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

To: The Ox who wrote (53514)	10/25/1999 5:54:00 PM
From: ItsAllCyclical	Respond to of 95453

UPR comes in at .08 vs expectations of .03. About $1.15 in cash flow per share this quarter. A conservative valuation puts a value of $25+ on UPR during the next 6-9 months. Nice debt reduction.

To: The Ox who wrote (53514)	10/25/1999 5:55:00 PM
From: Broken_Clock	Respond to of 95453

Mike, Slider & all.... Monday October 25, 5:19 pm Eastern Time Company Press Release Union Pacific Resources Group Inc. Posts 3rd Quarter Income of $21 Million Credits Prices, Reduced Debt and Lowered Costs FORT WORTH, Texas--(BUSINESS WIRE)--Oct. 25, 1999--Union Pacific Resources Group Inc. (NYSE:UPR - news) today announced third quarter net income of $20.7 million from continuing operations, or $.08 per share, compared to a loss of $13.1 million, or $.06 per share, in the same period last year. Discretionary cash flow of $292.7 million for the quarter increased by nearly $79 million from last year's third quarter total of $213.8 million. A combination of higher commodity prices and successful debt and cost-reduction efforts led to the improved financial performance: Price realizations for the third quarter of $2.05 per thousand cubic feet of gas(edit...now over $3.00!) equivalent (MCFE) were $.43 per MCFE higher than last year's third quarter average of $1.62 per MCFE. Interest expense declined by $19.9 million, from $72.5 million in the third quarter of 1998 to $52.6 million in third quarter 1999, as the Company decreased debt from $4.6 billion to $2.97 billion.(edit...30%+debt reduction!...I like that) Production costs declined by $8.1 million -- most of it associated with lease operating expense -- from $113.2 million in the third quarter of last year to $105.1 million. Exploration costs dropped $31.7 million, from $79 million to $47.3 million. General and administrative costs of $18.6 million for the third quarter were $4.4 million lower than last year's third quarter total of $23 million. Capital expenditures of $110.8 million in the third quarter were in accord with the company's projected spending, an example of UPR's commitment to capital discipline. The Company pushed an active drilling and exploration program, operating an average of 21 rigs during the quarter, about double the number at the beginning of the year. Production volumes declined from last year's third quarter average of 2.61 billion cubic feet of gas equivalent per day (BCFED) to an average of 2.14 BCFED -- within the Company's projected range -- for the quarter just ended. The decline was attributable to property sales and decreased expenditures that led to lower levels of drilling activity in the first half of the year. The Company anticipates that volumes in the fourth quarter will be down slightly, a trend it plans to reverse next year with increased capital spending and increased rig activity. Several special charges and credits in the quarter largely offset one another. Positive items include $52.5 million after tax related to currency exchange gains, a favorable tax settlement and gains on property sales, while negative items include $51.1 million after tax in charges for firm transportation agreements, asset impairments related to onshore Gulf Coast properties, and surrendered lease costs. ''There is good reason to be pleased with UPR's performance in the third quarter,'' Chairman, President and CEO George Lindahl III said. ''I'm especially pleased with the success of our overall cost-reduction efforts -- an essential element in our plans for future success -- and in particular with our success in reducing debt and interest expense. We have already met our debt reduction goal for 1999, and reducing debt in the year 2000 by more than our stated goal of $200 million will continue to be a high priority.'' Union Pacific Resources, based in Fort Worth, Texas, is one of the nation's largest independent oil and gas exploration and production companies. This press release, other than historical financial information, contains forward-looking statements that are based on assumptions and estimates we believe reasonable but that are subject to a wide range of risks and uncertainties. Any number of factors could cause actual results to differ materially from those in the forward-looking statements, including changes in oil and gas prices, the timing and results of oil and gas drilling and acquisition programs, the success of management's cost reduction and implementation activities, expected production efforts and volumes, budgeted capital expenditures and other risks and uncertainties detailed in the Company's SEC reports, including the reports on Form 10-K for the year ended December 31, 1998 and Form 10-Q for the quarter ended June 30, 1999.

To: The Ox who wrote (53514)	10/25/1999 6:12:00 PM
From: Gary Burton	Respond to of 95453

Michael--You could well be right about 6.63--I see that the long bond yield has already broken above its long term downtrend line connnecting the 1994 and 1997 peaks in yield when it printed above approx 6.27 on this run (as I said, support and resistance lines are made to be broken-vbg). We appear to have 2 more new highs to complete the sequence from the 98 low in the 4's(ie a little blip down in yield now then another high, followed by another little blip down in yield followed a final new high)