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POWER BARGE

May 12, 2010

Signal International wins power barge order

Signal International has been awarded a $30 million contract by Waller Marine Inc. of Houston, Texas. Under the contract Signal will build and support the outfitting of two 300 ft x 100 ft power barges. Each barge will have a single GE 7FA Gas Turbine and 171 MW generator.

On completion of the barges, Waller Marine will install and operate the units in Venezuela.

The barges will be built to ABS classification at Signal's Orange, Texas, shipyard.

Signal recently concluded a three-year transformation of the Orange fabrication facility and shipyard. Nearly $40 million has been invested in process improvements and continuous flow manufacturing methods. Implementation of modular construction and pre-outfitting techniques will facilitate production of the power barges, with delivery slated for August 17, 2010.

Dick Marler, Signal’s president and chief executive officer commented: “We are pleased to be working with Waller Marine on this significant power barge project. Our investment in Signal’s Orange facility to restore its capability as a shipyard is paying off.”

“The improvements we have made at Orange will be enhanced by a new side launch capability this year," Mr.Marler continued. "We are entering the shipbuilding market with all of the resources necessary to be competitive with regard to cost and schedule for a variety of ship and vessel designs."


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