EX-99.2 3 a5946123ex99_2.htm EXHIBIT 99.2

Exhibit 99.2

 
CONSOLIDATED STATEMENT OF OPERATIONS
 
Millions of Dollars
2008 2009
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
 
Revenues and Other Income
Sales and other operating revenues* 54,883 71,411 70,044 44,504 240,842 30,741 30,741
Equity in earnings of affiliates 1,359 1,812 1,214 (135 ) 4,250 415 415
Other income     310   130   115   535   1,090   124         124  
        56,552   73,353   71,373   44,904   246,182   31,280         31,280  
 
Costs and Expenses
Purchased crude oil, natural gas and products 37,820 51,214 49,608 30,021 168,663 19,759 19,759
Production and operating expenses 2,691 3,111 3,059 2,957 11,818 2,545 2,545
Selling, general and administrative expenses 526 629 513 561 2,229 475 475
Exploration expenses 309 288 267 473 1,337 225 225
Depreciation, depletion and amortization 2,209 2,178 2,361 2,264 9,012 2,230 2,230
Impairments
Goodwill - - - 25,443 25,443 - -
LUKOIL investment - - - 7,410 7,410 - -
Other 6 19 57 1,604 1,686 3 3
Taxes other than income taxes* 5,155 5,796 5,619 4,067 20,637 3,464 3,464
Accretion on discounted liabilities 104 96 114 104 418 104 104
Interest and debt expense 207 210 239 279 935 310 310
Foreign currency transaction (gains) losses (43 ) -   54   106   117   131         131  
        48,984   63,541   61,891   75,289   249,705   29,246         29,246  
Income (loss) before income taxes 7,568 9,812 9,482 (30,385 ) (3,523 ) 2,034 2,034
Provision for income taxes 3,410   4,356   4,279   1,360   13,405   1,178         1,178  

Net Income (Loss)

4,158 5,456 5,203 (31,745 ) (16,928 ) 856 856
Less: net income attributable to
noncontrolling interests (19 ) (17 ) (15 ) (19 ) (70 ) (16 )       (16 )
Net Income (Loss) Attributable to ConocoPhillips 4,139   5,439   5,188   (31,764 ) (16,998 ) 840         840  
* Includes excise taxes on petroleum products sales: 3,857 4,091 4,022 3,448 15,418 3,060 3,060
 
 
Net income (loss) attributable to ConocoPhillips
per share of common stock (dollars)
Basic 2.65 3.54 3.43 (21.37 ) (11.16 ) 0.57 0.57
Diluted 2.62 3.50 3.39 (21.37 ) (11.16 ) 0.56 0.56
 
Average common shares outstanding (in thousands)
Basic 1,562,198 1,534,975 1,510,897 1,486,204 1,523,432 1,485,890 1,485,890
Diluted       1,582,025   1,555,447   1,528,187   1,486,204   1,523,432     1,495,247         1,495,247  
SUMMARY OF INCOME (LOSS) ATTRIBUTABLE TO CONOCOPHILLIPS BY SEGMENT
     

 

Millions of Dollars

2008

2009

1st Qtr

 

2nd Qtr

 

3rd Qtr

 

4th Qtr

 

YTD

1st Qtr

 

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
U.S. E&P 1,349 1,852 1,606 181 4,988 173 173
International E&P 1,538 2,147 2,322 969 6,976 527 527
Goodwill Impairment   -   -   -   (25,443 ) (25,443 ) -         -  
Total E&P     2,887   3,999   3,928   (24,293 ) (13,479 ) 700         700  
 
Midstream     137   162   173   69   541   123         123  
 
U.S. R&M 435 587 524 (6 ) 1,540 98 98
International R&M   85   77   325   295   782   107         107  
Total R&M     520   664   849   289   2,322   205         205  
 
LUKOIL Investment 710 774 438 (7,410 ) (5,488 ) 48 48
 
Chemicals 52 18 46 (6 ) 110 23 23
 
Emerging Businesses 12 8 35 (25 ) 30 - -
 
Corporate and Other (179 ) (186 ) (281 ) (388 ) (1,034 ) (259 ) (259 )
                           
Consolidated     4,139   5,439   5,188   (31,764 ) (16,998 ) 840         840  
Page 1 of 12

SUMMARY OF INCOME (LOSS) BEFORE TAXES* BY SEGMENT

 

Millions of Dollars

2008

   

2009

1st Qtr

 

2nd Qtr

 

3rd Qtr

 

4th Qtr

 

YTD

 

1st Qtr

 

2nd Qtr

3rd Qtr

4th Qtr

YTD

 

Income (Loss) Before Income Taxes

U.S. E&P 2,094 2,848 2,519 145 7,606 283 283
International E&P 3,832 5,221 5,143 2,442 16,638 1,498 1,498

Goodwill Impairment

-   -   -   (25,443 ) (25,443 ) -         -  
Total E&P     5,926   8,069   7,662   (22,856 ) (1,199 ) 1,781         1,781  
 
Midstream     206   243   260   93   802   202         202  
 
U.S. R&M 718 939 853 (33 ) 2,477 163 163
International R&M   101   31   443   421   996   150         150  
Total R&M     819   970   1,296   388   3,473   313         313  
 
LUKOIL Investment 729 795 451 (7,414 ) (5,439 ) 42 42
 
Chemicals 54 - 63 7 124 32 32
 
Emerging Businesses 15 17 45 (53 ) 24 (5 ) (5 )
 
Corporate and Other (180 ) (284 ) (294 ) (550 ) (1,308 ) (331 ) (331 )
                         
Consolidated     7,569   9,810   9,483   (30,385 ) (3,523 ) 2,034         2,034  
* 2008 recasted to reflect adoption of SFAS No. 160, "Noncontrolling Interests in Consolidated Financial Statements."
 
 
 

Effective Tax Rates

U.S. E&P 35.6 % 35.0 % 36.2 % -24.8 % 34.4 % 38.9 % 38.9 %

International E&P

  59.9 % 58.9 % 54.9 % 60.3 % 58.1 % 64.8 %       64.8 %
Total E&P     51.3 % 50.4 % 48.7 % -6.3 % -1024.2 % 60.7 %       60.7 %
 
Midstream     33.5 % 33.3 % 33.5 % 25.8 % 32.5 % 39.1 %       39.1 %
 
U.S. R&M 39.4 % 37.5 % 38.6 % 81.8 % 37.8 % 39.9 % 39.9 %
International R&M   15.8 % -148.4 % 26.6 % 29.9 % 21.5 % 28.7 %       28.7 %
Total R&M     36.5 % 31.5 % 34.5 % 25.5 % 33.1 % 34.5 %       34.5 %
 
LUKOIL Investment 2.6 % 2.6 % 2.9 % 0.1 % -0.9 % -14.3 % -14.3 %
 
Chemicals 3.7 % - 27.0 % 185.7 % 11.3 % 28.1 % 28.1 %
 
Emerging Businesses 20.0 % 52.9 % 22.2 % 52.8 % -25.0 % 100.0 % 100.0 %
 
Corporate and Other 0.6 % 34.5 % 4.4 % 29.5 % 20.9 % 21.8 % 21.8 %
                         
Consolidated     45.3 % 44.5 % 45.3 % -4.5 % -382.5 % 58.7 %       58.7 %

ESTIMATED TAXES PAID

 

Millions of Dollars

2008

 

2009

1st Qtr

 

2nd Qtr

 

3rd Qtr

 

4th Qtr

 

YTD

 

1st Qtr

 

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
Cash income taxes paid 1,649 4,756 3,845 2,872 13,122 1,346 1,346
Taxes other than income taxes 5,155 5,796 5,619 4,067 20,637 3,464 3,464
Less: Excise taxes*   (3,857 ) (4,091 ) (4,022 ) (3,448 ) (15,418 ) (3,060 )       (3,060 )
Estimated Taxes Paid   2,947   6,461   5,442   3,491   18,341   1,750         1,750  
* Represents taxes collected by ConocoPhillips and reimbursed to taxing authorities.
Page 2 of 12

CERTAIN ITEMS INCLUDED IN NET INCOME ATTRIBUTABLE TO CONOCOPHILLIPS (AFTER-TAX)

 

Millions of Dollars

2008

 

2009

1st Qtr

 

2nd Qtr

 

3rd Qtr

 

4th Qtr

 

YTD

 

1st Qtr

 

2nd Qtr

3rd Qtr

4th Qtr

YTD

 

U.S. E&P

Gain on asset sales 4 12 - 11 27 - -
Impairments - - - (403 ) (403 ) - -
Severance accrual   -   -   -   (43 ) (43 ) -         -  
Total       4   12   -   (435 ) (419 ) -         -  
 
International E&P
Gain (loss) on asset sales 8 - 138 417 563 - -
Impairments - - (28 ) (196 ) (224 ) - -
Severance accrual   -   -   -   (28 ) (28 ) -         -  
Total       8   -   110   193   311   -         -  
                           

Goodwill impairment

-   -   -   (25,443 ) (25,443 ) -         -  
 
Total E&P     12   12   110   (25,685 ) (25,551 ) -         -  
 
Midstream
Gain on subsidiary equity transaction -   -   -   -   -   88         88  
Total       -   -   -   -   -   88         88  
 
U.S. R&M
Gain (loss) on asset sales 116 8 2 (5 ) 121 - -
Impairments (3 ) (10 ) - (357 ) (370 ) - -
Severance accrual - - - (23 ) (23 ) - -
Pending claims and settlements -   -   -   -   -   (25 )       (25 )
Total       113   (2 ) 2   (385 ) (272 ) (25 )       (25 )
 
International R&M
Gain on asset sales - 1 - 102 103 - -
Impairments - - - (180 ) (180 ) - -
Severance accrual   -   -   -   (1 ) (1 ) -         -  
Total       -   1   -   (79 ) (78 ) -         -  
 
Total R&M     113   (1 ) 2   (464 ) (350 ) (25 )       (25 )
 
LUKOIL Investment
Impairment     -   -   -   (7,410 ) (7,410 ) -         -  
Total       -   -   -   (7,410 ) (7,410 ) -         -  
 
Chemicals
                           
Total       -   -   -   -   -   -         -  
 
Emerging Businesses
Impairments     -   -   -   (85 ) (85 ) -         -  
Total       -   -   -   (85 ) (85 ) -         -  
 
Corporate and Other
Pending claims and settlements 35 - - - 35 - -
Impairments - - - (30 ) (30 ) - -
Severance accrual   -   -   -   (4 ) (4 ) -         -  
Total       35   -   -   (34 ) 1   -         -  
 
Total Company     160   11   112   (33,678 ) (33,395 ) 63         63  
Page 3 of 12

CASH FLOW INFORMATION

 

Millions of Dollars

2008

 

2009

1st Qtr

 

2nd Qtr

 

3rd Qtr

 

4th Qtr

 

YTD

 

1st Qtr

 

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
 

Cash Flows from Operating Activities

Net income (loss)* 4,158 5,455 5,204 (31,745 ) (16,928 ) 856 856
Depreciation, depletion and amortization 2,209 2,178 2,361 2,264 9,012 2,230 2,230
Impairments 6 19 57 34,457 34,539 3 3
Dry hole costs and leasehold impairments 154 127 118 299 698 123 123
Accretion on discounted liabilities 104 96 114 104 418 104 104
Deferred income taxes (17 ) 28 48 (487 ) (428 ) (219 ) (219 )
Undistributed equity earnings (987 ) (1,001 ) (542 ) 921 (1,609 ) (322 ) (322 )
Net gain on asset dispositions (181 ) (32 ) (133 ) (545 ) (891 ) (39 ) (39 )
Other* (183 ) 67 (69 ) (949 ) (1,134 ) (2 ) (2 )
Net working capital changes 1,324   (1,503 ) 357   (1,197 ) (1,019 ) (849 )       (849 )
Net Cash Provided by
Operating Activities   6,587   5,434   7,515   3,122   22,658   1,885         1,885  
 
Cash Flows from Investing Activities
Capital expenditures & investments (3,322 ) (3,398 ) (3,815 ) (8,564 ) (19,099 ) (2,906 ) (2,906 )
Proceeds from asset dispositions 370 71 288 911 1,640 86 86
Long-term advances to/collections from
affiliates and other investments (60 ) (83 ) (209 ) 195   (157 ) (106 )       (106 )
Net Cash Used for Investing Activities (3,012 ) (3,410 ) (3,736 ) (7,458 ) (17,616 ) (2,926 )       (2,926 )
 
Cash Flows from Financing Activities
Net issuance (repayment) of debt (202 ) 426 183 5,353 5,760 1,931 1,931
Issuance of stock 7 178 (3 ) 16 198 (21 ) (21 )
Repurchase of stock (2,496 ) (2,512 ) (2,492 ) (749 ) (8,249 ) - -
Dividends (730 ) (719 ) (710 ) (695 ) (2,854 ) (696 ) (696 )
Other       (196 ) (44 ) (186 ) (193 ) (619 ) (203 )       (203 )
Net Cash Provided by (Used for)
Financing Activities   (3,617 ) (2,671 ) (3,208 ) 3,732   (5,764 ) 1,011         1,011  
 
Effect of Exchange Rate Changes 9   11   (242 ) 243   21   77         77  
 
Net Change in Cash
and Cash Equivalents (33 ) (636 ) 329 (361 ) (701 ) 47 47
Cash and cash equivalents
at beginning of period 1,456   1,423   787   1,116   1,456   755         755  
Cash and Cash Equivalents
at End of Period   1,423   787   1,116   755   755   802         802  
* 2008 recasted to reflect adoption of SFAS No. 160, "Noncontrolling Interests in Consolidated Financial Statements."
 
Millions of Dollars
2008 2009
Capital Program 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr   YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
E&P
Capital expenditures and investments 2,818 2,806 3,079 7,753 16,456 2,376 2,376
Loans and advances 67 85 26

(18

)

160 88 88
Joint venture acquisition obligation--principal 145 148 149 151   593 153       153
E&P total     3,030 3,039 3,254 7,886   17,209 2,617       2,617
Midstream* - - - 4 4 1 1
R&M
Capital expenditures and investments 363 510 674 722 2,269 496 496
Loans and advances - 2 1 -   3 -       -
R&M total     363 512 675 722   2,272 496       496
LUKOIL Investment* - - - - - - -
Chemicals* - - - - - - -
Emerging Businesses* 61 51 25 19 156 17 17
Corporate and Other*   80 31 37 66   214 16       16
Total Capital Program   3,534 3,633 3,991 8,697   19,855 3,147       3,147
* Capital expenditures and investments only.
Page 4 of 12
TOTAL E&P
 
 

2008

2009

1st Qtr

 

2nd Qtr

3rd Qtr

4th Qtr

 

YTD

 

1st Qtr

 

2nd Qtr

3rd Qtr

4th Qtr

YTD

 

E&P Net Income (Loss) Attributable

 

 

 

to ConocoPhillips ($ Millions) 2,887   3,999 3,928 (24,293 ) (13,479 ) 700         700  
 
Production
Total, Including Equity Affiliates
and Canadian Syncrude (MBOE/D) 1,794   1,750 1,748 1,867   1,789   1,925         1,925  
E&P segment plus LUKOIL Investment segment: 2,253   2,198 2,170 2,318   2,234   2,364         2,364  
 
Crude Oil and Condensate (MB/D)
Consolidated 758 731 718 803 752 817 817
Equity affiliates   45   41 63 67   54   84         84  
Total       803   772 781 870   806   901         901  
Sales of crude oil produced (MB/D) 773   803 776 853   801   911         911  
 
Natural Gas Liquids (MB/D) 154   156 148 155   153   153         153  
 
Natural Gas (MMCF/D)
Consolidated 4,900 4,818 4,769 4,854 4,836 5,011 5,011
Equity affiliates   -   - - 45   11   76         76  
Total       4,900   4,818 4,769 4,899   4,847   5,087         5,087  
 
Canadian Syncrude (MB/D) 20   19 24 25   22   23         23  
 
Industry Prices (Platt's)
Crude Oil ($/bbl)
WTI spot 97.94 123.98 117.83 58.49 99.56 42.97 42.97
Brent dated 96.90 121.38 114.78 54.91 96.99 44.40 44.40
Natural Gas ($/mmbtu)
Henry Hub -- First of Month 8.03   10.94 10.25 6.95   9.04   4.91         4.91  
 
Average Realized Prices
Crude Oil and Condensate ($/bbl)
Consolidated 94.71 119.24 114.20 55.11 95.15 42.36 42.36
Equity affiliates 62.78 93.20 88.32 25.35 63.89 33.61 33.61
Total       92.88   118.01 112.19 52.82   93.12   41.56         41.56  
 
Natural Gas Liquids ($/bbl) 60.14   68.42 68.81 32.57   57.43   27.53         27.53  
 
Natural Gas ($/mcf)
Consolidated 8.03 9.87 8.91 6.37 8.28 4.98 4.98
Equity affiliates - - - 2.04 2.04 2.10 2.10
Total       8.03   9.87 8.91 6.32   8.27   4.93         4.93  
 
Exploration Charges ($ Millions)
Dry Holes 94 68 58 205 425 80 80
Lease Impairments   60   59 60 94   273   43         43  
Total Noncash Charges 154 127 118 299 698 123 123
Other (G&G and Lease Rentals) 155   161 149 174   639   102         102  
Total Exploration Charges 309   288 267 473   1,337   225         225  
 
Depreciation, Depletion and
Amortization (DD&A) ($ Millions) 1,946   1,940 2,123 2,019   8,028   1,994         1,994  
 
Foreign Currency Gains
(Losses) After-Tax ($ Millions) (10 ) 2 118 106   216   (98 )       (98 )
Page 5 of 12

U.S. E&P

 
 

2008

2009

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

 

YTD

1st Qtr

 

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
 

U.S. E&P Net Income (Loss) Attributable

to ConocoPhillips ($ Millions) 1,349 1,852 1,606 181   4,988 173         173  
 
Alaska ($ Millions)   603 700 556 456   2,315 244         244  
Lower 48 ($ Millions)   746 1,152 1,050 (275 ) 2,673 (71 )       (71 )
 
Production
Total U.S. (MBOE/D)   783 787 736 790   775 791         791  
 
Crude Oil and Condensate (MB/D)
Alaska 254 244 218 258 244 254 254
Lower 48     97 95 85 88   91 92         92  
Total       351 339 303 346   335 346         346  
Sales of crude oil produced (MB/D) 344 353 299 340   334 358         358  
 
Natural Gas Liquids (MB/D)*
Alaska 19 17 13 20 17 21 21
Lower 48     69 76 74 75   74 71         71  
Total       88 93 87 95   91 92         92  
*Includes reinjection volumes sold lease-to-lease: 13 11 8 11   11 12         12  
 
Natural Gas (MMCF/D)
Alaska 100 98 102 88 97 92 92
Lower 48     1,963 2,034 1,971 2,007   1,994 2,027         2,027  
Total       2,063 2,132 2,073 2,095   2,091 2,119         2,119  
 
Average Realized Prices
Crude Oil and Condensate ($/bbl)
Alaska
North Slope     89.07 112.23 115.11 57.63   92.73 35.21         35.21  
West Coast     95.47 118.88 121.51 64.13   99.23 41.75         41.75  
Lower 48     90.35 118.06 112.36 49.36   92.77 37.32         37.32  
Total U.S.     94.02 118.66 118.90 60.32   97.47 40.60         40.60  
 
Natural Gas Liquids ($/bbl)
Alaska       94.27 117.24 119.29 64.23   94.29 41.76         41.76  
Lower 48     55.33 62.27 65.11 26.70   52.28 22.41         22.41  
Total U.S.     58.33 65.96 68.84 30.61   55.63 24.52         24.52  
 
Natural Gas ($/mcf)
Alaska       4.31 3.81 4.36 4.90   4.38 7.69         7.69  
Lower 48     7.67 9.74 8.67 4.76   7.71 3.76         3.76  
Total U.S.     7.63 9.69 8.64 4.76   7.67 3.82         3.82  
 
Kenai, Alaska LNG Sales
Volume (MMCF/D)   63 72 89 74   74 43         43  
Sales price per MCF   6.72 7.15 7.77 8.65   7.62 6.29         6.29  
 
U.S. Exploration Charges ($ Millions)
Dry Holes 25 20 6 137 188 58 58
Lease Impairments   42 40 43 65   190 26         26  
Total Noncash Charges 67 60 49 202 378 84 84
Other (G&G and Lease Rentals) 39 50 42 61   192 30         30  
Total U.S. Exploration Charges 106 110 91 263   570 114         114  
Alaska Only     11 25 19 45   100 34         34  
 
DD&A ($ Millions)
Alaska 149 163 152 186 650 173 173
Lower 48     616 613 649 577   2,455 651         651  
Total U.S.     765 776 801 763   3,105 824         824  
Page 6 of 12

INTERNATIONAL E&P

 

2008

2009

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 

International E&P Net Income (Loss)

Attributable to ConocoPhillips ($ Millions) 1,538 2,147 2,322 969 6,976 527       527
 
Production
Total, Including Equity Affiliates
and Canadian Syncrude (MBOE/D) 1,011 963 1,012 1,077 1,014 1,134       1,134
 
Crude Oil and Condensate (MB/D)
Consolidated
Norway 153 145 164 163 156 161 161
United Kingdom 48 49 57 78 58 79 79
Canada 23 24 25 27 25 24 24
China 33 32 31 36 33 40 40
Indonesia 16 15 15 15 15 26 26
Vietnam 20 18 19 28 21 36 36
Timor Sea 23 21 22 20 22 21 21
Libya 47 48 42 50 47 43 43
Nigeria 20 18 18 17 18 17 17
Other 24 22 22 23 22 24 24
Equity affiliates
Canada 29 25 32 35 30 35 35
Russia     16 16 31 32 24 49       49
Total       452 433 478 524 471 555       555
Sales of crude oil produced (MB/D) 429 450 477 513 467 553       553
 
Natural Gas Liquids (MB/D)
Norway 13 11 9 11 11 11 11
United Kingdom 10 8 6 8 8 8 8
Indonesia - 3 4 2 2 3 3
Timor Sea 15 14 15 13 14 14 14
Canada 26 25 24 24 25 23 23
Nigeria 2 2 3 2 2 2 2
Other       - - - - - -       -
Total       66 63 61 60 62 61       61
 
Natural Gas (MMCF/D)
Consolidated
Norway 273 205 222 257 239 259 259
United Kingdom 695 623 581 757 664 742 742
China 10 9 - - 5 - -
Indonesia 314 360 361 336 343 449 449
Timor Sea 246 231 266 236 245 247 247
Vietnam 16 16 21 11 16 17 17
Canada 1,101 1,055 1,061 1,001 1,054 1,066 1,066
Libya 9 9 6 9 8 8 8
Nigeria 96 107 116 102 105 104 104
Other 77 71 62 50 66 - -
Equity affiliates
Australia     - - - 45 11 76       76
Total       2,837 2,686 2,696 2,804 2,756 2,968       2,968
 
Canadian Syncrude (MB/D) 20 19 24 25 22 23       23
 
Darwin, Australia LNG Sales (MMCF/D) 417 396 464 460 434 438       438
Page 7 of 12

INTERNATIONAL E&P (continued)

 
 

2008

2009

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
Average Realized Prices
Crude Oil and Condensate ($/bbl)
Consolidated
Norway 97.27 122.34 115.67 55.95 97.54 46.52 46.52
United Kingdom 93.96 118.79 107.54 51.14 90.67 43.62 43.62
Canada 84.49 108.43 99.77 34.36 80.18 33.76 33.76
China 93.69 120.63 111.93 46.41 91.51 38.17 38.17
Indonesia 92.48 109.83 108.47 53.08 90.98 42.71 42.71
Vietnam 98.31 126.11 122.45 54.02 96.57 42.75 42.75
Timor Sea 93.85 114.20 103.11 38.05 86.91 43.61 43.61
Libya 95.21 120.86 108.33 53.48 93.22 44.22 44.22
Nigeria 99.49 126.55 104.25 50.34 96.82 47.20 47.20
Other 95.73 112.85 103.11 48.42 89.53 43.15 43.15
Equity affiliates
Canada 57.95 96.78 81.32 9.53 58.54 24.64 24.64
Russia 70.41 86.00 96.67 42.95 71.15 39.92 39.92
Total       91.96 117.49 107.99 47.84 90.01 42.17       42.17
 
Natural Gas Liquids ($/bbl)
Norway 54.48 59.19 56.67 39.00 53.04 29.21 29.21
United Kingdom 55.88 66.90 60.43 28.48 53.65 23.76 23.76
Indonesia - 70.77 74.37 31.64 62.84 39.49 39.49
Timor Sea 69.79 74.03 73.79 41.61 64.54 37.99 37.99
Canada 68.84 83.57 77.49 35.19 66.40 31.38 31.38
Nigeria 8.46 8.46 8.56 8.56 8.51 8.78 8.78
Other - - - - - - -
Total       62.20 71.40 68.78 35.25 59.70 31.64       31.64
 
Natural Gas ($/mcf)
Consolidated
Norway 10.27 11.75 12.79 10.70 11.28 9.68 9.68
United Kingdom 9.20 10.48 10.20 11.07 10.26 8.75 8.75
China 3.60 3.69 - - 3.64 - -
Indonesia 10.33 12.14 12.35 6.17 10.36 4.74 4.74
Timor Sea 0.79 0.90 0.97 1.17 0.96 1.16 1.16
Vietnam 1.14 1.12 1.13 1.16 1.13 1.14 1.14
Canada 7.81 10.19 8.03 5.56 7.92 4.13 4.13
Libya 0.09 0.09 0.09 0.09 0.09 0.09 0.09
Nigeria 0.98 1.19 1.25 1.09 1.13 0.84 0.84
Other 7.49 8.56 9.08 11.51 8.92 - -
Equity affiliates
Australia - - - 2.04 2.04 2.10 2.10
Total       8.32 10.02 9.13 7.55 8.73 5.76       5.76
 
International Exploration Charges ($ Millions)
Dry Holes 69 48 52 68 237 22 22
Lease Impairments   18 19 17 29 83 17       17
Total Noncash Charges 87 67 69 97 320 39 39
Other (G&G and Lease Rentals) 116 111 107 113 447 72       72
Total International Exploration Charges 203 178 176 210 767 111       111
 
DD&A ($ Millions)   1,181 1,164 1,322 1,256 4,923 1,170       1,170
Page 8 of 12

R&M

 

2008

2009

1st Qtr

 

2nd Qtr

 

3rd Qtr

 

4th Qtr

 

YTD

 

1st Qtr

 

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
 

R&M Net Income (Loss) Attributable

to ConocoPhillips ($ Millions) 520   664   849   289   2,322   205         205  
 
United States ($ Millions) 435   587   524   (6 ) 1,540   98         98  
International ($ Millions) 85   77   325   295   782   107         107  
 
Market Indicators
U.S. East Coast Crack Spread ($/bbl) 7.79 10.93 10.43 5.66 8.70 10.43 10.43
U.S. Gulf Coast Crack Spread ($/bbl) 7.90 12.11 14.70 2.80 9.38 9.06 9.06
U.S. Group Central Crack Spread ($/bbl) 10.26 13.47 14.38 6.00 11.03 9.62 9.62
U.S. West Coast Crack Spread ($/bbl) 15.37 21.91 16.34 11.46 16.27 15.79 15.79
U.S. Weighted 3:2:1 Crack Spread ($/bbl) 9.94 14.19 14.07 5.89 11.02 10.88 10.88
NW Europe Crack Spread ($/bbl) 16.09 25.78 21.10 17.58 20.14 10.81 10.81
Singapore 3:1:2 Crack Spread ($/bbl) 19.90 29.35 19.10 13.01 20.34 9.45 9.45
 
Realized Margins
Refining Margin ($/bbl)
U.S. 8.00 10.29 9.03 6.96 8.57 7.55 7.55
International     6.42   6.70   11.24   8.31   8.07   6.23         6.23  
Integrated Margin ($/bbl)
U.S. 8.29 10.71 10.38 8.20 9.40 8.23 8.23
International     8.34   9.11   18.06   13.28   12.06   8.30         8.30  
 
DD&A ($ Millions)   208   206   211   214   839   211         211  
 
Foreign Currency Gains
(Losses) After-Tax ($ Millions) 38   (13 ) (127 ) (71 ) (173 ) (10 )       (10 )
 
Turnaround Expense ($ Millions) 90   170   73   70   403   207         207  
 
Eastern U.S.
Crude Oil Charge Input (MB/D) 340 405 412 390 387 346 346
Total Charge Input (MB/D) 400 441 450 445 434 363 363
Crude Oil Capacity Utilization (%) 80 % 96 % 97 % 92 % 91 % 82 % 82 %
Clean Product Yield (%) 89 % 87 % 86 % 90 % 88 % 83 %       83 %
 
U.S. Gulf Coast
Crude Oil Charge Input (MB/D) 659 720 572 686 659 470 470
Total Charge Input (MB/D) 732 810 641 773 739 534 534
Crude Oil Capacity Utilization (%) 90 % 98 % 78 % 94 % 90 % 64 % 64 %
Clean Product Yield (%) 81 % 76 % 77 % 82 % 79 % 81 %       81 %
 
Western U.S.
Crude Oil Charge Input (MB/D) 405 343 417 407 393 402 402
Total Charge Input (MB/D) 425 396 439 431 422 424 424
Crude Oil Capacity Utilization (%) 97 % 82 % 100 % 98 % 94 % 96 % 96 %
Clean Product Yield (%) 80 % 78 % 82 % 82 % 81 % 79 %       79 %
 
Central U.S. - Consolidated
Crude Oil Charge Input (MB/D) 177 182 184 163 177 172 172
Total Charge Input (MB/D) 179 184 187 166 179 175 175
Crude Oil Capacity Utilization (%) 95 % 97 % 98 % 87 % 94 % 92 % 92 %
Clean Product Yield (%) 88 % 89 % 93 % 91 % 90 % 90 %       90 %
 
Central U.S. - Equity Affiliates - Net Share*
Crude Oil Charge Input (MB/D) 225 241 228 239 233 199 199
Total Charge Input (MB/D) 241 258 246 253 250 213 213
Crude Oil Capacity Utilization (%) 91 % 97 % 92 % 96 % 94 % 88 % 88 %
Clean Product Yield (%) 84 % 84 % 85 % 84 % 84 % 81 %       81 %
 
TOTAL UNITED STATES
Crude Oil Charge Input (MB/D) 1,806 1,891 1,813 1,885 1,849 1,589 1,589
Total Charge Input (MB/D) 1,977 2,089 1,963 2,068 2,024 1,709 1,709
Crude Oil Capacity Utilization (%) 90 % 94 % 90 % 94 % 92 % 80 % 80 %
Clean Product Yield (%) 83 % 81 % 83 % 85 % 83 % 82 %       82 %
 
Refined Products Production (MB/D)
Gasoline 892 876 852 929 887 755 755
Distillates 719 775 743 791 757 623 623
Other       380   444   380   359   391   338         338  
Total       1,991   2,095   1,975   2,079   2,035   1,716         1,716  
 
Petroleum Products Sales (MB/D)
Gasoline 1,070 1,127 1,089 1,227 1,128 1,037 1,037
Distillates 869 912 858 934 893 749 749
Other       384   404   365   342   374   328         328  
Total       2,323   2,443   2,312   2,503   2,395   2,114         2,114  
* Amount reflects our 50 percent share of the Borger refinery effective January 1, 2009. We had a 65 percent share of Borger in 2008.
Page 9 of 12

R&M (continued)

 

2008

2009

1st Qtr

 

2nd Qtr

 

3rd Qtr

 

4th Qtr

 

YTD

 

1st Qtr

 

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
 

International - Consolidated*

Crude Oil Charge Input (MB/D) 455 466 383 475 445 453 453
Total Charge Input (MB/D) 463 479 404 493 460 465 465
Crude Oil Capacity Utilization (%) 82 % 84 % 69 % 86 % 81 % 82 % 82 %
Clean Product Yield (%) 65 % 69 % 74 % 71 % 70 % 72 %       72 %
 
International - Equity Affiliates - Net Share**
Crude Oil Charge Input (MB/D) 123 123 122 122 122 114 114
Total Charge Input (MB/D) 124 124 124 127 125 122 122
Crude Oil Capacity Utilization (%) 104 % 104 % 103 % 103 % 104 % 96 % 96 %
Clean Product Yield (%) 86 % 83 % 89 % 85 % 86 % 87 %       87 %
 
TOTAL INTERNATIONAL
Crude Oil Charge Input (MB/D) 578 589 505 597 567 567 567
Total Charge Input (MB/D) 587 603 528 620 585 587 587
Crude Oil Capacity Utilization (%) 86 % 88 % 75 % 89 % 85 % 85 % 85 %
Clean Product Yield (%) 70 % 72 % 77 % 74 % 73 % 75 %       75 %
 
Refined Products Production (MB/D)
Gasoline 129 155 148 170 151 161 161
Distillates 274 274 255 285 272 276 276
Other       171   163   120   155   152   139         139  
Total       574   592   523   610   575   576         576  
 
Petroleum Products Sales (MB/D)
Gasoline 139 190 176 144 163 124 124
Distillates 321 324 324 336 326 343 343
Other       156   169   134   164   156   142         142  
Total       616   683   634   644   645   609         609  
 
 
Worldwide - Including Net Share of Equity Affiliates
Crude Oil Charge Input (MB/D) 2,384 2,480 2,318 2,482 2,416 2,156 2,156
Total Charge Input (MB/D) 2,564 2,692 2,491 2,688 2,609 2,296 2,296
Crude Oil Capacity Utilization (%) 89 % 93 % 87 % 93 % 90 % 81 % 81 %
Clean Product Yield (%) 80 % 79 % 82 % 82 % 81 % 80 %       80 %
 
Refined Products Production (MB/D)
Gasoline 1,021 1,031 1,000 1,099 1,038 916 916
Distillates 993 1,049 998 1,076 1,029 899 899
Other       551   607   500   514   543   477         477  
Total       2,565   2,687   2,498   2,689   2,610   2,292         2,292  
 
Petroleum Products Sales (MB/D)
Gasoline 1,209 1,317 1,265 1,371 1,291 1,161 1,161
Distillates 1,190 1,236 1,182 1,270 1,219 1,092 1,092
Other       540   573   499   506   530   470         470  
Total       2,939   3,126   2,946   3,147   3,040   2,723         2,723  
* Represents our Humber refinery in the United Kingdom, the Whitegate refinery in Ireland, and our Wilhelmshaven refinery in Germany.
** Represents 18.75 percent interest in a refinery complex in Karlsruhe, Germany, and 47 percent interest in a refinery in Melaka, Malaysia.
Page 10 of 12
LUKOIL INVESTMENT
   
2008 2009
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr   YTD   1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
LUKOIL Investment Net Income (Loss)
Attributable to ConocoPhillips ($ Millions) 710 774 438

(7,410

)

(5,488

)

48       48
 
Upstream
Production*
Net crude oil production (MB/D) 392 387 371 392 386 386 386
Net natural gas production (MMCF/D) 404 363 303 355 356 316 316
BOE Total (MBOE/D)   459 448 422 451   445   439       439
* Represents our estimated net share of LUKOIL's production.
 
Industry Prices
Crude Oil ($/bbl)
Urals crude (CIF Mediterranean) 93.01 117.34 113.54 54.66   94.79 43.73       43.73
 
Downstream
Refinery Throughput*
Crude Processed (MB/D) 222 215 228 250   229 203       203
* Represents our estimated net share of LUKOIL's crude processed.
MIDSTREAM
 
2008 2009
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
 
 
Midstream Net Income Attributable
to ConocoPhillips ($ Millions) 137 162 173 69 541 123       123
 
U.S. Equity Affiliate ($ Millions)* 118 137 153 50 458 90       90
 
Natural Gas Liquids Extracted (MB/D)
Consolidated
United States - - - - - - -
International - - - - - - -
Equity Affiliates
United States* 190 188 169 175 180 165 165
International     8 8 7 7 8 7       7
Total       198 196 176 182 188 172       172
* Represents 50 percent interest in DCP Midstream.
 
Natural Gas Liquids Fractionated (MB/D)
United States* 141 149 166 150 151 144 144
International     13 13 15 15 14 16       16
Total       154 162 181 165 165 160       160
* Excludes DCP Midstream.
 
Product Prices
Weighted Average NGL ($/bbl)*
Consolidated 60.09 68.21 67.39 29.49 56.29 26.04 26.04
DCP Midstream   56.48 62.53 60.46 28.85 52.08 23.86       23.86
* 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.
 
 
DD&A ($ Millions)   2 1 2 1 6 2       2
Page 11 of 12

CHEMICALS

 

2008

2009

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

 

YTD

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 

Chemicals Net Income (Loss) Attributable

to ConocoPhillips ($ Millions) 52 18 46

(6

)

110 23       23
 
Industry Margins (Cents/Lb)*
Ethylene industry cash margin 10.6 10.2 16.0 15.3 13.0 7.0 7.0
HDPE industry contract sales margin 14.9 15.0 23.4 22.5 19.0 18.2 18.2
Styrene industry contract sales margin 11.6 11.3 14.4 16.0   13.3 14.8       14.8
* Prices, economics and views expressed by CMAI are strictly the opinion of CMAI and Purvin & Gertz and are based on information collected within the public sector and on assessments by CMAI and Purvin & Gertz staff utilizing reasonable care consistent with normal industry practice. CMAI and Purvin & Gertz make no guarantee or warranty and assume no liability as to their use.

EMERGING BUSINESSES

 

2008

2009

1st Qtr

 

2nd Qtr

 

3rd Qtr

 

4th Qtr

 

YTD

 

1st Qtr

 

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
 

Emerging Businesses Net Income (Loss)

Attributable to ConocoPhillips ($ Millions) 12   8   35   (25 ) 30   -  

 

    -  
 
Detail of Net Income (Loss)
Attributable to ConocoPhillips ($ Millions)
Power     27 26 53 - 106 24 24
Other       (15 ) (18 ) (18 ) (25 ) (76 ) (24 )       (24 )
Total       12   8   35   (25 ) 30   -         -  
CORPORATE AND OTHER
 
2008 2009
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD
Corporate and Other Net Income (Loss)
Attributable to ConocoPhillips ($ Millions) (179 ) (186 ) (281 ) (388 ) (1,034 ) (259 )       (259 )
 
 
Detail of Net Income (Loss)
Attributable to ConocoPhillips ($ Millions)
Net interest expense (108 ) (119 ) (149 ) (182 ) (558 ) (190 ) (190 )
Corporate overhead (44 ) (68 ) (41 ) (49 ) (202 ) (41 ) (41 )
Other       (27 ) 1   (91 ) (157 ) (274 ) (28 )       (28 )
Total       (179 ) (186 ) (281 ) (388 ) (1,034 ) (259 )       (259 )
 
 
Before-Tax Net Interest Expense ($ Millions)
Interest expense (319 ) (324 ) (326 ) (362 ) (1,331 ) (387 ) (387 )
Capitalized interest 157 157 130 125 569 118 118
Interest revenue 72 14 28 14 128 40 40
Premium on early debt retirement (14 ) -   -   (1 ) (15 ) (2 )       (2 )
Total       (104 ) (153 ) (168 ) (224 ) (649 ) (231 )       (231 )
 
Foreign Currency Gains
(Losses) After-Tax ($ Millions) (3 ) 41   (56 ) (54 ) (72 ) (1 )       (1 )
 
Debt
Total Debt ($ Millions) 21,492 21,924 22,100 27,455 27,455 29,379 29,379
Debt-to-Capital Ratio   19 % 19 % 19 % 33 % 33 % 34 %       34 %
 
Common Stockholders' Equity ($ Millions) 89,575   92,398   92,876   55,165   55,165   55,095         55,095  

Page 12 of 12