ORANGE COUNTY EARNINGS

Varco International Inc.: The Orange-based oil field machinery company reported net income of $10.7 million, or 16 cents a share, which included a pretax charge of $8.5 million for severance and other costs associated with the weak oil service industry. In the comparable quarter of 1997, net income was $18.3 million, or 28 cents a share. Revenue increased 14% to $199.6 million from $174.7 million.

For the year, net income was $60.3 million, or 92 cents a share, 21% higher than the $49.9 million, or 76 cents a share, recorded for 1997. Revenue rose 36% to $741 million from $545.8 million.