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Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: marc chatman who wrote (47840)	7/13/1999 9:36:00 AM
From: marc chatman	Read Replies (1) \| Respond to of 95453

Weatherford Global Compression Awarded $95 Million Contract With YPF in Argentina biz.yahoo.com

To: marc chatman who wrote (47840)	7/13/1999 9:37:00 AM
From: paul feldman	Read Replies (1) \| Respond to of 95453

SEARCH TSC COMMENTARY >> WRONG! REAR ECHELON REVELATIONS What's the Deal With Schlumberger? By James J. Cramer 7/13/99 8:59 AM ET One man's SLOB is another man's Schlumberger (SLB:NYSE). This morning, Credit Suisse First Boston downgraded SLOB, saying something about its P/E that sounds like gibberish to me because I am long. But Donaldson Lufkin & Jenrette upgraded Schlumberger for making this Transocean (RIG:NYSE) deal, even though it is slightly dilutive. Deals. Can't live with them, can't live without them. But the rules about deals are stark on Wall Street: You can do creative, dilutive deals that can be sold to the Street only if you are on the Net. But if you try to do something creative and sensible, as I thought Schlumberger did -- and I bought the stock because I like the combo -- but it doesn't pay off in year one, you get downgraded. I am hoping the market sends First Boston a message and SLB goes up. I would like to think that a good deal is a good deal off the Net, even if it impacts earnings negatively for a few quarters. The greatness of the game: We will know the winner in 30 minutes. -------------------------------------------------------------------------------- James J. Cramer is manager of a hedge fund and co-founder of TheStreet.com. At time of publication, his fund was long Schlumberger. His fund often buys and sells securities that are the subject of his columns, both before and after the columns are published, and the positions that his fund takes may change at any time. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Cramer's writings provide insights into the dynamics of money management and are not a solicitation for transactions. While he cannot provide investment advice or recommendations, he invites you to comment on his column at jjcletters@thestreet.com. -------------------------------------------------------------------------------- Send feedback to letters@thestreet.com. Top Read our conflicts and disclosure policy. GET STOCK QUOTES symbol name Best of Cramer How to Read Cramer's Columns: a Guide by Dave Kansas RELATED STORIES Wrong! Rear Echelon Revelations Feeling the Pain 7/13/99 7:30 AM ET Wrong! Rear Echelon Revelations Don't Be Greedy 7/12/99 8:34 PM ET Wrong! Rear Echelon Revelations No Breaks for eBay 7/12/99 4:55 PM ET COMMENTARY ARCHIVE Read past stories. LATEST FILINGS James J. Cramer Herb Greenberg Adam Lashinsky

To: marc chatman who wrote (47840)	7/13/1999 12:40:00 PM
From: Tomas	Respond to of 95453

Oil groups set to form biggest offshore driller - Financial Times, Tuesday By Hillary Durgin in Houston, Texas Schlumberger, the New York and Paris based oil services group, is to spin off its offshore drilling business and merge it with Transocean Offshore, creating the world's largest offshore driller. The deal, announced yesterday, combines the rig fleets of two of the energy industry's leading companies and continues the rapid consolidation in the industry. The new company, Transocean Sedco Forex, would have a market capitalisation, at yesterday's prices, of $6.1bn. This would make it the fourth largest oilfield services company in terms of market capitalisation after Schlumberger itself, Halliburton of Dallas and Baker Hughes of Houston. For Schlumberger, the transaction permits its 40-year-old oilfield and equipment business to focus on its reservoir optimisation activities. Houston-based Transocean receives the technical, financial and geographic muscle. Under the terms of the deal Schlumberger stockholders will own 52 per cent of the fully diluted stock in the new company. Based on the Schlumberger shares outstanding on June 30 Schlumberger stockholders would receive approximately one newly issued Transocean Sedco Forex share for every five Schlumberger shares. The 109m new shares to be issued would be valued at $3.2bn based on the closing price of Transocean stock on July 9. In midday trading on the New York stock exchange Schlumberger shares were down $ 15/16 at $64. Transocean shares were up $½ to $29.50. The agreement, expected to close by December 31, is subject to stockholder approval. In 1998 Sedco Forex Offshore revenue and net income were $1.1bn and $390m respectively. Transocean had 1998 sales and net income of $1.1bn and $297m after special items. Simmons & Company International advised Transocean and Goldman Sachs advised Schlumberger.