<< Back Print Version
Newfield Reports Fourth Quarter and Full-Year 2003 Results**

HOUSTON, Feb. 11 /PRNewswire-FirstCall/ -- Newfield Exploration Company (NYSE: NFX) today announced financial and operating results for the fourth quarter and full-year 2003. A 2004 capital budget of $600 million (excluding acquisitions) also was announced, as well as financial and operational guidance for the first quarter of 2004. The Company will hold a conference call at 8:30 a.m. CST on Thursday, February 12, 2004. To participate in the call, please visit the Company's web site at www.newfld.com .

     Highlights include:

     --   Increased 2003 production volumes 21%.  Production growth due to a
          combination of acquisitions and drilling success.

     --   Replaced 163% of 2003 production with the addition of 359 Bcfe of
          new reserves.  Approximately 108% of 2003 production was replaced
          through discoveries and extensions.  Reserves increased to
          1.32 trillion cubic feet equivalent (Tcfe).  Asset diversification
          continued, with about 59% of the Company's total reserves now
          located onshore and 41% in the Gulf of Mexico.

     --   Drilled 200 total wells within a risk/reward-balanced portfolio.
          Drilled a record 69 wells in the Onshore Gulf Coast region and
          95 wells in the Mid-Continent.

     --   Announced the Company's first deepwater discovery in the Gulf of
          Mexico with the Rigel Field and signed a joint venture agreement to
          develop the deepwater Glider Field.

     --   Gained momentum in international program.  Acquired first assets in
          UK North Sea and was awarded license area in Southern Gas Basin.  In
          China's Bohai Bay, successful appraisal drilling was conducted in
          two oil fields.  Newfield believes the fields are commercial and is
          working on the required development plan filings with the Chinese
          government.

     --   Announced 2004 capital budget of $600 million.  The program includes
          a record $230 million for exploration.  Drilling plans include
          25-35 wells in the Gulf of Mexico (including 6-8 deep shelf wells
          and 3-4 in deepwater), 45-70 wells onshore Gulf Coast, a record
          160 wells in the Mid-Continent and 4-6 wells internationally.

Newfield President and CEO David A. Trice said, "We made great strides in 2003 as we continued to diversify our asset base and execute our strategy. We once again replaced our production with the addition of new reserves. Importantly, our prospecting and drilling efforts in 2003 set up a solid inventory of prospects for 2004. Our 2004 drilling inventory offers more reserve exposure than we have ever had at Newfield. Our exploration efforts have grown and we will invest a record amount to test impact prospects along the Gulf Coast, in deepwater, in the deep shelf and internationally. We enter 2004 with financial strength underpinned by an attractive hedging position and a portfolio that is expected to provide another year of growth in reserves and production."

Fourth Quarter 2003 Financial Results

For the fourth quarter of 2003, Newfield reported net income from continuing operations of $40.2 million, or $0.71 per share (all per share amounts are on a diluted basis). Stated without the effect of a $6.8 million ($4.4 million after-tax), or $0.08 per share, charge related to unrealized commodity derivative transactions (SFAS 133), net income for the fourth quarter of 2003 was $44.6 million, or $0.79 per share. Earnings in the quarter were negatively impacted by an adjustment to the Company's accrual for estimated deferred income tax expense. As a result, the effective tax rate for the fourth quarter was 44%. Revenues in the fourth quarter of 2003 were $245 million. Net cash provided by continuing operating activities before changes in operating assets and liabilities was $195.4 million in the fourth quarter of 2003. See Explanation and Reconciliation of Non-GAAP Financial Measures.

This compares to net income from continuing operations in the fourth quarter of 2002 of $28.8 million, or $0.59 per share. Stated without the effect of a $3.7 million ($2.4 million after-tax), or $0.04 per share, charge related to unrealized commodity derivative transactions (SFAS 133), net income from continuing operations for the fourth quarter of 2002 was $31.2 million, or $0.63 per share. Including income from discontinued operations, net income in the fourth quarter of 2002 was $31.9 million, or $0.65 per share. Revenues for the fourth quarter of 2002 were $189 million. Net cash provided by continuing operating activities before changes in operating assets and liabilities was $125.2 million in the fourth quarter of 2002. See Explanation and Reconciliation of Non-GAAP Financial Measures.

Fourth Quarter 2003 Production

Newfield's production in the fourth quarter of 2003 was 55.1 Bcfe, a 13% increase over fourth quarter 2002 production of 48.6 Bcfe, which includes production from discontinued operations of 2.3 Bcfe. The following tables detail production and average realized prices from continuing operations for the fourth quarters of 2003 and 2002.

                                                4Q03      4Q02    % Change
    Natural gas (Bcf)                           46.1      38.2       21%
    Oil and condensate production (MMBbls)      1.49      1.37        9%
      Total Production (Bcfe)                   55.1      46.3       19%


     Fourth Quarter Average Realized Prices+

                                                4Q03      4Q02    % Change
    Natural gas (per Mcf)                      $4.39     $3.98       10%
    Oil and condensate (per Bbl)              $27.47    $26.21        5%
      Natural gas equivalent (per Mcfe)        $4.42     $4.05        9%

    +  Prices shown are net of all applicable transportation expenses, which
       reduced the realized price of natural gas by $0.02 per Mcf for the
       fourth quarters of 2003 and 2002.  The realized price of oil and
       condensate was reduced by $0.27 and $0.32 per barrel for the fourth
       quarters of 2003 and 2002, respectively.  Average realized prices
       include the effects of hedging.

Stated on a unit of production basis, Newfield's lease operating expense (LOE) in the fourth quarter of 2003 was $0.61 per Mcfe, slightly higher than LOE from continuing operations of $0.59 in the same period of 2002. Production taxes in the fourth quarter of 2003 increased to $0.12 per Mcfe compared to production taxes from continuing operations of $0.05 per Mcfe in the same period of 2002. DD&A expense, stated on a unit of production basis, in the fourth quarter of 2003 was $1.84 per Mcfe compared to DD&A expense from continuing operations of $1.71 per Mcfe in the fourth quarter of 2002. G&A expense (including stock compensation) in the fourth quarter of 2003 was $0.28 per Mcfe compared to G&A expense from continuing operations of $0.36 per Mcfe in the same period of 2002. G&A expense in the fourth quarter of 2003 is net of capitalized direct internal costs of $6.3 million compared to $1.9 million in the fourth quarter of 2002.

Capital expenditures in the fourth quarter of 2003 were $165.6 million.

Full-Year 2003 Financial Results

For 2003, Newfield reported net income from continuing operations of $210.9 million, or $3.77 per share, on revenues of $1.0 billion. The following items negatively impacted earnings from continuing operations during 2003:

     --  a $10.0 million one-time charge was recorded in the first quarter of
         2003 ($6.5 million after-tax), in connection with the unwind of the
         gas forward sales obligation inherited through the acquisition of
         EEX in late 2002; and
     --  the redemption of all outstanding 6 1/2% convertible trust preferred
         securities (QUIPS), in the second quarter of 2003 resulted in a
         $10.5 million charge ($6.8 million after-tax), approximately
         $6.5 million of which was redemption premium paid to the holders and
         the remainder was the write-off of unamortized issuance costs paid
         at the time of the initial offering of the securities in 1999.

Including the loss from discontinued operations (see Discontinued Operations discussion below) and the gain from the cumulative effect of the adoption of SFAS 143, net income was $199.5 million, or $3.57 per share for 2003. Net cash provided by continuing operating activities before changes in operating assets and liabilities in 2003 was $734.3 million. See Explanation and Reconciliation of Non-GAAP Financial Measures.

For 2002, Newfield reported net income from continuing operations of $68.7 million, or $1.51 per share, on revenues of $626.8 million. Including income from discontinued operations, net income was $73.8 million, or $1.61 per share, for 2002. Net cash provided by continuing operating activities before changes in operating assets and liabilities in 2002 was $397.5 million. See Explanation and Reconciliation of Non-GAAP Financial Measures.

2003 Production

Newfield's production for 2003, including production from discontinued operations, was 21% above 2002 levels. Including production from discontinued operations the Company produced 223.5 Bcfe in 2003 compared to 184.1 Bcfe in 2002. The following tables detail production and average realized prices from continuing operations for 2003 and 2002:

                                                2003       2002    % Change
    Natural gas (Bcf)                          184.2      144.7      27%
    Oil and condensate production (MMBbls)      6.05       5.23      16%
      Total Production (Bcfe)                  220.6      176.1      25%


     2003 Average Realized Prices+

                                                2003       2002   % Change
    Natural gas (per Mcf)                      $4.58      $3.42      34%
    Oil and condensate (per Bbl)              $27.65     $24.21      14%
      Natural gas equivalent (per Mcfe)        $4.58      $3.53      30%

    +  Prices shown are net of all applicable transportation expenses, which
       reduced the realized price of natural gas by $0.02 per Mcf and
       $0.03 per Mcf for the years ended 2003 and 2002, respectively.  The
       realized price of oil and condensate was reduced by $0.34 and
       $0.35 per barrel for the years ended 2003 and 2002, respectively.
       Average realized prices include the effects of hedging.

Stated on a unit of production basis, Newfield's LOE from continuing operations in 2003 was $0.54 per Mcfe compared to 2002 LOE of $0.52 per Mcfe. Production taxes from continuing operations in 2003 increased to $0.14 per Mcfe compared to $0.08 per Mcfe in 2002. DD&A expense from continuing operations in 2003, stated on a unit of production basis, was $1.79 per Mcfe compared to $1.68 per Mcfe in 2002. G&A expense from continuing operations (including stock compensation) in 2003 was $0.28 per Mcfe compared to $0.31 per Mcfe in 2002. G&A expense in 2003 is net of capitalized direct internal costs of $26.7 million compared to $7.0 million in 2002.

Discontinued Operations

During the third quarter of 2003, the Company sold Newfield Exploration Australia Ltd., which owned all of Newfield's properties in Australia. As a result of the sale, Newfield recognized an after-tax loss of $9.9 million, or about $0.18 per share. In addition to this loss, the loss from discontinued operations also included a second quarter 2003 ceiling test writedown of producing assets of $7.3 million ($5.1 million after-tax).

Finding and Development Costs

United States: Newfield added 356 Bcfe with its core domestic program (excluding property sales of 3 Bcfe), replacing 161% of 2003 production. Total domestic investment in 2003 was $631 million, including acquisitions. Approximately $66 million was spent on seismic data and leasehold acquisition.

International: Newfield invested $16 million in international operations in 2003. Approximately $9 million was invested in North Sea activities and approximately $5 million was spent on the appraisal of two oil fields in China's Bohai Bay.

Reserve Replacement and Proved Reserves

During 2003, Newfield's worldwide reserve replacement was 163% of production from continuing operations of 220.6 Bcfe. The Company's reserve replacement in 2002 was 255% of total production. 2003 marks the 14th consecutive year that Newfield has more than replaced annual production with proved reserves.

At the end of 2003, Newfield had proved reserves of 1.32 Tcfe, which is net of the impact of property sales of approximately 24 Bcfe (21 Bcfe of which relates to discontinued operations in Australia). Proved reserves at year-end 2003 increased 9% over 2002 proved reserves of 1.21 Tcfe. At year-end 2003, Newfield's reserves were 83% natural gas compared to 81% natural gas at year- end 2002. Only 13% of Newfield's proved reserves are "proved undeveloped," among the lowest percentage in the industry.

Explanation and Reconciliation of Non-GAAP Financial Measures

Earnings stated without the effect of unrealized commodity derivative transactions (SFAS 133), a non-GAAP financial measure, exclude certain items that effect the comparability of operating results. Earnings without the effect of these items are presented because the timing and amount of these items cannot be reasonably estimated and because earnings without the effect of these items are more comparable to earnings estimates provided by securities analysts.

Net cash provided by operating activities before changes in operating assets and liabilities is presented because of its acceptance as an indicator of an oil and gas exploration and production company's ability to internally fund exploration and development activities and to service or incur additional debt. This measure should not be considered as an alternative to net cash provided by operating activities as defined by generally accepted accounting principles. A reconciliation of net cash provided by operating activities from continuing operations before changes in operating assets and liabilities to net cash provided by operating activities from continuing operations is shown below:

                                                       4Q03           4Q02
    Net cash provided by operating activities
     from continuing operations                       $200.7        $106.4
      LESS: (Increase) decrease in operating assets
       and liabilities                                   5.3         (18.8)
    Net cash provided by operating activities
     from continuing operations before changes in
     operating assets and liabilities                 $195.4        $125.2

                                                       YTD03          YTD02
    Net cash provided by operating activities
     from continuing operations                       $659.2        $383.3
      LESS: (Increase) decrease in operating assets
       and liabilities                                 (75.1)        (14.2)
    Net cash provided by operating activities
     from continuing operations before changes
     in operating assets and liabilities              $734.3        $397.5


    2004 Planned Capital Spending

Newfield announced a 2004 capital budget of $600 million, excluding acquisitions. A record $230 million is being allocated to exploration. Development spending is expected to be about $315 million.

2004 Estimates

Below are production estimates for the full-year 2004 and estimates for significant operating and financial data for the first quarter of 2004. Although the Company believes the expectations reflected in this forward- looking information are reasonable, such expectations are based upon assumptions and anticipated results that are subject to numerous uncertainties. Please see the discussion regarding forward-looking information at the end of this release.

2004 Production As previously announced, Newfield expects its 2004 production to be in the range of 225 - 235 Bcfe, an increase of 2 - 5% over 2003 production of 220.6 Bcfe.

About 50% of the Company's production in 2004 is expected to come from the Gulf of Mexico. About 30-35% of total production in 2004 is expected to come from the onshore Gulf Coast region. The Mid-Continent region accounts for 15-20% of expected 2004 production.

First Quarter 2004 Estimates

Natural gas production and pricing The Company's natural gas production in the first quarter of 2004 is expected to be 44 - 48 Bcf (480 - 530 MMcf/d). The price the Company receives for natural gas production from the Gulf of Mexico and onshore Gulf Coast has typically tracked the Henry Hub Index. Gas from Mid-Continent properties has typically sold at a discount of $0.12 - $0.15 per Mcfe to Henry Hub. Hedging gains or losses will affect price realizations.

Crude oil production and pricing Oil production in the first quarter of 2004 is expected to be 1.3 - 1.5 million barrels (14,800 - 16,500 BOPD). The price the Company receives for Gulf Coast production has typically averaged about $2 below the NYMEX West Texas Intermediate (WTI) price. Oil production from the Mid-Continent has typically sold at a $1.00 - $1.50 per barrel discount to WTI. Hedging gains or losses will affect price realizations.

Lease Operating and Other Expenses LOE is expected to be $31 - $35 million ($0.60 - $0.66 per Mcfe) in the first quarter of 2004. Production taxes in the first quarter of 2004 are expected to be $10 - $11 million ($0.20 - $0.22 per Mcfe). These expenses vary and are subject to impact from, among other things, production volumes and commodity pricing, tax rates, service costs, the costs of goods and materials and workover activities.

General and Administrative Expense G&A expense for the first quarter of 2004 is expected to be $15 - $17 million ($0.28 - $0.30 per Mcfe), net of capitalized direct internal costs. Capitalized G&A expense is expected to be $6 - $8 million. G&A expense includes stock and incentive compensation expense. Incentive compensation expense depends largely on net income.

Interest Expense The non-capitalized portion of the Company's interest expense for the first quarter of 2004 is expected to be $5 - $6 million ($0.09 - $0.10 per Mcfe). Current borrowings under the Company's bank facilities are $85 million. The remainder of long-term debt consists of three separate issuances of notes that in the aggregate total $550 million in principal amount. Capitalized interest for the first quarter of 2004 is expected to be about $6 - $7 million.

Income Taxes Including both current and deferred taxes, Newfield expects its consolidated income tax rate in the first quarter of 2004 to be about 35 - 38%. About 45% of the tax provision is expected to be deferred.

The Company provides information regarding its outstanding hedging positions in its annual report and quarterly reports filed with the SEC and in its electronic publication -- @NFX. This publication can be found on Newfield's web page at http://www.newfld.com . Through the web page, you may elect to receive @NFX through e-mail distribution.

Newfield Exploration Company is an independent crude oil and natural gas exploration and production company. We rely on a proven growth strategy that includes balancing acquisitions with drill bit opportunities. Our areas of operation include the Gulf of Mexico, the onshore U.S. Gulf Coast, the Anadarko and Arkoma Basins and select international ventures.

**Certain of the statements set forth in this release regarding planned capital expenditures, drilling plans, the commerciality and development of discoveries in China and estimated or anticipated full year 2004 production volumes and first quarter results and production volumes are forward looking and are based upon assumptions and anticipated results that are subject to numerous uncertainties. Actual results may vary significantly from those anticipated due to many factors, including drilling results, oil and gas prices, industry conditions, the prices of goods and services, the availability of drilling rigs and other support services, the availability of capital resources, labor conditions and other factors set forth in the Company's Annual Report on Form 10-K for the year ended December 31, 2002. In addition, the drilling of oil and gas wells and the production of hydrocarbons are subject to governmental regulations and operating risks.

     Newfield Exploration Company                  For information, contact:
     363 N. Sam Houston Parkway East, Ste. 2020               Steve Campbell
     Houston, TX 77060                                        (281) 847-6081
     www.newfld.com                                          info@newfld.com


    CONSOLIDATED STATEMENT OF INCOME
    (Unaudited, in thousands, except per share data)

                                    For the                  For the
                               Three Months Ended       Twelve Months Ended
                                  December 31,             December 31,
                                2003       2002          2003       2002

    Oil and gas revenues     $244,879    $188,909   $1,016,986   $626,835

    Operating expenses:
      Lease operating          33,483      27,471      119,290     90,768
      Production and other
       taxes                    6,578       2,276       31,737     13,285
      Transportation            1,313       1,331        6,359      5,708
      Depreciation, depletion
       and amortization       101,294      79,116      394,701    295,054
      General and
       administrative (A)      15,628      16,596       61,636     54,363
      Gas sales obligation
       settlement and
       redemption of
       securities                 ---         ---       20,475        ---
        Total operating
         expenses             158,296     126,790      634,198    459,178

    Income from operations     86,583      62,119      382,788    167,657

    Other income (expenses):
      Interest expense        (12,778)    (13,171)     (57,803)   (34,515)
      Capitalized interest      4,215       2,286       15,943      8,839
      Dividends on preferred
       securities of
       Newfield Financial
       Trust I                    ---      (2,336)      (4,581)    (9,344)
      Unrealized commodity
       derivative expense*     (6,825)     (3,670)      (6,102)   (29,147)
      Other                       418         536        1,374      4,485
     (14,970)                 (16,355)    (51,169)     (59,682)
    Income from continuing
     operations before
     income taxes              71,613      45,764      331,619    107,975

    Income tax provision       31,459      16,967      120,713     39,229
    Income from continuing
     operations                40,154      28,797      210,906     68,746
    Income (loss) from
     discontinued operations,
     net of tax                   ---       3,083      (16,992)     5,101
    Income before cumulative
     effect of change
     in accounting principle   40,154      31,880      193,914     73,847
    Cumulative effect of
     change in accounting
     principle, net of tax**      ---         ---        5,575        ---

    Net income                $40,154     $31,880     $199,489    $73,847

    Earnings per share:
      Basic
        Income from continuing
         operations             $0.72       $0.61        $3.88      $1.52
        Income (loss) from
         discontinued
         operations               ---        0.07        (0.31)      0.12
        Cumulative effect of
         change in accounting
         principle, net of tax**  ---         ---         0.10        ---
        Net income              $0.72       $0.68        $3.67      $1.64
      Diluted
        Income from continuing
         operations             $0.71       $0.59        $3.77      $1.51
        Income (loss) from
         discontinued operations  ---        0.06        (0.30)      0.10
        Cumulative effect of
         change in accounting
         principle, net of tax**  ---         ---         0.10        ---
        Net income              $0.71       $0.65        $3.57      $1.61

    Weighted average shares
     outstanding for basic
     earnings per share        56,069      47,227       54,347     45,096
    Weighted average shares
     outstanding for diluted
     earnings per share        56,643      51,713       56,744     49,589

    (A) Includes stock compensation of $944 and $735 for the three months
        ended December 31, 2003 and 2002, respectively and $3,059 and $2,801
        for the year ended December 31, 2003 and 2002, respectively.

    * Associated with SFAS 133.
    ** Associated with the adoption of SFAS 143.


    PRODUCTION DATA FROM CONTINUING OPERATIONS

                                     For the                   For the
                               Three Months Ended        Twelve Months Ended
                                  December 31,              December 31,
                                 2003       2002         2003       2002
    Average daily production:
      Oil and condensate
       (Bbls)                  16,230      14,846       16,586     14,325
      Gas (Mcf)                 501.3       414.7        504.7      396.4
    Average realized price:
      Oil and condensate
       (Bbls)                  $27.47      $26.21       $27.65     $24.21
      Gas (Mcf)                 $4.39       $3.98        $4.58      $3.42


    CONSOLIDATED BALANCE SHEET
    (Unaudited, in thousands of dollars)
                                             December 31,   December 31,
                                                 2003           2002

    ASSETS
    Current assets:
      Cash & cash equivalents                   $15,347        $33,798
      Accounts receivable, oil and gas          134,774        125,670
      Inventories                                   553          1,260
      Derivative assets *                        13,786          2,655
      Deferred taxes                             12,893         13,023
      Other current assets                       61,563         30,788
      Assets of discontinued operations             ---         31,633
        Total current assets                    238,916        238,827

    Oil and gas properties, net (full cost
     method)                                  2,418,500      1,986,912
    Floating production system and pipelines     35,000         35,000
    Furniture, fixtures and equipment, net        5,875          7,317
    Derivative assets *                           2,223          4,439
    Other assets                                 16,197         19,387
    Goodwill                                     16,378            ---
    Assets of discontinued operations               ---         23,871
        Total assets                         $2,733,089     $2,315,753

    LIABILITIES AND STOCKHOLDERS' EQUITY
    Current liabilities                        $255,522       $246,197
    Derivative liabilities*                      44,696         49,610
        Total current liabilities               300,218        295,807

    Other liabilities                            13,203         15,949
    Derivative liabilities *                     13,244         10,610
    Long-term debt                              643,459        709,615
    Asset retirement obligation **              151,548            ---
    Deferred taxes                              242,839        124,777
    Liabilities of discontinued operations          ---          5,559
        Total long-term liabilities           1,064,293        866,510

    Company-obligated, mandatorily
     redeemable, convertible preferred
     securities of Newfield Financial
     Trust I                                        ---        143,750
    Minority interest                               ---            455

    STOCKHOLDERS' EQUITY
    Common stock                                    571            526
    Additional paid-in capital                  796,256        636,317
    Treasury stock                              (26,679)       (26,213)
    Unearned compensation                       (10,912)        (6,479)
    Accumulated other comprehensive income
     (loss)
      Foreign currency translation adjustment       851         (3,888)
      Commodity derivatives *                   (26,428)       (27,295)
      Minimum pension liability                    (833)           ---
    Retained earnings                           635,752        436,263
      Total stockholders' equity              1,368,578      1,009,231
      Total liabilities and stockholders'
       equity                                $2,733,089     $2,315,753

    * Associated with SFAS 133.
    ** Associated with the adoption of SFAS 143.


    CONSOLIDATED STATEMENT OF CASH FLOWS
    (Unaudited, in thousands of dollars)

                                    For the                  For the
                               Three Months Ended      Twelve Months Ended
                                  December 31,             December 31,
                                2003       2002          2003       2002
    Cash flows from operating
     activities:
      Net income              $40,154     $31,880     $199,489    $73,847
     (Income) loss from
       discontinued
       operations, net of tax     ---      (3,083)      16,992     (5,101)
      Depreciation, depletion
       and amortization       101,294      79,116      394,701    295,054
      Gas sales obligation
       settlement and
       redemption of
       securities                 ---         ---       20,475        ---
    Stock compensation            944         735        3,059      2,801
      Unrealized derivative
       expense *                6,825       3,670        6,102     29,147
      Deferred taxes           46,153      12,906       99,066      1,727
      Cumulative effect of
       change in accounting
       principle **               ---         ---       (5,575)       ---
                              195,370     125,224      734,309    397,475
      Changes in operating
       assets and liabilities   5,282     (18,825)     (75,142)   (14,218)
        Net cash provided by
         continuing
         activities           200,652     106,399      659,167    383,257
        Net cash provided by
         discontinued
         activities               ---       1,695       10,339     20,202
        Net cash provided by
         operating
         activities           200,652     108,094      669,506    403,459

    Cash flows from investing
     activities:
      Purchase of business,
       net of cash acquired     1,585    (204,411)     (90,157)  (204,411)
      Proceeds from sale of
       business                   ---         ---        9,678        ---
      Additions to oil and
       gas properties        (172,256)    (77,428)    (530,898)  (295,004)
      Additions to furniture,
       fixtures and equipment    (593)       (374)      (3,331)    (2,401)
        Net cash used in
         continuing
         activities          (171,264)   (282,213)    (614,708)  (501,816)
        Net cash used in
         discontinued
         activities               ---         (65)      (3,085)   (16,297)
        Net cash used in
         investing
         activities          (171,264)   (282,278)    (617,793)  (518,113)

    Cash flows from financing
     activities:
      Proceeds from
       borrowings under
       credit arrangements    283,500     164,700    1,569,000    654,700
      Repayments of
       borrowings under
       credit arrangements   (329,500)   (189,700)  (1,510,000)  (747,700)
      Proceeds from issuances
       of common stock          7,157       1,957      149,304      7,787
      Purchases of treasury
       stock                      (63)        (53)        (465)      (419)
      Proceeds from issuance
       of senior subordinated
       notes                      ---     247,920          ---    247,920
      Repurchase of secured
       notes                      ---         ---      (63,068)       ---
      Repayments of secured
       notes                      ---     (23,586)     (11,215)   (23,586)
      Deliveries under the
       gas sales obligation       ---      (1,672)      (8,442)    (1,672)
      Gas sales obligation
       settlement                 ---         ---      (62,017)       ---
      Redemption of trust
       preferred securities       ---         ---     (148,449)       ---
      Net cash provided by
       (used in) continuing
       activities             (38,906)    199,566      (85,352)   137,030
      Net cash provided by
       (used in) discontinued
       activities                 ---         ---          ---        ---
        Net cash provided by
         (used in) financing
         activities           (38,906)    199,566      (85,352)   137,030
    Effect of exchange rate
     changes on cash and
     cash equivalents            (105)       (178)          88        (88)

    Increase (decrease) in
     cash and cash
     equivalents               (9,623)     25,204      (33,551)    22,288
    Cash and cash equivalents
     from continuing
     operations, beginning of
     period                    24,970       9,761       33,798      8,668
    Cash and cash equivalents
     from discontinued
     operations, beginning of
     period                       ---      13,933       15,100     17,942

    Cash and cash equivalents,
     end of period            $15,347     $48,898      $15,347    $48,898

    * Associated with SFAS 133.
    ** Associated with the adoption of SFAS 143.

SOURCE Newfield Exploration Company

Print Page Print Page   RSS Feeds RSS Feeds   E-mail Alerts Email Alerts