[en] Tesco Corporation is an international oilfield service company operating in over twenty countries around the world. It designs, manufactures and services efficient oilfield equipment that reduces the cost of drilling and of producing oil and natural gas. Like other oilfield service companies, Tesco too, has been affected by the turbulent environment caused by low oil prices, by suffering a drastic reduction in revenues and earnings. Notwithstanding these difficulties, the Corporation was able to remain focused on its objective to provide a broad array of integrated services and products, and actually managed to expand the scope of its operations during this temporary contraction of industry activities. New products and services, while continuing to be geared towards generating cost savings for operators, are also directed towards enabling operators to enhance the recovery of reserves from older and depleted fields, thus adding value to the reserve base. One of the Corporation's innovations was the portable top drive which, because of its efficiency and cost saving characteristics gained rapid acceptance in the land drilling industry and has become a platform for growth. Today, Tesco has both hydraulic and electric top drives that can be installed within 24 hours on any onshore or offshore rig in the world. A major commitment in research and development has been made to underbalanced drilling (UBD), a technique that has tremendous market potential, particularly in depleted and low pressure formations. In 1999 Tesco also began to commercialize case drilling, its most significant current development project, which has the potential to revolutionize the rotary drilling process by improving wellbore integrity and reducing drilling time through the elimination of the drill-pipe. Revenues for the year declined 23 per cent to 126.1 million from $ 163.7 million reported in 1998. A loss in earnings for the year of $ 2.6 million is reported for 1999, compared to net earnings of $25.2 million in 1998. Greatest decline was experienced in rental activity (31 per cent) for Tesco's top drive fleet. Inventories of parts and equipment grew beyond planned levels, which contributed to the overall decline in fiscal 1999 earnings. Results in other divisions, Completions, Electrical and Hydraulics, suffered through similar difficult times. A 25 per cent reduction in staff took place by year end, combined with cost control measures throughout the organization in an effort to stem the tide. The effects of these measures should be reflected in fiscal 2000. The report provides a full review of operations and an audited statement of the Corporation's finances as of February 28, 1999