-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, IAubD9+xzp0Nrb9keFDELmqxndEFelEUCApOErc3jdORXc+2jnZFH9OwVaIxobMT GPAU1G/nlBx05aQUV4/hHA== 0001157523-03-001515.txt : 20030430 0001157523-03-001515.hdr.sgml : 20030430 20030430123200 ACCESSION NUMBER: 0001157523-03-001515 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 4 CONFORMED PERIOD OF REPORT: 20030430 ITEM INFORMATION: Financial statements and exhibits ITEM INFORMATION: Regulation FD Disclosure FILED AS OF DATE: 20030430 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CONOCOPHILLIPS CENTRAL INDEX KEY: 0001163165 STANDARD INDUSTRIAL CLASSIFICATION: PETROLEUM REFINING [2911] IRS NUMBER: 010562944 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-49987 FILM NUMBER: 03671623 BUSINESS ADDRESS: STREET 1: CONOCOPHILLIPS STREET 2: 600 NORTH DAIRY ASHFORD ROAD CITY: HOUSTON STATE: TX ZIP: 77079 BUSINESS PHONE: 2812931000 MAIL ADDRESS: STREET 1: CONOCOPHILLIPS STREET 2: 600 NORTH DAIRY ASHFORD ROAD CITY: HOUSTON STATE: TX ZIP: 77079 FORMER COMPANY: FORMER CONFORMED NAME: CORVETTEPORSCHE CORP DATE OF NAME CHANGE: 20011204 8-K 1 a4386910.txt CONOCOPHILLIPS 8-K UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (date of earliest event reported): April 30, 2003 ConocoPhillips (Exact name of registrant as specified in its charter) Delaware 000-49987 01-0562944 (State or other jurisdiction of (Commission (I.R.S. Employer incorporation) File Number) Identification No.) 600 North Dairy Ashford Road Houston, Texas 77079 (Address of principal executive offices and zip code) Registrant's telephone number, including area code: (281) 293-1000 Item 7. Financial Statements and Exhibits (c) Exhibits 99.1 -- Press release issued by ConocoPhillips on April 30, 2003. 99.2 -- Financial and operational tables. 99.3 -- Supplemental financial information. Item 9. Regulation FD Disclosure In accordance with SEC Release No. 33-8216, the following information, intended to be furnished under "Item 12. Results of Operations and Financial Condition," is instead furnished under "Item 9. Regulation FD Disclosure." On April 30, 2003, ConocoPhillips issued a press release announcing the company's financial and operating results for the quarter ended March 30, 2003. A copy of the press release is furnished as Exhibit 99.1 hereto and incorporated herein by reference. Additional financial and operating information about the quarter is furnished as Exhibits 99.2 and 99.3 to this report and is incorporated by reference herein. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. CONOCOPHILLIPS By: /s/ John A. Carrig -------------------------------------------- Name: John A. Carrig Title: Executive Vice President, Finance, and Chief Financial Officer Date: April 30, 2003 EXHIBIT INDEX Exhibit No. Description - --- ----------- 99.1 -- Press release issued by ConocoPhillips on April 30, 2003. 99.2 -- Financial and operational tables. 99.3 -- Supplemental financial information. EX-99 3 a4386910ex991.txt EXHIBIT 99.1 Exhibit 99.1 ConocoPhillips Reports First Quarter Net Income of $1.4 Billion HOUSTON--(BUSINESS WIRE)--April 30, 2003--ConocoPhillips (NYSE:COP) Earnings at a glance First Quarter - ---------------------------------------------------------------------- 2003 2002 - ---------------------------------------------------------------------- Income (loss) from continuing operations $1,270 million $ (98) million Income (loss) from discontinued operations $ 22 (4) Cumulative effect of change in accounting principle $ 145 - Net income (loss) $1,437 (102) - ---------------------------------------------------------------------- Diluted income per share Income (loss) from continuing operations $ 1.86 (0.26) Net income (loss) $ 2.10 (0.27) - ---------------------------------------------------------------------- Revenues $ 27.1 billion $ 8.5 billion - ---------------------------------------------------------------------- ConocoPhillips (NYSE:COP) today reported first quarter net income of $1,437 million, or $2.10 per share, compared with a net loss of $102 million, or 27 cents per share, for the same quarter in 2002. Total revenues were $27.1 billion, versus $8.5 billion a year ago. Income from continuing operations for the first quarter was $1,270 million, or $1.86 per share, compared with a loss of $98 million, or $0.26 per share, for the same period a year ago. "We are very pleased with our first quarter performance," said Jim Mulva, president and chief executive officer. "Operationally, we performed well, with upstream production of 1.6 million barrels-of-oil-equivalent (BOE) per day, and downstream, we ran at 92 percent of capacity. "This is the first quarter in which we can measure our progress against the operating plan we presented in November. Our solid operating performance allowed us to secure the benefits of higher oil and gas prices and higher worldwide refining margins. These factors contributed to our debt reduction of $1.5 billion. Also contributing to our strong performance were business improvements resulting from progress made on implementing the synergy initiatives we incorporated into our 2003 operating plans." The ConocoPhillips merger was consummated on Aug. 30, 2002, and used purchase accounting to recognize the fair value of the Conoco assets and liabilities. While the results of the first quarter reflect operations of the combined company, the first quarter of 2002 reflects only Phillips' results, restated for discontinued operations resulting from dispositions required by the Federal Trade Commission (FTC) and the planned disposition of certain marketing assets. As of early in the second quarter of 2003, definitive sales agreements for all asset dispositions required by the FTC have been executed. Pending FTC approval, all agreements are expected to be closed by the end of the third quarter. The results of ConocoPhillips' business segments follow. Exploration & Production (E&P) E&P income from continuing operations in the first quarter was $1,137 million, up from $808 million in the fourth quarter of 2002 and from $142 million in the first quarter of 2002. Improvement from the fourth quarter primarily came from higher realized crude oil and natural gas prices. Improved results from the first quarter of 2002 were due to higher realized crude oil and natural gas prices, as well as increased production resulting from the addition of the Conoco assets. Additionally, improvements from prior periods reflect progress made on the implementation of synergy initiatives. ConocoPhillips' daily production for the quarter was similar to that of the fourth quarter of 2002, averaging 1.62 million BOE per day, including Canadian Syncrude. Decreased production in Venezuela was offset by higher output from Alaska, China and Indonesia. ConocoPhillips' first quarter 2003 average worldwide crude oil sales price was $30.72 per barrel, up from $25.31 in the fourth quarter of 2002. The company's U.S. Lower 48 and worldwide natural gas prices averaged $5.47 and $4.49 per thousand cubic feet, respectively, compared with $3.43 and $3.27 in the fourth quarter of 2002. The company's realized prices for oil and gas in the United States did not increase as much as the market indicators due to quality and location differentials, as well as the effect of pricing lags. Midstream Midstream income from continuing operations was $31 million, up from $20 million in the fourth quarter of 2002 and $12 million in the first quarter of 2002. The improvement from the fourth quarter was due primarily to higher natural gas liquids prices. The increase over the first quarter of 2002 was primarily due to the addition of Conoco's midstream operations and higher equity earnings from Duke Energy Field Services, LLC resulting from higher natural gas liquids prices. Refining and Marketing (R&M) R&M income from continuing operations was $371 million, up from $105 million in the previous quarter and a loss of $87 million in the first quarter of 2002. Improvements in refining over the fourth quarter of 2002 were primarily driven by higher worldwide refining margins and a full quarter of operations at the Humber refinery in the United Kingdom. These improvements were partially offset by higher energy costs and increased turnaround expenses in the first quarter. U.S. marketing operations incurred a loss of $9 million during the first quarter of 2003, compared with a loss of $38 million in the fourth quarter of 2002. These losses include marketing impairments and lease loss accruals of $25 million in the first quarter and $88 million in the fourth quarter. The improved results from the first quarter of 2002 were attributable to the addition of the Conoco assets and higher refining and marketing margins, as well as business improvements, which included benefits of progress made on implementing synergy initiatives. The refinery crude oil capacity utilization rate for the total company averaged 92 percent, compared with 89 percent in the previous quarter. The loss of Venezuelan crude supply was effectively managed and had a relatively minor impact on crude runs and net income during the first quarter. The impact of turnarounds at the Ferndale, Wash., Wood River, Ill., and Sweeny, Texas, refineries was offset by a full quarter of operations at the Humber refinery in the United Kingdom. After-tax turnaround costs incurred during the first quarter reduced earnings by approximately $40 million, versus $17 million in the fourth quarter of 2002. Chemicals The Chemicals segment, which reflects the company's 50 percent interest in Chevron Phillips Chemical Company LLC, reported a loss from continuing operations of $23 million. This is compared with losses of $13 million in the fourth quarter of 2002 and $11 million in the first quarter of 2002. Contributing to the declines were increased fuel and feedstock costs. Emerging Businesses The Emerging Businesses segment had a loss from continuing operations of $34 million in the first quarter of 2003, compared with losses of $40 million in the fourth quarter of 2002 and $5 million in the first quarter of 2002. The improvement from the fourth quarter was primarily attributable to a reduction in certain carbon fibers expenses as a result of the company's announced plan to shut down this operation due to market, operating and technological uncertainties. The increased costs from the first quarter of 2002 resulted from the addition of the Conoco assets. Corporate and Other First quarter Corporate expenses were $212 million, after tax, from continuing operations, compared with $322 million in the previous quarter and $149 million in the first quarter of 2002. Contributing to the decrease from the fourth quarter were lower restructuring charges and insurance demutualization benefits. The increase from the first quarter of 2002 is attributable to the inclusion of the Conoco assets, merger-related expenses and losses on the early redemption of debt, partially offset by the insurance demutualization benefits. Total debt at the end of the first quarter was $18.2 billion, down $1.5 billion from the end of the previous quarter. This improvement resulted from higher cash flows due to strong earnings, working capital reductions and lower capital spending. At the end of March, the company's debt-to-capital ratio was 36 percent, down from 39 percent at the end of the fourth quarter of 2002. The company's effective tax rate of 50.5 percent was lower than expected due to a higher proportion of income from lower tax-rate jurisdictions in March. Discontinued Operations First quarter 2003 earnings from discontinued operations were $22 million, compared with a loss of $986 million in the fourth quarter of 2002. The improvement was related to fourth quarter impairment charges of approximately $1 billion associated with the company's planned sale of a substantial portion of its marketing operations. First quarter earnings were negatively impacted by $25 million associated with lease loss accruals on the company's downstream marketing operations. Cumulative Effect of Change in Accounting Principle Income from continuing operations in the first quarter of 2003 does not include a positive impact of $145 million related to the cumulative effect of a change in accounting principle associated with the adoption of Statement of Financial Accounting Standards No. 143, "Accounting for Asset Retirement Obligations." Outlook Mr. Mulva concluded: "We remain focused on integrating our businesses and on capturing synergies by optimizing our assets and applying disciplined spending to accomplish our stated target. "Upstream, we are continuing construction of the upgrader associated with the Hamaca heavy crude oil project in Venezuela, with start-up expected in the second half of 2004, and we are moving forward with development of Phase I of the Bayu-Undan project in the Timor Sea and are negotiating production sharing contracts in anticipation of receiving the final approvals needed to advance Phase II. Additionally, we expect to drill approximately 50 exploration and appraisal wells this year. "In our downstream business, we are moving forward with our plan to dispose of a substantial portion of our retail marketing assets. In addition, we have signed a memorandum of understanding to acquire certain refining assets in Hartford, Ill. These assets will be incorporated into the operations of our nearby Wood River refinery." ConocoPhillips is an integrated petroleum company with interests around the world. Headquartered in Houston, the company had approximately 56,600 employees and $80 billion of assets as of March 31, 2003. For more information, go to www.conocophillips.com. ConocoPhillips' quarterly conference call is scheduled for noon Central today. To listen to the conference call and to view related presentation materials, go to www.conocophillips.com and click on the "First Quarter Earnings" link. For financial and operational tables, go to www.conocophillips.com/news/nr/earnings/highlights/1q03earnings.html. For detailed supplemental information, go to www.conocophillips.com/news/nr/earnings/detail/1q03summary.xls CAUTIONARY STATEMENT FOR THE PURPOSES OF THE "SAFE HARBOR" PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 This update contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements, such as "we are continuing construction of the upgrader associated with the Hamaca heavy crude oil project in Venezuela, with start-up expected in the second half of 2004"; "we are moving forward with development of Phase I of the Bayu-Undan project in the Timor Sea"; "(we) are negotiating production sharing contracts in anticipation of receiving the final approvals needed to advance Phase II (of the Bayu-Undan project in the Timor Sea)"; "we expect to drill approximately 50 exploration and appraisal wells this year"; "we are moving forward with our plan to dispose of a substantial portion of our retail marketing assets"; and "we have signed a memorandum of understanding to acquire certain refining assets in Hartford, Ill.," involve certain risks, uncertainties and assumptions that are difficult to predict. Further, certain forward-looking statements are based on assumptions as to future events that may not prove to be accurate. Therefore, actual outcomes and results may differ materially from what is expressed or forecast in such forward-looking statements. Economic, business, competitive and regulatory factors that may affect ConocoPhillips' business are generally as set forth in ConocoPhillips' filings with the Securities and Exchange Commission (SEC). ConocoPhillips is under no obligation (and expressly disclaims any such obligation) to update or alter its forward-looking statements whether as a result of new information, future events or otherwise. Cautionary Note to U.S. Investors -- The SEC permits oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. Production is distinguished from oil and gas production because SEC regulations define Syncrude as mining-related and not part of conventional oil and natural gas reserves. We use certain terms in this release, such as "including Syncrude" that the SEC's guidelines strictly prohibit us from including in filings with the SEC. U.S. investors are urged to consider closely the disclosure in the company's periodic filings with the SEC, available from the company at 600 North Dairy Ashford Road, Houston, Texas 77079. This information can also be obtained from the SEC by calling 1-800-SEC-0330. CONTACT: ConocoPhillips, Houston Kristi DesJarlais (media), 281/293-4595 or Clayton Reasor (investors), 212/207-1996 EX-99 4 a4386910ex992.txt EXHIBIT 99.2 Exhibit 99.2
FINANCIAL HIGHLIGHTS Millions of Dollars Three Months Ended March 31 2003 2002** Revenues Sales and other operating revenues* $26,942 8,431 Equity in earnings of affiliates 49 20 Other income 86 29 ---------- ---------- 27,077 8,480 ---------- ---------- Costs and expenses Purchased crude oil and products 17,685 5,639 Production and operating expenses 1,650 917 Selling, general and administrative expenses 509 264 Exploration expenses 116 163 Depreciation, depletion and amortization 863 396 Impairments 14 10 Taxes other than income taxes* 3,422 914 Accretion on discounted liabilities 33 5 Interest and debt expense 209 107 Foreign currency transaction losses (gains) (3) 1 Preferred dividend requirements of capital trusts and minority interests 14 13 ---------- ---------- 24,512 8,429 ---------- ---------- Income from continuing operations before income taxes 2,565 51 Provision for income taxes 1,295 149 ---------- ---------- Income from continuing operations 1,270 (98) Income/(loss) from discontinued operations, net of income taxes 22 (4) ---------- ---------- Income/(loss) before cumulative effect of change in accounting principle 1,292 (102) Cumulative effect of change in accounting pinciple 145 - ---------- ---------- Net income/(loss) $1,437 (102) ========== ========== Net income/(loss) per share of common stock Basic Continuing operations $1.87 (0.26) Discontinued operations 0.03 (0.01) Before cumulative effect of change in accounting principle 1.90 (0.27) Cumulative effect of change in accounting principle 0.21 - Net income/(loss) $2.11 (0.27) Diluted Continuing operations $1.86 (0.26) Discontinued operations 0.03 (0.01) Before cumulative effect of change in accounting principle 1.89 (0.27) Cumulative effect of change in accounting principle 0.21 - Net income/(loss) $2.10 (0.27) Average common shares outstanding (in thousands) Basic 679,538 382,337 Diluted 682,744 382,337 *Includes excise taxes on petroleum products sales 3,148 764 **Restated for discontinued operations.
SELECTED FINANCIAL DATA Millions of Dollars Three Months Ended March 31 2003 2002 Income/(Loss) from continuing operations before accounting change E&P United States $676 155 International 461 (13) ---------- ---------- Total E&P 1,137 142 ---------- ---------- Midstream 31 12 ---------- ---------- R&M United States 257 (92) International 114 5 ---------- ---------- Total R&M 371 (87) ---------- ---------- Chemicals (23) (11) Emerging Businesses (34) (5) Corporate and other (212) (149) ---------- ---------- Consolidated $1,270 (98) ========== ========== Cumulative Effect of Accounting Change E&P United States $161 - International (15) - ---------- ---------- Total E&P 146 - ---------- ---------- Midstream - - ---------- ---------- R&M United States (1) - International - - ---------- ---------- Total R&M (1) - ---------- ---------- Chemicals - - Emerging Businesses - - Corporate and other - - ---------- ---------- Consolidated $145 - ========== ========== Income/(Loss) from Discontinued Operations Corporate and other 22 (4) SUMMARY OF NET INCOME/(LOSS) E&P United States $837 155 International 446 (13) ---------- ---------- Total E&P 1,283 142 ---------- ---------- Midstream 31 12 ---------- ---------- R&M United States 256 (92) International 114 5 ---------- ---------- Total R&M 370 (87) ---------- ---------- Chemicals (23) (11) Emerging Businesses (34) (5) Corporate and other (190) (153) ---------- ---------- Net Income/(loss) $1,437 (102) ========== ==========
SELECTED FINANCIAL DATA Three Months Ended March 31 2003 2002 INCOME/(LOSS) FROM CONTINUING OPERATIONS Effective tax rate % 50.5 % 292.2 Millions of Dollars FOREIGN CURRENY GAINS/(LOSSES) AFTER-TAX E&P $10 2 Midstream - - R&M 1 3 Chemicals - - Emerging Businesses (1) - Corporate and other 1 (4) ---------- ---------- $11 1 ========== ========== CASH FLOWS FROM OPERATING ACTIVITIES Income from continuing operations $1,270 (98) Depreciation, depletion and amortization 863 396 Impairments 14 10 Dry hole costs and leasehold impairment 40 109 Accretion on discounted liabilities 33 5 Deferred taxes 236 (81) Cumulative effect of change in accounting principle - - Other 67 147 Working capital changes 712 84 ---------- ---------- Net cash provided by continuing operations 3,235 572 Net cash provided by discontinued operations (56) 7 ---------- ---------- Net cash provided by operating activities $3,179 579 ========== ========== CAPITAL EXPENDITURES AND INVESTMENTS E&P United States $326 269 Foreign 686 248 ---------- ---------- 1,012 517 Midstream 2 - R&M 203 104 Chemicals - 10 Emerging Businesses 66 - Corporate and other 26 14 ---------- ---------- $1,309 645 ========== ========== OTHER At March 31, 2003 At December 31, 2002 Total debt $18,240 19,766 Common stockholders' equity $30,925 29,517
OPERATING HIGHLIGHTS BY SEGMENT Three Months Ended March 31 2003 2002 Thousands of Barrels Daily E&P Crude oil produced United States Alaska 337 353 Lower 48 60 33 ------------ ------------ 397 386 Norway 226 118 United Kingdom 87 17 Canada 33 1 Nigeria 38 27 China 23 13 Other 76 4 ------------ ------------ Total consolidated 880 566 Equity affiliates 55 5 ------------ ------------ Total Worldwide 935 571 ============ ============ Syncrude 17 - ============ ============ Natural gas liquids produced United States Alaska* 25 27 Lower 48 19 1 ------------ ------------ 44 28 Norway 8 5 Canada 11 - Other 4 4 ------------ ------------ Total Worldwide 67 37 ============ ============ *Includes reinjected volumes sold lease-to-lease. 15 15 Millions of Cubic Feet Daily Natural gas produced* United States Alaska 189 168 Lower 48 1,338 734 ------------ ------------ 1,527 902 Norway 305 135 United Kingdom 1,002 173 Canada 436 19 Indonesia 224 - Other 111 120 ------------ ------------ Total consolidated 3,605 1,349 Equity affiliates 12 - ------------ ------------ Total Worldwide 3,617 1,349 ============ ============ *Represents quantities available for sale. Excludes gas equivalent of NGL shown above. Liquefied natural gas sales 130 117
OPERATING HIGHLIGHTS Three Months Ended March 31 2003 2002 E&P (continued) Per Unit Average sales prices Crude oil (per barrel) United States Alaska $31.47 18.72 Lower 48 31.48 18.86 Total U.S. 31.47 18.73 International 31.09 20.86 Total consolidated 31.26 19.41 Equity affiliates 20.97 15.86 Worldwide 30.72 19.37 Natural gas-lease (per MCF) United States Alaska 1.97 2.13 Lower 48 5.47 1.99 Total U.S. 5.34 1.99 International 3.92 2.41 Total consolidated 4.49 2.15 Equity affiliates 4.82 - Total Worldwide 4.49 2.15 Midstream* Thousands of Barrels Daily Natural gas liquids extracted Consolidated United States 51 - International 47 - Equity affiliates United States* 114 118 International 10 - ------------ ----------- 222 118 ============ =========== *Represents 30.3 percent interest in Duke Energy Field Services LLC (DEFS). Per Barrel U.S. product prices Weighted average NGL** Consolidated $25.59 - DEFS 24.53 12.83 *Prices are based on index prices from the Mont Belvieu and Conway market hubs that are weighted by DEFS' naural-gas-liquids component and location mix.
Three Months Ended March 31 2003 2002 Thousands of Barrels Daily RM&T United States Crude oil capacity 2,167 1,642 Crude oil runs 2,008 1,416 Refinery production 2,254 1,575 International* Crude oil capacity 442 72 Crude oil runs 396 65 Refinery production 436 62 U.S. Petroleum products outside sales Gasoline 1,331 1,084 Distillates 600 439 Aviation fuels 164 162 Other products 500 398 --------------- --------------- 2,595 2,083 --------------- --------------- International 428 54 --------------- --------------- 3,023 2,137 =============== =============== Per Gallon U.S. Average sales prices** Automotive gasoline-wholesale $1.10 0.67 Automotive gasoline-retail 1.37 0.81 Distillates-wholesale 1.05 0.59 Millions of Pounds CHEMICALS*** Production Ethylene 731 805 Polyethylene 475 525 Styrene 274 203 Normal alpha olefins 146 158 *Includes ConocoPhillps' share of equity affiliates. **Excludes excise taxes. ***ConocoPhillips' Chemicals segment consists primarily of its 50 percent equity investment in Chevron Phillips Chemical Company LLC.
EX-99 5 a4386910ex993.txt EXHIBIT 99.3 Exhibit 99.3
SUMMARY OF NET INCOME (LOSS) BY SEGMENT Millions of Dollars ---------------------------------------------------------------------------- 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- Income from Continuing Operations Before Accounting Change U.S. E&P 155 280 306 415 1,156 676 676 International E&P (13) 59 154 393 593 461 461 - ------------------------------------------------------------------------------------------------------------------------- Total E&P 142 339 460 808 1,749 1,137 1,137 - ------------------------------------------------------------------------------------------------------------------------- Midstream 12 12 11 20 55 31 31 - ------------------------------------------------------------------------------------------------------------------------- U.S. R&M (92) 73 44 113 138 257 257 International R&M 5 (5) 13 (8) 5 114 114 - ------------------------------------------------------------------------------------------------------------------------- Total R&M (87) 68 57 105 143 371 371 - ------------------------------------------------------------------------------------------------------------------------- Chemicals (11) 7 3 (13) (14) (23) (23) Emerging Businesses (5) (3) (262) (40) (310) (34) (34) Corporate and Other (149) (111) (343) (322) (925) (212) (212) - ------------------------------------------------------------------------------------------------------------------------- Consolidated (98) 312 (74) 558 698 1,270 1,270 ========================================================================================================================= Cumulative Effect of Accounting Change U.S. E&P - - - - - 161 161 International E&P - - - - - (15) (15) - ------------------------------------------------------------------------------------------------------------------------- Total E&P - - - - - 146 146 - ------------------------------------------------------------------------------------------------------------------------- Midstream - - - - - - - - ------------------------------------------------------------------------------------------------------------------------- U.S. R&M - - - - - (1) (1) International R&M - - - - - - - - ------------------------------------------------------------------------------------------------------------------------- Total R&M - - - - - (1) (1) - ------------------------------------------------------------------------------------------------------------------------- Chemicals - - - - - - - Emerging Businesses - - - - - - - Corporate and Other - - - - - - - - ------------------------------------------------------------------------------------------------------------------------- Consolidated - - - - - 145 145 ========================================================================================================================= Income (Loss) from Discontinued Operations Corporate and Other (4) 39 (42) (986) (993) 22 22 ========================================================================================================================= Net Income (Loss) U.S. E&P 155 280 306 415 1,156 837 837 International E&P (13) 59 154 393 593 446 446 - ------------------------------------------------------------------------------------------------------------------------- Total E&P 142 339 460 808 1,749 1,283 1,283 - ------------------------------------------------------------------------------------------------------------------------- Midstream 12 12 11 20 55 31 31 - ------------------------------------------------------------------------------------------------------------------------- U.S. R&M (92) 73 44 113 138 256 256 International R&M 5 (5) 13 (8) 5 114 114 - ------------------------------------------------------------------------------------------------------------------------- Total R&M (87) 68 57 105 143 370 370 - ------------------------------------------------------------------------------------------------------------------------- Chemicals (11) 7 3 (13) (14) (23) (23) Emerging Businesses (5) (3) (262) (40) (310) (34) (34) Corporate and Other (153) (72) (385) (1,308)(1,918) (190) (190) - ------------------------------------------------------------------------------------------------------------------------- Consolidated (102) 351 (116) (428) (295) 1,437 1,437 ========================================================================================================================= Page 1 of 14
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES Millions of Dollars ---------------------------------------------------------------------------- 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- Income from Continuing Operations Before Income Taxes U.S. E&P 223 419 450 536 1,628 1,048 1,048 International E&P 167 260 555 949 1,931 1,280 1,280 - ------------------------------------------------------------------------------------------------------------------------- Total E&P 390 679 1,005 1,485 3,559 2,328 2,328 - ------------------------------------------------------------------------------------------------------------------------- Midstream 20 20 23 35 98 51 51 - ------------------------------------------------------------------------------------------------------------------------- U.S. R&M (140) 118 75 175 228 411 411 International R&M 5 (5) 19 (25) (6) 150 150 - ------------------------------------------------------------------------------------------------------------------------- Total R&M (135) 113 94 150 222 561 561 - ------------------------------------------------------------------------------------------------------------------------- Chemicals (18) 3 (1) (16) (32) (44) (44) Emerging Businesses (8) (5) (274) (62) (349) (51) (51) Corporate and Other (198) (153) (535) (471)(1,357) (280) (280) - ------------------------------------------------------------------------------------------------------------------------- Consolidated 51 657 312 1,121 2,141 2,565 2,565 ========================================================================================================================= Income from Continuing Operations Effective Tax Rates U.S. E&P 30.5% 33.2% 32.0% 22.6% 29.0% 35.5% 35.5% International E&P 107.8% 77.3% 72.3% 58.6% 69.3% 64.0% 64.0% - ------------------------------------------------------------------------------------------------------------------------- Total E&P 63.6% 50.1% 54.2% 45.6% 50.9% 51.2% 51.2% - ------------------------------------------------------------------------------------------------------------------------- Midstream 40.0% 40.0% 52.2% 42.9% 43.9% 39.2% 39.2% - ------------------------------------------------------------------------------------------------------------------------- U.S. R&M 34.3% 38.1% 41.3% 35.4% 39.5% 37.5% 37.5% International R&M 0.0% 0.0% 31.6% 68.0% 183.3% 24.0% 24.0% - ------------------------------------------------------------------------------------------------------------------------- Total R&M 35.6% 39.8% 39.4% 30.0% 35.6% 33.9% 33.9% - ------------------------------------------------------------------------------------------------------------------------- Chemicals 38.9% -133.3% 400.0% 18.8% 56.3% 47.7% 47.7% Emerging Businesses 37.5% 40.0% 4.4% 35.5% 11.2% 33.3% 33.3% Corporate and Other 24.7% 27.5% 35.9% 31.6% 31.8% 24.3% 24.3% - ------------------------------------------------------------------------------------------------------------------------- Consolidated 292.2% 52.5% 123.7% 50.2% 67.4% 50.5% 50.5% ========================================================================================================================= Page 2 of 14
CERTAIN ITEMS AFFECTING NET INCOME (AFTER-TAX) Millions of Dollars ---------------------------------------------------------------------------- 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- U.S. E&P Asset sales - - (5) - (5) 2 2 Property impairments - (3) (5) - (8) - - Dry hole charges (9) (2) (1) (38) (50) (10) (10) - ------------------------------------------------------------------------------------------------------------------------- Total (9) (5) (11) (38) (63) (8) (8) - ------------------------------------------------------------------------------------------------------------------------- International E&P Asset sales - - - 17 17 (1) (1) Property impairments (7) (2) - (14) (23) (11) (11) Foreign currency transaction gains (losses) 2 (7) (6) (23) (34) 10 10 Dry hole charges (2) (7) (1) (48) (58) (2) (2) - ------------------------------------------------------------------------------------------------------------------------- Total (7) (16) (7) (68) (98) (4) (4) - ------------------------------------------------------------------------------------------------------------------------- Total E&P (16) (21) (18) (106) (161) (12) (12) - ------------------------------------------------------------------------------------------------------------------------- Midstream Asset sales - - - - - - - Property impairments - - - - - - - - ------------------------------------------------------------------------------------------------------------------------- Total - - - - - - - - ------------------------------------------------------------------------------------------------------------------------- U.S. R&M Asset sales - - - - - 1 1 Impairments and loss accruals - - - (88) (88) (25) (25) Mainentance turnaround expense (46) (19) (29) (16) (110) (39) (39) - ------------------------------------------------------------------------------------------------------------------------- Total (46) (19) (29) (104) (198) (63) (63) - ------------------------------------------------------------------------------------------------------------------------- International R&M Asset sales - - - - - - - Mainentance turnaround expense - - - (1) (1) (1) (1) Foreign currency transaction gains (losses) 3 2 3 1 9 1 1 Impairments - - - - - - - - ------------------------------------------------------------------------------------------------------------------------- Total 3 2 3 - 8 - - - ------------------------------------------------------------------------------------------------------------------------- Total R&M (43) (17) (26) (104) (190) (63) (63) - ------------------------------------------------------------------------------------------------------------------------- Chemicals - - - - - - - - ------------------------------------------------------------------------------------------------------------------------- Total - - - - - - - - ------------------------------------------------------------------------------------------------------------------------- Emerging Businesses Asset sales - - - - - - - Foreign currency transaction gains (losses) - - - - - (1) (1) - ------------------------------------------------------------------------------------------------------------------------- Total - - - - - (1) (1) - ------------------------------------------------------------------------------------------------------------------------- Corporate and Other Discontinued operations Impairments and loss accruals - - (69) (1,008)(1,077) (25) (25) Operating results (4) 39 27 22 84 47 47 Asset sales - - - - - - - Foreign currency transaction gains (losses) (4) 12 5 8 21 1 1 Merger-related expenses (2) (1) (221) (83) (307) (27) (27) Premium on early debt retirement - (15) - (1) (16) (10) (10) - ------------------------------------------------------------------------------------------------------------------------- Total (10) 35 (258) (1,062)(1,295) (14) (14) - ------------------------------------------------------------------------------------------------------------------------- The above financial information represents certain items of a recurring nature that are included in the reporting segments' net income. These items often result in variability in the company's revenues or expenses. Non-recurring items that may affect comparability between periods, such as the company's write-off of in-process research and development costs of $246 million in the third quarter of 2002, are not included above. Page 3 of 14
CASH FLOW INFORMATION Millions of Dollars ---------------------------------------------------------------------------- 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- DD&A (including property impairments) included in net cash provided by operating activities 406 402 557 1,035 2,400 877 877 ========================================================================================================================= Net Cash Provided by Operating Activities 579 530 1,878 1,982 4,969 3,179 3,179 - ------------------------------------------------------------------------------------------------------------------------- Cash Flows from Investing Activities Capital expenditures and investments: E&P (517) (701) (715) (1,343)(3,276)(1,012) (1,012) Midstream - - (2) (3) (5) (2) (2) R&M (104) (130) (191) (415) (840) (203) (203) Chemicals (10) (9) (10) (31) (60) - - Emerging Businesses - - (35) (87) (122) (66) (66) Corporate and Other (14) (34) (7) (30) (85) (26) (26) - ------------------------------------------------------------------------------------------------------------------------- Total capital expend. & investments (645) (874) (960) (1,909)(4,388)(1,309) (1,309) Acquisitions, net of cash acquired - - 1,242 (62) 1,180 - - Proceeds from asset dispositions 45 36 19 715 815 121 121 Long-term advances to affiliates and other investments (12) 14 (83) (11) (92) (28) (28) Discontinued operations (12) (12) (23) (52) (99) (17) (17) - ------------------------------------------------------------------------------------------------------------------------- Net Cash Used for Investing Activities (624) (836) 195 (1,319)(2,584)(1,233) (1,233) - ------------------------------------------------------------------------------------------------------------------------- Cash Flows from Financing Activities Net issuance (repayment) of debt 204 725 (1,432) (587)(1,090)(1,556) (1,556) Redemption of preferred stock - (300) - - (300) - - Dividends (138) (137) (138) (271) (684) (271) (271) Other 7 (7) (131) (15) (146) (3) (3) - ------------------------------------------------------------------------------------------------------------------------- Net Cash Provided by (Used for) Financing Activities 73 281 (1,701) (873)(2,220)(1,830) (1,830) - ------------------------------------------------------------------------------------------------------------------------- Net Change in Cash and Cash Equivalents 28 (25) 372 (210) 165 116 116 Cash and cash equivalents at beginning of period 142 170 145 517 142 307 307 - ------------------------------------------------------------------------------------------------------------------------- Cash and Cash Equivalents at End of Period 170 145 517 307 307 423 423 ========================================================================================================================= Page 4 of 14
TOTAL E&P 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- E&P Net Income ($ Millions) 142 339 460 808 1,749 1,283 1,283 ========================================================================================================================= Production Total, Including Equity Affiliates and Canadian Syncrude (MBOE/D) 833 798 1,046 1,623 1,077 1,622 1,622 - ------------------------------------------------------------------------------------------------------------------------- Crude Oil and Condensate (MB/D) Consolidated 566 546 620 854 647 880 880 Equity affiliates 5 4 44 87 35 55 55 - ------------------------------------------------------------------------------------------------------------------------- Total 571 550 664 941 682 935 935 ========================================================================================================================= Sales of crude oil produced (MB/D) 566 557 664 918 677 911 911 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas Liquids (MB/D) 37 34 43 70 46 67 67 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas (MMCF/D) Consolidated 1,349 1,286 1,982 3,529 2,043 3,605 3,605 Equity affiliates - - 4 13 4 12 12 - ------------------------------------------------------------------------------------------------------------------------- Total 1,349 1,286 1,986 3,542 2,047 3,617 3,617 ========================================================================================================================= Canadian Syncrude (MB/D) - - 8 22 8 17 17 - ------------------------------------------------------------------------------------------------------------------------- Industry Prices (Platt's) Crude Oil ($/bbl) WTI spot 21.56 26.27 28.31 28.20 26.09 34.06 34.06 Brent dated 21.14 25.04 26.94 26.78 24.98 31.51 31.51 Natural Gas--Henry Hub 1st of month ($/mcf) 2.34 3.38 3.16 3.97 3.21 6.58 6.58 - ------------------------------------------------------------------------------------------------------------------------- Average Realized Prices Crude Oil and Condensate ($/bbl) Consolidated 19.41 24.46 26.38 26.12 24.38 31.26 31.26 Equity affiliates 15.86 21.06 20.29 17.50 18.41 20.97 20.97 Total 19.37 24.44 25.97 25.31 24.07 30.72 30.72 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas Liquids ($/bbl) 16.00 20.36 19.42 19.32 18.93 24.73 24.73 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas ($/mcf) Consolidated 2.15 2.40 2.49 3.27 2.77 4.49 4.49 Equity affiliates - - 1.78 3.00 2.71 4.82 4.82 Total 2.15 2.40 2.49 3.27 2.77 4.49 4.49 - ------------------------------------------------------------------------------------------------------------------------- Exploration Charges ($ Millions) Dry Holes 16 17 4 124 161 20 20 Lease Impairments 93 16 15 22 146 20 20 - ------------------------------------------------------------------------------------------------------------------------- Total Non-Cash Charges 109 33 19 146 307 40 40 Other (G&G and Lease Rentals) 54 34 66 131 285 76 76 - ------------------------------------------------------------------------------------------------------------------------- Total Exploration Charges 163 67 85 277 592 116 116 ========================================================================================================================= Depreciation, Depletion & Amortization Producing operations ($ millions) 274 278 398 666 1,616 657 657 - ------------------------------------------------------------------------------------------------------------------------- Page 5 of 14
U.S. E&P 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- U.S. E&P Net Income ($ Millions) 155 280 306 415 1,156 837 837 ========================================================================================================================= Alaska ($ Millions) 123 223 246 278 870 525 525 - ------------------------------------------------------------------------------------------------------------------------- Lower 48 ($ Millions) 32 57 60 137 286 312 312 - ------------------------------------------------------------------------------------------------------------------------- Production Total U.S. (MBOE/D) 564 538 562 684 587 696 696 - ------------------------------------------------------------------------------------------------------------------------- Crude Oil and Condensate (MB/D) Alaska 353 339 310 323 331 337 337 Lower 48 33 31 38 58 40 60 60 - ------------------------------------------------------------------------------------------------------------------------- Total 386 370 348 381 371 397 397 ========================================================================================================================= Sales of crude oil produced (MB/D) 383 374 360 370 372 391 391 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas Liquids (MB/D)* Alaska 27 25 21 24 24 25 25 Lower 48 1 1 9 21 8 19 19 - ------------------------------------------------------------------------------------------------------------------------- Total 28 26 30 45 32 44 44 ========================================================================================================================= *Includes reinjection volumes sold lease-to- lease: 15 14 13 15 14 15 15 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas (MMCF/D) Alaska 168 160 183 186 175 189 189 Lower 48 734 689 922 1,362 928 1,338 1,338 - ------------------------------------------------------------------------------------------------------------------------- Total 902 849 1,105 1,548 1,103 1,527 1,527 ========================================================================================================================= Average Realized Prices Crude Oil and Condensate ($/bbl) Alaska North Slope 13.58 18.96 20.42 21.10 18.42 25.95 25.95 - ------------------------------------------------------------------------------------------------------------------------- West Coast 18.72 24.40 25.83 26.43 23.75 31.47 31.47 - ------------------------------------------------------------------------------------------------------------------------- Lower 48 18.86 24.53 26.87 26.00 24.48 31.48 31.48 - ------------------------------------------------------------------------------------------------------------------------- Total U.S. 18.73 24.41 25.94 26.36 23.83 31.47 31.47 - ------------------------------------------------------------------------------------------------------------------------- . Natural Gas Liquids ($/bbl) Alaska 18.67 24.40 25.68 26.48 23.48 31.32 31.32 - ------------------------------------------------------------------------------------------------------------------------- Lower 48 12.75 16.74 14.62 16.17 15.66 21.91 21.91 - ------------------------------------------------------------------------------------------------------------------------- Total U.S. 18.13 23.61 20.17 19.27 20.00 25.13 25.13 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas ($/mcf) Alaska 2.13 1.80 1.58 1.95 1.85 1.97 1.97 - ------------------------------------------------------------------------------------------------------------------------- Lower 48 1.99 2.56 2.65 3.43 2.79 5.47 5.47 - ------------------------------------------------------------------------------------------------------------------------- Total U.S. 1.99 2.51 2.60 3.38 2.75 5.34 5.34 - ------------------------------------------------------------------------------------------------------------------------- Kenai, Alaska LNG Sales Volume (MMCF/D) 117 114 128 128 122 130 130 - ------------------------------------------------------------------------------------------------------------------------- Sales price per MCF 4.00 3.74 4.21 4.30 4.07 4.38 4.38 - ------------------------------------------------------------------------------------------------------------------------- U.S. Exploration Charges ($ Millions) Dry Holes 14 3 1 61 79 16 16 Lease Impairments 13 12 10 14 49 13 13 - ------------------------------------------------------------------------------------------------------------------------- Total Non-Cash Charges 27 15 11 75 128 29 29 Other (G&G and Lease Rentals) 17 10 20 39 86 28 28 - ------------------------------------------------------------------------------------------------------------------------- Total U.S. Exploration Charges 44 25 31 114 214 57 57 ========================================================================================================================= Alaska Only 27 12 11 45 95 25 25 - ------------------------------------------------------------------------------------------------------------------------- Depreciation, Depletion & Amortization Producing operations ($ millions) Alaska 156 157 136 140 589 110 110 Lower 48 54 48 93 149 344 148 148 - ------------------------------------------------------------------------------------------------------------------------- Total U.S. 210 205 229 289 933 258 258 ========================================================================================================================= Page 6 of 14
INTERNATIONAL E&P 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- International E&P Net Income (Loss) ($ Millions) (13) 59 154 393 593 446 446 ========================================================================================================================= Production Total, Including Equity Affiliates and Canadian Syncrude (MBOE/D) 269 260 484 939 490 926 926 - ------------------------------------------------------------------------------------------------------------------------- Crude Oil and Condensate (MB/D) Consolidated Norway 118 119 156 233 157 226 226 United Kingdom 17 18 35 86 39 87 87 Canada 1 1 14 37 13 33 33 Nigeria 27 23 29 38 29 38 38 China 13 11 12 11 12 23 23 Other 4 4 26 68 26 76 76 Equity affiliates 5 4 44 87 35 55 55 - ------------------------------------------------------------------------------------------------------------------------- Total 185 180 316 560 311 538 538 ========================================================================================================================= Sales of crude oil produced (MB/D) 183 183 304 548 306 520 520 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas Liquids (MB/D) Norway 5 4 6 7 6 8 8 Canada - - 3 14 4 11 11 Other 4 3 4 4 4 4 4 - ------------------------------------------------------------------------------------------------------------------------- Total 9 7 13 25 14 23 23 ========================================================================================================================= Natural Gas (MMCF/D) Consolidated Norway 135 131 183 232 171 305 305 United Kingdom 173 189 349 975 424 1,002 1,002 Canada 19 22 172 442 165 436 436 Indonesia - - 68 220 72 224 224 Other 120 95 105 112 108 111 111 Equity affiliates - - 4 13 4 12 12 - ------------------------------------------------------------------------------------------------------------------------- Total 447 437 881 1,994 944 2,090 2,090 ========================================================================================================================= Canadian Syncrude (MB/D) - - 8 22 8 17 17 - ------------------------------------------------------------------------------------------------------------------------- Average Realized Prices Crude Oil and Condensate ($/bbl) Consolidated Norway 21.04 24.49 27.19 26.35 25.21 32.72 32.72 United Kingdom 21.21 24.14 26.88 25.98 25.33 30.11 30.11 Canada 20.03 24.85 27.20 21.26 22.87 28.40 28.40 Nigeria 21.14 24.95 27.51 26.97 25.37 31.80 31.80 China 19.57 25.27 26.31 29.64 25.03 28.87 28.87 Other 15.00 25.18 25.52 25.87 25.43 29.17 29.17 Equity affiliates 15.86 21.06 20.29 17.50 18.41 20.97 20.97 Total 20.71 24.51 26.01 24.60 24.36 30.16 30.16 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas Liquids ($/bbl) Norway 12.88 15.48 15.64 20.69 16.51 21.85 21.85 Canada - - 29.12 18.42 20.39 26.11 26.11 Other 12.58 13.29 13.74 20.51 15.29 23.40 23.40 Total 12.76 14.58 18.42 19.39 17.47 24.22 24.22 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas ($/mcf) Consolidated Norway 3.22 3.02 3.16 3.33 3.20 3.66 3.66 United Kingdom 3.18 2.55 2.22 3.20 2.92 3.55 3.55 Canada 2.23 2.21 2.32 3.37 3.03 5.42 5.42 Indonesia - - 4.18 4.11 4.12 4.66 4.66 Other 0.41 0.39 0.41 0.45 0.42 0.48 0.48 Equity affiliates - - 1.78 3.00 2.71 4.82 4.82 Total 2.41 2.20 2.37 3.20 2.79 3.92 3.92 - ------------------------------------------------------------------------------------------------------------------------- International Exploration Charges ($ Millions) Dry Holes 2 14 3 63 82 4 4 Lease Impairments 80 4 5 8 97 7 7 - ------------------------------------------------------------------------------------------------------------------------- Total Non-Cash Charges 82 18 8 71 179 11 11 Other (G&G and Lease Rentals) 37 24 46 92 199 48 48 - ------------------------------------------------------------------------------------------------------------------------- Total International Exploration Charges 119 42 54 163 378 59 59 ========================================================================================================================= Depreciation, Depletion & Amortization Producing operations ($ millions) 64 73 169 377 683 399 399 - ------------------------------------------------------------------------------------------------------------------------- Page 7 of 14
R&M 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- R&M Net Income (Loss) ($ Millions) (87) 68 57 105 143 370 370 ========================================================================================================================= United States ($ Millions) (92) 73 44 113 138 256 256 - ------------------------------------------------------------------------------------------------------------------------- International ($ Millions) 5 (5) 13 (8) 5 114 114 - ------------------------------------------------------------------------------------------------------------------------- Market Indicators U.S. East Coast Crack Spread ($/bbl) 2.90 2.86 3.06 4.58 3.35 6.16 6.16 U.S. Gulf Coast Crack Spread ($/bbl) 2.78 3.70 2.79 3.74 3.25 5.64 5.64 U.S. Group Central Spread ($/bbl) 3.88 5.07 5.16 5.69 4.95 6.12 6.12 U.S. West Coast Crack Spread ($/bbl) 9.67 9.53 8.58 8.40 9.04 12.79 12.79 NW Europe Crack Spread ($/bbl) 0.74 1.38 1.70 2.72 1.64 5.68 5.68 - ------------------------------------------------------------------------------------------------------------------------- Realized Margins Refining Margin ($/bbl) U.S. n/a n/a n/a 5.07 n/a 6.50 6.50 International n/a n/a n/a 2.98 n/a 5.63 5.63 - ------------------------------------------------------------------------------------------------------------------------- Marketing Margin ($/gal) U.S. n/a n/a n/a 0.04 n/a 0.04 0.04 International n/a n/a n/a 0.16 n/a 0.17 0.17 - ------------------------------------------------------------------------------------------------------------------------- Depreciation, Depletion & Amortization ($ Millions) 102 98 119 167 486 162 162 - ------------------------------------------------------------------------------------------------------------------------- Consolidated EASTERN U.S. Charge Barrels Input (MB/D) Crude Oil 348 404 338 399 372 415 415 Other Feed and Blending Stocks 53 47 16 61 44 51 51 - ------------------------------------------------------------------------------------------------------------------------- Total 401 451 354 460 416 466 466 ========================================================================================================================= Percentage Utilization 81% 94% 79% 93% 87% 97% 97% - ------------------------------------------------------------------------------------------------------------------------- Refined Products Production (MB/D) Gasoline 214 247 187 260 227 244 244 Distillates 111 114 88 116 107 138 138 Aviation Fuel 35 37 37 37 36 32 32 Other 46 52 36 51 47 55 55 - ------------------------------------------------------------------------------------------------------------------------- Total 406 450 348 464 417 469 469 ========================================================================================================================= U.S. GULF COAST Charge Barrels Input (MB/D) Crude Oil 414 428 509 652 501 668 668 Other Feed and Blending Stocks 80 67 87 101 85 103 103 - ------------------------------------------------------------------------------------------------------------------------- Total 494 495 596 753 586 771 771 ========================================================================================================================= Percentage Utilization 90% 92% 93% 91% 92% 93% 93% - ------------------------------------------------------------------------------------------------------------------------- Refined Products Production (MB/D) Gasoline 213 211 236 300 240 289 289 Distillates 146 144 172 247 177 242 242 Aviation Fuel 37 39 52 62 48 70 70 Other 102 116 148 181 137 221 221 - ------------------------------------------------------------------------------------------------------------------------- Total 498 510 608 790 602 822 822 ========================================================================================================================= CENTRAL U.S. Charge Barrels Input (MB/D) Crude Oil 348 424 466 633 469 631 631 Other Feed and Blending Stocks 34 32 39 46 37 32 32 - ------------------------------------------------------------------------------------------------------------------------- Total 382 456 505 679 506 663 663 ========================================================================================================================= Percentage Utilization 84% 98% 90% 92% 91% 92% 92% - ------------------------------------------------------------------------------------------------------------------------- Refined Products Production (MB/D) Gasoline 200 235 269 389 274 367 367 Distillates 64 74 76 148 91 144 144 Aviation Fuel 50 49 58 64 55 59 59 Other 61 98 99 91 87 96 96 - ------------------------------------------------------------------------------------------------------------------------- Total 375 456 502 692 507 666 666 ========================================================================================================================= n/a = not available. Page 8 of 14
R&M (continued) 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- WESTERN U.S. Charge Barrels Input (MB/D) Crude Oil 306 320 330 320 319 294 294 Other Feed and Blending Stocks (3) 16 13 16 11 9 9 - ------------------------------------------------------------------------------------------------------------------------- Total 303 336 343 336 330 303 303 ========================================================================================================================= Percentage Utilization 92% 96% 99% 96% 96% 88% 88% - ------------------------------------------------------------------------------------------------------------------------- Refined Products Production (MB/D) Gasoline 137 148 175 174 159 160 160 Distillates 71 77 78 81 77 66 66 Aviation Fuel 27 31 33 30 30 29 29 Other 61 60 51 48 55 42 42 - ------------------------------------------------------------------------------------------------------------------------- Total 296 316 337 333 321 297 297 ========================================================================================================================= TOTAL UNITED STATES Charge Barrels Input (MB/D) Crude Oil 1,416 1,576 1,643 2,004 1,661 2,008 2,008 Other Feed and Blending Stocks 164 162 155 224 177 195 195 - ------------------------------------------------------------------------------------------------------------------------- Total 1,580 1,738 1,798 2,228 1,838 2,203 2,203 ========================================================================================================================= Percentage Utilization 86% 95% 90% 93% 91% 93% 93% - ------------------------------------------------------------------------------------------------------------------------- Refined Products Production (MB/D) Gasoline 764 841 867 1,123 900 1,060 1,060 Distillates 392 409 414 592 452 590 590 Aviation Fuel 149 156 180 193 169 190 190 Other 270 326 334 371 326 414 414 - ------------------------------------------------------------------------------------------------------------------------- Total 1,575 1,732 1,795 2,279 1,847 2,254 2,254 ========================================================================================================================= UNITED KINGDOM and IRELAND Charge Barrels Input (MB/D) Crude Oil 65 67 126 177 109 262 262 Other Feed and Blending Stocks - - 15 30 11 39 39 - ------------------------------------------------------------------------------------------------------------------------- Total 65 67 141 207 120 301 301 ========================================================================================================================= Percentage Utilization 90% 92% 85% 58% 73% 86% 86% - ------------------------------------------------------------------------------------------------------------------------- Refined Products Production (MB/D) Gasoline 15 16 42 64 34 99 99 Distillates 26 26 56 76 46 125 125 Aviation Fuel - - 4 6 3 14 14 Other 21 21 32 77 38 54 54 - ------------------------------------------------------------------------------------------------------------------------- Total 62 63 134 223 121 292 292 ========================================================================================================================= Equity Affiliates - Net Share International* Charge Barrels Input (MB/D) Crude Oil - - 42 130 43 134 134 Other Feed and Blending Stocks - - 1 3 1 2 2 - ------------------------------------------------------------------------------------------------------------------------- Total - - 43 133 44 136 136 ========================================================================================================================= Percentage Utilization - - 95% 95% 95% 98% 98% - ------------------------------------------------------------------------------------------------------------------------- Refined Products Production (MB/D) Gasoline - - 13 41 14 43 43 Distillates - - 18 58 19 58 58 Aviation Fuel - - 4 7 3 10 10 Other - - 9 19 7 33 33 - ------------------------------------------------------------------------------------------------------------------------- Total - - 44 125 43 144 144 ========================================================================================================================= * Represents 18.75 percent interest in a refinery complex at Karlsruhe, Germany; 16.33 percent interest in two refineries in Kralupy and Litvinov, Czech Republic; and 47 percent interest in a refinery at Melaka, Malaysia. Page 9 of 14
R&M (continued) 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- Worldwide - Including Share of Equity Affiliates Charge Barrels Input (MB/D) Crude Oil 1,481 1,643 1,811 2,311 1,813 2,404 2,404 Other Feed and Blending Stocks 164 162 171 257 189 236 236 - ------------------------------------------------------------------------------------------------------------------------- Total 1,645 1,805 1,982 2,568 2,002 2,640 2,640 ========================================================================================================================= Percentage Utilization 86% 95% 90% 89% 90% 92% 92% - ------------------------------------------------------------------------------------------------------------------------- Refined Products Production (MB/D) Gasoline 779 857 922 1,228 948 1,202 1,202 Distillates 418 435 488 726 517 773 773 Aviation Fuel 149 156 188 206 175 214 214 Other 291 347 375 467 371 501 501 - ------------------------------------------------------------------------------------------------------------------------- Total 1,637 1,795 1,973 2,627 2,011 2,690 2,690 ========================================================================================================================= U.S. PETROLEUM PRODUCTS SALES (MB/D)* Gasoline 1,084 1,159 1,195 1,478 1,230 1,331 1,331 Distillates 439 424 449 692 502 600 600 Aviation Fuel 162 185 219 172 185 164 164 Other 398 341 350 403 372 500 500 - ------------------------------------------------------------------------------------------------------------------------- Total 2,083 2,109 2,213 2,745 2,289 2,595 2,595 ========================================================================================================================= *2002 amounts restated. INTERNATIONAL PETROLEUM PRODUCTS SALES (MB/D) Gasoline 12 13 78 163 67 202 202 Distillates 20 21 84 147 68 181 181 Aviation Fuel - - 2 6 2 5 5 Other 22 17 37 24 25 40 40 - ------------------------------------------------------------------------------------------------------------------------- Total 54 51 201 340 162 428 428 ========================================================================================================================= SPECIALTIES Base Oil Production(MB/D) United States - Equity Affiliate - - 3 10 3 10 10 - ------------------------------------------------------------------------------------------------------------------------- Petroleum Coke Sales (MMT)* United States Fuel coke 297 311 500 565 1,673 683 683 Specialty coke 56 57 196 292 601 276 276 - ------------------------------------------------------------------------------------------------------------------------- International Fuel coke - - 12 54 66 57 57 Specialty coke - - 68 180 248 176 176 - ------------------------------------------------------------------------------------------------------------------------- Finished Lubes Sales (MB/D)* United States 8 9 9 10 9 10 10 - ------------------------------------------------------------------------------------------------------------------------- International - - - 1 - 1 1 - ------------------------------------------------------------------------------------------------------------------------- *Included in "Other" in the petroleum products sales statistics above. Page 10 of 14
MIDSTREAM 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- Midstream Net Income ($ Millions) 12 12 11 20 55 31 31 ========================================================================================================================= U.S. Equity Affiliate ($ Millions)* 5 7 6 5 23 13 13 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas Liquids Extracted (MB/D) Consolidated United States - - 19 56 19 51 51 International - - 15 45 15 47 47 Equity Affiliates United States* 118 119 120 119 119 114 114 International - - 3 10 3 10 10 - ------------------------------------------------------------------------------------------------------------------------- Total 118 119 157 230 156 222 222 ========================================================================================================================= * Represents 30.3 percent interest in Duke Energy Field Services, LLC (DEFS). Natural Gas Liquids Fractionated (MB/D) United States 107 104 139 179 133 168 168 - ------------------------------------------------------------------------------------------------------------------------- Product Prices Weighted Average NGL ($/bbl)* Consolidated - - 18.57 19.24 19.07 25.59 25.59 DEFS 12.83 15.59 16.32 18.95 15.92 24.53 24.53 - ------------------------------------------------------------------------------------------------------------------------- * Prices are based on index prices from the Mont Belvieu and Conway market hubs that are weighted by natural gas liquids component and location mix. Depreciation, Depletion & Amortization ($ Millions) 1 - 5 13 19 14 14 - -------------------------------------------------------------------------------------------------------------------------
CHEMICALS 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- Chemicals Net Income (Loss) ($ Millions) (11) 7 3 (13) (14) (23) (23) ========================================================================================================================= Ethylene Net Production (MM Lbs.) 805 786 831 795 3,217 731 731 - ------------------------------------------------------------------------------------------------------------------------- Cash Margin Index (3Q'00 = 100) 45 55 80 45 56 7 7 - ------------------------------------------------------------------------------------------------------------------------- Polyethylene Net Production (MM Lbs.) 525 508 492 479 2,004 475 475 - ------------------------------------------------------------------------------------------------------------------------- Feedstock Margin Index (3Q'00 = 100) 88 74 127 113 99 86 86 - ------------------------------------------------------------------------------------------------------------------------- Styrene Net Production (MM Lbs.) 203 248 194 242 887 274 274 - ------------------------------------------------------------------------------------------------------------------------- Feedstock Margin Index (3Q'00 = 100) 62 77 87 73 74 70 70 - ------------------------------------------------------------------------------------------------------------------------- Normal Alpha Olefins Net Production (MM Lbs.) 158 147 139 148 592 146 146 - ------------------------------------------------------------------------------------------------------------------------- Feedstock Margin Index (3Q'00 = 100) 156 124 145 132 139 99 99 - ------------------------------------------------------------------------------------------------------------------------- Statistical information represents 50 percent interest in Chevron Phillips Chemical Company LLC (CPChem). Page 11 of 14
EMERGING BUSINESSES 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- Emerging Businesses Net Income (Loss) ($ Millions)* (5) (3) (262) (40) (310) (34) (34) ========================================================================================================================= Detail of Net Income (Loss) ($ Millions) Carbon Fibers - - (4) (11) (15) (6) (6) Fuels Technology (5) (3) (4) (4) (16) (5) (5) Gas-to-Liquids* - - (253) (20) (273) (20) (20) Power - - (1) (2) (3) 1 1 Other - - - (3) (3) (4) (4) - ------------------------------------------------------------------------------------------------------------------------- Total (5) (3) (262) (40) (310) (34) (34) ========================================================================================================================= * Third quarter 2002 results include a $246 million write down of acquired in-process R&D.
CORPORATE AND OTHER 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- Corporate and Other Net Income (Loss) ($ Millions) (153) (72) (385) (1,308)(1,918) (190) (190) ========================================================================================================================= Detail of Net Income (Loss) ($ Millions) Net Interest Expense (78) (91) (83) (160) (412) (167) (167) Corporate Overhead (47) (27) (32) (67) (173) (35) (35) Discontinued operations Impairments and loss accruals - - (69) (1,008)(1,077) (25) (25) Operating results (4) 39 27 22 84 47 47 Merger-related costs (2) (1) (221) (83) (307) (27) (27) Other (22) 8 (7) (12) (33) 17 17 - ------------------------------------------------------------------------------------------------------------------------- Total (153) (72) (385) (1,308)(1,918) (190) (190) ========================================================================================================================= Before-Tax Net Interest Expense ($ Millions) Interest Expense (158) (157) (193) (291) (799) (283) (283) Capitalized Interest 51 51 59 72 233 74 74 Interest Revenue 4 2 13 21 40 3 3 Premium on early debt retirement - (21) - (3) (24) (12) (12) - ------------------------------------------------------------------------------------------------------------------------- (103) (125) (121) (201) (550) (218) (218) ========================================================================================================================= Debt Total Debt ($ Millions) 8,902 9,635 20,453 19,766 19,766 18,240 18,240 Debt-to-Capital Ratio 37.6% 39.4% 39.8% 39.3% 39.3% 36.4% 36.4% - ------------------------------------------------------------------------------------------------------------------------- Page 12 of 14
SELECTED PRO FORMA STATISTICS (E&P) 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- E&P E&P Production Total Including Equity Affiliates and Canadian Syncrude (MBOE/D) 1,676 1,619 1,546 1,623 1,616 1,622 1,622 - ------------------------------------------------------------------------------------------------------------------------- Crude Oil and Condensate (MB/D) Consolidated U.S. 424 406 370 381 395 397 397 Norway 200 208 219 233 215 226 226 United Kingdom 81 78 63 86 77 87 87 Canada 46 45 42 37 42 33 33 Indonesia 26 23 22 13 21 21 21 Nigeria 40 34 35 38 37 38 38 China 13 11 12 11 12 23 23 Other 52 50 48 55 51 55 55 Equity affiliates 91 84 104 87 92 55 55 - ------------------------------------------------------------------------------------------------------------------------- Total 973 939 915 941 942 935 935 ========================================================================================================================= Natural Gas Liquids (MB/D) U.S. 48 46 42 45 45 44 44 International 24 22 24 25 24 23 23 - ------------------------------------------------------------------------------------------------------------------------- Total 72 68 66 70 69 67 67 ========================================================================================================================= Natural Gas (MMCF/D) Consolidated U.S. 1,635 1,566 1,578 1,548 1,581 1,527 1,527 Norway 291 290 252 232 266 305 305 United Kingdom 869 856 603 975 826 1,002 1,002 Canada 548 565 512 442 517 436 436 Indonesia 179 169 189 220 189 224 224 Nigeria 37 40 43 51 43 50 50 Other 83 55 62 61 65 61 61 Equity affiliates 12 13 13 13 13 12 12 - ------------------------------------------------------------------------------------------------------------------------- Total 3,654 3,554 3,252 3,542 3,500 3,617 3,617 ========================================================================================================================= Canadian Syncrude (MB/D) 22 20 23 22 22 17 17 - ------------------------------------------------------------------------------------------------------------------------- E&P Average Realized Prices Crude Oil and Condensate ($/bbl) Consolidated U.S. 18.66 24.33 25.85 26.36 23.69 31.47 31.47 Norway 20.77 24.42 26.78 26.35 24.61 32.72 32.72 United Kingdom 19.78 23.69 26.15 25.98 23.99 30.11 30.11 Canada 19.39 21.79 24.96 21.26 21.82 28.40 28.40 Indonesia 19.38 24.46 24.21 30.59 23.51 29.35 29.35 Nigeria 21.33 25.16 27.40 26.97 25.12 31.80 31.80 China 19.57 25.27 26.31 29.64 25.03 28.87 28.87 Other 19.39 24.66 25.55 25.18 23.58 29.10 29.10 Equity affiliates 13.40 18.26 19.06 17.50 17.14 20.97 20.97 Total 18.93 23.71 25.24 25.31 23.26 30.72 30.72 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas Liquids ($/bbl) U.S. 12.92 17.05 16.78 19.27 16.44 25.13 25.13 International 9.86 15.62 18.56 19.39 15.95 24.22 24.22 Total 11.67 16.49 17.57 19.32 16.24 24.73 24.73 - ------------------------------------------------------------------------------------------------------------------------- Natural Gas ($/mcf) Consolidated U.S. 2.26 2.80 2.71 3.38 2.78 5.34 5.34 Norway 3.20 2.99 3.26 3.33 3.19 3.66 3.66 United Kingdom 3.43 2.37 1.95 3.20 2.81 3.55 3.55 Canada 1.74 2.50 2.13 3.37 2.40 5.42 5.42 Indonesia 3.16 4.13 4.13 4.11 3.89 4.66 4.66 Nigeria 0.48 0.41 0.50 0.51 0.48 0.54 0.54 Other 0.38 0.38 0.34 0.40 0.38 0.43 0.43 Equity affiliates 2.17 2.60 1.78 3.00 2.39 4.82 4.82 Total 2.53 2.66 2.52 3.27 2.75 4.49 4.49 - ------------------------------------------------------------------------------------------------------------------------- Note: Pro forma information derived by summing the historical Phillips and Conoco data for the period indicated. Page 13 of 14
SELECTED PRO FORMA STATISTICS (Midstream and R&M) 2002 2003 ---------------------------------------------------------------------------- 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD ---------------------------------------------------------------------------- Midstream Natural Gas Liquids Extracted (MB/D) Consolidated United States 49 52 50 56 52 51 51 International 42 42 46 45 44 47 47 Equity Affiliates United States* 118 119 120 119 119 114 114 International 9 9 9 10 9 10 10 - ------------------------------------------------------------------------------------------------------------------------- Total 218 222 225 230 224 222 222 ========================================================================================================================= * Represents 30.3 percent interest in Duke Energy Field Services, LLC (DEFS). Natural Gas Liquids Fractionated (MB/D) United States 166 159 177 179 170 168 168 - ------------------------------------------------------------------------------------------------------------------------- Product Prices Weighted Average NGL ($/bbl)* Consolidated 13.23 15.99 16.69 19.24 16.31 25.59 25.59 DEFS 12.83 15.59 16.32 18.95 15.92 24.53 24.53 - ------------------------------------------------------------------------------------------------------------------------- * Prices are based on index prices from the Mont Belvieu and Conway market hubs that are weighted by natural gas liquids component and location mix. R&M Charge Barrels Input (MB/D) Eastern U.S. Crude Oil 348 404 338 399 372 415 415 Other Feed and Blending Stocks 53 47 16 61 44 51 51 - ------------------------------------------------------------------------------------------------------------------------- Total 401 451 354 460 416 466 466 ========================================================================================================================= Percentage Utilization 81% 94% 79% 93% 87% 97% 97% - ------------------------------------------------------------------------------------------------------------------------- U.S. Gulf Coast Crude Oil 648 669 675 652 661 668 668 Other Feed and Blending Stocks 116 96 90 101 101 103 103 - ------------------------------------------------------------------------------------------------------------------------- Total 764 765 765 753 762 771 771 ========================================================================================================================= Percentage Utilization 91% 94% 94% 91% 93% 93% 93% - ------------------------------------------------------------------------------------------------------------------------- Central U.S. Crude Oil 568 664 624 633 622 631 631 Other Feed and Blending Stocks 25 23 22 46 29 32 32 - ------------------------------------------------------------------------------------------------------------------------- Total 593 687 646 679 651 663 663 ========================================================================================================================= Percentage Utilization 85% 96% 91% 92% 91% 92% 92% - ------------------------------------------------------------------------------------------------------------------------- Western U.S. Crude Oil 306 320 330 320 319 294 294 Other Feed and Blending Stocks (3) 16 13 16 11 9 9 - ------------------------------------------------------------------------------------------------------------------------- Total 303 336 343 336 330 303 303 ========================================================================================================================= Percentage Utilization 92% 96% 99% 96% 96% 88% 88% - ------------------------------------------------------------------------------------------------------------------------- Total U.S. Crude Oil 1,870 2,057 1,967 2,004 1,975 2,008 2,008 Other Feed and Blending Stocks 191 182 141 224 184 195 195 - ------------------------------------------------------------------------------------------------------------------------- Total 2,061 2,239 2,108 2,228 2,159 2,203 2,203 ========================================================================================================================= Percentage Utilization 87% 95% 91% 93% 92% 93% 93% - ------------------------------------------------------------------------------------------------------------------------- United Kingdom and Ireland Crude Oil 279 260 273 177 247 262 262 Other Feed and Blending Stocks 18 27 43 30 30 39 39 - ------------------------------------------------------------------------------------------------------------------------- Total 297 287 316 207 277 301 301 ========================================================================================================================= Percentage Utilization 92% 86% 90% 58% 81% 86% 86% - ------------------------------------------------------------------------------------------------------------------------- Equity Affiliates -- Net Share -- International* Crude Oil 119 127 127 130 126 134 134 Other Feed and Blending Stocks 4 6 4 3 4 2 2 - ------------------------------------------------------------------------------------------------------------------------- Total 123 133 131 133 130 136 136 ========================================================================================================================= Percentage Utilization 88% 93% 93% 94% 92% 98% 98% - ------------------------------------------------------------------------------------------------------------------------- * Represents 18.75 percent interest in a refinery complex at Karlsruhe, Germany; 16.33 percent interest in two refineries in Kralupy and Litvinov, Czech Republic; and 47 percent interest in a refinery at Melaka, Malaysia. Worldwide -- Including Net Share of Equity Affiliates Crude Oil 2,268 2,444 2,367 2,311 2,348 2,404 2,404 Other Feed and Blending Stocks 213 215 188 257 218 236 236 - ------------------------------------------------------------------------------------------------------------------------- Total 2,481 2,659 2,555 2,568 2,566 2,640 2,640 ========================================================================================================================= Percentage Utilization 88% 94% 91% 89% 90% 92% 92% - ------------------------------------------------------------------------------------------------------------------------- U.S. Petroleum Products Sales (MB/D) Gasoline 1,375 1,461 1,417 1,478 1,433 1,331 1,331 Distillates 653 650 602 692 649 600 600 Aviation Fuel 231 259 268 172 232 164 164 Other 524 479 456 403 465 500 500 - ------------------------------------------------------------------------------------------------------------------------- Total 2,783 2,849 2,743 2,745 2,780 2,595 2,595 ========================================================================================================================= Note: Pro forma information derived by summing the historical Phillips and Conoco data for the period indicated. 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