-----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, RY70VHjzdhswkPKeIIV9t7veW6YnPoPtMzIYcU+lxFg8+tMoP1xA3UCSmKPYKiuP LVZCw44gw1wyRwsIQ4OJ0A== 0000060512-97-000006.txt : 19970513 0000060512-97-000006.hdr.sgml : 19970513 ACCESSION NUMBER: 0000060512-97-000006 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19970331 FILED AS OF DATE: 19970512 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: LOUISIANA LAND & EXPLORATION CO CENTRAL INDEX KEY: 0000060512 STANDARD INDUSTRIAL CLASSIFICATION: CRUDE PETROLEUM & NATURAL GAS [1311] IRS NUMBER: 720244700 STATE OF INCORPORATION: MD FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-00959 FILM NUMBER: 97600714 BUSINESS ADDRESS: STREET 1: 909 POYDRAS ST CITY: NEW ORLEANS STATE: LA ZIP: 70112 BUSINESS PHONE: 5045666500 MAIL ADDRESS: STREET 1: P O BOX 60350 CITY: NEW ORLEANS STATE: LA ZIP: 70160 10-Q 1 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D. C. 20549 FORM 10-Q (Mark One) X QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended MARCH 31, 1997 TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ............to............ Commission file number 1-959 THE LOUISIANA LAND AND EXPLORATION COMPANY Exact name of registrant as specified in its charter MARYLAND 72-0244700 State or other jurisdiction of I.R.S. Employer incorporation or organization Identification No. 909 POYDRAS STREET, NEW ORLEANS, LA. 70112 Address of principal executive offices Zip Code Registrant's telephone number, including area code 504-566-6500 NO CHANGE Former name, former address and former fiscal year, if changed since last report Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X . No . Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date. Outstanding at Class May 1, 1997 CAPITAL STOCK, $.15 PAR VALUE 34,271,253 SHARES THE LOUISIANA LAND AND EXPLORATION COMPANY INDEX Page Number _________________________________________________________________ PART I. FINANCIAL INFORMATION: Item 1. Financial Statements: (The March 31, 1997 and 1996 consolidated financial statements included in this filing on Form 10-Q have been reviewed by KPMG Peat Marwick LLP, independent auditors, in accordance with established professional standards and procedures for such a review. The report of KPMG Peat Marwick LLP commenting upon their review is included herein.) Consolidated Balance Sheets - March 31, 1997 and December 31, 1996............................. 3 Consolidated Statements of Earnings - three months ended March 31, 1997 and 1996................. 4 Consolidated Statements of Cash Flows - three months ended March 31, 1997 and 1996................. 5 Notes to Consolidated Financial Statements........ 6-7 Independent Auditors' Review Report............... 8 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations............................... 9-11 Petroleum Segment Information......................... 12 Operating Data........................................ 13-14 PART II. OTHER INFORMATION: Item 6. Exhibits and Reports on Form 8-K............ 15 Part I. FINANCIAL INFORMATION Item 1. Financial Statements. THE LOUISIANA LAND AND EXPLORATION COMPANY CONSOLIDATED BALANCE SHEETS (UNAUDITED) CURRENT ASSETS: Cash, including cash equivalents (March 31, 1997-$3.1; December 31, 1996-$1.2) $ 14.9 9.0 Accounts and notes receivable, principally trade 109.2 150.7 Income taxes receivable .5 - Prepaid expenses 11.2 10.7 Deferred income taxes .7 .7 _____________________________________________________________________________________ TOTAL CURRENT ASSETS 136.5 171.1 _____________________________________________________________________________________ Investments in affiliates 12.0 8.1 Property, plant and equipment 3,113.7 3,100.6 Less accumulated depletion, depreciation and amortization (1,969.8) (1,940.9) _____________________________________________________________________________________ NET PROPERTY, PLANT AND EQUIPMENT 1,143.9 1,159.7 _____________________________________________________________________________________ Other assets 25.4 25.9 _____________________________________________________________________________________ $ 1,317.8 1,364.8 _____________________________________________________________________________________ LIABILITIES AND STOCKHOLDERS' EQUITY _____________________________________________________________________________________ CURRENT LIABILITIES: Accounts payable and accrued expenses 143.2 138.9 Income taxes payable 14.8 9.4 _____________________________________________________________________________________ TOTAL CURRENT LIABILITIES 158.0 148.3 _____________________________________________________________________________________ Deferred income taxes 78.6 78.4 Long-term debt 427.9 505.7 Other liabilities 158.1 157.8 _____________________________________________________________________________________ STOCKHOLDERS' EQUITY: Capital stock 5.1 5.1 Additional paid-in capital 46.0 44.6 Retained earnings 444.1 424.9 _____________________________________________________________________________________ TOTAL STOCKHOLDERS' EQUITY 495.2 474.6 _____________________________________________________________________________________ $ 1,317.8 1,364.8 _____________________________________________________________________________________ See accompanying notes to consolidated financial statements.
THE LOUISIANA LAND AND EXPLORATION COMPANY CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED) (Millions, except per share data)
Three months ended March 31, 1997 1996 _____________________________________________________________________________________ REVENUES: Oil and gas $170.8 147.7 Refined products - 114.8 Gain on sale of petroleum assets .4 - _____________________________________________________________________________________ 171.2 262.5 _____________________________________________________________________________________ COSTS AND EXPENSES: Lease operating and facility expenses 31.1 30.0 Refinery cost of sales and operating expenses - 114.4 Dry holes and exploratory charges 46.3 21.5 Depletion, depreciation and amortization 43.7 43.5 Taxes, other than on earnings 6.3 6.2 General, administrative and other expenses 9.3 8.9 _____________________________________________________________________________________ 136.7 224.5 _____________________________________________________________________________________ 34.5 38.0 OTHER INCOME (EXPENSE): Interest and debt expenses (7.9) (9.2) Other income (expense), net 6.5 3.0 _____________________________________________________________________________________ Earnings before income taxes 33.1 31.8 Income tax expense 11.9 11.2 _____________________________________________________________________________________ NET EARNINGS $ 21.2 20.6 _____________________________________________________________________________________ EARNINGS PER SHARE $ 0.62 0.61 _____________________________________________________________________________________ AVERAGE SHARES 34.5 33.7 _____________________________________________________________________________________ CASH DIVIDENDS PER SHARE $ 0.06 0.06 _____________________________________________________________________________________ See accompanying notes to consolidated financial statements.
THE LOUISIANA LAND AND EXPLORATION COMPANY CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (Millions of dollars)
Three months ended March 31, 1997 1996 _____________________________________________________________________________________ CASH FLOWS FROM OPERATING ACTIVITIES: Net earnings $ 21.2 20.6 Adjustments to reconcile to cash flows from operations: Depletion, depreciation and amortization 43.7 43.5 Deferred income taxes .2 6.8 Dry holes and impairment charges 33.4 13.3 Gain on sales of petroleum assets (.4) - Other (3.7) .4 _____________________________________________________________________________________ 94.4 84.6 Changes in operating assets and liabilities: Net (increase) decrease in receivables 41.8 (3.4) Net decrease in inventories - 3.7 Net (increase) decrease in prepaid items (.5) 4.3 Net increase (decrease) in payables 15.5 (7.0) Other 1.2 (6.3) _____________________________________________________________________________________ NET CASH FLOWS FROM OPERATING ACTIVITIES 152.4 75.9 _____________________________________________________________________________________ CASH FLOWS FROM INVESTING ACTIVITIES: Capital expenditures (67.2) (43.4) Proceeds from asset sales 1.7 .1 Other (1.7) 3.3 _____________________________________________________________________________________ NET CASH FLOWS FROM INVESTING ACTIVITIES (67.2) (40.0) _____________________________________________________________________________________ CASH FLOWS FROM FINANCING ACTIVITIES: Additions to long-term debt - 42.9 Repayments of long-term debt (77.8) (92.0) Advances against cash surrender value - 9.6 Dividends (2.0) (2.0) Repayment of loans to ESOP - .6 Other .5 3.9 _____________________________________________________________________________________ NET CASH FLOWS FROM FINANCING ACTIVITIES (79.3) (37.0) _____________________________________________________________________________________ INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS $ 5.9 (1.1) _____________________________________________________________________________________ See accompanying notes to consolidated financial statements.
THE LOUISIANA LAND AND EXPLORATION COMPANY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 1. In the opinion of the Company, the accompanying unaudited consolidated financial statements contain all adjustments (consisting only of normal recurring accruals) necessary to present fairly the financial position as of March 31, 1997, and the results of operations and cash flows for the three-month periods ended March 31, 1997 and 1996. Certain amounts have been reclassified to conform with the current period's presentation. 2. On July 31, 1996, the Company completed the sale of its crude oil refinery and terminal near Mobile, Alabama, including crude oil and refined product inventories, for approximately $70 million resulting in a pretax gain of approximately $2 million. The net book value of refinery property, plant and equipment at that date totaled approximately $33 million. The following table sets forth the refinery operating results for the period indicated.
(Unaudited) Three months ended March 31, (Millions of dollars) 1996 ____________________________________________________________________________________ REFINING OPERATIONS Refining Operating Profit (Loss): Revenues: Refined products* $121.1 Other .1 ____________________________________________________________________________________ 121.2 ____________________________________________________________________________________ Cost and expenses: Cost of sales* 109.2 Operating expenses 11.5 Depreciation .4 Taxes, other than income .4 ____________________________________________________________________________________ 121.5 ____________________________________________________________________________________ $ (.3) ____________________________________________________________________________________ *Before the elimination of intercompany transfers to the Company's refinery $ 6.3 ____________________________________________________________________________________
3. For the three months ended March 31, 1997 and 1996, interest costs incurred were $9.5 million and $12.6 million, respectively, of which $1.6 million and $3.4 million, respectively, were capitalized as part of the cost of property, plant and equipment. 4. As prescribed by Accounting Principles Board Opinion No. 15, "Earnings Per Share, ("Opinion No. 15"), earnings per share are calculated on the weighted average number of shares outstanding during each period for capital stock and, when dilutive, capital stock equivalents, which assumes exercise of stock options. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) In February 1997, the Financial Accounting Standards Board issued Statement of Financial Accounting Standards Statement No. 128, "Earnings Per Share" ("SFAS No. 128"). SFAS No. 128 supersedes Opinion No. 15, will be effective for the Company's year ended December 31, 1997, and cannot be adopted earlier. After adoption, all prior period earnings per share must be restated to conform with SFAS No. 128. Due to the insignificant number of potentially dilutive securities (stock options) outstanding, SFAS No. 128 will not have a material impact on the Company's earnings per share. 5. In accordance with Regulation S-X, Rule 3-09, the audited consolidated financial statements of the Company's 50%-owned affiliate, MaraLou Netherlands Partnership (MaraLou) and its wholly-owned consolidated subsidiary, CLAM Petroleum Company (CLAM), were filed with the Company's Annual Report on Form 10-K for the year ended December 31, 1996. Accordingly, the following unaudited summarized consolidated income statement information for MaraLou and its consolidated subsidiary, CLAM, for the three-month periods ended March 31, 1997 and 1996 are presented in accordance with Regulation S-X, Rule 10-01(b).
(Unaudited) Three months ended March 31, 1997 1996 _________________________________________________________________________________ Gross revenues $ 28.0 31.7 _________________________________________________________________________________ Operating profit 16.6 16.9 _________________________________________________________________________________ Net earnings 6.5 8.0 _________________________________________________________________________________
6. The Company has been notified by the U.S. Environmental Protection Agency that it is one of many Potentially Responsible Parties (PRP) with respect to certain National Priorities List sites. Based on its evaluation of the potential total cleanup costs, its estimate of its potential exposure, and the viability of the other PRP's, the Company believes that any costs ultimately required to be borne by it at these sites will not have a material adverse effect on the results of operations, cash flow or financial position of the Company. The Company is subject to other legal proceedings, claims and liabilities which arise in the ordinary course of its business. In the opinion of Management, the amount of ultimate liability with respect to these actions will not have a material adverse effect on results of operations, cash flow or financial position of the Company. INDEPENDENT AUDITORS' REVIEW REPORT The Board of Directors The Louisiana Land and Exploration Company: We have reviewed the consolidated balance sheet of The Louisiana Land and Exploration Company and subsidiaries as of March 31, 1997, and the related consolidated statements of earnings and cash flows for the three-month periods ended March 31, 1997 and 1996. These consolidated financial statements are the responsibility of the Company's management. We conducted our review in accordance with standards established by the American Institute of Certified Public Accountants. A review of interim financial information consists principally of applying analytical procedures to financial data and making inquiries of persons responsible for financial and accounting matters. It is substantially less in scope than an audit conducted in accordance with generally accepted auditing standards, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion. Based on our review, we are not aware of any material modifications that should be made to the consolidated financial statements referred to above for them to be in conformity with generally accepted accounting principles. We have previously audited, in accordance with generally accepted auditing standards, the consolidated balance sheet of The Louisiana Land and Exploration Company and subsidiaries as of December 31, 1996, and the related consolidated statements of earnings (loss), stockholders' equity, and cash flows for the year then ended (not presented herein); and in our report dated February 7, 1997, we expressed an unqualified opinion on those consolidated financial statements. In our opinion, the information set forth in the accompanying consolidated balance sheet as of December 31, 1996, is fairly presented, in all material respects, in relation to the consolidated balance sheet from which it has been derived. /KPMG PEAT MARWICK LLP KPMG PEAT MARWICK LLP New Orleans, Louisiana May 9, 1997 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 Statements, other than historical facts, contained in this Quarterly Report on Form 10-Q, including statements of estimated oil and gas production and reserves, drilling plans, future cash flows, anticipated capital expenditures and Management's strategies, plans and objectives, are "forward looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Although the Company believes that its forward looking statements are based on reasonable assumptions, it cautions that such statements are subject to a wide range of risks and uncertainties incident to the exploration for, acquisition, development and marketing of oil and gas, and it can give no assurance that its estimates and expectations will be realized. Important factors that could cause actual results to differ materially form the forward looking statements include, but are not limited to, changes in production volumes, worldwide demand, and commodity prices for petroleum natural resources; the timing and extent of the Company's success in discovering, acquiring, developing and producing oil and gas reserves; risks incident to the drilling and operation of oil and gas wells; future production and development costs; the effect of existing and future laws, governmental regulations and the political and economic climate of the United States and foreign countries in which the Company operates; the effect of hedging activities; and conditions in the capital markets. Other risk factors are discussed elsewhere in this Form 10-Q, including those risk factors described in Note 6 of "Notes to Consolidated Financial Statements." REVIEW OF OPERATIONS First quarter 1997 net earnings totaled $21.2 million, up from the $20.6 million earned in the first quarter of 1996. The improvement in net earnings resulted from a 16% increase in oil and gas revenues due to higher natural gas volumes and improved product prices. OIL AND GAS OPERATIONS Revenues from the Company's oil and gas operations were up $23 million from the first quarter of 1996. Liquids revenues were up $11 million due to the effect of higher worldwide crude oil prices ($10 million). Natural gas revenues were up $12 million as a result of higher deliveries ($11 million) and prices ($1 million). Crude oil volumes were 1100 barrels per day (BPD) lower than first quarter 1996 volumes due to production declines at North Sea and other foreign properties, which more than offset higher domestic production. North Sea operations were down 1900 BPD as temporary mechanical problems Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. (Continued) at the Toni Field and natural declines at other North Sea properties more than offset new production from the Thelma Field. Other foreign crude volumes declined 700 BPD due to natural declines at the KAKAP concession, offshore Indonesia. New wells onstream at south Louisiana and Gulf of Mexico properties contributed to higher domestic volumes which were up 1500 BPD. Natural gas deliveries were up 35 million cubic feet per day from the prior year first quarter due to higher domestic production. Domestic deliveries were up due to new wells onstream in the Gulf of Mexico and south Louisiana. The higher domestic deliveries were partially offset by the effects of natural declines at mature producing properties and wells shut-in for maintenance and repairs. North Sea deliveries remained at the same level as the prior year period. Partially offsetting the higher domestic production were lower volumes from the Company's 50%-owned affiliate, CLAM Petroleum Company. Lease operating and facility expenses (LOE) were up as higher workover costs and facilities expenses offset reductions in operating costs and repair charges. Depletion, depreciation and amortization (DD&A) was up marginally as a result of the DD&A associated with new wells onstream. This increase in DD&A was partially offset by natural production declines on mature producing properties. Dry holes and exploratory charges increased due to the write-off of unsuccessful exploratory wells and higher seismic costs incurred. Interest and debt expenses were down from the 1996 quarter primarily as a result of the significant reduction in long-term debt over the last twelve months. LIQUIDITY AND CAPITAL RESOURCES In the first quarter of 1997, the Company generated approximately $152 million in cash from operations which, along with available cash, was used for capital projects ($67 million), reductions of long-term debt ($78 million) and dividends paid ($2 million). The Company expects to fund its 1997 expenditures, including capital and exploration expenditures of approximately $280 million, primarily from operating cash flows. However, the Company expects to supplement its working capital, from time-to-time, through its commercial paper program and its existing revolving credit facility. The Company's expenditures are continually reviewed, and revised as necessary, based on perceived current and long-term economic conditions. The Company's commodity price hedging program was designed to minimize the price risks associated with future natural gas and crude oil production and is not used for speculative purposes. This program utilizes futures, forwards, options and swap contracts in series of transactions designed to set a floor price for future production and at the same time allow the Company to participate in market price increases above a set level over the Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. (Continued) floor price and outside of specific ranges. At March 31, 1997, approximately 70 trillion British Thermal Units (BTU) of domestic natural gas production for the remainder of 1997 were covered by a series of transactions designed to set an average floor price of $1.81 per million BTU with the Company's nonparticipation in market price increases above the floor price limited to $0.18 per million BTU. For 1998, approximately 57 trillion BTU of domestic natural gas were similarly hedged at an average floor price of $1.79 per million BTU with the Company's nonparticipation in market price increases above the floor price limited to $0.24 per million BTU. While these transactions have nominal carrying values, their fair value, represented by the estimated amount that would be required to terminate the contracts, were a net benefit of $.2 million for the 1997 hedges and a net benefit of $1.1 million for the 1998 hedges. (The Company estimates that its domestic natural gas production averages approximately 1.07 million BTU for each thousand cubic feet.) In addition, approximately two million barrels of the Company's worldwide crude oil production for the remainder of 1997 were similarly hedged at an average floor price of $18.95 per barrel with the Company's nonparticipation in market price increases above the floor price limited to $1.90 per barrel. These transactions also have nominal carrying values, but their fair value at March 31, 1997 amounted to a net benefit of $.9 million. CAPITAL STOCK, DIVIDENDS AND OTHER MARKET DATA In February 1997, the Company's Board of Directors authorized the repurchase of up to two million shares of the Company's capital stock. No shares have been repurchased under the program. NOTE: The accompanying consolidated financial statements and notes thereto included in Item 1. of this Form 10-Q and the petroleum segment information and operating data following this Item 2. are an integral part of this discussion and analysis and should be read in conjunction herewith. THE LOUISIANA LAND AND EXPLORATION COMPANY PETROLEUM SEGMENT INFORMATION (Millions of dollars)
Three months ended March 31, 1997 1996 _____________________________________________________________________________________ Sales to unaffiliated customers: Domestic1 $127.0 218.9 North Sea 38.4 37.1 Other foreign 5.8 6.5 _____________________________________________________________________________________ Total revenues $171.2 262.5 _____________________________________________________________________________________ Earnings (loss) before income taxes: Operating profit (loss): Domestic1 34.1 41.7 North Sea 16.7 12.1 Other foreign (4.6) (4.3) _____________________________________________________________________________________ 46.2 49.5 Other income (expense), net (13.1) (17.7) _____________________________________________________________________________________ Earnings before income taxes $ 33.1 31.8 _____________________________________________________________________________________ Capital expenditures: Exploration: Domestic 32.9 17.9 North Sea 1.0 - Other foreign 4.6 2.1 _____________________________________________________________________________________ 38.5 20.0 _____________________________________________________________________________________ Development: Domestic 13.3 10.2 North Sea 4.0 6.0 Other foreign 3.5 2.4 _____________________________________________________________________________________ 20.8 18.6 _____________________________________________________________________________________ 59.3 38.6 Capitalized interest 1.6 3.4 Other .6 .8 _____________________________________________________________________________________ $ 61.5 42.8 _____________________________________________________________________________________ 1 The 1996 period includes the operations of the Company's refinery which was sold in July 1996. See Note 2 of "Notes to Consolidated Financial Statements."
THE LOUISIANA LAND AND EXPLORATION COMPANY OPERATING DATA
Three months ended March 31, 1997 1996 _____________________________________________________________________________________ OIL AND GAS OPERATIONS1 CRUDE AND CONDENSATE2 Production (thousands of barrels per day): Domestic 21.4 19.9 North Sea 14.4 16.3 Other foreign 3.3 4.0 _____________________________________________________________________________________ 39.1 40.2 _____________________________________________________________________________________ Average price received (per barrel): Domestic $22.37 19.06 North Sea 21.38 18.76 Other foreign 19.66 17.68 Consolidated 21.78 18.80 _____________________________________________________________________________________ PLANT PRODUCTS Production (thousands of barrels per day): Domestic 2.7 1.9 North Sea .9 .9 _____________________________________________________________________________________ 3.6 2.8 _____________________________________________________________________________________ Average price received (per barrel): Domestic $18.99 12.35 North Sea 23.79 16.56 Consolidated 20.24 13.71 _____________________________________________________________________________________ NATURAL GAS Production (millions of cubic feet per day): Domestic 301.0 255.2 North Sea 37.4 37.9 CLAM Petroleum Company 49.3 60.0 _____________________________________________________________________________________ 387.7 353.1 _____________________________________________________________________________________ Average price received (per MCF): Domestic $ 2.85 2.87 North Sea 2.71 2.22 CLAM Petroleum Company 2.82 2.83 Consolidated 2.84 2.80 _____________________________________________________________________________________ 1 Includes the Company's 50% equity interest in its unconsolidated affiliate, CLAM Petroleum Company. 2 Before the elimination of intercompany transfers.
THE LOUISIANA LAND AND EXPLORATION COMPANY OPERATING DATA (CONTINUED)
Three months ended March 31, (Millions of dollars) 1997 1996 ____________________________________________________________________________________ GROSS WELLS DRILLED Working Interest Exploratory: Oil 1 2 Gas 2 2 Dry 2 3 ____________________________________________________________________________________ 5 7 ____________________________________________________________________________________ Development: Oil 1 5 Gas 1 1 Dry 1 - ____________________________________________________________________________________ 3 6 ____________________________________________________________________________________ Total working interest 8 13 Royalty Interest 5 2 ____________________________________________________________________________________ Total wells 13 15 ____________________________________________________________________________________ NET WELLS DRILLED Exploratory: Oil .5 .7 Gas .8 1.0 Dry .9 .9 ____________________________________________________________________________________ 2.2 2.6 ____________________________________________________________________________________ Development: Oil .9 .6 Gas .7 .5 Dry .5 - ____________________________________________________________________________________ 2.1 1.1 ____________________________________________________________________________________ Total net wells 4.3 3.7 ____________________________________________________________________________________
PART II. OTHER INFORMATION Item 4. Submission of Matters to a Vote of Security Holders. At the Annual Meeting of Stockholders held on May 8, 1997, The Louisiana Land and Exploration Company 1997 Stock Option Plan was approved by a stockholder vote of: For - 19,637,112; Against - 2,962,078. Item 6. Exhibits and Reports on Form 8-K. (a) Exhibits: Exhibit 27 - Financial Data Schedules: Quarter ended March 31, 1997 Quarter ended March 31, 1996 (restated) (b) Reports on Form 8-K: NONE SIGNATURE 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, thereunto duly authorized. THE LOUISIANA LAND AND EXPLORATION COMPANY (REGISTRANT) By: /s/ J. N. Wood ___________________________________________ J. N. WOOD VICE PRESIDENT AND CONTROLLER (PRINCIPAL ACCOUNTING OFFICER) Dated: May 12, 1997 EX-27 2
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE CONSOLIDATED BALANCE SHEET AND CONSOLIDATED STATEMENT OF EARNINGS OF THE LOUISIANA LAND AND EXPLORATION COMPANY AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 1,000 3-MOS DEC-31-1997 MAR-31-1997 14,900 0 109,700 0 0 136,500 3,113,700 1,969,800 1,317,800 158,000 427,900 5,100 0 0 490,100 1,317,800 171,200 171,200 0 127,400 2,800 0 7,900 33,100 11,900 21,200 0 0 0 21,200 .62 .62 EX-27 3
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE CONSOLIDATED BALANCE SHEET AND CONSOLIDATED STATEMENT OF EARNINGS OF THE LOUISIANA LAND AND EXPLORATION COMPANY AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. THIS SCHEDULE HAS BEEN RESTATED TO CONFORM TO FINANCIAL STATEMENT CLASSIFICATIONS ADOPTED IN 1997. 1,000 3-MOS DEC-31-1996 MAR-31-1996 9,200 0 144,900 0 35,000 198,600 3,150,900 1,956,200 1,447,000 191,100 642,500 5,100 0 0 392,300 1,447,000 262,500 262,500 0 215,600 5,900 0 9,200 31,800 11,200 20,600 0 0 0 20,600 .61 .61 -----END PRIVACY-ENHANCED MESSAGE-----