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

To: SliderOnTheBlack who wrote (36450)	2/1/1999 3:12:00 PM
From: Crimson Ghost	Respond to of 95453

Monday February 1, 2:32 pm Eastern Time Baker Hughes says double-digit revs fall possible HOUSTON, Feb 1 (Reuters) - Baker Hughes Inc. (NYSE:BHI - news), the world's third biggest oilfield services company, said on Monday it could face a double-digit drop in revenues in 1999 as the outlook for the energy sector would remain difficult in the short term. ''We believe our revenue could be down in the low double-digit range (on) a percentage basis,'' Chairman, President and Chief Executive Officer Max Lukens said in a conference call. For 1998 the company reported revenues of $6.3 billion and revenue costs of $4.7 billion. Lukens said the 1999 revenue projection was based on the low number of drilling rigs working around the world and an expected decline in oil companies' exploration and production budgets. ''We expect upstream spending to continue to decrease sequentially for the next two quarters,'' Lukens said. The number of active drilling rigs in the United States -- or ''rig count'' in industry jargon -- has recently hit the lowest levels since Baker Hughes began monitoring it in the 1940s. The oil and gas companies that service companies like Baker Hughes depend on for revenues have scaled back exploration and production activity in response to weak oil and gas prices. Lukens was more optimistic about the longer term outlook, saying he expected a revival in Asian demand for oil, reduced supply and depletion of existing oil and gas fields to bring supply and demand closer together in the next 18 months. Baker Hughes expects the average U.S. rig count to fall to 643 in 1999 from 829 in 1998, although it expects a recovery to occur after lows are reached some time in the first quarter. The company expects the average worldwide rig count to fall to 1,526 in 1999 from 1,844 in 1998. Baker Hughes, which acquired Western Atlas last year, says it expects its headcount to fall to 29,800 by the end of the first quarter of 1999, a reduction of over 18 percent from a peak of 36,500 in the second quarter of 1998. ''But we will always be ready to go deeper if warranted,'' Chief Financial Officer Eric Mattson said. The company says it will cut its operating costs by $600 million in 1999 and is aiming to boost cash flow and reduce debt to bring its debt/equity ratio back within its target range of 40 to 60 percent.

To: SliderOnTheBlack who wrote (36450)	2/1/1999 3:22:00 PM
From: Gary Burton	Respond to of 95453

Slider-not interested in FLC unless and until it gets into the low 6's. Anywhere from 6-6.38. Earnings out this week per dlj. My software has that catcher's mitt rooted at the 6-6 1/4 area based on the momentum of recent past and current waves. We shall see.

To: SliderOnTheBlack who wrote (36450)	2/1/1999 3:25:00 PM
From: Jon Cave	Read Replies (1) \| Respond to of 95453

160,000,152,000,and 150,000 shares offered at 6.75 on FLC in a matter of minutes. Not good.