Varco International Inc.

The Orange manufacturer of oil and gas drilling equipment reported fourth-quarter net income of $3.7 million, or 6 cents a share, which included a pretax charge of $4.6 million for severance costs. For the comparable quarter in 1998, the company earned $10.7 million, or 16 cents a share, which included a pretax charge of $8.5 million. Revenue declined 28% to $144.3 million. Net income for the year totaled $37 million, or 56 cents a share, down 39% from the prior-year figure of $60.3 million, or 92 cents a share. Revenue fell 20% to $592.8 million.