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

To: hdrjr who wrote (64932)	4/19/2000 8:08:00 AM
From: warren harris	Read Replies (1) \| Respond to of 95453

Oxy .74 per share - beats avg est of .63 Wednesday April 19, 7:26 am Eastern Time Company Press Release SOURCE: Occidental Petroleum Corp Occidental Petroleum Corporation Announces 2000 First Quarter Results LOS ANGELES, April 19, 2000 (PRIMEZONE) -- Occidental Petroleum Corporation (NYSE:OXY - news) announced net income of $271 million ($.74 per share) for the first quarter of 2000, compared with a net loss of $70 million ($.21 per share) for the first quarter of 1999. Earnings before special items were $264 million for the first quarter of 2000, compared with a loss before special items of $68 million for the first quarter of 1999. Sales were $2.5 billion for the first quarter of 2000, compared with $1.3 billion for the same period in 1999. Dr. Ray R. Irani, Chairman and Chief Executive Officer, said, ``Our strong first quarter performance was driven by record quarterly profits from oil and gas and the strong recovery of our chemical business. This year's first quarter chemical earnings of $143 million virtually equaled the 1999 total year chemical earnings before special items of $147 million. The strong and growing demand for PVC throughout 1999 and into this year resulted in improved margins for chlorine and its derivatives. We expect continued strong performance from our chemical business. ``Higher oil and gas prices and continuing cost control contributed to the record quarterly earnings for oil and gas. ``Today we expect to announce the closing of the Altura transaction, and we expect to close on the THUMS acquisition during the second quarter. These events will materially strengthen our future performance. Specifically, worldwide oil and gas production volume will increase by 47% from the first quarter 2000 average daily production.' Oil and Gas Oil and gas divisional earnings were $394 million for the first quarter of 2000, compared with $65 million for the first quarter of 1999, primarily as a result of higher worldwide crude oil and natural gas prices. Operating and overhead costs were also lower in 2000. However, lower production volumes, mainly resulting from the sale of our producing assets in Peru, partially offset the overall improvement in earnings from the prior year. Chemicals Chemical divisional earnings were $143 million for the first quarter of 2000, compared with $12 million for the first quarter of 1999, primarily due to higher prices and higher sales volume for VCM, EDC, PVC resins and chlorine. Partially offsetting these increases were higher raw material costs. Other Interest expense, net for the first quarter 2000 was $99 million, compared with $116 million for the first quarter of 1999, primarily due to the retirement of approximately $1 billion in debt in the second half of 1999. Corporate other included insurance dividends of $11 million and $18 million for the first quarter of 2000 and 1999, respectively. SUMMARY OF DIVISIONAL NET SALES AND EARNINGS (Millions, except per-share amounts) First Quarter Periods Ended March 31 2000 1999 =========================================== ======= ======= DIVISIONAL NET SALES Oil and gas $ 1,527 $ 746 Chemical 981 598 ------- ------- Net sales $ 2,508 $ 1,344 ========================================== ======= ======= DIVISIONAL EARNINGS Oil and gas $ 394 $ 65 Chemical 143 12 ------- ------- 537 77 Unallocated Corporate Items Interest expense, net (99) (116) Income taxes (a) (150) 3 Trust preferred distributions & other (17) (14) Other - (7) ------- ------- Income (Loss) Before Effect Of Changes In Accounting Principles 271 (57) Cumulative effect of changes in accounting principles, net (b) - (13) ------- ------- Net Income (Loss) 271 (70) Effect of repurchase of Trust Preferred Securities (c) 1 - Preferred dividends - (4) ------- ------- EARNINGS (LOSS) APPLICABLE TO COMMON STOCK $ 272 $ (74) ======= ======= BASIC AND DILUTED EARNINGS (LOSS) PER COMMON SHARE Income (loss) before effect of changes in accounting principles $ .74 $ (.17) Cumulative effect of changes in accounting principles, net (b) - (.04) ------- ------- $ .74 $ (.21) ======= ======= AVERAGE BASIC COMMON SHARES OUTSTANDING 368.1 347.8 =========================================== ======= ======= (a) Includes an offset for credits in lieu of U.S. federal income taxes allocated to the divisions. Divisional earnings have benefited from credits allocated by $1 million and $4 million at oil and gas and chemical, respectively, in the first quarter of 2000 and by $2 million and $4 million at oil and gas and chemical, respectively, in the first quarter of 1999. (b) In 1999, reflects the adoption of SOP 98-5 "Reporting on the Costs of Start-Up Activities" and EITF 98-10 "Accounting for Contracts Involved in Energy Trading and Risk Management Activities". (c) The first quarter of 2000 includes a $1 million gain, net of tax, related to the repurchase of 298,373 shares of 8.16 percent Trust Preferred Securities. SUMMARY OF OPERATING STATISTICS First Quarter Periods Ended March 31 2000 1999 =============================================== ======= ======= NET OIL, GAS AND LIQUIDS PRODUCTION PER DAY United States Crude oil and condensate (thousands of barrels) 61 66 Natural gas liquids (thousands of barrels) 9 9 Natural gas (millions of cubic feet) 630 647 Other Western Hemisphere Crude oil and condensate (thousands of barrels) 52 102 Eastern Hemisphere Crude oil and condensate (thousands of barrels) 117 144 Natural gas (millions of cubic feet) 50 53 CAPITAL EXPENDITURES (millions) $ 122 $ 132 ======= ======= DEPRECIATION, DEPLETION AND AMORTIZATION OF ASSETS (millions) $ 185 $ 197 =============================================== ======= ======= -0- Contacts: Howard Collins (media) 310-443-6523 Kenneth J. Huffman (investors) 212-603-8183 On the web: www.oxy.com SOURCE: Occidental Petroleum Corp More Quotes and News: Occidental Petroleum Corp (NYSE:OXY - news) Related News Categories: oil/energy

To: hdrjr who wrote (64932)	4/19/2000 8:18:00 AM
From: jim_p	Read Replies (1) \| Respond to of 95453

MDR is selling at less that 10 earnings, paying a $.20 dividend and is in one of the hottest growth sectors in the patch right now with all the deep water construction activity about to happen. There may not be enough supply to meet demand for work in the Gulf of Mexico in the second half of this year for offshore construction in the Gulf of Mexico. GLBL has gone from $6.00 to $15.00 in the last year, and MDR has gone from $32.50 to $7.25. Interesting post from John T Clark. JRM sure does appear to be in the sweet spot for deep water production. Message 13454339 Interesting sites for an asbestos update: asbesres.org lawnewsnetwork.com Comments from YAHOO: As for B&W BK there will not be any more meaningful news until it plays itself out in court or the US government passes a new law to handle asbestos issues, which ever comes first. It's B&W advantage to keep this law suit in court as long as possible, that way there is no bleeding of corporate money, Congress, getting pressure to solve this problem, which might happen within the next 2 years or sooner. On Feb 22, 2000 McDermott, file a complain seeking a Temporary Restraining Order, for the non debtor companies of McDermott International, keeping B&W BK lawsuits within B&W. On 03/01/2000, a order was issued favor of McDermott, a TRO was granted, that order was opposed by the asbestos Claimants, a hearing was reschedule to 04/17/2000, after the hearing Judge Jerry Brown granted the order in favor to McDermott. I have the understanding that this issue can be address again sometime in July 2000, if the lawyers peruse it. At the current price MDR, is a potential 6X your money in a margined account once the asbestos issues are cleared up. Jim