04-HP-876_newMDA.qxd 12/15/04 3:04 PM Page 55 Consolidated B alance S heets ASSETS The accompanying notes are an integral par of these statements. 56 September 30, 2004 2003 (in thousands) CURRENT ASSETS: Cash and cash equivalents $ 65,296 $ 38,189 Accounts receivable, less reserve of $1,265 in 2004 and $1,319 in 2003 133,262 91,088 Inventories  20,826 22,533 Deferred income taxes 4,346 1,935 Prepaid expenses and other 22,156 45,721 Total current assets  245,886 199,466 INVESTMENTS  161,532 158,770 PROPERTY, PLANT AND EQUIPMENT, at cost: Contract drilling equipment  1,531,937 1,490,389 Construction in progress  1,228 45,004 Real estate properties  56,307 56,247 Other  93,640 87,570 1,683,112 1,679,210 Less-accumulated depreciation and amortization  684,438 621,005 Net property, plant and equipment  998,674 1,058,205 OTHER ASSETS  752 1,329 TOTAL ASSETS $1,406,844 $1,417,770