Diamond Offshore Drilling (NYSE: DO) declined Tuesday after it filed a 10-K with the SEC. The company noted upcoming contract terminations from Petrobras (NYSE: PBR) and PEMEX. Terminations effect the Ocean Ambassador, the Ocean Nugget, Ocean Summit, Ocean Baroness, and Ocean Lexington.

While not totally surprising given the situation in the offshore drilling industry, Diamond Offshore and peers Transocean (NYSE: RIG), Ensco plc (NYSE: ESV), Paragon Offshore (NYSE: PGN), and Seadrill Ltd. (NYSE: SDRL) declined.

Statements taken from Diamond Offshore's 10-K are below.

On February 20, 2015, a representative of PEMEX—Exploración y Producción, or PEMEX, verbally informed us of PEMEX’s intention to exercise its contractual right to terminate its drilling contracts on the Ocean Ambassador, the Ocean Nugget and the Ocean Summit, and to cancel its drilling contract on the Ocean Lexington, which contract was scheduled to begin in September 2015. As of the date of this report, we have not received written notice of termination or cancellation. We are in discussions with PEMEX regarding the rigs.

In addition, Petróleo Brasileiro S.A., or Petrobras, recently notified us that it has a right to terminate the drilling contract on the Ocean Baroness and has verbally informed us that it does not intend to continue to use the rig. We are currently in discussions with Petrobras regarding the rig.