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

To: Fredman who wrote (32186)	11/28/1998 1:45:00 AM
From: pz	Respond to of 95453

FOR IMMEDIATE RELEASE November 27, 1998 Offshore rig count tumbles HOUSTON: The worldwide offshore rig count fell by six rigs since last week, according to Offshore Data Services' weekly mobile offshore rig count. With this latest decline, the worldwide offshore rig count has fallen by 10 rigs over the last month. This week, 518 of the world's 612 mobile offshore drilling rigs are under contract. Worldwide offshore rig utilization is 84.6 percent. The U.S. Gulf of Mexico rig count declined by one rig since last week. With 133 of the region's 177 mobile offshore drilling rigs now under contract, U.S. Gulf rig utilization is 75.1 percent. The European offshore rig count posted a net two-rig decline since last week. This week, 105 of the area's 113 mobile offshore drilling rigs are under contract. The European offshore drilling fleet's utilization rate is 92.9 percent.

To: Fredman who wrote (32186)	11/28/1998 7:10:00 AM
From: Crimson Ghost	Read Replies (2) \| Respond to of 95453

Regarding capitaL spending cuts, did not someone here quote oil analysts on CNBC as predicting big cuts because of the merger? Some of this is bound to be drilling related. But I do grant that excessive cuts in drilling now will require higher outlays later on. In this difficult environment for OS I plan to play it safe by investing only in the big three -- HAL, BHI, and SLB -- as well as the Fidelity Select Energy Services Fund. I think we must all be cautious short-term, but I have never been more bullish on these stocks longer-term. Assuming the kind of drastic restructuring I expect, OSX could hit 150-200 when oil gets back into high teems.

To: Fredman who wrote (32186)	11/28/1998 9:14:00 AM
From: steve harris	Read Replies (1) \| Respond to of 95453

Fred, I dug out an old book and started this exercise: In reading Benjamin Graham and applying his ideas for finding value and financial strength, the following is what I (a novice) came up with. Mr Graham used the following guidelines: Current assets > 2x Current liabilities Current assets => Long term liabilities PE < 15 Price < 1.5 book > $100 million in sales revenue I also looked at the ROE/ROA and profit margin of each. He also did say concening the PE and book value you could fudge a little there by using this formula A<=22.5 when A=PE(stock price/book value) Figures in millions Symbol revenue CA CL LTL PE Book Price A ATW 151.8 52 17 72 7 11 20 1/2 13 BDI 87 39 31 13 41 9.85 5 1/4 21.9 CDG 343 134 62 203 5 16.47 17 5.2 DO 1200 866 142 400 9.6 12.46 23 7/8 18.4 ESV 895 511 178 382 5 8.91 10 3/16 5.7 FLC 1073 428 346 1374 - 5.10 9 13/16 - GLM 1223 308 147 738 7.3 5.80 10 1/16 12.7 MRL 243 85 43 0 6.7 6.44 9 1/8 9.5 NBR 1029 251 237 217 14 8.44 14 5/16 23.8 NE 788 257 279 262 9.8 9.76 12 5/16 12.4 PDS 679 132 84 171 6.3 11.55 11 1/8 6.1 PKD 481 196 91 630 11.5 4.94 4 1/16 9.5 PTEN 216 59 32 49 9.4 5.14 4 3/4 8.7 RDC 762 379 97 250 5.5 8.77 10 9/16 6.6 RIG 1020 341 182 853 9.7 18.58 26 13.6 SDC 579 276 155 0 9.9 8.89 13 9/16 15.1 SLB 11494 8989 4004 3433 24.3 14.57 48 80 TESOF 111 57 8.8 3.2 11.1 3.75 4 3/8 13 UTI 201 42 24.5 31.6 11.6 9.11 9 3/16 11.7 I used WSRN research site: wsrn.com ESV long term liability is shown as .2 but on their 10/15 release shows 382 long term debt. Preliminary choices requiring further investigation would be: ATW DO ESV MRL RDC SDC BDI,NBR,PKD,PTEN- bad ROE/ROA CDG,GLM,PDS,RIG- LTL high FLC- negative earnings NE- current liabilities high SLB- well, too high of his A=PE(price/book) TESOF- stock symbol too long........... UTI- ROE/ROA and margin weak I would like to hear more. Many other companies exists and I'm sure there are companies you shouldn't buy no matter what the figures say. Disclaimer: I have no knowledge or experience in the oil field services area and I own some UTI. This was an exercise on my part to determine "who" might be around after the chips fall. Due your own research as you are responsible for your own investing. Pay no attention to that man behind the curtain. I'm sure there are errors in my report. Just ain't seen them yet......... steve