Transocean Proxy Statement and 2010 Annual Report

Item 2. Properties
The description of our property included under “Item 1. Business” is incorporated by reference herein.
We maintain offices, land bases and other facilities worldwide, including the following:
� principal executive offices in Vernier, Switzerland;
� corporate offices in Zug, Switzerland; Houston, Texas; Cayman Islands, Barbados and Luxembourg; and
� a regional operational office in France.
Our remaining offices and bases are located in various countries in North America, South America, the Caribbean, Europe,
Africa, Russia, the Middle East, India, the Far East and Australia. We lease most of these facilities.
Item 3. Legal Proceedings
Macondo well incident
Overview—On April 22, 2010, the Ultra-Deepwater Floater Deepwater Horizon sank after a blowout of the Macondo well caused
a fire and explosion on the rig. Eleven persons were declared dead and others were injured as a result of the incident. At the time of the
explosion, Deepwater Horizon was located approximately 41 miles off the coast of Louisiana in Mississippi Canyon Block 252 and was
contracted to BP America Production Co.
As we continue to investigate the cause or causes of the incident, we are evaluating its consequences. Although we cannot
predict the final outcome or estimate the reasonably possible range of loss with certainty, we have recognized a liability for estimated loss
contingencies that we believe are probable and for which a reasonable estimate can be made. We have also recognized a receivable for
the portion of this liability that we believe is recoverable from insurance. As of December 31, 2010, the amount of the estimated liability
was $135 million, recorded in other current liabilities, and the corresponding estimated recoverable amount was $94 million, recorded in
accounts receivable, net, on our consolidated balance sheet. New information or future developments could require us to adjust our
disclosures and our estimated liabilities and insurance recoveries. See “—Contractual indemnity.”
Litigation—As of December 31, 2010, 304 actions or claims were pending against Transocean entities, along with other
unaffiliated defendants, in state and federal courts. Additionally, government agencies have initiated investigations into the Macondo well
incident. We have categorized below the nature of the legal actions or claims. We are evaluating all claims and intend to vigorously
defend any claims and pursue any and all defenses available. In addition, we believe we are entitled to contractual defense and indemnity
for all wrongful death and personal injury claims made by non-employees and third-party subcontractors’ employees as well as all liabilities
for pollution or contamination, other than for pollution or contamination originating on or above the surface of the water. See “—
Contractual indemnity.”
Wrongful death and personal injury—As of December 31, 2010, we and one or more of our subsidiaries have been named, along
with other unaffiliated defendants, in 30 complaints that were pending in state and federal courts in Louisiana and Texas involving multiple
plaintiffs that allege wrongful death and other personal injuries arising out of the Macondo well incident. Per the order of the Multi-District
Litigation Panel (the “MDL”), these claims have been centralized for discovery purposes in the U.S. District Court, Eastern District of
Louisiana. The complaints generally allege negligence and seek awards of unspecified economic damages and punitive damages. BP plc
(together with its affiliates, “BP”), MI-SWACO, Weatherford Ltd. and Cameron International Corporation and certain of its affiliates, have,
based on contractual arrangements, also made indemnity demands upon us with respect to personal injury and wrongful death claims
asserted by our employees or representatives of our employees against these entities. See “—Contractual indemnity.”
Economic loss—As of December 31, 2010, we and one or more of our subsidiaries were named, along with other unaffiliated
defendants, in 70 individual complaints as well as 185 putative class-action complaints that were pending in the federal and state courts in
Louisiana, Texas, Mississippi, Alabama, Georgia, Kentucky, South Carolina, Tennessee, Florida and possibly other courts. The
complaints generally allege, among other things, potential economic losses as a result of environmental pollution arising out of the
Macondo well incident and are based primarily on the Oil Pollution Act of 1990 (“OPA”) and state OPA analogues. See “—Environmental
matters.” One complaint also alleges a violation of the Racketeer Influenced and Corrupt Organizations Act, but we were not named in this
particular master complaint. The plaintiffs are generally seeking awards of unspecified economic, compensatory and punitive damages, as
well as injunctive relief. See “—Contractual indemnity.” Per the order of the MDL, the economic loss claims filed in federal courts have
been or will be centralized for discovery purposes in the U.S. District Court, Eastern District of Louisiana. Absent agreement of the parties,
however, the cases will be tried in the courts from which they were transferred.
Federal securities claims—Three federal securities law class actions are currently pending in the U.S. District Court, Southern
District of New York, naming us and certain of our officers and directors as defendants. Two of these actions generally allege violations of
Section 10(b) of the Securities Exchange Act of 1934 (the “Exchange Act”), Rule 10b-5 promulgated under the Exchange Act and
Section 20(a) of the Exchange Act in connection with the Macondo well incident. The plaintiffs are generally seeking awards of unspecified
economic damages, including damages resulting from the decline in our stock price after the Macondo well incident. The third action was
filed by a former GlobalSantaFe shareholder, alleging that the proxy statement related to our shareholder meeting in connection with our
merger with GlobalSantaFe violated Section 14(a) of the Exchange Act, Rule 14a-9 promulgated thereunder and Section 20(a) of the
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