exercisable during periods
of up to ten years. The options granted under the Plan will be at an exercise
price not less than the fair market value per share at the time the option is
granted. Options vest 25% on the first anniversary of the grant date, with an
additional 25% vesting on each subsequent anniversary. A Compensation Committee
appointed by the Company's Board of Directors administers the Plan. Options are
awarded at the discretion of the Company to Directors and key employees.

                                      F-31
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

20.  SHARE OPTION PLAN (CONTINUED)
    The following tables reflects activity under the Plan for the three-year
period ended November 30, 2001:

<Table>
<Caption>
--------------------------------------------------------------------------------------------------------
FOR THE YEAR ENDED NOVEMBER 30                          2001                  2000                  1999
--------------------------------------------------------------------------------------------------------
                                                    WEIGHTED              Weighted              Weighted
                                                     AVERAGE               average               average
                                                    EXERCISE              exercise              exercise
                                                       PRICE                 price                 price
                                             SHARES        $      SHARES         $      SHARES         $
<S>                                       <C>       <C>        <C>       <C>         <C>       <C>
========================================================================================================
Outstanding at beginning of year          2,533,249    10.00   2,088,736     9.44    1,971,304     8.94
--------------------------------------------------------------------------------------------------------
Granted                                     640,300    13.43     880,949    10.34      365,304    10.49
--------------------------------------------------------------------------------------------------------
Exercised                                   (75,612)     6.98   (309,237)     6.14    (121,901)     4.71
--------------------------------------------------------------------------------------------------------
Forfeited                                   (73,527)    11.15   (127,199)    11.63    (125,971)    10.32
========================================================================================================
Outstanding at end of year                3,024,410    10.77   2,533,249    10.00    2,088,736     9.44
========================================================================================================
Exercisable at end of year                1,477,306     9.65   1,037,466     8.99      971,944     7.72
========================================================================================================
Weighted average fair value of options
  granted                                              10.36                 7.43                  8.12
========================================================================================================
</Table>

    All share data and per share data has been restated to reflect the share
reclassification on March 7, 2001 whereby Class A Shares were reclassified to
Common Shares on a one-for-one basis.

    The fair value of each share option grant is estimated as of the date of
grant using the Black Scholes option pricing model with the following weighted
average assumptions:

<Table>
============================================================================================
                                                                 2001       2000       1999
============================================================================================
<S>                                                           <C>        <C>        <C>
Risk free interest rates                                        5.62%      6.55%      5.82%
--------------------------------------------------------------------------------------------
Expected lives                                                7 YEARS    7 years    7 years
--------------------------------------------------------------------------------------------
Expected volatility                                             81.0%      70.2%      88.0%
--------------------------------------------------------------------------------------------
Expected dividend yields                                           --         --         --
============================================================================================
</Table>

                                      F-32
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

20.  SHARE OPTION PLAN (CONTINUED)
    The following tables summarize information about share options outstanding
as of November 30, 2001:

<Table>
<Caption>
----------------------------------------------------------------------------------------------------
AS OF NOVEMBER 30, 2001                      Options outstanding                 Options exercisable
----------------------------------------------------------------------------------------------------
                                                        Weighted   Weighted                 Weighted
                                                         average    average                  average
                                                       remaining   exercise                 exercise
                                          Options    contractual      price        Number      price
Range of exercise price               outstanding   life (years)          $   exercisable          $
<S>                                   <C>           <C>            <C>        <C>           <C>
====================================================================================================
COMMON SHARES
----------------------------------------------------------------------------------------------------
$13.56 - 16.58                           800,300           8.79       14.25       137,625      16.58
----------------------------------------------------------------------------------------------------
$ 7.82 - 11.12                            13,000           9.73        9.81            --         --
----------------------------------------------------------------------------------------------------
$ 5.17 -  7.38                           121,830           4.95        5.74       121,830       5.74
----------------------------------------------------------------------------------------------------
$ 2.71 -  3.00                           111,750           3.77        2.77       111,750       2.77
====================================================================================================
                                       1,046,880           7.82       11.98       371,205       8.87
====================================================================================================
CLASS A SHARES
----------------------------------------------------------------------------------------------------
$12.13 - 16.58                           106,250           6.72       16.18        74,938      16.44
----------------------------------------------------------------------------------------------------
$ 7.82 - 11.13                         1,115,187           8.16       10.21       353,234      10.19
----------------------------------------------------------------------------------------------------
$ 5.17 -  7.38                            61,290           4.95        5.74        61,290       5.74
----------------------------------------------------------------------------------------------------
$ 2.71 -  3.00                            52,125           3.80        2.77        52,125       2.77
====================================================================================================
                                       1,334,852           7.73       10.19       541,587       9.83
====================================================================================================
</Table>

    As part of the acquisition of the former Ceanic Corporation in 1998, holders
of Ceanic share options were entitled to exercise all vested and one-third of
the unvested options, or to convert any portion thereof to vested Stolt Offshore
S.A. Common Share options. Their remaining two-thirds unvested Ceanic share
options were automatically converted to unvested Stolt Offshore S.A. Common
Share options at the date of acquisition. The following table summarizes
information about these options which are outstanding as at November 30, 2001:

<Table>
<Caption>
----------------------------------------------------------------------------------------------------
                                             Options outstanding               Options exercisable
----------------------------------------------------------------------------------------------------
                                                        Weighted   Weighted                 Weighted
                                                         average    average                  average
                                                       remaining   exercise                 exercise
                                          Options    contractual      price        Number      price
Range of exercise price               outstanding   life (years)          $   exercisable          $
<S>                                   <C>           <C>            <C>        <C>           <C>
====================================================================================================
COMMON SHARES
----------------------------------------------------------------------------------------------------
$7.82 - 11.20                            530,149           5.93       10.75       464,541      10.76
----------------------------------------------------------------------------------------------------
$5.21 -  7.38                            112,529           5.50        6.42        99,973       6.43
====================================================================================================
                                         642,678           5.85        9.99       564,514       9.99
====================================================================================================
</Table>

                                      F-33
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

21.  PROFIT SHARING PLAN

    During 1993 the Company adopted a profit sharing plan which distributes 10%
of the Company's net income after specified adjustments, to certain of its
employees worldwide. The determination of an employee's individual award will be
based on salary and overall contribution to the Company. The Compensation
Committee appointed by the Company's Board of Directors administers this plan.
No charge in respect of profit sharing has been included in the statement of
operations for each of the years ended November 30, 2001, 2000 and 1999.

22.  COMMITMENTS AND CONTINGENCIES

    The Company has issued performance bonds amounting to $418 million at
November 30, 2001. In the normal course of business, the Company provides
project guarantees to guarantee the project performance of subsidiaries and
joint ventures to third parties.

    At November 30, 2001, the Company has committed to purchase fixed assets of
$15.1 million from external suppliers.

    Coflexip S.A. ("CSO") has commenced legal proceedings through the United
Kingdom High Court against three subsidiaries of Stolt Offshore S.A. claiming
infringement of a certain patent held by CSO relating to flexible flowline
laying technology in the United Kingdom Judgment was given on January 22, 1999
and January 29, 1999. The disputed patent was held valid. The Company appealed
and the Appeal Court maintained the validity of the patent and broadened its
application compared to the High Court decision. The Company has applied for
leave to appeal the Appeal Court decision to the House of Lords, which has now
been denied. During 2001, CSO submitted an amended claim to damages claiming the
lost profits on a total of 15 projects. In addition, there is a claim for
alleged price depreciation on certain other projects. The total claim is for
approximately $89 million, up from approximately $14 million claimed previously,
plus interest, legal costs and a royalty for each time that the flexible lay
system tower on the SEAWAY FALCON was brought into United Kingdom waters. The
Company estimates that the total claim will be of the order of $115 million. In
the alternative, CSO claims a reasonable royalty for each act of infringement,
interest and legal costs. CSO has not quantified this claim, but it will be
considerably less than the claim to lost profits. The Company, in consultation
with its advisers, has assessed that the range of possible outcomes for the
resolution of damages is $1.5 million to $115 million and has determined that
there is no amount within the range that is a better estimate than any other
amount. Consequently, in accordance with SFAS No. 5, "ACCOUNTING FOR
CONTINGENCIES", the Company has provided $1.5 million in the financial
statements, being the lower amount of the range. The amount of damages is
nevertheless uncertain and no assurance can be given that the provided amount is
sufficient.

    In September 1999, the Company terminated its charter of the ship, TOISA
PUMA, for default. The Company is currently in arbitration with the owners who
are contesting that the termination was wrongful. The arbitration has held that
the ship was in breakdown, but that the termination was nevertheless wrongful.
The Company applied for leave to appeal the decision to the High Court, which
has been denied. During 2001, the owner has quantified his claim to
approximately $8 million. The Company has disputed the magnitude of the claim in
relation to lack of instigation, lack of cost savings and lack of actual loss
for parts of the claim. In addition, the Company has a counterclaim related to
the breakdown of the ship. The Company, in consultation with its advisers, has
assessed the range of possible outcomes for the resolution of damages with the
upper amount being $8 million. The Company has determined that there is no
amount within the range that is a better estimate than any other amount.
Consequently, in accordance with SFAS No. 5, the Company has provided in the

                                      F-34
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

22.  COMMITMENTS AND CONTINGENCIES (CONTINUED)
financial statements an amount to cover the liability for damages which is at
the lower amount of the range. The amount of such liability is nevertheless
uncertain and no assurance can be given that the provided amount is sufficient.

    Legal costs are expensed as incurred.

    In the ordinary course of business, various claims, suits and complaints
have been filed against the Company. In the opinion of management, all such
matters are adequately covered by indemnity agreements, recorded provisions in
the financial statements and insurance or, if not so covered, would not have a
material effect on the financial position, results of operations or cash flows
of the Company if resolved unfavorably.

23.  FINANCIAL INSTRUMENTS

    The Company operates in a large number of countries throughout the world
and, as a result, is exposed to currency fluctuations largely as a result of
incurring operating expenses in the normal course of business. The Company's
major foreign currency exposures are to the Euro, British Pound and Norwegian
Krone. To manage this volatility, the Company nets the exposures on a
consolidated basis to take advantage of natural offsets. For the residual
portion, the Company enters into derivative instruments pursuant to the
Company's policies in areas such as counterparty exposure and hedging practices.
Designation is performed on a specific exposure basis to support hedge
accounting. The changes in the fair value of these derivative instruments are
offset in part or in whole by corresponding changes in the fair value of cash
flows of the underlying exposures being hedged. The Company does not hold or
issue derivative instruments for trading purposes.

    All of the Company's derivative instruments are over the counter instruments
entered into with major financial credit institutions to hedge the Company's
committed exposures. The Company's derivative instruments are primarily standard
foreign exchange forward contracts which subject the Company to a minimum level
of exposure risk and have maturities of less than 18 months. The Company does
not consider that it has a material exposure to credit risk from third parties
failing to perform according to the terms of derivative instruments.

    The following foreign exchange forward contracts, maturing between
December 13, 2001 and June 27, 2002 were outstanding as of November 30, 2001:

<Table>
=======================================================================================================
FOR THE YEAR ENDED NOVEMBER 30                                             2001                  2000
(in thousands)                                               PURCHASE      SELL     Purchase     Sell
=======================================================================================================
<S>                                                          <C>         <C>        <C>        <C>
Euros                                                          23,396        --     143,894        --
-------------------------------------------------------------------------------------------------------
Singapore Dollars                                                 300        --          --        --
-------------------------------------------------------------------------------------------------------
Norwegian Kroner                                                   --        --      97,000        --
-------------------------------------------------------------------------------------------------------
British Pounds                                                     --        --          --     7,240
-------------------------------------------------------------------------------------------------------
</Table>

    As of November 30, 2001, the fair values of these derivative instruments
were recorded in the consolidated balance sheet as $0.8 million in assets and
$0.8 million in liabilities. Gains and losses on these instruments are deferred
in OCI until the underlying transaction is recognized in the results of
operations. Qualifying cash flow hedges currently deferred in OCI are not
material. These amounts will be reclassified into results of operations as the
underlying transactions are recognized.

                                      F-35
<Page>
           NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

23.  FINANCIAL INSTRUMENTS (CONTINUED)
    During the year ended November 30, 2001, no amount was recognized in the
statement of operations for an amount relating to a hedge's ineffectiveness or
to a discontinued fair value hedge or cash flow hedge.

    The following table summarizes the estimated fair value amounts of the
Company's other financial instruments which have been determined by the Company,
using appropriate market information and valuation methodologies. Considerable
judgment is required to develop these estimates of fair values, thus the
estimates provided herein are not necessarily indicative of the amounts that
could be realized in a current market exchange:

<Table>
=====================================================================================================
                                                                         2001                  2000
                                                            CARRYING     FAIR     Carrying     Fair
AS OF NOVEMBER 30                                             AMOUNT    VALUE       amount    value
(in millions)                                                      $        $            $        $
=====================================================================================================
<S>                                                         <C>        <C>        <C>        <C>
FINANCIAL ASSETS
-----------------------------------------------------------------------------------------------------
Cash and cash equivalents                                       11.7     11.7          6.3      6.3
-----------------------------------------------------------------------------------------------------
FINANCIAL LIABILITIES
-----------------------------------------------------------------------------------------------------
Bank overdrafts                                                  5.2      5.2          1.8      1.8
-----------------------------------------------------------------------------------------------------
Long-term debt                                                 335.0    335.0        265.0    265.0
=====================================================================================================
</Table>

    The carrying amounts of cash and cash equivalents and bank overdrafts
approximate their fair value. The estimated value of the Company's long-term
debt is based on interest rates at November 30, 2001 and 2000 using debt
instruments of similar risk.

24.  SUBSEQUENT EVENTS

    Vinci, owner of the 6,142,857 Common Shares issued as partial consideration
in the acquisition of ETPM in December 1999, has advised the Company of its
intention to sell all of the shares as permitted by the ETPM acquisition
agreement. The Company in turn has advised Vinci that it will organize the sale
and it is the Company's intention to buy the shares back in the second quarter
of 2002. The transaction will be funded through the use of existing credit
facilities and the sale of Common Shares to SNSA and other interested parties
for up to $65.0 million.

                                      F-36

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