Document:

Supplement to Trust Indenture

    Exhibit
      10b

      

      

      4.04

      

        SUPPLEMENT
        NO. 1 

      TO

      TRUST
        INDENTURE

      

      THIS
        SUPPLEMENT NO. 1,
        dated as
        of June 15, 2005 (“Supplement
        No. 1"), to that certain Trust Indenture dated as of May 28, 2003 (the
        "Indenture") is by and between MANUFACTURERS AND TRADERS TRUST COMPANY, a
        New
        York banking corporation (successor-in-interest to ALLFIRST TRUST COMPANY,
        NATIONAL ASSOCIATION, a national banking association), as indenture trustee
        (the
        "Indenture Trustee"), and ROWAN COMPANIES, INC. (the "Shipowner", and together
        with the Indenture Trustee, the "Parties").

      

      WHEREAS,
        on May
        28, 2003, the Shipowner executed the Indenture, and issued thereunder a Floating
        Rate Note designated, "United States Government Guaranteed Ship Financing
        Obligations, SCOOTER YEARGAIN Series" (the "Initial Transaction") with a
        maximum
        principal amount of $91,198,000;

      

      WHEREAS,
        Section
        4(b) of the Special Provisions of the Indenture provides that the Shipowner
        may
        redeem or repay the Floating Rate Note, in whole or in part, on a Redemption
        Date designated by the Shipowner, from the proceeds of the issuance of a
        fixed
        rate note; 

      

      WHEREAS,
        the
        outstanding principal amount of the Floating Rate Note is currently $85,118,000;
        and

      

      WHEREAS,
        the
        Parties wish to amend certain documents relating to the Initial Transaction
        in
        order to provide for the complete redemption of the Floating Rate Note by
        the
        issuance of a fixed rate note in the aggregate principal amount of
        $85,118,000.

      

      NOW
        THEREFORE,
        in
        consideration of the mutual rights and obligations set forth herein and of
        other
        good and valuable consideration, the receipt and sufficiency of which are
        hereby
        acknowledged, the Parties agree as follows:

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      ARTICLE
        FIRST

      

      Section
        1.01 Schedule
        A.
        Schedule
        A to the Indenture is hereby amended by adding or substituting the following
        definitions:

      

      “Authorized
        Newspapers” means The
        Wall Street Journal,
        or if
        it ceases to exist, then in such other newspaper(s) as the Secretary may
        designate.

      

      "Effective
        Date" means June 15, 2005.

      

      "Fixed
        Rate Note" shall mean an Obligation substantially in the form of Exhibit
        3B to
        the Indenture, appropriately completed.

      

      “Letter
        of Representations” means the Blanket Issuer Letter of Representations between
        the Shipowner and DTC, any Riders thereto, and DTC’s Operational Arrangements,
        and other documentation necessary or desirable to effectuate the issuance
        of the
        Fixed Rate Notes as Global Obligations. 

      

      “Reinvestment
        Rate” means the yield determined by the Indenture Trustee, based on information
        received from the Holder or calculation agent, to be the yield of the issue
        of
        actively traded United States Treasury securities having a maturity equal
        to the
        Weighted Average Life to Final Maturity plus . 10%; provided, however, that
        if
        such Weighted Average Life to Final Maturity is not equal to the maturity
        of an
        actively traded United States Treasury security (rounded to the nearest
        one-twelfth of a year), such yield shall be obtained by linear interpolation
        from the yields of actively traded United States Treasury securities having
        the
        greater maturity closest to and the lesser maturity closest to such Weighted
        Average Life to Final Maturity. The yields shall be determined by reference
        to
        the yields as indicated by Telerate Access Service (page 8003 or the relevant
        page at the date of determination indicating such yields) (or, if such data
        ceases to be available, any publicly available sources of similar market
        data)
        at approximately 11:00 a.m. (New York City time) on the Make-Whole Premium
        Determination Date.

      

      All
        other
        capitalized terms used herein have the meanings set forth in Schedule A to
        the
        Indenture, as amended.

      
        
          
          

        

        
          -2-

          
            

          

        

        
          
          

        

      

      

      ARTICLE
        SECOND

      

      The
        Indenture shall be amended as follows:

       

      Section
        2.01  The
        Obligations.
        Article
        2(a) of the Special Provisions of the Indenture is hereby amended and restated
        in its entirety as follows:

      

       

      (a)
        The
        Obligations issued hereunder shall be designated "United States Government
        Guaranteed Ship Financing Obligations, SCOOTER YEARGAIN Series," and shall
        be
        substantially in the form of Exhibit 3B to
        this
        Indenture; and, the aggregate principal amount of Obligations which may be
        issued under this Indenture shall not exceed $85,118,000.

       

      

       

      Section
        2.02     Article
        4(a) of the Special Provisions of the Indenture is hereby amended and restated
        in its entirety to read as follows:

      

       

      (a)     Scheduled
        Mandatory Redemption.
        The
        Obligations are subject to redemption at a Redemption Price equal to 100%
        of the
        principal amount thereof, together with interest accrued thereon to the
        applicable Redemption Date, through the operation of scheduled repayment
        providing for the semi-annual redemption on May 10 and November 10 of each
        year,
        from November 10, 2004 through May 10, 2005, and commencing November 1, 2005,
        on
        May 1 and November 1 of each year thereafter, of $3,040,000 of principal
        amount
        of Obligations, which amount represents approximately one thirtieth (1/30)
        of
        the Original Principal Amount of Obligations, plus interest accrued thereon
        to
        the Redemption Date. Unless redeemed earlier in accordance with this Indenture,
        there shall be a final redemption of the remaining outstanding principal
        of the
        Floating Rate Note on the Effective Date and a final redemption of the remaining
        outstanding principal of the Fixed Rate Notes on May 1, 2019.

       

              Notwithstanding
        the
        foregoing provisions of this subsection (a), if the principal amount of
        Outstanding Obligations shall be reduced by reason of any redemption pursuant
        to
        Sections 3.04 or 3.06 of Exhibit 1 to this Indenture, the principal amount
        of
        Obligations to be redeemed pursuant to this subsection (a) on each subsequent
        Redemption Date for such Obligations shall be reduced by an amount equal
        to the
        principal amount of such Obligations 

       

      
        
          
          

        

        
          -3-

          
            

          

        

        
          
          

        

      

       

      retired
        by reason of such redemption pursuant to Sections 3.04 or 3.06 of Exhibit
        1
        hereto divided by the number of Redemption Dates (including the Stated Maturity
        of such Obligations) scheduled thereafter to May 1, 2019 in the case of Fixed
        Rate Note(s) (subject to such increase as shall be necessary so that the
        total
        principal amount of Obligations to be redeemed on any such Redemption Date
        shall
        be an integral multiple of $1,000); provided that,
        the
        entire unpaid principal amount of the Outstanding Obligations shall be paid
        not
        later than the Effective Date in the case of the Floating Rate Note and May
        1,
        2019 in the case of each Fixed Rate Note. The Shipowner shall, in accordance
        with Section 3.02(e) of Exhibit 1 hereto, promptly after each redemption
        pursuant to said Sections 3.04 or 3.06, furnish to the Secretary, the Indenture
        Trustee and each Holder a revised table of scheduled repayments reflecting
        the
        reductions made pursuant to this subsection (a) as a result of such
        redemption

       

      

       

      Section
        2.03 The
        first
        paragraph Article
        4(e)(1) of the Special Provisions of the Indenture is hereby amended and
        restated in its entirety to read as follows:

      

       

      (e)     Fixed
        Rate Note Interest Rate Protection.
        (1)
        The
        Shipowner shall redeem the Floating Rate Note in full by causing to be issued
        one or more fixed rate obligations with a maturity equal to May 1, 2019 and
        using the proceeds thereof to repay the Floating Rate Note in full, whenever
        the
        Treasury constant maturities rate (10-year) as reported by the Federal Reserve
        Board in statistical release H.15 (519) (the “Treasury Rate”) equals or exceeds
        nine percent (9.0%) per annum (the “Trigger Event”).

      

       

      Section
        2.04  The
        phrase “in the form of Exhibit 3 hereto” in Article 5(f) of the Special
        Provisions of the Indenture is revised to read “in the form of Exhibit 3B to
        this Indenture.”

       

      Section
        2.05. Article
        5(l) of the Special Provisions of the Indenture is hereby amended and restated
        in its entirety to read as follows:

      

      (l)     Concerning
        Section 3.05.
        Section
        3.05 is revised to read as follows:

      

      SECTION
        3.05. Redemption
        after Total Loss, or Requisition of Title, Seizure or Forfeiture of a
        Vessel.
        The
        Shipowner and the Secretary

       

       

      
        
          
          

        

        
          -4-

          
            

          

        

        
          
          

        

      

       

      may
        Request a Redemption Date, at least forty (40) days but not more than sixty
        (60)
        days from the Indenture Trustee’s receipt of the Request, for the redemption of
        certain Obligations because of (1) an actual, constructive, agreed or
        compromised total loss of a Vessel, or (2) requisition of title to, or seizure
        or forfeiture of a Vessel. Upon receipt, the Indenture Trustee shall promptly
        give notice to the Holders of the Redemption Date as provided in Section
        3.08
        and on that date shall redeem, out of funds it receives from the Shipowner,
        such
        principal amount of Obligations together with the interest accrued
        thereon.

      

       

      Section
        2.06  Article
        5(w) of the Special Provisions of the Indenture is hereby deleted in its
        entirety.

      

      
      

      Section
        2.07  
        Article
        5(cc)(i), (ii), (iii)(2), (iii)(5) and (v) of the Special Provisions of the
        Indenture are hereby amended and restated in their entirety to read as
        follows:

      

      (cc)     Concerning
        Registered and Beneficial Ownership of the Obligations;
        Legends.
        

      

      (i)The
        Fixed Rate Notes may be issued initially in the form of one or more permanent
        global Notes in definitive, fully registered form without interest coupons
        (each, a "Global Obligation"). Except as provided in paragraph (iii) below,
        owners of beneficial interests in Global Obligations ("Obligation Owners")
        shall
        not be entitled to receive separate certificated Notes ("Definitive Obligation")
        and shall not be considered the holders thereof. Each such Global Obligation
        shall be deposited with DTC or the Indenture Trustee, as custodian for DTC,
        registered in the name of Cede or such other nominee as may be requested
        by DTC,
        and duly executed by the Shipowner and authenticated by the Indenture Trustee
        as
        provided in the Indenture. Each Global Obligation shall bear such legend
        as DTC
        may require.

      

      (ii) Members
        of, or participants in, DTC shall have no rights under the Indenture with
        respect to any Global Obligation held on their behalf by DTC or by the Indenture
        Trustee, as the custodian of DTC, or under such Global Obligation, and Cede
        or
        such other nominee as DTC may request may be treated by the Shipowner, the
        Indenture Trustee and any agent of the Shipowner or the Indenture Trustee
        as the
        absolute owner of such Global Obligation for all purposes whatsoever.
        Notwithstanding the foregoing, nothing herein shall prevent the Shipowner,
        the
        Indenture Trustee or any agent of the Shipowner or the Indenture Trustee
        from
        giving effect to any written certification, proxy or other authorization
        furnished by DTC, Cede or such other nominee

       

       

      
        
          
          

        

        
          -5-

          
            

          

        

        
          
          

        

      

       

       as
        DTC may request, or impair, as between DTC and its members and participants,
        the
        operation of customary practices of DTC governing the exercise of the rights
        of
        an owner of a beneficial interest in any Global Obligation. 

      

      *
        *
        *

      

      (iii) (2) A
        Global
        Obligation shall be exchangeable for Definitive Obligations registered in
        the
        names of persons owning the beneficial interests in such Global Obligation
        only
        if DTC notifies the Shipowner, with a copy to the Indenture Trustee, that
        it is
        unwilling or unable to continue as depositary for such Global Obligation
        or DTC
        ceases to be a clearing agency registered under the Securities Exchange Act
        of
        1934, as amended, at a time when DTC is required to be so registered in order
        to
        act as depositary, and a successor depositary is not appointed by the Shipowner
        within 90 days thereafter. In such event, the Indenture Trustee shall within
        30
        days from receipt of such notice instruct DTC to notify its direct and indirect
        participants of the need to re-register the Obligations in the names of the
        beneficial owners. Upon surrender by DTC of the Global Obligations issued
        in its
        name, the name of Cede or another nominee, the Shipowner shall issue at its
        sole
        cost and expense, and the Indenture Trustee shall authentic Definitive
        Obligations in the names provided to the Indenture Trustee by DTC. 

      

      *
        *
        *

      

      (5) In
        the event of the occurrence of the event specified in paragraph (iii)(2),
        the
        Shipowner shall promptly make available to the Indenture Trustee a reasonable
        supply of Definitive Obligations.

       

      

      *
        *
        *

      

      (v) The
        Indenture Trustee shall have no responsibility or obligation to any owner
        of a
        beneficial interest in a Global Obligation, a member of, or a participant
        in,
        DTC or any other Obligation Owner with respect to the accuracy of the records
        of
        DTC or its nominee or of any participant or member thereof, with respect
        to any
        ownership interest in the Obligations or with respect to the delivery to
        any
        participant, member, beneficial owner or other Obligation Owner (other than
        DTC)
        of any notice (including any notice of redemption) or the payment of any
        amount
        or delivery of any Obligations (or other security or property) under or with
        respect to such Obligations. All notices and communications to be given to
        the
        Holders and all payments to be

       

       

      
        
          
          

        

        
          -6-

          
            

          

        

        
          
          

        

      

       

      made
        to
        Holders in respect to the Obligations shall be given or made only to or upon
        the
        order of the registered Holders (which shall be DTC, Cede or such other nominee
        as may be requested by DTC, in the case of a Global Obligation). The rights
        of
        owners of beneficial interests in any Global Obligation shall be exercised
        only
        through DTC subject to the applicable rules and procedures of DTC. The Indenture
        Trustee may rely and shall be fully protected in relying upon information
        furnished by DTC with respect to its members, participants and any beneficial
        owners. 

      

      Section
        2.08  Endorsement
        of Floating Rate Note.
        Upon
        surrender of the Floating Rate Note issued on May 28, 2003 to the Indenture
        Trustee by the Holder thereof following the payment in full of all amounts
        due
        thereunder, such Floating Rate Note shall be endorsed to show the redemption
        of
        the outstanding amount and thereupon shall be cancelled.

      

      Section
        2.09  Form
        of Fixed Rate Note.
        The
        form of Fixed Rate Note attached as Exhibit 3 to the Indenture is renumbered
        as
        Exhibit 3A and the form of Fixed Rate Note attached as an Exhibit to this
        Supplement is designated as Exhibit 3B to the Indenture.

      

      Section
        2.10  Issuance
        of Fixed Rate Note.
        On and
        after the Effective Date, the Shipowner shall issue and deliver to the Holders
        thereof Fixed Rate Note(s) in accordance with the Indenture substantially
        in the
        form of Exhibit 3B to the Indenture.

       

      Except
        as
        so amended, the provisions of the Indenture are hereby confirmed, and shall
        remain in full force and effect.

      

      This
        Supplement No. 1 to the Indenture may be executed in several counterparts,
        each
        of which shall be deemed an original, but all of which together shall constitute
        one and the same instrument.

      

      Notwithstanding
        any provision herein, in the event there are any inconsistencies between
        the
        original of this document held by the Secretary, and an original held by
        any
        other party to this transaction, the provisions of the original document
        held by
        the Secretary shall prevail.

      
        
          
          

        

        
          -7-

          
            

          

        

        
          
          

        

      

      

      IN
        WITNESS WHEREOF, this
        Supplement No. 1 to the Indenture has been duly executed by the Parties as
        of
        the day and year first above written. 

      

      

      

      (SEAL)                                       ROWAN
        COMPANIES, INC.

      

      

      ATTEST:

                                  By:______________________ 

                                  Vice
        President -
        Finance and

                                  Treasurer

      

      

      ________________________
        

      Secretary

      

      

                                  MANUFACTURERS
        AND
        TRADERS TRUST 

                                  COMPANY

      (SEAL)                                      
Indenture
        Trustee

      

      

      ATTEST:

                                  By:_______________________ 

                                  Vice
        President

       

      ________________________

      Vice
        President

      

      

      
        
          
          

        

        
          -8-

          
            

          

        

        
          
          

        

      

      CONSENT:

      

      Pursuant
        to Section 10.05 of the General Provisions Incorporated into the Trust Indenture
        by Reference attached as Exhibit 1 to the Trust Indenture, the Secretary
        hereby
        consents to this Supplement No. 1 to the Trust Indenture.

      

      

      ATTEST:                                         UNITED
        STATES OF
        AMERICA,

                                  SECRETARY
        OF
        TRANSPORTATION

      

      

      __________________  
                                                 BY:
        MARITIME ADMINISTRATION

      

      

      

      

                                  By:__________________________ 

                                  Secretary

      
 

       

      -9-LTIP directors 2005

    Exhibit
      10c

    

      NON-EMPLOYEE
        DIRECTOR 2005 RESTRICTED STOCK UNIT GRANT

      PURSUANT
        TO THE TERMS OF THE

      ROWAN
        COMPANIES, INC. 2005 LONG-TERM INCENTIVE PLAN

       

      1.  Grant
        of Restricted Stock Units.
        Pursuant to the Rowan Companies, Inc. 2005 Long-Term Incentive Plan (the
“Plan”)
        Rowan Companies, Inc. (“Company”) hereby grants to
        ___________________(“Non-employee Director”) 3,000 Restricted Stock Units
        (“RSUs”) with respect to Non-Employee Director’s annual service period that
        ended April 22, 2005 (the “2005 Grant”). Such RSUs shall be (i) credited to the
        RSU Account (described in Paragraph 3) and (ii) subject to the terms of the
        Plan
        (which is incorporated herein by reference) and this document. By acceptance
        of
        this RSU Grant, Non-Employee Director agrees to be bound by all of the terms,
        provisions, conditions and limitations of the Plan as implemented by the
        RSU
        Grant. All capitalized terms in the RSU Grant have the meanings set forth
        in the
        Plan unless otherwise specifically provided. 

       

      2.  Vesting.
        The
        2005 Grant shall be immediately and fully vested and nonforfeitable.

       

      3.  Establishment
        of Accounts.
        Company
        shall maintain an appropriate bookkeeping record (the “RSU Account”) that from
        time to time will reflect the Non-Employee Director’s name, the number of vested
        and unvested RSUs credited to Non-Employee Director and the Fair Market Value
        of
        the RSUs credited to the Non-Employee Director. Fair Market Value of a RSU
        shall
        be deemed to be equal to the Fair Market Value of one share of Common Stock.
        The
        2005 Grant shall be credited to the Non-Employee Director’s RSU Account
        effective as of July 22, 2004.

       

      4.  Cash
        Dividends.
        As of
        each date on or after July 22, 2004 that cash dividends are paid with respect
        to
        Common Stock, to the extent that Non-Employee Director has any outstanding
        RSUs
        credited to his or her RSU Account, the Non-Employee Director shall have
        an
        additional amount credited to his or her RSU Account equal to the number
        of RSUs
        (rounded up to the nearest whole number) having a Fair Market Value equal
        to the
        dollar amount of dividends paid per share of Common Stock multiplied by the
        number of RSUs credited to Non-Employee Director’s RSU Account as of the payment
        date of such dividend.

       

      5.  Adjustments.

       

      (a)  Exercise
        of Corporate Powers.
        The
        existence of this Plan and any outstanding RSUs credited hereunder shall
        not
        affect in any manner the right or power of Company or its stockholders to
        make
        or authorize any or all adjustments, recapitalizations, reorganizations or
        other
        changes in the capital stock of Company or its business or any merger or
        consolidation of Company, or any issue of bonds, debentures, preferred or
        prior
        preference stock (whether or not such issue is prior to, on a parity with
        or
        junior to the Common Stock) or the dissolution or liquidation of the Company,
        or
        any sale or transfer of all or any part of its assets or business, or any
        other
        corporate act or proceeding of any kind, whether or not of a character similar
        to that of the acts or proceedings enumerated above.

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      (b)  Recapitalizations,
        Reorganizations and Other Activities.
        In the
        event of any subdivision or consolidation of outstanding shares of Common
        Stock,
        declaration of a dividend payable in shares of Common Stock or other stock
        split, then (i) the number of RSUs and (ii) the appropriate Fair Market Value
        and other price determinations for such RSUs shall each be proportionately
        adjusted by the Committee or the Board to reflect such transaction. In the
        event
        of any other recapitalization or capital reorganization of the Company, any
        consolidation or merger of the Company with another corporation or entity,
        the
        adoption by the Company of any plan of exchange affecting the Common Stock
        or
        any distribution to holders of Common Stock of securities or property (other
        than normal cash dividends or dividends payable in Common Stock), the Committee
        or the Board shall, in its sole discretion make appropriate adjustments to
        (i)
        the number of RSUs and (ii) the appropriate Fair Market Value and other price
        determinations for such RSUs to give effect to such transaction; provided
        that
        such adjustments shall only be such as are necessary to preserve, without
        increasing or decreasing, the value of such units. In the event of a corporate
        merger, consolidation, acquisition of property or stock, separation,
        reorganization or liquidation, the Committee or the Board shall be authorized
        to
        issue or assume units by means of substitution of new units, as appropriate,
        for
        previously issued units or an assumption of previously issued units as part
        of
        such adjustment.

       

      6.  Payment
        of Amounts in the RSU Account.
        As of
        the final termination date of Non-Employee Director’s service on the Board, the
        aggregate Fair Market Value of all vested RSUs then credited to Non-Employee
        Director’s RSU Account shall be calculated by multiplying the Fair Market Value
        of a share of Common Stock on such date times the number of RSUs then credited
        to the Non-Employee Director’s RSU Account. Notwithstanding the foregoing, no
        amount shall be paid prior to the earliest date that such amount may be paid
        upon “separation from service” within the meaning of Code section 409A, without
        imposition of an excise tax.

       

      7.  Form
        of Payment.
        Payment
        to Non-Employee Director of amounts due hereunder shall be made in Common
        Stock,
        or at the discretion of the Committee in cash in a lump sum as soon as
        administratively feasible, but no later than sixty (60) days following the
        date
        Non-Employee Director becomes entitled to payment.

       

      8.  Death
        Prior to Payment.
        In the
        event that Non-Employee Director dies prior to payment, all RSUs shall become
        fully vested and immediately payable to Non-Employee Director’s designated
        beneficiary, or if none, to his or her estate. 

       

      9.  Change
        in Control.

       

      (a)  Change
        in Control.
        In the
        event of a Change in Control the Committee may waive all restrictions,
        conditions and/or limitations on payment in full under the RSU Grant; provided,
        however, that payment shall not be accelerated unless such Change of Control
        also constitutes a change of control event under section 409A of the Code
        and
        such acceleration of payment would not cause Non-Employee Director to be
        subject
        to excise tax pursuant to section 409A of the Code. 

       

      
        
          
          

        

        
          -2-

          
            

          

        

        
          
          

        

      

      (b)  Right
        of Cash-Out.
        If
        approved by the Board prior to or within thirty (30) days after such time
        as a
        Change in Control (described above) shall be deemed to have occurred, the
        Board
        shall have the right for a forty-five (45) day period immediately following
        the
        date that the Change in Control is deemed to have occurred to require
        Non-Employee Director to transfer and deliver to Company the RSU Grant in
        exchange for an amount equal to the “cash value” (defined below) of the RSU
        Grant; provided, however, that the Board shall not have the right to accelerate
        payment or cash-out any RSU Grant if the exercise of such right would cause
        Non-employee Director to be subject to excise tax pursuant to section 409A
        of
        the Code. Such right shall be exercised by written notice to Non-Employee
        Director. The cash value of RSU Grant shall equal all cash to which Non-Employee
        Director would be entitled upon settlement of the RSU Grant as of the date
        of
        the Change in Control. The amount payable to Non-Employee Director by Company
        pursuant to this Paragraph 16(b) shall be in cash or by certified
        check.

       

      10.  Unfunded
        Arrangement.
        Nothing
        contained herein shall be deemed to create a trust of any kind or create
        any
        fiduciary relationship. This RSU Grant shall be unfunded. Any funds invested
        hereunder shall continue for all purposes to be part of the general funds
        of
        Company. To the extent that Non-Employee Director has a right to receive
        payments from Company under the RSU Grant, such right shall not be greater
        than
        the right of any unsecured general creditor of Company and such right shall
        be
        an unsecured claim against the general assets of Company. Although bookkeeping
        accounts may be established with respect to Non-Employee Director, any such
        accounts shall be used merely as a bookkeeping convenience. Company shall
        not be
        required to segregate any assets that may at any time be represented by cash
        or
        rights thereto, nor shall this RSU Grant be construed as providing for such
        segregation, nor shall Company, the Board or the Committee be deemed to be
        a
        trustee of any cash or rights thereto to be granted under this Plan. Any
        liability or obligation of Company to any Non-Employee Director with respect
        to
        cash or rights thereto under this RSU Grant shall be based solely upon any
        contractual obligations that may be created by this RSU Grant, and no such
        liability or obligation of Company shall be deemed to be secured by any pledge
        or other encumbrance on any property of Company. Neither Company nor the
        Board
        nor the Committee shall be required to give any security or bond for the
        performance of any obligation that may be created by this RSU
        Grant.

       

      11.  Title
        to Funds Remains with Company.
        Amounts
        credited to Non-Employee Director’s Account shall not be specifically set aside
        or otherwise segregated, but will be combined with corporate assets. Title
        to
        such funds will remain with the Company and the Company’s only obligation will
        be to make timely payments to Non-Employee Director in accordance with the
        RSU
        Grant.

       

      12.  Assignability.
        No
        right to receive payment hereunder shall be transferable or assignable by
        Non-Employee Director except by will or the laws of descent and distribution
        or
        pursuant to a domestic relations order. Notwithstanding the foregoing, RSUs
        granted hereunder may be transferred with Committee approval, and with such
        restrictions as the Committee may impose to any of (i) the spouse, children
        or
        grandchildren (“immediate family members”); (ii) a trust or trusts for the
        exclusive benefit of one of more immediate family members; (iii) a partnership
        or limited liability company whose only partners, shareholders or member
        are
        Participant’s immediate family members or (iv) an organization that has been
        determined by the Internal Revenue Service to be exempt under Section 501(c)(3)
        of the Code. Following any transfer of RSUs by the Non-Employee Director,
        such
        RSUs shall remain subject to the same terms and conditions set forth in the
        Plan
        and this Agreement. Any attempted assignment of any benefit under this RSU
        Grant
        in violation of this Paragraph shall be null and void.

       

      
        
          
          

        

        
          -3-

          
            

          

        

        
          
          

        

      

      13.  Amendment
        and Termination.
        No
        amendment or termination of the RSU Grant shall be made by the Board or the
        Committee at any time without the written consent of Non-Employee Director.
        No
        amendment or termination of the Plan will adversely affect the rights,
        privileges and option of Non-Employee Director under the RSU Grant without
        the
        written consent of Non-Employee Director except as the Committee may deem
        necessary or advisable to prevent adverse tax consequences to the Non-Employee
        Director under Section 409A of the Code.

       

      14.  No
        Guarantee of Tax Consequences.
        Neither
        Company nor any Parent or Subsidiary nor the Board or Committee makes any
        commitment or guarantee that any federal or state tax treatment will apply
        or be
        available to any person eligible for the benefits under the RSU
        Grant.

       

      15.  Severability.
        In the
        event that any provision of the RSU Grant shall be held illegal, invalid,
        or
        unenforceable for any reason, such provision shall be fully severable, but
        shall
        not affect the remaining provisions of the RSU Grant, and the RSU Grant shall
        be
        construed and enforced as if the illegal, invalid, or unenforceable provision
        had never been included herein.

       

      16.  Governing
        Law.
        The RSU
        Grant shall be construed in accordance with the laws of the State of Texas
        to
        the extent federal law does not supersede and preempt Texas law.

       

      Executed
        this ____ day of ______________, 2005.

       

      “COMPANY”

       

      ROWAN
        COMPANIES, INC.

       

       

      By:___________________________________

       

      Printed
        Name:___________________________

       

      Title:__________________________________

       

      
        
          
          

        

        
          -4-

          
            

          

        

        
          
          

        

      

       

      Accepted
        this ____ day of ______________, 2005.

       

      “NON-EMPLOYEE
        DIRECTOR”

       

      

       

      By:___________________________________

       

      Printed
        Name:___________________________

       

      Title:
        Director

       

       

       

       

       

       

      -5-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00088-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00088-of-00352.parquet"}]]