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Company with additional market opportunities. The D RIL-QUIP Subsea Production Control System is in the final stages of development and testing. The system was designed using state-of-the-art components, including fiber optic communication technology, and features redundancy and high reliability critical for sub- sea completion applications. 

An increased number of the Company’s sur- face wellheads and trees were installed throughout the world during 2002 as com- pared to 2001, improving our presence in the surface wellhead and tree market. A specifi- cally designed system, which included a D RIL-QUIP unitized wellhead and horizontal tree, was developed and installed offshore China. This system was designed to maximize operational efficiencies and provide both time- saving and space-saving benefits. 

During the year, the Company’s S$^{3 }$Slug Suppression Systems were successfully installed on platforms in the North Sea and are currently performing to design expecta- tions. The success of this system should improve our opportunities to participate in the supply of products for offshore platform pro- duction operations. 

We were also successful in obtaining a major contract for an offshore production system package for a Tension Leg Platform (TLP) to be installed in approximately 4,700 feet of water in the Gulf of Mexico. This system will consist of D RIL-QUIP surface wellheads, sur- face production trees, production riser and tieback equipment. 

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## Looking Ahead 

Our Quality Management System is continually updated and meets or exceeds both national and international standards and is both ISO 9001 and API certified. 

We continue to emphasize safety in our work- place and have been able to improve our safety record worldwide. D RIL-QUIP Europe was pre- sented the Royal Society of the Prevention of Accidents (RSOPA) Gold Award. This award recognized not only our low accident rate, but also the results of the Company’s health and safety performance with regard to its overall safety management system. 

We plan to build on our successes in 2002, and believe our technological expertise and manufac- turing excellence will continue, allowing the Company to expand its leadership role as a sup- plier of offshore drilling and production equipment. 

We want to thank our employees, customers and stockholders for their support. As we look to the future we will continue to place a strong emphasis on improving the way we manage our business, finding and developing methods to operate better, faster and at lower costs. We believe we can accomplish this while continu- ing to recognize the importance of safety in our workplace and the value of customer satis- faction, maintaining both employee and shareholder confidence. We believe this will result in a stronger and more profitable Company in the future. 

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